MIRA INFORM REPORT
|
Report Date : |
02.10.2013 |
IDENTIFICATION DETAILS
|
Name : |
SANOFI INDIA LIMITED (w.e.f. 11.05.2012) |
|
|
|
|
Formerly Known
As : |
AVENTIS PHARMA LIMITED |
|
|
|
|
Registered Office
: |
54/A, Sir Mathuradas V asanji Road, Andheri East, Mumbai 400093,
Maharashtra |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.12.2012 |
|
|
|
|
Date of
Incorporation : |
02.05.1956 |
|
|
|
|
Com. Reg. No.: |
11-009794 |
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|
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|
Capital
Investment / Paid-up Capital : |
Rs.230.300 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L24239MH1956PLC009794 |
|
|
|
|
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 bulk drugs, drug intermediates, veterinary
formulations and pesticides. |
|
|
|
|
No. of Employees
: |
3164 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (65) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 48000000 |
|
|
|
|
Status : |
Good |
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|
|
|
Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well-established company having good track record. Profit margin of the company appears to be good. Also financial
position of the company appears to be sound and healthy. Trade relation reported to be fair. Business is active. Payment terms
are reported to be regular. The company can be considered for business dealing 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 – 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 : |
54/A, Sir Mathuradas V asanji Road, Andheri East, Mumbai – 400093, Maharashtra,
India |
|
Tel. No.: |
91-22-28278000 |
|
Fax No.: |
Not Available |
|
E-Mail : |
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|
Website : |
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|
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|
Manufacturing Sites 1: |
3501-15, 6310, B-14, GIDC Estate, Ankleshwar – 393002, Gujarat, India |
|
|
|
|
Manufacturing Sites 2: |
GIDC, Plot No. L-121, Phase III, Verna Industrial Estate Verna
-,403722, Goa, India |
DIRECTORS
As on 31.12.2012
|
Name : |
Dr. Vijay Mallya |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Dr. Shailesh Ayyangar |
|
Designation: |
Managing Director |
|
|
|
|
Name : |
Mr. F. Briens |
|
Designation : |
Director |
|
|
|
|
Name : |
Ms. Virginie Boucinha |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. J. M. Gandhi |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. J. M. Georges |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. S. R. Gupte |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. A. K. R. Nedungadi |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. A. Ortoli |
|
Designation: |
Director |
|
|
|
|
Name : |
Mr. M. G. Rao |
|
Designation : |
Alternate to Mr . J. M. Georges |
KEY EXECUTIVES
|
Name : |
Mr. K. Subramani |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.06.2013
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
|
|
|
|
13909587 |
60.40 |
|
|
13909587 |
60.40 |
|
Total shareholding of Promoter and Promoter Group (A) |
13909587 |
60.40 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
2394799 |
10.40 |
|
|
18302 |
0.08 |
|
|
537401 |
2.33 |
|
|
3292547 |
14.30 |
|
|
6243049 |
27.11 |
|
|
|
|
|
|
1492190 |
6.48 |
|
|
|
|
|
|
1066763 |
4.63 |
|
|
108098 |
0.47 |
|
|
210935 |
0.92 |
|
|
480 |
0.00 |
|
|
198572 |
0.86 |
|
|
80 |
0.00 |
|
|
7566 |
0.03 |
|
|
3737 |
0.02 |
|
|
500 |
0.00 |
|
|
2877986 |
12.50 |
|
Total Public shareholding (B) |
9121035 |
39.60 |
|
Total (A)+(B) |
23030622 |
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) |
23030622 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of bulk drugs, drug intermediates, veterinary
formulations and pesticides. |
||||||||
|
|
|
||||||||
|
Products : |
|
PRODUCTION STATUS (As on 31.12.2011)
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
I. Basic drugs: |
|
|
|
|
Pharmaceuticals |
Tonnes |
253.00 |
142.93 |
|
II. Formulations: |
|
|
|
|
Liquid injectibles# |
KL |
-- |
546.43 |
|
Tablets / Dragees |
Mio Nos |
7,600.00* |
6,994.56 |
|
Capsules# |
Mio Nos |
-- |
224.17 |
|
Ointments# |
Tonnes |
-- |
815.41 |
|
Granules # |
Tonnes |
-- |
-- |
|
Drops, syrup and other liquids# |
KL |
-- |
756.54 |
Note:
Production figures include goods manufactured
at third party facilities and captive consumptions.
