MIRA INFORM REPORT
|
Report Date : |
19.09.2013 |
IDENTIFICATION DETAILS
|
Name : |
AGC NETWORKS LIMITED |
|
|
|
|
Registered
Office : |
Equinox Business Park, Tower 1 (Peninsula Techno Park), Off. Bandra-Kurla Complex, LBS Marg, Kurla (West), Mumbai – 400070, Maharashtra |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
19.08.1986 |
|
|
|
|
Com. Reg. No.: |
11-040652 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.285.000 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L32200MH1986PLC040652 |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Subject is
engaged in manufacturing, trading and integrating network solutions and
selling reputed brand of Video Conference, Voice and Data Products. |
|
|
|
|
No. of Employees
: |
Information denied by management |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (47) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 9560000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having satisfactory record. Company has incurred loss from its operation in 2013. However, overall fundamentals of the company appears to be strong and healthy.
Director and promoters are regarded as respectable and reputed businessmen. Trade relations are reported to be fair. Business is active. Payment
terms are regular. The company can be considered normal for business dealing at usual
trade terms and condition. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
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
There is another
megatrend happening. The World order is changing as economic power shifts from
West to East. According to McKinsey study, it took
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
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
A (Suspended) = Cash credit limits |
|
Rating Explanation |
Adequate degree of safety and low credit
risk |
|
Date |
June 2013 |
|
Rating Agency Name |
ICRA |
|
Rating |
A1 (Suspended) = LC Limits |
|
Rating Explanation |
Very strong degree of safety and lowest
credit risk |
|
Date |
June 2013 |
Reason for suspension: Absence of requisite information from the company
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. (Tel No. 91-22-66617272/91-40-66651212)
LOCATIONS
|
Registered Office / Corporate Office: |
Equinox Business Park, Tower 1 (Peninsula Techno
Park), Off. Bandra-Kurla Complex, LBS Marg, Kurla
(West), Mumbai – 400070, Maharashtra, India |
|
Tel. No.: |
91-22-66617272 |
|
Fax No.: |
91-22-24930644 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Factory : |
E-1/I, Gandhinagar Electronics Estate, Gandhinagar - 382 044, Gujarat, India |
|
Tel. No.: |
91-79-66712200 |
|
|
|
|
Regional Offices: |
Located At
|
|
|
|
|
Branches and Service
Centers : |
Located At
|
|
|
|
|
Global Presence : |
Located At
|
DIRECTORS
As on 31.03.2013
|
Name : |
Mr. Sujay R. Sheth |
|
Designation : |
Chairman - Non-Executive and Independent Director |
|
|
|
|
Name : |
Mr. S. K. Jha |
|
Designation : |
Managing Director and Chief Executive Officer |
|
|
|
|
Name : |
Mr. Sudip Rungta (till
28.05.2013) |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Shuva Mandal |
|
Designation : |
Independent Non-Executive Director |
|
|
|
|
Name : |
Dr. Haseeb Drabu (from
28.05.2013) |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. Pratik Bhanushali |
|
Designation : |
Company Secretary |
|
|
|
|
Audit Committee : |
|
|
Name : |
Mr. Sujay R. Sheth |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Shuva Mandal |
|
Designation : |
Independent Non-Executive Director |
|
|
|
|
Name : |
Mr. Sudip Rungta (till
28.05.2013) |
|
Designation : |
Director |
|
|
|
|
Name : |
Dr. Haseeb Drabu (from
28.05.2013) |
|
Designation : |
Director |
|
|
|
|
Shareholders’/Investors’
Grievance Committee |
|
|
|
|
|
Name : |
Mr. Sujay R. Sheth |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. S. K. Jha |
|
Designation : |
Managing Director and Chief Executive Officer |
|
|
|
|
Ethics and
Compliance Committee : |
|
|
|
|
|
Name : |
Mr. Shuva Mandal |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Sujay R. Sheth |
|
Designation : |
Director |
|
|
|
|
Remuneration
