MIRA INFORM REPORT
|
Report Date : |
14.01.2014 |
IDENTIFICATION DETAILS
|
Name : |
SUMEET INDUSTRIES LIMITED (w.e.f. 01.09.1993) |
|
|
|
|
Formerly Known
As : |
SUMEET SYNTHETICS LIMITED (w.e.f. 26.02.1992) SUMEET SYNTHETICS PRIVATE LIMITED |
|
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|
|
Registered
Office : |
504, Trividh Chambers, Opposite Fire Station, Ring Road, Surat –
395002, Gujarat |
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|
Country : |
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|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
01.08.1988 |
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|
|
|
Com. Reg. No.: |
04-11049 |
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|
|
Capital
Investment / Paid-up Capital : |
Rs.682.897 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L45200GJ1988PLC011049 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
SRTS00011E |
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|
|
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PAN No.: [Permanent Account No.] |
AAECS2256B |
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|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchange. |
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Line of Business
: |
Manufacturer of Polyester Chips, Polyester Filament Yarn, Polyester POY/
FDY, Polypropylene Yarn and Menthol Products. |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (43) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 8100000 |
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|
|
|
Status : |
Satisfactory |
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|
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having a satisfactory track record. There appears dip in profit of the company during the financial year
2013. However, general financial position of the company seems to be fair. Trade relations are fair. Business is active. Payment terms are
reported to be slow but correct. The company can be considered for business dealings at usual trade
terms and conditions. |
NOTES:
Any query related to this report can be made on
e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – 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.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
Term Loans: BBB- |
|
Rating Explanation |
Moderate degree at safety and moderate
credit risk. |
|
Date |
October, 2013 |
|
Rating Agency Name |
ICRA |
|
Rating |
Non Fund Based Facilities: A3 |
|
Rating Explanation |
Moderate degree at safety and high credit
risk. |
|
Date |
October, 2013 |
RBI DEFAILTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAILTERS’ 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 DECLINED
MANAGEMENT NON CO-OPERATIVE.
Contact No.: 91-261-2328902
LOCATIONS
|
Registered Office : |
504, Trividh Chambers, Opposite Fire Station, Ring Road, Surat –
395002, Gujarat, India |
|
Tel. No.: |
91-261-2328902 |
|
Fax No.: |
91-261-2334189 / 2310196 |
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E-Mail : |
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|
Website : |
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Factory : |
Block No. 289, 291, 292, Village : Karanj, Taluka :
Mandvi, District : Surat – 394110, Gujarat, India |
|
Tel. No.: |
91-2621-234923 |
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|
|
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Branch Office : |
901, Vishwa Deep Building, District Centre, Janakpuri, New
Delhi – 110058, India |
|
Tel. No.: |
91-11-25554808, 25554773 |
DIRECTORS
(AS ON 31.03.2013)
|
Name : |
Mr. Shankarlal Somani |
|
Designation : |
Chairman Cum Managing
Director |
|
|
|
|
Name : |
Mr. Sumeet Kumar
Somani |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. Bhagchand
Chordia |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. Dinesh Sharan
Khare |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. Devi Prasad Saboo |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. Vinod Kumar Ladia |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. Anil Kumar Jain |
|
Designation : |
Company
Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
(AS ON 30.09.2013)
|
Category of
Shareholder |
Total No. of Shares |
Total Shareholding as a % of Total No. of Shares |
|
|
|
|
|
(A) Shareholding
of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
9530027 |
16.35 |
|
|
17700703 |
30.37 |
|
|
17700703 |
30.37 |
|
|
27230730 |
46.72 |
|
|
|
|
|
|
|
|
|
Total
shareholding of Promoter and Promoter Group (A) |
27230730 |
46.72 |
|
|
|
|
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
455 |
0.00 |
|
|
455 |
0.00 |
|
|
|
|
|
|
|
|
|
|
16328791 |
28.01 |
|
|
|
|
|
|
|
|
|
|
6789735 |
11.65 |
|
|
4176730 |
7.17 |
|
|
3763297 |
6.46 |
|
|
107911 |
0.19 |
|
|
177592 |
0.30 |
|
|
3477794 |
5.97 |
|
|
31058553 |
53.28 |
|
|
|
|
|
