MIRA
INFORM REPORT
|
Report Date : |
10.02.2014 |
IDENTIFICATION DETAILS
|
Name : |
TUBE INVESTMENTS OF INDIA LIMITED |
|
|
|
|
Registered
Office : |
"Dare House", No. 234, |
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Country : |
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|
|
Financials (as
on) : |
31.03.2013 |
|
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Date of
Incorporation : |
09.09.1949 |
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|
|
Com. Reg. No.: |
18-002905 |
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Capital
Investment / Paid-up Capital : |
Rs.373.300 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L35921TN1949PLC002905 |
|
|
|
|
TAN No.: [Tax
Deduction & Collection Account No.] |
CHET00142C |
|
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|
PAN No.: [Permanent
Account No.] |
AAACT1249H |
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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
: |
Manufactures and sells bicycles, precision steel tubes,
and metal. |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
A (66) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
Maximum Credit Limit : |
USD 47000000 |
|
|
|
|
Status : |
Good |
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|
|
|
Payment Behaviour : |
Regular |
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Litigation : |
Exist |
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|
Comments : |
Subject is a part of MURUGAPPA GROUP. It is a well-established company
having a fine track record. There appears dip in profit of the company during the financial year
2013. However, trade rating reflects TI’s healthy business risk profile,
marked by its diversified revenue streams and leading market position in most
of its business. Directors are reported to be experienced and respectable businessmen. Trade relations are reported as fair. Business is active. Payment are
reported to be regular and as per commitments. In view of strong holding, the company can be considered good for
normal business dealings at usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – December 1, 2013
|
Country Name |
Previous Rating (30.09.2013) |
Current Rating (01.12.2013) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
The services sector, the largest contributor to India’s GDP, contracted for
the sixth consecutive month in December, as orders dipped. However, hiring has
risen. Direct tax collections rose 12.3 % during the April – December
period of the current financial year. The government has decided to
retain 100 per cent foreign direct investment in both greenfield (new) and
brown field (existing) pharmaceutical companies, despite concerns over genetic
drugs going out of production, if multi-national companies take over domestic
ones. In M&A deals, a non compete clause would not be allowed, except in
special circumstances. The Department of Industrial Policy and Promotion plans
to release the next edition of its consolidated foreign direct investment
policy document on March 31, incorporating changes made in the past year. DIPP
compiles all policies related to India’s FDI regime into a single document to
make it easy for investors to understand. 185 million estimated number of
mobile internet users in India by June 2014, according to a report by the
Internet & Mobile Association of India and IMRB International. India
had 110 million mobile internet users with 25 million in rural areas. $3.77 tn
estimated global IT spending in 2014, according to research firm Gartner Inc.
The growth forecast for this year is cut to 3.1 %from the earlier estimate of
3.5 %. The spending growth forecast for telecom services – a segment that
accounts for more than 40 % at total IT spending – from 1.9 per cent to 1.2 per
cent is the main reason for this overall IT cut. A Reserve Bank of India
committee has recommended setting up a special category of lenders who would
cater to small businesses and households, to expand the number of customers
with access to banking services. These banks would focus onproviding payment
services and deposit products. Indian banks want the free use of
automated teller machines to be capped at five transactions in a month
including that of the bank in which the account is active. This follows state
government order to banks to install security guards at ATM booths after a
woman banker was assaulted in Bangalore. The government is likely to present a
vote on Account in mid-February. The annual Economic Survey will be tabled
later in Parliament along with the full Budget. A full Budget for 2014/15 is
likely to be present in July by the new government formed after the General
Election. The government will soon launch an internet spy system, called Netra,
to detect malafide messages. Security agency will deploy the system to capture
dubious voice traffic on applications such as Skype and Google Talk, as well as
tweeters.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
Long term rating: AA |
|
Rating Explanation |
High degree of safety and very low credit risk. |
|
Date |
29.01.2014 |
|
Rating Agency Name |
CRISIL |
|
Rating |
Short term rating: A1+ |
|
Rating Explanation |
Very strong degree of safety and lowest credit risk. |
|
Date |
29.01.2014 |
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.
