MIRA INFORM REPORT
|
Report Date : |
09.06.2014 |
IDENTIFICATION DETAILS
|
Name : |
HONEYWELL AUTOMATION INDIA LIMITED (w.e.f. March 24, 2005) |
|
|
|
|
Formerly Known
As : |
TATA HONEYWELL LIMITED |
|
|
|
|
Registered
Office : |
56 and 57, Hadapsar Industrial Estate, Pune - 411013, Maharashtra |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.12.2013 |
|
|
|
|
Date of
Incorporation : |
13.01.1984 |
|
|
|
|
Com. Reg. No.: |
11-017951 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 88.400 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L29299PN1984PLC017951 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
PNET00043B |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACT3904F |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The company’s Shares are Listed on
the Stock Exchanges. |
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|
|
|
Line of Business
: |
Manufacturer of House Ware Plastic Products and House Ware Products. |
|
|
|
|
No. of Employees
: |
2713 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (69) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 31000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
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|
|
Litigation : |
Exist |
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|
|
Comments : |
Subject is an established company having fine track record. Financial position of the company is sound and healthy. Liquidity
position of the company is good. No borrowings recorded by the company. Trade relations are reported as fair. Business is active. Payments
terms are reported to be regular and as per commitment. 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.
INDIAN ECONOMIC OVERVIEW
US investment bank
Goldman Sachs has upgraded its outlook on Indian markets as it expects
positive impact of the election cycle.
India’s economy may
grow 4.7 % in the current financial year, lower than the official estimate of
4.9 %, Fitch Rating said. The global rating agency expects the economy to pick
up in the next two financial years.
Global ratings
agency Standard & Poor said increasing focus by India Inc on lowering debt
is likely to improve their credit profiles.
Singapore (1.1
million Indian tourists in 2012), Thailand (one million), the United Arab
Emirates ().98 million) and Malaysia ().82 million) emerged as the preferred
holidays hotspots for Indians. The total figure is expected to increase to 1.93
million by 2017, according to the latest Eurmonitor international report.
There is a $29.34 bn
outward foreign direct investment by domestic companies between April and
January of 2013/14 which has seen some signs of recovery according to a Care
Ratings report.
There are 264 number
of new companies being set up every day on average during 2014. Most of them
are registered in Mumbai. India had 1.38 million registered companies at the
end of January, 2014.
Twitter like
messaging service Weibo Corporation has filed to raise $ 500 million via a US
initial public offering. Alibaba, which owns a stake in Weibo is expected to
raise about $ 15 billion New York this year in the highest profile Internet IPO
since Facebook’s in 2012.
Bharti Airtel has
raised Rs.2,453.2 crore (350 million Swiss Francs) by selling six-year bonds at
a coupon rate of three per cent and maturing in 2020. This is the largest ever
bond offering by an Indian company in Swiss Francs. Bharat Petroleum
Corporation raised 175 million Swiss Francs by selling five year bonds at 2.98
% coupon rate in February.
Indian Oil
Corporation plans to invest Rs 7650 crore in setting up a petrochemical complex
at its almost complete Paradip refinery in Odhisha in three to four years. The
company board is set to consider the setting up of a 700000 tonne per annum
polypropylene plant at an estimated cost at Rs.3150 crore.
