MIRA INFORM REPORT
|
Report Date : |
14.01.2014 |
IDENTIFICATION DETAILS
|
Name : |
BAJAJ FINSERV LIMITED |
|
|
|
|
Registered
Office : |
Bajaj Auto Limited Complex, Mumbai – Pune Road, Pune – 411 035
Maharashtra |
|
|
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|
Country : |
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|
Financials (as
on) : |
31.03.2013 |
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|
|
|
Date of
Incorporation : |
30.04.2007 |
|
|
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|
Com. Reg. No.: |
11-130075 |
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|
|
|
Capital
Investment / Paid-up Capital : |
Rs.795.600 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L65923PN2007PLC130075 |
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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 is
Primarily engaged in the Business of Promoting Financial Services such as
Finance, Insurance, Wealth Management etc. |
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|
|
|
No. of Employees
: |
Information declined by the management. |
RATING & COMMENTS
|
MIRA’s Rating : |
A (65) |
|
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 90000000 |
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|
|
|
Status : |
Good |
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|
Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a part of Bajaj Group. It is a well-established company
having fine track record. Financial position of the company appears to be strong. Over all
fundamentals of the company appears to be sound and healthy. Directors are reported to be experienced and respectable businessmen. Trade relations are reported as fair. Business is active. Payments are
reported to be regular and as per commitments. 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.
INDIAN ECONOMIC OVERVIEW
India’s current account deficit narrowed in the quarter ended September
as government measures to curb imports, especially gold, kicked in. The
current account deficit, the excess of a country’s imports of goods and
services over exports, narrowed to $ 5.2 billion from $ 21 billion in the year
ago period, according to provisional Reserve Bank of India data. Finance
Minister P. Chidambaram said the CAD for the year will be less than $ 60
billion or 3 per cent of GDP and the latest data suggests the government may
achieve the target.
India was ranked 94th among the world’s most corrupt nations
list. Denmark and New Zealand topped as the cleanest while Somalia emerged as
the most corrupt.
India’s services sector activity witnessed a moderate improvement in November
over the previous month, even while indicating the fifth successive monthly
contraction, according the HSBC survey.
$53 million estimated losses suffered by India due to phishing attacks
during the third quarter, according to a study by RSA. India ranks fourth in
the list of nations hit by phishing attacks. The US remained at the top of the
charts. Phishing is the process of acquiring information such as user names,
passwords and credit card details by sending e-mails disguised as official
mails.
Rs.4080 million worth of mobile-phone-based transactions by July 2013
compared to Rs.260 million in September, 2012, according to Deloitte report.
The number of transactions has shot up from 94000 to 701000.
India aims to earn Rs.400000 million from the bandwidth auction set for
January. The merger and acquisition guidelines, cleared by a group of
ministers, will be out before the auction begins so that players can make
informed decisions on the auctions.
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 : |
Not Divulged |
|
Designation : |
Accounts Executive |
|
Contact No.: |
91-20-27472851 |
|
Date : |
13.01.2014 |
LOCATIONS
|
Registered Office : |
Bajaj Auto Limited Complex, Mumbai – Pune Road, Pune – 411 035
Maharashtra, India |
|
Tel. No.: |
91-20-27472851 |
|
Fax No.: |
91-20-27477380 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate Office : |
Survey No.208/1-B, 6th Floor, Behind Weikfield IT Park, Off
Pune-Ahmednagar Road, Viman Nagar, Pune – 411 014, Maharashtra, India |
|
Tel. No.: |
91-20-27472851 |
|
Fax No.: |
91-20-30405700 |
DIRECTORS
AS ON 31.03.2013
|
Name : |
Rahul
