MIRA INFORM REPORT
|
Report Date : |
01.04.2014 |
IDENTIFICATION DETAILS
|
Name : |
NIKHIL ADHESIVES LIMITED |
|
|
|
|
Registered
Office : |
Shreeji Industrial Estate, Vadkun Collage Road, Dahanu, District Thane
– 401602, Maharashtra |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
29.09.1986 |
|
|
|
|
Com. Reg. No.: |
11-041062 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 39.050
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L51900MH1986PLC041062 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMN04256A |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACN1436G |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Manufacturing of Adhesives and Emulsions and also Trading in Chemicals. |
|
|
|
|
No. of Employees
: |
200 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (43) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 547000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having satisfactory track record. General financial position of the company seems to be decent. Trade relations are fair. Business is active. Payment terms are
reported to be slow but correct. The company can be considered for business dealings at usual trade
terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – December 1, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
|
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
India’s current account deficit for the fiscal third quarter ended
September 2013 narrowed to $4.2 billion or 0.9 % of the gross domestic product
from $31.9 billion or 6.5 % of GDP a year earlier, thanks to a pick-up in
exports and moderation in gold imports. Manufacturing activity and new orders
in India showed their strongest growth in a year in February. The news comes as
a relief after data showed Asia’s third largest economy grew by a
slower-than-expected 4.7 % annually in the three months through December. The
HSBC Manufacturing Purchasing Managers’ Index which gauges the business
activity of India’s factories but not its’ utilities, rose to 52.5 in February,
its highest in a year from 51.4 in January. Overall new orders for factory
goods which rose to a one-year high of 54.9 contributed to the surge. China has
emerged as India’s biggest trading partner in the current financial year
replacing the United Arab Emirates and pushing it to the third spot.
India-China trade has reached $49.5 billion with a 8.7 % share in India’s total
trade. The US comes second at $46 billion with 8.1 % share during the first
nine months of the current financial year.
The Reserve Bank of India has granted an additional nine months to the
public to exchange currency notes printed before 2005 including Rs 500 and Rs
1,000 denominations, pushing the deadline to January 1, 2015. A day before
dates for the Lok Sabha polls were announced, the government decided to hike
interest rates on fixed deposit schemes offered by post offices up to 0.2 per
cent. The new rates will be effective April, 1. The Supreme Court will resume
hearing on March, 11 Nokia’s appeal against a ruling over transferring
ownership of its local mobile phones plant which is the subject of a tax
dispute to Microsoft Corp.
In the last days of the current Government, another scam has surfaced.
The defence ministry has ordered a probe into Hindustan Aeronautics Limited’s
contracts from Britain’s Rolls-Royce Holdings worth at least $ 1.2 billion. The
Central Bureau of Investigation will look into allegations that over $80
million was paid in kickbacks in a deal signed in 2011. India has asked Boeing
Co. to find a solution for problems with state-owned Air India’s 787
Dreamliners. The aircraft has experienced a series of malfunctions since its
debut in 2011.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
Fund based Cash Credit Limits : BBB- |
|
Rating Explanation |
Moderate degree of safety and moderate
credit risk. |
|
Date |
February 2014 |
|
Rating Agency Name |
ICRA |
|
Rating |
Non-Fund based Letter of Credit Limits : A3 |
|
Rating Explanation |
Moderate degree of safety and high credit
