MIRA INFORM REPORT
|
Report Date : |
03.04.2014 |
IDENTIFICATION DETAILS
|
Name : |
AUTOMOTIVE AXLES LIMITED |
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Registered
Office : |
Hootagalli Industrial Area, Off Hunsur Road, |
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Country : |
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Financials (as
on) : |
30.09.2013 |
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Date of
Incorporation : |
21.04.1981 |
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Com. Reg. No.: |
004198 |
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Capital
Investment / Paid-up Capital : |
Rs. 151.120 Millions |
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CIN No.: [Company Identification
No.] |
L51909KA1981PLC004198 |
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|
TAN No.: [Tax Deduction &
Collection Account No.] |
BLRA04953E |
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|
Legal Form : |
A Public Limited Liability company. The company’s Share are Listed on
the Stock Exchange. |
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Line of Business
: |
Manufacturing and sale of automotive components. |
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No. of Employees
: |
Information declined by the management
|
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (49) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 11000000 |
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|
Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having satisfactory track record. There appears dip in profitability of the company during the financial
year 2013. However, general financial position of the company seems to be sound
and healthy. Trade relations are fair. Business is active. Payment terms are
reported to be usually correct. The company can be considered for business dealings 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.
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 |
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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 |
Term Loan: A+ |
|
Rating Explanation |
Adequate degree of safety and low credit risk. |
|
Date |
October 2013 |
|
Rating Agency Name |
ICRA |
|
Rating |
Short Term fund based limits: A1 |
|
Rating Explanation |
Very strong degree of safety and lowest credit risk. |
|
Date |
October 2013 |
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 (91-821-7197500)
LOCATIONS
|
Registered Office : |
Hootagalli Industrial Area, Off Hunsur Road, Mysore – 570018,
Karnataka, India |
|
Tel. No.: |
91-821-2402582-86/ 2402452-532/7197500 |
|
Fax No.: |
Not Available |
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E-Mail : |
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Website : |
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Works : |
Unit I: Hootagalli
Industrial Area, Off Hunsur Road, Mysore – 570018, Karnataka, India |
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Unit II: Plot No.34 and
35P, Hootagalli Industrial Area, Off Hunsur Road, Mysore – 570018, Karnataka,
India |
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Unit III: 6 Km Stone, Kichha
Road, Village Shimla Pistor, Rudrapur, Udham Singh Nagar, Uttarakhand, India |
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Unit IV: No.19, Udyog Vihar, Greater Noida, Uttar Pradesh, India |
DIRECTORS
As on 30.09.2013
|
Name : |
Dr. Babasaheb N. Kalyani, |
|
Designation : |
Chairman |
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|
Name : |
Mr. Chris Villavarayan |
|
Designation : |
Director |
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|
Name : |
Mr. Bhalachandra B. Hattarki |
|
Designation : |
Director |
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|
Name : |
Mr. B. C. Prabhakar, |
|
Designation : |
Director |
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|
Name : |
Mr. Satish Sekhri |
|
Designation : |
Director |
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|
Name : |
Mr. Amit B. Kalyani |
|
Designation : |
Director |
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|
Name : |
Mr. Joseph A. Plomin |
|
Designation : |
Director |
