MIRA INFORM REPORT

Report No. :	353526
Report Date :	07.12.2015

IDENTIFICATION DETAILS

Name :	NATIONAL STEEL AND AGRO INDUSTRIES LIMITED (w.e.f. 08.04.2003)

Formerly Known As :	NATIONAL STEEL INDUSTRIES LIMITED

Registered Office :	621, Tulsiani Chambers, 6^th Floor, Nariman Point, Mumbai – 400021, Maharashtra, India
Tel. No.:	91-22-22025084 / 22025098 / 22886267

Country :	India

Financials (as on) :	31.03.2015

Date of Incorporation :	09.01.1985

Com. Reg. No.:	11-140379

Capital Investment / Paid-up Capital :	Rs.995.102 Million

CIN No.: [Company Identification No.]	L27100MH1985PLC140379

IEC No.:	1189000725

TAN No.: [Tax Deduction & Collection Account No.]	MUMN09355D

PAN No.: [Permanent Account No.]	AAACN3548H

Legal Form :	A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.

Line of Business :	Manufacturing and Trading of Cold Rolled, GP/GC, Steel, Coated Coils/Sheets, Lead Ingots, Aluminum Ingots and Agro Products. (Registered Activity)

No. of Employees :	621 (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

Maximum Credit Limit :	USD 10270000

Status :	Satisfactory

Payment Behaviour :	Slow but correct

Litigation :	Clear

Comments :	Subject was established in the year 1985 and it is engaged in the production of cold rolled coil, galvanized corrugated sheets, colour coil and color profile sheets. The company is also involved in agriculture, power and metal industries. For the financial year ended 2015, company has reported 11.17% sales turnover growth as compared to previous sales turnover but company failed to maintained profit margins and reported low margins at 0.65% during the year under a review. The rating continues to factor in the experience of the management in the steel and trading industry supported by company’s above average financial profile along with sound debt coverage indicates and adequate networth position. Rating strength is partially offset by competitive nature of the industry which limits the pricing flexibility of the industry participants including NSAIL and the exposure to the cyclicality inherent in the steel industry. Trade relations are reported as fair. Business is active. Payment terms are reported to be slow but correct. The company can be considered for business dealings at usual trade 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 – March 31, 2015

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

India

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	ICRA
Rating	Long term fund based facilities = BBB
Rating Explanation	Moderate degree of safety and moderate credit risk.
Date	August, 2015

Rating Agency Name	ICRA
Rating	Unallocated = A3+
Rating Explanation	Moderate degree of safety and higher credit risk.
Date	August, 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.

INFORMATION DENIED

Management non co-operative (91-22-22025084)

LOCATIONS

Registered / Corporate Office :	621, Tulsiani Chambers, 6^th Floor, Nariman Point, Mumbai – 400021, Maharashtra, India
Tel. No.:	91-22-22025084 / 22025098 / 22886267
Fax No.:	91-22-22025084
E-Mail :	nsil@bom2.vsnl.net.in sh_nagori@ruchigroup.com p_gupta@ruchigroup.com mbajoria@ruchigroup.com ashok_agarwal@nsail.com paridhi_kasliwal@nsail.com ss_shahra@nsail.com mail-rnumbai@nsail.com investor_relations@nsail.com sgl@sarthakgcgbbal.com mail-indore@nsail.com
Website :	www.nsail.com

Administrative Office:	401, Mahakosh House, 7/5 South Tokogani Nath Mandir Road, Indore – 452001, Madhya Pradesh, India
Tel. No.:	91-731-2518167-69/ 2528133/ 2526020/ (Direct) 5066187
Fax No.:	91-731-2516714 / 2527250
E-Mail :	nationalsteel@ruchigroup.com a_ashok@ruchigroup.com info@nsail.com nsail_indore@nsail.com

Factory :	Village Sejwaya, Tehsil Dhar, District Dhar, Madhya Pradesh, India
Tel. No.:	91-7292-277277/ 277361/ 277612
Fax No.:	91-7292-277393