* Includes installed capacity of granules.
# Represents produced only at third party
locations
GENERAL INFORMATION
|
No. of Employees : |
3164 (Approximately) |
|
|
|
|
Bankers : |
|
|
|
|
|
Banking
Relations : |
|
|
|
|
|
Auditors : |
|
|
Name : |
S.R. Batliboi and Company Chartered Accountants |
|
|
|
|
Solicitors: |
Crawford Bayley and Company |
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|
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Holding Company: |
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|
|
|
|
Ultimate holding
Company: |
|
|
|
|
|
Fellow subsidiaries |
|
CAPITAL STRUCTURE
As on 31.12.2012
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
23,500,000 |
Equity Shares |
Rs.10/- each |
Rs. 235.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
23,030,622 |
Equity Shares |
Rs.10/- each |
Rs. 230.300
Millions |
|
|
|
|
|
Note:
a) Shares held by holding and ultimate holding
company 13,904,722 (2011: 13,904,722) equity shares are held by
Hoechst GmbH, Germany, holding company and
4,865 (2011: 4,865) Equity shares are held by Sanofi S.A., France ultimate
holding company .
b) Reconciliation of the shares outstanding at
the beginning and at the end of the reporting period:
|
|
31.12.2012 |
|
|
At the beginning of the year and outstanding
at the end of the year |
23,030,622 |
230.300 |
c) Terms/rights attached to equity shares
The Company has only one class of equity
shares having a face value of Rs. 10 per share. Each holder of equity shares is
entitled to one vote per share. The final
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 31 December 2012, the
amount of per share dividend (including interim dividend of Rs. 4 (Dec
2011: Rs. 4)) recognized as
distributions to equity shareholders was Rs 33 (Dec 2011: Rs. 33).
In the event of liquidation of the company,
the holders of equity shares will be entitled to receive remaining assets of
the company. The distribution will be in proportion to the number of equity
shares held by the shareholder.
d) Details of Shareholders holding more than
5% shares in the company
|
|
31.12.2012 |
|
|
|
No of Shares |
% of Holding |
|
Hoechst GmbH, Germany |
13,904,722 |
60.38 |
|
Reliance Capital Trustee Company Limited |
1,780,804 |
7.73 |
|
Aberdeen Global Indian Equity Fund
(Mauritius) Limited |
1,338,883 |
5.81 |
As per the of the company, including its
register of shareholder/members and other declarations received from
shareholders regarding beneficial interest, the above shareholding represents
both legal and beneficial ownerships of shares.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.12.2012 |
31.12.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
230.300 |
230.300 |
|
(b) Reserves & Surplus |
|
11810.900 |
10935.900 |
|
(c) Money
received against share warrants |
|
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending
allotment |
|
0.000 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
|
12041.200 |
11166.200 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
|
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
|
212.800 |
84.600 |
|
(c) Other long term
liabilities |
|
0.000 |
10.000 |
|
(d) long-term
provisions |
|
192.800 |
195.600 |
|
Total Non-current
Liabilities (3) |
|
405.600 |
290.200 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
|
0.000 |
0.000 |
|
(b) Trade
payables |
|
1541.700 |
1476.400 |
|
(c) Other
current liabilities |
|
849.900 |
709.000 |
|
(d) Short-term
provisions |
|
1474.700 |
1383.600 |
|
Total Current
Liabilities (4) |
|
3866.300 |
3569.000 |
|
|
|
|
|
|
TOTAL |
|
16313.100 |
15025.400 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
|
1942.500 |
1673.600 |
|
(ii)
Intangible Assets |
|
5051.100 |
5696.100 |
|
(iii)
Capital work-in-progress |
|
406.300 |
205.100 |
|
(iv)
