MIRA INFORM REPORT
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Report No. : |
319962 |
|
Report Date : |
30.04.2015 |
IDENTIFICATION DETAILS
|
Name : |
PREMIER LIMITED |
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Registered
Office : |
Mumbai Pune Road, Chinchwad, Pune, Pune – 411019, Maharashtra |
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Tel. No.: |
91-20-66310000 |
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Country : |
India |
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Financials (as
on) : |
31.03.2014 |
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Date of
Incorporation : |
27.06.1944 |
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Com. Reg. No.: |
11-020842 |
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Capital
Investment / Paid-up Capital : |
Rs. 303.995 Million |
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CIN No.: [Company Identification
No.] |
L34103PN1944PLC020842 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
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PAN No.: [Permanent Account No.] |
Not Available |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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Line of Business
: |
Subject operates in two business segments:
Engineering and Automotive. The Engineering segment consists of Manufacture
of CNC Machines and large mechanical components for the wind energy and
infrastructure sectors and professional and engineering services related
thereto. The Automotive Segment consists of Manufacture of Light and Sport
Utility Vehicles along with related spare parts as well as auto components
for other OEM’s. |
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|
|
|
No. of Employees
: |
1446 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (42) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 14000000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Slow but correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having satisfactory track record. For the financial year ended 2014, sales turnover of the company has
declined which has resulted into dip in profit of the company. However, the rating takes into consideration significant experience
and technical expertise of the promoters of premier in the engineering and
automobile industry supported by established track record in the segment and
sound financial base of the company. Trade relations are fair. Business is active. Payments are reported to
be slow but correct. In view of experienced promoters backed by established track record of
business operations, the company can be considered for business dealings at
usual terms and condition. |
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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
Long Term Bank Facilities (Fund Based Term Loan) “BB” |
|
Rating Explanation |
Inadequate credit quality and high credit risk |
|
Date |
February 27, 2015 |
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|
|
Rating Agency Name |
CARE |
|
Rating |
Short Term Bank Facilities (Non-Fund Based-LC/BG) “A4” |
|
Rating Explanation |
Minimal degree of safety and very high credit risk |
|
Date |
February 27, 2015 |
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.
LOCATIONS
|
Registered Office / Works : |
Mumbai Pune Road, Chinchwad, Pune, Pune – 411019, Maharashtra,
India |
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Tel. No.: |
91-20-66310000 |
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Fax No.: |
91-20-66310371 |
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E-Mail : |
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Website : |
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Corporate Office : |
58, Nariman Bhavan, 5th Floor, Nariman Point,
Mumbai – 400021, India |
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Tel. No.: |
91-22-61179000 / 1 / 2 |
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Fax No.: |
91-22-61179003 |
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Branch Office 1 : |
No
549-A, Parallel to 14th Cross, 4th Phase, Peenya Industrial Area, Bangalore –
560058, Karnataka, India |
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Tel. No.: |
91-80-28363071 |
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Fax No.: |
91-80-28363901 |
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Branch Office 2 : |
407,
4th Floor, World Trade Centre, Barkhamba Lane, New Delhi – 110001, India |
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Tel. No.: |
91-11-23413331 |
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Fax No.: |
91-11-23413332 |
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Branch Office 3 : |
T-8/1,
4th Main Road, Anna Nagar, Chennai – 600 040, Tamilnadu, India |
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Tel. No.: |
91-44-26190809 |
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Fax No.: |
91-44-26190302 |
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Branch Office 4 : |
1st
Floor, Commerce House, Room No 7 and 7A, 2, Ganesh Chandra Avenue, Kolkata – 700019,
West Bengal, India |
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Tel. No.: |
91-33-22132953 |
DIRECTORS
AS ON 31.03.2014
|
Name : |
Maitreya V. Doshi |
|
Designation : |
Chairman and Managing Director |
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Name : |
S. Padmanabhan |
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Designation : |
Director, IAS (Retd.) / Advisor |
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Name : |
Asit Javeri |
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Designation : |
Director, Industrialist |
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Name : |
Rohita M. Doshi |
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Designation : |
Computer Engineer |
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Name : |
Shailesh S. Vaidya |
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Designation : |
Advocate and Solicitor |
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Name : |
Udo Weigel |
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Designation : |
Machine Tool Technologist |
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Name : |
Kavita Khanna |
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Designation : |
Director, Management Consultant |
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Name : |
