MIRA
INFORM REPORT
|
Report Date : |
20.08.2014 |
IDENTIFICATION DETAILS
|
Name : |
KOKUYO CAMLIN LIMITED |
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Formerly Known
As : |
CAMLIN LIMITED |
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Registered
Office : |
48/2, Hilton House, |
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Country : |
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Financials (as
on) : |
31.03.2014 |
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Date of
Incorporation : |
24.12.1946 |
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Com. Reg. No.: |
11-005434 |
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Capital
Investment / Paid-up Capital : |
Rs.100.304 Millions |
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CIN No.: [Company Identification
No.] |
L24223MH1946PLC005434 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMC11127E |
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PAN No.: [Permanent Account No.] |
AAACC1647E |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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Line of Business
: |
Manufacturer of Consumer Products (Art Materials and Stationery). |
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No. of Employees
: |
1191 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (51) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having good track record. The company is incurring losses from two years. However, the rating
takes into consideration the company’s strong brand in the stationery
segment, its business linkages with parent Kokuya and Company Limited
(Kokuyo), Japan, and its adequate financial risk profile marked by healthy
net worth and comfortable gearing. Trade relations are reported as fair. Business is active. Payment
terms are reported to be regular and as per commitments. The company can be considered normal for business dealings at usual
trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
INDIAN ECONOMIC OVERVIEW
N E W S
As per the latest IMF study, the total weigh of emerging markets in the
GDP of the world on a purchasing power parity basis has seen a sizeable shift. It
highlights how as against 51 % in 2005, the emerging economies now account for
close to 56 % of the global purchasing power GDP as per the latest survey. And
with the emerging economies growing at a faster rate than their developed
counterparts, there are every possibility that the their share goes up further
in the coming years. China may surpass the US over the next few years.
Politics and economics are very intricately connected. They tend to
influence each other in ways that could be very complex and far-reaching. The
prospects of the India’s economy have been seriously compromised due to
political corruption. High inflation, poor standard of living are to a great
extent a result of rampant corruption in the country. China on the other hand,
seems to be facing diametrically opposite challenge. American hedge fund
manager Jim Chanos has been keenly following the political and economic
development in the dragon economy and has figured out something that is quite
worrying. He is of the view that the Chinese economy could be heading toward
trouble on account of new Chinese President Xi Jingping’s very aggressive
anti-corruption drive. Chanos believes tat many things such as apartment sales,
luxury products, etc. were largely bought with dirty money. And it is now
beginning to impact consumption. This may indeed be bad news for an economy
that is struggling to transition from an investment-driven export-oriented
economy to a domestic consumption-driven economy.
A study published by Firstpost has revealed that asset classes like real
estate and equities were the biggest beneficiaries of the liberalization
policies. A firm called Ciane Analytics studied returns from assets
including equities, gold, fixed deposits, G-Secs and real estate since 1991. Real
estate outperformed every other asset classes during the 23-year period with an
annualized return of 20 % ! Equities came in second with annualized return of
15.5 % ! However, while these returns may seem mouthwatering, the fact is that
the return from equities adjusted for inflation came down to just 7.1 %.
Some brief news are as under
. R-Power to buy Jaypee’s hydro assets
. Investors await justice in NSEL case
. India seeks MFN status from Pakistan ahead of meeting
. Ukrain’s clashes with rebels hinder MH17 crash investigation
. India exploring merger of state-owned hydro PSUs
..Higher costs weigh down profit growth to slowest in 9 quarters
..Wal-Mart to expand wholesale business in India
. GMR group moves to strengthen balance sheet
. Central Bank to sell 4 % stake to Life Insurance Corporation
. Tata Chemicals plans to raise up to Rs 10000 mn.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
A (Long Term Rating) |
|
Rating Explanation |
Adequate degree of safety. It carry low credit
risk. |
|
Date |
May 20, 2014 |
|
Rating Agency Name |
CRISIL |
|
Rating |
A1 (Short Term Rating) |
|
Rating Explanation |
Very strong degree of safety and carry
lowest credit risk. |
|
Date |
May 20, 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
31-03-2014.