Global chief
information officers at gathering in Bangalore in April to meet Indian startups
at an event called Tech50 Watchout for Little Eye Labs-Facebook type deals in
the making.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
Solar Energy Gradings |
|
Rating |
SP1A |
|
Rating Explanation |
Highest performance capability and high
financial strength. |
|
Date |
06.06.2014 |
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.: 91-20-66039400)
LOCATIONS
|
Registered Office / Head Office : |
56 and 57, Hadapsar Industrial Estate, Pune - 411013, Maharashtra,
India |
|
Tel. No.: |
91-20-66039400 / 26870445 / 26870446 / 26872170 / 26870153 /
66008187 / 66072725 |
|
Fax No.: |
91-20-66039800 / 26872205 / 26875957 / 66039979 |
|
E-Mail : |
|
|
Website : |
http://www.honeywell.com |
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|
|
|
Regional Offices : |
Eco-Elite Building, Near Marol Fire Bridge, Marol Maroshi Road Next to
Zakaria Industrial Estate, Andheri (East), Mumbai – 400059, Maharashtra,
India Located At: ·
·
·
Chennai ·
·
·
Kolkata ·
New Delhi ·
|
DIRECTORS
As on:
|
Name : |
Mr. Madhukar Narayan Bhagwat |
|
Designation : |
Chairman and Independent Director |
|
Address : |
62, Blue Haven, 14, |
|
Date of Birth/Age : |
04.06.1932 |
|
Qualification : |
M .Mechanical Engineering |
|
Date of Appointment : |
02.11.2004 |
|
DIN No.: |
00036692 |
|
|
|
|
Name : |
Mr. Surendra Laxminarayan Rao |
|
Designation : |
Independent Director |
|
Address : |
D1, Chartered Cottage, |
|
Date of Birth/Age : |
22.01.1936 |
|
Qualification : |
B.Com, M.A in Economic |
|
Date of Appointment : |
24.01.2002 |
|
DIN No.: |
00005675 |
|
|
|
|
Name : |
Gerard Milton Willis |
|
Designation : |
Director |
|
Address : |
|
|
Date of Birth/Age : |
27.12.1953 |
|
Qualification : |
MA International Affairs, BA |
|
Date of Appointment : |
01.01.2006 |
|
DIN No.: |
02696947 |
|
|
|
|
Name : |
Norman Lee Gilsdorf |
|
Designation : |
Director |
|
Address : |
Flat # 20, Dorchester House, 8, Strand Drive, Richmond Survey, United
Kingdom, TW94DX |
|
Date of Birth/Age : |
18.12.1953 |
|
Qualification : |
Chemical engineering degree, MBA in international business and finance |
|
Date of Appointment : |
06.02.2009 |
|
DIN No.: |
02558302 |
|
|
|
|
Name : |
Mr. Anant Hari Maheshwari |
|
Designation : |
Managing Director |
|
Address : |
73, |
|
Date of Birth/Age : |
07.04.1973 |
|
Qualification : |
MBA, MS Economics, BE |
|
Date of Appointment : |
01.03.2010 |
|
DIN No.: |
02963839 |
|
|
|
|
Name : |
Mr. Vikas Chadha |
|
Designation : |
Managing Director |
KEY EXECUTIVES
|
Name : |
Ms. Sneha Prashant Padve |
|
Designation : |
Company Secretary |
|
Address : |
Building I, Flat # 8, Parmar Nagar, Fatima Nagar, Pune – 411 013,
Maharashtra, India |
|
Date of Birth/Age : |
19.04.1967 |
|
Qualification : |
LLB, B commerce |
|
Date of Appointment : |
14.08.1996 |
|
PAN No.: |
AEVPP7162B |
|
|
|
|
SENIOR
MANAGEMENT TEAM: |
|
|
|
|
|
Name : |
Mr. Ananthanarayanan K. V. |
|
Designation : |
Head - Lega |
|
|
|
|
Name : |
Mr. Bagaitkar Ravi |
|
Designation : |
Head - Honeywell Operating System |
|
|
|
|
Name : |
Mr. Bansal Rohit |
|
Designation : |
Head - Sensing and Controls |
|
|
|
|
Name : |
Mr. Bhagania Anurag |
|
Designation : |
Chief Financial Officer |
|
|
|
|
Name : |
Mr. Bhatia Vivek |
|
Designation : |
Head - Global Services |
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|
|
|
Name : |
Mr. Kelkar Anant |
|
Designation : |
Head - Integrated Supply Chain |
|
|
|
|
Name : |
Mr. Limaye Prasad |
|
Designation : |
Head - Audit and Internal Controls |
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|
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|
Name : |
Mr. Mellacheruvu Praveen |
|
Designation : |
Head - Strategy and Marketing |
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|
|
|
Name : |
Mr. Mitter Kaushik |
|
Designation : |
Head - Human Resources |
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|
|
|
Name : |
Mr. Singh Priyanshu |
|
Designation : |
Head - Building Solutions |
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|
|
|
Name : |
Mr. Tumkur Savyasachi |
|
Designation : |