Branch Office :	Located at · Agra · Gwalior · Jaipur · Pithampur · Kapadia Mumbai (Agro Division) · Kolkata · Jabalpur · Bareily · Kanpur · Taloja · Secunderabad · Gandhidham · Chennai · Ahmedabad · Tuticorin · Raipur · Bangalore · Faridabad · Hyderabad · Ghaziabad · New Delhi · Ludhiana · Pune · Rudrapur

DIRECTORS

As on 31.03.2015

Name :	Mr. Santosh Shahra
Designation :	Executive Chairman
Address :	29, Old Palasia, Indore – 452001, Madhya Pradesh, India
Date of Birth / Age :	68 Years
Qualification :	Mechanical Engineer, MS (USA)
Experience :	Rich and vast hands-on experience of five decades

Name :	Mr. P. Srikrishna
Designation :	Managing Director
Address :	303, Shri Apartments, 51-E, Saket Nagar, Indore – 452001, Madhya Pradesh, India
Date of Birth / Age :	64 Years
Qualification :	M. Tech
Experience :	Rich and vast hands-on experience of four decades

Name :	Mr. Navin Khandelwal
Designation :	Director
Address :	5/1, Saket Nagar, Indore – 452001, Madhya Pradesh, India

Name :	Mr. Rajesh Nema
Designation :	Director
Address :	Pragati, 43/4, Keshar Baugh Road, Indore – 452009, Madhya Pradesh, India

Name :	Mrs. Neha Singhania
Designation :	Director (appointed w.e.f. 28.06.2014)

Name :	Mr. Veer Kumar Jain
Designation :	Director (ceased w.e.f. 05.06.2014)

KEY EXECUTIVES

Name :	Mr. Anil Nawal
Designation :	Chief Financial Officer

Name :	Mr. Pankaj Gupta
Designation :	Company Secretary (appointed w.e.f. 28.05.2015)

Name :	Mr. Bharat Singh
Designation :	Company Secretary (ceased w.e.f. 30.04.2015)

SHAREHOLDING PATTERN

As on 30.09.2015

Category of Shareholder	Total No. of Shares	Total Shareholding as a % of Total No. of Shares
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	6240667	14.02
Bodies Corporate	11622417	26.12
Sub Total	17863084	40.14
(2) Foreign
Individuals (Non-Residents Individuals / Foreign Individuals)	2555000	5.74
Bodies Corporate	1352000	3.04
Sub Total	3907000	8.78
Total shareholding of Promoter and Promoter Group (A)	21770084	48.92

(B) Public Shareholding
(1) Institutions
Mutual Funds / UTI	61300	0.14
Financial Institutions / Banks	644498	1.45
Sub Total	705798	1.59
(2) Non-Institutions
Bodies Corporate	7610011	17.10
Individuals
Individual shareholders holding nominal share capital up to Rs. 0.100 Million	9042074	20.32
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million	4398481	9.88
Any Others (Specify)	973552	2.19
Clearing Members	5987	0.01
Hindu Undivided Families	469259	1.05
Non Resident Indians	498306	1.12
Sub Total	22024118	49.49
Total Public shareholding (B)	22729916	51.08
Total (A)+(B)	44500000	100.00

(C) Shares held by Custodians and against which Depository Receipts have been issued
(1) Promoter and Promoter Group	0	0.00
(2) Public	0	0.00
Sub Total	0	0.00
Total (A)+(B)+(C)	44500000	0.00

BUSINESS DETAILS

Line of Business :

Manufacturing and Trading of Cold Rolled, GP/GC, Steel, Coated Coils/Sheets, Lead Ingots, Aluminum Ingots and Agro Products. (Registered Activity)

Products :

Product Description	NIC Code
Galvanised/ Coated Steel Coil/ Sheet and Other	27171
Color Coated Coil/ Sheet	27171
Agro Commodities	51211

