MIRA INFORM REPORT
|
Report Date : |
10.12.2014 |
IDENTIFICATION DETAILS
|
Name : |
STAR PAPER MILLS LIMITED |
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Registered
Office : |
Duncan House, 2nd Floor, 31, Netaji Subhas Road, Kolkata –
700001, |
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Country : |
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Financials (as
on) : |
31.03.2014 |
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|
Date of
Incorporation : |
31.08.1936 |
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Com. Reg. No.: |
21-008726 |
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Capital
Investment / Paid-up Capital : |
Rs.156.084 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L21011WB1936PLC008726 |
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|
TIN No.: |
Not Available |
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IEC No.: |
Not Available |
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TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
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PAN No.: [Permanent Account No.] |
Not Available |
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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
: |
The Company manufactures varieties of industrial and cultural paper. |
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No. of Employees
: |
840 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
B (28) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Exist |
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Comments : |
Subject is an established company having moderate track record. The rating constrained on account of a continuous losses incurred by
the company. However, trade relations are reported as fair. Business is active.
Payment terms are reported to be slow but correct. The company can be considered for business dealings with some
caution. |
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 – September 30, 2014
|
Country Name |
Previous Rating (30.06.2014) |
Current Rating (30.09.2014) |
|
|
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
Long Term Rating = (B / Negative)
(Suspended) |
|
Rating Explanation |
High risk of default |
|
Date |
25.07.2014 |
Reason for Suspension: Non-Cooperation by the company to carry out
rating.
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 BY
|
Name : |
Mr. Chandan Singh |
|
Designation : |
Office Executive |
|
Contact No.: |
91-132-6714101 |
|
Date : |
06.12.2014 |
LOCATIONS
|
Registered Office : |
Duncan House, 2nd Floor, 31, Netaji Subhas Road, Kolkata –
700001, West |
|
Tel. No.: |
91-33-22427380 - 82 |
|
Fax No.: |
91-33-22427383 |
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E-Mail : |
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Website : |
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Plant : |
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Tel. No.: |
91-132 - 6714101 to 6714105 |
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Fax No.: |
91-132 - 2714121 |
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E-Mail : |
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|
Marketing Office : |
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|
Tel. No.: |
91-11-23701300 |
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Fax No.: |
91-11-23701309 |
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E-Mail : |
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Branch 1 : |
2nd
Floor, |
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Branch 2 : |
23, Mauji Colony, Malviya Nagar, Jaipur - 302017 |
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Tel. No.: |
91-141-2525681 / 2525682 |
DIRECTORS
As on 31.03.2014
|
Name : |
Mr. G.P. Goenka |
|
Designation : |
Chairman |
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|
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|
Name : |
Mr. Madhukar
Mishra |
|
Designation : |
Managing Director |
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|
Name : |
Mr. Shiromani
Sharma |
|
Designation : |
Director |
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Date of Birth/Age : |
05.07.1933 |
|
Qualification : |
M. Sc., I.A.S |
|
Date of Appointment : |
29.06.1993 |
|
|
|
|
Name : |
Mr. Shrivardhan
Goenka |
|
Designation : |
Director |
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Date of Birth/Age : |
09.08.1975 |
|
Qualification : |
B.Com., MBA (USA) |
|
Date of Appointment : |
09.09.2002 |
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|
|
|
Name : |
Mr. C.M. Vasudev |
|
Designation : |
Director |
|
Date of Birth/Age : |
05.04.1943 |
|
Qualification : |
M.A (Eco.) and Physics., I.A.S |
|
Date of Appointment : |
22.06.2009 |
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|
|
|
Name : |
Mr. M.P. Pinto |
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Designation : |
Director |
|
Date of Birth/Age : |
27.05.1943 |
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Qualification : |
M.A, M.P.A (USA). |
|
Date of Appointment : |
29.01.2010 |
|
|
|
|
Name : |
Mr. K.N.