INFORMATION DENIED
Management Non Co-Operative (91-22-28360302)
LOCATIONS
|
Registered Office : |
48/2, Hilton House, Central Road, M.I.D.C, Andheri (East),
Mumbai – 400093, Maharashtra, India |
|
Tel. No.: |
91-22-66557000 |
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Fax No.: |
91-22-28366579 |
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E-Mail : |
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Website : |
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Regional Office : |
Unit No. 9B, Nanddeep Industrial Estate, Kondivita Lane, J.B Nagar, Andheri (East), Mumbai-400059, Maharashtra, India |
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Factory 1 : |
M.I.D.C. Boisar, Tarapur, District Thane - 401506, Maharashtra, India |
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Factory 2 : |
M.I.D.C. Taloja, Navi Mumbai - 410208, Maharashtra, India |
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Factory 3 : |
101, Gangyal Industrial Area, Phase II, Jammu - 180004, Jammu and
Kashmir, India |
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Factory 4 : |
Industrial Growth Center, Samba Phase I, Jammu, Jammu and
Kashmir, India |
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Factory 5 : |
Rajprabha Udyog Nagar, Walive, Vasai (East), District Thane - 401308,
Maharashtra, India |
DIRECTORS
As on: 31.03.2014
|
Name : |
Mr. Subhash Dandekar |
|
Designation : |
Chairman Emeritus |
|
|
|
|
Name : |
Mr. Dilip Dandekar |
|
Designation : |
Chairman and Executive Director |
|
|
|
|
Name : |
Mr. Takuya Morikawa |
|
Designation : |
Sr Vice Chairman and Non Executive Director |
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|
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|
Name : |
Mr. Shriram Dandekar |
|
Designation : |
Vice Chairman and Executive Director |
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|
|
|
Name : |
Mr. Yasushi Inoue |
|
Designation : |
Non Executive Director |
|
|
|
|
Name : |
Mr. Takeo Iguchi |
|
Designation : |
Executive Director |
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|
|
|
Name : |
Mr. Nobuchika Doi |
|
Designation : |
Executive Director |
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|
|
|
Name : |
Mr. Shishir Desai |
|
Designation : |
Independent Director |
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|
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|
Name : |
Mr. Ramanathan Sriram |
|
Designation : |
Independent Director |
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|
|
|
Name : |
Mr. Devendra Kumar Arora |
|
Designation : |
Independent Director |
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|
Name : |
Mr. Hisamaro Garugu |
|
Designation : |
Independent Director |
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|
|
|
Name : |
Mr. Noriyuki Watanabe |
|
Designation : |
Independent Director |
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|
|
|
Name : |
Mr. Venkataraman Sriramv |
|
Designation : |
Independent Director |
KEY EXECUTIVES
|
Name : |
Mr Ayyadurai Srikanth |
|
Designation : |
Chief Executive Officer |
|
|
|
|
Name : |
Mr Chetan Badal |
|
Designation : |
Chief Financial Officer |
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|
|
|
Name : |
Mr Ravindra Damle |
|
Designation : |
Vice President (Corporate) and Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on: 30.06.2014
|
Category of Shareholders |
No.
of Shares |
Percentage |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
(1) Indian |
|
|
|
|
3764374 |
3.75 |
|
|
3902460 |
3.89 |
|
|
7666834 |
7.64 |
|
|
|
|
|
|
1579050 |
1.57 |
|
|
65971120 |
65.77 |
|
|
67550170 |
67.35 |
|
Total shareholding
of Promoter and Promoter Group (A) |
75217004 |
74.99 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
4300 |
0.00 |
|
|
3252539 |
3.24 |
|
|
3256839 |
3.25 |
|
|
|
|
|
|
3066884 |
3.06 |
|
|
|
|
|
|
14966722 |
14.92 |
|
|
3557637 |
3.55 |
|
|
238720 |
0.24 |
|
|
216720 |
0.22 |
|
|
22000 |
0.02 |
|
|
21829963 |
21.76 |
|
Total Public
shareholding (B) |
25086802 |
25.01 |
|
Total (A)+(B) |
