MIRA
INFORM REPORT
|
Report Date : |
03.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
GRAVITA INDIA LIMITED |
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Registered
Office : |
‘Saurabh’, Harsulia Mod, P. O. Harsulia, Diggi-Malpura Road, Tehsil
Phagi-303904, Rajasthan |
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Country : |
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Financials (as
on) : |
31.03.2014 |
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Date of
Incorporation : |
04.08.1992 |
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Com. Reg. No.: |
17-006870 |
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Capital
Investment / Paid-up Capital : |
Rs. 136.350 Millions |
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CIN No.: [Company Identification
No.] |
L29308RJ1992PLC006870 |
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|
TAN No.: [Tax Deduction &
Collection Account No.] |
JPRG00562C |
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PAN No.: [Permanent Account No.] |
AAACG6753F |
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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
: |
Manufacturer of Lead Metal, Specific Lead alloys, Lead oxides, Lead sheet and Lead Powder. |
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No. of Employees
: |
300 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (49) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having satisfactory track record. Rating reflects sound financial risk profile marked by strong
liquidity position. Trade relations are reported to be fair. Business is active. Payments
are reported to be usually correct. The company can be considered for business dealing 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 |
|
High |
B2 |
|
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 that 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 |
CARE |
|
Rating |
BBB (Long Term Bank Facilities) Suspended |
|
Rating Explanation |
Moderate degree of safety and moderate
credit risk. |
|
Date |
August 02, 2013 |
|
Rating Agency Name |
CARE |
|
Rating |
A2 (Short Term Bank Facilities) |
|
Rating Explanation |
Strong degree of safety and high credit
risk. |
|
Date |
August 02, 2013 |
Reason of Suspension: The Company has not
furnished the information.
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 PARTED BY (GENERAL DETAILS)
|
Name : |
Mr. Ghanshyam Sharma |
|
Designation : |
Account Head |
|
Contact No.: |
91-141-2623266 |
|
Date : |
05.07.2014 |
LOCATIONS
|
Registered Office/ Factory 1 : |
‘Saurabh’, Harsulia Mod, P. O. Harsulia, Diggi-Malpura Road, Tehsil
Phagi - 303904, Rajasthan, India |
|
Tel. No.: |
91-141-2621046 |
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Fax No.: |
91-141-2621491 |
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E-Mail : |
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Website : |
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Corporate Office : |
402, Gravita Tower A-27-B, Shanti Path Tilak Nagar, Jaipur - 302004, Rajasthan, India |
|
Tel. No.: |
91-141- 2623266/ 2622697 |
|
Fax No.: |
91-141-2621491 |
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Factory 2 : |
Plot No. 322, Mithirohar Industrial Estate, Mithirohar, Taluka Gandhidham, Gujarat, India |
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Factory 3 : |
Plot No. PA-011-006, Mahindra SEZ, Village Kalwara, Tehsil Sanganer, District Jaipur, Rajasthan, India |
DIRECTORS
As on 31.03.2014
|
Name : |
Dr. Mahavir Prasad Agarwal |
|
Designation : |
Chairman and Whole Time Director |
|
Date of Birth/Age : |
01.03.1934 |
|
Qualification : |
M.B.B.S |
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Date of Appointment : |
27.03.2007 |
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|
Name : |
Mr. Rajat Agarwal |
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Designation : |
Managing Director |
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Date of Birth/Age : |
47 Years |
|
Qualification : |
B.E. (Mechanical) |
|
Experience : |
21
Years |
|
Date of Appointment : |
04.08.1992 |
|
|
|
|
Name : |
Mr. Rajeev Surana |
|
Designation : |
Whole Time Director |
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|
Name : |
Mr. Dinesh Kumar Govil |
|
Designation : |
Director |
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|
Name : |
Mr. Yogesh Mohan Kharbanda |
|
Designation : |
Director |
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|
Name : |
Mr. Arun Kumar Gupta |
|
Designation : |
Director |
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Date of Birth/Age : |
30.06.1944 |
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Qualification : |
Engineering Graduate |
|
Date of Appointment : |
11.08.2009 |
KEY EXECUTIVES
|
Name : |
