MIRA INFORM REPORT
|
Report Date : |
02.07.2014 |
IDENTIFICATION DETAILS
|
Name : |
PRECISION WIRES INDIA LIMITED |
|
|
|
|
Registered
Office : |
Saiman House, J.A. Raul Street, Off Sayani Road, Prabhadevi, Mumbai -
400 025, Maharashtra |
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|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
23.11.1989 |
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|
|
|
Com. Reg. No.: |
11-054356 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.115.644
Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L31300MH1989PLC054356 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMP15082E/ MUMP06148C |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACP7555L |
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|
Legal Form : |
Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges. |
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Line of Business
: |
The Company is engaged in manufacture of winding wires of copper. |
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|
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|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (53) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
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|
|
Litigation : |
Clear |
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Comments : |
Subject is an established company having fine track record. Financial position of the company seems to be good. However, trade relations are reported to be fair. Business is active.
Payments are reported to be regular and as per commitment. The company can be considered for normal business dealing on a 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
N E W S
The economy grew 4.7 %in 2013/14, marking a
second straight year of sub-5 % growth – the worst slowdown in more than a
quarter of a century. The data was below an official estimate of 4.9 % annual
growth and compared with 4.5 % in the last fiscal year. However, the current
account deficit narrowed sharply to $ 32.4 billion at 1.7 % of gross domestic
product, in 2013/14 from a record high of $ 98.8 billion or 4.7 %, the year
before.A sharp fall in gold imports due to restrictions on overseas purchases
and muted import of capital goods helped shrink the current account deficit.
Online retailer Flipkart has acquired fashion
portal Myntra as it prepares to battle with the rapidly expanding India arm of
the global e-commerce giant Amazon. The company raised $ 210 million from
Russian Investment firm DST Global which has also invested in companies like
Facebook, Twitter and Alibaba Group.
General Motors will start exporting vehicles
from its Talegaon plant near Pune in the second half of 2014. GM was one of the
few global carmakers that was using its India plant only for the domestic
market.
Google has overtaken Apple as the world’s top
brand in terms of value, according to global market research agency Millward
Brown. Google’s brand value shot up 40 % in a year to $ 158.84 billion. The top
10 of the 100 slots were dominated by US companies.
Infosys lost another heavy weight when B G
Srinivas, a board member put in his papers. He is the third CEO-hopeful to quit
after Chairman N R Narayana Murthy’s return to the company – Ashok Vemuri and V
Balakrishnan being the other two.While Vemuri went on to lead IGate,
Balakrishnan joined politics.
Naresh Goyal – promoted Jet Airways posted
biggest quarterly loss – Rs 2153.37 crore – in the three months ended March 31,
mainly because it has been offering discounts to passengers to fill planes.
William S Pinckney – Chairman and CEO of
Amway India was arrested by the Andhra Pradesh Police in connection with a
complaint against the direct selling firm. This is the second time that he has
been taken into custody. A year, ago the Kerala Police had arrested Pinckney
and two company directors on charges of financial irregularities.
China has told its state-owned enterprises to
sever links with American consulting firms after the United States charged five
Chinese military officers wih hacking US companies. China’s action which
targets consultancies like McKinsey & Co. and the Boston Consulting Group,
sterns from fears that the first are providing trade secrets to the US
governments.
India has emerged as a country with some of the
highest unregistered businesses in the world. Indonesia has the maximum number
of shadow businesses, says a study of 68 countries by Imperial College Business
School in London.
