MIRA
INFORM REPORT
|
Report Date : |
17.01.2014 |
IDENTIFICATION DETAILS
|
Name : |
CYBERTECH SYSTEMS AND SOFTWARE LIMITED
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Registered
Office : |
“Cybertech House”, Plot No.B-63/64/65, Road No.21/34, J.B. Sawant Marg, MIDC, Wagle Estate, Thane (West) – 400604, Maharashtra |
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Country : |
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Financials (as
on) : |
31.03.2013 |
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Date of
Incorporation : |
19.01.1995 |
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Com. Reg. No.: |
11-084788 |
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Capital
Investment / Paid-up Capital : |
Rs.264.713 Millions |
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CIN No.: [Company Identification
No.] |
L72100MH1995PLC084788 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
PNEC06592F |
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PAN No.: [Permanent Account No.] |
AAACC1905B |
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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
: |
Providing Information Technology Services. |
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No. of Employees
: |
434 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (46) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 2500000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Exist |
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Comments : |
Subject is an
established company having a satisfactory track record. Trade relations are
reported as fair. Business is active. Payments are reported to be usually correct
and as per commitments. 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.
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 DECLINED BY
|
Name : |
Mr. Amin Niranjan |
|
Designation : |
Assistant General Manager (Finance and Accounts) |
|
Contact No.: |
91-22-25834643 |
|
Date : |
16.01.2014 |
LOCATIONS
|
Registered Office/ Research and Development Center : |
“Cybertech House”, Plot No.B-63/64/65, Road No.21/34, J.B. Sawant Marg, MIDC, Wagle Estate, Thane (West) – 400604, Maharashtra, India |
|
Tel. No.: |
91-22-25834643/ 25834644/ 25834645/ 25831258-59 |
|
Fax No.: |
91-22-25832574 |
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E-Mail : |
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Website : |
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Location : |
Owned |
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Branch Office : |
MAPS Towers, 1st Floor, Plot No.409, Road
No.81, Jubilee Hills, |
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Tel. No.: |
91-40-23550027 |
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Fax No.: |
91-40-23550029 |
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Location : |
Rented |
DIRECTORS
(AS ON 31.03.2013)
|
Name : |
Mr. Viswanath Tadimety |
|
Designation : |
Chairman |
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|
Name : |
Mr.
Ramasubramanian Sankaran |
|
Designation : |
Executive Director |
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|
Name : |
Mr. Steven Jeske |
|
Designation : |
Director |
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Date of Birth/Age : |
09.12.1952 |
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Qualification : |
Certified Public
Accountant and M.B.A. from Chicago University U.S.A. |
|
Experience in
specific Functional Areas : |
He was formerly the
CFO of several start ups including Petcare Plus, Inc., a US $100 m retailer
and VSMLP, a Blockbuster Video Franchise |
|
Date of Appointment : |
30.09.2008 |
|
|
|
|
Name : |
Mr. Prakash Kenjale |
|
Designation : |
Director |
|
Date of Birth/Age : |
15.01.1950 |
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Qualification : |
M. Tech. from IIT, Kanpur |
|
Experience in
specific Functional Areas : |
Rich experience
of 31 years in the IT industry within the country and abroad at senior level
including CEO |
|
Date of Appointment : |
28.09.2006 |
|
|
|
|
Name : |
Mr. Sudhir Joshi |
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Designation : |
Director |
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|
Name : |
Mr. M.P. Bharucha |
|
Designation : |
Director |
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|
Name : |
Mr. Rahul Ghosh |
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Designation : |
Director |
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|
Name : |
Dr. Shreepad Karmalkar |
|
Designation : |
Director |
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|
|
Name : |
Dr. N. L. Sarda |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. Sateesh Wadagbalkar |