Dilip J. Thakkar |
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Designation : |
Director |
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Name : |
Ramesh Adige |
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Designation : |
Director, Industry
expert - Automotive, Pharma, Healthcare, Banking and Public Policy |
KEY EXECUTIVES
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SENIOR
MANAGEMENT TEAM : |
|
|
Name : |
M. D. Adhikari |
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Designation : |
President |
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Name : |
K. G. Rathi |
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Designation : |
Vice President - Engineering Division |
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Name : |
D. S. Totre |
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Designation : |
Vice President - Machines Division |
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Name : |
Ramesh M. Tavhare |
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Designation : |
Vice President - Finance & Legal, Company Secretary |
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Name : |
Rakesh Mehta |
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Designation : |
Vice President - Automotive Division |
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Name : |
K.S. Nair |
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Designation : |
Chief Financial Officer |
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Name : |
S. D. Joshi |
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Designation : |
General Manager - Design and Development - Machines |
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Name : |
V. R. Kothari |
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Designation : |
General Manager - Gear Machines Business |
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Name : |
R. V. Nair |
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Designation : |
General Manager - Accounts and MIS |
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Name : |
P. G. Salunkhe |
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Designation : |
General Manager - Operations - Engineering |
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Name : |
N. G. Kuntoji |
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Designation : |
General Manager Commercial - Engineering |
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Name : |
Erica De Souza |
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Designation : |
General Manager - Chairman’s Office, Corporate Communication CSR and Training |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON: 31.12.2014
|
Category of Shareholder |
Total
No. of Shares |
As a % |
|
(A) Shareholding of Promoter
and Promoter Group |
|
|
|
|
|
|
|
|
40500 |
0.13 |
|
|
13612702 |
44.82 |
|
|
13653202 |
44.95 |
|
|
|
|
|
Total shareholding of Promoter
and Promoter Group (A) |
13653202 |
44.95 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
12074 |
0.04 |
|
|
1866664 |
6.15 |
|
|
1250 |
0.00 |
|
|
179482 |
0.59 |
|
|
2059470 |
6.78 |
|
|
|
|
|
|
2994741 |
9.86 |
|
|
|
|
|
|
7150599 |
23.54 |
|
|
4201190 |
13.83 |
|
|
313368 |
1.03 |
|
|
2811 |
0.01 |
|
|
151837 |
0.50 |
|
|
139750 |
0.46 |
|
|
18970 |
0.06 |
|
|
14659898 |
48.27 |
|
Total Public shareholding (B) |
16719368 |
55.05 |
|
Total (A)+(B) |
30372570 |
100.00 |
|
(C) Shares held by Custodians
and against which Depository Receipts have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
30372570 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject operates in two business segments:
Engineering and Automotive. The Engineering segment consists of Manufacture
of CNC Machines and large mechanical components for the wind energy and
infrastructure sectors and professional and engineering services related
thereto. The Automotive Segment consists of Manufacture of Light and Sport
Utility Vehicles along with related spare parts as well as auto components
for other OEM’s. |
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Products : |
- |
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Brand Names : |
Not Available |
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Agencies Held : |
Not Available |
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Exports : |
Not Available |
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Imports : |
Not Available |
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Terms : |
Not Available |
GENERAL INFORMATION
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Suppliers : |
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Customers : |
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No. of Employees : |
1446 (Approximately) |
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Bankers : |
·
State Bank of India ·
State Bank of Hyderabad ·
Corporation Bank ·
J&K Bank Limited |
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Facilities : |
Note: Long Term
Borrowings Term Loan of Rs. 1500.000 Million (Previous year: Rs. 1500.000 Million) from SBI is secured by way of first charge on current assets on pari-passu basis with other lenders and first pari-passu charge on fixed assets of the company at Chinchwad along with J and K Bank and Corporation Bank. Also SBI holds an exclusive 1st mortgage charge on the 41.44 acres of Company"s land located at Kalyan/ Dombivli towards their loan. The above loan of Rs.1500.000 Million is for a tenure of eight and a half years including a moratorium of 18 months. The repayment installments are spread over 84 months commencing from 31/10/2014 and the last installment falling due on 30/09/2021. The first two installments are of Rs. 0.500 Million each, the next 4 installments are of Rs. 1.000 Million each, next 10 installments are of Rs. 2.000 Million each, next 2 installments are of Rs. 2.500 Million each, next 6 installments are of Rs. 15.000 Million each, next 24 installments are of Rs. 20.000 Million each and the next 36 installments are of Rs. 25.000 Million each. Annual rate of Interest is 2.30% above SBI base rate. Term Loan of Rs. Nil (Previous year: Rs.73.750 Million) from State Bank of Hyderabad was secured by way of first pari-passu charge on Companys fixed assets at Chinchwad, Pune (both present and future) and Second pari-passu charge on Companys current assets located at the plant