MIRA INFORM REPORT
|
Report Date : |
02.10.2013 |
IDENTIFICATION DETAILS
|
Name : |
BHANSALI ENGINEERING POLYMERS LIMITED |
|
|
|
|
Registered Office : |
Bhansali House, 5-A, Veera Desai Road Andheri (W), Mumbai – 400053,
Maharashtra. |
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Country : |
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|
Financials (as on) : |
31.03.2013 |
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Date of Incorporation : |
09.04.1984 |
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Com. Reg. No.: |
11-032637 |
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Capital
Investment / Paid-up Capital : |
Rs. 165.906
Millions |
|
|
|
|
CIN No.: [Company
Identification No.] |
L27100MH1984PLC032637 |
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|
|
|
Legal Form : |
Public limited liability company. Company’s Shares are listed on Stock
Exchange. |
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|
|
Line of Business : |
The company is engaged in manufacturing of ABS and SAN resins which is
classified under the category of Highly Specialized Engineering
Thermoplastics. |
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|
|
|
No. of Employees : |
490 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
B (30) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 8028000 |
|
|
|
|
Status : |
Moderate |
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having a moderate track record.
Profit margin of a company appears to be low. However, trade relations are reported as fair. Business is active.
Payments are reported to be slow but correct. The company can be considered
for business dealings with some caution. |
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 – March 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
We are living in a
world where volatility and uncertainty have become the New Normal. We saw
a change of government in countries like Tunisia, Egypt, Libya and Vietnam.
Once powerful countries in Europe are now fighting for bankruptcy. We have
taken growth in the developing part of the world for granted but economic
growth in China and India has begun to slow. Companies that were synonymous
with their product categories just a few years ago are now no longer in
existence. Kodak, the inventor of the digital camera had to wind up its
operations, HMV, the British entertainment retailing company and Borders, once
the second largest bookstore have shut down due to their inability to evolve
their business models with the changing time. Readers’ Digest, Thomson Register
are no more !
There is another
megatrend happening. The World order is changing as economic power shifts from
West to East. According to McKinsey study, it took Britain more than 100 years
to double its economic output per person during its industrial revolution and
the US later took more than 50 years to do the same. More than a century later,
China and India have doubled their GDP per capital in 12 and 18 years respectively.
By 2020, emerging Asia will become the world’s largest consuming block,
overtaking North America.
The years after the
outbreak of the global financial crisis, the world economy continues to remain fragile.
The Indian economy demonstrated remarkable resilience in the initial years of
the contagion but finally lost ground last year. GDP growth slowed down.
Currency has been weakening. There is a marked deceleration in agriculture,
industry and services. Dampening sentiment led to a cut-back in investment as
well as private consumption expenditure. Inflation remained at high
levels fuelled by the pressure from the food and fuel sectors. The large fiscal
and current account deficit s continued to cause grave concern. It is
imperative that India regains its growth trajectory of 8-9 % sooner than later.
This is crucially important given the need to create gainful livelihood
opportunities for the millions living in poverty as also the large contingent
of young people joining the job market every year.