|
Designation : |
Company Secretary |
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|
|
|
Name : |
Mr. Amin Niranjan |
|
Designation : |
Assistant General Manager (Finance and Accounts) |
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 |
|
|
|
|
|
|
|
|
113340 |
0.43 |
|
|
113340 |
0.43 |
|
|
|
|
|
|
|
|
|
|
8894785 |
33.60 |
|
|
650000 |
2.46 |
|
|
9544785 |
36.06 |
|
|
|
|
|
Total
shareholding of Promoter and Promoter Group (A) |
9658125 |
36.49 |
|
|
|
|
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
18 |
0.00 |
|
|
48133 |
0.18 |
|
|
575 |
0.00 |
|
|
575 |
0.00 |
|
|
48726 |
0.18 |
|
|
|
|
|
|
|
|
|
|
410499 |
1.55 |
|
|
|
|
|
|
|
|
|
|
6091109 |
23.01 |
|
|
3542880 |
13.38 |
|
|
|
|
|
|
6720004 |
25.39 |
|
|
142888 |
0.54 |
|
|
1376671 |
5.20 |
|
|
1300445 |
4.91 |
|
|
3900000 |
14.73 |
|
|
16764492 |
63.33 |
|
|
|
|
|
Total Public
shareholding (B) |
16813218 |
63.51 |
|
|
|
|
|
Total (A)+(B) |
26471343 |
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) |
26471343 |
100.00 |
(1) Indian
Individuals / Hindu Undivided Family
Foreign Financial InstitutionsShareholding of securities (including shares, warrants, convertible
securities) of persons belonging to the category Promoter and Promoter Group
|
Sl. No. |
Name of the Shareholder |
Details of Shares held |
Total shares (including underlying shares assuming
full conversion of warrants and convertible securities) as a % of diluted
share capital |
|
|
No. of Shares held |
As a % of grand total (A)+(B)+(C) |
|
||
|
1 |
Sukhada Tadimety |
7,12,750 |
2.69 |
2.69 |
|
2 |
Amogha Tadimety |
2,54,320 |
0.96 |
0.96 |
|
3 |
Shanta Radhakrishna Shanbhag |
58,275 |
0.22 |
0.22 |
|
4 |
Jyothi Tadimety |
30,000 |
0.11 |
0.11 |
|
5 |
Viswanath Tadimety |
55,44,382 |
20.94 |
20.94 |
|
6 |
Steven Jeske |
23,83,333 |
9.00 |
9.00 |
|
7 |
Red Banyan Holdings LLC |
6,50,000 |
2.46 |
2.46 |
|
8 |
Seetha Rama Chandra Rao Tadimety |
25,065 |
0.09 |
0.09 |
|
|
Total |
96,58,125 |
36.49 |
36.49 |
(*) 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
|
Sl. No. |
Name of the Shareholder |
No. of Shares held |
Shares as % of Total No. of Shares |
Total shares (including underlying shares
assuming full conversion of warrants and convertible securities) as a % of
diluted share capital |
|
|
1 |
Indotech Holdings LLC |
3900000 |
14.73 |
14.73 |
|
|
2 |
Joseph Michael Vanek Trustee |
1300000 |
4.91 |
4.91 |
|
|
3 |
Prasad Rao Vellaturi |
1131810 |
4.28 |
4.28 |
|
|
|
Total |
6331810 |
23.92 |
23.92 |
Shareholding of
securities (including shares, warrants, convertible securities) of persons (together
with PAC) belonging to the category “Public” and holding more than 5% of the
total number of shares of the company
|
Sl. No. |
Name(s) of the shareholder(s) and the Persons
Acting in Concert (PAC) with them |
No. of Shares |
Shares as % of Total No. of Shares |
Total shares (including underlying shares
assuming full conversion of warrants and convertible securities) as a % of
diluted share capital |
|
|
1 |
Indotech Holdings LLC |
3900000 |
14.73 |
14.73 |
|
|
|
Total |
3900000 |
14.73 |
14.73 |
BUSINESS DETAILS
|
Line of Business : |
Providing Information Technology Services. |
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Products : |
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GENERAL INFORMATION
|
No. of Employees : |
434 (Approximately) |
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Bankers : |
v
ICICI Bank Limited v State Bank of
India |
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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|
Name : |
Lodha and Company Chartered Accountants |
|
Address : |
Mumbai, Maharashtra, India |
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|
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Solicitors and Advocates : |
|
|
Name : |
Bharucha and Partners |
|
Address : |
Mumbai, Maharashtra, India |
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Wholly Owned
Subsidiary : |
CyberTech Systems and Software Inc. USA (CSSI) |
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|
|
Subsidiary : |
CyberTech Middle East W.L.L.(Bahrain) (CME) |
CAPITAL STRUCTURE
AS ON 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
36000000 |
Equity Shares |
Rs.10/- each |
Rs.360.000 millions |
|
|
|
|
|
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
26476302 |
Equity Shares |
Rs.10/- each |
Rs.264.763
millions |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
26471343 |
Equity Shares |
Rs.10/- each |
Rs.264.713
millions |
|
|
|
|
|
[Allotment of 4959 bonus shares on 3967 Equity shares is pending on
account of non-establishment of beneficial ownership by NSDL.]
