MIRA
INFORM REPORT
|
Report Date : |
09.07.2014 |
IDENTIFICATION DETAILS
|
Name : |
PAUL MERCHANTS
LIMITED |
|
|
|
|
Registered
Office : |
Private No. FF-1, FF-1A, FF-1B, FF-1C, 1st
Floor, 11/5-B, |
|
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|
|
Country : |
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|
|
|
|
Financials (as
on) : |
31.03.2013 |
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|
|
|
Date of
Incorporation : |
13.07.1984 |
|
|
|
|
Com. Reg. No.: |
55-018679 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 10.280 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L74900DL1984PLC018679 |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Subject is engaged in the business of finance, Forex, International Money Transfer, Entertainment
Industry, and Distribution of Petroleum Products, Distribution of
Telecommunication Service, wide range of Pharmaceutical Products, Tour and
Travel products. |
|
|
|
|
No. of Employees
: |
Not Divulged |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (47) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually correct |
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|
|
|
Litigation : |
Clear |
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|
Comments : |
Subject is well-established and reputed company having satisfactory
track record. Trade relations are fair. Business is active. Payments are reported to
be usually 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 – March 31, 2014
|
Country Name |
Previous Rating (31.12.2013) |
Current Rating (31.03.2014) |
|
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
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.
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
MANAGEMENT NON-COOPERATIVE (Tel. No.: 91-172-5041754)
LOCATIONS
|
Registered Office : |
Private No. FF-1, FF-1A, FF-1B, FF-1C, 1st
Floor, 11/5-B, Pusa Road, New Delhi – 110055, India |
|
Tel. No. : |
91-11-48602000/ 25812490 |
|
Fax No. : |
91-11-25812490 |
|
E-Mail : |
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|
Website : |
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Corporate Office : |
PML House, SCO 829-830, Sector 22-A, Chandigarh – 160022, India |
|
Tel. No.: |
91-172-5041786/ 5025090 |
|
Fax No.: |
91-172-5041709/ 5041754 |
|
E-Mail : |
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|
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Regional Offices : |
Located At · Chandigarh Ahmedabad Bangalore Kolkata |
DIRECTORS
As on 31.03.2013
|
Name : |
Mr. Sat Paul Bansal |
|
Designation : |
Chairman cum Managing Director |
|
Address : |
H. No. 749, Sector 8, Chandigarh, India |
|
|
|
|
Name : |
Mr. Rajneesh Bansal |
|
Designation : |
Executive Director |
|
Address : |
H. No. 749, Sector 8, Chandigarh, India |
|
Date of Birth/Age : |
27.07.1974 |
|
Qualification : |
MBA |
|
Date of Appointment : |
27.02.1999 |
|
Other Directorship : |
· Paul Overseas Private Limited Paul
E-Commerce Private Limited Paul
energy Projects Private Limited Paul
Excursions Private Limited Talk
More Communications Private Limited All
India Association of Authorised Money Changers and
Money Transfer Agents |
|
|
|
|
Name : |
Mr. Sandeep Bansal |
|
Designation : |
Non-Executive Director |
|
Address : |
H. No. 749, Sector 8, Chandigarh, India |
|
Date of Birth/Age : |
25.12.1970 |
|
Qualification : |
Graduate in Arts |
|
Date of Appointment : |
18.09.1993 |
|
Other Directorship : |
· Chandigarh Network System Private Limited Chandigarh Club Limited Paul
E-Commerce Private Limited ABS
Media Holding Private Limited Paul
Energy Projects Private Limited Divya Broadcasting Network Private Limited Paul
Entertainments Private Limited Paul
Broadcasting Private Limited INX
Music Private Limited 9X
Media Private Limited Prabhsharanshanti Films Private Limited BBSM
Films Private Limited |
|
|
|
|
Name : |
Mrs. Sarita Rani Bansal |
|
Designation : |
Non-Executive Director |
|
Address : |
H. No. 749, Sector 8, Chandigarh, India |
|
|
|
|
Name : |
Mr. Ram Krishan Gupta |
|
Designation : |
Independent Director |
|
Address : |
E-25, Gitanjai Enclave, Press Enclave Road, Opposite Qutab Golf Course, New Delhi, India |
|
|
|
|
Name : |
Mr. Karunasagar |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Vigyan Arora |
|
Designation : |
Independent Director |
|
Address : |
H. No. 452, Sector – 7, Panchkula, Haryana, India |
|
|
|
|
Name : |
Mr. Dilbag Singh Sidhu |
|
Designation : |
Independent Director |
|
Address : |
