MIRA
INFORM REPORT
|
Report Date : |
08.09.2014 |
IDENTIFICATION DETAILS
|
Name : |
ITC LIMITED (w.e.f.1974) |
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Formerly Known
As : |
Imperial Tobacco
Company of India Limited |
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Registered
Office : |
Virginia House,
37, |
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Country : |
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Financials (as
on) : |
31.03.2014 |
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Date of
Incorporation : |
24.08.1910 |
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Com. Reg. No.: |
21-001985 |
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Capital Investment
/ Paid-up Capital : |
Rs. 7953.200
Millions |
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CIN No.: [Company Identification
No.] |
L16005WB1910PLC001985 |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchange. |
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Line of Business
: |
Manufacturer of
Cigarettes and Tobacco. It is also engaged in Hotel Business. |
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No. of Employees
: |
5000
[Approximately] |
RATING & COMMENTS
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MIRA’s Rating : |
Aa (81) |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
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Maximum Credit Limit : |
USD 1050500000 |
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Status : |
Excellent |
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Payment Behaviour : |
Regular |
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Litigation : |
Exist |
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Comments : |
ITC is a Diversified Group. It is a well-established and a reputed company having excellent track
record. Financial position of the company appears to be sound. Directors are
reported to be experienced and respectable businessmen. Trade relations are reported as fair. Business is active. Payment are
reported to be regular and as per commitments. 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 |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
INDIAN ECONOMIC OVERVIEW
NEWS
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 |
AAA [Long Term] |
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Rating Explanation |
Highest degree of safety and lowest credit risk. |
|
Date |
27.06.2014 |
|
Rating Agency Name |
CRISIL |
|
Rating |
A1+ [Short Term] |
|
Rating Explanation |
Very strong degree of safety and lowest credit risk. |
|
Date |
27.06.2014 |
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
31-03-2014.
INFORMATION DECLINED
MANAGEMENT NON – COOPERATIVE (91-33-22886426)
LOCATIONS
|
Registered Office / Service Centre : |
Virginia House,
37, Jawaharlal Nehru Road, Kolkata – 700071, West Bengal, India |
|
Tel. No.: |
91-33-22886426/
22880034/ 22889371 |
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Fax No.: |
91-33-22882358 |
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E-Mail : |
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Website : |
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Hotel : |
Oberio Flight Services, |
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Headquarters : |
84 (Old No.90) Chamiers Road, Chennai - 600018, Tamilnadu, India |
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Tel. No.: |
91-44-42081508 |
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Fax No.: |
91-44-24340294 |
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Factory 1: |
Integrated Industrial Estate, Sidcuil, Plot No. 1, Sector 11, Hardwar
– 249403, Uttarkhand, India |
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Tel. No.: |
91-1334-322483 |
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Fax No.: |
91-1334-235383 |
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Factory 2: |
P O Box 2277, Thiruvottur, Chennai – 600019, Tamilnadu, India |
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Tel. No.: |
91-44-25733121 |
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Fax No.: |
91-44-25733852 |
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Factory 3: |
Plot No. B 27, MIDC Ranjangaon, Pune - 412222, Maharashtra, India |
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Factory 4: |
Peenya Industrial Area, 1st Phase, Bangalore-560058, Karnataka, India |
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Head Office : |
ITC Hotel
Kakatiya Sheraton and Totheyrs, 63-3-1187, Begumpet, Hyderabad -500016,
Andhra Pradesh, India |
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Tel. No.: |
91-40-23400132 |
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Fax No.: |
91-40-23401045 |
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Corporate Office : |
Kakatiya Sheraton
and Totheyrs, Begumpet, |
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Branch Office : |
International Sales No. 106, |
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Tel. No.: |
91-40-27843768 |
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Fax No.: |
91-40-27810034 |
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Plants : |
Cigarette Factories v
Kolkata v
93/1, Karl Marx Sarani, P. B.
No. 17203, Kolkata - 700 043, West Munger v
Basdeopur P. O., District
Munger - 811 202, v
Sardar Patel Marg, P. O. Box
No. 25, Ranjangaon v 4. Plot No. B-27,
MIDC Ranjangaon, Taluka Shirur District Pune 412 220, Green Leaf
Threshing Plants Anaparti v
East Godavari District,
Anaparti - 533 342, Chirala v
Prakasam,
P. B. No. 1, Chirala - 523 157, Nanjangud 3. Immavu and
Adakanahalli Village Nanjangud Taluk Mysore - 571 302, Karnataka, India Packaging and
Printing Plants Chennai v
Post Box No. 2277, Tiruvottiyur, Chennai - 600 019, Tel No.: 91-44-25733121/25733171/25733181 Fax No.: 91-44-25733852 Haridwar v
Plot No. 1, Sector 11,
Integrated Industrial Estate, Haridwar – 249403, Munger v
Basdeopur P. O., District
Munger, Munger - 811 202, Tel No.: 91-6344-220505/16/17 / 2201892/222126/142/146 Fax No.: 91-6344-222443/222839 Paper and
Paperboard Mills Bollaram v
Anrich Industrial Estate,
Village Bollarum, Medak District, Andhra Pradesh – 502 325 Sarapaka v
Sarapaka, Khammam District -
507 128, Thekkampatty v
Tribeni v
P O Chandrahati, District
Hooghly – 712 504, West Cast Coating Plant Anrich Industrial
Estate, Village Bollarum, Medak District - 502 325, Lifestyle Retailing Design and Technology Centre v
86, Industrial Estate, Phase
I, Udhyog Nagar, Gurgaon - 122 016, FOODS FACTORIES Haridwar 1. Plot No. 1,
Sector 11 Integrated Industrial Estate Haridwar - 249 403 Uttarakhand, Inda Ranjangaon 2. Plot No. D-1,
MIDC Ranjangaon Taluka Shirur District Pune – 412 220, PERSONAL CARE
PRODUCTS FACTORIES Haridwar 1. Plot No. 1,
Sector 11, Integrated Industrial Estate, Haridwar -249 403, Manpura 2. Village
Manpura, Tehsil Baddi, District Solan - 174 101, HOTELS Owned Hotels 1. ITC Mughal*
Taj Ganj Agra - 282 001, Bengaluru 2. ITC Gardenia*
1, Residency Road, Bengaluru-560 025, 3. ITC Chennai 4. My Fortune,
Chennai, Jaipur 5. ITC
Rajputana* Kolkata 6. ITC Sonar*,
1, Mumbai 7. ITC Maratha*,
Sahar, Mumbai - 400 099, 8. ITC Grand
Central*, 287, 9. ITC Maurya*,
Sardar Patel Marg, Diplomatic Enclave, 10. Sheraton New
Delhi Hotel, District Centre, Saket, Licenced Hotels 11.
