MIRA INFORM REPORT
|
Report Date : |
06.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
L T FOODS LIMITED |
|
|
|
|
Registered
Office : |
Unit No. 134, First Floor, Rectangle - 1, Saket District Centrenew Delhi – 110017, Delhi |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2013 |
|
|
|
|
Date of
Incorporation : |
16.10.1990 |
|
|
|
|
Com. Reg. No.: |
55-041790 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 261.684 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L74899DL1990PLC041790 |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Processor and
exporter of pledged basmati rice. |
|
|
|
|
No. of Employees
: |
800 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (47) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 9805000 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
|
Payment Behaviour : |
Slow but correct |
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|
|
Litigation : |
Clear |
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|
|
Comments : |
Subject is an established company having satisfactory track. External borrowing of the company seems to be huge during 2013. However, trade relations reported as fair. Business is active.
Payments are reported to be slow but 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 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
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 |
ICRA |
|
Rating |
Working capital limits = BBB |
|
Rating Explanation |
Have moderate degree of safety and carry moderate credit risk. |
|
Date |
September, 2013. |
|
Rating Agency Name |
ICRA |
|
Rating |
Non fund based limits = A3+ |
|
Rating Explanation |
Have moderate degree of safety and carry higher credit risk. |
|
Date |
September, 2013. |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter in
the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
INFORMATION PARTED BY
|
Name : |
Mr. Yogesh |
|
Designation : |
Export Department |
|
Contact No.: |
91-124-3055100 |
|
Date : |
16.04.2014 |
LOCATIONS
|
Registered Office : |
Unit No. 134, First Floor, Rectangle - 1, Saket District Centrenew Delhi – 110017, Delhi, India
|
|
Tel. No.: |
91-11-26857099 |
|
Fax No.: |
91-11-26859344 |
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E-Mail : |
|
|
Website : |
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|
Location : |
Owned (Commercial) |
|
|
|
|
Corporate Office : |
Plot No. 119, Sector-44, Institutional Area, Gurgaon – 122002,
Haryana, India |
|
Tel. No.: |
91-124-3055100 |
|
Fax No.: |
91-124-3055199 |
|
|
|
|
Factory 1 : |
43Km Stone, GT Road, Bahalgarh, Sonepat, Kamaspur, Bahalgarh, Sonepat
-131001, India |
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|
|
|
Factory 2: |
Located At ·
Mandideep, Bhopal ·
Phoola Road ·
Amritsar
Varpal ·
Punjab |
DIRECTORS
AS ON 31.03.2013
|
Name : |
Mr. Vijay Kumar Arora |
|
Designation : |
Chairman and Managing Director |
|
|
|
|
Name : |
Mr. Ashwani Kumar Arora |
|
Designation : |
Joint Managing Director |
|
|
|
|
Name : |
Mr. Surinder Kumar Arora |
|
Designation : |
Joint Managing Director |
|
|
|
|
Name : |
Mr. Jagdish Chandra Sharma |
|
Designation : |
Independent Director |
|
|
|
|
Name : |
Mr. Rajesh Kumar Srivastava |
|
Designation : |
Nominee Director |
|
|
|
|
Name : |
Ms. Radha Singh |
|
Designation : |
Independent Director |
|
|
|
|
Name : |
Mr. Pramod Bhagat |
|
Designation : |
Independent Director |
|
|
|
|
Name : |
Mr. Surender Kumar Tuteja |
|
Designation : |
Independent Director |
KEY EXECUTIVES
|
Name : |
Ms. Monika Chawla Jaggia |
|
Designation : |
Company Secretary and
Compliance Officer |
|
Name : |
Mr. Yogesh |
|
Designation : |
Export Department |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 31.12.2013
|
Category of Shareholder |
Total No. of Shares |
Total
Shareholding as a % of Total No. of Shares |
|
(A) Shareholding
of Promoter and Promoter Group |
||
|
|
|
|
|
|
6548155 |
24.89 |
|
|
10943672 |
41.60 |
|
|
2676084 |
10.17 |
|
|
8267588 |
31.43 |
|
|
17491827 |
66.49 |
|
|
|
|
|
Total
shareholding of Promoter and Promoter Group (A) |
17491827 |
66.49 |
|
(B) Public
Shareholding |
||
|
|
|
|
|
|
16919 |
0.06 |
|
