MIRA
INFORM REPORT
|
Report Date : |
03.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
GALAXY SURFACTANTS LIMITED (w.e.f.13.03.2005) |
|
|
|
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Formerly Known
As : |
GALAXY SURFACTANTS PRIVATE LIMITED |
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Registered
Office : |
C-49/2, TTC
Industrial Area, Pawane, Navi Mumbai - 400 703, |
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Country : |
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Financials (as
on) : |
31.03.2013 |
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Date of
Incorporation : |
20.05.1986 |
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Com. Reg. No.: |
11-039877 |
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Capital Investment
/ Paid-up Capital : |
Rs.354.547 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
U39877MH1986PLC039877 |
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|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMG00044C MUMG00440G |
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PAN No.: [Permanent Account No.] |
AAACG1539P |
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Legal Form : |
A Closely Held
Public Limited Liability Company |
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Line of Business
: |
Subject is
engaged in Manufacturing and Marketing Surfactants and Specialty Chemicals
for the Personal and Home Care Industry. |
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|
No. of Employees
: |
More than 1000 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (47) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 10000000 |
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|
Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Exist |
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Comments : |
Subject is an established company having satisfactory track record. There is a dip in profit of the company in the year 2013. However,
overall financial position of the company is decent. Trade relations are fair. Business is active. Payment terms are reported
as usually correct. The company can be considered for business dealings at usual trade
terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – 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 |
|
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 = BBB+ |
|
Rating Explanation |
Moderate degree of safety and moderate credit risk |
|
Date |
27.02.2014 |
|
Rating Agency Name |
CRISIL |
|
Rating |
Short Term Rating = A2 |
|
Rating Explanation |
Strong degree of safety and lowest credit risk |
|
Date |
27.02.2014 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2012.
INFORMATION DECLINED BY
|
Name : |
Not Divulged |
|
Designation : |
Account Finance Head |
|
Contact No.: |
91-22-27616666 |
|
Date : |
30.08.2014 |
LOCATIONS
|
Registered / Head/ Corporate
Office : |
C-49/2, TTC
Industrial Area, Pawane, Navi Mumbai - 400 703, Maharashtra, India |
|
Tel. No.: |
91-22-27616666 /
65134444 |
|
Fax No.: |
91-22-27615883 /
27615886 /27686523 |
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E-Mail : |
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Website : |
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Factory 1 : |
W-67 (B), MIDC,
Tarapur, Post Boisar – 401 506, Thane, |
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Factory 2 : |
M-3, MIDC,
Tarapur, Post Boisar – 401 506, Thane, |
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Factory 3 : |
W-44(C), MIDC,
Tarapur, Post Boisar – 401 506, Thane, |
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Factory 4 : |
G - 59, MIDC,
Tarapur, Post Boisar – 401 506, Thane, |
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Factory 5 : |
N-46/1 and 2, MIDC,
Tarapur, Post Boisar – 401 506, Thane, Maharashtra, India |
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Factory 6 : |
V-23, MIDC,
Taloja, Panvel - 410 208, District Raigad, |
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Factory 7 : |
Plot No. 1, Village Chal, CIBCO, Near M.I.D.C. Taloja, Panvel,
District Raigad-410 208, Maharashtra, India |
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Branch Office : |
Gate No. 6, C-40,
Phase –11, Okhla Industrial Area, New Delhi – 110 020, India |
|
Tel. No.: |
91-11-26914581 / 26916632
/ 26916636 |
|
Fax No.: |
91-11-26914581 |
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E-mail : |
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US Office: |
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Tel. No.: |
201 750 1055 x 226 |
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Fax No.: |
201 750 1012 |
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E-mail : |
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Sales Deposit
Office : |
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Asia Pacific
Regional Office: |
4125, Level 41, United Center, 323, |
|
Tel. No.: |
662-631 0420 |
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Fax No.: |
662-213 3081 |
|
Mobile No.: |
668-1913 2844 |
|
E-mail : |
DIRECTORS
As on 06.09.2013
|
Name : |
Mr. Shekhar Unnathan Vaidyanathan |
|
Designation : |
Managing Director
|
|
Address : |
Saradha Niwas, Plot
No 53, Sector 28, Vashi, Navi Mumbai – 400703, |
|
Date of Birth/Age : |
18.02.1954 |
|
Qualification : |
B. Chemical
Engineer |
|
Date of Appointment : |
20.05.1986 |
|
DIN No.: |
00265017 |
|
|
|
|
Name : |
Mr. Gopalkrishnan
Ramakrishnan |
|
Designation : |
Whole Time
Director |
|
Address : |
Raaj, Plot No.
