1. Summary Information
|
Country |
India |
||
|
Company Name |
ISGEC HEAVY
ENGINEERING LIMITED |
Principal Name 1 |
Mr. C. R. Thompson |
|
Status |
Good |
Principal Name 2 |
Mr. Vinod K. Nagpal |
|
Registration # |
05-000097 |
||
|
Street Address |
Radaur Road, Yamuna Nagar – 135001,
Haryana |
||
|
Established Date |
23.01.1933 |
SIC Code |
-- |
|
Telephone# |
91-1732-307210 / 217 / 307363 / 307611 |
Business Style 1 |
Manufacture of |
|
Fax # |
91-1732-250991/250250/251495 |
Business Style 2 |
Process Plant equipments |
|
Homepage |
Product Name 1 |
Mechanical and Hydraulic Presses and Castings |
|
|
# of employees |
Information declined by the management |
Product Name 2 |
-- |
|
Paid up capital |
Rs. 73,695,400/- |
Product Name 3 |
-- |
|
Shareholders |
Total shareholding of Promoter and Promoter Group (A) = 62.06% Total Public shareholding (B) = 37.94% |
Banking |
State Bank of Patiala |
|
Public Limited Corp. |
YES |
Business Period |
81 Years |
|
IPO |
YES |
International Ins. |
-- |
|
Public |
YES |
Rating |
A
(60) |
|
Related
Company |
|||
|
Relation
|
Country
|
Company
Name |
CEO |
|
|
|
|
|
|
Note |
- |
||
2. Summary
Financial Statement
|
Balance Sheet as of |
31.03.2013 |
(Unit: Indian Rs.) |
|
|
Assets |
Liabilities |
||
|
Current Assets |
12,950,202,000 |
Current Liabilities |
13,081,388,000 |
|
Inventories |
3,331,187,000 |
Long-term Liabilities |
2,764,271,000 |
|
Fixed Assets |
4,281,178,000 |
Other Liabilities |
2,042,487,000 |
|
Deferred Assets |
0,000 |
Total Liabilities |
17,888,146,000 |
|
Invest& other Assets |
3,419,054,000 |
Retained Earnings |
6,019,780,000 |
|
|
|
Net Worth |
6,093,475,000 |
|
Total Assets |
23,981,621,000 |
Total Liab. & Equity |
23,981,621,000 |
|
Total Assets (Previous Year) |
21,001,927,000 |
|
|
|
P/L Statement as of |
31.03.2013 |
(Unit: Indian Rs.) |
|
|
Sales |
25,126,341,000 |
Net Profit |
724,201,000 |
|
Sales(Previous yr) |
26,635,742,000 |
Net Profit(Prev.yr) |
700,376,000 |
MIRA INFORM REPORT
|
Report Date : |
05.04.2014 |
IDENTIFICATION DETAILS
|
Name : |
ISGEC HEAVY
ENGINEERING LIMITED |
|
|
|
|
Registered
Office : |
Radaur Road Yamuna Nagar – 135001, Haryana |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
30.09.2013 |
|
|
|
|
Date of
Incorporation : |
23.01.1933 |
|
|
|
|
Com. Reg. No.: |
05-000097 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 73.695 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L23423HR1933PLC000097 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
RTKS05672C |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACT5540K |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The company’s Share are Listed on
the Stock Exchange. |
|
|
|
|
Line of Business
: |
Manufacture of Process Plant equipments, Mechanical and Hydraulic Presses and Castings, Contract Manufacturing and execution of projects for setting up Boilers, Sugar Plants and EPC Power Plants. |
|
|
|
|
No. of Employees
: |
Information declined by the management |
RATING & COMMENTS
|
MIRA’s Rating : |
A (60) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 24000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a well-established company having fine track record. The rating reflects established position of the company in the capital
goods industry supported by healthy financial risk profile and adequate liquidity
position. Trade relations are reported as fair. Business is active. Payments are
reported to be regular and as per commitments. The company can be considered good for normal 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 |
AA – [Fund Based Limits] |
|
Rating Explanation |
High degree of safety and very low credit risk. |
|
Date |
March 2013 |
|
Rating Agency Name |
ICRA |
|
Rating |
A1 + [Non Fund Based Limits] |
|
Rating Explanation |
Very strong degree of safety and lowest credit risk. |
|
Date |
March 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 (91-1732-307210)
LOCATIONS
|
Registered Office : |
|
|
Tel. No.: |
91-1732-307210/217/307363/307611 |
