MIRA
INFORM REPORT
|
Report Date : |
09.07.2014 |
IDENTIFICATION DETAILS
|
Name : |
SEL MANUFACTURING COMPANY LIMITED |
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Registered
Office : |
Plot No. 274, |
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Country : |
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Financials (as
on) : |
31.03.2013 |
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Date of
Incorporation : |
08.05.2000 |
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Com. Reg. No.: |
16-023679 |
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Capital
Investment / Paid-up Capital : |
Rs.3313.470
millions |
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CIN No.: [Company Identification
No.] |
L51909PB2000PLC023679 |
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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
: |
Subject is engaged in the manufacturing, processing and trading of
yarn, fabric, readymade garments and towel. |
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No. of Employees
: |
11000 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (45) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 57000000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having satisfactory track record. General financial position of the company is good. Trade relations are reported as fair. Business is active. Payments
terms are reported to be usually correct. The company can be considered normal 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 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
Long Term Bank Facilities = BBB- (Suspended) |
|
Rating Explanation |
Moderate degree of safety it carry moderate credit risk. |
|
Date |
23.08.2013 |
|
Rating Agency Name |
CARE |
|
Rating |
Short Term Bank Facilities = A3 (Suspended) |
|
Rating Explanation |
Moderate degree of safety it carry higher credit risk. |
|
Date |
23.08.2013 |
Reason of Suspended – The company has not furnished the information
required
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. Raj Kumar |
|
Designation : |
Manager |
|
Contact No.: |
91-9781066627 |
LOCATIONS
|
Registered Office/ Corporate Office : |
274, Dhandari Khurd, G.T. Road, Ludhiana – 141 014, Punjab, India |
|
Tel. No.: |
91-161-2510270/ 6611111 |
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Fax No.: |
91-161-2510268/ 6611112 |
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E-Mail : |
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Website : |
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Factory 1 : |
Village: Lal Kalan,
Teh: Samrala Ludhiana-Chandigarh Road, Near Neelon Canal Bridge, Ludhiana,
Punjab, India |
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Factory 2 : |
Village Bajra Road, Ludhiana - 141 007, Punjab, India |
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Factory 3 : |
Plot No.106, Industrial
Area, Baddi (SFS), District: Solan, Himachal Pradesh, India |
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Factory 4 : |
C 256-257, Phase VIII, Focal Point, Ludhiana, Punjab, India |
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Factory 5 : |
Village Shekhan Majara,
Machiwara Rahon Road, Tehsil and District Nawanshehar, Punjab, India |
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Factory 6 : |
Village
Mehatwara, Tehsil Ashta, District Sehore, Madhya Pradesh, India |
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Factory 7 : |
G.T. Road, Opposite Mcdonalds, Doraha, Ludhiana, Punjab, India |
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Factory 8 : |
A-15, Phase-VII, Focal Point, Ludhiana, Punjab, India |
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Factory 9 : |
Plot No.90,
Industrial Area, Baddi (SFS), District Solan, Himachal Pradesh, India |
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Factory 10 : |
23KM Stone, Delhi-Hisar Highway, Hansi Hisar, Haryana, India |
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Factory 11 : |
15B, RIICO Industrial Area, Neemrana, District Alwar, Rajasthan, India
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Factory 12 : |
Village Udhowal,
Tehsil Nawanshehar, District Saheed Bhagat Singh Nagar, Punjab, India |
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Factory 13 : |
Village
Punjava-Lambi, Tehsil Malout, District Sri Muktsar Sahib, Punjab, India |
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Factory 14 : |
NH-8, Village Lakodara, Karjan, Vadodara, Gujarat, India |
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Factory 15 : |
Plot No.2, Taj
Nagari Phase-1, Opposite Shanti Mangalick Hospital, Fatehabad Road, Agra,
Uttar Pradesh, India |
DIRECTORS
As on 31.03.2013
|
Name : |
Mr. Ram Saran Saluja |
|
Designation : |
Chairman |
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|
|
|
Name : |
Mr. Neeraj Saluja |
|
Designation : |
Managing Director |
|
Qualification : |
Diploma in Business Administration |
|
Date of Appointment : |
30.03.2006 |
|
|
|
|
Name : |
Mr. Dhiraj Saluja |
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Designation : |
Joint Managing Director |
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Qualification : |
Degree in Mechanical Engineering |
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Date of Appointment : |
28.05.2007 |
|
|
|
|
Name : |
Mr. Vinod Kumar Goyal |
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Designation : |
Executive Director and Chief
Executive Officer |
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Qualification : |
MBA |
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Date of Appointment : |
13.07.2010 |
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|
Name : |
Mr. Navneet Gupta |
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Designation : |
Executive Director and Chief