100303806 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts have been issued |
|
|
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
100303806 |
0.00 |
Shareholding
belonging to the category "Promoter and Promoter Group"
|
Sl.No. |
Name of the Shareholder |
Details of Shares held |
Total shares (including underlying shares assuming full
conversion of warrants and convertible securities) as a % of diluted share
capital |
|
|
No. of Shares held |
As a % of grand total (A)+(B)+(C) |
|
||
|
1 |
Kokuyo S and T Company, Limited |
6,59,71,120 |
65.77 |
65.77 |
|
2 |
Shriram Sharad Dandekar |
13,43,870 |
1.34 |
1.34 |
|
3 |
Dilip Digambar Dandekar |
8,94,200 |
0.89 |
0.89 |
|
4 |
Rahul Dilip Dandekar |
5,24,250 |
0.52 |
0.52 |
|
5 |
Aparna U Kanitkar |
2,35,000 |
0.23 |
0.23 |
|
6 |
Aditi Dilip Dandekar |
2,06,000 |
0.21 |
0.21 |
|
7 |
Subhash Digambar Dandekar |
2,00,000 |
0.20 |
0.20 |
|
8 |
Neelima V Divekar |
2,95,000 |
0.29 |
0.29 |
|
9 |
Nikhil Shriram Dandekar |
65,000 |
0.06 |
0.06 |
|
10 |
Ashwini Ravindra Datar |
1,054 |
0.00 |
0.00 |
|
11 |
Anagha Subhash Dandekar |
7,33,000 |
0.73 |
0.73 |
|
12 |
Ketki Amit Sawant |
5,35,050 |
0.53 |
0.53 |
|
13 |
Kanchan Dipen Gokhale |
3,11,000 |
0.31 |
0.31 |
|
14 |
Camart Industries Limited |
20,91,600 |
2.09 |
2.09 |
|
15 |
Cafco Consultants Limited |
9,36,000 |
0.93 |
0.93 |
|
16 |
Dandekar Developers Private Limited |
6,14,860 |
0.61 |
0.61 |
|
17 |
Dandekar Investments and Consultants Private Limited |
2,60,000 |
0.26 |
0.26 |
|
|
Total |
7,52,17,004 |
74.99 |
74.99 |
Shareholding
belonging to the category "Public" and holding more than 1% of the
Total No. of Shares
|
Sl. No. |
Name of the Shareholder |
No. of Shares held |
Shares as % of Total No. of Shares |
Total shares (including underlying shares assuming full
conversion of warrants and convertible securities) as a % of diluted share
capital |
|
|
1 |
New Vernon India Limited |
3252539 |
3.24 |
3.24 |
|
|
|
Total |
3252539 |
3.24 |
3.24 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Consumer Products (Art Materials and
Stationery). |
GENERAL INFORMATION
|
No. of Employees : |
1191 (Approximately) |
|
|
|
|
Bankers : |
· Mizuho Corporate Bank Limited ·
The Bank of Tokyo-Mitsubishi UF J Limited |
|
|
|
|
Facilities : |
-- |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
B. K. Khare and Company Chartered Accountants |
|
Address : |
Mumbai, Maharashtra, India |
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|
|
|
Holding Company : |
Kokuyo S and T Company Limited, Japan |
|
|
|
|
Subsidiary : |
· Camlin International Limited · Alphakids Learning and Activity Centre Limited (Formerly Camlin Alphakids Limited) |
|
|
|
|
Fellow Subsidiary : |
· Kokuyo Riddhi Paper Products Private Limited · ColArt Camlin Canvas Private Limited · CAFCO Consultants Limited · Camart Industries Limited · Camlink Agencies LLP · Camlink Consultants Private Limited · Dandekar Developers LLP |
|
|
|
|
Entities over which
KMP’s/Directors and/ or their relatives are able to exercise significant
influence : |
· Dandekar Investments and Consultants Private Limited · DDI Consultants Private Limited · Excella Pencils Limited · Camlin Fine Sciences Limited · Nilmac Packaging Industries Limited · Triveni Pencils Limited |
CAPITAL STRUCTURE
As on: 31.03.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
200000000 |
Equity Shares |
Rs.1/- each |
Rs.200.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
100303806 |
Equity Shares |
Rs.1/- each |
Rs.100.304 Millions |
|
|
|
|
|
Reconciliation of the
shares outstanding at the beginning and at the end of the reporting period:
|
|
31.03.2014 |
|
|
|
No. of shares |
Rs. In Millions |
|
At the beginning of the year |
68922350 |
68.922 |
|
Issued during the year-ESOP |
97625 |
0.098 |
|
Issued during the year-Rights Issue of Equity Shares |
31283831 |
31.284 |
|
Outstanding at the
end of the year |
100303806 |
100.304 |
(i) Terms/rights
attached to equity shares
The Company has only one class of equity shares with a par value of ` 1/- per share. Each holder of equity share is entitled to one vote per share.
