MIRA
INFORM REPORT
|
Report Date : |
01.03.2014 |
IDENTIFICATION DETAILS
|
Name : |
BIRLA SUN LIFE INSURANCE COMPANY LIMITED |
|
|
|
|
Registered Office
: |
One Indiabulls
Centre, Tower 1, 16th Floor, Jupiter Mill Compound, 841, S.B.
Marg, Elphinstone Road, Mumbai – 400013, Maharashtra |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
04.08.2000 |
|
|
|
|
Com. Reg. No.: |
11-128110 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.19695.000 millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U99999MH2000PLC128110 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMB08828B |
|
|
|
|
Legal Form : |
A Closely Held Public Limited Liability Company |
|
|
|
|
Line of Business
: |
Providing Life Insurance Solutions, Policies etc. |
|
|
|
|
No. of Employees
: |
11604 (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 49900000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Usually Correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is a Birla group company. It is a well established and a reputed company having a satisfactory track
record. The company has performed well during 2013. However, some accumulated
losses are recorded by the company. Trade relations are reported to be decent. Business is active.
Payments are reported to be usually correct and as per commitments. In view of strong promoters, 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
The worst is over for India’s economy with gross domestic product likely
to expand 5 %to 5.5 % this year and more than 6 % in 2015, according to Moody’s
Analytics. Concerns over the rupee and current account deficit are under
control, said the agency. Ratings firm Crisil has forecast 6 % growth for
2014/15 up from the estimated 4.8 % for 2013/14. Total economic growth,
infrastructure bottlenecks and lack of transparency and consistency in foreign
direct investment policies seem to have taken a toll on India’s attractiveness
as an investment destination, says an Ernst & Young survey. Projects
with FDI component fell 16.4 % across the globe in 2012 from the previous
year. The drop in India was steeper at 21 %. State run carrier Air India
is doling out free tickets to its 24000 employees, even as it expects to incur
a loss of Rs 39000 mn this financial year and has a debt of Rs 350000 mn.
550000 number of jobs generated across India in 2013, a fall of 0.4 % as
compared to with a year earlier. The National Capital Region has a
one-fourth share in total jobs created, according to a study by industry lobby
group Assochem, Banks, real estate, automobile and telecommunications sectors
are showing a rise of job creation. $ 805 mn investments by venture capital
firms in India during 2013, registering a drop of about 18 % over the previous
year. The Information Technology and IT-Enabled Services Industry
retained its status as the favourable venture capital investors in 2013.
Pakistan has temporarily banned gold imports for the second time in six months,
as it tries to stem smuggling into India. India’s import duty on gold is 10 %
and curbs on purchases have dried up legal imports into what used to be the
world’s biggest bullion buyers. The World Gold Council puts the amount smuggled
into India at upto 200 tonnes in 2013. The Reserve Bank of India has proposed
that unclaimed bank deposits estimated to be about Rs 35000 mn be used for
education and awareness among depositors. According to the plan, deposits
that have not been claimed for at least 10 years will be transferred to the
scheme.
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.: 91-22-43569203)
LOCATIONS
|
Registered Office : |
