MIRA INFORM REPORT
|
Report Date : |
18.02.2014 |
IDENTIFICATION DETAILS
|
Name : |
SEAMEC LIMITED |
|
|
|
|
Registered
Office : |
9th Floor, A 901-905, 215 Atrium, Andheri Kurla Road,
Andheri (East), Mumbai-400069, Maharashtra |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
29.12.1986 |
|
|
|
|
Com. Reg. No.: |
11-154910 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.339.000
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L63032MH1986PLC154910 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMS34230A |
|
|
|
|
PAN No.: [Permanent Account No.] |
AABCP8214H |
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|
|
|
Legal Form : |
Public limited liability company.
Company’s shares are listed on the Stock Exchanges. |
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|
|
|
Line of Business
: |
Subject is engaged in providing support services, including marine,
construction and diving services to offshore oilfields. |
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|
|
|
No. of Employees
: |
42 [Approximately] |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (52) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 19000000 |
|
|
|
|
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 a fine track record. Company has performed well. There are no external borrowing recorded
by the company. Trade relation reported to be fair. Business is active. Payment terms
are reported to be regular and as per commitment. The company can be considered normal for business dealing 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 worst is over for India’s economy with gross domestic product likely
to expand 5 %to 5.5 % this year and more than 6 % in 2015, according to Moody’s
Analytics. Concerns over the rupee and current account deficit are under
control, said the agency. Ratings firm Crisil has forecast 6 % growth for
2014/15 up from the estimated 4.8 % for 2013/14. Total economic growth,
infrastructure bottlenecks and lack of transparency and consistency in foreign
direct investment policies seem to have taken a toll on India’s attractiveness
as an investment destination, says an Ernst & Young survey. Projects
with FDI component fell 16.4 % across the globe in 2012 from the previous
year. The drop in India was steeper at 21 %. State run carrier Air India
is doling out free tickets to its 24000 employees, even as it expects to incur
a loss of Rs 39000 mn this financial year and has a debt of Rs 350000 mn.
550000 number of jobs generated across India in 2013, a fall of 0.4 % as
compared to with a year earlier. The National Capital Region has a
one-fourth share in total jobs created, according to a study by industry lobby
group Assochem, Banks, real estate, automobile and telecommunications sectors
are showing a rise of job creation. $ 805 mn investments by venture capital
firms in India during 2013, registering a drop of about 18 % over the previous
year. The Information Technology and IT-Enabled Services Industry retained
its status as the favourable venture capital investors in 2013. Pakistan has
temporarily banned gold imports for the second time in six months, as it tries
to stem smuggling into India. India’s import duty on gold is 10 % and curbs on
purchases have dried up legal imports into what used to be the world’s biggest
bullion buyers. The World Gold Council puts the amount smuggled into India at
upto 200 tonnes in 2013. The Reserve Bank of India has proposed that unclaimed
bank deposits estimated to be about Rs 35000 mn be used for education and
awareness among depositors. According to the plan, deposits that have not
been claimed for at least 10 years will be transferred to the scheme.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
Long term rating: A |
|
Rating Explanation |
Adequate credit quality and average credit risk. |
|
Date |
29.10.2013 |
|
Rating Agency Name |
CRISIL |
|
Rating |
Short term rating: A1 |
|
Rating Explanation |
Very strong degree of safety and lowest credit risk. |
|
Date |
29.10.2013 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
INFORMATION PARTED BY
|
Name : |
Mr. Arbindo Banerjee |
|
Designation : |
Deputy General Manager Finance |
|
Contact No.: |
91-9833097796 |
|
Date : |
17.02.2013 |
LOCATIONS
|
Registered / Corporate Office : |
9th Floor, A 901-905, 215 Atrium, Andheri Kurla Road,
Andheri (East), Mumbai-400069, Maharashtra, India |
|
Tel. No.: |
91-22-66941800/33041800 |
|
Mobile No.: |
91-9833097796 (Mr. Arbindo Banerjee) |
|
Fax No.: |
91-22-66941818/33041818 |
|
E-Mail : |
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|
Website : |
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|
Area: |
10,000 Sq ft |
|
Location: |
Rented |
DIRECTORS
As on 31.03.2013
|
Name : |