Intangible assets under development |
|
28.400 |
23.500 |
|
(b) Non-current Investments |
|
3.600 |
3.600 |
|
(c) Deferred tax assets (net) |
|
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
|
581.800 |
749.800 |
|
(e) Other
Non-current assets |
|
26.400 |
6.300 |
|
Total Non-Current
Assets |
|
8040.100 |
8358.000 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
|
0.000 |
0.000 |
|
(b)
Inventories |
|
2724.500 |
2542.700 |
|
(c) Trade
receivables |
|
986.000 |
1040.900 |
|
(d) Cash
and cash equivalents |
|
4288.500 |
2342.300 |
|
(e)
Short-term loans and advances |
|
233.000 |
677.300 |
|
(f) Other
current assets |
|
41.000 |
64.200 |
|
Total
Current Assets |
|
8273.000 |
6667.400 |
|
|
|
|
|
|
TOTAL |
|
16313.100 |
15025.400 |
|
SOURCES OF FUNDS |
|
|
31.12.2010 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
|
230.306 |
|
|
2] Share Application Money |
|
|
0.000 |
|
|
3] Reserves & Surplus |
|
|
9911.196 |
|
|
4] (Accumulated Losses) |
|
|
0.000 |
|
|
NETWORTH |
|
|
10141.502 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
|
0.000 |
|
|
2] Unsecured Loans |
|
|
0.000 |
|
|
TOTAL BORROWING |
|
|
0.000 |
|
|
DEFERRED TAX LIABILITIES |
|
|
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
|
10141.502 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
|
|
1710.477 |
|
|
Capital work-in-progress |
|
|
133.028 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
|
3.631 |
|
|
DEFERREX TAX ASSETS |
|
|
98.510 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
|
2384.703
|
|
|
Sundry Debtors |
|
|
604.352
|
|
|
Cash & Bank Balances |
|
|
6553.502
|
|
|
Other Current Assets |
|
|
2567.437
|
|
|
Loans & Advances |
|
|
28.504
|
|
Total
Current Assets |
|
|
12138.498
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
|
|
1241.229
|
|
|
Other Current Liabilities |
|
|
495.828
|
|
|
Provisions |
|
|
2205.585
|
|
Total
Current Liabilities |
|
|
3942.642
|
|
|
Net Current Assets |
|
|
8195.856
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
|
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
|
10141.502 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.12.2012 |
31.12.2011 |
31.12.2010 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
15730.400 |
13013.400 |
10849.521 |
|
|
|
Other Income |
411.700 |
678.900 |
1134.839 |
|
|
|
TOTAL (A) |
16142.100 |
13692.300 |
11984.360 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of material consumed |
5591.100 |
4915.500 |
|
|
|
|
Purchases of traded goods |
1853.100 |
1353.800 |
|
|
|
|
Changes in inventories of finished goods, work-in-progress and traded
goods |
(89.300) |
(101.200) |
|
|
|
|
Employee benefits expenses |
2136.000 |
1764.200 |
|
|
|
|
Other expenses |
3121.400 |
2604.500 |
|
|
|
|
TOTAL (B) |
12612.300 |
10536.800 |
9418.047 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
3529.800 |
3155.500 |
2566.313 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
14.000 |
4.200 |
28.902 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
3515.800 |
3151.3 |
2537.411 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
898.700 |
311.500 |
197.357 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
2617.100 |
2839.800 |
2340.054 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
850.500 |
928.000 |
32.531 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
1766.600 |
1911.800 |
2307.523 |
|
|
|
|
|
|
|
|
|
|
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
8426.500 |
7584.543 |
6983.372 |
|
|
|
|
|
|
|
|
|
|
APPROPRIATIONS |
|
|
|
|
|
|
|
Interim Dividend (paid in August 2012) |
92.100 |
92.100 |
92.122 |
|
|
|
Provision for Final Dividend |
667.900 |
667.900 |
1174.562 |
|
|
|
T ax on Interim and proposed Final
Dividend |
123.200 |
118.700 |
208.915 |
|
|
|
Transfer to General Reserve |
176.700 |