51, Sector 28, Vashi, Navi Mumbai – 400703, |
|
Date of Birth/Age : |
26.05.1954 |
|
Qualification : |
M. Com, FCA,
F.I.C.W.A., A.C.S. |
|
Date of Appointment : |
20.05.1986 |
|
DIN No.: |
00264760 |
|
PAN No.: |
AADPG0514G |
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|
|
|
Name : |
Mr. Shashikant
Rayappa Shanbhag |
|
Designation : |
Whole Time
Director |
|
Address : |
501, Tirupati,
Plot No. 32, Sector 19, Nerul, Navi Mumbai – 400706, |
|
Date of Birth/Age : |
25.01.1954 |
|
Qualification : |
B. Com, A.C.A,
C.W.A. |
|
Date of Appointment : |
20.05.1986 |
|
DIN No.: |
00265103 |
|
PAN No.: |
AAFPS8326N |
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|
|
|
Name : |
Mr. Uday Krishna Kamat |
|
Designation : |
Whole Time
Director |
|
Address : |
9, Ganesh Villa,
Tejpal Scheme, Road No. 2, Vile Parle (East), Mumbai – 400057, |
|
Date of Birth/Age : |
14.05.1954 |
|
Date of Appointment : |
24.10.2009 |
|
DIN No.: |
00226886 |
|
PAN No.: |
AABPK5654P |
|
|
|
|
Name : |
Mr. Sudhir
Dattaram Patil |
|
Designation : |
Director |
|
Address : |
Sumati, Plot No.
4-B, Nandeep Co-op Hsg Society, Goregaon East, Mumbai – 400063, Maharashtra,
India |
|
Date of Birth/Age : |
05.09.1954 |
|
Qualification : |
B. Chemical
Engineer |
|
Date of Appointment : |
20.05.1986 |
|
DIN No.: |
00264933 |
|
PAN No.: |
AACPP2054M |
|
|
|
|
Name : |
Mr. Subodh
Satchitanand Nadkarni |
|
Designation : |
Director |
|
Address : |
D-32, Mangireesh,
520, |
|
Date of Birth/Age : |
02.04.1956 |
|
Date of Appointment : |
27.09.2002 |
|
DIN No. : |
00145999 |
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|
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|
Name : |
Mr. Venkatesh Kasturirangan |
|
Designation : |
Director |
|
Address : |
359, Frogtown Road,
New Canaan, Connecticut U.S.A 068404409 |
|
Date of Birth/Age : |
18.04.1947 |
|
Date of Appointment : |
24.09.2005 |
|
DIN No. : |
00804869 |
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|
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|
Name : |
Mr. Melarkode Gganesan Parameswaran |
|
Designation : |
Director |
|
Address : |
62-A, Technocrat
Co-Operative Housing Society, Veer Savarkar Marg, Prabhadevi, Mumbai –
400025, |
|
Date of Birth/Age : |
18.06.1955 |
|
Date of Appointment : |
24.09.2005 |
|
DIN No. : |
00792123 |
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|
|
|
Name : |
Mr. Ravindranath
Shekar Warriar |
|
Designation : |
Chairman cum
Managing Director |
|
Address : |
Planet Godrej,
Tower 3, Floor 30, Keshavrao Khadye Marg, Near Jacob Circle, Mumbai,
Maharashtra, India |
|
Date of Birth/Age : |
20.04.1947 |
|
Date of Appointment : |
29.06.2007 |
|
DIN No. : |
00011680 |
KEY EXECUTIVES
|
Name : |
Mr. Ganesh Madhav Kamath |
|
Designation : |
Company Secretary
|
|
Address : |
B – 103, Sai
Mandir, |
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Date of Birth/Age : |
07.10.1957 |
|
Date of Appointment : |
10.09.2004 |
|
Pan No. : |
AADPK8335M |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 06.09.2013
SHAREHOLDING DETAILS FILE ATTACHED
As on 06.09.2013
Equity Share Break up (Percentage of Total Equity)
|
Category |
Percentage |
|
Foreign holdings( Foreign institutional
investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident
Indian(s) or Overseas Corporate bodies or Others |
6.51 |
|
Bodies corporate |
1.73 |
|
Directors or relatives of Directors |
74.99 |
|
Other top fifty shareholders |
7.92 |
|
Others |
8.85 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is
engaged in Manufacturing and Marketing Surfactants and Specialty Chemicals
for the Personal and Home Care Industry. |
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Products : |
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GENERAL INFORMATION
