1. Summary Information
|
|
|
Country |
|
|
Company Name |
J C T
LIMITED |
Principal Name 1 |
Mr. Samir Thapar |
|
Status |
Moderate |
Principal Name 2 |
Mr. Mahesh Sahai |
|
|
|
Registration # |
16-004565 |
|
Street Address |
Village Chohal, District Hoshiarpur – 146 024, |
||
|
Established Date |
28.10.1946 |
SIC Code |
-- |
|
Telephone# |
91-1882-258780 |
Business Style 1 |
Manufacturer |
|
Fax # |
91-1882-258045 |
Business Style 2 |
Marketing |
|
Homepage |
Product Name 1 |
Cotton |
|
|
# of employees |
Not Available |
Product Name 2 |
Blended Textiles |
|
Paid up capital |
Rs.
1,342,096,000/-
|
Product Name 3 |
Nylon Filament Yarn |
|
Shareholders |
Promoter and Promoter
Group -50.67% Public
Shareholding – 49.33% |
Banking |
Allahabad Bank |
|
Public Limited Corp. |
Yes |
Business Period |
67 Years |
|
IPO |
Yes |
International Ins. |
- |
|
Public |
Yes |
Rating |
B (26) |
|
Related
Company |
|||
|
Relation
|
Country
|
Company
Name |
CEO |
|
Other related parties where control/
significant influence exists |
-- |
JCT Electronics Limited |
-- |
|
Note |
- |
||
2. Summary
Financial Statement
|
Balance Sheet as of |
30.09.2013 |
(Unit: Indian Rs.) |
|
|
Assets |
Liabilities |
||
|
Current Assets |
1,260,677,000 |
Current Liabilities |
3,909,927,000 |
|
Inventories |
1,180,142,000 |
Long-term Liabilities |
2,367,110,000 |
|
Fixed Assets |
4,136,919,000 |
Other Liabilities |
689,400,000 |
|
Deferred Assets |
0,000 |
Total Liabilities |
6,966,437,000 |
|
Invest& other Assets |
407,386,000 |
Retained Earnings |
(1,323,409,000) |
|
|
|
Net Worth |
18,687,000 |
|
Total Assets |
6,985,124,000 |
Total Liab. & Equity |
6,985,124,000 |
|
Total Assets (Previous Year) |
7,337,234,000 |
|
|
|
P/L Statement as of |
30.09.2013 |
(Unit: Indian Rs.) |
|
|
Sales |
12,904,224,000 |
Net Profit |
(877,686,000) |
|
Sales(Previous yr) |
8,015,197,000 |
Net Profit(Prev.yr) |
(680,540,000) |
MIRA
INFORM REPORT
|
Report Date : |
14.01.2014 |
IDENTIFICATION DETAILS
|
Name : |
J C T LIMITED |
|
|
|
|
Registered
Office : |
Village Chohal, District Hoshiarpur – 146 024, Punjab |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
30.09.2013 |
|
|
|
|
Date of
Incorporation : |
28.10.1946 |
|
|
|
|
Com. Reg. No.: |
16-004565 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.1342.096 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L17117PB1946PLC004565 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
JLDJ00405G/JLDJ00404F |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACJ6733E |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
The company
is engaged in Manufacturing and Marketing of Yarn, Cloth, Fents, Rags and
Chindies, Nylon Filament Yarn, Polyester filament yarn, Polyester Chips,
Nylon Chips, Steel Wire, Polyester Staple Fibers and Partially Oriented Yarn |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
B (26) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 75000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow |
|
|
|
|
Litigation : |
Exist |
|
|
|
|
Comments : |
Subject is an established company having moderate track record. There appears some accumulated losses recorded by the company. However, trade relations are fair. Business is active. Payment terms
are slow. The company can be considered for business dealings with some caution. NOTE: Financials are
of 18 months ranging from 1st April 2012 to 30th
September 2013. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2013
|
Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
|
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
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 DENIED
MANAGEMENT NON CO-OPERATIVE (91-1882-258780)
LOCATIONS
|
Registered Office : |
Village Chohal, District Hoshiarpur – 146 024, |
|
Tel. No.: |
91-1882-258780/85 |
|
Fax No.: |
91-1882-258045 |
|
E-Mail.: |
|
|
Website |
|
|
|
|
|
Corporate Office : |
305-309 |
|
Tel. No.: |
91-11-46290000 |
|
Fax No.: |
91-11-28512222 |
|
|
|
|
Factory 1 : |
Textiles Plant G T Road,
Phagwara-144401, Punjab, Indias |
|
Tel. No.: |
91-1824-305000-07 |
|
Fax No.: |
91-1824-261191/266389 |
|
Email: |
|
|
|
|
|
|
|
|
Factory 2: |
Filament Plant Dharamshala Road,
Chohal, Hoshiarpur – 146024, Punjab, India |
|
Tel. No.: |
91-1882-258780 to
258784 |
|
Fax No.: |
91-1882-258059 |
|
Email: |
DIRECTORS
As on 31.03.2013
|
Name : |
Mr.