50-51, Aggar Nagar Extension, Ferozepur Road, Ludhiana – 141012, Punjab, India |
KEY EXECUTIVES
|
Name : |
Mr. Hardam Singh |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2013
|
Category |
No. of Shares held |
Percentage of
Holding |
|
Promoters |
645093 |
62.75 |
|
Private Corporate Bodies |
102355 |
9.96 |
|
Indian Public |
280552 |
27.29 |
|
Total |
1028000 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in the business of finance, Forex, International Money Transfer, Entertainment
Industry, and Distribution of Petroleum Products, Distribution of
Telecommunication Service, wide range of Pharmaceutical Products, Tour and
Travel products. |
GENERAL INFORMATION
|
No. of Employees : |
Not Divulged |
||||||||||||||||||||||||||||||||||||||||||
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||||||||||||||||||||||||||||||||||||||||||
|
Bankers : |
· HDFC Bank Limited State
Bank of India Icici Bank Limited Punjab
National Bank Axis
Bank Limited State
Bank of Patiala Union
Bank of India Indusind Bank State
Bank of Bikaner and Jaipur |
||||||||||||||||||||||||||||||||||||||||||
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||||||||||||||||||||||||||||||||||||||||||
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Facilities : |
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Banking
Relations : |
-- |
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Auditors : |
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|
Name : |
Jain and Associates Chartered Accountants |
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|
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|
Joint Venture : |
Horizon Remitt SDN BHD, Malaysia |
|
|
|
|
Associate Companies
: |
· Paul Overseas Private Limited Paul
E-Commerce Private Limited Divya Broadcasting Network Private Limited Paul
Distributors Paul
Fincap Private Limited Paul
Excursions Private Limited |
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
2000000 |
Equity Shares |
Rs.10/- each |
Rs. 20.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1028000 |
Equity Shares |
Rs.10/- each |
Rs. 10.280 Millions |
|
|
|
|
|
NOTE
B. Reconciliation of Number of Shares
Outstanding at the beginning and end of the year
|
Particulars |
Equity Shares As at 31 March 2013 |
|
|
Number |
Amount (In
Millions) |
|
|
Shares outstanding at the beginning of the year |
1028000 |
10.280 |
|
Shares Issued during the year |
0 |
0.000 |
|
Shares bought back during the year |
0 |
0.000 |
|
Shares
outstanding at the end of the year |
1028000 |
10.280 |
C. Rights,
Preferences and Restrictions attaching to various classes of Shares
|
Class of Shares |
Rights, Preferences
and Restrictions attaching to various classes of Shares |
|
Equity Shares |
No Special Rights, Preferences and Restrictions Attached |
D. Shares in the
company held by each shareholder holding more than 5% shares
|
Particulars |
Equity Shares As at 31 March 2013 |
|
|
No. of
Shares held |
% of Holding |
|
|
Sat Paul Bansal |
201100 |
19.56 |
|
Sarita Rani Bansal |
144500 |
14.06 |
|
Rajneesh Bansal |
141500 |
13.76 |
|
Sandeep Bansal |
144507 |
14.06 |
|
Paul Excursions Pvt. Ltd. |
102355 |
9.96 |
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 |
10.280 |
10.280 |
10.280 |
|
(b) Reserves & Surplus |
858.824 |
689.199 |
532.730 |
|
(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) |
869.104 |
699.479 |
543.010 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
8.085 |
13.239 |
13.111 |
|
(b) Deferred tax liabilities (Net) |
0.342 |
0.057 |
0.735 |
|
(c) Other long term liabilities |
54.928 |
78.603 |
102.346 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total Non-current Liabilities (3) |
63.355 |
91.899 |
116.192 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
219.918 |
143.239 |
147.903 |
|
(b) Trade payables |
494.287 |
306.857 |
169.681 |
|
(c) Other current
liabilities |
60.176 |
48.991 |
46.890 |
|
(d) Short-term provisions |
93.248 |
84.772 |
71.427 |
|
Total Current Liabilities (4) |
867.629 |
583.859 |
435.901 |
|
|
|
|
|
|
TOTAL |
1800.088 |
1375.237 |
1095.103 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i)
Tangible assets |
175.469 |
169.955 |
171.466 |
|
(ii) Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii) Capital
work-in-progress |
0.000 |
0.000 |
0.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
54.225 |
41.388 |
27.837 |
|
(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 |
69.854 |
21.441 |
7.134 |
|
Total Non-Current Assets |
299.548 |
232.784 |
206.437 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