Committee |
|
|
Name : |
Mr. Sujay R. Sheth |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. S. K. Jha |
|
Designation : |
Managing Director and Chief Executive Officer |
|
|
|
|
Executive Committee |
|
|
|
|
|
Name : |
Mr. Sujay R. Sheth |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. S. K. Jha |
|
Designation : |
Managing Director and Chief Executive Officer |
|
|
|
|
Name : |
Mr. Sudip Rungta (till
28.05.2013) |
|
Designation : |
Director |
|
|
|
|
Name : |
Dr. Haseeb Drabu (from
28.05.2013) |
|
Designation : |
Director |
MAJOR SHAREHOLDERS
As on 30.06.2013
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
21349848 |
75.00 |
|
|
21349848 |
75.00 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
21349848 |
75.00 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
10228 |
0.04 |
|
|
1800 |
0.01 |
|
|
42666 |
0.15 |
|
|
285368 |
1.00 |
|
|
1896441 |
6.66 |
|
|
2236503 |
7.86 |
|
|
|
|
|
|
1007969 |
3.54 |
|
|
|
|
|
|
3050590 |
10.72 |
|
|
635686 |
2.23 |
|
|
185868 |
0.65 |
|
|
600 |
0.00 |
|
|
185268 |
0.65 |
|
|
4880113 |
17.14 |
|
Total Public shareholding (B) |
7116616 |
25.00 |
|
Total (A)+(B) |
28466464 |
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) |
28466464 |
0.00 |
Shareholding of securities (including shares, warrants,
convertible securities) of persons belonging to the category Promoter and
Promoter
|
Name of the
Shareholder |
No. of Shares |
Percentage of
Holding |
|
Aegis Limited |
21349848 |
75.00 |
|
Total |
21349848 |
75.00 |
Shareholding of securities (including shares, warrants,
convertible securities) of persons belonging to the category Public and holding
more than 1% of the total number of shares
|
Name of the
Shareholder |
No. of Shares |
Percentage of
Holding |
|
Opportunities Growth Fund Limited - Pinewood Strategy |
1326248 |
4.66 |
|
Total |
1326248 |
4.66 |
BUSINESS DETAILS
|
Line of Business : |
Subject is
engaged in manufacturing, trading and integrating network solutions and
selling reputed brand of Video Conference, Voice and Data Products. |
GENERAL INFORMATION
|
No. of Employees : |
Information denied by management |
||||||||||||||||||
|
|
|
||||||||||||||||||
|
Bankers : |
|
||||||||||||||||||
|
|
|
||||||||||||||||||
|
Facilities : |
Note: 1. Cash
credit and buyers credit from banks is secured by first exclusive charge on
entire current assets of the Company (present and future) including stocks of
raw material, WIP, finished goods, book debts, insurances, etc. and by second
charge on all moveable fixed assets of the Company. The cash credit is
repayable on demand. Buyers credit is repayable on due date. 2. Indian
rupee term loan from bank is secured by first charge on all moveable fixed
assets of the Company and by corporate guarantee of Aegis Limited (holding
company). Same is repayable 10 weekly installments of Rs. 40.000 Millions
each starting from 16 April 2013. |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S. R. Batliboi and Associates Chartered Accountants |
|
|
|
|
Holding Company: |
|
|
|
|
|
Ultimate Holding
Company: |
|
|
|
|
|
Subsidiaries : |
|
|
|
|
|
Fellow Subsidiaries
: |
|
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
30000000 |
Equity Shares |
Rs. 10/- each |
Rs. 300.000 Millions |
|
1000000 |
Cumulative Redeemable Preference Shares |
Rs.100/- each |
Rs.100.000 Millions |
|
|
Total |
|
Rs. 400.00
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
28466464 |
Equity Shares |
Rs. 10/- each |
Rs. 285.000 Millions |
a)
Reconciliation of
the shares outstanding at the beginning and at the end of the reporting period
|
Name of the
Shareholder |
No. of Shares |
Rs In Millions |
|
At the beginning of the period |
14233232 |
142.000 |
|
Issued during the period – Bonus issue |
14233232 |
142.000 |
|
Outstanding at
the end of the period |
28466464 |
284.000 |
b)
Terms / rights
attached to equity shares
The Company has only one class of equity shares having 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. The dividend if proposed by the Board of Directors
is subject to the approval of the shareholders in the Annual General Meeting.