Bajaj |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Nanoo
Pamnani |
|
Designation : |
Vice Chairman |
|
|
|
|
Name : |
Sanjiv
Bajaj |
|
Designation : |
Managing Director |
|
|
|
|
Name : |
Madhur
Bajaj |
|
Designation : |
Director |
|
|
|
|
Name : |
Rajiv
Bajaj |
|
Designation : |
Director |
|
|
|
|
Name : |
D J
Balaji Rao |
|
Designation : |
Director |
|
|
|
|
Name : |
S H
Khan |
|
Designation : |
Director |
|
|
|
|
Name : |
Naresh Chandra |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Ranjit
Gupta |
|
Designation : |
President
(Insurance) |
|
|
|
|
Name : |
Kevin
D’sa |
|
Designation : |
CFO and President (Business Development) |
|
|
|
|
Name : |
S
Sreenivasan |
|
Designation : |
President (Finance) |
|
|
|
|
Name : |
V
Rajagopalan |
|
Designation : |
President (Legal) |
|
|
|
|
Name : |
Rajeev
Jain |
|
Designation : |
CEO, Bajaj Finance Ltd. |
|
|
|
|
Name : |
V
Philip |
|
Designation : |
MD and CEO, Bajaj Allianz Life Insurance Company Ltd. |
|
|
|
|
Name : |
Tapan
Singhel |
|
Designation : |
MD and CEO, Bajaj Allianz General Insurance Company Ltd. |
|
|
|
|
Name : |
Anand
Gore |
|
Designation : |
CEO, Infrastructure Finance |
|
|
|
|
Name : |
Sonal R Tiwari |
|
Designation : |
Company Secretary |
SHAREHOLDING PATTERN
AS ON 31.12.2013
|
Category of Shareholders |
No. of Shares |
Percentage
of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
Individuals / Hindu Undivided Family |
8305305 |
5.22 |
|
|
85397954 |
53.68 |
|
|
93703259 |
58.90 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
93703259 |
58.90 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
1091135 |
0.69 |
|
|
199488 |
0.13 |
|
|
5499784 |
3.46 |
|
|
17474648 |
10.98 |
|
|
24265055 |
15.25 |
|
|
|
|
|
|
14338952 |
9.01 |
|
|
|
|
|
|
12279815 |
7.72 |
|
|
13545089 |
8.51 |
|
|
949050 |
0.60 |
|
|
817 |
0.00 |
|
|
721692 |
0.45 |
|
|
675 |
0.00 |
|
|
17737 |
0.01 |
|
|
186598 |
0.12 |
|
|
21531 |
0.01 |
|
|
41112906 |
25.84 |
|
Total Public shareholding (B) |
65377961 |
41.10 |
|
Total (A)+(B) |
159081220 |
100.00 |
|
(C) Shares held by Custodians and against which Depository
Receipts have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
41132 |
0.00 |
|
|
41132 |
0.00 |
|
Total (A)+(B)+(C) |
159122352 |
0.00 |
(1) Indian
Shareholding of securities (including shares, warrants,
convertible securities) of persons belonging to the category Promoter and
Promoter Group
|
Category of Shareholders |
No. of Shares |
Percentage
of Holding |
|
Anant Bajaj |
4,97,107 |
0.31 |
|
Deepa Bajaj |
11,675 |
0.01 |
|
Geetika Bajaj |
20,700 |
0.01 |
|
Kiran Bajaj |
4,24,725 |
0.27 |
|
Kriti Bajaj |
38,500 |
0.02 |
|
Kumud Bajaj |
5,33,434 |
0.34 |
|
Madhur Bajaj |
9,33,716 |
0.59 |
|
Minal Bajaj |
74,700 |
0.05 |
|
Neelima Bajaj Swamy |
3,05,519 |
0.19 |
|
Nimisha Jaipuria |
1,81,285 |
0.11 |
|
Niraj Bajaj |
13,90,938 |
0.87 |
|
Niravnayan Bajaj |
2,05,866 |
0.13 |
|
Rahulkumar Bajaj |
16,67,185 |
1.05 |
|
Rajivnayan Bajaj |
3,450 |
0.00 |
|
Rishabnayan Bajaj |
9,400 |
0.01 |
|
Sanjali Bajaj |
10,100 |
0.01 |
|
Sanjivnayan Bajaj |
4,65,024 |
0.29 |
|
Shefali Bajaj |
11,000 |
0.01 |
|
Shekhar Bajaj |
7,01,440 |
0.44 |
|
Siddhantnayan Bajaj |
8,300 |
0.01 |
|
Suman Jain |
5,75,904 |
0.36 |
|
Sunaina Kejriwal |
2,35,337 |
0.15 |
|
Bachhraj And Company Private Limited |
20,50,278 |
1.29 |
|
Bachhraj Factories Private Limited |
10,69,987 |
0.67 |
|
Bajaj Holdings And Investment Limited |
6,23,14,214 |
39.16 |
|
Bajaj Sevashram Private Limited |
23,55,606 |
1.48 |
|
Baroda Industries Private Limited |
9,19,001 |
0.58 |
|
Hercules Hoists Limited |
92,063 |
0.06 |
|
The Hindustan Housing Company Limited |
8,000 |
0.01 |
|
Jamnalal Sons Private Limited |
1,51,06,424 |
9.49 |
|
Kamalnayan Investment and Trading Private Limited |
61,200 |
0.04 |
|
Madhur Securities Private Limited |
40,700 |
0.03 |
|
Niraj Holdings Private Limited |
10,300 |
0.01 |
|
Rahul Securities Private Limited |
1,43,000 |
0.09 |
|
Rupa Equities Private Limited |
1,37,400 |
0.09 |
|
Shekhar Holdings Private Limited |
30,300 |
0.02 |
|
Bajaj Auto Employees Welfare Fund |
10,06,021 |
0.63 |
|
Bel Employees Welfare Fund |
53,460 |
0.03 |
|
Total |
9,37,03,259 |
58.89 |
(*) The term encumbrance has the same meaning as assigned to
it in regulation 28(3) of the SAST Regulations, 2011.