|
Fax No.: |
91-1732-250991/250250/251495 |
|
E-Mail : |
|
|
|
|
|
Website : |
|
|
Location : |
Owned |
|
|
|
|
Corporate Office : |
A-4, Sector-24,
Noida – 201 301, |
|
Tel. No.: |
91-120-2411289/
2411290 |
|
Fax No.: |
91-120-2412250 |
|
|
|
|
Factory : |
|
|
|
|
|
Plant Location : |
|
|
|
|
|
Branch Office : |
Chennai ‘ Tel No.:
91-44-28297957/28297351 Fax No.:
91-44-28297375 Email ID: isgec@vsnl.com Mumbai ‘ Tel No.:
91-22-22662374/22665154 Fax No.:
91-22-22661899 Email ID: isgecbom@vsnl.com Also Located at :
|
|
|
|
|
International Office : |
USA
|
DIRECTORS
As on 31.03.2013
|
Name : |
Mr. Ranjit Puri |
|
Designation : |
Chairman |
|
Date of Birth/Age : |
04.03.1940 |
|
Qualification : |
B.Sc. Industrial Management from Massachusetts Institute of Technology (USA) |
|
Date of Appointment : |
14.10.1981 |
|
|
|
|
Name : |
Mr. Vinod K. Nagpal |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Tahir Hasan |
|
Designation : |
Director |
|
Date of Birth/Age : |
21.07.1946 |
|
Qualification : |
B.E. (Mech.) |
|
Date of Appointment : |
29.01.2005 |
|
|
|
|
Name : |
Mr. Vinod Kumar Sachdeva |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Arun Kathpalia |
|
Designation : |
Director |
|
|
|
|
Name : |
Mrs. Nina Puri |
|
Designation : |
Whole Time Director |
|
|
|
|
Name : |
Mr. Aditya Puri |
|
Designation : |
Managing Director |
KEY EXECUTIVES
|
Name : |
Mr. S.K. Khorana |
|
Designation : |
Executive Director and Company Secretary |
|
|
|
|
Audit Committee: |
Mr. Vinod K. Nagpal – Chairman Mr. Arun Kathpalia Mr. Aditya Puri |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2013
|
Category of Shareholders |
Number
of shares |
Percentage
of holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
1131962 |
15.36 |
|
|
3441330 |
46.70 |
|
|
4573292 |
62.06 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
4573292 |
62.06 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
600 |
0.01 |
|
|
2420 |
0.03 |
|
|
1000 |
0.01 |
|
|
4020 |
0.05 |
|
|
|
|
|
|
661874 |
8.98 |
|
|
|
|
|
|
971820 |
13.19 |
|
|
1158534 |
15.72 |
|
|
2792228 |
37.89 |
|
Total Public shareholding (B) |
2796248 |
37.94 |
|
Total (A)+(B) |
7369540 |
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) |
7369540 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacture of Process Plant equipments, Mechanical and
Hydraulic Presses and Castings, Contract Manufacturing and execution of projects
for setting up Boilers, Sugar Plants and EPC Power Plants. |
||||||||
|
|
|
||||||||
|
Products : |
|
GENERAL INFORMATION
|
No. of Employees : |
Information declined by the management |
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Bankers : |
|
||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||
|
Facilities : |
(Rs.
In Millions)
|
|
|
|
|
Banking
Relations : |
--- |
|
|
|
|
Auditors : |
|
|
Name : |
S.S.
Kothari Mehta and Company Chartered Accountants |
|
|
|
|
Subsidiaries
100% Share holding |
|
|
|
|
|
Joint Venture with
51 % share holding |
Isgec Hitachi Zosen Limited |
|
|
|
|
Entities over which
Directors and their relatives can exercise significant influence |
|
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
8500000 |
Equity Shares |
Rs.10/- each |
Rs. 85.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
7369540 |
Equity Shares |
Rs.10/- each |
Rs. 73.695
Millions |
|
|
|
|
|
(a) The rights,
preferences and restrictions attaching to each class of shares including
restrictions on the distribution of dividends and the repayment of capital are
as under:
The Company has only one class of equity shares having a par value of Rs.10/- per share. Each shareholder is entitled to one vote per share. 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 the liquidation of the company, the holders of the equity shares will be entitled to receive the remaining assets of the company, after distribution of all the preferential amounts. The distribution will be in proportion to number of equity shares held by each of the equity share holders.