Samir Thapar |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Designation : |
Vice Chairman and Managing Director |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Address : |
13, |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Date of Birth/Age : |
16.01.1965 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Date of Appointment : |
01.10.2010 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Din No.: |
00062287 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Other Directorship:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Name : |
Mr. Gordhan Bhoraj Kathuria |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Designation : |
Director |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Address : |
101, Jai Jawan Colony-III, |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Date of Birth/Age : |
07.04.1937 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Date of Appointment : |
05.04.1999 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Din No.: |
00062088 |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Other Directorship:
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Name : |
Mr. Ajit Kumar Doshi |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Designation : |
Director |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Name : |
Mr. Parthadeb Datta (Allahabad Bank Nominee) |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Designation : |
Director |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Name : |
Ms Priya Thapar |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Designation : |
Director |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Name : |
Mr. Chander Mohan Bhanot |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Designation : |
Director |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Name : |
Mr. Rohit Seru |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Designation : |
Executive Director |
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
KEY EXECUTIVES
|
Name : |
Ms. Nidhi Goel |
|
Designation : |
Company Secretary |
|
|
|
|
Name : |
Mr. M. P. S. Narang |
|
Designation : |
Chief Financial Officer |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2013
|
Category of
Shareholder |
Total No. of Shares |
% of Total No.
of Shares |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
636429 |
0.14 |
|
|
222739445 |
50.53 |
|
|
223375874 |
50.67 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
223375874 |
50.67 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
158547 |
0.04 |
|
|
48365173 |
10.97 |
|
|
302244 |
0.07 |
|
|
9667654 |
2.19 |
|
|
6045955 |
1.37 |
|
|
64539573 |
14.64 |
|
|
|
|
|
|
18547277 |
4.21 |
|
|
|
|
|
|
93979821 |
21.32 |
|
|
36677043 |
8.32 |
|
|
3719002 |
0.84 |
|
|
975105 |
0.22 |
|
|
1182987 |
0.27 |
|
|
9500 |
0.00 |
|
|
1551410 |
0.35 |
|
|
152923143 |
34.69 |
|
Total Public shareholding (B) |
217462716 |
49.33 |
|
Total (A)+(B) |
440838590 |
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) |
440838590 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
The
company is engaged in manufacturing and marketing of Yarn, Cloth, Fents, Rags
and Chindies, Nylon Filament Yarn, Polyester filament yarn, Polyester Chips, Nylon
Chips, Steel Wire, Polyester Staple fibres and partially oriented yarn |
||||||
|
|
|
||||||
|
Products : |
|
PRODUCTION STATUS (AS ON 31.03.2011)
|
Particulars |
Unit |
Installed
Capacity |
Actual
Production |
|
Ring Spindles |
Nos. |
50728 |
-- |
|
Rotor Open end |
Nos. |
2568 |
-- |
|
Looms |
Nos. |
486 |
-- |
|
Synthetic filament including industrial yarn/tyre cord |
Tonnes |
14000 |
-- |
|
Polyester/nylon chips |
Tonnes |
1000 |
3 |
|
Yarn* |
MT |
-- |
|
|
Cloth** |
Mts |
-- |
1217 |
|
Fents, rags and chindies |
MT |
-- |
2 |
NOTES:
1.
Installed capacities are as those certified by the
management.
2.
Licensed capacities are not given as no license is
required.
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Bankers : |
Ø
Allahabad Bank Ø
Bank of Baroda Ø
Punjab National Bank Ø
Punjab and Sind Bank Ø
State Bank of India Ø
State Bank of Patiala Ø State Bank of
Travancore |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Facilities : |
NOTE: LONG TERM
BORROWINGS Nature of
Security: Term Loans from
Banks : Rs.1514.961 millions (Previous year: Rs.1478.448 millions) and interest accrued and due of Rs.11.276 millions (Previous year: Rs.25.051 millions) [Secured
by hypothecation of all the moveable properties including plant and machinery and accessories etc.
(both present and future) and also equitable
mortgage, by deposit of title deeds, of all the immoveable properties (both present and future)
including land, factory buildings, structures,
erections, constructions and/or further constructions to be made thereon pertaining to Textile
and Filament Units. Further, these loans
are additionally secured by the personal guarantees of Chairman and Managing Director and Sh. M. M.