WelcomHeritage, Umed Port Blair 12. Vadodara 13. WelcomHotel
Vadodara, Hotels Under
Operating Services 14. WelcomHotel
Rama International, R-3, Chikalthana, Chennai 15. Sheraton
Park Hotel & Towers, 132, 16. ITC
Kakatiya*, 6-3-1187, Begumpet, 17. CHOUPAL SAAGARS
- RURAL SERVICES CENTRES Located At: ·
Amravati ·
Badaun ·
Bahraich ·
Chandouli ·
Chindwara ·
Dewas ·
Dhar ·
Gonda ·
Hardoi ·
Hathras ·
Itarsi ·
Jagdishpur ·
Mandsaur ·
Mhow ·
Nagda ·
Parbhani ·
Pilibhit ·
Ratlam ·
Sehore ·
Ujjain ·
Vidisha ·
Wardha ·
Washim LIFESTYLE RETAILING Design and Technology Centre v
Gurgaon Wills Lifestyle Stores Located At: ·
Agra ·
Ahmedabad ·
Aurangabad ·
Belgaum ·
Bengaluru ·
Bhopal ·
Bhubaneshwar ·
Chandigarh ·
Coimbatore ·
Dehradun ·
Ernakulam ·
Ghaziabad ·
Gurgaon ·
Gurgaon ·
Hyderabad ·
Indore ·
Jalandhar ·
Jaipur ·
Jammu ·
Kanpur ·
Kolkata ·
Lucknow ·
Ludhiana ·
Mumbai / Thane ·
Nagpur ·
Nashik ·
New Delhi ·
Noida ·
Panjim ·
Patna ·
Pune ·
Raipur ·
Ranchi ·
Siliguri ·
Surat ·
Vadodara ·
Visakhapatnam ·
John Players Stores* ·
Bengaluru ·
Chennai ·
Hyderabad ·
Kolkata ·
Mumbai / Thane |
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Division
Headquarters : |
Chief Executive Mr. S. Sivakumar Head of Finance Mr. C V Sarma Vice President - HRD Chief Information Officer Chief Manager - Processed Fruits Vice President - Operations Trader - Edible Nuts and Spices Chief Trader - Coffee and Spices Chief Manager - Aqua Mr. S. Biswas |
DIRECTORS
AS ON 31.03.2014
|
Name : |
Mr. Yogesh
Chander Deveshwar |
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Designation : |
Chairman |
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Name : |
Mr. Nakul Anand |
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Designation : |
Executive Director |
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Name : |
Mr. Pradeep Vasant Dhobale |
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Designation : |
Executive Director |
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Name : |
Mr. Kurush Noshir Grant |
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Designation : |
Executive Director |
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Name : |
Mr. Anil Baijal |
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Designation : |
Non Executive Director |
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Name : |
Mr. |
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Designation : |
Non Executive Director |
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Name : |
Mr. Serajul Haq Khan |
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Designation : |
Non Executive Director |
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Name : |
Mr. Sunil Behari Mathur |
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Designation : |
Non-Executive Directors |
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Name : |
Mr. Pillappakkam
Bahukutumbi Ramanujam |
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Designation : |
Non-Executive Director |
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Name : |
Mr. Anthony Ruys |
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Designation : |
Non-Executive Director |
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Name : |
Mr. Krishnamoorthy Vaidyanath |
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Designation : |
Non-Executive Director |
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Name : |
Sahibzada Syed Bahib-Ur-Rehman |
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Designation : |
Non-Executive Director |
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Name : |
Meera Shankar |
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Designation : |
Non-Executive Director |
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Name : |
Robert
Earl Lerwill |
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Designation : |
Non-Executive Director |
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Name : |
Suryakant
Balkrishna Mainak |
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Designation : |
Non-Executive Director |
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KEY EXECUTIVES
|
Name : |
Mr. Biswa Behari
Chatterjee |
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Designation : |
Executive Vice
President and Company Secretary |
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|
Name : |
Mr. Rajiv Tandon |
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Designation : |
Chief Financial Officer |
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Name : |
Kannadiputhur Sundararaman Suresh |
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Designation : |
General Counsel |
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Audit Committee : |
· S B Mathur - Chairman · A Baijal - Member · P B Ramanujam - Member · K Vaidyanath - Member · P V Dhobale - Invitee · R Tandon - Invitee · R Parasuram – Invitee (Head of Internal Audit) · Representative of Invitee the Statutory Auditors · B B Chatterjee - Secretary |
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CSR and
Sustainability Committee : |
· Y C Deveshwar - Chairman · A V Girija Kumar - Member · R E Lerwill - Member · S B Mainak - Member · A Ruys - Member · M Shankar - Member · B B Chatterjee - Secretary |
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Nomination and Compensation
Committee : |
· S H Khan - Chairman · Y C Deveshwar - Member · S S H Rehman - Member · M Shankar - Member · K Vaidyanath - Member |
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Stakeholders Relationship
Committee : |
· A V Girija Kumar - Chairman · K N Grant - Member · K Vaidyanath - Member · B B Chatterjee - Secretary |
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Independent
Directors Committee : |
· A Baijal - Member · S H Khan - Member · S B Mathur - Member · P B Ramanujam - Member · S S H Rehman - Member · M Shankar - Member |
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Corporate
Management Committee : |
Executive -
Directors · Y C Deveshwar - Chairman · N Anand - Member · P V Dhobale - Member · K N Grant – Member Executives · A Nayak - Member · T V Ramaswamy - Member · S Sivakumar - Member · K S Suresh - Member · R Tandon - Member · B B Chatterjee - Member and Secretary |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.06.2014
|
Category of Shareholder |
Total No. of Shares |
Total
Shareholding as a % of Total No. of Shares |
|
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(A)
Shareholding of Promoter and Promoter Group |
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(B)
Public Shareholding |
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|
|
|
|
|
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|
1034921991 |
13.04 |
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|
6571035 |
0.08 |
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|
1742850407 |
21.97 |
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|
1530323687 |
19.29 |
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|
4314667120 |
54.38 |
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|
|
|
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|
329028616 |
4.15 |
|
|
|
|
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|
680719308 |
8.58 |
|
|
