MIRA
INFORM REPORT
|
Report Date : |
14.05.2014 |
IDENTIFICATION DETAILS
|
Name : |
MARUTI SUZUKI INDIA LIMITED (w.e.f.17.09.2007) |
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Formerly Known
As : |
MARUTI UDYOG LIMITED |
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Registered
Office : |
Plot No. 1, Nelson
Mandela Road, Vasant Kunj, New Delhi - 110070 |
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Country : |
India |
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|
Financials (as
on) : |
31.03.2013 |
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Date of
Incorporation : |
24.02.1981 |
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Com. Reg. No.: |
55-011375 |
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Capital
Investment / Paid-up Capital : |
Rs. 1510.000 Millions |
|
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|
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CIN No.: [Company Identification
No.] |
l34103dl1981plc011375 |
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|
TAN No.: [Tax Deduction &
Collection Account No.] |
DELM00046E |
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PAN No.: [Permanent Account No.] |
AAACM0829Q |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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Line of Business
: |
Manufacturing, Purchasing and Selling of Motor Vehicles,
Components and Spare Parts ("Automobiles") and other activities
like facilitation of Pre-Owned Car sales, Fleet Management and Car Financing. |
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|
|
|
No. of Employees
: |
48300 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (79) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Maximum Credit Limit : |
USD 743000000 |
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|
Status : |
Excellent |
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Payment Behaviour : |
Regular |
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Litigation : |
Exist |
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Comments : |
Subject is a subsidiary of SUZUKI MOTOR CORPORATION. It is a well-established and a reputed company having an excellent
track record. The financial position of the company appears to be strong and
healthy. Performance capability is high. Trade relations are trustworthy. Business is active. Payments are
regular and as per commitment. The company can be considered excellent for business dealings under
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 |
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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 |
CRISIL |
|
Rating |
Long term rating : AAA |
|
Rating Explanation |
Highest degree of safety and carry lowest
credit risk. |
|
Date |
November 28, 2012 |
|
Rating Agency Name |
CRISIL |
|
Rating |
Short term rating : A1+ |
|
Rating Explanation |
Very strong degree of safety and lowest
credit risk. |
|
Date |
November 28, 2012 |
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.: 91-11-46781000)
LOCATIONS
|
Registered / Head Office : |
Plot No. 1, Nelson Mandela
Road, Vasant Kunj, New Delhi - 110070, India |
|
Tel No.: |
91-11-46781000 |
|
Fax No.: |
91-11-46150275/ 46150276 |
|
Email : |
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|
Website : |
www.marutisuzuki.com |
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Corporate office : |
11th Floor, Jeevan Prakash Building, 25 Kasturba Gandhi
Marg, New Delhi – 110001, India |
|
Tel No.: |
91-11-23316831 |
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|
|
|
Factory 1 : |
Gurgaon Plant Old Palam Gurgaon Road, Gurgaon – 122015, Haryana, India |
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Tel No.: |
91-124-2346721-30 |
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Fax No.: |
91-124-2341404 |
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Factory 2: |
Manesar Plant |
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Tel No.: |
91-124-4884000 |
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|
Regional Offices : |
Located at: · Kolkata · Guwahati ·
·
· Chennai ·
· Mumbai · Ahmedabad ·
·
·
· Jaipur ·
·
· Pune |
DIRECTORS
AS ON 31.03.2013
|
Name : |
Mr. R C Bhargava |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Keiichi Asai |
|
Designation : |
Director and
Managing Executive Officer [Engineering] |
|
|
77 |
|
Name : |
Mr. Kazuhiko
Ayabe |
|
Designation : |
Director and
Managing Executive Officer [Supply Chain] |
|
|
|
|
Name : |
Mrs. Pallavi
Shroff |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Davinder Singh Brar |
|
Designation : |
Director |
|
Date of Birth/Age : |
60 Years |
|
|
|
|
Name : |
Mr. O. Suzuki |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Kenichi Ayukawa |
|
Designation : |
Managing Director and Chief Executive Officer |
|
Date of Birth/Age : |
57 Years |
|
Qualification : |
Law Graduate from Osaka University, Japan |
|
|
|
|
Name : |
Mr. Shinzo
Nakanishi |
|
Designation : |
Director |
|
|
|
|
Name : |
Mr. Amal Ganguli |
|
Designation : |
Director |
|
Date of Birth/Age : |
73 Years |
|
|
|
|
Name : |
Mr. R.P. Singh |
|
Designation : |
Director |
|
Date of Birth/Age : |
61 Years |
|
|
|
|
Name : |
Mr. K. Saito |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. S. Ravi Aiyar |
|
Designation : |
Executive Officer (Legal) and Company Secretary |
|
|
|
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Audit Committee : |
·
Mr. Amal Gaguli, Chairman ·
Mr. K. Ayukawa, Member ·
Mrs. Pallavi Shroff, Member ·
Mr. Davinder Singh Brar, Member |
|
|
|
|
Shareholder and Investors Grievance committee : |
·
Mr. R C Bhargava, Chairman ·
Mr. Shinzo Nakanishi, Member ·
Mr. Kenichi Ayukawa, Member ·
Mr. Davinder Singh Brar, Member |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2014
|
Category of
Shareholder |
Total
No. of Shares |
As a % |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
|
|
|
|
|
169788440 |
56.21 |
|
|
169788440 |
56.21 |
|
Total shareholding of Promoter and Promoter Group (A) |
169788440 |
56.21 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
17576495 |
5.82 |
|
|
23501534 |
7.78 |
|
|
67554269 |
22.36 |
|
|
100 |
0.00 |
|
|
108632398 |
35.96 |
|
|
|
|
|
|
16706634 |
5.53 |
|
|
|
|
|
|
5820451 |
1.93 |
|
|
127000 |
0.04 |
|
|
1005137 |
0.33 |
|
|
385029 |
0.13 |
|
|
363676 |
0.12 |
|
|
150 |
0.00 |
|
|
256282 |
0.08 |
|
|
23659222 |
7.83 |
|
Total Public shareholding (B) |
132291620 |
43.79 |
|
Total (A)+(B) |
302080060 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
|
|
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
302080060 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturing, Purchasing and Selling of Motor Vehicles,
Components and Spare Parts ("Automobiles") and other activities
like facilitation of Pre-Owned Car sales, Fleet Management and Car Financing. |
||||
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||||
|
Products/ Services : |
|
PRODUCTION STATUS (AS ON 31.03.2013)
|
Particulars |
Unit |
Installed
Capacity ** |
Actual
Production |
|
Passenger Cars and Light Duty Utility Vehicles |
Nos. |
1,260,000 |
1,168,917 |
|
|
|
|
|
Notes:
·
Licensed Capacity is not applicable from 1993-94.
