MIRA INFORM REPORT
|
Report Date : |
21.04.2014 |
IDENTIFICATION DETAILS
|
Name : |
FEDDERS LLOYD CORPORATION LIMITED |
|
|
|
|
Registered
Office : |
C-4, Phase – II, Noida, District Gautam Budh Nagar – 201305, Uttar
Pradesh |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
30.06.2013 |
|
|
|
|
Date of
Incorporation : |
16.01.1957 |
|
|
|
|
Com. Reg. No.: |
20-021118 |
|
|
|
|
Capital Investment
/ Paid-up Capital : |
Rs. 307.700 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L29299UP1957PLC021118 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
DELF00021A |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The company’s Shares are Listed on
the Stock Exchanges. |
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|
|
|
Line of Business
: |
Subject is engaged in the business:
|
|
|
|
|
No. of Employees
: |
Information Decline by the management |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (45) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 12000000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having satisfactory track record. General financial position of the company seems to be sound and
healthy. Profitability of the company is fair. 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 – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
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
US investment bank
Goldman Sachs has upgraded its outlook on Indian markets as it expects
positive impact of the election cycle.
India’s economy may
grow 4.7 % in the current financial year, lower than the official estimate of
4.9 %, Fitch Rating said. The global rating agency expects the economy to pick
up in the next two financial years.
Global ratings
agency Standard & Poor said increasing focus by India Inc on lowering debt
is likely to improve their credit profiles.
Singapore (1.1 million
Indian tourists in 2012), Thailand (one million), the United Arab Emirates
().98 million) and Malaysia ().82 million) emerged as the preferred holidays
hotspots for Indians. The total figure is expected to increase to 1.93 million
by 2017, according to the latest Eurmonitor international report.
There is a $29.34 bn
outward foreign direct investment by domestic companies between April and
January of 2013/14 which has seen some signs of recovery according to a Care
Ratings report.
There are 264 number
of new companies being set up every day on average during 2014. Most of them
are registered in Mumbai. India had 1.38 million registered companies at the
end of January, 2014.
Twitter like
messaging service Weibo Corporation has filed to raise $ 500 million via a US
initial public offering. Alibaba, which owns a stake in Weibo is expected to
raise about $ 15 billion New York this year in the highest profile Internet IPO
since Facebook’s in 2012.
Bharti Airtel has
raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at
a coupon rate of three per cent and maturing in 2020. This is the largest ever
bond offering by an Indian company in Swiss Francs. Bharat Petroleum
Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98
% coupon rate in February.
Indian Oil
Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex
at its almost complete Paradip refinery in Odhisha in three to four years. The
company board is set to consider the setting up of a 700000 tonne per annum
polypropylene plant at an estimated cost at Rs.3150 crore.
Global chief
information officers at gathering in Bangalore in April to meet Indian startups
at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in
the making.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
Long term rating: “BBB” |
|
Rating Explanation |
Moderate degree of safety and moderate
credit risk. |
|
Date |
19.03.2014 |
|
Rating Agency Name |
CRISIL |
|
Rating |
Short term rating: “A3+” |
|
Rating Explanation |
Moderate degree of safety and high credit
risk. |
|
Date |
19.03.2014 |
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 (Tel. No.: 91-11-41609457 / 2563031)
LOCATIONS
|
Registered Office/ Factory 1 : |
C-4, Phase – II, Noida, District Gautam Budh Nagar – 201305, Uttar
Pradesh, India |
|
Tel. No.: |
91-120-2563031-33 / 2567945 / 2567946 |
|
Fax No.: |
91-120-2562632 |
|
E-Mail : |
|
|
Website : |
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|
|
|
|
Corporate Office 1 : |