29.743 |
20.439 |
24.932 |
|
(c) Trade receivables |
838.812 |
435.187 |
213.574 |
|
(d) Cash and cash
equivalents |
447.737 |
479.215 |
470.227 |
|
(e) Short-term loans and
advances |
180.048 |
205.730 |
177.142 |
|
(f) Other current assets |
4.200 |
1.882 |
2.791 |
|
Total Current Assets |
1500.540 |
1142.453 |
888.666 |
|
|
|
|
|
|
TOTAL |
1800.088 |
1375.237 |
1095.103 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
16115.733 |
15250.006 |
12357.301 |
|
|
|
Other Income |
33.002 |
31.857 |
16.953 |
|
|
|
TOTAL (A) |
16148.735 |
15281.863 |
12374.254 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Purchase of Foreign Exchange
and Services |
14796.814 |
14037.630 |
11325.484 |
|
|
|
Changes in Inventories of Stock in Trade |
(9.305) |
4.494 |
10.225 |
|
|
|
Commission & Incentive Paid To WU Agents |
461.186 |
389.722 |
314.398 |
|
|
|
Office & Administrative Expenses |
211.116 |
191.530 |
146.524 |
|
|
|
Employee Benefit Expenses |
266.348 |
240.373 |
231.790 |
|
|
|
Sales Promotion Expenses |
109.561 |
117.037 |
75.966 |
|
|
|
Other Expenses |
5.586 |
6.811 |
4.305 |
|
|
|
TOTAL (B) |
15841.306 |
14987.597 |
12108.692 |
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
307.429 |
294.266 |
265.562 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
33.526 |
35.024 |
30.022 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
273.903 |
259.242 |
235.540 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
18.270 |
18.590 |
18.511 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
BEFORE TAX (E-F) (G) |
255.633 |
240.652 |
217.029 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
84.466 |
79.850 |
71.540 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
AFTER TAX (G-H) (I) |
171.167 |
160.802 |
145.489 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Gross Inward Remittance from Western Union Money Transfer Service |
126948.638 |
107422.103 |
83564.823 |
|
|
|
Rewards and Incentives |
16.953 |
16.172 |
0.580 |
|
|
TOTAL EARNINGS |
126965.591 |
107438.275 |
83565.403 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
166.51 |
153.71 |
141.53 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
1.06 |
1.05 |
1.18 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
1.59 |
1.58 |
1.76 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
14.64 |
18.04 |
20.34 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.29 |
0.34 |
0.40 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.26 |
0.22 |
0.30 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.73 |
1.96 |
2.04 |
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 |
10.280 |
10.280 |
10.280 |
|
Reserves & Surplus |
532.730 |
689.199 |
858.824 |
|
Net
worth |
543.010 |
699.479 |
869.104 |
|
|
|
|
|
|
long-term borrowings |
13.111 |
13.239 |
8.085 |
|
Short term borrowings |
147.903 |
143.239 |
219.918 |
|
Total
borrowings |
161.014 |
156.478 |
228.003 |
|
Debt/Equity
ratio |
0.297 |
0.224 |
0.262 |
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 |
12357.301 |
15250.006 |
16115.733 |
|
|
|
23.409 |
5.677 |
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 |
12357.301 |
15250.006 |
16115.733 |
|
Profit |
145.489 |
160.802 |
171.167 |
|
|
1.18% |
1.05% |
1.06% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in Report
(Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
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 |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details
(if applicable) |
No |
|
21] |
Market information |
----- |
|
22] |
Litigations that the firm
/ promoter involved in |
----- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
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 |
INDEX OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE
CREATION/MODIFICATION |
CHARGE AMOUNT
SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST
NUMBER (SRN) |
|
1 |
10480672 |
13/02/2014 |
32,000,000.00 |
ICICI BANK LIMITED |
LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA |
B97625370 |
|
2 |
10445869 |
09/07/2013 |
855,350,000.00 |
HDFC BANK LIMITED |
HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA |
B83481515 |
|
3 |
10387867 |
09/07/2013 * |
855,350,000.00 |
HDFC BANK LIMITED |
HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA |
B83337790 |
|
4 |
10232065 |
09/07/2013 * |
855,350,000.00 |
HDFC BANK LIMITED |
HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA |
B83329888 |
|
5 |
80004376 |
20/09/2012 * |
205,350,000.00 |
HDFC BANK LIMITED |
HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA |
B60975596 |
|
6 |
90058599 |
03/06/2005 * |
10,000,000.00 |
HDFC BANK |
KAILASH BUILDING, K. G. MARG BRANCH, NEW DELHI, DELHI, INDIA |
- |
|
7 |
90049983 |
13/07/2004 * |
5,000,000.00 |
HDFC BANK |
KAILASH BUILDING, KG MARG, NEW DELHI, DELHI, INDIA |
- |
* Date of charge modification
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
INDUSTRY STRUCTURE
AND DEVELOPMENTS AND SEGMENT WISE PERFORMANCE
WESTERN UNION MONEY TRANSFER DIVISION
“Although migrant
workers are, to a large extent, adversely affected by the slow growth in the
global economy, remittance volumes have remained remarkably resilient,
providing a vital lifeline to not only poor families but a steady and reliable
source of foreign currency in many poor remittances recipient countries,” Hans Timmer, director of the World Bank’s Development Prospects
Group, said in a statement
Remittance inflows
into India increased to approximate $64 billion in 2012, according to a World
Bank report on global migration and remittances. India continued to top the
remittances list in 2012 while China was placed a close second with approximate
$60 billion migrant remittances in the same year.
The World Bank
said, remittance flows to the developing world have exceeded earlier estimates
and ended up with a total of approximately $406 billion in 2012, an increase of
6.02% from the previous year and is projected to grow by 7.9% in 2013, 10.1% in
2014 and 10.7% in 2015 to reach $534 billion in 2015.
In India, as for
cross border remittance market is concerned only inward money transfer services
are allowed by Reserve Bank of India in private sector. For regulating the
market, RBI has prescribed Money Transfer Service Scheme (MTSS) which is
subjected to review every year now. At present Western Union Financial Services
Inc., USA owns the biggest market share in remittance market in India which is
around 72%. PML holds 32.15% market share of Western Union business in India.
Western Union operates in India with its 16 Principal Agents and PML is their
biggest Principal Agent in entire South and South East Asia Region.
While the global
money remittance country grew at 6.02% in 2012, over 2011, WU business in India
grew at approx. 7% whereas PML grew at 13.29%. Thus, PML increased their market
share by approx. 1.75% and ended the year with market share of 32.15%.
In August 2011,
PML had set a landmark by processing 500,000 transactions in one month highest
ever by any Principal Agent in India. In 2012, PML repeated this feat 8 times,
in the months of March, May, June, July, August, October, November and
December.
With a view to
enhance customer convenience, they have launched prepaid cards for WUMT
customers, which will surely be a step towards changing the face of this
service with more efficient, secure and effective service becoming available to
the customer.
While continuing
to strive for excelled service to the customers, PML also added 3 prestigious
Banks into the PML-WU network: Thane Janta Sahakari Bank, Punjab Grameena
Bank and JandK Grameena
Bank.
The Gross Revenue
of the Company from this segment grew to Rs. 1009.500
Millions in the year under review as compared to last year figure of Rs. 890.100 Millions registering a growth of 13%. Net
income grew to Rs. 569.800 Millions in the year as
compared to last year figure of Rs. 519.600 Millions
registering a growth of 10%.
The Gross Inward
Remittances increased to Rs. 126950.000 Millions as
compared to last year figure of Rs. 107420.000
Millions registering a growth of 18%.
FOREX DIVISION
2012-13 has been a
rather challenging year for the Indian Economy. The year started with a concern
about Global Economic slowdown on account of fiscal imbalances and reduced trade
and investments in advanced economies. These concerns sustained throughout the
FY 2012-13 and prevented the world from achieving any sort meaningful recovery.
The domestic economy too suffered a decade low GDP growth of 5%.
Foreign exchange
markets are the largest markets in terms of liquidity and size, with an average
daily turnover of over $4 trillion. International financial market conditions
improved in Q3 of 2012-13 despite a fragile global economic outlook. Recent
financial market developments indicate a perceived reduction in some major
downside risks to the world economy. The possibility of a near-term worsening
of the euro area crisis also appears to have declined following new policy
announcements and the extension of financial help to troubled periphery
economies.