Shareholding of securities (including shares, warrants, convertible
securities) of persons belonging to the category Public and holding more than
1% of the total number of shares
|
Category of Shareholders |
No. of Shares |
Percentage
of Holding |
|
Jaya Hind Investments Private Limited |
6394663 |
4.02 |
|
Government Of Singapore |
4948812 |
3.11 |
|
Life Insurance Corporation Of India |
5040288 |
3.17 |
|
Morgan Stanley Asia (Singapore) Pte. |
3757907 |
2.36 |
|
Maharashtra Scooters Limited |
3725740 |
2.34 |
|
Valiant Mauritius Partners L |
2578938 |
1.62 |
|
Valiant Mauritius Partners C |
2286980 |
1.44 |
|
Sikkim Jansewa Pratisthan Private Limited |
2012953 |
1.27 |
|
Ashoka Pte Limited |
1938247 |
1.22 |
|
Total |
32684528 |
20.54 |
BUSINESS DETAILS
|
Line of Business : |
The Company is Primarily
engaged in the Business of Promoting Financial Services such as Finance,
Insurance, Wealth Management etc. |
GENERAL INFORMATION
|
No. of Employees : |
Information declined by the management. |
|
|
|
|
Bankers : |
·
Citibank N A ·
HDFC Bank |
|
|
|
|
Banking
Relations : |
|
|
|
|
|
Auditors : |
|
|
Name : |
Dalal and Shah Chartered Accountants |
|
|
|
|
Holding company,
subsidiaries and fellow subsidiaries: |
·
Bajaj Allianz General Insurance Company Limited ·
Bajaj Allianz Life Insurance Company Limited ·
Bajaj Finance Limited ·
Bajaj Financial Solutions Limited ·
Bajaj Financial Securities Limited |
|
|
|
|
Associates,
joint ventures and investing parties: |
·
Bajaj Holdings and Investment Limited ·
Bajaj Allianz Financial Distributors Limited |
|
|
|
|
Enterprises over
which anyone in exercises significant influence: |
·
Bajaj Auto Limited ·
Bajaj Electricals Limited ·
Bajaj International Limited ·
Hind Musafir Agency Limited ·
Mukand Limited ·
Mukand Engineers Limited ·
Mukund Bekaert Wire Industries Private Limited |
CAPITAL STRUCTURE
AS ON 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
200000000 |
Equity Shares |
Rs. 5/- each |
Rs.1000.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
159122352 |
Equity Shares |
Rs. 5/- each |
Rs.795.612 Millions |
|
|
|
|
|
a)
Reconciliation of the
shares at the beginning and at the end of the year
|
Equity Shares |
Number
of Shares |
Rs. In Millions |
|
At the beginning of the year |
144683510 |
723.400 |
|
Issued during the year |
14438842 |
72.200 |
|
Outstanding at
the end of the year |
159122352 |
795.600 |
b)
Further, of the
above:-
101,183,510 equity shares were allotted as fully paid up pursuant to the
scheme of arrangement for demerger of erstwhile Bajaj Auto Ltd. (now Bajaj
Holdings & Investment Ltd.) by the Company on 3 April 2008.
1,805,071 equity shares thereof are deemed to be issued by way of Euro
Equity Issue represented by Global Depository Receipts (GDR) evidencing Global
Depository Shares outstanding on the record date. Outstanding GDRs at the close
of the year were 47,869 (58,869)
c)
Terms/rights
attached to equity shares
The Company has only one class of equity shares having a par value of `
5 per share. Each holder of equity shares is entitled to one vote per share. The
dividend proposed by the Board of Directors and approved by the shareholders in
the annual general meeting is paid in Indian rupees. 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.
d)
Details of
shareholders holding more than 5% shares in the Company
|
Name of
Shareholder |
Number
of Shares |
% holding |
|
Equity
shares of Rs.5 each fully paid |
|
|
|
Bajaj Holdings and Investment Limited |
62314214 |
39.16% |
|
Jamnalal Sons Private Limited |
15106424 |
9.49% |
e)
Utilisation of
funds raised on issue of equity shares
|
Name of
Shareholder |
Number
of Shares |
|
Amount receivable from rights issue - as
per letter of offer |
9404.400 |
|
Less: Amount not received on shares kept
in abeyance |
19.200 |
|
Amount
received from rights issue - (A) |
9358.200 |
|
|
|
|
Deployment of rights issue proceeds: |
|
|
Investment in Bajaj Finance Limited -
conversion of warrants |
639.600 |
|
Investment in Bajaj Finance Limited -
subscription to rights issue |
4786.700 |
|
Share issue expenses |
31.600 |
|
General corporate purposes - investment in
mutual funds |
1583.600 |
|
Total
deployment of rights issue proceeds - (B) |
7311.500 |
|
|
|
|
Balance
amount to be utilised (A-B) |
2073.700 |
|
|
|
|
Interim utilisation of balance rights
issue proceeds: |
1010.200 |
|
Investment in debentures |
1063.500 |
|
Investment
in money market instruments and mutual funds |
2073.700 |
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 |
795.600 |
723.400 |
723.400 |
|
(b) Reserves & Surplus |
23279.500 |
13726.900 |
13178.200 |
|
(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) |
24075.100 |
14450.300 |
13901.600 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
88.200 |
79.500 |
86.700 |
|
(c) Other long term liabilities |
26.500 |
4.300 |
19.800 |
|
(d) long-term provisions |
14.400 |
13.400 |
10.700 |
|
Total Non-current Liabilities (3) |
129.100 |
97.200 |
117.200 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Trade payables |
23.700 |
13.000 |
41.000 |
|