Financial Officer |
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Name : |
Mr. Ashwani Kumar |
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Designation : |
Director |
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Name : |
Mr. Amit Narang |
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Designation : |
Director |
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Name : |
Mr. Kanwalnain Singh Kang |
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Designation : |
Director |
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|
Name : |
Mr. Ranjan Madaan |
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Designation : |
Director |
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Name : |
Mr. Prem Kumar |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. Rahul Kapoor |
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Designation : |
Company Secretary |
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|
|
Name : |
Mr. Raj Kumar |
|
Designation : |
Manager |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2014
|
Category of Shareholders |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
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|
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|
36729044 |
15.70 |
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|
15546154 |
6.64 |
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|
52275198 |
22.34 |
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|
Total shareholding of Promoter and Promoter Group (A) |
52275198 |
22.34 |
|
(B) Public Shareholding |
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|
100000 |
0.04 |
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|
100000 |
0.04 |
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|
38872348 |
16.61 |
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|
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|
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|
52755938 |
22.55 |
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|
78872804 |
33.71 |
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|
11084456 |
4.74 |
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|
4757949 |
2.03 |
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|
705818 |
0.30 |
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|
5620089 |
2.40 |
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|
600 |
0.00 |
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|
181585546 |
77.61 |
|
Total Public shareholding (B) |
181685546 |
77.66 |
|
Total (A)+(B) |
233960744 |
100.00 |
|
(C) Shares held by Custodians and against which Depository
Receipts have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
97386256 |
0.00 |
|
|
97386256 |
0.00 |
|
Total (A)+(B)+(C) |
331347000 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in the manufacturing, processing and trading of
yarn, fabric, readymade garments and towel. |
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Products : |
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GENERAL INFORMATION
|
No. of Employees : |
11000 (Approximately) |
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Bankers : |
·
State Bank of Bikaner and Jaipur ·
State Bank of Patiala ·
State Bank of India ·
State Bank of Indore ·
Exim Bank ·
UCO Bank ·
State Bank of Hyderabad ·
State Bank of Travancore ·
State Bank of Mysore ·
Punjab National Bank ·
Punjab and Sind Bank ·
Vijaya Bank ·
Allahabad Bank ·
Indian Bank ·
Union Bank of India ·
Karur Vysya Bank ·
Bank of Maharashtra ·
Dena Bank ·
Corporation Bank ·
HDFC Bank Limited ·
ICICI Bank Limited |
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Facilities : |
(Rs.
In Millions)
|
|
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Banking
Relations : |
--- |
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Auditors : |
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|
Name : |
Dass Khanna and Company Chartered Accountants |
|
Address : |
B-XX-2815, Gurdev Nagar, Pakhowal Road, Ludhiana – 141
001, Punjab, India |
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Subsidiary
Partnership Firm : |
· S. E. Exports ·
Kudu Industries |
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|
Subsidiary Company
: |
· SEL Textiles Limited · SEL Aviation Private Limited · Omega Hotels Limited · SEL Ecochem Private Limited ·
SEL Textile Corporation |
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|
|
|
Fellow Subsidiary
Company : |
· Silverline Corporation Limited ·
SEL Textiles Oveaseas Limited |
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Associates : |
Rythm Textiles and Apparels Park Limited |
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|
Enterprises over
which key management personal and relatives of such personal is able to
exercise significant influence |
· Shiv Narayan Investments Private Limited · Saluja International · Saluja Fabrics · SEL Developers Private Limited |
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1000000000 |
Equity Shares |
Rs.10/- each |
Rs.10000.000 millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
331347000 |
Equity Shares |
Rs.10/- each |
Rs.3313.470
millions |
|
|
|
|
|
Reconciliation of the number of equity
shares outstanding
|
Equity shares |
As at 31st March, 2013 |
|
|
No. of Shares |
Amount (Rs. in
millions) |
|
|
Shares outstanding at the
beginning of the year |
11347000 |
1113.470 |
|
Shares Issued during the
year |
22000000 |
2200.000 |
|
Shares outstanding at the end of the year |
33347000 |
3313.470 |
TERMS/RIGHTS ATTACHED
TO EQUITY SHARES
The company has only one class of equity shares having par value of Rs. 10 per share. Each holder of equity share is entitled to one vote per share except holder of GDR will not have voting right with respect to the Deposited Shares.