159, Okhala Industrial Estate, Phase- III, New Delhi- 110020, India |
|
Tel. No.: |
91-11-41609457 / 58/ 59/40627200-300 |
|
Fax No.: |
91-11-41609909 |
|
|
|
|
Corporate Office 2 : |
Plot No.2, Industrial Area, Kalkaji, New Delhi-110019, |
|
Tel. No.: |
91-11-47100666 |
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Factory/ plant 2 : |
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Factory/ plant 3 : |
Plot No. 24, Sector 2, IIE Pantnagar Udham Singh Nagar Di, |
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|
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Factory/ plant 4 : |
836, 837, Jambusar – Bharuch Road, Village – Magnad, District – Bharuch, 392150, Gujarat, India |
|
|
|
|
Factory/ plant 5 : |
Plot No - 6, 6/1, UPSIDC Industrial Area, Sikanderabad, Uttar Pradesh, India |
|
|
|
|
Factory/ plant 6 : |
Industries Area, Park-2, Salempur, Mehdood, Near SIDCUL, Haridwar, Uttarakhand, India |
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Factory/ plant 7 : |
S-23 and S-24, Phase-III, SIPCOT Industrial Complex, Mukundarayapuram, Ranipet 632 405 |
DIRECTORS
As on: 30.06.2013
|
Name : |
Mr. Brij Raj Punj |
|
Designation : |
Chairman and Managing Director |
|
Date of Birth/Age : |
65 years |
|
Qualification : |
B.E |
|
Experience : |
39 Years |
|
Date of Appointment : |
02.06.1980 |
|
|
|
|
Name : |
Mr. Sham Sunder Kumar |
|
Designation : |
Whole Time Director |
|
Date of Birth/Age : |
55 Years |
|
Qualification : |
MBA |
|
Experience : |
37 Years |
|
Date of Appointment : |
Western Foods
Limited |
|
|
|
|
Name : |
Mr. Nemichandra Dhanyakumar Jain |
|
Designation : |
Whole Time Directors |
KEY EXECUTIVES
|
Name : |
Ms. Purnima Sharma |
|
Designation : |
Company Secretary |
|
|
|
|
Name : |
Ms. Bindu Dogra |
|
Designation : |
Non-Executive Directors |
|
|
|
|
Name : |
Ms. Ritushri sharma |
|
Designation : |
Non-Executive Directors |
|
|
|
|
Name : |
Mr. Arun Paliwal |
|
Designation : |
Vice President |
|
Date of Birth/Age : |
47 Years |
|
Qualification : |
BSC, LLB, FCS |
|
Experience : |
22 years |
|
Date of Appointment : |
01.09.2006 |
|
Last Employment : |
Fedders Lloyd Corporation Limited |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on: 31.03.2014
|
Names of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of
Promoter and Promoter Group |
|
|
|
|
|
|
|
|
3723809 |
12.10 |
|
|
10717773 |
34.83 |
|
|
14441582 |
46.93 |
|
|
|
|
|
Total shareholding
of Promoter and Promoter Group (A) |
14441582 |
46.93 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
|
|
|
|
9319515 |
30.29 |
|
|
|
|
|
|
5374351 |
17.47 |
|
|
880348 |
2.86 |
|
|
753904 |
2.45 |
|
|
133526 |
0.43 |
|
|
303155 |
0.99 |
|
|
2000 |
0.01 |
|
|
315223 |
1.02 |
|
|
16328118 |
53.07 |
|
Total Public
shareholding (B) |
16328118 |
53.07 |
|
Total (A)+(B) |
30769700 |
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) |
30769700 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in the business:
|
GENERAL INFORMATION
|
No. of Employees : |
Information Decline by the management |
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Bankers : |
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Facilities : |
(Rs.
In Millions)
|
||||||||||||||||||||||||||||||
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Suresh C Mathur and Company Chartered Accountants |
|
Address : |
New Delhi, |
|
|
|
|
Wholly Owned Subsidiary : |
Address: P.O. 16111, Ras Ai |
|
|
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|
Associates/Subsidiaries : |
|
CAPITAL STRUCTURE
As on: 30.06.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
70000000 |
Equity Shares |
Rs. 10/- each |
Rs. 700.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
30769700 |
Equity Shares |
Rs. 10/-
each |
Rs. 307.700
Millions |
|
|
|
|
|
Reconciliation of the
shares outstanding at the beginning and at the end of the reporting period
|
Particulars |
As on 30.06.2013 |
|
|
No. of Shares |
Rs. In Millions |
|
|
Equity Shares |
|
|
|
Shares outstanding at the beginning of the year |
30769700 |
307.700 |
|
Shares Issued during the year |
-- |
-- |
|
Shares outstanding
at the End of the year |
30769700 |
307.700 |
Terms/rights attached
to equity shares
The company has only one class of equity shares having par value of Rs. 10 per share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.
In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.