Reconciliation of
Share Capital
|
Particulars |
As at March 31,
2013 |
|
|
No of shares |
Amount (Rs. in millions) |
|
|
At beginning of the year |
26476302 |
264.763 |
|
Addition during the year |
-- |
-- |
|
Outstanding at
the end of the year |
26476302 |
264.763 |
Terms/rights
attached to equity shares
The Company has
issued one class of equity shares having a face value of Rs.10 per share. Each shareholder
has right to vote in respect of such share, on every resolution placed before
the Company and his voting right on a poll shall be in proportion to his share
of the paid -up equity capital of the Company. In the event of liquidation, the
equity shareholders are entitled to receive the remaining assets of the Company
after payments to secured and unsecured creditors, in proportion to their
shareholding.
Shareholders
holding more than 5% of the equity shares:
|
Particulars |
As at March 31,
2013 |
|
|
No of shares |
% |
|
|
Tadimety Viswanath |
5457589 |
20.62% |
|
Steven Jeske |
2383333 |
9.00% |
|
Indotech Holdings LLC |
3900000 |
14.73% |
During the
previous five years, the Company has not issued Bonus shares/ bought back shares/issued
shares for consideration other than cash.
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 |
264.713 |
264.713 |
264.713 |
|
(b) Reserves & Surplus |
372.328 |
291.457 |
271.582 |
|
(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) |
637.041 |
556.170 |
536.295 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.00 |
|
(b) Deferred tax liabilities (Net) |
17.385 |
17.311 |
19.133 |
|
(c) Other long term liabilities |
13.084 |
6.783 |
4.989 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total Non-current Liabilities (3) |
30.469 |
24.094 |
24.122 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
13.881 |
0.000 |
0.000 |
|
(b) Trade payables |
49.708 |
37.925 |
17.773 |
|
(c) Other current
liabilities |
13.701 |
6.431 |
30.608 |
|
(d) Short-term provisions |
84.299 |
43.472 |
39.383 |
|
Total Current Liabilities (4) |
161.589 |
87.828 |
87.764 |
|
|
|
|
|
|
TOTAL |
829.099 |
668.092 |
648.181 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
157.012 |
160.029 |
163.119 |
|
(ii) Intangible Assets |
3.722 |
4.147 |
4.265 |
|
(iii) Capital
work-in-progress |
123.479 |
56.521 |
6.212 |
|
(iv) Intangible
assets under development |
15.056 |
3.853 |
0.598 |
|
(b) Non-current Investments |
106.303 |
106.302 |
124.962 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
4.634 |
4.236 |
3.060 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
410.206 |
335.088 |
302.216 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
227.358 |
77.986 |
172.397 |
|
(b) Inventories |
0.000 |
0.000 |
0.000 |
|
(c) Trade receivables |
146.576 |
148.442 |
83.018 |
|
(d) Cash and cash
equivalents |
30.198 |
36.327 |
11.227 |
|
(e) Short-term loans and
advances |
6.793 |
62.764 |
69.556 |
|
(f) Other current assets |
7.968 |
7.485 |
9.767 |
|
Total Current Assets |
418.893 |
333.004 |
345.965 |
|
|
|
|
|
|
TOTAL |
829.099 |
668.092 |
648.181 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
340.111 |
256.793 |
168.190 |
|
|
|
Other Income |
107.816 |
56.193 |
74.724 |
|
|
|
TOTAL (A) |
447.927 |
312.986 |
242.914 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Hardware/Software package for service delivery |
1.372 |
8.425 |
7.931 |
|
|
|
Employee Benefits Expense |
201.966 |
155.939 |
111.286 |
|
|
|
Other Expenses |
65.796 |
52.939 |
41.172 |
|
|
|
Exceptional Items |
0.000 |
9.135 |
0.000 |
|
|
|
TOTAL (B) |
269.134 |
226.438 |
160.389 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
178.793 |
86.548 |
82.525 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