Mr. Shardul Thacker |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Carl Holmen |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Georges Michel |
|
Designation : |
Director |
|
|
|
|
Name : |
Ms. Muriel Hurstel |
|
Designation : |
Director |
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|
|
|
Name : |
Ms. Bhavna Doshi |
|
Designation : |
Director |
|
|
|
|
Name : |
Captain C.J. Rodricks |
|
Designation : |
Managing Director |
|
|
|
|
Name : |
Mr. Alain Marion |
|
Designation : |
Alternate to Mr. Carl Holmen |
|
|
|
|
Name : |
Mr. Emmanuel Fontan |
|
Designation : |
Alternate to Georges Michel |
|
|
|
|
Name : |
Mr. Vincent Taravella |
|
Designation : |
Alternate to Ms. Muriel Hurstel |
KEY EXECUTIVES
|
Audit Committee: |
|
|
|
Ms. Bhavna Doshi, Chairperson Mr. Shardul Thacker Ms. Muriel Hurstel |
|
|
|
|
Management
Committee: |
Captain C. J. Rodricks Managing Director Mr. Carl Holmen Director Mr. S. N. Mohanty Chief Legal Officer & Company Secretary Mr. S. S. Biswas Chief Financial Officer Mr. R. R. Roy General Manager (Operations) |
|
|
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|
Shareholders /
Investors Grievance and
Transfer Committee: |
Mr. Shardul Thacker, Chairman Ms. Bhavna Doshi Captain C. J. Rodricks |
|
|
|
|
Name : |
Mr. S. N. Mohanty |
|
Designation : |
Chief Legal Officer and Company Secretary |
|
|
|
|
Name : |
Mr. S. S. Biswas |
|
Designation : |
Chief Financial Officer |
|
|
|
|
Name : |
Mr. R. R. Roy |
|
Designation : |
General Manager (Operations) |
|
|
|
|
Name : |
Mr. Arbindo Banerjee |
|
Designation : |
Deputy General Manager Finance |
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 |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
|
|
|
|
25425000 |
75.00 |
|
|
25425000 |
75.00 |
|
Total shareholding of Promoter and Promoter Group (A) |
25425000 |
75.00 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
1527300 |
4.51 |
|
|
110295 |
0.33 |
|
|
5601 |
0.02 |
|
|
183471 |
0.54 |
|
|
1826667 |
5.39 |
|
|
|
|
|
|
991868 |
2.93 |
|
|
|
|
|
|
4476502 |
13.21 |
|
|
866033 |
2.55 |
|
|
313930 |
0.93 |
|
|
155982 |
0.46 |
|
|
300 |
0.00 |
|
|
153198 |
0.45 |
|
|
4450 |
0.01 |
|
|
6648333 |
19.61 |
|
Total Public shareholding (B) |
8475000 |
25.00 |
|
Total (A)+(B) |
33900000 |
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) |
33900000 |
0.00 |
|
|
|
|
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in providing support services, including marine,
construction and diving services to offshore oilfields. |
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Products : |
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Exports : |
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Products : |
Services |
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Countries : |
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Imports : |
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Products : |
Spare Parts |
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Countries : |
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Terms : |
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Selling : |
Cash and Credit (30 Days) |
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Purchasing : |
L/C, Cash and Credit (TT) |
GENERAL INFORMATION
|
Suppliers : |
Rolls - Roy |
|
|
|
|
Customers : |
End Users Dolphin Offshore Private Limited |
|
|
|
|
No. of Employees : |
42 (Approximately) |
|
|
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|
Bankers : |
|
|
|
|
|
Facilities : |
Bank Guarantee : Rs. 200.000 Million, 100.000 Millions = BF Contract (From IDBI Bank Limited) |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S.R. Batliboi and Associates Chartered Accountants |
|
Address : |
16th Floor, The Ruby, 29, Senapati Bapat Marg, Dadar
(West), Mumbai-400028, Maharashtra, India |
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Ultimate Holding
Company: |
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Subsidiary Company: |
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|
Fellow Subsidiary: |
|
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
50,000,000 |
Equity Shares |
Rs.10/- each |
Rs. 500.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
33,900,000 |
Equity Shares |
Rs.10/- each |
Rs. 339.000
Millions |
|
|
|
|
|
NOTE:
Reconciliation of the
shares outstanding at the beginning and at the end of the reporting period
|
Equity shares |
As at 31.03.2013 |
|
|
At the beginning of the period |
No. millions |
Rs. In Millions |
|
Outstanding at the end of the period |
33.90 |
339.000 |
|
Outstanding at the end of the period |
33.90 |
339.000 |
Terms/ rights
attached to equity shares
The company has only one class of equity shares having par value of Rs.10 per share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing General Meeting.