at Chinchwad or in transit. This loan is fully pre-paid during FY 2013-14 along with interest at the rate of 5 % above SBH base rate. Term Loan of Rs. Nil (Previous year: Rs.464.300 Million) from Corporation Bank, was secured by way of first pari-passu charge on Companys present and future fixed assets at Chinchwad, Pune and Second pari-passu charge on Companys current assets located at the plant at Chinchwad or in transit. This loan is fully pre-paid during FY 2013-14 along with interest at the rate 3.25 % over Corporation Bank base rate. Corporate Loan Rs. 1000.000 Million (Previous Year Rs. 1000.000 Million) from The Jammu & Kashmir Bank Ltd. is secured by way of first pari-passu charge on plant and machinery and fixed assets of the company located at Chinchwad, Pune and second pari-passu charge on current assets of the company. This loan is for a total tenure of 36 months, repayable in 18 equal installments after a moratorium period of 18 months. There are 17 monthly installments each of Rs. 55.000 Million with the first installment due on 30/09/2014. The last installment (18th installment) is of Rs. 65.000 Million due on 29/02/2016. Annual rate of Interest is 2% over J&K Bank Base rate Hire purchase Loan of Rs 49.720 Million for a tenure of 4 years from First leasing Company of India Limited is secured under the specific Fixed Asset procured against the said Loans. Rs. 49.720 Million is repayable in 31 variable monthly installments till October 2016. Annual rate of Interest is 2% above SBI base rate. All the above facilities covered under a to be are also secured by the personal guarantee of Mr. Maitreya V. Doshi, Chairman and Managing Director of the company. Deposits accepted from public and shareholders carry
varying rate of interest from 11.50% to 12.50% p.a. depending upon the
cumulative/non-cumulative option and the period of maturity such as 1 year, 2
year or 3 year. Short Term
Borrowings The Working Capital facilities (Cash Credit Rs. 600.000 Million, non- funded facilities Rs. 750.000 Million, totaling to Rs. 1350.000 Million, Previous Year Rs.1650.000 Million) are under a consortium banking arrangement with State Bank of India - as the lead banker having a share of Rs. 1000.000 Million (previous year Rs. 1050.000 Million) along with State Bank of Hyderabad Rs. 250.000 Million (previous year Rs.450.000 Million) and Corporation Bank Rs.100.000 Million (previous year Rs. 150.000 Million). These facilities are secured by way of first pari-passu charge on Company"s current assets located at the plant at Chinchwad or in transit and second pari-passu charge on Companys present and future fixed assets at Chinchwad, Pune. Annual rate of Interest varies from 0.50% above base rate to 5% above the Base Rates of these banks. All the above facilities are also secured by the personal
guarantee of Mr. Maitreya V. Doshi, Chairman and Managing Director of
the company. Short Term Loan of Rs. 250.000 Million (Previous Year Rs. Nil ) from Corporation Bank is secured by way of first paripassu charge on the plant and machinery and fixed assets of the Company located at Chinchwad, Pune and second pari-passu charge on current assets of the company located at Chinchwad, Pune. This loan is repayable in 5 installments of Rs.50.000 Million each starting from August 14 and 5th installment is falling due on December 14. Annual rate of Interest is 2.35% over Corporation Bank Base rate. Short Term Loan of Rs. 50.000 Million availed during the year from Sicom Investments & Finance Limited (Previous year Rs. Nil) is repayable within one year and the security creation is pending. The Inter Corporate Deposits of Rs.356.500 Million (previous year Rs. 143.000 Million) are unsecured short term Loans repayable within 3 to 6 months with Interest rate varying 14.50% to 17.00% p.a. The above includes Rs.125.000 Million (Previous year 21.500 Million) borrowed by the Company for
which the promoters have pledged their shares. |
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Financial
Institution: |
First Leasing Company of India Limited, 749, Anna Salai, Chennai - 600002, Tamil Nadu, India |
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Statutory
Auditors : |
K. S. Aiyar and Company Chartered Accountants |
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Internal
Auditors : |
Jayesh Dadia and Associates Chartered Accountants |
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Cost Auditors : |
ABK and Associates Cost Accountants |
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Solicitors
: |
Kanga and Company Desai and Diwanji AMC Law Firm |
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Memberships : |
Not Available |
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Collaborators : |
Not Available |
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Associate Company: |
·
Doshi Holdings Private Limited ·
PAL Credti and Capital Limited ·
Premier Auto Limited |
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Subsidiary of
Holding Company : |
DHPL Marine Private Limited |
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Promoter Related
Trust : |
Shri Lalchand Hirachand Trust |
CAPITAL STRUCTURE
After AS ON
12.09.2014
Authorised Capital: Rs. 400.000 Million
Issued, Subscribed & Paid-up Capital: Rs. 303.726
Million
As on 31.03.2014
A)
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
40000000 |
Equity Shares |
Rs. 10/- each |
Rs.400.000 Million |
|
|
|
|
|
Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
30454180 |
Equity Shares |
Rs. 10/- each |
Rs.304.542 Million |
|
|
|
|
|
Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
30372570 |
Equity Shares |
Rs. 10/- each |
Rs.303.726 Million |
|
81610 |
Add: Forfeited Equity Shares |
|
Rs.0.269 Million |
|
|
|
|
|
|
|
Total |
|
Rs.303.995
Million |
B)
Reconciliation of number of equity shares
outstanding at the beginning and at the end of the year
|
Equity Shares |
Number of Shares
|
|
Number of shares
outstanding as at the beginning of the year |
30372570 |
|
Number of shares
outstanding as at the end of the year |
30372570 |
C)
The Rights, Preferences, Restriction including
restriction on the distribution of dividend and repayments of capital
1.
The Company is having only one class of
shares that is Equity carrying nominal value of Rs.10 per share.
2.
Every holder of equity share of the
Company is entitled to one vote per share held.
3.