**Installed Capacity is as certified by the management and relied upon
by the auditors, being a technical matter.
GENERAL INFORMATION
|
No. of Employees : |
48300 (Approximately) |
|
|
|
|
Bankers : |
·
State Bank of Travancore, · Punjab National Bank, Parliament Street, New Delhi, India ·
Bank of ·
Bank of ·
State Bank of ·
American Express Bank, ·
Corporation Bank, · BNP Paribas, Kasturba Gandhi Marg, New Delhi - 110001, India · Sanwa Bank, Kasturba Gandhi Marg, New Delhi – 110001, India · ABN Amro Bank, Barakhamba Road, New Delhi – 110001, India · Union Bank of India, New Delhi ·
Credit Lyonnais Bank, ·
Citibank N.A., · State Bank of India, Gurgaon, Haryana. |
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|
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Banking
Relations : |
-- |
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|
Auditors : |
|
|
Name : |
Price Waterhouse Chartered Accountants |
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|
|
|
Holding
Company : |
Suzuki Motor Corporation |
|
|
|
|
Joint
Ventures : |
· Mark Exhaust Systems Limited · Bellsonica Auto Component India Private Limited · FMI Automotive Components Limited · Krishna Auto Mirrors Limited · Inergy India Automotive Components Limited · Maruti Insurance Broking Private Limited · Manesar Steel Processing India Private Limited |
|
|
|
|
Subsidiaries
: |
· Maruti Insurance Agency Services Limited · Maruti Insurance Agency Logistics Limited · Maruti Insurance Distribution Services Limited · Maruti Insurance Agency Network Limited · Maruti Insurance Agency Solutions Limited · True Value Solutions Limited · Maruti Insurance Business Agency India Limited · Maruti Insurance Broker Limited · JJ. Impex (Delhi) Private Limited |
|
|
|
|
Associates
: |
· Asa hi India Glass Limited · Bharat Seats Limited · Caparo Maruti Limited · Climate Systems India Limited · Denso India Limited · Jay Bharat Maruti Limited · Krishna Maruti Limited · Machino Plastics Limited · SKH Metals Limited · Nippon Thermostat (India) Limited · Sona Koyo Steering Systems Limited · Magneti Marelli Powertrain India Private Limited · Suzuki Powertrain India Limited |
|
|
|
|
Fellow
Subsidiaries (Only with whom the Company had transactions during the current
year) : |
· Jinan Oingqi Suzuki Motorcycle Company Limited · Magyar Suzuki Corporation Limited · PT Suzuki Indomobil Motor (Former PT Indomobil Suzuki International) · Suzuki Australia Pty. Limited · Suzuki Austria Automobile Handels G.m.b.H. · Suzuki Auto South Africa (Pty) Limited · Suzuki Cars (Ireland) Limited · Suzuki France S.A.S. · Suzuki GB PLC · Suzuki International Europe G.m.b.H. · Suzuki Italia S.P.A. · Suzuki Motor (Thailand) Company Limited · Suzuki Motor lberica, S.A.U. · Suzuki Motor Poland SP.Z.O.O. (Former Suzuki Motor Poland Limited) · Suzuki Motorcycle India Private Limited · Suzuki New Zealand Limited · Suzuki Philippines Inc. · Taiwan Suzuki Automobile Corporation |
CAPITAL STRUCTURE
As on 31.03.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
3744000000 |
Equity Shares |
Rs. 5/- each |
Rs. 18720.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
302080060 |
Equity Shares |
Rs. 5/- each |
Rs. 1510.000
Millions |
|
|
|
|
|
NOTES:
RECONCILIATION OF THE NUMBER OF SHARES OUTSTANDING
|
|
31.03.2013 |
|
|
|
NUMBER OF SHARES |
RS. IN MILLIONS |
|
Balance as at
the beginning of the year and at the end of the year |
288,910,060 |
1445.000 |
|
Share issued in the ratio of 1:70 to the
shareholders of erstwhile Suzuki Powertrain India Limited pursuant to a
scheme of amalgamation |
13,170,000 |
65.000 |
|
Balance as at the end of the year |
302,080,060 |
1510.000 |
EQUITY SHARES HELD BY THE HOLDING COMPANY AND ITS NOMINEES
|
|
31.03.2013 |
|
|
|
NUMBER OF SHARES |
RS. IN MILLIONS |
|
Suzuki Motor Corporation, the holding company |
169788440 |
848.000 |
|
|
|
|
|
|
169788440 |
848.000 |
RIGHTS, PREFERENCES AND RESTRICTION ATTACHED TO SHARES
The Company has
one class of equity shares with a par value of Rs. 5 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.