(ii) On September 2nd, 2013 the Company pursuant to its rights issue of equity shares allotted 312,83,831 Equity Shares of face value of ` 1/- each to the eligible equity shareholders in the ratio of 14 equity shares for every 29 equity shares held on the record date i.e. August 2nd, 2013 at a price of ` 33/- per share (inclusive of Share Premium of ` 32/- per share). The aggregate amount collected pursuant to the rights issue was ` 10,323.66 lacs. The aforesaid rights shares were listed on NSE and BSE and the Company received trading approval on September 5th, 2013.
(iii) Shares held by
the Holding/ultimate Holding Company and/or their Subsidiaries/Associates
Out of the equity shares issued by the Company, shares held by its Holding Company are as under:
|
|
31.03.2014 |
|
|
Name of the Holding
Company |
No. of shares |
% of holding |
|
Kokuyo S and T Company, Limited Japan |
65971120 |
65.77% |
(iv) Details of
shareholders holding more than 5% shares in the Company
|
|
31.03.2014 |
|
Name of the Holding
Company |
No. of shares |
|
Kokuyo S and T Company, Limited Japan |
65971120 |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES
OF FUNDS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
100.304 |
68.922 |
68.902 |
|
(b) Reserves & Surplus |
1985.855 |
1115.861 |
1249.918 |
|
(c) Money received against
share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
0.000 |
0.000 |
0.023 |
|
Total
Shareholders’ Funds (1) + (2) |
2086.159 |
1184.783 |
1318.843 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
130.735 |
174.314 |
1.759 |
|
(b) Deferred tax liabilities
(Net) |
0.000 |
0.000 |
11.947 |
|
(c) Other long term
liabilities |
98.175 |
80.822 |
80.980 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total
Non-current Liabilities (3) |
228.910 |
255.136 |
94.686 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
537.520 |
478.131 |
412.723 |
|
(b) Trade payables |
871.141 |
684.721 |
624.187 |
|
(c) Other current liabilities |
184.233 |
121.455 |
90.162 |
|
(d) Short-term provisions |
17.707 |
20.691 |
21.868 |
|
Total
Current Liabilities (4) |
1610.601 |
1304.998 |
1148.940 |
|
|
|
|
|
|
TOTAL |
3925.670 |
2744.917 |
2562.469 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
783.151 |
693.525 |
655.198 |
|
(ii) Intangible Assets |
5.599 |
7.191 |
2.871 |
|
(iii) Capital work-in-progress |
59.488 |
9.567 |
3.831 |
|
(iv) Intangible assets under
development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
6.688 |
21.688 |
22.088 |
|
(c) Deferred tax assets (net) |
60.714 |
44.085 |
0.000 |
|
(d) Long-term Loan and Advances |
234.578 |
105.560 |
104.671 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total
Non-Current Assets |
1150.218 |
881.616 |
788.659 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
1071.884 |
961.045 |
925.194 |
|
(c) Trade receivables |
708.397 |
665.242 |
622.980 |
|
(d) Cash and cash equivalents |
847.306 |
139.861 |
144.838 |
|
(e) Short-term loans and
advances |
117.489 |
93.763 |
76.887 |
|
(f) Other current assets |
30.376 |
3.390 |
3.911 |
|
Total
Current Assets |
2775.452 |
1863.301 |
1773.810 |
|
|
|
|
|
|
TOTAL |
3925.670 |
2744.917 |
2562.469 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
SALES |
|
|
|
|
|
Income |
4681.451 |
4359.152 |
3839.035 |
|
|
Other Income |
58.209 |
2.547 |
6.812 |
|
|
TOTAL
(A) |
4739.660 |
4361.699 |
3845.847 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
1828.367 |
1673.018 |
1416.912 |
|
|
Purchases of Stock-in-Trade |
1219.384 |
1311.716 |
1320.531 |
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
(32.550) |
(35.419) |
(286.867) |
|
|
Employees benefits expense |
546.616 |
514.199 |
418.273 |
|
|
Other expenses |
1088.238 |
936.104 |
831.040 |
|
|
Exceptional Items |
48.532 |
0.000 |
(5.447) |
|
|
TOTAL
(B) |
4698.587 |
4399.618 |
3694.442 |
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION (C) |
41.073 |
(37.919) |
151.405 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
87.697 |
73.460 |
66.339 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(46.624) |
(111.379) |
85.066 |
|
|
|
|
|
|
|
Less/
Add |
DEPRECIATION/
AMORTISATION (F) |
85.725 |
76.421 |