risk. |
|
Date |
February 2014 |
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 DECLINED
MANAGEMENT NON-COOPERATIVE
(CONTACT NO.: 91-258-224463)
LOCATIONS
|
Registered Office/ Factory 1 : |
Shreeji Industrial Estate, Vadkun, Collage Road, Dahanu, District Thane
– 401602, Maharashtra, India |
|
Tel. No.: |
91-258-224463/ 223107 |
|
Fax No.: |
Not Available |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Head Office : |
39, Gundivali, Off Sir M V Road, Andheri (East), Mumbai - 400069,
Maharashtra, India |
|
Tel. No.: |
91-22-26837973 |
|
|
|
|
Sales/
Admin. Office : |
A, 501/502, Mathuria Apartments, Near Vishal Hall, Sir M.V. Road, Andheri (East), Mumbai - 400069, Maharashtra |
|
Tel. No.: |
91-11-26835864/ 26838030 |
|
Fax No.: |
91-11-26840854 |
|
E-Mail : |
bala@nikhiladhesives.com |
|
|
|
|
Trading Office : |
A-405, Mathuria Apartments, Near Vishal Hall, Sir M.V. Road, Andheri (East), Mumbai - 400069, Maharashtra, India |
|
Tel. No.: |
91-11-26840750/ 26836550 |
|
|
|
|
Factory 2 : |
7, Government Industrial Estate, Phase – I, Behind Euraform Factory,
Piparia, |
|
Tel. No.: |
91-260-2640045/ 3292186 |
|
Fax No.: |
91-260-2640055 |
|
|
|
|
Factory 3 : |
Shreeji Industrial Estate, Vadkun, College Road, Dahanu, District
Thane – 401602, Maharashtra, India |
|
|
|
|
Branch Offices : |
Located
at: · Ahmedabad · Chennai · Kolkata · Jaipur · New Delhi · Ghaziabad |
DIRECTORS
AS ON 31.03.2013
|
Name : |
Mr. Rajendra Jayantilal Sanghavi |
|
Designation : |
Executive Chairman |
|
Address : |
Heritage House, Gundavali, Cross Lane 2, Andheri (East), Mumbai – 400069, Maharashtra, India |
|
Date of Birth/Age : |
11.12.1955 |
|
Qualification : |
Diploma in Engineering |
|
Expertise in
specific functional type : |
Businessman |
|
Date of Appointment : |
01.01.2013 |
|
Voter ID No.: |
MT/OB/041/0510207 |
|
DIN No.: |
00245637 |
|
|
|
|
Name : |
Mr. Umesh Jayantilal Sanghavi |
|
Designation : |
Managing director |
|
Address : |
1, Ground Floor, Heritage House, Gundavali, Andheri (East), Mumbai – 400069, Maharashtra, India |
|
Date of Birth/Age : |
26.06.1957 |
|
Date of Appointment : |
01.01.2013 |
|
Voter ID No.: |
MT/08/04/0576106 |
|
DIN No.: |
00491220 |
|
|
|
|
Name : |
Mr. Tarak Jayantilal Sanghavi |
|
Designation : |
Executive Director |
|
Address : |
Flat A/202, 79-B, Heritage House, Gundavali, Andheri (East), Mumbai – 400069, Maharashtra, India |
|
Date of Birth/Age : |
02.10.1962 |
|
Qualification : |
B. Com |
|
Date of Appointment : |
01.01.2013 |
|
DIN No.: |
00519403 |
|
|
|
|
Name : |
Mr. Samaldas Ranchoddas Sanghavi |
|
Designation : |
Non-Executive, Independent Director |
|
Address : |
Ranchod Bhavan, Satya Narayan Mandir, Malsar, Vadodara – 391115, Gujarat, India |
|
Date of Birth/Age : |
04.06.1929 |
|
Date of Appointment : |
03.02.2003 |
|
|
|
|
Name : |
Mr. Hirebettu Sadananda Kamath |
|
Designation : |
Non-Executive, Independent Director |
|
Address : |
Flat No 21, Deonar House, Deonar Village House, Mumbai – 401601, Maharashtra, India |
|
Date of Birth/Age : |
10.06.1942 |
|
Qualification : |
B.E Mechanical |
|
Date of Appointment : |
15.02.2004 |
|
DIN No.: |
02628018 |
|
|
|
|
Name : |
Mr. Madhusudan Manmohandas Vora |
|
Designation : |
Non-Executive, Independent Director |
|
Address : |
Shree Neelkanth, Parnaka, Dahanu – 401601, Maharashtra, India |
|
Date of Birth/Age : |
22.06.1939 |
|
Date of Appointment : |
03.02.2007 |
|
DIN No.: |
00245427 |
|
|
|
|
Name : |
Dr. Avadhendra Pratap Singh |
|
Designation : |
Non-Executive, Independent Director |
|
Address : |
D6, Sector 1, P O, Petro Chemicals Township, Vadodara - 391345, Gujarat, India |
|
Date of Birth/Age : |
15.03.1952 |
|
Qualification : |
MSc, MBA, Ph.D. |
|
Expertise in
specific functional type : |
Professional |
|
Date of Appointment : |
29.05.2010 |
|
DIN No.: |
03321202 |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 31.12.2013
|
Category of Shareholder |
Total
No. of Shares |
As a % |
|
(A) Shareholding
of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
2410110 |