In the event of liquidation of the
Company, the equity share holder will be entitled to receive remaining assets
of the Company after the distribution / repayments of all creditors. The
distribution to the shareholder will be in proportion of the number of shares
held by each shareholder.
4.
The Company declares and pays dividend
on the equity shares in Indian Rupees. Dividend proposed by the Board of
Directors is subject to approval of the shareholders at the ensuing Annual
General Meeting.
5.
During the year ended 31st March,2013
an amount of Rs.3.00 per equity share (30%) is proposed as dividend for the
equity shareholders (Previous year Rs. 3.00 per equity share ) Also a one-time
special dividend of Rs.4.00 per equity share (40%) has been proposed, making a
total dividend of Rs.7.00 per equity share(70%).
D)
Shares held by holding/ultimate holding company
and/or their subsidiaries / associates
The company is not a Subsidiary of any other company.
E)
Details of shareholders holding more than 5% shares
in the company
|
Name of Shareholder |
Number of Shares |
% holding |
|
Doshi Holdings Private Limited (Associate) |
13612702 |
44.82% |
|
Life Insurance Corporation of India |
1820815 |
5.99% |
|
Patton International Limited |
1786361 |
5.88% |
F)
The Company had issued 4326000 Convertible warrants
in the Year 2006-07. Out of these for 1986674 warrants equivalent numbers of
shares were allotted in the year 2007-08, for 23,18,053 warrants equivalent
number of shares were allotted in the year 2008-09, and the balance 21,273
warrants were forfeited by the Company in the year 2009-10.
FINANCIAL DATA
[all figures are in
Rupees Million]
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 |
303.995 |
303.995 |
303.995 |
|
(b) Reserves & Surplus |
4682.185 |
4828.491 |
6800.429 |
|
(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) |
4986.180 |
5132.486 |
7104.424 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
2503.580 |
3413.011 |
1693.875 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
139.970 |
0.000 |
|
(c) Other long term
liabilities |
0.660 |
1.007 |
2.437 |
|
(d) long-term
provisions |
67.889 |
67.093 |
65.063 |
|
Total Non-current
Liabilities (3) |
2572.129 |
3621.081 |
1761.375 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
1572.944 |
583.208 |
967.315 |
|
(b) Trade payables |
485.441 |
807.991 |
1002.593 |
|
(c) Other
current liabilities |
818.811 |
529.710 |
1141.187 |
|
(d) Short-term
provisions |
134.810 |
536.827 |
179.668 |
|
Total Current
Liabilities (4) |
3012.006 |
2457.736 |
3290.763 |
|
|
|
|
|
|
TOTAL |
10570.315 |
11211.303 |
12156.562 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
5183.071 |
5514.867 |
7588.324 |
|
(ii)
Intangible Assets |
333.407 |
417.805 |
8.224 |
|
(iii)
Capital work-in-progress |
268.077 |
190.082 |
949.475 |
|
(iv)
Intangible assets under development |
282.798 |
0.000 |
1182.152 |
|
(b) Non-current Investments |
36.492 |
36.492 |
36.297 |
|
(c) Deferred tax assets (net) |
164.967 |
0.000 |
115.800 |
|
(d) Long-term Loan and Advances |
273.387 |
46.053 |
61.417 |
|
(e) Other
Non-current assets |
18.425 |
2208.177 |
7.909 |
|
Total Non-Current
Assets |
6560.624 |
8413.476 |
9949.598 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a) Current
investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
667.245 |
1001.470 |
930.240 |
|
(c) Trade
receivables |
978.883 |
1089.561 |
725.801 |
|
(d) Cash
and cash equivalents |
102.508 |
514.550 |
336.208 |
|
(e)
Short-term loans and advances |
244.083 |
187.177 |
207.322 |
|
(f) Other
current assets |
2016.972 |
5.069 |
7.393 |
|
Total
Current Assets |
4009.691 |
2797.827 |
2206.964 |
|
|
|
|
|
|
TOTAL |
10570.315 |
11211.303 |
12156.562 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
SALES |
|
|
|
|
|
|
|
Income |
1613.750 |
2408.321 |
2671.543 |
|
|
|
Other Income |
598.978 |
3132.504 |
31.655 |
|
|
|
TOTAL (A) |
2212.728 |
5540.825 |
2703.198 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
1089.234 |
1429.255 |
1632.808 |
|
|
|
Changes in inventories of finished goods, work-in-progress
and Stock-in-Trade |
(92.041) |
(16.290) |
(164.920) |
|
|
|
Employees benefits expense |
308.372 |
313.744 |
293.489 |
|
|
|
Other expenses |
285.850 |
338.499 |
448.787 |
|
|
|
Expenditure Capitalized (Internal Capitalization) |
(314.549) |
(367.623) |
(196.044) |
|
|
|
Non-Recurring Items |
0.000 |
1752.918 |
0.000 |
|
|
|
TOTAL (B) |
1276.866 |
3450.503 |
2014.120 |
|
|
|
|
|
|
|
|
Less |
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
935.862 |
2090.322 |
689.078 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
661.849 |
517.611 |
419.056 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
274.013 |
1572.711 |