Bhandari (w.e.f. 4th August, 2014) |
|
Designation : |
Director |
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Date of Birth/Age : |
01.03.1942 |
|
Qualification : |
B.A, LL.B |
|
Date of Appointment : |
04.08.2014 |
KEY EXECUTIVES
|
Name : |
Mr. Saurabh Arora |
|
Designation : |
Company Secretary |
SHAREHOLDING PATTERN
As on 30.09.2014
|
Category of
Shareholder |
No. of Shares |
Percentage
of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
45500 |
0.29 |
|
|
7736719 |
49.57 |
|
|
7782219 |
49.86 |
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|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
7782219 |
49.86 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
1510 |
0.01 |
|
|
670171 |
4.29 |
|
|
558667 |
3.58 |
|
|
1230348 |
7.88 |
|
|
|
|
|
|
1233282 |
7.90 |
|
|
|
|
|
|
2828705 |
18.12 |
|
|
2438523 |
15.62 |
|
|
95273 |
0.61 |
|
|
88983 |
0.57 |
|
|
4600 |
0.03 |
|
|
1000 |
0.01 |
|
|
690 |
0.00 |
|
|
6595783 |
42.26 |
|
Total Public shareholding (B) |
7826131 |
50.14 |
|
Total (A)+(B) |
15608350 |
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) |
15608350 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
The Company manufactures varieties of industrial and cultural paper. |
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Products : |
Paper |
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Brand Names : |
-- |
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Agencies Held : |
-- |
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Exports : |
Not Divulged |
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Imports : |
Not Divulged |
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Terms : |
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Selling : |
Not Divulged |
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Purchasing : |
Not Divulged |
PRODUCTION STATUS – NOT AVAILABLE
GENERAL INFORMATION
|
Suppliers : |
Not Divulged |
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Customers : |
Not Divulged |
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No. of Employees : |
840 (Approximately) |
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Bankers : |
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Facilities : |
Note: Working
Capital facility from Banks are secured by way of Hypothecation of Stocks of
finished goods, raw materials, chemicals, stores, other materials including
those in transit, book debts both present and future and the charge on fixed
assets of the company, ranking pari-passu in favour of the banks. |
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Banking
Relations : |
-- |
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Auditors : |
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Name : |
Lodha and Company Chartered Accountants |
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Address : |
Kolkata, West Bengal, India |
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Memberships : |
-- |
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Collaborators : |
-- |
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Associates / Group
Companies: |
ISG Traders Limited |
CAPITAL STRUCTURE
As on 31.03.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
10000 |
5% Cumulative Tax Free Redeemable Preference Shares |
Rs.100/- each |
Rs.1.000 Million |
|
39800000 |
Equity Shares |
Rs.10/- each |
Rs.398.000 Millions |
|
100000 |
A Equity Shares |
Rs.10/- each |
Rs.1.000 Million |
|
|
Total |
|
Rs.400.000
Millions |
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
15511250 |
Equity Shares |
Rs.10/- each |
Rs.155.112 Millions |
|
100000 |
A Equity Shares |
Rs.10/- each |
Rs.1.000 Million |
|
|
Total |
|
Rs.156.112
Millions |
Subscribed &
Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
15508350 |
Equity Shares |
Rs.10/- each |
Rs.155.083 Millions |
|
100000 |
A Equity Shares |
Rs.10/- each |
Rs.1.000 Million |
|
|
Total |
|
Rs.156.083
Millions |
Shareholders holding more
than 5% shares
|
Name of
Shareholder |
|
Number
of Shares |
|
|
|
|
|
ISG Traders Limited |
|
5350519 |
|
Albert Trading Company Private Limited |
|
905200 |
The Company has two class of
equity share having a par value of Rs.10/- each. Each holder of both class of equity
shares is entitled to one vote per equity share. In the event of liquidation,
the equity shareholder of both the class are eligible to receive the remaining
asset of the company after distribution of all preferential amounts, in the
proportion of their shareholdings.
There is no movement in the number of share outstanding at the beginning and at the end of the year.