61.89 |
|
|
2410110 |
61.89 |
|
|
|
|
|
Total
shareholding of Promoter and Promoter Group (A) |
2410110 |
61.89 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
900 |
0.02 |
|
|
900 |
0.02 |
|
|
|
|
|
|
473911 |
12.17 |
|
|
|
|
|
|
500505 |
12.85 |
|
|
508449 |
13.06 |
|
|
425 |
0.01 |
|
|
425 |
0.01 |
|
|
1483290 |
38.09 |
|
Total Public
shareholding (B) |
1484190 |
38.11 |
|
Total (A)+(B) |
3894300 |
100.00 |
|
(C) Shares held by
Custodians and against which Depository Receipts have been issued |
|
|
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total
(A)+(B)+(C) |
3894300 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing of Adhesives and Emulsions and also Trading in Chemicals. |
||||||
|
|
|
||||||
|
Products/ Services : |
|
PRODUCTION STATUS (AS ON 31.03.2011)
|
Particulars |
Unit |
Actual
Production |
|
Adhesives and Emulsions |
Kgs. |
16,955,471 |
|
Other Chemicals |
Kgs. |
-- |
GENERAL INFORMATION
|
No. of Employees : |
200 (Approximately) |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Bankers : |
· Bank of India · Standard Chartered Bank ·
Yes Bank Limited ·
HDFC Bank Limited |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Facilities : |
|
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
PHD and Associates Chartered Accountants |
|
Address : |
B - 204, Anuradha S V Road, Irla Bridge, Andheri (West),
Mumbai - 400058 Maharashtra, India |
|
Income-tax
PAN of auditor or auditor's firm : |
AALFP4587E |
|
|
|
|
A Company
Significantly Influenced by relatives of KMP : |
· Vasant Polymers and Chemicals Private Limited ·
Zeki Software and Solutions Private Limited |
CAPITAL STRUCTURE
AS ON 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
4,950,000 |
Equity Shares |
Rs. 10/- each |
Rs. 49.500 Millions |
|
50,000 |
8% Preference shares |
Rs. 10/- each |
Rs. 0.500 Million |
|
|
|
|
|
|
|
Total |
|
Rs. 50.000
Millions |
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
3,894,300 |
Equity Shares |
Rs. 10/- each |
Rs. 38.943
Millions |
|
|
|
|
|
Subscribed & Fully Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
3,894,300 |
Equity Shares |
Rs. 10/- each |
Rs. 38.943
Millions |
|
|
Add: Forfeited Shares account |
|
Rs. 0.107
Million |
|
|
|
|
|
|
|
Total |
|
Rs. 39.050 Millions |
(a) Reconciliation
of the number of shares and amount outstanding at the beginning and at the end
of the reporting year:
|
Particulars |
31.03.2013 |
|
|
|
No. of Shares |
Amount in
Millions |
|
At the beginning of the year |
3 ,894,300 |
38.943 |
|
Outstanding at the end of the year |
3 ,894,300 |
38.943 |
(b) The company
has one class of equity shares having a par value of Rs.10 per share. Each
shareholder is eligible for one vote per share held. The dividend proposed by the
Board of Directors is subject to the approval of the shareholders in the
ensuing Annual General Meeting, except in case of interim dividend. In the
event of liquidation, the equity shareholders are eligible to receive the
remaining assets of the Company after distribution of all preferential amounts,
in proportion to their shareholding.
(c) Details of
shareholders holding more than 5% shares in the company:
|
Name of Shareholders |
31.03.2013 |
|
|
Equity shares of Rs.10/- each fully paid : |
No. of Shares |
% holding |
|
Ashok J. Sanghavi |
455,180 |
11.69 |
|
Vasantben J. Sanghavi |
246,960 |
6.34 |
|
Mrunalini R. Sanghavi |
236,780 |
6.08 |
|
Rekha T. Sanghavi |
271,440 |
6.97 |
|
Vasant Polymers and Chemicals Private Limited |
302,000 |
7.76 |
(d) Details of
forfeited shares:
|
Class of shares |
31.03.2013 |
|
|
|
No. of Shares |
Amount in
Millions |
|
Equity Shares |
21,320 |
0.107 |
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 |
39.050 |
39.050 |
39.050 |
|
(b) Reserves & Surplus |
97.812 |
95.800 |
91.673 |
|
(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) |
136.862 |
134.850 |
130.723 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
90.857 |
108.429 |
19.642 |
|
(b) Deferred tax liabilities (Net) |
17.825 |
8.714 |
10.055 |
|
(c)
Other long term liabilities |
