MIRA INFORM REPORT
|
Report Date : |
19.09.2013 |
IDENTIFICATION DETAILS
|
Name : |
CRANES SOFTWARE INTERNATIONAL LIMITED |
|
|
|
|
Registered
Office : |
# 2, Tavarekere, Bannerghatta Road, 1st Phase, 1st
Stage, BTM Layout, Bangalore – 560029, Karnataka |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
22.12.1984 |
|
|
|
|
Com. Reg. No.: |
08-031621 |
|
|
|
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Capital
Investment / Paid-up Capital : |
Rs.235.534 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L05190KA1984PLC031621 |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Subject is engaged in providing enterprise statistical analytics and
engineering simulation software products and solution for scientists and
engineers. |
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|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
B (31) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 1300000 |
|
|
|
|
Status : |
Moderate |
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|
|
Payment Behaviour : |
Slow but correct |
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|
Litigation : |
Clear |
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|
Comments : |
Subject is a well established company having a moderate track record. Eventhough the revenue of the company has seen a better increase during
2012, there appear huge losses incurred by the management for past some year
which has heavily deteriorated its reserves position. However, trade relations are fair. Business is active. Payment terms
are reported as slow but correct. The company can be considered for business dealings with some caution.
|
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31st, 2013
|
Country Name |
Previous Rating (31.12.2012) |
Current Rating (31.03.2013) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
We are living in a
world where volatility and uncertainty have become the New Normal. We saw a
change of government in countries like Tunisia, Egypt, Libya and Vietnam. Once
powerful countries in Europe are now fighting for bankruptcy. We have
taken growth in the developing part of the world for granted but economic
growth in China and India has begun to slow. Companies that were synonymous
with their product categories just a few years ago are now no longer in
existence. Kodak, the inventor of the digital camera had to wind up its
operations, HMV, the British entertainment retailing company and Borders, once
the second largest bookstore have shut down due to their inability to evolve
their business models with the changing time. Readers’ Digest, Thomson Register
are no more !
There is another
megatrend happening. The World order is changing as economic power shifts from
West to East. According to McKinsey study, it took Britain more than 100 years
to double its economic output per person during its industrial revolution and
the US later took more than 50 years to do the same. More than a century later,
China and India have doubled their GDP per capital in 12 and 18 years
respectively. By 2020, emerging Asia will become the world’s largest consuming
block, overtaking North America.
The years after the
outbreak of the global financial crisis, the world economy continues to remain
fragile. The Indian economy demonstrated remarkable resilience in the initial
years of the contagion but finally lost ground last year. GDP growth slowed
down. Currency has been weakening. There is a marked deceleration in agriculture,
industry and services. Dampening sentiment led to a cut-back in investment as
well as private consumption expenditure. Inflation remained at high
levels fuelled by the pressure from the food and fuel sectors. The large fiscal
and current account deficit s continued to cause grave concern. It is
imperative that India regains its growth trajectory of 8-9 % sooner than later.
This is crucially important given the need to create gainful livelihood
opportunities for the millions living in poverty as also the large contingent
of young people joining the job market every year.
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered Office / Corporate Office / TI
Division : |
# 2, Tavarekere, Bannerghatta Road, 1st Phase, 1st
Stage, BTM Layout, Bangalore – 560029, Karnataka, India |
|
Tel. No.: |
91-80-41281111 |
|
Fax No.: |
91-80-41280203 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Cranes Sci MEMS Lab: |
