MIRA
INFORM REPORT
|
Report Date : |
12.10.2013 |
IDENTIFICATION DETAILS
|
Name : |
ASIAN PAINTS LIMITED (w.e.f. 02.06.2005) |
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Formerly Known
As : |
ASIAN PAINTS INDIA LIMITED |
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Registered
Office : |
6-A, Shanthi Nagar, Vakola Pipe Line, Santacruz (East), Mumbai –
400055, Maharashtra |
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Country : |
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Financials (as
on) : |
31.03.2013 |
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Date of
Incorporation : |
24.10.1945 |
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Com. Reg. No.: |
11-004598 |
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Capital
Investment / Paid-up Capital : |
Rs. 959.200 Millions |
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CIN No.: [Company Identification
No.] |
L24220MH1945PLC004598 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMA00665A /
NGPA00953B / PNEA01615F / MUMA08600E |
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PAN No.: [Permanent Account No.] |
AAACA3622K |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares
are Listed on The Stock Exchanges. |
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Line of Business
: |
Manufacturer of
Paints. |
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No. of Employees
: |
5236 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (75) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
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Maximum Credit Limit : |
USD 120890000 |
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Status : |
Very Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a well
established and a reputed company having fine track record. Financial
position of the company appears to be sound. Fundamentals are strong and
healthy. Trade relations are reported as fair. Business is active. Payments are
reported to be regular and as per commitment. The company can
be considered good for business dealings at usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – 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 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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.
INFORMATION DENIED
Management Non-Cooperative (91-22-39818000)
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
AAA (Long Term Rating) |
|
Rating Explanation |
Highest degree of safety and lowest credit
risk. |
|
Date |
15.06.2012 |
LOCATIONS
|
Registered Office : |
6-A, Shanthi Nagar, Vakola Pipe Line, Santacruz (East), Mumbai –
400055, Maharashtra |
|
Tel. No.: |
91-22-56958000/ 39818000/
39818990/ 39818387 |
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Fax No.: |
91-22-56958803/
8888/ 8107/ 39818888/ 39818787 |
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E-Mail : |
compliance.officer@asianpaints.com
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Website : |
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Factory : |
·
Plot No. 1, IMT, Sector 30 B, PO ·
Plot A1, MIDC, Khandala Industrial Area, Taluka
Khandala, Satara - 412 802, ·
Taloja Plant
(Industrial Paints): Plot No. 3/ 2, MIDC, Taloja, Raigad -
410 208, ·
Phthalic Plant: Plot
No. 2702, GIDC Industrial Area, Ankleshwar - 393 002, ·
Penta Plant:
B-5 and 10, Sipcot Industrial Complex, Cuddalore - 607 005, Tamil Nadu, |
DIRECTORS
As on : 31.03.2013
|
Name : |
Mr. Ashwin C. Choksi |
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Designation : |
Chairman and Managing Director |
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Qualification : |
M. Com. |
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Date of Appointment : |
01.01.1965 |
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Name : |
Mr. K.B.S. Anand |
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Designation : |
Managing Director and Chief Executive Officer |
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Date of Appointment : |
01.04.2012 |
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|
Name : |
Mr. Ashwin S Dani |
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Designation : |
Vice Chairman and Managing Director |
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Qualification : |
B. Sci (Hons.), B. Sci (Tech.), M.S. |
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Date of Appointment : |
01.10.1968 |
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Name : |
Mr. Abhay Vakil |
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Designation : |
Managing Director |
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Qualification : |
B.Sci., B.S. |
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Date of Appointment : |
05.08.1974 |
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Name : |
Mr. Mahendra C
Choksi |
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Designation : |
Director |
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Name : |
Mr. Amar A Vakil |
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Designation : |
Director |
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Name : |
Mrs. Ina Dani |
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Designation : |
Additional Director |
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Name : |
Ms. Tarjani Vakil
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Designation : |
Chariperson of Audit Committee and Director |
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Name : |
Mr. Dipankar Basu |
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Designation : |
Director |
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Name : |
Mr. Mahendra Shah |
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Designation : |
Director |
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Name : |
Mr. Deepak M.
Satwalekar |
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Designation : |
Director |
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Name : |
Mr. R. A. Shah |
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Designation : |
Additional Director |
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Name : |
Dr. Swaminathan
Sivaram |
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Designation : |
Additional Director |
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Name : |
Mr. S Ramadorai |
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Designation : |
Additional Director |
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Name : |
Mr. M. K. Sharma |
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Designation : |
Additional Director |
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Date of Appointment : |
25.10.2012 |
KEY EXECUTIVES
|
Name : |
Mr. Jayesh Merchant |
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Designation : |
Chief Financial Officer and Company Secretary |
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Name : |
Mr. K.B.S. Anand |
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Designation : |
Managing Director and Chief Executive Officer |
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Audit Committee: |
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Shareholders Grievance/ Investors Grievance Committee: |
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Remuneration Committee: |
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Share Transfer Committee: |
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SHAREHOLDING PATTERN
As on : 30.06.2013
|
Category of Shareholders |
No. of Shares |
Percentage of
holding |
|
(A) Shareholding of Promoter and Promoter Group |
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|
|
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|
10218531 |
10.65 |
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|
40413128 |
42.13 |
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|
50631659 |
52.79 |
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Total shareholding of Promoter and Promoter Group (A) |
50631659 |
52.79 |
|
(B) Public Shareholding |
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|
846139 |
0.88 |
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|
64547 |
0.07 |
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|
6616198 |
6.90 |
|
|
18585550 |
19.38 |
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|
26112434 |
27.22 |
|
|
|
|
|
|
5601485 |
5.84 |
|
|
|
|
|
|
11343033 |
11.83 |
|
|
793638 |
0.83 |
|
|
1437530 |
1.50 |
|
|
1437530 |
1.50 |
|
|
19175686 |
19.99 |
|
Total Public shareholding (B) |
45288120 |
47.21 |
|
Total (A)+(B) |
95919779 |
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) |
95919779 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of
Paints. |
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Products : |
·
Interior Wall Finish Matt ·
Iractor Emulsion Smooth wall finish ·
Premium Emulsion ·
Royale luxury Emulsion ·
Elastameric Hi-Performance Exterior Paint ·
Apcolite Premium Glass Enamel ·
PU Wood Finish Exterior |
PRODUCTION STATUS [AS ON 31.03.2011]
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
|
|
|
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|
(a) Paints, enamels, varnishes – In House(2) |
MT / KL |
594150 |
474881(4) |
|
- Contract |
|
|
210882 |
|
(b) Synthetic Resins (For mainly captive
consumption) |
MT |
188880 |
123992(5) |
|
(c) Phthalic Anhydride |
MT |
29796 |
21241(6) |
|
(d) Maleic Acid |
MT |
4860 |
3483 |
|
(e) Pentaerythritol |
MT |
5400 |
5400(7) |
|
(f) Sodium Formate |
MT |
3300 |
3226 |
|
(g) Formaldehyde (100%)(8) - Cuddalore |
MT |
8100 |
5951 |
|
- Purchase |
|
- |
- |
NOTES:
1. Installed capacities are as certified by the management on which
auditors have relied.