In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.
Shares held by holding company
Out of equity shares
issued by the company, shares held by its holding company are as below:
|
|
31.03.2013 |
|
All nos. in thousand Coflexip Stena Offshore (Mauritiaus) Limited 25,425 (31 March 2012: 25,425) equity shares of Rs. 10 each fully paid |
254.25 |
Details of
shareholders holding more than 5% shares in the company
|
Name of the
shareholder |
31.03.2013 |
|
|
|
No. millions |
% holding in the class |
|
Coflexip Stena Offshore (Mauritiaus) Limited |
25.425 |
75% |
As per of the company, including its register of shareholders/ members and other declarations received from shareholders regarding beneficial interest, the above shareholding represents both legal and beneficial ownerships of shares.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
339.000 |
339.000 |
339.000 |
|
(b) Reserves & Surplus |
4368.780 |
4027.840 |
4131.520 |
|
(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) |
4707.780 |
4366.840 |
4470.520 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term
provisions |
8.000 |
10.450 |
10.950 |
|
Total Non-current
Liabilities (3) |
8.000 |
10.450 |
10.950 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Trade
payables |
636.540 |
345.480 |
321.820 |
|
(c) Other
current liabilities |
56.260 |
51.650 |
53.940 |
|
(d) Short-term
provisions |
9.670 |
6.300 |
0.120 |
|
Total Current
Liabilities (4) |
702.470 |
403.430 |
375.880 |
|
|
|
|
|
|
TOTAL |
5418.250 |
4780.720 |
4857.360 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
1966.680 |
2321.740 |
2018.230 |
|
(ii)
Intangible Assets |
1.670 |
2.350 |
0.380 |
|
(iii)
Capital work-in-progress |
2.620 |
0.000 |
95.710 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
25.680 |
25.680 |
12.240 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
602.290 |
639.220 |
52.420 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
2598.940 |
2988.990 |
2178.980 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
222.080 |
187.250 |
191.670 |
|
(c) Trade
receivables |
1310.640 |
1014.240 |
385.77 |
|
(d) Cash
and cash equivalents |
1003.750 |
416.290 |
2024.930 |
|
(e)
Short-term loans and advances |
196.500 |
111.720 |
52.740 |
|
(f) Other
current assets |
73.370 |
37.490 |
23.260 |
|
Total
Current Assets |
2806.340 |
1766.990 |
2678.370 |
|
|
|
|
|
|
Fixed
assets held for sale |
12.960 |
24.740 |
0.000 |
|
|
|
|
|
|
TOTAL |
5418.240 |
4780.720 |
4857.350 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
3373.310 |
1818.270 |
1023.760 |
|
|
|
Other Income |
241.700 |
179.530 |
133.450 |
|
|
|
TOTAL (A) |
3615.010 |
1997.800 |
1157.210 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Employee benefit expense |
716.720 |
620.940 |
610.790 |
|
|
|
Other expenses |
2128.550 |
1124.510 |
959.520 |
|
|
|
Exceptional items |
0.000 |
0.000 |
(44.440) |
|
|
|
TOTAL (B) |
2845.270 |
1745.450 |
1525.870 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
769.740 |
252.350 |
(368.660) |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
0.300 |
0.120 |
1.110 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
769.440 |
252.230 |
(369.770) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
369.250 |
310.720 |
264.700 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
400.190 |
(58.490) |
(634.470) |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
59.250 |
45.200 |
33.130 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
340.940 |
(103.690) |
(667.600) |
|
|
|
|
|
|
|
|
|
|
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
2139.000 |
2242.000 |
2910.000 |
|
|
|
|
|
|
|
|
|
|
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to Tonnage Tax Reserve |
44.000 |
0.000 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
2436.000 |
2139.000 |
2243.000 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Stores & Spares |
202.420 |
127.750 |
235.030 |
|
|
|
Capital Goods |
23.390 |
491.680 |
163.95 |
|
|
TOTAL IMPORTS |
225.810 |
619.430 |
398.980 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
10.03 |
(3.06) |
(19.69) |
|
Expected Sales (2013-2014): Rs.3500.000 Millions
The above information has been parted by Mr. Arbindo Banerjee (Deputy General
Manager Finance)
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
9.43
|
(5.19) |
(57.69) |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
11.86
|
(3.22) |
(61.97) |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
14.41
|
(1.23) |
(13.36) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.09
|
(0.01) |
(0.14) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.00
|