LOCATIONS
|
Registered Office / Corporate Office : |
"Dare House", No. 234, N S C Bose Road, Chennai
- 600 001, Tamilnadu, India |
|
Tel. No.: |
91-44-42177770 |
|
Fax No.: |
91-44-42110404 |
|
E-Mail : |
customercare@ticyclesindia.com marketingstrips@tii.murugappa.com powertransmission@tidc.murugappa.com |
|
Website : |
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|
|
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|
Factory : |
Cycles
Division: TI
Cycles of Post
Bag No. 5, Ambattur, Chennai - 600053, Tamilnadu, India Tel:
91-44-4209 3434 Fax:
91-44-4209 3345 TI
Cycles of Plot
No. E - 8, MIDC, Tel
: 91-2551-230472 Fax:
91-2551-230183 TI Cycles of A-32,
Phase II Extension, Hoisery Complex, Opposite NEPZ Dadri Road, Gautam Budh
Nagar, Noida- 201 305, Uttar Pradesh, India Tel
: 91-120-2462201/203 Fax
: 91-120-2462397 BSA
Motors, Ambattur, Chennai-600053, Tamilnadu,
India Post
Bag No. 5, Ambattur, Chennai-600053, Tamilnadu, India Tel
: 91-44-42093434 Fax
: 91-44-42093445 Engineering
Division: Tube
Products of Avadi,
Chennai 600 054, Tamilnadu, India Tel
: 91-44 -4229 1999 Fax
: 91-44- 4229 1990 Tube
Products of Shirwal
Post, Khandala Taluk, Satara District 412 801, Tel
: 91-2169 -244080 Fax
: 91-2169 -244087 Tube
Produds of A-16
& 17, Industrial Focal Point, Phase VI, SAS Nagar, Mohali 160 051, Punjab,
India Tel:
91-172 -4510209 Metal
Formed Products Division: TIDC
Ambattur,
Chennai 600 053 Tamilnadu, India Tel
: 91-44 - 4223 5555 Fax:
91-44- 4223 5406 TIDC
Tel :
91-8458 - 277240 Fax
: 91-8458 - 277241 TI
Metal Forming Chennai
- Tel:
91-44 -26390194 / 26390437/ 2639 0504 Fax:
91-44 - 2639 0634 TI
Metal Forming 80/81,
SIDCO Industrial Estate, Kakkalur, Thiruvallur 602 003 Ph.
91-44 -27667104 TI
Metal Forming Plant,
Plot Nos. 245, Sector 3, Growth Centre, Bawal, Riwari District 123501* Tel
: 91-1284 - 260707, 260708 Fax:
91-1284 - 260426 TI Metal Forming Plot No.501 - B and C, Halol Industrial
Area / Estate, Block No. 32 and 34, Village Dunia Taluka Halol, District
Panchmahals, Baroda 389 350, Gujarat, India Tel
: 91-2676 - 224647 Fax:
91-2676- 224035 TIDC Ganganouli,
Laskar – 247 663, Uttarakhand, India Tel.
No.:- 91-1332-271295 TIDC
Post
Bag No. 11, Amabattur, Chennai – 600 053* Tel.
No.:- 91-40-4223 5555 Fax
No.:- 91-44-4223 5406 TI Metal Forming Khasra No.222, Gangnouli Village, Tehsil - Laksar, Haridwar, Uttarakhand - 247 663, India Tel : 09219401388 Fax : (01332) - 259100 TI Metal Forming Tata Motors Ltd. Vendors Park, Plot No.C11, Survey No.1, North Kotpura, Sanand Viroch Nagar Post, Ahmedabad - 382 170, Gujarat, India Tel : 09228021343/09228021179 TI Metal Forming Khasra No.227, Gangnouli Village, Tehsil - Laksar,
Haridwar - 247 663, Uttarakhand,
India Tel : 09219403539 TI
Metal Forming, Nemilicherry, TI
Metal Forming, Pune, |
DIRECTORS
As on 31.03.2013
|
Name : |
Mr. M M Murugappan |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. L Ramkumar |
|
Designation : |
Managing Director |
|
|
|
|
Name : |
Mr. C K Sharma |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Pradeep Mallick |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Pradeep V Bhide |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. S Sandilya |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. N Srinivasan |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. S B Mathur |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. S Suresh |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2013
|
Category of
Shareholder |
Total
No. of Shares |
Total
Shareholding as a % of Total No. of Shares |
|
|
|
As a % |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
16579715 |
9.12 |
|
|
72165145 |
39.68 |
|
|
1398630 |
0.77 |
|
|
1398630 |
0.77 |
|
|
90143490 |
49.57 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
90143490 |
49.57 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
10635428 |
5.85 |
|
|
902804 |
0.50 |
|
|
6048306 |
3.33 |
|
|
30368615 |
16.70 |
|
|
47955153 |
26.37 |
|
|
|
|
|
|
11586667 |
6.37 |
|
|
|
|
|
|
19738667 |
10.85 |
|
|
11585805 |
6.37 |
|
|
851034 |
0.47 |
|
|
663842 |
0.37 |
|
|
163546 |
0.09 |
|
|
23646 |
0.01 |
|
|
43762173 |
24.06 |
|
Total Public shareholding (B) |
91717326 |
50.43 |
|
Total (A)+(B) |
181860816 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
4930630 |
0.00 |
|
|
4930630 |
0.00 |
|
Total (A)+(B)+(C) |
186791446 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufactures and sells bicycles, precision steel tubes,
and metal. |
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
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Bankers : |
· Bank of America · Standard Chartered Bank · State Bank of India ·
The Hongkong and Shanghai Banking Corporation
Limited |
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Facilities : |
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Banking
Relations : |
-- |
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|
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Auditors : |
|
|
Name : |
Deloitte Haskins and Sells Chartered Accountants |
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|
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|
Subsidiary
Companies: |
· Shanthi Gears Limited (Associate from 3 September 2012 to 18 November 2012 and Subsidiary with effectfrom 19 November 2012) · Cholamandalam MS General Insurance Company Limited · Cholamandalam Investment and Finance Company Limited and its Subsidiaries namely o Cholamandalam Distribution Services Limited o Cholamandalam Factoring Limited and o Cholamandalam Securities Limited · TI Financial Holdings Limited · TICI Motors (Wuxi) Company Limited (Refer Note 12 (c)) · Financiere C10 SAS and its Subsidiaries namely o Sedis SAS o Societe De Commercialisation De Composants Industriels - SARL (S2CI) and o Sedis Company Limited |
|
|
|
|
Associate -
Investing Company: |
· Murugappa Holdings Limited |
|
|
|
|
Joint Venture
Company: |
· Cholamandalam MS Risk Services Limited |
CAPITAL STRUCTURE
As on 02.08.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
215000000 |
Equity Shares |
Rs.2/- each |
Rs. 430.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
186791446 |
Equity Shares |
Rs.2/- each |
Rs. 373.583
Millions |
|
|
|
|
|
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
215000000 |
Equity Shares |
Rs.2/- each |
Rs. 430.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
186679308 |
Equity Shares |
Rs.2/- each |
Rs. 373.300
Millions |
|
|
|
|
|
Note:
The Reconciliation of Share Capital is given below:
|
Particulars |
31.03.2013 |
|
|
|
No. of Shares |
Rs. In Millions |
|
At the beginning of the year |
18,63,15,317 |
372.600 |
|
Shares allotted on exercise of Employee Stock Options |
3,63,991 |
0.700 |
|
At the end of the year |
18,66,79,308 |
373.300 |
Terms/Rights attached to class of shares:
The Company has only one class of shares referred to as Equity Shares having a par value of Rs.2. The holders of
Equity Shares are entitled to one vote per share. Dividend proposed by the Board of Directors, if any, is subject
to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend.