69.248 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX (E-F) (G) |
(132.349) |
(187.800) |
15.818 |
|
|
|
|
|
|
|
Less |
TAX
(I) |
(16.519) |
(53.431) |
2.437 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX (G-I)
(J) |
(115.830) |
(134.369) |
13.381 |
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
97.477 |
231.846 |
221.465 |
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
Transfer to General Reserve |
0.000 |
0.000 |
3.000 |
|
|
BALANCE
CARRIED TO THE B/S |
(18.353) |
97.477 |
231.846 |
|
|
|
|
|
|
|
|
EARNINGS
IN FOREIGN CURRENCY |
|
|
|
|
|
F.O.B. Value of Exports |
96.144 |
87.773 |
91.118 |
|
|
TOTAL
EARNINGS |
96.144 |
87.773 |
91.118 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Raw Materials |
68.932 |
46.560 |
52.021 |
|
|
Components and Stores parts |
215.003 |
249.312 |
190.465 |
|
|
Capital Goods |
75.334 |
22.253 |
35.319 |
|
|
Purchases of Traded Products |
6.683 |
56.512 |
15.801 |
|
|
TOTAL
IMPORTS |
365.952 |
374.637 |
293.606 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (Rs.) |
(1.33) |
(1.95) |
0.20 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
PAT / Total Income |
(%) |
(2.44) |
(3.08) |
0.35 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(2.83) |
(4.31) |
0.41 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(3.48) |
(7.03) |
0.62 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.06) |
(0.16) |
0.01 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.32 |
0.55 |
0.31 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.72 |
1.43 |
1.54 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
68.902 |
68.922 |
100.304 |
|
Reserves & Surplus |
1249.918 |
1115.861 |
1985.855 |
|
Net
worth |
1318.820 |
1184.783 |
2086.159 |
|
|
|
|
|
|
long-term borrowings |
1.759 |
174.314 |
130.735 |
|
Short term borrowings |
412.723 |
478.131 |
537.520 |
|
Total
borrowings |
414.482 |
652.445 |
668.255 |
|
Debt/Equity
ratio |
0.314 |
0.551 |
0.320 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
3839.035 |
4359.152 |
4681.451 |
|
|
|
13.548 |
7.394 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
3839.035 |
4359.152 |
4681.451 |
|
Profit |
13.381 |
(134.369) |
(115.830) |
|
|
0.35% |
(3.08%) |
(2.47%) |
LOCAL AGENCY FURTHER INFORMATION
CURRENT MATURITIES OF
LONG-TERM BORROWINGS
(Rs. In Millions)
|
Particular |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
Current maturities of long-term debt - Banks |
43.579 |
0.000 |
1.595 |
|
Others |
0.000 |
0.000 |
0.115 |
|
|
|
|
|
|
Total |
43.579 |
0.000 |
1.710 |
|
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 |
No |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact person |
No |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
-- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm / promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director, if available |
No |
|
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 31.03.2014 |
As on 31.03.2013 |
|
LONG TERM
BORROWINGS |
|
|
|
Banks |
130.735 |
174.314 |
|
SHORT TERM
BORROWINGS |
|
|
|
Bank Overdraft/Working Capital Demand Loan (Unsecured Bank Overdraft and Working Capital Demand Loan carry negative lien on all assets of the Company.) |
537.520 |
478.131 |
|
|
|
|
|
Total |
668.255 |
652.445 |
OPERATING
PERFORMANCE:
During the year the Company reported net sale of Rs. 4681.451 Millions as compared to Rs. 4359.152 Millions for the last year representing an increase of 7.39% over the previous year. Inspite of increase in net sales the performance of the Company has resulted in a loss of Rs. 115.830 Millions as against a loss of Rs. 134.369 Millions in the previous year.
Inspite of various cost reduction measures, the high operating cost continued to affect the profitability as the Company could not scale up its sales in line with the business plan owing to adverse market conditions. The Company initiated several measures like revamping product packaging, reduction in fixed cost, product innovation, indigenization of imported components to reduce production cost with a view to improve profitability which will yield results in future.
In view of the loss, the Board of Directors regrets its inability to recommend any dividend on Equity Shares.