Head - Process Solutions |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on: 31.03.2014
|
Category of
Shareholder |
Number of Shares |
Percentage of
Holding |
|
(A) Shareholding of
Promoter and Promoter Group |
|
|
|
|
|
|
|
|
|
|
|
|
6631142 |
75.00 |
|
|
6631142 |
75.00 |
|
Total shareholding
of Promoter and Promoter Group (A) |
6631142 |
75.00 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
1233145 |
13.95 |
|
|
870 |
0.01 |
|
|
285 |
0.00 |
|
|
4712 |
0.05 |
|
|
24378 |
0.28 |
|
|
1263390 |
14.29 |
|
|
|
|
|
|
127957 |
1.45 |
|
|
|
|
|
|
788600 |
8.92 |
|
|
29120 |
0.33 |
|
|
1314 |
0.01 |
|
|
614 |
0.01 |
|
|
700 |
0.01 |
|
|
946991 |
10.71 |
|
Total Public
shareholding (B) |
2210381 |
25.00 |
|
Total (A)+(B) |
8841523 |
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) |
8841523 |
0.00 |
Shareholding
belonging to the category "Promoter and Promoter Group"
|
Sl.No. |
Name of the
Shareholder |
Details of Shares
held |
Total shares (including
underlying shares assuming full conversion of warrants and convertible
securities) as a % of diluted share capital |
|
|
No. of Shares held |
As a % of grand
total (A)+(B)+(C) |
|||
|
1 |
Honeywell Asia Pacific Inc |
66,31,142 |
75.00 |
75.00 |
|
|
Total |
66,31,142 |
75.00 |
75.00 |
Shareholding
belonging to the category "Public" and holding more than 1% of the
Total No. of Shares
|
Sl. No. |
Name of the
Shareholder |
No. of Shares held |
Shares as % of
Total No. of Shares |
Total shares (including
underlying shares assuming full conversion of warrants and convertible
securities) as a % of diluted share capital |
|
|
1 |
Reliance Capital Trustee Co Limited A/c Reliance Tax saver (Elss) Fund |
196058 |
2.22 |
2.22 |
|
|
2 |
Birla Sun Life Trustee Company Private Limited A/c Birla Sun Life Tax Relief 96 |
160268 |
1.81 |
1.81 |
|
|
3 |
Reliance Capital Trustee Company Limited A/c Reliance Regular Savings Fund Equity Option |
175000 |
1.98 |
1.98 |
|
|
4 |
Reliance Capital Trustee Company Limited A/c Relianceequity Opportunities Fund |
148639 |
1.68 |
1.68 |
|
|
5 |
Reliance Capital Trustee Company Limited A/c Reliance Vision Fund |
99000 |
1.12 |
1.12 |
|
|
|
Total |
778965 |
8.81 |
8.81 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of House Ware Plastic Products and House Ware Products. |
PRODUCTION STATUS (As on 31.12.2011)
|
Particulars |
Unit |
Actual
Production |
|
Systems |
Nos |
399 |
|
Transmitters |
Nos. |
37933 |
GENERAL INFORMATION
|
No. of Employees : |
2713 (Approximately) |
|
|
|
|
Bankers : |
|
|
|
|
|
Facilities : |
-- |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Price Waterhouse and Company Chartered Accountants |
|
|
|
|
Holding Company : |
Honeywell Asia -Pacific Inc. |
|
|
|
|
Ultimate Holding Company : |
Honeywell International Inc. |
|
|
|
|
Fellow Subsidiaries : |
|
CAPITAL STRUCTURE
As on: 31.12.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
10000000 |
Equity Shares |
Rs.10/- each |
Rs.100.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
8841697 |
Equity Shares |
Rs.10/- each |
Rs.88.400
Millions |
|
|
|
|
|
Rights, preferences
and restrictions attached to the shares
Equity shares: The Company has one class of equity shares having a par value of Rs.10 per share. Each shareholder is eligible for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.
Reconciliation of
shares:
|
Particular |
Number of shares |
Rs. In Millions |
|
Equity shares |
|
|
|
Balance as at the beginning and end of the year |
8841523 |
88.400 |
Shares held by holding company and subsidiary of holding company
|
Particular |
Number of shares |
Rs. In Millions |
|
Equity shares |
|
|
|
Honeywell Asia Pacific Inc. (Holding company) |
6,631,142 |
66.300 |
Number of shares held by shareholders holding more than 5% of the
aggregate shares in the Company
|
Particular |
Number of shares |
Percentage |
|
Equity shares |
|
|
|
Honeywell Asia Pacific Inc. (Holding company) |
6,631,142 |
75.00% |
6,631,142 (December 31, 2012 : 6,631,142 ) Equity shares constituting 75% (December 31,2012 75%) of the paid-up capital of the Company are held by Honeywell International Inc., the ultimate holding Company, through its 100% subsidiary, Honeywell Asia Pacific Inc.