Thapar. Term loans from Allahabad
Bank are additionally secured by first charge by way of an equitable mortgage over the land admeasuring around
9 acres and structures thereon at
Phagwara.] Rs.91.882
millions (Previous year: Rs.110.407 millions) and interest accrued and due of
Rs.0.578 millions (Previous year: Rs.1.862 millions) [Secured by\ hypothecation
of specific plant and machinery and the personal guarantees of Chairman and
Managing Director and Sh. M. M. Thapar.] Secured by
hypothecation of specific plant and machinery and the personal guarantees of
Chairman and Managing Director and Sh. M. M. Thapar.[Secured by first charge
ranking pari passu inter-se amongst member banks on all the stocks of raw
materials, stock in process, semi-finished and finished goods, stores and
spares, bills receivable and books debts and all other moveable current
assets both present and future pertaining to Company's Textile and Filament
Units. These are also secured by second charge over the fixed assets
pertaining to above said Units and by personal guarantees of Chairman and
Managing Director and Shri M M Thapar. Working capital term loans from
Allahabad Bank are additionaly secured by first charge by way of an equitable
mortgage over the land admeasuring around 9 acres and structures thereon at
Phagwara.] Rs.2.166
millions (Previous year Rs.6.862 millions) [Secured against hypothecation of
specific vehicles.] Term Loans from Others : Rs. 0.223 millions (Previous year: Rs. 5.093 millions) [Secured
against hypothecation of specific vehicles etc.] During the
period, restructuring of the Company's debt with its lending bankers was
approved under the Corporate Debt Restructuring (CDR) Scheme. Securities
specified above in respect of term loans, working capital term loans and
funded interest on term loans have been modified in terms of the Master
Restructuring Agreement and other agreements executed on 18.01.2013. However,
charge could not be filed due to restrainment order of the Hon'ble High Court
of Punjab and Haryana at Chandigarh. SHORT TERM BORROWINGS Secured Working
Capital Loans have been taken from consortium of scheduled banks and are
secured by first charge ranking pari-passu inter-se amongst member banks on
all the stocks of raw materials, stock in process, semi-finished and finished
goods, stores & spares, bills receivable and books debts and all other
moveables current assets both present and future pertaining to Company's
Textile and Filament Units. These are also secured by second charge over the
fixed assets pertaining to abovesaid Units and by personal guarantees of
Chairman and Managing Director and Shri M M Thapar. Working capital loans
from Allahabad Bank are additionaly secured by first charge by way of an
equitable mortgage over the land admeasuring around 9 acres and structures
thereon at Phagwara.
LONG TERM
BORROWINGS Nature of Security: Rs. in Millions
Default in repayment of Term Loans from the Banks and FCCBs (included under current maturities as on 31.03.2012
FCCB Company raised US$ 30 million through issue of 2.5% unsecured
FCCBs on 8.4.2006. FCCBs of US$ 4.58 million stood converted into equity
shares in earlier years and the balance of US$ 25.42 million (equivalent to
Rs.1309.893 ) became due for redemption on 08-04-2011 along with premium of
20.075% (US$ 5.08 million equivalent to Rs.261.979). The Company could not
redeem the same due to paucity of cash funds. Further, provision of Rs.92.478
towards yield protection on the unpaid amount is not considered necessary as
this will not be payable once the restructuring is completed considering the
changes in economic scenario. In the meantime, the Bank of New York Mellon,
Trustee has filed winding up petition before the Hon'ble High Court of Punjab
and Haryana at Maturity profile of the long term borrowings Term Loans from
Banks
SHORT-TERM BORROWINGS Secured Working Capital Loans have been taken from consortium of scheduled banks and are secured by first charge ranking pari-passu inter-se amongst member banks on all the stocks of raw materials, stock in process, semi-finished and finished goods, stores and spares, bills receivable and books debts and all other movables current assets both present and future pertaining to Company's Textile and Filament Units. These are also secured by second charge over the fixed assets pertaining to above said Units and by personal guarantees of Chairman and Managing Director and Sh. M M Thapar. Working Capital Loans from Allahabad Bank are additionally secured by First Charge by way of an equitable mortgage over the land admeasuring around 9 acres and structures thereon at Phagwara. Secured loans from other is secured against pledge of shares held under Current Investments of the company |
|||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S.P. Chopra and