MANAGEMENT DISCUSSION
AND ANALYSIS
ECONOMIC OVERVIEW
The global economy continued its uphill struggle as it faced stiff challenges in almost all regions and major economic groups. The UN-World Economic Situation and Prospects (Pre-Release 2014) states that the World Gross Product (WGP) grew by 2.1 per cent in 2013 and by 2.9 per cent based on Purchasing Power Parity (PPP). Among the developed economies, GDP in the United States of America is expected to have grown at 1.6 per cent compared to a 2.8 per cent 2012. In the emerging Asian economies of China and India, growth which had already slowed down in 2012, faced new headwinds on both international and domestic fronts. China seems to have halted the slowdown in the last quarter on 2013 and is estimated to have grown its GDP by 7.5 per cent in 2013, while the Indian economy grew by [4.7 – 4.9] per cent in the financial year 2013-14.
In India, domestic factors like inflation, falling currency, tight monetary policy and high interest rates continued to slow down growth in almost all key sectors of the economy. Inflation remained above 6 per cent throughout the year and the Indian Rupee fell to a precarious low of Rs. 69 to the US Dollar in August.
INDUSTRY OVERVIEW
The Indian stationery industry is very heterogeneous comprising of a wide array of products ranging from pens to printing to notepads to inks to colours and many more. The industry is highly fragmented one, with the unorganised sector constituting almost 85 per cent. The industry is also highly fragmented in terms of regions, with a large number of small units scattered all over the country.
Of the two key segments by usage, the school stationery segment is estimated to be around Rs. 90000.000 Millions annually, whereas the office stationery segment is estimated to be in about Rs. 50000.000 Millions annually.
The Indian stationery market is closely co-related to the literacy in general and the education sector in particular. With the second largest population in the world at over 1.3 billion people with one of the most favourable demographics in terms of young population, India remains a key market for education.
In addition, the economic growth, particularly the burgeoning middle-class has given a fresh impetus to growth education. The Government has also made education a key thrust area with a target to increase literacy rates from 70% in 2011 to 85%. The last few years have witnessed rapid growth in the education sector, with remarkable increases in number of secondary schools, colleges, universities, as well as in increase in student enrolment and Gross Enrolment Ratios (GER).
The stationery industry has been going through a phase of changes and transformation. The industry has seen many new entrant in the last few years, both domestic as well as international. There has been a spurt in the number of foreign players who have entered the industry either through own presence or through tie-ups with Indian players. Innovation and introduction of new product categories, driven by sustained marketing campaigns are key drivers of growth. The industry is also going through a radical shift as far as focus is concerned. While the focus was purely on cost reduction, the focus has now shifted to R and D and Safety, both of which are emerging as crucial factors in winning the last mile customer by delivering new products as well as products that are safe and last longer.
BUSINESS OVERVIEW
Kokuyo Camlin Limited (KCL) is one of the oldest companies in India in the stationery business. It has a rich and proud legacy of three generations that started more than 80 years ago in the early 1930s. The Company was started as a partnership firm, Dandekar and Company to manufacture fountain pen ink, stamp inks, adhesive paste, gum, sealing wax, chalks, etc. In1946, Camlin Private Limited acquired the business of Dandekar and Company as an ongoing concern. In 1988, the Company became a Public Limited Company, and got listed on the Bombay Stock Exchange. Recently, in 2011, Kokuyo S and T Company, Limited, a major Japanese stationery corporation, acquired a majority stake in the Company and the Company was renamed Kokuyo Camlin Limited.
The products manufactured by the Company are broadly classified into (1) School and Education Products (2) Fine Art and Hobby Materials and (3) Office Stationery. The products include technical and drawing instruments, writing instruments, office stationery, adhesives, notebooks, fine art, hobby art and scholastic products.
The Company owns two most enduring consumer brands in the Indian stationery market – CAMEL and CAMLIN.
The key strengths of the Company are :
• Strong Brand connect and association
• Extensive and Pan-India supply and distribution network
• Synergistic Alliance with Kokuyo S and T
• Experienced Promoters
• Extensive Product Range
• Dominant position in the market segment were it is operating.
Review of Performance
during the Year
During the year the Company achieved the net sale of Rs. 4681.451 Millions as compared to Rs. 4359.152 Millions for the last year representing an increase of 7.39% over the previous year. Out of the above approximately 5% growth came by way of volume growth and rest was through price rise. Though school and education products and fine art and hobby materials registered a healthy growth, office products growth was muted. Modern trade and exports also showed a high growth.