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 : |
Bhansali House, A-5, Veera Desai Road, Andheri (West), Mumbai-400053,
Maharashtra, India |
|
Tel. No.: |
91-22-26731779-85 |
|
Fax No.: |
91-22-26731796 |
|
E-Mail : |
|
|
Website : |
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|
|
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|
Factory 1 : |
Bhansali Nagar, Taluka Sausar, District Chhindwara-480108, Madhya
Pradesh, India |
|
Tel No.: |
91-7165-226376/79 |
|
Fax No.: |
91-7165-226381 |
|
Email : |
|
|
|
|
|
Factory 2 : |
Plot No. SP-138-143, Ambaji Industrial Area, Abu Road-307026,
Rajasthan, India |
|
Tel No.: |
91-2974-226781/82/83/84/84 / 226862 / 226213 |
|
Fax No.: |
91-2974-226737 |
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|
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Marketing Offices: |
Located At :
|
DIRECTORS
AS ON 31.03.2013
|
Name : |
Mr. Munish C Gupta |
|
Designation : |
Chairman |
|
Address : |
House No-771, Sector -15, Part-11, Gurgaon-122001, |
|
Date of Birth/Age : |
23.07.1938 |
|
Date of Appointment : |
30.09.2002 |
|
|
|
|
Name : |
Mr. Babulal M Bhansali |
|
Designation : |
Managing Director |
|
Address : |
Plot No.22, Bhansali House JVPD Scheme, |
|
Date of Birth/Age : |
05.03.1954 |
|
Date of Appointment : |
08.09.1984 |
|
|
|
|
Name : |
Mr. Jayesh B Bhansali |
|
Designation : |
Executive Director |
|
Address : |
Plot No.22, Bhansali House JVPD Scheme, |
|
Date of Birth/Age : |
25.07.1983 |
|
Date of Appointment : |
24.06.2006 |
|
|
|
|
Name : |
Mr. Pukhraj R Bhansali |
|
Designation : |
Director |
|
Address : |
Bhansali House, A-5, |
|
Date of Birth/Age : |
12.11.1946 |
|
Date of Appointment : |
07.02.1986 |
|
|
|
|
Name : |
Mr. Bakhtiar S Bhesania |
|
Designation : |
Director |
|
Address : |
|
|
Date of Birth/Age : |
03.11.1933 |
|
Date of Appointment : |
26.07.2003 |
KEY EXECUTIVES
|
Name : |
Mr. Hitarth Vasavada |
|
Designation : |
Vice President (Marketing) |
|
|
|
|
Name : |
Mr. D.N. Mishra |
|
Designation : |
Company Secretary and AVP (Legal) |
|
|
|
|
Name : |
Mr. Kenji Asakawa |
|
Designation : |
Executive Director (Technical) |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.06.2013
|
Category of Shareholder |
No. of Shares |
% of No. of Shares |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
28382063 |
17.11 |
|
|
50566552 |
30.48 |
|
|
3856540 |
2.32 |
|
|
3856540 |
2.32 |
|
|
82805155 |
49.91 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
|
|
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
6500 |
0.00 |
|
|
38500 |
0.02 |
|
|
45000 |
0.03 |
|
|
|
|
|
|
58242047 |
35.11 |
|
|
|
|
|
|
13514247 |
8.15 |
|
|
8652888 |
5.22 |
|
|
2646303 |
1.60 |
|
|
68748 |
0.04 |
|
|
40799 |
0.02 |
|
|
16749 |
0.01 |
|
|
709866 |
0.43 |
|
|
18086641 |
1.09 |
|
|
1500 |
0.00 |
|
|
83055485 |
50.06 |
|
Total Public shareholding (B) |
83100485 |
50.09 |
|
Total (A)+(B) |
165905640 |
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) |
165905640 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
The company is engaged in manufacturing of ABS and SAN resins which is
classified under the category of Highly Specialized Engineering
Thermoplastics. |
||||||||
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||||||||
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Products : |
|
PRODUCTION STATUS [AS ON 31.03.2013]
INSTALLED CAPACITY:
|
Financial Year /
Period |
Installed Capacity (12 months Basis) |
|
|
(TPA) |
|
2003-04 (15 Months) |
48000 |
|
2004-05 (9 Months) |
48000 |
|
2005-06 (12 Months) |
48000 |
|
2006-7 (12 Months) |
48000 |
|
2007-08(12 Months) |
48000 |
|
2008-09(12 Months) |
48000 |
|
2009-10 (12 Months) |
48000 |
|
2010-11 (12 Months) |
51000 |
|
2011-12(12 Months) |
51000 |
|
2012-13(12 Months) |
51000 |
GENERAL INFORMATION
|
No. of Employees : |
490 (Approximately) |
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Bankers : |
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Facilities : |
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Banking
Relations : |
-- |
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|
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Auditors : |
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|
Name : |
B. L. Dasharda and Associates Chartered Accountant |
|
Address : |
2, Shreyas, Ground Floor, |
|
PAN No.: |
AAAFB2781M |
CAPITAL STRUCTURE
AS ON 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
200000000 |
Equity Shares |
Rs.1/- each |
Rs. 200.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
165905640 |
Equity Shares |
Rs.1/- each |
Rs. 165.906
Millions |
|
|
|
|
|
Terms / rights
attached to Equity Shares
The company has
only one class of equity shares having a par value of Rs 1/- per share. Each equity
shareholder is entitled to one vote per share. The company declares and pays
dividend in Indian rupees. The dividend proposed by the Board of Directors is
subject to the approval of the shareholders in the ensuing Annual General
Meeting. During the year ended 31st March, 2013 the amount of dividend, per
share, recognised as distribution to equity shareholders is Re 0.10/- per share
(year ended 31st March, 2012 Rs 0.10/- per share)
Details of
shareholders holding more than 5% shares in the Company.