Company Chartered
Accountants |
|
Address : |
F-31, |
|
Tel. No.: |
91-11-23313495-6-7 |
|
Fax No.: |
91-11-23713516 |
|
E-Mail : |
|
|
|
|
|
Other related parties where control/ significant influence exists: |
·
JCT Electronics Limited ·
Provestment Securities Private Limited ·
JCT Chemicals and Fibres Limited.(upto
12.09.2013) ·
India International Airways Limited ·
Firemount Textiles (India) Limited (upto
20.09.2013) ·
KCT Textiles Limited ·
JCT Sports Private Limited |
CAPITAL STRUCTURE
As on 30.09.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
600000000 |
Equity Shares |
Rs.2.50/- each |
Rs.1500.000 Millions |
|
5000000 |
Redeemable Preference Shares |
Rs.100/- each |
Rs.500.000 Millions |
|
|
|
|
|
|
|
Total |
|
Rs.2000.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
440838590 |
Equity Shares |
Rs.2.50/- each |
Rs.1102.096 Millions |
|
2400000 |
Optionally partially convertible Preference Shares (OPCPS) |
Rs.100/- each |
Rs.240.000 Millions |
|
443238590 |
Total |
|
Rs.1342.096
Millions |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
|
30.09.2013 (18 Months) |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
|
1342.096 |
|
(b) Reserves & Surplus |
|
|
(1323.409) |
|
(c) Money
received against share warrants |
|
|
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
|
|
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
|
|
18.687 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
|
|
1856.253 |
|
(b) Deferred tax liabilities (Net) |
|
|
0.000 |
|
(c) Other long term liabilities |
|
|
242.230 |
|
(d) long-term provisions |
|
|
389.054 |
|
Total Non-current Liabilities (3) |
|
|
2487.537 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
|
|
510.857 |
|
(b) Trade payables |
|
|
1015.076 |
|
(c) Other current
liabilities |
|
|
2894.851 |
|
(d) Short-term provisions |
|
|
58.116 |
|
Total Current Liabilities (4) |
|
|
4478.900 |
|
|
|
|
|
|
TOTAL |
|
|
6985.124 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
|
|
4129.803 |
|
(ii) Intangible Assets |
|
|
7.116 |
|
(iii) Capital
work-in-progress |
|
|
24.668 |
|
(iv)
Intangible assets under development |
|
|
0.000 |
|
(b) Non-current Investments |
|
|
279.052 |
|
(c) Deferred tax assets (net) |
|
|
0.000 |
|
(d) Long-term Loan and Advances |
|
|
70.494 |
|
(e) Other Non-current assets |
|
|
0.000 |
|
Total Non-Current Assets |
|
|
4511.133 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
|
|
103.666 |
|
(b) Inventories |
|
|
1180.142 |
|
(c) Trade receivables |
|
|
565.210 |
|
(d) Cash and cash
equivalents |
|
|
131.860 |
|
(e) Short-term loans and
advances |
|
|
346.570 |
|
(f) Other current assets |
|
|
146.543 |
|
Total Current Assets |
|
|
2473.991 |
|
|
|
|
|
|
TOTAL |
|
|
6985.124 |
|
SOURCES OF FUNDS |
|
31.03.2012 (12 Months) |
31.03.2011 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
1137.696 |
1139.945 |
|
|
2] Share Application Money |
|
0.000 |
0.000 |
|
|
3] Reserves & Surplus |
|
0.000 |
1360.316 |
|
|
4] (Accumulated Losses) |
|
(379.793) |
(1021.343) |
|
|
NETWORTH |
|
757.903 |
1478.918 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
1920.145 |
2588.893 |
|
|
2] Unsecured Loans |
|
178.328 |
1838.986 |
|
|
TOTAL BORROWING |
|
2098.473 |
4427.879 |
|
|
DEFERRED TAX LIABILITIES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
2856.376 |
5906.797 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
|
4568.025 |
4771.520 |
|
|
Capital work-in-progress |
|
20.098 |
51.494 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
418.430 |
425.094 |
|
|
DEFERREX TAX ASSETS |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
1284.341
|
1636.194
|
|
|
Sundry Debtors |
|
479.176
|
599.683
|
|
|
Cash & Bank Balances |
|
77.223
|
225.471
|
|
|
Other Current Assets |
|
154.936
|
0.000
|
|
|
Loans & Advances |
|
335.005
|
403.342
|
|
Total
Current Assets |
|
2330.681
|
2864.690 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
|
1286.713
|
1784.378
|
|
|
Other Current Liabilities |
|
2911.991
|
183.472
|
|
|
Provisions |
|
282.154
|
238.151
|
|
Total
Current Liabilities |
|
4480.858
|
2206.001 |
|
|
Net Current Assets |
|
(2150.177)
|
658.689
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
2856.376 |
5906.797 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
30.09.2013 (18 Months) |
31.03.2012 (12 Months) |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
12679.741 |
7942.385 |
7263.408 |
|
|
|
Other Income |
224.483 |
72.812 |
146.911 |
|
|
|
TOTAL |
12904.224 |
8015.197 |
7410.319 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Material consumed |
7108.979 |
5055.990 |
- |
|
|
|
Other manufacturing expenses |
2619.807 |
1351.823 |
- |
|
|
|
Employee benefits expense |
1443.874 |
825.902 |
- |
|
|
|
Other expenses |
1002.619 |
601.371 |
- |
|
|
|