270.022 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
327.460 |
156.415 |
128.156 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE TAX
(E-F) (G) |
(53.447) |
1416.296 |
141.866 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(304.937) |
539.827 |
(86.518) |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
251.490 |
876.469 |
228.384 |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
848.019 |
308.648 |
211.163 |
|
|
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
|
|
Transfer to General Reserve |
30.000 |
90.000 |
25.000 |
|
|
|
Dividend |
91.118 |
212.608 |
91.118 |
|
|
|
Tax on Dividend |
15.485 |
34.490 |
14.781 |
|
|
BALANCE CARRIED
TO THE B/S |
962.906 |
848.019 |
308.648 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
33.964 |
22.769 |
15.653 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw Materials |
110.978 |
285.157 |
382.315 |
|
|
|
Capital Goods |
0.000 |
0.000 |
57.103 |
|
|
TOTAL IMPORTS |
110.978 |
285.157 |
439.418 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
8.28 |
28.86 |
7.52 |
|
QUARTERLY /
SUMMARISED RESULTS
|
PARTICULARS |
Unaudited 30.06.2014 |
Unaudited 30.09.2014 |
Unaudited 31.12.2014 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
|
Revenue |
574.000 |
368.100 |
381.800 |
|
Other Income |
-- |
-- |
-- |
|
Total Income |
574.000 |
368.100 |
381.800 |
|
Expenditure |
(544.100) |
(328.000) |
(292.400) |
|
Interest |
(163.600) |
(158.900) |
(149.300) |
|
PBDT |
(133.700) |
(118.800) |
(59.900) |
|
Depreciation |
(90.200) |
(84.500) |
(73.500) |
|
PBT |
(223.900) |
(203.300) |
(133.400) |
|
Tax |
29.500 |
7.200 |
0.000 |
|
Net Profit |
(194.400) |
(196.100) |
(133.400) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
Net Profit Margin (PAT / Sales) |
(%) |
15.58 |
36.39 |
8.55 |
|
|
|
|
|
|
|
Operating Profit Margin (PBIDT/Sales) |
(%) |
57.99 |
86.80 |
25.79 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(0.54) |
12.89 |
1.44 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
(0.01) |
0.28 |
0.02 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.82 |
0.78 |
0.37 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.33 |
1.14 |
0.67 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Million]
DEBT EQUITY RATIO
|
Particular |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs. In Million) |
(Rs. In Million) |
(Rs. In Million) |
|
Share Capital |
303.995 |
303.995 |
303.995 |
|
Reserves & Surplus |
6800.429 |
4828.491 |
4682.185 |
|
Net worth |
7104.424 |
5132.486 |
4986.180 |
|
|
|
|
|
|
long-term borrowings |
1693.875 |
3413.011 |
2503.580 |
|
Short term borrowings |
967.315 |
583.208 |
1572.944 |
|
Total borrowings |
2661.190 |
3996.219 |
4076.524 |
|
Debt/Equity ratio |
0.375 |
0.779 |
0.818 |
YEAR-ON-YEAR GROWTH
|
Year on Year Growth |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs. In Million) |
(Rs. In Million) |
(Rs. In Million) |
|
Sales |
2671.543 |
2408.321 |
1613.750 |
|
|
|
(9.853) |
(32.993) |
NET PROFIT MARGIN
|
Net Profit Margin |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs. In Million) |
(Rs. In Million) |
(Rs. In Million) |
|
Sales |
2671.543 |
2408.321 |
1613.750 |
|
Profit |
228.384 |
876.469 |
251.490 |
|
|
8.55% |
36.39% |
15.58% |
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 |
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 |
---------- |
|
23] |
Banking Details |
Yes |
|
24] |
Banking facility details |
Yes |
|
25] |
Conduct of the banking
account |
---------- |
|
26] |
Buyer visit details |
---------- |
|
27] |
Financials, if provided |
Yes |
|
28] |
Incorporation details, if
applicable |
Yes |
|
29] |
Last accounts filed at
ROC |
Yes |
|
30] |
Major Shareholders, if
available |
Yes |
|
31] |
Date of Birth of
Proprietor/Partner/Director, if available |
Yes |
|
32] |
PAN of
Proprietor/Partner/Director, if available |
No |
|
33] |
Voter ID No of
Proprietor/Partner/Director, if available |
No |
|
34] |
External Agency Rating,
if available |
Yes |
MANAGEMENT DISCUSSION
& ANALYSIS REPORT:
FINANCIAL REVIEW:
The Company achieved gross sales of Rs. 2050.000 Million in 2013-14 as against Rs.2980.000 Million in the previous year. The business operations of the Company were adversely affected due to slowdown in the economy, thereby affecting the capital goods sector and auto sector in which they operate.
The profit from operations before depreciation, amortization expense, interest and tax, was Rs. 935.800 Million (including a gain Rs.584.600 Million out of compensation received from Indian Railways against compulsory acquisition of the Company’s land) against Rs. 2090.300 Million in the previous year. The previous year’s profit included net gain of Rs.1320.000 Million on sale of the Company’s land.