During the year ended 31 March 2013, the amount of per share dividend
recognized as distributions to equity shareholders was Rs. Nil (31 march 2012:
Rs. 15)
In the event
of liquidation of the Company, the holders of equity shares will be entitled to
receive 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
c) Shares held by holding Company
Out of equity shares issued by the Company, shares held by its holding
Company are as below:
|
Name of
shareholder |
31.03.2013 (Rs.
In Millions) |
|
Aegis
Limited, (Holding Company w.e.f. 3 June 2011) 21349848
equity shares of Rs. 10 each fully paid |
213.000 |
d)
Aggregate number of
bonus shares issued during the period of five years immediately preceding the
reporting date:
|
Name of the
Shareholder |
No. of Shares |
|
|
|
|
Equity
shares allotted as fully paid bonus shares by capitalization of securities
premium |
14233232 |
e)
Details
of shareholders holding more than 5% shares in the Company
|
Name of the
Shareholder |
No. of Shares |
% of Holding |
|
|
|
|
|
Aegis Limited, (Holding Company w.e.f. 3 June 2011) held |
21349848 |
75.00% |
As per of the Company, including its register of shareholders / members
and other declarations received from shareholders regarding beneficial
interest, the above shareholding represents both legal and beneficial ownership
of shares.
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 |
285.000 |
142.000 |
142.000 |
|
(b) Reserves & Surplus |
2105.000 |
2479.000 |
2564.000 |
|
(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) |
2390.000 |
2621.000 |
2706.000 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
21.000 |
0.000 |
25.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
40.000 |
49.000 |
|
(c) Other long term
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term
provisions |
77.000 |
46.000 |
0.000 |
|
Total Non-current
Liabilities (3) |
98.000 |
86.000 |
74.000 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
2322.000 |
902.000 |
0.000 |
|
(b) Trade
payables |
1935.000 |
1461.000 |
1347.000 |
|
(c) Other
current liabilities |
1046.000 |
878.000 |
403.000 |
|
(d) Short-term
provisions |
52.000 |
305.000 |
100.000 |
|
Total Current
Liabilities (4) |
5355.000 |
3546.000 |
1850.000 |
|
|
|
|
|
|
TOTAL |
7843.000 |
6253.000 |
4630.000 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
213.000 |
253.000 |
150.000 |
|
(ii)
Intangible Assets |
12.000 |
22.000 |
36.000 |
|
(iii)
Capital work-in-progress |
0.000 |
0.000 |
31.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
492.000 |
150.000 |
950.000 |
|
(c) Deferred tax assets (net) |
0.000 |
125.000 |
138.000 |
|
(d) Long-term Loan and Advances |
689.000 |
527.000 |
41.000 |
|
(e) Other
Non-current assets |
11.000 |
7.000 |
7.000 |
|
Total Non-Current
Assets |
1417.000 |
1084.000 |
1353.000 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
800.000 |
0.000 |
|
(b)
Inventories |
778.000 |
606.000 |
410.000 |
|
(c) Trade
receivables |
3169.000 |
2670.000 |
1974.000 |
|
(d) Cash
and cash equivalents |
937.000 |
486.000 |
94.000 |
|
(e)
Short-term loans and advances |
1465.000 |
584.000 |
799.000 |
|
(f) Other
current assets |
77.000 |
23.000 |
0.000 |
|
Total
Current Assets |
6426.000 |
5169.000 |
3277.000 |
|
|
|
|
|
|
TOTAL |
7843.000 |
6253.000 |
4630.000 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
5878.000 |
6210.000 |
3056.000 |
|
|
|
Other Income |
487.000 |
114.000 |
29.000 |
|
|
|
TOTAL (A) |
6365.000 |
6324.000 |
3085.000 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of raw material and components consumed |
227.000 |
237.000 |
90.000 |
|
|
|
Purchase of traded goods |
3142.000 |
3277.000 |
1623.000 |
|
|
|
(Increase)/ decrease in inventories of finished goods, work-in-progress and stores and spares |
(162.000) |
(298.000) |
52.000 |
|
|
|
Excise duty |
1.000 |
1.000 |
7.000 |
|
|
|
Employee benefits expense |
1142.000 |
1070.000 |
459.000 |
|
|
|
Other expenses |
1735.000 |
1548.000 |
623.000 |
|
|
|
Exceptional items |
0.000 |
9.000 |
0.000 |
|
|
|
TOTAL (B) |
6085.000 |
5844.000 |
2854.000 |
|
|