SHARES HELD BY EACH SHAREHOLDER HOLDING MORE THAN 5% OF THE AGGREGATE
SHARES IN THE COMPANY
|
Particular |
% |
NUMBER OF SHARES
|
|
Suzuki Motor
Corporation (the holding company) |
56.21 |
169788440 |
|
Life Insurance Corporation of India |
6.29 |
18993815 |
SHARES ALLOTTED AS FULLY PAID UP PURSUANT TO CONTRACT (S) WITHOUT PAYMENT
BEING RECEIVED ON CASH (DURING 5 YEARS IMMEDIATELY PRECEDING 31.03.2013)
13170000 Equity Shares have been allotted as
fully paid up during the current year to Suzuki Motor Corporation pursuant to
the scheme of amalgamation with Suzuki
Powertrain India Limited
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 |
1510.000 |
1445.000 |
1445.000 |
|
(b) Reserves & Surplus |
184279.000 |
150429.000 |
137230.000 |
|
(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) |
185789.000 |
151874.000 |
138675.000 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
5429.000 |
0.000 |
1390.000 |
|
(b) Deferred tax liabilities (Net) |
4087.000 |
3023.000 |
1644.000 |
|
(c) Other long
term liabilities |
1036.000 |
966.000 |
959.000 |
|
(d) long-term
provisions |
2259.000 |
1693.000 |
1396.000 |
|
Total Non-current
Liabilities (3) |
12811.000 |
5682.000 |
5389.000 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
8463.000 |
10783.000 |
312.000 |
|
(b)
Trade payables |
41674.000 |
33499.000 |
26083.000 |
|
(c) Other
current liabilities |
11661.000 |
15892.000 |
9930.000 |
|
(d) Short-term
provisions |
6482.000 |
5292.000 |
3862.000 |
|
Total Current
Liabilities (4) |
68280.000 |
65466.000 |
40187.000 |
|
|
|
|
|
|
TOTAL |
266880.000 |
223022.000 |
184251.000 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
95765.000 |
73108.000 |
54837.000 |
|
(ii)
Intangible Assets |
2227.000 |
2099.000 |
457.000 |
|
(iii)
Capital work-in-progress |
19422.000 |
9419.000 |
8625.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
18485.000 |
13933.000 |
11112.000 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
12787.000 |
13410.000 |
12547.000 |
|
(e) Other
Non-current assets |
8946.000 |
263.000 |
471.000 |
|
Total Non-Current
Assets |
157632.000 |
112232.000 |
88049.000 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
52298.000 |
47541.000 |
39956.000 |
|
(b)
Inventories |
18407.000 |
17965.000 |
14150.000 |
|
(c)
Trade receivables |
14237.000 |
9376.000 |
8245.000 |
|
(d) Cash
and cash equivalents |
7750.000 |
24361.000 |
25085.000 |
|
(e)
Short-term loans and advances |
11153.000 |
7783.000 |
6836.000 |
|
(f)
Other current assets |
5403.000 |
3764.000 |
1930.000 |
|
Total
Current Assets |
109248.000 |
110790.000 |
96202.000 |
|
|
|
|
|
|
TOTAL |
266880.000 |
223022.000 |
184251.000 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Net Sale of Products |
426126.000 |
347059.000 |
358490.000 |
|
|
|
Other Operating Revenue |
9753.000 |
8812.000 |
7694.000 |
|
|
|
Other Income |
8124.000 |
8268.000 |
5088.000 |
|
|
|
TOTAL (A) |
444003.000 |
364139.000 |
371272.000 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Material Consumed |
305741.000 |
267055.000 |
271418.000 |
|
|
|
Purchases made for re-sale |
19613.000 |
15325.000 |
12781.000 |
|
|
|
Changes in inventories of finished goods,
work in progress and stock in trade |
234.000 |
(1297.000) |
(560.000) |
|
|
|
Employees Benefit Expenses |
10696.000 |
8013.000 |
7036.000 |
|
|
|
Other Expenses |
57737.000 |
42072.000 |
39381.000 |
|
|
|
Vehicles / Dies for own use |
(438.000) |
(427.000) |
(257.000) |
|
|
|
TOTAL (B) |
393583.000 |
330741.000 |
329799.000 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
50420.000 |
33398.000 |
41473.000 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
1898.000 |
552.000 |
250.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
48522.000 |
32846.000 |
41223.000 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
18612.000 |
11384.000 |
10135.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
29910.000 |
21462.000 |
31088.000 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
5989.000 |
5110.000 |
8202.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
23921.000 |
16352.000 |
22886.000 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
130777.000 |
118578.000 |
100499.000 |
|
|
|
|
|
|
|
|
|
|
ADDITION
ON AMALGAMATION |
3565.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
2392.000 |
1635.000 |
2289.000 |
|
|
|
Dividend |
2417.000 |
2167.000 |
2167.000 |
|
|
|
Tax on Dividend |
411.000 |
351.000 |
351.000 |
|
|
BALANCE CARRIED
TO THE B/S |
153043.000 |
130777.000 |
118578.000 |
|
|
|
|
|
|
|
|
|
|
EXPORT OF GOODS
(FOB VALUE) |
45514.000 |
36918.000 |
34988.000 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials and Components |
42344.000 |
30451.000 |
29691.000 |
|
|
|
Capital Goods |
14762.000 |
11625.000 |
8250.000 |
|
|
|
Maintenance Spares |
663.000 |
280.000 |
246.000 |
|
|
|
Dies and Moulds |
8.000 |
15.000 |
31.000 |
|
|
|
Other Items |
120.000 |
852.000 |
826.000 |
|
|
TOTAL IMPORTS |
57897.000 |
43223.000 |
39044.000 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
79.19 |
56.60 |
79.22 |
|
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2013 |
30.09.2013 |
31.12.2013 |
31.03.2014 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
|
Net Sales |
102373.400 |
104680.600 |
104680.600 |
121013.900 |
|
Total Expenditure |
90711.800 |
91466.300 |
91466.300 |
108538.600 |
|
PBIDT (Excl OI) |
11661.600 |
13214.300 |
13214.300 |
12475.300 |
|
Other Income |
2043.000 |
1010.200 |
1010.200 |
4066.200 |
|
Operating Profit |
13704.600 |
14224.500 |
14224.500 |
16541.500 |
|
Interest |
442.300 |
433.900 |
433.900 |
434.300 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
PBDT |
13262.300 |
13790.600 |
13790.600 |
16107.200 |
|
Depreciation |
4801.600 |
4991.700 |
4991.700 |
5636.900 |
|
Profit Before Tax |
8460.700 |
8798.900 |
8798.900 |
10470.300 |
|
Tax |
2144.600 |
2096.600 |
2096.600 |
2469.800 |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
6316.100 |
6702.300 |
6702.300 |
8000.500 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
0.000 |
|
Net Profit |
6316.100 |
6702.300 |
6702.300 |
8000.500 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
5.39 |
4.49 |
6.16 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
7.02 |
6.18 |
8.67 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
13.06 |
10.75 |
18.90 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.16 |
0.14 |
0.22 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.07 |
0.07 |
0.01 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.60 |
1.69 |
2.39 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
1445.000 |
1445.000 |
1510.000 |
|
Reserves & Surplus |
137230.000 |
150429.000 |
184279.000 |
|
Net
worth |
138675.000 |
151874.000 |
185789.000 |
|
|
|
|
|
|
long-term borrowings |
1390.000 |
0.000 |
5429.000 |
|
Short term borrowings |
312.000 |
10783.000 |
8463.000 |
|
Total
borrowings |
1702.000 |
10783.000 |
13892.000 |
|
Debt/Equity
ratio |
0.012 |
0.071 |
0.075 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
358490.000 |
347059.000 |
426126.000 |
|
|
|
(3.189) |
22.782 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2011 |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Sales |
358490.000 |
347059.000 |
426126.000 |
|
Profit |
22886.000 |
16352.000 |
23921.000 |
|
|
6.38% |
4.71% |
5.61% |
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 |
Yes |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
LITIGATION DETAILS
IN THE HIGH COURT
OF DELHI AT NEW DELHI
ITA 34/2014
COMMISSIONER OF INCOME TAX II ..... Appellant
Through: Mr Ruchir Bhatia, Advocate.
versus
MARUTI SUZUKI INDIA LIMITED ..... Respondent
Through
CORAM:
HON'BLE MR. JUSTICE S. RAVINDRA BHAT
HON'BLE MR. JUSTICE VIBHU BAKHRU
ORDER
30.04.2014
An Adjournment has been sought on behalf of Mr Sabharwal, learned counsel for
the appellant.