IISc. Campus, Bangalore
– 560 012, Karnataka, India. |
|
Tel. No.: |
91-80-22933224 |
|
|
|
|
Tel No.: |
91-20-65106619 |
DIRECTORS
As on 31.03.2013
|
Name : |
Mr. Asif Khader |
|
Designation : |
Co-founder and Managing Director |
|
|
|
|
Name : |
Mr. Mukkaram Jan |
|
Designation: |
Co-founder and Director |
|
|
|
|
Name : |
Mr. Mueed Khader |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Richard Gall |
|
Designation : |
Director |
|
|
|
|
Name : |
Dr. Peter Ryser |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. P. Phaneendra |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.06.2013
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
|
|
1468800 |
1.25 |
|
|
|
6050200 |
5.14 |
|
|
|
7519000 |
6.38 |
|
|
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
7519000 |
6.38 |
|
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
|
|
18529356 |
15.73 |
|
|
|
900000 |
0.76 |
|
|
|
114443 |
0.10 |
|
|
|
19543799 |
16.60 |
|
|
|
|
|
|
|
|
23336623 |
19.82 |
|
|
|
|
|
|
|
|
47129576 |
40.02 |
|
|
|
15101429 |
12.82 |
|
|
|
5136423 |
4.36 |
|
|
|
1055399 |
47129576 |
40.02 |
|
|
15101429 |
12.82 |
|
|
|
5136423 |
4.36 |
|
|
|
1055399 |
0.90 |
|
|
|
3994927 |
3.39 |
|
|
|
4000 |
0.00 |
|
|
|
81097 |
0.07 |
|
|
|
1000 |
0.00 |
|
|
|
90704051 |
77.02 |
|
|
Total Public shareholding (B) |
110247850 |
93.62 |
|
|
Total (A)+(B) |
117766850 |
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) |
117766850 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in providing enterprise statistical analytics and
engineering simulation software products and solution for scientists and
engineers. |
GENERAL INFORMATION
|
Customer: |
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No. of Employees : |
Not Available |
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Bankers : |
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Facilities : |
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Banking
Relations : |
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Auditors : |
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|
Name : |
S. Janardhan and Associates Chartered Accountants |
|
Address : |
Apartment Nos. 104 and 203, Embassy Centre No. 11, Crescent road, Bangalore
- 560 001, Karnataka, India |
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Direct Subsidiaries: |
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Indirect
Subsidiaries: |
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Other related party: |
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CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
165,000,000 |
Equity Shares |
Rs.2/- each |
Rs. 330.000 Millions |
|
2,00,000 |
Preference shares |
Rs.10/- each |
Rs. 20.000 Millions |
|
|
|
|
|
|
|
Total |
|
Rs. 350.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
117,766,850 |
Equity Shares |
Rs.2/- each |
Rs. 235.534
Millions |
|
|
|
|
|
Note:
The Company has only one class of shares referred
to as equity shares having a par value of Re.2/-. Each holder of equity shares
is entitled to one vote per share held.
The Company declares and pays dividend in
Indian rupees. The dividend proposed by the Board of Directors
is subject to the approval of the shareholders
in the ensuing annual general meeting.
Dividend, if approved, is payable to the
shareholders in proportion to their shareholding. In the event of liquidation
of the Company, the holders of equity shares will be entitled to receive any of
the remaining assets of the company. The distribution will be in proportion to
the number of equity shares held by the shareholders. The Company has not
declared dividend during the year.
b) Reconciliation of number of shares
|
Equity Shares |
As at 31.03.2013 |
|
|
|
Number of Shares |
Rs. In Millions |
|
Balance as at the beginning of the year |
117,766,850 |
235.534 |
|
Add: Shares issued during the year |
-- |
|
|
Balance as at the end of the year |
117,766,850 |
235.534 |
The Company has not allotted any fully paid up
equity shares by way of bonus shares nor has bought back any class of equity
shares during the period of five years immediately preceding the balance sheet
date.
Details of equity shares allotted as fully paid
up without payment being received in cash during the period of five years
immediately preceding the balance sheet is Nil.