|
No. of Employees : |
More than 1000 (Approximately) |
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|
Bankers : |
·
IDBI Bank Limited, IDBI Tower WTC Complex, Cuffe
Parade, Mumbai – 400005, Maharashtra, India ·
DBS Bank Limited, 3rd Floor, Fort House, 221 Dr. D.N. Road, Fort, Mumbai –
400001, Maharashtra, India ·
The Saraswat Co-Operative Bank Limited, 20 A,
Lajpat Nagar-IV, Ring Road, New Delhi-110024, Maharashtra, India ·
Indus-Ind Bank Limited, Bhikaji Cama Office,
223, Somdutt Chamber II, Bhikaji Cama Palace, New Delhi-110066, India ·
Citi
Bank N.A., Bandra Kurla Complex, Bandra (East), Mumbai-400051, Maharashtra,
India |
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Facilities : |
(Rs.
In Millions)
|
|
|
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Banking
Relations : |
--- |
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Financial Institution : |
SBICAP Trustee Company Limited, 202, Maker Tower, ‘E’ Cuffe Parade,
Colaba, Mumbai-400005, Maharashtra, India |
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|
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Auditors : |
|
|
Name : |
P.D. Kunte and Company Chartered Accountants |
|
Address : |
205, Turf Estate, Shakti Mill Lane, off Dr. E. Moses Road,
Mumbai, Maharashtra, India |
|
PAN No.: |
AAAFP3277G |
|
|
|
|
Direct Subsidiaries
: |
· Galaxy Chemicals Inc. ·
Galaxy Holdings (Mauritius) Limited |
|
|
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|
Step down
Subsidiaries : |
· Galaxy Chemicals (Egypt) S.A.E · Rainbow Holdings GmbH · TRI-K Industries Inc. ·
Maybrook Inc. (Merged with TRI-K w.e.f 1st
April, 2012) |
|
|
·
|
|
Entities over which
key management personnel [Whole-time Directors] are able to exercise
significant influence: |
· Galaxy Emulsifiers Private Limited · Galaxy Finsec Private Limited · Osmania Traders Private Limited · Galaxy Chemicals [Partnership Firm] · Galaxy Estates and Holdings [Partnership Firm] · Galaxy Investments [Partnership Firm] · Shubh Estates and Properties [Partnership Firm] · Galaxy Surfactants Limited Employees Welfare Trust |
CAPITAL STRUCTURE
As on 06.09.2013
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
50000000 |
Equity Shares |
Rs.10/- each |
Rs.500.000 Millions |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
35454752 |
Equity Shares |
Rs.10/- each
|
Rs.354.547
Millions |
|
|
|
|
|
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
|
31.03.2013 |
31.03.2012 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
354.500 |
354.500 |
|
(b) Reserves & Surplus |
|
2272.700 |
1971.400 |
|
(c) Money
received against share warrants |
|
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending allotment |
|
0.000 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
|
2627.200 |
2325.900 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
|
1382.900 |
1367.100 |
|
(b) Deferred tax liabilities (Net) |
|
227.100 |
196.700 |
|
(c) Other long term liabilities |
|
12.000 |
6.200 |
|
(d) long-term provisions |
|
51.200 |
52.200 |
|
Total Non-current Liabilities (3) |
|
1673.200 |
1622.200 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
|
1161.700 |
1258.000 |
|
(b) Trade payables |
|
1675.400 |
2092.900 |
|
(c) Other current
liabilities |
|
1015.100 |
646.000 |
|
(d) Short-term provisions |
|
65.400 |
158.200 |
|
Total Current Liabilities (4) |
|
3917.600 |
4155.100 |
|
|
|
|
|
|
TOTAL |
|
8218.000 |
8103.200 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
|
2874.300 |
2584.000 |
|
(ii) Intangible Assets |
|
16.700 |
18.700 |
|
(iii) Capital work-in-progress |
|
28.000 |
383.600 |
|
(iv)
Intangible assets under development |
|
0.000 |
0.000 |
|
(b) Non-current Investments |
|
1197.600 |
926.100 |
|