List on 16.07.2014.
S. RAVINDRA BHAT, J
VIBHU BAKHRU, J
APRIL 30, 2014
INDEX OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE CREATION/MODIFICATION |
CHARGE AMOUNT SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST NUMBER (SRN) |
|
1 |
80042727 |
22/08/2000 |
500,000,000.00 |
HDFC BANK LIMITED |
HINDUSTAN TIMES HOUSE, 5 TH FLOOR, 18-20 K.G. MARG, NEW DELHI - 110001, INDIA |
- |
|
2 |
80045189 |
22/09/2003 * |
200,000,000.00 |
STATE BANK OF TRAVANCORE |
KAROL BAGH, NEW DELHI - 110005, INDIA |
- |
|
3 |
80042726 |
02/02/2000 |
1,000,000,000.00 |
CORPORATION BANK |
I.F. B., K.G. MARG, NEW DELHI - 110001, INDIA |
- |
|
4 |
80043903 |
28/02/2003 * |
950,000,000.00 |
STATE BANK OF INDIA |
CORPORATE ACOOUNT, 17, BARAKHAMBA ROAD, NEW DELHI - 110001, INDIA |
- |
* Date of charge modification
UNSECURED LOANS
|
UNSECURED LOANS |
31.03.2013 (Rs.
In Millions) |
31.03.2012 (Rs.
In Millions) |
|
LONG-TERM BORROWINGS |
|
|
|
Foreign currency loans from Banks |
3920.000 |
0.000 |
|
Loans from Holding Company |
1509.000 |
0.000 |
|
SHORT TERM BORROWINGS |
|
|
|
From Banks – Cash Credit |
725.000 |
80.000 |
|
From Banks – Buyers credit and packing Credit loans |
7738.000 |
10703.000 |
|
|
|
|
|
Total |
13892.000 |
10783.000 |
|
NOTE LONG-TERM BORROWINGS 1. Foreign currency loans from Bank include: -
Loans accounting to Rs. 2264.000 Millions taken from Japan
Bank to International Cooperation (JBIC) at an interest rate of LIBOR +
0.125, repayable in 6 half yearly instalments starting September 2014
(acquired to a scheme of amalgamation). The repayment of the loan is
guaranteed by Suzuki Motor Corporation, Japan (the Holding Company) -
Other loan term foreign currency loans amounting to Rs.
1656 Millions taken from banks during the year at an average interest rate of
Libor + 1.375 and repayable in July 2015. 2. A
loan amounting to Rs. 1509 Millions taken from the holding company at an
interest rate of LIBOR + 0.48, repayable in 6 half yearly instalments
starting September 2014 (acquired pursuant to a scheme of amalgamation). |
||
GENERAL INFORMATION
The Company is primarily in the business of manufacturing, purchase and sale of motor vehicles, components and spare parts ("automobiles"). The other activities of the Company comprise facilitation of Pre-Owned Car sales, Fleet Management and Car Financing. The Company is a public company listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
FINANCIAL
HIGHLIGHTS
The total revenue (net of excise) was Rs. 444003.000
millions as against Rs. 364139.000 millions in the
previous year showing an increase of 22 per cent. Sale of vehicles in the
domestic market was 1,051,046 units as compared to 1,006,316 units in the previous
year showing an increase of 4 per cent. Total number of vehicles exported was
120,388 units as compared to 127,379 units in the previous year.
Profit before tax (PBT) was Rs. 29910.000
millions against Rs. 21462.000 millions showing an increase
of 39 per cent and profit after tax (PAT) stood at Rs. 23921.000
millions against Rs. 16352.000 millions in the
previous year showing an increase of 46 per cent.
AWARDS/
RECOGNITION/ RANKINGS
· J. D. Power Asia Pacific 2012 Customer Satisfaction Index (CSI) Study ranked the Company highest for the 13th time in a row.
· Golden Peacock Award - 2012 for occupational health and safety in automobile sector.
· Golden Peacock Award - 2012 for sustainability.
· Some of the awards given to Ertiga were:
· MUVof the year by Car India Awards
· MPV of the year by ET Zigwheels, Autocar India and BS Motoring 2013
· Compact SUV for the year by CNBC Overdrive
· Top Gear family car of the year Some of the awards given to Alto 800 were:
· Entry Hatchback Car of the Year 2012 by NDTV CNBC Awards 2013 Entry-level Hatchback Car of the Year by ET Zigwheels Awards 2012
· Best Value for Money Car of the year by Autocar Awards2013
· Compact Car of the year by CNBC Overdrive
· Viewers Choice by CNBC Overdrive • Some of the awards given to Swift DZirewere: Compact Sedan of the year 2013
· Compact Sedan of the year by Car India Midsized Car of the year by CNBC Over drive
· The Company ranked third in the list of 100 most successful and influential companies in India listed by TLG Partners, London.
Mr. R. C. Bhargava, Chairman was awarded the Automobile Person of the
Year 2013 by NDTV Profit.
AMALGAMATION
During the year, Suzuki Powertrain India Limited (SPIL) was amalgamated
with and into the Company vide the order of the Hon'ble High Court of Delhi dated
29thJanuary 2013. The order was filed with the Registrar of
Companies, Ministry of Corporate Affairs on 17th March 2013. The
appointed date of amalgamation was 1stApril 2012. Pursuant to the
scheme of amalgamation, 1,3170,000 equity shares of Rs. 5/-each
were allotted to Suzuki Motor Corporation on 29th March 2013 and the
paid up equity capital stands increased to Rs. 1,510
million.
MANAGEMENT
DISCUSSIONS AND ANALYSIS
OVERVIEW
The slowdown in the Indian economy continued for the second successive year,
with GDP growth estimated at 5 per cent in 2012-13, the Lowest in a decade.
This was accompanied by high interest rates, inflation and weak consumer
sentiment. Rising fuel prices, caused partly by depreciation of rupee to the
dollar, increased the cost of vehicle ownership for customers.
The domestic passenger vehicle industry grew by 2.2 per cent in unit
sales in 2012-13.The Company was able to achieve a growth of 4.4 per cent, and
improve market share by 80basis points to 39.1 per cent. This growth was
achieved on the back of new and refreshed models launched in the last 18
months, and better availability of diesel engines during the year. However, the
Company had to increase its marketing and sales expenses, compared to the
previous year, to offset similar moves by competitors and counter the weak
consumer sentiment.
