MIRA INFORM REPORT

 

 

 

 

Report Date :

11.10.2013

 

IDENTIFICATION DETAILS

 

Name :

WOCKHARDT LIMITED

 

 

Registered Office :

Wockhardt Towers, Bandra-Kurla Complex, Bandra (East), Mumbai – 400 051, Maharashtra

 

 

Country :

India

 

 

Financials (as on) :

31.03.2012

 

 

Date of Incorporation :

08.07.1999

 

 

Com. Reg. No.:

11-120720

 

 

Capital Investment / Paid-up Capital :

Rs.8160.900 Millions

 

 

CIN No.:

[Company Identification No.]

L24230MH1999PLC120720

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

NSKW00152F

 

 

PAN No.:

[Permanent Account No.]

AAACW2472M

 

 

Legal Form :

A Public Limited Liability company. The company’s Shares are Listed on the Stock Exchange.

 

 

Line of Business :

Manufacturing and Marketing of Pharmaceuticals in the form of Injections, Liquids and solutions, Agro Products, Tablets and Capsules, Ointments, Powders, Bulk Drugs, Large Volume Parenterals and Others.

 

 

No. of Employees :

7000 [Approximately]

 

 

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.

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

ICRA

Rating

Long Term Bank facilities : AA+

Rating Explanation

High degree of safety and very low credit risk

Date

2012

 

 

Rating Agency Name

ICRA

Rating

Short Term Bank limits : A1+

Rating Explanation

Very strong degree of safety and lowest credit risk

Date

2012

 

 

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.

Registered / Corporate Office :

Wockhardt Towers, Bandra-Kurla Complex, Bandra (East), Mumbai – 400 051, Maharashtra, India

Tel. No.:

91-22-26534444 / 26533333

Fax No.:

91-22-26522727 / 26522828 / 26534242

E-Mail :

wock@giasbm01.vsnl.net.in

wockhard@giasbm01.vsnl.net.in

ocassubhoy@wockhardtin.com

spathak@wockhardt.com

contactus@wockhardt.com

jmanmadkar@wockhardt.com

Website :

www.wockhardt.com

 

 

Factory 1 :

Wockhardt Biotech Park, H14/2 M.I.D.C., Area Waluj, Aurangabad - 431136, Maharashtra, India

Tel. No.:

91-240-6626444

Fax No.:

91 240 6626333

 

 

Factory 2 :

L1 M.I.D.C., Chikalthana, Aurangabad - 431210, Maharashtra, India

Tel. No.:

91-240-6637444

Fax No.:

91-240-6637333

 

 

Factory 3 :

87A Bhimpore, Nani Daman - 396210, Union Territory, India

Tel. No.:

91-260-6610300 / 6610333

Fax No.:

91-260-2220940

 

 

Factory 4 :

106/4,5,7 Kadaiya, Nani Daman 396210, Union Territory India

Tel. No.:

91260-6531306

Fax No.:

91-260-2220214

 

 

Factory 5 :

138 G.I.D.C. Estate, Ankleshwar 393002, District Bharuch, Gujarat, India

Tel. No.:

91-2646-661444

Fax No.:

91-2646-661555

 

 

Factory 6 :

57, Kunjhal, Barotiwala, Nalagarh, District Solan, Himachal Pradesh 174103, India

Tel. No.:

91-1795-664490

Fax No.:

91-1795-664242

 

 

Factory 7 :

Ash Raod North, Wexham Industrial Estate, Wrexham, LL13 9UF, Wales, UK

Tel. No.:

+44-1978-661261

Fax No.:

+44-1978-660130

 

 

Factory 8 :

Ballymacarbry Clonmel Co., Tippearary, Ireland

Tel. No.:

+353-52-6186000

Fax No.:

+353-52-6136311

 

 

Factory 9 :

6451, Main Street, Morton Frove, III Inois 60053-2633, USA

Tel. No.:

+1-847+9675600

Fax No.:

+1-847-9672211

 

 

International Office :

Located At:

 

  • USA
  • UK
  • Ireland
  • France

 

 

Research Centres  :

Located At:

 

  • India
  • UK
  • Ireland
  • USA

 

 

DIRECTORS

 

AS ON 31.03.2012

 

Name :

Dr. Habil Khorakiwala

Designation :

Chairman

 

 

Name :

Dr. Murtaza Khorakiwala

Designation :

Managing Director

 

 

Name :

Mr. Shekhar Datta

Designation :

Director

 

 

Name :

Mr. Aman Mehta

Designation :

Director

 

 

Name :

Mr. R A Shah

Designation :

Director

 

 

Name :

Dr. Huzaifa Khorakiwala

Designation :

Executive Director

 

 

KEY EXECUTIVES

 

Name :

Dr. Habil Khorakiwala

Designation :

Group Chief Executive Officer

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 31.03.2013

 

Category of Shareholder

Total No. of Shares

Total Shareholding as a % of Total No. of Shares

(A) Shareholding of Promoter and Promoter Group

 

 

http://www.bseindia.com/include/images/clear.gif(1) Indian

 

 

http://www.bseindia.com/include/images/clear.gifIndividuals / Hindu Undivided Family

887625

0.81

http://www.bseindia.com/include/images/clear.gifBodies Corporate

79697757

72.83

http://www.bseindia.com/include/images/clear.gifSub Total

80585382

73.64

http://www.bseindia.com/include/images/clear.gif(2) Foreign

 

 

Total shareholding of Promoter and Promoter Group (A)

80585382

73.64

(B) Public Shareholding

 

 

http://www.bseindia.com/include/images/clear.gif(1) Institutions

 

 

http://www.bseindia.com/include/images/clear.gifMutual Funds / UTI

1128142

1.03

http://www.bseindia.com/include/images/clear.gifFinancial Institutions / Banks

2253656

2.06

http://www.bseindia.com/include/images/clear.gifInsurance Companies

176400

0.16

http://www.bseindia.com/include/images/clear.gifForeign Institutional Investors

9943671

9.09

http://www.bseindia.com/include/images/clear.gifSub Total

13501869

12.34

http://www.bseindia.com/include/images/clear.gif(2) Non-Institutions

 