(c) Deferred tax assets (net) |
|
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
|
130.200 |
122.300 |
|
(e) Other Non-current assets |
|
0.000 |
0.000 |
|
Total Non-Current Assets |
|
4246.800 |
4034.700 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
|
0.000 |
0.000 |
|
(b) Inventories |
|
1298.400 |
1659.000 |
|
(c) Trade receivables |
|
1845.900 |
1755.500 |
|
(d) Cash and cash
equivalents |
|
88.000 |
14.500 |
|
(e) Short-term loans and
advances |
|
721.900 |
632.400 |
|
(f) Other current assets |
|
17.000 |
7.100 |
|
Total Current Assets |
|
3971.200 |
4068.500 |
|
|
|
|
|
|
TOTAL |
|
8218.000 |
8103.200 |
|
SOURCES OF FUNDS |
|
|
31.03.2011 |
|
|
SHAREHOLDERS FUNDS |
|
|
|
|
|
1] Share Capital |
|
|
177.274 |
|
|
2] Share Application Money |
|
|
0.000 |
|
|
3] Reserves & Surplus |
|
|
1847.468 |
|
|
4] (Accumulated Losses) |
|
|
0.000 |
|
|
NETWORTH |
|
|
2024.742 |
|
|
LOAN FUNDS |
|
|
|
|
|
1] Secured Loans |
|
|
1849.698 |
|
|
2] Unsecured Loans |
|
|
323.179 |
|
|
TOTAL BORROWING |
|
|
2172.877 |
|
|
DEFERRED TAX LIABILITIES |
|
|
171.187 |
|
|
|
|
|
|
|
|
TOTAL |
|
|
4368.806 |
|
|
|
|
|
|
|
|
APPLICATION OF FUNDS |
|
|
|
|
|
|
|
|
|
|
|
FIXED ASSETS [Net Block] |
|
|
1911.368 |
|
|
Capital work-in-progress |
|
|
386.132 |
|
|
|
|
|
|
|
|
INVESTMENT |
|
|
652.683 |
|
|
DEFERREX TAX ASSETS |
|
|
0.000 |
|
|
|
|
|
0.000 |
|
|
CURRENT ASSETS, LOANS & ADVANCES |
|
|
|
|
|
|
Inventories |
|
|
1250.670
|
|
|
Sundry Debtors |
|
|
1290.708
|
|
|
Cash & Bank Balances |
|
|
30.194
|
|
|
Other Current Assets |
|
|
0.053
|
|
|
Loans & Advances |
|
|
521.959
|
|
Total
Current Assets |
|
|
3093.584 |
|
|
Less : CURRENT
LIABILITIES & PROVISIONS |
|
|
|
|
|
|
Sundry Creditors |
|
|
910.312
|
|
|
Other Current Liabilities |
|
|
649.281
|
|
|
Provisions |
|
|
115.368
|
|
Total
Current Liabilities |
|
|
1674.961
|
|
|
Net Current Assets |
|
|
1418.623
|
|
|
|
|
|
|
|
|
MISCELLANEOUS EXPENSES |
|
|
0.000 |
|
|
|
|
|
|
|
|
TOTAL |
|
|
4368.806 |
|
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
14180.000 |
13151.700 |
8514.566 |
|
|
|
Other Income |
51.500 |
26.800 |
27.938 |
|
|
|
TOTAL (A) |
14231.500 |
13178.500 |
8542.504 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
10560.200 |
10360.700 |
6481.459 |
|
|
|
Purchases of stock-in-trade |
24.500 |
62.500 |
50.072 |
|
|
|
Changes in inventories of finished goods, work-in-progress and
stock-in-trade |
281.500 |
(210.000) |
(318.273) |
|
|
|
Employee benefit expense |
462.900 |
403.800 |
373.981 |
|
|
|
Other expenses |
1583.500 |
1347.000 |
785.422 |
|
|
|
TOTAL (B) |
12912.600 |
11964.000 |
7372.661 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
1318.900 |
1214.500 |
1169.843 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
480.200 |
331.300 |
195.689 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
838.700 |
883.200 |
974.154 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
328.100 |
243.100 |
217.925 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
510.600 |
640.100 |
756.229 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
167.800 |
203.700 |
141.016 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
342.800 |
436.400 |
615.213 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
1802.349 |
1512.649 |
1062.292 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
34.300 |
43.700 |
61.600 |
|
|
|
Interim Dividend |
35.500 |
88.600 |
62.046 |
|
|
|
Proposed Dividend |
0.000 |
0.000 |
26.591 |
|
|
|
Dividend Distribution Tax |
6.000 |
14.400 |
14.619 |
|
|
BALANCE CARRIED
TO THE B/S |
2069.349 |
1802.349 |
1512.649 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export Earnings |
7889.600 |
7386.000 |
4419.578 |
|
|
TOTAL EARNINGS |
7889.600 |
7386.000 |
