MIRA INFORM REPORT
|
Report No. : |
350524 |
|
Report Date : |
02.12.2015 |
IDENTIFICATION DETAILS
|
Name : |
JK TYRE AND
INDUSTRIES LIMITED |
|
|
|
|
Registered
Office : |
Jaykaygram, PO – Tyre Factory, Kankroli – 313342, Rajasthan |
|
Tel No. : |
91-11-23311112 |
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|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2015 |
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|
|
|
Date of
Incorporation : |
14.02.1951 |
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|
|
|
Com. Reg. No.: |
17- 045966 |
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|
|
|
Capital
Investment / Paid-up Capital : |
Rs.453.600Million |
|
|
|
|
CIN No.: [Company Identification
No.] |
L67120RJ1951PLC045966 |
|
|
|
|
IEC No.: |
0297018191 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
JDHJ01475F /
CALJ01643F |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACJ6716F |
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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 is engaged in the development, manufacture,
marketing, and distribution of automotive tyres, tubes and flaps. |
|
|
|
|
No. of Employees
: |
7285 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
A (68) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
Maximum Credit Limit : |
USD 24000000 |
|
|
|
|
Status : |
Good |
|
|
|
|
Payment Behaviour : |
Slow but correct |
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|
|
|
Litigation : |
Clear |
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|
|
|
Comments : |
Subject was established in the year 1951 and it is engaged in the development, manufacture, marketing, and distribution of automotive tyres, tubes and flaps. It offers passenger car tyre, commercial tyre for truck and busses, farm tyre and off the road tyres. The ratings continue to factor in the strength derived from the experience of the promoters supported by company’s long-track record of operations, its established market position in Truck and Bus Radial segment and wide marketing and distribution network. There was a continued expansion in PAT margin which is primarily attributed to decline in raw material prices coupled with change in product-mix with increased contribution from high margin radial tyres. Rating strengths is partially offset by its working capital intensive nature of operations, exposure to foreign currency fluctuation risks and raw material prices volatility and competitive nature of industry. Trade relations are reported as fair. Business is active. Payments are reported to be slow but correct. The company can be considered good for normal business dealings at usual 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 – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
Long Term bank Facilities = AA- |
|
Rating Explanation |
High degree of safety and very low credit risk. |
|
Date |
11.08.2015 |
|
Rating Agency Name |
CARE |
|
Rating |
Short Term Bank Facilities = A1+ |
|
Rating Explanation |
Very strong degree of safety and carry lowest credit risk. |
|
Date |
11.08.2015 |
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
31-03-2015.
LOCATIONS
|
Registered
Office : |
Jaykaygram, PO – Tyre Factory, Kankroli – 313342, Rajasthan, India |
|
Tel. No.: |
Not Available |
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Fax No.: |
Not Available |
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E-Mail : |
|
|
Website : |
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Location: |
Owned |
|
|
|
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Corporate/
Head Office : |
‘Link House’, 3,
Bahadur Shah Zafar Marg, |
|
Tel. No.: |
91-11-23311112-7 |
|
Fax No.: |
91-11-23322059/
23716205 |
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Plants
Locations : |
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Branch Office
1 / Administrative Office: |
3/Fl, Gulab
Bhavan, 3 Bahadur Shah Jafar Marg, |
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Branch Office
2: |
7, Council House Street, Kolkata-700001, India |
DIRECTORS
As on 31.03.2015
|
Name : |
Dr. Raghupati
Singhania |
|
Designation : |
Chairman and
Managing Director |
|
Address: |
40, Friends Colony (East), Delhi - 110065, India |
|
Date of
Appointment: |
29.05.1967 |
|
DIN No.: |
00036129 |
|
|
|
|
Name : |
Mr. Bharat Hari
Singhania |
|
Designation : |
Managing Director |