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|
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|
Name : |
Mr. N. Muthukumar |
|
Designation : |
Whole time Director |
KEY EXECUTIVES
|
Name : |
Mr. S Ramkumar |
|
Designation : |
Company Secretary, Compliance Officer and Chief Financial Officer |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2013
|
Category of Shareholder |
Total No. of
Shares |
Total Shareholding
as a % of total No. of Shares |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
5367806 |
35.52 |
|
|
5367806 |
35.52 |
|
|
|
|
|
|
5367275 |
35.52 |
|
|
5367275 |
35.52 |
|
Total shareholding of Promoter and Promoter Group (A) |
10735081 |
71.04 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
1543871 |
10.22 |
|
|
23250 |
0.15 |
|
|
1567121 |
10.37 |
|
|
|
|
|
|
1341238 |
8.88 |
|
|
|
|
|
|
887021 |
5.87 |
|
|
537321 |
3.56 |
|
|
44193 |
0.29 |
|
|
30129 |
0.20 |
|
|
14064 |
0.09 |
|
|
2809773 |
18.59 |
|
Total Public shareholding (B) |
4376894 |
28.96 |
|
Total (A)+(B) |
15111975 |
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) |
15111975 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing and sale of automotive components. |
GENERAL INFORMATION
|
No. of Employees : |
Information declined by the management
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Bankers : |
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Facilities : |
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Banking
Relations : |
-- |
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Statutory
Auditors : |
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|
Name : |
Deloitte Haskins and Sells Chartered Accountants |
|
Address : |
Chennai, Bangalore, India |
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Internal
Auditors : |
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|
Name : |
Price Water House Coopers Chartered Accountants |
|
Address : |
Bangalore, India |
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Entity having
substantial Influence: |
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|
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|
Enterprises under
Common Control / Enterprises over
which Key Management Personnel have
significant influence: |
|
CAPITAL STRUCTURE
As on 30.09.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
23000000 |
Equity Shares |
Rs.10/- each |
Rs. 230.000 Millions |
|
2000000 |
Preference shares |
Rs.10/- each |
Rs. 20.000 Millions |
|
|
|
|
|
|
|
Total |
|
Rs. 250.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
15111975 |
Equity Shares |
Rs.10/- each |
Rs. 151.120
Millions |
|
|
|
|
|
NOTE:
Reconciliation of the number of shares and amount outstanding at the beginning and at the end of the reporting period
|
Particulars |
Opening Balance |
Closing Balance |
|
Year ended 30th September, 2013 |
|
|
|
Number of shares |
15,111,975 |
15,111,975 |
|
Rs. In Millions |
151.120 |
151.120 |
|
Year ended 30th September, 2012 |
|
|
|
Number of shares |
15,111,975 |
15,111,975 |
|
Rs. In Millions |
151.120 |
151.120 |
Details of shares held by each shareholder holding more than 5% shares:
|
Class of shares /
Name of shareholder |
As at 30th September,
2013 |
|
|
|
Number of shares held |
% holding in that class of shares |
|
Equity shares with voting rights |
|
|
|
BF Investments Limited |
5,367,806 |
35.520 |
|
Meritor Heavy Vehicle Systems, LLC USA |
5,367,275 |
35.517 |
|
Reliance Capital Trustee Company Limited (A/C Reliance Vision Fund) |
1,180,000 |
7.808 |
Right, preferences and restrictions attached to shares
The Company has issued only one class of equity share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividend in Indian Rupees. The dividend proposed by Board of Directors is subject to approval by the shareholders at the ensuing Annual General Meeting.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES
OF FUNDS |
30.09.2013 |
30.09.2012 |
30.09.2011 |
|
|
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
151.120 |
151.120 |
151.120 |
|
(b) Reserves & Surplus |
2653.716 |
2562.100 |
2287.551 |
|
(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) |
2804.836 |
2713.220 |