2. Manufacturing plants at Mumbai, Ankleshwar, Patancheru, Kasna,
Sriperumbudur and Taloja.
3. Manufacturing plants at Mumbai, Ankleshwar, Patancheru, Kasna,
Sriperumbudur.
4. Includes 6,662 MT (Previous year 6,012 MT) of products processed for
third party.
5. Includes 2,823 MT (Previous year 2,210 MT) of resins processed for
third party.
6. Includes 13,225 MT (Previous year 10,696 MT) Phthalic Anhydride
transferred to paint plants for captive consumption.
7. Includes 2,424 MT (Previous year 2,375 MT) Pentaerythritol
transferred to paint plants for captive consumption.
8. Mainly for internal consumption in the manufacture of
Pentaerythritol.
GENERAL INFORMATION
|
No. of Employees : |
5236 (Approximately) |
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Bankers : |
Not Available |
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Facilities : |
(Rs in Millions)
Note : 1. Interest free Term
loan from the Pradeshiya Industrial Corporation of U.P. Limited (PICUP) under
Sales Tax Deferment Scheme of Government of U.P. is secured by a first charge
on the Company’s immovable properties pertaining to the paint plant at Kasna
and by way of hypothecation of all movable properties at the above location.
This interest free loan has a deferment period of 10 years and is repayable
in 9 yearly installemts starting from May, 2007 as per repayment schedule.
Out of the total sales tax deferment loan of Rs. 306.000 Millions the company
has already repaid Rs. 182.300 Millions till 31st March, 2013 and
balance amount of Rs. 123.700 Millions is repayable in next 3 years upto May,
2015. 2. The company is
also eligible to avail interest free loan in respect of 50% of VAT paid
within Haryana on the sale of goods produced at Rohtak plant for a period of
7 financial years beginning from April, 2010. For the period ended 31st
March, 2011 the company has received the eligibility certificate from the
Government of Haryana sanctioning an interest free loan of Rs. 34.000
Millions on 2nd April, 2012, of which Rs.1.98 Millions has been
received by the company in March, 2013. This loan is secured by way of a bank
guarantee issued by the Company and is repayable after a period of 5 years
from the date of receipt of interest free loan. For the year ended 31st
March, 2012, the company has made the necessary application to the Haryana
Government for the issue of eligibility certificate and for the year ended 31st
March, 2013 the company is in the process of making the necessary
application. |
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Auditor 1 : |
|
|
Name : |
Shah and Company Chartered
Accountants |
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Auditor 2 : |
|
|
Name : |
BSR and Associates Chartered Accountants |
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Joint Venture: (In which the Company has 50% equity interest) : |
i) PPG Asian
Paints Private Limited (Formerly known as Asian PPG Industries Limited) Subsidiary of
Asian PPG Industries Limited: a) Faaber Paints Private Limited b) PPG Asian Paints Lanka Private Limited ii) Asian Paints
PPG Private Limited (Formerly known as Asian Paints PPG Limited) |
|
|
|
|
Subsidiaries : |
Direct
Subsidiaries : ·
Asian Paints ( ·
Asian Paints (International) Limited, ·
Asian Paints Industrial Coatings Limited, ·
Multifacet Infrastructure ( ·
Maxbhumi Developers Limited, ·
AP Coatings Limited, |
|
|
|
|
Subsidiaries : |
Indirect Subsidiaries (Subsidiaries of the wholly owned subsidiary,
Asian Paints (International) Limited, ·
Asian Paints (South Pacific) Limited, ·
Asian Paints ( ·
Asian Paints (S.I.) Limited, ·
Asian Paints ( ·
Asian Paints (Lanka) Limited, ·
Asian Paints ( ·
Asian Paints (Middle East) LLC Sultanate of ·
SCIB Chemicals S.A.E. Egypt ·
Samoa Paints Limited, ·
Berger International Limited, Subsidiary of
Asian Paints (South Pacific) Limited : ·
Taubmans Paints ( Subsidiaries of
Berger International Limited : ·
Berger Paints Singapore Pte Limited ·
·
Enterprise Paints Limited, ·
Universal Paints Limited, ·
Lewis Berger (Overseas Holdings) Limited, Subsidiary of
Enterprise Paints Limited : ·
Nirvana Investments Limited, Subsidiary of
Nirvana Investments Limited : ·
Berger Paints Emirates Limited, U.A.E Subsidiaries of
Lewis Berger (Overseas Holdings) Limited : ·
Berger Paints Jamaica Limited, ·
Berger Paints Trinidad Limited, ·
Berger Paints Barbados Limited, Subsidiary of
Universal Paints Limited : ·
Berger Paints |
CAPITAL STRUCTURE
As on : 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
99500000 |
Equity Shares |
Rs.10/- each |
Rs.995.000 Millions |
|
50000 |
11% Redeemable Cumulative Preferences Shares |
Rs.100/- each |
Rs. 5.000 Millions |
|
|
Total |
|
Rs.1000.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
95919779 |
Equity Shares |
Rs. 10/-
each |
Rs.959.200 Millions |
|
|
|
|
|
A. Reconciliation of
the number of shares outstanding at the beginning and at the end of the year :
As on : 31.03.2013
|
Equity Shares |
No.