|
Address: |
19, The Green, Rajokari, Delhi - 110038, India |
|
Date of
Appointment: |
04.11.1987 |
|
DIN No.: |
00041156 |
|
|
|
|
Name : |
Mr. Vikrampati
Singhania |
|
Designation : |
Managing Director |
|
Address: |
B-16, West End, New Delhi - 110021, Delhi, India |
|
Date of
Appointment: |
14.03/1994 |
|
DIN No.: |
00040659 |
|
|
|
|
Name : |
Mr. Arun Kumar
Bajoria |
|
Designation : |
Whole-Time Director |
|
Address: |
A-14, 2nd Floor, New Friends Colony, Delhi - 110025, India |
|
Date of
Appointment: |
20.01.2010 |
|
DIN No.: |
00026540 |
|
|
|
|
Name : |
Mr. Arvind Singh
Mewar |
|
Designation : |
Director |
|
Address: |
The Palace, Udaipur - 313001, Rajasthan, India |
|
Qualification
: |
B. A. (English
Literature, Economics and Political Science), Hotel Management Ctheirse (U.K) |
|
Date of
Appointment: |
07.04.1975 |
|
DIN No.: |
00008244 |
|
|
|
|
Name : |
Mr. Bakul Premchand Jain |
|
Designation : |
Director |
|
Address: |
Shikar Kunj, 29-A, Carmaicheal Road, Mumbai - 400026, Maharashtra, India |
|
Date of
Appointment: |
22.02.1989 |
|
DIN No.: |
00380256 |
|
|
|
|
Name : |
Mr. |
|
Designation : |
Director |
|
Address: |
N-12 Panchsheel Park, Delhi -110017, India |
|
Date of
Appointment: |
30.08.1974 |
|
DIN No.: |
00027798 |
|
|
|
|
Name : |
Mr. Kalpataru
Tripathy |
|
Designation : |
Director |
|
Address: |
3101, Ats Greens - II, A-58, Sector-50, Noida - 201307, Uttar Pradesh, India |
|
Date of
Appointment: |
01.10.2010 |
|
DIN No.: |
00865794 |
|
|
|
|
Name : |
Ms. Sunanda Singhania |
|
Designation : |
Director |
|
Address: |
40, Friends Colony East, New Delhi, New Delhi, 110065, Delhi, India |
|
Date of
Appointment: |
12.08.2014 |
|
DIN No.: |
02356376 |
|
|
|
|
Name : |
Ms. Vimal Bhandari |
|
Designation : |
Director |
|
Address: |
Flat No. 164, 16th Floor, Tower A, Kalpataru Horizon, S K Ahire Marg, Worli, Mumbai - 400026, Maharashtra, India |
|
Date of
Appointment: |
29.07.2011 |
|
DIN No.: |
00001318 |
|
|
|
|
Name : |
Dr, Wolfgang Wilhelm Gunther Holzbach |
|
Designation : |
Director |
|
Address: |
St Stelingen, Landwehrriethe 15, Garbsen, 30827, Germany |
|
Date of
Appointment: |
06.11.2012 |
|
DIN No.: |
06422833 |
KEY EXECUTIVES
|
Name : |
Mr. Pawan Kumar Rustagi |
|
Designation : |
Secretary |
|
Address: |
B-1,1589, Vasant Kunj, Delhi - 110070, India |
|
Date of
Appointment: |
16.04.1996 |
|
PAN No.: |
AAEPR8219E |
|
|
|
|
Name : |
Ashok Kumar Kinra |
|
Designation : |
CFO |
|
Address: |
E-9/16, Vasant Vihar, Delhi - 110057, India |
|
Date of
Appointment: |
28.05.2014 |
|
PAN No.: |
AANPK2685A |
SHAREHOLDING PATTERN
As on 30.09.2015
|
Category of Shareholder |
Total No. of Shares |
% of Holding |
|
|
|
|
|
(A) Shareholding
of Promoter and Promoter Group |
||
|
|
|
|
|
|
5123305 |
2.26 |
|
|
113594350 |
50.08 |
|
|
118717655 |
52.34 |
|
|
|
|
|
Total
shareholding of Promoter and Promoter Group (A) |
118717655 |
52.34 |
|
(B) Public
Shareholding |
||
|
|
|
|
|
|
1711570 |
0.75 |
|
|
147159 |
0.06 |
|
|
1427600 |
0.63 |
|
|
2132884 |
0.94 |
|
|
24377052 |
10.75 |
|
|
29796265 |
13.14 |
|
|
|
|
|
|
18130181 |
7.99 |
|
|
|
|
|
|
33175778 |
14.63 |
|
|
6212223 |
2.74 |
|
|
20781378 |
9.16 |
|
|
700644 |
0.31 |
|
|
5345 |
0.00 |
|
|
2617009 |
1.15 |
|
|
17437500 |
7.69 |
|
|
20880 |
0.01 |
|
|
78299560 |
34.52 |
|
Total Public
shareholding (B) |
108095825 |
47.66 |
|
Total (A)+(B) |
226813480 |
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) |
226813480 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in the development, manufacture, marketing,
and distribution of automotive tyres, tubes and flaps. |
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|
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|
Products : |
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|
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Brand Names : |
JK TYRE |
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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 |
PRODUCTION STATUS = NOT AVAILABLE
GENERAL INFORMATION
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Suppliers : |
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Customers : |
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No. of Employees : |
7285 (Approximately) |
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Bankers : |
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Facilities : |
(Rs.