Pfizer has abandoned its attempt to buy AstraZeneca
for nearly $ 118 billion after the latter refused an offer of 55 pounds a
share.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
Care Ratings |
|
Rating |
Long Term Bank Facilities=A- |
|
Rating Explanation |
Have adequate degree of safety and carry low
credit risk. |
|
Date |
11.09.2013 |
|
Rating Agency Name |
Care Ratings |
|
Rating |
Short Term Rating=A1 |
|
Rating Explanation |
Have very strong degree of safety and carry
lowest credit risk. |
|
Date |
11.09.2013 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
LOCATIONS
|
Registered Office : |
Saiman House, |
|
Tel. No.: |
91-22-24360089, 24376281 (EPABX) |
|
Fax No.: |
91-22-24362593, 24370687 |
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E-Mail : |
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|
Website : |
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Factory 1 : |
Unit I and II : Atlas Wire Plot Survey No.125/2, Amli Hanuman (66KVA) Road, Silvassa – 396 230,
Union Territory of Dadra and Nagar Haveli, India |
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Factory 2 : |
Palej Unit : Atlas Wire Plot No.3, |
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Branch Office : |
Sector - 4, Gautam Budh Nagar, Noida, Uttar Pradesh, India |
DIRECTORS
AS ON 31.03.2013
|
Name : |
Mr. Mahendra R. Mehta |
|
Designation : |
Chairman and Managing Director and Chief Executive Officer |
|
Date of Birth
& Age : |
84 Years |
|
Experience : |
61 Years |
|
Date of
Commencement of Employment : |
June, 1975 |
|
|
|
|
Name : |
Mr. |
|
Designation : |
Vice Chairman and Managing Director |
|
Date of Birth
& Age : |
50 Years |
|
Qualifications : |
B.S. (E.E.) |
|
Experience : |
28 Years |
|
Date of
Commencement of Employment : |
April, 1996 |
|
|
|
|
Name : |
Mr. Deepak M. Mehta |
|
Designation : |
Whole Time Director |
|
Date of Birth
& Age : |
56 Years |
|
Qualifications : |
B.Com |
|
Experience : |
33 Years |
|
Date of
Commencement of Employment : |
January, 1989 |
|
|
|
|
Name : |
Mr. P.N. Vencatesan |
|
Designation : |
Independent and Non-Executive Director |
|
Date of Birth
& Age : |
18.08.1926 |
|
Qualifications : |
Chartered Accountant |
|
Expertise in
specific function : |
Renowned Management Consultant |
|
|
|
|
Name : |
Mr. Vijay M. Crishna |
|
Designation : |
Independent and Non-Executive Director |
|
Date of Birth
& Age : |
08.03.1945 |
|
Qualifications : |
B.A.(Economics) |
|
Experience : |
Expertise in Engineering and I.T. Industry and extensive managerial experience |
|
|
|
|
Name : |
Mr. Ashwin P. Kothari |
|
Designation : |
Independent and Non-Executive Director |
|
Date of Birth
& Age : |
14.09.1942 |
|
Qualifications : |
S.B.(MIT) |
|
Experience : |
Expertise in Ferrous and Non Ferrous Metal and Chemical Industries. |
|
|
|
|
Name : |
Mr. Pratap R Merchant |
|
Designation : |
Independent and Non-Executive Director |
|
Date of Birth
& Age : |
02.03.1935 |
|
Qualifications : |
B.Com., CAIIB- I |
|
Expertise in
specific function : |
Ex-Banker and has rich experience in Banking and Finance Sectors |
|
|
|
|
Name : |
Mr. Pradip Roy |
|
Designation : |
Additional Independent and Non-Executive Director |
KEY EXECUTIVES
|
Name : |
Ms. Rajni M. Lalwani |
|
Designation : |
Company Secretary |
SHAREHOLDING PATTERN
AS ON 31.03.2014
|
Category of Shareholders |
No. of Shares |
Percentage
of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
Individuals / Hindu Undivided Family |
5165115 |
44.67 |
|
|
1734668 |
15.00 |
|
|
6899783 |
59.67 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
6899783 |
59.67 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
1100 |
0.01 |
|
|
1100 |
0.01 |
|
|
|
|
|
|
455479 |
3.94 |
|
|
|
|
|
|
2306267 |
19.94 |
|
|
1621446 |
14.02 |
|
|
279548 |
2.42 |
|
|
51000 |
0.44 |
|
|
227548 |
1.97 |
|
|
1000 |
0.01 |
|
|
4662740 |
40.32 |
|
Total Public shareholding (B) |
4663840 |
40.33 |
|
Total (A)+(B) |
11563623 |
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) |
11563623 |
0.00 |
Shareholding of securities (including shares, warrants,
convertible securities) of persons belonging to the category Promoter and
Promoter Group
|
Category of Shareholders |
No. of Shares |
Percentage
of Holding |
|
Mahendra R Mehta |
15,49,034 |
13.40 |
|
Milan M Mehta |
5,08,223 |
4.40 |
|
Milan M Mehta HUF |
2,79,725 |
2.42 |
|
Deepak M Mehta |
4,14,060 |
3.58 |
|
Deepak M Mehta HUF |
1,53,100 |
1.32 |
|
Sharda M Mehta |
8,12,554 |
7.03 |
|
Nirbhay Deepak Mehta |
4,44,825 |
3.85 |
|
Sujata D Mehta |
3,89,572 |
3.37 |
|
Gira M Mehta |
2,98,572 |
2.58 |
|
Arjun Milan Mehta |
1,58,975 |
1.37 |
|
Maithili Milan Mehta |
1,56,475 |
1.35 |
|
Galvawire Agencies Private Limited |
17,34,668 |
15.00 |
|
Total |
68,99,783 |
59.67 |
(*) The term encumbrance has the same meaning as assigned to
it in regulation 28(3) of the SAST Regulations, 2011.