of Shares |
Amount
|
|
At the beginning of the period |
95919779 |
959.200 |
|
Add: Allotted during the period pursuant
to section 81(1A) of the Companies Act,1956. |
-- |
-- |
|
Outstanding
at the end of the period |
95919779 |
959.200 |
B. Details of Shareholders
holding more than 5% equity shares in the company :
Equity Shares
|
Name of Shareholder |
No. of Shares held |
% of Holding |
|
Smiti Holding and Trading Company Private Limited, |
5403062 |
5.63 |
|
ISISHolding and Trading Company Private Limited, |
5283062 |
5.51 |
|
Geetanjali Trading and Investments Private Limited, |
4926744 |
5.14 |
|
Life Insurance Corporation of |
4748836 |
4.95 |
C. Terms/rights attached to equity shares :
The company has only one class of shares
referred to as equity shares having a par value of Rs.10 per share. Each holder
of equity shares is entitled to one vote per share. The company declares and
pays dividends in Indian Rupees. Payment of dividend is also made in foreign
currency to shareholders outside
The Board of Directors at its meeting held on
25th October, 2012 declared an interim dividend of Rs.9.50 (Rupees
Nine and Paise Fifty only) per equity share of Rs.10 each. A final dividend of
Rs. 36.50 (Rupees Thirty Six and Paise Fifty only) per share has been
recommended by the Board of Directors at its meeting held on 9thMay, 2013,
subject to the approval by the shareholders at the ensuing Annual General
Meeting. If approved, the total dividend (interim and final dividend) for the
financial year 2012-13 will be Rs. 46 per equity share; Rs. 40 per equity share
was paid as dividend for the previous year. The total dividend appropriation
for the year ended 31st March, 2013 amounted to Rs.5155.200 Millions
including corporate dividend tax of Rs. 742.900 Millions (Previous year
Rs.4459.300 Millions including corporate dividend tax of Rs. 622.400 Millions)
As per the Companies act 1956, the holders of
equity shares will be entitled to receive remaining assets of the company,
after distribution of all preferential amounts in the event of liquidation of
the company. However no such preferential amounts exist currently. The
distribution will be in proportion to the number of equity shares held by the
shareholders.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders'
Funds |
|
|
|
|
(a) Share Capital |
959.200 |
959.200 |
959.200 |
|
(b) Reserves & Surplus |
29263.400 |
23918.600 |
18794.000 |
|
(c) Money
received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
0.000 |
0.000 |
0.000 |
|
Total Shareholders’
Funds (1) + (2) |
30222.600 |
24877.800 |
19753.200 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
467.600 |
521.100 |
577.100 |
|
(b) Deferred tax liabilities (Net) |
1433.300 |
807.500 |
755.000 |
|
(c) Other long term liabilities |
5.000 |
36.200 |
49.600 |
|
(d) long-term provisions |
767.700 |
651.600 |
664.300 |
|
Total Non-current Liabilities (3) |
2673.600 |
2016.400 |
2046.000 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
0.000 |
1105.100 |
39.800 |
|
(b)
Trade payables |
12141.200 |
10346.800 |
9318.900 |
|
(c)
Other current liabilities |
7209.900 |
6063.300 |
4645.000 |
|
(d) Short-term
provisions |
4235.500 |
3550.700 |
2747.500 |
|
Total Current Liabilities (4) |
23586.600 |
21065.900 |
16751.200 |
|
|
|
|
|
|
TOTAL |
56482.800 |
47960.100 |
38550.400 |
|
|
|
|
|
|
II. ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
20749.100 |
9877.900 |
10386.500 |
|
(ii)
Intangible Assets |
269.800 |
212.500 |
185.400 |
|
(iii)
Capital work-in-progress |
525.500 |
6028.400 |
396.700 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
3597.000 |
2792.200 |
2068.300 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
928.800 |
1805.200 |
977.800 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
26070.200 |
20716.200 |
14014.700 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current
investments |
900.000 |
2630.000 |
3410.000 |
|
(b)
Inventories |
14807.900 |
12644.200 |
10717.600 |
|
(c)
Trade receivables |
6338.800 |
5002.400 |
3555.600 |
|
(d) Cash
and cash equivalents |
5668.600 |
5009.700 |
5090.100 |
|
(e) Short-term
loans and advances |
1640.800 |
1005.000 |
847.900 |
|
(f)
Other current assets |
1056.500 |
952.600 |
914.500 |
|
Total Current Assets |
30412.600 |
27243.900 |
24535.700 |
|
|
|
|
|
|
TOTAL |
56482.800 |
47960.100 |
38550.400 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
89717.000 |
79641.600 |
63360.800 |
|
|
|
Other Income |
1261.500 |
1414.900 |
749.000 |
|
|
|
TOTAL (A) |
90978.500 |
81056.500 |
64109.800 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
51254.800 |
47227.400 |
36819.200 |
|
|
|
Purchases of Stock in Trade |
1995.600 |
1386.700 |
1055.600 |
|
|
|
Changes in Inventories of Finished Goods |
(1361.700) |
(1150.700) |
(1406.100) |
|
|
|
Employees Benefits Expenses |
4045.900 |
3416.300 |
3004.500 |
|
|
|
Other Expenses |
18309.700 |
15244.400 |
12315.000 |
|
|
|
TOTAL (B) |
74244.300 |
66124.100 |
51788.200 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
16734.200 |
14932.400 |
12321.600 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
305.600 |
308.200 |
153.500 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
16428.600 |
14624.200 |
12168.100 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
1269.800 |
994.900 |
944.800 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
15158.800 |
13629.300 |
11223.300 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
4658.800 |
4045.400 |
3471.800 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
10500.000 |
9583.900 |
7751.500 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
7000.000 |
6000.000 |
6000.000 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Interim Dividend |
911.300 |
911.300 |
815.300 |
|
|
|
Proposed Dividend |
3501.000 |
2925.600 |
2254.100 |
|
|
|
Tax on Dividend |
742.900 |
622.400 |
501.100 |
|
|
|
Transfer to General Reserve |
2344.800 |
4124.600 |
4181.000 |
|
|
BALANCE CARRIED
TO THE B/S |
10000.000 |
7000.000 |
6000.000 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings of Own Product at FOB Value |
261.900 |
211.600 |
238.100 |
|
|
|
Export of Traded Goods at FOB Value |