Repayment of capital will be in proportion to the number of Equity Shares held.
Details of Shareholder(s) holding more than 5% of Equity Shares in the Company as on 31 March 2013
|
Particulars |
31.03.2013 |
|
|
|
No. of Shares |
% against total number of shares |
|
Murugappa Holdings Limited (Associate - Investing Company) |
6,40,54,680 |
34.31% |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
373.300 |
372.600 |
371.300 |
|
(b) Reserves & Surplus |
11440.100 |
10777.000 |
9542.700 |
|
(c) Money
received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
0.000 |
0.300 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
11813.400 |
11149.900 |
9914.000 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
6303.600 |
4187.100 |
3626.800 |
|
(b) Deferred tax liabilities (Net) |
522.900 |
480.800 |
517.600 |
|
(c) Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total Non-current Liabilities (3) |
6826.500 |
4667.900 |
4144.400 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
3031.700 |
2962.300 |
2583.800 |
|
(b) Trade payables |
4854.100 |
5504.000 |
5157.700 |
|
(c) Other current
liabilities |
4414.200 |
1654.100 |
1473.400 |
|
(d) Short-term provisions |
439.300 |
543.3000 |
494.800 |
|
Total Current Liabilities (4) |
12739.300 |
10663.700 |
9709.700 |
|
|
|
|
|
|
TOTAL |
31379.200 |
26481.500 |
23768.100 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
6316.100 |
6065.100 |
5608.400 |
|
(ii) Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii) Capital
work-in-progress |
1597.300 |
384.200 |
273.900 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
14440.100 |
9301.500 |
8925.000 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
786.900 |
948.000 |
557.900 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
23140.400 |
16698.800 |
15365.200 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.200 |
0.000 |
180.500 |
|
(b) Inventories |
3567.700 |
4100.000 |
3876.900 |
|
(c) Trade receivables |
3944.000 |
4358.500 |
3733.700 |
|
(d) Cash and cash
equivalents |
332.700 |
859.200 |
136.400 |
|
(e) Short-term loans and
advances |
394.200 |
465.000 |
475.400 |
|
(f) Other current assets |
0.000 |
0.000 |
0.000 |
|
Total Current Assets |
8238.800 |
9782.700 |
8402.900 |
|
|
|
|
|
|
TOTAL |
31379.200 |
26481.500 |
23768.100 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
34074.300 |
34897.700 |
29811.000 |
|
|
|
Other Income |
402.500 |
309.700 |
107.900 |
|
|
|
TOTAL (A) |
34476.800 |
35207.400 |
29918.900 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
19452.400 |
20134.100 |
17049.000 |
|
|
|
Purchase of Stock-in-Trade - Cycles/Components and Metal Formed Products |
1340.700 |
1858.200 |
1431.200 |
|
|
|
Changes in Inventories of Finished Goods, Work-in-Progress and Stock-in-Trade |
208.800 |
(374.700) |
(475.200) |
|
|
|
Employee Benefits Expense |
2773.500 |
2592.300 |
2435.400 |
|
|
|
Other Expenses |
7351.900 |
7020.100 |
5921.300 |
|
|
|
Exceptional Item - Provision for diminution in value of investment in Subsidiary |
38.100 |
0.000 |
-206.000 |
|
|
|
TOTAL (B) |
31165.400 |
31230.000 |
26155.700 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
3311.400 |
3977.400 |
3763.200 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
1041.600 |
765.600 |
659.200 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
2269.800 |
3211.800 |
3104.000 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
797.700 |
760.800 |
691.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
1472.100 |
2451.000 |
2413.000 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
432.500 |
650.100 |
716.400 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
1039.600 |
1800.900 |
1696.600 |
|
|
|
|
|
|
|
|
|
|
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
2797.000 |
3927.000 |
3346.100 |
|
|
|
|
|
|
|
|
|
|
FINAL DIVIDEND
INCLUDING TAX ON DIVIDEND |
0.000 |
0.200 |
0.200 |
|
|
|
|
|
|
|
|
|
|
EARLIER YEAR’S
PROVISION FOR DIVIDEND TAX NO LONGER REQUIRED |
11.700 |
17.600 |
0.000 |
|
|
|
|
|
|
|
|
|
|
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
1000.000 |
2000.000 |
250.000 |
|
|
|
Transfer to Debenture Redemption Reserve |
842.700 |
316.600 |
233.400 |
|
|
|
Interim Dividend @ Rs.1.50 (previous year Rs.2) per Equity Share of Rs.2 each |
279.900 |
372.400 |
278.400 |
|
|
|
Final Dividend Proposed @ Rs.0.50 (previous year Rs.1) per Equity Share of Rs.2 each |
93.300 |
186.300 |
278.500 |
|
|
|
Dividend Distribution Tax - Current year |
32.000 |
73.000 |
81.800 |
|
|
BALANCE CARRIED
TO THE B/S |
1600.400 |
2797.000 |
3927.000 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB Value of Exports |
1890.200 |
1887.600 |