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 |
156.083 |
156.083 |
156.083 |
|
(b) Reserves & Surplus |
166.624 |
387.450 |
682.943 |
|
(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) |
322.707 |
543.533 |
839.026 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
174.076 |
214.323 |
234.462 |
|
(c) Other long term
liabilities |
81.703 |
84.027 |
83.237 |
|
(d) long-term
provisions |
100.537 |
85.129 |
72.675 |
|
Total Non-current
Liabilities (3) |
356.316 |
383.479 |
390.374 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
204.600 |
200.178 |
204.495 |
|
(b) Trade
payables |
701.455 |
646.514 |
420.339 |
|
(c) Other
current liabilities |
106.178 |
78.780 |
133.386 |
|
(d) Short-term
provisions |
4.909 |
7.067 |
9.684 |
|
Total Current
Liabilities (4) |
1,017.142 |
932.539 |
767.904 |
|
|
|
|
|
|
TOTAL |
1,696.165 |
1,859.551 |
1,997.304 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
910.096 |
1,002.481 |
1,115.297 |
|
(ii)
Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii)
Capital work-in-progress |
5.975 |
21.278 |
20.748 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
322.970 |
357.889 |
357.889 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
93.345 |
83.289 |
11.939 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
1,332.386 |
1,464.937 |
1,505.873 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
240.885 |
266.421 |
286.928 |
|
(c) Trade
receivables |
70.531 |
75.366 |
70.249 |
|
(d) Cash
and cash equivalents |
10.192 |
17.750 |
15.078 |
|
(e)
Short-term loans and advances |
41.205 |
34.339 |
119.176 |
|
(f) Other
current assets |
0.966 |
0.738 |
0.000 |
|
Total
Current Assets |
363.779 |
394.614 |
491.431 |
|
|
|
|
|
|
TOTAL |
1,696.165 |
1,859.551 |
1,997.304 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
2,750.149 |
2,729.324 |
2,282.686 |
|
|
|
Other Income |
11.236 |
8.950 |
105.840 |
|
|
|
TOTAL (A) |
2,761.385 |
2,738.274 |
2,388.526 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
1,010.223 |
1,117.892 |
940.444 |
|
|
|
Changes in inventories of finished goods, work-in-progress
and Stock-in-Trade |
28.080 |
4.135 |
(1.961) |
|
|
|
Employees benefits expense |
256.158 |
261.814 |
239.839 |
|
|
|
Other expenses |
1,536.490 |
1,511.802 |
1,491.453 |
|
|
|
Exceptional Item |
34.919 |
0.000 |
0.000 |
|
|
|
TOTAL (B) |
2,865.870 |
2,895.643 |
2,669.775 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
(104.485) |
(157.369) |
(281.249) |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
45.735 |
45.617 |
28.091 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(150.220) |
(202.986) |
(309.340) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
110.853 |
112.646 |
114.722 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE TAX
(E-F) (G) |
(261.073) |
(315.632) |
(424.062) |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(40.247 |
(20.139 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
(220.826) |
(295.493) |
(424.062) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(199.526) |
95.967 |
520.029 |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
(420.352) |
(199.526) |
95.967 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of Export |
0.000 |
0.000 |
5.052 |
|
|
TOTAL EARNINGS |
0.000 |
0.000 |
5.052 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
7.252 |
40.262 |
44.094 |
|
|
|
Stores & Spares |
6.194 |
10.575 |
4.776 |
|
|
TOTAL IMPORTS |
13.446 |
50.837 |
48.870 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
(14.15) |
(18.93) |
(21.17) |
|
QUARTERLY RESULTS
|
Particulars |
|
30.06.2014 (Unaudited) |
30.09.2014 (Unaudited) |
|
|
|
1st
Quarter |
2nd
Quarter |
|
Net Sales |
|
611600 |
676.500 |
|
Total Expenditure |
|
602.000 |
630.700 |
|
PBIDT (Excl OI) |
|
9.600 |
45.800 |
|
Other Income |
|
1.400 |
2.600 |
|
Operating Profit |
|
11.000 |
48.400 |
|
Interest |
|
11.600 |
11.200 |
|
Exceptional Items |
|
0.000 |
0.000 |
|
PBDT |
|
(0.600) |
37.200 |
|
Depreciation |
|
13.200 |
11.100 |
|
Profit Before Tax |
|
(13.800) |
26.100 |
|
Tax |
|
0.600 |
(0.600 |
|
Provisions and contingencies |
|
0.000 |
0.000 |
|
Profit After Tax |
|
(14.400) |
26.700 |
|
Extraordinary Items |
|
0.000 |
0.000 |
|
Prior Period Expenses |
|
0.000 |
0.000 |
|
Other Adjustments |
|
0.000 |
0.000 |
|
Net Profit |
|
(14.400) |
26.700 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
Net Profit Margin (PAT/Sales) |
(%) |
(8.03) |
(10.83) |
(18.58) |
|
|
|
|
|
|
|
Operating Profit Margin (PBIDT/Sales) |
(%) |
(3.80) |
(5.77) |
(12.32) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(19.10) |
(21.32) |
(26.20) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.81) |
