MIRA INFORM REPORT
|
Report Date : |
13.10.2014 |
IDENTIFICATION DETAILS
|
Name : |
PRECISION WIRES INDIA LIMITED |
|
|
|
|
Registered
Office : |
Saiman House, 2nd Floor, 1st Khedgall Khed Galli
Prabhadevi, Mumbai – 400025, Maharashtra |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2014 |
|
|
|
|
Date of
Incorporation : |
23.11.1989 |
|
|
|
|
Com. Reg. No.: |
11-054356 |
|
|
|
|
Capital Investment
/ Paid-up Capital : |
Rs. 115.644 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L31300MH1989PLC054356 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMP15082E/ MUMP06148C |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACP7555L |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
The Company is engaged in manufacture of winding wires of copper. |
|
|
|
|
No. of Employees
: |
Not Available |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (51) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having fine track record. Financial position of the company seems to be decent. However, trade relations are reported to be fair. Business is active.
Payment terms are reported to be regular and as per commitment. The company can be considered for normal business dealing on a 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 – June 1, 2014
|
Country Name |
Previous Rating (31.03.2014) |
Current Rating (01.06.2014) |
|
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
N E W S
Verdict
Implications: Apex court order may alter coal import dynamics. Traders go slow
on talks over coal supply contracts, uncertainty over cancellation of blocks
weigh on stocks.
Recent arrest of the
Chennai head of the Registrar of Companies, the ministry of corporate affairs
arm that ensures that companies file all the information required by the
Companies Act is the latest manifestation of a messy fight between a father and
his adopted son for the control of Rs 40000 mn business empire. The Central
Bureau of Investigation arrested Manumeethi Cholan after he accepted Rs 10
lakhs as bribe from M A M Ramaswamy, a CBI official said.
Central Bureau of
Investigation books Electrotherm for cheating Central Bank of Rs 4360 mn.
Infosys maintains
revenue guidance. COO Rao says attrition still an area of concern and it would
take a few more quarters to bring down levels to 13-15 %.
DHL to invest
Euro 100 mn in India over next 2 years. The firm has chosen India to pilot its
e-commerce business model for the Asia-Pacific region.
Blackstone may buy
stake in BlueRidge SEZ in line with the fund’s real estate strategy in India.
Kingfisher Airlines
Ltd grounded in October 2012 under the weight of heavy debt and accumulated
losses, recently approached the Delhi high court for relief in two separate
cases. The airline challenged a notice by Punjab & National Bank alleging
that It had wilfully defaulted on Rs 7700 mn of loans and sought more time to
comply with the requirements under the listing agreements with the Stock
Exchanges.
OnMobile likely to
sack another 300 employees. The lay-offs follow a spate of senior-level exits
over the past two years, starting with of its founder. The overall lay-offs
could number around 600 and are driven by the need to cut costs, says a former
employee.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
Care Ratings |
|
Rating |
Long Term Bank Facilities=A- |
|
Rating Explanation |
Have adequate degree of safety and carry low
credit risk. |
|
Date |
11.09.2013 |
|
Rating Agency Name |
Care Ratings |
|
Rating |
Short Term Rating=A1 |
|
Rating Explanation |
Have very strong degree of safety and carry
lowest credit risk. |
|
Date |
11.09.2013 |
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
31-03-2014.