|
3835015 |
14.58 |
|
|
3851934 |
14.64 |
|
|
|
|
|
|
757158 |
2.88 |
|
|
|
|
|
|
2389535 |
9.08 |
|
|
1653439 |
6.29 |
|
|
161716 |
0.61 |
|
|
11464 |
0.04 |
|
|
99759 |
0.38 |
|
|
50000 |
0.19 |
|
|
493 |
0.00 |
|
|
4961848 |
18.86 |
|
Total Public
shareholding (B) |
8813782 |
33.51 |
|
Total (A)+(B) |
26305609 |
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) |
26305609 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Processor and
exporter of pledged basmati rice. |
|
|
|
|
Exports : |
|
|
Products : |
Finished Goods |
|
Countries : |
|
|
|
|
|
Terms : |
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|
Selling : |
L/C and Credit |
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|
|
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Purchasing : |
L/C and Credit |
GENERAL INFORMATION
|
Customers : |
Retailers and End Users |
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No. of Employees : |
800 (Approximately) |
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Bankers : |
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Facilities : |
Note : SHORT TERM
BORROWINGS Working capital loans are secured by hypothecation of stocks and book
debts of the Company. The working capital demand loans is repayable on demand and the interest
on above term loans from banks are linked to the respective banks base rates
which are floating in nature. The interest rate ranges from 11.50 % to 15.50
% on rupee working capital loans and 3.00% to 6.50% on foreign currency
working capital loans. |
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|
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
|
|
|
Statutory Auditors : |
|
|
Name : |
Walker, Chandiok and Company Chartered Accountants |
|
|
|
|
Internal
Auditors : |
|
|
Name : |
Protiviti Consulting Private Limited Chartered Accountants |
|
|
|
|
Subsidiary companies : |
|
|
|
|
|
Partnership firm : |
Raghunath Agro Industries |
|
|
|
|
Associate enterprises: |
|
CAPITAL STRUCTURE
AS ON 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
30,000,000 |
Equity Shares |
Rs.10/- each |
Rs.300.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
26,168,395 |
Equity Shares |
Rs.10/- each |
Rs. 261.684 Millions |
|
|
|
|
|
During the year, the Company had issued and
allotted 49,981 (Previous year Nil) equity shares to eligible employees of the
Company and its subsidiaries under Employees stock option scheme.
Terms/rights
attached to equity shares
The Company
has only one class of equity shares having the par value of Rs. 10 per share.
Each holder of equity share is entitled to one vote per share. The Company
declares and pays dividend in Indian Rupees.
During
the year ended March 31, 2012 the amount of per share dividend recognised as
distributions to equity shareholders was Rs. 2 per share (previous year nil).
In the event of liquidation of the Company, the holder of equity shares will be
entitled to receive remaining assets of the Company, after payment of all
liabilities. The distribution will be in proportion to the number of equity
shares held by the shareholders.
Details of shareholders holding more than 5% of the equity shares of the
Company
|
Particulars |
No. of share |
% shareholding |
|
India Agri Business Fund Limited |
3,835,015 |
14.68 |
|
Ashwani Arora |
3,526,312 |
13.50 |
|
Surinder Arora |
3,374,912 |
12.92 |
|
Gurucharan Dass Arora |
2,128,692 |
8.15 |
|
Ashok Kumar Arora |
2,107,640 |
8.07 |
|
Vijay Kumar Arora |
1,921,124 |
7.36 |
Shares reserved for issue under options and contracts / commitments for
the sale of shares /disinvestments
The
Company had reserved issuance of 8, 49,538 (Previous year 6, 48,329) Equity
shares of Rs.10 each for offering to eligible employees of the Company and its
subsidiaries under Employees Stock Option Plan (ESOP). During the year, the
Company had issued and allotted 49,981 (Previous year Nil) equity shares to
eligible employees of the Company and its subsidiaries under ESOP. The option
would vest over a maximum period of 4 years or such other period as may be
decided by the Employees Stock Compensation Committee from the date of grant
based on specific criteria.