c) Details of Shareholder holding more than 5% of the aggregate shares
in the company
|
Equity Shares |
As at 31.03.2013 |
|
|
|
Number of Shares |
% of
shareholding |
|
IBC Knowledge Park Private Limited |
12,652,506 |
10.74% |
|
Bank of India |
11,291,723 |
9.59% |
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 |
235.534 |
235.534 |
235.534 |
|
(b) Reserves & Surplus |
95.020 |
2630.746 |
2894.126 |
|
(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) |
330.554 |
2866.280 |
3129.660 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
309.219 |
393.702 |
530.406 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term
provisions |
8.095 |
2.627 |
12.160 |
|
Total Non-current
Liabilities (3) |
317.314 |
396.329 |
542.566 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
20.274 |
0.000 |
6558.312 |
|
(b) Trade
payables |
530.740 |
401.745 |
537.195 |
|
(c) Other
current liabilities |
10915.053 |
10002.666 |
3120.322 |
|
(d) Short-term
provisions |
22.709 |
0.000 |
70.000 |
|
Total Current
Liabilities (4) |
11488.776 |
10404.411 |
10285.829 |
|
|
|
|
|
|
TOTAL |
12136.645 |
13667.020 |
13958.055 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
187.690 |
202.789 |
219.435 |
|
(ii)
Intangible Assets |
753.859 |
1162.050 |
1617.879 |
|
(iii)
Capital work-in-progress |
3.429 |
0.000 |
0.000 |
|
(iv)
Intangible assets under development |
2749.932 |
2749.932 |
2753.366 |
|
(b) Non-current Investments |
800.918 |
800.918 |
800.918 |
|
(c) Deferred tax assets (net) |
1324.977 |
1180.418 |
569.487 |
|
(d) Long-term Loan and Advances |
4333.534 |
4198.759 |
3994.708 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
10154.339 |
10294.866 |
9955.793 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
7.728 |
12.600 |
9.391 |
|
(c) Trade
receivables |
1739.667 |
3147.343 |
3755.127 |
|
(d) Cash
and cash equivalents |
12.707 |
20.102 |
10.930 |
|
(e)
Short-term loans and advances |
222.203 |
192.109 |
226.814 |
|
(f) Other
current assets |
0.000 |
0.000 |
0.000 |
|
Total
Current Assets |
1982.305 |
3372.154 |
4002.262 |
|
|
|
|
|
|
TOTAL |
12136.644 |
13667.020 |
13958.055 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
214.979 |
260.358 |
279.068 |
|
|
|
Other Income |
177.437 |
82.879 |
1.035 |
|
|
|
TOTAL (A) |
392.416 |
343.237 |
280.103 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Purchases of Stock in Trade |
40.599 |
55.959 |
62.666 |
|
|
|
Changes in inventories of Stock-in-Trade |
4.476 |
(2.813) |
-6.827 |
|
|
|
Employee Benefit Expenses |
97.685 |
104.676 |
118.389 |
|
|
|
Other expenses |
1568.126 |
1220.520 |
162.860 |
|
|
|
Exceptional Items |
35.953 |
48.824 |
3.432 |
|
|
|
Extraordinary Items |
0.000 |
(1439.140) |
0.000 |
|
|
|
TOTAL (B) |
1746.839 |
(11.974) |
340.520 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
(1354.423) |
355.211 |
(60.417) |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
902.110 |
747.228 |
762.260 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(2256..533) |
(392.017) |
(822.677) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
423.751 |
482.294 |
490.048 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
(2680.284) |
(874.311) |
(1312.725) |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(144.558) |
(610.932) |
(59.000) |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
(2535.726) |
(263.379) |
(1253.725) |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY – FOB VALUE OF EXPORTS |
101.535 |
98.403 |
117.907 |
|
|
|
|
|
|
|
|
|
|
Earnings / (Loss)
Per Share (Rs.) |
(21.53) |
(14.46) |
(10.65) |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
(646.18)
|
(76.73) |
(447.59) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(1246.77)
|
(335.81) |
(470.40) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(23.12)
|
(9.78) |
(13.45) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(8.11)
|
(0.31) |
(0.42) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
1.00
|
0.14 |
2.27 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.17
|
0.32 |
0.39 |
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 |
Yes |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if
applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm
/ promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
No |
UNSECURED LOAN
|
PARTICULARS |
31.03.2013 (Rs.
in Millions) |
31.03.2012 (Rs.
in Millions) |
|
Long-term
Borrowings |
|
|
|
Foreign Currency Term Loan from UPS Capital |
34.805 |
43.727 |
|
Short-term
borrowings |
|
|
|
Cash Credit facilities from Banks Jammu and Kashmir Bank |
20.274 |
0.000 |
|
|
|
|
|
Total |
55.079 |
43.727 |
BACKGROUND
Subject was incorporated on 22nd December, 1984. CSIL is a Company that
provides Enterprise Statistical Analytics and Engineering Simulation Software
Products and Solutions across the globe. Presently, CSIL has developed IP’s and
products in data Integration and visualization, engineering simulations,
Graphing, plotting and designing modules. The Company is head quartered in
Bangalore and has offices in India, United States of America, United Kingdom,
Germany, UAE and Singapore.
MANAGEMENT
DISCUSSION AND ANALYSIS
OVERVIEW
Subject develops and globally markets engineering simulation and
enterprise data analytics software and services. The Company has successfully
accumulated a portfolio of proprietary products with deep domain knowledge in
the areas of engineering simulation and statistical analytics. The proprietary
products portfolio includes SYSTAT, SigmaPlot, SigmaStat, SigmaScan, TableCurve
2D, TableCurve 3D, PeakFit, NISA, eta/VPG, eta/DYNAFORM, XID, XIP, Survey
ASYST, iCap Reporter, iCap Webmaster, iCap Dashboarder, iCap Data Primer,
InventX, Cubeware Cockpit, Cubeware Team Server, Cubeware Importer, Protector
Plus Internet Security and Protector Plus Antivirus software. In doing so,
Cranes has effectively established itself as a global IP driven products and
solutions provider.
