MIRA INFORM REPORT
|
Report Date : |
28.05.2013 |
IDENTIFICATION DETAILS
|
Name : |
PIRAMAL GLASS
LIMITED |
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|
Registered
Office : |
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Country : |
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Financials (as
on) : |
31.03.2012 |
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Date of
Incorporation : |
06.02.1998 |
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Com. Reg. No.: |
11-113433 |
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Capital
Investment / Paid-up Capital : |
Rs. 809.160 Millions |
|
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CIN No.: [Company Identification
No.] |
U28992MH1998PLC113433 |
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|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
SRTG00256E |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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Line of Business
: |
Manufacturer of Glass Containers for the Cosmetics and Perfumery, Pharmaceuticals and
Specialty Food and Beverages industries. |
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|
No. of Employees
: |
3957 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (54) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 19000000 |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having fine track record. Financial position
of the company appears to be sound. Trade relations are reported as fair.
Business is active. Payments are reported to be regular and as per
commitments. The company can be considered good for normal business dealings at
usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – June 30, 2012
|
Country Name |
Previous Rating (31.03.2012) |
Current Rating (30.06.2012) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
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High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
Fund Based Limited = BBB+ |
|
Rating Explanation |
Having moderate degree of safety regarding timely servicing of
financial obligation it carry moderate credit risk |
|
Date |
February 2013 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered Office / Corporate
Office : |
|
|
Tel. No.: |
91-22-30466666 |
|
Fax No. : |
91-22-24902363 |
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E-Mail : |
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|
Website : |
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|
Area: |
14000 sq.ft |
|
Location : |
Rented |
|
|
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|
Corporate Office : |
Piramal Tower Annexe, 6th Floor, Peninsula
Corporate Park, Off. Worli Naka, Lower
Parel (West), Mumbai – 400013, Maharashtra, India |
|
Tel. No.: |
91-22-30466969 /
30466901 |
|
Fax No.: |
91-22-24908824 |
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E-Mail : |
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Plant Location : |
plant I
ONGC Road, Tarsadi Village, Kosamba, District Surat – 394 120, Gujarat, India Tel. No.: 91-2629-231701/5 Fax No.: 91-2629-231271 E-Mail: mprasad@gujaratglass.co.in plant ii
Off. Masar Chowkadi, Masar Gajera Road, Village Ucchad, Tehsil Jambusar, District Bharuch - 392150, Gujarat, India Tel. No.: 91-2644-233313 – 7 Fax No.: 91-2644-233282 E-Mail: sagarwal@gujaratglass.co.in |
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Overseas Plant Location : |
· Piramal Glass Ceylon PLC, Poruwadanda, Wagawatte, Horana, Srilanka ·
· PGI Decora, 918 E, Malaga Road, Williamstown, NJ 08094, USA |
DIRECTORS
As on 31.03.2012
|
Name : |
Mr. Ajay G. Piramal |
|
Designation : |
Chairman |
|
Address : |
Piramal House 61,
|
|
Date of Birth/Age : |
03.08.1955 |
|
Qualification : |
B.Sc., M.M.S. (Bom)., A.M.P. (Harvard) |
|
Date of Appointment : |
06.02.1998 |
|
|
|
|
Name : |
Ms. Vinita Bali |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. Vimal
Bhandari |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. Dharendra
Chadha |
|
Designation : |
Director |
|
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|
Name : |
Mr. Jiten Doshi |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. Bharat Kewalramani |
|
Designation : |
Director |
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Address : |
232, |
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Date of Birth/Age : |
03.03.1960 |
|
Date of Appointment : |
02.04.1998 |
|
|
|
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Name : |
Ms. Swati A.