INFORMATION DECLINED
Management Non-cooperative. (Tel. No.: 91-22-24360089)
LOCATIONS
|
Registered Office : |
Saiman House, 2nd Floor, 1st Khedgall Khed Galli
Prabhadevi, Mumbai – 400025, Maharashtram, India |
|
Tel. No.: |
91-22-24360089, 24376281 (EPABX) |
|
Fax No.: |
91-22-24362593, 24370687 |
|
E-Mail : |
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|
Website : |
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|
|
|
|
Factory 1 : |
Unit I and II :
Atlas Wire Plot Survey No.125/2, Amli Hanuman (66KVA) Road, Silvassa – 396230,
Union Territory of Dadra and Nagar Haveli, India |
|
|
|
|
Factory 2 : |
Palej Unit :
Atlas Wire Plot No.3, GIDC, N.H. No.8, Palej – 392220, Bharuch, Gujarat, India |
|
|
|
|
Factory 3 : |
Palghar Unit : Plot No. 44, Phase I,
Genesis Industrial Complex, Kolgaon,
Palghar, District Thane - 401404, Maharashtra, India |
DIRECTORS
As on: 31.03.2014
|
Name : |
Mr. Mahendra R. Mehta |
|
Designation : |
Chairman and Managing Director and Chief Executive Officer |
|
Date of Birth
& Age : |
84 Years |
|
Experience : |
61 Years |
|
Date of
Commencement of Employment : |
June, 1975 |
|
|
|
|
Name : |
Mr. |
|
Designation : |
Vice Chairman and Managing Director |
|
Date of Birth
& Age : |
50 Years |
|
Qualifications : |
B.S. (E.E.) |
|
Experience : |
28 Years |
|
Date of
Commencement of Employment : |
April, 1996 |
|
|
|
|
Name : |
Mr. Deepak M. Mehta |
|
Designation : |
Whole Time Director |
|
Date of Birth
& Age : |
56 Years |
|
Qualifications : |
B.Com |
|
Experience : |
33 Years |
|
Date of Commencement
of Employment : |
January, 1989 |
|
|
|
|
Name : |
Mr. P.N. Vencatesan |
|
Designation : |
Independent and Non-Executive Director |
|
Date of Birth
& Age : |
18.08.1926 |
|
Qualifications : |
Chartered Accountant |
|
Expertise in specific
function : |
Renowned Management Consultant |
|
|
|
|
Name : |
Mr. Vijay M. Crishna |
|
Designation : |
Independent and Non-Executive Director |
|
Date of Birth
& Age : |
08.03.1945 |
|
Qualifications : |
B.A.(Economics) |
|
Experience : |
Expertise in Engineering and I.T. Industry and extensive managerial experience |
|
|
|
|
Name : |
Mr. Ashwin P. Kothari |
|
Designation : |
Independent and Non-Executive Director |
|
Date of Birth
& Age : |
14.09.1942 |
|
Qualifications : |
S.B.(MIT) |
|
Experience : |
Expertise in Ferrous and Non Ferrous Metal and Chemical Industries. |
|
|
|
|
Name : |
Mr. Pratap R Merchant |
|
Designation : |
Independent and Non-Executive Director |
|
Date of Birth
& Age : |
02.03.1935 |
|
Qualifications : |
B.Com., CAIIB- I |
|
Expertise in
specific function : |
Ex-Banker and has rich experience in Banking and Finance Sectors |
|
|
|
|
Name : |
Mr. Pradip Roy |
|
Designation : |
Additional Independent and Non-Executive Director |
KEY EXECUTIVES
|
Name : |
Mrs. Nishthi Haresh Dharmani |
|
Designation : |
Company Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on: 30.06.2014
|
Category of Shareholders |
No. of Shares |
Percentage
of Holding |
|
(A) Shareholding of
Promoter and Promoter Group |
|
|
|
|
|
|
|
|
5165115 |
44.67 |
|
|
1734668 |
15.00 |
|
|
6899783 |
59.67 |
|
|
|
|
|
Total shareholding
of Promoter and Promoter Group (A) |
6899783 |
59.67 |
|
(B) Public
Shareholding |
|
|
|
|
|
|
|
|
1100 |
0.01 |
|
|
1100 |
0.01 |
|
|
|
|
|
|
432704 |
3.74 |
|
|
|
|
|
|
2309021 |
19.97 |
|
|
1617663 |
13.99 |
|
|
303352 |
2.62 |
|
|
69626 |
0.60 |
|
|
232726 |
2.01 |
|
|
1000 |
0.01 |
|
|
4662740 |
40.32 |
|
Total Public
shareholding (B) |
4663840 |
40.33 |
|
Total (A)+(B) |
11563623 |
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) |
11563623 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
The Company is engaged in manufacture of winding wires of copper. |
GENERAL INFORMATION
|
No. of Employees : |
Not Available |
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|
|||||||||||||||||||||||||||
|
Bankers : |
Bank of Baroda, Palej – 392 220, Bharuch, Gujarat, India |
|||||||||||||||||||||||||||
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|
|||||||||||||||||||||||||||
|
Facilities : |
(Rs.