(c) Other current
liabilities |
46.800 |
59.300 |
7.900 |
|
(d) Short-term provisions |
539.800 |
425.300 |
460.900 |
|
Total Current Liabilities (4) |
610.300 |
497.600 |
509.800 |
|
|
|
|
|
|
TOTAL |
24814.500 |
15045.100 |
14528.600 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
696.300 |
713.500 |
717.300 |
|
(ii) Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii) Capital
work-in-progress |
2.700 |
0.000 |
0.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
22015.600 |
13488.800 |
11472.900 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
242.100 |
188.200 |
18.500 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
22956.700 |
14390.500 |
12208.700 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
1651.600 |
521.400 |
1855.600 |
|
(b) Inventories |
0.000 |
0.000 |
0.000 |
|
(c) Trade receivables |
16.300 |
19.400 |
13.000 |
|
(d) Cash and cash
equivalents |
21.100 |
25.400 |
252.500 |
|
(e) Short-term loans and
advances |
34.700 |
6.000 |
166.700 |
|
(f) Other current assets |
134.100 |
82.400 |
32.100 |
|
Total Current Assets |
1857.800 |
654.600 |
2319.900 |
|
|
|
|
|
|
TOTAL |
24814.500 |
15045.100 |
14528.600 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
1414.700 |
1357.700 |
1198.100 |
|
|
|
Other Income |
107.800 |
84.100 |
62.500 |
|
|
|
TOTAL |
1522.500 |
1441.800 |
1260.600 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Employee benefits expense |
129.500 |
107.900 |
98.800 |
|
|
|
Other expenses |
318.600 |
241.300 |
219.800 |
|
|
|
Exceptional Item |
270.000 |
0.000 |
(1390.700) |
|
|
|
TOTAL |
718.100 |
349.200 |
(1072.100) |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
804.400 |
1092.600 |
2332.700 |
|
|
|
|
|
|
|
|
|
Less |
DEPRECIATION/
AMORTISATION |
12.800 |
15.600 |
100.300 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
791.600 |
1077.000 |
2232.400 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
283.200 |
311.300 |
349.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
|
508.400 |
765.700 |
1883.400 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
1498.100 |
1179.100 |
23.200 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to Reserve Fund |
101.700 |
153.100 |
376.700 |
|
|
|
Transfer to General Reserve |
50.800 |
76.600 |
188.300 |
|
|
|
Proposed Dividend |
238.700 |
217.000 |
180.900 |
|
|
|
Provision for Corporate Dividend Tax
Written Back |
0.000 |
0.000 |
(18.400) |
|
|
BALANCE CARRIED
TO THE B/S |
1615.300 |
1498.100 |
1179.100 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
2.500 |
1.900 |
Nil |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
3.30 |
5.20 |
13.00 |
|
QUARTERLY RESULTS
(Rs.
In Millions)
|
Particulars |
30.06.2013 (Unaudited) |
30.09.2013 ( Unaudited) |
|
|
1st
Quarter |
2nd
Quarter |
|
Net sales |
804.800 |
284.500 |
|
Total Expenditure |
130.300 |
132.800 |
|
PBIDT (Excluding Other Income) |
674.500 |
151.700 |
|
Other income |
28.000 |
31.200 |
|
Operating Profit |
702.500 |
182.900 |
|
Interest |
0.000 |
0.000 |
|
Exceptional Items |
(72.400) |
0.000 |
|
PBDT |
630.100 |
182.900 |
|
Depreciation |
3.200 |
3.200 |
|
Profit Before Tax |
626.900 |
179.700 |
|
Tax |
63.300 |
68.600 |
|
Profit after tax |
563.600 |
111.100 |
|
Extraordinary Items |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
|
Net
Profit |
563.600 |
111.100 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
33.39
|
53.11 |
149.41 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
55.96
|
79.33 |
186.33 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
30.99
|
78.72 |
73.50 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.03
|
0.07 |
0.16 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.00
|
0.00 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
3.04
|
1.32 |
4.55 |
LOCAL AGENCY FURTHER INFORMATION
NOTE: CURRENT MATURITY
OF LONG TERM DEBT IS NOT AVAILABLE.
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
No |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
No |
|
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 |
---------- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
No |
|
25] |
Conduct of the banking
account |
---------- |
|
26] |
Buyer visit details |
---------- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director,
if available |
No |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
No |
NOTE: No Charges Exist for
company.
MANAGEMENT
DISCUSSION AND ANALYSIS:
Subject is
essentially a holding company with business interest spread across the
financial services sector. It is registered as a systemically important non deposit
taking Non Banking Finance Company.
Subject operates
in the retail lending space through its subsidiary, subject where-in it holds
61.99% stake. It also participates in the Life and General Insurance business
along with its joint venture partner Allianz SE where-in Subject holds a 74%
stake each in Bajaj Allianz Life Insurance Company Limited and Bajaj Allianz
General Insurance Company Limited.
In addition,
subject has wind-farm assets, comprising 138 windmills in Maharashtra with an
installed capacity of 65.2 MW.