7.900 |
3.700 |
7.500 |
|
|
|
Royalty |
196.100 |
145.400 |
126.300 |
|
|
|
Others Receipt
Including Recoveries from Subsidiaries |
83.600 |
61.800 |
67.600 |
|
|
TOTAL EARNINGS |
549.500 |
422.500 |
439.500 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
12478.900 |
9579.400 |
7418.500 |
|
|
|
Stores & Spares |
45.800 |
17.700 |
56.100 |
|
|
|
Capital Goods |
2175.000 |
1434.500 |
68.300 |
|
|
|
Others |
0.000 |
0.000 |
3.800 |
|
|
TOTAL IMPORTS |
14699.700 |
11031.600 |
7546.700 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
109.47 |
99.92 |
80.81 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2013 |
|
Net Sales |
23196.800 |
|
Total Expenditure |
19004.800 |
|
PBIDT (Excl OI) |
4192.000 |
|
Other Income |
521.200 |
|
Operating Profit |
4713.200 |
|
Interest |
47.600 |
|
Exceptional Items |
0.000 |
|
PBDT |
4665.600 |
|
Depreciation |
529.900 |
|
Profit Before Tax |
4135.700 |
|
Tax |
1296.500 |
|
Provisions and contingencies |
0.000 |
|
Profit After Tax |
2839.200 |
|
Extraordinary Items |
0.000 |
|
Prior Period Expenses |
0.000 |
|
Other Adjustments |
0.000 |
|
Net Profit |
2839.200 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
11.54
|
11.82 |
12.09 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
1.69
|
17.11 |
17.71 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
28.95
|
34.82 |
31.10 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.50
|
0.55 |
0.57 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.02
|
0.07 |
0.03 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.29
|
1.29 |
1.46 |
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 |
No |
|
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 |
No |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
UNSECURED LOANS:
(Rs in Millions)
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
|
Sales tax deferment scheme - State of |
374.800 |
397.400 |
|
Foreign Currency Loan (Buyers’ credit) |
0.000 |
1105.100 |
|
|
|
|
|
Total |
374.800 |
1502.500 |
Note :
1. Sales tax
deferment - State of
2. Foreign currency loan
carried interest @ LIBOR plus 0.50% p.a, repaid on their respective due dates
in 2012-2013. Default in terms of repayment of principal and interest - NIL
MANAGEMENT DISCUSSION AND ANALYSIS :
Post the financial crisis in 2008, most of the
economies took the stimulus route to bring growth on track. On the back of
these strong stimulus measures, the world economy staged a smart turnaround in
2009 and 2010. However, since 2011, the world economy is getting weighed down
by the financial crisis in Europe and general slowdown in developed countries
including
With growth coming down sharply, the most
visible impact has been felt on the government finances. Fiscal deficit and
Current Account deficit have gone beyond the budgetary targets. Several steps
announced recently have been with a view to control government spending and
bring the deficits under control.
Demand conditions have been subdued, more so
in the later part of the year. Commodity prices however, have corrected as
demand has started falling down. The impact of lower commodity prices has been
partly negated by the weak Indian rupee. The rupee remained weak for most part
of the year. On the positive side, Inflation has started coming down and in
response to this, the RBI has also started on monetary easing gradually.
Inspite of the challenges being faced,
PRODUCTS AND MARKETS :
The Company operates in Decorative Coatings
and Industrial Coatings segments across
The Paint market in
International markets were impacted due to
continuing political unrest in the Middle East especially in
However, compared to the slowdown seen in
other industries, the paint market performed better.
DECORATIVE
Decorative paints account for over 75% of the
overall paint market in
The overall slowdown in the economy impacted
the retail demand for decorative paints. However, inspite of this,
the Company increased its market presence in
most parts of the country.
Value growth remained healthy due to higher
realisations over the previous year. The product mix offered by the Company
continues to get richer with higher growth in emulsions. The Company has
successfully strengthened its presence in the premium segment over the last few
years. The growth in interior emulsions was led by the Royale brand and its
variants (Royale, Royale Shyne and Royale Lustre). Teflon co-branding continued
to give the Royale brand a performance and perception edge in the market.
Royale today, is becoming most preferred brand at premium end in most markets.
The launch of new ultra-luxury Royale Aspira in some markets led to significant
excitement in the premium end of the market.
The exterior emulsion category continued to
grow well. At the top end, Apex Ultima
grew extremely well due to the successful advertising campaign and several
field marketing activations. Significant efforts were made to drive the usage
of correct painting system on exteriors. As a result, there has been good
growth in sale of Exterior Primer and Asian Wall Putty.
The ‘SmartCare’ range comprising of water
proofing and crack bridging products were launched in several parts of the
country during the year and received an excellent response from consumers. Wood
finish market has been an area of great focus. The Company has worked to
position itself as a ‘trusted expert’ in the area by offering a complete range
of wood finishes. Polyurethane and Polyester products in collaboration with
Renner of Italy were launched in key wood finish markets with reasonable
success.
The Company continued to broaden its network
by installing more than 2900 Colour Worlds, taking the tally of Colour World
dealers to over 24000 across the country. At the top of retailing hierarchy,
the Company increased Colour Ideas Stores to almost 100 by installing a record
54 new Stores during the financial year. The Colour Consultancy service at
these Colour Ideas Stores has made a huge impact with more than 28000 consumers
approaching for the consultancy services during the year. The Stores are
successful in promoting premium, smooth and texture paints to their customers.