The market distortion between petrol and diesel vehicles, which surfaced
in 2011- 12, continued for the most part in 2012- 13. The share of diesel
vehicles in total passenger vehicle sales increased from 48 per cent in 2011-12
to 58 per cent in 2012-13. While petrol prices were largely market driven,
diesel prices remained government controlled fora large part of the year. This
contributed to the decline in the sales of petrol vehicles for the second
successive year. Later in the year, as the government embarked on a programme
to withdraw diesel subsidies gradually, and as the slowdown deepened, the
demand for diesel vehicles also suffered.
In contrast with the rest of the passenger vehicles market, utility
vehicles posted arobust growth of 52 per cent during the year and the share of
this segment increased to 21per cent of the passenger vehicle market. A part of
this growth was contributed by the Company's new utility vehicle Ertiga, launched
in April 2012. Most utility vehicles are powered by diesel and their recent
success can be partly attributed to the favourable pricing of this fuel. In
addition, some of the growing customer preference for utility vehicles appears
to be owing to body styling, space and new products in this segment.
Exports to Europe were adversely impacted owing to the slowdown in the
region. The Company was able to increase presence in markets in Africa and
Latin America, and arrest the decline in unit sales to 5.5 per cent over the
previous year.
A strong Yen continued to put pressure on the Company's bottom line in
the first half of the year. Since then, the Rupee-Yen rate has turned positive
and benefits are likely to accrue during 2013-14. The Company will, however,
continue its programme with suppliers to achieve higher localisation.
Commodity prices remained largely stable. In some cases, prices came
down offering opportunities for hedging for the future.
In July 2012, there was a shocking incident of criminal violence, by a
section of the workers at the Company's facility in Manesar. It resulted in the
tragic death of Awanish Kumar Dev, General Manager (HR). Nearly 100 managers
were injured and had to behosptitalised. The police arrested 145 workers, and legal
proceedings against them are under way. Concerned about the safety and security
of its people, the Company locked out the Manesar facility. The security
arrangements were adequately strengthened, and all those identified as having
been involved in the violence were dealt with according to the law. There was
total support from the stakeholders, including the Haryana Government, the
local community in Manesar, Company's vendors and dealers, and Suzuki Motor
Corporation, Japan. The managers demonstrated rare courage and
resilience and this enabled operations to resume after just one month of the
incident. The recruitment and communication systems with employees, and
particularly with the contract workers, were reviewed and modified. Operations
returned to normal in about three months. It is expected that the Manesar
facility will henceforth work normally.
While there are short-term concerns about the Indian economy and the
growth of the automobile industry, the Company remains positive about the
long-term opportunity in India. Accordingly, most of the capital projects,
including a third vehicle assembly plant in Manesar and a new facility for
diesel engines in Gurgaon, are proceeding as scheduled. During the year, the
Company signed an agreement with the Gujarat government and acquired700 acres
of land near Mehsana (near Ahmedabad) for future capacity expansion. Work is
likely to start there shortly.
Under a scheme of amalgamation approved by the High Court, Delhi, the
Company amalgamated with itself, Suzuki Powertrain India Limited (SPIL), a
supplier to it of diesel engines and transmissions. SPIL, which was 70 per cent
owned by Suzuki Motor Corporation, Japan and 30 per cent by Maruti Suzuki
India, was amalgamated with the Company through a share swap. The swap ratio
was fixed at 1:70 based on the terms of the scheme.
With the amalgamation, the Company has brought its entire diesel engine
capacity under single management control. This will help strengthen the
business, including sourcing, localisation and production planning. It will
also provide manufacturing flexibility and cost reduction.
All necessary approvals and formalities for the amalgamation were
completed during the year and the amalgamation was accounted for under 'Pooling
of Interest Method' as prescribed by Accounting Standard-14 Accounting for
Amalgamations' notified under Companies (Accounting Standards) Rules with
effect from 1st April, 2012. The financial results of the Company
for the year 2012-13 are accordingly for the amalgamated entity.
Benefiting from increase in market share, a change in the product mix
and higher export realisation, the Company, post-amalgamation, registered a
21.9 per cent growth in total revenue to Rs. 444,003
million. Profit after tax for the year stood at Rs. 23,921
million, a growth of 46.3 per cent over the previous year. The
post-amalgamation earning per shares to od at Rs. 79,
compared to Rs. 57 in the previous year.
BUSINESS
PERFORMANCE
Domestic Market
Market conditions, particularly for petrol vehicles, remained
challenging during the year even as there was strong demand for the Company's
diesel models. To promote sales of petrol vehicles, the Company leveraged its
strength in the rural market and among institutions. It reached out to new
customer segments using relevant communication and focused promotions. Sales of
the Company's factory-fitted CNG vehicles improved by 30 percent and crossed
50,000 for the year, as customers sought to cope with high petrol prices.
The Company was able to contain the decline in sales of its petrol
vehicles to 14 percent, and enhance its market share in this segment to 58.4
per cent from 56.0 per cent in the previous year. Sales of diesel vehicles grew
by 62 per cent, enhancing the Company's share in this segment from 19.2 per
cent to 25.2 per cent.
For the second year in a row, four of the top five models by unit sales
in the Indian passenger vehicle market were from the Company's portfolio. These
were Alto, Swift, DZireand WagonR.
The Ertiga was received well, with its diesel variants attracting a
wait-list of customers during the year. While Utility Vehicles (UV) in general
have emerged as an important market segment, the Ertiga found favour also with
young urban families looking for a vehicle that is fashionable and attractive
and offers more space, without being bulky and expensive. The Company sold
76,375 units of the Ertiga in 2012-13.
With the Ertiga, the Company introduced the new K14B engine, a light
weight, highly fuel efficient engine from the K-series family. Other K-series
engines, K10B and K12M are powering most of the Company's high selling models.
The other major launch of the year, the new Alto 800, achieved sales of
100,000 units within 124 days of launch. The new car offers more space and
higher fuel efficiency. The Alto remained the country's highest selling car for
the seventh year in a row.
Refreshed versions of WagonR, Ritz and SX4 also helped volumes to some
extent.
Although the differential in prices of petrol and diesel came down
relative to the previous year, it remained significant. This enhanced the share
of diesel vehicles in the industry from 48 per cent to 58 per cent. For the
Company, diesel vehicles accounted for 37.4 per cent of its unit sales, helped
by the popularity of these models and larger availability of diesel engines.
Besides engine production by SPIL (around 300,000), the Company arranged
supplies of about 100,000 engines per year from the Fiat Indian plant. Supply
is likely to improve further once the Company's new diesel engine plant in
Gurgaon, with an annual capacity of 150,000 units in the first phase, goes on
stream about the middle of 2013-14.