|
|
|
|
|
|
Less |
PROFIT/(LOSS)
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
280.000 |
480.000 |
231.000 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
323.000 |
63.000 |
6.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS)
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)
(E) |
43.000 |
417.000 |
225.000 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
111.000 |
127.000 |
37.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS)
BEFORE TAX (E-F) (G) |
(154.000) |
290.000 |
188.000 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
78.000 |
127.000 |
60.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT/(LOSS)
AFTER TAX (G-H) (I) |
(232.000) |
163.000 |
128.000 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
784.000 |
885.000 |
809.000 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
0.000 |
16.000 |
15.000 |
|
|
|
Proposed Dividend |
0.000 |
213.000 |
32.000 |
|
|
|
Corporate Dividend Tax |
0.000 |
35.000 |
5.000 |
|
|
BALANCE CARRIED
TO THE B/S |
552.000 |
784.000 |
885.000 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Sales proceeds from overseas branch / Export Oriented Unit |
407.000 |
893.000 |
760.000 |
|
|
TOTAL EARNINGS |
407.000 |
893.000 |
760.000 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw materials and components |
12.000 |
44.000 |
83.000 |
|
|
|
Traded Goods |
1674.000 |
2252.000 |
1259.000 |
|
|
|
Capital Goods |
14.000 |
23.000 |
12.000 |
|
|
TOTAL IMPORTS |
1700.000 |
2319.000 |
1354.000 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(8.16) |
5.72 |
8.99 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2013 (1st
Quarter) |
|
Net Sales |
781.000 |
|
Total Expenditure |
1256.000 |
|
Profit before interest, depreciation and tax (Excluding Other Income) |
(475.000) |
|
Other income |
57.000 |
|
Operating Profit |
(418.000) |
|
Interest |
70.000 |
|
Exceptional Items |
0.000 |
|
Profit before depreciation and tax |
(488.000) |
|
Depreciation |
24.000 |
|
Profit Before Tax |
(512.000) |
|
Tax |
0.000 |
|
Provisions and contingencies |
0.000 |
|
Profit After Tax |
(512.000) |
|
Extraordinary Items |
0.000 |
|
Prior Period Expenses |
0.000 |
|
Other Adjustments |
0.000 |
|
Net Profit |
(512.000) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
(3.64)
|
2.58
|
4.15 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(2.26)
|
4.67
|
6.15 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(2.16)
|
5.08
|
5.65 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.06)
|
0.11
|
0.07 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.98
|
0.34
|
0.01 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
.120
|
1.46
|
1.77 |
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 |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
No |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
----------- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details
(if applicable) |
No |
|
21] |
Market information |
---------- |
|
22] |
Litigations that the firm
/ promoter involved in |
---------- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
---------- |
|
26] |
Buyer visit details |
---------- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
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:
|
Particulars |
31.03.2013 Rs. In Millions |
31.03.2012 Rs. In Millions |
|
Long Term Borrowings |
|
|
|
Loan
from Cisco Systems Capital (I) Private Ltd (Unsecured)* |
21.000 |
0.000 |
|
Total |
21.000 |
0.000 |
Note:
·
*Loan from Cisco
Systems Capital (I) Private Limited is repayable in 12 quarterly installments
of Rs. 3.000 Millions each starting from 14 February2013.
CURRENT MATURITY
OF LONG TERM BORROWINGS DETAIL:
(Rs. In Millions)
|
Particulars |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
Current Maturity
of Long Term Borrowings |
12.000 |
0.000 |
0.000 |
|
Total |
12.000 |
0.000 |
0.000 |
CORPORATE INFORMATION
The Company
is a public company domiciled in India and incorporated under the provisions of
the Companies Act, 1956. Its shares are listed on two stock exchanges in India.