The Company has not allotted any shares as fully paid up bonus shares or pursuant to contract(s) neither payment being received in cash during 5 years immediately preceding December 31, 2013.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES
OF FUNDS |
31.12.2013 |
31.12.2012 |
31.12.2011 |
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
88.400 |
88.400 |
88.400 |
|
(b) Reserves & Surplus |
7721.300 |
6963.100 |
6214.100 |
|
(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) |
7809.700 |
7051.500 |
6302.500 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a)
long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax
liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c)
Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(d)
long-term provisions |
202.200 |
234.400 |
175.300 |
|
Total
Non-current Liabilities (3) |
202.200 |
234.400 |
175.300 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
(b)
Trade payables |
3761.300 |
3272.500 |
3508.700 |
|
(c)
Other current liabilities |
1172.000 |
977.400 |
679.100 |
|
(d)
Short-term provisions |
368.600 |
481.700 |
595.800 |
|
Total
Current Liabilities (4) |
5301.900 |
4731.600 |
4783.600 |
|
|
|
|
|
|
TOTAL |
13313.800 |
12017.500 |
11261.400 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
647.400 |
713.400 |
736.800 |
|
(ii)
Intangible Assets |
3.300 |
3.600 |
4.900 |
|
(iii)
Capital work-in-progress |
29.300 |
3.700 |
27.200 |
|
(iv) Intangible assets under
development |
0.000 |
0.000 |
0.000 |
|
(b)
Non-current Investments |
0.000 |
0.000 |
0.000 |
|
(c)
Deferred tax assets (net) |
595.900 |
423.100 |
403.600 |
|
(d) Long-term Loan and Advances |
1405.200 |
1177.700 |
1084.900 |
|
(e)
Other Non-current assets |
236.700 |
135.900 |
178.800 |
|
Total
Non-Current Assets |
2917.800 |
2457.400 |
2436.200 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
1101.500 |
1036.700 |
834.600 |
|
(c)
Trade receivables |
3537.300 |
3754.800 |
3478.100 |
|
(d)
Cash and cash equivalents |
3107.600 |
1487.700 |
1765.600 |
|
(e)
Short-term loans and advances |
321.400 |
510.300 |
277.400 |
|
(f)
Other current assets |
2328.200 |
2770.600 |
2469.500 |
|
Total
Current Assets |
10396.000 |
9560.100 |
8825.200 |
|
|
|
|
|
|
TOTAL |
13313.800 |
12017.500 |
11261.400 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.12.2013 |
31.12.2012 |
31.12.2011 |
|
|
SALES |
|
|
|
|
|
Income |
17069.900 |
16607.300 |
16130.400 |
|
|
Other Income |
186.400 |
111.900 |
163.200 |
|
|
TOTAL
(A) |
17256.300 |
16719.200 |
16293.600 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
8562.200 |
8388.800 |
8448.600 |
|
|
Purchases of Stock-in-Trade |
1420.700 |
1514.300 |
1293.700 |
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
(37.700) |
(201.400) |
(39.900) |
|
|
Employees benefits expense |
2996.200 |
2972.900 |
2835.500 |
|
|
Other expenses |
2944.000 |
2708.100 |
2142.000 |
|
|
TOTAL
(B) |
15885.400 |
15382.700 |
14679.900 |
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION (C) |
1370.900 |
1336.500 |
1613.700 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
3.900 |
3.400 |
8.500 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
1367.000 |
1333.100 |
1605.200 |
|
|
|
|
|
|
|
Less/
Add |
DEPRECIATION/
AMORTISATION (F) |
139.200 |
139.900 |
148.100 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX (E-F) (G) |
1227.800 |
1193.200 |
1457.100 |
|
|
|
|
|
|
|
Less |
TAX
(H) |
366.200 |
341.500 |
385.700 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX (G-H)
(I) |
861.600 |
851.700 |
1071.400 |
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
5458.500 |
4794.700 |
3933.100 |
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
Transfer to General Reserve |
86.200 |
85.200 |
107.100 |
|
|
Dividend |
88.400 |
88.400 |
88.400 |
|
|
Tax on Dividend |
15.000 |
14.300 |
14.300 |
|
|
BALANCE
CARRIED TO THE B/S |