4419.578 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
5751.500 |
4748.600 |
2236.148 |
|
|
|
Spares & others |
6.900 |
3.900 |
4.124 |
|
|
|
Traded Goods |
20.300 |
48.100 |
22.280 |
|
|
|
Capital Goods |
22.600 |
53.500 |
25.509 |
|
|
TOTAL IMPORTS |
5801.300 |
4854.100 |
2288.061 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
9.67 |
12.31 |
17.35 |
|
KEY RATIOS
|
PARTICULARS |
|
31.03.2013 |
31.03.2012 |
31.03.2011 |
|
PAT / Total Income |
(%) |
2.41
|
3.31 |
7.20
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
3.60
|
4.87 |
8.89
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
7.30
|
9.42 |
15.13
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.19
|
0.28 |
0.37
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.97
|
1.13 |
1.90
|
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.01
|
0.98 |
1.85
|
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2012 |
31.03.2013 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Share Capital |
354.500 |
354.500 |
|
Reserves & Surplus |
1971.400 |
2272.700 |
|
Net
worth |
2325.900 |
2627.200 |
|
|
|
|
|
long-term borrowings |
1367.100 |
1382.900 |
|
Short term borrowings |
1258.000 |
1161.700 |
|
Total
borrowings |
2625.100 |
2544.600 |
|
Debt/Equity
ratio |
1.129 |
0.969 |
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 |
8514.566 |
13151.700 |
14180.000 |
|
|
|
54.461 |
7.819 |
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 |
8514.566 |
13151.700 |
14180.000 |
|
Profit |
615.213 |
436.400 |
342.800 |
|
|
7.23% |
3.32% |
2.42% |
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 |
No |
|
20] |
Export / Import details (if applicable) |
No |
|
21] |
Market information |
---------------------- |
|
22] |
Litigations that the firm / promoter involved in |
Yes |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking account |
---------------------- |
|
26] |
Buyer visit details |
---------------------- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if applicable |
Yes |
|
29] |
Last accounts filed at ROC |
Yes |
|
30] |
Major Shareholders, if available |
Yes |
|
31] |
Date of Birth of Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of Proprietor/Partner/Director, if available |
Yes |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
|
LITIGATION DETAILS |
|||||||
|
HIGH COURT OF BOMBAY |
|||||||
|
Bench:- Bombay |
|
||||||
|
Stamp No:- |
ITXAL/476/2010 |
Failing Date:- |
25/02/2010 |
Reg. No.:- |
ITXA/3206/2010 |
Reg. Date:- |
28/04/2010 |
|
|
|||||||
|
Petitioner:- |
THE COMMISSIONER OF INCOME TAX |
Respondent:- |
GALAXY SURFACTANTS LIMITED |
||||
|
Petn.Adv:- |
VIMAL GUPTA |
Resp. Adv:- |
ATUL K. JASANI |
||||
|
District:- |
MUMBAI |
||||||
|
|
|||||||
|
Bench:- |
DIVISION |
Category:- |
Tax Appeals |
||||
|
Status:- |
Admitted (Unready) |
Stage:- |
For Admission – Fresh |
||||
|
Last Date:- |
08/02/2012 |
|
|||||
|
Last Coram:- |
· HON’BLE SHRI JUSTICE DR. D.Y. CHANDRACHUP · HON’BLE SHRI JUSTICE M.S. SANKLECHA |
||||||
|
|
|
||||||
|
Act:- |
Income Tax Act, 1961 |
||||||
CORPORATE INFORMATION
Subject is a Public Limited Company domiciled in India and incorporated under the provisions of the Companies Act, 1956. The Company is engaged in manufacturing and marketing surfactants and specialty chemicals for the Personal and Home Care Industry. The Company produces a range of vital cosmetic ingredients including active ingredients, UV protection and functional products. The Company’s products cater to some of the largest global brands in the FMCG sector and find applications in skin care, hair care, oral care, body wash, sun care, household cleaners and fabric care segments. The Company has manufacturing facilities located at Taloja, Tarapur (Maharashtra) and Jhagadia (Gujarat) and a depot outlet at Delhi.