Shareholding of securities (including shares, warrants,
convertible securities) of persons belonging to the category Public and holding
more than 1% of the total number of shares
|
Category of Shareholders |
No. of Shares |
Percentage
of Holding |
|
KCP Sugar and Industries Corporation Limited |
140374 |
1.21 |
|
Anita Ravinder Bhandari |
134000 |
1.16 |
|
Total |
274374 |
2.37 |
BUSINESS DETAILS
|
Line of Business : |
The Company is engaged in manufacture of winding wires of copper. |
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Products : |
|
PRODUCTION STATUS (AS ON 31.03.2011)
(A) Capacities and
Production - rounded off to the nearest Metric Ton (MT)
|
I CAPACITY @ |
Licensed |
Installed MTs. |
|
a) Winding Wires made of Copper, all types # |
## @@ |
33540 |
|
b) Wire Enamels / Resins ** |
## |
1750 |
NOTES:
@ As certified by
the Managing Director and accepted by the Auditors.
## Licensed
Capacity per annum is not indicated due to the abolition of Industrial licenses
as per Notification No. 477 (E) dated July 25,
1991 issued under
The Industries (Development and Regulation) Act, 1951
** For Wire Enamels/Resins, Capacity clubbed together.
|
@@ |
MTs. |
|
Installed Capacity as on 31.3.2010 |
29100 |
|
Add : New capacity addition during the year Installed Capacity as on
31.3.2011 |
4440 |
|
|
33540 # |
# This excludes an effective capacity of 1500 MTs Per Year of Palej
Plant which operated for part of the year.
II PRODUCTION
|
Winding Wires Made
of Copper (Finished Goods) |
2010-2011 (MTs.) |
||
|
Own Account |
Job Work Basis |
Total |
|
|
a) Enamelled Round Wires |
16236 |
4228 ** |
20464 |
|
b) Other - all types |
1419 |
3949 |
5368 |
|
|
17655 |
8177 |
25832 |
** Excludes
Production of 18 MTs Interunit Enamelled Winding Wires made of copper done by
Unit II for Unit Palej on Jobwork basis.
c) Bare Copper Wires
/ Strips (intermediate Products, used for Capative consumption only)
|
|
MTs 2010-2011 |
MTs 2009-2010 |
|
Jobwork - Inter Unit Unit I Unit II Palej Unit |
76 559 141 |
327 338 0 |
|
Total |
776 |
665 |
|
d) Waste and Scrap
of Copper generated during process on Total Production of items covered under
a and b above. (Includes 12 MT(16 MT) scrap generated from Rejected Finished Goods
Returned by Customers) |
** |
1193 |
|
**Out of the above, 72 MT (100 MT) of Waste and Scrap of Copper was
dispatched for conversion into Copper Rods on Jobwork basis. |
||
|
|
|
|
|
e) Wire Enamels
/ Resins |
@ |
988 |
|
@ (Includes 22 (30) MTs, Resin (an Intermediate Product used for Production
of Wire Enamel) |
||
ENERAL INFORMATION
|
No. of Employees : |
Not Available |
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|
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|
Bankers : |
·
Bank of Baroda, Palej – 392 220, Bharuch,
Gujarat, India ·
BNP Paribas, Fort, Mumbai, Maharashtra, India |
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|
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|
Facilities : |
NOTES: Bank
borrowings from Bank of Baroda (Term Loan and Working Capital facilities) are
secured by a first charge on Hypothecation of Machinery, Stock-in-Trade, Book
debts and Equitable Mortgage of Land, Factory and Residential Buildings of
the Company and in addition, are guaranteed by Executive Directors. |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S.R. Divatia and Company Chartered Accountants |
|
Address : |
221, Avon Arcade, D.J. Road, Near Railway Station, Vile Parle (West), Mumbai - 400 056, Maharashtra, India |
|
Tel. No.: |
91-22-26160791/ 26631923 |
|
Fax No.: |
91-22-26104926 |
|
E-Mail : |
CAPITAL STRUCTURE
AS ON 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
12000000 |
Equity Shares |
Rs.10/- each |
Rs.120.000 Millions |
|