The company is engaged in manufacturing, trading and integrating network
solutions and selling reputed brand of Video Conference, Voice and Data
Products. The Company caters to both domestic and international markets. The
Company also provides annual maintenance service for telecom, networking and
electronic products
FINANCIAL
PERFORMANCE
The
Company, for the period ended March 31, 2013 recorded a gross turnover of
Rs. 5910.000 millions as against
Rs. 6240.000 millions For the period
ended March 31, 2012. The loss before tax is Rs. 154.000 millions for the
period ended March 31, 2013 as against Profit before tax of Rs. 290.000 millions for the previous period. The
Net loss is Rs. 232.000 millions as
against Profit after tax of Rs. 163.000
millions for the previous period.
OPERATIONS
During the year, the global economy continued to reflect the
persistent weakness in Europe, as global GDP growth slowed from the year
before. In the same period, the US economy experienced a positive growth in
spite of being plagued by worries over a high unemployment rate and the US
fiscal cliff. Other major economies such as China were also affected, with its
GDP experiencing its slowest growth since 1999. Similarly, India faced its
lowest growth rate in ten years amidst internal pressures such as inflation,
high nominal rates and a large fiscal deficit.
BUSINESS OUTLOOK
The International Monetary Foundation in its World Economic
Outlook Report, April 2013, projects that the world economic recovery will gain
traction in 2013 and 2014. It expects the world GDP to grow by 3.3 per cent in
2013 and by a further 4 per cent in 2014. This improvement in the global
economic outlook will be followed by stronger spending on IT worldwide.
According to Gartner Inc., the global IT spending is anticipated to grow by 4.1
per cent in 2013 and by 4 per cent in 20141. At the same time, worldwide
enterprise software spending is forecast to total US$ 297 billion in 2013, a
6.4 per cent increase from 20122. While the IT spending worldwide is expected
to grow, there is an increasingly visible shift in spending pattern across all
IT sectors towards the nexus of Forces - social, mobile, information and cloud
technology.
The Company has aligned its operations to its customers'
needs and has positioned itself to ensure that it remains relevant as a
Solutions Integrator across the globe. The Company's core growth strategy will
continue to be its 10 Cube strategy, which emphasises 10 key practices and
offerings through 10 key technology alliances to be taken to 10 key geographies
across the globe. These key locations include new geographies like the US, Australia
and the Middle East and African region. At the same time, India will continue
to be a strong foothold for the Company. The core competencies created across
verticals and solutions will be leveraged by the other geographies that AGC is
growing in. It plans to expand its core business from the Unified Communication
space to business applications, Data and Information Security, and Storage and
Server services in other key global markets while also streamlining existing
operations to keep them relevant and in line with plans.
As the IT industry is continually evolving, The Company
places significant importance on innovation, which it considers a key to expand
into new markets and new products. Reflecting this focus, The Company launched
Solutions across 4 new verticals during the year:
1. BFSI
2. Education
3. Media and Entertainment
4. Government / Public Sector
These verticals have been developed with a customer-centric
approach, as well as with the Company's over-arching approach of ENABLING EXPERIECE for its customers.
MANAGEMENT
DISCUSSION AND ANALYSIS REPORT
OVERVIEW
The vision of
the Company is to grow as a Global organization, delivering enterprise
innovation, unlocking value and ultimately creating wealth for customers and
stakeholders.
AGC NETWORKS Limited (AGC) is a Global ICT Solutions Provider
and Integrator seamlessly delivering technology-based solutions across global
markets and verticals layered with a spectrum of applications and services. It
is the leader in Enterprise Communications in India with global footprint in
locations spanning India, the Middle East, North America, Australia, New
Zealand and Africa. It has a differentiated approach to Solutions Integration
and offers domain-focused, flexible and customised solutions to its customers.
The Company currently serves more than 3000 customers worldwide, including
Fortune 500 companies.
The Company is part of Aegis Limited, an Essar enterprise.
Essar is a US$39-billion multinational corporation with investments in Steel,
Energy, Infrastructure and Services. With operations in more than 25 countries,
it employs over 73,000 people.
AGC's global presence spans global markets of India, APAC,
North America and the Middle East and Africa with 16 offices across India. It
has a strong OEM (Original Equipment Manufacturer) affiliation with 70+ Global
technology alliance partners and a network of over 170 channel partners across
India. AGC is an ISO 9001 and 27001 certified company.