 

http://www.bseindia.com/include/images/clear.gifBodies Corporate

1529771

1.40

http://www.bseindia.com/include/images/clear.gifIndividuals

 

 

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital up to Rs.0.100 Million

7589357

6.94

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital in excess of Rs.0.100 Million

5607207

5.12

http://www.bseindia.com/include/images/clear.gifAny Others (Specify)

618839

0.57

http://www.bseindia.com/include/images/clear.gifClearing Members

232579

0.21

http://www.bseindia.com/include/images/clear.gifNon Resident Indians

261878

0.24

http://www.bseindia.com/include/images/clear.gifTrusts

2782

0.00

http://www.bseindia.com/include/images/clear.gifDirectors & their Relatives & Friends

121600

0.11

http://www.bseindia.com/include/images/clear.gifSub Total

15345174

14.02

Total Public shareholding (B)

28847043

26.36

Total (A)+(B)

109432425

100.00

(C) Shares held by Custodians and against which Depository Receipts have been issued

0

0.00

http://www.bseindia.com/include/images/clear.gif(1) Promoter and Promoter Group

0

0.00

http://www.bseindia.com/include/images/clear.gif(2) Public

150978

0.00

http://www.bseindia.com/include/images/clear.gifSub Total

150978

0.00

Total (A)+(B)+(C)

109583403

0.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing and Marketing of Pharmaceuticals in the form of Injections, Liquids and solutions, Agro Products, Tablets and Capsules, Ointments, Powders, Bulk Drugs, Large Volume Parenterals and Others.

 

PRODUCTION STATUS [AS ON 31.03.2011]

 

Particulars

Unit

Installed Capacity

Actual Production

Injections

Ltrs.

262000

116862

Liquids and Solutions

Ltrs.

3000000

2411848

Tablets and Capsules

Nos. in Lacs

83240

70997

Ointments

Kgs.

160000

93595

Powder

Kgs.

--

5878639

Bulk Drugs

Kgs.

520400

360403

 

 

GENERAL INFORMATION

 

No. of Employees :

7000 [Approximately]

 

 

Bankers :
  • ICICI Bank
  • State Bank of India
  • IDBI Bank
  • Bank of India
  • Punjab National Bank
  • HDFC Bank
  • ING Vysya Bank
  • Indian Overseas Bank

 

 

Facilities :

SECURED LOAN

As on 31.03.2012

[Rs. in Millions]

As on 31.03.2011

[Rs. in Millions]

Long Term Borrowings

 

 

10% Redeemable Non-Convertible Debentures

1500.000

2000.000

Rupee Denominated Term Loans

 

 

From banks/financial institutions

5055.900

6308.500

From others

768.800

759.000

 

 

 

Short Term Borrowings

 

 

Loans repayable on demand

Working capital facilities from banks

2222.800

3521.300

TOTAL

9547.500

12588.800

 

NOTE:

 

(a) Debentures are redeemable at par in four annual installments of Rs. 500.000 Millions each starting from August 7, 2012. Debentures are secured by first charge on pari passu basis:

 

(i) By way of mortgage of immovable properties and hypothecation of movable assets at Plot No. L-1, D-4, Chikhalthana, Aurangabad, Plot No. 138, Ankleshwar, Gujarat, Plot No. 87A, Bhimpore, Daman and Biotech Park H-14/2, MIDC Waluj, Aurangabad.

 

(ii) By way of mortgage of immovable properties and hypothecation of movable assets situated at Jagraon, Punjab.

 

(iii) By way of mortgage of immovable properties and hypothecation of movable assets of Company’s wholly owned subsidiary i.e. Wockhardt Infrastructure Development Limited situated at Shendra, Aurangabad; and by way of second charge on pari passu basis on current assets of the company at all locations.

 

(a) Pursuant to the approved Corporate Debt Restructuring Package, the working capital facilities amounting to Rs. 2222.800 Millions are secured by way of second charge on pari passu basis:

 

(i) By way of mortgage of immovable properties and hypothecation of movable assets at Plot No. L-1, D-4, Chikhalthana, Aurangabad, Plot No. 138, Ankleshwar, Gujarat, Plot No. 87A, Bhimpore, Daman and Biotech Park H-14/2, MIDC Waluj, Aurangabad.

 

(ii) By way of mortgage of immovable properties and hypothecation of movable assets situated at Jagraon, Punjab.

 

(iii) By way of mortgage of immovable properties and hypothecation of movable assets of Company’s wholly owned subsidiary i.e. Wockhardt Infrastructure Development Limited situated at Shendra, Aurangabad and by way of first charge on pari passu basis on current assets of the Company at all locations.

 

(b) Term Loans are secured as under:

 

(I) Pursuant to the approved Corporate Debt Restructuring Package, the rupee denominated term loans from banks/financial institutions amounting to Rs. 4829.800 Millions are secured by first charge on pari passu basis and rupee denominated term loans from banks/financial institutions amounting to Rs. 1307.800 Millions are secured by third charge on pari passu basis:

 

(i) By way of mortgage of immovable properties and hypothecation of movable assets at Plot No. L-1, D-4, Chikhalthana, Aurangabad, Plot No. 138, Ankleshwar, Gujarat, Plot No. 87A, Bhimpore, Daman and Biotech Park H-14/2, MIDC Waluj, Aurangabad.

 

(ii) By way of mortgage of immovable properties and hypothecation of movable assets situated at Jagraon, Punjab.

 

(iii) By way of mortgage of immovable properties and hypothecation of movable assets of Company’s wholly owned subsidiary i.e. Wockhardt Infrastructure Development Limited situated at Shendra, Aurangabad. Further, loans amounting to Rs. 4829.800 Millions are secured by second charge on pari passu basis and loans amounting to Rs. 1307.800 Millions are secured by third charge on pari passu basis on current assets of the company at all locations.

