MIRA
INFORM REPORT
|
Report Date : |
03.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
ELECTRONICS CORPORATION OF INDIA LIMITED |
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Registered
Office : |
Industrial Development Area, Cherlapelli, ECIL P.O. Hyderabad – 500
062, Andhra Pradesh |
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Country : |
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Financials (as
on) : |
31.03.2013 |
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Date of
Incorporation : |
11.04.1967 |
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Com. Reg. No.: |
02-001149 |
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Capital
Investment / Paid-up Capital : |
Rs. 1633.712 Millions |
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CIN No.: [Company Identification
No.] |
U32100AP1967GOI001149 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
HYDE00006G |
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Legal Form : |
Public Limited
Liability Company owned by the Government of India |
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Line of Business
: |
Providing
Electronics Products and Services. |
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No. of Employees
: |
3767 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (66) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a Government of India undertaking company. It is a well-established and reputed company having good track record. There seems some dip in the profits of the company during 2013. However, general financial position of the company is sound.
Fundamentals of the company are healthy. Trade relations are reported as fair. Business is active. Payments are
reported to be regular and as per commitment. The company can be considered good for normal business dealings at
usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – 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 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
N E W S
As per the latest IMF study, the total weigh of emerging markets in the GDP
of the world on a purchasing power parity basis has seen a sizeable shift. It
highlights how as against 51 % in 2005, the emerging economies now account for
close to 56 % of the global purchasing power GDP as per the latest survey. And
with the emerging economies growing at a faster rate than their developed
counterparts, there are every possibility that the their share goes up further
in the coming years. China may surpass the US over the next few years.
Politics and economics are very intricately connected. They tend to
influence each other in ways that could be very complex and far-reaching. The
prospects of the India’s economy have been seriously compromised due to
political corruption. High inflation, poor standard of living are to a great
extent a result of rampant corruption in the country. China on the other hand,
seems to be facing diametrically opposite challenge. American hedge fund
manager Jim Chanos has been keenly following the political and economic
development in the dragon economy and has figured out something that is quite
worrying. He is of the view that the Chinese economy could be heading toward
trouble on account of new Chinese President Xi Jingping’s very aggressive
anti-corruption drive. Chanos believes tat many things such as apartment sales,
luxury products, etc. were largely bought with dirty money. And it is now
beginning to impact consumption. This may indeed be bad news for an economy
that is struggling to transition from an investment-driven export-oriented
economy to a domestic consumption-driven economy.
A study published by Firstpost has revealed that asset classes like real
estate and equities were the biggest beneficiaries of the liberalization
policies. A firm called Ciane Analytics studied returns from assets including
equities, gold, fixed deposits, G-Secs and real estate since 1991. Real estate
outperformed every other asset classes during the 23-year period with an
annualized return of 20 % ! Equities came in second with annualized return of
15.5 % ! However, while these returns may seem mouthwatering, the fact is that
the return from equities adjusted for inflation came down to just 7.1 %.
Some brief news are as under
. R-Power to buy Jaypee’s hydro assets
. Investors await justice in NSEL case
. India seeks MFN status from Pakistan ahead of meeting
. Ukrain’s clashes with rebels hinder MH17 crash investigation
. India exploring merger of state-owned hydro PSUs
..Higher costs weigh down profit growth to slowest in 9 quarters
..Wal-Mart to expand wholesale business in India
. GMR group moves to strengthen balance sheet
. Central Bank to sell 4 % stake to Life Insurance Corporation
. Tata Chemicals plans to raise up to Rs 10000 mn.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
Long Term Rating = AA+ |
|
Rating Explanation |
High degree of safety and very low credit risk |
|
Date |
11.12.2013 |
|
Rating Agency Name |
CRISIL |
|
Rating |
Short Term Rating = A1+ |
|
Rating Explanation |
Very strong degree of safety and carry lowest credit risk |
|
Date |
11.12.2013 |
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
Contact No. 91-40-27120131
LOCATIONS
|
Registered Office / Corporate Office: |
Industrial Development Area, Cherlapelli, ECIL P.O. Hyderabad – 500
062, Andhra Pradesh, India |
|
Tel. No.: |
91-40-27120131/ 27123409/ 27120671/ 27121802 |
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Mobile No.: |
91-40-27120517 |
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E-Mail : |