ECONOMIC OUTLOOK AND
BUSINESS PERFORMANCE
During the fiscal year 2013, the economic environment remained challenging with growth slowing down globally. India was impacted by both global and domestic events that led to moderation in economic activity. India’s gross domestic product (GDP) declined to 5.0% during fiscal 2013 compared to 6.2% in fiscal 2012. Europe experienced recession, fiscal tightening, sluggish growth and high unemployment. In USA, the economic revival was marginal. China too for the first time experienced considerably slower growth. Deceleration in industrial output, fiscal deficits and exports weakened India’s economic growth significantly. The weak macro environment, slower growth and volatility in currency and commodities market caused significant pressure on the margins of the Company.
UNSECURED LOAN
Rs.
In Millions
|
Particular |
As
on 31.03.2013 |
As
on 31.03.2012 |
|
Long-term
borrowings |
|
|
|
Deferred payment liabilities |
43.600 |
51.400 |
|
Deposits from others |
269.400 |
125.100 |
|
Short-term
borrowings |
|
|
|
Other loans and advances |
0.100 |
5.200 |
|
Total |
313.100 |
181.700 |
CONTINGENT
LIABILITIES AND CLAIMS NOT PROVIDED FOR:
Rs. In Millions
|
Particulars |
31.03.2013 |
31.03.2012 |
|
(a) Counter Guarantees given to Banks |
344.300 |
74.800 |
|
(b) Corporate Guarantees given to bank on behalf of subsidiary |
1713.600 |
1398.900 |
|
(c) Export Bills Discounted (Including factored debts with recourse option of Rs. 502.500 Millions (Previous year Rs. Nil)) |
642.800 |
70.400 |
|
(d) LC outstanding |
144.900 |
275.400 |
|
(e) Claims against the Company not acknowledged as debts, but disputed in appeals |
|
|
|
-- Excise Duty |
2.200 |
0.100 |
|
-- Income Tax |
61.500 |
53.900 |
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
10366457 |
28/06/2012 |
300,000,000.00 |
THE SHAMRAO VITHAL CO-OPERATIVE BANK LIMITED |
SVC TOWER,, NEHRU ROAD, SANTACRUZ (E),, MUMBAI, MAHARASHTRA - 400055, INDIA |
B44145019 |
|
2 |
10362400 |
05/08/2013 * |
7,855,000,000.00 |
SBICAP TRUSTEE COMPANY LIMITED |
202, MAKER TOWER, 'E', CUFFE PARADE, COLABA, MUMBAI, MAHARASHTRA - 400005, INDIA |
B85524148 |
* Date of charge modification
FIXED ASSETS
·
Leasehold
land
·
Factory
building
·
Building
– others
·
Plant
and machinery
·
Furniture
and fixtures
·
Vehicles
·
Office
equipments
AS PER WEBSITE
PRESS RELEASE
GALAXY SURFACTANTS
IPO MAY BE GOOD FOR THE LONG-TERM
May 14, 2011
Galaxy Surfactants, whose public offering of shares opened last Friday, is a good share to hold for the long-term. A company promoted by technocrats experienced in the line of business, Galaxy sports a good financial report card and has reasonable valuations. Its strong reliance on RandD promises long-term value. However, its Egyptian manufacturing foray is a bit of a concern.