 

(II) Pursuant to the approved Corporate Debt Restructuring Package, the rupee denominated term loans from banks amounting to Rs. 174.700 Millions are secured by third charge on pari passu basis:

 

(i) By way of mortgage of immovable properties at Plot No. L-1, D-4, Chikhalthana, Aurangabad, Plot No. 87A, Bhimpore, Daman and Biotech Park H-14/2, MIDC Waluj, Aurangabad and hypothecation of current assets of the Company at all locations.

 

(ii) By way of mortgage of immovable properties and hypothecation of movable assets situated at Jagraon, Punjab.

 

(iii) By way of mortgage of immovable properties and hypothecation of movable assets of Company’s wholly owned subsidiary i.e. Wockhardt Infrastructure Development Limited situated at Shendra, Aurangabad.

 

(iv) The Company is in the process of creating charge on immovable property at Plot No. 138, Ankleshwar, Gujarat and movable assets of the Company at all locations.

 

(III) Pursuant to the approved Corporate Debt Restructuring Package, the rupee denominated loans from others amounting to Rs. 750.000 Millions are secured by third charge on pari passu basis:

 

(i) By way of mortgage of immovable properties at Plot No. L-1, D-4, Chikhalthana, Aurangabad, Plot No. 87A, Bhimpore, Daman, Plot No. 138, Ankleshwar and Biotech Park H-14/2, MIDC Waluj, Aurangabad and by way of hypothecation of current assets of the company at all locations.

 

(ii) By way of mortgage of immovable properties and hypothecation of movable assets situated at Jagraon, Punjab.

 

(iii) By way of mortgage of immovable properties and hypothecation of movable assets of Company’s wholly owned subsidiary i.e. Wockhardt Infrastructure Development Limited situated at Shendra, Aurangabad.

 

(iv) The Company is in the process of creating charge on movable assets of the Company at all locations.

 

(IV) The rupee denominated term loan from others amounting to Rs. 18.800 Millions is secured by first charge on pari passu basis by hypothecation of movable properties of the company (except book debts) at all locations.

 

(V) Terms of repayment as per CDR scheme of rupee denominated term loans from banks/financial institutions are as under:

 

(i) Rupee term loans and Working capital term loans from banks with interest rate of 10% p.a. is repayable in 24 quarterly installments by April 2016.

 

(ii) Priority loans from banks with interest rate of 12% p.a. is repayable in 8 quarterly equal installments, by June 2012.

 

(iii) Short term loans from banks with interest rate of 10% p.a. is repayable in 20 quarterly equal installments by October 2018.

 

(VI) Terms of repayment of rupee denominated term loans from others are as under:

 

(i) Term loan from others amounting Rs. 750.000 Millions with interest rate of 10% p.a. is repayable in 20 quarterly installments by October 2018 as per CDR scheme.

 

(ii) Term loan from others amounting Rs. 18.800 Millions with interest rate of 2% p.a. is repayable in 10 equal half yearly installments beginning 1 year after completion of the project.

 

(b) Loans amounting to Rs. 2222.800 Millions are also secured by irrevocable personal guarantee by H.F. Khorakiwala, Chairman.

 

(c) Loans amounting to Rs. 9062.200 Millions are also secured by irrevocable personal guarantee by H.F. Khorakiwala, Chairman.

 

(c) As against the above secured loans taken, the promoters/promoter groups have pledged shares numbering 70,158,917 as on March 31, 2012.

 

(d) As against the above secured loans taken, the promoters/promoter groups have pledged shares numbering 70,158,917 as on March 31, 2012.

 

 

 

UNSECURED LOAN

As on 31.03.2012

[Rs. in Millions]

As on 31.03.2011

[Rs. in Millions]

Long Term Borrowings

 

 

Deferred Payment Liabilities

 

 

Sales tax deferral loan

39.100

45.400

Loans from Others

51.400

45.700

TOTAL

90.500

91.100

 

NOTE:

 

(e) Interest free sales tax deferral loan is repayable in the month of May every year. This loan is repayable by May 2019.

 

(f) Loans from others with interest rate of 3% p.a. is repayable in 10 annual installment. Loans amounting Rs. 18.900 Millions is repayable by June 2019 and the balance Rs. 42.400 Millions by October 2021.

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Haribhakti and Company

Chartered Accountants

 

 

Solicitors :
  • Crawford Bayley and Company
  • Amarchand and Mangaldas and Suresh A. Shroff and Company
  • Majmudar and Company

 

 

Holding Company :

Khorakiwala Holdings and Investments Private Limited

 

 

Associate Company :

Swiss Biosciences AG

 

 

Fellow Subsidiary :

Carol Info Services Limited

 

 

Wholly owned subsidiary companies (including step down subsidiaries)
  • Wockhardt UK Holdings Limited (formerly, Wockhardt UK Limited)
  • CP Pharmaceuticals Limited
  • CP Pharma (Schweiz) AG
  • Wallis Group Limited
  • The Wallis Laboratory Limited
  • Wockhardt Farmaceutica Do Brasil Ltda
  • Wallis Licensing Limited
  • Wockhardt Biopharm Limited
  • Vinton Healthcare Limited
  • Wockhardt Infrastructure Development Limited
  • Z and Z Services GmbH (formerly, esparma GmbH)
  • Wockhardt Europe Limited
  • Wockhardt Nigeria Limited
  • Wockhardt USA LLC w.e.f. October 3, 2008 (formerly, Wockhardt USA Inc.,)
  • Wockhardt EU Operations (Swiss) AG
  • Wockhardt UK Limited
  • Wockhardt Cyprus Limited
  • Wockpharma Ireland Limited
  • Pinewood Laboratories Limited
  • Nonash Limited
  • Laboratoires Negma S.A.S. (formerly, Negma Lerads S.A.S.)
  • Wockhardt France (Holdings) S.A.S.
  • Esparma AG
  • Wockhardt Holding Corp
  • Morton Grove Pharmaceuticals, Inc.
  • MGP Inc.
  • Girex S.A.S. (liquidated on October 6, 2011)
  • Mazal Pharmaceutique S.A.R.L.
  • (liquidated on October 6, 2011)
  • Laboratoires Pharma 2000 S.A.S. (formerly, Pharma 2000 S.A.S.)
  • Hariphar S.C.
  • Niverpharma S.A.S.
  • Negma Beneulex S.A.
  • S.C.I. Salome
  • Phytex S.A.S.
  • Scomedia S.A.S. (sold on May 16, 2011)
  • Laboratoires Lerads S.A.S.