One Indiabulls
Centre, Tower 1, 16th Floor, Jupiter Mill Compound, 841, S.B.
Marg, Elphinstone Road, Mumbai – 400013, Maharashtra, India |
|
Tel No.: |
91-22-67239100 |
|
Fax No.: |
91-22-67239220 |
|
E-Mail : |
ashish.lakhtakia@birlasunlife.com puneet.bansall@birlasunlife.com customerservice@birlasunlife.com grouphelpline@birlasunlife.com bsll@birlasunlife.com |
|
Website: |
|
|
Location : |
Owned |
|
|
|
|
Corporate Office : |
5th and 6th Floor, G-Corp Tech Park, Ghodbunder Road, Near Kasar Wadavali Police Station, Thane (West), Thane - 400601, Maharashtra, India |
|
Tel. No.: |
91-22-39961000 |
|
Location : |
Owned |
|
|
|
|
Branch Office : |
Unit No.101, A Wing, Great Chambers, Near Gurdwara, Andheri Kurla Road, Andheri (East), Mumbai – 400069, Maharashtra, India |
|
Tel. No.: |
91-22-67037871/74 |
DIRECTORS
As on 02.07.2013
|
Name : |
Mr. Kumar Mangalam Birla |
|
Designation : |
Chairman cum Managing Director |
|
Address : |
17A, IL Palazzo Little, GIBBS Road, Malabar
Hills, Mumbai – 400006, Maharashtra, India |
|
Date of Birth/Age : |
14.06.1967 |
|
Qualification : |
Chartered Accountant and MBA ( |
|
Date of Appointment : |
04.08.2000 |
|
DIN No.: |
00012813 |
|
|
|
|
Name : |
Mr. Jayant Sudesh Kumar Dua |
|
Designation : |
Managing Director |
|
Address : |
B-66, Ground Floor, Sarvodaya Enclave, |
|
Date of Birth/Age : |
30.01.1965 |
|
Date of Appointment : |
16.06.2011 |
|
DIN No.: |
00629213 |
|
|
|
|
Name : |
Mr. Gianprakash Dharamprakash Gupta |
|
Designation : |
Director |
|
Address : |
101, Kaveri, B Wing, Neelkanth, Valley, Rajawadi, Ghatkopar (East),
Mumbai – 400077, |
|
Date of Birth/Age : |
11.01.1941 |
|
Date of Appointment : |
11.09.2001 |
|
DIN No.: |
00017639 |
|
|
|
|
Name : |
Mr. Ajay Srinivasan |
|
Designation : |
Director |
|
Address : |
91/101, Narain Terraces, 7 and 8 Floor, |
|
Date of Birth/Age : |
02.11.1963 |
|
Qualification : |
BA with Honours in Economics and MBA (Indian |
|
Date of Appointment : |
01.07.2010 |
|
DIN No.: |
00121181 |
|
|
|
|
Name : |
Mr. Bishwanath Mangilal Puranmalka |
|
Designation : |
Director |
|
Address : |
Antariksha, Flat No.182 19th Floor, 95/96, Kakasaheb Gadgil
Marg, Prabhadevi, Mumbai – 400025, |
|
Date of Birth/Age : |
02.11.1935 |
|
Date of Appointment : |
04.08.2000 |
|
DIN No.: |
00007432 |
|
|
|
|
Name : |
Mr. Donald Alexander Stewart |
|
Designation : |
Director |
|
Address : |
|
|
Date of Birth/Age : |
06.11.1946 |
|
Qualification : |
Fellow of |
|
Date of Appointment : |
24.12.2000 |
|
DIN No.: |
00438164 |
|
|
|
|
Name : |
Mr. Venkatesh Satyaraj Mysore |
|
Designation : |
Director |
|
Address : |
688, Supraja, 15th Cross, 100 Feet Ring Road, J.P. Nagar,
Phase – II, Bangalore – 560078, Karnataka, India |
|
Date of Birth/Age : |
30.12.1958 |
|
Date of Appointment : |
01.01.2008 |
|
DIN No.: |
01401447 |
|
|
|
|
Name : |
Dr. Rakesh Naging Chand Jain |
|
Designation : |
Director |
|
Address : |
110/2, A wing, Quantum Park, Union Park Road, Khar (West), Mumbai –
400052, Maharashtra, India |
|
Date of Birth/Age : |
19.01.1961 |
|
Date of Appointment : |
16.06.2010 |
|
DIN No.: |
00020425 |
|
|
|
|
Name : |
Mrs. Tarjani Manmukram Vakil |
|
Designation : |
Director |
|
Address : |
A-1, |
|
Date of Birth/Age : |
30.10.1936 |
|
Date of Appointment : |
16.06.2010 |
|
DIN No.: |
00009603 |
|
|
|
|
Name : |
Mr. Kevin David Strain |
|
Designation : |
Director |
|
Address : |
180, |
|
Date of Birth/Age : |
31.08.1966 |
|
Date of Appointment : |
28.04.2012 |
|
DIN No.: |
05262340 |
|
|
|
|
Name : |
Vishwanathan Mavila Nair |
|
Designation : |
Director |
|
Address : |
