MIRA INFORM REPORT
|
Report No. : |
307701 |
|
Report Date : |
13.02.2015 |
IDENTIFICATION DETAILS
|
Name : |
COSMO FERRITES LIMITED |
|
|
|
|
Registered
Office : |
P. O. Jabli, District Solan, Jabli – 173209, Himachal Pradesh |
|
|
|
|
Country : |
|
|
|
|
|
Financials (as
on) : |
31.03.2014 |
|
|
|
|
Date of
Incorporation : |
24.07.1985 |
|
|
|
|
Com. Reg. No.: |
06-006378 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.130.300 Millions |
|
|
|
|
CIN No.: [Company Identification
No.] |
L27106HP1985PLC006378 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
-- |
|
|
|
|
PAN No.: [Permanent Account No.] |
-- |
|
|
|
|
Legal Form : |
A Public Limited Liability company. The company’s Share are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Manufacturer of MN-ZN Soft Ferrites. |
|
|
|
|
No. of Employees
: |
300 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
B (33) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having moderate track. The company possesses a moderate financial profile marked by
acceptable Networth base amid its modest scale of operations and debt
protection metrics, further mitigated by infusion of funds from the part of
its promoters. Management has achieved an increase in its sales revenue as well as
has reported a minimal profitability during FY 14, as against a previous year
loss. The ratings also take into consideration, the susceptibility of its
business profile to volatility in raw material prices and foreign exchange
rates. However, trade relations seem to be fair. Business is active. Payment
terms are reported as slow but correct. In view long standing presence and client relations, the company can
be considered for business dealings with caution. |
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 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
Long term rating=BB- |
|
Rating Explanation |
Moderate risk of default regarding timely servicing
of financial obligations. |
|
Date |
05.02.2014 |
|
Rating Agency Name |
CRISIL |
|
Rating |
Short term rating=A4+ |
|
Rating Explanation |
Minimal degree of safety and very high
credit risk. |
|
Date |
05.02.2014 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter in
the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2014.
INFORMATION PARTED BY
|
Name : |
Mr. L. D. Sharma |
|
Designation : |
Finance Head |
|
Contact No.: |
91-1792-277259 |
|
Date : |
11.02.2015 |
LOCATIONS
|
Registered Office / Manufacturing Plant : |
P. O. Jabli, District Solan, Jabli – 173209, Himachal Pradesh, India |
|
Tel. No.: |
91-1792-277231 / 277232 / 277235 / 277236 |
|
Fax No.: |
91-1792-277234 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate / Sales Office : |
517, 5th Floor, DLF Tower-A, Jasola New District Centre, Jasola, New Delhi – 110025, India. |
|
Tel. No.: |
91-11-49398800 |
|
Fax No.: |
91-11-49398888 |
DIRECTORS
AS ON 31.03.2014
|
Name : |
Mr. Ashok Jaipuria |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr. Ambrish Jaipuria |
|
Designation : |
Executive Director and CEO |
|
|
|
|
Name : |
Mr. Shreekant Somany |
|
Designation : |
Non-Executive Director |
|
|
|
|
Name : |
Mr. Rakesh Nangia |
|
Designation : |
Non-Executive Director |
|
Date of Birth/Age : |
30.07.1954 |
|
Qualification : |
B.Com, FCA |
|
|
|
|
Name : |
Mr. N. K. Gupta |
|
Designation : |
Non-Executive Director |
|
|
|
|
Name : |
Mr. A. K. Jain |
|
Designation : |
Non-Executive Director |
|
|
|
|
Name : |
Ms. Jyoti Dixit |
|
Designation : |
Non-Executive Director |
KEY EXECUTIVES
|
Name : |
Ms. Neha Pawar |
|
Designation : |
Company Secretary |
|
|
|
|
Name : |
Mr. L. D. Sharma |
|
Designation : |
Finance Head |
SHAREHOLDING PATTERN
AS ON 31.12.2014
|
Category of
Shareholder |
No. of Shares |
Percentage
of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
|
|
|
|
|
|
|
Individuals / Hindu Undivided Family |
195000 |