First, a brief
overview of the economy. FY2013 has been yet another very difficult year.
Nothing shows this better than Chart A, which plots quarter-on-quarter real GDP
growth from January-March 2011 up to October-December 2012. From 7.8% in
January-March 2011, growth fell to 5.3% in January-March 2012. It continued
falling. As of October-December 2012, growth is down to 4.5%. Although the
final numbers haven’t been released, it is unlikely that GDP growth for FY2013
will be much above 5%, may be a bit lower. India has not seen such poor
performance for a long time.
That is not all.
There have been serious political uncertainties. Decision-making, which had
briefly come to the fore, is again on the back burner. Despite two recent cuts
announced by the Reserve Bank of India (RBI) of 25 basis points each, interest
rates remain high; as doe’s inflation. Infrastructure growth has almost ground
to a halt. Well above what it should safely be, the current account deficit is
being sustained by portfolio investments, with their own uncertainties. Though
the Government has taken action in reducing the fiscal deficit, it still
remains high. And the investment climate is worse than what has been seen in a
decade.
All these factors
have created very challenging times for any business in the financial sector.
Having said this, it is time to move on to the main businesses of subject
namely Lending and Protection.
BUSINESS UPDATE
CONSUMER FINANCE:
In FY2013, Bajaj
Finance continued to remain the largest two-wheeler lender in the country. It
operates at 578 Bajaj Auto dealerships as well as at over 2,130 of the
sub-dealers across the country.
Subject continued
to successfully operate the Direct Cash Collection model in rural and
semi-urban markets for customers with no banking habits, where they could repay
the loan taken, by using a cash repayment mode. During the year the Company
launched a new product, “Kisan Mitra” for farmers, where repayments of
instalments are synchronised to realisations from crops.
Present in the top
91 cities of the country, BFL continued to be the largest consumer durables
lender in India. Consumer durable financing deployments grew by 42% to
Rs.50650.000 Millions in FY2013. Subject acquired over 1.9 million new
customers, and is currently present in over 4,500 points of sale across the
country.
BFL has a unique
and innovative product offering called the EMI (Existing Member Identification)
card for its existing consumer durable customers. The card entitles a customer
to obtain a loan for incremental consumer durables with the facility to ‘Swipe,
Sign and Go’, so long as the earlier loans and payment performance have
remained good. Today, the number of EMI cards in force exceed 1 million.
BFL has extended the
existing ‘Zero per cent’ interest offering for consumer durables to financing
lifestyle products like furniture, home furnishings, fitness equipment, luxury
watches, and so on. FY2013 was the first year of this launch. It saw over
37,000 disbursements across over 1,000 retailer stores spread among 25
locations.
BUSINESS PERFORMANCE:
·
New business premium grew by 10% in FY2013 — to
Rs.29880.000 Millions versus Rs.27180.000 Millions in the previous year.
·
Within the private sector, BALIC’s market share of
new business was 9.7% in FY2013.
·
BALIC was at fourth position among the private life
insurers on new business premiums for FY2013.
·
Renewal premium reduced by 18% — from Rs.47660.000
Millions in FY2012 to Rs.39050.000 Millions in FY2013.
·
Consequently, BALIC’s gross premium written in
FY2013 was Rs.68930.000 Millions, which was 8% lower than it was in FY2012.
After the
implementation of the revised unit-linked guidelines of September 2010, and the
subsequent lacklustre performance of equity assets in general, BALIC’s product
mix has veered away from a predominantly unit-linked portfolio to one with
significantly a greater traditional product component. Traditional premiums
accounted for 81% of overall new business premiums in FY2013 compared to 69% in
FY2012. Table 6 gives the change in the product mix of BALIC over the last few
years.
AWARDS:
The Foundation
gives four awards annually - each of the value of 0.500 Million. Of these,
three are given to individuals in India for outstanding contribution in the
fields of constructive work on Gandhian lines, application of science and
technology for rural development and uplift and welfare of women and children.
The fourth one is an international award - given to individuals other than
Indian citizens from foreign countries for their contribution to the promotion
of Gandhian values outside India.
FIXED ASSETS:
·
Land freehold
·
Buildings
·
Lease hold improvements
·
Freehold improvements
·
Information technology equipment
·
Electric installations
·
Office equipment
·
Furniture and fixtures
·
Electric fittings
·
Vehicles
·
Wind energy generators
·
Plant and machinery
PRESS RELEASE
FINANCIAL
RESULTS – Q2 FY 14
GROSS
REVENUE ↑ 9%; PROFITAFTER TAX ↑
28%
A meeting of the Board of Directors of Bajaj Finserv Limited was held
today to consider and approve the results for Q2 FY14.
Bajaj Finserv Limited (BFS), a holding company, represents Bajaj Group
in the financial services space through its subsidiaries, whose results it
consolidates. Bajaj Finserv participates in the insurance business through -
74% holding in Bajaj Allianz Life Insurance Company Ltd. and Bajaj Allianz
General Insurance Company Limited and in the lending business through - 61.99%
holding in Bajaj Finance Ltd.