MV Nair, 1902, A Vivaria Hindustan Mills Compound, Mahalaxmi,
Satrasta, Mumbai, Maharashtra, India |
|
Date of Birth/Age : |
03.03.1952 |
|
Date of Appointment : |
02.07.2013 |
|
DIN No.: |
02284165 |
KEY EXECUTIVES
|
Name : |
Mr. Ashish Lakhtakia |
|
Designation : |
Secretary |
|
Address : |
Flat No.103-104, B Wing, |
|
Date of Birth/Age : |
25.04.1973 |
|
Date of Appointment : |
27.04.2011 |
|
PAN No.: |
ACDPL9207F |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 02.07.2013
|
Names of Shareholders |
|
No. of Shares |
|
Aditya Birla Nuvo Limited, |
|
1406893915 |
|
Sun Life Financial ( |
|
494314080 |
|
Anil Rustogi Jointly with Aditya Birla Nuvo Limited, |
|
1 |
|
BN Puranmalka Jointly with Aditya Birla Nuvo, Limited, |
|
1 |
|
Sushil Agarwal Jointly with Aditya Birla Nuvo Limited, |
|
1 |
|
Manoj Kedia Jointly with Aditya Birla Nuvo Limited, |
|
1 |
|
Devendra Bhandari Jointly with Aditya Birla Nuvo Limited, |
|
1 |
|
Total
|
|
1901208000 |
As on 02.07.2013
Equity Share Break up (Percentage of Total Equity)
|
Category |
Percentage of Holding |
|
Foreign holdings( Foreign institutional
investor(s), Foreign companie(s) Foreign financial institution(s),
Non-resident Indian(s) or Overseas Corporate bodies or Others |
26.00 |
|
Bodies corporate |
74.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Providing Life Insurance Solutions, Policies etc. |
GENERAL INFORMATION
|
No. of Employees : |
11604 (Approximately) |
|
|
|
|
Bankers : |
Not Divulged |
|
|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S.R. Batliboi and Associates Chartered Accountants
|
|
Address : |
6th Floor, |
|
PAN No.: |
AABFS3421N |
|
|
|
|
Name : |
Fraser and Ross Chartered Accountants |
|
Address : |
Deloitte Centre, |
|
PAN No.: |
AAAFF0644S |
|
|
|
|
Holding company : (As on
31.03.2012) |
Aditya Birla Nuvo Limited CIN
No.: L17199GJ1956PLC001107 |
|
|
|
|
Foreign
Partner : (As on
31.03.2012) |
Sun Life Financial ( |
|
|
|
|
Fellow
Subsidiary : (As on
31.03.2012) |
· Aditya Birla Finance Limited (Formerly known as Birla Global Finance Company Limited) Aditya Birla Minacs Worldwide Limited (Formerly known as
Transworks Information Services Limited) Aditya Birla Minacs IT Services Limited (Formerly known as
PSI Data Systems Limited) Aditya Birla Money Mart Limited (Formerly known as Birla
Sun Life Distribution Company Limited) (w.e.f. March 31, 2009) Aditya Birla Money Insurance Advisory Services Limited
(Formerly known as BSDL Insurance Advisory Services Limited (w.e.f. March 31,
2009) Aditya Birla Money Limited (Formerly known as Apollo
Sindhoori Capital Investments Limited) (w.e.f. March 6, 2009) Aditya Birla Financial Services Private Limited (w.e.f.
November 4, 2008) Aditya Birla Financial Shared Services Limited Aditya Birla Insurance Brokers Limited (Formerly known as
Birla Insurance Advisory and Broking Service Limited) (w.e.f. August 18,
2010) Madura Garments LifeStyle Retail Company Limited |
CAPITAL STRUCTURE
As on 02.07.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
3750000000 |
Equity Shares |
Rs.10/- each |
Rs.37500.000 millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1901208000 |
Equity Shares |
Rs.10/- each |
Rs. 19012.080 Millions |
|
|
|
|
|
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
3750000000 |
Equity Shares |
Rs.10/- each |
Rs.37500.000 millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1969500000 |
Equity Shares |
Rs.10/- each |
Rs.19695.000
millions |
|
|
|
|
|
Note: Of the above 1,457,430,000 Equity Shares (Previous Year: 1,457,430,000 equity shares) of Rs. 10/- each are held by Aditya Birla Nuvo Limited, the holding Company.