In Million)
Notes: 1. Term Loan of Rs. 242.900 Million from a Bank, secured by a first pari passu charge created on movable and immovable assets of Company’s Plant in Madhya Pradesh, both present and future is repayable in 17 equal quarterly instalments. 2. Term Loans aggregating Rs.717.100 Million from Banks are secured by a first pari passu charge created on movable and immovable assets at a Company’s Plant in Karnataka, both present and future and also secured by way of hypothecation created / to be created on the specified movable assets at Company’s Plants in Rajasthan, Madhya Pradesh and Karnataka. Term Loan from one bank amounting to Rs. 417.100 Million is repayable in 13 equal quarterly instalments and from another bank H30 crores is repayable in 9 equal quarterly instalments. 3. Term Loans aggregating Rs. 834.400 Million from Banks, secured by a first pari passu charge created on movable and immovable assets at a Company’s Plant in Karnataka, both present and future are repayable in 32 equal quarterly instalments. 4. Term Loans aggregating Rs.6829.800 Million (Rs.4683.300 Million from Banks and Foreign Currency Loan from a Financial Institution amounting to Rs.2146.500 Million including Rs.387.800 Million due to forex reinstatement), secured by a first pari passu charge created on movable and immovable assets at a Company’s Plant in Tamilnadu, both present and future are repayable in 32 equal quarterly instalments. 5. Term Loans aggregating Rs.4369.500 Million (Rs.1356.700 Million from Banks / Financial Institution, Foreign Currency Loan from a Financial Institution amounting to Rs.1251.800 Million including Rs.8.300 Million due to forex reinstatement and Buyer’s Credit of Rs.1761.000 Million net of Rs.1.1000 Million due to forex reinstatement availed from Banks, which will be substituted by Term Loans), secured by a first pari passu charge created on movable and immovable assets at a Company’s Plant in Tamil Nadu, both present and future and also secured by way of hypothecation created on the specified movable assets at Company’s Plants in Madhya Pradesh and Karnataka are repayable in 40 equal quarterly instalments commencing from December 2017. Buyer’s credit from a Bank of Rs. 217.900 Million including Rs.5.700 Million due to forex reinstatement, which will be substituted by Term Loan, is secured by a subservient charge on movable assets of the Company. 6. Foreign Currency Loan from a Bank amounting to Rs.1177.600 Million including Rs.33.000 Million due to forex reinstatement, secured by charge by way of hypothecation of specified assets at Company’s Plants in Rajasthan, Karnataka and Tamil Nadu, is repayable in 32 equal quarterly instalments commencing from February 2016. 7. Term Loan of Rs.408.600 Million from a body corporate to be secured by way of hypothecation on the specified assets at a Company’s Plant in Karnataka is repayable in 20 equal quarterly instalments. 8. Loan of Rs.500.000 Million from a Bank, secured by a subservient charge on current assets of the Company is repayable on 31.03.2016. 9. Term Loans carrying first pari passu charge on the movable and immovable assets, are subject to prior charge of banks on stocks and book debts for working capital borrowings. 10. Fixed Deposits of Rs.133.300 Million, Rs.127.100 Million and Rs.91.500 Million (aggregating H35.19 crores) are due for repayment in 2015-16, 2016- 17 and 2017-18 respectively |
|
Auditors : |
|
|
Name : |
Lodha and Company Chartered
Accountants |
|
Address : |
12, Bhagat Singh Marg, New Delhi - 110001, India |
|
Tel No.: |
91-11-23710176/23710177/23364671/2414 |
|
Fax No.: |
91-11-23345168/23314309 |
|
Email: |
|
|
|
|
|
Memberships : |
Not Available |
|
|
|
|
Collaborators : |
Not Available |
|
|
|
|
Subsidiaries: |
* Subsidiary of JKTSA |
|
|
|
|
Associates: |
|
|
|
|
|
Enterprise over which
KMP is able to exercise Significant Influence: |
|
CAPITAL STRUCTURE
As on 31.03.2015
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
625000000 |
Equity shares |
Rs.2/- each |
Rs.1250.000 Million |
|
700000 |
14% Cumulative Redeemable Preference Shares |
Rs.100/- each |
Rs. 70.000 Million |
|
4800000 |
Preference Shares |
Rs.100/- each |
Rs. 480.000 Million |
|
|
|
|
|
|
|
Total |
|
Rs. 1800.000
Million |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
226813480 |
Equity shares |
Rs.2/- each |
Rs. 453.600
Million |
|
|
|
|
|
NOTE:
|
Details of each shareholder
holding more than 5% shares: |
No. of Shares held As at 31.03.2015 |
|
|
|
|
Name of Shareholder |
|
|
|
|
|
Bengal and Assam Company Limited |
55074250 |
|
Fenner India Limited |
18000000 |
|
JK Agri Genetics Limited |
32659100 |
|
Edgefield Securities Limited |
17437500 |
|
|
|
|
Reconciliation of
the number of shares outstanding: |
As at 31.03.2015 |
|
|
|
|
Shares outstanding as at the beginning of the year |
205296730 |
|
Addition during the year |
21516750 |
|
Deletion during the year |
- |
|
Shares outstanding as at the end of the year |
226813480 |
Rights
and preferences attached to Equity Shares:
a. The Company has only one class of Equity Shares having face value of Rs.2/- (Previous year: Rs.10/-) each and each shareholder is entitled to one vote per share.
b. In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.
c. The dividend proposed by the Board of Directors is
subject to the approval of the shareholders in the ensuing Annual General
Meeting, except in case of interim dividend.