1.62 |
|
|
7442500 |
61.87 |
|
|
7637500 |
63.49 |
|
|
|
|
|
Total shareholding of Promoter and Promoter Group (A) |
7637500 |
63.49 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
7100 |
0.06 |
|
|
300 |
0.00 |
|
|
7400 |
0.06 |
|
|
|
|
|
|
826878 |
6.87 |
|
|
|
|
|
|
1999725 |
16.62 |
|
|
1551922 |
12.90 |
|
|
6575 |
0.05 |
|
|
6575 |
0.05 |
|
|
4385100 |
36.45 |
|
Total Public shareholding (B) |
4392500 |
36.51 |
|
Total (A)+(B) |
12030000 |
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) |
12030000 |
0.00 |
(1) Indian
BUSINESS DETAILS
|
Line of Business : |
Manufacturer of MN-ZN Soft Ferrites. |
|
|
|
|
Products : |
Soft Ferrites Core |
|
|
|
|
Brand Names : |
-- |
|
|
|
|
Agencies Held : |
-- |
|
|
|
|
Exports : |
|
|
Products : |
Soft Ferrites |
|
Countries : |
·
Europe ·
Thailand ·
Malaysia ·
China ·
Srilanka ·
Turkey ·
New Zealand ·
UK ·
USA ·
Israel ·
Korea ·
Hongkong ·
Taiwan ·
Belgium |
|
|
|
|
Imports : |
|
|
Products : |
Raw Material |
|
Countries : |
·
Germany ·
Antwerp ·
Korea ·
Singapore ·
Japan |
|
|
|
|
Terms : |
|
|
Selling : |
Cash, Credit |
|
|
|
|
Purchasing : |
Cash, Credit |
GENERAL INFORMATION
|
Suppliers : |
-- |
|||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||
|
Customers : |
-- |
|||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||
|
No. of Employees : |
300 (Approximately) |
|||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||
|
Bankers : |
State Bank of India |
|||||||||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||||||||||
|
Facilities : |
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
B. K. Shroff and Company Chartered Accountants |
|
|
|
|
Associate Companies
: |
· Cosmo Films Limited · Sterling Oxide Limited · Gayatri and Annapurna · Super Sadiq Enterprises Private Limited · Pravasi Enterprises Limited |
CAPITAL STRUCTURE
As on 31.03.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
15000000 |
Equity Shares |
Rs.10/- each |
Rs. 150.000 Millions |
|
- |
At the beginning of the year |
|
- |
|
- |
Add: Additions during the year |
|
- |
|
- |
Less: Reduction during the year |
|
- |
|
15000000 |
At the end of the year |
Rs. 10/- each |
Rs. 150.000 Millions |
|
|
|
|
|
|
800000 |
Preference Shares |
Rs. 100/- each |
Rs. 80.000 Millions |
|
- |
At the beginning of the year |
|
- |
|
- |
Add: Additions during the year |
|
- |
|
- |
Less: Reduction during the year |
|
- |
|
800000 |
At the end of the year |
Rs. 100/- each |
Rs. 80.000 Millions |
|
|
|
|
|
|
|
Total |
|
Rs. 230.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
12030000 |
Equity Shares |
Rs.10/- each |
Rs. 120.300
Millions |
|
- |
At the beginning of the year |
|
- |
|
- |
Add: Additions during the year |
|
- |
|
- |
Less: Reduction during the year |
|
- |
|
12030000 |
At the end of the year |
Rs.10/- each |
Rs. 120.300
Millions |
|
|
|
|
|
|
100000 |
Preference Shares |
Rs. 100/-
each |
Rs.10.000
Millions |
|
- |
At the beginning of the year |
|
- |
|
- |
Add: Additions during the year |
|
- |
|
- |
Less: Reduction during the year |
|
- |
|
100000 |
At the end of the year |
|
Rs. 10.000
Millions |
|
|
|
|
|
|
|
Total |
|
Rs. 130.300 Millions |
NOTES:-
The above preference shares are non-convertible, cumulative and redeemable at end of 10 years from the date of allotment i.e. 29.01.2014 or earlier at the option of the company. Dividend @ 10% is payable on these shares.
Details of shares in
the company held by each shareholder holding more than 5% of shares is as
under:
|
Name of Shareholder |
Number of Shares |
% holding |
|
Sunrise Manufacturing Co. Limited |
1075 |
0.01 |
|
Andheri Properties and Finance Limited |
3756375 |
31.23 |
|
Super Sadiq Enterprises Private Limited |
3685000 |
30.63 |
FINANCIAL DATA
[all figures are
in Rupees Millions]
ABRIDGED BALANCE
SHEET
|
SOURCES OF FUNDS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
I.