(0.58) |
(0.51) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.63 |
0.37 |
0.24 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.36 |
0.42 |
0.64 |
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 |
156.083 |
156.083 |
156.083 |
|
Reserves & Surplus |
682.943 |
387.450 |
166.624 |
|
Money received against share
warrants |
0.000 |
0.000 |
0.000 |
|
Share Application money pending
allotment |
0.000 |
0.000 |
0.000 |
|
Net
worth |
839.026 |
543.533 |
322.707 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
0.000 |
0.000 |
|
Short term borrowings |
204.495 |
200.178 |
204.600 |
|
Total
borrowings |
204.495 |
200.178 |
204.600 |
|
Debt/Equity
ratio |
0.244 |
0.368 |
0.634 |
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 |
2,282.686 |
2,729.324 |
2,750.149 |
|
|
|
19.566 |
0.763 |
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
|
2,282.686 |
2,729.324 |
2,750.149 |
|
Profit |
(424.062) |
(295.493) |
(220.826) |
|
|
(18.58%) |
(10.83%) |
(8.03%) |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
Yes |
|
10] |
Designation of contact
person |
Yes |
|
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 |
Yes |
|
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 |
LITIGATION
DETAILS:
|
Case Status
: Pending Status of CIVIL SUITS
(CS) 22 of 2013 WEST
BENGAL FOREST DEVELOPMENT CORP. LIMITED Vs. M/S. STAR PAPER MILLS
LIMITED Pet's Adv.
: ABHIJIT PAL
Res's
Adv. : Court No.
: 18 Last Listed On : Thursday,
January 03, 2013 Category
: MONEY
CLAIMS/COMPENSATION/DAMAGES/MESNE PROFITS Case Updated
on: Friday, June 14, 2013 |
UNSECURED LOAN:
|
Particulars |
31.03.2014 Rs.
In Millions |
31.03.2014 Rs.
In Millions |
|
SHORT TERM
BORROWINGS |
|
|
|
From related parties |
42.124 |
41.624 |
|
From others |
0.000 |
0.050 |
|
Total |
42.124 |
41.674 |
MANAGEMENT
DISCUSSION & ANALYSIS REPORT
Global Economy
Financial year 2013-14 has
seen some progress in rebuilding global confidence. Many of the feared events
have not come to pass in particular in the United States, which did not fall off
the 'fiscal cliff'; in Europe, where the breakup of the euro zone was avoided
and where sovereign bond differentials have drastically narrowed; and in China,
where fears of a hard landing have receded for the time being.
Despite this more positive
global outlook, some uncertainty remains. In advanced economies, the potential
consequences of a tapering and eventual end of quantitative easing in the
United States, the aggressive yet still incomplete financial and structural
measures adopted in Japan, and the persistent unemployment and economic
recovery challenges in Europe are factors that could put future economic
performance at risk. In emerging markets, it is uncertain how protests in
Brazil and Turkey, the credit crunch in China, and the potentially volatile
capital flows to emerging and developing markets will affect these economies.
INDUSTRY SCENARIO & GROWTH
OPPORTUNITIES
Indian Economy, particularly
Industrial sector turned in one of the worst performances of the recent times.
Paper Industry too felt the slowdown in line with the National economy. On top
of a slowing economy, Industry faced a steep increase in input costs. For the
first time in Country's history, raw material for pulp making had to be
imported.
Paper can now be imported
duty free from ASEAN countries under FTA. Performance of ASEAN economies and
exchange rate movement will also have an impact on the domestic industry.
Indian Paper Industry has the
potential and capability of servicing the growing needs of the economy but
needs support from the Government in preserving the competitiveness of its
value-chain.
FINANCIAL PERFORMANCE
The company has been able to
reduce losses progressively year by year and will strive to improve the
performance further in the coming period.
HUMAN-ASSET
The company considers human
resource as its invaluable asset. Star regularly undertakes need-based human
resource development programmes at all levels. The company currently has
approximately 840 employees on rolls.
FUTURE OUTLOOK
Prospects for the Industry
are promising. However issues impacting Industry's competitiveness need
attention.
FORWARD LOOKING STATEMENTS
This Report contains forward
looking statements based upon the data available with the company, assumptions
with regard to global economic conditions, Government policies etc. The company
do not guarantee accuracy of the assumptions and perceived performance of the
company in future. It is thus cautioned that the actual results may materially
differ from those expressed or implied in the report.