0.427 |
0.558 |
0.247 |
|
(d)
long-term provisions |
1.835 |
1.511 |
1.163 |
|
Total
Non-current Liabilities (3) |
110.944 |
119.212 |
31.107 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
198.857 |
146.080 |
128.902 |
|
(b)
Trade payables |
385.609 |
338.100 |
258.511 |
|
(c)
Other current liabilities |
67.262 |
59.044 |
44.578 |
|
(d)
Short-term provisions |
4.472 |
7.801 |
12.222 |
|
Total
Current Liabilities (4) |
656.200 |
551.025 |
444.213 |
|
|
|
|
|
|
TOTAL |
904.006 |
805.087 |
606.043 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
222.632 |
86.303 |
96.066 |
|
(ii)
Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii)
Capital work-in-progress |
26.790 |
110.095 |
1.530 |
|
(iv) Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current
Investments |
0.136 |
0.136 |
0.136 |
|
(c) Deferred tax assets
(net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan
and Advances |
11.679 |
12.520 |
11.211 |
|
(e)
Other Non-current assets |
0.000 |
17.869 |
0.295 |
|
Total
Non-Current Assets |
261.237 |
226.923 |
109.238 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
183.541 |
151.327 |
191.410 |
|
(c)
Trade receivables |
317.656 |
344.025 |
237.420 |
|
(d)
Cash and cash equivalents |
57.835 |
17.977 |
26.234 |
|
(e)
Short-term loans and advances |
81.255 |
64.423 |
41.640 |
|
(f)
Other current assets |
2.482 |
0.412 |
0.101 |
|
Total
Current Assets |
642.769 |
578.164 |
496.805 |
|
|
|
|
|
|
TOTAL |
904.006 |
805.087 |
606.043 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
1827.686 |
1664.348 |
1303.605 |
|
|
|
Other Income |
0.196 |
0.973 |
4.226 |
|
|
|
TOTAL (A) |
1827.882 |
1665.321 |
1307.831 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
1027.751 |
881.944 |
774.802 |
|
|
|
Purchases of Stock-in-Trade |
588.676 |
538.755 |
383.163 |
|
|
|
Changes in inventories of finished goods, work-in-progress
and Stock-in-Trade |
(23.173) |
32.247 |
(40.739) |
|
|
|
Employees benefits expense |
43.745 |
38.300 |
31.833 |
|
|
|
Other expenses |
103.723 |
91.058 |
89.318 |
|
|
|
Exceptional Items |
17.006 |
37.624 |
(5.582) |
|
|
|
TOTAL (B) |
1757.728 |
1619.928 |
1232.795 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
70.154 |
45.393 |
75.036 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
37.907 |
22.326 |
26.273 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
32.247 |
23.067 |
48.763 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
17.481 |
11.562 |
11.188 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
14.766 |
11.505 |
37.575 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
9.110 |
3.758 |
12.904 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
5.656 |
7.747 |
24.671 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS YEARS’
BALANCE BROUGHT FORWARD |
18.313 |
14.961 |
13.216 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
0.000 |
0.775 |
17.500 |
|
|
|
Dividend |
3.115 |
3.115 |
4.673 |
|
|
|
Tax on Dividend |
0.530 |
0.505 |
0.753 |
|
|
BALANCE CARRIED
TO THE B/S |
20.324 |
18.313 |
14.961 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN FOREIGN
CURRENCY |
|
|
|
|
|
|
|
FOB value of exports |
6.551 |
2.521 |
2.550 |
|
|
|
Commission received |
0.000 |
0.000 |
0.035 |
|
|
TOTAL EARNINGS |
6.551 |
2.521 |
2.585 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Materials (for Manufacturing and Trading) |
597.864 |
620.257 |
537.636 |
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
1.45 |
1.99 |
6.34 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2013 |
30.09.2013 |
31.12.2013 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
Net Sales |
485.600 |
581.600 |
627.600 |
|
Total Expenditure |
453.100 |
556.000 |
586.800 |
|
PBIDT (Excl OI) |
32.500 |
25.600 |
40.800 |
|
Other Income |
0.000 |
0.000 |
0.200 |
|
Operating Profit |
32.500 |
25.600 |
41.000 |
|
Interest |
11.500 |
13.400 |
15.600 |
|
Exceptional Items |
(11.900) |
(21.800) |
(12.800) |
|
PBDT |
9.100 |
(9.600) |
12.700 |
|
Depreciation |
5.900 |
6.000 |
6.100 |
|
Profit Before Tax |
3.100 |
(15.600) |