EQUITY
AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
130.300 |
120.300 |
120.300 |
|
(b) Reserves & Surplus |
110.128 |
99.833 |
116.454 |
|
(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) |
240.428 |
220.133 |
236.754 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
37.600 |
57.233 |
41.054 |
|
(b) Deferred tax liabilities (Net) |
50.048 |
49.639 |
59.018 |
|
(c) Other long term liabilities |
0.305 |
0.324 |
0.079 |
|
(d) long-term provisions |
8.773 |
8.521 |
8.612 |
|
Total Non-current Liabilities (3) |
96.726 |
115.717 |
108.763 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
118.682 |
125.418 |
130.034 |
|
(b) Trade payables |
54.203 |
71.497 |
55.796 |
|
(c) Other current
liabilities |
59.464 |
49.768 |
51.431 |
|
(d) Short-term provisions |
4.606 |
1.326 |
2.100 |
|
Total Current Liabilities (4) |
236.955 |
248.009 |
239.361 |
|
|
|
|
|
|
TOTAL |
574.109 |
583.859 |
584.878 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
328.696 |
357.647 |
373.499 |
|
(ii) Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii) Capital
work-in-progress |
16.484 |
0.000 |
6.717 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
0.000 |
17.876 |
17.876 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
5.793 |
5.774 |
5.766 |
|
(e) Other Non-current assets |
0.000 |
0.699 |
0.699 |
|
Total Non-Current Assets |
350.973 |
381.996 |
404.557 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
80.846 |
84.734 |
73.960 |
|
(c) Trade receivables |
72.595 |
74.153 |
57.300 |
|
(d) Cash and cash
equivalents |
18.244 |
14.682 |
28.352 |
|
(e) Short-term loans and
advances |
10.790 |
6.421 |
6.057 |
|
(f) Other current assets |
40.661 |
21.873 |
14.652 |
|
Total Current Assets |
223.136 |
201.863 |
180.321 |
|
|
|
|
|
|
TOTAL |
574.109 |
583.859 |
584.878 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
||
|
|
SALES |
|
|
|
||
|
|
|
Income |
567.707 |
486.183 |
428.011 |
|
|
|
|
Other Income |
17.140 |
7.884 |
12.723 |
|
|
|
|
TOTAL (A) |
584.847 |
494.067 |
440.734 |
|
|
|
|
|
|
|
||
|
Less |
EXPENSES |
|
|
|
||
|
|
|
Cost of Materials Consumed |
156.332 |
147.401 |
147.706 |
|
|
|
|
Purchase of Stock-in-trade |
0.198 |
0.673 |
0.104 |
|
|
|
|
Changes in Inventories of finished goods, work-in-progress and
stock-in-trade |
6.038 |
(1.607) |
(20.823) |
|
|
|
|
Employee Benefits Expenses |
99.865 |
96.740 |
81.150 |
|
|
|
|
Other Expenses |
239.451 |
208.554 |
170.487 |
|
|
|
|
Exceptional Items |
5.000 |
0.000 |
0.000 |
|
|
|
|
TOTAL (B) |
506.884 |
451.761 |
378.624 |
|
|
|
|
|
|
|
||
|
|
PROFIT/(LOSS)
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
77.963 |
42.306 |
62.110 |
||
|
|
|
|
|
|
||
|
Less |
FINANCIAL
EXPENSES (D) |
27.152 |
28.728 |
24.355 |
||
|
|
|
|
|
|
||
|
|
PROFIT/(LOSS)
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)
(E) |
50.811 |
13.578 |
37.755 |
||
|
|
|
|
|
|
||
|
Less |
DEPRECIATION/
AMORTISATION (F) |
39.774 |
39.529 |
33.777 |
||
|
|
|
|
|
|
||
|
|
PROFIT/(LOSS)
BEFORE TAX (E-F) (G) |
11.037 |
(25.951) |
3.978 |
||
|
|
|
|
|
|
||
|
Less |
TAX (H) |
0.544 |
(9.330) |
0.110 |
||
|
|
|
|
|
|
||
|
|
PROFIT/(LOSS) AFTER
TAX (G-H) (I) |
10.493 |
(16.621) |
3.868 |
||
|
|
|
|
|
|
||
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
32.103 |
48.724 |
58.494 |
||
|
|
|
|
|
|
||
|
Less |
APPROPRIATIONS |
|
|
|
||
|
|
|
Transferred to Preference Share Capital Redemption Reserve |
0.000 |
0.000 |
13.500 |
|
|
|
|
Proposed Dividend on Cumulative Redeemable Preference Shares |
0.170 |
0.000 |
0.119 |
|
|
|
|
Corporate Tax on Dividend |
0.028 |
0.000 |
0.019 |
|
|
|
BALANCE CARRIED TO
THE B/S |
42.398 |
32.103 |
48.724 |
||
|
|
|
|
|
|
||
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
||
|
|
|
FOB Value of Exports |
66.954 |
48.343 |
61.590 |
|
|
|
TOTAL EARNINGS |
66.954 |
48.343 |
61.590 |
||
|
|
|
|
|
|
||
|
|
IMPORTS |
|
|
|
||
|
|
|
Raw Materials |
104.755 |
74.318 |
55.463 |
|
|
|
|
Stores & Spares |
14.109 |
10.534 |
5.488 |
|
|
|
|
Capital Goods |
9.743 |
6.599 |
36.829 |
|
|
|
TOTAL IMPORTS |
128.607 |
91.451 |
97.780 |
||
|
|
|
|
|
|
||
|
|
Earnings Per
Share (Rs.) |
0.86 |
(1.38) |
0.31 |
||
QUARTERLY RESULTS
(Rs.