ecil.cpmkt@ecil.sprintrpg.ems.vsnl.net.in |
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Website : |
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Unit : |
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Guest Houses: |
Delhi and Mumbai, Maharashtra, India |
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Zonal Office: |
27, Barakhamba Road, New Delhi –
110001, India |
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Tel. No.: |
91-11-23324507 |
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Fax No.: |
91-11-23725951 |
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E-Mail : |
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Zonal Office: |
1207, Veer Savarkar Marg, Dadar
(Prabha Devi), Mumbai – 400028, Maharashtra, India |
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Tel. No.: |
91-22-24223443 |
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Fax No.: |
91-22-24302105 |
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E-Mail : |
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Zonal Office: |
Panagal Building, 1, Jeenis Road, Saidapet, Chennai – 600015, Tamilnadu, India |
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Tel. No.: |
91-44-24349085 |
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Fax No.: |
91-44-24340130 |
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E-Mail : |
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Zonal Office: |
IV Floor, Apeejay House, 15, Park
Street, Kolkata – 700016, West Bengal, India |
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Tel. No.: |
91-33-2495523 |
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Fax No.: |
91-33-2495523 |
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E-Mail : |
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Resident
Representatives at |
ECIL North Zone Office, B2, B-7, DDA
Local Shopping Centre, A Block, Ring Road, Naraina, New Delhi – 110 028,
India |
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Tel. No.: |
91-11-25895041 /
49 |
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Fax No.: |
91-11-25895329 |
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Tel No. (Res)” |
91-11-26196354
(Res.) |
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Zonal Office: |
ECIL, NO. 1/1, 2nd floor, Jeevan Sampige, LIC Building,
Sampige Road, |
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Tel. No.: |
91-80-23460110 |
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Fax No.: |
91-80-23460116 |
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E-Mail : |
DIRECTORS
As on 25.09.2013
|
Name : |
Mr. P Sudhakar |
|
Designation : |
Chairman and Managing Director |
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|
Name : |
Mr. Kishor Rungta |
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Designation : |
Director (Finance) |
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Name : |
Mr. V S B Babu |
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Designation : |
Director (Personnel) |
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Name : |
Mr. V R S Gopalakrishna |
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Designation : |
Executive Director (Aerospace Systems Group) |
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Name : |
Mr. Lalit Mohan Khanna |
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Designation : |
Executive Director (Communication Systems Group, Defence Systems Group
and Information Technology and Telecom
Group) |
KEY EXECUTIVES
|
Name : |
Mr. P Viswanath |
|
Designation : |
General Manager (Control Systems Group and Field
Support Group) |
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Name : |
Mr. T R Raja Mannar |
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Designation : |
General Manager (Software Solutions and Systems Division and Corporate R and D) |
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Name : |
Mr. G Umapathi |
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Designation : |
General Manager (Smart Card Group) |
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Name : |
Mr. B P R Murthy |
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Designation : |
General Manager (Communication Systems Group and Special Products
Division) |
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Name : |
Mr. J S Anand |
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Designation : |
General Manager (Finance and
Accounts Group) |
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Name : |
Mr. G Nagabhushanam |
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Designation : |
Head (Engineering Services Division) |
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Name : |
Mr. A K Asthana |
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Designation : |
Head (Radiation Detectors and Instrumentation Division and Control
Automation Division) |
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Name : |
Mr. M C Venkatasubbaiah |
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Designation : |
Head (Components Division) |
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Name : |
Mr. B Mahaveera |
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Designation : |
Head (Security Systems and Projects Division and Instruments and
Systems Division) |
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Name : |
Mr. A Ashok Kumar |
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Designation : |
Head (Electronic Manufacturing and Services Division) |
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Name : |