OPERATIONAL PERFORMANCE
Financial Year 2013-14 Highlights
In the recent past, paper
industry saw a significant increase in raw material, power and fuel costs and
the trend continued in FY 2013-14 as well. Higher input costs, erratic Grid
power supply, liquidity position and intense market competition impacted the
operations during the year. However the company continued to emphasize on
controlling costs and Product-mix optimization in line with market demand. As a
result, the company performed better in comparison to previous years despite
the above constraints.
Prospects for FY 2014-15
Since no major capacity
addition is expected in the coming period, demand–supply balance is likely to
improve. Duty free imports of paper through FTAs is a cause of concern though.
Cost pressures specially on wood and energy are not expected to abate in the
coming period. The company will strive to deliver better results through
improvement in efficiency.
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER ENDED
30TH SEPTEMBER 2014
(Rs. In Millions)
|
Particulars
|
Quarter Ended ( Unaudited) |
Quarter Ended ( Unaudited) |
Half Year Ended ( Unaudited) |
|
|
30.09.2014 |
30.06.2014 |
30.09.2014 |
|
|
|
|
|
|
1.
Income from operations |
|
|
|
|
a) Net sales/ Income from operation (net of excise duty) |
657.200 |
598.600 |
1256.800 |
|
b) Other operating income |
19.300 |
13.000 |
32.300 |
|
Total
income from Operations(net) |
676.500 |
611.600 |
1289.100 |
|
2.Expenditure |
|
|
|
|
a) Cost of material consumed |
199.700 |
242.900 |
441.600 |
|
b) Purchases of stock in trade |
0.000 |
0.000 |
0.000 |
|
c) Changes in inventories of finished goods,
work-in-progress and stock-in-trade |
(0.700) |
(32.500) |
(33.200) |
|
d) Employees benefit expenses |
75.100 |
65.000 |
141.100 |
|
e) Chemicals and dyes consumed |
87.300 |
86.600 |
173.900 |
|
f) Power and Fuel |
191.300 |
171.500 |
362.700 |
|
g) Depreciation and amortization expenses |
11.000 |
13.200 |
25.300 |
|
fh Other expenditure |
78.100 |
68.500 |
146.600 |
|
Total expenses |
641.800 |
615.200 |
1258.000 |
|
3. Profit from operations before other income and
financial costs |
34.700 |
(3.600) |
31.100 |
|
4. Other income |
2.600 |
1.400 |
4.000 |
|
5. Profit from ordinary activities before finance costs |
37.300 |
(2.200) |
35.100 |
|
6. Finance costs |
11.200 |
11.600 |
22.800 |
|
7. Net profit/(loss) from ordinary activities
after finance costs but before exceptional items |
26.100 |
(13.800) |
12.300 |
|
8. Exceptional item |
0.000 |
0.000 |
0.000 |
|
9. Profit from ordinary activities before tax
Expense: |
26.100 |
(13.800) |
12.300 |
|
10.Tax expenses |
(0.600) |
0.600 |
0.000 |
|
11.Net
Profit / (Loss) from ordinary activities after tax (9-10) |
26.700 |
(14.400) |
12.300 |
|
12.Extraordinary Items (net of tax expense) |
0.000 |
0.000 |
0.000 |
|
13.Net Profit / (Loss) for the period (11 -12) |
26.700 |
(14.400) |
12.300 |
|
14.Paid-up equity share capital (Nominal value Rs.10/- per share) |
156.100 |
156.100 |
156.100 |
|
15. Reserve excluding
Revaluation Reserves as per balance sheet of previous accounting year |
|
|
|
|
16.i) Earnings per share (before extraordinary
items) of Rs.10/- each) (not annualised): |
|
|
|
|
(a) Basic |
1.71 |
(092) |
0.79 |
|
(b) Diluted |
1.71 |
(092) |
0.79 |
Particulars
|
Quarter Ended ( Unaudited) |
Quarter Ended ( Unaudited) |
Half Year Ended ( Unaudited) |
|
|
30.09.2014 |
30.06.2014 |
30.09.2014 |
|
A. Particulars of shareholding |
|
|
|
|
1. Public Shareholding |
|
|
|
|
- Number of shares |
7826131 |
8526131 |
7826131 |
|
- Percentage of shareholding |
50.14% |
54.63% |
50.14% |
|
2. Promoters and Promoters group Shareholding- |
|
|
|
|
a) Pledged /Encumbered |
|
|
|
|
Number of shares |
|
|
|
|
Percentage of shares (as a % of total shareholding of the
promoter and promoter group) |
3130443 |
3730433 |
3130443 |
|
Percentage of shares (as a % of total share capital of the
company) |
40.29% |
52.67% |
40.29% |
|
|
20.05% |
23.90% |
20.05% |
|
b) Non Encumbered |
|
|
|
|
Number of shares |
4651788 |
3351786 |
4651788 |
|
Percentage of shares (as a % of total shareholding of the
promoter and promoter group) |
59.77% |
47.33% |
59.77% |
|
Percentage of shares (as a % of total share capital of the
company) |
29.80% |
21.47% |
29.80% |
|
|
|
|
|
|
B.