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
19695.000 |
19695.000 |
19695.000 |
|
|
2] Share Application Money |
0.000 |
0.00 |
0.000 |
|
|
3] Reserves & Surplus |
5206.127 |
4800.000 |
4800.000 |
|
|
4] (Accumulated Losses) |
(12424.921) |
(13762.293) |
(17225.082) |
|
|
5] credit/(Debit) / Fair
Value Change account |
0.027 |
0.047 |
0.001 |
|
|
NETWORTH |
12476.233 |
10732.754 |
7269.919 |
|
|
|
|
|
|
|
|
POLICYHOLDERS FUNDS |
|
|
|
|
|
Credit/(Debit) Fair Value Change Account |
(3.667) |
(1.577) |
0.069 |
|
|
Policy Liabilities |
20300.360 |
14318.822 |
10608.571 |
|
|
Insurance Reserves |
0.000 |
0.000 |
0.000 |
|
|
TOTAL BORROWING |
20296.693 |
14317.245 |
10608.640 |
|
|
|
|
|
|
|
|
Provision for linked liabilities |
187068.996 |
180060.213 |
170233.983 |
|
|
Funds for Discontinued Policies |
|
|
|
|
|
i) Discontinued on account of non-payment of premium |
2050.412 |
437.939 |
6.401 |
|
|
Credit/(Debit) Fair Value Change Account |
4251.315 |
866.046 |
4351.817 |
|
|
TOTAL LINKED LIABILITIES |
193370.723 |
181364.198 |
174592.201 |
|
|
|
|
|
|
|
|
Funds For Future Appropriation |
|
|
|
|
|
Linked Liabilities |
2095.678 |
3958.870 |
4569.742 |
|
|
TOTAL |
228239.327 |
210373.067 |
197040.502 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
342.351 |
395.861 |
399.823 |
|
|
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
INVESTMENT |
13706.870 |
10153.273 |
6972.707 |
|
|
DEFERREX TAX ASSETS |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
Shareholders |
22214.668 |
19583.057 |
16033.543 |
|
|
Assets held to cover linked liabilities
|
193370.723 |
181364.198 |
174592.201 |
|
|
Loans |
280.690 |
250.239 |
263.070 |
|
|
|
|
|
|
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
0.000
|
0.000
|
0.000
|
|
|
Sundry Debtors |
0.000
|
0.000
|
0.000
|
|
|
Cash & Bank Balances |
5442.434
|
6404.658
|
5885.242
|
|
|
Other Current Assets |
0.000
|
0.000
|
0.000
|
|
|
Loans & Advances |
3068.528 |
2380.549 |
1371.709 |
|
Total
Current Assets |
8510.962
|
8785.207
|
7256.951
|
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
2621.248
|
2984.736
|
3320.427
|
|
|
Current Liabilities |
5952.857
|
6577.021
|
4687.859
|
|
|
Provisions |
1612.832
|
597.011
|
469.507
|
|
Total
Current Liabilities |
10186.937
|
10158.768
|
8477.793
|
|
|
Net Current Assets |
(1675.975)
|
(1373.561)
|
(1220.842)
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
228239.327 |
210373.067 |
197040.502 |
|
REVENUE ACCOUNT FOR THE YEAR ENDED MARCH 31, 2013
POLICYHOLDERS' ACCOUNT (TECHNICAL ACCOUNT)
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
Premium Earned –
Net |
|
|
|
|
|
a) Premium |
52162.991 |
58853.594 |
56770.665 |
|
|
b) Reinsurance Ceded |
(1645.530) |
(1375.857) |
(825.041) |
|
|
c) Reinsurance accepted |
-- |
-- |
-- |
|
|
Sub-total |
50517.461 |
57477.737 |
55945.624 |
|
|
|
|
|
|
|
|
Income
from investments |
|
|
|
|
|
a) interest, Dividend and Rent – Gross |
10940.692 |
9567.643 |
7715.638 |
|
|
b) Profit on sale / Redemption of investments |
11114.871 |
5822.017 |
15996.532 |
|
|
c) (Loss) on sale / Redemption of investments |
(4724.259) |
(13458.611) |
(3894.870) |
|
|
d) transfer/Gain (Loss) on revaluation / change in fair value |
3385.269 |
(3485.771) |
(4778.515) |
|
|
e) Gain / (Loss) on Amortisation |
(16.081) |
(77.958) |
(119.398) |
|
|
Sub-Total |
20700.492 |
(1632.680) |
14919.387 |
|
|
|
|
|
|
|
|
Other Income |
|
|
|
|
|
a) contribution from the shareholders account |
1994.559 |
3287.343 |
619.836 |
|
|
b) Others (interest etc.) |
366.568 |
298.060 |
236.803 |
|
|
Sub-Total |
2361.127 |
3585.403 |
856.639 |
|
|
Total (A) |
73579.080 |
59430.460 |
71721.650 |
|
|
|
|
|
|
|
|
Commission |
3004.767 |
3254.002 |
3805.795 |
|
|
Operating expenses related to insurance business |
11597.047 |
12151.175 |
12034.778 |
|
|
Provision for Doubtful debts |
-- |
-- |
-- |
|
|
Bad debts written off |
-- |
-- |
--- |
|
|
Provision for tax |
-- |
-- |
(5.875) |
|
|
Provision (other than taxation) |
|
|
|
|
|
a) for diminution in value of investments (net) |
-- |
-- |
-- |
|
|
b) others |
-- |
-- |
-- |
|
|
Total (B) |
14601.814 |
15405.177 |
15834.698 |
|
|
|
|
|
|
|
|
Benefits paid (Net) |
36586.379 |
27046.221 |