The Company continues to drive innovative
marketing initiatives to help brand ‘asianpaints’ to be a responsible
and caring brand. The ‘Beautiful Homes Guide’
advertising campaign received excellent response from customers.
Hassle-free painting solutions offered through
the Asian Paints Home Solutions (APHS) service was used across 13 cities. The
service experience was enhanced by introducing mechanisation in painting.
Customer satisfaction scores and customer feedback continue to guide the APHS
operations. Colour Next (annualcolour trend forecast) has become a strong brand
amongst Architects and Interior Decorators (AIDs).
Lower inflation in most of the key raw
materials as compared to previous years, especially during the later part of
the year was a key feature in the financial year 2012-13. Overall, there was no
major concern on availability of raw materials. However, the increase in diesel
prices and shortage of power did impact prices on some of the domestic raw
materials and packing materials. The increase in diesel prices had an adverse
impact on the Company and availability of grid power has been a concern in some
of the Company’s manufacturing facilities.
The Company’s seventh and largest decorative
paint manufacturing facility in Khandala (
INTERNATIONAL OPERATIONS :
Global slowdown continued to impact the
international markets where the Company operates. The political turmoil in
Initiatives like improving customer
centricity, increasing the number of dealer tinting systems, introduction of
new products, expanding the dealer network, increasing exports, focussing on
protective and industrial coating segments and improving service level to
minimise loss of sale due to stock outs,
were undertaken in the international markets of the group to strengthen the
position in the market place. All these steps
coupled with tight control on expenses,
material cost and capital employed have helped the international operations of
the group to deliver a strong performance despite difficult market conditions.
All subsidiaries continued to focus on
reducing environmental impact of their operations through initiatives to
minimise waste generation and energy usage. All overseas manufacturing
subsidiaries with the exception of the subsidiary in
Revenues from paint sales of the overseas
operations of the group have increased by 23% to Rs.1,4006.000 Millions.
Adjusted for foreign exchange rate impact, the revenue from paint sales of the
overseas operations of the group during the current year is Rs.12864.000
Millions resulting in a growth of 13% over the previous year.
Material price inflation during the year was
moderate. The impact of inflation was mitigated by formulation re-engineering,
sourcing gains, reducing material losses in manufacturing and product price
increases wherever feasible. Profit after tax for the overseas subsidiaries of
the group during the year is Rs.1049.000 Millions as compared to Rs.7230.000
Millions during the previous year.
The dividends from overseas subsidiaries
during the year amounted to Rs.249.000 Millions as compared to Rs.243.000
Millions during the previous year.
Royalty received during the year from overseas
subsidiaries amounted to Rs.2060.000 Millions as compared to Rs.1520.000
Millions during the previous year. The revenues from paint sales of Berger
International Limited, a subsidiary listed on the Singapore Stock Exchange has
increased by 6% to S$ 113.000 million (equivalent to Rs.496.700 Millions). The
subsidiary has earned a profit after tax of S$ 4.750 million (Rs.208.500
Millions) as compared to S$ 1.840 million (Rs. 71.00 Millions) during the
previous year.
The region-wise performance is detailed below:
Caribbean Region (
During the year, the revenue from paint sales
has increased by 15% to Rs.1972.000 Millions from Rs.1718.000 Millions.
Adjusted for exchange rate impact, the revenue from paint sales has increased
by 6%. PBIT (profit before interest and tax) for the region is Rs.112.000
Millions as compared to Rs.76.000 Millions during the previous year. Continuing
economic slowdown in all the
Asia Region (
During the year, revenue from paint sales has increased
by 21% to Rs.3800.000 Millions from Rs.3147.000 Millions during the previous
year. Adjusted for exchange rate impact, the revenue from paint sales has
increased by 17%. The PBIT for the region is Rs.356.000 Millions as compared to
Rs.246.000 Millions during the previous year.Expansion of the manufacturing
capacity in
South Pacific Region (
During the year, revenue from paint sales has
increased by 25% to Rs.1134.000 Millions from Rs.906.000 Millions. Adjusted for
exchange rate impact, the revenue from paint sales has increased by 12%. The
PBIT for the region is Rs.154.000 Millions as compared to Rs. 122.000 Millions
during the previous year.
OUTLOOK :
The macroeconomic environment and growth
prospects of
The Company has significant presence outside
But as always, the Company remains cautiously
optimistic and hopes for an inclusive growth in this volatile and exciting
environment.