0.00 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.99
|
4.38 |
7.13 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(INR
in Mlns.) |
(INR
in Mlns.) |
(INR
in Mlns.) |
|
Share Capital |
339.000 |
339.000 |
339.000 |
|
Reserves & Surplus |
4,131.520 |
4,027.840 |
4,368.780 |
|
Net
worth |
4,470.520 |
4,366.840 |
4,707.780 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
0.000 |
0.000 |
|
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
Total
borrowings |
0.000 |
0.000 |
0.000 |
|
Debt/Equity
ratio |
0.000 |
0.000 |
0.000 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(INR
in Mlns) |
(INR
in Mlns) |
(INR
in Mlns) |
|
Sales |
1,023.760 |
1,818.270 |
3,373.310 |
|
|
|
77.607 |
85.523 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(INR) |
(INR) |
(INR) |
|
Sales |
1,023.760 |
1,818.270 |
3,373.310 |
|
Profit / (Loss) |
(667.600) |
(103.690) |
340.940 |
|
|
(65.21%) |
(5.70%) |
10.11% |
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 |
Yes |
|
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 |
Yes |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
Yes |
|
18] |
Major customers |
Yes |
|
19] |
Payments terms |
Yes |
|
20] |
Export / Import details
(if applicable) |
Yes |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm
/ promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of Proprietor/Partner/Director,
if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
FINANCIAL HIGHLIGHTS
The Global Economy has yet to shake off the fallout from the crisis of 2008-2009. Mature economies are still yet to recover from the effects of this downturn. Slow recovery of world’s economy is partly responsible for the downward trajectory and tapering growth of the shipping industry, more so in India, Middle East and South East Asia, where the Company’s majority operations focused during the year. This has impacted the employment of vessels and Charter rates in the Company’s line of business.
Despite the above the Company performed significantly well through its endeavour. During the year the Company’s total revenue was Rs.3615.000 Millions as against Rs.1998.000 Millions in the previous year, an increase of about 81%. Income from operations was Rs.3373.000 Millions as against Rs.1818.000 Millions in the previous year, reflecting an increase of about 86%. Against loss of Rs.(103.000) Millions suffered in previous year, the Company registered a profit of Rs.341.000 Millions during the year. Revenue from operations from domestic sector was Rs.1957.000 Millions and from overseas sector was Rs.1416.000 Millions. The enhanced performance of the current financial year was attributed to the consolidation of three derivative factors viz; deployment of vessels, securing reasonable charter rate and effective cost control. The Company continued to undertake cost control measures to minimize negative burden. The Company continues to retain its debt free status. Cash Balance at the beginning of financial year was Rs.416.000 Millions. The balance at the end of the year was Rs.1004.000 Millions, an increase of 141% over last year.
As reported earlier, Directorate of Revenue Intelligence (DRI) provisionally assessed customs duty of Rs.126.000 millions towards duty on repairs/modifications carried out outside India. The Company paid the above amount “under Protest – Subject to adjudication”.
The Company had also furnished a Bank Guarantee for Rs.83.000 Millions. DRI, after final assessment issued Show Cause Notices assessing duty Rs.350.000 Millions, Interest, Penalty etc. The Company submitted replies to Commissioner of Customs (Import), the Adjudicating Authority, who after adjudication finally confirmed the duty, interest, penalty etc. The Company is contemplating to file appeal before the Hon’ble Appellate Tribunal.
From the Assessment year 2005-06 (relevant accounting year 2004-05) the Company has come under Tonnage regime available for shipping Companies under chapter XII – G of Income Tax Act, 1961. The Directors have, therefore recommended transfer of Rs.63.000 Millions from current year surplus to Tonnage Tax Reserve U/S 115 v of Income Tax Act, 1961.
MANAGEMENT DISCUSSION
AND ANALYSIS REPORT
OVERVIEW
The Oil and Gas Sector has come under pressure with the continued global economic slowdown. There has been moderate activity in pipe line installation as well as fixed platform projects. Deep water activity confined mainly to Gulf of Mexico, West Africa and Offshore Brazil. Activities in Mediterranean was relatively slow. Indian Offshore market had shown steadiness. However, overall competition activities increased causing pressure on margin.