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Divulged

Imports :

Not Divulged

Terms :

Selling :

Not Divulged

Purchasing :

Not Divulged

PRODUCTION STATUS = NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Experience :	Not Divulged
Maximum Limit Dealt :	Not Divulged

Customers :

Reference :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Experience :	Not Divulged
Maximum Limit Dealt :	Not Divulged

No. of Employees :

621 (Approximately)

Bankers :

Banker Name	IDBI Bank Limited
Branch Address	Specialised Corporate Branch, Upper Ground Floor, Captain C.S. Nayudu Arcade, 10/2 Old Palasia, Indore - 452001, Madhya Pradesh, India
Person Name (With Designation)	Not Divulged
Contact Number	Not Divulged
Name of Account Holder	Not Divulged
Account Number	Not Divulged
Account Since (Date/Year of Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

State Bank of India, Commercial Branch, A.B. Road (Near G.P.O), Indore - 452001, Madhya Pradesh, India
State Bank of Travancore
Bank of Maharashtra, 18, Kanchan Sagar Building, A. B. Road, Old PalasIa, Indore - 452001, Madhya Pradesh, India
United Bank of India
Andhra Bank
Oriental Bank of Commerce
State Bank of Patiala
Central Bank of India
Punjab National Bank
Bank of India

Facilities :

(Rs. In Million)

SECURED LOAN	As on 31.03.2015	As on 31.03.2014
LONG TERM BORROWING
Term Loans from Banks	423.087	661.844
Less : Installment due within one year	207.593	238.737
SHORT TERM BORROWING
Working Capital Loans from Banks*	1671.533	1899.405
Total	1887.027	2322.512
Note: LONG TERM BORROWING Installments falling due in respect of all the above loans upto 31.03.2016 have been grouped under “Current Maturities of Long Term Debt” Nature of Security : Term loans from Banks/Financial Institutions are secured by way of first mortgage of all immovable properties and hypothecation of all the Company’s movables (save and except book debts and stock) including movable machinery, spares and tools both present and future ranking pari-passu inter-se subject to prior charge created/to be created in favour of the Banks/Financial Institutions on specified movable assets for securing borrowing for working capital requirements and personal guarantee of the Executive Chairman. SHORT TERM BORROWINGS *Loans from Banks/Financial Institutions for Working Capital are secured by hypothecation of Company’s entire stocks of raw materials, stock in process, finished goods, stores & spares, stock in transit, other current assets and second charge over entire fixed assets of the Company ranking pari-passu inter-se and personal guarantee of the Executive Chairman.

Statutory Auditors :
Name :	Gupta Saharia and Company Chartered Accountants
Address :	Mumbai, Maharashtra, India

Cost Auditors :
Name :	M. Goyal and Company Cost Accountants
Address :	Jaipur, Rajasthan, India

Secretarial Auditor :
Name :	Mr. Ashish Garg Company Secretary in Practice
Address :	Indore, Madhya Pradesh, India

Memberships :	Not Available

Collaborators :	Not Available

Other related parties where control exists :	Shreeyam Power and Steel Industries Limited NSIL Infotech Limited Shahra Brothers Private Limited NSIL Exports Limited Shri Mahadeo Shahra Sukrat Trust Ruchi Infrastructure Limited NSIL Power Limited Ruchi Power Corporation Limited Samidha Foods Private Limited

CAPITAL STRUCTURE

As on 31.03.2015

Authorised Capital:

No. of Shares	Type	Value	Amount

44500000	Equity Shares	Rs. 10/- each	Rs.445.000 Million
5550000	4% Redeemable Cumulative Preference Shares	Rs.100/- each	Rs.555.000 Million
	Total		Rs.1000.000 Million

Issued, Subscribed & Paid-up Capital:

No. of Shares	Type	Value	Amount

44500000	Equity Shares	Rs. 10/- each	Rs.445.000 Million
5501022	4% Redeemable Cumulative Preference Shares	Rs.100/- each	Rs.550.102 Million
	Total		Rs.995.102 Million

The details of Shareholders holding more than 5% Shares:

Equity Shares	Number of Shares	% holding
APL International Private Limited	2957700	6.65

4% Redeemable Preference Shares

Number of Shares

% holding

Trade Overseas Limited

2166283

39.38

Arab Asia Trading Inc.