A few products like notebooks and Kokuyo office products were introduced in select markets during the last quarter of FY 2014, and met with encouraging results. These products will be rolled out to newer markets during the year.
The Company is currently in the BUILDING UP phase and is focussed on completion of its new integrated and assembling facility at Patalganga.
On the operational front, the Company has leveraged Kokuyo S and T’s specific know-how, management practises and expertise like Kaizen to better its quality at source.
The Company has taken several initiatives during the year in marketing, cost-competitiveness, supply chain effectiveness, R and D focus and launch of new products. The Company has also re-structured itself internally to de-layer decision-making, which are now more proactive and prompt, in addition to being transparent. The Company believes that all these steps are in the right direction to emerge more competitive, more capable and more competent.
Outlook of Business
The outlook for the stationery industry in India continues to remain positive. The Government continues its strong focus on improving education and increasing literacy in the country. It has sent an enrolment target of 35.9 million by the end of the 12th Five Year Plan (2012-17). Under the non-planned expenditure, the Government has estimated Rs. 112470.000 Millions for education in 2013-14. To increase secondary education in the country, a sum of Rs. 77100.000 Millions has been allotted in the Union Budget of 2013-14, and a sum of Rs. 162100.000 Millions has been allotted in the Union Budget 2013-14 to improve Higher Secondary education in the country.
Besides the education segment, the office stationery segment is also poised for growth. The Company is well-positioned to take advantage of these opportunities in the industry. The Company is a dominant player in the two key businesses of the Company, namely the School and Education Products and Fine Art and Hobby Materials segment. In the office stationery market, the Company has added to its strength through its alliance with Kokuyo S and T. The Company plans to garner a larger share of the office stationery market with launch of more Kokuyo products.
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount secured |
Charge Holder |
Address |
Service Request Number (SRN) |
|
1 |
90242759 |
24/08/2005 |
866,557.00 |
KOTAK MAHINDRA PRIMUS LTD. |
36-38 A NARIMAN BHAVAN,
227 NARIMAN POINT, MUMBAI |
- |
|
2 |
80041433 |
04/09/2003 |
597,148.00 |
KOTAK MAHINDRA PRIMUS LTD. |
36-38A NARIMAN
BHAVAN, NARIMAN POINT, MUMBAI, MAH |
- |
|
3 |
80041432 |
23/06/2003 |
408,000.00 |
ICICI BANK LTD. |
BANDRA KURLA
COMPLEX BANDRA, MUMBAI, MUMBAI, MAH |
- |
|
4 |
80041431 |
30/04/2003 |
3,339,000.00 |
ICICI BANK LTD. |
BANDRA KURLA
COMPLEX, BANDRA, MUMBAI, MAHARASHTRA |
- |
|
5 |
80052528 |
17/06/2002 |
246,000.00 |
ICICI Bank Ltd. |
ICICI TOWERS,
BANDRA- KURLA COMPLEX,, BANDRA (E), |
- |
|
6 |
80040717 |
20/04/2002 |
1,466,000.00 |
FORD CREDIT KOTAK MAHINDRA LIMITED |
36-38A, NARIMAN BHAVAN,
227, NARIMAN POINT, MUMBA |
- |
|
7 |
80052526 |
08/08/2001 |
634,211.00 |
ICICI Bank Ltd. |
ICICI TOWERS,
BANDRA-KURLA COMPLEX,, BANDRA (E),, |
|
CONTINGENT
LIABILITIES:
(Rs. In Millions)
|
Particular |
31.03.2014 |
31.03.2013 |
|
Claims against the Company not acknowledged as debts |
23.226 |
18.336 |
|
Other money for which the Company is contingently liable |
1.439 |
3.478 |
STATEMENT OF
STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED JUNE 30, 2014
(Rs. In Millions)
|
Sr. No. |
Particular |
Quarter Ended |
|
|
|
30.06.2014 |
|
|
|
Unaudited
|
|
1. |
Income from operations |
|
|
|
Net Sales/Income
from Operations |
1584.684 |
|
|
Other operating
income |
0.613 |
|
|
Total Income |
1585.297 |
|
2. |
Expenditure |
|
|
|
Cost
of materials consumed |
554.494 |
|
|
Purchase
of stock in trade |
359.310 |
|
|
Changes
in inventories of finished goods, work in progress and stock in trade |
137.801 |
|
|
Employee
benefits expenses |
153.956 |
|
|