Various reform
measures, including liberalized FDI limits for certain sectors and the
announcement of a fiscal consolidation path, enhanced global investor
confidence in the Indian economy. This, along with announcements of quantitative
easing by the US Fed and the BOJ, boosted capital inflows to India and aided
the recovery of the rupee.
The total turnover
from this division increased to Rs. 14694.000
Millions as compared to Rs. 14004.000 Millions of
last year registering a growth of 4.92%. Retail business continues to be the
hallmark and strength of the company which is reflected in the 18% growth
achieved by the company in retail currency sales. Outbound business, which has
been the focus area of the company, registered a spectacular growth of 35 %
from Rs.3660.000 Millions to Rs.4950.000 Millions. This has also helped the
company to increase its market share and build a strong name for itself in the
segment. There was a marginal drop in the forex sales
from 10340.000 Millions to Rs.9740.000 Millions because of the sluggish market
conditions.
Currency business
continues to be the major contributor towards the overall forex
Sales. The Traveller Cheque
sales remained static and Travel Card Sales grew by 35%. The company has also
been focusing on the Non AD II business and it witnessed an astounding growth
of 66% this fiscal. During the year under review, the non-AD II business
continued to the tune of Rs. 15.100 Millions as
against the previous year figures of Rs. 9.300
Millions. As this particular segment will continue to drive the revenue of Forex division, the Company sees phenomenal growth in the
years to come.
The incremental
figures per se may not look extraordinary but considering the sluggish market
conditions, whatever growth has occurred is remarkable. As the industry is
showing signs of revival now next year will certainly be a more rewarding year
and will significantly contribute towards the overall growth of the Company.
TRAVEL DIVISION
Travel Division of
the Company has undergone complete revamp during the year. The new set up has
brought fresh energy and rejuvenation and the team is fully geared up for
taking up the challenge. Travel Division grew almost 30% vis
a vis last year,
Travel
is one of the industries which has gone incognito under IT powers in the recent
years. PML has all along ensured to follow and remain amongst the very few who
could adapt to latest technologies and trends in the industry. While the
traditional air ticketing was made live with fast and quick confirmed online
ticketing process, PML became one of the top agencies holding the largest
inventory of Hotels and was accredited as sole GSA of INSTANT supplier of
INDIA.
PML
widens the horizons to move towards direct international airlines sourcing
after successive two years completion of partnership with Domestic Airlines –
Jet Airways as preferred agent partner. PML closed the deal v/s targets of Jet
Airways to the tune of 85 lacs and 1.10 Cr in the
year 2011 and 2012 respectively. As we hold strong
command
of their service to passengers travelling towards UAE
and South east Asia, PML was awarded as TOP TRAVEL AGENT AWARD from one of the
youngest UAE airlines www.airarabia.com for the first time. PML over
achieved the set targets with the airlines in mere six months than a year for
which the team PML as applauded for a fantastic performance.
While
the team continued to work and strive towards the growth of the company, the
Online website of PML Travels www.pmlholidays.com crossed a benchmark of Rs. 10.000 Millions business volume
online and is poised to achieve bigger targets in the times to come. With much
more practical commitments lined up, PML Travels is all set to become a force
to reckon with.
During
the year, the Company achieved a Turnover in this Division @ Rs. 359.800 Millions as against
previous year figure of Rs. 30.11 Crores,
registering a growth over past year by 21%.
OUTLOOK
As the Company is
gearing up for further strengthening its position in the market by adding more products
and services in its bouquet, the outlook for the future is widely positive.
India, the fast emerging economic power in the world, remains on the growth
path in comparison with many developed and developing economies, though many
steps are needed to be taken to stem ever rising current account balance and
country’s adverse fiscal deficit.
The addition of
Commercial remittances both inbound and outbound, prepaid cards, fast expanding
forex operations, fast developing Travel Portals and
value addition brought in by third party products makes them to believe that
future outlook of where they stand, is very bright.
FINANCIAL
PERFORMANCE VIS-A-VIS OPERATIONAL PERFORMANCE
During the year
under review, Total Revenue of the Company was Rs.
16150.000 Millions, an increase of 6% over 2012-13. Profit before tax (PBT) was
Rs. 255.600 Millions and Profit after tax was Rs. 171.200 Millions. The Company effected 61,55,465
Western Union transactions as against 55,84,240 last year, an increase of 10%.
The total operating income of the Company is Rs.