133406576 |
1.68 |
|
|
309 |
0.00 |
|
|
2476418791 |
31.21 |
|
|
2413387716 |
30.42 |
|
|
523908 |
0.01 |
|
|
10315501 |
0.13 |
|
|
8193635 |
0.10 |
|
|
43998031 |
0.55 |
|
|
3619573600 |
45.62 |
|
Total
Public shareholding (B) |
7934240720 |
100.00 |
|
Total
(A)+(B) |
7934240720 |
100.00 |
|
(C) Shares
held by Custodians and against which Depository Receipts have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
20775620 |
0.00 |
|
|
20775620 |
0.00 |
|
Total
(A)+(B)+(C) |
7955016340 |
0.00 |
(1)
Indian
Mutual
Funds / UTI
Individual
shareholders holding nominal share capital up to Rs. 0.100 Million 
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of
Cigarettes and Tobacco. It is also engaged in Hotel Business. |
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Products : |
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GENERAL INFORMATION
|
No. of Employees : |
5000
[Approximately] |
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Bankers : |
· State Bank of India, 38, Chowringhee Lane, Kolkata - 700071, Theyst Bengal, India · Standard Chartered Grindlays Bank Limited, 41, Chowringhee Lane, Kolkata - 700 071, West Bengal, India · United Bank of India, 10 Netaji Subhas Road, Kolkata - 700001, West Bengal, India ·
Citibank , Kolkata, West Bengal, India ·
Industrial
Development Bank of India ·
Reserve Bank of India |
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Facilities : |
NOTES: Cash credit facilities are secured by hypothecation of
inventories of the Company, both present and future. |
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Banking
Relations : |
-- |
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Auditors : |
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|
Name : |
Deloitte Haskins and Sells Chartered Accountants |
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Address : |
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Subsidiaries : |
·
Srinivasa Resorts Limited ·
Fortune Park Hotels Limited ·
Bay Islands Hotels Limited ·
WelcomHotels Lanka (Private) Limited, Sri Lanka ·
Landbase India Limited Russell Credit
Limited and its subsidiary ·
Greenacre Holdings Limited Technico Pty
Limited, Australia and its subsidiaries ·
Technico Agri Sciences Limited ·
Technico Technologies Inc., Canada ·
Technico Asia Holdings Pty Limited, Australia and
its subsidiary ·
Technico Horticultural (Kunming) Co. Limited,
China Wimco Limited
and its subsidiaries ·
Pavan Poplar Limited ·
Prag Agro Farm Limited ITC Infotech
India Limited and its subsidiaries ·
ITC Infotech Limited, UK ·
ITC Infotech (USA), Inc. and its subsidiary ·
Pyxis Solutions, LLC, USA ·
Wills Corporation Limited ·
Gold Flake Corporation Limited ·
ITC Investments and Holdings Limited ·
Surya Nepal Private Limited ·
King Maker Marketing, Inc., USA BFIL Finance Limited and its subsidiary ·
MRR Trading and Investment Company Limited North East Nutrients Private Limited (w.e.f. 06.02.2014) The above list
does not include ITC Global Holdings Pte. Limited, Singapore (in liquidation) |
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|
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|
Other entities under control of the Company: |
·
ITC Sangeet Research Academy ·
ITC Education Trust ·
ITC Rural Development Trust |
|
|
|
|
Associates : |
·
Gujarat Hotels Limited ·
International Travel House Limited - being
associates of the Company, ·
Tobacco Manufacturers (India) Limited, UK - of
which the Company is an associate. |
|
|
|
|
Associates of the Company’s subsidiaries : |
·
Russell Investments Limited ·
Classic Infrastructure and Development Limited ·
Divya Management Limited ·
Antrang Finance Limited - being associates of
Russell Credit Limited, and ·
ATC Limited - being associate of Gold Flake
Corporation Limited |
|
|
|
|
Joint Ventures : |
·
Maharaja Heritage Resorts Limited ·
Espirit Hotels Private Limited ·
Logix Developers Private Limited |
|
|
|
|
Joint Venture of the Company’s subsidiary : |
ITC Essentra Limited (formerly known as ITC Filtrona Limited) - being
joint venture of Gold Flake Corporation Limited |
CAPITAL STRUCTURE
AS ON 31.03.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
10000000000 |
Equity Shares |
Re. 1/- each |
Rs.10000.000 Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
7953182950 |
Equity Shares |
Re. 1/- each |
Rs.7953.200
Millions |
NOTES:
Reconciliation of
number of Ordinary Shares outstanding
|
PARTICULAR |
Reconciliation of
number of Ordinary Shares
outstanding |
Amount in Millions |
|
As at beginning of the year |
7,90,18,33,110 |
7901.800 |
|
Add: Issue of Shares on exercise of Options |
5,13,49,840 |
51.400 |
|
As at end of the year |
7,95,31,82,950 |
7953.200 |
SHAREHOLDERS HOLDING MORE THAN 5% OF THE ORDINARY SHARES IN THE COMPANY
|
PARTICULAR |
AS ON 31.03.2014 |
|
|
|
NO. OF SHARES |
% |
|
Tobacco Manufacturers (India) Limited |
1985564880 |
24.96 |
|
Life Insurance Corporation of India |
1102829844 |
13.87 |
|
Specified
Undertaking of the Unit Trust of India |
896724540 |
11.28 |
ORDINARY SHARES ALLOTTED AS FULLY PAID UP BONUS SHARES FOR THE PERIOD OF
FIVE YEARS IMMEDIATELY PRECEDING 31ST MARCH
|
PARTICULAR |
AS ON 31.03.2014 |
|
|
NO. OF SHARES |
|
Bonus Shares issued in 2010-11 |
3826701530 |
RIGHTS, PREFERENCES AND RESTRICTIONS ATTACHED TO THE ORDINARY SHARES
The Ordinary
Shares of the Company, having par value of Re. 1.00 per share, rank pari passu
in all respects including voting rights and entitlement to dividend.
SHARES RESERVED FOR
ISSUE UNDER OPTIONS
|
PARTICULAR |
AS ON 31.03.2014 |
|
|
NO. OF SHARES |
|
Ordinary Shares of `Rs. 1.00 each |
26,58,13,470 |
TERMS AND
CONDITIONS OF OPTIONS GRANTED
Each Option entitles the holder thereof to apply for and be allotted ten Ordinary Shares of the Company of Rs. 1.00 each upon payment of the exercise price during the exercise period. The exercise period commences from the date of vesting of the Options and expires at the end of five years from (i) the date of grant in respect of Options granted under the ITC Employee Stock Option Scheme (introduced in 2001) and (ii) the date of vesting in respect of Options granted under the ITC Employee Stock Option Scheme -2006 and the ITC Employee Stock Option Scheme -2010.
THE VESTING
PERIOD FOR CONVERSION OF OPTIONS IS AS FOLLOWS:
|
On completion of 12 months from the date of grant of the Options: |
30% Vests |
|
On completion of 24 months from the date of grant of the Options: |
30% Vests |
|
On completion of 36 months from the date of grant of the Options: |
40% Vests |
|
The Options have
been granted at the ‘market price’ as defined from time to time under the
Securities and Exchange Board of India (Employee Stock Option Scheme and Employee Stock Purchase Scheme)
Guidelines, 1999. |
|
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 |
7953.200 |
7901.800 |
7818.400 |
|
(b) Reserves & Surplus |
254667.000 |
214976.700 |
180100.500 |
|
(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) |
262620.200 |
222878.500 |
187918.900 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
510.000 |
664.000 |
773.200 |
|
(b) Deferred tax liabilities (Net) |
12969.600 |
12037.200 |
8727.200 |
|
(c) Other long term liabilities |
50.900 |
31.100 |
129.400 |
|
(d) long-term provisions |
1100.000 |
1256.200 |
1071.200 |