19343.749 |
|
|
Interim Bonus Paid |
-- |
-- |
-- |
|
|
Change in valuation of liabilities in respect of life policies |
|
|
|
|
|
a) Gross |
7150.889 |
4533.945 |
2779.908 |
|
|
b) Fund Reserve |
10394.052 |
6340.460 |
28912.827 |
|
|
c) Premium Discontinued Fund - Linked |
1612.473 |
431.538 |
6.401 |
|
|
d) (Amount ceded in Re-insurance) |
(1169.350) |
(823.696) |
(32.122) |
|
|
c) Amount accepted in Re-insurance |
-- |
-- |
-- |
|
|
Total (C) |
54574.443 |
37528.468 |
51010.763 |
|
|
|
|
|
|
|
|
Surplus / (Deficit) (D)= (A)-(B)-(C) |
4402.823 |
6496.815 |
4876.189 |
|
|
Appropriations |
|
|
|
|
|
Transfer to shareholders account |
6266.015 |
7107.686 |
3290.689 |
|
|
Transfer to other reserves |
|
-- |
-- |
|
|
Balance being funds for future appropriation |
(1863.192) |
(610.871) |
1585.500 |
|
|
Total (D) |
4402.823 |
6496.815 |
4876.189 |
|
|
|
|
|
|
|
|
The total surplus mentioned below |
|
|
|
|
|
a) interim Bonuses paid |
-- |
-- |
-- |
|
|
b) allocation of bonus to policyholders |
49.379 |
-- |
-- |
|
|
c) surplus/(Deficit) shown in the revenue account |
4402.823 |
6496.815 |
4876.189 |
|
|
Total Surplus
[(a)+(b)+(c)] |
4452.202 |
6496.815 |
4876.189 |
PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED MARCH 31, 2013
SHAREHOLDERS'
ACCOUNT (NON-TECHNICAL ACCOUNT)
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
|
|
|
Amount
Transferred From Policyholder Account (Technical Account) |
6266.015 |
7107.686 |
3290.689 |
|
Income from Investments |
|
|
|
|
(a) Interest, Dividend & Rent - Net of Amortization |
1131.764 |
785.703 |
366.344 |
|
(b) Profit on sale / redemption of investments |
39.372 |
24.666 |
33.366 |
|
(c) (Loss on sale / redemption of investments) |
(9.188) |
(0.346) |
(0.254) |
|
(d) Gain
/ (Loss) on Amortisation |
(2.045) |
(6.397) |
(15.598) |
|
|
|
|
|
|
Other Income |
|
-- |
-- |
|
TOTAL (A) |
7425.918 |
7911.312 |
3674.547 |
|
|
|
|
|
|
Expenses other
than those directly related to the insurance |
16.328 |
16.679 |
4.753 |
|
Bad debts written off |
-- |
-- |
-- |
|
Provisions (Other than taxation) |
|
|
|
|
(a) For diminution in the value of investment (net) |
-- |
-- |
-- |
|
(b) Provision for doubtful debts |
-- |
-- |
-- |
|
(c) Others |
-- |
-- |
-- |
|
-Contribution to the Policyholders Fund |
1994.559 |
3287.343 |
619.836 |
|
Total (B) |
2010.887 |
3304.022 |
624.589 |
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX |
5415.031 |
4607.290 |
3049.958 |
|
Provision for Taxation |
-- |
-- |
-- |
|
PROFIT / (LOSS)
AFTER TAX |
5415.031 |
4607.290 |
3049.958 |
|
|
|
|
|
|
Appropriations |
|
|
|
|
(a) Balance at the beginning of the period/year |
(13762.293) |
(17225.082) |
(20275.040) |
|
(b) Interim dividend during the period/year |
1969.500 |
984.750 |
-- |
|
(c) Proposed final dividend |
1181.700 |
-- |
-- |
|
(d) Dividend distribution tax |
520.332 |
159.751 |
-- |
|
(e) Transfer to reserves / other accounts |
406.127 |
-- |
-- |
|
|
|
|
|
|
Profit / (Loss) carried to the Balance Sheet |
(12424.921) |
(13762.293) |
(17225.082) |
|
|
|
|
|
|
Earning Per Share
(Basic and Diluted), Face Value of Rs. 10 (in Rs.) |
2.75 |
2.34 |
1.55 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
1.63
|
1.33 |
1.46 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.84
|
0.86 |
0.86 |
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 |
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 |
No |
|
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 |
No |
CURRENT MATURITIES OF
LONG TERM DEBTS : NOT AVAILABLE
INDEX OF CHARGES : NO
CHARGES EXIST FOR COMPANY
CHARGES
|
ENTITY |
PERSON |
COMPETENT AUTHORITY |
REGULATORY CHARGES |
REGULATORY ACTION(S) / DATE OF ORDER |
FURTHER DEVELOPMENTS |
|
BIRLA SUN LIFE INSURANCE COMPANY LIMITED |
|
IRDA |
TOOK BLANKET
APPROVAL FOR RAISING THE LIMIT UP TO 15% IN RESPECT OF INDUSTRY/GROUP
EXPOSURE |
IMPOSED PENALTY
RS.6,00,000 |
|
BACKGROUND
The Company headquartered at Mumbai, had commenced operations on 19th March 2001, after receiving the license to transact life insurance business in India from the Insurance Regulatory and Development Authority („IRDA‟) on 31st January 2001. The license has been renewed annually and is in force as at 31st March 2013.