Mr. P Harender |
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Designation : |
Head (Electronic Warfare Systems Division) |
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Name : |
Mr. D Kameswara Rao |
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Designation : |
Head (Systems and Quality
Assurance Group) |
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Name : |
Mr. Y V Subba Rao |
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Designation : |
Head (Telecommunication Division) |
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Name : |
Mr. P V S Vara Prasad |
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Designation : |
Head (Control and
Instrumentation Division) |
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Name : |
Mr. A V Appa Rao |
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Designation : |
Head (Military Communication Systems Division) |
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Name : |
Mr. A Bhattacharjee |
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Designation : |
Head (Customer Support Division) |
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Name : |
Mr. K S Sheshadri |
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Designation : |
Head (Business Systems Division) |
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Name : |
Mr. R Mahendran |
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Designation : |
Head (Servo Systems Division) |
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Name : |
Mr. Ch Mohan Rao |
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Designation : |
Head, Human Resources |
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Name : |
Mr. M Badrinarayana |
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Designation : |
Head (Information Technology Services Division) |
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Name : |
Mr. M P Ramesh Kumar |
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Designation : |
Head (Strategic Electronics Division) |
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Name : |
Mr. Ramesh Aminha |
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Designation : |
Head (Personnel and
Administration) |
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Name : |
Mr. V Kiran Chand |
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Designation : |
Head (Antenna Products and
Satcom Division) |
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Name : |
Mr. L Vasudeva Murthy |
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Designation : |
Head (Computer Education Division) |
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Name : |
Mr. P Suryakanth |
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Designation : |
Office Head (Corporate Planning and
Projects Monitoring) |
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Name : |
Mr. S Krishna |
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Designation : |
Office Head (Corporate Business Development Group) |
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Name : |
Mr. Jai Bhagwan Sharma |
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Designation : |
Company Secretary |
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Name : |
Mr. T V S Kishore Kumar |
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Designation : |
General Manager (West), Mumbai |
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Name : |
Mr. Sankar Dey |
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Designation : |
Zonal Manager (North), New Delhi |
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Name : |
Mr. Dilip Saha |
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Designation : |
Dy.Zonal Manager (East), Kolkata |
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Name : |
Mr. D R Venkatasubbu |
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Designation : |
Dy.Zonal Manager (South), Bangalore and Chennai |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 18.09.2009
|
Names of Shareholders |
|
No. of Shares |
|
President of |
|
1633709 |
|
Y.S. Mayya |
|
1 |
|
Revathy Iyer |
|
1 |
|
Kakodakar Anil |
|
1 |
|
Total |
|
1633712 |
Equity Share Breakup (Percentage of Total Equity)
As on 18.09.2009
|
Equity Share Breakup |
|
Percentage of Holding |
|
Category |
|
|
|
Government [Central and State] |
|
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Providing
Electronics Products and Services. |
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Products : |
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GENERAL INFORMATION
|
No. of Employees : |
3767 (Approximately) |
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Bankers : |
· Andhra Bank, R P Road Branch, Secunderabad – 500 003, Andhra Pradesh, India · State Bank of India (Lead Bank), Commercial Branch, Bank Street, Koli, Hyderabad – 500 095, Andhra Pradesh, India · State Bank of India - Lead Bank, 6-3-669, Panjagutta Main Road, Panjagutta, Hyderabad – 500 082, Andhra Pradesh, India · State Bank of Hyderabad · Bank of Maharashtra · Bank of Bahrain and Kuwait BSC · ICICI Bank Limited · Punjab National Bank |
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Facilities : |
Cash Credit is secured a) by way of hypothecation on all current assets of the Company viz., stocks, stores and spares not relating to Pand M (CSand S), bills eceivables and book debts and all other movable assets of the Company b ) Equitable Mortgage on the land situated at ECIL, Hyderabad to an extent of Ac278.05 gts and Ac 25.10 cents located at YerramReddy Palem, Renigunta Mandal, Chittoor Dt.