191.100 |
230.753 |
|
|
BALANCE CARRIED
TO THE B/S |
9133.200 |
8426.500 |
7584.543 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB value of
exports |
2446.700 |
2195.300 |
2066.941 |
|
|
|
Income from services
rendered |
49.100 |
49.800 |
15.626 |
|
|
|
Reimbursement of expenses &
Market Support |
707.500 |
804.700 |
729.944 |
|
|
|
Sale Value of Long Term Investment |
0.000 |
0.000 |
1007.507 |
|
|
TOTAL EARNINGS |
3203.300 |
3049.800 |
3820.018 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw and packing
materials |
1924.500 |
1871.900 |
170.196 |
|
|
|
Components, spares and
auxiliary |
2.100 |
4.000 |
5.478 |
|
|
|
Capital Goods |
87.700 |
54.100 |
9.622 |
|
|
|
Finished goods |
2311.300 |
1902.800 |
1589.805 |
|
|
TOTAL IMPORTS |
4325.600 |
3832.800 |
1775.101 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
76.71 |
83.01 |
67.31 |
|
QUARTERLY RESULTS
|
PARTICULARS |
31.03.2013 |
30.06.2013 |
|
Type |
1st
Quarter |
2nd
Quarter |
|
Audited / UnAudited |
|
|
|
Net Sales |
3881.000 |
4351.000 |
|
Total Expenditure |
3161.000 |
3477.000 |
|
PBIDT (Excl OI) |
720.000 |
874.000 |
|
Other Income |
162.000 |
145.000 |
|
Operating Profit |
882.000 |
1019.000 |
|
Interest |
3.000 |
1.000 |
|
Exceptional Items |
0.000 |
0.000 |
|
PBDT |
879.000 |
1018.000 |
|
Depreciation |
223.000 |
227.000 |
|
Profit Before Tax |
656.000 |
791.000 |
|
Tax |
213.000 |
279.000 |
|
Provisions and contingencies |
0.000 |
0.000 |
|
Profit After Tax |
443.000 |
512.000 |
|
Extraordinary Items |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
|
Net Profit |
443.000 |
512.000 |
KEY RATIOS
|
PARTICULARS |
|
31.12.2012 |
31.12.2011 |
31.12.2010 |
|
PAT / Total Income |
(%) |
10.94
|
13.96 |
19.25 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
16.64
|
21.82 |
21.57 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
16.49
|
4.13 |
16.90 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.22
|
0.25 |
0.23 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.00
|
0.00 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.69
|
0.60 |
3.08 |
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 |
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 |
MANAGEMENT
DISCUSSION AND ANALYSIS
PHARMACEUTICAL
MARKET
Total Indian Pharmaceutical Market during the year ended 31st December
2012 was estimated at Rs. 712 billion. The retail market has slowed down and grew
by 11.4% over the previous year.
(Source: IMS, Total sales Audit,
MAT December 2012).
Key drivers have been volumes (4.1%) and new introductions (5.3%).
Prices contributed only 2% to the growth.
Six brands of the Company, Combiflam, Cardace, Lantus, Clexane, Amaryl
and Allegra™ continue to feature in the top 100 brands of the Indian
pharmaceutical market.
SALES AND
PROFITABILITY
During the year ended 31st December 2012, the Company had
total net sales of Rs.14938.500 Millions as against Rs. 12297.500 Millions in
the previous year, representing a growth of 21.5%.
Profit before Tax decreased from Rs. 2839.800 Millions to Rs. 2617.100
Millions and Net Profit decreased from Rs. 1911.800 Millions to Rs. 1766.600
Millions.
Decline in profit was mainly due to:
(i) Amortisation of brands acquired in 2011 from Universal Medicare
Private Limited and lower interest income as a result of the investment.
Depreciation and amortisation expense increased from Rs. 311.500
Millions in 2011 to Rs. 898.700 Millions in 2012 and Other Income declined from
Rs. 678.900 Millions to Rs. 411.700 Millions.
(ii) Change in accounting policy - The Company decided to amortise
goodwill on acquisition of business over a period of 10 years from date of
acquisition as against its earlier policy of testing for impairment. Due to the
change, Net Profit for the year was lower by Rs. 99.000 Millions.