1617.200 |
|
|
|
Service Income |
46.200 |
33.800 |
14.900 |
|
|
TOTAL EARNINGS |
1936.400 |
1921.400 |
1632.100 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
2233.600 |
2303.000 |
1424.200 |
|
|
|
Stores & Spares |
110.600 |
85.000 |
87.200 |
|
|
|
Finished Goods |
1291.200 |
1800.300 |
1231.000 |
|
|
|
Capital Goods |
893.400 |
279.200 |
149.800 |
|
|
|
4528.800 |
4467.500 |
2892.200 |
|
|
|
Earnings Per
Share (Rs.) |
|
|
|
|
|
|
Basic |
5.58 |
9.69 |
9.16 |
|
|
|
Diluted |
5.56 |
9.66 |
9.11 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
3.02
|
5.12 |
5.67 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
4.32
|
7.02 |
8.09 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
9.60
|
14.59 |
16.56 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.12
|
0.22 |
0.24 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.79
|
0.64 |
0.63 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.65
|
0.92 |
0.87 |
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 |
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
|
CHENNAI COURT CASE STATUS INFORMATION SYSTEM
|
REVIEW OF PERFORMANCE
The Company achieved a turnover of Rs.36420.000 Millions. During 2012-13 (previous year Rs.36650.000 Millions.). This performance has to be viewed in the context of the current economic environment. The Company is largely dependent on the auto industry, with the exception of the Bicycle segment. In view of the economic slowdown, the auto industry as well as the bicycles industry did not fare well during the year, which impacted the Company’s performance. Earnings before Finance Costs, Tax, Depreciation and Amortisation Expenses were at Rs.3350.000 Millions. during the year as against Rs.3980.000 Millions. in 2011-12, a decline of 16%. Finance costs was high at Rs.1040.000 Millions. as against Rs.770.000 Millions. in 2011-12 due to the increased borrowings resorted to meet the Company’s expansion programmes. Profit before Tax was Rs.1470.000 Millions. For the year 2012-13 as against Rs.2450.000 Millions. in the previous year.
The Bicycle division recorded a turnover of Rs.12550.000 Millions. In 2012-13 as against Rs.12850.000 Millions. in the previous year. This segment witnessed steep increase in the customs and excise levies. Lower disposable income in the rural areas affected the demand for Standard bicycles. Higher input costs, together with the increase in the statutory levies, resulted in the higher price of bicycles for the end consumer, affecting the demand in Specials segment as well. As part of its growth strategy, the Company continues to invest in the expansion of retail outlets to improve its reach and the buying experience. The business has established a manufacturing and assembly line for high-end bicycles, to cater to the export market. The division continues to focus on promoting cycling. The Company has reduced its dependence on imports in select product lines and has plans to introduce many new models in the coming years to meet customer aspirations.
As regards electric scooters, lack of infrastructure support and the withdrawal of subsidies by the Government have affected the consumer’s preference for this product. In this scenario, prospects for the growth of this product are not expected to improve in the near term.
The division has reported a profit before interest and tax of Rs.490.000 Millions. in 2012-13 as against Rs.760.000 Millions. in the previous year, registering a decline of 36%.
The Engineering division recorded a turnover of Rs.14670.000 Millions. in 2012-13 as against Rs.14490.000 Millions. in the previous year. With the bulk of its revenue coming from the auto sector, the performance of this business was impacted during the year due to decline in demand for motor cycles and commercial vehicles. Margin was affected due to the increase in power and fuel cost and the inability to pass on the same in entirety. The tubular component business continued to enjoy good patronage from its user segmentsand grew by 6%. The Company commissioned a stainless steel tube manufacturing facility in the previous year and is working with user industries for product acceptance. Export turnover of the division was at previous year’s levels despite the market slowdown witnessed in Europe and the United States of America. Efforts are underway to enhance the product portfolio of the division through the manufacture of large diameter Cold Drawn Welded tubes (CDW), which finds application on in non-auto industries. Towards this, a green field facility is under establishment and it is expected to start commercial production in the first quarter of 2014-15.