(b) Reconciliation of the number
of shares and amount outstanding at the beginning and at the end of the
reporting year:
|
Particulars |
Number of Shares |
Amount |
|
Equity shares outstanding at the beginning of the year |
7369540 |
73.695 |
|
Add: Issued during the year |
- |
- |
|
Less: Shares bought back |
- |
- |
|
Equity shares outstanding at the close of the year |
7369540 |
73.695 |
I Detail of Shares held by each shareholder holding more than 5% Shares:
|
Class of shares/Name of the shareholders: |
Number of Shares |
% holding in
that class of shares |
|
Equity shares with voting rights |
|
|
|
Yamuna Syndicate Limited |
3277161 |
44.47 |
|
Ranjit Puri (individually and/ or jointly with others) |
659201 |
8.94 |
|
Aditya Puri (individually and/ or jointly with others) |
456808 |
6.20 |
|
Ranjan Tandon (individually and/ or jointly with others) |
438900 |
5.96 |
(d) 40 Equity shares of Rs. 10/- each are yet to be allotted by way of
Bonus Shares on receipt of fractional certificates, value of which has been
shown under capital reserve.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
|
30.09.2013 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
|
73.695 |
|
(b) Reserves & Surplus |
|
|
6019.780 |
|
(c) Money
received against share warrants |
|
|
0.000 |
|
|
|
|
|
|
(2) Share Application money pending
allotment |
|
|
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
|
|
6093.475 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
|
|
903.790 |
|
(b) Deferred tax liabilities (Net) |
|
|
187.004 |
|
(c) Other long term
liabilities |
|
|
1035.501 |
|
(d) long-term
provisions |
|
|
1268.872 |
|
Total Non-current
Liabilities (3) |
|
|
3395.167 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
|
|
1860.481 |
|
(b) Trade
payables |
|
|
6317.429 |
|
(c) Other
current liabilities |
|
|
5728.458 |
|
(d) Short-term
provisions |
|
|
586.611 |
|
Total Current
Liabilities (4) |
|
|
14492.979 |
|
|
|
|
|
|
TOTAL |
|
|
23981.621 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
|
|
3731.753 |
|
(ii)
Intangible Assets |
|
|
549.425 |
|
(iii)
Capital work-in-progress |
|
|
82.056 |
|
(iv)
Intangible assets under development |
|
|
0.000 |
|
(b) Non-current Investments |
|
|
1265.580 |
|
(c) Deferred tax assets (net) |
|
|
0.000 |
|
(d) Long-term Loan and Advances |
|
|
123.782 |
|
(e) Other
Non-current assets |
|
|
200.307 |
|
Total Non-Current
Assets |
|
|
5952.903 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
|
|
2071.418 |
|
(b)
Inventories |
|
|
3331.187 |
|
(c) Trade
receivables |
|
|
7614.956 |
|
(d) Cash
and cash equivalents |
|
|
3332.869 |
|
(e)
Short-term loans and advances |
|
|
1610.537 |
|
(f) Other
current assets |
|
|
67.751 |
|
Total
Current Assets |
|
|
18028.718 |
|
|
|
|
|
|
TOTAL |
|
|
23981.621 |
|
SOURCES OF FUNDS |
|
30.09.2012 |
30.09.2011 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
73.695 |
73.695 |
|
|
2] Share Application Money |
|
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
|
5369.274 |
4742.593 |
|
|
4] (Accumulated Losses) |
|
0.000 |
0.000 |
|
|
NETWORTH |
|
5442.969 |
4816.288 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
1703.675 |
952.491 |
|
|
2] Unsecured Loans |
|
221.703 |
584.198 |
|
|
TOTAL BORROWING |
|
1925.378 |
1536.689 |
|
|
DEFERRED TAX LIABILITIES |
|
122.602 |
67.655 |
|
|
|
|
|
|
|
|
TOTAL |
|
7490.949 |
6420.632 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
|
3699.157 |
3014.667 |
|
|
Capital work-in-progress |
|
459.397 |
446.872 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
2713.833 |
2606.095 |
|
|
DEFERREX TAX ASSETS |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
4448.501
|
4530.009
|
|
|
Sundry Debtors |
|
6907.614
|
6313.081
|
|
|
Cash & Bank Balances |
|
776.765
|
1474.780
|
|
|
Other Current Assets |
|
4.775
|
36.088
|
|
|
Loans & Advances |
|
1991.885
|
1829.483
|
|
Total
Current Assets |
|
14129.540
|
14183.441
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
|
5582.825
|
5033.115
|
|
|
Other Current Liabilities |
|
6174.674
|
7135.518
|
|
|
Provisions |
|
1753.479
|
1661.810
|
|
Total
Current Liabilities |
|
13510.978
|
13830.443
|
|
|
Net Current Assets |
|
618.562
|
352.998
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
7490.949 |
6420.632 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
30.09.2013 |
30.09.2012 |
30.09.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