CONTINGENTLIABILITIES
AND COMMITMENTS :
Rs in Millions
|
Contingent
Liabilities : |
31.03.2013 |
|
Guarantee given on behalf of Company’s dealers in respect of loans
granted to them by a bank for acquiring dealer tinting systems. |
3.800 |
|
Letters of comfort/support to banks on behalf of some of its
subsidiaries. The Company has also issued a letter to the board of a
subsidiary informing its commitment to continue extending letters of comfort
for banking facilities (as included in the above) for a period upto 15th
May, 2014. |
2244.800 |
|
Claims against
the Company not acknowledged as debts |
|
|
Tax matters in dispute under appeal |
781.900 |
|
Others |
99.700 |
AUDITED FINANCIAL
RESULTS FOR THE QUARTER ENDED 30th JUNE, 2013
(Rs. in Millions)
|
Sr. No. |
Statement of
Standalone Audited Results for the Quarter Ended 30" June, 2013 |
AUDITED |
|
|
|
Quarter Ended |
|
|
|
30.06.2013 |
|
1. |
Income from
operations |
|
|
|
a) Net sales / income from operations (Net of excise duty) |
23008.000 |
|
|
b) Other operating income |
188.800 |
|
|
Total income from
operations (net) |
23196.800 |
|
2. |
Expenses |
|
|
|
a) Cost of materials consumed |
11907.400 |
|
|
b) Purchases of stock-in-trade |
643.400 |
|
|
c) Changes in inventories of finished goods, work in progress and stock-in-trade |
397.600 |
|
|
d) Employee benefits expense |
1352.900 |
|
|
e) Depreciation and amortisation expense |
529.900 |
|
|
f) Other expenses |
4703.500 |
|
|
Total expenses |
19534.700 |
|
3. |
Profit from operations before other income and finance costs (1-2) |
3662.100 |
|
4. |
Other income (Refer Note 3) |
521.200 |
|
5. |
Profit from ordinary activities before finance costs (3+4) |
4183.300 |
|
6. |
Finance costs |
47.600 |
|
7. |
Profit from ordinary
activities before tax (5-6) |
4135.700 |
|
8. |
Tax expense |
1296.500 |
|
9. |
Net Profit from
ordinary activities after tax (7-8) |
2839.200 |
|
10. |
Paid-up equity share capital (Face value of 7 10 per share) |
959.200 |
|
11. |
Reserves excluding Revaluation Reserves as at |
|
|
|
Balance Sheet date |
|
|
12. |
Basic and diluted
Earnings Per Share (EPS) (Rs.) (*not annualised) |
29.60* |
|
|
Information for the
Quarter Ended 30* June, 2013 |
Quarter Ended |
|
|
|
30.06.2013 |
|
A. |
PARTICULARS OF
SHAREHOLDING |
|
|
1. |
Public Shareholding |
|
|
|
- Number of shares |
45,288,120 |
|
|
- Percentage of shareholding |
47.21 |
|
2. |
Promoters and
Promoter Group Shareholding |
|
|
|
a) Pledged/Encumbered |
|
|
|
- Number of shares |
8,718,500 |
|
|
- Percentage of shares (as a % of the total shareholding of promoter and promoter group) |
16.15 |
|
|
- Percentage of shares (as a % of the total share capital of the company) |
8.53 |
|
|
b) Non-encumbered |
|
|
|
- Number of Shares |
42,453,159 |
|
|
- Percentage of shares (as a % of the total shareholding of promoter and promoter group) |
83.85 |
|
|
- Percentage of shares (as a % of the total share capital of the company) |
44.26 |
|
|
Particulars |
Quarter Ended 30.06.2013 |
|
B. |
INVESTOR COMPLAINTS |
|
|
|
Pending at the beginning of the quarter |
NIL |
|
|
Received during the quarter |
3 |
|
|
Disposed off during the quarter |
3 |
|
|
Remaining unresolved at the end of the quarter |
NIL |
Notes:
1. The above results were reviewed by the Audit Committee on 19th July, 2013 and approved by the Board of Directors at their meeting held on 22nd July, 2013.
2. A final dividend of Rs. 36.50 (Rupees thirty six and paise fifty only) per equity share of the face value of RS.10 each for the financial year 2012-2013 was approved by the shareholders at the Annual General Meeting held on 24th June, 2013 and the same was paid on 25* June, 2013.
3. Other income includes Rs. 257.500 Millions being the dividend received from its wholly owned subsidiary, Asian Paints International Limited (Mauritius) during the quarter ended 30* June, 2013.
4. The Company's business constitutes mainly of paints including intermediates (viz., Phthalic Anhydride that are incidental to the main business. In order to reflect the current business structure and financial reporting systems, business has been constituted as a single business segment in the context of Accounting Standard 17 - "Segment Reporting" as specified in the Companies (Accounting Standards) Rules, 2006 (as amended). Accordingly, no segmental information is disclosed.
5. The figures of previous periods have been regrouped, wherever required.
INDEX OF CHARGES
|
S. No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
80066019 |
20/03/2003 * |
381,577,364.00 |
PRADESHIYA INDUSTRIAL CORPORATION OF U.P.LTD |
PICUP BHAWAN, GOMTI NAGAR, LUCKNOW, Uttar Pradesh - 226006, INDIA |
- |
|
2 |
80066018 |
04/01/2001 * |
2,100,000,000.00 |
State Bank of India |
Corporate Account Group, Central Branch, Mumbai, Maharashtra - 400021, INDIA |
- |
* Date of charge modification
FIXED ASSETS:
- Buildings
- Plant and Machinery
- Scientific Research:
o Equipment
o Buildings
- Furniture and Office Equipment
- Vehicles
- Leased Assets: Equipment
- Trademark
- Software
AS PER WEBSITE
DETAILS:
PRESS RELEASE:
ASIAN PAINTS: RIDING
THE INDIAN MIDDLE CLASS
Asian Paints started
in 1942, reached the top of the Indian market in 1967 and has stayed there ever
since. It now sells through 35,000 dealers across India
October 10, 2013
Asian Paints has decorated India’s walls and ceilings for decades. Its secret? A loyal rural base, smart use of technology and a fixation on customer service
If you wanted to have a paint company, you’d want to be in an industrialising country, where millions were joining the middle class and buying their first homes. And you would have started it decades ago, lining up paint dealers in every town so you’d have a lock on the market when the country takes off. To keep your head start, you’d obsess about customer service, stay on top of technology and hire managers trained at the best schools. This is how Asian Paints came to dominate the walls and ceilings of India, creating three billionaires along the way.
Asian Paints started in 1942, reached the top of the Indian market in 1967 and has stayed there ever since. It now sells through 35,000 dealers across India. Over the last five years its revenue has nearly doubled, to USD 2 billion for the year ended March 31. Profits have more than doubled over the same period, to USD 205 million for that year. And the stock has jumped 140 percent since August 2008, giving it a market capitalisation of USD 6.3 billion.
It ’s now Asia’s third-largest paint company, behind Japan’s Kansai and Nippon (see table), and the world’s 13th largest. This year it appears on the Fab 50 for the third time in a row. “The company knows its customers well,” says Adrian Lim, senior investment manager at Aberdeen Asset Management, a UK firm that owns 1.6 percent of Asian Paints. “It has resilient business plans, healthy cash flows and a strong balance sheet.”