|
|
Banking
Relations : |
-- |
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Auditors : |
|
|
Name : |
M/s Umamaheswara Rao and Company Chartered Accountants |
|
Address : |
Flat No. 5-H, D Block 8, 3-324, Krishna Apartment, Yallareddyguda
Lane, Ameerpet “x” Road, Hyderabad 500073, |
|
Tel. No. : |
91-40-23751833 |
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Fax No. : |
91-40-23751823 |
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E-mail : |
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Joint Venture
Company : |
ECIL- Rapiscan Limited |
CAPITAL STRUCTURE
As on 25.09.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
2000000 |
Equity Shares |
Rs.1000/- each |
Rs.2000.000 Millions |
|
|
|
|
|
Issued, Subscribed and Paid-up
Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1633712 |
Equity Shares |
Rs.1000/-
each |
Rs.1633.712
Million |
|
|
|
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|
A )
Reconciliation Of No. of Equity Shares Outstanding At The Beginning
And At The End Of The Year: |
31.03.2013 |
31.03.2012 |
|
Shares outstanding at the beginning of the year |
1633712 |
1633712 |
|
Add: No.of shares allotted as fully paid up bonus shares during the year |
- |
|
|
No.of shares allotted during the year as fully paid up pursuant to a
contract without payment being received in cash |
- |
|
|
No.of shares allotted to employees pursuant to ESOPs/ ESPs |
|
|
|
No.of shares allotted for cash pursuant to public issue. |
1633712 |
1633712 |
|
Less: |
|
|
|
1 No.of shares bought back during the year |
0 |
0 |
|
No. of Shares outstanding
at the end of the year |
1633712 |
1633712 |
|
|
|
|
|
B) No.of Shares
held by each shareholder holding more than 5% shares
in the Company: |
|
|
|
Name of the Shareholder |
President of India |
President of India |
|
No.of shares held in the company |
1633712 |
1633712 |
|
Percentage of shares held |
100% |
100% |
|
|
|
|
|
C) Aggregate
number of bonus shares issued, shares issued consideration other than cash and
shares bought back during the period of five years immediately preceding the
reporting date: |
NIL |
NIL |
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 |
1633.712 |
1633.712 |
1633.712 |
|
(b) Reserves & Surplus |
4863.783 |
4686.938 |
4429.877 |
|
(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) |
6497.495 |
6320.650 |
6063.589 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term liabilities |
1604.297 |
957.760 |
595.656 |
|
(d) long-term provisions |
401.952 |
325.259 |
311.413 |
|
Total Non-current Liabilities (3) |
2006.249 |
1283.019 |
907.069 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
3500.000 |
2701.597 |
3391.642 |
|
(b) Trade payables |
3635.682 |
3556.246 |
2361.174 |
|
(c) Other current
liabilities |
7099.438 |
7379.102 |
5813.287 |
|
(d) Short-term provisions |
633.183 |
679.717 |
758.413 |
|
Total Current Liabilities (4) |
14868.303 |
14316.662 |
12324.516 |
|
|
|
|
|
|
TOTAL |
23372.047 |
21920.331 |
19295.174 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
1161.493 |
1084.568 |
985.893 |
|
(ii) Intangible Assets |
123.200 |
0.000 |
0.000 |
|
(iii) Capital
work-in-progress |
194.789 |
196.975 |
227.588 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
16.464 |
16.464 |
16.464 |
|
(c) Deferred tax assets (net) |
291.264 |
249.103 |
410.324 |
|
(d) Long-term Loan and Advances |
626.176 |
614.299 |
289.168 |
|
(e) Other Non-current assets |
3757.282 |
2259.616 |
747.365 |
|
Total Non-Current Assets |
6170.668 |
4421.025 |
2676.802 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
1617.134 |
1983.993 |
1566.079 |
|
(c) Trade receivables |
9144.044 |
8019.000 |
7359.226 |
|
(d) Cash and cash
equivalents |
3194.367 |
3090.990 |
2779.968 |
|
(e) Short-term loans and
advances |
1536.775 |
1365.532 |
1344.886 |
|
(f) Other current assets |
1709.059 |
3039.791 |
3568.213 |
|
Total Current Assets |
17201.379 |
17499.306 |
16618.372 |
|
|
|
|
|
|
TOTAL |
23372.047 |
21920.331 |
19295.174 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
16778.796 |
14170.143 |
12660.603 |
|
|
|
Other Income |
424.803 |
435.244 |
305.140 |
|
|
|
TOTAL (A) |
17203.599 |
14605.387 |
12965.743 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
10622.309 |
9111.927 |
7282.814 |
|
|
|
Prior
Period Items |
846.655 |
265.447 |
95.273 |
|
|
|
Exceptional Items : Income / (Expenditure) |
(129.043) |
(194.172) |
5.256 |
|
|
|
Changes in inventories of finished goods, work-in-progress and
Stock-in-Trade |
(0.143) |
(246.438) |
396.100 |
|
|
|
Employees benefits expense |
3650.837 |
3575.541 |
3549.641 |
|
|
|
Other expenses |
1309.638 |
1029.658 |
1039.950 |
|
|
|
TOTAL (B) |
16300.253 |
13541.963 |
12369.034 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
903.346 |
1063.424 |
596.709 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
411.101 |
413.134 |
284.857 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
492.245 |
650.290 |
311.852 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
182.641 |
96.030 |
88.184 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
309.604 |
554.260 |
223.668 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
50.804 |
188.158 |
(4.975) |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
258.800 |
366.102 |
228.643 |
|
|
|
|
|
|
|
|
|
|
Earnings Per Share
(Rs.) |
158.41 |
224.09 |
139.95 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
1.50 |
2.51 |
1.76 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
1.85 |
3.91 |
1.77 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
1.35 |
2.58 |