 

 

Related Parties :

  • Palanpur Holdings and Investments Private Limited
  • Wockhardt Hospitals Limited
  • Merind Limited

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2012

 

Authorised Capital :

No. of Shares

Type

Value

Amount

250000000

Equity Shares

Rs.5/- each

Rs.1250.000 Millions

2000000000

Preferences Shares

Rs.5/- each

Rs.10000.000 Millions

 

TOTAL

 

Rs.11250.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

109435903

Equity Shares

Rs.5/- each

Rs.547.200 Millions

446549949

Optionally Convertible Cumulative Redeemable Preference shares

Rs.5/- each

Rs.2232.700 Millions

1043883858

Non Convertible Cumulative Redeemable Preference shares

Rs.5/- each

Rs.5219.400 Millions

32315130

Add: Shares Issued During The Year

Rs.5/- each

Rs.161.600 Millions

 

TOTAL

 

Rs.8160.900 Millions

 

NOTE:

 

(a) The Company has only one class of equity shares having a par value of Rs. 5/- per share. Each holder of equity shares is entitled to one vote per share held and is entitled to dividend, if declared at the Annual General Meeting. In the event of liquidation of the Company, the holders of equity shares will be entitled to receive the remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

 

(b) Issue of Preference Shares as per Corporate Debt Restructuring (CDR) Scheme:

During the year, 32,315,130 (Previous Year – 153,275,327) preference shares of Rs. 5/- each fully paid up were issued pursuant to approved CDR package against various liabilities of the Company to Banks/Financial Institutions as per the details given below.

 

(i) Nil (Upto Previous Year – 208,555,274) 0.01% Optionally Convertible Cumulative Redeemable Preference shares (OCCRPS Series 1), on the following terms and conditions:

 

The Preference Share holders shall have the right to convert OCCRPS Series 1, along with accumulated dividend, into fully paid equity shares of the Company, in one or more tranches, commencing October 25, 2015 till December 31, 2018, at conversion price as per the then applicable SEBI formula on the date of conversion. The said shares, in case not converted, shall get redeemed along with accumulated dividend on December 31, 2018 without any redemption premium. The Deemed Date of allotment is 25th October 2009.

 

(ii) Nil (Upto Previous Year – 237,994,675) 0.01% Optionally Convertible Cumulative Redeemable Preference shares (OCCRPS Series 2), on the following terms and conditions:

 

The Preference Share holders shall have the right to convert OCCRPS Series 2 along with accumulated dividend, into fully paid equity shares of the Company, in one or more tranches, commencing July 4, 2016 till December 31, 2018, at conversion price as per the then applicable SEBI formula on the date of conversion. The said shares, in case not converted, shall get redeemed along with accumulated dividend on December 31, 2018 without any redemption premium.

 

(iii) Nil (Upto Previous Year – 208,555,274) 0.01% Non-Convertible Cumulative Redeemable Preference shares (NCRPS Series 1), which shall be redeemed at a premium of 38% of the face value along with cumulative dividend on December 31, 2018.

 

(iv) Nil (Upto Previous Year – 32,265,110) 0.01% Non-Convertible Cumulative Redeemable Preference shares (NCRPS Series 2), which shall be redeemed at a premium of 20% of the face value along with cumulative dividend on December 31, 2018.

 

(v) Nil (Upto Previous Year – 555,320,909) 0.01% Non-Convertible Cumulative Redeemable Preference shares (NCRPS Series 3), which shall be redeemed at a redemption premium calculated at 4% p.a. on simple basis along with cumulative dividend on December 31, 2018.

 

(vi) 32,315,130 (Upto Previous Year – 87,742,565) 0.01% Non-Convertible Cumulative Redeemable Preference shares (NCRPS Series 4), which shall be redeemed along with cumulative dividend on September 30, 2018. However, in case the Company exits CDR, the Preference Shares shall be redeemed at the point of exit.

 

(vii) Nil (Upto Previous Year – 160,000,000) 0.01% Non-Convertible Cumulative Redeemable Preference shares (NCRPS Series 5), which shall be redeemed at a premium of 20% of the face value along with cumulative dividend on March 31, 2019.

 

(c) Shares held by holding company:

69,716,132 (Previous Year – 69,716,132) Equity Shares are held by Khorakiwala Holdings and Investments Private Limited, the holding company. 160,000,000 (Previous Year – 160,000,000) Non-Convertible Cumulative Redeemable Preference shares – Series 5 are held by Khorakiwala Holdings and Investments Private Limited, the holding company.

 

(d) Details of equity shares held by each shareholders holding more than 5% of total equity shares:

 

PARTICULAR

 

AS ON 31.03.2012

AS ON 31.03.2011

 

NO. OF SHARE HELD

% OF HOLDING

NO. OF SHARE HELD

% OF HOLDING

Khorakiwala Holdings and Investments Private Limited

69716132

63.70

69716132

63.70

Dartmour Holdings Private Limited

6828325

6.24

6828325

6.24

 

 

(e) Details of Non-Convertible Cumulative Redeemable Preference Shares (NCRPS) held by each shareholders holding more than 5% of total NCRPS:

 

PARTICULAR

 

AS ON 31.03.2012

AS ON 31.03.2011

 

NO. OF SHARE HELD

% OF HOLDING

NO. OF SHARE HELD

% OF HOLDING

Khorakiwala Holdings and Investments Private Limited

160000000

14.87

160000000

15.33

Indian Overseas Bank

106533189

9.90

106011701

10.16

State Bank of India

497255832

46.20

492753320

47.20

Union Bank of India

75624553

7.03

75097154

7.19

 

 

(f) Details of Optionally Convertible Cumulative Redeemable Preference Shares (OCCRPS) held by each shareholder holding more than 5% of total OCCRPS:

 

PARTICULAR

 

AS ON 31.03.2012

AS ON 31.03.2011

 

NO. OF SHARE HELD

% OF HOLDING

NO. OF SHARE HELD

% OF HOLDING

Indian Overseas Bank

39888348

8.93

39888348

8.93

State Bank of India

325095022

72.80

325095022

72.80

Union Bank of India

31884492

7.14

31884492

7.14

 

 

(g) Shares reserved for issue under options:

1,540,000 (Previous Year – Nil) Shares have been reserved for issue under Wockhardt Stock Option Scheme – 2011. No shares have been vested as on March 31, 2012.