During the year, the Company issued 220,000,000 equity shares of the face value of Rs. 10 per share consequent to Global Depository Receipts (GDRs) issue of the company. Holders of Global Depository Receipts (GDRs) will be entitled to receive dividends, subject to the terms of the Deposit Agreement, to the same extent as the holders of Equity Shares. As on 31.03.2013, 135,195,687 shares of the face value of Rs.10/- each per share represent the shares underlying GDRs which were issued during 2012-13.
In the event of liquidation of the Company, the holders of equity shares will be entitled to receive the realised value of the assets of the Company, remaining after payment of all preferential dues. The distribution will be in proportion to the number of equity shares held by the shareholders.
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 |
3313.470 |
1113.470 |
993.470 |
|
(b) Reserves & Surplus |
10826.585 |
9620.290 |
8980.303 |
|
(c) Money
received against share warrants |
218.700 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
0.000 |
0.000 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
14358.755 |
10733.760 |
9973.773 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
15745.485 |
15140.801 |
10176.265 |
|
(b) Deferred tax liabilities (Net) |
1503.118 |
953.499 |
614.468 |
|
(c) Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term provisions |
22.380 |
7.262 |
1.200 |
|
Total Non-current Liabilities (3) |
17270.983 |
16101.562 |
10791.933 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
12656.150 |
8017.717 |
4710.636 |
|
(b) Trade payables |
2800.394 |
1848.387 |
1474.998 |
|
(c) Other current
liabilities |
3721.465 |
2296.811 |
1970.296 |
|
(d) Short-term provisions |
341.665 |
210.243 |
298.328 |
|
Total Current Liabilities (4) |
19519.674 |
12373.158 |
8454.258 |
|
|
|
|
|
|
TOTAL |
51149.412 |
39208.480 |
29219.964 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
25180.996 |
13522.921 |
8754.032 |
|
(ii) Intangible Assets |
37.266 |
33.781 |
0.000 |
|
(iii) Capital
work-in-progress |
242.548 |
5508.355 |
2110.918 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
5564.465 |
1857.188 |
2142.300 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
223.859 |
2837.967 |
3886.265 |
|
(e) Other Non-current assets |
594.836 |
306.683 |
171.642 |
|
Total Non-Current Assets |
31843.970 |
24066.895 |
17065.157 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
10753.063 |
6165.244 |
5498.736 |
|
(c) Trade receivables |
5522.276 |
6319.185 |
4389.165 |
|
(d) Cash and cash
equivalents |
246.705 |
732.058 |
1083.388 |
|
(e) Short-term loans and
advances |
851.817 |
792.637 |
545.546 |
|
(f) Other current assets |
1931.581 |
1132.461 |
637.972 |
|
Total Current Assets |
19305.442 |
15141.585 |
12154.807 |
|
|
|
|
|
|
TOTAL |
51149.412 |
39208.480 |
29219.964 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
31542.169 |
20383.424 |
15832.155 |
|
|
|
Other Income |
1719.882 |
962.790 |
245.439 |
|
|
|
TOTAL (A) |
33262.051 |
21346.214 |
16077.594 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
14649.027 |
13884.860 |
4337.111 |
|
|
|
Purchases of Stock-in-Trade |
10498.699 |
3819.825 |
9252.379 |
|
|
|
Changes in inventories of finished
goods, work-in-progress and Stock-in-Trade |
(1896.239) |
(2217.610) |
(1837.785) |
|
|
|
Employees benefits expense |
1277.701 |
603.281 |
379.394 |
|
|
|
Other expenses |
3016.207 |
1719.809 |
1126.993 |
|
|
|
TOTAL (B) |
27545.395 |
17810.165 |
13258.092 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
5716.656 |
3536.049 |
2819.502 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
2679.319 |
1705.852 |
769.214 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
3037.337 |
1830.197 |
2050.288 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
1355.926 |
751.118 |
557.872 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE TAX
(E-F) (G) |
1681.411 |
1079.079 |
1492.416 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
617.060 |
360.750 |
488.502 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
1064.351 |
718.329 |
1003.914 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
3177.090 |
3090.352 |
2328.576 |
|
|
|
|
|
|
|
|
|
|
Tax Adjustment
Relating to Previous Year |
0.000 |
(131.791) |
7.862 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
1000.000 |
499.800 |
250.000 |
|
|
BALANCE CARRIED
TO THE B/S |
3241.441 |
3177.090 |
3090.352 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
F.O.B Value |
9924.234 |
4645.635 |
3185.085 |
|
|
|
Overseas Income |
8048.376 |
2958.449 |