Mr. Ghanshyam Sharma |
|
Designation : |
Account Head |
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|
Name : |
Leena Jain |
|
Designation : |
Company Secretary |
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|
Name : |
Mr. Naveen Prakash Sharma |
|
Designation : |
President and Chief Executive Officer |
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|
Name : |
Mr. Vijendra Singh Tanwar |
|
Designation : |
Director- New Business Development |
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Name : |
Mr. Vijay Pareek |
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Designation : |
Vice President (Sales and Marketing) |
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|
Name : |
Mr. Yogesh Malhotra |
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Designation : |
Vice President (Operations) |
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Name : |
Mr. Sandeep Choudhary |
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Designation : |
Vice President (Imports) |
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Name : |
Mr. Sanjay Singh Baid |
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Designation : |
Vice President (Procurement) |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.06.2014
|
Names of Shareholders |
No. of Shares |
Shareholding
as a % |
|
(A) Shareholding of Promoter
and Promoter Group |
|
|
|
|
|
|
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|
50056000 |
73.42 |
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|
50056000 |
73.42 |
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|
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|
Total shareholding of Promoter
and Promoter Group (A) |
50056000 |
73.42 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
5227398 |
7.67 |
|
|
5227398 |
7.67 |
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|
|
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|
|
5363057 |
7.87 |
|
|
|
|
|
|
1647402 |
2.42 |
|
|
5538574 |
8.12 |
|
|
342735 |
0.50 |
|
|
266823 |
0.39 |
|
|
75912 |
0.11 |
|
|
12891768 |
18.91 |
|
Total Public shareholding (B) |
18119166 |
26.58 |
|
Total (A)+(B) |
68175166 |
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) |
68175166 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of Lead Metal, Specific Lead alloys, Lead oxides, Lead sheet and Lead Powder. |
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Exports : |
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Products : |
Finished Goods |
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Countries : |
· African Countries UAE |
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Imports : |
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Products : |
Raw Material |
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Countries : |
Africa |
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Terms : |
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Selling : |
L/C, Cheque and Credit |
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Purchasing : |
L/C, Cheque and Credit |
GENERAL INFORMATION
|
No. of Employees : |
300 (Approximately) |
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Bankers : |
·
State
Bank of India IDBI
Bank Limited AXIS
Bank Limited Punjab
National Bank |
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Facilities : |
NOTES: LONG TERM BORROWINGS #
Term loans from banks carry interest ranging from 7.93% p.a. to 10.82% p.a.
The loans are secured by way of hypothecation of vehicles and repayable in
equal monthly installments over a period of 3 to 5 years. ##
Term loans from others represent loans from Export Import Bank of India which
carries interest ranging from 6 months USD LIBOR+5% p.a. to LIBOR+6% p.a. The
loans are repayable in 18/20 equal quarterly installments as per the due
dates speciied in the respective loan agreements. Loans are secured /to be
secured by way of the following: (a)
Pledge of liquid investments in ixed deposits. (b)
Second charge on entire current assets and ixed assets including immovable
property of the Company except immovable property situated at Plot No. P.A.
011-066, Light Engineering Zone, Mahindra World, City -SEZ, Jaipur. (c)
Pledge of shares of Gravita Ghana Limited and Gravita Senegal SAU (pending to
be secured). (d)
Mortgage of immovable property owned by Managing Director Mr. Rajat Agrawal. (e)
Extension of charge on the ixed assets including immovable property situated
at Plot No. P.A. 011-066, Light Engineering Zone, Mahindra World, City - SEZ,
Jaipur. (f)
Corporate guarantee of M/s Gravita Infotech (formerly known as M/s Gravita
Technomech). (g)
Personal guarantee of Managing Director Mr. Rajat Agrawal. (h)
Mortgage of immovable property Plot No. P.A. 011-066, Light Engineering Zone,