The Mumbai company - which sells paint and similar products- has been refashioning itself into a home decor company, hoping to benefit from India’s soaring urbanisation. “There’s been a massive transformation in the Indian consumer,” says KBS Anand, Asian Paints’s managing director and chief executive. “Earlier, people used to paint when the walls were peeling. Now it’s about decor.”
To capitalise on the trend, the company launched a premium range of paint in 2004 called Royale Play. Each paint adds a different special effect to interior walls, lending them a metallic luster, a soft sheen or a stucco finish, for example.
Stores too have gone upmarket. In 2009 the company introduced dealer-owned Colour Idea stores and now has 100 of them. Unlike traditional dealers who sell through hardware stores, the new stores focus on matching customers to the right colour.
They’re outfitted with boards displaying samples of interior and exterior finishes, and there’s a consultant who provides computer visuals showing how a room will look when painted. Asian Paints also runs two high-end showcase stores, in Mumbai and New Delhi. These don’t sell any paint, but have walls of displays showing various shades and textures under different light settings.
The company’s four founders sure weren’t thinking signature stores when they began making paint during World War II. With the war curtailing paint imports, Suryakant Dani, Champaklal Choksey, Chimanlal Choksi and Arvind Vakil decided to make paint locally. Today Asian Paints does business in 17 countries in the Middle East, South and Southeast Asia, the Caribbean and the South Pacific, and operates 25 paintmaking plants—10 in India and 15 overseas.
Descendants of three of the four founders—the Danis, Choksis and Vakils—own more than half the company, each with fortunes crossing $1 billion. The Chokseys exited in the late 1990s.
Anand, 58, took charge in April 2012 and is now spearheading three initiatives: A foray into the home improvement segment, bolstering the industrial paint division and boosting the international business. Last month Asian Paints bought a 51 percent stake, for $20 million, in Indian kitchen company Sleek International, which sells modular kitchens and kitchen accessories. “This is an aligned business,” says Anand. “The basic customer is the same—the homeowner. Eventually we want to be in all areas of home improvement.”
With industrial paint Asian Paints last year forged a second joint venture with the US’s PPG to make industrial coatings, which include floor coatings and road markings. (The first JV was in 1997 for automotive coatings.) Industrial paint comprises only 6 percent of revenue, but is important for diversification. As for the international business, which contributes 13 percent of revenue, the company is looking to do more business in emerging markets such as Bangladesh and Nepal—and in the Middle East, which supplies half its overseas revenue. It wants 25 percent of revenue to come from international operations eventually.
Back in India, the economy has been slowing for three years. Another challenge is the falling rupee, because the company imports most of its raw materials. It raised prices by 5 percent last year and has announced three price hikes for this fiscal year.
Company executives are philosophical about the slowdown. “If the economy doesn’t grow [faster] and purchasing power is reduced, I don’t think paint is the most important thing that you’ll buy,” agrees Anand, who has seen many down cycles in his 34-year stint. “We’ll have to learn to live with lower growth.”
HSBC PUTS
'OVERWEIGHT' ON ASIAN PAINTS; SEES 25% UPSIDE
September 27, 2013
India's paints market is set to double every 6-7 years by volume and market leader Asian Paints is well placed to leverage growth, HSBC said in a note on Friday.
HSBC has started coverage on Asian Paints with an "overweight" rating and a price target of Rs 600, implying a 25 percent upside from current levels.
India's paints market is set to double every 6-7 years by volume and market leader Asian Paints is well placed to leverage growth, HSBC said in a note on Friday.
Asian Paints still stands to deliver volume growth of 9 percent in FY14, after impressive volume growth of 11 percent year-on-year in the first quarter of FY14, it said.
"While the valuation looks expensive, we believe it is actually pricing in relatively modest growth expectations," HSBC said. * At 9.30 a.m., shares in Asian Paints were up 0.5 percent at Rs 482.30.
On October 11, 2013, Asian Paints closed at Rs 483.65, up Rs 4.65, or 0.97 percent. The 52-week high of the share was Rs 524.70 and the 52-week low was Rs 376.35.
The company's trailing 12-month (TTM) EPS was at Rs 11.04 per share as per the quarter ended June 2013. The stock's price-to-earnings (P/E) ratio was 43.81. The latest book value of the company is Rs 31.51 per share. At current value, the price-to-book value of the company was 15.35.
ASIAN PAINTS TO
INVEST RS 1200.000 MILLIONS IN SLEEK; TO HOLD 51% STAKE
Aug 08, 2013, 06.23 PM IST
Asian Paints today said it will invest Rs 1200.000 Millions in kitchen solutions provider Sleek International, in which it will pick up 51 percent stake.
"The investment was approved by the board of Asian Paints Limited on
August 8 and the infusion of funds in two tranches of Rs 1200.000 Millions
shall be completed by August 10, 2013," the company said in filing to BSE.
Also read: Shalimar Paints standalone Jun '13 sales at Rs 1092.000 Millions
As part of the deal, Asian Paints will infuse Rs 997.800 Millions for 51
percent stake by subscription to equity shares of Sleek International Private
Limited (SIPL), which has been completed today.
The company would further infuse Rs 196.900 Millions on August 10, as the
second tranche of this transaction by further subscription to equity shares of SIPL
with a corresponding proportionate infusion by the existing promoters of SIPL.
The Ahuja family, promoters of Sleek International holds the balance 49 percent
stake and its current CEO Rajesh T Ahuja will continue in company.
"On completion of the infusion in the second tranche, the company would
continue to hold 51 percent stake in SIPL," Asian Paints said.
"The engagement with the Sleek management over the last few months has
reaffirmed our faith in the business and the opportunity of growth and synergy
that it offers us. This is also the first step in our strategic foray in the
Home Improvement space," Asian Paints Managing Director and CEO K B S
Anand said.
It will nominate 2 non executive directors on Sleek's board.
In March, Asian Paints had announced that it would acquire SIPL and the deal
would be funded through internal accruals by the company.
Asian Paints with a consolidated turnover of Rs 109700.000 Millions is ranked
among the top ten decorative coatings companies in the world and have
operations in 17 countries.