2859739

51.99

Reconciliation of Number of Shares:

Equity Shares	Number of Shares	% holding
Shares at the beginning of the year	44500000	445.000
Add - Shares issued during the year	--	--
Shares at the end of the year	44500000	445.000

4% Redeemable Preference Shares
Shares at the beginning of the year	5501022	550.102
Add - Shares issued during the year	--	--
Shares at the end of the year	5501022	550.102

Rights, preferences and restrictions attached to shares:

The Company has issued Equity shares with voting rights only of Face value of 10 each and each share carries right to one vote. The Company issued 4% Cumulative Redeemable Preference shares of Face value of 100 each. These shares are redeemable within the statutory permissible time period as per the terms of the issue. Such shares carries prior right to receive dividend over equity shareholders.

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	995.102	995.102	995.102
(b) Reserves & Surplus	2600.195	2337.179	2058.111
(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)	3595.297	3332.281	3053.213

(3) Non-Current Liabilities
(a) long-term borrowings	265.494	423.107	530.276
(b) Deferred tax liabilities (Net)	306.174	311.166	321.788
(c) Other long term liabilities	60.648	24.131	177.951
(d) long-term provisions	23.824	15.592	0.000
Total Non-current Liabilities (3)	656.140	773.996	1030.015

(4) Current Liabilities
(a) Short term borrowings	2347.033	2424.905	2126.332
(b) Trade payables	7151.680	5651.680	5683.960
(c) Other current liabilities	407.792	474.299	481.293
(d) Short-term provisions	166.260	57.187	74.692
Total Current Liabilities (4)	10072.765	8608.071	8366.277

TOTAL	14324.202	12714.348	12449.505

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	1914.862	2020.687	2206.703
(ii) Intangible Assets	1.610	7.246	7.070
(iii) Capital work-in-progress	207.358	10.554	11.280
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	28.440	27.940	27.940
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	0.000	0.000	0.000
(e) Other Non-current assets	25.509	39.428	25.418
Total Non-Current Assets	2177.779	2105.855	2278.411

(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	5346.515	4426.399	4033.677
(c) Trade receivables	4309.805	4085.468	3985.951
(d) Cash and cash equivalents	1130.377	897.073	937.595
(e) Short-term loans and advances	1333.742	1136.288	1201.042
(f) Other current assets	25.984	63.265	12.829
Total Current Assets	12146.413	10608.493	10171.094

TOTAL	14324.202	12714.348	12449.505

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2015	31.03.2014	31.03.2013
	SALES
	Income	38838.726	34994.260	34843.502
	Other Income	36.244	0.316	0.469
	TOTAL	38874.970	34994.576	34843.971

Less	EXPENSES
	Cost of Materials Consumed	15496.342	14462.367	14067.255
	Purchases of Stock-in-Trade	18850.974	15703.866	16730.243
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	28.007	707.062	(89.605)
	Employees benefits expense	446.863	378.935	361.210
	Other expenses	2186.619	1955.598	2087.154
	TOTAL	37008.805	33207.828	33156.257

Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	1866.165	1786.748	1687.714

Less	FINANCIAL EXPENSES	1229.363	1149.434	1125.660

	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	636.802	637.314	562.054

Less/ Add	DEPRECIATION/ AMORTISATION	152.832	205.713	191.538

	PROFIT/ (LOSS) BEFORE TAX	483.970	431.601	370.516

Less	TAX	182.467	126.960	81.575

	PROFIT/ (LOSS) AFTER TAX	301.503	304.641	288.941

Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD	1615.500	1336.400	1073.039