Details of
shareholders holding more than 5% shares in the Company
|
Particulars |
As on 30.06.2013 |
|
|
No. of Shares |
% of holding |
|
|
Equity Shares of Rs. 10 each fully
paid-up |
|
|
|
Zenith Impex Private Limited |
3510800 |
11.41 |
|
Rajul Estates Private Limited |
3003544 |
9.76 |
|
Copthall Mauritius Investment Limited |
1841087 |
5.98 |
|
Deutsche Securities Mauritius Limited |
-- |
-- |
|
Lloyd Sales Private Limited |
4110821 |
13.76 |
|
Perfect Radiators and Oil Coolers Private Limited |
3324348 |
10.48 |
|
Brij Raj Punj |
1630129 |
5.30 |
As per the of the company, including its register of shareholders/members and other declaration received from the shareholders regarding beneficial interest, the above shareholding represents both legal and beneficial ownerships of shares.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES
OF FUNDS |
30.06.2013 |
30.06.2012 |
30.06.2011 |
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
307.700 |
307.700 |
307.697 |
|
(b) Reserves & Surplus |
2,883.890 |
2,424.520 |
2,015.165 |
|
(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) |
3,191.590 |
2,732.220 |
2,322.862 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
1,334.020 |
1,270.490 |
668.530 |
|
(b) Deferred tax liabilities
(Net) |
5.530 |
8.320 |
10.720 |
|
(c) Other long term
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term provisions |
41.900 |
30.920 |
26.793 |
|
Total
Non-current Liabilities (3) |
1,381.450 |
1,309.730 |
706.043 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
3,593.040 |
2,270.720 |
1,954.722 |
|
(b) Trade payables |
751.450 |
851.040 |
665.195 |
|
(c) Other current liabilities |
403.690 |
497.520 |
255.890 |
|
(d) Short-term provisions |
160.760 |
304.610 |
366.441 |
|
Total
Current Liabilities (4) |
4,908.940 |
3,923.890 |
3,242.248 |
|
|
|
|
|
|
TOTAL |
9,481.980 |
7,965.840 |
6,271.153 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
2,601.740 |
2,531.110 |
1,327.175 |
|
(ii) Intangible Assets |
7.230 |
0.000 |
0.000 |
|
(iii) Capital work-in-progress |
50.120 |
41.870 |
67.826 |
|
(iv) Project under development |
178.240 |
178.240 |
178.245 |
|
(b) Non-current Investments |
10.320 |
10.320 |
9.816 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
200.580 |
481.660 |
95.174 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
3.501 |
|
Total
Non-Current Assets |
3,048.230 |
3,243.200 |
1,681.737 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
2,875.130 |
2,111.410 |
1,926.052 |
|
(c) Trade receivables |
2,991.170 |
2,009.420 |
1,772.231 |
|
(d) Cash and cash equivalents |
58.480 |
130.230 |
494.160 |
|
(e) Short-term loans and
advances |
508.970 |
471.580 |
396.973 |
|
(f) Other current assets |
0.000 |
0.000 |
0.000 |
|
Total
Current Assets |
6,433.750 |
4,722.640 |
4,589.416 |
|
|
|
|
|
|
TOTAL |
9,481.980 |
7,965.840 |
6,271.153 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
30.06.2013 |
30.06.2012 |
30.06.2011 |
|
|
SALES |
|
|
|
|
|
Revenue from operations |
10,155.980 |
8,828.570 |
8,458.731 |
|
|
Sale of Logo |
0.000 |
138.720 |
0.000 |
|
|
Other Income |
58.600 |
94.500 |
24.996 |
|
|
TOTAL
(A) |
10,214.580 |
9,061.790 |
8,483.727 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
8,714.120 |
7,020.840 |
5,384.861 |
|
|
Purchases of Stock-in-Trade |
103.510 |
559.490 |
1,622.597 |
|
|
Changes in inventories of finished
goods, work-in-progress and Stock-in-Trade |
(743.130) |
(391.890) |
(142.780) |
|
|
Employees benefits expense |
355.510 |
246.100 |
215.664 |
|
|
Other expenses |
449.030 |
538.950 |
437.097 |
|
|
TOTAL
(B) |
8,879.040 |
7,973.490 |
7,517.439 |
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION (C) |
1,335.540 |
1,088.300 |
966.288 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
439.430 |
355.180 |
286.737 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
896.110 |
733.120 |
679.551 |
|
|
|
|
|
|
|
Less/
Add |
DEPRECIATION/
AMORTISATION (F) |
277.390 |
176.120 |
102.056 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX (E-F) (G) |
618.720 |
557.000 |
577.495 |
|
|
|
|
|
|
|
Less |
TAX
(I) |
122.220 |
110.350 |
112.431 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX (G-I)
(J) |
496.500 |
446.650 |
465.064 |
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD (K) |