Piramal |
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Designation : |
Director |
|
Address : |
Piramal House 61,
|
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Date of Birth/Age : |
28.03.1956 |
|
Date of Appointment : |
12.03.1998 |
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Name : |
Mr. Vijay Shah |
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Designation : |
Managing Director (upto 31st December, 2011) |
KEY EXECUTIVES
|
Name : |
Mr. Nehal Doshi |
|
Designation : |
Company Secretary |
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|
|
|
Name : |
Mr. Sandeep Arora |
|
Designation : |
Chief Financial Officer |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2013
|
Category of
Shareholder |
|
No. of Shares |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
417140 |
0.52 |
|
|
59071553 |
73.00 |
|
|
764753 |
0.95 |
|
|
764753 |
0.95 |
|
|
60253446 |
74.46 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
60253446 |
74.46 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
1676503 |
2.07 |
|
|
3828 |
0.00 |
|
|
153022 |
0.19 |
|
|
1833353 |
2.27 |
|
|
|
|
|
|
6644669 |
8.21 |
|
|
|
|
|
|
4831803 |
5.97 |
|
|
4908801 |
6.07 |
|
|
2443914 |
3.02 |
|
|
212878 |
0.26 |
|
|
229722 |
0.28 |
|
|
21485 |
0.03 |
|
|
1360886 |
1.68 |
|
|
618942 |
0.76 |
|
|
1 |
0.00 |
|
|
18829187 |
23.27 |
|
Total Public shareholding (B) |
20662540 |
25.54 |
|
Total (A)+(B) |
80915986 |
100.00 |
|
(C) Shares held by Custodians and against which Depository
Receipts have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
80915986 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Glass Containers for the Cosmetics and Perfumery, Pharmaceuticals and
Specialty Food and Beverages industries. |
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Products : |
Pharmaceuticals
|
PRODUCTION STATUS (As on 31.03.2011)
|
Particulars |
Installed Capacity |
Actual Production |
|
Glass Containers |
247675 MT |
3667.22 Million Pcs |
GENERAL INFORMATION
|
No. of Employees : |
3957 (Approximately) |
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Bankers : |
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Facilities : |
(Rs.
In Millions)
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Banking
Relations : |
-- |
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Auditors : |
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|
Name : |
Haribhakti and Company Chartered Accountants |
|
Address : |
18 Haribhakti
Colony, |
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Subsidiary Company
: |
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Associated
Companies : |
|
CAPITAL STRUCTURE
As on 31.03.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
82000000 |
Equity Shares |
Rs.10/- each |
Rs.820.000 Millions |
|
|
|
|
|
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
80923500 |
Equity Shares |
Rs.10/- each |
Rs.809.240
Millions |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
80915986 |
Equity Shares |
Rs.10/- each |
Rs.809.160
Millions |
|
|
|
|
|
Reconciliation of
shares outstanding at the beginning & at the end of Reporting Period:
|
Particular |
Equity Shares in Nos. |
|
Issued, Subscribed and paid-up shares |
|
|
Opening Balance |
80434736 |
|
Issued during the year |
481250 |
|
Closing Balance |
80915986 |
b. Terms and Rights
attached to equity shares:
The company has one class of equity shares having a par value of Rs. 10 per share. Each shareholder is eligible for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets after discharging all liabilities of the Company, in proportion to their shareholding.
c. Details of
shareholders holding more than 5% shares in the Company:
|
Particular |
Equity Shares in Nos. |
|
PEL Management Services Private Limited - Trustee of The Shri Hari Trust |
|
|
No of shares |
53033810 |
|
% Holding |
65.54% |
d. At the time of the Company’s Rights Issue of 62940500 equity shares of Rs. 10/- each for cash at a price of Rs. 30/- per share (including a share premium of Rs. 20/-) per equity share in 2009, entitlements relating to 488764 Rights shares were held in abeyance, of which 4,81,922 shares pertained to Overseas Corporate Bodies (OCB), which were held in abeyance pending requisite approval of the Reserve Bank of India (RBI).
Since then, one of the OCBs having Rights entitlement of 481250 equity shares, received the requisite RBI approval and the Company has during the year, allotted the said shares having received the full subscription amount. Consequently, the paid up share capital of the Company has increased to Rs. 809.160 millions comprising 8,09,15,986 shares of Rs. 10 each and security premium reserve stand increased by Rs. 9.630 millions.
As regards the other OCB having Rights entitlement of 672 shares, RBI has denied its approval for the same and consequently, no allotment shall be made in respect of these shares.