3000000 |
Unclassified Shares |
Rs.10/- each |
Rs.30.000 Millions |
|
|
|
|
|
|
|
Total
|
|
Rs.150.000
Millions |
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
11565223 |
Equity Shares |
Rs.10/- each |
Rs.115.652
Millions |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
11563623 |
Equity Shares |
Rs.10/- each |
Rs.115.636
Millions |
|
|
Add: Forfeiture of 1600 Equity Shares (Amount originally paid up) |
|
Rs.0.008
Million |
|
|
|
|
|
|
|
Total |
|
Rs.115.644 Millions |
The details of
Shareholders holding more than 5% shares:
|
Name of the
Shareholder |
No. of Shares held |
% held |
|
Galvawire Agencies Private Limited |
1734668 |
15.00% |
|
Mahendra R. Meh |
1551635 |
13.00% |
|
Sharda M. Mehta |
812453 |
7.00% |
|
Milan M. Mehta (including as Karta of HUF) |
787948 |
7.00% |
The reconciliation of
the number of shares outstanding is set out below:
|
Particulars |
No. of Shares held |
|
Equity Shares at the beginning of the year |
11,563,623 |
|
Equity Shares at the end of the year |
11,563,623 |
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 |
115.644 |
115.644 |
115.644 |
|
(b) Reserves & Surplus |
1906.343 |
1799.269 |
1698.286 |
|
(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) |
2021.987 |
1914.913 |
1813.930 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
79.148 |
52.640 |
4.940 |
|
(b) Deferred tax liabilities (Net) |
169.183 |
167.298 |
178.411 |
|
(c) Other long term
liabilities |
0.175 |
0.200 |
0.200 |
|
(d) long-term
provisions |
0.000 |
0.000 |
0.000 |
|
Total Non-current
Liabilities (3) |
248.506 |
220.138 |
183.551 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
821.678 |
580.735 |
691.215 |
|
(b) Trade
payables |
1773.212 |
1531.787 |
1453.149 |
|
(c) Other
current liabilities |
405.629 |
246.273 |
584.443 |
|
(d) Short-term
provisions |
35.069 |
29.750 |
71.289 |
|
Total Current
Liabilities (4) |
3035.588 |
2388.545 |
2800.096 |
|
|
|
|
|
|
TOTAL |
5306.081 |
4523.596 |
4797.577 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
1332.381 |
1454.696 |
1441.422 |
|
(ii)
Intangible Assets |
7.653 |
19.670 |
36.932 |
|
(iii)
Capital work-in-progress |
29.408 |
26.232 |
50.818 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
5.014 |
5.014 |
5.017 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
0.000 |
0.000 |
0.000 |
|
(e) Other
Non-current assets |
7.498 |
5.747 |
5.212 |
|
Total Non-Current
Assets |
1381.954 |
1511.359 |
1539.401 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
192.000 |
0.000 |
0.000 |
|
(b)
Inventories |
981.343 |
761.071 |
487.666 |
|
(c) Trade
receivables |
1926.005 |
1683.482 |
1918.781 |
|
(d) Cash
and cash equivalents |
397.421 |
270.786 |
279.902 |
|
(e)
Short-term loans and advances |
367.556 |
245.143 |
545.741 |
|
(f) Other
current assets |
59.802 |
51.785 |
26.086 |
|
Total
Current Assets |
3924.127 |
3012.267 |
3258.176 |
|
|
|
|
|
|
TOTAL |
5306.081 |
4,523.626 |
4797.577 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
9758.287 |
9317.864 |
8736.375 |
|
|
|
Other Income |
12.629 |
7.635 |
12.750 |
|
|
|
TOTAL (A) |
9770.916 |
9325.499 |
8749.125 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Raw Material consumed |
8746.083 |
8377.838 |
7667.343 |
|
|
|
Purchase of Stock-in-Trade |
0.445 |
5.486 |
2.590 |
|
|
|
Changes in inventories of Finished Goods, Work-in-progress and Stock-in-Trade |
(101.686) |
(136.365) |
(190.688) |
|
|
|
Employee Benefits Expense |
135.614 |
115.643 |
109.545 |
|
|
|
Other Expenses |
575.247 |
577.584 |
519.748 |
|
|
|
TOTAL (B) |
9355.703 |
8940.186 |
8108.538 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
415.213 |
385.313 |
640.587 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
50.685 |
59.533 |