DOMESTIC SALES
REVIEW
Domestic sales, which constituted 83% of total net sales, increased from
Rs.10020.300 Millions in 2011 to Rs. 12408.000 Millions in 2012, reflecting a
growth of 23.8%.
MAJOR BRAND
PERFORMANCE REVIEW
Cardace Group grew by 16%. Cardace continues to be No. 1 ACE inhibitor
prescribed by cardiologists, diabetologists and consulting physicians.
Cardace Meto, a fixed dose combination of Cardace + Metoprolol was
launched. Initial feedback from doctors has been encouraging Although there
has been a
therapy shift to
Angiotensin Receptor Blockers
(ARB), Cardace and its line extensions
continue to grow
in terms of prescriptions.
Lantus grew by 25% in value terms. It has a market share of 11.9% and
continues to be the 2nd leading brand in insulins in terms of value.
The Company successfully launched All Star™ - an indigenously
manufactured reusable insulin pen. It is
custom made for patients
in India and will
help improve both
insulin initiation and
compliance and bring
ease and reassurance
to the lives
of patients, giving
them convenience of inter national standards
at an affordable
price.
A campaign “Sanofi Diabetes Blue Fortnight - Every Voice One Future” was
done in association with the Ministry of Health and a social advocacy group and was able to reach
out to multiple stakeholders in an
effort to curb
the rising incidence
of diabetes in India and improving
the lives of
diabetics.
Insuman grew by 39% in value terms. Insuman cartridges are well
differentiated with unique 3 bullet technology. Cartridges are driving the
growth in the human insulin market.
Apidra sales declined
due to non-availability of
stocks in Q1
2012.
Amaryl group grew by 21% in value terms. It has a market share of 4.6%
in the oral antidiabetic (OAD) market.
Cetapin group grew by 31%. CetapinXR has achieved a market share of 8.4%
in the metformin market. It continues to be the largest brand in the metformin
market by differentiating itself from other metformin brands with the help of
its unique patented technology.
Cetapin V has become the 5th
largest brand in
the metformin +
voglibose category with
a market share
of 6.7%.
Clexane grew by 8% and continues to be the No. 1 in the injectable anti
coagulant market. The Company is ranked No. 1 in the thrombosis market.
Targocid, which has a market share of 40%, is the No. 1 injectable
antibiotic against resistant gram positive
bacteria.
Allegra™ grew by 15%. It has a market share of nearly 12%. It continues
to be ranked No. 1 in the total market and solids market.
Allegra™ Suspension is ranked No.1 in the liquid anti histaminic market.
Frisium grew by 9%. It is one of the fastest growing anti epileptics and
ranks No. 3 in the highly competitive AED market.
Rejusite™ was launched to neurologists in May 2012.
At the beginning of the year, the Consumer Healthcare OTC division was
formed to market the old heritage brands of the Company and OTC products -
Seacod and Combiflam Cream.
TV and media campaigns were run for promoting Seacod.
A line extension, Seacod 60 ml has been launched in December 2012.
Combiflam group grew by 15%.Combiflam group (tablets + suspension) has a
market share of 5% and is ranked 2nd in the NSAID market.
Combiflam Tablets is ranked No.1 in units and 1.6 billion tablets were
sold in 2012. Combiflam Suspension has a market share of nearly 15% and
continues to be ranked 2nd among NSAID oral liquids.
Soframycin Skin Cream had a growth of 12%. It continues to be the 4th
largest brand among topical antiseptics.
Avil had a growth of 11% in terms of value. It continues to have volume
leadership in the anti histaminic market and has a market share of 6.3%.
Sales of the nutraceutical brands acquired from Universal Medicare
Private Limited in 2011 grew
significantly .
Line extensions of Multivite, CoQ and Triomega were launched.
Three brands - Ferrohext™, BerryCran™ and Amino-fit Forte were also
launched to strengthen the nutraceutical portfolio.
PRAYAS
The Company has gone digital in the PRAYAS initiative with the creation of
the PRAYAS portal. An interactive portal
can now deliver valuable training
modules to the
rural and urban
doctors at their
homes and clinics.