Total Public
shareholding (B) |
31059008 |
53.28 |
|
|
|
|
|
Total (A)+(B) |
58289738 |
100.00 |
|
|
|
|
|
(C) Shares held
by Custodians and against which Depository Receipts have been issued |
|
|
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
|
|
|
Total
(A)+(B)+(C) |
58289738 |
100.00 |
(1) Indian
Individuals / Hindu Undivided Family
Group CompaniesBUSINESS DETAILS
|
Line of Business : |
Manufacturer of Polyester Chips, Polyester Filament Yarn, Polyester
POY/ FDY, Polypropylene Yarn and Menthol Products. |
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Products : |
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GENERAL INFORMATION
|
No. of Employees : |
Not Available |
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Bankers : |
·
Bank of ·
Bank of ·
IDBI Bank Limited ·
Union Bank of India |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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|
Name : |
Pradeep
Singhi and Associates Chartered Accountants |
|
Address : |
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Internal
Auditor : |
|
|
Name : |
RRA and Company Chartered Accountants |
|
Address : |
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CAPITAL STRUCTURE
(AS ON 30.09.2013)
Authorised Capital : Rs.1000.000 Millions
Issued, Subscribed & Paid-up Capital : Rs.780.397
Millions
AS ON 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
90000000 |
Equity Shares |
Rs.10/- each |
Rs.900.000 millions |
|
10000000 |
6% Non-Convertible Redeemable Preference
shares |
Rs.10/- each |
Rs.100.000 millions |
|
|
|
|
|
|
|
Total |
|
Rs.1000.000
millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
58289738 |
Equity Shares (Out of which 7605930 Shares are issued for consideration other than Cash) |
Rs.10/- each |
Rs.582.897 millions |
|
10000000 |
6% Non-Convertible Redeemable Preference
shares |
Rs.10/- each |
Rs.100.000
millions |
|
|
|
|
|
|
|
Total |
|
Rs.682.897 millions |
A. Reconciliation of the Number of shares at the beginning and end of
the reporting period:
|
Autorised Share Capital |
31.03.2013 |
|
Previous Year |
90,000,000 |
|
Increase by |
10,000,000 |
|
Current Year |
100,000,000 |
|
|
|
|
Number of Shares at the Beginning of the
year |
68.290 |
|
Add: Addition during the year |
0.000 |
|
Number of shares at the end of the year |
68.290 |
B. Shares held by each shareholders holding more than 5% shares,
specifying the number of shares held:
|
Name |
No. of shares |
% of Holding |
|
|
|
|
|
Somani Overseas Private Limited |
7455084 |
12.79 |
|
Sitaram Prints Private Limited |
3338075 |
5.73 |
|
Shankarlal Sitaram Somani |
3706183 |
6.36 |
|
Raghuvir Texturisers private Limited |
5580362 |
9.57 |
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 |
682.897 |
682.897 |
499.952 |
|
(b) Reserves & Surplus |
1257.423 |
1092.811 |
568.460 |
|
(c) Money
received against share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
87.000 |
87.000 |
87.000 |
|
Total
Shareholders’ Funds (1)+(2) |
2027.320 |
1862.708 |
1155.412 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
2368.672 |
2264.034 |
1165.409 |
|
(b) Deferred tax liabilities (Net) |
327.726 |
233.256 |
149.160 |
|
(c) Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total Non-current Liabilities (3) |
2696.398 |
2497.290 |
1314.569 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
1668.762 |
1565.208 |
1259.266 |
|
(b) Trade payables |
1239.568 |
199.145 |
97.801 |
|
(c) Other current liabilities |
116.639 |
56.988 |
68.978 |
|
(d) Short-term provisions |
68.225 |
78.934 |
136.588 |
|
Total Current Liabilities (4) |
3093.194 |
1900.275 |
1562.633 |
|
|
|
|
|
|
TOTAL |
7816.912 |
6260.273 |
4032.614 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
3836.605 |
1905.677 |
1887.760 |
|
(ii) Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii) Capital
work-in-progress |
101.611 |
1731.889 |
26.564 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
7.796 |
5.914 |
12.673 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
39.531 |
29.243 |
25.017 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
3985.543 |
3672.723 |
1952.014 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
1819.886 |
1258.672 |
915.520 |
|
(c) Trade receivables |
1159.448 |
669.481 |
641.338 |
|
(d) Cash and cash equivalents |
239.443 |
58.570 |
101.336 |
|
(e) Short-term loans and
advances |
266.118 |
158.960 |
133.030 |
|
(f) Other current assets |
346.474 |
441.867 |
289.376 |
|
Total Current Assets |
3831.369 |
2587.550 |
2080.600 |
|
|
|
|
|
|
TOTAL |
7816.912 |
6260.273 |
4032.614 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from Operations |
11593.378 |
8244.764 |
8184.712 |
|
|
|
Other Income |
(113.036) |
(54.196) |
96.356 |
|
|
|
TOTAL (A) |
11480.342 |
8190.568 |
8281.068 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
8181.199 |
5490.589 |
5325.519 |