Equity Shares of `
1/- each fully paid up.
|
Name |
31st March, 2013 |
31st March, 2013 |
||
|
Nos. |
% Holding |
Nos. |
% Holding |
|
|
B.M. Bhansali |
15,722,848 |
9.48% |
15,475,490 |
9.33% |
|
Bhansali
International Private Limited |
13,333,500 |
8.04% |
13,333,500 |
8.04% |
|
Sheraton
Properties & Finance Limited |
11,709,000 |
7.06% |
11,709,000 |
7.06% |
|
Bentley
Commercial Enterprises Limited |
8,708,043 |
5.25% |
8,708,043 |
5.25% |
|
MKJ Enterprises
Limited |
8,883,152 |
5.35% |
7,857,152 |
4.74% |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
165.906 |
165.906 |
165.906 |
|
(b) Reserves & Surplus |
1841.323 |
1944.791 |
2050.614 |
|
(c) Money
received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending
allotment |
0.000 |
0.000 |
0.000 |
|
Total Shareholders’
Funds (1) + (2) |
2007.229 |
2110.697 |
2216.520 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
41.791 |
58.430 |
8.100 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term
provisions |
24.795 |
22.129 |
19.175 |
|
Total Non-current
Liabilities (3) |
66.586 |
80.559 |
27.275 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
255.858 |
501.533 |
550.535 |
|
(b) Trade
payables |
1340.535 |
1132.715 |
1352.813 |
|
(c) Other
current liabilities |
47.210 |
49.137 |
81.893 |
|
(d) Short-term
provisions |
23.574 |
24.741 |
21.985 |
|
Total Current
Liabilities (4) |
1667.177 |
1708.126 |
2007.226 |
|
|
|
|
|
|
TOTAL |
3740.992 |
3899.382 |
4251.021 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
1425.795 |
1554.115 |
1655.282 |
|
(ii)
Intangible Assets |
1.043 |
1.485 |
0.000 |
|
(iii)
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
0.000 |
0.000 |
0.000 |
|
(c) Deferred tax assets (net) |
17.041 |
2.771 |
5.471 |
|
(d) Long-term Loan and Advances |
16.955 |
18.535 |
14.157 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
1460.834 |
1576.906 |
1674.910 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
|
|
|
|
(b)
Inventories |
606.140 |
387.663 |
419.022 |
|
(c) Trade
receivables |
1287.391 |
1561.703 |
1860.632 |
|
(d) Cash
and cash equivalents |
104.133 |
77.512 |
135.668 |
|
(e)
Short-term loans and advances |
281.890 |
252.941 |
155.430 |
|
(f) Other
current assets |
0.604 |
42.657 |
5.359 |
|
Total
Current Assets |
2280.158 |
2322.476 |
2576.111 |
|
|
|
|
|
|
TOTAL |
3740.992 |
3899.382 |
4251.021 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
4189.184 |
4144.005 |
4639.162 |
|
|
|
Other Income |
9.177 |
7.009 |
36.660 |
|
|
|
TOTAL (A) |
4198.361 |
4151.014 |
4675.822 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Material Consumed |
3540.404 |
3438.613 |
3537.356 |
|
|
|
Purchase of Stock In Trade |
0.000 |
0.000 |
23.998 |
|
|
|
Changes in inventories of Finished goods, work in progress and stock
in trade |
(74.575) |
(45.976) |
96.518 |
|
|
|
Employee benefits expenses |
159.159 |
130.216 |
130.549 |
|
|
|
Other Expenses |
414.991 |
418.851 |
292.802 |
|
|
|
TOTAL (B) |
4039.979 |
3941.704 |
4081.223 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
158.382 |
209.310 |
594.599 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
112.573 |
134.280 |
140.327 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
45.809 |
75.030 |
454.272 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
43.642 |
57.029 |
60.510 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
2.167 |
18.001 |
393.762 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(9.687) |
7.118 |
59.665 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
11.854 |
10.883 |
334.097 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
181.183 |
69.688 |
89.017 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
3540.404 |
3438.613 |
3561.354 |
|
|
|
Stores & Spares |
20.548 |
18.722 |
20.890 |
|
|
TOTAL IMPORTS |
3560.952 |
3457.335 |
3582.244 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
0.07 |
0.07 |
2.01 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2013 |
|
|
1st
Quarter |
|
Net Sales |
1166.100 |
|
Total Expenditure |
1128.300 |
|
PBIDT (Excl OI) |
37.700 |
|
Other Income |
1.700 |
|
Operating Profit |
39.500 |
|
Interest |
16.700 |
|
Exceptional Items |
0.000 |
|
PBDT |
22.800 |
|
Depreciation |
10.600 |
|
Profit Before Tax |
12.100 |
|
Tax |
0.000 |
|
Provisions and contingencies |