The Company's pre-owned vehicle business (brand True Value) supported
sales of new vehicles by encouraging trade-ins. Exchange penetration as a
percentage of new car retails went up to 23 per cent during the year. Besides,
sales of used vehicles from the network grew by 7 per cent to 252,000,
contributing to dealer profitability and growth. During the year, the number of
True Value outlets increased from 409 to 450.
With semi urban and rural India emerging as an important market for new
car sales, the Company further expanded its network into smaller towns via
smaller format outlets. The Company's initiatives, including a dedicated sales
force for rural markets (RDSE) and innovative marketing methods, enabled it to
grow rural sales by 18.5 per cent during the year and enhance its contribution
to 28 per cent of domestic volumes.
The Company is able to foster strong customer connect through its focus
on after-sales service at workshops. There is evidence that this increases
customer loyalty and referral sales. During the year, the Company was rated
first in customer satisfaction in the Indian auto mobile industry for the 13th
consecutive year in the annual survey by J. D. Power Asia Pacific. The Company
improved its score, and remained the only manufacturer above industry average.
The Company's widespread reach continues to be a major competitive advantage.
During the year, the dealer sales network reached 1,204 outlets in 874 cities
and service outlets expanded to 2,965 outlets in 1,423 cities. During the year,
approximately 3,400 specialised service camps helped in connecting with
customers and generating exchange and new car enquiries.
To reduce the time taken to service vehicles, the Company also
introduced the concept of Maruti Quick Stop (MOS) workshops. These are small,
convenient, environment-friendly workshops that use much less water and offer a
quick turnaround. They are designed mainly for customers in cities.
The Company now uses a Global Positioning System (GPS) to manage its
logistics fleet movement effectively. This has improved fleet productivity and
also contributes to timely delivery of vehicles. Currently 9,100 trucks and
trailers are using this technology. During the year, the Company saved Rs. 34 million through route rationalisation.
Exports
The Company reached a major milestone by exporting its one-millionth
vehicle. Introduction of new models like A-star, DZire, Ritz and new Alto 800
in export markets contributed to reaching this milestone.
Even as sales were weak in Europe, the Company's exports to non-European
markets grew9.5 per cent to 92,424 units. The share of sales to non-European
markets, primarily in Africa and Latin America, increased to 76 per cent of
exports, from 66 per cent in the previous year.
Exports of knocked-down kits, which commenced in January'12 with
Indonesia and Thailand, are doing well and have now expanded to Malaysia,
Vietnam and Hungary.
Parts and
Accessories
The Company expanded the range of Maruti Genuine Accessories by adding
350 new products during the year. These and other initiatives led to a 30 per
cent increase in accessory sales, despite the weakness in the passenger vehicle
market. Besides expanding the retail network for Maruti Genuine Parts, which
has now crossed 400 outlets, the Company proactively undertook national
campaigns to educate customers about the harmful impact of fake and spurious
parts.
The Director General (Investigation) (DG), Competition Commission of
India (CCI), conducted an investigation on 17automobile original equipment
manufacturers in India, including the Company, on the allegation of
non-availability of spare parts to independent repair workshops and
restrictions imposed on original equipment suppliers not to supply spare parts
in open market. The Company has contested the findings of the investigation and
is taking all the steps permitted under the law to protect its interests and to
continue to offer safe, reliable and genuine parts to its customers.
OPERATIONS
The Company's manufacturing operations improved across most internal
parameters of quality, productivity and cost. The measures taken to build flexibility
in operations in recent years stood the Company in good stead during the year.
Despite the volatility in the market and demand distortion among petrol and
diesel vehicles, the Company was able to produce vehicles in line with market
demand through optimum utilisation of facilities.
With both new launches, Ertiga and Alto 800, receiving positive
responses in the market, the operations geared up to meet the surge in demand
without disruption.
The Company benefits greatly from high employee morale, loyalty and
alignment. The Production Management System (PMS) involves employees at all
levels of operations to generate ideas, which are then discussed within small
groups and identified for implementation by employees themselves. During the
year, efforts were directed towards reducing new project cost, bringing down
operational expenses, particularly by higher localisation, and improving
quality.
Several cost reduction projects in operations were undertaken. In-house
automation projects led to a saving of Rs. 260
million in new projects. A pan-organisational suggestion programme, "Sujhav Sangrehika", led
to generation of 396,828ideas and a saving of Rs. 3,640
million.
The Company uses the approach of Plan-Do-Check-Act to upgrade systems
and processes continuously. The downtime of machining facilities has come down
by about 50 per cent over five years. In another drive, the Company took
measures to reduce worker fatigue and improve ergonomics in its manufacturing
processes.
The projects team is targeting to optimise capital expenditure by
identifying suitable local suppliers for equipment and machinery. With several
capital projects ongoing, and more in the pipeline, this initiative will
receive focus in the next few years.
ENGINEERING AND
R&D
The Company's new products were well received during the year, and
appear to have matched customer expectations on design, features, space,
technology and cost of ownership. The Company remains on course with regard to
implementing its medium-term product plan.
The Company requires a strong product pipeline to fulfil growing demand
in the future and meet changing customer expectations. Considering the long
lead times in product development and the dynamic nature of the market, the
Company has been building design and development capability in recent years.
During the year, the Company continued work on its world-class R&D
centre and proving ground at a 600 acre facility in Rohtak, Haryana. This
initiative will enhance the Company's ability to design, develop, test and
launch cars at a faster pace.
The Company has scaled up its R&D strength from about 300 to 1,200
engineers in the last five years. Many of them are participating in new
projects with Suzuki Motor Corporation to gain exposure and experience. The
Company will continue to need high-quality talent, and is enhancing connect
with young engineers through supporting popular events like Supra SAE and
participating in industry initiatives to boost design capability among young
students.
Recognising the importance of fuel efficiency for Indian customers as
well as for the environment, the Company is working on new technologies,
vehicle weight reduction, lowering friction, alternate materials and more CNG
models to improve fuel efficiency and reduce C02 emissions. It is
also working on hybrids and electric vehicle projects along with Suzuki Motor
Corporation. The Company is part of a SIAM initiative (Society of Indian
Automobile Manufacturers) to support the government in drafting fuel efficiency
standards for passenger vehicles in India.
In addition to the new models, the Company launched refreshed versions
of WagonR, SX4and Ritz. The Company also upgraded its models to meet OBD II
norms (Onboard diagnostics).Efforts to increase localisation of inner parts
gained strength during the year. Projects in value analysis and value
engineering contributed to enhancing cost effectiveness of parts and systems.