EXPORT SALES
Export sales for 2012, which constituted 17% of total net sales, were
Rs. 25,305 lakhs, representing a growth of 11.1% over 2011. This was the
highest ever export turnover achieved.
Volumes contributed 8.1% tothegrowth. New markets, particularly
Australia and Germany, contributed
significantly as a consequence
of which the contribution of the
traditional markets of Russia,
Ukraine and CIS states came down from 55% in 2011 to 44% in 2012.
The Company now exports to over 30 countries.
Exports to Russia declined by 19% due to low secondary sales of some
products.
Exports to Ukraine grew by 32% as part of a stock building exercise to
mitigate impact of new regulations which can affect exports of some of the
Company's products.
Exports of Panamax
(paracetamol) tablets to Australia
which commenced in 2011 contributed handsomely to
growth in exports.
New line extensions of paracetamol + codeine tablets also contributed
substantially to the growth.
Exports to the United Kingdom declined due to high pipeline inventories.
The Company obtained a large tender in Germany for metformin tablets.
Exports to Sri Lanka grew by 38%. This included exports of nutraceutical
products.
Exports of active pharmaceutical ingredients and inter mediates grew by
33%.
MANUFACTURING
OPERATIONS
An extension of the manufacturing facility in Ankleshwar was carried
out. It will help to increase the capacity of the pharmaceutical plant from 5
billion to 6 billion tablets. With the
successful completion of
this state of
art, HSE and GMP compliant
facility , the Ankleshwar plant
will be able
to fulfill market
demand in the
coming years.
An upgrade of the dry granulation facility was also completed in
Ankleshwar.
Two new granulation lines, a high speed compression machine, a large quantity
dispensing system, HVAC to cater to very low humidity requirements and a new
blister packing line were installed and commissioned in Goa.
An expansion project has also been started in Goa. This is to cater to
the additional requirements for the Indian and export markets. A set of
motorized racks to increase the capacity of the existing warehouse has
already been commissioned as a
first step of the project.
The Goa site was re-accredited by several global regulatory authorities.
New pharma and nutraceutical products were manufactured in own and
external manufacturing sites.
The waste water treatment plant was commissioned in Ankleshwar to treat
200 m3 of effluent on a daily basis.
Conservation of natural resources is made feasible with the
commissioning of this plant.
PROSPECTS FOR 2013
There is a general slowdown in the pharmaceutical segment, somewhat in
line with the slowing down of the economic growth.
Therefore, the prospects for 2013 are: reasonable growth for the Company
- in line with the industry growth- barring the risk of adverse impact
due to the
new Drugs (Price
Control) Order.
The Company has launched Allegra™ M (a combination of Fexofenadine and
Montelucast) and Combiflam Plus (for headache).
The manufacturing expansion project in Goa is progressing well and it
will be completed during the year. Export turnover is expected to gain momentum
and show reasonable growth.
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED JUNE 30, 2013
PART I
(Rs. In Millions)
|
Particulars |
Quarter ended
30.06.2013 |
Quarter ended
31.03.2013 |
Half Year ended
30.06.2013 |
|
1. Income from
Operations |
|
|
|
|
(a) Net Sales (net
of excise duty) |
4100.000 |
3629.000 |
7729.000 |
|
(b) Other Operating
Income |
251.000 |
252.000 |
503.000 |
|
Total income from
Operations (net) |
4351.000 |
3881.000 |
8232.000 |
|
2 Expenditure |
|
|
|
|
(a) Cost of
Materials Consumed |
1438.000 |
1552.000 |
2990.000 |