FINANCIAL DATA
[all figures are
in Rupees Million]
ABRIDGED
BALANCE SHEET
|
SOURCES
OF FUNDS |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
|
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
453.600 |
410.600 |
410.600 |
|
(b) Reserves & Surplus |
10461.200 |
7949.900 |
7008.700 |
|
(c) Money received against
share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
123.700 |
|
|
(2) Share Application money
pending allotment |
0.000 |
0.000 |
|
|
Total
Shareholders’ Funds (1) + (2) |
10914.800 |
8484.200 |
7419.300 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
14159.000 |
11633.000 |
11308.800 |
|
(b) Deferred tax liabilities
(Net) |
3198.200 |
2524.200 |
1920.500 |
|
(c) Other long term
liabilities |
3301.100 |
3419.800 |
3429.500 |
|
(d) long-term provisions |
133.300 |
97.000 |
103.700 |
|
Total
Non-current Liabilities (3) |
20791.600 |
17674.000 |
16762.500 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
9644.800 |
10448.700 |
10892.900 |
|
(b) Trade payables |
9026.400 |
9034.400 |
7489.600 |
|
(c) Other current liabilities |
6401.900 |
4257.500 |
3436.700 |
|
(d) Short-term provisions |
2060.100 |
1298.800 |
1331.800 |
|
Total
Current Liabilities (4) |
27133.200 |
25039.400 |
23151.000 |
|
|
|
|
|
|
TOTAL |
58839.600 |
51197.600 |
47332.800 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
23544.000 |
22734.100 |
22792.600 |
|
(ii) Intangible Assets |
0.000 |
2.300 |
11.200 |
|
(iii) Capital work-in-progress |
6971.000 |
1433.200 |
546.800 |
|
(iv) Intangible assets under
development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
836.100 |
891.400 |
975.900 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
1865.200 |
1365.100 |
851.600 |
|
(e) Other Non-current assets |
848.600 |
933.900 |
1014.000 |
|
Total
Non-Current Assets |
34064.900 |
27360.000 |
26192.100 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
90.100 |
126.200 |
0.000 |
|
(b) Inventories |
7416.200 |
7657.000 |
8098.000 |
|
(c) Trade receivables |
12561.900 |
11863.700 |
9166.800 |
|
(d) Cash and cash equivalents |
1002.000 |
1777.800 |
946.600 |
|
(e) Short-term loans and
advances |
3615.200 |
2328.400 |
2850.100 |
|
(f) Other current assets |
89.300 |
84.500 |
79.200 |
|
Total
Current Assets |
24774.700 |
23837.600 |
21140.700 |
|
|
|
|
|
|
TOTAL |
58839.600 |
51197.600 |
47332.800 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
|
SALES |
|
|
|
|
|
Income |
61252.300 |
59510.800 |
54308.300 |
|
|
Other Income |
147.500 |
162.500 |
130.500 |
|
|
TOTAL
|
61399.800 |
59673.300 |
54438.800 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
38616.200 |
39726.600 |
38728.000 |
|
|
Purchases of Stock-in-Trade |
406.200 |
397.400 |
444.600 |
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
474.000 |
241.400 |
(549.300) |
|
|
Employees benefits expense |
4594.800 |
3983.900 |
3337.200 |
|
|
Other expenses |
9643.800 |
8607.500 |
7474.200 |
|
|
Exceptional Item |
94.300 |
758.300 |
309.200 |
|
|
TOTAL
|
53829.300 |
53715.100 |
49743.900 |
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX, DEPRECIATION
AND AMORTISATION |
7570.500 |
5958.200 |
4694.900 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
2408.000 |
2483.000 |
2065.300 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
5162.500 |
3475.200 |
2629.600 |
|
|
|
|
|
|
|
Less/
Add |
DEPRECIATION/
AMORTISATION |
1391.400 |
1524.700 |
1126.500 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX |
3771.100 |
1950.500 |
1503.100 |
|
|
|
|
|
|
|
Less |
TAX |
1238.100 |
603.700 |
447.700 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX |
2533.000 |
1346.800 |
1055.400 |
|
|
|
|
|
|
|
Add |
PREVIOUS YEARS’ BALANCE BROUGHT FORWARD |
1029.100 |
672.500 |
385.200 |
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
Transfer to General Reserve |
1500.000 |
750.000 |
600.000 |
|
|
Dividend |
340.200 |
205.300 |
143.700 |
|
|
Tax on Dividend |
69.300 |
34.900 |
24.400 |
|
|
Total
|
1909.500 |
990.200 |
768.100 |
|
|
|
|
|
|
|
|
Balance
Carried to the B/S |
1652.600 |
1029.100 |
672.500 |
|
|
|
|
|
|
|
|
EARNINGS
IN FOREIGN CURRENCY |
|
|
|
|
|
FOB Value of exports |
8440.600 |
10397.300 |
8473.800 |
|
|
Royalty |
167.200 |
182.600 |
172.300 |
|
|
Interest Income |
0.000 |
0.000 |
1.700 |
|
|
TOTAL
EARNINGS |
8607.800 |
10579.900 |
8647.800 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Raw Materials |
14753.300 |
16688.500 |
15761.100 |
|
|
Capital Goods |
3688.400 |
416.200 |
819.300 |
|
|
Spares |
86.700 |
69.400 |
58.000 |
|
|
TOTAL
IMPORTS |
18528.400 |
17174.100 |
16638.400 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (Rs.) |
|
|
|
|
|
-Basic |
12.05 |