In Millions)
|
|
|
|
|
Banking Relations
: |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
S.R. Divatia and Company Chartered Accountants |
|
Address : |
221, Avon Arcade, D.J. Road, Near Railway Station, Vile Parle (West), Mumbai - 400 056, Maharashtra, India |
|
Tel. No.: |
91-22-26160791/ 26631923 |
|
Fax No.: |
91-22-26104926 |
|
E-Mail : |
CAPITAL STRUCTURE
As on: 31.03.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
12000000 |
Equity Shares |
Rs.10/- each |
Rs.120.000 Millions |
|
3000000 |
Unclassified Shares |
Rs.10/- each |
Rs.30.000 Millions |
|
|
|
|
|
|
|
Total
|
|
Rs.150.000
Millions |
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
11565223 |
Equity Shares |
Rs.10/- each |
Rs.115.652
Millions |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
11563623 |
Equity Shares |
Rs.10/- each |
Rs.115.636
Millions |
|
|
Add: Forfeiture of 1600 Equity Shares (Amount originally paid up) |
|
Rs.0.008
Million |
|
|
|
|
|
|
|
Total |
|
Rs.115.644 Millions |
The details of
Shareholders holding more than 5% shares:
|
Name of the
Shareholder |
No. of Shares held |
% held |
|
Galvawire Agencies Private Limited |
1734668 |
15.00% |
|
Mahendra R. Meh |
1549034 |
13.00% |
|
Sharda M. Mehta |
812453 |
7.00% |
|
Milan M. Mehta (including as Karta of HUF) |
787948 |
7.00% |
The reconciliation of
the number of shares outstanding is set out below:
|
Particulars |
No. of Shares held |
|
Equity Shares at the beginning of the year |
11,563,623 |
|
Equity Shares at the end of the year |
11,563,623 |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES
OF FUNDS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
115.644 |
115.644 |
115.644 |
|
(b) Reserves & Surplus |
1915.431 |
1906.343 |
1799.269 |
|
(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) |
2031.075 |
2021.987 |
1914.913 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a)
long-term borrowings |
30.505 |
79.148 |
52.640 |
|
(b) Deferred tax
liabilities (Net) |
179.591 |
169.183 |
167.298 |
|
(c)
Other long term liabilities |
0.200 |
0.175 |
0.200 |
|
(d)
long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total
Non-current Liabilities (3) |
210.296 |
248.506 |
220.138 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
462.360 |
821.678 |
580.735 |
|
(b)
Trade payables |
1416.609 |
1773.212 |
1531.787 |
|
(c)
Other current liabilities |
182.141 |
405.629 |
246.273 |
|
(d)
Short-term provisions |
51.644 |
35.069 |
29.750 |
|
Total
Current Liabilities (4) |
2112.754 |
3035.588 |
2388.545 |
|
|
|
|
|
|
TOTAL |
4354.125 |
5306.081 |
4523.596 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
1265.806 |
1332.381 |
1454.696 |
|
(ii)
Intangible Assets |
2.821 |
7.653 |
19.670 |
|
(iii)
Capital work-in-progress |
26.685 |
29.408 |
26.232 |
|
(iv) Intangible assets under
development |
0.000 |
0.000 |
0.000 |
|
(b)
Non-current Investments |
0.013 |
5.014 |
5.014 |
|
(c)
Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
0.000 |
0.000 |
0.000 |
|
(e)
Other Non-current assets |
6.037 |
7.498 |
5.747 |
|
Total
Non-Current Assets |
1301.362 |
1381.954 |
1511.359 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
192.000 |
0.000 |
|
(b)
Inventories |
754.225 |
981.343 |
761.071 |
|
(c)
Trade receivables |
1859.989 |
1926.005 |
1683.451 |
|
(d)
Cash and cash equivalents |
266.007 |
397.421 |
270.786 |
|
(e)
Short-term loans and advances |
143.154 |
367.556 |
245.144 |
|
(f)
Other current assets |
29.388 |
59.802 |
51.785 |
|
Total
Current Assets |
3052.763 |
3924.127 |
3012.237 |
|
|
|
|
|
|
TOTAL |
4354.125 |
5306.081 |
4523.596 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
9816.885 |
9758.287 |
9317.864 |
|
|
|
Other Income |
28.599 |
12.629 |
7.635 |
|
|
|
TOTAL (A) |