2438.671 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
191.510 |
258.157 |
153.892 |
|
(b) Deferred tax liabilities
(Net) |
118.474 |
124.174 |
119.601 |
|
(c) Other long term
liabilities |
23.708 |
21.209 |
0.000 |
|
(d) long-term provisions |
19.036 |
20.338 |
12.608 |
|
Total
Non-current Liabilities (3) |
352.728 |
423.878 |
286.101 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
235.178 |
191.815 |
339.345 |
|
(b) Trade payables |
646.115 |
1138.636 |
1400.550 |
|
(c) Other current liabilities |
142.962 |
252.907 |
217.252 |
|
(d) Short-term provisions |
72.310 |
222.236 |
224.770 |
|
Total
Current Liabilities (4) |
1096.565 |
1805.594 |
2181.917 |
|
|
|
|
|
|
TOTAL |
4254.129 |
4942.692 |
4906.689 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
1796.576 |
1723.665 |
1458.762 |
|
(ii) Intangible Assets |
29.012 |
31.521 |
0.757 |
|
(iii) Capital work-in-progress |
74.692 |
190.526 |
40.254 |
|
(iv) Intangible assets under
development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
0.000 |
0.000 |
0.000 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
97.992 |
116.290 |
129.510 |
|
(e) Other Non-current assets |
15.874 |
5.413 |
2.658 |
|
Total
Non-Current Assets |
2014.146 |
2067.415 |
1631.941 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
886.844 |
940.111 |
1102.049 |
|
(c) Trade receivables |
1140.037 |
1591.532 |
1910.556 |
|
(d) Cash and cash equivalents |
11.375 |
23.502 |
111.067 |
|
(e) Short-term loans and
advances |
198.467 |
315.794 |
149.235 |
|
(f) Other current assets |
3.260 |
4.338 |
1.841 |
|
Total
Current Assets |
2239.983 |
2875.277 |
3274.748 |
|
|
|
|
|
|
TOTAL |
4254.129 |
4942.692 |
4906.689 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
30.09.2013 |
30.09.2012 |
30.09.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
6425.342 |
9406.499 |
10124.815 |
|
|
|
Other Income |
16.306 |
20.203 |
5.210 |
|
|
|
TOTAL (A) |
6441.648 |
9426.702 |
10130.025 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
4544.332 |
6944.776 |
7346.189 |
|
|
|
Changes in inventories of finished goods and work-in-progress |
(9.638) |
(223.454) |
-53.263 |
|
|
|
Employee benefits expense |
528.010 |
561.888 |
516.360 |
|
|
|
Other expenses |
825.421 |
1111.280 |
1149.705 |
|
|
|
TOTAL (B) |
5888.125 |
8394.490 |
8958.991 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
553.523 |
1032.212 |
1171.034 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
82.648 |
92.578 |
65.756 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
470.875 |
939.6354 |
1105.278 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
285.294 |
273.877 |
233.928 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
185.581 |
665.757 |
871.350 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
58.604 |
215.573 |
575.566 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
126.977 |
450.184 |
295.784 |
|
|
|
|
|
|
|
|
|
|
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
2024.870 |
1795.430 |
1453.090 |
|
|
|
|
|
|
|
|
|
|
APPROPRIATIONS |
|
|
|
|
|
|
|
Dividend for the year |
30.220 |
151.120 |
151.120 |
|
|
|
Tax on dividend |
5.140 |
24.520 |
24.520 |
|
|
|
Transfer to General Reserve |
12.700 |
45.100 |
57.560 |
|
|
BALANCE CARRIED
TO THE B/S |
2103.790 |
2024.870 |
1795.430 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
59.888 |
48.437 |
63.741 |
|
|
|
Consumable & Spares |
4.045 |
6.069 |
9.717 |
|
|
|
Capital Goods |
23.634 |
209.046 |
42.368 |
|
|
TOTAL IMPORTS |
87.567 |
263.552 |
115.826 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
8.40 |
29.79 |
38.09 |
|
QUARTERLY RESULTS
|
Particulars |
31.12.2013 |
|
|
1st
Quarter |
|
Net Sales |
1334.200 |
|
Total Expenditure |
1214.900 |
|
PBIDT (Excl OI) |
119.300 |
|
Other Income |
2.500 |
|
Operating Profit |
121.800 |
|
Interest |
14.100 |
|
Exceptional Items |
0.000 |
|
PBDT |
107.700 |
|
Depreciation |
71.500 |
|
Profit Before Tax |
36.100 |
|
Tax |
7.100 |
|
Provisions and contingencies |
0.000 |
|
Profit After Tax |
29.000 |
|
Extraordinary Items |
0.000 |
|
Prior Period Expenses |
0.000 |
|
Other Adjustments |
0.000 |
|
Net Profit |
29.000 |
KEY RATIOS
|
PARTICULARS |
|
30.09.2013 |
30.09.2012 |
30.09.2011 |
|