1425.373 |
|
|
TOTAL EARNINGS |
17972.61 |
7604.084 |
4610.458 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
67.892 |
19.962 |
13.937 |
|
|
|
Stores & Spares |
91.182 |
10.206 |
23.788 |
|
|
|
Capital Goods |
1564.441 |
4098.756 |
2181.435 |
|
|
TOTAL IMPORTS |
1723.515 |
4128.924 |
2219.160 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
|
|
|
|
|
|
- Basic |
3.61 |
8.47 |
12.73 |
|
|
|
- Diluted |
3.56 |
8.47 |
12.73 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
3.20 |
3.37 |
6.24 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
5.33 |
5.29 |
9.43 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
3.71 |
3.39 |
5.98 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.12 |
0.10 |
0.15 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
1.98 |
2.16 |
1.49 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.99 |
1.22 |
1.44 |
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 |
993.470 |
1113.470 |
3313.470 |
|
Reserves & Surplus |
8980.303 |
9620.290 |
10826.585 |
|
Money received against share
warrants |
0.000 |
0.000 |
218.700 |
|
Net
worth |
9973.773 |
10733.760 |
14358.755 |
|
|
|
|
|
|
long-term borrowings |
10176.265 |
15140.801 |
15745.485 |
|
Short term borrowings |
4710.636 |
8017.717 |
12656.150 |
|
Total
borrowings |
14886.901 |
23158.518 |
28401.635 |
|
Debt/Equity
ratio |
1.493 |
2.158 |
1.978 |
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 |
15832.155 |
20383.424 |
31542.169 |
|
|
|
28.747 |
54.744 |
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 |
15832.155 |
20383.424 |
31542.169 |
|
Profit |
1003.914 |
718.329 |
1064.351 |
|
|
6.34% |
3.52% |
3.37% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info
Agents |
Available in Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
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 |
---------------------- |
|
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
Rs.
In Millions
|
Particular |
As
on 31.03.2013 |
As
on 31.03.2012 |
|
LONG TERM BORROWINGS |
|
|
|
i) Vehicle Loans |
|
|
|
‐ From Banks |
22.847 |
27.030 |
|
Total |
22.847 |
27.030 |
CORPORATE INFORMATION
Subject is a public company incorporated in India under the provisions of the Companies Act, 1956. The Company is engaged in the manufacturing, processing and trading of yarn, fabric, readymade garments and towel.
BUSINESS:
The Company is vertically integrated multi-product textile company, manufacturing various kinds of Knitted Garments, Terry Towels, Knitted and Processed Fabric and various kind of Yarn with production facilities located at Ludhiana and NawanSheher in Punjab, Baddi in Himachal Pradesh and Sehore in Madhya Pradesh.
They are expanding their existing capacities in spinning/knitting. The Company is setting up a new project in the state of Madhya Pradesh consisting of spinning unit with a capacity of 571,200 spindles, out of which 326,400 spindles have already been installed. The said spinning facility is the largest under one roof in India. Further, the Company also proposes to set up Knitted Fabric/ Cloth capacity of 72,000 TPA out of which 28,000 TPA is already installed. The Company has also set up Open end spinning with capacity of 4,440 Rotors.
OPERATIONS:
During the year, the company has achieved Revenue from Operations of Rs. 31542.169 Millions as compared to Rs. 20383.424 Millions in the previous year. The profit before tax stood at Rs. 1681.411 Millions as compared to Rs. 1079.079 Millions during the previous year. After providing for taxes and other adjustments, the Profit after tax stood at Rs. 1064.350 Millions as compared to Rs. 718.329 Millions during the previous year.
MANAGEMENT DISCUSSION
AND ANALYSIS REPORT:
OUTLOOK: OPPORTUNITY,
THREATS, RISKS AND CONCERNS
Textile Industry has made a major contribution to the national economy in terms of direct and indirect employment generation and net foreign exchange earnings. India is the one of the world's largest producers of textiles and garments. The textiles sector has witnessed a spurt in investment during the last five years. India's growing population has been a key driver of textile consumption growth in the country and a rising middle class has also aided demand growth for the sector. The turbulent global conditions, falling value of rupee, inflation coupled with a weak industrial sector have emerged as challenges for India economy. However, a stable outlook would require favourable policy environment, improvements in demand-supply position, continued stability in input costs and consequent improvement in margins/liquidity.