Mahindra World City - SEZ, Jaipur. SHORT TERM
BORROWINGS #
Loans repayable on demand are secured by way of: (a)
First pari-passu charge on entire current assets of the Company (both present
and future), (b)
First pari-passu charge on the following ixed assets of the Company: (i)
Flat no. 302, 401, 403 in Gravita Tower, A-27-B, Tilak Nagar, Shanti Path,
Jaipur. (ii)
Land and building at Jai Chand ka Bas, Diggi Malpura Road, Phagi, Jaipur. (c)
First pari-passu charge on the following other assets: (i)
Land and house at 3/90, HIG, Mansarovar, Jaipur of Gravita Impex Private
Limited (related party). (ii)
Flat no. 203 in Gravita Tower, A-27-B, Tilak Nagar, Shanti Path, Jaipur of
Managing Director Mr. Rajat Agrawal. (d)
Personal guarantee of Managing Director Mr. Rajat Agrawal (e)
Corporate guarantee of M/s Gravita Impex Private Limited (related party). |
|
Banking
Relations : |
-- |
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|
Statutory Auditors : |
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|
|
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|
Name : |
Deloitte Haskins and Sells Chartered Accountants |
|
Address : |
7th
Floor, Building No. 10, Tower B, DLF Cyber City Complex, DLF Phase II,
Gurgaon –
122002, Haryana, India |
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Website: |
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Internal Auditors : |
|
|
|
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|
Name : |
Ernst and Young LLP Chartered Accountants |
|
Address : |
Golf View Corporate Tower B, Sector 42, Sector Road, Gurgaon - 122002, Haryana, India |
|
Website: |
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Cost Auditors : |
|
|
|
|
|
Name : |
K.G. Goyal and Associates Cost Accountants |
|
Address : |
289, Mahaveer Nagar-II, Maharani Farms, Durgapura, Jaipur – 302018, Rajasthan, India |
|
|
|
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Subsidiaries : |
·
Gravita
Exim Limited, India Gravita
Ghana Limited, Ghana Gravita
Mozambique LDA, Mozambique Gravita
Energy Limited, India Gravita
Infra Private Limited, India Noble
Build Estate Private Limited, India Gravita
Global Pte Limited, Singapore Navam
Lanka Limited, Srilanka Gravita
Netherlands BV, Netherlands Gravita
Senegal SAU, Senegal Gravita
Nicaragua SA, Nicaragua Gravita
Trinidad and Tobago Limited, Trinidad and Tobago |
|
|
|
|
Associates : |
·
Pearl
Landcon Private Limited, India Gravita
Honduras SA DE CV (ceased to be an associate w.e.f. September 25, 2012),
Honduras |
|
|
|
|
Partnership Firms : |
·
Gravita
Metals, India Gravita
Metal Inc, India Gravita
Infotech, India (Formerly known as Gravita Technomech) |
|
|
|
|
Limited liability
partnership firm : |
Gravita
Technomech LLP, India (dissolved w.e.f. 8th August 2013) |
|
|
|
|
Enterprises having common
key management personnel and/or their relatives : |
·
Gravita
Impex Private Limited Saurabh
Farms Limited Shah
Buildcon Private Limited Jalousies
India Private Limited Surana
Professional Services Private Limited R.Surana
and Company Surana
Associates |
CAPITAL STRUCTURE
As on 31.03.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
75,000,000 |
Equity Shares |
Rs. 2/- each |
Rs. 150.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
68,175,166 |
Equity Shares |
Rs. 2/- each |
Rs. 136.350 Millions |
|
|
|
|
|
NOTES:
(a)
During
the previous year, the Company has sub-divided its 1 equity share of Rs. 10.00
each into 5 equity shares of Rs. 2.00 each vide its shareholders approval
through postal ballot on 11th May, 2012. Information relating to
shares/ share capital in notes below should be read after considering the
division of shares as explained herewith.
(b) Reconciliation of
the number of shares outstanding at the beginning and at the end of the year
|
Equity Shares |
As at 31st March 2014 |
|
|
Number of shares |
Rs. in Millions |
|
|
At the beginning of the year |
68,127,552 |
136.255 |
|
Add: Issued during the year - ESOP |
47,614 |
0.095 |
|
At the end of the year |
68,175,166 |
136.350 |
(c) Terms /Rights
attached to Equity Shares
The Company has only one class of shares referred to as equity shares having a face value of Rs. 2.00 per share (Rs. 2.00 per share). Each equity shareholder is entitled to one vote per share. The Company declares and pays dividends in Indian Rupees. The final dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in the case of interim dividend. In the event of liquidation of the Company, the holders of equity shares will be entitled to receive the remaining assets of the Company, after distribution of all preferential amounts.
(d) Aggregate number
of Bonus Shares issued during the period of ive years immediately preceding the
reporting date
During
the inancial year 2009-10, the Company has allotted 3,340,000 equity shares of
face value Rs.