GLOBAL BUSINESS
ENVIRONMENT
The Indian IT outsourcing sector's exports are expected to grow by 12-14
per cent in the financial year starting April 2013. The sector is expected to
clock revenues of $84-87 billion in the current financial year on the rising
global technology spends, according to the National Association of Software and
Services Companies (NASSCOM).
Cranes broadly operates in three distinct markets namely, Business
Intelligence, Engineering Products and Services and Vocational Training. Given
below are forecasts from independent market research groups for these markets.
BUSINESS
INTELLIGENCE
According to new research from market watcher Pringle and Company, the
global market for business intelligence
(BI) software services will roughly double over the next four years,
from $76 billion in 2012 to $143 billion in 2016.
Tom Pringle, the company's principal analyst, says this growth is being
driven by the universal applicability of business intelligence systems.
Global Engineering Service Outsourcing As for the Global Engineering
Services Outsourcing (ESO) market TechNavio's analysts forecast is that it will
grow at a CAGR of 25.78 percent over the period 2012-2016. One of the key
factors contributing to this market growth is the need for cost reduction. The
Global ESO market has also been witnessing the emergence of India as a key ESO
destination.
VOCATIONAL
TRAINING
According to Research and Markets, the Vocational Training Market in
India is worth approximately USD 1.6 bn and is estimated to be growing at 25%
per annum. Every year, about 0.165m students are estimated to undergo
vocational training apprenticeships. India has one of the world's most youthful
population and there are over 310 million people aged between 15 to 25 years.
Here lies the significance of vocational education along with other higher
education systems being imparted in the country.
Relying upon these trends, Cranes has in the past one year witnessed
growth in areas such as Business Intelligence and Engineering Services in the
Automobile, Transportation Sectors. Though Cranes Software sustained a loss in
the overall, the Company has, in the past one year, remained operationally near
profitable. The Company now plans to capitalize on this growing business demand
and emerge as a leading global software product and solutions Company in the
lucrative space of Engineering Services and Simulation, Vocational Training and
Enterprise Data Analytics / Business Intelligence.
THE YEAR
Over the last couple of years, Company management has worked earnestly towards
re-building the organization from its years of business downturn and has been
successful in maximizing its strengths and leveraging its inherent capabilities
of business transformation. In the year under review, the Company has been
re-establishing itself in the areas of Business Intelligence, Engineering
Services and Vocational Training. The Company continues to improve operational
effectiveness, optimize costs and increase market reach both on a standalone
basis and through its subsidiaries. These initiatives have positively impacted
the current year business revenues and operating margins.
In the past year, their endeavor has also been to improve customer
bandwidth and increase product and service offerings. This includes expanding
their product range, partnering with partners to penetrate into new business
areas, launching new products upgrades in the Engineering products and services
area. For example, in the Business Intelligence domain, the Company
aggressively launched its, one of a kind, BUSINESS INTELLIGENCE STORE REAL-TIME
OPERATIONS (BISTRO). BISTRO is an applications store that provides a new
approach to the complex, unwieldy world of BI software and solutions. The
Company also launched a variety of business applications using the SAAS model
to address a broad range of application needs of the customer.
On a standalone basis, the Company has refocused and realigned its
India-centric operation to that of training and education. This part of the
business has been the major revenue earner for the stand-alone business over
the past couple of years. The businesses includes student training, third party
alliances, own product sales andcorporate training. During the year, the
Company relocated its training operations into its own premises in Bangalore. The students now enjoy a new state-of-the-art
infrastructure supplemented with better lab facilities and training products.
Going forward, the Company plans to re-establish its relationships with
academia and bring active partnerships from the corporate sector as well. The
Company has launched new courses relevant to current market trends which has
created a fresh demand. The Company also continues to maintain and build on its
Strategic Partnerships and Alliances with leading Companies like National
Instruments, IBM, ARM and Texas
Instruments, leading to sustained revenues.