Depreciation
and amortization expenses |
26.786 |
|
|
Other
expenses |
310.266 |
|
|
Total Expenses |
1542.613 |
|
3. |
Profit/ (Loss) from Operations
before Other Income, Interest and Exceptional Items (1-2) |
42.684 |
|
4. |
Other
Income |
20.659 |
|
5. |
Profit/ (Loss) from ordinary
activities before finance costs and
Exceptional Items (3+4) |
63.343 |
|
6. |
Finance
Cost (net) |
25.105 |
|
7. |
Profit/ (Loss) from ordinary
activities after finance costs and but before Exceptional Items (5-6) |
38.238 |
|
8. |
Exceptional
Items |
- |
|
9. |
Profit/ (Loss) from ordinary
activities before tax (7-8) |
38.238 |
|
10. |
Tax
Expense |
(0.776) |
|
11. |
Profit/ (Loss) from ordinary
activities after tax (9-10) |
39.014 |
|
12. |
Extraordinary Items (net of
tax expenses) |
- |
|
13 |
Net Profit/ (Loss) for the
period (11-12) |
39.014 |
|
14. |
Paid-up Equity Share Capital (Face Value per share Re.10) |
100.304 |
|
15. |
Reserve excluding Revaluation Reserves |
|
|
16i. |
Earnings Per Share |
|
|
|
Basic |
0.39 |
|
|
Diluted |
0.39 |
|
|
|
|
|
A |
PARTICULARS OF
SHAREHOLDING |
|
|
1. |
Public Shareholding |
|
|
|
-Number
of Shares |
25086802 |
|
|
-
Percentage of Shareholding |
25.01 |
|
|
|
|
|
2. |
Promoters and Promoter Group
Shareholding |
|
|
|
a) Pledged/Encumbered |
|
|
|
-
Number of Shares |
-- |
|
|
- Percentage
of Shares (as a % of the Total Shareholding of promoter and promoter group) |
-- |
|
|
-
Percentage of Shares (as a % of the Total Share Capital of the Company) |
-- |
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
-
Number of Shares |
75217004 |
|
|
-
Percentage of Shares (as a % of the Total Shareholding of Promoter and
Promoter Group) |
100.00 |
|
|
-
Percentage of Shares (as a % of the Total Share Capital of the Company) |
74.99 |
|
Particulars |
3 Months Ended 30.06.2014 |
|
Pending at the beginning of the quarter |
0 |
|
Received during the quarter |
0 |
|
Disposed of during the quarter |
0 |
|
Remaining unresolved at the end of the
quarter |
Nil |
FIXED ASSETS
Tangible assets
· Freehold Land
· Leasehold Land
· Site Development
· Building and Shed
· Plant, Machinery and Equipment
· Office Machinery
· ERP Hardware Cost
· Furniture and Fittings
· Vehicles
Intangible assets
· ERP Software Cost
PRESS RELEASE
KOKUYO CAMLIN SPIKES 5% ON 350% JUMP IN Q1 BOTTOMLINE
July 18, 2014
Shares of Kokuyo Camlin, the stationary products manufacturer, are locked at 5 percent upper circuit on Friday after reporting stellar numbers in the quarter ended June 2014 supported by other income.
The company saw good profit after reporting losses for almost two years post Japanese major Kokuyo took over management control.
Net profit of the company surged 350 percent on yearly basis to Rs 40.000 Millions on total revenue of Rs 1590.000 Millions (up 13.5 percent Y-o-Y). Operational performance too was good with the operating profit growing 33 percent to Rs 80.000 Millions and margin expanding 70 basis points to 5 percent in the quarter gone by.
Other income was up at Rs 20.700 Millions in April-June quarter as against Rs 0.437 Million in the year-ago period.
Moreover, shareholders of the company, in annual general meeting on Thursday, approved disinvestment in subsidiary company Alphakids Learning and Activity Centre (earlier known as Camlin Alphakids) by way of sale of equity/preference shares to related parties.
At 12:35 hours IST, the stock was quoting at Rs 42.15, up 4.98 percent. There were pending buy orders of 201,453 shares, with no sellers available.
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.60.73 |
|
|
1 |
Rs.101.48 |
|
Euro |
1 |
Rs.81.04 |
INFORMATION DETAILS
|
Information
Gathered by : |
PRT |
|
|
|
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
VRN |
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 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
6 |
|
--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 |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
|
|
|
|
TOTAL |
|
51 |
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.