Raw Material Consumed |
0.000 |
- |
3836.853 |
|
|
|
Manufacturing Expenses |
0.000 |
- |
1955.875 |
|
|
|
Purchase |
0.000 |
- |
4.072 |
|
|
|
Selling and Distribution Expenses |
0.000 |
- |
333.657 |
|
|
|
Payments to and provisions for employees |
0.000 |
- |
728.150 |
|
|
|
Administrative and Other Expenses |
0.000 |
|
254.192 |
|
|
|
Increase/(Decrease) in Finished Goods and
stock-in-trade |
100.239 |
(42.184) |
(4.179) |
|
|
|
TOTAL |
12275.518 |
7792.902 |
7108.620 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
628.706 |
222.295 |
301.699 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
529.473 |
411.552 |
470.186 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
99.233 |
(189.257) |
(168.487) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
739.160 |
469.507 |
405.558 |
|
|
|
|
|
|
|
|
|
Add |
Profit on |
-- |
-- |
0.000 |
|
|
Add |
Profit on sale
of Building |
-- |
-- |
1176.176 |
|
|
Less |
(Loss) on sale
of shares of a subsidiary Company |
-- |
(6.070) |
-- |
|
|
Less |
Loss on
Settlement of Secured lenders' sacrifice under Corporate Debt Restructuring
Scheme |
162.200 |
-- |
-- |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX |
(802.127) |
(664.834) |
602.131 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
8.200 |
(1.417) |
42.379 |
|
|
|
|
|
|
|
|
|
Add |
Profit / (Loss) from Discontinued operations |
67.359 |
(14.289) |
0.692 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX |
(877.686) |
(680.540) |
560.444 |
|
|
|
|
|
|
|
|
|
|
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(1701.373) |
(1021.343) |
(1580.004) |
|
|
|
|
|
|
|
|
|
Less |
Loss arising on
amalgamation |
-- |
-- |
(1.783) |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
(2579.059) |
(1701.383) |
(1021.343) |
|
|
|
|
|
|
|
|
|
|
EXPORT VALUE |
1601.881 |
897.493 |
750.338 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
226.677 |
163.714 |
147.698 |
|
|
|
Components, Stores & Spares |
149.763 |
92.471 |
81.591 |
|
|
|
Capital Goods |
8.926 |
2.799 |
4.709 |
|
|
TOTAL IMPORTS |
385.366 |
258.984 |
233.998 |
|
|
|
|
|
|
|
|
|
|
Earnings / (Loss)
Per Share (Rs.) |
(1.98) |
1.61 |
1.56 |
|
KEY RATIOS
|
PARTICULARS |
|
30.09.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
(6.80)
|
(8.49) |
7.56
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
(6.33)
|
(8.37) |
8.29
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(12.00)
|
(9.64) |
7.88
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(42.92)
|
0.87 |
0.41
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
126.67
|
2.77 |
2.99
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.55
|
0.52 |
1.30
|
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
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 |
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 |
LITIGATION
DETAILS:
PUNJAB AND HARYANA HIGH COURT
CASE STATUS INFORMATION SYSTEM
Case
Status: PENDING
|
Status of
CIVIL
APPEAL/COMPANY APPLICATION 422
of 2013
BANK OF NEW YORK MELLON
Vs.
JCT LIMITED
Pet's
Adv. : VIBHAV
JAIN
Last Listed On :
Thursday, September 05, 2013 List Type : NO LIST TYPE MENTIONED
FIR No. : NO FIR DETAILS AVAILABLE / NOT A CRIMINAL CASE
Complaint No. : NO COMPLAINT DETAILS AVAILABLE
Category : COMPANY PETITIONS :NO BENCH MENTIONED Last Hearing Detail
2 : NO BENCH MENTIONED
Case Updated on: Friday, September 13, 2013 |
UNSECURED LOANS
|
PARTICULAR |
30.09.2013 (Rs. in Millions) |
|
LONG TERM
BORROWINGS |
|
|
Fixed deposits from public |
61.423 |
|
Interest free loan from a related company |
57.800 |
|
|
|
|
SHORT TERM
BORROWINGS |
|
|
Book overdraft |
50.082 |
|
|
|
|
Total |
169.305 |
|
Unsecured Loans |
31.03.2012 Rs.
in millions |
|
LONG TERM
BORROWINGS |
|
|
Fixed Deposits from Public Foreign Currency Convertible Bonds (FCCB) 5.2(b) (including premium payable on redemption of Rs. 261.979 Millions Previous year Rs. 229.492 Millions) |
86.852 |
|
|
|
|
SHORT-TERM
BORROWINGS |
|
|
Book over draft |
51.248 |
|
Others |
40.228 |
|
|
178.328 |
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10062854 |
26/09/2009 * |
250,000,000.00 |
STATE BANK OF PATIALA |
G T ROAD, PHAGWARA, Punjab - 144401, INDIA |
A70950688 |
|
2 |
10058869 |
26/09/2009 * |
350,000,000.00 |
PUNJAB NATIONAL BANK |
74 JANPATH, NEW DELHI, Delhi - 110001, INDIA |
A71494082 |
|
3 |
10020686 |
16/09/2009 * |
730,000,000.00 |
ALLAHABD BANK |
INDUSTRIAL FINANCE BRANCH, 17, PARLIAMENT STREET, NEW DELHI, Delhi -
110001, INDIA |
A70827712 |
|
4 |
80011655 |
18/06/2011 * |
1,250,851,000.00 |
ALLHABAD BANK |
INDUSTRIAL FINANCE BRANCH, 1ST FLOOR, 17, PARLIAMENT STREET, NEW
DELHI, Delhi - 110001, INDIA |
B16845554 |
|
5 |
80011651 |
03/10/2005 |
8,844,000.00 |
PUNJAB AND SIND BANK |
H BLOCK, CONNAUGHT CIRCUS, NEW DELHI, Delhi - 110001, INDIA |
- |
|
6 |
80011656 |
16/09/2009 * |
58,400,000.00 |
ALLAHABD BANK |