Consequent to the above, total Rights entitlements held in abeyance stands reduced from 4,88,764 shares to 6,842 shares.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
809.160 |
804.350 |
804.350 |
|
|
2] Share Application Money |
0.000 |
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
4031.340 |
3568.130 |
3209.470 |
|
|
4] (Accumulated Losses) |
0.000 |
0.000 |
0.000 |
|
|
NETWORTH |
4840.500 |
4372.480 |
4013.820 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
4748.390 |
4317.370 |
4461.410 |
|
|
2] Unsecured Loans |
2525.330 |
920.440 |
1244.200 |
|
|
TOTAL BORROWING |
7273.720 |
5237.810 |
5705.610 |
|
|
DEFERRED TAX LIABILITIES |
201.380 |
135.160 |
105.790 |
|
|
|
|
|
|
|
|
TOTAL |
12315.600 |
9745.450 |
9825.220 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
6557.200 |
6131.960 |
6218.880 |
|
|
Capital work-in-progress |
1513.640 |
394.500 |
140.180 |
|
|
|
|
|
|
|
|
INVESTMENT |
592.630 |
592.630 |
589.500 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
1393.200
|
1114.220 |
1035.690 |
|
|
Sundry Debtors |
3044.050
|
2581.430 |
2323.380 |
|
|
Cash & Bank Balances |
127.460
|
14.070 |
17.180 |
|
|
Other Current Assets |
268.200
|
174.990 |
0.000 |
|
|
Loans & Advances |
1128.390
|
1028.450 |
728.250 |
|
Total
Current Assets |
5961.300
|
4913.160 |
4104.500 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
924.430
|
733.560 |
745.570 |
|
|
Other Current Liabilities |
550.660
|
820.010 |
100.270 |
|
|
Provisions |
834.080
|
733.230 |
382.000 |
|
Total
Current Liabilities |
2309.170
|
2286.800 |
1227.840 |
|
|
Net Current Assets |
3652.130
|
2626.360 |
2876.660 |
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
12315.600 |
9745.450 |
9825.220 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
8547.960 |
7622.940 |
6521.680 |
|
|
|
Other Income |
198.720 |
113.940 |
291.040 |
|
|
|
TOTAL (A) |
8746.680 |
7736.880 |
6812.720 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
2015.940 |
|
|
|
|
|
Purchases of Traded Goods |
96.250 |
47.790 |
|
|
|
|
Changes in Inventories of Finished Goods, Work-in-Progress and Stock-in-Trade |
(204.680) |
(30.490) |
5268.210 |
|
|
|
Employee Benefits Expense |
912.820 |
808.240 |
|
|
|
|
Other Expenses |
3497.380 |
3034.860 |
|
|
|
|
TOTAL (B) |
6317.710 |
5627.990 |
5268.210 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
2428.970 |
2108.890 |
1544.510 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
575.070 |
448.170 |
610.260 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
1853.900 |
1660.720 |
934.250 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
773.430 |
740.070 |
723.790 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
1080.470 |
920.650 |
210.460 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
297.740 |
234.800 |
52.720 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
782.730 |
685.850 |
157.740 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
643.910 |
353.830 |
289.880 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed Dividend |
283.210 |
281.520 |
80.430 |
|
|
|
Corporate Dividend Tax |
45.940 |
45.660 |
13.360 |
|
|
|
Transfer to General Reserve |
78.270 |
68.590 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
1019.220 |
643.910 |
353.830 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of goods calculated on FOB basis |
4944.860 |
4102.040 |
3257.430 |
|
|
|
Technical Fees |
99.620 |
83.860 |
71.970 |
|
|
|
Dividend received from Piramal Glass Ceylon PLC |
66.380 |
0.000 |
0.000 |
|
|
TOTAL EARNINGS |
5110.860 |
4185.900 |
3329.40 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
346.300 |
297.480 |
469.890 |
|
|
|
Stores & Spares |
97.1500 |
0.000 |
0.000 |
|
|
|
Capital Goods |
801.500 |
407.050 |
115.260 |
|
|
TOTAL IMPORTS |
1244.95 |
704.530 |
585.150 |
|
|
|
|
|
|
|
|
|
|
Earnings Per Share
(Rs.) |
9.67 |
8.53 |
2.99 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2012 |
30.09.2012 |
31.12.2012 |
31.03.2013 |
|
|
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
|
Net Sales |
2395.700 |
2714.000 |
2569.400 |
2696.900 |
|
Total Expenditure |
1913.200 |
2324.800 |
2088.100 |
2395.100 |
|
PBIDT (Excl OI) |
482.500 |
389.200 |
481.300 |
301.800 |
|
Other Income |