Investor Complaints |
|
|
|
|
Pending at the beginning of the quarter |
|
0 |
|
|
Receiving during the quarter |
|
0 |
|
|
Disposed of during the quarter |
|
0 |
|
|
Remaining unreserved at the end of the quarter |
|
0 |
|
STATEMENT OF ASSETS
AND LIABILITIES
|
SOURCES OF FUNDS |
|
|
30.09.2014 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
|
156.083 |
|
(b) Reserves & Surplus |
|
|
198.315 |
|
(c) Money
received against share warrants |
|
|
0.000 |
|
|
|
|
|
|
(2) Share Application money pending
allotment |
|
|
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
|
|
354.398 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
|
|
0.000 |
|
(b) Deferred tax liabilities (Net) |
|
|
165.760 |
|
(c) Other long term
liabilities |
|
|
79.296 |
|
(d) long-term
provisions |
|
|
105.230 |
|
Total Non-current
Liabilities (3) |
|
|
350.286 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
|
|
179.238 |
|
(b) Trade
payables |
|
|
717.776 |
|
(c) Other
current liabilities |
|
|
136.059 |
|
(d) Short-term
provisions |
|
|
4.909 |
|
Total Current
Liabilities (4) |
|
|
1,037.982 |
|
|
|
|
|
|
TOTAL |
|
|
1,742.666 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
|
|
905.897 |
|
(ii)
Intangible Assets |
|
|
0.000 |
|
(iii)
Capital work-in-progress |
|
|
0.000 |
|
(iv)
Intangible assets under development |
|
|
0.000 |
|
(b) Non-current Investments |
|
|
322.970 |
|
(c) Deferred tax assets (net) |
|
|
0.000 |
|
(d) Long-term Loan and Advances |
|
|
93.477 |
|
(e) Other
Non-current assets |
|
|
|
|
Total Non-Current
Assets |
|
|
1,322.344 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
|
|
0.000 |
|
(b)
Inventories |
|
|
278.558 |
|
(c) Trade
receivables |
|
|
83.965 |
|
(d) Cash
and cash equivalents |
|
|
23.725 |
|
(e)
Short-term loans and advances |
|
|
33.712 |
|
(f) Other
current assets |
|
|
0.362 |
|
Total
Current Assets |
|
|
420.322 |
|
|
|
|
|
|
TOTAL |
|
|
1,742.666 |
INDEX OF CHARGE:
|
Sr. No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10174255 |
17/07/2009 |
290,000,000.00 |
Bank of Baroda |
India Exchange Branch, 4, India Exchange Place, Kolkata, West Bengal - 700001, India |
A69182509 |
|
2 |
80032651 |
16/09/1993 |
315,900,000.00 |
Bank of Baroda |
4 India Exchange Place, Kolkata, West Bengal - 700001, India |
- |
|
3 |
80032425 |
12/10/1988 |
139,100,000.00 |
Bank of Baroda |
4 India Exchange Place, Kolkata, West Bengal - 700001, India |
- |
FIXED ASSETS:
·
Land
·
Building
·
Plant and Machinery
·
Computer
·
Vehicles
·
Furniture and Fixture
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
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.61.92 |
|
UK Pound |
1 |
Rs.96.37 |
|
Euro |
1 |
Rs.76.10 |
INFORMATION DETAILS
|
Information
Gathered by : |
NYA |
|
|
|
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
VNT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILITY |
1~10 |
2 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
2 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--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 |
|
28 |
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.