The core business of the Company is divided into four Solution
quadrants and services categories. The Solution quadrants are namely:
1. Unified Communications
AGC offers a Unified Communication (UC) and collaboration
experience through varied technologies from global technology providers. AGC
has empowered enterprises across verticals like BFSI, Manufacturing,
Healthcare, Government and Public Sector Units, IT and ITES for over two and a
half decades with effective and relevant communication and collaboration
platforms.
AGC's UC solutions suite comprises of:
1)
IP
Telephony Solutions -
Simplified communications hybrid architecture that functionally enhances the
user experience across different management levels in an enterprise.
2)
Contact
Centers - There strategic
partnerships with contact center leading OEMs has enabled us to offer
best-in-breed solutions that deliver a seamless experience to their client's
end-customers.
3)
Audio,
Video and Control Integrations / Multimedia - AGC believes in experiential selling to deliver the true
advantage technology can bring to an organisation.
4)
Collaboration
Solutions – They create a
collaborative environment that removes geographical boundaries, enables
communication, enhances productivity and delivers collaboration as a
competitive advantage. With the objective of 'Enabling Experience' for the end
client, AGC Networks looks at corporate collaboration with a futuristic
perspective. At AGC, Video is a logical extension of Voice where Video is the
new Voice of tomorrow. With an extensive experience in IP and Converged
communications at the core, AGC enables delivery of collaboration solutions by
managing the overall experience from an integration viewpoint.
5)
IP
Surveillance - AGC provides the
combined solutions of Video, Situation Intelligence and Access Control
solutions using state of the art technologies to make life and assets safe and
secure. These solutions bring actionable intelligence for industries, law
enforcement agencies and government authorities to perform a variety of
critical tasks efficiently which has a positive impact on the society at large.
The industry-leading System Integration Solutions in the
electronic security space cover –
• Versatile investigation management capabilities for
collecting case-related video, audio and data in a searchable database to
enable quicker and productive investigations
• Reduce the complexity involved in advanced IP video systems,
with solutions to align with requirements and budgets
• Enablement of rapid implementations, superior performance, and
maximum return on investment
• Analytics tools to automatically pinpoint activity of
interest in large volumes of video and data, freeing security staff to focus on
neutralizing crime, rather than scanning banks' of monitors
2. Network Infrastructure
As part of the Network Infrastructure solutions, AGC has
developed and implemented an effective, holistic and flexible security solution
strategy through the use of appropriate technologies like Firewall, IDR SIEM,
NAC, Identity Management, End Point Protection, Wireless Security and Mobile
Device Management.
They deliver on the expectations enterprises have from their
network infrastructure through There strong alliance network with global
leaders. There Networking Infrastructure offers solutions such as
1)
Wired
Network - AGC's experience and
expertise lies in building multi-location, highly available, optimised LAN and
WAN networks. Ensuring high performance, reliable, simplified network layers
and intelligent network with zero latency for business applications with
ability to prioritize applications are some of the solutions delivered
successfully to clients.
2)
Metro
Ethernet - They deliver Ethernet Edge
solutions backed by Ethernet or legacy core MPLS layers to simplify the
complexities of provisioning and expanding networks as-per-need.
3)
Mobility-
AGC fulfils today's growing
demand for 'anytime, anywhere' network access by creating innovative Wi-Fi
hotspots, Wi-Fi 3G/ LTE offload solutions to ensure connectivity between
multiple devices such as laptops, tablets and smartphones, and supports
adoption of concepts like BYOD. There rich expertise in WiMAX spans consulting
at an extensive survey stage to building WiMAX BTS and providing end user
solutions.
4)
Network
Security - There multi-layer,
end-to-end network security solutions safeguard the network externally from
unwanted risks and internally through user access defined and compliances
adherence.
3. Data Center and Visualization
As a global Solutions Integrator, AGC provides computing,
storage and virtualization solutions in the Data Center and Virtualization
space. Their expertise in design and implementation across multiple
technologies has helped AGC to deliver large-scale, multi-location projects for
clients globally. These solutions have helped customers improve productivity
and run applications smoothly.