25126.341 |
26635.742 |
23591.930 |
|
|
|
Other Income |
426.070 |
367.884 |
235.477 |
|
|
|
TOTAL (A) |
25552.411 |
27003.626 |
23827.407 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
3884.028 |
5558.572 |
5697.857 |
|
|
|
Purchases of Stock-in-Trade |
9302.314 |
9929.971 |
9547.788 |
|
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
1266.341 |
(319.433) |
(658.508) |
|
|
|
Employees benefits expense |
1919.234 |
1797.276 |
1631.918 |
|
|
|
Erection & Civil Cost |
2061.550 |
2216.963 |
1591.907 |
|
|
|
Other expenses |
5304.421 |
6106.929 |
4379.135 |
|
|
|
TOTAL (B) |
23737.888 |
25290.278 |
22190.097 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
1814.523 |
1713.348 |
1637.310 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
225.023 |
254.995 |
178.254 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
1589.500 |
1458.353 |
1459.056 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
541.639 |
451.307 |
380.937 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
1047.861 |
1007.046 |
1078.119 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
323.660 |
306.670 |
326.900 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
724.201 |
700.376 |
751.219 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
3842.005 |
3285.364 |
2694.917 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
72.420 |
70.040 |
75.122 |
|
|
|
Dividend @ Rs. 10/- per Equity
Share of Rs. 10/-each |
73.695 |
73.695 |
0.000 |
|
|
|
Proposed Dividend |
0.000 |
0.000 |
73.695 |
|
|
|
Corporate
Dividend Tax |
0.000 |
0.000 |
11.955 |
|
|
BALANCE CARRIED
TO THE B/S |
4420.091 |
3842.005 |
3285.364 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of Goods and Services on F.O.B basis |
11287.070 |
10592.454 |
7410.553 |
|
|
TOTAL EARNINGS |
11287.070 |
10592.454 |
7410.553 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
516.731 |
1218.790 |
1592.733 |
|
|
|
Spare Parts |
152.325 |
194.996 |
282.910 |
|
|
|
Goods for Resale |
75.887 |
0.000 |
435.847 |
|
|
|
Capital Goods |
141.289 |
558.899 |
331.701 |
|
|
TOTAL IMPORTS |
886.232 |
1972.685 |
2643.191 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
98.27 |
95.04 |
101.94 |
|
KEY RATIOS
|
PARTICULARS |
|
30.09.2013 |
30.09.2012 |
30.09.2011 |
|
PAT / Total Income |
(%) |
2.83 |
2.59 |
3.15 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
4.17 |
3.78 |
4.57 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
4.63 |
5.65
|
6.27 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.17 |
0.19 |
0.22 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.45 |
0.35 |
0.32 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.24 |
1.05
|
1.02 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
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 |
23591.930 |
26635.742 |
25126.341 |
|
|
|
12.902 |
(5.667) |
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 |
23591.930 |
26635.742 |
25126.341 |
|
Profit |
751.219 |
700.376 |
724.201 |
|
|
3.18% |
2.63% |
2.88% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info
Agents |
Available in Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact person |
No |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
---------------------- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
---------------------- |
|
22] |
Litigations that the firm / promoter involved in |
---------------------- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking account |
---------------------- |
|
26] |
Buyer visit details |
---------------------- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director, if available |
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 |
UNSECURED LOAN
Rs.
In Millions
|
Particular |
As
on 30.09.2013 |
As
on 30.09.2012 |
|
LONG-TERM
BORROWINGS |
|
|
|
Public |
158.608 |
95.736 |
|
Shareholders |
38.584 |
18.450 |
|
Directors |
0.000 |
0.066 |
|
SHORT-TERM
BORROWINGS |
|
|
|
Public |
1.627 |
2.070 |
|
Shareholders |
0.311 |
0.000 |
|
Packing Credit Loan from Banks |
800.000 |
105.381 |
|
Total |
999.130 |
221.703 |
|
|
|
|
OVERVIEW
Subject is a diversified heavy engineering Company and is engaged in manufacture of Process Plant equipments, Mechanical and Hydraulic Presses and Castings, Contract Manufacturing and execution of projects for setting up Boilers, Sugar Plants and EPC Power Plants for customers in India and abroad.