The Company’s undervalued net worth as on 31st March, 2014, is Rs. 2870.000 Million and the total debt is Rs. 4480.000 Million. The debt-equity ratio is 1.56:1. If the revaluation of the Company’s land is considered, the net worth is Rs. 4990.000 Million and the debt-equity ratio on this basis is 0.90:1.
During the year, the Company incurred a capital investment of Rs.620.000 Million towards factory buildings, plant & machinery and product development. Most of the Company’s current capital investment plans have already been completed.
SEGMENT REVIEW
The Company operates in two reportable segments: Engineering and Automotive. The Engineering segment has two activities: CNC Machines and Engineering. The Automotive segment consists of Light Commercial and Sports Utility Vehicles.
CNC Machines
Industry Structure and Outlook: The year 2013-14 was a very challenging year due to economic slowdown in Indian business environment because of the Government policies and slowdown in auto industry. This has caused Auto Ancillaries to taper down capital investment during the year. This has had an adverse impact on CNC Gear Machines sales.
The Company’s CNC machine business was also adversely affected due to deferred capital investment programmer by Railways, private sector customers and PSU's like BHEL.
Operations: The Company continues to receive orders locally from Defense, Railways and major automobile OEMs.
The Company is also exploring sales tie - ups with dealers in overseas countries in order to achieve growth in business. The Design Centers at Pune and Bangalore continue to undertake new product development and value engineering activities which are vital for growth in CNC machine business.
The Quality improvement initiatives are undertaken on continuous basis and the norms are adhered to in line with market demand. The Company’s manufacturing facilities are ISO 9001-2008 certified.
Product Development: The following products were developed during the year:
- CNC Gear Hobbling Machine Model PHA 250: Features extended for better usage of machine capacity, new CNC controls introduced
- CNC Gear Hobbling Machine Model PHA 630: Machine Spindle taper SK50 with Spindle bearing for quick change of hob arbor, new CNC #controls introduced
- CNC Gear Shaving Machine Model PSS 350: New Compact Version of Shaving machine with additional axis of cutter head swivel
- CNC VTL Machine Model PTB Developed with C Axis and with new CNC Control
- Special Purpose Machine Model SPM, Totally New Design suitable for Ratchet Milling
BUSINESS STRATEGY
• Targeting new customers in new geographic segments
• Rationalization of existing product portfolio
• Technological improvement in gear cutting machines to enhance customer satisfaction
OPPORTUNITIES
• Long term growth in the auto and auto ancillary sector
• Modernization plans and new projects in Defense and Railways
• Export potential
• Expected demand from for Infrastructure sector.
UNSECURED LOAN:
|
Particulars |
31.03.2014 Rs.
In Millions |
31.03.2013 Rs.
In Million |
|
Long Term
Borrowings |
|
|
|
Cumulative
Fixed Deposit from Public |
25.610 |
114.085 |
|
Cumulative
Fixed Deposit from Shareholders |
29.810 |
24.650 |
|
Non-Cumulative
Fixed Deposit from Public |
176.783 |
243.058 |
|
Non-Cumulative Fixed Deposit from Shareholders |
68.038 |
53.498 |
|
Non-Cumulative Fixed Deposit from Related Parties |
60.300 |
61.500 |
|
|
|
|
|
Short Term
Borrowings |
|
|
|
Cumulative
Fixed Deposit from Public |
95.210 |
52.615 |
|
Cumulative
Fixed Deposit from Shareholders |
9.990 |
7.255 |
|
Non-Cumulative
Fixed Deposit from Public |
218.393 |
77.350 |
|
Non-Cumulative
Fixed Deposit from Shareholders |
22.915 |
52.360 |
|
Inter-Corporate Deposits |
356.500 |
143.000 |
|
|
|
|
|
Total |
1063.549 |
829.371 |
CONTINGENT
LIABILITIES:
(a) Disputed indeterminate claims made by the employees regarding reinstatement, wages for the period of suspension etc. relating to the past years pending before Industrial Tribunals/High Court.
(b) There are certain disputed excise demands of Rs. 6.405 Million (Previous year Rs. 6.405 Million) and FEMA demands of Rs. 6.549 Million (Previous Year Rs. 6.549 Million). The same are being contested by company in appeals at various levels. The company foresees no liability in the above case as the management believes that it has strong case in the appeal.
(c) The Company had paid Rs. 492.800 Million Excise dues as per Supreme Court order during the last year. The Company has received a letter from the Excise department demanding Rs. 38.961 Million as Interest on the said excise duty paid by the Company. The Company has filed writ petition before the Hon’ble Bombay High Court challenging the same. The Company has been legally advised that it has a good case and the said amount is considered as a contingent liability.
(d) The Company has paid an amount of Rs. 230.822 Million, to the Government of Maharashtra "under protest" towards "Unearned Income" on sale of land and compulsory acquisition of land. The Company’s appeal in this regard is pending before the Government of Maharashtra. This forms part of “Loans & Advances” and is considered as a contingent liability.