0.691 |
0.129 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
178.102 |
86.419 |
82.525 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
16.187 |
15.700 |
16.290 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
161.915 |
70.719 |
66.235 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
50.074 |
20.078 |
18.635 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
111.841 |
50.641 |
47.600 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
126.790 |
106.920 |
90.182 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Proposed Dividend |
|
|
26.471 |
|
|
|
Dividend Distribution Tax |
|
|
4.396 |
|
|
BALANCE CARRIED
TO THE B/S |
207.661 |
126.790 |
106.915 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Information Technology Services |
302.719 |
233.327 |
150.005 |
|
|
TOTAL EARNINGS |
302.719 |
233.327 |
150.005 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
4.22 |
1.91 |
1.80 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
24.97
|
16.18
|
19.60 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
47.61
|
27.54
|
39.38 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
27.71
|
14.10
|
12.83 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.25
|
0.13
|
0.12 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.02
|
0.00
|
0.00
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.59
|
3.79
|
3.94 |
LOCAL AGENCY FURTHER INFORMATION
CURRENT MATURITY
OF LONG TERM BORROWINGS DETAIL: 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 |
Yes |
|
9] |
Name of person contacted |
Yes |
|
10] |
Designation of contact person |
Yes |
|
11] |
Turnover of firm for last three years |
Yes |
|
12] |
Profitability for last three years |
Yes |
|
13] |
Reasons for variation <> 20% |
----- |
|
14] |
Estimation for coming financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
----- |
|
22] |
Litigations that the firm / promoter
involved in |
Yes |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking account |
----- |
|
26] |
Buyer visit details |
----- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of Proprietor/Partner/Director, if
available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director,
if available |
No |
|
34] |
External Agency Rating, if available |
No |
------------------------------------------------------------------------------------------------------------------------------
CASE
DETAILS
BENCH – BOMBAY
|
Lodging No.: |
ITXAL/1079 /2012 |
Filing Date : |
18/07/2012 |
Reg. No.: |
ITXA/96 /2013 |
Reg. Date : |
10/01/2013 |
|
Petitioner: |
Commissioner of Income Tax – 8,- |
Respondent : |
Cybertech Systems and Software Ltd |
|
|
|
|
|
|
Petn. Adv.: |
Tejversingh (0) |
Resp. Adv.: |
Rajesh Shah and Company (0) |
|
District : |
MUMBAI |
|
|
|
Bench : |
Division |
|
|
|
Status |
Admitted (Unready) |
Category |
Tax Appeals |
|
Last Date : |
30/01/2013 |
Stage: |
For Admission – Fresh |
|
Last Coram: |
Hon’ble Shri Justice J. P. Devadhar |
|
|
|
|
Hon’ble Shri Justice M. S. Sanklecha |
|
|
|
Act : |
Income tax Act, 1961 |
Under Section : |
260A |
------------------------------------------------------------------------------------------------------------------------------
UNSECURED LOANS
COMPANY OVERVIEW
The Company is an Information
Technology service provider, delivering its services to customers primarily in
the USA, India and Japan with focus on several core software technology
applications including SAP’s Enterprise Suite and ESRI’s Geospatial and Mapping
solutions as well as Network Planning and Design and Custom Software
Application Development. The Company continues to focus on delivering its
development and support projects on an offshore basis.