6.600 |
|
Tax |
0.000 |
0.000 |
0.000 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
3.100 |
(15.600) |
6.600 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
3.100 |
(15.600) |
6.600 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
0.31 |
0.47 |
1.89 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
0.81 |
0.69 |
2.88 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
1.68 |
1.66 |
6.22 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.11 |
0.09 |
0.29 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
2.12 |
1.89 |
1.14 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.98 |
1.05 |
1.12 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
39.050 |
39.050 |
39.050 |
|
Reserves & Surplus |
91.673 |
95.800 |
97.812 |
|
Net
worth |
130.723 |
134.850 |
136.862 |
|
|
|
|
|
|
long-term borrowings |
19.642 |
108.429 |
90.857 |
|
Short term borrowings |
128.902 |
146.080 |
198.857 |
|
Total
borrowings |
148.544 |
254.509 |
289.714 |
|
Debt/Equity
ratio |
1.136 |
1.887 |
2.117 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
1303.605 |
1664.348 |
1827.686 |
|
|
|
27.673 |
9.814 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
1303.605 |
1664.348 |
1827.686 |
|
Profit |
24.671 |
7.747 |
5.656 |
|
|
1.89% |
0.47% |
0.31% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
No |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
-- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details
(if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm
/ promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of Proprietor/Partner/Director,
if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
Yes |
|
34] |
External Agency Rating,
if available |
Yes |
INDEX OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE CREATION/MODIFICATION |
CHARGE AMOUNT SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST NUMBER (SRN) |
|
1 |
10361540 |
27/04/2012 |
217,500,000.00 |
BANK OF INDIA |
ANDHERI MID
CORPORATE BRANCH, 28 MDI BLDG, 1ST FLOOR, S.V. ROAD, ANDHERI (WEST), MUMBAI -
400058, MAHARASHTRA, INDIA |
B42006338 |
|
2 |
10331099 |
05/11/2012 * |
98,700,000.00 |
STANDARD
CHARTERED BANK |
ABHIJEET II, GRL
FLOOR, NEAR MITHAKALI SIX ROADS, |
B64158140 |
|
3 |
10172256 |
29/06/2009 |
10,000,000.00 |
BANK OF INDIA |
SSI ANDHERI
(EAST) BR. MATHURIA APARTMENT, SIR M V ROAD, ANDHERI (EAST), MUMBAI -
400069, MAHARASHTRA, INDIA |
A67766881 |
|
4 |
10049021 |
23/08/2013 * |
567,000,000.00 |
BANK OF INDIA |
ANDHERI MID CORPORATE
BRANCH, 28 MDI BLDG, 1ST FLOOR, S.V. ROAD, ANDHERI (WEST), MUMBAI - 400058,
MAHARASHTRA, INDIA |
B84818327 |
|
5 |
10049022 |
12/03/2007 |
17,500,000.00 |
BANK OF INDIA |
SSI ANDHERI
(EAST) BR. MATHURIA APARTMENT, SIR M V ROAD, ANDHERI (EAST), MUMBAI -
400069, MAHARASHTRA, INDIA |
A14544142 |
|
6 |
80010973 |
23/08/2013 * |
750,000,000.00 |
BANK OF INDIA -
LEAD BANK |
ANDHERI MID
CORPORATE BRANCH, 28 MDI BLDG, 1ST FLOOR, S.V. ROAD, ANDHERI (WEST), MUMBAI -
400058, MAHARASHTRA, INDIA |
B84819283 |
|
7 |
90223521 |
23/08/2013 * |
750,000,000.00 |
BANK OF INDIA
& 2 OTHERS IN BOI CONSORTIUM |
ANDHERI MID
CORPORATE BRANCH, 28 MDI BLDG, 1ST FLOOR, S.V. ROAD, ANDHERI (WEST), MUMBAI -
400058, MAHARASHTRA, INDIA |
B84819796 |
|
8 |
90223178 |
12/01/2001 * |
3,400,000.00 |
BANK OF INDIA |
SSI ANDHERI
(EAST) BR. MATHURIA APARTMENT, SIR M V ROAD, ANDHERI (EAST), MUMBAI -
400069, MAHARASHTRA, INDIA |
- |
|
9 |
90220243 |
13/09/1997 * |
16,305,000.00 |
BANK OF INDIA |
SSI ANDHERI
(EAST) BR. MATHURIA APARTMENT, SIR M V ROAD, ANDHERI (EAST), MUMBAI -
400069, MAHARASHTRA, INDIA |
- |
|
10 |
90222302 |
05/05/2000 * |
2,000,000.00 |
BANK OF INDIA |
SSI ANDHERI
(EAST) BR. MATHURIA APARTMENT, SIR M V ROAD, ANDHERI (EAST), MUMBAI -
400069, MAHARASHTRA, INDIA |
- |
|
11 |
90221415 |
29/12/1987 |
300,000.00 |
BANK OF INDIA |
SSI ANDHERI
(EAST) BR. MATHURIA APARTMENT, SIR M V ROAD, ANDHERI (EAST), MUMBAI -
400069, MAHARASHTRA, INDIA |
- |
* Date of charge modification
UNSECURED LOANS
|
UNSECURED LOANS |
31.03.2013 (Rs.
In Millions) |
31.03.2012 (Rs.