|
Total Non-current Liabilities (3) |
14630.500 |
13988.500 |
10701.000 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
1.400 |
0.000 |
17.700 |
|
(b) Trade payables |
19875.900 |
16689.800 |
14492.200 |
|
(c) Other current
liabilities |
36318.800 |
35286.200 |
33712.700 |
|
(d) Short-term provisions |
58847.100 |
51331.300 |
43039.500 |
|
Total Current Liabilities (4) |
115043.200 |
103307.300 |
91262.100 |
|
|
|
|
|
|
TOTAL |
392293.900 |
340174.300 |
289882.000 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
119486.900 |
111185.500 |
89836.600 |
|
(ii) Intangible Assets |
640.500 |
907.900 |
1155.300 |
|
(iii) Capital
work-in-progress |
22729.400 |
14728.000 |
22692.600 |
|
(iv) Intangible assets under development |
227.900 |
149.900 |
74.900 |
|
(b) Non-current Investments |
25121.700 |
20008.600 |
19532.800 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
14800.200 |
17279.700 |
11959.300 |
|
(e) Other Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
183006.600 |
164259.600 |
145251.500 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
63112.600 |
50594.300 |
43633.100 |
|
(b) Inventories |
73595.40 |
66002.000 |
56378.300 |
|
(c) Trade receivables |
21653.600 |
11633.400 |
9823.700 |
|
(d) Cash and cash
equivalents |
32893.700 |
36150.000 |
28189.300 |
|
(e) Short-term loans and
advances |
7835.100 |
5121.400 |
5194.300 |
|
(f) Other current assets |
10196.900 |
6413.600 |
1411.800 |
|
Total Current Assets |
209287.300 |
175914.700 |
144630.500 |
|
|
|
|
|
|
TOTAL |
392293.900 |
340174.300 |
289882.000 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from operations |
332386.000 |
299012.700 |
251474.600 |
|
|
|
Other Income |
11071.400 |
9387.000 |
8253.400 |
|
|
|
TOTAL (A) |
343457.400 |
308399.700 |
259728.000 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of materials consumed |
102632.8000 |
89362.100 |
76598.100 |
|
|
|
Purchases of Stock-in-Trade |
30214.700 |
33759.200 |
20372.100 |
|
|
|
Employee benefits expense |
16083.700 |
13870.100 |
12576.200 |
|
|
|
Other expenses |
60190.500 |
58209.700 |
54097.900 |
|
|
|
Changes in
inventories of finished goods, work-in-progress, Stock-in-Trade and
Intermediates |
(1284.100) |
(2463.500) |
(655.900) |
|
|
|
TOTAL (B) |
207837.600 |
192737.600 |
162988.40 |
|
|
|
|
|
|
|
|
Less |
PROFIT
/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
135619.800 |
115662.100 |
96739.600 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
29.500 |
864.700 |
779.200 |
|
|
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
135590.300 |
114797.400 |
95960.400 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
8999.200 |
7955.600 |
6985.100 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
BEFORE TAX (E-F) (G) |
126591.100 |
106841.800 |
88975.300 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
38739.000 |
32657.900 |
27351.600 |
|
|
|
|
|
|
|
|
|
|
PROFIT / (LOSS)
AFTER TAX (G-H) (I) |
87852.1000 |
74183.900 |
61623.700 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
37881.000 |
19725.900 |
5486.700 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
8800.000 |
7500.000 |
6500.000 |
|
|
|
Proposed Dividend For The Financial Year |
47719.100 |
41484.600 |
35182.900 |
|
|
|
Special Dividend |
0.000 |
0.000 |
0.000 |
|
|
|
Income Tax on Proposed Dividends Current Year |
8109.900 |
7050.300 |
5707.500 |
|
|
|
Income Tax on Proposed Dividends Earlier Year’s Provision |
(286.800) |
(6.100) |
(5.900) |
|
|
BALANCE CARRIED
TO THE B/S |
61390.900 |
37881.000 |
19725.900 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export of Goods (F.O.B.) |
37436.900 |
32053.200 |
20999.900 |
|
|
|
Hotel Earnings |
4964.100 |
5495.100 |
4867.200 |
|
|
|
Freight and Insurance Recoveries |
283.000 |
259.200 |
277.500 |
|
|
|
Interest |
32.500 |
143.000 |
0.000 |
|
|
|
Dividend |
130.500 |
55.700 |
0.000 |
|
|
|
Other Earnings* [* Consist of finance and storage charges, Certified Emission
Reduction (CER) credits and sundry recoveries.] |
56.800 |
67.800 |
62.100 |
|
|
TOTAL EARNINGS |
42903.800 |
38074.000 |
26206.700 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
11022.500 |
11211.000 |
9251.600 |
|
|
|
Components and Spare Parts (Including Stores) |
823.500 |
817.000 |
877.100 |
|
|
|
Capital Goods |
7296.900 |
6206.200 |
7058.800 |
|
|
|
Others |
320.800 |
226.600 |
270.300 |
|
|
TOTAL IMPORTS |
19463.700 |
18460.800 |
17457.800 |
|
|
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
|
|
|
|
|
|
- Basic |
11.09 |
9.45 |
7.93 |
|
|
|
- Diluted |
10.96 |
9.33 |
7.84 |
|
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2014 |
|
|
|
|
Unaudited |
|
Net Sales |
|
|
92482.900 |
|
Total Expenditure |
|
|
59707.000 |
|
PBIDT (Excl OI) |
|
|
32775.900 |
|
Other Income |
|
|
2345.500 |
|
Operating Profit |
|
|
35121.400 |
|
Interest |
|
|
151.500 |
|
Exceptional Items |
|
|
0.000 |
|
PBDT |
|
|
34969.900 |
|
Depreciation |
|
|
2313.200 |
|
Profit Before Tax |
|
|
32656.700 |
|
Tax |
|
|
10792.800 |
|
Provisions and contingencies |
|
|
0.000 |
|
Profit After Tax |
|
|
21863.900 |
|
Extraordinary Items |
|
|
0.000 |
|
Prior Period Expenses |
|
|
0.000 |
|
Other Adjustments |
|
|
0.000 |
|
Net Profit |
|
|
21863.900 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
PAT / Total Income |
(%) |
25.58 |
24.05
|
23.73
|
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
38.09 |
35.73
|
35.38
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
36.78 |
35.00
|
35.94
|
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.48 |
0.48
|
0.47
|
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.00 |
0.00
|
0.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.82 |
1.70
|
1.19 |
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 |
7818.400 |
7901.800 |
7953.200 |
|
Reserves & Surplus |
180100.500 |
214976.700 |
254667.000 |
|
Net
worth |
187918.900 |
222878.500 |
262620.200 |
|
|
|
|
|
|
long-term borrowings |
773.200 |
664.000 |
510.000 |
|
Short term borrowings |
17.700 |
0.000 |
1.400 |
|
Total
borrowings |
790.900 |
664.000 |
511.400 |
|
Debt/Equity
ratio |
0.004 |
0.003 |
0.002 |
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) |
|
Revenue from operations |
251474.600 |
299012.700 |
332386.000 |
|
|
|
18.904 |
11.161 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs.
In Millions) |
(Rs.
In Millions) |
(Rs.
In Millions) |
|
Revenue from operations |
251474.600 |
299012.700 |
332386.000 |
|
Profit After Tax |
61623.700 |
74183.900 |
87852.100 |
|
|
24.50% |
24.81% |
26.43% |
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 |
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 |
No |
|
31] |
PAN of Proprietor/Partner/Director, if available |
No |
|
32] |
Date
of Birth of Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating, if available |
Yes |
LITIGATION DETAILS:
|
CALCUTTA HIGH
COURT CASE STATUS
INFORMATION SYSTEMS CASE STATUS:
Pending STATUS OF: WEALTH TAX ACT (APPL.(AWT) 3 of 2011 COMMISSIONER OF WEALTH TAX, KOL II, KOL VS.
ITC LIMITED PET’S ADV.: S S SARKAR RES’S ADV.: ----- COURT NO.: 19 LAST LISTED ON: TUESDAY, MARCH 27, 2012 CATEGORY: INCOME TAX REVENUE
CASE UPDATED ON: TUESDAY, MARCH 27, 2012 |
|
CALCUTTA HIGH
COURT CASE STATUS
INFORMATION SYSTEMS CASE STATUS: ---- STATUS OF: TEMP APO (APOT) 25 OF 2011 GODFREY PHILLIPS (INDIA) LIMITED VS.