In a challenging economic environment of slow growth, high inflation and
high interest rates, the Company has performed well.
HIGHLIGHTS – Q2 FY14 v/s Q2 FY13
ü Consolidated gross revenue – Rs.40560.000 Millions v/s Rs.37210.000 Millions ↑ 9%
ü Consolidated income from operations – Rs.13090.000 Millions v/s rs.10080.000 Millions ↑ 30%
ü Consolidated profit after tax – Rs.2770.000 Millions v/s Rs.2170.000 Millions ↑ 28%
ü Bajaj Finance, profit after tax – Rs.1670.000 Millions v/s Rs.1290.000 Millions ↑ 30%
ü General insurance, profit after tax – Rs.1130.000 Millions v/s Rs.780.000 Millions ↑ 45%
ü Life insurance, shareholders’ profit
after tax – Rs.1070.000 Millions v/s Rs.890.000 Millions ↑ 20%
HIGHLIGHTS - H1 FY14 v/s H1 FY13
ü Consolidated income from
operations – Rs.25780.000 Millions v/s Rs.19350.000 Millions ↑ 33%
ü Consolidated profit after tax – Rs.5550.000 Millions v/s Rs.4120.000 Millions ↑ 35%
ü Bajaj Finance, profit after tax – Rs.3430.000 Millions v/s Rs.2670.000 Millions ↑ 28%
ü General insurance, profit after
tax – Rs.2130.000 Millions v/s Rs.1420.000 Millions ↑ 50%
ü Life insurance, shareholders’ profit
after tax – Rs.2220.000 Millions v/s rs.1630.000 Millions ↑ 36%
Summary of consolidated results
is given in Annexure A.
A synopsis on
the performance of the individual companies is given below:
A. Bajaj
Finance Limited (BFL)
§
Total
income for Q2 FY14 increased by 31% to rs.9640.000 Millions v/s Rs.7370.000 Millions in Q2 FY13.
§
Profit
after tax for Q2 FY14 increased by
30% to Rs.1670.000 Millions v/s Rs.1290.000 Millions in Q2 FY13.
§
Deployments
increased by 20% to rs.51990.000 Millions in Q2 FY14 v/s Rs.43340.000 Millions in Q2 FY13.
§
Assets
under management stood at Rs.198290.000
Millions as on 30 September 2013 v/s Rs.175170.000 Millions as on 31 March 2013.
§
Net
NPA for Q2 FY14 stood at 0.26%.
§
Capital
adequacy ratio stood at a healthy 20.9%.
Summary of
financial results is given in Annexure B.
B. Bajaj
Allianz General Insurance Company Limited (BAGIC)
§
Gross
written premium (excluding motor pool) for Q2 FY14 increased by 17% to
Rs.11430.000 Millions v/s
Rs.9760.000 Millions in Q2 FY13.
§
Profit
after tax increased by 45% to Rs.1130.000 Millions in Q2 FY14 v/s Rs.780.000 Millions in Q2 FY13.
§
Net
earned premium (excluding motor pool) for Q2 FY14 stood at Rs.8810.000 Millions v/s Rs.6390.000 Millions in Q2 FY13 – an increase of 38%.
§
Underwriting
profit for Q2 FY14 was Rs.560.000
Millions v/s Rs.490.000 Millions
in Q2 FY13 – an increase of 14%.
Investment income for Q2 FY14 increased by 23% from
Rs.1170.000 Millions to Rs.1440.000 Millions.
§
Claim
ratio (including motor pool losses) stood at 70.2% in Q2 FY14 v/s 67.5% in Q2 FY13.
§
Combined
ratio (including motor pool losses) was 95.8%
in Q2 FY14 v/s 96.2% in Q2 FY13.
§
Cash
and investments as on 30 September 2013 stood at Rs.63390.000 Millions.
Summary of financial results and key ratios is given in Annexure C.
C. Bajaj
Allianz Life Insurance Company Limited (BALIC)
§
New
business premium for Q2 FY14 was Rs.6590.000
Millions v/s Rs.6510.000
Millions in Q2 FY13.
§
Shareholders’
profit during the current quarter was Rs.1070.000 Millions v/s Rs.890.000 Millions in Q2 FY13 – an increase
of 20%.
§
Renewal
premium for Q2 FY14 was Rs.7750.000
Millions v/s Rs.9410.000
Millions in Q2 FY13.
§
Gross
written premium was Rs.14340.000
Millions in Q2 FY14 v/s Rs.15920.000 Millions in Q2 FY13.
§
Solvency
ratio stood at a healthy 710% as
on 30 September 2013 as against the minimum regulatory requirement of 150%.
§
Total
investments as at 30 September 2013 stood at ` 36,961 crore.
Summary of financial results is given in Annexure D.
STATEMENT OF STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE
QUARTER AND HALF YEAR ENDED 30 SEPTEMBER 2013
(Rs. In Millions)
|
Particulars |
Quarter Ended ( Unaudited) |
Half Year Ended ( Unaudited) |
|
|
|
30.09.2013 |
30.06.2013 |
30.09.2013 |
|
1.