0.000 |
|
Profit After Tax |
12.100 |
|
Extraordinary Items |
0.000 |
|
Prior Period Expenses |
0.000 |
|
Other Adjustments |
0.000 |
|
Net Profit |
12.100 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
0.28
|
0.26 |
7.14 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
0.05
|
0.43 |
8.48 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
0.05
|
0.46 |
9.27 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.00
|
0.00 |
0.17 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.14
|
0.26 |
0.25 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.36
|
1.35 |
1.28 |
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 |
No |
|
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 |
Yes |
|
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 |
No |
CORPORATE
INFORMATION
Bhansali
Engineering Polymers Limited is a Public Listed company registered in India,
incorporated under the
provisions of the Companies
Act,1956 and its shares are listed with NSE and BSE.
The company is
engaged in manufacturing of ABS and SAN resins which is classified under the
category of Highly Specialized Engineering Thermoplastics. The manufacturing
facility of the company is located at Abu Road, Rajasthan and Satnoor in Madhya
Pradesh.
OPERATIONS AND FUTURE PLAN:
OPERATIONS:
During the year,
the performance of the company was severely affected by two major factors viz. High
Input Cost of Raw Material and upsurge in the Dollar exchange rates against
rupee. Moreover Styrene Monomer which is a major raw material continues to be
imported as there is no indigenous manufacturer so far. Price of Styrene
monomer wildly fluctuated in the year. Despite prudent procurement policy
pursued by the management, the cost could not be controlled nor the sales price
increase could fully absorb the same. Foreign Exchange loss during the year was
lower at Rs. 125.200 Millions against Rs. 130.600 Millions in the previous
year. This was despite the fact that foreign exchange out - flow per unit
volume increased by around 14% but due to relatively lower volume of import,
loss could be pegged at the aforesaid level. In the wake of such formidable challenge,
due to pragmatic business policy, it was possible to arrest the substantial
erosion of contribution which declined marginally by Rs. 1.06 per Kg.
Furthermore, due to prudent financial planning and stringent cost control
measures adopted by your company, decrease in overall financial cost by around
16.00 % when compared to previous year, was possible.
FUTURE PLAN:
Although the
company had already formulated three years back the expansion plan for
augmenting its production capacity from existing 51 KTPA to 125KTPA, this could
not be implemented due to uncertain business environment. To survive in
competition against the competitor, a MNC Company, engaged in domestic market,
for manufacturing and marketing of ABS with large resource base and enjoying
high brand equity for their products, is no less an achievement for the
company. Last two years financial results vindicate this phenomenal, hence
earnings in the Financial Years 2011-2012 and 2012-2013 was relatively lower in
comparison to F.Y. 2010-2011. The company is relentlessly endeavoring to
formulate appropriate business strategy to combat this adverse situation.
Hopefully, it will succeed in finding appropriate solution in the F.Y.
2013-2014 so as to embark upon the capacity expansion plan and optimize earning
level.
MANAGEMENT
DISCUSSION AND ANALYSIS REPORT:
Pursuant to
provisions of clause 49 of the Listing Agreement, Management Discussion and
Analysis Report covering performance and outlook of company is stated here in
below:
ECONOMIC OUTLOOK :
The macro economic
scenario though did not dampen the ABS consumption in India in a significant
way, nevertheless weakening of rupee against dollar had a major impact in
company’s performance. This is due to the fact that 60% of the main raw
material being Styrene Polymer is imported and its cost of procurement severely
affected the fortunes of the company during F.Y. 2012-2013. Despite prudent
procurement policy, the raw material cost registered an increase of around 21%
and such increase could not be passed on fully to the customers by increasing
sales price.