ITC LIMITED PET’S ADV.: VIPUL KUNDALIA RES’S ADV.: ----- COURT NO.: 0 LAST LISTED ON: NO DATE MENTIONED CATEGORY: FINAL DECREE
CASE UPDATED ON: MONDAY, JANUARY 17, 2011 |
INDEX OF CHARGES:
|
S. No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
90048469 |
18/06/2001 * |
1,400,000,000.00 |
ITC LIMITED |
VIRGINIA HOUSE,
37;CHOWRIGHEE, KOLKATA - 700071, WEST BENGAL, INDIA |
- |
|
2 |
90249950 |
16/12/1992 |
100,000,000.00 |
INDUSTRIAL
FINANCE CORPORATION OF INDIA |
BANK OF BARODA
BUILDING, 16; SANSAD MARG, NEW DELHI -
110001, INDIA |
- |
|
3 |
90249944 |
14/10/1992 |
1,150,000,000.00 |
STATE BANK OF
INDIA |
CHOWRINGHEE BRANCH,
38; CHOWRINGHEE ROAD, KOLKATA- 700071 , WEST BENGAL, INDIA |
- |
|
4 |
90249931 |
14/05/1992 |
8,600,000.00 |
THE INDUSTRIAL
CREDIT AND INVESTMENT CORPORATION OF |
163; BACKBAY
RECLAMATION, BOMBAY - 400020, Maharashtra, INDIA |
- |
|
5 |
90251696 |
03/12/1998 * |
7,000,000,000.00 |
STATE BANK OF
INDIA |
34; JAWAHARLAL
NEHRU ROAD, KOLKATA - |
- |
|
6 |
90249861 |
26/03/1990 |
11,500,000.00 |
INDUSTRIAL
FINANCE CORPORATION OF INDIA |
2; FAIRLIE PLACE,
KOLKATA - 700001, WEST BENGAL, INDIA |
- |
|
7 |
90249828 |
16/04/1998 * |
7,000,000,000.00 |
STATE BANK OF
INDIA |
38; CHOWRINGHEE,
KOLKATA - 700071, WEST BENGAL, INDIA |
- |
|
8 |
90251676 |
15/07/2010 * |
6,000,000,000.00 |
STATE BANK OF
INDIA |
RELIANCE HOUSE,
34 J. L. NEHRU ROAD, KOLKATA - 700071, WEST BENGAL, INDIA |
A93676666 |
|
9 |
90249593 |
20/10/1981 |
1,750,000.00 |
TATA BURROUGHS
LIMITED |
MANISH
COMMERCIAL CONTRE, 216;-A; DR. ANNIE DESAN |
- |
|
10 |
90250976 |
18/04/1980 |
2,700,000.00 |
STATE BANK OF
INDIA |
JEEVAN DEEP.
1-MIDDLETON STREET, KOLKATA - 700071, WEST BENGAL, INDIA |
- |
|
* Date of charge modification |
||||||
UNSECURED LOAN
|
PARTICULARS |
As
on 31.03.2014 [Rs.
in Millions] |
As
on 31.03.2013 [Rs.
in Millions] |
|||||||||||||||||||||||||||||||||||||||||||||
|
LONG TERM
BORROWINGS |
|
|
|||||||||||||||||||||||||||||||||||||||||||||
|
Term Loan From Banks |
0.000 |
0.200 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Deferred Payment Liabilities Sales Tax Deferment Loans |
510.000 |
663.800 |
|||||||||||||||||||||||||||||||||||||||||||||
|
TOTAL
|
510.000 |
664.000 |
|||||||||||||||||||||||||||||||||||||||||||||
|
Note: Term loans from Banks Repayable in
equated periodic instalments upto a 5 year period from the date of respective
loan. These are repayable by 2014-15 and carry an interest of 11.25% p.a. Sales tax deferment loans Repayable after
a period of 10 to 14 years from the end of the month of respective loans.
These are repayable by 2025-26 and are interest free. The scheduled
maturity of the Long-term borrowings are summarised as under:
|
|||||||||||||||||||||||||||||||||||||||||||||||
MANAGEMENT
DISCUSSION AND ANALYSIS:
SOCIO-ECONOMIC ENVIRONMENT:
The global economic scenario in 2013 remained challenging with output growth
estimated at 3.0% - lower than the 3.2% growth recorded in 2012. Global
economic activity picked up in the second half of the year, with much of the
impetus coming from the Advanced Economies, raising hopes for an improved
performance in 2014. The US economy grew by 1.9% in 2013, with the continued
recovery of private domestic demand partly offset by the impact of heavy fiscal
consolidation, which is estimated to have subtracted around 150 basis points
from GDP growth. While the Euro Area contracted by 0.5% during 2013 as compared
to 0.7% in the previous year, the region finally emerged from recession with
output growth being positive from the middle of 2013 on the back of less fiscal
drag and some buoyancy in private domestic demand. The Emerging Market and
Developing Economies, as a group, saw a further slowdown in growth rates - from
5.0% in 2012 to 4.7% in 2013.
While Brazil grew by 2.3% in 2013 against 1.0% in 2012 driven by strong
consumer spending and investments, growth in China remained flat at 7.7% and
other major constituent economies like India, Russia and South Africa recorded
deceleration. Global growth is expected to improve in 2014-15 following the
late recovery observed in 2013. As per IMF estimates, world GDP growth is
projected to strengthen from 3.0% in 2013 to 3.6% in 2014 and 3.9% in 2015,
largely driven by the Advanced Economies, where growth is expected to increase
from 1.3% in 2013 to 2.2% in 2014 and 2.3% in 2015. Within Advanced Economies,
growth is likely to be strongest in the US at about 2.8% in 2014 driven by
supportive monetary conditions and lower impact on account of fiscal
consolidation. Euro Area growth is likely to be varied with the core Euro
countries expected to register stronger growth. Emerging Markets & Developing
Economies are likely to grow modestly - from 4.7% in 2013 to 4.9% in 2014 and
5.3% in 2015. GDP growth in China is projected to remain at around 7.5% in 2014
as the government seeks to rein in credit growth and push through reforms
towards achieving a more balanced and sustainable growth trajectory. Despite
the improved prospects as stated above, global economic recovery remains
fragile with significant downside risks. New geopolitical risks emanating from
the Ukrainian crisis, impact of a faster-than-anticipated withdrawal from
monetary easing by the US and other developed countries on Emerging Markets
& Developing Economies, continuing concerns of deflationary conditions and
weak sovereign balance sheets in the Euro Area, and weakening growth in China are
some of the key challenges facing global economic recovery.
Closer home, the Indian economy witnessed a rather challenging year with
GDP growth slowing down to sub-5% for the second year in succession. The
slowdown in the pace of growth is largely attributable to weakness in Industry
which grew by only 0.7% during the year as per Advance Estimates released by
the Ministry of Statistics and Programme Implementation. The Manufacturing
sector, which accounts for 55% of Industry, de-grew by 0.2%. Growth in the
Services sector stood at 6.9%, well below the trend growth levels. The only
bright spot in an otherwise lacklustre economy was the Agriculture sector which
grew by 4.6%, with record agricultural output.
Inflation remained high and sticky for most part of the year leading to
the RBI hiking the Repo rate by 75 basis points since May ’13. While headline
inflation has moderated in recent months, Core CPI inflation remains elevated
at around 8% leaving little room for the RBI to ease policy rates to spur growth.
Food inflation remains a key monitorable in the ensuing months given the
likelihood of El Nino weather conditions and sub-par rainfall.
From a demand side perspective, growth in Private Final Consumption
Expenditure (PFCE), the largest component of aggregate demand, slowed down
further to only 2.5% during the first 9 months of 2013-14 as compared to 5.0%
in 2012-13 and well below the 8.4% average growth recorded during the period
2007-08 to 2011-12. Deceleration in the growth of Investments continued
unabated, plummeting to 0.2% in 2013-14. The key causes for this sharp downturn
include the cumulative impact of persistently high and sticky inflation levels
in the economy leading to a high interest rate regime, lack of political
consensus on policy reforms and weak investor sentiment in the backdrop of a
sluggish global economy.