REVIEW OF THE
COMPANY’S STAND ALONE PERFORMANCE
The Company’s
primary focus continues to be delivering offshore development and support
services in the Company’s core technology areas. The Company has made an effort
to develop a product suite that is useful for all Municipalities requirements.
This year saw a raise in Offshore and Domestic revenue compared to last year.
During the year company received refunds from Income Tax Department that were
contested in the Appellate Authorities by the Income Tax Department.
Additionally, the Company continued to receive income from surplus office
premises as rental income.
The Company’s performance for the year on standalone basis is as
follows:
• Total revenue
during the year 2012-13 amounted
to Rs.447.930 Millions as
compared to Rs.312.990 Millions during the previous year. Total revenue is
comprised of revenue from operations and other income, as follows.
• Revenue from
operations for the year ended March 31,
2013 amounted to Rs.340.110
Millions as against Rs.256.790 Millions for the previous year.
Operating revenue includes both software support and development activities.
Revenue is increased by 32.45% due to increase in domestic business in India as
well as Offshore business.
• Other Income
amounted to Rs.107.820 millions
as against Rs.56.190 millions for the previous year.
• Profit before
interest, depreciation and tax amounted to Rs.178.790 millions against Rs.86.550 millions in the previous
year. Thus, Profit before interest , depreciation and tax increased by whopping
106.57%
BUSINESS
OPERATIONS OVERVIEW AND OUTLOOK
The company has
been exploring new areas which have the potential growth to Company’s business
and recently has come up with an application catering to various Municipal
offices of Local Government.
Subject India
Business Unit, on Friday, 17th May 2013, announced the launch of GeoCivic™, its
GIS-based application suite. GeoCivic™ is a comprehensive suite of GIS
applications, designed to help Local Governments, leverage geographic
intelligence for optimum civic planning and development.
The launch, held
at the Trident, Nariman Point, Mumbai, was a success with the presence of many
senior dignitaries from leading Local and State Governments across the country.
Highly informative sessions delivered by subject leadership and product teams
threw light on how Indian Local Governments can leverage GeoCivic™ to drive
their mission-critical governance objectives.
The event also
boasted of a very impressive list of guest speakers, including some of the very
prominent Senior Indian Government Delegates and Global Technology Thought
Leaders. The event marked the beginning of subject journey in India as a
market-driven, IP-centric technology solutions provider. The company believes
that this product suite will be major factor for the company’s future business
growth.
EXPANSION
ACTIVITIES
To augur the
business growth the company is increasing the existing building by another
floor and this will create additional capacity of around 25000 Sq. ft, the
construction of which is expected to be completed by the end of December 2013.
MANAGEMENT
DISCUSSION AND ANALYSIS
INDUSTRY OVERVIEW
Changing economic
and business conditions and rapid technological innovation are creating an
increasingly competitive market environment that is driving corporations to
transform their operations. Consumers of products and services are increasingly
demanding accelerated delivery times and lower prices. Companies are focusing
on their core competencies and are using outsourced technology service
providers to adequately address these needs. The role of technology has evolved
from supporting corporations to transforming them. There is an increasing need
for highly skilled technology professionals in the markets in which we operate.
At the same time, corporations are reluctant to expand their internal IT
departments and increase costs. These factors have increased corporations’
reliance on their outsourced technology service providers and are expected to
continue to drive future growth for outsourced technology services.
BUSINESS OVERVIEW
Indian Geospatial
Market is on the verge of a humongous growth. We are witnessing huge growth
spurts; companies are bagging projects that are valued more than the total
annual revenue of Company. In the early 1990s, most Indian GIS companies relied
on outsourced business from overseas market with US accounting for bulk of
business followed by UK/Europe. Indian business used to account for less that
10 per cent of the overall business of large companies. However, trends are
changing and so is the equation as business from the Indian market is
increasing and what is noticeable is a fine geographic mix of business. It is a
welcome change, albeit a bit slow.