The Company is a joint venture between Aditya Birla Nuvo Limited, a Company of the Aditya Birla Group of India (74 percent) and Sun Life Financial (India) Insurance Investments Inc., subsidiary of Sun Life Assurance Company of Canada (26 percent). This business spans across individual and group products and covers participating, non-participating and unit linked lines of businesses. Riders covering additional benefits are offered under these products. These products are distributed through individual agents, corporate agents, banks, brokers and other intermediaries across the country.
BUSINESS PERFORMANCE
Macro-economic uncertainty and changing regulatory environment especially on the prod-uct front continued to impact the life insurance industry adversely leading to growth chal-lenges. Keeping this context, in view, the company recorded new business premium of Rs. 1,836 Crs in FY13 a decrease of 5% as against the Industry decline of 15%. In FY13, while Group business witnessed a growth of 17% in new business premium, individual life busi-ness de-grew by -16%.
Their business performance has been affected, to some degree, by a number of external fac-tors including regulatory uncertainty and general market conditions (high-interest/high-inflation) which has also impacted customer sentiments. Over the last 3 years, including the year under review, they have seen significant new regulations, which created challenges for them. FY13 again witnessed a slew of new regulations including new product regulations for Traditional products and revised unit-linked product regulations. Their rank amongst the private players for the period under review is 5th (Total Individual and Group) and they are po-sitioned 6th in Individual Life. Most of the players ahead of them are bank owned or have a significant bank tie-up
BUSINESS REVIEW
Industry Scenario
The external market environment has been difficult in the year especially for private players. The Regulations introduced in FY11 has altered the competitive landscape of the Indian life insurance industry and seen an increased concentration across Top play-ers. The share of LIC has increased from 54% in FY11 to 62% in FY13 for Individual life business. Top 7 companies (excluding LIC) have witnessed a decline in their market share over the years and in FY13 contributed to 29%of the Industry weighted new business for individual life as against 34% in FY11. Remaining 16 private players have been further marginalized and with contribution at around 9% of industry new business premium.
FY13 saw a renewed focus of insurers towards improvement of key operating metrics which includes operating expenses, quality of business, productivity and focus on improving overall distribution efficiencies.
The external market environment has been difficult in the year especially for private players. The Regulations introduced in FY11 has altered the competitive landscape of the Indian life insurance industry and seen an increased concentration across Top play-ers. The share of LIC has increased from 54% in FY11 to 62% in FY13 for Individual life business. Top 7 companies (excluding LIC) have witnessed a decline in their market share over the years and in FY13 contributed to 29%of the Industry weighted new business for individual life as against 34% in FY11. Remaining 16 private players have been further marginalized and with contribution at around 9% of industry new business premium.
FY13 saw a renewed focus of insurers towards improvement of key operating metrics which includes operating expenses, quality of business, productivity and focus on improving overall distribution efficiencies.
OUTLOOK FOR
THE INDUSTRY AND COMPANY
Since the introduction of significant regulatory changes, there has been a perceptible slow-down in the industry. However, this has given an opportunity to the existing insurance players to review their operating models to drive higher efficiencies and focus on more bal-anced growth objectives.
The Company continues to be optimistic on the future potential of the life insurance sector over the medium to long term. India has several structural advantages in terms of favorable demographics and high rate of financial savings. Greater certainty of regulation, improving macro-economic environment, increasing product offerings and evolving distribution chan-nels would further enhance growth and profitability.