PAT / Total Income |
(%) |
1.97
|
4.78 |
2.92 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.89
|
7.06 |
8.61 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
4.44
|
14.01 |
17.91 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.07
|
0.25 |
0.36 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.15
|
0.17 |
0.20 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.04
|
1.59 |
1.34 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
30.09.2011 |
30.09.2012 |
30.09.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
151.12 |
151.12 |
151.12 |
|
Reserves & Surplus |
2,287.55 |
2,562.10 |
2,653.72 |
|
Net
worth |
2,438.671 |
2,713.220 |
2,804.836 |
|
|
|
|
|
|
long-term borrowings |
153.892 |
258.157 |
191.51 |
|
Short term borrowings |
339.345 |
191.815 |
235.178 |
|
Total
borrowings |
493.237 |
449.972 |
426.688 |
|
Debt/Equity
ratio |
0.202 |
0.166 |
0.152 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
30.09.2011 |
30.09.2012 |
30.09.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
10124.815 |
9406.499 |
6425.342 |
|
|
|
(7.095) |
(31.693) |
NET PROFIT MARGIN
|
Net
Profit Margin |
30.09.2011 |
30.09.2012 |
30.09.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
10124.815 |
9406.499 |
6425.342 |
|
Profit |
295.784 |
450.184 |
126.977 |
|
|
2.92% |
4.79% |
1.98% |
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 |
No |
|
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 |
Yes |
REVIEW OF PERFORMANCE
The Gross Sales and other income for the financial year was Rs.7154.120 Millions as against Rs.10445.630 Millions for the previous financial year. The Profit before Tax of Rs.185.580 Millions and the Profit After Tax of Rs.126.980 Millions for the financial year as against Rs.665.75 Million and Rs.450.180 Millions respectively for the financial year. Despite a volatile economic scenario, the Company launched two new products in 2012-13 - one in the lower variant of 5T axle and the higher variant of 18T reduction axle. The Company also got a prestigious contract manufacturing order from TELCON for manufacturing the 100T dump truck axle. This places the Company in a completely new segment of axles, expanding their product range from 5T GVW to 100T GVW. Moreover, the Company launched prototypes for four new products: MS04 – 5T axle; HR 610 -18T hub reduction axles; and 6x6 and 8x8 axle for military application.
The Company will continue to adapt to the evolving market trends and focus on creating a sustainable organisation. Moving ahead, AAL is determined to broaden the product portfolio to address a wider cross-section of auto component industry. You Company has strategically diversified into off-highway and military vehicles segments to try and mitigate the volatility in MHCV segment.
Moreover, the Company with many global players eyeing to capitalise on the under-penetrated MHCVs market in India, it gives us an added opportunity to serve them as well.
MANAGEMENT DISCUSSION
AND ANALYSIS
INDIAN ECONOMY
The continuing uncertainty of the global economy cast its shadow on India’s economy; in addition, and the Indian economy also had its own share of issues. While the GDP grew at 6.0% in the first quarter, it grew at just 5.1%, 5.4% and 5.2% in the second, third and fourth quarter, respectively for the year (October 2012-September 2013). A correction of the sluggish growth rate will require faster implementation of reforms, better fiscal discipline and kick-starting of stalled infrastructure projects.
INDUSTRY SCENARIO
OVERVIEW
India is expected to be the world’s third largest automobile market by 2020E. The automobile industry is categorically divided into four segments; of which India is the fourth largest producer of commercial vehicles. The commercial vehicles segment is again divided into two segments – light commercial vehicles and medium and heavy commercial vehicles.
Exports
The overall exports of the country are expected to increase in 2013-14 from the current levels. Growing dominance of India as an export-focused country (on account of skilled human resource and low costs) will augur well for Automotive Axles Limited (AAL) and other automotive components industry participants.