9845.484 |
9770.916 |
9325.499 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
8556.838 |
8746.083 |
8377.838 |
|
|
|
Purchases of Stock-in-Trade |
49.812 |
0.445 |
5.486 |
|
|
|
Changes in inventories of finished goods, work-in-progress
and Stock-in-Trade |
97.599 |
(101.686) |
(136.3650 |
|
|
|
Employees benefits expense |
144.561 |
135.614 |
115.643 |
|
|
|
Other expenses |
619.269 |
575.247 |
577.584 |
|
|
|
TOTAL (B) |
9468.079 |
9355.703 |
8940.186 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
377.405 |
415.213 |
385.313 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
28.678 |
50.685 |
59.533 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
348.727 |
364.528 |
325.780 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
118.101 |
125.741 |
129.352 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
230.626 |
238.787 |
196.428 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
86.207 |
79.241 |
54.977 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
144.419 |
159.546 |
141.451 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
27.008 |
36.353 |
35.222 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
14.500 |
115.000 |
100.000 |
|
|
|
Proposed Total Dividend |
115.636 |
46.254 |
34.691 |
|
|
|
Corporate Tax on Dividend |
19.653 |
7.637 |
5.629 |
|
|
BALANCE CARRIED
TO THE B/S |
21.638 |
27.008 |
36.353 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
F.O.B. Value of Exports |
1308.895 |
1080.016 |
676.023 |
|
|
TOTAL EARNINGS |
1308.895 |
1080.016 |
676.023 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
2689.277 |
1754.256 |
1423.677 |
|
|
|
Consumable Stores & Spares, Packing Material &
Repairs to Plant |
7.208 |
8.437 |
7.126 |
|
|
|
Capital Goods |
11.511 |
4.932 |
35.125 |
|
|
TOTAL IMPORTS |
2707.996 |
1767.625 |
1465.928 |
|
|
|
|
|
|
|
|
|
|
Earnings Per Share
(Rs.) |
12.49 |
13.80 |
12.23 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
PAT / Total Income |
(%) |
1.47 |
1.63 |
1.52 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
2.35 |
2.45 |
2.11 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
5.33 |
4.53 |
4.37 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.11 |
0.12 |
0.10 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.24 |
0.45 |
0.33 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.44 |
1.29 |
1.26 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs. In Millions) |
(Rs. In Millions) |
(Rs. In Millions) |
|
Share Capital |
115.644 |
115.644 |
115.644 |
|
Reserves & Surplus |
1799.269 |
1906.343 |
1915.431 |
|
Net worth |
1914.913 |
2021.987 |
2031.075 |
|
|
|
|
|
|
long-term borrowings |
52.640 |
79.148 |
30.505 |
|
Short term borrowings |
580.735 |
821.678 |
462.360 |
|
Total borrowings |
633.375 |
900.826 |
492.865 |
|
Debt/Equity ratio |
0.331 |
0.446 |
0.243 |
YEAR-ON-YEAR GROWTH
|
Year on Year Growth |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs. In Millions) |
(Rs. In Millions) |
(Rs. In Millions) |
|
Sales |
9317.864 |
9758.287 |
9816.885 |
|
|
|
4.727 |
0.600 |
NET PROFIT MARGIN
|
Net Profit Margin |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs. In Millions) |
(Rs. In Millions) |
(Rs. In Millions) |
|
Sales |
9317.864 |
9758.287 |
9816.885 |
|
Profit |
141.451 |
159.546 |
144.419 |
|
|
1.52% |
1.63% |
1.47% |
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 |
No |
|
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 |
No |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
-- |
|
22] |
Litigations that the firm / promoter involved in |
-- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking account |
-- |
|
26] |
Buyer visit details |
-- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
UNSECURED LOAN
(Rs.