In Millions)
|
Particulars |
|
|
30.06.2014 (Unaudited) |
|
|
|
|
1st
Quarter |
|
Net Sales |
|
|
139.500 |
|
Total Expenditure |
|
|
125.800 |
|
PBIDT (Excl OI) |
|
|
13.700 |
|
Other Income |
|
|
0.000 |
|
Operating Profit |
|
|
13.700 |
|
Interest |
|
|
06.600 |
|
Exceptional Items |
|
|
0.000 |
|
PBDT |
|
|
7.100 |
|
Depreciation |
|
|
8.900 |
|
Profit Before Tax |
|
|
(1.800) |
|
Tax |
|
|
(0.600) |
|
Provisions and contingencies |
|
|
0.000 |
|
Profit After Tax |
|
|
(1.200) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
PAT / Total Income |
(%) |
1.79 |
(3.36) |
0.88 |
|
|
|
|
|
|
|
Net Profit Margin (PBT/Sales) |
(%) |
1.94 |
(5.34) |
0.93 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
1.98 |
(4.59) |
0.71 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.05 |
(0.12) |
0.02 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.65 |
0.83 |
0.72 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.94 |
0.81 |
0.75 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Millions]
DEBT EQUITY RATIO
|
Particular |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
Rs.
In Millions |
Rs.
In Millions |
Rs.
In Millions |
|
Share Capital |
120.300 |
120.300 |
130.300 |
|
Reserves & Surplus |
116.454 |
99.833 |
110.128 |
|
Net
worth |
236.754 |
220.133 |
240.428 |
|
|
|
|
|
|
long-term borrowings |
41.054 |
57.233 |
37.600 |
|
Short term borrowings |
130.034 |
125.418 |
118.682 |
|
Total
borrowings |
171.088 |
182.651 |
156.282 |
|
Debt/Equity
ratio |
0.723 |
0.830 |
0.650 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
Rs.
In Millions |
Rs.
In Millions |
Rs.
In Millions |
|
Sales |
428.011 |
486.183 |
567.707 |
|
|
|
13.591 |
16.768 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
Rs.
In Millions |
Rs.
In Millions |
Rs.
In Millions |
|
Sales
|
428.011 |
486.183 |
567.707 |
|
Profit |
3.868 |
(16.621) |
10.493 |
|
|
0.90% |
(3.42%) |
1.85% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
Yes |
|
10] |
Designation of contact
person |
Yes |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
----------- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
Yes |
|
20] |
Export / Import details
(if applicable) |
Yes |
|
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 |
UNSECURED LOAN:
|
Particulars |
31.03.2014 Rs.
In Millions |
31.03.2013 Rs.
In Millions |
|
Short Term
Borrowings |
|
|
|
Deposits |
0.285 |
0.285 |
|
|
|
|
|
Total |
0.285 |
0.285 |
REVIEW OF OPERATIONS
·
Sales
Revenue increased to Rs 567.700 Millions for the year ending 31st March 2014 as
compared to Rs.486.200 Millions for previous year.
·
Net
Profit after tax for the year is Rs.10.500 Millions as compared to Net loss of
Rs.16.600 Millions in the previous year by strengthening of marketing
strategies, revision in pricing policy and reduction in costs.