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 |
261.684 |
261.184 |
261.184 |
|
(b) Reserves & Surplus |
2,189.483 |
1,906.825 |
1,855.288 |
|
(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) |
2,451.167 |
2,168.009 |
2,116.472 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
590.415 |
646.491 |
687.716 |
|
(b) Deferred tax liabilities
(Net) |
45.724 |
75.664 |
86.335 |
|
(c) Other long term
liabilities |
0.868 |
0.863 |
0.883 |
|
(d) long-term provisions |
11.752 |
20.021 |
56.247 |
|
Total
Non-current Liabilities (3) |
648.759 |
743.039 |
831.181 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
8,084.388 |
6,910.719 |
6,211.126 |
|
(b) Trade payables |
808.277 |
774.983 |
660.065 |
|
(c) Other current liabilities |
667.168 |
480.949 |
554.211 |
|
(d) Short-term provisions |
88.782 |
11.384 |
29.275 |
|
Total
Current Liabilities (4) |
9,648.615 |
8,178.035 |
7,454.677 |
|
|
|
|
|
|
TOTAL |
12,748.541 |
11,089.083 |
10,402.330 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
1,713.212 |
1,766.791 |
1,301.844 |
|
(ii) Intangible Assets |
11.585 |
12.194 |
13.719 |
|
(iii) Capital work-in-progress |
81.091 |
33.798 |
470.320 |
|
(iv) Intangible assets under
development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
577.397 |
566.469 |
493.440 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
160.799 |
129.749 |
149.878 |
|
(e) Other Non-current assets |
0.469 |
5.523 |
4.392 |
|
Total
Non-Current Assets |
2,544.553 |
2,514.524 |
2,433.593 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
6,321.630 |
4,998.759 |
5,443.694 |
|
(c) Trade receivables |
2,749.491 |
2,694.038 |
1,859.154 |
|
(d) Cash and cash equivalents |
167.800 |
247.355 |
146.714 |
|
(e) Short-term loans and
advances |
965.067 |
634.253 |
518.988 |
|
(f) Other current assets |
0.000 |
0.154 |
0.187 |
|
Total
Current Assets |
10,203.988 |
8,574.559 |
7,968.737 |
|
|
|
|
|
|
TOTAL |
12,748.541 |
11,089.083 |
10,402.330 |
PROFIT & LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
SALES |
|
|
|
|
|
Income |
16,536.658 |
9,841.993 |
8,229.319 |
|
|
Other Income |
138.095 |
156.572 |
139.971 |
|
|
TOTAL
(A) |
16,674.753 |
9,998.565 |
8,369.290 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
9,412.838 |
5,206.650 |
4,804.618 |
|
|
Purchases of Stock-in-Trade |
4,694.612 |
2,205.174 |
1,748.096 |
|
|
Changes in inventories of finished
goods, work-in-progress and Stock-in-Trade |
(1,215.915) |
(43.577) |
126.294 |
|
|
Profit Prior Period Items |
0.000 |
1.949 |
5.625 |
|
|
Exceptional Items |
(2.988) |
241.277 |
0.000 |
|
|
Employees benefits expense |
292.987 |
233.202 |
160.266 |
|
|
Other expenses |
1,993.714 |
1,129.371 |
735.816 |
|
|
TOTAL
(B) |
15,175.248 |
8,974.046 |
7,580.715 |
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION (C) |
1,499.505 |
1,024.519 |
788.575 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
824.081 |
772.635 |
389.676 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
675.424 |
251.884 |
398.899 |
|
|
|
|
|
|
|
Less/
Add |
DEPRECIATION/
AMORTISATION (F) |
233.490 |
212.203 |
164.675 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX (E-F) (G) |
441.934 |
39.681 |
234.224 |
|
|
|
|
|
|
|
Less |
TAX
(I) |
103.684 |
(4.748) |
72.417 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX (G-I)
(J) |
338.250 |
44.429 |
161.807 |
|
|
|
|
|
|
|
|
EARNINGS
IN FOREIGN CURRENCY |
|
|
|
|
|
F.O.B. Value of Exports |
|
|
|
|
|
Rice |
8,374.106 |
4,332.755 |
3,351.706 |
|
|
Others |
683.964 |
245.215 |
703.999 |
|
|
TOTAL
EARNINGS |
9,058.070 |
4,577.970 |
4,055.705 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Packaging Material |
0.742 |
0.744 |
1.388 |
|
|
Components and Stores parts |
0.000 |
1.408 |
4.200 |
|
|
Other Food Items |
1.427 |
0.000 |
0.000 |
|
|
Capital Goods |
9.467 |
22.501 |
153.215 |
|
|
TOTAL
IMPORTS |
11.636 |
24.653 |
158.803 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (Rs.) |
|
|
|
|
Basic |
12.950 |
1.700 |
6.200 |
|
|
Diluted
|
12.800 |
1.680 |
6.200 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
0.23
|
0.44 |
1.93 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.67
|
0.40 |
2.85 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
3.66
|
0.38 |
2.48 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.18
|
0.02 |
0.11 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
3.54
|
3.49 |
3.26 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.06
|
1.05 |