The Company has identified the following key areas to strengthen its competitive and fi-nancial position in the coming years:
• Sales Growth though a balanced channel mix, optimal capacities and better distribution management
• Optimal product mix and diversified product portfolio
• Creating a differentiation in customer service and brand
• Focus on customer retention and improving quality of business
AWARDS/ RECOGNITIONS
In addition to recognitions that Company’s claims department has received, BSLI has also won the following awards during FY13:
• Birla Sun Life Insurance bagged the 'Golden Peacock Award for HR Excellence in the year 2011 -12
• BSLI has won a Gold Shield under the ‘ICAI Awards for Excellence in Financial Report-ing’ for their thematic Annual Report for the year 2011-12.
• Birla Sun Life Group Life and Pensions is the first life insurance company to receive the ‘Special Recognition for Outstanding Contribution to the Indian Pension Fund Industry’ at the Indian Pension Fund Awards 2012.
• BSLI’s Annual Report was adjudged as the recipient of ‘Certificate of Merit’ in the cate-gory ‘Insurance Sector’ by SAFA for Best Presented Annual Report Awards 2011 -12
• BSLI bagged a GOLD in the BEST USE OF MEDIUM in Direct Marketing category for Birla Sun Life Insurance - Saptapadi
• BSLI won a Bronze in ‘Best Use of Ambient Media’ category for Birla Sun Life Insurance - Drill Of Unforeseen in 2012
• Goafest Creative and Media Abby Awards 2012 recognised BSLI with a GOLD in the ‘Inte-grated Campaign – Financial Services’ category for Birla Sun Life Insurance – Wealth with Protection campaign
• Goafest Creative and Media Abby Awards 2012 recognised BSLI with a GOLD in the ‘Non Fiction Branded Content’ category for Birla Sun Life Insurance – Zindagi Abhi Baki Hai series tie-up with GEC channel Colors
CONTINGENT
LIABILITIES:
|
Particulars |
31.03.2013 (Rs.
In Millions) |
31.03.2012 (Rs.
In Millions) |
|
Partly paid-up investments |
0.000 |
0.000 |
|
Claims, other
than against policies, not acknowledged as debts by the Company |
25.961 |
24.414 |
|
Underwriting commitments outstanding |
0.000 |
0.000 |
|
Guarantees given
by or on behalf of the Company |
0.000 |
0.000 |
|
Statutory
demands / liabilities in dispute, not provided for |
Refer Note Below |
Refer Note Below |
|
Reinsurance
obligations to the extent not provided for in the accounts. |
0.000 |
0.000 |
|
Others * |
223.819 |
153.338 |
* Represents potential liability to the Company (net of reinsurance) in respect of cases filed against the Company‟s decision of repudiation of death claims and customer complaints.
Note: The Company has received Show Cause-Cum-Demand notices in earlier year relating to Service Tax demands related to excess utilization of CENVAT credit against liability on risk premium and payment of reimbursements to agents aggregating to Rs.309.471 millions (previous year Rs. 309.471 millions) plus applicable interest and penalty, which is contested.
FIXED ASSETS
· Goodwill
Intangible
(Software)
Land
Freehold
Leasehold
Property
Buildings
Furniture
and Fittings
Information
Technology Equipment
Vehicles
Office
Equipment
Other
(Leasehold Improvement)
PRESS RELEASE
BIRLA SUN LIFE ENHANCED ARBITRAGE FUND DECLARES DIVIDEND
Birla Sun Life Enhanced Arbitrage Fund announces dividend, the record date for dividend is March 04, 2014.
Birla Sun Life Mutual Fund has announced dividend under the dividend option of Regular and Direct Plan of Birla Sun Life Enhanced Arbitrage Fund. The record date for declaration of dividend is March 04, 2014.
The amount of dividend on
the face value of Rs 10 per unit will be Rs 3.00 per unit as on the record
date.
BIRLA SUN LIFE INSURANCE LAUNCHES NEW WHOLE LIFE PLAN – BSLI WEALTH
SECURE
The plan allows customers to secure their family’s future for an entire lifetime and maximize wealth with unique investment strategies
Mumbai, June, 2012: Birla Sun Life Insurance Company, a joint venture between the Aditya Birla Group, India’s leading transnational conglomerate and Sun Life Financial Inc, one of the leading international financial services organizations from Canada, has announced the launch of its new whole life plan, ‘BSLI Wealth Secure’. The plan enables customers to meet their financial goals according to their changing life stages with equity market participation, and also provides them financial security throughout their entire lives.
Niall O’Hare, Chief Actuarial Officer, Birla Sun Life Insurance, says, “With three investment options to choose from, the plan can meet the demands of the diverse investors. BSLI Wealth Secure plan combines long-term savings and whole life cover in such a way that it allows customers to focus on their goals and maximize savings for their future.” He adds, “With a built-in savings component, BSLI Wealth Secure plan can help accumulate sizable returns with every premium paid, owing to its long tenure and equity market participation.”