6130.500 |
5458.500 |
4794.700 |
|
|
|
|
|
|
|
|
EARNINGS
IN FOREIGN CURRENCY |
|
|
|
|
|
F.O.B. Value of Export |
2244.300 |
2921.300 |
2166.000 |
|
|
Services |
2446.600 |
2467.100 |
2724.900 |
|
|
Reimbursements |
788.000 |
616.200 |
487.500 |
|
|
Others |
916.600 |
957.200 |
670.800 |
|
|
TOTAL
EARNINGS |
6395.500 |
6961.800 |
6049.200 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Capital Goods |
25.500 |
10.600 |
22.300 |
|
|
Raw Materials |
4741.800 |
5453.300 |
4629.400 |
|
|
TOTAL
IMPORTS |
4767.300 |
5463.900 |
4651.700 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (Rs.) |
97.47 |
96.35 |
121.20 |
KEY RATIOS
|
PARTICULARS |
|
31.12.2013 |
31.12.2012 |
31.12.2011 |
|
PAT / Total Income |
(%) |
4.99 |
5.09 |
6.58 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
7.19 |
7.18 |
9.03 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
9.68 |
10.29 |
13.45 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.16 |
0.17 |
0.23 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.00 |
0.00 |
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.96 |
2.02 |
1.84 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.12.2011 |
31.12.2012 |
31.12.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
88.400 |
88.400 |
88.400 |
|
Reserves & Surplus |
6214.100 |
6963.100 |
7721.300 |
|
Net
worth |
6302.500 |
7051.500 |
7809.700 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
0.000 |
0.000 |
|
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
Total
borrowings |
0.000 |
0.000 |
0.000 |
|
Debt/Equity
ratio |
0.000 |
0.000 |
0.000 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.12.2011 |
31.12.2012 |
31.12.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
16130.400 |
16607.300 |
17069.900 |
|
|
|
2.957 |
2.786 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.12.2011 |
31.12.2012 |
31.12.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
16130.400 |
16607.300 |
17069.900 |
|
Profit |
1071.400 |
851.700 |
861.600 |
|
|
6.64% |
5.13% |
5.05% |
LOCAL AGENCY FURTHER INFORMATION
CURRENT
MATURITIES OF LONG-TERM DEBT DETAILS: NOT AVAILABLE
|
Sr. No. |
Check List by Info
Agents |
Available in Report
(Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
Yes |
|
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 |
Yes |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
No |
|
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 |
LITIGATION DETAILS:
HIGH
COURT OF BOMBAY
|
Bench:- Bombay |
|||||||
|
Presentation Date:- 11/11/2013 |
|||||||
|
Lodging No:- |
ITXAL/1893/2013 |
Filing Date:- |
11/11/2013 |
Reg. No.:- |
ITXA/2377/2013 |
Reg. Date:- |
18/12/2013 |
|
Petitioner:- |
THE COMMISSINER OF INCOME TAX |
Respondent:- |
HONEYWELL AUTOMATION INDIA LIMITED |
||||
|
Petn. Adv.: |
TEJVEER SINGH (0) |
Resp. Adv.: |
PDS LEGAL (0) |
||||
|
District:- |
PUNE |
||||||
|
Bench:- |
DIVISION |
||||||
|
Status:- |
Pre-Admission |
Category:- |
Tax Appeals |
||||
|
Next Date: |
27/06/2014 |
Stage: |
|
||||
|
Coram: |
ACCORDING TO SITTING LIST ACCORDING TO SITTING LIST |
|
|
||||
|
Act:- |
Income Tax Act, 1961 |
||||||
Honeywell Process Solutions (HPS) serves core industrial sectors of Refining, Oil and Gas, Pulp and Paper, Metal and Cement etc.
Honeywell Building Solutions (HBS) provides solutions and services for facilities such as Commercial and Industrial Buildings, IT and ITES industry, Hospitals, Hotels, Airports etc.
Environment and Combustion Control (ECC) serves multiple brands through channels and offers environmental and combustion products and solutions to commercial, hospitality and industrial segments.
Sensing and Control (S and C) business provides various sensors and switches to manufacturing and automobile industry. This business serves primarily OEMs in various manufacturing industries such as auto, medical instrumentation, IT, etc.