1.07 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(INR
in Mlns.) |
(INR
in Mlns.) |
(INR
in Mlns.) |
|
Share Capital |
261.184 |
261.184 |
261.684 |
|
Reserves & Surplus |
1,855.288 |
1,906.825 |
2,189.483 |
|
Share Application money
pending allotment |
0.000 |
0.000 |
0.000 |
|
Net
worth |
2,116.472 |
2,168.009 |
2,451.167 |
|
|
|
|
|
|
long-term borrowings |
687.716 |
646.491 |
590.415 |
|
Short term borrowings |
6,211.126 |
6,910.719 |
8,084.388 |
|
Total
borrowings |
6,898.842 |
7,557.210 |
8,674.803 |
|
Debt/Equity
ratio |
3.260 |
3.486 |
3.539 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(INR
in Mlns) |
(INR
in Mlns) |
(INR
in Mlns) |
|
Sales |
8,229.319 |
9,841.993 |
16,536.658 |
|
|
|
19.597 |
68.021 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(INR
in Mlns) |
(INR
in Mlns) |
(INR
in Mlns) |
|
Sales |
8,229.319 |
9,841.993 |
16,536.658 |
|
Profit After Tax |
161.807 |
44.429 |
338.250 |
|
|
1.97% |
0.45% |
2.05% |
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 |
No |
|
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 |
Yes |
|
20] |
Export
/ Import details (if applicable) |
Yes |
|
21] |
Market
information |
-- |
|
22] |
Litigations
that the firm / promoter involved in |
-- |
|
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 |
CORPORATE
INFORMATION
LT Foods Limited
(the Company) is a public Company domiciled in India and incorporated under the
provisions of the Companies Act, 1956, primarily in the business of milling,
processing, storage and transportation of food grains and trading in other agri
products. The company is marketing branded and non-branded basmati rice and
manufacturing rice food products in the domestic and overseas market. Its rice
product portfolio comprises brown rice, white rice, steamed rice, parboiled
rice, organic rice, quick cooking rice, value added rice and flavored rice in
the ready to cook segment. The company’s operations include contract farming,
procurement, storage, processing, packaging and distribution. The company is
also engaged in international trade of non-basmati rice and other grains,
warehousing facility, research and development to add value to rice and rice
food products.
CONTINGENT LIABILITIES
|
PARTICULAR |
31.03.2013 (Rs.
in Millions) |
31.03.2012 (Rs.
in Millions) |
|
Nature of contingency |
|
|
|
Income-tax demands * |
106.679 |
316.159 |
|
Haryana rural development fund demand of market committee, Sonepat |
3.078 |
3.078 |
|
Food Corporation India demand for differential price /freight /taxes |
33.900 |
33.900 |
|
Duty saved under EPCG licenses(export obligation outstanding Rs. 346.405
Millions) (previous year Rs. 381.592 Millions) |
53.552 |
59.169 |
|
Guarantees given by Company |
5815.950 |
5889.187 |
|
Total |
6013.159 |
6301.493 |
*The management has
filed appeals against the order of Assessing Officer before CIT (A) for the
Assessment Year 2003-04 to Assessment Year 2007-08. The CIT (A) vide its order
dated March 28, 2013 for the Assessment Year 2004-05 to Assessment Year 2007-08
has allowed substantial relief to the Company. However, the appeal effect of
order of CIT (A) is yet to be given by the Income Tax Department. Also, the
Company is in the process of filing appeal before ITAT for the Assessment Year
2004-05 to Assessment Year 2007-08 on issues for which relief has not been
given by CIT (A). The Company appeal for the Assessment Year 2008-09 and
Assessment Year 2009-10 and Assessment Year 2000-01 are still pending before
ITAT. The Company has paid Rs. 77.500 Millions fixed instalment as per the
directions of Income Tax Department and the same amount will be adjusted, once
the appeal is final. The management is confident that it’s position is likely
to be upheld in the appeals pending before CIT(A) and ITAT and no liability
will devolve on the Company on account of these proceeding.
UNSECURED LOANS
|
PARTICULAR |
31.03.2013 (Rs.
in Millions) |
31.03.2012 (Rs.
in Millions) |
|
SHORT TERM
BORROWINGS |
|
|
|
Foreign currency
working capital loans |
|
|
|
From banks |
151.370 |
3.497 |
|
Total |
151.370 |
3.497 |
GLOBAL RICE OUTLOOK
With global
economy expected to pick up, the global outlook for Rice production, import and
export is also positive for the coming financial year. According to FAO Rice Market
Monitor (RMM), April 2013, India, as a leading producer and exporter, is likely
to be the major beneficiary of the improved Rice business scenario.