|
|
|
Purchases of stock in Trade |
2945.113 |
1973.521 |
2122.635 |
|
|
|
Changes in Inventories of Finished Goods,
Work-inprogre4ss and stock in Trade |
(590.796) |
(147.656) |
24.311 |
|
|
|
Employee Benefits Expenses |
106.954 |
74.152 |
58.457 |
|
|
|
Other Expenses |
131.134 |
218.171 |
136.207 |
|
|
|
TOTAL (B) |
10773.604 |
7608.777 |
7667.129 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
706.738 |
581.791 |
613.939 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
217.187 |
108.118 |
83.214 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
489.551 |
473.673 |
530.725 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
198.986 |
120.175 |
117.760 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
290.565 |
353.498 |
412.965 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
486.661 |
602.051 |
68.540 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
196.096 |
248.553 |
344.425 |
|
|
|
|
|
|
|
|
|
|
TAXATION OF
PREVIOUS YEAR |
4.502 |
7.353 |
2.851 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
-- |
-- |
154.111 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
6% Dividend and Distribution Tax |
0.000 |
0.000 |
6.997 |
|
|
|
Provision for dividend and dividend Dist.
Tax |
26.982 |
0.000 |
46.638 |
|
|
|
Short provision for dividend and dividend
Dist. Tax |
0.000 |
20.817 |
0.000 |
|
|
BALANCE CARRIED
TO THE B/S |
164.612 |
220.383 |
442.050 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
1219.222 |
90.864 |
255.350 |
|
|
TOTAL EARNINGS |
1219.222 |
90.864 |
255.350 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
2862.880 |
3940.450 |
32355.308 |
|
|
|
Stores & Spares |
3.418 |
3.495 |
7.667 |
|
|
|
Capital Goods |
39.268 |
1095.722 |
9.263 |
|
|
|
Others |
92.205 |
0.000 |
0.000 |
|
|
TOTAL IMPORTS |
2997.771 |
5039.667 |
32372.238 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
3.29 |
4.14 |
8.37 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
1.71
|
3.03 |
4.16 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.51
|
4.29 |
5.05 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
3.77
|
7.82 |
10.34 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.14
|
0.19 |
0.36 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
1.99
|
2.06 |
2.10 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.24
|
1.36 |
1.33 |
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 |
No |
|
8] |
No. of employees |
No |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact person |
No |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
----- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
No |
|
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 |
Yes |
|
25] |
Conduct of the banking account |
----- |
|
26] |
Buyer visit details |
----- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of Proprietor/Partner/Director, if
available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director,
if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
UNSECURED LOANS
|
Particulars |
31.03.2013 |
31.03.2012 |
|
|
(Rs. In Millions) |
|
|
Long Term
Borrowing |
|
|
|
Loans From Directors |
1.102 |
8.527 |
|
|
|
|
|
Total |
1.102 |
8.527 |
OPERATIONS
The company has posted a satisfactory performance for the year. The company has produced 91936.934 Tons of Pet Chips / Polyester / Polypropylene Multifilament Yarn and dispatched 86875.80 Tons of Pet Chips / Polyester / Polypropylene Multifilament Yarn.
Income from operation of the company has increased from Rs.8244.800 Millions to Rs.11593.400 Millions. EBIDTA has been increased from Rs.581.800 Millions to Rs.706.700 Millions and Net profit after Tax has been decreased from Rs.241.200 Millions to Rs.191.600 Millions in comparison to last year.
NEW PROJECT
In the current financial year, the company has successfully commissioned Wastage Recycling Plant with 5400 TPA capacity. Under this plant company is producing chips from polyester wastage yarns. The commercial production of the same has been commenced in the month of June, 2013.
The company has also set up 66 KV Sub- stations at its plant and taking supply of power from DGVCL. The company is sourcing power from open access purchase through grid under open access regulation and thereby reducing its power cost substantially in comparison to power generated from Natural Gas.
EXPORTS
The company has been exploring all the possibilities for exporting its products. During the year under review, your company has exported products worth of Rs.1222.400 Millions in comparison to Rs.90.800 Millions in the last year.
At present company is exporting to South Africa, Bangladesh, Egypt, Saudi Arabia, China, Peru, Argentina, Portugal, Indonesia, Iran, U.S.A and Singapore etc. Exploring export markets has been a key area of focus for the company. The company expects more growth in the overall export sales in the current year also.