72.900 |
0.000 |
0.000 |
0.000 |
|
Operating Profit |
555.400 |
389.200 |
481.300 |
301.800 |
|
Interest |
295.900 |
102.800 |
205.600 |
126.800 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
PBDT |
259.500 |
286.400 |
275.700 |
175.000 |
|
Depreciation |
218.800 |
239.500 |
236.500 |
239.200 |
|
Profit Before Tax |
40.700 |
46.900 |
39.200 |
(64.200) |
|
Tax |
15.100 |
25.200 |
4.200 |
(30.200) |
|
Provisions and Contingencies |
0.000 |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
25.600 |
21.700 |
35.000 |
(34.000) |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
0.000 |
|
Other Adjustment |
0.000 |
0.000 |
0.000 |
0.000 |
|
Net Profit |
25.600 |
21.700 |
35.000 |
(34.000) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2012 |
31.03.2011 |
31.03.2010 |
|
PAT / Total Income |
(%) |
8.95
|
8.86 |
2.31 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
12.64
|
12.08 |
3.22 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
8.63
|
8.34 |
2.03 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.22
|
0.21 |
0.05 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
1.50
|
1.20 |
1.42 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.58
|
2.15 |
3.34 |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info
Agents |
Available in Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact person |
No |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
---------------------- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
---------------------- |
|
22] |
Litigations that the firm / promoter involved in |
---------------------- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking account |
---------------------- |
|
26] |
Buyer visit details |
---------------------- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
No |
|
31] |
Date of Birth of Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
UNSECURED LOAN
Rs.
In Millions
|
Particular |
As
on 31.03.2012 |
As
on 31.03.2011 |
|
LONG TERM
BORROWINGS |
|
|
|
Rupee Term Loan from HDFC Bank (Payable in May-2012) |
0.000 |
500.000 |
|
Deferred Payment
Liabilities |
|
|
|
Sales Tax Deferment Loan (Unsecured Payable in 6 equal annual installments from 2011 to 2016) |
171.500 |
214.390 |
|
Deposits |
1.000 |
1.000 |
|
SHORT-TERM
BORROWINGS |
|
|
|
Rupee Term Loan from CITI Bank |
598.000 |
0.000 |
|
Rupee Term Loan from IDBI Bank |
0.000 |
200.000 |
|
Rupee Term Loan from HDFC Bank |
750.000 |
0.000 |
|
Rupee Term Loan from YES Bank |
250.000 |
0.000 |
|
Rupee Term Loan from DBS Bank |
750.000 |
0.000 |
|
Deposits |
4.830 |
5.050 |
|
Total |
2525.330 |
920.440 |
|
|
|
|
OPERATIONS REVIEW
As part of the long term strategy of the Company, they continue to focus on Cosmetics and Perfumery (C and P) segment. During the year, this segment grew by 17% from Rs.6026.000 Millions to Rs. 7052.000 Millions. The growth is being driven by new customers, new products developed and sold globally.
They renewed their focus on Specialty Food and Beverages (SF and B) Segment. During the year, this segment grew by 28% from Rs. 2740.000 Millions to Rs. 3503.000 Millions.
In the Pharmaceutical segment, they maintained their leadership position in the domestic market.
A detailed discussion of operations for the year ended 31st March, 2012 is given in the Management Discussion and Analysis section.
BUSINESS OVERVIEW:
Subject is a manufacturer of glass containers for the Cosmetics and Perfumery, Pharmaceuticals and Specialty Food and Beverage industries. PGL manufactures a wide range of glass bottles and jars, in sizes ranging from 2 ml to 2.5 liters. PGL has manufacturing facilities in India, USA and Sri Lanka.
GROWTH DRIVERS
Cosmetics and
Perfumery (C and P)
The Cosmetics and Perfumery Division of Piramal Glass caters to international marquee customers like LVMH, Yves Rocher, YSL, Coty, Unilever, Revlon, L’Oreal, P and G, Elizabeth Arden, Estee Lauder etc. apart from specialized localized manufacturers like Dumak LLC, Erkul Kozmetic, Compagnie De Diffussion, Niasi, Expak, Baralan International, Estico Limited, Revolline Limited. These customers use the glass bottles and jars for products like nail polish, make-up foundations, perfumes, skin care creams etc.