IDUSTRY STRUCTURE
AND DEVELOPENT :
ABS consumption in
India has grown from 12362 TPA during 1992-93 to about 140000 TPA during F. Y.
2012-2013 depicting compounded annual growth rate (CAGR) of about 12.25%. The
current year scenario is somewhat sluggish due to decline in sales of
automobile and consumer durables. Notwithstanding this, the consumption of ABS
is likely to hover around 150000 TPA (7.14%). However, on medium to long term
basis with better fiscal consolidation and reduction in Current Account Deficit
(CAD) through effective policy prescription by Union Government and Reserve
Bank of India (RBI), Indian economy is likely to return to the path of GDP
growth rate of around 8%. This will significantly boost consumption of consumer
durables and lifestyle goods viz. Home Appliances, Telecommunication,
Automobiles, Electrical goods and Luggage etc., consequent whereupon ABS
consumption is likely to grow at around 15% CAGR during 12th Plan period.
Demand Supply
disbalance presents growth opportunity to the ABS manufacturers in India. There
being only two
companies engaged
in ABS manufacturing, both should reap benefits due to surge in demand and also
on account of import substitution. Moreover, India with strong macro economic
fundamentals has been able to maintain high GDP growth rate during 10th and
11th plan period barring last two years when fiscal and current account deficit
(CAD) have been presenting a sluggish picture. Due to several initiatives taken
by Union Government and Reserve Bank of India, Indian economy will rebounce to
return to the trajectory of high GDP growth rate in due course. BEPL can deeply
penetrate into automobile market for supply of various ABS, AES and ASA
components as it has entered into a Joint Venture Agreement on 11th May, 2013
with Nippon A&L, INC, Japan (jointly owned by the globally renowned giants
M/s Sumitomo Chemicals Company Limited. and Mitsui Chemicals Inc). This will
enable BEPL to obtain technology, brands and licenses of numerous specialized
grades of ABS, AES and ASA resins and their respective alloys with other
polymers. Nippon A&L, INC, Japan mainly focuses on polymerization of
styrenics and enjoys high reputation in the field of manufacturing and
marketing of specialized grades of ABS, AES and ASA resins and their respective
alloys to the automotive and electrical appliances industries.
Considering the
growth trajectory of automotive industry in India which in time to come, will
become a global hub and the revolution taking place in telecommunication
Industry, exponential growth in demand of aforesaid specialized products is
expected in 12th Plan period.
The product
development and marketing strategy of Nippon A&L, Inc focuses on automotive
sector. The JV company between BEPL and Nippon A&L will be concentrating on
deepening market penetration in this segment by effectively positioning the
License Products of Nippon A&L, Inc viz. Kralastic, Techniace and Unibrite.
Due to the aforesaid
phenomenon Bhansali Engineering Polymers Limited will be in a position to sell
its products at price parity with its sole domestic competitor which will
result in optimizing profit and contribute towards import substitution
significantly.
SESMENT WISE PERFORMANCE
:
The company
operates into only one business segment of products comprised of ABS and SAN
Polymers. During the Fiscal 2012-13, the total sales of ABS resins amounted to
Rs.3989.500 Millions are as against Rs. 4014.200 Millions during last fiscal
and the sale of SAN Resins amounted to Rs. 567.400 Millions as against Rs.
550.900 Millions in last fiscal.
UNSECURED LOANS
|
Particulars |
Rs.
In Millions 31.03.2013 |
Rs.