(e) Additional compensation, if any, in relation to certain demands in Consumer Forum cases, amount unascertained but considered to be insignificant.
(f) Guarantees issued by bank amounting to Rs.69.481 Million (Previous year: Rs.145.652 Million).
(g) Encashment of bank guarantee Liability of Rs. Nil (Previous Year Rs. 1.800 Million pertaining to the guarantee already encased by one of the CNC Machine customer).
INDEX OF CAHREGS:
|
S. NO. |
CHARGE ID |
DATE OF CHARGE
CREATION/MODIFICATION |
CHARGE AMOUNT
SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST
NUMBER (SRN) |
|
1 |
10426775 |
03/05/2013 |
1,000,000,000.00 |
THE JAMMU AND KASHMIR BANK LIMITED |
124 A/B,SYED HOUSE, S. V. SAVARKAR MARG, MAHIM WEST, MUMBAI - 400016, MAHARASHTRA, INDIA |
B75509646 |
|
2 |
10421763 |
04/09/2013 * |
1,500,000,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH,
2ND FLOOR, NGN VAIDYA MARG, HORNIMAN CIRCLE, FORT, MUMBAI, MAHARASHTRA, |
B85944528 |
|
3 |
10307363 |
02/05/2013 * |
1,650,000,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH, N.G.N. VAIDYA MARG, MUMBAI - 400023, MAHARASHTRA, INDIA |
B77868248 |
|
4 |
10302620 |
27/07/2011 |
100,000,000.00 |
FIRST LEASING COMPANY OF INDIA LIMITED |
749, ANNA SALAI, CHENNAI - 600002, TAMIL NADU, INDIA |
B18963827 |
* Date
of charge modification
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED AND NINE MONTHS
ON 31.12.2014
[RS.
IN MILLION]
|
PARTICULARS |
3 Months Ended |
9 Months Ended |
|
|
31.12.2014 [Unaudited] |
30.09.2014 [Unaudited] |
31.12.2014 [Unaudited] |
|
|
(a) Net sates/income from operations (Net of excise duty) |
376.600 |
362.100 |
1293.700 |
|
(b) Other Operating Income |
5.200 |
6.000 |
30.200 |
|
Total income from operations (net) |
381.800 |
368.100 |
1323.900 |
|
Expenses |
|
|
|
|
(a) Cost of materials consumed |
118.300 |
180.700 |
734.300 |
|
(b) Purchases of stock-in trade |
0.000 |
0.000 |
0.000 |
|
(c) Changes in inventories of finished goods.
work-in-progress and stock in trade |
19.200 |
-36.600 |
-73.200 |
|
(d) Employee benefits expense |
75.800 |
69.200 |
223.200 |
|
(e) Depreciation and Amortization Expenses |
73.500 |
84.500 |
248.200 |
|
(f) Other Expenses |
59.300 |
58.000 |
183.300 |
|
(g)Amortisement |
21.000 |
20.900 |
62.900 |
|
(f) Inernal Capitalised |
-1.200 |
-3.200 |
-5.000 |
|
Total expenses |
365.900 |
373.500 |
1373.700 |
|
Profit/ (Loss) from operations before other Income,
finance costs and exceptional Items (1-2) |
15.900 |
-5.400 |
-49.800 |
|
Other Income |
0.000 |
0.000 |
0.000 |
|
Profit/ (Loss) from operations before other income, finance
costs and exceptional items (3+4) |
15.900 |
-5.400 |
-49.800 |
|
Finance Costs |
149.300 |
158.900 |
471.800 |
|
Profit/ (Loss) from ordinary activities after finance cost
but before exceptional items (5-6) |
-133.400 |
-164.300 |
-521.600 |
|
Exceptional items |
0.000 |
39.000 |
39.000 |
|
Profit/ (Loss) from ordinary activities before tax (7+8) |
-133.400 |
-203.300 |
-560.600 |
|
Tax expenses |
0.000 |
-7.200 |
-36.700 |
|
Net Profit / (Loss) from ordinary activities after tax
(9-10) |
-133.400 |
-196.100 |
-523.900 |
|
Extraordinary item (net of tax expense) |
0.000 |
0.000 |
0.000 |
|
Net Profit / (Loss) for the period (11-12) |
-133.400 |
-196.100 |
-523.900 |
|
Paid-up equity share capital (Nominal value Rs.10
per share) |
303.700 |
303.700 |
303.700 |
|
Reserve excluding Revaluation Reserves as per
balance sheet of previous accounting year |
- |
-- |
- |
|
i)
Earnings per share (before extraordinary items) of Rs.10/- each) (not
annualised): |
- |
- |
- |
|
(a) Basic and diluted |
(4.39) |
(4.46) |
(17.25) |
|
|
|
|
|
|
A.
PARTICULARS OF SHAREHOLDING |
|
|
|
|
1.