Traditionally, the C and P glass bottles market has been dominated by European players like SGD, Pochet, Gerresheimer, Heinz, Zignago, Bormiolli Rocco and Bormiolli Luigi. Most of these players have been in existence for more than a hundred years.
This industry is characterized by capital as well as manual intensity (although manufacturing is highly automated, operations like forming, sorting and decorations are skill based and manual intensive).
PGL is the youngest player in this segment. It entered into this segment in 2000 with foray into nail polish market, and later low mass perfumes. Within a few years of entering, PGL became a dominant player in the nail polish glass bottle market globally. Today PGL dominates this segment. It more than makes 1 out of every 2 nail polish bottles manufactured globally (PGL manufactured 1.85 billion pieces in FY12)
In 2007, after achieving leadership position in Nail Polish and Mass Perfume markets, under a long term strategy initiative, PGL entered the Premium Segment of C and P and today this segment is the prime focus of the company. In terms of capacity Piramal Glass has the second largest installed capacity globally (545 TPD) and currently enjoys a global market share of ~ 6% (sales of Rs. 7052.000 Millions). Investment in capacities, leveraging skills from their USA operations, leveraging skills of technical experts from Europe coupled with focus on world class business processes through Manufacturing Excellence initiative has helped PGL to attain this position
PGL, is the fastest growing player in this segment, with a growth of 18.4% CAGR (5 years) compared to market growth of 3-5% globally. The greenfield project coupled with relining furnaces in C and P will help in catering to the growing demand and moving a step closer to the vision of “Top 3 flacconage manufacturers in the world” (greenfield project of 160 TPD in Jambusar and capacity up-gradation of existing furnaces for Premium as well as converting 75 TPD from Pharma into C and P)
The drivers, for growth of PGL have been increased cost consciousness among western customers coupled with boom in consumption of C and P in emerging economies due to growing young population, higher percentage of working women and increasing disposable income, resulting in a spurt in C and P sales in emerging economies, particularly the BRIC countries (Brazil, Russia, India and China), Middle East and Turkey (where mass market manufacturing is concentrated)
These factors have resulted in PGL getting recognized as a respectable glass manufacturer from Asia, as an alternate supplier. Successful execution of initial projects by PGL has helped PGL in gradually winning a higher percentage of the share of wallet from existing customers – which is the main area of future effort and focus, as most of the leading perfumery companies are already their customers.
Looking back, they can say that they were newcomers when they started manufacturing nail polish in 2000. Since then, they have made rapid strides to become a leading nail polish player. This growth story is being replicated in the perfumery space. In short, PGL is poised to become a leading global supplier of C and P glass bottles in the world, and is already making rapid strides in that direction.
PHARMACEUTICAL:
The Pharmaceutical glass container division manufactures amber bottles, amber and flint vials for liquid oral formulations, injectibles, etc. Products manufactured conform to US, Indian and European pharmacopeia in Type I, Type II and Type III formulations. PGL is a leading supplier of glass containers to both multinational and Indian pharmaceutical companies like GlaxoSmithKline, Pfizer, Cipla, Abbott, Alembic, Ranbaxy, E-Merck, Aventis, Dabur , Himalaya drugs, Dr. Reddy’s Laboratories etc.
In FY-12, this segment continued to see competition in the form of replacement with PET especially in the Oral formulations and amber glass bottles in the range of 60 ml to 100 ml. PGL has focused on export markets, mainly USA, and currently 38% of PGL Pharmaceutical division comprises of exports.
The high-end Borosilicate Glass (or Type-I Glass) market has been an attractive growth segment for PGL, particularly for exports to USA as also “deemed exports” in India as more and more injectibles manufacturing facility in India receive US FDA approval.
SPECIALTY FOOD AND
BEVERAGES:
The Specialty Food and Beverages division provides bottles for wine, liquor and food which are often unique in design and decoration. This business is very freight intensive and hence localized. Subject is catering to this segment from Sri Lanka and USA. PGL has consciously grown in exports from Sri Lanka, earlier mainly to India, and today to Far East and Australia. In Sri Lanka the strategy has been to migrate to more and more premium customers. In USA, focus is on winning new customers and new brands in the Speciality Liquor segment.
Since the US acquisition, they have gradually been able to increase their sales in this segment through acquisition of new customers and retaining old ones. USA operations have edge over its European competitors due to lower freight. PGL caters to global customers like Diageo, Pernod Ricard, Cadbury Schweppes, UB Group, etc.