INFORMATION
TECHNOLOGY
Information technology (IT) is a key enabler and a major differentiator
in making various functions of the Company faster, leaner, more intelligent and
powerful.
The Company uses IT to seamlessly integrate on a real-time basis all its
vendors through an E-Nagare system and all its dealers through a Dealer
Management System enabling fast transaction processing, better management
control and informed decision making. With customer data involving millions of,
the analytics division provides critical insights for management understanding.
In 2012-13, the Company successfully integrated Maruti R&D and
manufacturing systems with those of the parent Company, Suzuki Motor
Corporation, Japan for a unified approach to product development and vehicle
production. The Company also moved its entire customer-facing applications to
the 'cloud' and re-engineered its IT backbone technology structure to enhance
reliability.
OUTLOOK
The prospects of the automobile industry are linked closely to economic growth.
While there is some uncertainty in the short term, India is widely expected to
return to a high growth path later. The Company's initiatives for capacity
expansion are based on this premise. At the same time, recognising that India's
growing global integration may lead to greater volatility in the macro economy,
the Company is building in flexibility to mitigate the impact of short-term
fluctuations in market demand, currency, commodities and fuel prices.
Changing customer preferences are likely to present new challenges,
including the emergence of new product segments. The Company's product plan
recognises this, as evident in its entry into the growing utility vehicle
segment with Ertiga in the year. The product development capabilities of Suzuki
Motor Corporation, its focus on the Indian market and concerted efforts to
strengthen capabilities of Maruti Suzuki engineers will help meet these
challenges. The Company is also actively looking at opportunities for export
sales in Southeast Asia, Africa and Middle East.
As competition intensifies, the Company will build on the strong
goodwill it enjoys with customers, its large sales and service network, and the
superior value it is able to offer to customers during the period of car
ownership. The Company will safeguard its culture of continuous improvement,
teamwork, discipline and stakeholder sensitivity.
Policy has had a major bearing on the industry, notably in the last few
years. Beside staking measures internally, such as balancing the capacity of petrol
and diesel engines the Company is also engaging more closely with policy makers
through industry forums to understand mutual priorities and perspectives. The
Company expects the policy framework to remain supportive, with a focus on
expanding growth, maintaining macroeconomic stability and promoting opportunity
in the country.
STATEMENT OF UNAUDITED / AUDITED RESULTS FOR THE QUARTER / FOR THE YEAR
ENDED 31ST MARCH 2014
PART I
(Rs.
in Millions)
|
|
Particulars |
Standalone |
||
|
Quarter
ended |
Year
Ended |
|||
|
31st
March, 2014 |
31st
December, 2013 |
31st
March, 2014 |
||
|
|
|
Unaudited |
Unaudited |
Unaudited |
|
|
Domestic Vehicles Sold
(No.) |
298596 |
268185 |
1053689 |
|
|
Export Vehicles Sold (No.) |
26274 |
19966 |
101352 |
|
|
Total Vehicles Sold (No.) |
324870 |
288151 |
1155041 |
|
1 |
Income from Operations |
|
|
|
|
a |
Gross Sales |
131275.400 |
120061.500 |
478227.700 |
|
|
Less: Excise Duty on
Sales |
13094.100 |
13864.700 |
51780.100 |
|
|
Net Sales |
118181.300 |
106196.800 |
426447.600 |
|
b |
Other Operating Income |
2832.600 |
2741.600 |
10558.700 |
|
|
Total Income from Operations (a+b) |
121013.900 |
108938.400 |
437006.300 |
|
2 |
Expenses : |
|
|
|
|
|
[a] Cost of material
consumed |
80663.200 |
70231.600 |
288645.800 |
|
|
[b] Purchases of
stock-in-trade |
6516.300 |
6176.200 |
24314.200 |
|
|
[c]
Changes in inventories of finished goods, work-in-progress and stock-in-trade |
1603.000 |
1634.000 |
185.000 |
|
|
[d] Employees benefits
expense |
4010.100 |
2996.600 |
13681.100 |
|
|
[e] Depreciation and
amortisation expense |
5636.900 |
5413.800 |
20844.000 |
|
|
[f] Other expenses |
15746.000 |
14352.100 |
59221.100 |
|
|
Total Expenses |
114175.500 |
100804.300 |
406891.200 |
|
3 |
Profit from operations before other income, finance cost and
exceptional items (1-2) |
6838.400 |
8134.100 |
30115.100 |
|
4 |
Other income |
4066.200 |
1169.500 |
8229.000 |
|
5 |
Profit from ordinary activities
before finance cost and exceptional items (3+4) |
10904.600 |
9303.600 |
38344.100 |
|
6 |
Finance Costs |
434.300 |
448.000 |
1758.500 |
|
7 |
Profit from ordinary activities
after finance cost but before exceptional items (5-6) |
10470.300 |
8855.600 |
36585.600 |
|
8 |
Exceptional items |
-- |
-- |
-- |
|
9 |
Profit from ordinary activities
before tax (7-8) |
10470.300 |
8855.600 |
36585.600 |
|
10 |
Tax expense |
2469.800 |
2044.100 |
8755.100 |
|
11 |
Net profit from ordinary activities
after tax (9-10) |
8000.500 |
6811.500 |
27830.500 |
|
12 |
Extraordinary item |
-- |
-- |
-- |
|
13 |
Net Profit for the Period
(11-12) |
8000.500 |
6811.500 |
27830.500 |
|
14 |
Share of Profit of associates |
|
|
|
|
15 |
Minority interest |
|
|
|
|
16 |
Net profit after taxes, minority interest and share of profit of
associates (13+14+15) |
8000.500 |
6811.500 |
27830.500 |
|
17 |
Paid-up equity share capital |
1510.400 |
1510.400 |
1510.400 |
|
18 |
Face value of the share
(Rs.) |
5 |
5 |
5 |
|
19 |
Reserves excluding
Revaluation Reserves as per balance sheet of previous accounting year |
|
|
|
|
20 |
Basic & diluted
earnings per share (not annualized) Rs. |
26.48 |
22.55 |
92.13 |
PART II
|
|
Particulars |
Standalone |
||||
|
Quarter
ended |
Year
Ended |
|||||
|
31st
March, 2014 |
31st
December, 2013 |
31st
March, 2014 |
||||
|
|
|
Unaudited |
Unaudited |
Unaudited |
||
|
A |
PARTICULARS OF SHAREHOLDING |
|
|
|
||
|
1 |
Public shareholding : |
|
|
|
||
|
|
Number of shares |
132,291,620 |
132,291,620 |
132,291,620 |
||
|
|
Percentage of
shareholding |
43.79% |
43.79% |
43.79% |
||
|
2 |
Promoters & Promoter
Group Shareholding |
|
|
|
||
|
a) |
Pledged/ Encumbered |
|
|
|
||
|
|
Number of shares |
- |
- |
- |
||
|
|
Percentage of shares (as
a % of the total shareholding of promoter and promoter group) |
- |
- |
- |
||
|
|
Percentage of shares (as
a % of the total share capital of the company) |
- |
- |
- |
||
|
b) |
Non Encumbered |
|
|
|
||
|
|
Number of shares |
169,788,440 |
169,788,440 |
169,788,440 |
||
|
|
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) |
56.21% |
56.21% |
56.21% |
||
|
|
Particulars |
Quarter ended 31st March, 2014 |
|
|||
|
B |
INVESTOR COMPLAINTS (Nos.) |
|
|
|||
|
|
Pending at the beginning
of the quarter |
0 |
|
|||
|
|
Received during the
quarter |
2 |
|
|||
|
|
Disposed of during the
quarter |
2 |
|
|||
|
|
Remaining unresolved at
the end of the quarter |
0 |
|
|||
Notes:
The Statement of Assets
and Liabilities as required under Clause 41(v)(h) of the Listing Agreement is
as Under:
(Rs.