	Balance Carried to the B/S	1917.003	1615.500	1336.400

	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports	5561.630	3529.299	5726.41
	TOTAL EARNINGS	5561.630	3529.299	5726.410

	IMPORTS
	Raw Materials	4730.805	153.802	597.373
	Components and Stores parts	179.058	2.028	19.983
	Capital Goods	6683.722	1306.622	2589.611
	TOTAL IMPORTS	11593.585	1462.452	3206.967

	Earnings / (Loss) Per Share (Rs.)	6.20	6.27	5.92

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2015	31.03.2014	31.03.2013
Current Maturities of Long term debt	207.593	238.737	274.237
Cash generated from operations	1796.800	1234.300	1638.700
Net Cash from Operating Activities	1699.600	1075.500	1584.300

QUARTERLY RESULTS

Particulars (Unaudited)	30.06.2015	30.09.2015
Particulars (Unaudited)	1^st Quarter	2^nd Quarter
Net Sales	9654.600	9213.500
Total Expenditure	9252.900	8815.700
PBIDT (Excl OI)	401.700	397.800
Other Income	0.000	0.000
Operating Profit	401.700	397.800
Interest	317.800	289.700
Exceptional Items	0.000	0.000
PBDT	83.900	108.100
Depreciation	35.200	36.800
Profit Before Tax	48.700	71.300
Tax	16.900	37.700
Provisions and contingencies	0.000	0.000
Profit After Tax	31.800	33.600
Extraordinary Items	0.000	0.000
Prior Period Expenses	0.000	0.000
Other Adjustments	0.000	0.000
Net Profit	31.800	33.600

KEY RATIOS

PARTICULARS		31.03.2015	31.03.2014	31.03.2013
Net Profit Margin (PAT/Sales)	(%)	0.78	0.87	0.83

Operating Profit Margin (PBDIT / Sales)	(%)	4.80	5.11	4.84

Return on Total Assets (PBT/Total Assets}	(%)	3.44	3.40	2.99

Return on Investment (ROI) (PBT/Networth)		0.13	0.13	0.12

Debt Equity Ratio (Total Debt/Networth)		0.78	0.93	0.96

Current Ratio (Current Asset/Current Liability)		1.21	1.23	1.22

STOCK PRICES

Face Value	Rs.10.00/-
Market Value	Rs.15.00/-

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	995.102	995.102	995.102
Reserves & Surplus	2058.111	2337.179	2600.195
Net worth	3053.213	3332.281	3595.297

long-term borrowings	530.276	423.107	265.494
Short term borrowings	2126.332	2424.905	2347.033
Current Maturities of Long Term Debt	274.237	238.737	207.593
Total borrowings	2930.845	3086.749	2820.120
Debt/Equity ratio	0.960	0.926	0.784

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	34843.502	34994.260	38838.726
		0.433	10.986

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	34843.502	34994.260	38838.726
Profit	288.941	304.641	301.503
	0.83%	0.87%	0.78%

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
Unsecured	50.000	0.000
SHORT TERM BORROWING
Working Capital Loans from Banks	675.500	525.500
Total	725.500	525.500