COMPANY OVERVIEW
AAL has an industry experience of more than three decades. It is a joint venture of Kalyani Group and Meritor Inc. USA (formerly the automotive division of Rockwell International Corporation). Today, the Company is one of the largest independent manufacturers of Rear Drive Axle Assemblies in the country, with manufacturing facilities in Mysore.
Technology
- Gleason gear manufacturing equipment
- Modern heat treatment shop including continuous carburizing and sealed quench furnaces
- Friction welding
- CO2 welding
- CNC machining
- Flexible machine centres Products
- Rear Drive Axle assemblies
- S-Cam Actuated quick Change Air Brakes
- Trailer Axles for 10 tonnes to 13 tonnes GVW
Certifications
- Quality Management System is certified to ISO/TS 16949:2009
- Environmental Management System that is certified to ISO 14001:2004
OPERATIONAL SNAPSHOT, 2012-13
- Launched two new products - one in the lower variant of 5T axle and the higher variant of 18T reduction axle
- Got a prestigious contract manufacturing order from TELCON for manufacturing the 100T dump truck axle
- Expanded their segment of axles, with the product range expanding from 5T GVW to 100T GVW
- Launched prototypes for four new products: MS04 – 5T axle; HR 610 -18T hub reduction axles; 6x6 and 8x8 axle for military application
CORPORATE INFORMATION
Subject is a joint venture of Kalyani Group and Meritor Inc., USA (formerly the automotive division of Rockwell International Corporation) incorporated in 1981 under the Companies Act, 1956 with manufacturing facilities located at Mysore, Noida and Rudrapur.
UNSECURED LOAN
|
PARTICULARS |
30.09.2013 (Rs.
in Millions) |
30.09.2012 (Rs.
in Millions) |
|
Long-term
Borrowings |
|
|
|
Long term maturity of finance lease
obligations |
17.597 |
4.893 |
|
Short-term
borrowings |
|
|
|
From banks |
200.000 |
0.000 |
|
Total |
217.597 |
4.893 |
INDEX
OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE
CREATION/MODIFICATION |
CHARGE AMOUNT
SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST
NUMBER (SRN) |
|
1 |
10352893 |
30/03/2012 |
137,500,000.00 |
AXIS BANK LIMITED |
CORPORATE BANKING
BRANCH, QUEENS ROAD, BANGALORE, |
B38638318 |
|
2 |
10334196 |
20/12/2011 |
140,000,000.00 |
HDFC BANK LIMITED |
HDFC BANK HOUSE SENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA |
B31526791 |
|
3 |
10297136 |
16/06/2011 |
250,000,000.00 |
KOTAK MAHINDRA BANK LIMITED |
36-38A, NARIMAN BHAVAN, 227,D, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA |
B16733032 |
|
4 |
10250517 |
16/02/2012 * |
200,000,000.00 |
KOTAK MAHINDRA BANK LIMITED |
36-38A, NARIMAN BHAVAN, 227,D, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA |
B33053661 |
|
5 |
10215255 |
29/11/2010 * |
200,000,000.00 |
IDBI BANK LIMITED |
IDBI TOWERWTC
COMPLEX, CUFFE PARADE, MUMBAI, MAHA |
B00773580 |
|
6 |
10200298 |
15/12/2009 |
150,000,000.00 |
HDFC BANK LIMITED |
HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA |
A76154715 |
* Date of charge modification
FIXED ASSETS
Tangible Assets
- Land
- Building
- Plant and Machinery
- Furniture and office equipment
- Vehicle
Intangible Assets
- 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.59.65 |
|
|
1 |
Rs.99.21 |
|
Euro |
1 |
Rs.82.39 |
INFORMATION DETAILS
|
Information
Gathered by : |
NYA |
|
|
|
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
KVT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
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 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--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 |
|
49 |
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.