MANAGEMENT DISCUSSION AND ANALYSIS
OVERVIEW OF THE COMPANY
WORLD ECONOMY
The financial year 2012-13 saw underperforming economies, sluggish
growth and emergency rescue efforts by most governments across the world. As
per IMF forecast Global economy is likely to show a growth of 3.3% during 2013
as compared to growth of 3.2% during 2012. The sovereign – debt crisis in
Europe also impacting global economic growth. Japan’s economy has shown signs
of improvement on account of monetary and fiscal stimulus undertaken. The
emerging economies were also impacted by global headwinds, with China
registering economic slowdown, along with other BRICS nations. In the year
2012-13, China grew by only 7.8%, while India finished the race a close second
at 5%.
INDIAN ECONOMY
India’s economy has also been facing socio-economic challenges for the
past two years, impacted by a combination of international and domestic
factors. Indian economy faced many
concerns such as moderation in GDP growth, high inflation, high fiscal deficit
and widening Current Account Deficit. According to the Central Statistics
Office’s advance estimate of GDP growth, Indian economy is expected to grow at
5% during the year 2012-13 as compared to a growth of 6.21% registered during
2011-12.
The Economic Survey 2012-13 has pegged the country's economic growth
forecast at 6.1-6.7% in the coming financial year. The survey predicts that the
global economy is also likely to recover in 2013 and various government
measures will help in improving the Indian economy's outlook for 2013-14.
Government initiative on increasing FDI limits on investments across major
sectors will significantly improve capital inflow in Indian Economy. The
Government of India is also taking various initiatives to keep the fiscal
deficit within 5.2%.*
High inflation is another problem that has haunted the economy for last
two financial years. In F.Y. 2013, inflation measured by Wholesale Price Index
(WPI) remained stubbornly high at around 8% limiting the scope for reduction in
interest rate. Similarly, inflation measured by Consumer Price Index (CPI) also
remained mostly above 10% in F.Y. 2013. Unabated high price level throughout
the financial year dampened overall demand condition in the economy.
*Economic Survey Report
WORLD TEXTILE
INDUSTRY SCENARIO
The global textile and clothing trade marginally declined from USD 706 Billion in 2011 to USD 700 Billion in 2012. China’s export in 2012 grew by 3% to an estimated USD 260 Billion and represented 37.7% of the global textile and clothing trade. India’s export is estimated to decline to USD 31 Billion in 2012.
The production volume in the world textile industry in 2012 rose by 1.9% to 88.5 Million tonnes. This includes increase in manmade fibre segments while natural fibres were down by 4.3% to 32.5 Million tonnes. Manmade fibres went up by 6.0% to 56.0 Million tonnes.*
*The Fiber year, 2013
OVERALL VIEW OF THE COMPANY
In the previous year, while analyzing and discussing the performance of the Company and the Industry in general, the Management anticipated certain threats and challenges like, over capacity in Polyester POY, imports of Polyester Yarn / Fabrics, increasing Fuel Oil and Natural Gas prices, depreciation of rupee against dollar etc. In the year under review, as expected, it happened and remained throughout the year and impacted the performance of the Company. Overall, the performance was satisfactory due to efficient use of raw materials, overhead cost cuttings, better management of working capital and energy conservation.
During the year the company has successfully commissioned Polyester Filament yarn (POY and FDY) a direct spinning unit through MEG and PTA, thereby total capacity of the spinning has been increased from 53000 TPA to 82800 TPA. The commercial production of the same has been commenced since month of May, 2012 A host of new products have been introduced through close co-operation between Quality Control (R & D), Production and Marketing departments.
In the current financial year, the company is sourcing power through open access purchase under open access regulation has helped to substantially reduce our power cost by restricting the use of expensive natural gas based gen-set power plants.
The company’s manufacturing units have a locational advantages being situated in the Surat area. Its location gives it proximity to both raw material suppliers as well as end users.
CONTINGENT LIABILITIES
A. Letter of Credit Outstating (92,19,840 yen
and 12,300$ USD) as on 31.03.2013
B. Excise duty of Rs.0.352 Million was
demanded by the department, which has been paid but for which appeal has been
filed.