 

 

FINANCIAL DATA

[all figures are in Rupees Millions]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

 

31.03.2012

31.03.2011

I.              EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

 

8160.900

7999.300

(b) Reserves & Surplus

 

654.900

(1284.500)

(c) Money received against share warrants

 

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

 

0.000

0.000

 

 

 

 

(3) Non-current liabilities

 

 

 

(a) long-term borrowings

 

7415.200

9158.600

(b) Deferred tax liabilities (Net)

 

2051.400

0.000

(c) Other long term liabilities

 

0.000

0.000

(d) long-term provisions

 

289.000

215.800

 

 

 

 

(4) Current liabilities

 

 

 

(a) Short term borrowings

 

2222.800

3521.300

(b) Trade payables

 

3695.300

2911.600

(c) Other current liabilities

 

6943.300

7316.100

(d) Short-term provisions

 

211.500

157.800

TOTAL

 

31644.300

29996.000

 

 

 

 

II.          ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

 

8212.500

7339.700

(ii) Intangible Assets

 

347.100

284.800

(iii) Capital work-in-progress

 

4736.600

4655.600

(iv) Intangible assets under development

 

3371.400

3061.800

(b) Non-current Investments

 

3079.500

3079.500

(c) Deferred tax assets (net)

 

0.000

0.000

(d)  Long-term Loan and Advances

 

2941.600

3073.700

(e) Other Non-current assets

 

0.000

0.000

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

 

0.000

0.000

(b) Inventories

 

4530.700

3050.700

(c) Trade receivables

 

2608.400

3117.300

(d) Cash and cash equivalents

 

759.400

1616.700

(e) Short-term loans and advances

 

1057.100

716.200

(f) Other current assets

 

0.000

0.000

TOTAL

 

31644.300

29996.000

 

 

SOURCES OF FUNDS

 

 

 

31.03.2010

SHAREHOLDERS FUNDS

 

 

 

1] Share Capital

 

 

7232.970

2] Share Application Money

 

 

0.000

3] Reserves & Surplus

 

 

399.480

4] (Accumulated Losses)

 

 

(2116.140)

NETWORTH

 

 

5516.310

LOAN FUNDS

 

 

 

1] Secured Loans

 

 

15343.290

2] Unsecured Loans

 

 

4638.070

TOTAL BORROWING

 

 

19981.360

DEFERRED TAX LIABILITIES

 

 

0.000

 

 

 

 

TOTAL

 

 

25497.670

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

 

 

7152.210

Capital work-in-progress

 

 

4628.830

Intangible Assets Under Development

 

 

0.000

 

 

 

 

INVESTMENT

 

 

3156.440

DEFERREX TAX ASSETS

 

 

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories
 

 

3059.720

 

Sundry Debtors
 

 

4635.910

 

Cash & Bank Balances
 

 

989.520

 

Other Current Assets
 

 

2155.410

 

Loans & Advances
 

 

4260.580

Total Current Assets
 

 

15101.140

Less : CURRENT LIABILITIES & PROVISIONS
 

 

 

 

Sundry Creditors
 

 
2604.460

 

Other Current Liabilities
 

 
1307.880

 

Provisions
 

 
628.610

Total Current Liabilities
 

 

4540.950

Net Current Assets
 

 

10560.190

 

 

 

 

MISCELLANEOUS EXPENSES

 

 

0.000

 

 

 

 

TOTAL

 

 

25497.670

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

 

31.03.2012

31.03.2011

31.03.2010

 

SALES

 

 

 

 

 

Income

25604.000

17549.200

18685.060

 

 

Other Income

201.200

170.900

333.870

 

 

TOTAL                                     (A)

25805.200

17720.100

19018.930

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of Materials Consumed

8231.900

5813.600

 

 

Purchases of Stock-in-Trade

2370.300

2229.200

 

 

 

Employee Benefits Expense

2347.200

1719.400

 

 

 

Other Expenses

5216.900

3678.000

20922.120

 

 

Exchange Fluctuation Loss/(Gain), Net

270.500

(158.900)

 

 

 

Changes in inventories of Finished Goods Work-in-Progress and Stock-in-Trade

(901.000)

184.100

 

 

 

Exceptional Items

2160.900

2928.800

 

 

 

TOTAL                                     (B)

19696.700

16394.200

20922.120

 

 

 

 

 

Less

PROFIT / (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)     (C)

6108.500

1325.900

(1903.190)

 

 

 

 

 

Less

FINANCIAL EXPENSES                                    (D)

1607.700

2030.800

2319.730

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                (E)

4500.800

(704.900)

(7222.920)

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

663.700

615.800

710.480

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX (E-F)               (G)

3837.100

(1320.700)

(7933.400)

 

 

 

 

 

Less

TAX                                                                  (H)

1997.100

0.000

8.740

 

 

 

 

 

 

PROFIT / (LOSS) AFTER TAX (G-H)                  (I)

1840.000

(1320.700)

(7942.140)

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

NA

(2116.140)

(2967.590)

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Transfer to General Reserve

NA

0.000

(8793.590)

 

BALANCE CARRIED TO THE B/S

NA

(3436.840)

(2116.140)

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Exports of goods on F.O.B. basis