CONTINGENT LIABILITIES
There are contingent liabilities in respect of the following items: No
outflow is expected in view of the past history relating to these items:-
|
Particulars |
31.03.2013 (Rs. in
millions) |
31.03.2012 (Rs. in
millions) |
|
Export Bills
Discounted |
1270.900
|
203.800
|
|
Estimated amount of capital contracts remaining to be executed net of
advances |
719.500
|
2381.100
|
|
Guarantees given by the Company on behalf of SEL Textiles Limited (Subsidiary
Company) |
14875.500
|
14875.500
|
|
Performance Guarantee |
10884.300
|
13819.200
|
|
Others (Net of deposit of Rs. 0.700 Million against the said demand, contested in appeal. |
0.700
|
0.000
|
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10473552 |
30/12/2013 |
35,000,000.00 |
CORPORATION BANK |
PREMISES NO-5 , NEW LAJPAT NAGAR, LUDHIANA, PUNJAB - 141001, INDIA |
B94701661 |
|
2 |
10473723 |
30/12/2013 |
15,000,000.00 |
KARUR VYSYA BANK LIMITED |
BRAR COMPLEX, DUGRI ROAD, MODEL TOWN, LUDHIANA, PUNJAB - 141001, INDIA |
B94767084 |
|
3 |
10463623 |
06/11/2013 |
2,240,000,000.00 |
STATE BANK OF PATIALA |
COMMERCIAL BRANCH, G.T. ROAD, MILLERGANJ, LUDHIANA, PUNJAB -141003, INDIA |
B90883869 |
|
4 |
10459858 |
04/10/2013 |
200,000,000.00 |
SBERBANK |
DR. GOPAL DAS BHAWAN, 28, BARAKHAMBA ROAD,, NEW DELHI, DELHI - 110001, INDIA |
B89394506 |
|
5 |
10455760 |
27/09/2013 |
500,000,000.00 |
STATE BANK OF PATIALA |
COMMERCIAL BRANCH, G.T. ROAD, MILLERGANJ, LUDHIANA, PUNJAB -141003, INDIA |
B87829230 |
|
6 |
10454444 |
24/09/2013 |
320,000,000.00 |
UNION BANK OF INDIA |
MID CORPORATE BRANCH, WALIA COMPLEX,DUGRI ROAD, LUDHIANA, PUNJAB - 141001, INDIA |
B87281838 |
|
7 |
10438236 |
16/09/2013 * |
9,800,000,000.00 |
ALLAHABAD BANK |
INDUSTRIAL FINANCE BRANCH, 165, INDUSTRIAL AREA-A, NEAR CHEEMA CHOWK, LUDHIANA, PUNJAB - 141001, INDIA |
B87008702 |
|
8 |
10441047 |
12/07/2013 |
1,000,000,000.00 |
INDIAN OVERSEAS BANK |
MID CORPORATE BRANCH, MILLER GANJ, LUDHIANA, PUNJAB - 141003, INDIA |
B81118481 |
|
9 |
10426703 |
30/03/2013 |
7,000,000,000.00 |
ALLAHABAD BANK |
I.I.F.B., 165, INDUSTRIAL AREA-A, CHEEMA CHOWK, LUDHIANA, PUNJAB - 141001, INDIA |
B75473884 |
|
10 |
10346003 |
31/03/2012 |
750,000,000.00 |
ANDHRA BANK |
SECTOR 17-C, CHANDIGARH, CHANDIGARH - 160018, INDIA |
B36472934 |
|
11 |
10321045 |
13/10/2011 |
7,350,000,000.00 |
ALLAHABAD BANK |
INDUSTRIAL FINANCE BRANCH, 165, INDUSTRIAL AREA-A |
B26801167 |
|
12 |
10298898 |
18/06/2011 |
2,300,000,000.00 |
CENTRAL BANK OF INDIA |
FOCAL POINT, LUDHIANA, PUNJAB - 141010, INDIA |
B17555046 |
|
13 |
10272484 |
07/03/2011 |
750,000,000.00 |
STATE BANK OF PATIALA |
CB, G.T.ROAD, MILLERGANJ, LUDHIANA, PUNJAB - 141001, INDIA |
B08349698 |
|
14 |
10244730 |
17/09/2010 |
500,000,000.00 |
STATE BANK OF PATIALA |
COMMERCIAL BRANCH, LUDHIANA, PUNJAB - 141001, INDIA |
A96866033 |
|
15 |
10247091 |
05/07/2013 * |
300,000,000.00 |
KARUR VYSYA BANK LIMITED |
BRAR COMPLEX, DUGRI ROAD, MODEL TOWN, LUDHIANA, PUNJAB -141001, INDIA |
B83126748 |
|
16 |
10244546 |
08/09/2010 |
107,000,000.00 |
INDIAN BANK |