10 each (one
fully paid bonus share against two fully paid equity shares) by capitalisation
of reserves amounting to Rs.33.400 Millions
|
Particular |
As at 31st March 2014 |
|
Equity shares with
voting rights |
|
|
Fully paid up by way of bonus shares (one fully paid bonus share of Rs. 2.00 per share against two fully paid of Rs. 2.00 per share) |
16,700,000 |
(e) Details of
shareholders holding more than 5% equity shares in the Company
|
Name of the
shareholders |
As at 31st March 2014 |
|
|
No. of
shares (Rs. 2.00
each fully paid up) |
% holding |
|
|
Rajat Agrawal |
32,677,725 |
47.93 |
|
Mahavir Prasad Agarwal |
13,673,325 |
20.06 |
|
Shashi Agarwal |
3,674,700 |
5.39 |
(f) Shares reserved for
issuance under Options
The
members of the Company at its Annual General Meeting held on 27th July 2011 had
approved the issue of Stock Options to eligible employees/directors of the
Company and its subsidiaries. Accordingly, the Board at their
meeting
held on August 10, 2011 approved the “Gravita
ESOP 2011”
Scheme. The Compensation Committee formed to govern the Gravita ESOP 2011
Scheme has approved first, second and third grant of options on 23rd September
2011, 5th July 2012 and 1st July 2013 respectively. Details are as follows:
|
Particulars |
First grant |
Second grant |
Third grant |
|
Grant date |
23rd September 2011 |
5th July 2012 |
1st July 2013 |
|
Grant
effective from |
1st October 2011 |
5th July 2012 |
1st July 2013 |
|
Exercisable
period |
5 years |
5 years |
5 years |
|
Option granted |
400,380 |
31,000 |
368,500 |
|
Exercise
price |
Rs. 2 Per Share |
Rs. 2 Per Share |
Rs. 2 Per Share |
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 |
136.350 |
136.255 |
136.200 |
|
(b) Reserves & Surplus |
727.713 |
635.757 |
512.700 |
|
(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) |
864.063 |
772.012 |
648.900 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
70.930 |
93.822 |
11.120 |
|
(b) Deferred tax liabilities (Net) |
12.491 |
10.831 |
7.684 |
|
(c) Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term provisions |
1.930 |
0.897 |
0.000 |
|
Total Non-current Liabilities (3) |
85.351 |
105.550 |
18.804 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
536.350 |
409.404 |
424.882 |
|
(b) Trade payables |
119.196 |
220.393 |
68.940 |
|
(c) Other current
liabilities |
129.568 |
86.446 |
24.844 |
|
(d) Short-term provisions |
39.732 |
23.911 |
47.528 |
|
Total Current Liabilities (4) |
824.846 |
740.154 |
566.194 |
|
|
|
|
|
|
TOTAL |
1774.260 |
1617.716 |
1233.898 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
412.740 |
115.960 |
114.079 |
|
(ii) Intangible Assets |
2.981 |
1.540 |
0.635 |
|
(iii) Capital
work-in-progress |
23.341 |
67.536 |
0.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
155.795 |
160.708 |
156.191 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
67.705 |
141.047 |
16.546 |
|
(e) Other Non-current assets |
71.063 |
64.467 |
126.852 |
|
Total Non-Current Assets |
733.625 |
551.258 |
414.303 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
61.468 |
246.892 |
241.889 |
|
(b) Inventories |
359.958 |
382.409 |
156.637 |
|
(c) Trade receivables |
352.099 |
225.641 |
285.774 |
|
(d) Cash and cash
equivalents |
10.639 |
13.729 |
16.758 |
|
(e) Short-term loans and
advances |
179.023 |
140.812 |
114.225 |
|
(f) Other current assets |
77.448 |
56.975 |
4.312 |
|
Total Current Assets |
1040.635 |
1066.458 |
819.595 |
|
|
|
|
|
|
TOTAL |
1774.260 |
1617.716 |
1233.898 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
3382.735 |
2564.203 |
2028.867 |
|
|
|
Other Income |
27.759 |
70.719 |
37.314 |
|
|
|
TOTAL (A) |
3410.494 |
2634.922 |
2066.181 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
1803.384 |
1004.626 |
681.102 |
|
|
|
Purchase of Stock-in-Trade (traded goods) |
1073.400 |
1410.333 |
1155.087 |
|
|
|
Change in Inventory of Finished Goods, Work-In-Progress
& Stock In Trade |
(16.464) |
(137.563) |
(8.982) |
|
|
|
Employee Benefits Expenses |
130.274 |
71.374 |
61.683 |
|
|
|
Other Expenses |
164.981 |
72.711 |
49.848 |
|
|
|
Exceptional Items |
0.000 |
(49.059) |
(3.218) |
|
|
|
Prior Period Items |
0.000 |
0.000 |
(0.126) |
|
|
|
TOTAL (B) |
3155.575 |
2372.422 |
1935.394 |
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION (A-B) (C) |
254.919 |
262.500 |
130.787 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
77.559 |
59.038 |
24.76 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