There was good news on the ‘twin deficit’ front. As per Revised Budget
Estimates, Fiscal Deficit for the year was contained within target at 4.6% of
GDP. Such fiscal consolidation was, in large measure, driven by a significant
compression in Government expenditure rather than buoyancy in revenue
collection given the slowdown in economic activity. The quality of fiscal
consolidation leaves room for improvement with further curtailment of
non-essential subsidies and better targeting of major subsidies being the key
imperatives. The Current Account Deficit recorded significant improvement
during the year, narrowing to an estimated 2.0% of GDP as compared to 4.7% in
the previous year. Regulatory curbs on gold imports, higher exports on the back
of a weak Rupee and import compression aided such improvement. Measures
announced by the Ministry of Finance and
the RBI during the year to attract capital flows, particularly from
non-resident Indians, helped shoring up foreign exchange reserves and arresting
the sharp depreciation of the Rupee Vs. the US Dollar witnessed during the
period May ’13 to August ’13, and restoring stability in the currency markets.
As per median estimates, based on the Survey of Professional Forecasters
conducted by RBI, the Indian economy is likely to post a moderate recovery in
2014-15. GDP growth is estimated to improve to around 5.5% supported by an
anticipated pick up in investment activity in view of the part resolution of
stalled projects, improved business and consumer confidence and expectation of
lower inflation. External demand is expected to improve further during 2014-15
stemming from encouraging growth prospects in Advanced Economies. Tighter
global financial and monetary conditions, risks to agricultural growth due to
the likelihood of sub-normal monsoons given the impending El Nino weather
conditions, possibility of a reversal in capital flows with the interest rate
cycle picking up in Advanced Economies represent some of the key downside risks
going forward. A stable government at the Centre, greater clarity and certainty
in policies and fast track clearances of large projects would go a long way in
engendering a much needed boost to investor sentiment and reviving the private
investment cycle in particular.
Private Consumption remains one of the major growth engines of the
Indian economy. With a large and growing population, significant additions to
the working age population over the medium to long-term, rising affluence and
literacy, increasing urbanisation and higher outlays on social schemes to
foster inclusive growth – the structural drivers for rapid growth in
consumption are in place. Even so, the continued deceleration in Private
Consumption in 2013-14 is a cause of concern. One of the key reasons for such
deceleration is the elevated level of inflation in the economy especially for
food items due to the inadequate supply side response by the agricultural
sector in the face of growing demand for value-added items. The need of the
hour is to boost agricultural productivity and value addition by encouraging
investments and adoption of best practices in agricultural value chains while
simultaneously improving market linkages. Equally, there is an need to focus on
new job creation, which has averaged a dismal 2.3 million per annum during the
7 year period ended 2011-12 as compared to 12 million per annum during the 5
year period ended 2004-05, to address the unsustainable levels of unemployment
especially amongst the youth. Stagnation in the manufacturing sector needs to
be reversed at the earliest since robust industrial growth is essential for the
creation of sustainable livelihoods and absorption of the increasing working
age population of the country. Revival of industrial growth would be a critical
boosting factor for domestic consumption as well.
While India remains one of the fastest growing major economies in the
world, the slowdown in economic growth in the last 2 years is a cause of concern,
being far below the desired levels and the country’s potential. Given the low
levels of per capita income and the fact that a significant proportion of our
population lives in poverty, it is imperative that the economy reverts to its
8% to 9% growth trajectory sooner than later.
For a country like India which has a disproportionately low share of
global natural resources relative to its large population, where millions
continue to live in abject poverty, and a young demographic profile which entails
12 million people entering the job market every year, the focus both at the
national and corporate level should be on fashioning strategies that foster
sustainable, equitable and inclusive growth. Policies and regulations must be
aligned towards encouraging businesses to adopt a low-carbon growth path and
support the creation of sustainable livelihoods and societal capital.
Differentiated and preferential incentives, in the form of fiscal or financial
benefits to companies that adopt sustainable business practices would act as a
force multiplier towards achieving this critical national goal. It is your
Company’s belief that businesses can bring about transformational change by
pursuing innovative business models that synergise the creation of sustainable livelihoods
and the preservation of natural capital with enhancing shareholder value.
This ‘Triple Bottom Line’ approach to creating larger ‘stakeholder
value’, as opposed to merely ensuring uni-dimensional ‘shareholder value’, is
the driving force that defines the Company’s sustainability vision and its
growth path into the future.
The Company is a global exemplar in ‘Triple Bottom Line’ performance and
is the only enterprise in the world of comparable dimensions to have achieved
and sustained the three key global indices of environmental sustainability of
being ‘water positive’ (for 12 years), ‘carbon positive’ (for 9 years), and
‘solid waste recycling positive’ (for 7 years).
The following sections outline the Company’s progress in pursuit of the
‘Triple Bottom Line’.
FINANCIAL
PERFORMANCE
The Company continued to deliver strong financial performance with
healthy growth in revenues and high quality earnings. This performance is
particularly commendable when viewed against the backdrop of the extremely
challenging business context in which it was achieved, namely, a sluggish
macro-economic environment which saw GDP growth remaining below 5% for the
second year in succession, high inflation and a marked deceleration in the rate
of growth of Private Final Consumption Expenditure; steep increase in
taxes/duties on Cigarettes for two years in a row; weak demand conditions in
the FMCG industry; gestation costs relating to the new FMCG businesses; sharp
escalation in input costs in the Paperboards, Paper and Packaging Businesses
and a weak demand and pricing environment in the Hotels business.
Gross Revenue for the year grew by 11.7% to Rs. 467126.200 Millions. Net
Revenue at Rs.328825.600 Millions grew by 11.1% primarily driven by a 16.0%
growth in the non-cigarette FMCG segment, 14.7% growth in Paperboards, Paper
and Packaging segment and 10.6% growth in the Cigarettes segment. Profit Before
Tax registered a growth of 18.5% to Rs.126591.100 Millions while Net Profit at
Rs. 87852.100 Millions increased by 18.4%. Earnings Per Share for the year
stood at Rs. 11.09 (previous year Rs. 9.45). Cash flows from Operations
aggregated Rs.107595.000 Millions compared to Rs.95962.400 Millions in the
previous year.
The Company is one of India’s most admired and valuable corporations
with a current market capitalization of over Rs.2700000.000 Millions and has
consistently featured amongst the top 10 private sector companies in terms of
market capitalisation and profits. Over the last 18 years, the Company’s Net
Revenue and Profit After Tax recorded an impressive compound annual growth rate
of 15.3% and 21.6% respectively. During this period, Return on Capital Employed
improved substantially from 28.4% to 45.8% while Total Shareholder Returns,
measured in terms of increase in market capitalization and dividends, grew at a
compound annual rate of 25.9%, placing the Company amongst the foremost in the
country in terms of efficiency of servicing financial capital.
The Directors are pleased to recommend a Dividend of Rs.6.00 per share (previous year Rs.5.25 per
share) for
the year ended 31st March, 2014. Total cash outflow in this regard will
be Rs. 55829.000 Millions (previous year Rs.48534.900 Millions) including
Dividend Distribution Tax of Rs.8109.900 Millions (previous year Rs.7050.300
Millions).
The Board further recommends a transfer to General Reserve of
Rs.8800.000 Millions (previous year Rs.7500.000 Millions). Consequently, the
Surplus in Statement of Profit and Loss as at 31st March, 2014 would stand at
Rs. 61390.900 Millions (previous year Rs. 37881.000 Millions).