1.20 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.05 |
0.09 |
0.04 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.54 |
0.43 |
0.56 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.16 |
1.22 |
1.35 |
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 |
1633.712 |
1633.712 |
1633.712 |
|
Reserves & Surplus |
4429.877 |
4686.938 |
4863.783 |
|
Net
worth |
6063.589 |
6320.650 |
6497.495 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
0.000 |
0.000 |
|
Short term borrowings |
3391.642 |
2701.597 |
3500.000 |
|
Total
borrowings |
3391.642 |
2701.597 |
3500.000 |
|
Debt/Equity
ratio |
0.559 |
0.427 |
0.539 |
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 |
12660.603 |
14170.143 |
16778.796 |
|
|
|
11.923 |
18.410 |
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 |
12660.603 |
14170.143 |
16778.796 |
|
Profit |
228.643 |
366.102 |
258.800 |
|
|
1.81% |
2.58% |
1.54% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info
Agents |
Available in Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
No |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
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 |
No |
|
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 LOANS
|
Particulars |
31.03.2013 Rs. In Millions |
31.03.2012 Rs. In Millions |
|
Short Term Borrowings |
|
|
|
OTHER |
|
|
|
From Bank |
|
|
|
Term
Loans |
2500.00 |
1000.000 |
|
Total |
2500.00 |
1000.000 |
FINANCIAL HIGHLIGHTS
During the year, the company witnessed a growth of 17.30% in turnover and earned profit before prior period item Rs.1027.200 Millions (previous year Rs.625.500 Millions). However, there is decrease of 43.64% in profit before tax over the previous year. The decline in the profit for the Financial year 2012-13 was mainly due to amortization of entire balance amount of gratuity of Rs.804.000 Millions being prior period item. The improved financial performance has been achieved through increase in turnover along with savings in costs.
NEW PRODUCTS
INTRODUCED
The new products introduced during the year cover the major sectors in which the company operates viz. nuclear, defence, security, aerospace. Some of the new products introduced during the year include MPROGICON PLC, BF3 based Drum Monitors, 0.7M Airborne SATCOM Antenna, Digital Notch Indicators, T-90 Trigger, Secure Network Access System and Digital Signal Processor based Machine Protection System. Details of new products introduced during the year is part of the annexure attached along with this report.
MANAGEMENT DISCUSSION
AND ANALYSIS
Industry Structure
and Developments
The year gone by has been a challenging year
with unprecedented economic uncertainty in the world and a slowing down of economic
growth across Asia. The country’s GDP growth decelerated to a 10 year low of 5%
during 2012-13 on the back of dismal performance by all sectors with a
contraction in the capital goods output.
Delays in decision making, hurdles in
clearance of projects and lack of investments had dampened optimism in the
industry negatively impacting the overall market, in general, and strategic
electronics market, in particular. The strict control exercised by the
government on plan expenditure to address concerns relating to the current
account deficit also led to delay in procurement decisions leading to
sluggishness in order booking.
The performance of the company may be
considered satisfactory during the year being reported and seen in the face of
difficult and trying conditions in a contracted market for the company’s
products and services. Not with standing, the company performed very well and
achieved its highest turnover.
OUTLOOK FOR 2013-14
The company is confident of meeting its
turnover target of Rs.18000.000 Millions for 2013-14
despite the order book position not being robust enough as there are several
promising opportunities which have the potential to contribute significantly to
this year’s turnover. The major opportunities include the new version of
Electronic Voting Machines, Communication Radios, Jammers, Nuclear
Instrumentation for 700MW power plants, Phase IV of the Integrated Security
System for Delhi Police, CBRN Protection system, Electronic Fuzes and Radiation
Detection Equipment for Airports. The company believes that the materialization
of these opportunities into orders would not only enable the company to meet
its turnover target for this year but also contribute significantly to
targeting and achieving a much higher turnover in the next year.
SEGMENT-WISE PERFORMANCE AND OUTLOOK
Nuclear
The nuclear business of the company comprises
of the control and instrumentation systems, simulators, nuclear and radiation
instruments and monitoring systems for nuclear power plants and the complete fuel
cycle including ore processing, fuel fabrication, spent fuel reprocessing and
waste immobilization plants. It also caters to the control and instrumentation
requirements of allied nuclear plants, thermal power plants and process
industries. During the year, this segment posted a turnover of Rs. 2780.000
crores with major contributions coming from instrumentation and control systems
for PFBR, 700MW prototype plant and Kudankulam, and radiation detection
equipment for various seaports.
The company was formed primarily to meet the
control and instrumentation requirements of the nuclear power and allied
programs and this business has earlier been forming a significant part of the
company’s turnover. However, the share of the nuclear sector in the overall business
of the company has been declining and has come down to around 17% last year.