177.360 |
203.462 |
106.027 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
17.311 |
6.935 |
5.209 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX (E-F) (G) |
160.049 |
196.527 |
100.818 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
11.190 |
16.739 |
22.587 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX (G-H) (I) |
148.859 |
179.788 |
78.231 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of goods calculated on FOB basis |
1811.214 |
1147.112 |
1094.681 |
|
|
|
Interest Income |
8.783 |
6.264 |
0.000 |
|
|
|
Other Income |
0.974 |
31.246 |
3.911 |
|
|
|
Exceptional Items |
0.000 |
25.650 |
2.938 |
|
|
|
Expenses recovered |
0.000 |
0.858 |
0.000 |
|
|
TOTAL EARNINGS |
1820.971 |
1204.866 |
1101.530 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw material and consumables (including stock-in-transit) |
1326.448 |
638.884 |
-- |
|
|
|
Capital goods |
2.596 |
0.000 |
-- |
|
|
|
Material (including Stock-in-transit) |
-- |
-- |
870.840 |
|
|
TOTAL IMPORTS |
1329.044 |
638.884 |
870.840 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
|
|
|
|
|
|
Basic |
2.18 |
2.64 |
1.15 |
|
|
|
Diluted |
2.17 |
2.63 |
1.14 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2014 |
|
|
|
|
1st
Quarter |
|
Net Sales |
|
|
817.700 |
|
Total Expenditure |
|
|
794.900 |
|
PBIDT (Excl OI) |
|
|
22.800 |
|
Other Income |
|
|
8.600 |
|
Operating Profit |
|
|
31.400 |
|
Interest |
|
|
18.300 |
|
Exceptional Items |
|
|
0.000 |
|
PBDT |
|
|
13.100 |
|
Depreciation |
|
|
7.100 |
|
Profit Before Tax |
|
|
5.900 |
|
Tax |
|
|
(8.900) |
|
Provisions and
contingencies |
|
|
0.000 |
|
Profit After Tax |
|
|
14.900 |
|
Extraordinary
Items |
|
|
0.000 |
|
Prior Period
Expenses |
|
|
0.000 |
|
Other Adjustments |
|
|
0.000 |
|
Net Profit |
|
|
14.900 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
PAT / Total Income |
(%) |
4.36 |
6.82 |
3.79 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
4.73 |
7.66 |
4.97 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
10.03 |
14.14 |
9.35 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.19 |
0.25 |
0.16 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.70 |
0.65 |
0.67 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.26 |
1.44 |
1.45 |
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 |
136.200 |
136.255 |
136.350 |
|
Reserves & Surplus |
512.700 |
635.757 |
727.713 |
|
Net
worth |
648.900 |
772.012 |
864.063 |
|
|
|
|
|
|
long-term borrowings |
11.120 |
93.822 |
70.930 |
|
Short term borrowings |
424.882 |
409.404 |
536.350 |
|
Total
borrowings |
436.002 |
503.226 |
607.280 |
|
Debt/Equity
ratio |
0.672 |
0.652 |
0.703 |
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 |
2028.867 |
2564.203 |
3382.735 |
|
|
|
26.386 |
31.921 |
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 |
2028.867 |
2564.203 |
3382.735 |
|
Profit |
78.231 |
179.788 |
148.859 |
|
|
3.86% |
7.01% |
4.40% |
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 |
Yes |
|
10] |
Designation of contact
person |
Yes |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
----- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
Yes |
|
20] |
Export / Import details
(if applicable) |
Yes |
|
21] |
Market information |
----- |
|
22] |
Litigations that the firm
/ promoter involved in |
----- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
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 |
INDEX OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE
CREATION/MODIFICATION |
CHARGE AMOUNT
SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST
NUMBER (SRN) |
|
1 |
10442068 |
07/07/2014 * |
1,026,000,000.00 |
STATE BANK OF INDIA |
INDUSTRIAL FINANCE BRANCH, JAWAHAR VYAPAR BHAWAN, |
C14828198 |
|
2 |
10429974 |
11/05/2013 |
1,300,000.00 |
ICICI BANK LIMITED |
VIDEOCON TOWER, BLOACK E-1, JHANDE WALAN EXTENSIO |
B76477876 |
|
3 |
10432227 |
09/05/2013 |
50,000,000.00 |
THE JAMMU AND KASHMIR BANK LIMITED |
GANGYAL, GANGYAL, JAMMU AND KASHMIR - 180010, INDIA |
B77316032 |
|
4 |
10352563 |
21/11/2013 * |
177,550,000.00 |
EXPORT-IMPORT BANK OF INDIA |
CENTRE ONE BUILDING, FLOOR 21,, WORLD TRADE CENTR |
B93832376 |
|
5 |
10350984 |
22/08/2012 * |
227,500,000.00 |
THE JAMMU AND KASHMIR BANK LIMITED |
GANGYAL, GANGYAL, JAMMU AND KASHMIR - 180010, INDIA |
B58055237 |
* Date of charge modification
UNSECURED LOANS
|
PARTICULAR |
31.03.2014 (Rs.
In Millions) |
31.03.2013 (Rs.