1601, KALSI NAGAR, LUDHIANA, PUNJAB - 141003, INDIA |
A96825682 |
|
17 |
10245504 |
02/09/2010 |
450,000,000.00 |
BANK OF MAHARASHTRA |
LINK ROAD, PREET NAGAR, LUDHIANA, PUNJAB - 141001, INDIA |
A97109698 |
|
18 |
10237619 |
25/08/2010 |
500,000,000.00 |
PUNJAB AND SIND BANK |
IFB, DHOLEWAL CHOWK,, G.T. ROAD, LUDHIANA, PUNJAB |
A94208105 |
|
19 |
10237603 |
13/08/2010 |
500,000,000.00 |
STATE BANK OF BIKANER AND JAIPUR |
SME BRANCH, LUDHIANA, PUNJAB - 141003, INDIA |
A94185485 |
|
20 |
10236457 |
03/08/2010 |
1,000,000,000.00 |
STATE BANK OF TRAVANCORE |
COMMERCIAL BRANCH, K. G. MARG, TRAVANCORE HOUSE, NEW DELHI, DELHI - 110001, INDIA |
A93664571 |
|
1 |
10239136 |
03/08/2010 |
500,000,000.00 |
STATE BANK OF HYDERABAD |
74, JANPATH, NEW DELHI, DELHI - 110001, INDIA |
A94785243 |
|
22 |
10227505 |
28/06/2010 |
300,000,000.00 |
UNITED BANK OF INDIA |
CLOCK TOWER, LUDHIANA, PUNJAB - 141008, INDIA |
A89210546 |
|
23 |
10208965 |
21/06/2012 * |
13,401,000,000.00 |
STATE BANK OF PATIALA |
COMMERCIAL BRANCH, G.T. ROAD, MILLER GANJ, LUDHIANA, PUNJAB - 141003, INDIA |
B45414539 |
|
24 |
10187442 |
30/12/2011 * |
7,875,500,000.00 |
CENTRAL BANK OF INDIA |
FOCAL POINT, LUDHIANA, PUNJAB -141010, INDIA |
B30479083 |
|
25 |
10181676 |
24/10/2009 |
500,000,000.00 |
PUNJAB AND SIND BANK |
INDUSTRIAL FINANCE BRANCH, G.T. ROAD, DHOLEWAL, LUDHIANA, PUNJAB - 141003, INDIA |
A72111206 |
|
26 |
10162582 |
17/06/2009 * |
500,000,000.00 |
STATE BANK OF TRAVANCORE |
COMMERCIAL BRANCH,, TRAVANCORE PALACE, K.G. MARG, NEW DELHI, DELHI - 110001, INDIA |
A66331299 |
|
27 |
10152505 |
21/03/2009 |
500,000,000.00 |
PUNJAB NATIONAL BANK |
MID CORPORATE BRANCH, JMD PACIFIC SQUARE,, SECTOR |
A60629425 |
|
28 |
10143852 |
24/02/2009 |
450,000,000.00 |
PUNJAB AND SIND BANK |
INDUSTRIAL FINANCE BRANCH, G.T. ROAD, DHOLEWAL, LUDHIANA, PUNJAB - 141003, INDIA |
A57356479 |
|
29 |
10150144 |
23/02/2009 |
300,000,000.00 |
INDIAN BANK |
1601, KALSI NAGAR, LUDHIANA, PUNJAB - 141003, INDIA |
A59690396 |
|
30 |
10142698 |
11/02/2009 |
1,000,000,000.00 |
STATE BANK OF PATIALA |
COMMERCIAL BRANCH, LUDHIANA, PUNJAB - 141003, INDIA |
A56647571 |
* Date of charge modification
FIXED ASSETS
Tangible Assets
· Land
· Leasehold Land
· Building
· Road
· Plant and Machinery
· Furniture and Fixtures
· Vehicles
· Office Equipments
Intangible Assets
· Computer Software
STATEMENT OF
UNAUDITED / AUDITED FINANCIAL RESULTS FOR THE QUARTER / YEAR ENDED MARCH 31,
2014
(Rs. in millions)
|
Sr. No. |
Particulars |
Standalone |
||
|
Unaudited |
Unaudited |
Unaudited |
||
|
Quarter Ended |
Year to date |
|||
|
31.03.2014 |
31.12.2013 |
31.03.2014 |
||
|
1 |
Income
from operations |
|
|
|
|
|
a) Net
sales/Income from operation (Net of excise duly) |
5990.879 |
6799.180 |
29560.395 |
|
|
b) Other
operating Income |
0.000 |
0.000 |
0.000 |
|
|
Total Income from operations (net) |
5990.879 |
6799.180 |
29560.395 |
|
2 |
Expenses |
|
|
|
|
|
a) Cost
of material consumed |
7829.335 |
3995.317 |
22122.392 |
|
|
b)
Purchase of stock-In-trade |
897.764 |
117.663 |
2134.776 |
|
|
c)
Changes In inventories of finished goods, work in progress and stock in trade |