OVERVIEW
Subject is a
provider of next-generation geospatial, networking and enterprise IT solutions.
The Company delivers its services primarily to customers in the USA and India,
it continues to focus on delivering its development and support projects on an
offshore basis. As the bulk of its services are currently delivered in other
countries, the Company remains subject to the effect of changes in the relative
values of the respective country currencies.
Company’s success
stems from its strong technology and business partnerships with industry
leaders like ESRI, SAP, CISCO and MICROSOFT. Company works strategically with
its partners to deliver mission critical solutions for leading businesses and
government establishments across the globe.
The Company has
also invested its capital in expanding its building premises, its wholly owned
subsidiary in the United States and in its joint venture Company in the Middle
East. The Company realizes rental income from its unutilized office premises
COMPANY OPERATIONS
CyberTech is a
global information technology firm providing professional consulting services
in the following practice areas:
• SAP - ERP
application providers (including Implementation, Upgrade and Post
Implementation Support Services)
• Network
Services – based on Cisco Systems technologies (including planning and design
services, public safety solutions, data center support and Cisco support
services)
• GIS –
Geo-database Creation, Municipal GIS Application Development, Enterprise GIS
Application Development, mapping solution and Geospatial applications
Integration, Implementation Post Implementation Support.
• Custom
Technologies - including Microsoft, Oracle and IBM (Application
Development, Integration and Maintenance)
The Company
maintains Advanced Technology Centers (“ATC”) for the development and support of
SAP, ESRI, Cisco and Microsoft technologies. Operations of the Company are
completely integrated with its subsidiaries. The Company performs delivery
management including offshore development and support, finance and
administrative functions for the consolidated group. CyberTech Systems and
Software, Inc. (USA) (also known as “CSSI”) is the wholly owned US subsidiary
of the Company formed in June 2003. This Subsidiary focuses on customer facing
and business development activities including pre-sales, marketing, sales and
onsite project/program management activities. CSSI focus is to sell both
on-site and offshore Information Technology services in the practice areas
mentioned above.
CONTINGENT
LIABILITIES (AS ON 31.03.2013):
a) Disputed Income
Tax Matters:
i) Regular demand under assessment (including interest upto the date of
demand) Rs.30.224 millions
ii) Penalties and Interest upto the date of demand of Rs.58.199 millions
iii) Other Income Tax proceedings in respect of earlier years decided in
the Company’s favour by the Appellate Authorities against which the Department
is in further appeals excluding further interest liability, if any: Rs.3.770 millions
iii) Other Income Tax proceedings in respect of earlier years decided in
favour of the Company by the Appellate Authorities against which the Department
is in further appeals excluding further interest liability, if any: Rs.3.770 Millions During the
current year, the Company has received Income Tax refunds of Rs.189.474 Millions (including
interest amount of Rs.74.081)
towards Assessment years 1997-98, 1998-99 and 1999-00, pursuant to the
favourable Order from Income Tax Appellate Tribunal. The Income Tax Department
has filed an appeal against the said Order with the Hon’ble High Court, Mumbai.
Accordingly, the Company has, however continued the provision of
Rs.12196182.900 Millions made in earlier years. The Company has accounted for
the aforesaid interest on income tax refund.
b) Disputed Service Tax Matters Rs.6.608 millions
INDEX OF CHARGES:
|
S. No. |
Charge ID |
Date of Charge
Creation/ Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10374142 |
31/12/2013 * |
112,170,000.00 |
ICICI BANK
LIMITED |
LANDMARKRACE COURCE
CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA |
B93608800 |
* Date of charge modification
FIXED ASSETS:
Tangible Assets
· Leasehold Land
· Buildings
· Plant and Equipment
· Furniture and Fixtures
· Vehicles
· Office Equipment
· Computers
Intangible Assets
· 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.61.53 |
|
|
1 |
Rs.100.73 |
|
Euro |
1 |
Rs.83.84 |
INFORMATION DETAILS
|
Information Gathered
by : |
HNA |
|
|
|
|
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 |
6 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--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 |
|
46 |
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.