Exports Business Group (EBG) addresses manufacturing and engineering services needs of Honeywell along with some other non-Honeywell customers across the globe, leveraging the cost, skills and knowledge arbitrage.
MANAGEMENT DISCUSSION
AND ANALYSIS
INDUSTRY OUTLOOK AND
OPPORTUNITIES
The Company's operating results are significantly influenced by macro-economic trends such as industrial production, capital spending on process and building automation, commercial and infrastructure construction, commodity prices and foreign exchange variations.
In 2012, all these macro trends started slowing down, impacting growth. During 2013 (the year ), the Indian economy continued to slow down. Capital expenditure across various sectors continued to remain stagnant with continued uncertainty in the economy. Inflation continued to remain high leading to interest rate hikes by the Reserve Bank of India, further challenging access to funds for the Company's customers. Significant adverse movement in the USD-INR exchange rate during the third quarter of 2013 has had a large impact on the Company's operating results driving costs of imported items higher. Slowdown in the industrial and infrastructure sectors has now spread to the residential construction sector as well.
Economic and industry conditions impacting industries involved in environment, security and safety also have an impact on the Company's operations. Some of the important market conditions were:
Delays in incremental investments in sectors critical for the Process Solutions business, including refining, terminals and pipelines, power generation, transmission and distribution, and oil exploration projects continued. Overall investment trends remained uncertain.
Trends in the construction sector for both commercial and residential verticals continued to remain muted due to sluggish demand for real estate. These trends have impacted the Company's ECC business.
For the S and C business, slowdown in manufacturing of machinery, capital goods and auto sectors meant significant shrinkage in available opportunities. However, the increasing level of automation in industrial and off-road automotive products is a positive trend for the business.
The changing geographic mix of global business from the developed regions (North America and Western Europe) to other geographies (e.g., the Middle East, Eastern Europe) has sustained. This affects the Company's ability to derive competitive advantages from the cost benefit of sourcing services from India by Honeywell entities.
FINANCIALS
Overall net revenue from operations at Rs. 17070.000 millions, is up 3% compared to the previous year. The domestic segment of the business registered a growth of 9%. This growth was achieved amidst competitive challenges on pricing and adverse order backlog affecting sales volumes. The exports segment revenue is lower by 9%, driven primarily by one time large export orders in the previous year.
Overall net income was Rs. 860.000 millions. The Company delivered a return of 5% on sales for the year.
Slowdown in the Indian economy and higher costs driven by inflation led to marginal growth in revenue.
Strengthening of the US dollar led to increase in cost structure, leading to an increase in the cost of production during the year.
Tight money market conditions, as witnessed in some delayed payments from customers, caused the Company to take higher charge on account of provision for doubtful debts and bad debts.
The Company continued to focus on productivity of its workforce. Average headcount for the year stood lower by 8% over the previous year.
Corporate allocation was lower by Rs. 98.000 millions, driven by lower billing, which was partially offset by a significantly weaker rupee as invoicing of allocation is in US dollars.
Cash flow from operations at Rs. 1920.000 millions, (previous year negative Rs. 170.000 millions) reflected the initiatives taken by the Company to recover its cash position despite adverse liquidity and tight money market conditions. The Company will continue to strive for better working capital performance by generating positive operating cash flows in proportion to its net income.
CONTINGENT
LIABILITIES AS ON 31.03.2012
(Rs. in Millions)
|
Particular |
31.12.2013 |
31.12.2012 |
|
Income Tax claims against the Company |
834.400 |
617.200 |
|
Excise duty claims against the Company |
0.300 |
0.400 |
|
Sales tax refunds/claims against the Company |
258.400 |
233.600 |
|
Customs duty claims against the Company |
29.200 |
29.200 |
|
Claims against the Company not acknowledged as debts |
151.600 |
179.000 |
FIXED ASSETS:
Tangible Assets
·
Land
·
Building
·
Plant and Machinery
·
Computer
·
Furniture and Fixtures
·
Office Equipments
·
Vehicles
Intangible Assets
·
Product Distribution Rights HSPL
·
Oracle License
·
Software
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON DESIGNATED
PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record
on Financial Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals have
been formally charged or convicted by a competent governmental authority for
any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 59.20 |
|
|
1 |
Rs. 99.51 |
|
Euro |
1 |
Rs. 80.83 |
INFORMATION DETAILS
|
Information
Gathered by : |
PDT |
|
|
|
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
DPH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
69 |
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.