4. Enterprise Applications
AGC offers Business Applications and Customer Experience
Applications to enterprises across verticals. The Business Applications focus
on services around SAP and Oracle. With the philosophy of 'Enabling Experience'
They develop and build key applications that help their customers to enhance
their end-customer experience. These key applications like Social Media
analytics and customer self service interfaces among others are referred to as
Customer Experience applications which form an integral part of the customer
care strategy of an enterprise across verticals.
OUTLOOK
Continuing Growth Prospects
Gartner expects the global IT spending to grow by 4.1 per
cent to almost US$ 3.8 trillion in 2013 and by a further 4 per cent to just
under US$ 4 trillion in 2014. Worldwide spending on Enterprise Software
spending is forecast to total US$ 297 billion in 2013, a 6.4 per cent increase
from 2012. In the cloud services sector, Infrastructure as a Service (laaS) and
Business Process as a Service (BPaaS) are expected to grow strongly by 13.1 per
cent and 47.3 per cent, respectively, in 20136.
FINANCIAL PERFORMANCE
FY13 witnessed a difficult economic environment resulting
from the sluggish global economy, as well as tough market conditions due to
infrastructure bottlenecks that affected the entire investment sentiment in
India. Despite these challenges, AGC achieved 6 per cent higher revenues than
it did in FY12. Consolidated revenue increased from Rs. 9980.000 Millions to
Rs. 10610.000 Millions in FY13. The year also saw demand from the telecom
industry adversely affected due to cancellation of telecom licenses, overall
challenging business scenarios at a global level and investments in growing
markets as overall contributors.
FIXED ASSETS:
- Buildings
- Plant and Equipment
- Furniture, Fixtures and Office Equipments
- Electrical Installations
- Vehicles
- Computers
- Computers Software’s
PRESS RELEASE:
AGC NETWORKS ANNOUNCES RESULTS FOR THE QUARTER ENDED JUNE 30, 2013
Mumbai, 12th
August 2013
AGC Networks
Limited, a Global ICT Solutions Provider and Integrator in Unified
Communications, Network Infrastructure, Data Centre and Virtualization and
Enterprise Applications and a subsidiary of Aegis Limited, an Essar enterprise,
today announced financial results for Q1 FY 2014.
Key Consolidated Financial and Operational Highlights for Q1 FY 2014
- Revenue for Q1 FY 2014 decreased by 22%
to Rs.1920.000 Millions as against Rs. 2460.00 Millions in Q1 FY 2013.
Persisting macroeconomic concerns compounded with sluggish economic growth
highlights weak demand impacting spending patterns on technology solutions
across various industry verticals
- The significant devaluation of the
Indian Rupee versus the US dollar during the quarter was weighed down by
sluggish investments in infrastructure in a slowing economy. However with
its innovative capabilities and international presence, AGC Networks is
optimistic about its prospects as both the Indian and global economies
work towards their recovery.
- The results include an amount of Rs
110.000 Millions on account of foreign exchange mark to market loss
- The results also include Rs 200.00 Millions
on account of total provisioning of certain receivables which are provided
as per the provisioning norms of the company
- There has been rationalization of costs
in the quarter in tune with the tough market conditions
- The combined effect of all of the above
led to a loss of Rs. 840.000 Millions for the quarter
(Rs. In Millions)
|
Particulars |
Q1'14 |
Q1'13 |
YoY Growth |
Q4' 13 |
QoQ Growth |
|
Total Revenue |
1920.000 |
2460.000 |
(22)% |
2840.000 |
(32)% |
|
|
|
|
|
|
|
|
PBT |
(870.000) |
160.000 |
|
(600.000) |
|
|
PAT |
(840.000) |
180.000 |
|
(670.000) |
|
|
|
|
|
|
|
|
|
EPS (in Rs) |
(30) |
6 |
|
(24) |
|
The Company continues with its global scale-up plans with a continued focus on India and consolidation in the key growth market of North America.
As part of its ongoing efforts to keep pace with the fast changing world of technology and ENABLING EXPERIENCE for its customers, AGC launched innovative industry solutions for the BFSI, Education and the Media and Entertainment sectors. These solutions hold immense potential for growth in view of the unfolding opportunity in these spaces, particularly the Banking and Education sector, which are poised for explosive growth in the coming years.