The plan enables a customer to fulfill his family’s dreams with prudent investments and also financially secure their future with a whole Life cover.
Many customers tend to stay away from the equity market opportunity due to lack of knowledge, thereby compromising on their long-term wealth creation goals. The company is positive that the product will induce many more customers to achieve a balanced growth on their investments while they benefit from advanced investment strategies and also a whole life cover.
The plan offers customers a choice to select the premium amount. Based on his/her current age and the premium amount that the customer opts for, the company will determine the life cover applicable on the policy. This is also the minimum Basic Sum Assured.
Key features of BSLI
Wealth Secure plan include –
Insurance cover for whole life.
Option to select from three investment strategies - Systematic Transfer Option, LifeCycle Option and Self-Managed Option.
Systematic Transfer Option mitigates the risk arising from the volatility in the equity market by averaging out a customer’s cost of purchase. This option allows customers to enter the equity market not at once, but slowly at different times and at different levels, thus reducing the overall risk to their portfolio.
LifeCycle Option is meant for individuals who want their investments to change according to their changing age and risk profile.
Self-Managed Option is meant for individuals who seek complete freedom and flexibility to manage their investments by allocating the premiums across investment funds of their choice in varying proportions. Self- managed Option gives customers access to BSLI’s well established suite of 13 investment funds with complete control on how to invest premiums, and the independence to switch from one investment fund to another.
Option of increasing life cover by up to 300% of the minimum Basic Sum Assured.
Advantage of enhanced financial security with BSLI Riders.
Flexibility to make partial withdrawals to meet any financial emergencies after completion of five policy years.
Additional boost to Fund Value in the form of Guaranteed Additions.
Payment of Sum Assured or fund value to the nominee, whichever is higher, in the unfortunate event of death of the Life Assured during the term of the policy.
Tax benefits under Section 80C and Section 10(10D) of the Income Tax Act, 1961.
About Birla Sun Life
Insurance
Birla Sun Life Insurance Company Limited (BSLI) is a joint venture between the Aditya Birla Group, a well known Indian conglomerate and Sun Life Financial Inc, one of the leading international financial services organizations from Canada. With an experience of over a decade, BSLI has contributed to the growth and development of the Indian life insurance industry and currently is one of the leading life insurance companies in the country. BSLI offers a complete range of offerings comprising of protection solutions, children's future solutions, wealth with protection, health and wellness as well as retirement solutions and has an extensive distribution reach over 500 cities through its network of 632 branches, over 132,816 empanelled advisors and over 200 partnerships with Corporate Agents, Brokers and Banks. The AUM of Birla Sun Life Insurance is close to Rs 157260.000 Millions and it has a robust capital base of over Rs. 24500.000 Millions as on May 30, 2012.
About Aditya Birla
Financial Services Group
Aditya Birla Financial Services Group (ABFSG) ranks among the top 5 fund managers in India (excluding banks and LIC) with an AUM of ~USD 17.5 billion. Having a strong presence across the life insurance, asset management, NBFC, private equity, retail broking, distribution and wealth management and general insurance broking businesses, ABFSG is committed to serve the end-to-end financial services needs of its retail and corporate customers. The seven companies representing ABFSG are Birla Sun Life Insurance Company Limited, Birla Sun Life Asset Management Company Limited, Aditya Birla Finance Limited, Aditya Birla Capital Advisors Pvt. Limited, Aditya Birla Money Limited, Aditya Birla Money Mart Ltd, and Aditya Birla Insurance Brokers Limited In FY 2011-12, ABFSG reported consolidated revenue from these businesses at Rs. 6550 Crore (USD 1.3 billion) and earnings before tax at Rs. 600 Crore. Anchored by about 17,000 employees and trusted by about 5.5 million customers, ABFSG has a nationwide reach through more than 1,775 points of presence and about 200,000 agents / channel partners.
About Sun Life
Financial
Sun Life Financial is a
leading international financial services organization providing a diverse range
of protection and wealth accumulation products and services to individuals and
corporate customers. Chartered in 1865, Sun Life Financial and its partners
today have operations in key markets worldwide, including Canada, the United
States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan,
Indonesia, India, China and Bermuda. As of March 31, 2012, the Sun Life
Financial group of companies had total assets under management of $494 billion.
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.62.07 |
|
|
1 |
Rs.103.61 |
|
Euro |
1 |
Rs.85.03 |
INFORMATION DETAILS
|
Information
Gathered by : |
SVA |
|
|
|
|
Report Prepared
by : |
MRI |
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 |
No |
|
--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.