The increased emphasis on nuclear power generation with a number of power
plants coming up based on indigenous technology, apart from those with foreign
technology have opened up a huge opportunity for the company. However, the
company as to contend with headwinds due to the opening up of the nuclear
control and instrumentation business to competition and the entry of other
public and private companies in an area which has, in the past, been an
exclusive preserve of the company. The recent decision of NPCIL to award the
nuclear instrumentation package for four units of 700MW to the company portends
a good augury and might turn out to be a forerunner to the company regaining its
pre-eminent position in the nuclear control and instrumentation market.
Defense
The defence business of the company comprises of communication systems, electronic warfare systems, communication intelligence systems, C4I systems for various missiles and electronic fuzes for artillery. This segment has been the largest contributor to the company’s turnover in the recent past. In the year gone by, this sector contributed 26% of the company’s annual turnover with major contributions coming from C4I systems for BrahMos and Akash missiles, communication jammers, radios and electronic fuzes. While the defence budget continues to increase, the new Defence Procurement Policy (DPP) providing greater participation to private companies and the increasing interest shown by global defence manufacturers to compete for business pose new
challenges. Further, the lack of a level playing field with respect to defence public sector undertakings continues to hamper the company’s efforts to play an even greater role in this sector. However, the defence segment will continue to contribute about 25% to the company’s turnover in the years to come.
Security
The security business suite of the company comprises of the integrated security system for comprises of the integrated security system for surveillance and access control and the information security suite comprising of ECR series routers and Secure Network Access Systems and MPROGICON series Programmable Logic Controllers with the planned addition of new products like Integrated Management Threat Appliance (ITMA).
The homeland security business has been playing an increasingly important role in the company’s turnover and has contributed to about 12% to the company’s turnover in 2012-13.The company has, during the year, implemented security systems for the Indian Embassy at Kabul and at several important establishments including Delhi High Court. The company has also completed the Phase I of the video surveillance system for Delhi Police and has made significant progress in the implementation of Phase II and Phase III. The company is expecting to receive the order for the Phase IV implementation. The business outlook for homeland security is likely to be very bright for several years to come.
Information security has become an important
issue as cyber-threats are increasing manifold with each passing day. The
company has introduced three products to address concerns on this score. The
MPROGICON programmable logic controller address the need of the country’s
strategic community for a secure industrial controller. The ECR series
router-switches brought out by the company based on the technology developed by
IIT Bombay address the need for a secure router for managing the data and other
traffic across public networks. Further, the Secure Network Access System
(SNAS), a product developed based on the technology developed at Bhabha Atomic
Research Centre (BARC) address the security needs of corporate networks. The
company expects these products to play an increasingly important part in the
turnover of the company in the years to come including 2013-14.
Aerospace
The major products of the company catering to
the aerospace segment include earth station and other antennas, cockpit voice
recorders and electromechanical sub-systems like gyros, synchros and actuators.
In the year gone by, the company has successfully completed the supply,
installation and commissioning of a Ground Station for the Earth Observation
Satellite at Antarctica in the shortest possible time for National Remote
Sensing Centre in 2012-13. The outlook for this segment is expected to improve
in the coming years due to increase in requirements of antennas, cockpit voice
recorders and actuators for unmanned aerial vehicles.
E-Governance
The company has been playing a stellar role in e- Governance computerising operations in areas which involve the interaction of the common public with the Government such as Sales Tax administration and motor vehicle licensing. In addition, the company is a member of the consortium implementing the National Population Register (NPR) and Socio-Economic Caste Census (SECC) projects. The e-Governance segment contributed to about 30% of the company’s turnover in 2012-13 and is expected to maintain its share in 2013-14. While the SECC project is nearing completion and may not contribute significantly to this year’s turnover, the NPR project is expected to make a significant impact. Electronic Voting Machines (EVM) will plaan important role in the turnover for 2013-14 as there is a large requirement of these machines for the upcoming Lok Sabha elections in 2014.