12094.400

6748.700

6863.950

 

 

Management and Technical fees

128.100

140.000

197.450

 

 

Outlicensing fees

1400.000

0.000

0.000

 

 

Royalty

7.300

6.200

28.540

 

 

Interest

31.400

28.700

72.580

 

 

Research and Development Services

101.900

31.500

0.000

 

 

Others

26.000

22.700

0.000

 

TOTAL EARNINGS

13789.100

6977.800

7162.520

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

2314.900

1449.200

1937.350

 

 

Component and Spares

217.900

86.800

0.000

 

 

Capital Goods

366.400

213.100

308.120

 

TOTAL IMPORTS

2899.200

1749.100

2245.470

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

 

 

 

 

Basic

16.81

(12.07)

(72.57)

 

Diluted

16.72

(12.07)

(72.57)

 

 

QUARTERLY RESULTS

 

PARTICULARS

 

30.06.2012

30.09.2012

31.12.2012

31.03.2013

Type

1st Quarter

2nd Quarter

3rd Quarter

4th Quarter

Net Sales

6073.800

6048.400

5548.300

7885.100

Total Expenditure

4779.900

4763.200

4775.100

5614.700

PBIDT (Excl OI)

1293.900

1285.200

773.200

2270.400

Other Income

57.500

381.000

133.100

353.300

Operating Profit

1351.400

1666.200

906.300

2623.700

Interest

292.000

259.900

187.300

503.900

Exceptional Items

(66.100)

2678.700

(31.000)

0.000

PBDT

993.300

4085.000

688.000

2119.800

Depreciation

159.700

203.100

224.400

220.600

Profit Before Tax

833.600

3881.900

463.600

1899.200

Tax

92.600

466.200

(42.500)

372.200

Profit After Tax

741.000

3415.700

506.100

1527.000

Net Profit

741.000

3453.000

506.100

1527.000

 

 

 KEY RATIOS

 

PARTICULARS

 

 

31.03.2012

31.03.2011

31.03.2010

PAT / Total Income

(%)
7.13

(7.45)
(41.76)

 

 
 

 
 

Net Profit Margin

(PBT/Sales)

(%)
14.99

(7.53)
(42.46)

 

 
 

 
 

Return on Total Assets

(PBT/Total Assets}

(%)
18.75

(6.88)
(35.65)

 

 
 

 
 

Return on Investment (ROI)

(PBT/Networth)

 
0.44

(0.20)
(1.44)

 

 
 

 
 

Debt Equity Ratio

(Total Liability/Networth)

 
2.35

3.47
4.45

 

 
 

 
 

Current Ratio

(Current Asset/Current Liability)

 
1.07

1.09
3.33

 

 

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

No

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]

PAN of Proprietor/Partner/Director, if available

No

32]

Date of Birth 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

 

FINANCIAL PERFORMANCE

 

The Company registered 23% growth in consolidated income to Rs. 46370.000 Millions and 46% growth in standalone income to Rs. 25810.000 Millions for the year ended March 31, 2012, on a year on year basis. The Profit before depreciation, interest and tax on a consolidated basis grew from Rs. 9320.000 Millions to Rs. 14630.000 Millions thereby registering a healthy growth of 57% and profit after tax on consolidated basis grew from Rs. 900.000 Millions to Rs. 3430.000 Millions. On a standalone basis, the Company registered profit after tax of Rs. 1840.000 Millions as against loss of Rs. 1320.000 Millions for the previous year.

 

CHANGES IN CAPITAL STRUCTURE

 

During the year, the Company allotted 3,23,15,130 Non-Convertible Cumulative Redeemable Preference Shares of Rs. 5/- each aggregating to Rs. 161.600 Millions in terms of approved CDR package dated July 4, 2009. There was no change in paid up equity share capital of the Company.

 

DIVESTMENT OF NUTRITION BUSINESS

 

Pursuant to the approval provided by the members of the Company, divestment of Nutrition business to Danone was completed on July 26, 2012. The Company along with its wholly owned subsidiary has received the entire consideration of Rs. 12800.000 Millions towards this divestment.

 

MANAGEMENT DISCUSSION AND ANALYSISA YEAR OF DRAMATIC TURNAROUND

 

2011-12 was a year of dramatic turnaround for Wockhardt as it accomplished the demanding goals it set for itself.

The company achieved many a milestone viz., a sterling overall business performance driven by the US, a new drug delivery product introduction, the resolution of FCCB bond issue. Profitability went up by a few notches to underlie the strong business foundation the Company has with its focus on R&D, manufacturing and consistent product availability.

 

SUSTAINED GROWTH IN TURNOVER:

 

The net sales grew by 23% to Rs. 46140.000 Millions from Rs. 37510.000 Millions achieved during the previous year.

 

The revenue growth in FY 2012 is higher by 23% over FY 2011 driven by 78% growth in US market, 17% growth in India and Emerging markets and 7% growth in European market (excluding France). The revenue split was lead by US operations at 41% (compared to 28% as in FY 2011) while European Business contributed 28% (compared to 38% in FY 2011) & India and Rest of the World contributing 31% (compared to 34% in FY 2011).

 

IMPROVED PROFITABILITY

 

The strong sales growth and controlled expenditure ensured substantial increase in EBITDA – rising by 57.2% (vs 43% in previous year) to Rs. 14400.000 Millions (vs Rs. 9160.000 Millions in previous year). Company’s EBITDA margins went up to 31.2% compared to 24.4% in the previous year. The company has recorded nine successive quarters of EBITDA growth.

 

As a result, the Company recorded net profits of Rs. 3430.000 Millions compared to Rs. 900.000 Millions in the previous year. Stripping out the exceptional items, the adjusted Net Profit after Tax (as computed below) of the Company was Rs. 9470.000 Millions vs Rs. 5850.000 Millions in the previous year, representing a growth of 62%.