SEAMEC however showed an improved performance. Its Vessels worked in South East Asia, Middle East and India during the year.
Vessel utilization was 83% against 62% of last year.
With expected growth rate to hold steady in 2013, Global Oil Companies are likely to take on new projects and increase activities in the SUBSEA market. On a global basis fleet utilization and day rates for Offshore Vessels are forecast to rise, but will vary by age of asset and region. The outcome of the above will definitely cause an impact on utilization of Diving Support Vessels
– SEAMEC’s line of business.
INDEX
OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE
CREATION/MODIFICATION |
CHARGE AMOUNT SECURED
|
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST
NUMBER (SRN) |
|
1 |
80001976 |
12/04/2006 * |
380,000,000.00 |
IDBI BANK LIMITED |
IDBI TOWERWTC
COMPLEX, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
A00721290 |
* Date of charge modification
CONTINGENT
LIABILITIES:
(Rs. in millions)
|
PARTICULARS |
31.03.2013 |
|
Claim against the Company not acknowledge as debt |
|
|
FERA Matter |
100.000 |
|
Custom Duty payable as per order from Commissioner of Customs(Import) |
1197.000 |
|
Note: The case against the Company alleging violation of Foreign Exchange Regulation Act (FERA), related to acquisition of Land drilling Rig, is pending before the Hon’ble Mumbai High Court. The Company has furnished a Bank Guarantee of Rs.100.000 Millions to the Enforcement Directorate, FERA, towards penalty imposed, as directed by the Hon’ble Mumbai High Court. The bank guarantee is valid till March31, 2013. No provision is considered necessary in respect of the said penalty as the management believes, based on legal opinion, that there has been no contravention to FERA. During the year 2011, the Directorate or Revenue intelligence (DRI) had instituted an enquiry in relation to payment of customs duty towards repairs/drydock undertaken on Company’s vessels SEAMEC-I. SEAMEC-II and SEAMEC-III incurred outside India since 2002. The DRI provisionally assessed customs duty of Rs.126.600 Millions, which the company has paid under protest subject to adjudication in December 2011. The Company had also furnished a bank Guarantee for Rs.82.100 Millions and Bond for Rs.821.000 Millions pursuant to the order dated 17th January 2012 of Hon’ble High Court Bombay for provisional release or its vessel SEAMEC II arrested by Customs. The above order was subject to adjudication. Hon’ble High Court observed that no duty to be charged on the acquisition cost as the vessel was originally imported prior to 2001 when import duty was not applicable on such vessel. During July - August 2012, DRI issued show cause notice, separately for each vessel and gave the liberty to reply to Commissioner or customs (Import) as to why the duty determined of aggregate value or Rs.285.260 Millions, interest, penalty etc will not be levied on the company. The Company while preferring adjudication have submitted replies to respective show cause notices, and hearing on adjudication proceeding completed before the Commissioner of Customs (Import) on 04-12-2012. Subsequent to above, the company has received 3 corrigendum to the original show cause notices enhancing the claim of custom duty by Rs.65.140 Millions against the above claim. Commissioner or Customs has issued order dated 28th March 2013 received by Company on 16th April 2013 on the adjudication proceedings. Commissioner or Customs, in his order, Imposed duty Rs.350.000 Millions, penalty for equivalent amount and Interest and appropriation of Rs.126.600 Millions paid in Dec 2011. Penalty amount to reduce to 25% if demand of duty and interest is paid within 30 days In addition to above Confiscation redemption fine for Rs.227.500 Millions has also been imposed. As per the order of Commissioner of Customs, total claim to Company including duty, penalty, interest and confiscation fine calculated to Rs.1.197 Millions after adjustment or duty already paid in Dec 2011. The Company is or the view that it has a strong case on merit and is contesting the same. Hence no further provision made towards additional Customs Duty, Penalty and Confiscation redemption fine as stated in the order of Commissioner of Customs. |
|
FIXED ASSETS
Tangible assets
- Fleet and fleet equipment
- Machinery spares
- Leasehold improvement
- Office equipment
- Vehicles
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.95 |
|
|
1 |
Rs.104.02 |
|
Euro |
1 |
Rs.84.95 |
INFORMATION DETAILS
|
Information
Gathered by : |
HNA |
|
|
|
|
Report Prepared
by : |
KVT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
52 |
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.