|
(b) Purchase of
stock in trade |
610.000 |
772.000 |
1382.000 |
|
(c) Changes in
inventories of finished goods, work in progress and stock in trade |
(60.000) |
(576.000) |
(636.000) |
|
(d) Employee
benefits expense |
624.000 |
564.000 |
1188.000 |
|
(e) Depreciation
and amortisation expense |
227.000 |
223.000 |
450.000 |
|
(f) Other expenses |
865.000 |
849.000 |
1714.000 |
|
(g) Total Expenses |
3704.000 |
3384.000 |
7088.000 |
|
3 Profit from
Operations before other income and finance costs (1-2) |
647.000 |
497.000 |
1144.000 |
|
4 Other Income |
145.000 |
163.000 |
308.000 |
|
5 Profit before
finance costs (3+4) |
792.000 |
660.000 |
1452.000 |
|
6 Finance costs |
1.000 |
3.000 |
40.000 |
|
7 Profit before
tax and Exceptional items (5-6) |
791.000 |
657.000 |
14480.000 |
|
8 Tax Expense |
279.000 |
213.000 |
492.000 |
|
9 Net Profit for
the period before Exceptional items (7-8) |
512.000 |
444.000 |
956.000 |
|
10 Exceptional
item (net of tax) |
- |
- |
- |
|
11 Net Profit for
the period after Exceptional items (9+10) |
512.000 |
444.000 |
956.000 |
|
12 Paid-up equity
share capital |
230.000 |
230.000 |
230.000 |
|
13 Reserves
excluding Revaluation |
|
|
|
|
14 Earnings Per Share
(EPS) before Exceptional items (Rs.) |
22.27 |
19.32 |
41.55 |
|
15 Earnings Per
Share (EPS) after Exceptional items (Rs.) |
22.27 |
19.32 |
41.55 |
PART II
|
Particulars |
Quarter ended 30.06.2013 |
Quarter ended 31.03.2013 |
Half Year ended 30.06.2013 |
|
A. PARTICULARS OF SHAREHOLDING |
|
|
|
|
1 Public Shareholding |
|
|
|
|
- Number of Shares |
9,121,035 |
9,121,035 |
9,121,035 |
|
- Percentage of
Shareholding |
39.60% |
39.60% |
39.60% |
|
2 Promoters and Promoter group Shareholding |
|
|
|
|
a)
Pledged/Encumbered |
|
|
|
|
- Number of shares |
NIL |
NIL |
NIL |
|
- Percentage of
shares (as a % of total shareholding of promoter and promoter group) |
NIL |
NIL |
NIL |
|
- Percentage of
shares (as a % of total share capital of the company) |
NIL |
NIL |
NIL |
|
b) Non-encumbered |
|
|
|
|
- Number of shares |
13,909,587 |
13,909,587 |
13,909,587 |
|
- Percentage of
shares (as a % of total |
100.00% |
100.00% |
100.00% |
|
- Percentage of shares
(as a % of total share capital of the company) |
60.40% |
60.40% |
60.40% |
THE STATEMENT OF
ASSETS AND LIABILITIES AS REQUIRED UNDER CLAUSE 41(V) (H) OF THE LISTING
AGREEMENT IS AS UNDER:
(Rs. In Millions)
|
Particulars |
30.06.2013 Unaudited |
|
EQUITY AND
LIABILITIES : |
|
|
Shareholders'
funds : |
|
|
(a) Share capital |
230.000 |
|
(b) Reserves &
Surplus * |
12488.000 |
|
Sub-total -
Shareholder's Funds |
12718.000 |
|
Non-current
liabilities |
|
|
(a) Other long
term liabilities |
- |
|
(b) Long term
provisions |
228.000 |
|
(c) Deferred Tax
Liabilities (Net) |
308.000 |
|
Sub-total -
Non-current liabilities |
536.000 |
|
Current
liabilities |
|
|
(a) Trade Payables |
1637.000 |
|
(b) Other current
liabilities |
759.000 |
|
(c) Short-term provisions |
878.000 |
|
Sub-total -
Current liabilities |
3274.000 |
|
TOTAL EQUITY & LIABILITIES |
16528.000 |
|
ASSETS |
|
|
Non-current assets |
|
|
(a) Fixed Assets
(Including Capital Work in Progress) |
7977.000 |
|
(b) Non current
investments |
4.000 |
|
(c) Long term
loans and advances |
655.000 |
|
(d) Other
non-current assets |
41.000 |
|
Sub-Total - Non
Current Assets |
8677.000 |
|
Current assets |
|
|
(a) Inventories |
3537.000 |
|
(b) Trade
receivables |
1401.000 |
|
(c) Cash &
Bank Balances |
1573.000 |
|
(d) Short term
loans & advances |
1280.000 |
|
(e) Other current
assets |
60.000 |
|
Sub-total -
Current assets |
7851.000 |
|
TOTAL ASSETS |
16528.000 |
NOTES:
- The above Results were approved by the Board of Directors of the Company at its Meeting held on July 30, 2013.