STRATEGY SUMMARY
- Continued focus on C and P segment and the growth in capacity and skill will help the company in growing both in Premium as well as Mass segment. The growth will also be fuelled by continued efforts to transition some of the C and P production from the USA facility to India
- Improvement in product mix and geography mix for Pharmaceutical segment
- In Sri Lanka and USA, focus on growth in Speciality bottles segment.
CONTINGENT
LIABILITIES
Rs. In Millions
|
Particular |
31.03.2012 |
31.03.2011 |
|
a) Disputed Liability |
|
|
|
–– Central Excise authorities |
9.040 |
4.910 |
|
–– Sales Tax Authorities |
0.000 |
0.430 |
|
–– Income Tax |
5.500 |
38.000 |
|
b) Counter Guarantees issued to others |
260.720 |
186.540 |
|
Counter guarantees issued to banks –– Counter guarantees given for working capital loan and overdraft facilities of US $ 50.50 million (PY US $ 25 million) granted to the wholly owned subsidiary in USA viz. Piramal Glass USA, Inc |
2569.440 |
1115.000 |
|
–– Counter guarantee given for insurance cover granted to the wholly owned subsidiary in USA viz. Piramal Glass USA, Inc |
81.410 |
0.000 |
|
–– Counter guarantees given for working capital loan of EURO 1.65 millions granted to the wholly owned subsidiary in Europe viz. Piramal Glass Europe SARL |
112.050 |
0.000 |
|
c) The Company has provided Corporate Guarantees and/or has given pari passu charge on the entire fixed assets (movable and immoveable) both present and future (except assets having exclusive charge) of the Company situated at Jambusar and Kosamba, for Term Loans aggregating to US $ 60 million granted to the wholly owned subsidiary in USA viz. Piramal Glass USA, Inc. |
476.320 |
1118.910 |
STANDALONE FINANCIAL
AUDITED RESULTS FOR THE YEAR ENDED MARCH 31, 2013
Rs. In Millions
|
Sr. No. |
Particulars |
3 months ended |
Year ended |
|
|
|
|
31-Mar-13 |
31-Dec-12 |
31-Mar-13 |
|
|
|
Audited |
Unaudited |
Audited |
|
1 |
Income from Operations |
|
|
|
|
(a) |
Net Sales / Income from Operations (Net of excise duty) |
2642.600 |
2535.700 |
10154.800 |
|
(b) |
Other Operating Income |
54.300 |
33.700 |
221.100 |
|
|
Total Income from
Operations (Net) |
2696.900 |
2569.400 |
10375.900 |
|
2 |
Expenses |
|
|
|
|
(a) |
Cost of materials consumed |
655.400 |
662.300 |
2580.000 |
|
(b) |
Purchase of stock-in-trade |
14.700 |
10.400 |
67.300 |
|
(c) |
Changes in inventories of finished Goods. work-in-progress and stock in trade |
(48.400) |
(160.200) |
(448.500) |
|
(d) |
Employee benefits expense |
343.400 |
308.400 |
1241.100 |
|
(e) |
Depreciation and Amortization expenses |
239.200 |
236.500 |
934.000 |
|
(f) |
Energy Cost |
599.000 |
632.900 |
2437.000 |
|
g) |
Freight Cost |
233.600 |
214.400 |
869.800 |
|
(h) |
Foreign Exchange (Gain) / Loss (Net) |
187.200 |
28.700 |
388.700 |
|
(i) |
Other Expenditure |
410.200 |
391.200 |
1512.800 |
|
|
Total Expenses |
2634.300 |
2324.600 |
9582.200 |
|
3 |
Profit / (Loss) from
Operations before Other Income, finance cost and Exceptional Items |
62.600 |
244.800 |
793.700 |
|
4 |
Other Income |
|
- |
. |
|
5 |
Profit/ (loss) from
ordinary activities before finance cost and Exceptional Items |
62.600 |
244.800 |
793.700 |
|
6 |
Finance Cost |
176.800 |
205.600 |
731.000 |
|
7 |
Profit/ (loss) from
ordinary activities after finance cost but before Exceptional Items |
(64.200) |
39.200 |
62.700 |
|
8 |
Exceptional Items |
- |
- |
|
|
9 |
Profit/ (Loss) from
Ordinary Activities before tax |
(64.200) |
39.200 |
62.700 |
|
10 |
Tax Expense |
(30.200) |
4.200 |
14.300 |
|
11 |
Net Profit/ (Loss)
from Ordinary Activities after tax |
(34.000) |