STATEMENT OF
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 30TH JUNE, 2014
(Rs. Millions)
|
Particulars |
|
|
|
Quarter Ended |
|
|
|
|
|
30.06.2014 |
|
|
|
|
|
(Unaudited) |
|
A) Net Sales /Income From Operations |
(1) |
|
|
91644.200 |
|
B) Other Operating Income |
(2) |
|
|
838.700 |
|
Total Income From
Operations (Net) (1+2) |
(3) |
|
|
92482.900 |
|
Expenses |
|
|
|
|
|
A) Cost Of Materials Consumed |
|
|
|
26606.200 |
|
B) Purchases Of Stock-In –Trade |
|
|
|
19208.000 |
|
C) Changes In Inventories Of Finished Goods, Work-In-Progress and Stock-In-Trade |
|
|
|
(6038.600) |
|
D) Employee Benefits Expense |
|
|
|
5086.600 |
|
E) Depreciation and Amortisation Expense |
|
|
|
2313.200 |
|
F) Other Expenses |
|
|
|
14844.800 |
|
Total Expenses |
(4) |
|
|
62020.200 |
|
Profit From
Operations Before Other Income And Finance Costs (3-4) |
(5) |
|
|
30462.700 |
|
Other Income |
(6) |
|
|
2345.500 |
|
Profit From
Ordinary Activities Before Finance |
(7) |
|
|
32808.200 |
|
Finance Costs |
(8) |
|
|
151.500 |
|
Profit From
Ordinary Activities Before Tax |
(9) |
|
|
32656.700 |
|
Tax Expense |
(10) |
|
|
10792.800 |
|
Net Profit For The
Period (9-10) |
(11) |
|
|
21863.900 |
|
Paid Up Equity
Share Capital |
(12) |
|
|
7955.000 |
|
(Ordinary Shares Of Re. 1/- Each) |
|
|
|
|
|
Reserves Excluding Revaluation Reserves |
(13) |
|
|
- |
|
Earnings Per Share (of Re. 1/- Each) (Not Annualised): |
(14) |
|
|
|
|
(A) Basic (Rs.) |
|
|
|
2.75 |
|
(B) Diluted (Rs.) |
|
|
|
2.72 |
|
Particulars
|
|
|
Quarter Ended |
|
|
|
|
30.06.2014 |
|
|
|
|
(Unaudited) |
|
A. Particulars
Of Shareholding |
|
|
|
|
1. Public Shareholding |
|
|
|
|
- Number Of Shares |
|
|
7934240720 |
|
- Percentage Of Shareholding |
|
|
99.74 |
|
2. Promoters And Promoter Group
Shareholding |
|
|
|
|
A) Pledged / Encumbered |
|
|
NA |
|
B) Non - Encumbered |
|
|
NA |
|
B.
Investor Complaints |
3 months ended 30.06.2014 |
|
Pending at the beginning of the quarter |
Nil |
|
Received during the quarter |
Nil |
|
Disposed off during the quarter |
Nil |
|
Remaining unresolved at the end of the
quarter |
Nil |
Note :
* The figures for the preceding 3 months ended March 31, 2014 are the balancing figures between the audited figures in respect of the full financial year ended March 31, 2014 and the year to date figures upto the third quarter of that financial year.
1. The Unaudited Financial Results and Segment Results were reviewed by the
Audit Committee and approved at the meeting of the Board of Directors of the
Company held on July 29, 2014.
2. Figures for the previous periods are re-classified / re-arranged /
re-grouped, wherever necessary, to correspond with the current period's
classification / disclosure.
3. The Company does not have any Exceptional or Extraordinary item to report
for the above periods.
4. The launch and rollout costs of the Company's brands 'Fiama Di Wills',
'Vivel', 'Superia' and 'Engage' covering the range of personal care products of
soaps, face washes, shower gels, shampoos, conditioners, skin care and
deodorants, and the continuing significant brand building costs of the Foods
businesses are reflected under 'Other expenses' stated above and in Segment
Results under 'FMCG-Others'.
5. During the quarter, 18,33,390 Ordinary Shares of Rs. 1/- each were issued
and allotted under the Company's Employee Stock Option Schemes. Consequently,
the issued and paid-up Share Capital of the Company as on June 30, 2014 stands
increased to Rs. 7955.016 Millions.
6. For the twelve months ended March 31, 2014, Other Expenses and Finance Costs
are net of liability for earlier years towards Rates and Taxes and Interest
thereon of Rs. 1579.100 Millions and Rs. 347.700 Millions respectively that are
no longer required and therefore written back consequent to a favourable High
Court Order.
7. The Scheme of Arrangement between Wimco Limited ('Wimco') and the Company
became effective on June 27, 2014 on filing of the Order of the Hon'ble High
Court with the respective Registrar of Companies. The Scheme, with effect from
April 01, 2013, provided for the demerger of the Non Engineering Business of
Wimco into the Company. The results for the quarter ended June 30, 2014 reflect
the effect of the Scheme, and consequently, the figures for the previous periods
are not strictly comparable. Pavan Poplar Limited and Prag Agro Farm Limited
have become direct subsidiaries of the Company with effect from June 27, 2014,
consequent upon the Scheme becoming effective.
8. Pursuant to the enactment of the Companies Act 2013 (the 'Act'), the Company
has, effective April 01, 2014, reviewed and revised the estimated useful lives
of its fixed assets, generally 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.
9. This statement is as per Clause 41 of the Listing Agreement.
FIXED ASSETS:
·
Freehold Land
·
Freehold Building
·
Railway Sidings
·
Plant and Machinery
·
Computer, servers and other I.T equipments
·
Furniture and Fittings
·
Motor Vehicles
·
Leasehold properties
·
Capitalized software
PRESS RELEASE:
ITC MAKES A HEALTHY
START WITH E-CIGARETTES
15 Aug 2014
E-cigarettes have been launched in Hyderabad and Kolkata, they will be rolled out pan-India in phases
The diversified ITC group has forayed into electronic cigarettes to offset shrinking sales of its conventional tobacco cigarettes due to recurrent price increases.
The Kolkata-headquartered cigarettesto-hotels group has launched two electronic-vaping devices, or electronic cigarettes, under the Eon brand.
The products have been designed inhouse but are being manufactured in Chi na. A spokesperson for ITC said the e-cigarettes have been launched in Hyderabad and Kolkata and will be rolled out pan-India in phases. They will also be sold online.
Unlike conventional tobacco cigarettes, e-cigarettes release vapour -and not smoke -when a nicotine-laced liquid is heated. The vapour does not contain tar, the main harmful component in conventional tobacco cigarettes.
Eon comes about 10 months after ITC forayed into the nicotine replacement therapy (NRT) market with `Kwiknic'.
Analysts said ITC's foray into e-cigarettes and NRT is to create newer consumption areas as growing health awareness, the government's drive against tobacco products and rising cost of combustible cigarettes force consumers to look for alternatives.
“ITC's strategy to foray into tobaccofree nicotine products is a long-term strategy to de-risk the cigarette business and also open doors to newer health-conscious consumers,“ said an analyst with a leading brokerage.
The analyst, who did not want to be named, said ITC's cigarette business sales will be down this year due to the 20% price hike effected in sev price hike effected in several popular brands.
Last fiscal, the contribution of ITC's cigarette business to the group's overall net sales was down to 41% due to rapid diversification into FMCG, hotels and agribusiness.