867.100 Millions as compared to last year figure of Rs.
818.200 Millions, an increase of 6%.
CONTINGENT
LIABILITIES:
|
PARTICULARS |
31.03.2013 (Rs. In Millions) |
31.03.2012 (Rs. In Millions) |
|
Claims against company not acknowledged as Debt |
14.264 |
13.666 |
|
Bank Guarantees |
7.989 |
7.989 |
|
Service Tax Demand Notice pending Appeal with CESTAT (excl. Interest) |
0.000 |
67.084 |
|
Corporate Guarantee in Respect of JV in Malaysia |
109.000 |
90.000 |
STATEMENT OF AUDITED
RESULTS FOR THE QUARTER AND YEAR ENDED 31.03.2014
PART I
(Rs. in Millions)
|
Sr.
No |
PARTICULARS |
Three Months Ended 31.03.2014 |
Preceding 3 Months Ended 31.12.2013 |
Year
to Date Figures for the Current Year ended 31.03.2014 |
|
|
|
Audited |
Unaudited |
Audited |
|
1 |
Income from Operations |
|
|
|
|
|
a) Net Sales /Income from
Operations |
5091.400 |
5300.700 |
19953.400 |
|
|
b) Other Operating Income |
19.800 |
21.300 |
69.300 |
|
|
Total Income from Operations ( Net) |
5111.200 |
5322.000 |
20022.700 |
|
2 |
Expenses a. Purchase of traded goods Stock In trade |
4766.700 |
4972.900 |
18591.400 |
|
|
b. Changes in Inventories of Finished Goods, WIP and Stock in trade |
4.500 |
4.700 |
7.200 |
|
|
c. Employees Benefits Expenses |
77.600 |
80.500 |
301.700 |
|
|
d. Depreciation and Amortisation Expenses |
5.300 |
5.000 |
19.700 |
|
|
e. Other expenditure |
187.800 |
215.000 |
855.500 |
|
|
Total Expenses |
5041.900 |
5278.100 |
19775.500 |
|
3 |
Profit from Operations before Other
Income, Finance Cost and exceptional Items (1-2) |
69.300 |
43.900 |
247.200 |
|
4 |
Other Income |
9.200 |
11.200 |
30.100 |
|
5 |
Profit From ordinary activities before
Finance Costs and exceptional items (3+4) |
78.500 |
55.100 |
277.400 |
|
6 |
Finance Costs |
8.300 |
9.100 |
28.600 |
|
7 |
Profit from ordinary activities after
Finance Cost but before Exceptional
Items (5-6) |
70.300 |
46.000 |
248.800 |
|
8 |
Exceptional items |
- |
- |
- |
|
9 |
Profit/Loss from ordinary Activities
before tax (7+8) |
70.300 |
46.000 |
248.800 |
|
10 |
Tax expense |
24.500 |
16.000 |
84.000 |
|
11 |
Net Profit/ Loss from Ordinary Activities
after tax(9-10) |
45.800 |
30.000 |
164.800 |
|
12 |
Extraordinary Items (net of tax
expense) |
- |
- |
- |
|
13 |
Net
Profit/Loss for the period (11-12) |
45.800 |
30.000 |
164.800 |
|
14 |
Share of profit / (loss) of associates |
- |
- |
- |
|
15 |
Minority interest |
- |
- |
- |
|
16 |
Net Profit / (Loss) after taxes, minority
interest and share of profit / (loss) of associates (13 + 14 + 15) |
45.800 |
30.0 |
164.800 |
|
17 |
Paid -up equity share capital (Face Value of the Share) |
10.300 |
10.3 |
10.300 |
|
18 |
Reserves excluding Revaluation reserves as per balance sheet of previous accounting year |
858.800 |
858.8 |
858.800 |
|
19 |
Earnings Per Share (before and after Extraordinary items) of Rs. 10/- each (not annualised) Basic |
44.55 |
29.18 |
160.31 |
NOTES
1 Segment wise reports are enclosed.
2 Figures have been regrouped and rearranged wherever necessary.
3 The Audit Committee have reviewed the above Audited Financial Results and Segment results.
4 The above Audited Financial Results and Segment results were taken on by the Board of Directors of the Company at its meeting held on 27.05.2014
5 The Statutory Auditors of the Company have audited the Financial Statements of the year ended March 31, 2014
6 In terms of Clause 41(1)(d) of the Listing Agreement, the figures of quarter ended March 31,2014 are the balancing figures between audited annual figures in respect of the full financial year ended March 31, 2014 and the published year to date figures upto the third quarter ended December 31, 2013