(3215.996) |
747.081 |
(1870.909) |
|
|
d)
Employee benefits expenses |
323.756 |
262.902 |
1227.893 |
|
|
e)
Depredation and amortization expenses |
544.432 |
529.461 |
2124.311 |
|
|
f) Other
expenses |
819.059 |
929.650 |
3790.110 |
|
|
Total expenses |
7198.350 |
6582.074 |
29528.573 |
|
3 |
Profit
from operations before other Income, finance cost and exceptional items (1-2) |
(1207.471) |
217.106 |
31.822 |
|
4 |
Other
income |
(234.451) |
(62.393) |
901.218 |
|
5 |
Profit
from ordinary activities before finance cost ft exceptional Items (3+4) |
(1441.922) |
154.713 |
933.040 |
|
6 |
Finance
cost |
688.930 |
697.560 |
3122.243 |
|
7 |
Profit from
ordinary activities after finance cost but exceptional items (5-6) |
(2130.852) |
(542.847) |
(2189.203) |
|
8 |
Exceptional
Items |
1809.431 |
0.000 |
1809.431 |
|
9 |
Profit
(+)/ loss (-) from ordinary activities before tax (7±8) |
(3940.283) |
(542.847) |
(3998.634) |
|
10 |
Tax
Expenses |
(1559.653) |
56.988 |
(1444.344) |
|
11 |
Net
Profit (+)/ Loss (-) from ordinary activities after tax (9-10) |
(2380.630) |
(599.835) |
(2554.290) |
|
12 |
Extraordinary
items (net of tax expenses ) |
0.000 |
0.000 |
0.000 |
|
13 |
Net
Profit (+)/ loss (-) for the period (11±12) |
(2380.630) |
(599.835) |
(2554.290) |
|
14 |
Paid-up
equity share capital of Rs.10/-each |
3313.470 |
3313.470 |
3313.470 |
|
15 |
Reserves
excluding Revaluation Reserves |
-- |
-- |
8490.995 |
|
16 |
I.
Earning per share (EPS) (before extraordinary items) (In Rs.)
(not annualised) |
|
|
|
|
|
a) Basic |
(7.18) |
(1.81) |
(7.71) |
|
|
b)
Diluted |
(7.18) |
(1.81) |
(7.71) |
|
|
II.
Earning per Share (EPS) (after extraordinary items) (In Rs.)
(not annualised) |
|
|
|
|
|
a) Basic |
(7.18) |
(1.81) |
(7.71) |
|
|
b)
Diluted |
(7.18) |
(1.81) |
(7.71) |
|
|
|
|
|
|
|
A |
PARTICULARS OF SHAREHOLDING |
|
|
|
|
1 |
Public
Shareholding |
|
|
|
|
|
- No. of
shares |
279071802 |
303617956 |
279071802 |
|
|
-
Percentage of shareholding |
84.22% |
91.63% |
84.22% |
|
2 |
Promoters
and promoter group shareholding |
|
|
|
|
|
a)
Pledge/Encumbered |
|
|
|
|
|
-Number
of shares |
52275198 |
27729044 |
52275198 |
|
|
-
Percentage of shares (as a % of the total shareholding of promoter and
promoter group) |
100% |
100% |
100% |
|
|
-
Percentage of shares (as a % of the total share capital of the company) |
15.78% |
8.37% |
15.78% |
|
|
b) Non-encumbered |
|
|
|
|
|
- Number
of shares |
NIL |
NIL |
NIL |
|
|
-
Percentage of shares (as a % of the total shareholding of promoter and
promoter group) |
-- |
-- |
-- |
|
|
-
Percentage of shares (as a % of the total share capital of the company) |
-- |
-- |
-- |
|
|
|
|
|
|
|
B. |
INVESTOR COMPLAINTS |
|
|
|
|
|
Pending at the beginning of the Quarter |
0 |
|
|
|
|
Received during the quarter |
2 |
|
|
|
|
Disposed off during the Quarter |
2 |
|
|
|
|
Remaining unresolved at the end of the quarter |
0 |
|
|
Note :
1. The above results are reviewed by the Audit Committee and taken on record at the meeting of the Board of Directors on May 29, 2014.