47.982 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
364.528 |
325.780 |
592.605 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
125.741 |
129.352 |
122.474 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
238.787 |
196.428 |
470.131 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
79.241 |
54.977 |
160.128 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
159.546 |
141.451 |
310.003 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
36.353 |
35.222 |
35.966 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
115.000 |
100.000 |
230.000 |
|
|
|
Proposed Total Dividend @ Rs.4.00 for the year (Previous year @ Rs.3.00), which includes Interim Dividend @ Rs.2.50 (Rs.1.80), per equity share. |
46.254 |
34.691 |
69.382 |
|
|
|
Corporate Tax on Dividend |
7.637 |
5.629 |
11.365 |
|
|
BALANCE CARRIED TO
THE B/S |
27.008 |
36.353 |
35.222 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of Goods on FOB Basis |
1080.016 |
676.023 |
386.090 |
|
|
TOTAL EARNINGS |
1080.016 |
676.023 |
386.090 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
1754.256 |
1423.677 |
1330.290 |
|
|
|
Consumable Stores & Spares, Packing Material & Repairs to
Plant |
8.437 |
7.126 |
8.281 |
|
|
|
Capital Goods |
4.932 |
35.125 |
190.535 |
|
|
TOTAL IMPORTS |
1767.625 |
1465.928 |
1529.106 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
13.80 |
12.23 |
26.81 |
|
QUARTERLY RESULTS
|
Particulars |
30.06.2013 (Unaudited) |
30.09.2013 (Unaudited) |
31.12.2013 (Unaudited) |
31.03.2014 (Unaudited) |
|
|
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
|
Net sales |
2473.000 |
2318.600 |
2554.000 |
2489.900 |
|
Total Expenditure |
23.901 |
2203.400 |
2451.800 |
2422.800 |
|
PBIDT (Excluding Other Income) |
82.900 |
115.200 |
102.300 |
67.200 |
|
Other income |
6.100 |
1.400 |
1.500 |
0.800 |
|
Operating Profit |
89.000 |
116.600 |
103.700 |
68.000 |
|
Interest |
7.900 |
7.800 |
7.300 |
5.800 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
PBDT |
81.200 |
108.800 |
96.500 |
62.300 |
|
Depreciation |
29.500 |
28.700 |
31.300 |
28.700 |
|
Profit Before Tax |
51.700 |
80.200 |
65.200 |
33.600 |
|
Tax |
15.300 |
26.100 |
26.700 |
18.100 |
|
Profit after tax |
36.400 |
54.100 |
38.500 |
15.500 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
0.000 |
|
Net Profit |
36.400 |
54.100 |
38.500 |
15.500 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
1.63 |
1.52 |
3.54 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.45 |
2.11 |
5.38 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
4.53 |
4.37 |
9.91 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.12 |
0.10 |
0.26 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.45 |
0.33 |
0.38 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.29 |
1.26 |
1.16 |
FINANCIAL ANALYSIS
[All figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
Rs.
In Millions |
Rs.
In Millions |
Rs.
In Millions |
|
Share Capital |
115.644 |
115.644 |
115.644 |
|
Reserves & Surplus |
1698.286 |
1799.269 |
1906.343 |
|
Net
worth |
1813.930 |
1914.913 |
2021.987 |
|
|
|
|
|
|
long-term borrowings |
4.940 |
52.640 |
79.148 |
|
Short term borrowings |
691.215 |
580.735 |
821.678 |
|
Total
borrowings |
696.155 |
633.375 |
900.826 |
|
Debt/Equity
ratio |
0.384 |
0.331 |
0.446 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
Rs.
In Millions |
Rs.
In Millions |
Rs.
In Millions |
|
Sales |
8736.375 |
9317.864 |
9758.287 |
|
|
|
6.656 |
4.727 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
Rs.
In Millions |
Rs.
In Millions |
Rs.
In Millions |
|
Sales
|
8736.375 |
9317.864 |
9758.287 |
|
Profit |
310.003 |
141.451 |
159.546 |
|
|
3.55% |
1.52% |
1.63% |
LOCAL AGENCY FURTHER INFORMATION
CURRENT MATURITIES
OF LONG TERM DEBT DETAILS
Rs.