in Millions)
|
Particulars |
Standalone as at |
|
31st March, 2014 |
|
|
Audited |
|
|
A. EQUITY AND LIABILITIES |
|
|
|
|
|
1. Shareholders' Funds |
|
|
(a) Share capital |
1510.400 |
|
(b) Reserves &
surplus |
208270.300 |
|
Sub total - Shareholders' funds |
209780.700 |
|
|
|
|
2. Minority Interest |
|
|
|
|
|
3. Non-Current Liabilities |
|
|
(a) Long term borrowings |
4603.900 |
|
(b) Deferred tax
liabilities (net) |
5866.300 |
|
(c) Other long-term
liabilities |
2385.700 |
|
(d) Long-term provisions |
1979.900 |
|
Sub total - Non-current liabilities |
14835.800 |
|
4. Current Liabilities |
|
|
(a) Short term borrowings |
12246.800 |
|
(b) Trade payables |
48975.200 |
|
(c ) Other current
liabilities |
12742.100 |
|
(d) Short-term provisions |
6776.900 |
|
Sub total - Current liabilities |
80741.000 |
|
|
|
|
TOTAL - EQUITY AND LIABILITIES |
305357.500 |
|
|
|
|
B. ASSETS |
|
|
|
|
|
1. Non-current Assets |
|
|
(a) Fixed assets |
134118.100 |
|
(b) Non current
investments |
13048.300 |
|
(c) Long-term loans and
advances |
16384300 |
|
(d) Other non-current
assets |
90.100 |
|
Sub total - Non-current assets |
163640.800 |
|
2. Current Assets |
|
|
(a) Current investments |
88130.600 |
|
(b) Inventories |
17059.500 |
|
(c) Trade receivables |
14136.500 |
|
(d) Cash and bank
balances |
6297.500 |
|
(e) Short term loans and
advances |
12510.900 |
|
(f) Other current assets |
3581.700 |
|
Sub total - Current assets |
141716.700 |
|
|
|
|
TOTAL - ASSETS |
3,053,575 |
2. The above unaudited results for the quarter ended 31st March, 2014 and the audited results for the year ended 31st March 2014 were reviewed by Audit Committee and approved by the Board of Directors in its meeting held on 25th April, 2014.
3. The Board of Directors at their meeting considered and recommended a final dividend aggregating Rs. 3625.000 Millions i.e. Rs 12 per share (Nominal value Rs.5.00 per share) (Previous Year Rs. 2416.700 Millions i.e. Rs 8 per share) for the financial year 2013-14.
4. The Company has considered "business segment' as the primary segment. The Company is primarily in the business of manufacturing, purchase and sale of Motor Vehicles, Components and Spare Parts (“automobiles”). The other activities of the Company comprise facilitation of Pre-Owned Car Sales, Fleet Management and Car Financing. The income from these activities is not material in financial terms but such activities contribute significantly in generating demand for the products of the Company. Accordingly, segment information has not been disclosed.
5. Pursuant to the Supreme Court order setting aside the judgment of the Punjab and Haryana High Court (“High Court”) and directing the High Court for fresh determination of the compensation payable to the landowners, in an appeal filed by the Haryana State Industrial and Infrastructure Development Corporation Limited ("HSIIDC"), relating to the demand raised for additional compensation by landowners for land acquired from them at Manesar for industrial purposes, the Company has filed an impleadment application before the High Court and HSIIDC has revised the demand on the Company from Rs 5012.400 Millions to Rs 7495.500 Millions.
In respect of demand for Rs. 1375.800 Millions for the remaining part of the land of the Company at Manesar received from HSIIDC in the previous year, consequent to the order of the High Court the Company's appeal is pending adjudication with the High Court.
As the amount(s), if any, of final price adjustment(s) is/ are not determinable at this stage, the Company considers that no provision is required to be made at present. Any additional compensation, if payable, will have the effect of enhancing the asset value of the freehold land. The penal interest payable, if any, would be charged to the statement of profit and loss. The Company has made a payment of Rs.3700.000 Millions to HSIIDC under protest.
6. Pursuant to the scheme of amalgamation of Suzuki Powertrain India Limited (SPIL) with the Company with effect from April 1, 2012, on completion of all the formalities on March 17, 2013, the results of SPIL for the year April 1, 2012 to March 31, 2013 were included in the results of the Company for the quarter ended March 31, 2013. Therefore the figures for the quarter ended March 31, 2013 are not comparable.
7. The figures of the last quarter are the balancing figures between the
audited figures in respect of the full financial year and the published year to
date figures up to the third quarter of the current financial year
8. The figures of previous periods have been re-grouped, wherever necessary, to conform to current quarter /year classification.
9. Rs.10 Lacs is equal to Rs.1 Million.
FIXED ASSETS:
· Freehold Land
· Leasehold Land
· Building
· Plant and Machinery
· Electronic Data Processing Equipments
· Furniture, Fixtures and Office Appliances
· Vehicles
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals have
been formally charged or convicted by a competent governmental authority for
any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 59.88 |
|
UK Pound |
1 |
Rs. 100.98 |
|
Euro |
1 |
Rs. 82.40 |
INFORMATION DETAILS
|
Information
Gathered by : |
SVA |
|
|
|
|
Analysis Done by
: |
SUM |
|
|
|
|
Report Prepared
by : |
MRI |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
9 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
9 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
9 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
9 |
|
--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 |
|
DEFAULTERS |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
79 |
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.