153.280 |
92.390 |
-367.310 |
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
Transfer to General Reserve |
350.000 |
350.000 |
0.000 |
|
|
Dividend |
30.770 |
30.770 |
4.615 |
|
|
Tax on Dividend |
4.990 |
4.990 |
0.749 |
|
|
Balance
Carried to the B/S |
264.020 |
153.280 |
92.390 |
|
|
|
|
|
|
|
|
EARNINGS
IN FOREIGN CURRENCY |
|
|
|
|
|
F.O.B. Value of Exports |
2,524.710 |
1,817.987 |
536.141 |
|
|
TOTAL
EARNINGS |
2,524.710 |
1,817.987 |
536.141 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Raw Materials |
642.480 |
620.606 |
1,811.459 |
|
|
Capital Goods |
4.150 |
80.519 |
0.000 |
|
|
TOTAL
IMPORTS |
646.630 |
701.125 |
1,811.459 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (Rs.) |
16.14 |
14.52 |
15.11 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
4.86 |
4.93 |
5.48 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
6.09 |
6.31 |
6.83 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
6.69 |
7.20 |
9.60 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.19 |
0.20 |
0.25 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
1.54 |
1.30 |
1.12 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.31 |
1.20 |
1.42 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
30.06.2011 |
30.06.2012 |
30.06.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
307.697 |
307.700 |
307.700 |
|
Reserves & Surplus |
2,015.165 |
2,424.520 |
2,883.890 |
|
Net
worth |
2,322.862 |
2,732.220 |
3,191.590 |
|
|
|
|
|
|
long-term borrowings |
668.530 |
1,270.490 |
1,334.020 |
|
Short term borrowings |
1,954.722 |
2,270.720 |
3,593.040 |
|
Total
borrowings |
2,623.252 |
3,541.210 |
4,927.060 |
|
Debt/Equity
ratio |
1.129 |
1.296 |
1.544 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
30.06.2011 |
30.06.2012 |
30.06.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
8,458.731 |
8,828.570 |
10,155.980 |
|
|
|
4.372 |
15.035 |
NET PROFIT MARGIN
|
Net
Profit Margin |
30.06.2011 |
30.06.2012 |
30.06.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
8,458.731 |
8,828.570 |
10,155.980 |
|
Profit |
465.064 |
446.650 |
496.500 |
|
|
5.50% |
5.06% |
4.89% |
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 |
OPERATING RESULTS AND
BUSINESS PERFORMANCE
During the year ended June 30, 2013, the Company has recorded commendable growth in terms of sales and profitability. The total revenue increased from Rs. 9061.79 Million during the previous year to Rs. 10214.58 Million during the year, registering a growth of 12.72%. The EBITDA was recorded at Rs. 1335.54 Million as against Rs. 1088.30 Million during the previous year, registering a growth of 22.72%. The Company has set benchmarks in terms of operational and financial performance. During the year 2012-13, the Company has crossed the benchmark of Rs. 10,000.000 Million of sales revenue. The Company’s commitment to innovation, consistency and integrity has strengthened the Company’s position in all of its business spheres.
MANAGEMENT DISCUSSION
AND ANALYSIS REPORT
ECONOMIC FRONT
The Indian economy continued its downward slide throughout FY 2012-13, recording a lower GDP growth of 5% compared to 6.5% for FY 2011-12. The strong post-financial-crisis stimulus led to stronger growth in 2009-10 and 2010-11. However, the boost to consumption, coupled with supply side constraints, led to higher inflation. Monetary policy was tightened, even as external headwinds to growth increased. The consequent slowdown, especially in 2012-13, has been across the board, with no sector of the economy unaffected. Falling savings without a commensurate fall in aggregate investment have led to a widening current account deficit (CAD). Wholesale price index (WPI) inflation has been coming down in recent months. However, food inflation, after a brief slowdown, continues to be higher than overall inflation. Given the higher weightage to food in consumer price indices (CPI), CPI inflation has remained close to double digits. Several measures announced in recent months are aimed at restoring the fiscal health of the government and shrinking the CAD as also improving the growth rate. With the global economy also likely to recover somewhat in 2013, these measures should help in improving the Indian economy’s outlook for 2013-14.