35.000 |
48.400 |
|
12 |
Extraordinary Item (net of tax expenses Rs NIL ) |
-- |
-- |
- |
|
13 |
Net Profit/ (Loss)
for the period |
(34.000) |
35.000 |
48.400 |
|
14 |
Share of profit / (loss) of associates |
|
|
|
|
15 |
Minority Interest |
- |
- |
- |
|
16 |
Net Profit/ (Loss) after taxes, minority interest and share of profit / loss of associates |
(34.000) |
35.000 |
48.400 |
|
17 |
Paid-up equity share capital (Face Value Rs.10/- each) |
809.200 |
809.200 |
809.200 |
|
18 |
Reserve excluding Revaluation Reserves as per balance sheet of previous accounting year |
4079.800 |
4214.400 |
4079.800 |
|
19. i |
Earning per Share
(before extraordinary items) |
|
|
|
|
a |
Basic |
(0.42) |
0.43 |
0.60 |
|
b |
Basic and Diluted |
(0.42) |
0.43 |
0.60 |
|
19. ii |
Earning per Share
(after extraordinary items) |
|
|
|
|
a |
Basic |
(0.42) |
0.43 |
0.60 |
|
b |
Basic and Diluted |
(0.42) |
0.43 |
0.60 |
|
|
|
|
|
|
|
A |
A. PARTICULARS OF
SHAREHOLDING |
|
|
|
|
1 |
Public shareholding |
|
|
|
|
|
Number of shares |
20.662.540 |
22.932.793 |
20,662.540 |
|
|
Percentage of shareholding |
25.54% |
28.34% |
25.54% |
|
2 |
Promoter and
Promoter Group Shareholding |
|
|
|
|
|
a) Pledged/
Encumbered |
|
|
|
|
|
Number of shares |
- |
- |
- |
|
|
Percentage of shares (% of shareholding of promoters and promoter group) |
- |
- |
- |
|
|
Percentage of shares (% of total share capital of the Company) |
- |
- |
- |
|
|
b) Non encumbered |
|
|
|
|
|
Number of shares |
60.253,446 |
57.983.193 |
60,253.446 |
|
|
Percentage of shares (% of shareholding of promoters and promoter group) |
100.00% |
100.00% |
100.00% |
|
|
Percentage of shares (% of total share capital of the Company) |
74.46% |
71.66% |
74.46% |
|
|
|
|
|
|
|
B |
B. INVESTOR
COMPLAINTS |
|
|
|
|
|
Pending at the beginning of the quarter |
Nil |
|
|
|
|
Received during the quarter |
3 |
|
|
|
|
Disposed of during the quarter |
3 |
|
|
|
|
Remaining unresolved at the end of the Quarter |
Nil |
|
|
STANDALONE STATEMENT OF
ASSETS AND LIABILITIES
Rs. In Millions
|
Particulars |
As at year end 31-Mar-13 |
|
EQUITY AND
LIABILITIES |
|
|
SHAREHOLDER'S FUNDS |
|
|
Share Capital |
809.200 |
|
Reserve 8 Surplus |
4079.800 |
|
Money received
against Share Warrants |
|
|
SHARE APPLICATION
MONEY PENDING ALLOTMENT |
|
|
MINORITY INTEREST |
|
|
NON-CURRENT
LIABILITIES |
|
|
Long-term borrowings |
2796.100 |
|
Deferred tax liabilities (Net) |
172.700 |
|
Other long-term liabilities |
0.000 |
|
Long-term provisions |
0.000 |
|
Sub Total - Non
Current Liabilities |
2968.800 |
|
|
|
|
CURRENT LIABILITIES |
|
|
Short-term borrowings |
4866.100 |
|
Trade payables |
1055.200 |
|
Other current liabilities |
861.200 |
|
Short-term provisions |
769.400 |
|
Sub Total - Current
Liabilities |
7551.900 |
|
|
|
|
TOTAL - EQUITY AND
LIABILITIES |
15409.700 |
|
|
|
|
ASSETS |
|
|
Non-current assets |
|
|
Fixed assets |
7942.400 |
|
Goodwill on consolidation |
|
|
Non-current investments |
592.600 |
|
Deferred tax assets (net) |
|
|
Long-term Loans and advances |
78.200 |
|
Other non-current assets |
95.600 |
|
Sub Total -
Non-Current assets |
8708.800 |
|
Current assets |
|
|
Current Investments |
|
|
Inventories |
1918.500 |
|
Trade receivables |
3607.400 |
|
Cash and Cash Equivalents |
145.500 |
|
Short-term loans and advances |
885.600 |
|
Other current assets |
143.900 |
|
Sub Total - Current
assets |
6700.900 |
|
|
|
|
TOTAL - ASSETS |
15409.700 |
Notes:
1) The results for the year ended March 31, 2013, which have been audited by the Statutory Auditors of the Company, have been reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on April 30, 2013.