In Millions 31.03.2012 |
|
LONG TERM
BORROWINGS |
|
|
|
From Corporate Bodies |
40.000 |
50.000 |
|
NOTE : Vehicle loans
are secured by hypothecation and average term ranges from 3-6 years. |
|
|
|
TOTAL |
40.000 |
50.000 |
VIEW INDEX OF
CHARGES
|
S.No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
90243687 |
31/07/2013 * |
2,100,000,000.00 |
ALLAHABAD BANK |
Industrial Finance Branch, 2ND FLOOR,
Allahabad, |
B82769738 |
STANDALONE UNAUDITED
FINANCIAL RESULTS (REVIEWED) FOR THE QUARTER AND SIX MONTH ENDED 30TH
JUNE, 2013
Rs. in Millions
|
Sr. No. |
Particular |
|
|
|
|
30.06.2013 (Reviewed) |
|
|
|
|
|
1. |
Net Sales/Income from Operations |
1166.045 |
|
|
|
|
|
2. |
Expenditure |
|
|
|
Increase
/ decrease in stock in trade |
13.105 |
|
|
Consumption
of raw materials |
1001.301 |
|
|
Employee
benefits expenses |
41.643 |
|
|
Power
and fuel |
47.364 |
|
|
Depreciation
and amortization expenses |
10.623 |
|
|
Other
expenses |
24.918 |
|
|
Total Expenses |
1138.954 |
|
|
|
|
|
3. |
Profit
From Operations before Other Income, Interest and Exceptional Items (1-2) |
27.091 |
|
|
|
|
|
4. |
Other
Income |
1.728 |
|
|
|
|
|
5. |
Profit
Before Interest and Exceptional Items (3+4) |
28.819 |
|
|
|
|
|
6. |
Financial
Costs |
16.681 |
|
|
|
|
|
7. |
Profit
After Interest but before Exceptional Items (5-6) |
12.138 |
|
|
|
|
|
8. |
Exceptional
Items |
-- |
|
|
|
|
|
9. |
Profit
from Ordinary Activities before Tax (7+8) |
12.138 |
|
|
|
|
|
10. |
Provision
for taxation |
-- |
|
|
|
|
|
11. |
Net
Profit from Ordinary Activities after Tax (9-10) |
12.138 |
|
|
|
|
|
12. |
Paid-up
Equity Share Capital (Face Value of Re.1/- Each) |
165.906 |
|
|
|
|
|
13. |
Reserves
Excluding Revaluation Reserve |
-- |
|
|
|
|
|
14. |
Basic and Diluted Earning Per
Share (EPS) (Rs. 1)-Not Annualised |
|
|
|
a) Basic
and diluted EPS before extraordinary items |
0.007 |
|
|
b)
Basic and diluted EPS after extraordinary items |
0.007 |
|
|
|
|
|
15. |
Public Shareholding |
|
|
|
-Number
of Shares |
83100485 |
|
|
-
Percentage of Shareholding |
50.09% |
|
|
|
|
|
19. |
Promoters and Promoter Group
Shareholding |
|
|
|
a) Pledged/Encumbered |
|
|
|
-
Number of Shares |
50000000 |
|
|
-
Percentage of Shares (as a % of the Total Shareholding of promoter and
promoter group) |
60.38% |
|
|
- Percentage
of Shares (as a % of the Total Share Capital of the Company) |
30.14% |
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
-
Number of Shares |
32805155 |
|
|
-
Percentage of Shares (as a % of the Total Shareholding of Promoter and
Promoter Group) |
39.62% |
|
|
-
Percentage of Shares (as a % of the Total Share Capital of the Company) |
19.77% |
|
Particulars |
3 Months Ended 30.06.2013 |
|
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 |
NOTES:
- The company
operates in single segment only.
- Figures for
the previous year / quarter have been re-grouped and/or re-arranged
wherever necessary.
- Provision for
current tax and deferred tax, will be made at the year end.
- The auditors
of the company have carried out a “Limited Review” of the financial
results for the quarter ended 30th June, 2013 in terms of
Clause 41 of the listing agreement with stock exchanges.
- Due to
appreciation of the dollar against the rupee the company has suffered
forex losses of Rs. 353.01 Lacs for the Quarter ended 30th
June, 2013.
- The above
results were reviewed by the Audit Committee and approved by the Board of
Directors at their meeting hold on 31st July, 2013
FIXED ASSETS
- Land
- Building
- Plant and
Machinery
- Furniture and
Fixture
- Office
Equipments
- Vehicles
- Computer
Software and licenses
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 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. 62.77 |
|
UK Pound |
1 |
Rs. 101.41 |
|
Euro |
1 |
Rs. 84.67 |
INFORMATION DETAILS
|
Report Prepared
by : |
SWN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
3 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
3 |
|
--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 |
NO |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
30 |
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.