GLOBAL ECONOMIC
IMPACTS
For the past half-decade, the emerging markets and developing economies have led the world’s recovery accounting for three-quarters of the global growth. Despite a slowdown last year, these economies are bouncing back as domestic demand is rising on a turnaround in the inventory cycle and some pick-up in investment. At present, developing Asia and Sub-Saharan Africa are the two fastest growing regions of the world. However, among BRICS countries, while growth accelerated in Brazil and South Africa, it persisted below trend in China, Russia and India. At the same time, many emerging market are looking at the advance countries with some serious concern. In the absence of demand pressures, inflation has remained benign in the advanced economies, and inflation expectations remain well-anchored. The emerging and developing economies, on the other hand, present a mixed picture.
COMPANY’S PERFORMANCE
Crossing the benchmark of Rs. 10000.000 Million, during the year, the total revenue of the Company stood at Rs. 10214.580 Million while it was Rs. 9061.790 Million during the previous year. The Profit after tax stood at Rs. 496.510 Million, as against Rs. 446.650 Million in the previous year.
STATEMENT OF
STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 31TH DECEMBER,
2013
(Rs. In Millions)
|
Sr. No. |
Particular |
Quarter Ended |
Six Months |
|
|
|
|
31.12.2013 |
30.09.2013 |
31.12.2013 |
|
|
|
Unaudited |
Unaudited
|
Unaudited |
|
1. |
Income from operations |
|
|
|
|
|
Net Sales/Income
from Operations |
2849.920 |
2732.097 |
5582.017 |
|
|
Other operating
income |
25.353 |
15.400 |
40.754 |
|
|
Total Income |
2875.274 |
2747.497 |
5622.771 |
|
2. |
Expenditure |
|
|
|
|
|
Cost
of materials consumed |
2816.015 |
2820.663 |
5636.678 |
|
|
Purchase
of stock in trade |
-- |
-- |
-- |
|
|
Changes
in inventories of finished goods, work in progress and stock in trade |
(565.811) |
(642.605) |
(1208.416) |
|
|
Employee
benefits expenses |
87.530 |
83.842 |
171.372 |
|
|
Depreciation
and amortization expenses |
5.948 |
76.900 |
82.848 |
|
|
Other
expenses |
186.157 |
170.914 |
357.071 |
|
|
Total Expenses |
2529.839 |
2509.714 |
5039.553 |
|
3. |
Profit/ (Loss) from Operations
before Other Income, Interest and Exceptional Items (1-2) |
345.434 |
237.784 |
583.218 |
|
4. |
Other
Income |
-- |
-- |
-- |
|
5. |
Profit/ (Loss) from ordinary
activities before finance costs and
Exceptional Items (3+4) |
345.434 |
237.784 |
583.218 |
|
6. |
Finance
Cost (net) |
137.453 |
127.337 |
264.790 |
|
7. |
Profit/ (Loss) from ordinary
activities after finance costs and but before Exceptional Items (5-6) |
207.981 |
110.447 |
318.428 |
|
8. |
Exceptional
Items |
-- |
-- |
-- |
|
9. |
Profit/ (Loss) from ordinary
activities before tax (7+8) |
207.981 |
110.447 |
318.428 |
|
10. |
Tax
Expense |
41.596 |
22.090 |
63.686 |
|
11. |
Profit/ (Loss) from ordinary
activities after tax (9-10) |
166.385 |
88.357 |
254.742 |
|
12. |
Extraordinary
Items (net of tax expenses) |
-- |
-- |
-- |
|
13 |
Net Profit/ (Loss) for the
period (11-12) |
166.385 |
88.357 |
254.742 |
|
14 |
Share of profit / (loss) of associates |
-- |
-- |
-- |
|
15 |
Minority Interest |
-- |
-- |
-- |
|
|
Net Profit/ (Loss) after
taxes, minority interest and share of profit/ (loss) of associates (13-14-15) |