INDEX OF CHARGES

S.NO.	CHARGE ID	DATE OF CHARGE CREATION/MODIFICATION	CHARGE AMOUNT SECURED	CHARGE HOLDER	ADDRESS	SERVICE REQUEST NUMBER (SRN)
1	10539011	12/12/2014	817,700,000.00	BANK OF MAHARASHTRA	18, KANCHAN SAGAR BUILDING , A. B. ROAD, OLD PALASIA, INDORE - 452001, MADHYA PRADESH, INDIA	C38282182
2	10265746	09/07/2011 *	360,000,000.00	IDBI BANK LIMITED	SPECIALISED CORPORATE BRANCH, UPPER GROUND FLOOR, CAPTAIN C.S. NAYUDU ARCADE, 10/2 OLD PALASIA, INDORE - 452001, MADHYA PRADESH, INDIA	B17631581
3	10235591	09/07/2011 *	84,500,000.00	IDBI BANK LIMITED	SPECIALISED CORPORATE BRANCH, UPPER GROUND FLOOR, CAPTAIN C.S. NAYUDU ARCADE, 10/2 OLD PALASIA, INDORE - 452001, MADHYA PRADESH, INDIA	B19407071
4	10047991	09/07/2011 *	150,000,000.00	STATE BANK OF HYDERABAD	90-91, UDAPURA,, JAWAHAR MARG, INDORE - 452002, MADHYA PRADESH, INDIA	B19519792
5	10039045	09/07/2011 *	200,000,000.00	EXPORT-IMPORT BANK OF INDIA	CENTRE ONE BUILDING, FLOOR 21, WORLD TRADE CENTRE COMPLEX, CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	B19659770
6	10033586	26/12/2006	47,000,000.00	STATE BANK OF BIKANER AND JAIPUR	6, KANTI MENSION, MURAI MOHALLA, SANYOGITAGANJ,, INDORE, MADHYA PRADESH - 452001, INDIA	A09204777
7	10010321	12/07/2006	250,000,000.00	EXPORT IMPORT BANK OF INDIA	CENTRE ONE BUILDING, FLOOR 21, WORLD TRADE CENTRE COMPLEX,CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	A02447548
8	80026360	09/07/2011 *	95,000,000.00	IDBI BANK LIMITED	SPECIALISED CORPORATE BRANCH, UPPER GROUND FLOOR, CAPTAIN C.S. NAYUDU ARCADE, 10/2 OLD PALASIA, INDORE - 452001, MADHYA PRADESH, INDIA	B19342443
9	80052473	09/07/2011 *	250,000,000.00	EXPORT-IMPORT BANK OF INDIA	CENTRE ONE BUILDING, FLOOR 21, WORLD TRADE CENTRE COMPLEX, CUFFE PARADE, MUMBAI - 400005, MAHARASHTRA, INDIA	B19638493
10	80052471	09/07/2011 *	200,000,000.00	STATE BANK OF INDIA	COMMERCIAL BRANCH, A.B. ROAD (NEAR G.P.O), INDORE - 452001, MADHYA PRADESH, INDIA	B18962357

* Date of charge modification

FINANCIAL PERFORMANCE

During the year the Company’s top line performance was better than previous year. The Company’s Revenue from Operations increased to Rs.40399.100 Million as against Rs.36411.100 Million for the corresponding previous year.

The Company has achieved export turnover of Rs.6414.500 Million as compared to Rs.3811.200 Million for the corresponding previous year.

The EBIDTA for the year was higher by 4.45% to Rs.1866.200 Million as compared to Rs.1786.700 Million in the corresponding previous year. The Profit before Tax was Rs.484.000 Million (Rs.431.600 Million in F.Y 2013-14) and Profit After tax was Rs.301.500 Million (Rs.304.600 Million in F.Y 2013-14).

The Directors are confident to improve the performance in the current Financial Year

MANAGEMENT DISCUSSION AND ANALYSIS

Industry Structure and Developments

India’s position in World’s crude steel production remained unchanged at the fourth slot in 2014 with an output of 83.2 million tonnes. India’s share in total steel production also remained unchanged at 5%. India witnessed a growth rate of 2.3% in steel production which was second highest amongst the top five producers, it was way below the growth witnessed in Korea where steel production grew by 7.5%. Apart from Korea and India, amongst top 10 producers (who account for nearly 83% of world steel production) only Russia showed a healthy increase in production at 2.6%. Top two producers – China and Japan had a very subdued increase in production at 0.9% and 0.1% respectively.

World steel production grew by 1.2% during the year.

Segment-wise performance

The Segments identified by the Company are as under:

Manufacturing Segment

Trading Segment

The Segment wise performance in detail is given in Note 31 to the audited accounts of the Company.