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge
Creation /Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10454663 |
17/10/2013 |
610,000,000.00 |
BANK OF BARODA |
UDHNA INDUSTRIAL
ESTATE BRANCH,, UDHNA UDYOG NAGAR SAHAKARI SANGH, SURAT, GUJARAT - 394210,
INDIA |
B87387890 |
|
2 |
10453328 |
27/09/2013 |
305,300,000.00 |
STATE BANK OF
INDIA |
MID CORPORATE
BRANCH, TRADE HOUSE,, RING ROAD, SURAT, GUJARAT - 395002, INDIA |
B86775962 |
|
3 |
10445381 |
03/07/2013 |
30,000,000.00 |
UNION BANK OF
INDIA |
3/2239, PIPARDI
SHERI, SALABATPURA MAIN ROAD, SURAT, GUJARAT - 395003, INDIA |
B83201665 |
|
4 |
10435467 |
02/07/2013 |
40,000,000.00 |
BANK OF BARODA |
UDHNA INDUSTRIAL
ESTATE BRANCH, UDHNA UDYOG NAGAR SAHAKARI SANGH, UDHNA, SURAT, GUJARAT -
395410, INDIA |
B79028726 |
|
5 |
10304812 |
17/08/2011 |
682,393,363.00 |
KBC BANK
DEUTSCHLAND AG |
WACHTSTRASSE 16,
BREMEN, - 28195, GERMANY |
B19872555 |
|
6 |
10151765 |
08/04/2009 |
3,340,000.00 |
HDFC BANK
LIMITED |
HDFC BANK HOUSE
SENAPATI BAPAT MARG, LOWER PAREL |
A60385036 |
|
7 |
10150799 |
26/03/2009 |
5,728,000.00 |
HDFC BANK
LIMITED |
HDFC BANK HOUSE SENAPATI
BAPAT MARG, LOWER PAREL |
A59828921 |
|
8 |
10140453 |
22/12/2008 |
1,632,000,000.00 |
BANK OF BARODA |
UDHNA INDUSTRIAL
ESTATE BRANCH, UDHNA UDHYOG NAGAR SAHKARI SANGH, UDHNA,, SURAT, GUJARAT -
394210, INDIA |
A53520201 |
|
9 |
90102753 |
02/02/2013 * |
4,866,300,000.00 |
BANK OF BARODA
AND 3 OTHERS |
UDHNA INDUSTRIAL
ESTATE BRANCH, UDHNA UDYOG NAGAR |
B67874222 |
|
10 |
90100088 |
08/08/2005 |
416,000,000.00 |
BANK OF BARODA |
UDHAN BRANCH,
SURAT, GUJARAT, INDIA |
- |
|
11 |
90096902 |
09/09/2005 * |
555,100,000.00 |
BANK OF BARODA |
UDIMA BRANCH,
SURAT, GUJARAT, INDIA |
- |
|
12 |
90099827 |
02/02/2013 * |
4,866,300,000.00 |
BANK OF BARODA
AND 3 OTHERS |
UDHNA INDUSTRIAL
ESTATE BRANCH, UDHNA UDYOG NAGAR |
B67874784 |
|
13 |
90099734 |
06/11/2003 |
35,000,000.00 |
BANK OF BARODA |
UDIMA BRANCH,
SURAT, GUJARAT, INDIA |
- |
|
14 |
90099492 |
21/03/2002 |
10,000,000.00 |
BANK OF BARODA |
UDHAN IND.
ESTATE BRANCH, SURAT, GUJARAT, INDIA |
- |
|
15 |
90096475 |
09/09/2005 * |
309,037,000.00 |
BANK OF BARODA |
UDIMA BRANCH,
SURAT, GUJARAT, INDIA |
- |
|
16 |
90102630 |
30/07/1997 |
309,037,000.00 |
BANK OF BARODA |
UDHAN BRANCH,
SURAT, GUJARAT, INDIA |
- |
|
17 |
90098618 |
13/06/1997 |
97,500,000.00 |
BANK OF BARODA |
CENTRAL RAOD NO.
10 UDHNA, UDHYOGNAGAR SAHKARI S |
- |
|
18 |
90098533 |
26/12/1996 |
37,500,000.00 |
BANK OF BARODA |
UDHAN IND.
ESTATE BRANCH, SURAT, GUJARAT - 394210, INDIA |
- |
|
19 |
90098183 |
21/03/2002 * |
47,500,000.00 |
BANK OF BARODA |
UDHAN IND.
ESTATE BRANCH, SURAT, GUJARAT, INDIA |
- |
* Date of charge modification
FIXED ASSETS:
· Land
· Building
· Plant and Machinery
· Furniture, Fixture and Equipments
·
Vehicle
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 : |
NYA |
|
|
|
|
Report Prepared
by : |
NIT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
43 |
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.