Income from operations |
804.800 |
284.500 |
1089.300 |
|
2.Expenditure |
|
|
|
|
a) Employees benefit expenses |
34.800 |
38.100 |
72.900 |
|
b) Depreciation and amortization expenses |
3.200 |
3.200 |
6.400 |
|
c) Other expenditure |
95.500 |
94.700 |
190.200 |
|
Total expenses |
133.500 |
136.000 |
269.500 |
|
3. Profit from operations before other income and
financial costs |
671.300 |
148.500 |
819.800 |
|
4. Other income |
28.000 |
31.200 |
59.200 |
|
5. Profit from ordinary activities before finance costs |
699.300 |
179.700 |
879.000 |
|
6. Finance costs |
-- |
-- |
-- |
|
7. Net profit/(loss) from ordinary activities
after finance costs but before exceptional items |
699.300 |
179.700 |
879.000 |
|
8. Exceptional item |
(72.400) |
-- |
-- |
|
9. Profit from ordinary activities before tax
Expense: |
626.900 |
179.700 |
879.000 |
|
10.Tax expenses |
63.300 |
68.600 |
131.900 |
|
11.Net
Profit / (Loss) from ordinary activities after tax (9-10) |
563.600 |
111.100 |
674.700 |
|
12.Paid-up
equity share capital (Face value Rs.5/-) |
795.600 |
795.600 |
795.600 |
|
13. Reserve excluding
Revaluation Reserves |
-- |
-- |
-- |
|
14.Basic and Diluted Earnings per share (Rs.) (before
extraordinary items) (not annualised): |
3.5 |
0.7 |
4.2 |
|
A. Particulars of shareholding |
|
|
|
|
1. Public Shareholding |
|
|
|
|
- Number of shares |
65419093 |
65419093 |
65419093 |
|
- Percentage of shareholding |
41.11% |
41.11% |
41.11% |
|
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) |
-- |
-- |
-- |
|
Percentage of shares (as a % of total share capital of the
company) |
-- |
-- |
-- |
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
|
Number of shares |
93703259 |
93703259 |
93703259 |
|
Percentage of shares (as a % of total shareholding of the promoter
and promoter group) |
100.00% |
100.00% |
100.00% |
|
Percentage of shares (as a % of total share capital of the
company) |
58.89% |
58.89% |
58.89% |
|
B.
Investor Complaints |
Quarter Ended 30.09.2013 |
|
Pending at the beginning of the quarter |
Nil |
|
Receiving during the quarter |
6 |
|
Disposed of during the quarter |
6 |
|
Remaining unreserved at the end of the quarter |
Nil |
UNAUDITED SEGMENT
WIE REVENUE, RESULTS AND CAPITAL EMPLOYED
(Rs. In Millions)
|
Particulars |
Quarter
Ended (
Unaudited) |
Half
Year Ended (
Unaudited) |
|
|
|
30.09.2013 |
30.06.2013 |
30.09.2013 |
|
1.
Segment Revenue |
|
|
|
|
Insurance |
|
|
|
|
Life Insurance |
14335.600 |
8841.300 |
23176.900 |
|
General Insurance |
11434.100 |
10978.700 |
22412.800 |
|
Total |
25769.700 |
19820.000 |
45589.700 |
|
Less : Reinsurance ceded |
2187.500 |
2207.000 |
4394.500 |
|
Reserve for Unexpired risk |
643.700 |
729.700 |
1373.400 |
|
Net
Sales |
22938.500 |
16883.300 |
39821.800 |
|
|
|
|
|
|
Investment
and other income(excluding accretions to unit linked holders) |
4609.600 |
4973.800 |
9583.400 |
|
Insurance
Total |
27548.100 |
21857.100 |
49405.200 |
|
Investments and Others |
768.900 |
338.900 |
1107.800 |
|
Retail Financing |
9639.800 |
9324.300 |
18964.100 |
|
Windmill |
273.300 |
219.100 |
492.400 |
|
|
38230.100 |
31739.400 |
69969.500 |
|
Less
: Inter Segment Revenue |
501.500 |
22.700 |
524.200 |
|
Total |
37728.600 |
31716.700 |
69445.300 |
|
2. Segment profit / (Loss) before tax and finance costs
Insurance |
|
|
|
|
Life Insurance |
1213.000 |
1328.400 |
2541.400 |
|
General Insurance |
1654.800 |
1411.200 |
3066.000 |
|
Insurance
Total |
2867.800 |
2739.600 |
5607.400 |
|
Investments and Others |
159.700 |
73.900 |
233.600 |
|
Retail Financing |
2412.900 |
2617.300 |
5030.200 |
|
Windmill |
126.200 |
153.500 |
279.700 |
|
Total |
5566.600 |
5584.300 |
11150.900 |
|
Less
: Finance Cost |
-- |
-- |
-- |
|
Total
Profit before tax |
5566.600 |
5584.300 |
11150.900 |
|
3.