The division has reported a net operating profit before interest and tax of Rs.1100.000 Millions. as against Rs.1310.000 Millions. in the previous year. Improving internal efficiencies and aggressive cost management helped to limit the impact of the drop in volume and steep increase in costs.
The Metal Formed Products segment of the Company registered a turnover of Rs.7950.000 Millions. in 2012-13, as against Rs.8600.000 Millions. in the previous year. Stagnation in demand from the motorcycle segment affected the sale of drive chains to OEMs. To counter this, the Company focussed on the replacement market, which facilitated good growth in volumes for the division. Consistent with the decline in the key industry user segments like cement, material handling and infrastructure, off -take of industrial chains was not encouraging. Uncertain conditions and low economic activity in the European markets further impacted the export of industrial chains. The Company continues to invest in equipment to manufacture fine blanked products as there is a good opportunity for growth in the domestic and export markets. Sale of fine blanked products grew by 33% in 2012-13 over the previous year. Passenger cars designed with roll-formed doorframes did not grow during the year, resulting in a drop in the volume of doorframes sold. The existence of a large underutilised capacity in cold rolled sections for railway wagons affected the top line and margin. Net operating profit before interest and tax for this segment was at Rs.800.000 Millions., representing a decline of 29%.
MANAGEMENT DISCUSSION
AND ANALYSIS
OVERVIEW
The year 2012-13 witnessed uncertainty in the domestic and global economies. Economic conditions in the US showed signs of improvement early on, but did not sustain in the later part of the year; Europe continued to be dogged by one crisis after the other in one or more economies in the European Union; questions on the continued existence of the Euro surfaced and had markets on the edge for a while. With the passage of the crisis and green shoots in some large economies, the prospects of improvement look better.
India, no longer being insulated from global developments, was impacted by these factors. In addition, the high rate of inflation depreciation of the Rupee, increasing fuel prices, high interest rates, weak monsoons, infrastructure bottlenecks and the lack of any concrete policy moves to address these issues led to a correct on in the growth rate for the country. It is estimated that the economy grew at the rate of 5% in 2012-13. Differing sectors of the economy performed differently, with agriculture growing at 1.8%, manufacturing by 1.9% and services by 6.6%. The growth rate in the first half of the year was better at 5.4%, but the same could not be sustained in the second half (4.6%).
The Company achieved a turnover of Rs.36420.000 Millions., slightly less than the previous year, but its Profit before Tax and Exceptional Item dropped to Rs.1510.000 Millions, a decline of 38% over the previous year. The performance has to be seen in the backdrop of the economic environment and the key user segment of the Company’s products – the automotive industry, which saw its toughest year in recent years.
BUSINESS REVIEW
Cycles/Components/Electric
Scooters
TI’s Presence
The Cycles/Components/Electric Scooters segment of the Company comprises bicycles of the Standard and Special variety including the alloy bikes and specialty performance bikes, bicycle components sold as spares, fitness equipment such as motorised tread mills, elliptical, recumbent bikes etc., and electric scooters.
Industry Scenario
The organised bicycle industry in India is estimated to have dropped by 10% during the year. The bicycles fall under two distinct categories – Standard and Special. The bicycle is today viewed as a product for fun, fitness and leisure activities instead of just being transport on medium. This has resulted in the product attaining a new and upgraded image. Consequently, the Special segment has registered higher growth rates over the last few years, while the Standard segment has been declining. It is estimated that the market for Mountain Terrain Bikes, the Sport Light Roadsters and Kids, which constitute the Special segment also declined, but at half the rate of the overall industry decline.
Higher affluence levels, greater exposure to international usage patterns and concern for fitness have opened up new avenues for high-end bicycles and this segment continues to grow steadily, year after year.
The Indian bicycle needs are met by three large players including the Company. Between the three players, close to 85% of the requirements are met and smaller regional players and imports constitute the balance. The Company enjoys a share of close to one-third of the total market, with a much higher share of the Special and premium segment.
The fitness equipment business can be broadly classified under two segments; home and commercial. The fitness business of the Company is restricted to the home segment. With a high compounded annual growth rate of 18%, the fitness equipment industry continues to be attractive. There are four national players apart from a slew of importers and regional players.
The electric scooters industry in India is still in its infancy. The customer exceptions of speed and power are not fully met by the current products in the industry, while exports are being made by all to upgrade performance. The lack of infrastructure support like special lanes, charging stations etc., as available in China, as well as withdrawal of subsidies have had a dampening effect on the prospects for the industry. The industry has seen the exit of all players in the unorganised sector and the lack of enthusiasm is now resulting in organised players reducing their presence.
REVIEW OF PERFORMANCE
The performance during the year was affected by the adverse conditions prevailing in the market. Imposition of higher excise duty, increase in customs duty and the depreciation of the Rupee affected the Company’s competitiveness in certain key segments in the Special category. Poor monsoons affected rural incomes resulting in a drop in the segments catering to these markets, predominantly the Standard and juvenile segments. The intuitional segment, which has been pretty strong over the years, has also been muted this year, with some State Governments reducing their purchase. As a result of all this, the segment recorded a decline of 9.3% in the volume of bicycles sold. The segment continues to maintain its focus on Special and premium products and enhancing its retail footprint with the addition of another 192 exclusive outlets during the year. The total number of such outlets today is 637. As a result of this effort, the Company has been awarded with two international awards for retail excellence.