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge
Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request Number
(SRN) |
|
1 |
10149562 |
26/03/2009 |
700,000,000.00 |
ANDHRA BANK |
R.P.ROAD BRANCH, SECUNDERABAD, ANDHRA PRADESH - 50 |
A59169730 |
|
2 |
10126001 |
07/06/2010 * |
5,500,000,000.00 |
STATE BANK OF INDIA - LEAD BANK |
6-3-669, PANJAGUTTA MAIN ROAD,, PANJAGUTTA, HYDER |
A90592114 |
|
3 |
90262743 |
25/07/2005 |
100,000,000.00 |
ICICI BANK LIMITED. |
ICICI BANK TOWER, LEVEL - 1; 1 - 11 - 256; BEGUMP |
- |
|
4 |
90262571 |
02/12/2004 |
500,000,000.00 |
STATE BANK OF HYDERABAD |
KUSAIGARH BRANCH, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
5 |
90262403 |
17/01/2004 |
1,580,000,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH, BANK STREET; KOTI, HYDERABAD, |
- |
|
6 |
90262322 |
10/07/2003 |
500,000,000.00 |
ICICI BANK LIMITED. |
ICICI BANK TOWER, BEGUMPET, HYDERABAD, ANDHRA PRA |
- |
|
7 |
90262199 |
25/09/2002 |
8,110,000,000.00 |
ICICI BANK LIMITED. |
6 - 2 - 1012; KHIRATABAD, HYDERABAD, ANDHRA PRADES |
- |
|
8 |
90262010 |
31/01/2001 |
30,670,000.00 |
BANK OF BAHRAIN AND KUWAIT B.S.C. |
6 - 3 - 550; AKASHGANGA, SOMAJIGUDA BRANCH, HYDER |
- |
|
9 |
90261844 |
08/12/1999 |
150,000,000.00 |
BANK OF SAURASHTRA |
SULTAN BAZAR BRANCH, H. NO - 4 - 3 - 379; BANK ST |
- |
|
10 |
90261828 |
23/10/1999 |
15,000,000.00 |
STATE BANK OF INDIA |
KUSHAIGUDA BRANCH, HYDERABAD, ANDHRA PRADESH, INDI |
- |
|
11 |
90261794 |
15/07/1999 |
15,400,000.00 |
TECHNOLOGY DEVELOPMENT BOARD DEPT. |
TECHNOLOGY BHAWAN, NEW MAHRAULI ROAD, NEW DELHI, |
- |
|
12 |
90261785 |
07/06/1999 |
142,500,000.00 |
BANK OF BAHRAIN AND KUWAIT B.S.C. |
6 - 3 - 550; AKASHGANGA, SOMAJIGUDA BRANCH, HYDER |
- |
|
13 |
90261692 |
24/09/1998 |
149,000,000.00 |
IDBI BANK LIMITED. |
5 - 9 - 89/1 AND 2; CHAPEL ROAD, PB NO - 370, HYDE |
- |
|
14 |
90258402 |
26/03/2003 * |
1,570,500,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH, HYDERABAD, ANDHRA PRADESH - 500 |
- |
|
15 |
90261640 |
20/01/2003 * |
1,570,500,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH, HYDERABAD, ANDHRA PRADESH - 500 |
- |
|
16 |
90261611 |
03/03/1998 |
47,000,000.00 |
BANK OF BAHRAIN AND KUWAIT B.S.C. |
6 - 3 - 550; AKASHGANGA, SOMAJIGUDA BRANCH, HYDER |
- |
|
17 |
90261568 |
19/11/1997 |
90,000,000.00 |
BANK OF BAHRAIN AND KUWAIT B.S.C. |
6 - 3 - 550; AKASHGANGA, SOMAJIGUDA BRANCH, HYDER |
- |
|
18 |
90261556 |
01/10/1997 |
20,000,000.00 |
BANK OF BAHRAIN AND KUWAIT B.S.C. |
6 - 3 - 550; AKASHGANGA, SOMAJIGUDA BRANCH, HYDER |
- |
|
19 |
90261530 |
16/07/1997 |
30,000,000.00 |
SAURASHTRA BANK |
HYDERABAD BRANCH, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
20 |
90258298 |
17/05/1997 |
82,000,000.00 |
BANK OF BAHRAIN AND KUWAIT B.S.C. |
6 - 3 - 550; AKASHGANGA, SOMAJIGUDA BRANCH, HYDER |
- |
|
21 |
90261505 |
15/09/1997 * |
82,000,000.00 |
BANK OF BAHRAIN AND KUWAIT B.S.C. |
6 - 3 - 550; AKASHGANGA, SOMAJIGUDA BRANCH, HYDER |
- |
|
22 |
90261494 |
25/04/1997 |
37,300,000.00 |
ANDHRA BANK |
RP ROAD, SECUNDRABAD, ANDHRA PRADESH, INDIA |
- |
|
23 |
90261445 |
16/01/1997 |
20,000,000.00 |
ANDHRA BANK |
RP ROAD BRANCH, SECUNDRABAD, ANDHRA PRADESH, INDIA |
- |
|
24 |