For its standalone operations, the Company has put in place effective
measures to control the cost of goods, optimization of manpower and other
overheads. However, extraordinary expenditures include provision towards bad
debts (Rs 1,480 million -compared to previous year's expenses of Rs 650
million) contributed adversely to increase total expenditure from Rs. 1,378.34
million to Rs 1,706.85 million.
Excluding these extraordinary expenditures the operations yielded a
marginal loss of Rs 15.9 million at EBITDA level.
The Company, in the mean while, is also constantly working on improving
its balance sheet position. The Companis under active discussion with all
secured and unsecured lenders for the purposes of restructuring/ closure of
debts and has finalized debt closure agreements with several additional
nationalized banks. The Company will continue to pursue various means through
which it can sustain operational profitability and reduce debt exposure through
external funds infusion.
INTERNATIONAL
SUBSIDIARY PERFORMANCES
ETA (a 100%
subsidiary of Cranes Software):
Engineering Technology Associates, (ETA), provides computer aided
engineering services and develops computer-engineering software. ETA offers
unique expertise in product design and development, focusing on mass reduction
and optimization strategies. Proactive in the creation and implementation of
new analysis methods and software, ETA is the developer of the Inventium™ Suite
of software. The suite offers a wide range of modeling, metal stamping and
system simulation software tools.
PRODUCT LAUNCHES
ETA Releases
Inventium™ Products
ETA Inventium™ 2012 Suite of software has been released, with a host of
improvements in the finite element
(FE) modeling tool PreSys™, as well as in its add-on applications for
Fluid-Structure Interaction (FSI), Drop Testing and Safety Analysis. New
features reduce the amount of time required to build models, and users can
analyze them using third-party MCAE solvers such as LS-DYNA®, MSC NASTRAN®, NEI
NASTRAN®, NX NASTRAN®, Moldex3D®, and NISA®.
ETA Introduces
Safety Plugin for Crash Test Simulation
ETA announced the release of the Inventium Suite's Safety plugin, for vehicle
crash test simulation. Part of the
VPG group of application-specific add-on applications, the Safety plugin
guides the engineer through vehicle crash and safety simulation. It is used to
set-up crash simulation scenarios and manages finite element (FE) models in
several key areas. These areas include crash test simulation, dummy model
positioning, seat belt modeling and positioning and "include file"
management.
Dynaform Software
Version 5.9 Launched by ETA with Optimization Platform Module
ETA announced the release of DYNAFORM™ software with a brand new module,
incorporating optimization. The
Optimization Platform makes DYNAFORM™ the most complete and powerful
solutions in the market for die system simulation and optimization. Using the
newest optimization technology, the OP module reduces product development time
and cost for manufacturing by reducing incidents of wrinkling, thinning and
tearing with limited effort. The OP guided user interface makes optimization
viable for a larger set of users, since special optimization expertise is not
required. Additionally, the latest computing platforms combined with an
efficient solver eliminate demanding computing requirements. The solver is an
incremental solution (INCSolver) that delivers exceptional speed, taking
advantage of Shared Memory Processing (SMP) computing technology on multiple
core machines running Windows 7 and beyond.
ETA released
Inventium 2012 R2
A new version of ETA's mechanical engineering simulation software, the
Inventium™ Suite 2012 R2, which includes PreSys™ for finite element modeling
and four ETA/VPG™ modules for system analysis, was released with many new and
enhanced features, including pedestrian protection analysis tools, tire
modeling tools and road simulation capabilities.
Product Alliances
Dynaform
Optimization Platform
ETA has formed a strategic partnership with Red Cedar Technology to
offer the most complete and powerful solution on the market for die system
simulation and optimization. Under the new arrangement, ETA will embed Red
Cedar's proprietary optimization technology, SHERPA™, into a module of its
DYNAFORM™ product. The new module will be called OP, for Optimization Platform,
and will initially be focused on supporting drawbead optimization to determine
proper binder force, lubrication, gage, and material. The module will also
support 2D optimization of blank shape and size. Eventually, the two companies
expect to offer full auto die face optimization.
Inventium™ Suite Add-on for Alibre Users of Alibre Design, a leading 3D
design software solution developed and distributed by 3D Systems, can now
purchase the Inventium™ Suite add-on for finite element analysis. The add-on
allows the user to automatically transfer Alibre Design model data into the
finite element (FE) modeling tool, PreSys™, of the Inventium™ software Suite,
specify the necessary material and loading definitions, and finally perform
analysis with NISA™ software.