In Millions)
|
Particulars |
As on 31.03.2014 |
As on 31.03.2013 |
|
SHORT TERM
BORROWINGS |
|
|
|
Foreign currency loans – buyers credit |
56.634 |
419.370 |
|
|
|
|
|
Total |
56.634 |
419.370 |
INDEX OF CHARGE:
|
Sr. No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
90237746 |
24/04/2012
* |
2,727,300,000.00 |
BANK
OF BARODA |
PALEJ
BRANCH, 4/374, DHANJISHA JIN, PALEJ - 392220, GUJARAT, INDIA |
B38350328 |
|
2 |
90237508 |
18/04/2012
* |
2,727,300,000.00 |
BANK
OF BARODA |
PALEJ
BRANCH, 4/374, DHANJISHA JIN, PALEJ - 392220, GUJARAT, INDIA |
B38347381 |
* Date of charge modification
OPERATIONS
Their Production during the year was slightly lower than the previous year. The overall economic industrial climate was unfortunately sluggish. Electrical Equipment Manufacturing Industry and Capital Goods Sector registered negative growth. Increasing import of electrical equipments from China, affected Domestic Industry Inflation, High cost of finance, lower capacity utilisation, inadequate availability of proper Grade fuel and issues pertaining to environmental clearances affected overall fiscal, economical and Industrial climate in the country.
Considering the prevailing adverse economical climate in the country during the year under Report, the Company has performed well.
The PBDIT is 377.405 Millions (415.210 Millions) Finance charges 28.678 Millions (50.685 Millions). Depreciation 118.101 Millions (125.741 Millions) PBT 230.626 Millions (238.784 Millions) Provision for Tax 862.07 Millions (79.241 Millions) and PAT 144.419 Millions (159.543 Millions) lacs which is slightly lower than previous year due to high volatility in USD/INR during QII of the Year, more imports of input, higher Employees Benefits Expenses, Insurance and freight and other expenses. Their Reserves and Surplus (excluding Revaluation) are about Rs.1915.400 (1906.300 Millions) at the end of March 2014.
Since their Winding Wires are used in the manufacture of Electrical Equipment, Long term prospect for the Industry is bright. Manufacturing -Sector also is likely to be given priority as the same generates more employment. Growth in Infrastructure-Sector such as Air Ports, Metros, Highways, surface Transport etc. besides the Power-Sector, is likely to have catalytic impact on Capital-Goods-Sector.
Notwithstanding whatever has been stated in the foregoing paragraphs, the Company continues to be optimistic about future growth in the sector. India, being a power-deficit country, long term prospects of the Electrical Equipment Manufacturing Industry is bright. Since around 40 crore people in their Country do not have access to electricity, Power-Sector enjoys utmost priority. Between now and 2050 Indian electricity supply and demand are projected to increase five –fold.
Inherent distortions arising from rapidly increasing trade deficit has attracted attention of the Government and remedial measures have been taken.
Prevailing adverse economic climate in the country is bound to change for the better and the Company is hopeful for upturn in the Economy. The Company has been performing consistently well and continues to be the Market-leader with low-debt-gearing, Debt-Equity Ratio less than 0.25, and Current Ratio at about 1.44.
MANAGEMENT
DISCUSSION AND ANALYSIS:
Industry Structure and Development:
The Company produces Winding Wires made of Copper which are used in the manufacture of both rotating and static electrical equipments. Though there are number of players in the Industry including many in SSI sector, due to quality of their products and long standing relationship with OEM customers, they continue to remain Industry-Leader. Despite adverse operational conditions prevailing in the country, they have performed well.
The overall capacity utilization of the Industry in the Country is marginally lower than the previous year. This is due to the sluggish demand from Electrical Equipment Manufacturing Sector which did not have adequate orders from Electric-Power-Sector and infrastructural projects. Both Industrial and economic structure of the Industry remains affected due to high Cost of input, inflation, substantial volatility in Forex. The Company continues to cater to the OEM sector. Emphasis on direct physical export abroad continues.
OUTLOOK:
Long Term outlook of the Indian Economy, and consequently, electric-power-sector is healthy
STATEMENT OF UNAUDITED RESULTS FOR THE QUARTER ENDED 30TH
JUNE 2014
(Rs. In Millions)
|
Particulars |
Quarter Ended |
|
|
30.06.2014 |
|
1.