6.56 |
NA |
|
|
-Diluted
|
11.37 |
6.51 |
NA |
CURRENT MATURITIES OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Current Maturities of Long term debt |
2261.100 |
1627.800 |
1358.100 |
|
Cash generated from operations |
6740.400 |
6003.300 |
(714.100) |
|
Net cash flow from operating activity |
5868.000 |
(525.100) |
(1011.800) |
QUARTERLY
/ SUMMARISED RESULTS
|
Particulars |
30.06.2015 (Rs. In Million) |
30.09.2015 (Rs. In Million) |
|
Particulars |
1st Quarter |
2nd Quarter |
|
Unaudited |
Unaudited |
Unaudited |
|
Net Sales |
15020.800 |
15068.300 |
|
Total Expenditure |
12444.700 |
12436.900 |
|
PBIDT (Excl OI) |
2576.100 |
2631.400 |
|
Other Income |
28.300 |
41.000 |
|
Operating Profit |
2604.400 |
2672.400 |
|
Interest |
605.300 |
557.200 |
|
Exceptional Items |
(19.500) |
(87.700) |
|
PBDT |
1979.600 |
2027.500 |
|
Depreciation |
387.300 |
415.800 |
|
Profit Before Tax |
1592.300 |
1611.700 |
|
Tax |
543.700 |
514.700 |
|
Provisions and contingencies |
NA |
NA |
|
Profit After Tax |
1048.600 |
1097.000 |
|
Extraordinary Items |
NA |
NA |
|
Prior Period Expenses |
NA |
NA |
|
Other Adjustments |
NA |
NA |
|
Net Profit |
1048.600 |
1097.000 |
KEY
RATIOS
|
PARTICULARS |
|
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Net Profit Margin (PAT/Sales) |
(%) |
4.14 |
2.26 |
1.94 |
|
|
|
|
|
|
|
Operating Profit Margin (PBDIT / Sales) |
(%) |
12.36 |
10.01 |
8.64 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
7.39 |
3.99 |
3.28 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.35 |
0.23 |
0.20 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
2.39 |
2.79 |
3.18 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.91 |
0.95 |
0.91 |
STOCK
PRICES
|
Face Value |
Rs.2.00/- |
|
Market Value |
Rs.97.85/- |
FINANCIAL ANALYSIS
[all figures are
in Rupees Million]
DEBT EQUITY RATIO
|
Particular |
31.03.2013 |
31.03.2014 |
31.03.2015 |
|
|
(Rs.
In Million) |
(Rs.
In Million) |
(Rs.
In Million) |
|
Share Capital |
410.600 |
410.600 |
453.600 |
|
Reserves & Surplus |
7008.700 |
7949.900 |
10461.200 |
|
Money received against share
warrants |
0.000 |
123.700 |
0.000 |
|
Share Application money pending allotment |
0.000 |
0.000 |
0.000 |
|
Net
worth |
7419.300 |
8484.200 |
10914.800 |
|
|
|
|
|
|
long-term borrowings |
11308.800 |
11633.000 |
14159.000 |
|
Short term borrowings |
10892.900 |
10448.700 |
9644.800 |
|
Current Maturities Of
Long-Term Debts |
1358.100 |
1627.800 |
2261.100 |
|
Total
borrowings |
23559.800 |
23709.500 |
26064.900 |
|
Debt/Equity
ratio |
3.175 |
2.795 |
2.388 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2013 |
31.03.2014 |
31.03.2015 |
|
|
(Rs.
In Million) |
(Rs.
In Million) |
(Rs.
In Million) |
|
Sales |
54308.300 |
59510.800 |
61252.300 |
|
|
|
9.580 |
2.926 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2013 |
31.03.2014 |
31.03.2015 |
|
|
(Rs.
In Million) |
(Rs.
In Million) |
(Rs.
In Million) |
|
Sales |
54308.300 |
59510.800 |
61252.300 |
|
Profit |
1055.400 |
1346.800 |
2533.000 |
|
|
1.94% |
2.26% |
4.14% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check list by
info agents |
Available in
Report (Yes/No) |
|
1 |
Year of establishment |
Yes |
|
2 |
Constitution of the entity -Incorporation
details |
Yes |
|
3 |
Locality of the entity |
Yes |
|
4 |
Premises details |
No |
|
5 |
Buyer visit details |
-- |
|
6 |
Contact numbers |
Yes |
|
7 |
Name of the person contacted |
No |
|
8 |
Designation of contact person |
No |
|
9 |
Promoter’s background |
Yes |
|
10 |
Date of Birth of Proprietor / Partners /
Directors |
Yes |
|
11 |
Pan Card No. of Proprietor / Partners |
No |
|
12 |
Voter Id Card No. of Proprietor / Partners |
No |
|
13 |
Type of business |
Yes |
|
14 |
Line of Business |
Yes |
|
15 |
Export/import details (if applicable) |
No |
|
16 |
No. of employees |
Yes |
|
17 |
Details of sister concerns |
Yes |
|
18 |
Major suppliers |
No |
|
19 |
Major customers |
No |
|
20 |
Banking Details |
Yes |
|
21 |
Banking facility details |
Yes |
|
22 |
Conduct of the banking account |
-- |
|
23 |
Financials, if provided |
Yes |
|
24 |
Capital in the business |
Yes |
|
25 |
Last accounts filed at ROC, if applicable |
Yes |
|
26 |
Turnover of firm for last three years |
Yes |
|
27 |
Reasons for variation <> 20% |
-- |
|
28 |
Estimation for coming financial year |
No |
|
29 |
Profitability for last three years |
Yes |
|
30 |
Major shareholders, if available |
Yes |
|
31 |
External Agency Rating, if available |
Yes |
|
32 |
Litigations that the firm/promoter
involved in |
-- |
|
33 |
Market information |
-- |
|
34 |
Payments terms |
No |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
UNSECURED LOAN
(Rs.