Global Rice
production in 2013-14 is forecast to increase to a record high of around 499.1
million tonnes, up around 2 per cent from an estimated 489.9 million tonnes
produced in the previous year, according to the UN’s Food and Agriculture
Organization (FAO).
The expansion, to
a large extent, has been pegged on expectations of a recovery in India, with
further significant gains anticipated in China (Mainland) and Indonesia. Rice
Market Monitor (RMM), April 2013, attributed the increased production in India
to good weather and to government price supports for farmers in both India and
Thailand.
Forecasts of 2013
exports for India have been also upgraded to 8.3 million tonnes, and according
to the RMM, Indian exports in 2013 would stand second only to the 2012 record.
This clearly suggests that India will continue playing a leading role in
international Rice trade again this year.
INDIA – BASMATI OUTLOOK
India is a leading
global Rice player, with Basmati Rice its gift to the world. India is the
leading exporter of the Basmati Rice, known as the `King of Rice’, to the global
market. The country exported 3,456.41 thousand MT of Basmati Rice, valued at $
19,3905.300 Millions, during FY 13, as per statistics released by Agricultural
and Processed Food Products Export Development Authority (APEDA). Major export
destinations during the year were the West Asian countries of Iran, Saudi
Arabia, United Arab Emirates, Iraq and Kuwait.
The Basmati Rice
segment has benefited from increased consumption trends both within India and
internationally. Volume sales of Basmati Rice in India have increased at a 25.0
per cent compound annual growth rate, or CAGR, between fiscal 2006 and 2012,
while Indian Basmati rice exports increased at a 20 per cent+ CAGR between
fiscal 2007 and 2012. International sales of Indian Basmati Rice have also
benefited from favourable pricing trends and have grown at a 40 per cent CAGR
in value sales between fiscal 2007 and 2012. We expect to continue to benefit
from this significant growth in global demand for Basmati and other specialty
Rice, which we believe will outpace the growth of the overall Rice industry.
As per available
data, around 45 per cent of the Basmati Rice demand emanates from exports and
the balance from domestic consumption. West Asia continues to be the major
source for global demand for Basmati Rice (West Asian countries together
accounting for three-fourth of the total Basmati Rice exports from India).
FUTURE OUTLOOK
In
line with its sustainable growth agenda, LT Foods is focused on expanding and
strengthening its brand, product and leadership foundation. The thrust, going
forward, shall be on multi-product and multigeography expansion, backed by
aggressive marketing and distribution campaigns and networks in both, the
domestic and International markets.
Leveraging
its strong supply chain capabilities, as well as global networks and
collaborations, the Company shall continue to work on developing its Agri food
business across the value chain. It shall also continue to expand its product
basket with innovative offerings.
The
focus on growing the Basmati Rice business shall remain. The Company shall
further expand its geographic footprints in this business. While the Middle
East will continue to be a key growth driver, the recently added African market
also offers a huge growth potential, along with Australia and the Far Eastern
region. Going forward, LT Foods plans to further expand its products offerings
by launching its ‘Ready-to-Eat’ snacks in all overseas markets.
The
Agri-infrastructure business vertical also offers exciting growth opportunity
in view of the huge shortage of grain storage facilities, and the Company is
well positioned to capitalise on it.