-- |
-- |
-- |
|
|
Paid-up Equity Share Capital (Face Value per share Re.10) |
307.697 |
307.697 |
307.697 |
|
|
Reserve excluding Revaluation Reserves |
-- |
-- |
-- |
|
|
Earnings Per Share
– (Before Extraordinary Items) |
|
|
|
|
|
Basic |
5.41 |
2.87 |
8.28 |
|
|
Diluted |
5.41 |
2.87 |
8.28 |
|
16ii. |
Earnings Per Share
– (After Extraordinary Items) |
|
|
|
|
|
Basic |
5.41 |
2.87 |
8.28 |
|
|
Diluted |
5.41 |
2.87 |
8.28 |
|
|
|
|
|
|
|
A |
PARTICULARS OF
SHAREHOLDING |
|
|
|
|
1. |
Public Shareholding |
|
|
|
|
|
-Number
of Shares |
16330656 |
17031585 |
16330656 |
|
|
- Percentage
of Shareholding |
53.07% |
55.35% |
53.07% |
|
|
|
|
|
|
|
2. |
Promoters and Promoter Group
Shareholding |
|
|
|
|
|
a) Pledged/Encumbered |
|
|
|
|
|
-
Number of Shares |
Nil |
Nil |
Nil |
|
|
- Percentage
of Shares (as a % of the Total Shareholding of promoter and promoter group) |
Nil |
Nil |
Nil |
|
|
-
Percentage of Shares (as a % of the Total Share Capital of the Company) |
Nil |
Nil |
Nil |
|
|
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
|
|
-
Number of Shares |
14439044 |
13738115 |
14439044 |
|
|
-
Percentage of Shares (as a % of the Total Shareholding of Promoter and
Promoter Group) |
100.00% |
100.00% |
100.00% |
|
|
- Percentage
of Shares (as a % of the Total Share Capital of the Company) |
46.93% |
44.65% |
46.93% |
|
Particulars |
Quarter Ended 31.12.2013 |
|
Pending at the beginning of the quarter |
0 |
|
Received during the quarter |
3 |
|
Disposed of during the quarter |
3 |
|
Remaining unresolved at the end of the
quarter |
0 |
Segment-wise details
of Revenue, Result and Capital Employed.
(Rs. In Millions)
|
Sr. No. |
Particular |
Quarter Ended |
Six Months |
|
|
|
|
31.12.2013 |
30.09.2013 |
31.12.2013 |
|
|
|
Unaudited |
Unaudited
|
Unaudited |
|
1. |
Segment Revenue |
|
|
|
|
|
Segment – Environment Control System |
84.778 |
112.895 |
197.673 |
|
|
Segment – Steel Structure and Engineering |
1420.498 |
1162.051 |
2582.549 |
|
|
Segment – Power Projects |
1369.997 |
1472.553 |
2842.549 |
|
|
Total |
2875.273 |
2747.499 |
5622.771 |
|
|
Less: Inter Segment Revenue |
|
|
|
|
|
Net sales/income
from Operations |
2875.273 |
2747.499 |
5622.771 |
|
2. |
Segment Result (Profit)
/ (loss) before tax and Interest from Each Segment) |
|
|
|
|
|
Segment – Environment Control System |
14.421 |
17.171 |
31.592 |
|
|
Segment – Steel Structure and Engineering |
131.680 |
99.588 |
231.268 |
|
|
Segment – Power Projects |
199.335 |
162.423 |
361.757 |
|
|
Total |
345.436 |
279.182 |
624.617 |
|
|
Less: (I) Interest |
137.453 |
127.337 |
264.790 |
|
|
Other un-allocable expenditure net off un-allocable income |
-- |
41.397 |
41.397 |
|
|
Un-allocable Income |
-- |
-- |
-- |
|
|
Total Profit Before
Tax |
207.983 |
110.448 |
318.430 |
|
3. |
Capital Employed |
|
|
|
|
|
(Segment assets –
Segment Liabilities) |
|
|
|
|
|
Segment – Environment Control System |
867.931 |
853.510 |
867.931 |
|
|
Segment – Steel Structure and Engineering |
2497.279 |
2790.190 |
2497.279 |
|
|
Segment – Power Projects |
1338.592 |
1139.258 |
1338.592 |
|
|
Unallocable |
24.372 |
61.517 |
24.372 |
|
|
Total |
4728.174 |
4844.475 |
4728.174 |
STATEMENT OF ASSETS AND LIABILITIES
(Rs. In Millions)
|
SOURCES
OF FUNDS |
31.12.2013 |
|
I.