INDUSTRIAL FINANCE BRANCH, 17, PARLIAMENT STREET, NEW DELHI, Delhi -
110001, INDIA |
A70828165 |
|
7 |
90170035 |
26/09/2009 * |
54,200,000.00 |
PUNJAB NATIONAL BANK |
74, JANPATH, NEW DELHI, Delhi - 110001, INDIA |
A71493779 |
|
8 |
80011657 |
30/10/2009 * |
500,000,000.00 |
STATE BANK OF INDIA |
OVERSEAS BRANCH, WORLD TRADE TOWER, CUFFE PARADE, MUMBAI, Maharashtra
- 400005, INDIA |
A72204373 |
|
9 |
90170874 |
04/09/2009 * |
1,737,700,000.00 |
ALLAHABD BANK |
INDUSTRIAL FINANCE BRANCH, 17, PARLIAMENT STREET, NEW DELHI, Delhi -
110001, INDIA |
A69493062 |
|
10 |
90172398 |
19/10/2006 * |
1,409,000,000.00 |
ALLAHABD BANK |
INDUSTRIAL FINANCE BRANCH, PARLIAMENT STREET, NEW DELHI, Delhi - 110001, INDIA |
- |
* Date of charge modification
OPERATIONS
The global economy
has been passing through a prolonged phase of uncertainty and the low growth along
with the atmosphere of hesitancy is also reflected in India. The recovery from
the global crisis of 2008-09 in the advanced economies has been uneven and
fragile and this as well as a number of its own problems has had a notable
dampening effect on growth and business confidence in India over the last two
to three years. Continuing high inflation, unacceptable level of fiscal and
current account deficits, lackluster performance on the export front as a fall
in the rate of growth in industrial production, high prices of crude in
international markets- all these have added to the reasons for low economic
growth. Further, a consequential tight monetary policy during the major part of
the period coupled with stalled reforms, electricity shortages and lack of rain
in some parts of the country have all contributed to lower business confidence.
These factors have adversely impacted government spending and investment by
private sector for various project related to infrastructure development,
housing and industry. As the government has over the last few months taken some
action to revive industrial growth, encourage fresh investment and seems
committed to reforms in terms of keenly awaited measures being promised for
implementation, their economy in the coming years should regain a trajectory of
high growth, nearer to that witnessed in the recent past.
The Indian Textile
Industry is one of the leading Textile Industries of the world. Though the
Industry was predominantly, unorganized industry even a few years back, but the
scenario started changing after the economic liberization of Indian economy in
1991. The opening of the economy gave the much needed thrust to the Industry
and now it has successfully become one of the largest industries in the world.
The textile
Industry plays a pivotal role in the economic life in the country. Apart from
providing one of the basic necessities of life, the industry also plays a vital
role through its contribution of about 14% to Industrial Production, 4% to
Gross Domestic Product (GDP), and 11% to the country's export earnings as per
Government of India, Ministry of Textiles, Note on Textile and Clothing Export
of India. It provides direct employment to over 45 million people and thus the
Textile Industry is the second largest provider of employment after
agriculture. Accordingly, the growth and development of the industry has a
direct bearing on the economy of the nation and its people.
TEXTILE UNIT
The textile
division operated at an average of around 75% and produced 5.53 crores meters
of fabrics during the 18 months period ended on 30th September 2013.The
utilisation of capacities at Textile Units at Phagwara suffered very adversely
due to shortage of working capital funds. The performance also affected besides
lower capacity utilisation adverse fluctuation in foreign currency, cost of
power and fuel increased substantially since power rates increased by PSEB and
also rice husk. The increase in inputs the selling prices increased marginally
during the period, thus leading to strain on the overall margins. However, the
performance during the quarter ended 30th September 2013 improved substantially
in terms of turnover and the margins.
·
The company is having 19.5 MW in house rice-husk
based power plants. The rates of rice husk have been on the rise this year.
·
The company incurred operational cash losses during
the financial year 2008-09 to 2012-13 and continued to service interest and
repayment of debts to the lenders in terms of various loan agreements entered
into with lenders despite losses which resulted in further erosion of working
capital and lower capacity utilization.
In Sriganganagar
unit, the operations were discontinued in earlier years. The agreement to sell
entered into with the buyers of land at Sriganganagar was terminated during the
year due to non-fulfillment of conditions of the agreement by the buyer for
quite a long time.