Inventium™
Supports NEI International Users
Users of ETA's PreSys™ finite element modeling software are able to
create simulation models for use with NEI Nastran, a product of NEI Software.
PreSys™ supports the creation of NEI Nastran models, from the importing of CAD
data, through the creation of elements and the post processing of the simulation
results.
Other Initiatives
ETA Opens New
Office in California
ETA has opened a new office in Los Angeles, California. The new office
will serve Hybrid and EV vehicle OEMs and suppliers, aerospace and electronic
manufacturers in the region. It will provide many types of simulation and
analysis services aimed at helping manufacturers reduce prototyping, testing
time and costs. Services will also include modeling and simulation services for
structural and electronic products.
Going forward…
ETA has expanded its foot print in China and also launched its new
office in India. ETA has hired experts in CFD and is working on gaining better
market share in this fast growth engineering business. ETA has also
aggressively grown its products and alliance partnerships this year and plans
to leverage these initiatives to accelerate its growth going forward.
Dunn Solutions
Group (DSG):
Dunn Solutions Group is an information technology consulting firm with
exceptional strategic experience, design skills and technologic expertise.
Focused on the business intelligence, application development and web/portal
spaces, the Company delivers services through offices in Chicago, Minneapolis,
Raleigh and Fort Lauderdale in the United States, and Bangalore, India.
Product Launches
New App for
Meetings Captures Audience Feedback with Real-Time Surveys
DSG launched a new mobile app, Audience Opinion, which is now available
and enables live participation in events with the use of audience members'
personal smartphones. Audience Opinion is an easy-to-use live polling tool that
helps meeting and classroom leaders create more interactive and engaging events
using mobile survey technology.
The Audience Opinion app. enables participants to view and answer
pre-configured survey questions using a free mobile app they download on their
Apple, Windows or Android device. Presenters share real-time survey results
displayed using a variety of colorful graphs and charts. The application is
integrated with social media technology so that participants can choose to
share their participation on Twitter and Facebook.
DSG Launches
Web-based Optical Shop Performance Dashboard and Legal Dashboard
Designed for retail eye care practices, DSG's Optical Shop Performance
Dashboard is a web-based reporting solution that integrates and consolidates
data from the enterprise Electronic Health (EHR) and Practice
Management solution, and delivers the key performance indicators (KPIs)
to the desktop using dynamic visualizations.
The DSG Legal Dashboard, designed for internal legal organizations that
use a matter management system, is a
web-based dashboard solution that integrates and consolidates data from
the systems, and delivers the key performance indicators (KPIs) to the desktop
using dynamic visualizations.
Training Updates
In 2012 DSG introduced Telepresence Training, allowing students to
attend a participating class in any of their training locations. Utilizing
state-of-the-art video conferencing technology, the class is delivered live by
an instructor in a DSG training facility and students can participate via any
DSG training location.
Going Forward…
During the year under review DSG launched three new web based services
for three different verticals. DSG also
introduced its training services on the net by introducing Telepresence
Training which allows students to attend classes remotely. By doing this DSG
has forged into the SAAS based market. DSG also plans to further grow into the
Business Intelligence segment and provide solutions to its end customers by
leveraging its partnerships
with SAP, Microsoft, Liferay and Oracle.
CubeWare:
Cubeware provides cutting edge technology and services for building
Business Intelligence and performance management solutions that bring analysis,
planning, reporting and dashboarding to business professionals.
Product Launches
Cubeware Introduces BISTRO™ Business Intelligence App Store, Knowledge
Center, Community and Ecosystem Cubeware, a leading provider of complete
business intelligence software solutions, unveiled BISTRO, (Business
Intelligence Store Real-time Operations), a business intelligence (BI)
applications store that provides a new approach to the complex, unwieldy world
of BI software and solutions. This will be a Central Resource of Certified BI
Best Practices, and Specialized Tools and Applications.
Cubeware Announced
Addition of Syscon BI Integration Applications for ERP Systems to BISTRO BI App
Store
Cubeware announced the addition of Syscon's BI AX, IFS and NAV cubes and
content integration applications to
its BISTRO™ business intelligence (BI) applications store. The Syscon
applications are optimized to accelerate BI deployments by making SQL Server
data warehouse content rapidly deployable and ready-to-use for the Microsoft
Dynamics AX and NAV, as well as IFS enterprise resource planning (ERP) systems.