In Million)
|
Particulars |
As
on 31.03.2015 |
As
on 31.03.2014 |
|
LONG TERM
BORROWING |
|
|
|
Deferred Sales Tax |
513.600 |
770.400 |
|
Fixed Deposits |
218.600 |
256.800 |
|
|
|
|
|
Short-term
borrowings |
|
|
|
Fixed Deposits |
23.400 |
43.700 |
|
Short-term Loans from Banks |
1332.700 |
1159.200 |
|
|
|
|
|
Total |
2088.300 |
2230.100 |
Unsecured Deferred Sales Tax Rs.770.400 Million is repayable in 3 equal annual instalments.
BUSINESS OUTLOOK
The Indian tyre industry’s outlook is positive as growth in domestic tyre volume is expected to increase by around 8-10% during 2015-16 on the back of a pickup in auto demand, improving economy and stable raw material prices.
Following the US anti-dumping duty on Chinese tyres, imports
into India increased to around Rs. 8000.000 Million during 2014-15, which
affected Indian tyre makers. On the other hand, capacity addition continued in
anticipation of the recovery in auto demand.
AWARDS
The Company received several awards for excellence in various areas, comprising the following:
Asia’s Most Promising Brand 2014 by World Consulting and Research Council (WCRC)
Greenco Gold Company by CII-Godrej GBC
Greentech Environment Award 2015 – Gold Category
General Motors Quality Excellence Award 2014 for Exceptional Quality Performance
International Convention on Quality Concept (ICQC)
IEI Industry Excellence Award 2014 for Business Excellence and Industry Practices
CII’s National Award 2014 for HR Excellence
MANAGEMENT DISCUSSION
AND ANALYSIS
BUSINESS ENVIRONMENT
Fiscal 2014-15 was indeed a challenging year for the Indian economy. There was a partial acceleration in some segments viz. mining, manufacturing, construction and services. Industrial sector grew at 2.8%. Inflationary pressures also eased considerably during the year. In addition, there was some softening of interest rates leading to hopes of higher economic growth. Consequently, this is expected to boost demand for automotive sectors specially for commercial vehicles. Since the demand for tyres is driven by overall growth of economy, particularly in automotive and transport sectors, this augurs well for the tyre industry in fiscal 2015-16.
AUTOMOTIVE INDUSTRY
The Indian Automobile Industry posted overall sales growth of 7.8% during FY 2014-15.
The medium and heavy commercial vehicle segments which had hit a low in 2013-14, registered a production growth of 21.7% during the year. Passenger Car and Multi Utility Vehicle recorded a marginal turnaround with 6.8% growth compared to 4.4% de-growth in previous year.
Low micro level economic activity has been reflected by a de-growth in the segments providing the last mile connect. As a result, Small Commercial Vehicles saw a sharp drop for the second year in succession, and Light Commercial Vehicle segment was also impacted registering a 4% de-growth.
The poor performance of the Agricultural sector reflected in
the muted sales of Tractors.
INDIAN TYRE INDUSTRY
The Tyre Industry being the wheels of economy has a direct
bearing on the Industry performance. The over-all demand for tyres for the
4-wheeler segment grew marginally.
The total Truck/Bus tyre segment grew by 6.3%. The level of radialization in the Indian domestic market has grown to a level of 33%, while in the OEM segment, radialisation was at a high 65%. Truck/Bus radial demand is growing substantially and will continue to be an Industry growth driver in the next few years. The non Truck tyre segments have recorded a moderate growth of 4%.
Despite thrust on ‘Make in India’ the scourge of Tyre
imports specially from China remains unabated. The anomaly of inverted duty
structure favouring finished goods over raw material was not corrected even in budget
2015-16. Currently, the import of Truck/Bus and Passenger Car radials
constitutes as much as 26% and 24% respectively of the domestic s
JK TYRE – INDIA
OPERATIONS
JK Tyre achieved several landmarks during the year, these include:
Strengthened its presence in the passenger car radials segment.
Introduced several premium products in the commercial and passenger car categories.