In Millions) |
|
LONG-TERM BORROWINGS |
|
|
|
Deferred payment
liabilities Sales Tax Deferral |
3.565 |
2.911 |
|
Deposits From Public |
10.866 |
11.030 |
|
SHORT TERM BORROWINGS |
|
|
|
Loans repayable on
demand From Bank |
0.000 |
13.646 |
|
From other parties |
39.900 |
39.900 |
|
Loans and advances from a related party |
0.000 |
7.644 |
|
|
|
|
|
Total |
54.331 |
75.131 |
RESULT OF
OPERATIONS (STANDALONE)
The Financial Year 2012-2013 was yet another challenging year both
globally and domestically. Amidst several challenges, the company endeavored to
achieve the projected business targets under exceptional global market
developments during the reporting period.
The sales turnover of the company has increased from Rs. 1800.200
Millions to Rs. 1998.700 Millions registering growth of approx. 11.03 %. Other
income for the year is Rs. 0.200 Million as against Rs. 1.0000 Millions for the
previous year. The operating profit before depreciation and tax is Rs. 32.248
Millions compared to Rs. 23.069 Millions in the previous year registering about
40% increase due to contribution from new unit at Dahej. The net profit after
depreciation and tax is Rs. 5.657 Millions compared to Rs. 7.748 Millions for
the previous year. Net profit of Rs. 5.657 Millions for the current year is
after providing for deferred tax of Rs. 9.110 Millions. Reduction in net profit
for the current year is primarily due to foreign currency translation loss.
MANAGEMENT
DISCUSSION AND ANALYSIS REPORT
INDUSTRY STRUCTURE
AND DEVELOPMENT
The industry continues to be dominated by 8 major players having reach
throughout the country as against the small scale local manufacturers located
at various consuming centres across the country. Further amongst the 8 major
manufacturers only one has a similar range of products catered to by the
company. The addition of a third manufacturing unit at Dahej in Gujarat has
enhanced the Company’s production capacity, thereby facilitating better
services to its valuable customers. A poor monsoon in the last season, coupled
with prevalent political situation affected the country’s economy adversely.
The various producers had a daunting task and their emulsion industry was no
exception. To ensure maximum capacity utilisation, many manufacturers started
supplying material at very competitive rates and increased volumes. This
however had an adverse impact on the margins. Although the uncertain political
scenario is expected to continue through the coming 2014 elections, with better
monsoon forecast and the industries having chalked out suitable plans to
improve the performance, coming financial year holds much better prospects.
Their confidence also stems from the fact that over 80% of their revenues comes
from repeat business. This is a testament to the trust their clients place in
us and their ability to cater to their business requirements.
FINANCIAL
PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE
MANUFACTURING
DIVISION
During the year the production has increased from 23380 M. Tonnes to
25795 M. Tonnes in terms of volume, registering growth of approx. 10%. In value
terms the sales has increased from Rs. 1064.000 Millions to Rs. 1217.200
Millions registering a growth of about 14%. It is pertinent to note that the
share of industrial adhesives, which is an important product category from the
company’s perspective, has increased.
TRADING DIVISION
In the trading segment, the turnover has increased from Rs. 600.300
Millions to Rs. 610.500 Millions registering a nominal growth due to company’s
conscious decision to focus on manufactured goods during the year.
OUTLOOK
Amongst its basket of products, the Company’s major sales and focus
pertain to the emulsions for the Paint Industry. Most of the major players in
this industry have predicted a better growth in the decorative paint sector.
Their emulsions are predominantly used for making decorative paints; which
would certainly provide a greater fillip to their sales. The results also have
been extremely encouraging in the other sectors including adhesives and the
area of exports. All this augurs well for the Company in the coming months.