In Millions) |
|
SHORT TERM
BORROWINGS |
|
|
|
Term loan from
banks Kotak Mahindra Bank Limited |
0.849 |
0.000 |
|
Total |
0.849 |
0.000 |
CORPORATE INFORMATION
The Company is a public company incorporated under the provisions of the Companies Act, 1956. Its business operations currently encompass three business areas – Lead processing, International Trade and dealings in Lead and Turn-key Lead Recycling projects. The Company carry out Smelting of Lead Battery Scrap / Lead Concentrate to produce Secondary Lead Metal, which is further transformed into Pure Lead, Speciic Lead Alloy, Lead Oxides (Lead Sub-Oxide, Red Lead, and Litharge) and Lead products like Lead Sheets, Lead Powder, Lead
Shot, etc. The Company has Lead processing unit at Jaipur (Rajasthan) and Bhuj (Gujarat) and Turn-key Lead Recycling unit at SEZ, Jaipur (Rajasthan).
MANAGEMENT DISCUSSION
AND ANALYSIS
OVERVIEW OF THE
GLOBAL ECONOMY
The
financial year 2013-14 witnessed a gradual recovery of the global economy,
although the pace has tended to be uneven and prone to uncertainties. At the
same time, there has been a distinct change in the pattern of the recovery.
While earlier it was fuelled by the emerging markets and developing economies,
the impetus to growth has come from the developed economies this year. The US
economy has performed encouragingly as evidenced by upbeat housing and
employment related data, although the Euro region showed signs of subdued
recovery. On the other hand, emerging markets like Brazil and India witnessed a
slowdown in economic growth. China, on the other hand, is focusing on a more
balanced growth strategy, which will augur well for the country, going forward.
Overall,
however, the growth in advanced economies is likely to result in greater export
oriented opportunities for emerging ones, thereby leading to a more balanced
scenario. The global economy is estimated to grow at an average rate of 3.7% in
2014 compared to the 3% growth rate recorded in 2013. At the same time,
emerging economies like China and India are also expected to grow owing to
structural policies supporting investments in those regions.
OVERVIEW OF THE
INDIAN ECONOMY
Although
the Indian economy progressed at a breakneck speed till a few years ago, the
pace of growth has been considerably slackened in recent years. In fact, the
country witnessed sub-5 percent growth during the last two years owing to
declining infrastructure and corporate investments, weak consumer sentiments,
persistent inflation and policy uncertainty. The situation was further
complicated by the withdrawal of the US Quantitative Easing programme that led
to significant rupee depreciation and widening of the country’s current account
deficit. In fact, the economy has experienced a consistent decline in GDP
growth rate over the last two years, leading to an alarming volatility in the
inflow of foreign investments.
The
current state of the economy makes it essential for the government to implement
a robust and feasible plan of action for its revival. The fact that India is
one of the largest emerging economies in the world and has demonstrated the
ability to grow rapidly in the past is largely expected to work in its favour.
The country is likely to register a 5% growth rate in the GDP during FY 2015
compared to the current 4.7% growth witnessed in FY 2014, subject to a normal
monsoon and positive policy reforms.
The
formation of a new government at the centre is likely to result in a host of
measures to boost the economy, with a specific focus on power, infrastructure
and education sectors. The new government is expected to adhere to the path of
fiscal consolidation and strengthen the economic fundamentals in the process.
To boost the growth of the manufacturing sector, the government has proposed
setting up mega industrial zones in different parts of the country. The
National Manufacturing Policy aims to increase the share of the manufacturing
sector within the national GDP from the current 16% to 25-26% by 2025.
INDIAN OVERVIEW
India
has witnessed a steady increase in the production and demand for Lead.
According to data from the World Bureau of Metal Statistics, reined Lead production
and consumption in India rose by 6.7% and 6%, respectively, in 2013.
The
domestic demand for Lead is largely driven by the consumption of Lead acid
batteries in various sectors, especially the automotive, telecom and the newly
expanding solar power sectors. Moreover, the likely improvement of the Indian
economic scenario later this year should boost the prospects of certain
segments, including the automotive sector. This should translate into improved
demand for Lead (that is a primary component of automobile batteries) and a
subsequent increase in prices during the latter half of 2014.
The
country’s Lead production is estimated to be around 0.75 million MT, with more
than 85% of it being attributable to secondary sources. However, the lack of any
major Lead ore deposit is the main constraint for enhancing domestic Lead
production. This has also been the reason why India imports nearly 25% of its
Lead requirement every year. The domestic Lead industry is characterised by the
presence of only a few players in the primary market segment.