Aggressive cost reduction and lower dependence on imports for certain segments have been carried out and it is expected that this will help the Company in the medium to long-term. A rationalisation of models, based on consumer interest, was carried out and with a view to eliminating certain models, a write down in their value has been considered. The overseas subsidiary in China, established with a view to sourcing components, has been shut down and the process of completing the formalities relating to its liquidity on are presently on. Consequently, the Profit before Interest and Tax declined by 36% over the previous year, and stood at Rs.490.000 Millions, after providing for Rs.38.100 Millions. Towards diminution in the value of investment. During the year, the business has commissioned an aluminum frame manufacturing facility and state-of-the-art bicycle assembly line to cater to requirement of European customers.
Higher income and a greater desire to be healthy and fit, drive the growth of the fitness industry in India. Newer models and better availability of fitness products across the exclusive BSA Workout outlets and other outlets helped the Company maintain its turnover from these products.
The electric scooters segment registered lower sales during the year due to the lack of government support to these products, leading to lower consumer interest. Despite the various initiatives undertaken to improve the product and enhance the attractiveness of the category, time is not yet ripe for these products in India and with a view to conserve resources for other growth areas, the Company has decided not to focus on this product line aggressively.
The measures taken to improve the profitability are expected to bear fruit in the years to come.
UNSECURED LOAN
|
PARTICULARS |
31.03.2013 (Rs.
in Millions) |
31.03.2012 (Rs.
in Millions) |
|
Long-term
Borrowings |
|
|
|
Deferred Payment Liability - Sales Tax Deferral |
123.800 |
162.400 |
|
Short-term
borrowings |
|
|
|
From Banks |
|
|
|
Foreign Currency Loans |
566.100 |
47.900 |
|
Working Capital Demand Loans |
500.000 |
1000.000 |
|
Cash Credit and other borrowings |
4.200 |
312.700 |
|
|
|
|
|
Total |
1194.100 |
1523.000 |
INDEX OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE
CREATION/MODIFICATION |
CHARGE AMOUNT
SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST
NUMBER (SRN) |
|
1 |
10473134 |
13/01/2014 |
310,000,000.00 |
THE BANK OF TOKYO-MITSUBISHI UFJ LIMITED |
9 RAFFLES PLACE,
# 01-01, REPUBLIC PLAZA, SINGAPORE, - 048619, SINGAPORE |
B94561883 |
|
2 |
10465761 |
10/12/2013 |
2,000,000,000.00 |
IDBI TRUSTEESHIP SERVICES LIMITED |
ASIAN BLDG. GROUND
FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE,, MUMBAI, MAHARASHTRA - 400001,
INDIA |
B91605535 |
|
3 |
10437745 |
11/07/2013 |
1,500,000,000.00 |
IDBI TRUSTEESHIP SERVICES LIMITED |
ASIAN BLDG, GROUND
FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA |
B79667044 |
|
4 |
10384399 |
25/10/2012 |
1,500,000,000.00 |
IDBI TRUSTEESHIP SERVICES LIMITED |
ASIAN BLDG., GROUND
FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA |
B61201455 |
|
5 |
10384451 |
25/10/2012 |
1,000,000,000.00 |
IDBI TRUSTEESHIP SERVICES LIMITED |
ASIAN BLDG.,
GROUND FLOOR, 17, R.KAMANI MARG, BA |
B61202511 |
|
6 |
10384817 |
25/10/2012 |
1,000,000,000.00 |
IDBI TRUSTEESHIP SERVICES LIMITED |
ASIAN BLDG.,
GROUND FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE, MUMBAI, MAHARASHTRA -
400001, INDIA |
B61202271 |
|
7 |
10365984 |
17/07/2012 |
500,000,000.00 |
IDBI TRUSTEESHIP SERVICES LIMITED |
ASIAN BLDG.,
GROUND FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE, MUMBAI, MAHARASHTRA -
400001, INDIA |
B43684778 |
|
8 |
10362701 |
04/06/2012 |
735,000,000.00 |
HSBC BANK (MAURITIUS) LIMITED |
6TH FLOOR, HSBC
CENTRE, 18, CYBERCITY, EBENE, MAURITIUS, - NA, MAURITIUS |
B42491043 |
|
9 |
10314676 |
06/01/2012 * |
1,000,000,000.00 |
IDBI TRUSTEESHIP SERVICES LIMITED |
ASIAN BLDG., GROUND
FLOOR, 17, R.KAMANI MARG, BALLARD ESTATE, MUMBAI, MAHARASHTRA - 400001, INDIA |
B31036718 |
|
10 |
10235192 |
06/01/2012 * |
434,607,891.00 |
HSBC BANK (MAURITIUS) LIMITED |
6TH FLOOR, HSBC
CENTRE, 18, CYBERCITY, EBENE, MAURITIUS, - NA, MAURITIUS |
B31035231 |
* Date of charge modification
CONTINGENT
LIABILITIES:
(Rs. in millions)
|
PARTICULARS |
31.03.2013 |
|
Estimated amount of contracts remaining to be executed on capital account and not provided for: |
|
|
Capital Expenditure |
947.600 |
|
Disputed Income-Tax demands from A.Y. 1993-94 to 2009-10 under appeal/ remand pending before various appellate/assessing authorities against which Rs.280.200 Millions. (Previous Year Rs.295.400 Millions.) has been deposited. The Balance of Rs.14.700 Millions. (Previous Year Rs.19.100 Millions.) is not deposited for which rectification petitions appeals have been filed. The Management is of the opinion that the above demands are not sustainable. |
294.900 |
|
Disputed Service Tax, Excise and Customs duty demand amounting to Rs.17.800 Millions. (Previous Year Rs.17.200 Millions.) and penalty of Rs.12.200 Millions. (Previous Year Rs.12.200 Millions.) pertaining to financial years 1999-00 to 2005-06 under appeal pending before the Appellate Tribunal. The same has not been deposited. The Management is of the opinion that the demand is arbitrary and the same is not sustainable |
30.000 |
|
Cases decided in favour of the Company against which the department has gone on an appeal |
|
|
Income Tax |
432.100 |
|
Excise |
21.800 |
|
Export obligation under EPCG/Advance License Scheme to be fulfilled. The Company is confident of meeting its obligations under the Schemes within the Stipulated Period. |
689.000 |
|
Bills drawn on Customers and Discounted with Banks |
14.400 |
|
|
|
|
Total |
2429.800 |
UNAUDITED FINANCIAL RESULT FOR THE QUARTER AND NINE MONTHS ENDED 31ST
DECEMBER, 2013
Rs. In Millions)
|
Particular |
Quarter
Ended (Unaudited |
Quarter
Ended (Unaudited) |
Nine
Months Ended (Unaudited) |
|
|
31.12.2013 |
30.09.2013 |
31.12.2013 |
|
Income from
Operations |
|
|
|
|
Net Sales / Income from Operations |
8250.700 |
8613.900 |
25100.000 |
|
Other Operating Income |
85.900 |
26.800 |
138.700 |
|
Total Income from
Operations (Net) |
8336.600 |
8640.700 |
25238.700 |
|
Expenses |
|
|
|
|
Cost of Material materials consumed |
5026.300 |
5070.100 |
14822.100 |
|
Purchase of stock in trade |
144.700 |
175.200 |
420.200 |
|
Changes in Inventories of Finished Goods |
(200.900) |
(43.000) |
(59.300) |
|
Employee Benefits Expense |
746.300 |
775.200 |
2265.400 |
|
Depreciation and Amortisation Expense |
199.800 |
203.000 |
594.900 |
|
Other Expenses |
1857.600 |
1858.300 |
5502.400 |
|
Total Expenses |
7773.800 |
8038.800 |
23545.700 |
|
Profit / (Loss)
from Operations before Other Income, Finance Cost and Exceptional Items |
562.800 |
601.900 |
1693.000 |
|
Other Income |
21.900 |
120.600 |
153.900 |
|
Profit / (Loss)
before Finance Cost and Exceptional Items |
584.700 |
722.500 |
1846.900 |
|
Finance Costs |
325.900 |
310.200 |
940.200 |
|
Profit / (Loss)
after Finance cost but before Exceptional Items |
258.800 |
412.300 |
906.700 |
|
Exceptional Items |
-- |
-- |
-- |
|
Profit / (Loss)
before Tax |
258.800 |
412.300 |
906.700 |
|
Tax Expense |
104.800 |
92.700 |
270.000 |
|
Net Profit /
(Loss) after Tax |
154.000 |
319.600 |
636.700 |
|
Paid Up Equity Share Capital (per Value of the share – Rs. 2/- each fully paid) |
154.000 |
319.600 |
636.700 |
|
Reserves excluding Revaluation Reserve as per balance sheet of
previous accounting year |
373.600 |
373.500 |
373.600 |
|
Earnings Per Share (EPS) (in Rs.) |
|
|
|
|
a) Basic |
0.82 |
1.72 |
3.41 |
|
b) Diluted |
0.82 |
1.71 |
3.40 |
|
Particular |
Quarter
Ended (Unaudited |
Quarter
Ended (Unaudited) |
Nine
Months Ended (Unaudited) |
|
|
31.12.2013 |
30.09.2013 |
31.12.2013 |
|
PARTICULARS OF
SHAREHOLDING |
|
|
|
|
Public
Shareholding |
|
|
|
|
- Number of Shares |
96647956 |
96638350 |
96647956 |
|
- Percentage of Shareholding |
51.74% |
51.74% |
51.74% |
|
Promoters and
Promoter Group Shareholding |
|
|
|
|
a) Pledged /
Encumbered |
|
|
|
|
- Number of Shares |
1338610 |
1338610 |
1338610 |
|
- Percentage of Shares (as a %
of total shareholding of promoter and promoter group) |
1.48% |
1.49% |
1.48% |
|
- Percentage of Shares (as a %
of total share Capital of the Company) |
0.72% |
0.72% |
0.72% |
|
b) Non-Encumbered |
|
|
|
|
- Number of Shares |
88804880 |
88794880 |
88804880 |
|
- Percentage of Shares (as a %
of total shareholding of promoter and promoter group) |
98.52% |
98.51% |
98.52% |