UNAUDITED
STANDALONE FINANCIAL RESULTS FOR THE QUARTER/HALF YEAR ENDED 30TH SEPTEMBER,
2013
(RS. IN
MILLIONS)
|
Particular |
Quarter Ended |
Half Year Ended |
|
|
|
30.09.2013 (Unaudited) |
30.06.2013 (Unaudited) |
30.09.2013 (Unaudited) |
|
Income from Operations |
|
|
|
|
Net Sales/Income from Operations |
577.826 |
481.769 |
1059.595 |
|
Other Operating Income |
3.735 |
3.814 |
7.549 |
|
Total Income from
operations (net) |
581.561 |
485.583 |
1067.144 |
|
|
|
|
|
|
Expenses |
|
|
|
|
(a) Cost of material consumed |
365.628 |
288.671 |
654.299 |
|
(b) Purchase of stock in trade |
138.050 |
128.045 |
266.095 |
|
(c) Changes in inventories of finished goods, work in
progress and stock in trade |
8.831 |
(3.370) |
5.461 |
|
(d) Employee benefit expenses |
11.902 |
11.677 |
23.579 |
|
(e) Depreciation and amortization expenses |
5.954 |
5.933 |
11.887 |
|
(f) Other Expenses |
31.563 |
28.063 |
59.626 |
|
Total Expenses |
561.928 |
459.019 |
1020.947 |
|
Profit from Operations
before Other Income, Finance costs and Exceptional item |
19.633 |
26.564 |
46.197 |
|
Other Income |
0.026 |
-- |
0.026 |
|
Profit/ Loss from
Ordinary Activities before Finance costs and Exceptional item |
19.660 |
26.564 |
46.223 |
|
Finance costs |
13.439 |
11.500 |
24.939 |
|
Profit/ Loss from
Ordinary Activities after Finance costs but Exceptional item |
6.221 |
15.064 |
21.285 |
|
Exceptional
item |
21.774 |
11.937 |
33.711 |
|
Profit/ Loss from Ordinary Activities
before tax |
(15.554) |
3.127 |
(12.427) |
|
Tax Expenses |
-- |
-- |
-- |
|
Net Profit/ Loss from Ordinary Activities
after tax |
(15.554) |
3.127 |
(12.427) |
|
Extraordinary
Items |
-- |
-- |
-- |
|
Net Profit for the period |
(15.554) |
3.127 |
(12.427) |
|
Paid- up
Equity Share Capital (Face value
of the share – Rs. 10) |
39.050 |
39.050 |
39.050 |
|
Reserves
excluding revaluation reserves as per balance sheet of Previous Accounting
Year |
|
|
85.385 |
|
Earnings Per Share (EPS) (Not annualised except for the year ended 31st March 2013) (a) Basic & diluted EPS before Extraordinary Items |
(3.99) |
0.80 |
(3.19) |
|
(b) Basic & diluted EPS after Extraordinary Items |
(3.99) |
0.80 |
(3.19) |
|
|
|
|
|
|
PARTICULARS OF SHAREHOLDING |
|
|
|
|
1. Public
shareholding |
|
|
|
|
Number of
Shares |
1484190 |
1494490 |
1484190 |
|
Percentage of Shareholding |
38.11 |
38.38 |
38.11 |
|
2. Promoters
and promoter group shareholding |
|
|
|
|
a)
Pledged/Encumbered |
|
|
|
|
- Number of Shares |
572890 |
572890 |
572890 |
|
- Percentage of Shares (as a % of the Total Shareholding
of promoter and promoter group) |
23.77 |
23.88 |
23.77 |
|
- Percentage of Shares (as a % of the Total Share Capital
of the Company) |
14.71 |
14.71 |
14.71 |
|
Non - encumbered |
|
|
|
|
- Number of
Shares |
1837220 |
1826920 |
1837220 |
|
- Percentage
of Shares (as a % of the
total shareholding of promoter and promoter
group) |
76.23 |
76.12 |
76.23 |
|
- Percentage
of Shares (as a % of
the total share capital of the company) |
47.18 |
46.92 |
47.18 |
|
|
Particulars |
Quarter
Ended 30.09.2013 |
|
B |
Investor complaints
(Nos.) |
|
|
|
Pending at the beginning of the quarter |
Nil |
|
|
Received during the quarter |
Nil |
|
|
Disposed of during the quarter |
Nil |
|
|
Remaining unresolved at the end of the quarter |
Nil |
SEGMENTWISE REVENUE, STANDALONE RESULTS AND CAPITAL EMPLOYED FOR THE
QUARTER/HALF YEAR ENDED 30TH SEPTEMBER, 2013
|
Particulars |
Quarter Ended |
Half Year Ended |
|
|
|
30.09.2013 (Unaudited) |
30.06.2013 (Unaudited) |
30.09.2013 (Unaudited) |
|
|
|
|
|
|
1. Segment Revenue |
|
|
|
|
a. Manufacturing of Adhesives & Emulsions |
417.066 |
348.546 |
765.612 |
|
b. Trading in chemicals & Others |
164.495 |
137.037 |
301.532 |
|
c. Unallocable |
-- |
-- |
-- |
|
Total |
581.561 |
485.583 |
1067.144 |
|
Less: Inter – segment revenue |
-- |
-- |
-- |
|
Total income from operations (net) |
581.561 |
485.583 |
1067.144 |
|
|
|
|
|
|
2. Segment Results |
|
|
|
|
Profit/ (loss) before tax and interest |
|
|
|
|
a. Manufacturing of Adhesives & Emulsions |
0.503 |
17.624 |
18.127 |
|
b. Trading in chemicals & Others |
0.475 |
0.220 |
0.695 |
|
c. Unallocable |
-- |
-- |
-- |
|
Total |
0.978 |
17.844 |
18.822 |
|
Less: Finance Costs |
13.439 |
11.500 |
24.939 |
|
Other un-allocable expenditure net off un-allocable
other operating income |
3.093 |
3.217 |
6.310 |
|
Total Profit Before Tax |
(15.554) |
3.127 |
(12.427) |
|
|
|
|
|
|
3. Capital Employed |
|
|
|
|
(Segment Assets – Segment Liabilities) |
|
|
|
|
a. Manufacturing of Adhesives & Emulsions |
434.205 |
389.759 |
434.205 |
|
b. Trading in chemicals & Others |
120.772 |
119.200 |
120.772 |
|
c. Unallocable |
-- |
-- |
-- |
|
Total |
554.977 |
508.959 |
554.977 |
NOTES
1)
The above results were reviewed by the Audit Committee
and thereafter approved by the Board of Directors at their respective meetings
held on 13th November 2013.