·
This
year was challenging on various fronts, viz upward pressure on key raw
materials prices along with increased competition in global ferrites market,
down fall in international market.
FUTURE
OUTLOOK & EXPANSION
Various cost cutting measures are
being taken in a structured manner. Besides, different market segments are
being explored to increase the order book and thereby better capacity
utilization. It is expected that performance in current year will be much
better.
MANAGEMENT DISCUSSION
& ANALYSIS REPORT
Industry Structure & Developments:
The Company is in the business of manufacturing soft ferrites cores. Major applications of ferrites are inverter transformers, Domestic Lighting, Energy Meter, Mobile Charger, SMPS, Transformer Manufacturers current transformers, pulse transformers, line filters, choke, noise suppressors etc. The industry is witnessing a decent growth rate and it is expected to grow at a similar rate in the near future as well, in both Domestic and Exports industry. The rapid urbanization and increase in usage of products using soft ferrites has given this industry a big fillip to the soft ferrites industry in the recent years.
Segment Wise or Product Wise Performance
The Company deals in only one product i.e. Soft Ferrites Core
Outlook
The outlook for the industry and the company looks bright and new markets in the global arena are being developed by the company. The Company is also focusing on cost cutting and increased productivity to enhance its competitiveness.
UNAUDITED FINANCIAL RESULTS FOR QUARTER ENDED 30.09.2014
(Rs. In Millions)
|
Particulars |
Quarter Ended ( Unaudited) |
Year to Date |
||
|
|
30.09.2014 |
30.06.2014 |
30.09.2014 |
|
|
1. Income
from operations |
|
|
|
|
|
a) Net sales/ Income from operation (net of excise duty) |
153.100 |
137.100 |
290.200 |
|
|
b) Other operating income |
1.400 |
2.400 |
3.800 |
|
|
Total
income from Operations(net) |
154.500 |
139.500 |
294.000 |
|
|
2.Expenditure |
|
|
|
|
|
a. (Increase) /decrease in finished goods, stock in trade and work in progress |
1.600 |
(7.300) |
(5.700) |
|
|
b. Consumption of raw materials |
41.700 |
42.200 |
83.900 |
|
|
c. Purchase of traded goods |
-- |
-- |
-- |
|
|
d. Employees cost |
29.000 |
29.100 |
58.100 |
|
|
e. Depreciation |
9.000 |
8.900 |
17.900 |
|
|
f. Power & Fuel |
22.000 |
19.900 |
41.900 |
|
|
g. Stores, Spares & Packing Material |
19.700 |
20.400 |
40.100 |
|
|
h. Other Expenses |
26.300 |
21.500 |
47.800 |
|
|
Total expenses |
149.300 |
134.700 |
284.000 |
|
|
3. Profit from operations before other income and
financial costs |
5.200 |
4.800 |
10.000 |
|
|
4. Other income |
-- |
-- |
-- |
|
|
5. Profit from ordinary activities before finance costs |
5.200 |
4.800 |
100.000 |
|
|
6. Finance costs |
7.600 |
6.600 |
14.200 |
|
|
7. Net profit/(loss) from ordinary activities
after finance costs but before exceptional items |
(2.400) |
(1.800) |
(4.200) |
|
|
8. Exceptional item |
-- |
-- |
-- |
|
|
9. Profit from ordinary activities before tax
Expense: |
(2.400) |
(1.800) |
(4.200) |
|
|
10.Tax expenses |
(0.700) |
(0.600) |
(1.300) |
|
|
11.Net
Profit / (Loss) from ordinary activities after tax (9-10) |
(1.700) |
(1.200) |
(2.900) |
|
|
12.Extraordinary Items (net of tax expense) |
-- |
-- |
-- |
|
|
13.Net Profit / (Loss) for the period (11 -12) |
(1.700) |
(1.200) |
(4.200) |
|
|
14.Paid-up equity share capital (Nominal value Rs.10/- per share) |
120.300 |
120.300 |
120.300 |
|
|
15. Reserve excluding
Revaluation Reserves as per balance sheet of previous accounting year |
|
|
|
|
|
16.i) Earnings per share (before extraordinary
items) of Rs.10/- each) (not annualised): |
|
|
|
|
|
(a) Basic and diluted |
(0.14) |
(0.10) |
(0.24) |
|
|
ii) Earnings per share (after extraordinary items) |
|
|
|
|
|
(a) Basic and diluted |
(0.14) |
(0.10) |
(0.24) |
|
|
|
|
|
|
|
|
|
|
|
||
|
A. Particulars of shareholding |
|
|
|
|
|
1. Public Shareholding |
|
|
|
|
|
- Number of shares |
4392500 |
4392500 |
4392500 |
|
|
- Percentage of shareholding |
36.51 |
36.51 |
36.51 |
|
|
2. Promoters and Promoters group Shareholding- |
|
|
|
|
|
a) Pledged /Encumbered |
|
|
|
|
|
Number of shares |
700000 |
700000 |
700000 |
|
|
Percentage of shares (as a % of total shareholding of the
promoter and promoter group) |
9.17 |
9.17 |
9.17 |
|
|
Percentage of shares (as a % of total share capital of the
company) |
5.82 |
5.82 |
5.82 |
|
|
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
|
|
Number of shares |
6937500 |
6937500 |
6937500 |
|
|
Percentage of shares (as a % of total shareholding of the
promoter and promoter group) |
90.83 |
90.83 |
90.83 |
|
|
Percentage of shares (as a % of total share capital of the
company) |
57.67 |
57.67 |
57.67 |
|
|
|
|
|
|
|
|
|
|
|
||
|
B.