- In accordance with Clause 41 of the Listing Agreement with the Stock Exchanges, the Company's Statutory Auditors have conducted a 'Limited Review' of the Financial Results for the quarter ended June 30, 2013.
- The Board of Directors has declared an Interim Dividend of Rs. 10 per Equity share of Rs. 10 to be paid to those Members whose names appear on the Register of Members of the Company on August 6, 2013 being the Record Date. The said dividend will be paid on August 20, 2013.
- Better export performance during the quarter and half year ended June 30, 2013 has resulted in improvement in profitability of the Company.
- The Company has a single business segment namely ‘Pharmaceutical Business’.
- The figures for the previous periods have been re-grouped, wherever necessary.
INDEX
OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE
CREATION/MODIFICATION |
CHARGE AMOUNT
SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST
NUMBER (SRN) |
|
1 |
90229711 |
20/09/2001 |
197,500,000.00 |
HDFC LIMITED |
RAMON HOUSE;
H.T. PAREKH MARG, 169; BACKBAY RECLA |
- |
|
2 |
90228690 |
30/11/1992 * |
50,000,000.00 |
ICICI LIMITED |
163; BACKBAY RECLAMATION,
BOMBAY, MAHARASHTRA - 400020, INDIA |
- |
|
3 |
90228611 |
31/12/1992 |
400,000,000.00 |
STATE BANK OF INDIA |
COMMERCIAL
BRNACH, JUSTICE G.N.VAIDYA MARG, BOMBAY, MAHARASHTRA - 400023, INDIA |
- |
|
4 |
90228604 |
21/10/1993 * |
400,000,000.00 |
STATE BANK OF INDIA |
COMMERCIAL
BRNACH, JUSTICE G.N.VAIDYA MARG, BOMBAY, MAHARASHTRA - 400023, INDIA |
- |
|
5 |
90228576 |
11/09/1992 |
32,000,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRNACH,
JUSTICE G.N.VAIDYA MARG, BOMBAY, MAHARASHTRA - 400023, INDIA |
- |
|
6 |
90228519 |
23/03/1992 |
43,000,000.00 |
GRINDLAYS BANK |
90; M.G ROAD,
BOMBAY, MAHARASHTRA - 400023, INDIA |
- |
|
7 |
90228502 |
14/02/1992 |
43,000,000.00 |
GRINDLAYS BANK |
90; M.G ROAD,
BOMBAY, MAHARASHTRA - 400001, INDIA |
- |
|
8 |
90228499 |
05/02/1992 |
20,000,000.00 |
HDFC LIMITED |
RAMON HOUSE,
169; BACKBAY RECLAMATION, BOMBAY, MA |
- |
|
9 |
90228492 |
22/01/1992 |
6,500,000.00 |
ICICI LIMITED |
163; BACKBAY
RECLAMATION, BOMBAY, MAHARASHTRA - 40 |
- |
|
10 |
90228477 |
05/12/1991 |
17,500,000.00 |
AMERICAN EXPRESS BANK LIMITED |
OEIENTAL
BUILDING, D.N. ROAD, BOMBAY, MAHARASHTRA |
- |
Note: * Date of
charge modification
FIXED ASSETS
Intangible Assets
- Goodwill
- Brand
- Software
- Marketing and
technical rights for formulations
- Technical
know-how
- Freehold Land
- Leasehold
Land
- Buildings
- Leasehold
Improvement
- Plant and
Machinery
- Furniture and
Fixtures
- Office
Equipment
- Computers
- Motor
Vehicles
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.62.78 |
|
|
1 |
Rs.101.42 |
|
Euro |
1 |
Rs.84.67 |
INFORMATION DETAILS
|
Report Prepared
by : |
KVT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--CREDIT LINES |
1~10 |
7 |
|
--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 |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
65 |
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.