OPERATIONS:
As the shareholders are aware, economic conditions remained difficult during the year. The Company faced the situation by intensive marketing efforts, introduction of new products and rigorous cost control.
The shareholders will be pleased to note that margins have improved.
The Company has been able to maintain export revenue at 46% of the total revenue. The revenue during the year was marginally lower at Rs.25550.000 Millions against Rs.27000.000 Millions in the previous year. The lower revenue was mainly due to ‘hold’ by customers due to financial problems. Most of these orders have now become active.
Intensive marketing efforts continued both for domestic and export orders. The efforts included extensive visits and participation both in domestic exhibitions and international exhibitions.
The notable exhibitions in which the Company participated internationally are exhibitions at Sao Paulo, Brazil., organized by International Society of Sugarcane Technologists, at Istanbul organized by International Metal Working Technologies Exhibition and Fabtech - North America’s largest metal forming, fabricating, welding and finishing event organized by American Welding Society in Chicago.
Their share of Indian market improved visibly across the board.
Overall orders as well as export orders, as on date, are at a record level. There are, however, certain sections where significant capacity is available such as Machine Tools and Steel Castings.
Apart from other significant orders, the Boiler Division secured large orders for Oil and Gas fired boilers during the year under report. These include orders from Gas Authority of India Limited, Bharat Oman Refinery Limited, Bharat Petroleum Corporation Limited.
During the year they also commissioned their largest Circulating Fluidized Bed Combustion Boiler of 425 tonnes per hour (110 Mwe) for a Steel Plant.
As reported in the last year’s Directors’ Report, they had acquired technology for Electrostatic Precipitators from a German company namely Envirotherm GmbH. They have started designing, manufacturing and supplying Electrostatic Precipitators.
The first domestic order for Pulverized Coal fired (Utility) Boiler is under execution.
The new automated facility that was commissioned in the previous year for manufacturing Boiler Pressure Parts, performed well. Large P91 headers with long stubs, T12 panels, SS 304H with T22 coils and Conical burner openings for Pulverized Coal fired boilers were manufactured for the first time. This facility received Safety Certification namely ISO 14001 and OHSAS 18001.
The domestic market for Sugar Machinery business was bad. Their got a fair share of the available market.
The Machine Building Division developed new products such as Presses suitable for non-automobile applications such as white goods, tiles, etc., which could give us business in future. The Division made a significant break-through by securing an order for a highly automated Tandem Press line from the Mahindra Group. Customers, till very recently, were importing such machines.
Repeat orders for High Speed Presses were also secured from a French multinational for their plants in Mexico and China.
There have also started bidding for manufacture and supply of Vertical Turning Lathes (VTL) for which drawings and the brand “Morando” were bought, as mentioned in the last year’s report.
As reported in the last year’s Directors’ Report, in order to increase the scope of the Process Equipment Division, Technology Agreements were signed with Foster Wheeler Corporation, USA, for Feed Water Heaters and Surface Condensers and for Breech Lock Exchangers with Belleli, Italy. The shareholders would be pleased to note that orders were secured for all these products during the year.
The Container sub-division of the Process Equipment Division has record export order booking.
The Container sub-division successfully executed export orders for liquefiable gas containers meeting several rigorous requirements including Transferable Pressure Equipment Directive, European Agreement concerning the International Carriage of Dangerous Goods by Road, Regulations concerning International Carriage of Goods by Rail and International Maritime Regulation for Dangerous Goods.
The Steel Casting Unit was the first Indian Foundry to develop Crushing Shell Castings for Mining and Mineral Processing Industry. The Unit received Certification from Pressure Equipment Directorate of European Union for supplying Valves. It also received Class-A Foundry approval from Research, Design and Standard Organisation of Railways (RDSO).
The Steel Casting Unit continued its efforts to book orders from other sectors namely Railways, Pumps and Valves, in view of the down-trend in the Power sector affecting the market for castings for steam turbines.
After setting up a few turnkey power plants based on coal, they have become established in the industrial coal fired power plant sector.
MANAGEMENT DISCUSSION
AND ANALYSIS
Management Discussion and Analysis, as required under Clause 49 of the Listing Agreement, giving further Analysis, Review, Outlook and Threats is given below:-
The revenue during the year was slightly lower than previous year because of the bad economic conditions in the entire world including India. They were, however, able to maintain their margins. With aggressive marketing and improved position in the market vis-à-vis their competitors, they were able to have a record order booking in the year ended 30th September 2013. They, therefore, expect to have higher sales next year.