Q1 FY14 witnessed a significant customer win in the key vertical of BFSI for the CTS (Cheque Truncation System) implementation involving a consortium of public sector banks in the western grid highlighting the core expertise of integrated technology solutions across AGC's quadrants with a deal value of approximately Rs. 1600.000 Millions.
Other highlights include, AGC receiving awards from Juniper Networks for excellence in IT / ITes segment and Strategic win of the year.
Speaking on the occasion, Mr. S. K. Jha, MD and CEO, AGC Networks said "The devaluation of the Rupee versus the US dollar coupled with the sluggish spending patterns on technology solutions across verticals has impacted the company's profitability. However with their continued focus on customer centricity, seamless global delivery model equipped with global technology alliance partnership and technically skilled workforce, going forward, they expect to improve in the second half of the fiscal year. "
IIT BOMBAY JOINS HANDS WITH AGC NETWORKS TO BUILD
CAPABILITIES/FACILITIES
Implements an Audio Visual System to
Build A State-Of-The-Art Convocation Hall
Mumbai, 17Th August 2013:
One of the premier engineering institutes of India today announced it has implemented an Audio Visual System to build a State-of-the-Art Convocation Hall by joining hands with AGC Networks Limited, (BSE: 500463 and NSE: AGCNET), a Global ICT Solutions Provider and Integrator in Unified Communication, Network Infrastructure, Data Centre and Virtualization and Enterprise Applications to build capabilities of the esteemed educational institution. The success story of collaborative technology solutions deployment in IIT Bombay's convocation hall further demonstrates, AGC Networks commitment towards serving customized solutions for its customers across sectors including education segment in India.
Inaugurated by the Prime Minister of India on the occasion of the 50th
year of convocation, IIT Bombay's convocation hall has evolved to be a
state-of-art convocation hall, involving government officials and dignitaries.
Additionally the management also holds events relating to recent technological
advancements by leading professors from noted institutes across the world
arranges expert lectures, conducts placement interviews, establishing
collaborations with universities.
Over the last 53 years, IIT Bombay has an esteemed recognition of
generating around 39,000 engineers and scientists through its quality curriculum,
world class faculty and strong research groups in varied areas of science and
technology that are making substantial contributions to national projects.
However with the growing number of about 14 academic departments across six
centers, one school and three interdisciplinary programmers, the institution
had the need to upgrade its facility for convocational occasions strictly under
short deadlines and challenges unforeseen. Being a worldwide leader in the
field of engineering education and research, the institution required a
technology solution provider who would understand the ground realities, ensure
synchronization of the several projects running in parallel to deliver a
greater capacity auditorium for the convocation ceremony.
Understanding the specific need for the IIT Bombay, AGC went beyond the
role of a solution integrator and helped IIT in elevating the experience of the
convocation hall. Through regular site visits and consultation, AGC advised the
client to make changes in their conducting. AGC's consultation led to changes
which were beneficial to IIT as it helped in substantial savings of cabling
costs and enabled easier maintenance of the equipment. In spite of all the site
related and design related challenges AGC synchronized with all the vendors /
teams for deploying the Audio Visual system to finally build the
state-of-the-art Convocation Hall.
Commenting on the deployment Dr.
N Venkataramani, Dean (IPS), IIT Bombay said, "IIT Bombay highly
appreciates the dedication shown by AGC team for the successful completion of
the project, within the stringent timelines, to their satisfaction".
"We are extremely delighted to be part of the state-of-art capability
buildup of IIT Bombay and it is indeed a matter of pride to be the technology
partners of choice for this esteemed institution" said Mr. S. K. Jha, MD and CEO, AGC Networks.
"At AGC Networks There endeavor is to create success stories through There
technology solutions such that customers receive best returns on their
technology investment".
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. 63.14 |
|
|
1 |
Rs. 100.48 |
|
Euro |
1 |
Rs. 84.37 |
INFORMATION DETAILS
|
Information Gathered
by : |
PLK |
|
|
|
|
Report Prepared
by : |
VNT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
|
47 |
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.