90261236 |
06/06/1995 |
7,500,000.00 |
STATE BANK OF HYDERABAD |
KUSAIGUDA BRANCH, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
25 |
90261234 |
29/05/1995 |
7,500,000.00 |
BANK OF MAHARASHTRA |
SULTAN BAZAR, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
26 |
90261207 |
27/03/1995 |
10,000,000.00 |
ANDHRA BANK |
RP ROAD BRANCH, SECUNDRABAD, ANDHRA PRADESH, INDIA |
- |
|
27 |
90261146 |
08/03/1997 * |
1,558,000,000.00 |
STATE BANK OF HYDERABAD |
KUSAIGUDA BRANCH, HYDERABAD, ANDHRA PRADESH - 5003 |
- |
|
28 |
90261128 |
24/08/1994 |
83,800,000.00 |
STATE BANK OF HYDERABAD |
KUSAIGUDA BRANCH, HYDERABAD, ANDHRA PRADESH - 5007 |
- |
|
29 |
90261125 |
05/08/1994 |
88,200,000.00 |
BANK OF SAURASHTRA |
SULTAN BAZAR, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
30 |
90260834 |
26/07/1990 |
750,000,000.00 |
S.B.I. |
BANK STREET, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
31 |
90260731 |
23/11/1989 * |
70,000,000.00 |
PUNJAB NATIONAL BANK |
BANK STREET, `, HYDERABAD, ANDHRA PRADESH - 50000 |
- |
|
32 |
90257433 |
24/10/1986 |
42,900,000.00 |
STATE BANK OF INDIA |
BANK STREET, HYDERABAD, ANDHRA PRADESH - 500001, I |
- |
|
33 |
90260573 |
26/07/1990 * |
224,000,000.00 |
PUNJAB NATIONAL BANK |
BANK STREET, `, HYDERABAD, ANDHRA PRADESH - 50000 |
- |
|
34 |
90260567 |
02/03/1984 |
15,000,000.00 |
STATE BANK OF INDIA |
HYDERABAD BRANCH, MAIN BRANCH BANK STREET, HYDERA |
- |
|
35 |
90260529 |
20/01/1983 |
1,000,000.00 |
STATE BANK OF INDIA |
HYDERABAD BRANCH, MAIN BRANCH, HYDERABAD, ANDHRA |
- |
|
36 |
90260492 |
29/02/1980 |
150,000,000.00 |
STATE BANK OF INDIA |
BANK STREET, HYDERABAD, ANDHRA PRADESH - 500001, I |
- |
|
37 |
90260472 |
23/02/1977 |
5,000,000.00 |
DENA BANK |
MG ROAD, SECUNDRABAD, ANDHRA PRADESH, INDIA |
- |
|
38 |
90260468 |
11/03/1976 |
5,000,000.00 |
DENA BANK |
SECUNDRABAD BRANCH, SECUNDRABAD, ANDHRA PRADESH, I |
- |
|
39 |
90260466 |
29/03/1975 |
10,000,000.00 |
PUNJAB NATIONAL BANK |
HYDERABAD BRANCH, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
40 |
90260446 |
24/07/1971 |
3,000,000.00 |
STATE BANK OF INDIA |
HYDERABAD BRANCH, HYDERABAD, ANDHRA PRADESH, INDIA |
- |
|
41 |
90260437 |
07/12/1968 |
2,500,000.00 |
STATE BANK OF INDIA |
HYDERABAD, HYDERABAD, ANDHRA PRADESH - 500001, IND |
- |
* Date of charge modification
FIXED ASSETS:
·
·
Development of Land
·
Roads, Bridges and
Culverts
·
·
Administration and Other
Building
·
Research and Development
Plant and Machinery
·
Electronic Testing and
Measuring Equipments
·
Computer Systems Hired
out to Customers
·
Air Conditioner
·
Vehicle
·
Furniture, Fittings and
Other Equipments
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources including
but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.61 |
|
|
1 |
Rs. 100.48 |
|
Euro |
1 |
Rs.79.56 |
INFORMATION DETAILS
|
Information Gathered
by : |
DIV |
|
|
|
|
Analysis Done by
: |
NYA |
|
|
|
|
Report Prepared
by : |
NTH |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
7 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILIRY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
7 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
66 |
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.