Issue Objective The company is making the current issue to part-finance the following projects: (1) Capital expenditure of its step-down subsidiary, GC Egypt, which is setting up a manufacturing facility in Egypt at a cost of Rs 2120.000 Millions; (2) A new manufacturing facility at Jhagadia, Gujarat, costing Rs 700.000 Millions; and (3) Expansion of capacities at its Tarapur and Taloja plants at Rs 600.000 Millions,
Parentage Incorporated in 1986, Galaxy Surfactants Limited (GSL) has been promoted by technocrats U Shekhar, G Ramakrishnan, SR Shanbhag and SD Patil. Before promoting GSL, the promoters were associated with multinational companies of repute like Hindustan Unilever and Colgate Palmolive. The company also boasts of an experienced and erudite board of directors
BUSINESS
The company manufactures surfactants and specialty chemicals for the personal home care (PHC) segment. Surfactants are surface active agents which reduce tension between two phases. Starting with only two products initially, GSL now manufactures and markets 66 products globally. These products find applications in the skin, hair, oral and sun care, body wash, household cleaners and fabric care segments. GSL has a dominant position in the Indian surfactants market with a market share of over 60%. The company’s domestic customers include Ayur, CavinKare, Dabur, Emami, ITC, Marico and Proctor and Gamble
For a medium-sized company, GSL possesses strong Research and Development (RandD) capabilities, as evidenced by its 18 patents in India and 10 in the US. It has also filed for 12 patents in India and one in Europe. Not surprisingly, it is a preferred vendor for some of its clients.
GSL grew its consolidated revenues from Rs 382 crore in fiscal 2008 to Rs 648 crore in the nine-month period ended 31 December 2010. The company’s margins on earnings before interest, tax, depreciation, and amortisation (EBITDA) of about 12.5% over the years is reportedly comparable to its global peer group. Regarding cash flows, though GSL’s operating flows have consistently been positive, its cash flow after working capital changes for the nine-month period ended 31 December 2010 witnessed a sharp dip on account of significant inventory build-up.
Project Status GSL’s present capacity to manufacture surfactants and specialty chemicals is 1,55,440 tonnes, which it is seeking to increase to 3,48,460 tonnes by setting up new manufacturing facilities at Egypt (through its step-down subsidiary) and Jhagadia (Gujarat), and by expanding its Tarapur and Taloja capacities. The project in Egypt is to come up in two phases – 50,000 tonnes per annum (tpa) by August 2011 and an additional 40,000 tpa by August 2012. The manufacturing plant at Jhagadia, Gujarat, would add to GSL’s capacity by 77,000 tpa and is expected to be completed later this year. The expansions planned at Tarapur and Taloja are much smaller at 2,750 tpa and 5,000 tpa respectively.
PROSPECTS
The prospects for surfactants appear good, driven by strong growth in the end-user personal and home care segments. The company is expanding its manufacturing capacity at just the right time to consolidate its domestic market share as well as to find newer markets abroad. The company may be in a position to leverage its strong relationships with global majors.
VALUATION AND PEER
COMPARISON
GSL posted consolidated annualised earnings per share (EPS) of Rs 32.20 for the nine-month period ended 31 December 2010. Its book value as on that date stood at Rs 105.20. GSL’s offer price at the higher end of the price band of Rs 340 per share discounts its annualised earnings per share (EPS) and book value (BV) at 10.6 and 3.2 times respectively.
The company has claimed that it does not have any listed peers in India. However, the current market price of Clariant Chemicals, a multinational of repute, which is somewhat comparable to the business domain of GSL, discounts its fiscal 2010 EPS and book value by 25 and 5.1 times respectively. Hence, the valuation at which GSL’s shares are being offered compares reasonably with its only listed peer.
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 : |
GYT |
|
|
|
|
Report Prepared
by : |
JAY |
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 |
6 |
|
--PROFITABILIRY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
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 |
|
47 |
This score serves as a reference to assess SC’s credit risk and
to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.