Outlook

Global steel demand is likely to continue growing at a subdued rate mainly due to China factor. Against a growth rate of 3.6 % recorded in 2013, for the year 2014 growth was only 1.2%. For year 2015, growth is likely to come from USA, EU and India, while China and Japan may observe a shrinkage in demand. Indian demand can also be hampered by poor monsoon, though a lot depends on implementation of policy decisions taken by new Government. There have been a series of announcements in Infrastructure and Manufacturing Sectors, however it will take a while before it results in a changed scenario at ground level.

Focus on rural economy will continue to drive Agro Trading. A below par monsoon is also expected to generate demand for Agro Commodities and push up prices.

Internal control systems and their adequacy

The Company has an adequate system of internal control which fosters reliable financial reporting, safeguards assets and encourages adherence to management policies. The management reviews periodically various issues which have a bearing on the performance of the Company. The strategic decision is taken to ensure Company’s growth and protect the interest of shareholders.

The Company has well defined Organization Structure, Authority Levels, Internal Rules and Guidelines for conducting business transactions. Internal Audit was conducted on an ongoing basis during the year by Internal Auditors.

The Internal Audit Report and the progress on the implementation of the recommendations by the Internal Auditors were also discussed in the Audit Committee Meetings.

UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 30.09.2015

(Rs. In Million)

Particulars	3 Months ended 30.09.2015	Preceding 3 Months ended 30.06.2015	Year to date figures for the current period ended 30.09.2015
Particulars	(Unaudited)	(Unaudited)	(Unaudited)
Income from operations
Gross sales /Income from operations	9527.600	10111.400	19639.300
Less: Excise Duty	321.100	461.900	783.000
Net sales/ Income from operation (net of excise duty)	9206.800	9649.500	18856.300
Other operating income	6.700	5.100	11.800
Total income from Operations(net)	9213.500	9654.600	18868.100
Expenditure
Cost of material consumed	3144.900	4025.100	7170.000
Purchases of stock in trade	6598.900	4516.200	11115.100
Changes in inventories of finished goods, work-in-progress and stock-in-trade	(1599.000)	10.100	(1588.900)
Employees benefit expenses	117.000	115.200	232.200
Depreciation and amortization expenses	36.800	35.200	1140.200
Other expenditure	553.900	586.300	18140.600
Total expenses	8852.500	9288.100	18140.600
Profit from operations before other income and financial costs	361.000	366.500	727.500
Other income	0.000	0.000	0.000
Profit from ordinary activities before finance costs	361.000	366.500	727.500
Finance costs	289.700	317.800	607.500
Profit from ordinary activities after finance costs before exceptional items	71.300	48.700	120.000
Exceptional Items	0.000	0.000	0.000
Profit from ordinary activities before tax Expense:	71.300	48.700	120.000
Tax expenses
Current tax (net of mat credit)	23.200	16.300	39.500
Income tax paid for earlier years	13.000	0.100	13.100
Deferred tax	1.500	0.500	2.000
Sub total	37.700	16.900	54.600
Net Profit / (Loss) from ordinary activities after tax	33.600	31.800	65.400
Paid-up equity share capital (Nominal value Rs.10/- per share)	445.000	445.000	445.000
Reserve excluding Revaluation Reserves as per balance sheet of previous accounting year	---	---	---
Earnings per share (before extraordinary items) of Rs.10/- each) (not annualized):
Basic and diluted	0.76	0.72	1.47
Earnings per share (after extraordinary items)
Basic and diluted	0.76	0.72	1.47
A. Particulars of shareholding
1. Public Shareholding
- Number of shares	22729916	22729916	22729916
- Percentage of shareholding	51.08%	51.08%	51.08%
2. Promoters and Promoters group Shareholding-
a) Pledged /Encumbered
Number of shares	---	---	---
Percentage of shares (as a % of total shareholding of the promoter and promoter group)	---	---	---
Percentage of shares (as a % of total share capital of the company)	---	---	---

b) Non Encumbered
Number of shares	21770084	21770084	21770084
Percentage of shares (as a % of total shareholding of the promoter and promoter group)	100%	100%	100%
Percentage of shares (as a % of total share capital of the company)	48.92%	48.92%	48.92%
B. Investor Complaints
Pending at the beginning of the quarter		NIL
Receiving during the quarter		1
Disposed of during the quarter		1
Remaining unreserved at the end of the quarter		NIL