2. Consolidation has been made by applying Accounting Standard-21
"Consolidated Financial Statements" issued by the Institute of
Chartered Accountants of India.
3. The Consolidated Financial results include results of M/s SE Exports, SEL
Textiles Limited (Consolidated),
SEL Textiles Corporation and SEL Aviation Private Limited Subsidiaries of the
Company.
4. The Company has only one Reportable Segment i.e. "Textiles", hence
Segment Reporting required under AS-17 is not applicable.
5. figures of the quarter ended March 31, 2014 and March 31, 2013 are the
balancing figures between audited figures in respect of full financial year and
published year to date figures upto the third quarter of the relevant financial
year
6. Exceptional Item(s) in the aforesaid results includes write off amount on
the on moving show moving inventory of the Company.
7. Previous period's figures have been re-grouped and re-classified wherever
necessary
STATEMENT OF ASSETS
AND LIABILITIES
|
Particulars |
As at 31.03.2014 |
|
|
|
Particulars |
|
|
A |
EQUITY AND LIABILITIES |
|
|
1 |
Shareholder’s Funds |
|
|
|
a) Share Capital |
3313.470 |
|
|
b) Reserves & Surplus |
8490.995 |
|
|
c) Money received against share warrants |
0.000 |
|
|
Sub Total- Shareholders funds |
11804.465 |
|
2 |
Share application money pending allotment |
-- |
|
3 |
Minority Interest |
-- |
|
4 |
Non-current liabilities |
|
|
|
(a) long-term borrowings |
14564.425 |
|
|
(b) Deferred tax liabilities (Net) |
-- |
|
|
(c) Other long term liabilities |
-- |
|
|
(d) long-term provisions |
39.825 |
|
|
Sub Total- Non Current Liabilities |
14604.250 |
|
5 |
Current liabilities |
|
|
|
(a) Short term borrowings |
15793.870 |
|
|
(b) Trade Payables |
2032.652 |
|
|
(c) Other current liabilities |
6852.395 |
|
|
(d) Short term provisions |
7.724 |
|
|
Sub Total- Current Liabilities |
24686.641 |
|
|
TOTAL-EQUITY AND LIABILITIES |
51095.366 |
|
B |
ASSETS |
|
|
1 |
Non-current assets |
|
|
|
(a) Fixed assets |
|
|
|
(i) Tangible assets |
23199.115 |
|
|
(ii) Intangible Assets |
31.395 |
|
|
(iii) Capital
work-in-progress |
1640.046 |
|
|
(iv)
Intangible assets under development |
-- |
|
|
(b) Non-current Investments |
5579.958 |
|
|
(c) Deferred tax assets (net) |
9.661 |
|
|
(d) Long-term Loan and Advances |
1376.299 |
|
|
(e) Other Non-current assets |
553.360 |
|
|
Sub-Total- Non current assets |
32389.834 |
|
2 |
Current assets |
|
|
|
a) Current Investments |
-- |
|
|
b) Inventories |
7099.769 |
|
|
c) Trade Receivables |
8168.099 |
|
|
d) Cash and cash equivalents |
133.298 |
|
|
(e) Short term loans and advances |
590.142 |
|
|
(f) Other current assets |
2714.214 |
|
|
Sub-Total- current assets |
18705.522 |
|
|
TOTAL ASSETS |
51095.356 |
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.59.80 |
|
|
1 |
Rs.102.42 |
|
Euro |
1 |
Rs.81.32 |
INFORMATION DETAILS
|
Information
Gathered by : |
PRT |
|
|
|
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
NTH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
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 |
|
45 |
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.