2) The activity of the company falls under one segment i.e. Manufacturing of Glass Containers. Accordingly there are no separate reportable segments as per Accounting Standard 17 on "Segment Reporting" issued by ICAI.
3) A Dividend of Rs 1.00 per share (10% of the face value of Rs 10/- each) has been recommended by the Board of Directors which is subject to approval of shareholders.
4) The figures for the last quarter are balancing figures between the audited figures in respect of the full financial year and the published year to date figures upto the third quarter of the current financial year.
5) Figures of the previous year / period are regrouped wherever necessary.
FIXED ASSETS:
- Building
- Plant and Machinery
- Furniture and Fixtures
- Office Equipments
- Vehicles
AS PER WEBSITE
PRESS RELEASE:
PIRAMAL GLASS CONSISTENT PERFORMANCE IN FY2012
FY12 PAT AT RS.1085.000 MILLIONS
Sales up by 13%
reaching to Rs. 13778.000 Millions and EBITDA margin at 24.2%
Board declared a
dividend of Rs. 3.5 per equity share (35%) for FY2012
Mumbai, May 7, 2012: Piramal Glass Limited (PGL), a leading global manufacturer of glass containers for Cosmetics and Perfumery (C and P), Specialty Food and Beverages (SF and B) and Pharmaceutical industry, has recorded a consolidated sales growth of 13% to Rs.13778.000 Millions in FY12 from Rs. 12185.000 Millions for the same period last year. Operating EBIDTA was at Rs. 3337.000 Millions and Profit after Tax of Rs.1085.000 Millions.
For Q4 March 2012, consolidated sales increased by 21% to Rs.3975.000 Millions as compared to Rs. 3289.000 Millions in the same quarter last year.
On a consolidated basis, the Company’s Operating EBIDTA margin was at 23.9% to Rs. 950.000 Millions and consolidated Profit after Tax was Rs. 266.000 Millions for the quarter ended March 2012.
Commenting on the performance Mr. Ajay Piramal, Chairman, Piramal Group, said, “We are glad that the various divisions have maintained a steady growth rate. The international business has also grown as expected. The Board has declared a dividend of 35% (Rs. 3.5 per share).”
Commenting on the Company’s performance and future growth strategies, Mr. Vijay Shah, Director, Piramal Glass Limited, said, “We have witnessed a steady growth in sales in FY12 for Cosmetics and Perfumery and Speciality Food and Beverage and have maintained an overall growth of 13%. We continue to focus on the premium segment which has seen a growth of 33% in FY2012.”
PIRAMAL GLASS' SRI
LANKA SUBSIDIARY TO SELL PART OF ITS LAND
Apr 26, 2013,
Piramal Glass subsidiary in Sri Lanka, Piramal Glass Ceylon PLC has on April 26, 2013 agreed to sell part of its Land at Rathmalana for a consideration of Sri Lankan Rs.355.000 millions (equivalent to Rs 151.690 Millions approximately). The final sale transaction is likely to be completed on or before June 30, 2013.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other financial
stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.55.62 |
|
|
1 |
Rs.84.18 |
|
Euro |
1 |
Rs.71.96 |
INFORMATION DETAILS
|
Report Prepared
by : |
NTH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
54 |
This score serves as a reference to assess
SC’s credit risk and to set the amount of credit to be extended. It is
calculated from a composite of weighted scores obtained from each of the major
sections of this report. The assessed factors and their relative weights (as
indicated through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
- |
NB |
New Business |
- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.