2)
In view of substantial expansion project undertaken
by the Company, provision for current tax, if any, and deferred tax shall be
made at the end of the year.
3)
Loss on account of foreign exchange fluctuations has
been treated as an exceptional item, since the same has resulted from volatile
currency fluctuation during the reporting periods.
4)
The figures for the previous quarter/year have been
regrouped/reclassified wherever necessary.
STANDALONE STATEMENT OF ASSETS
AND LIABILITIES
|
Particulars |
30.09.2013 |
|
|
A. EQUITY AND LIABILITIES |
Unaudited |
|
|
1.
Shareholders’ Funds |
|
|
|
a] Share Capital |
39.050 |
|
|
b] Reserves and Surplus |
85.385 |
|
|
Sub-total –
Shareholders’ funds |
124.435 |
|
|
|
|
|
|
2. Non-current
Liabilities |
|
|
|
a] Long term Borrowings |
91.729 |
|
|
b] Deferred Tax Liabilities |
17.825 |
|
|
c] Other current liabilities |
0.451 |
|
|
d] Long term provisions |
2.085 |
|
|
Sub-total -
Non-current Liabilities |
112.090 |
|
|
|
|
|
|
3. Current Liabilities |
|
|
|
a] Short term Borrowings |
323.154 |
|
|
b] Trade Payables |
516.205 |
|
|
c] Other Current Liabilities |
83.612 |
|
|
d] Short Term Provision |
4.215 |
|
|
Sub-total - Current Liabilities |
927.186 |
|
|
|
|
|
|
TOTAL - EQUITY
AND LIABILITIES |
1163.711 |
|
|
|
|
|
|
B ASSETS |
|
|
|
1. Non-current assets |
|
|
|
a] Fixed assets |
263.999 |
|
|
b] Non-current investment |
0.136 |
|
|
c] long Term loans and Advances |
12.683 |
|
|
d] Other non-current assets |
0.058 |
|
|
Sub-total – Non- current assets |
276.876 |
|
|
|
|
|
|
2.
CURRENT ASSETS |
|
|
|
|
Current Investments |
0.000
|
|
|
Inventories |
223.832
|
|
|
Trade Receivables |
508.955
|
|
|
Cash & Bank Balances |
51.638
|
|
|
Short Term loans and advances |
99.584
|
|
|
Other Current Assets |
2.826
|
|
Sub-total – Current Assets |
886.835
|
|
|
|
|
|
|
TOTAL - ASSETS |
1163.711 |
|
CONTINGENT
LIABILITIES:
|
Particulars |
31.03.2013 (Rs.
In Millions) |
31.03.2012 (Rs.
In Millions) |
|
Claims against the Company not acknowledged as debts |
0.000 |
0.000 |
|
Guarantees given by the Company's Banker on behalf of the Company |
34.995 |
1.553 |
|
|
|
|
|
Total |
34.995 |
1.553 |
FIXED ASSETS:
Tangible Assets
· Land
· Buildings
· Plant and Equipment
· Furniture and Fixtures
· Vehicles
· Computers
Intangible Assets
· Goodwill
· Trademarks
· Technical Know How
· MDC Logo
· No Compete Agreement
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. 60.10 |
|
|
1 |
Rs. 99.85 |
|
Euro |
1 |
Rs. 82.58 |
INFORMATION DETAILS
|
Information Gathered
by : |
HNA |
|
|
|
|
Report Prepared
by : |
BVA |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
4 |
|
--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 |
|
DEFAULTERS |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
43 |
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.