In Millions
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
Current maturities of long term debt |
55.908 |
8.700 |
54.162 |
|
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 |
No |
|
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 |
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 LOAN:
|
Particulars |
31.03.2013 Rs.
In Millions |
31.03.2012 Rs.
In Millions |
|
Short Term
Borrowings |
|
|
|
Foreign currency loans – Buyers credit (From Banks) |
419.369 |
110.705 |
|
|
|
|
|
Total |
419.369 |
110.705 |
NOTES:
Unsecured Working capital
facilities from ING Vysya Bank, BNP Paribas, HSBC Bank and Yes Bank are
guaranteed by Executive Directors.
INDEX OF CHARGE:
|
Sr. No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
90237746 |
24/04/2012
* |
2,727,300,000.00 |
BANK
OF BARODA |
PALEJ
BRANCH, 4/374, DHANJISHA JIN, PALEJ - 392220, GUJARAT, INDIA |
B38350328 |
|
2 |
90237508 |
18/04/2012
* |
2,727,300,000.00 |
BANK
OF BARODA |
PALEJ
BRANCH, 4/374, DHANJISHA JIN, PALEJ - 392220, GUJARAT, INDIA |
B38347381 |
* Date of charge modification
OPERATIONS:
Total
production during the year was almost the same as that of previous year. The
overall gross sales income was Rs.11280.000 Millions [Rs.10470.000 Millions]
and income, net of taxes, Rs.9760.000 Millions [Rs.9320.000 Millions] the
increase in the Net Sales Income is due to higher rates of inputs consumed.
For
the year, the PBDIT is Rs.415.213 Millions [Rs.385.313 Millions], Finance Charges
50.685 Millions [Rs.59.533 Millions], Depreciation Rs.125.741 Millions
[Rs.129.352 Millions], PBT 238.787 Millions [Rs.196.428 Millions], Provision
for Tax Rs.79.241 Millions [Rs.54.978 Millions], and PAT Rs.159.546 Millions;
which is more than the previous year. Reserves and Surplus (excluding
Revaluation) are about Rs.1906.300 Millions [Rs.1799.300 Millions] at the end
of March 2013.
During
the fiscal, the overall economic and Industrial climate was unfortunately
sluggish. Electrical Equipment Manufacturing Industry registered negative
growth. High rates of interest, increase in the cost of primary inputs,
substantial volatility in the foreign exchange, inflation has resulted in the
contraction of the production of the domestic Capital-Goods-sector. Due to high
cost of proper grade fuel, and issues pertaining to environmental clearances,
the Power-sector registered low growth.
Notwithstanding
whatever has been stated in the foregoing paragraphs, subject continues to be
optimistic about future growth in the sector. India, being a
power-deficit-country, the long term prospects of the Electrical Equipment
Manufacturing Industry is bright. Government is aware of constraints and has
initiated remedial measures. Winding Wires, as you are aware, are used in the
manufacture of Electrical Equipment, which again depend on the development of
Electrical Power sector.
Subject
is looking forward to the future with optimism. India will require to increase its
electricity generation capacity by about four times within the next twenty
years so as to be able to achieve the projected annual GDP growth of about 7%
or so. Besides the Power-sector, infrastructure projects such as airports,
metros etc. are expected to generate good demand for electrical equipment.
However, the industry will require a level playing field and safeguards against
surge of imports as a result of various Trade Agreements signed by Country.
Inherent distortions arising from rapidly increasing Trade Deficit need prompt
remedial actions.
Despite
an adverse economic climate in the country, Subject has performed well during
the year.
Subject
has discharged all financial obligations in time, without delay or default and
continues to remain a high dividend paying Company with low-debt-gearing.
Subject
continues to be the market-leader in the field of Winding Wires in India.
Export efforts continue.
MANAGEMENT
DISCUSSION AND ANALYSIS:
Industry Structure and Development:
Subject
produces Winding Wires made of Copper which are used in the manufacture of both
rotating and static electrical Equipments. Though there are number of players
in the Industry including many in SSI sector, due to quality of products and
long standing relationship with OEM customers, we continue to remain Industry-
Leader.
Despite adverse operational conditions prevailing in the country, we have
performed well.