EQUITY AND LIABILITIES |
|
|
(1)Shareholders' Funds |
|
|
(a) Share Capital |
307.697 |
|
(b) Reserves & Surplus |
3138.631 |
|
(c) Money
received against share warrants |
-- |
|
|
|
|
(2)
Share Application money pending allotment |
-- |
|
Total Shareholders’ Funds (1) + (2) |
3446.328 |
|
|
|
|
Minority Interest |
-- |
|
|
|
|
(3)
Non-Current Liabilities |
|
|
(a)
long-term borrowings |
1281.846 |
|
(b) Deferred tax
liabilities (Net) |
5.534 |
|
(c)
Other long term liabilities |
-- |
|
(d)
long-term provisions |
41.904 |
|
Total
Non-current Liabilities (3) |
1329.284 |
|
|
|
|
(4) Current Liabilities |
|
|
(a)
Short term borrowings |
3775.981 |
|
(b)
Trade payables |
1131.385 |
|
(c)
Other current liabilities |
452.102 |
|
(d)
Short-term provisions |
224.447 |
|
Total
Current Liabilities (4) |
5583.915 |
|
|
|
|
TOTAL |
10359.527 |
|
|
|
|
II.
ASSETS |
|
|
(1) Non-current assets |
|
|
(a)
Fixed Assets |
2911.994 |
|
(b)
Goodwill on consolidation |
-- |
|
(c)
Non-current Investments |
10.316 |
|
(d)
Deferred tax assets (net) |
-- |
|
(e) Long-term Loan and Advances |
66.261 |
|
(f)
Other Non-current assets |
-- |
|
Total
Non-Current Assets |
2988.571 |
|
|
|
|
(2) Current assets |
|
|
(a)
Current investments |
-- |
|
(b)
Inventories |
3274.427 |
|
(c)
Trade receivables |
3616.402 |
|
(d)
Cash and cash equivalents |
56.465 |
|
(e)
Short-term loans and advances |
423.662 |
|
(f)
Other current assets |
-- |
|
Total
Current Assets |
7370.956 |
|
|
|
|
TOTAL |
10359.527 |
Note:
The above financial results have been reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on February 07, 2014.
As per Accounting Standard 17 on Segment Reporting of ICAI, during the quarter,
the reportable segments of the Company have been classified as, (i)
Environmental Control Systems, (ii) Steel Structure & Engineering and,
(iii) Power Projects.
The Company has opted to submit standalone financial results.
In accordance with the requirements of Clause 41 of the Listing Agreement, the
above financial results have undergone Limited Review by the Statutory Auditors
of the Company.
The company has changed Depreciation Policy from Written Down Value (WDV)
Method to Straight Line Method (SLM) from the Financial year 2013-14. To give
this effect, the excess of Provision of Depreciation made in Quarter ended
September 30, 2013, amounting s 35.476 millions has been adjusted in quarter 2
ended December 31, 2013. Accordingly the adjusted figure for provision for
Depreciation is mentioned for quarter ended December 31, 2013. The provision
for Depreciation for Quarter 2 ended December 31, 2013 without said the
adjustment is Rs 41.424 millions.
During the quarter the company has paid the dividend of Rs 1 per Equity share
of Rs 10/- each (10% on the paid-up equity share capital of the company) for
the year ended June 30, 2013. The said dividend was approved by shareholders of
the company at the 57th Annual General Meeting held on December 11, 2013.
The figures of the earlier period have been re-grouped/re-arranged wherever
necessary.
FIXED ASSETS
- Building Factory
- Furniture and Fixtures
- Plant and Machinery
- Office Equipments
- Electric Equipments
- Air-conditioners
- Motor Car
- Refrigerators
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 records 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. 60.69 |
|
|
1 |
Rs. 101.63 |
|
Euro |
1 |
Rs. 83.57 |
INFORMATION DETAILS
|
Information Gathered
by : |
PLK |
|
|
|
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
DPH |
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 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
45 |
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.