 

BUSINESS OVERVIEW

 

US BUSINESS – GROWTH MOMENTUM

 

2011-12 marks the year when US business became the highest revenue generator for Wockhardt among its geographies for the first time. Revenue surged by 78% to Rs. 19080.000 Millions through its two subsidiaries Wockhardt USA and Morton Grove Pharmaceuticals. Treading on its philosophy of introduction of differentiated technology products, the Company scaled a new peak when it successfully introduced Fluticasone Propionate Nasal Spray in US markets this year. This nasal spray technology will not only have less competition but also provides an opportunity to introduce more such products. Earlier the Company had successfully introduced the extended release version of many products which was again technologically superior to the otherwise available instant release version. Company’s key product portfolio in both subsidiaries Wockhardt USA and Morton Grove Pharmaceuticals continued its strong performance to yet again generate a highly profitable growth. The company received 9 US ANDA approvals during the year. The company has plans to launch 15 to 18 products in US markets during the financial year 2012-13.

 

INDIAN AND EMERGING MARKET OPERATIONS

 

Indian branded business in particular, continues to grow ahead of the market growth rate. Manpower increases in strategically relevant therapy areas helped grow the power brands. Strategic initiatives were undertaken to strengthen our presence in Pain management to achieve leadership position in the coming 2-3 years. There are 5 brands featuring amongst top 200 brands and 7 in top 300 brands in Indian pharmaceutical industry. The overall Indian markets grew by 15% last year. The Company maintained its market share of 2% (IMS-MAT March 2012) in the Indian Pharmaceutical Industry, same as the year before. The emerging market business outside India at Rs. 2920.000 Millions has registered a growth of over 35% and company has clearly outlined this as a strategic area for growth.

 

EUROPEAN OPERATIONS

 

Wockhardt UK’s operations continued to be ranked 3rd largest in UK generic market, while it sustained 2nd rank in the UK hospital generics market. It continued to be the largest Indian pharmaceutical company in UK during the year. The revenues continued to have a good growth despite no growth in healthcare expenditure scenario by the government. The company expects to launch 20 new products in 2012-13. The Irish business subsidiary Pinewood Laboratories continued to be the 1st ranked generic company in the country. The Irish economy was marred by the prevalent slowdown in general; yet Pinewood had a positive sales growth driven by its export business. The Company expects to launch 20 new products in domestic and exports business in the coming year.

In France, the safeguard process was completed in the year under which the Company restructured the loans, initiated reduction in costs by re-aligning product manufacturing and undertook significant manpower reduction. The Company is focused on the development of a patented product as well as bolster its generic portfolio to improve the business performance.

 

ANALYSIS OF CONSOLIDATED FINANCIAL PERFORMANCE

 

Keeping up with the spirit of More & More with Less and Less, the Company continued to focus on productivity and efficiencies. Material consumption at 36% was about 4% less than the previous year. The blended interest cost continued at less than 6%, with higher cost domestic loans being repaid. The cash flow from operating activities were Rs. 11840.000 Millions (vs Rs. 6420.000 Millions in the previous year), an increase of 85%.

 

GLOBAL TRENDS AND INDIAN SCENARIO

 

Globally, the pharmaceutical market stood at US$ 880-890 billion (Source: IMS Market Prognosis) and is projected to grow by 4-5% in 2012. While the world’s largest market, USA is expected to have a lower growth projection of around 3%, the key drivers of growth will be China which is expected to grow at 15-20% to about US$ 60 billion, India (growing at 15%) and other smaller markets to follow. Significantly though, in the US pharmaceutical market the Generic Pie has increased to about US$100 billion (Generics, Branded Generics and OTC) which is where the opportunity lies for Wockhardt. The Indian pharmaceutical industry grew at stable rate of 14-15% in terms of revenues and 9% in terms of units during the year ended March 2012 (IMS MAT March 2012) and is expected to maintain similar growth for the next few years. Major expansions in healthcare services including tertiary care as well as rapid growth in healthcare insurance coverage will be the key driver in the market growth.

 

 

CONTINGENT LIABILITIES AND COMMITMENTS (TO THE EXTENT NOT PROVIDED FOR):

 

a) Demands by Central Excise authorities in respect of Classification/Valuation/Cenvat Credit related disputes; stay orders have been obtained by the Company in case of demands which have been confirmed Rs. 51.800 Millions (Previous Year – Rs. 51.800 Millions).

 

(b) Demand by Income tax authorities Rs. 416.300 Millions (Previous Year – Rs. 773.500 Millions) disputed by the Company.

 

(c) Corporate Guarantee given on behalf of various subsidiaries in respect of credit facilities amounts to Rs. 12707.500 Millions (Previous Year – Rs. 12374.900 Millions). This comprises corporate guarantee given by the Company and Wockhardt UK Holdings Limited against loan of USD 250 million amounting Rs. 12707.500 Millions (Previous Year – Rs. 11152.500 Millions) taken by Wockhardt EU Operations (Swiss) AG in earlier years. The said loan is comprehensively covered under CDR Scheme and is being rescheduled. As on March 31, 2012 lenders aggregating 86.8% (Previous Year – 69%) of the loan value have acceded to the reschedulement.

 

This loan availed by the subsidiary is secured by:

 

(i) First ranking pari passu charge on immovable properties of Wockhardt Limited situated at Kadaiya, Daman and Baddi in Himachal Pradesh.

 

(ii) Second ranking pari passu charge by way of hypothecation on all the current assets, movables, inventories and book debts of Wockhardt Limited.

 

Further, out of loan of Rs. 12707.500 Millions, term loan of Rs. 5133.800 Millions, in addition to aforesaid security, is also secured by:

 

(i) Subservient charge on movable properties of Wockhardt Limited situated at Bhimpore (Daman), Ankleshwar, L-1, D-4, Chikhalthana and Biotech Park, Waluj, Aurangabad (except book debts and current assets).

 

(ii) Subservient charge on movable properties of Wockhardt Infrastructure Development Limited situated at Shendra, Aurangabad. Also, the Company has made an application to Reserve Bank of India for obtaining its approval to create a subservient charge on fi xed assets of the Company situated at all locations except Baddi and Kadaiya in Daman.