INDUSTRY DRIVERS
LEAD BATTERY MARKET
IN INDIA
The
Lead acid battery industry in India that comprises automobile, sealed
maintenance free (SMF), tubular and Lead acid batteries, has been registering
an annual growth rate of 25% on a year–on-year
basis. While China still remains the world’s largest battery market, India is
expected to register the strongest growth in sales in 2014. Indian
manufacturers are now gearing up to meet the increased global demand for locally
made batteries, which will subsequently Lead to enhanced demand for Lead.
SOLAR INDUSTRY
The
solar energy potential in India is immense due to the country’s convenient
location near the Equator. India receives nearly 3000 hours of sunshine every year,
which is equivalent to 5000 trillion kWh of energy. Rajasthan and Gujarat are
the regions with maximum solar energy potential. This, coupled with the
availability of barren land, increases the feasibility of setting up solar
energy systems in these regions. Considering India’s solar potential,
the government has rolled out various policies and subsidy schemes to encourage
growth of the industry.
The
solar industry is one of the major demand drivers for the increase in Lead
demand in India. The application of Lead acid batteries as power storage device
creates demand for Lead in this sector.
TELECOM INDUSTRY
The
telecom sector in India experienced rapid growth over the past decade on
account of the country’s
liberalization policies, structural reforms and market competition. Much of
this growth can, however, be attributed to the unprecedented growth in mobile
telephony as the number of domestic mobile subscribers grew at an astounding
rate. At the same time, the telecom industry has immense growth potential,
given that the teledensity in the country is just half of the average
teledensity recorded in developed nations.
The growth in the telecom sector comprises welcome news for the domestic Lead industry as the application of Lead acid batteries as power storage device leads to enhanced demand for Lead. This is primarily due to the fact that every telecom tower is associated with the Lead acid battery bank to ensure uninterrupted power supply.
STATE OF COMPANY’S
AFFAIRS
The
Financial Year 2013-14 has been yet another year of sustained performance,
success and growth for the Company, which along with the other group companies,
excelled in its endeavors particularly in its core activities of Recycling and
Production of Lead & Lead Metals. For the financial year ended 31st March
2014, the Company has recorded a strong revenue and margin performance. The
significant milestones achieved by the Company during the year are as under:
Standalone Results:
Total Revenue increased
to Rs. 3410.500
Millions from Rs. 2634.900
Millions in the previous year, depicting a growth rate of 30%.
Operating
Profit before Interest, Depreciation and Tax stood at Rs. 220.600 Millions in financial year 2013-2014 as
compared to Rs. 188.900
Millions in previous year.
Net
Profit after Tax during
the year is reported at Rs. 148.800
Millions as compared to last year’s
PAT of Rs. 179.800
Millions.
Earnings per Share of the Company stood at Rs. 2.18 per share having face value of Rs. 2 each. Cash Profit during the year stood at Rs. 166.200 Millions.
CONTINGENT
LIABILITIES:
|
PARTICULARS |
31.03.2014 (Rs.
In Millions) |
31.03.2013 (Rs.
In Millions) |
|
Corporate guarantee given for loans availed by the following partnership firms |
|
|
|
M/s Gravita Metals |
227.500 |
227.500 |
|
Dues outstanding |
74.162 |
73.633 |
|
M/s Gravita Metal Inc |
50.000 |
0.000 |
|
Dues outstanding |
34.638 |
0.000 |
|
Corporate guarantee given for loans availed by the following subsidiary |
|
|
|
M/s Gravita Global Pte Limited |
30.050 |
0.000 |
|
Dues outstanding |
0.000 |
0.000 |
|
Guarantee given to government authorities on behalf of partnership firms |
50.000 |
98.544 |
|
Claims against the Company not acknowledged as debt # |
|
|
|
Income Tax |
0.996 |
0.000 |
|
Excise
Duty/Customs Duty/Service Tax |
7.259 |
0.000 |
|
Sales
Tax |
13.281 |
0.000 |
|
NOTE # All the above matters are subject to legal proceedings in the ordinary course of business. The legal proceedings, when ultimately concluded, in the opinion of the Management, will not have a material effect on the results of the operations or financial position of the Company. Advance paid against the above is Rs. 0.519 Millions (Previous year Rs. Nil). |
||
STANDALONE RESULTS FOR THE QUARTER ENDED JUNE 30, 2014
PART I
(Rs.