INDUSTRY SCENARIO
The Indian textile
industry is on a comeback trail due to an improved US economy, a recovering
demand from the European Union and favorable raw material prices. China, a
major textile producer for about two decades is now focusing on other sectors,
which should open up opportunities for other textile producing countries such
as India and Bangladesh. As a result, India, Bangladesh and Vietnam are
receiving more orders due to reduction in the global spinning capacity and cut
down in cotton imports by China. The global buyers, therefore, are looking at
India as one of the major sourcing destinations. The Indian textile industry is
competitively placed vis-à-vis competitors. India offers higher skills, lower
cost, modern technology, global acceptance and a highly creative pool of design
talent. A supportive policy regime and the absolute commitment of private
enterprise add strength to Indian prospects. India is among the few textile
manufacturing countries, which is fully integrated from fiber to finished
products.
FINANCIAL
PROBLEMS:
In light of the
scenario, as explained above, owing to marketing difficulties, lower capacity
utilisation the profitability of the Textile operations remained in the
negative zone. Consequently in this situation the earnings which had gone
negative on account of low capacity utilization, the company ended up paying
interest to the Banks out of working capital. This situation led to further
erosion in already strained working capital.
Now that the
fabric demand has picked up, most Textile Companies of the country are running
their Plants at full capacity. Inspite of the order-book being comfortable,
full capacity utilization the Company continues to be elusive account of
working capital constraints.
Steps initiated by
the company:
·
The company has since expanded its customer base and
has gone deeper with the existing customers to fully secure its production
capacities. The company in these years, focused, especially on work-wear and
sportswear segments.
·
The marketing strategy of the company has been
changing with the time and there has been a shift in product mix accordingly.
·
The company has been very guarded in covering
cotton in the current season. The management is ensuring to run the plants at
maximum possible levels.
·
The company has taken several power saving
initiatives, which will cover a part of husk price hike.
FILAMENT UNIT
JCT continues to
maintain its position as one of the largest Textile Grade Nylon yarn
manufacturer in India with installed capacity of 14,000 TPA. During the period
the unit produced 18170 MT of filament yarn with average denier of 35.2. The
continuous upward trend in prices of Caprolactum has been a major concern for
the company. The Caprolactum prices increased from average of Rs 139.67 per kg
in 2011-12 to Rs 146.16 per kg during the period with an increase 4.65% the
capacity of the market to absorb prices is limited as weavers start moving to
other type of yarns. The company has made a major shift in the product mix
where the dependability on yarn sold in Surat market has been shifted to yarn being
sold in Amritsar and Mau markets. The change is very significant as LOY base 20
Mono Yarn is less prone to market fluctuation and has a much higher margin. The
unit to keep the profitability in place has started selling Steam to other
parties on profit sharing basis, which has resulted good profits to the unit.
INDUSTRY SCENARIO
In last 18 months,
Overall Nylon Textile filament market size has increased from 5200 MT to 6300
MT mainly in FDY Multi- Filament segment with major share of growth in Surat region.
In total product mix, share of Mono Filament has come down from 2000 MT to 900
MT while FDY Multi-Filament has increased from 3100 MT to 4500 MT. Partly this
increase in FDY segment has been met by Imports and balance approx 40% increase
by New Spinners. As on date, further 500 MT /Month of capacity is in pipe line
and will be commissioned in next six months. The company expects that market
will keep on expanding in Nylon Filament Yarn in immediate future @ 10% PA and
mainly in FDY Multi-Filament Yarn. As far as competition is concerned, major
threat remains from imports mainly from Vietnam and Taiwan having cost
advantages.
FINANCE
During the period,
the company has successfully implemented restructuring scheme with the lending
banks under Corporate Debt Restructuring (CDR) mechanism. The company is
regular in repayment of interest and installments to the banks in line with the
scheme approved by the CDR Cell on 21st September 2012. The additional working
capital which was part of the scheme could not be availed due to the order of
the Hon'ble High Court of Punjab at Chandigarh restraining company to create
charge over its assets.
The company has
issued and allotted 40880000 Equity Shares of Rs 2.50 each to M/s Provestment
Securities Private Limited a promoter company and also 40880000 Equity Shares
of Rs 2.50 each to lending banks towards part settlement of their sacrifice on
NPV basis as per stipulations of the CDR Scheme. Provestment Securities Private Limited a
promoter company, also infused Rs 57.800 millions as Subordinate Debt as per
the condition of CDR Scheme.
FUTURE PLAN OF
ACTION:
TEXTILE DIVISION
The Company has
independent R&D Department which regularly provides suggestions for improvement
so as to optimize the cost of products and improve the quality.
FILAMENT DIVISION
Plan to further
increase LOY, POY, FDY/DT and DW machines to increase market share in domestic
and international market. Focus on increasing productivity by maximum
utilization of resources and modification in existing hardware. Plan to further
increase LOY, POY, FDY / DT and DW m/c to increase market share in domestic and
international market. Focus on increasing productivity by maximum utilization
of resources and modification in existing hardware.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
OVERALL VIEW
The year 2012-13
saw underperforming economies, sluggish growth and emergency rescue efforts by
most governments across the world. The financial crisis of Euro zone nations is
weakening the strength of the economic block and adversely impacting global
economic growth. Cyprus plunged deep into economic hardships and social chaos,
as it sought major bailout from other Euro nations. However, the US economy
demonstrated early signs of recovery, spearheaded by manufacturing growth and
prudent policy initiatives. The International Monetary Fund estimates the
global economic growth for 2012-13 at 3.2%, as against 3.8% in 2011-12.The
emerging economies were also impacted by global headwinds, with China
registering economic slowdown, along with other BRICS nations. In 2012-13,
China grew by only 7.8%, while India finished the race a close second at 5%.