Capital Employed |
|
|
|
|
Life Insurance |
49652.200 |
48644.000 |
49652.200 |
|
General Insurance |
13548.000 |
12291.700 |
13548.000 |
|
Insurance
Total |
63200.200 |
60935.700 |
63200.200 |
|
Investments and Others |
7589.000 |
7268.100 |
7589.000 |
|
Retail Financing |
198158.400 |
179968.600 |
198158.400 |
|
Windmill |
549.400 |
498.500 |
549.400 |
|
Unallocable |
(197.200) |
(394.100) |
(197.200) |
|
Total |
269299.800 |
248276.800 |
269299.800 |
1.
STANDALONE STATEMENT OF ASSETS AND
LIABILITIES
(Rs. In Millions)
|
SOURCES OF FUNDS |
30.09.2013 (Unaudited) |
|
I.
EQUITY
AND LIABILITIES |
|
|
(1)Shareholders' Funds |
|
|
(a) Share Capital |
795.600 |
|
(b) Reserves & Surplus |
23954.200 |
|
Total
Shareholders’ Funds |
24749.800 |
|
|
|
|
(2)
Non-Current Liabilities |
|
|
(a) Deferred tax liabilities (Net) |
73.700 |
|
(b) Other long term liabilities |
29.200 |
|
(c) long-term provisions |
16.500 |
|
Total Non-current Liabilities (3) |
119.400 |
|
|
|
|
(3) Current Liabilities |
|
|
(a) Trade payables |
50.000 |
|
(b) Other current
liabilities |
38.100 |
|
(c) Short-term provisions |
392.500 |
|
Total Current Liabilities (4) |
480.600 |
|
|
|
|
TOTAL |
25349.800 |
|
|
|
|
II.
ASSETS |
|
|
(1) Non-current assets |
|
|
(a) Fixed Assets |
694.500 |
|
(b) Non-current Investments |
21790.000 |
|
(c) Long-term Loan and Advances |
245.900 |
|
(d) Other Non-current assets |
18.000 |
|
Total Non-Current Assets |
22748.400 |
|
|
|
|
(2) Current assets |
|
|
(a) Current investments |
2163.700 |
|
(b) Trade receivables |
165.800 |
|
(c) Cash and cash
equivalents |
25.800 |
|
(d) Short-term loans and
advances |
3.600 |
|
(e) Other current assets |
242.500 |
|
Total Current Assets |
2601.400 |
|
|
|
|
TOTAL |
25349.800 |
NOTES:
2.
Other expenses include following –
|
Particulars |
Quarter Ended |
Half Year Ended |
|
|
30.09.2013 |
30.06.2013 |
30.09.2013 |
|
|
Operation & maintenance charges of windmill |
29.600 |
19.700 |
39.300 |
|
Energy generation expenses |
52.200 |
40.300 |
92.500 |
3.
Due to the sudden drop in the demand for Renewable Energy Certificates
(RECs) on the energy exchange during the year, considerable uncertainty has
emerged over the ultimate recoverability of this "Green Initiative"
incentive. Hence in accordance with the accounting policy followed by the
company, revenue from RECs is recognised only to the extent of certainty and
the uncertain portion is deferred for recognition as and when collected.
Consequently, the company has recognised a provision for the loss that may be
incurred due to such uncertainty, in respect of previous recognition of Revenue
from RECs, aggregating Rs.72.400 Millions, expected to be a onetime charge and
hence disclosed as an exceptional item.
4.
Utilisation of rights issue proceeds :
|
Particulars |
(Rs.
In Millions) |
|
Amount
receivable from rights issue - as per letter of offer |
9404.400 |
|
Less
: Amount not received on shares kept in abeyance |
19.200 |
|
Amount received from rights issue - (A) |
9385.200 |
|
Deployment of rights issue proceeds : |
|
|
(a)
Investment in Bajaj Finance Limited - conversion of warrants |
639.600 |
|
(b)
Investment in Bajaj Finance Limited - subscription to rights issue |
4786.700 |
|
(c)
Share issue expenses |
31.600 |
|
(d)
General corporate purposes - investment in mutual funds |
1853.600 |
|
Total deployment of rights issue proceeds - (B) |
7311.500 |
|
Balance amount to be utilized (A - B) |
2073.700 |
|
Interim utilisation of balance rights
issue proceeds : |
|
|
(a)
Investment in debentures |
1010.200 |
|
(b)
Investment in money market instruments and mutual funds |
1063.500 |
|
Total |
2073.700 |
5.
The company has opted to publish consolidated financial
results, pursuant to option made available as per Clause 41 of the Listing
Agreement.
6.
Figures for previous year / period have been regrouped
wherever necessary.
7.
Rs.1 crore is equal to Rs.10 million.
8.
The above results have been reviewed by the Audit Committee,
approved by the Board of Directors in the meeting held on 15 October 2013 and
subjected to a limited review by the statutory auditors.
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 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.61.52 |
|
UK Pound |
1 |
Rs.101.48 |
|
Euro |
1 |
Rs.84.11 |
INFORMATION DETAILS
|
Information
Gathered by : |
HTL |
|
|
|
|
Report Prepared
by : |
NKT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
NO |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
|
|
|
|
TOTAL |
|
65 |
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. SatisWEfactory 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.