Being tobacco-free, Eon and Kwiknic are not sub jected to regulations under the Cigarettes and Other Tobacco Products Act and can be consumed, marketed and sold like any consumer product. E-cigarettes are more popular over seas with the US and Europe being the key markets. In India, the category is still at a nascent stage with lesser known imported brands selling online, the ITC spokesperson said. Last month, ITC chairman YC Deveshwar had said that an early entry into this segment would help ITC build a strong domestic brand, which will reduce royalty payment outflow when MNCs enter.
As per the US FDA website, e-cigarettes are battery-operated products designed to deliver nicotine, flavour and other chemicals. Safety of e-cigarettes, however, is yet to be fully established.
Big cigarette companies like Philip Morris, British American Tobacco and Reynolds American have already forayed into the segment.
According to Euromonitor International, the global market for e-cigarettes is estimated at $3 billion and poised to touch $18 billion by 2017.
ITC REPLACES TCS AS
INDIA’S MOST ADMIRED COMPANY: FORTUNE MAGAZINE
25 Aug 2014
The business magazine’s list of most admired companies for 2014 puts ITC at the top, followed by L&T, Hindustan Unilever, Maruti Suzuki and SBI.
Tobacco-to-consumer goods conglomerate ITC Ltd has replaced IT giant Tata Consultancy Services (TCS) as India’s most admired company on a Fortune magazine list, which has got as many as 19 new entrants including Cognizant Technology Solutions Corp., Idea Cellular Ltd and discom BSES Rajdhani Power Ltd (BRPL).
In the latest list for 2014, ITC is followed by engineering and infrastructure major Larsen and Toubro Ltd (L&T), Hindustan Unilever Ltd (HUL), car maker Maruti Suzuki India Ltd and State Bank of India (SBI) among the top five most admired companies in India.
In comparison, the list for 2013 was topped by TCS, followed by HUL, ITC, Infosys Ltd and SBI at in the top-five. TCS has moved down to the sixth position this year.
Releasing the third annual list of 45 most admired companies in India, for 2014, the business magazine said there are as many as 19 new entities on the list including GMR Infrastructure Ltd, Idea Cellular, BRPL and Cognizant.
The list has been prepared in collaboration with the Hay Group.In sectoral rankings, NTPC Ltd is at the top position for the power sector and is followed by Tata Power Co. Ltd, BRPL, Power Grid Corp. of India and BSES Yamuna Power Ltd in the top five.Of these, three companies have found place on the main list-NTPC at 22nd, Tata Power at 27th and BRPL at the 35th position.
For the telecom sector, Vodafone India Ltd is at the top, followed by Bharti Airtel Ltd, Idea Cellular, Tata Communications Ltd,Reliance Communications Ltd, Aircel Ltd in the top five.The list for the pharma and healthcare sector is topped by Apollo Hospitals Enterprise Ltd, followed by Abbott India Ltd, GSK Pharma, Cadila, Sun Pharmaceutical Industries Ltd, Cipla Ltd and Ranbaxy, among others.
The rankings are based on a survey of over 1,500 companies as per responses from the top industry executives, including on the basis of peer group response.
ITC DEVELOPS
SHELF-READY PACKAGING SOLUTION FOR FMCG INDUSTRY
30 Aug 2014
ITC Ltd has developed a shelf-ready packaging solution for consumer goods where the pack itself turns into a retail shelf, reducing the retailer's investment on shelves, optimising space and attracting consumer's attention faster, but likely increasing costs for marketers.
The tobacco-to-hospitality-to-consumer goods conglomerate, which also owns South Asia's largest packaging unit, believes its new packaging solution can transform FMCG packaging the way Swedish packaging major Tetra Pak did for beverages and dairy industries.
"Developed markets extensively use shelf-ready packaging solutions for modern trade. We believe this is a trend that will catch on in India, especially at a time when retailers are trying to reduce capital cost and we are getting ready for the same," said ITC's chief executive for the packaging and printing business R Senguttuvan.
The company plans to soon pitch its shelfready solution to FMCG firms for whom it undertakes packaging, including Tata Global Beverages, GlaxoSmithKline Consumer Healthcare, Colgate Palmolive, Ferrero Rocher, Nestle, Goodricke, Lotte, Marico, Bayer, Reckitt Benckiser, Pernod Ricard and United Spirits, besides its clients in Europe, Africa and the Middle East.
ITC's packaging business is part of the paperboards, paper and packaging division, which last fiscal clocked combined net revenue of Rs. 4,860 crore. Senguttuvan said the company plans to set up a new packaging plant in western India to tap potential growth opportunities, though it is yet to decide on a location. ITC currently has three plants - in Chennai, Haridwar and Munger, which have integrated packaging and design units.
The packaging division is also responsible for making clutter-cutting packaging designs for ITC's own packaged food and personal care products such as Engage deodorants and Sunfeast Dark Fantasy biscuits. This has become an area of concern, with some rival FMCG companies turning cautious about using ITC's packaging.
"It is indeed a challenge which we often need to overcome," said Senguttuvan. However, he added that the firm runs its businesses with complete professionalism and maintains strict confidentiality for its clients. "We have strong processes and controls in place as well as multiple levels of physical and data security to ensure confidentiality, which our customers appreciate."
Can ITC milk the
dairy market?
Tuesday, September 2, 2014
Moneycontrol Bureau
Conglomerate ITC is planning to enter the lucrative dairy market, much of which is currently unorganized while the organized market is dominated by players such as Amul, Nestle, Gowardhan and Brittania.
According to a report in the Business Standard, the hotels-to-tobacco major plans to set up plants in six players and plans to become a pan-India player in the sector.
The move is part of the diversification strategy ITC started
a little over a decade ago when cigarettes were its core business.
Before this, the company’s last move was to venture into the FMCG business. The
move came after regulatory concerns over tobacco products were seen to be
increasing.
However, cigarettes continue to account for nearly half of the company’s consolidated sales and almost all of its net profits.
This shows that the company continues to earn a high profit margin on its tobacco businesses despite the increasingly high amount that has been levied on it in recent years.
Over the years, several analysts have questioned ITC’s decision to diversify into other lower-return businesses even as it continues to do well in its core cigarettes business.
Recently, company chairman YC Deveshwar defended the move and said it had established strong brands in the FMCG segment and that its aim was to become the country’s number-one player in the business by 2030 with revenues of Rs 1 lakh crore.
He had also then said that the company would eventually look to enter the dairy, fruit juices, tea, coffee and chocolates divisions.
In a 2012 interview, Deveshwar had said ITC would spend about Rs 25,000 crore over the next five-seven years to power its growth in these segments.
But long worried about the low-margin returns of the FMCG business, analysts will likely keep a wary eye on the new foray.
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper payments
to government officials for engaging in prohibited transactions or with
designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.60.44 |
|
|
1 |
Rs.98.64 |
|
Euro |
1 |
Rs.78.20 |
INFORMATION DETAILS
|
Information
Gathered by : |
HTL |
|
|
|
|
Analysis Done by
: |
SUB |
|
|
|
|
Report Prepared
by : |
SNT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
9 |
|
PAID-UP CAPITAL |
1~10 |
9 |
|
OPERATING SCALE |
1~10 |
9 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
9 |
|
--PROFITABILIRY |
1~10 |
9 |
|
--LIQUIDITY |
1~10 |
9 |
|
--LEVERAGE |
1~10 |
9 |
|
--RESERVES |
1~10 |
9 |
|
--CREDIT LINES |
1~10 |
9 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
81 |
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.