Cubeware Adds STAS
CONTROL for Manufacturing to BISTRO BI App Store to Boost Factory Production
and Efficiency to
Compete in Global Market
Cubeware announced the addition of STAS CONTROL for manufacturing
applications to its BISTRO business intelligence (BI) applications store. STAS
GmbH, which develops business planning and analysis solutions, designed the
STAS CONTROL application for industrial companies. The application provides
industrial companies with the tools necessary to analyze and optimize
manufacturing processes to boost productivity and efficiency while enabling
customers to compete and thrive in today's global manufacturing market.
Going forward…
During the year Cubeware forged aggressively ahead to capture e-based
business intelligence market by launching the Bistro™ BI App Store which
promises to transform the way BI applications are sold, deployed, maintained
and operated. BISTRO accelerates the BI deployment process by offering a
combination of pre-defined applications that run on a wide range of data
platforms along with industry- and market-specific feature sets that can be
quickly assembled. By using pre-configured templates, reports and apps, BI
integrators and resellers can dramatically reduce the time needed for
customization so customers more quickly reap the benefits they need from their
BI solution. Cubeware plans to aggressively market these solutions in the
mature and emerging markets and reap the early bird benefits of this
initiative. Cubeware also plans to expand its market reach to other parts of
the world for these BI products and solutions by establishing both direct and
indirect offices, partnerships and alliances.
Systat Software
Inc. (SSI)
Headquartered in San Jose, California, USA, Systat Software Inc. (SSI)
provides specialized scientific software
products and services for the environment sciences, life sciences, behavioral
sciences, medical research and engineering. SSI is dedicated to providing
effective solutions to the scientific and engineering community to compress the
time intensive process of data analysis and presentation, thus enhancing
productivity.
Product launches
Systat Software
announces SigmaPlot™ Software Version 12.5
Systat Software, Inc., a leading developer and supplier of award-winning
scientific software and services, announced Sigma Plot Version 12.5 a free
downloadable update to the latest version of their most advanced scientific
data analysis and graphing software package SigmaPlot version 12. This update
provides researchers increased system stability, ease of use and new features
to quickly analyze data and create exact, publication-quality graphs that best
present research results for presentation, publication or the web.
Going Forward…
Systat Software plans to invest further into technical upgrades of its
products, marketing and infrastructural strengths. It also plans to create and upgrade
its consulting and customization business by creating developers libraries and
partnering with technology players. During the upcoming year Systat Software
also plans to launch its vertical specific product modules to specific growth
sectors thus capturing larger market share.
STATEMENT OF
UNAUDITED FINANCIAL RESULT FOR THE QUARTER ENDED 30TH JUNE, 2013
(Rs.
In Millions)
|
|
Particulars |
3 Months Ended |
|
|
|
30.06.2013 |
|
|
|
|
|
1 |
Income from Operations |
|
|
|
(a)Net Sales/Income from Operations |
34.414 |
|
|
(b)Other Operating Income |
-- |
|
|
Total Income from Operations (Net) |
34.418 |
|
2 |
Expenses |
|
|
|
(a)Cost of materials consumed |
7.682 |
|
|
(b)Purchase of Stock-in-Trade |
-- |
|
|
(c)Changes in inventories Of
finished goods and work-in- progress |
(5.057) |
|
|
(d)Employee benefit expense |
19.944 |
|
|
(e)Depreciation and amortization
expense |
92.554 |
|
|
(f)Other expenses |
333.868 |
|
|
Total Expenses |
448.991 |
|
3 |
Profit from Operations before Other
Income. Finance Costs and Exceptional Hems |
(414.577) |
|
4 |
Other Income |
0.013 |
|
5 |
Profit(Loss) from ordinary
activities before finance costs but before exceptional Hems |
(414.564) |
|
6 |
Finance costs |
257.186 |
|
7 |
Profits Loss) from Ordinary
activities after finance costs but before exceptional items |
(671.750) |
|
8 |
Exceptional Items |
-- |
|
9 |
Profit/(Loss) from ordinary
activities before tax |
(671.750) |
|
10 |
Tax expense |
122.971 |
|
11 |
Net Profit/(Loss) from ordinary
activities after tax |
(548.779) |
|
12 |
Extraordinary Items |
-- |
|
13 |
Net Profit/(Loss) for the period |
(548.779) |
|
14 |
Minority Interest |
-- |
|
15 |
Net Profit/(Loss) after Taxes,
minority interest and share of profit/Loss of associates |
(548.779) |
|
16 |
Paid-up equity share capital (Face
Value of Rs.2/-) |
235.534 |
|
17 |
Reserve excluding Revaluation
Reserves as per balance sheet of previous
accounting year |
-- |
|
18 |
Earnings Per Share (before
extraordinary items) |
|
|
i |
i) Basic |
(4.66) |
|
|
ii) Diluted |
(4.66) |
|
18 ii |
Earnings Per Share (after
extraordinary items) |
|
|
i)Basic |
(4.66) |
|
|
|
ii) Diluted |
(4.66) |
(Rs.