Public Shareholding |
|
|
|
|
- Number of shares |
16719368 |
16719368 |
16719368 |
|
- Percentage of shareholding |
55.05 |
55.05 |
55.05 |
|
2. Promoters
and Promoters group Shareholding |
|
|
|
|
a) Pledged /Encumbered |
|
|
|
|
Number of shares |
6085000 |
5535000 |
6085000 |
|
Percentage of shares (as a % of total shareholding of the
promoter and promoter group) |
44.57 |
40.54 |
44.57 |
|
Percentage of shares (as a % of total share capital of the
company) |
20.03 |
18.22 |
20.03 |
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
|
Number of shares |
7568202 |
8118202 |
7568202 |
|
Percentage of shares (as a % of total shareholding of the promoter
and promoter group) |
55.43 |
59.46 |
55.43 |
|
Percentage of shares (as a % of total share capital of the
company) |
24.92 |
26.72 |
24.92 |
|
|
PARTICULARS |
3
Months Ended 31.12.2014 |
|
B |
Investor
complaints (Nos.) |
|
|
|
Pending at the beginning of the quarter |
Nil |
|
|
Received during the Quarter |
30 |
|
|
Disposed of during the quarter |
30 |
|
|
Remaining unresolved at the end of the quarter |
Nil |
UNAUDITED SEGMENT
WIE REVENUE, RESULTS AND CAPITAL EMPLOYED
(Rs. In
Million)
|
Particulars |
3
Months Ended |
9
Months Ended |
|
|
|
31.12.2014 [Unaudited] |
30.09.2014 [Unaudited] |
31.12.2014 [Unaudited] |
|
1.
Segment Revenue |
|
|
|
|
a. Engineering |
388.700 |
359.500 |
1287.600 |
|
b. Automotive |
10.100 |
17.000 |
82.900 |
|
Gross
value of operation |
398.800 |
376.500 |
1370.500 |
|
Less: Internal Capitalization for captive use |
1.200 |
3.200 |
5.000 |
|
Less: Excise Duty |
21.000 |
11.200 |
71.800 |
|
Total |
376.600 |
362.100 |
1293.700 |
|
Less : Inter Segment Revenue |
- |
- |
- |
|
Net
Sales |
376.600 |
362.100 |
1293.700 |
|
2.
Segment Result (Profit before Interest and Tax) |
|
|
|
|
a. Engineering |
74.900 |
49.100 |
118.400 |
|
b. Automotive |
(37.400) |
30.200) |
(100.500) |
|
Total |
37.500 |
18.900 |
17.900 |
|
Less
: (i) Interest |
149.300 |
158.900 |
471.800 |
|
(ii) Other un-allocable
expenditure net off un-allocable income. |
21.600 |
63.300 |
106.700 |
|
Profit
before Tax |
(133.400) |
203.300) |
(560.600) |
|
3.
Capital Employed |
|
|
|
|
a. Engineering |
4719.900 |
4606.700 |
4719.900 |
|
b. Automotive |
957.500 |
983.700 |
957.500 |
|
c. Unallocated |
3968.400 |
4752.600 |
3968.400 |
|
Total Capital Employed |
9645.800 |
10343.000 |
9645.800 |
Note:
1. The above unaudited results have been reviewed by the statutory auditors and the Audit Committee and approved by the Board of Directors at their respective meetings held on 9th February, 2015.
2. The useful life of fixed assets have been revised in accordance with the
Schedule II of the Companies Act, 2013. On account of this, depreciation for
the quarter is higher by Rs. 34.300Millionand for the nine months is higher by
Rs. 128.500 Million. Based on transitional provision of clause 7 (b) of
Schedule II, an amount of Rs. 64.000Millionhas been adjusted against the
opening General Reserve of the Company during the quarter ended 30th June,
2014.
3. Exceptional Item pertains to provision for interest liability due to
dismissal of Company's appeal before the Bombay High Court against the demand
raised by Excise authorities. This demand from Excise authorities was for
interest on the Rs. 4928Millionexcise amount paid by the Company during FY
12-13 consequent to the order from the Supreme Court of India. The Company has
been legally advised that it has a strong case against the interest claim from
the Excise department and accordingly the Company is in the process of filing
SLP in the Supreme Court of India against the High Court order. However, as a
measure of prudence, Company has provided for the said interest demand of Rs.
39.000Millionfrom the Excise authorities during the previous quarter and out of
that Rs. 10.000Millionhas been paid during the current quarter.
4. Previous period / year figures have been regrouped and / or rearranged
wherever necessary.
FIXED ASSETS:
·
Freehold land
·
Buildings
·
Plant and machinery
·
Cars and vehicles
·
Office equipment
·
Dies and jigs
·
Computer
·
004Fther application software
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper payments
to government officials for engaging in prohibited transactions or with
designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l Anti-Money
Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report: No press reports / filings exists on the
subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.63.20 |
|
|
1 |
Rs.97.10 |
|
Euro |
1 |
Rs.69.34 |
INFORMATION DETAILS
|
Analysis Done by
: |
KRN |
|
|
|
|
Report Prepared
by : |
MTN |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
5 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILITY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
4 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
42 |
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.