SEGMENT WISE REVENUE RESULTS AND CAPITAL EMPLOYED

(Rs. In Million)

Particulars	3 Months ended 30.09.2015	Preceding 3 Months ended 30.06.2015	Year to date figures for the current period ended 30.09.2015
Particulars	(Unaudited)	(Unaudited)	(Unaudited)
Segment Revenue
Manufacturing (including other operation income)	3829.700	4934.500	8764.200
Traded goods	5383.800	4720.100	10103.900
Sub total	9213.500	9654.600	18868.100
Less: Inter Segment Revenue	0.000	0.000	0.000
Net Sales / Income from Operations	9213.500	9654.600	18868.100

Segment Results
Profit/ (Loss) before tax and interest from each segment
Manufacturing	267.700	281.300	549.000
Traded goods	95.600	87.600	183.200
Total	363.300	368.900	732.200
Add: Other Income	0.000	0.000	0.000
Total	363.300	368.900	732.200
Less: Interest	289.700	317.800	607.500
Other Unallocable expenditure	2.300	2.400	4.700
Total profit before tax	71.300	48.700	120.000

Capital Employed
(Segment Assets – Segment Liabilities)
Manufacturing	5851.400	6108.400	5851.400
Traded goods	640.900	523.600	640.900
Unallocable	20.100	(179.900)	20.100
Total	6472.200	6452.100	6472.200

Note:

The Unaudited Financial Results were reviewed by Audit Committee and approved by Board of Directors at its meeting held on 3rd November, 2015

Previous year / period figures have been regrouped/ rearranged wherever considered necessary.

Limited review of Unaudited Financial Results has been carried out by the Statutory Auditors of the Company.

STATEMENT OF ASSETS AND LIABILITIES AS 30^TH SEPTEMBER, 2015

(Rs. In Million)

Particulars	30.09.2015 (Unaudited)
Equity And Liabilities
Shareholders’ Funds
Share Capital	995.100
Reserves and Surplus	2665.600
Sub-total Shareholders fund	3660.700
Minority Interest	---
Non-current liabilities
Long term borrowings	229.500
Deferred tax liabilities	308.200
Other long term liabilities	35.000
Long term provisions	23.800
Sub-total non-current liabilities	596.500
Current liabilities
Short term borrowings	2215.000
Trade payables	7561.700
Other current liabilities	478.400
Short term provisions	63.400
Sub-total current liabilities	10318.500

TOTAL EQUITY AND LIABILITIES	14575.700

ASSET
Non-current assets
Fixed assets	2129.900
Non-current investment	28.900
Other non-current assets	53.400
Sub-total non-current assets	2212.200
Current assets
Inventories	5807.500
Trade receivables	4249.200
Cash and Bank balances	1027.800
Short term loans and advances	1242.400
Other current assets	36.600
Sub-total current assets	12363.500

TOTAL ASSETS	14575.700

FIXED ASSETS

Free Hold Land
Lease Land
Buildings
Plant and Machinery
Furniture and Fixtures
Off ice Equipments
Computer
Vehicles

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

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.66.83
UK Pound	1	Rs.101.04
Euro	1	Rs.73.04

INFORMATION DETAILS

Information Gathered by :	SPR

Analysis Done by :	KAR

Report Prepared by :	PNM

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	5
--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	YES
--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	--

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.

MIRA INFORM REPORT

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