In Millions)
|
PARTICULARS |
3 Months Ended |
|
|
|
30.06.2013 |
|
|
A |
PARTICULARS
OF SHAREHOLDING |
|
|
1 |
Public
Shareholding |
|
|
|
- Number
of shares |
110,247,850 |
|
|
-
Percentage of shareholding |
93.61% |
|
2 |
Promoters
and Promoter Group Shareholding (a) Pledged / Encumbered |
|
|
|
- Number
of shares |
1,000,000 |
|
|
-
Percentage of shareholding (as a % of the total shareholding of promoter and
promoter group) |
13.30% |
|
|
-
Percentage of shareholding (as a % of the total share capital of the company) |
0.85% |
|
|
(b)
Non-encumbered |
|
|
|
- Number
of shares |
6,519,000 |
|
|
-
Percentage of shareholding (as a % of the total shareholding of promoter and
promoter group) |
86.70% |
|
|
-
Percentage of shareholding (as a % of the total share capital of the company) |
6.38% |
SEGMENT WISE
REVENUE, RESULTS AND CAPITAL EMPLOYED
(Rs.
In Millions)
|
SL. |
Particulars |
3 Months Ended |
|
No. |
|
30.06.2013 |
|
|
|
Unaudited |
|
1 |
Segment
Revenue |
|
|
|
(a)
international |
19.105 |
|
|
(b)
Domestic |
15.309 |
|
|
Total |
34.414 |
|
|
Less:
Inter Segment Revenue |
|
|
|
Net
sales/Income From Operations |
34.414 |
|
2 |
Segment Results (Profit)(+)/ Loss (-)
before tax and interest from Each segment) |
|
|
|
(a)
International |
(103.644) |
|
|
(b)
Domestic |
(310.933) |
|
|
Total
' |
(414.577) |
|
|
Less:
i) Interest |
257.186 |
|
|
ii)
Other Un-allocable Expenditure net off |
|
|
|
(iii)
Un- allocable income |
0.013 |
|
3 |
Total Profit Before Tax Capital Employed (Segment assets -
Segment Liabilities) |
(671.750) |
|
|
(a)
International |
4972.666 |
|
|
(b)
Domestic |
1657.555 |
|
|
Total |
66,30.221 |
NOTES:
- The above results have been
approved by the Audit Committee and taken on record by the Board of
Directors at its meeting held on August 14, 2013
- The Auditors have carried out a
limited review of the standalone results.
- The Boards of Directors are
hopeful of overcoming ill effects of these events in the organization for
another 6 months period.
- The consolidated results have
been prepared in line with the requirements of Accounting Standards-21
"Consolidated Financial Statements".
- Consequent upon the fact that
dividend declared and approved by Members at the meeting on 29lh
September 2009 is still not paid, being more than one year, provision for
section 274fl)fg)(b) of the Companies Act, 1956 are attracted and
Directors are disqualified from being appointed and reappointed on the
Board of any Company.
- Previous year period figures have
regrouped/reclassified wherever necessary.
- Other expenses Includes exchange loss of Rs.329.400 Millions (Net) primarily on account of FCCB Liability as on 30/06/2013 as per Accounting Standard-11
CONTINGENT
LIABILITIES:
(Rs. in millions)
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
|
|
|
|
|
Claims against the Company not acknowledged
as debts |
|
|
|
(a) Income tax matters |
245.972 |
123.580 |
|
(b) Service Tax matters |
75.603 |
75.798 |
|
(c) Guarantees and Counter Guarantee |
10.015 |
10.127 |
|
(d) Others |
5.515 |
5.515 |
FIXED ASSETS
Tangible Assets
- Land and
Building
- Furniture and
Fixtures
- Computers
- Plant and
Machinery
- Vehicle
- Technical
Books
Intangible Assets
- Goodwill
- Computer
Software
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
|
Report Prepared
by : |
KVT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
2 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
31 |
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.