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND NINE MONTHS ENDED
31.12.2013
(Rs. In Millions)
|
Sr. No. |
Particular |
Three Months Ended |
Nine Months Ended |
|
|
|
|
31.12.2013 |
30.09.2013 |
31.03.2013 |
|
|
|
Unaudited
|
Unaudited
|
Unaudited
|
|
|
|
|
|
|
|
1. |
Net Sales/Income
from Operations |
4601.066 |
4140.539 |
12858.030 |
|
|
Other Operating
Income |
35.767 |
39.671 |
12971.493 |
|
|
Total Income From Operations (Net) |
4636.833 |
4180.210 |
25829.523 |
|
|
|
|
|
|
|
2. |
Expenditure |
|
|
|
|
|
Cost
of materials consumed |
3848.191 |
2834.731 |
9634.899 |
|
|
Purchase
of stock in trade |
489.895 |
397.452 |
996.045 |
|
|
Changes
in inventories of finished goods, work in progress and stock in trade |
(602.178) |
22.148 |
(335.217) |
|
|
Employee
benefits expenses |
86.538 |
82.432 |
251.061 |
|
|
Depreciation
and amortization expenses |
53.706 |
53.637 |
159.860 |
|
|
Other
expenses |
450.627 |
523.005 |
1407.080 |
|
|
Total Expenses |
4326.779 |
3913.405 |
12113.728 |
|
|
|
|
|
|
|
3. |
Profit
From Operations before Other Income, Interest and Exceptional Items (1-2) |
310.054 |
266.805 |
857.765 |
|
|
|
|
|
|
|
4. |
Other
Income |
1.012 |
1.599 |
5.858 |
|
|
|
|
|
|
|
5. |
Profit
Before Interest and Exceptional Items (3+4) |
311.066 |
268.404 |
863.623 |
|
|
|
|
|
|
|
6. |
Finance
Cost |
172.387 |
145.260 |
498.198 |
|
|
|
|
|
|
|
7. |
Profit
After Interest but before Exceptional Items (5-6) |
138.679 |
123.144 |
365.425 |
|
|
|
|
|
|
|
8. |
Exceptional
Items |
-- |
-- |
-- |
|
|
|
|
|
|
|
9. |
Profit
from Ordinary Activities before Tax (7+8) |
138.679 |
123.144 |
365.425 |
|
|
|
|
|
|
|
10. |
Tax Expense |
52.036 |
34.879 |
105.493 |
|
|
|
|
|
|
|
11. |
Net
Profit from Ordinary Activities after Tax (9-10) |
86.643 |
88.265 |
259.932 |
|
|
|
|
|
|
|
12. |
Profit
Prior Items |
-- |
---- |
(0.847) |
|
|
|
|
|
|
|
13. |
Net
Profit for the period (11-12) |
86.643 |
88.265 |
260.779 |
|
|
|
|
|
|
|
14. |
Paid-up
Equity Share Capital (Face Value of Rs.10/- Each) |
263.056 |
262.747 |
263.056 |
|
|
|
|
|
|
|
15. |
Reserves
Excluding Revaluation Reserve |
-- |
-- |
-- |
|
|
|
|
|
|
|
16. |
Basic and Diluted Earning Per
Share (EPS) (Rs.)-Not Annualised |
|
|
|
|
|
a)
Basic EPS |
3.30 |
3.36 |
9.93 |
|
|
b)
Diluted EPS |
3.26 |
3.33 |
9.84 |
|
|
|
|
|
|
|
17. |
Public Shareholding |
|
|
|
|
|
-Number
of Shares |
8813782 |
9183583 |
8813782 |
|
|
-
Percentage of Shareholding |
33.51% |
34.95% |
33.51% |
|
|
|
|
|
|
|
18. |
Promoters and Promoter Group
Shareholding |
|
|
|
|
|
a) Pledged/Encumbered |
|
|
|
|
|
-
Number of Shares |
--- |
--- |
--- |
|
|
-
Percentage of Shares (as a % of the Total Shareholding of promoter and
promoter group) |
0.000 |
0.000 |
0.000 |
|
|
-
Percentage of Shares (as a % of the Total Share Capital of the Company) |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
|
|
-
Number of Shares |
17491827 |
17091084 |
17491827 |
|
|
- 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) |
66.49% |
65.05% |
66.49% |
(Rs. In Millions)
|
Particular |
Three Months Ended |
Nine Months Ended |
|
|
|
31.12.2013 |
30.09.2013 |
31.03.2013 |
|
|
Unaudited
|
Unaudited
|
Unaudited
|
|
Turnover |
4601.066 |
4140.539 |
12858.030 |
|
Profit
Before tax and after prior period items |
138.679 |
123.144 |
366.272 |
|
Profit
After tax and after prior period items |
86.643 |
88.265 |
260.779 |
Investor
complaints for the quarter ended 31.12.2013
Beginning of the quarter - Nil
Received during the quarter - Nil
Disposed of during the quarter - Nil
Closing - Nil
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.05 |
|
|
1 |
Rs.101.32 |
|
Euro |
1 |
Rs.83.34 |
INFORMATION DETAILS
|
Information
Gathered by : |
PLK |
|
` |
|
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
SNT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
6 |
|
--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 |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
47 |
This score serves as a reference to assess
SC’s credit risk and to set the amount of credit to be extended. It is
calculated from a composite of weighted scores obtained from each of the major
sections of this report. The assessed factors and their relative weights (as
indicated through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
|
NB |
New Business |
|
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.