Expansion of TBR/passenger car tyre capacities at the All Radial Chennai Tyre Plant progressed well and expected to be completed during the current year.
Expansion of the passenger car tyre capacity at JK Tornel
(Mexico) is on its way to completion.
STATEMENT OF
UNAUDITED STANDALONE FINANCIAL RESULTS FOR THE QUARTER ENDED 30TH
SEPTEMBER, 2015
(Rs.
In Million)
|
Sr. No |
Particulars |
Standalone |
||
|
Quarter Ended |
Six Month Ended |
|||
|
30.09.2015 |
30.06.2015 |
30.09.2015 |
||
|
Unaudited |
Unaudited |
Unaudited |
||
|
1 |
Income From
Operations |
|
|
|
|
|
a. Net Sales/ Income from Operations (Net of Excise Duty) |
16610.500 |
16584.200 |
33194.700 |
|
|
b. Other Operating Income |
1715.000 |
1711.900 |
3426.900 |
|
|
Total Income from
Operations (Net) |
14895.500 |
14872.300 |
29767.800 |
|
2 |
Expenditure |
|
|
|
|
|
a. Cost of material Consumed |
8702.300 |
8708.700 |
17411.000 |
|
|
b. Purchase of Stock-in trade |
87.300 |
100.800 |
188.100 |
|
|
c. Changes in inventory of finished Goods, work- in-progress and Stock-in-trade |
(199.000) |
(78.900) |
(277.900) |
|
|
d. Employees Benefit Expenses |
1350.700 |
1241.200 |
2591.900 |
|
|
e. Depreciation and Amortisation Expenses |
415.800 |
387.300 |
803.100 |
|
|
f. Other expenses |
2495.600 |
2472.900 |
4968.500 |
|
|
Total Expenses |
12852.700 |
12832.000 |
25684.700 |
|
3 |
Profit from Operations
before Other Income, Interest and Exceptional Items |
2215.600 |
2188.800 |
4404.400 |
|
4 |
Other Income |
41.000 |
28.300 |
69.300 |
|
5 |
Profit from
ordinary activities before finance cost & exceptional items |
2256.600 |
2217.100 |
4473.700 |
|
6 |
Finance Costs |
557.200 |
605.300 |
1162.500 |
|
7 |
Profit from
ordinary activities after finance costs & exceptional items |
1699.400 |
1611.800 |
3311.200 |
|
8 |
Exceptional items |
(87.700) |
(19.500) |
(107.200) |
|
9 |
Profit from ordinary
activities before tax |
1611.700 |
1592.300 |
3204.000 |
|
10 |
Tax Expense |
|
|
|
|
|
Provision for current Tax |
360.900 |
405.700 |
766.600 |
|
|
MAT (CREDIT)/Reversal |
- |
- |
- |
|
|
Provision For Deferred Tax |
153.800 |
138.000 |
291.800 |
|
11 |
Net Profit from
ordinary activity after tax |
1097.000 |
1048.600 |
2145.600 |
|
12 |
Extraordinary Items |
- |
- |
- |
|
13 |
Net Profit After
Tax |
1097.000 |
1048.600 |
2145.600 |
|
14 |
Paid-up equity share capital (face value of Re.2 per share) |
453.600 |
453.600 |
453.600 |
|
15 |
Reserves excluding Revaluation Reserve as per balance sheet of previous accounting Year |
|
|
|
|
16 |
Earning Per Share (of Rs.10 each) (not annualized) |
|
|
|
|
|
Basic EPS |
4.84 |
4.62 |
9.46 |
|
|
Diluted EPS |
4.84 |
4.62 |
9.46 |
|
A |
PARTICULARS OF
SHAREHOLDING |
|
|
|
|
17 |
Public Shareholding |
|
|
|
|
|
- No. of shares |
108095825 |
108095825 |
108095825 |
|
|
- Percentage of shareholding |
47.66 |
47.66 |
47.66 |
|
18 |
Promoter & Promoter
Group Shareholding |
|
|
|
|
|
a)
Pledged/Encumbered |
|
|
|
|
|
- No. of shares |
Nil |
Nil |
Nil |
|
|
- Percentage of shareholding (as a % of the total shareholding of promoter and promoter group) |
Nil |
Nil |
Nil |
|
|
- Percentage of shareholding (as a % of the total share capital of the company) |
Nil |
Nil |
Nil |
|
|
b) Non-encumbered |
|
|
|
|
|
- No. of shares |
118717655 |
118717655 |
118717655 |
|
|
- Percentage of shareholding (as a % of the total shareholding of promoter and promoter group) |
100 |
100 |
100 |
|
|
- Percentage of shareholding (as a % of the total share capital of the company) |
52.34 |
52.34 |
52.34 |
|
|
Particulars |
Quarter ended 30.09.2015 |
|
B |
Investor Complaints |
|
|
|
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 |
STATEMENT OF ASSETS AND LIABILITIES
(Rs. In Million)
|
SOURCES
OF FUNDS |
30.09.2015 |
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
(1)Shareholders' Funds |
|
|
(a) Share Capital |
453.600 |
|
(b) Reserves & Surplus |
12606.800 |
|
(c) Money received against
share warrants |
|
|
|
|
|
(2) Share Application money
pending allotment |
|
|
Total
Shareholders’ Funds (1) + (2) |
13060.400 |
|
|
|
|
(3) Non-Current Liabilities |
|
|
(a) long-term borrowings |
15577.900 |
|
(b) Deferred tax liabilities
(Net) |
3490.000 |
|
(c) Other long term
liabilities |
3197.200 |
|
(d) long-term provisions |
136.200 |
|
Total
Non-current Liabilities (3) |
22401.300 |
|
|
|
|
(4) Current Liabilities |
|
|
(a) Short term borrowings |
9272.000 |
|
(b) Trade payables |
8814.200 |
|
(c) Other current liabilities |
6692.500 |
|
(d) Short-term provisions |
2443.400 |
|
Total
Current Liabilities (4) |
27222.100 |
|
|
|
|
TOTAL |
62683.800 |
|
|
|
|
II.