India's Textile
Industry has occupied a place of prominence in the Global arena. India ranks
second (after China) in the Global Textile Trade. The potential size of the
Indian Textile Industry is expected to reach US Dollars 220 Billion by 2021,
according to Techno Park's Textile and Apparel Compendium 2012. To give further
boost to the Industry, the Central Government through its foreign Trade Policy
has taken a series of measures including extension of Interest rates subvention
scheme till 31stMarch, 2014 and expansion of the scheme covering more products
under Focused Market Scheme. It I expected that these measures will help the
Industry to perform well in the coming periods.
The Chinese
textile industry has been and continues to be world largest industry but lately
the Chinese exports are slowing down on account of various factors i.e.
increase in its domestic demand, rising labor cost and steadily appreciating
currency which is proving to the blessing in disguise for the Indian Textile
Industry. The Global buyers have already started moving their orders to the
Indian Markets and India has become a preferred vendor in the mind of the
global buyers. (Retailers as well as International known brands).
The Textile
Industry though appears to be bright, but it is not free from the normal
business threats. Further, the small countries like Bangladesh, Pakistan, Sri
Lanka, Egypt, Turkey, Vietnam and others are posing serious challenges to the
Indian Textile industry. The Industry needs to take major steps and strategies
for future sustainability and growth considering the advantages and challenges.
It is apparent that the opportunities are heavier than the challenges and the
industry must make most of it.
Company continues
to lay emphasis on process improvements, diversification of products,
rationalization of costs, improving efficiencies and building a strong customer
base. The Directors are confident that with the support of employees, investors
and bankers the company will be in a position to tide over the unprecedented
crisis in spite of the current stressful situation and their continued efforts
to maintain quality and scouting for new and better markets should promote
growth and they hope to achieve a better performance in the coming years.
TEXTILE OPERATIONS
The textile
division operated at an average of around 75% and produced 5.53 crores meters
of fabrics during the 18 months period ended on 30th September 2013.The
utilisation of capacities at Textile Units at Phagwara suffered very adversely
due to shortage of working capital funds. The performance also affected besides
lower capacity utilization adverse fluctuation in foreign currency, cost of
power and fuel increased substantially since
power rates increased in Punjab and also rice husk. The increase in
inputs vis-à-vis selling prices increased marginally during the period, thus
leading to strain on the overall margins. However, the performance during the
quarter ended 30th September 2013 improved substantially in terms of turnover
and the margins.
FILAMENT
OPERATIONS
JCT continues to maintain
its position as one of the largest Textile Grade Nylon yarn manufacturer in
India with installed capacity of 14,000 TPA. As other Yarn Manufacturers have
succumbed to market slackness, Filament Unit is able to keep its head high in
spite of unfavorable market conditions. During the period ended Sep'13 (18 months), company sold 18447 MT of filament
yarn and 701 MT of Nylon Chips as compared to 11211 MT of filament yarn and 696
MT of Nylon Chips during the previous year (12 months).
Caprolactum, their
major raw material remains at elevated levels and showing no sign of cooling
off resulting in putting pressure on domestic demand as increase in prices are
not getting absorbed in selling prices of Filament Yarn. This results in
putting strains on bottom-line. The prices of Caprolactum have fluctuated in
the range of Rs. 145-170/kg during the period under study as compared to
Rs.139.67/kg during FY2012, whereas realization of yarn remained in range to
Rs. 260-285/ kg. Limited capacity of Weavers to absorb higher prices and
cheaper imports remained major hurdles.
Mono yarn, being
higher margin product, the company is able to maintain their share in 20 Mono
Deniers segment. Further, company has increased its Mono Yarn capacity from 350
Tons/Month to 500 Tons/month. With this increase, the company is capable to
cater the demand for Mono Yarn.
FIXED ASSETS
Ø Land
Ø Building
Ø Plant and
Machinery
Ø Data Processing
Equipment
Ø Electric
Installations
Ø Including Gadgets
Ø Tools and
Implements
Ø Furniture and
Fixtures and Other Equipment
Ø Vehicles
Ø Scrap
Ø Computer Software
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No available
information exist that suggest that subject or any of its principals have been
formally charged or convicted by a competent governmental authority for any
financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms and
conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.52 |
|
|
1 |
Rs.101.48 |
|
Euro |
1 |
Rs.84.11 |
INFORMATION DETAILS
|
Information Gathered
by : |
NAY |
|
|
|
|
Report Prepared
by : |
ANK |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
2 |
|
--CREDIT LINES |
1~10 |
2 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
26 |
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.