The
overall capacity utilization of the Industry in the Country is marginally lower
than the previous year. This is due to the sluggish demand from Electrical
Equipment Manufacturing Sector which did not have adequate orders from
Electric-Power-Sector and infrastructural projects. Both Industrial and
economic structure of the Industry remains affected due to high Cost of input,
inflation, substantial volatility in Forex. Subject continues to cater to the
OEM sector. Emphasis on direct physical export abroad continues.
SEGMENT-WISE OR PRODUCT-WISE
PERFORMANCE:
Subject
core activity is production and sale of only one product i.e. Winding Wires
made of Copper. Despite adverse operating condition, we have maintained
production level. Sale income in marginally higher. Profit during the year is
more than the previous year.
Emphasis
on export continues and growth thereof satisfactory. Insulating varnish
division at Palej continues to operate satisfactory and provides important
contribution to the quality of finished product.
OUTLOOK:
Long
Term outlook of the Indian Economy, and consequently, electric-power-sector is
healthy.
FIXED ASSETS:
Tangible Assets:
·
Land - Free Hold
·
Buildings
·
Plant and Machinery
·
Vehicles
·
Office Equipments
·
Furniture and Fixtures
Intangible Assets:
·
Technology Transfer Cost
STATEMENT OF UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND HALF
YEAR ENDED
30TH SEPTEMBER 2013
(Rs. In Millions)
|
Particulars |
Quarter Ended ( Unaudited) |
Half Year Ended ( Unaudited) |
|
|
|
30.09.2013 |
30.06.2013 |
30.09.2013 |
|
1. Income
from operations |
|
|
|
|
a) Net sales/ Income from operation (net of excise duty) |
2305.154 |
2472.408 |
4777.562 |
|
b) Other operating income |
13.485 |
0.613 |
14.098 |
|
Total
income from Operations(net) |
2318.639 |
2473.021 |
4791.660 |
|
2.Expenditure |
|
|
|
|
a) Cost of material consumed |
1828.487 |
2316.392 |
4144.879 |
|
b) Purchases of stock in trade |
4.519 |
9.222 |
13.741 |
|
c) Changes in inventories of finished goods,
work-in-progress and stock-in-trade |
171.381 |
(114.335) |
57.046 |
|
d) Employees benefit expenses |
38.861 |
36.583 |
75.444 |
|
e) Depreciation and amortization expenses |
28.660 |
29.445 |
58.105 |
|
f) Power and Fuel |
41.017 |
38.669 |
79.586 |
|
g) Other expenditure |
119.159 |
103.707 |
222.866 |
|
Total expenses |
2232.084 |
2419.583 |
4651.667 |
|
3. Profit from operations before other income and
financial costs |
86.555 |
53.438 |
139.993 |
|
4. Other income |
1.420 |
6.132 |
7.552 |
|
5. Profit from ordinary activities before finance costs |
87.975 |
59.570 |
147.545 |
|
6. Finance costs |
7.819 |
7.863 |
15.682 |
|
7. Net profit/(loss) from ordinary activities
after finance costs but before exceptional items |
80.156 |
51.707 |
131.863 |
|
8.
Exceptional item |
-- |
-- |
-- |
|
9. Profit from ordinary activities before tax
Expense: |
80.156 |
51.707 |
131.863 |
|
10.Tax expenses |
26.091 |
15.334 |
41.425 |
|
11.Net
Profit / (Loss) from ordinary activities after tax (9-10) |
54.065 |
36.373 |
90.438 |
|
12.Extraordinary Items (net of tax expense) |
-- |
-- |
-- |
|
13.Net Profit / (Loss) for the period (11 -12) |
54.065 |
36.373 |
90.438 |
|
14.Paid-up
equity share capital (Nominal value Rs.10/- per share) |
115.636 |
115.636 |
115.636 |
|
15. Reserve excluding
Revaluation Reserves as per balance sheet of previous accounting year |
-- |
-- |
-- |
|
16.i) Earnings per share (before extraordinary
items) of Rs.10/- each) (not annualised): |
|
|
|
|
(a) Basic and diluted |
4.67 |
3.15 |
7.82 |
|
ii) Earnings per share (after extraordinary items) |
|
|
|
|
(a) Basic and diluted |
4.67 |
3.15 |
7.82 |
|
A. Particulars of shareholding |
|
|
|
|
1. Public Shareholding |
|
|
|
|
- Number of shares |
4663840 |
4663840 |
4663840 |
|
- Percentage of shareholding |
40.33 |
40.33 |
40.33 |
|
2. Promoters and Promoters group Shareholding- |
|
|
|
|
a) Pledged /Encumbered |
|
|
|
|
Number of shares |
-- |
-- |
-- |
|
Percentage of shares (as a % of total shareholding of the promoter
and promoter group) |
-- |
-- |
-- |
|
Percentage of shares (as a % of total share capital of the
company) |
-- |
-- |
-- |
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
|
Number of shares |
6899783 |
6899783 |
6899783 |
|
Percentage of shares (as a % of total shareholding of the
promoter and promoter group) |
100.00 |
100.00 |
100.00 |
|
|
|
|
|
|
Percentage of shares (as a % of total share capital of the
company) |
59.67 |
59.67 |
59.67 |
|
B.