ASSETS |
|
|
(1) Non-current assets |
|
|
(a) Fixed Assets |
|
|
(i) Tangible assets |
33649.300 |
|
(ii) Intangible Assets |
|
|
(iii) Capital work-in-progress |
|
|
(iv) Intangible assets under
development |
|
|
(b) Non-current Investments |
791.200 |
|
(c) Deferred tax assets (net) |
|
|
(d) Long-term Loan and Advances |
1420.100 |
|
(e) Other Non-current assets |
803.200 |
|
Total
Non-Current Assets |
36663.800 |
|
|
|
|
(2) Current assets |
|
|
(a) Current investments |
150.200 |
|
(b) Inventories |
7582.200 |
|
(c) Trade receivables |
13112.700 |
|
(d) Cash and cash equivalents |
985.600 |
|
(e) Short-term loans and
advances |
4093.200 |
|
(f) Other current assets |
96.100 |
|
Total
Current Assets |
26020.000 |
|
TOTAL |
62683.800 |
INDEX OF CHARGES
|
S.No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount secured |
Charge Holder |
Address |
Service Request Number (SRN) |
|
1 |
10538553 |
13/11/2014 |
10,300,000,000.00 |
Bank of India |
New Delhi Large
Corporate Branch, 10th Floor Chan derlok Building, Janpath, New Delhi,
Delhi - 11000 |
C38006490 |
|
2 |
10491110 |
31/03/2014 |
500,000,000.00 |
STATE BANK OF BIKANER AND JAIPUR |
SCB BRANCH,
101-102, NEW DELHI HOUSE, 27, BARAKHA |
C04007340 |
|
3 |
10472560 |
03/07/2014 * |
2,750,000,000.00 |
AXIS BANK LTD. |
2ND FLOOR,
STATESMAN HOUSE, 148, BARAKHAMBA ROAD, |
C14251649 |
|
4 |
10467863 |
11/12/2013 |
1,250,000,000.00 |
Indian Overseas Bank |
GEMINI CIRCLE
BRANCH, KARUNAI KUDIL,, NO.297, CAT |
B92626423 |
|
5 |
10373037 |
01/02/2013 * |
23,539,600,000.00 |
Bank of India (Lead Bank) |
New Delhi Large
Corporate Branch, PTI Building, 4 |
B69281095 |
|
6 |
10337866 |
13/06/2012 * |
5,300,000,000.00 |
Bank of India (Security Trustee) |
New Delhi Large
Corporate Branch,, PTI Building, |
B43078211 |
|
7 |
10314018 |
01/02/2012 * |
1,000,000,000.00 |
INDIAN OVERSEAS BANK |
GEMINI CIRCLE BRANCH, NO.297, CATHEDRAL ROAD, CHENNAI, Tamil Nadu - 600086, INDIA |
B33101650 |
|
8 |
10312670 |
01/02/2012 * |
2,000,000,000.00 |
EXPORT-IMPORT BANK OF INDIA |
CENTRE ONE BUILDING,
FLOOR 21, WORLD TRADE CENTRE |
B33412883 |
|
9 |
10231825 |
15/07/2010 |
500,000,000.00 |
IDBI Bank Limited |
IRCS BUILDING,, 1, RED CROSS ROAD,, NEW DELHI, Delhi - 110001, INDIA |
A91105916 |
|
10 |
10196250 |
21/01/2011 * |
400,000,000.00 |
Bank of India |
New Delhi Large
Corporate Branch, PTI Building, 4 |
B05993811 |
* Date of charge modification
FIXED ASSETS
- Tangible Assets
- Land
- Buildings
- Plant and Equipments
- Furniture and Fixtures
- Office Equipments
- Vehicles
Intangible Assets
- 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.65.51 |
|
|
1 |
Rs.100.43 |
|
Euro |
1 |
Rs.70.43 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
RKI |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
7 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILITY |
1~10 |
7 |
|
--LIQUIDITY |
1~10 |
7 |
|
--LEVERAGE |
1~10 |
7 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--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 |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER
|
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
68 |
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.