|
- Percentage of Shares (as a %
of total share Capital of the Company) |
47.54% |
47.54% |
47.54% |
INVESTOR
COMPLAINTS
|
PARTICULARS |
Quarter
Ended (Unaudited) |
|
|
31.12.2013 |
|
Pending at the beginning of the quarter |
Nil |
|
Received during the quarter |
Nil |
|
disposed off during the quarter |
Nil |
|
Remaining unresolved at the end of the quarter |
Nil |
SEGMENT WISE REVENUE,
RESULTS AND CAPITAL EMPLOYED UNDER CLAUSE 41 OF THE LISTING AGREEMENT
(Rs. In Millions)
|
Particular |
Quarter Ended
(Unaudited |
Quarter Ended
(Unaudited) |
Nine Months
Ended (Unaudited) |
|
|
31.12.2013 |
30.09.2013 |
31.12.2013 |
|
Segment Revenue |
|
|
|
|
Cycles / Components / E Scooters |
2776.300 |
3249.400 |
9093.000 |
|
Engineering |
3798.000 |
3722.900 |
11207.100 |
|
Metal Formed Products |
2098.600 |
2023.400 |
589 |
|
Insurance |
-- |
-- |
-- |
|
Gear and Gear products |
-- |
-- |
-- |
|
Other Financial Services |
-- |
-- |
-- |
|
Others |
-- |
-- |
-- |
|
UN-allocable Operating Income |
23.700 |
0.300 |
24.500 |
|
Total |
8696.600 |
8996.000 |
26284.600 |
|
Less : Inter Segment Revenue |
(360.000) |
(355.300) |
(1045.900) |
|
Total Revenue |
8336.600 |
8640.700 |
25238.700 |
|
|
|
|
|
|
Segment Results |
|
|
|
|
Cycles / Components / E-Scooters |
78.600 |
138.600 |
369.800 |
|
Engineering |
335.000 |
316.500 |
941.000 |
|
Metal Formed Products |
198.800 |
193.900 |
529.800 |
|
Insurance |
-- |
-- |
-- |
|
Gear and Gear products |
-- |
-- |
-- |
|
Other Financial Services |
-- |
-- |
-- |
|
Others |
-- |
-- |
-- |
|
Total |
612.400 |
649.000 |
1840.600 |
|
Finance Cost |
(325.900) |
(310.200) |
(940.200) |
|
Other Un-allocable Income/
(Expenses) and inter segment eliminations |
(27.700) |
73.500 |
6.300 |
|
Net Profit before tax |
258.800 |
412.300 |
906.700 |
|
Capital
Employed (Segment Assets - Segment Liabilities) |
|
|
|
|
Cycles / Components / E-Scooters |
684.100 |
984.200 |
684.100 |
|
Engineering |
5742.800 |
5042.200 |
574.800 |
|
Metal Formed Products |
4882.900 |
4895.00 |
4882.900 |
|
Insurance |
-- |
-- |
-- |
|
Other Financial Services |
-- |
-- |
-- |
|
Others |
-- |
-- |
-- |
|
Other Un-allocable Assets Net
of Un-allocable Liabilities |
15531.200 |
15723.200 |
15531.200 |
|
Total |
26841.000 |
26645.500 |
26841.000 |
Note:
The above results have been reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on February 04, 2014.
The Statutory Auditors of the Company have carried out a Limited Review of the above Unaudited Standalone and Unaudited Consolidated Financial Results for the quarter and nine months ended December 31, 2013.
The Board of Directors has declared an interim dividend of Rs. 1.50 (Rupee One
and Paise Fifty only) per Equity share of Rs. 2/- each for the Financial Year
2013-14.
During the quarter, the Company allotted 19,606 equity shares to its employees
consequent to the exercise of options granted under the Company's Employees
Stock Option Scheme.
Note on Consolidated Financial Results
Pursuant to the Insurance Regulatory and Development Authority (IRDA) March 22,
2012, Cholamandalam MS General Insurance Company Limited, a Subsidiary of the
Company, has recognized in its Miscellaneous Revenue Account with respect to
Indian Motor Third Party Insurance Pool (IMTPIP) an amount of Rs. 137.200
Millions. during the quarter, representing the cumulative differential
actuarial estimated liability for the underwriting years 2009-10, 2010-11 and
2011-12. The balance differential liability of Rs. 137.300 Millions. Will be
absorbed in the subsequent quarter ending March 31, 2014.
Previous period figures have been re-grouped / re-classified, where necessary
to make it comparable with current period.
FIXED ASSETS
· Land
· Buildings
· Plant and Machinery
· Railway Siding
· Office Equipment
· Furniture and Fixtures
· Vehicles
CMT REPORT (Corruption, Money Laundering and 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] 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.62.32 |
|
|
1 |
Rs.101.78 |
|
Euro |
1 |
Rs.84.68 |
INFORMATION DETAILS
|
Report Prepared
by : |
KVT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--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 |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
66 |
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.