Investor Complaints |
|
|
||
|
Pending at the beginning of the quarter |
Nil |
|
||
|
Receiving during the quarter |
Nil |
|
||
|
Disposed of during the quarter |
Nil |
|
||
|
Remaining unreserved at the end of the quarter |
Nil |
|
||
AUDITED
STANDALONE STATEMENT OF ASSETS AND LIABILITIES
|
SOURCES
OF FUNDS |
30.09.2014 |
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
(1)Shareholders’ Funds |
|
|
(a) Share Capital |
140.300 |
|
(b) Reserves & Surplus |
104.900 |
|
(c) Money received against
share warrants |
0.000 |
|
|
|
|
(2) Share Application money
pending allotment |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
245.200 |
|
|
|
|
(3) Non-Current Liabilities |
|
|
(a) long-term borrowings |
31.200 |
|
(b) Deferred tax liabilities
(Net) |
47.600 |
|
(c) Other long term liabilities |
0.400 |
|
(d) long-term provisions |
9.000 |
|
Total
Non-current Liabilities (3) |
88.200 |
|
|
|
|
(4) Current Liabilities |
|
|
(a) Short term borrowings |
167.300 |
|
(b) Trade payables |
50.100 |
|
(c) Other current liabilities |
55.300 |
|
(d) Short-term provisions |
4.700 |
|
Total
Current Liabilities (4) |
277.400 |
|
|
|
|
TOTAL |
610.800 |
|
|
|
|
II.
ASSETS |
|
|
(1) Non-current assets |
|
|
(a) Fixed Assets |
365.000 |
|
(b) Capital work-in-progress |
7.200 |
|
(c) Long-term Loan and Advances |
5.800 |
|
Total
Non-Current Assets |
378.000 |
|
|
|
|
(2) Current assets |
|
|
(a) Current investments |
0.000 |
|
(b) Inventories |
90.500 |
|
(c) Trade receivables |
82.500 |
|
(d) Cash and cash equivalents |
19.700 |
|
(e) Short-term loans and
advances |
9.200 |
|
(f) Other current assets |
30.900 |
|
Total
Current Assets |
232.800 |
|
|
|
|
TOTAL |
610.800 |
INDEX OF CHARGE:
|
Sr. No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount
secured |
Charge Holder |
Address |
Service Request
Number (SRN) |
|
1 |
80022279 |
27/01/2014* |
296,700,000.00 |
STATE
BANK OF INDIA |
SECTOR-1,
PARWANOO, SOLAN, HIMACHAL PRADESH - 173220, INDIA |
B96803218 |
*Date of modification Charges
FIXED ASSETS:
·
Land
·
Building
·
Plant and Machinery
·
Furniture and Fixtures
·
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 records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.62.15 |
|
UK Pound |
1 |
Rs.94.72 |
|
Euro |
1 |
Rs.70.33 |
INFORMATION DETAILS
|
Information
Gathered by : |
PPT |
|
|
|
|
Analysis Done by
: |
SUC |
|
|
|
|
Report Prepared
by : |
NKT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
4 |
|
--LEVERAGE |
1~10 |
4 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
3 |
|
--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 |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
|
|
|
|
TOTAL |
|
33 |
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.