Income from operations |
|
|
a) Net sales/ Income from operation (net of excise duty) |
2386.870 |
|
b) Other operating income |
9.201 |
|
Total
income from Operations(net) |
2396.071 |
|
2.Expenditure |
|
|
a) Cost of material consumed |
2116.095 |
|
b) Purchases of stock in trade |
0.236 |
|
c) Changes in inventories of finished goods,
work-in-progress and stock-in-trade |
(31.375) |
|
d) Employees benefit expenses |
40.722 |
|
e) Depreciation and amortization expenses |
47.505 |
|
f) Power and Fuel |
52.337 |
|
g) Other expenditure |
91.940 |
|
Total expenses |
2317.460 |
|
3. Profit from operations before other income and
financial costs |
78.611 |
|
4. Other income |
1.887 |
|
5. Profit from ordinary activities before finance costs |
80.498 |
|
6. Finance costs |
38.835 |
|
7. Net profit/(loss) from ordinary activities
after finance costs but before exceptional items |
41.663 |
|
8. Exceptional item |
-- |
|
9. Profit from ordinary activities before tax
Expense: |
41.663 |
|
10.Tax expenses |
14.245 |
|
11.Net
Profit / (Loss) from ordinary activities after tax (9-10) |
27.418 |
|
12.Extraordinary Items (net of tax expense) |
-- |
|
13.Net Profit / (Loss) for the period (11 -12) |
27.418 |
|
14.Paid-up
equity share capital (Nominal value Rs.10/- per share) |
115.636 |
|
15. Reserve excluding
Revaluation Reserves as per balance sheet of previous accounting year |
- |
|
16.i) Earnings per share (before extraordinary
items) of Rs.10/- each) (not annualised): |
|
|
(a) Basic and diluted |
2.37 |
|
ii) Earnings per share (after extraordinary items) |
|
|
(a) Basic and diluted |
2.37 |
|
|
|
|
A. Particulars of shareholding |
|
|
1.
Public Shareholding |
|
|
-
Number of shares |
4663840 |
|
-
Percentage of shareholding |
40.33 |
|
2. Promoters and Promoters
group Shareholding- |
|
|
a)
Pledged /Encumbered |
|
|
Number
of shares |
-- |
|
Percentage
of shares (as a % of total shareholding of the promoter and promoter group) |
-- |
|
Percentage
of shares (as a % of total share capital of the company) |
-- |
|
|
|
|
b)
Non Encumbered |
|
|
Number
of shares |
6899783 |
|
Percentage
of shares (as a % of total shareholding of the promoter and promoter group) |
100.00 |
|
|
|
|
Percentage
of shares (as a % of total share capital of the company) |
59.67 |
|
B.
Investor Complaints |
30.06.2014 |
|
Pending at the beginning of the quarter |
Nil |
|
Receiving during the quarter |
1 |
|
Disposed of during the quarter |
1 |
|
Remaining unreserved at the end of the quarter |
Nil |
Note:
Previous year's figures have been regrouped / reworked wherever necessary to make them comparable with the Current Year.
The results for Quarter ended June 30, 2014 have been reviewed by the Audit
Committee of the Board and have been approved by the Board of Directors at its
meeting held on August 07, 2014.
The Limited Review for the Three Months ended June 30, 2014 as required under
Clause 41 of the Listing Agreement with the Stock Exchanges has been carried
out by the Statutory Auditors.
The useful life of Fixed Assets has been revised in accordance with Schedule
III of Companies Act, 2013, effective from April 01, 2014. Due to above,
depreciation for the quarter ended June 30, 2014 is higher by Rs 17.547
millions due to change in useful life of Fixed Assets. Further, based on
transitional provision provided in Note 7(b) of Schedule II of the said Act, an
amount of Rs. 186.350 millions on account of Assets whose useful life is
already exhausted on April 1, 2014 (net of Deferred Tax of Rs. 94.166 millions
thereon) have been adjusted to opening balance of General Reserve.
The Company is primarily engaged in a single Segment i.e. Business of
manufacture of Winding Wires Therefore Segment reporting as defined in
Accounting Standard AS-17 is not applicable.
FIXED ASSETS:
Tangible Assets:
·
Land - Free Hold
·
Buildings
·
Plant and Machinery
·
Vehicles
·
Office Equipments
·
Furniture and Fixtures
Intangible Assets:
·
Technology Transfer Cost
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-Mney
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. 61.16 |
|
|
1 |
Rs. 98.62 |
|
Euro |
1 |
Rs. 77.67 |
INFORMATION DETAILS
|
Information Gathered
by : |
HTL |
|
|
|
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
DPH |
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 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
NO |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
51 |
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.