7 Statement of Assets and Libilities as at March 31, 2014 is enclosed
8 No investor’s complaints have been received during the quarter.
9 The Company does not have any exceptional or extraordinary items to report for the above period
10 This Statement of Financial Results have been prepared in accordance with the recognition and measurement principles laid down in Accounting Standard 25 (AS 25 – Interim Financial Reporting) issued by the Institute of Chartered Accountants of India (ICAI) / Company (Accounting Standards) Rules, 2006
11 The Chief Financial Controller and Managing Director have certified that the financial results do not contain any false or misleading statement or figures and do not omit any material fact which may make the statements or figures contained therein misleading
12 Mr. Sat Paul Bansal has been re-appointed as Chairman and Managing Director of the Company by the Board of Directors in their meeting held on 27.05.2014 for a term of 5 years and his annual remuneration has been re-structured @ 7.5 % of Net profits of the company subject to approval of shareholders and amendment in articles of association of the company.
13 Annual Remuneration of Mr. Rajneesh Bansal, Executive Director has been restructured @ 2 % of the Net profits of the Company subject to approval of shareholders.
FIXED ASSETS
Tangible Assets
· Land
Buildings
Computers
and Peripherals
Furniture
and Fixtures
Motor
Vehicles
Machinery
and Equipment’s
PRESS RELEASE
PAUL MERCHANTS GETS AGENT OF YEAR AWARD
Chandigarh, Mon Apr 23 2012
Chandigarh: Chandigarh based Paul Merchants Limited has bagged top slot among all agents of Western Union in Asia Pacific region comprising 44 countries and has been adjudged as Asia Pacific Agent of the Year 2011.
Chairman and Managing Director, S. Paul said here today that Paul Merchants has clinched the award on the strength of its performance in international inward transfer services. The company started foreign exchange services in 1995 and today it has 600 company owned offices and 20,000 franchise agents.
The company plans to open 10,000 new franchise offices and 50 new company owned offices during 2012-13. Of these, 10 company owned offices and 3000 franchise offices would be in Punjab.
S.Paul disclosed that Punjab accounts for 49 per cent of total business but regretted that Punjab as a destination for remittances had come down from top slot to third rank in couple of years. In reply to a question, he said that due diligence was taken to ensure that all remittances were legally valid and RBI compliant. He said that there were a number of checks and balances to ensure that in no case money laundering regulations were violated. He claimed that vision of the company is "total quality and total compliance" and it makes sure that all remittances were safe and legal.
He informed that Paul Merchants today had become a large conglomerate having interests in forex, telecom services, tours, travels, holiday packages and air ticketing. Headquartered at Chandigarh, the company had entered into an agreement with Western Union of USA and today ranks as the top principal agent in whole Asia Pacific region.
Ms Aruna Singh, Country Head (Money Transfer) of PML said that the company philosophy was that "good values and good business go hand in hand, ethics and business blended with quality make a company like PML what it is today". She said that PML's Travel Division specializes in leisure travel, corporate travel and incentive tours and the comp0any is already an IATA accredited travel agent. About PML, she said that the vision was to ensure that every receiver has access to the funds sent by his sender from abroad at their doorstep, quickly and as per law of land.
CERTIFICATE OF REGISTRATION
OF M/S. PAUL MERCHANTS LIMITED – CANCELLED
29 Sep 2009
The Reserve Bank of India has on September 14, 2009 cancelled the
certificate of registration granted to M/s. Paul Merchants Limited having its registered
office at G.F., 5-6-7-, W.T.C. Babar Road, Connaught Circus, New Delhi-110001 for carrying on the
business of a non-banking financial institution as the company has voluntarily
exited from the business of a non-banking financial institution. Following
cancellation of the registration certificate the company cannot transact the
business of a non-banking financial institution.
Under powers conferred by Section 45-IA (6) of the Reserve Bank of India Act,
1934, the Reserve Bank can cancel the registration certificate of a non-banking
financial company. The business of a non-banking financial institution is
defined in clause (a) of Section 45-I of the Reserve Bank of India Act, 1934.
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 records 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.59.80 |
|
|
1 |
Rs.102.42 |
|
Euro |
1 |
Rs.81.32 |
INFORMATION DETAILS
|
Information
Gathered by : |
GYT |
|
|
|
|
Analysis Done by
: |
SUB |
|
|
|
|
Report Prepared
by : |
MRI |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
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 |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
47 |
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.