Input prices remained stable in the year ended 30th September 2013. They have, however, shown a marginal increase in the recent months.
The depreciation of the Indian currency vis-à-vis major currencies in the world should help their export efforts.
Certain businesses (Presses and Steel Castings) are likely to see under-loading in the coming year. This is mainly due to a slowdown in Automobile and Power sectors.
The Management will continue to look for new technologies and new diversification areas so as to broaden their portfolio of products and also move into higher value added products/projects.
CONTINGENT
LIABILITIES
(Rs in Millions)
|
Particulars |
As on 30.09.2013 |
As on 30.09.2012 |
|
|
|
|
|
I Contingent Liabilities: |
|
|
|
a) Claims against the Company not acknowledged as debts (including sales tax under dispute) |
117.292 |
65.059 |
|
b) Guarantees furnished by the bankers on behalf of the Company and counter Indemnity furnished by the Company to bankers for the same amount.* |
11479.621 |
10493.234 |
|
*Includes Performance Bank Guarantees given on behalf of subsidiary company Isgec Covema Limited |
-- |
2.150 |
|
c) Bonds executed in favour of President of India against Export Promotion Capital Goods licence |
571.124 |
663.260 |
|
d) Bonds executed in favour of President of India against Advance Authorizations * |
2612.820 |
-- |
|
* Includes Bonds given on behalf of joint venture company Isgec Hitachi Zosen Limited |
843.800 |
-- |
|
e) Bills discounted with Banks / Financial Institutions outstanding at the year end |
271.890 |
-- |
|
f) Corporate Guarantees furnished by the Company to Customers |
124.512 |
-- |
|
|
|
|
|
II Letters of Credit outstanding |
480.829 |
408.037 |
|
III Estimated amount of contracts remaining to be executed on Capital Account and not provided for (net of advances) |
177.484 |
117.183 |
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10349516 |
03/01/2013 * |
989,000,000.00 |
HSBC BANK (MAURITIUS) LIMITED |
6TH FLOOR, 18, CYBERCITY, EBENE, - 000000, MAURITIUS |
B66909698 |
|
2 |
10246065 |
22/05/2012 * |
250,000,000.00 |
AXIS BANK LIMITED |
2ND FLOOR, STATESMAN HOUSE, 148, BARAKHAMBA ROAD, |
B42631622 |
|
3 |
10229371 |
29/06/2011 * |
576,000,000.00 |
STANDARD CHARTERED BANK (ACTING AS AN SECURITY AGE |
CREDIT RISK CONTROL, NARAIN MANZIL, 23 BARAKHAMBA ROAD, NEW DELHI, DELHI – 110001, INDIA |
B15411275 |
|
4 |
10221536 |
25/06/2012 * |
800,000,000.00 |
STANDARD CHARTERED BANK |
CREDIT DOCUMENTATION UNIT, NARAIN MANZIL, 23 BARA |
B42736447 |
|
5 |
10161931 |
10/08/2009 * |
250,000,000.00 |
STANDARD CHARTERED BANK(ACTING AS AN AGENT AND SEC |
CREDIT RISK CONTROL, NARAIN MANZIL, 23 BARAKHAMBA ROAD, NEW DELHI, DELHI – 110001, INDIA |
A67778506 |
|
6 |
10121002 |
21/08/2013 * |
28,000,000,000.00 |
STATE BANK OF PATIALA (LEAD BANK) |
COMMERCIAL BRANCH, CHANDRALOK BUILDING, 36, JANPATH, NEW DELHI, DELHI – 110001, INDIA |
B85582294 |
|
7 |
10063950 |
10/08/2009 * |
451,000,000.00 |
STANDARD CHARTERED BANK (ACTING AS AN AGENT AND SEC |
CREDIT RISK CONTROL, NARAIN MANZIL, 23 BARAKHAMBA ROAD, NEW DELHI, DELHI – 110001, INDIA |
A67771212 |
* Date of charge modification
FIXED ASSETS
· Land (Free and Lese)
· Building and Road
· Plant and Machinery
· Furniture and Fixture
· Vehicles
· Technical Know-how
· Office Equipment
· Live Stock
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.60.32 |
|
|
1 |
Rs.100.04 |
|
Euro |
1 |
Rs.82.65 |
INFORMATION DETAILS
|
Information
Gathered by : |
HET |
|
|
|
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
NTH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
7 |
|
--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 |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
60 |
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.