It has 25 paint manufacturing facilities, servicing consumers in 65 countries
through Berger International, SCIB Paints - Egypt, Asian Paints, Apco Coatings
and Taubmans.
ASIAN PAINTS
COMPLETES ACQUISITION OF SLEEK GROUP ASIAN PAINTS COMPLETES ACQUISITION OF
SLEEK G
Mumbai, August 8, Mumbai, August 8,,, 2013::: Asian Paints has acquired 51% stake in the Kitchen solutions provider company, Sleek International Private Limited. The investment was approved by the board of Asian Paints Ltd on 8th August and the infusion of funds in 2 tranches of Rs. 1200.000 Millions shall be completed by 10th August, 2013.
The Ahuja family, the current promoters of the company, shall hold the balance 49% stake. Rajesh T. Ahuja, the current CEO, will continue to be the Managing Director and CEO and Monesh T. Ahuja will also continue as the Executive Director of the joint venture. Asian Paints will nominate 2 Non Executive Directors on the Board of the joint venture and one of these nominees will be the Chairman.
The company believes that this acquisition has a strategic fit both with its current business as well as other lines of Home Improvement businesses that may get added in the future. It said that the modern kitchen space, which is currently undergoing an inflection, has very few organised pan India players and is growing rapidly.
“The engagement with the Sleek management over the last few months has reaffirmed our faith in the business and the opportunity of growth and synergy that it offers us. This is also the first step in our strategic foray in the Home Improvement space” said K....B....S.... Anand, Managing Director and CEO, Anand, Managing Director and CEO, Asian Paints Limited. Asian Paints Limited.
“For the Sleek group, this is an important step in realizing the vision we had set for the company” said Mr Rajesh T. Ahuja said Mr Rajesh T. Ahuja Mr Rajesh T. Ahuja, Managing Director and CEO, Sleek Group and CEO, Sleek Group and CEO, Sleek Group, about this acquisition.
Mumbai-based Sleek Group is a major organised player in the modern kitchen space and is engaged in the business of manufacturing, selling and distributing kitchens, kitchen components including wire baskets, cabinets, appliances, accessories, etc, with pan India presence. It has a retail network of more than 30 showrooms including shop-in-shops and a network of 250+ dealers.
About Asian Paints
Limited:
Asian Paints is India’s largest paint company and ranked among the top ten Decorative coatings companies in the world with a consolidated turnover of RS. 109700.000 Millions (Rs. 109700.000 Millions). Asian Paints along with its subsidiaries have operations in 17 countries across the world with 25 paint manufacturing facilities, servicing consumers in 65 countries through Berger International, SCIB Paints – Egypt, Asian Paints, Apco Coatings and Taubmans.
ASIAN PAINTS INCOME
FROM OPERATIONS UP BY 7.5% in Q4-FY13
Performance Summary
Q4-FY’2013
· Consolidated Income from Operations up by 7.5% to Rs. 27331.000 Millions
· Standalone Income from Operations increases by 7.5 % to Rs. 2232.50.000 Millions
FY’2013
· Consolidated Income from Operations up by 13.9% to Rs. 109707.000 Millions
· Standalone Income from Operations increases by 12.7 % to Rs. 89717.000 Millions Dividend
· Announces Final Dividend of Rs. 36.50 per equity share (Total dividend for FY 2013 is Rs. 46/- per share) Sub-divison of shares
· Announces sub-division of equity share of the face value of Rs. 10/- to Rs. 1/-
Dividend
· Announces Final Dividend of Rs. 36.50 per equity share (Total dividend for FY 2013 is Rs. 46/- per share )
Sub-divison of shares
· Announces sub-division of equity share of the face value of Rs. 10/- to Rs. 1/
MUMBAI, May 9, 2013: Asian Paints Limited has today announced its financial results for the quarter and year ended March 31, 2013.
“The company registered satisfactory growth inspite of the challenging environment. We witnessed slowdown in demand conditions in the quarter” said K.B.S Anand, Managing Director and CEO, Asian Paints Limited
“Industrial paints segment continues to be impacted due to economic slowdown. Automotive coatings growth was affected due to subdued demand in the auto sector. International Business has recorded a good performance. Middle East has done well even though political events and macro economic uncertainty in some countries continue” he added.
Asian Paints
Standalone Results : Q4-FY’2013
For the quarter ended March 31, 2013, Income from Operations has increased by 7.5 % to Rs. 22325.000 Millions from Rs. 20758.000 Millions. PBDIT for the quarter increased by 4.9% to Rs. 3540.000 Millions from Rs. 3374.000 Millions. Net Profit on a Standalone basis stood at Rs. 2396.000 Millions.
Asian Paints
Standalone Results : FY’2013
For the year ended March 31, 2013, Income from Operations increased by 12.7 % to Rs. 89717.000 Millions from Rs. 79642.000 Millions. PBDIT for the year increased by 14.5 % to Rs. 15473.000 Millions as compared to Rs. 13518.000 Millions in the previous year. Net Profit on a standalone basis increased by 9.6 % to Rs. 10500.000 Millions from Rs. 9584.000 Millions in the previous year.
About Asian Paints
Limited:
Asian Paints is India’s largest paint company and ranked among the top ten Decorative coatings companies in the world with a consolidated turnover of Rs. 109700.000 Millions. Asian Paints along with its subsidiaries have operations in 17 countries across the world with 24 paint manufacturing facilities, servicing consumers in 65 countries through Berger International, SCIB Paints – Egypt, Asian Paints, Apco Coatings and Taubmans.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist organization
or whom notice had been received that all financial transactions involving
their assets have been blocked or convicted, found guilty or against whom a
judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject : None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 61.16 |
|
|
1 |
Rs. 97.77 |
|
Euro |
1 |
Rs. 82.78 |
INFORMATION DETAILS
|
Information Gathered
by : |
NAY |
|
|
|
|
Report Prepared
by : |
VRN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
9 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
75 |
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.