in Millions)
|
S.No. |
Particulars |
Quarter ended |
|
30-Jun-14 |
||
|
Unaudited |
||
|
1. |
Income from operations Net sales /income from operations (net of excise duty) Other operating income Share of profit from partnership firms Others |
791.854 23.595 2.223 |
|
|
Total income from
operations (net) |
817.672 |
|
2. |
Expenses Cost of materials consumed Purchase of stock-in-trade (traded goods) Changes in inventories of finished goods, work-in-progress and stock-in-trade Employee benefits expense Depreciation and amortisation expense Foreign exchange loss (net) Other expenses |
390.810 477.364 (137.286) 39.818 7.139 - 24.144 |
|
|
Total expenses |
801.989 |
|
3. |
Profit from operations before other income, finance costs and exceptional items (1 - 2) |
15.683 |
|
4. |
Other income |
8.545 |
|
5. |
Profit from ordinary activities before finance costs and exceptional items (3 + 4) |
24.228 |
|
6. |
Finance costs (refer note 4) Interest costs Foreign exchange loss |
18.320 - |
|
|
Total finance costs |
18.320 |
|
7. |
Profit from ordinary activities after finance costs but before exceptional items (5 - 6) |
5.908 |
|
8. |
Exceptional items |
- |
|
9. |
Profit from ordinary activities before tax (7 + 8) |
5.908 |
|
10. |
Tax expenses/(benefits) Current tax (including deferred tax and minimum alternate tax credit entitlement) Tax relating to earlier years |
(5.845) (3.099) |
|
|
Total tax expense/(benefits) |
(8.944) |
|
11. |
Net profit from ordinary activities after tax (9 - 10) |
14.852 |
|
12. |
Extraordinary items |
- |
|
13. |
Net profit after tax (11 - 12) |
14.852 |
|
14. |
Paid-up equity share capital, equity shares of Rs. 2 each |
136.350 |
|
15. |
Reserves excluding revaluation reserves as per Balance sheet |
|
|
16i |
Earnings per share (before extraordinary items) (not annualised) in Rs. |
|
|
|
Basic |
0.22 |
|
|
Diluted |
0.22 |
|
|
Earnings per share (after extraordinary items) (not annualised) in Rs. |
|
|
|
Basic |
0.22 |
|
|
Diluted |
0.22 |
|
|
|
|
|
A 1. 2. a) b) |
PARTICULARS OF SHAREHOLDING Public shareholding (in nos) -Number of shares -Percentage of shareholding Promoters and promoters' group shareholding 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) Non-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) |
18,119,166 26.58 - - - 50,056,000 100.00 73.42 |
|
B |
Investors complaints (Nos.) |
For the quarter ended 30-Jun-14 |
|
|
Pending
at the beginning of the quarter Received
during the quarter Disposed
of during the quarter Remaining unresolved at the end
of the quarter |
NIL 2 2 NIL |
NOTES:
1.
The
above results have been reviewed and recommended by the Audit Committee and approved
by the Board of Directors in their
meetings held on August 6,
2.
Segment
information has been provided under the notes forming part of the consolidated
results for the quarter ended June 30, 2014 as per Accounting Standard (AS) 17
“Segment Reporting”, notified under the Companies (Accounting Standards) Rules,
2006 (which are deemed to be applicable as per Section 133 of the Companies
Act, 2013, read with Rule 7 of the Companies (Accounts) Rules, 2014).
3.
Pursuant
to the enactment of the Companies Act 2013 (the ‘Act’), the Company has,
effective April 1, 2014, reviewed and revised the estimated useful lives of its
fixed assets, in accordance with the provisions of Schedule II to the Act. The
consequential impact (after considering the transition provision specified in
Schedule II) on the depreciation charged and on the results for the quarter is
not material.
4.
Finance
costs include exchange differences arising from foreign currency borrowings to
the extent that they are regarded as an adjustment to interest costs.
5.
The
figures for the quarter ended March 31, 2014 are the balancing figures between
the audited figures in respect of the full financial year and the unaudited
published year to date figures upto the third quarter of the previous financial
year.
6.
The
previous periods'/ year's figures have been regrouped/recast wherever necessary
to conform with the current period's presentation.
7.
Limited
review:
The limited review has been completed by the Statutory
Auditors.
The limited review report for the quarter ended June 30, 2014 does not have any impact on the above results.
FIXED ASSETS
Tangible Assets
·
Freehold
Land
Leasehold Land
Buildings
Plant and Equipments
Office Equipments
Computer
and Accessories
Furniture and Fixtures
Vehicles
Intangible Assets
· Computer Software
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.100.49 |
|
Euro |
1 |
Rs.79.56 |
INFORMATION DETAILS
|
Information
Gathered by : |
HTL |
|
|
|
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
MRI |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
5 |
|
--LIQUIDITY |
1~10 |
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 |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
49 |
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.