Investor Complaints |
Three Months Ended 30.09.2013 |
|
Pending at the beginning of the quarter |
Nil |
|
Receiving during the quarter |
1 |
|
Disposed of during the quarter |
1 |
|
Remaining unreserved at the end of the quarter |
Nil |
STANDALONE STATEMENT OF ASSETS AND
LIABILITIES
(Rs. In Millions)
|
SOURCES OF FUNDS |
30.09.2013 (Unaudited) |
|
I.
EQUITY
AND LIABILITIES |
|
|
(1)Shareholders' Funds |
|
|
(a) Share Capital |
115.644 |
|
(b) Reserves & Surplus |
1996.781 |
|
Total Shareholders’
Funds |
2112.425 |
|
|
|
|
(2)
Non-Current Liabilities |
|
|
(a) long-term borrowings |
78.502 |
|
(b) Deferred tax liabilities (Net) |
167.558 |
|
(c) Other long term
liabilities |
0.200 |
|
(d) long-term
provisions |
0.000 |
|
Total Non-current
Liabilities (3) |
246.260 |
|
|
|
|
(3)
Current Liabilities |
|
|
(a) Short
term borrowings |
837.960 |
|
(b) Trade
payables |
814.137 |
|
(c) Other
current liabilities |
831.996 |
|
(d) Short-term
provisions |
20.569 |
|
Total Current
Liabilities (4) |
2504.662 |
|
|
|
|
TOTAL |
4863.347 |
|
|
|
|
II.
ASSETS |
|
|
(1)
Non-current assets |
|
|
(a) Fixed
Assets |
1343.646 |
|
(b) Non-current Investments |
0.014 |
|
(c) Deferred tax assets (net) |
0.000 |
|
(d) Long-term Loan and Advances |
10.378 |
|
(e) Other
Non-current assets |
0.000 |
|
Total Non-Current
Assets |
1354.038 |
|
|
|
|
(2)
Current assets |
|
|
(a)
Current investments |
0.000 |
|
(b)
Inventories |
907.083 |
|
(c) Trade
receivables |
1579.665 |
|
(d) Cash
and cash equivalents |
219.850 |
|
(e)
Short-term loans and advances |
789.867 |
|
(f) Other
current assets |
12.844 |
|
Total
Current Assets |
3509.309 |
|
|
|
|
TOTAL |
4863.347 |
NOTES:
1.
Previous year's figures have been
regrouped/reworked wherever necessary
to make them comparable with the Current Year.
2.
The results for Half Year ended 30th
September, 2013 have been reviewed by the Audit Committee of the Board and have been approved by the Board
of Directors at its meeting held on 28th October, 2013.
3.
The Board of Directors has declared an
Interim Dividend of Rs.4/- (40%) per equity share for the financial year
2013-14 at the above meeting. The Record date for the payment of interim
Dividend has been fixed on 8th November, 2013. The said interim
Dividend shall be paid within 30 days.
4.
The Limited Review for the Three Months
ended 30th September, 2013 as required under Clause 41 of the listing Agreement
with the Stock Exchanges has been carried out by the Statutory Auditor.
5.
The Company is primarily engaged in a
single Segment i.e. Business of manufacture of Winding Wires. Therefore,
Segment reporting as defined in Accounting Standard AS-I7 is not applicable.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject are
derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or investigation
registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.14 |
|
UK Pound |
1 |
Rs.102.83 |
|
Euro |
1 |
Rs.82.28 |
INFORMATION DETAILS
|
Information
Gathered by : |
HNA |
|
|
|
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
NKT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
7 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
7 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
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 |
|
53 |
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.