 

(d) Claims against Company not acknowledged as debt in respect of disputed derivative contracts Rs. Nil (Previous Year – Rs. 3322.500 Millions).

 

(e) The Group is involved in other disputes, lawsuits, claims, inquires and proceedings, including commercial matters that arise from time to time in the ordinary course of business. The group believes that there are no such pending matters that are expected to have any material adverse effect on its financial statements in any given accounting period.

 

(f) Estimated amount of contracts remaining to be executed on capital account and not provided for Rs. 559.100 Millions (Previous Year – Rs. 328.700 Millions) after deducting advance on capital account of Rs. 159.700 Millions (Previous Year – Rs. 88.200 Millions).

 

 

FIXED ASSETS:

 

·         Trademarks / Technical knowhow

·         Software

·         Freehold land

·         Leasehold land

·         Buildings

·         Plant and Machinery

·         Furniture and Fittings

·         Office Equipments

·         Information Technology Equipments

·         Vehicles

 

PRESS RELEASE:

 

Mumbai, May 27, 2013

 

Wockhardt Crosses the billion dollar mark $1Bn in Sales Continues to be amongst the Top Pharma Companies on PAT and Operating Profit Growth With

 

365% Growth in Profit After Tax at Rs.15940.000 Millions

 

52% Growth in Operating Profit at Rs.20910.000 Millions

 

29% Growth in Revenues at Rs.56100.000 Millions in 2012--‐13

 

Particular

Q4-FY13

Q4-FY12

FY13

FY12

 

Jan-Mar

2013

Jan-Mar

2012

Apr-Mar

2013

Apr-Mar

2012

 

Rs. in Millions

Gwth

Y-O-Y

Rs. in Millions

Rs. in Millions

Gwth

Y-O-Y

Rs. in Millions

Sales

14860.000

26%

11750.000

56100.000

29%

43510.000

Operating Profit

5460.000

32%

4140.000

20910.000

52%

13770.000

Op. Profit Margins %

36.7%

 

35.2%

37.3%

365%

31.06%

Profit After Tax

PAT Margins

3350.000

22.5%

 

(1920.000)

(16.3%)

15940.000

28.04%

365%

3430.000

7.9%

EPS

30.60

 

(17.50)

145.60

 

31.30

 

 

Financial Year 2012--‐13

 

Wockhardt Limited, the Pharmaceutical and Biotechnology major reported once again a good performance with consolidated revenue of Rs. 56100.000 Millions, and a Profit After Tax of Rs.15940.000 Millions in the Financial Year 2012-- 13. The Profit After Tax margin is at 28.4%.

 

Consolidated revenues showed a growth of 29% and the Profit After Tax grew by 365% over Financial Year 2011-‐12 respectively.

 

Wockhardt’s Operating Profit for Financial Year 2012--‐13 stands at Rs.20910.000 Millions, with Operating Profit Margin at 37.3%, one of the highest in the industry and has improved from 31.6% in Financial Year 2011--‐12.

 

According to Dr. Habil Khorakiwala, Founder Chairman and Group CEO, Wockhardt Limited, “the strong growth that we have achieved in this financial year is the result of a robust global strategy, continued focus on R and D and the commitment and confidence of Team Wockhardt. Driving profitable growth is integral to our business strategy.”

 

Quarter Ended 31st Mar 2013

 

The Profit After Tax for Q4FY13 stood at Rs.3350.000 Millions compared to a loss of Rs.1920.000 Millions reported in corresponding quarter in the previous year.

 

The Operating Profit was at Rs.5460.000 Millions for Q4FY13, representing a growth of 32% over corresponding quarter in the previous year. Operating Profit margins were at 36.7% for Q4FY13.

 

Consolidated revenues grew by 26% to Rs. 14860.000 Millions over the corresponding quarter in the previous year.

 

Other Financials

 

The Earnings per Share was at Rs. 145.6 for the Financial Year 2012--‐13.

 

 

Research and Development

 

R and D continues to be at the core for Wockhardt. During the year 2012--‐13 R and D expenses stood at 6.7% of sales compared to 5.7% of sales in 2011--‐12.

 

Wockhardt filed 20 new product applications with USFDA in Financial Year 2012--‐13 and received approvals for 12 products during the year. Cumulative products pending approval with USFDA stands at 46 as on March 2013.

 

Wockhardt also filed for 162 patents during the year taking the cumulative filings to 1733 and has been granted 52 patents during the year taking the cumulative patents granted to 206. Wockhardt won the Pharmexcil Award for the highest number of patents filed for the 4th year in a row.

 

Dr. Habil Khorakiwala, Founder Chairman and Group CEO, Wockhardt Limited, further added, “R and D continue to be at the core of the organization. We have undertaken significant investments in talent and new technologies at R and D to keep it at the forefront of latest developments. With R and D at 6.7% of sales, the organization maintains one of the best investments in the industry towards its R and D programs.”

 

Dividend

 

The board of directors have recommended a dividend of 100% on equity shares i.e. Rs.5/--‐ per share. 

 

Business Highlights

 

Wockhardt’s International Business contributed 83% of the Total Revenues during the quarter.

 

Wockhardt’s US business recorded a growth of 52% in Financial Year 2012--‐13 compared to the Financial Year 2011--‐12. The growth in the US market was mainly driven by cache of niche launches including its 2 FTF products during the year.

 

The growth was also aided by increase in market share of some key products. Wockhardt now has 18 products which are at no. 1 position and 17 products which are at no. 2 position in the US market.

 

The UK business recorded a growth of 24% in Financial Year 2012--‐13 in an otherwise stagnant market. The Irish market recorded a growth of 13% in Financial Year 2012--‐13.

 

The India business grew by 8% and the Emerging Markets business grew by 24% in Financial Year 2012--‐13.

 

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

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.

 

 

 

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No records 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.62.14

UK Pound

1

Rs. 99.02

Euro

1

Rs. 83.87

 

 

INFORMATION DETAILS

 

Report Prepared by :

VNT

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.