MIRA INFORM REPORT

 

 

Report No. :

309386

Report Date :

24.02.2015

 

IDENTIFICATION DETAILS

 

Name :

K G DENIM LIMITED

 

 

Registered Office :

Then Thirumalai, Coimbatore - 641302, Tamilnadu

 

 

Country :

India

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

25.06.1992

 

 

Com. Reg. No.:

18-003798

 

 

Capital Investment / Paid-up Capital :

Rs. 256.651 Millions

 

 

CIN No.:

[Company Identification No.]

L17115TZ1992PLC003798

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

CMBK03032B

 

 

PAN No.:

[Permanent Account No.]

Not Available

 

 

Legal Form :

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

 

 

Line of Business :

Manufacturing and Exporter of denim fabrics of different size, shades, weaves, blends and weights.

 

 

No. of Employees :

750 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (34)

 

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 record.

 

The rating reflects moderate financial risk profile marked by cyclical nature of the denim industry and sharp dip in profitability of the company during financial year 2014.

 

However, trade relations are fair. Business is active. Payments are reported to be slow but correct.

 

The company can be considered for business dealing with some 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

CARE

Rating

Long term bank facilities: “BB-”

Rating Explanation

Inadequate-credit-quality and high credit risk.

Date

11.07.2014

 

Rating Agency Name

CARE

Rating

Short term bank facilities: “A4”

Rating Explanation

Minimal degree of safety and very high credit risk.

Date

11.07.2014

 

 

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. Shaigal

Designation :

HR Department

Contact No.:

91-4254-304401

Date :

23.02.2015

 

 

LOCATIONS

 

Registered Office :

Then Thirumalai, Coimbatore - 641302, Tamilnadu, India

Tel. No.:

91-4254-304401/ 235300/ 304300

Fax No.:

91-4254-304400

E-Mail :

cskgdl@kgdenim.com

contact@kgdenim.in 

Website :

http://www.kgdenim.com

Location :

Owned

 

 

Factory :

Jadayam Palayam, Via Sirumugai, Taluka Mettupalayam, Coimbatore – 641302, Tamilnadu, India

Tel. No.:

91-42545-2331/ 34

Fax No.:

91-42545-2335

E-Mail :

cskgdl@kgdenim.com  

Website :

www.kgdenim.com

 

 

DIRECTORS

 

AS ON 31.03.2014

 

Name :

Mr. B Sriramulu

Designation :

Managing Directors

Qualification :

BE (Tex. Tech.), MS (Tex Tech)

Experience :

16 Years

Date of Appointment :

03.11.2003

 

 

Name :

Mr.  B Srihari

Designation :

Managing Directors

Qualification :

BE (Chem. Tech), MS (Chem. Tech)

Experience :

14 Years

Date of Appointment :

03.11.2003

 

 

Name :

Mr. KG Baalakrishnan

Designation :

Executive Chairman

 

 

Name :

Mr. G V S Desikan

Designation :

Directors

 

 

Name :

Mr. G. P. Muniappan

Designation :

Directors

 

 

Name :

Mr.  K N V Ramani

Designation :

Directors

 

 

Name :

Mr.  V Jagadisan

Designation :

Directors

 

 

Name :

Mrs.  T Anandhi

Designation :

Directors

 

 

Name :

Mr. M. J. Vijayaraaghavan

Designation :

Director

 

 

Name :

Mr. Surinder Chhibber

Designation :

Director

 

 

Name :

Mr.  A Velusamy

Designation :

Directors

 

 

Name :

Mr. S Muthuswamy

Designation :

Director

 

 

KEY EXECUTIVES

 

Name :

Mr. S. Muthuswamy

Designation :

Company Secretary

 

 

Name :

Mr. Shaigal

Designation :

HR Department

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON 31.12.2014

 

Category of Shareholder

No. of Shares

% of No. of Shares

(A) Shareholding of Promoter and Promoter Group

http://www.bseindia.com/include/images/clear.gif(1) Indian

 

 

http://www.bseindia.com/include/images/clear.gifIndividuals / Hindu Undivided Family

9869258

38.47

http://www.bseindia.com/include/images/clear.gifBodies Corporate

5162145

20.12

http://www.bseindia.com/include/images/clear.gifSub Total

15031403

58.59

http://www.bseindia.com/include/images/clear.gif(2) Foreign

 

 

Total shareholding of Promoter and Promoter Group (A)

15031403

58.59

(B) Public Shareholding

http://www.bseindia.com/include/images/clear.gif(1) Institutions

 

 

http://www.bseindia.com/include/images/clear.gifMutual Funds / UTI

5100

0.02

http://www.bseindia.com/include/images/clear.gifFinancial Institutions / Banks

500

0.00

http://www.bseindia.com/include/images/clear.gifForeign Institutional Investors

2300

0.01

http://www.bseindia.com/include/images/clear.gifSub Total

7900

0.03

http://www.bseindia.com/include/images/clear.gif(2) Non-Institutions

 

 

http://www.bseindia.com/include/images/clear.gifBodies Corporate

803141

3.13

http://www.bseindia.com/include/images/clear.gifIndividuals

 

 

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital up to Rs. 0.100 Million

6073797

23.68

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital in excess of Rs. 0.100 million

2854156

11.13

http://www.bseindia.com/include/images/clear.gifAny Others (Specify)

883508

3.44

http://www.bseindia.com/include/images/clear.gifClearing Members

25234

0.10

http://www.bseindia.com/include/images/clear.gifHindu Undivided Families

358752

1.40

http://www.bseindia.com/include/images/clear.gifNon Resident Indians

499322

1.95

http://www.bseindia.com/include/images/clear.gifTrusts

200

0.00

http://www.bseindia.com/include/images/clear.gifSub Total

10614602

41.38

Total Public shareholding (B)

10622502

41.41

Total (A)+(B)

25653905

100.00

(C) Shares held by Custodians and against which Depository Receipts have been issued

0

0.00

http://www.bseindia.com/include/images/clear.gif(1) Promoter and Promoter Group

0

0.00

http://www.bseindia.com/include/images/clear.gif(2) Public

0

0.00

http://www.bseindia.com/include/images/clear.gifSub Total

0

0.00

Total (A)+(B)+(C)

25653905

0.00

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturing and Exporter of denim fabrics of different size, shades, weaves, blends and weights.

 

 

Products :

Not Available

 

 

Brand Names :

Not Divulged

 

 

Agencies Held :

Not Divulged

 

 

Exports :

 

Countries :
  • USA
  • UK
  • Germany

 

 

Imports :

 

Products :

Raw Material

Countries :

Pakistan

 

 

Terms :

 

Selling :

Cash, Credit

 

 

Purchasing :

Cash, Credit

 

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

Maximum Limit Dealt :

Not Divulged

Experience :

Payment Behaviour

Market Goodwill

Overall

Not Divulged

Not Divulged

Not Divulged

Remark:

--

 

 

Customers :

Reference :

Not Divulged

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Maximum Limit Dealt :

Not Divulged

Experience :

Product Quality

Delivery Behaviour

Overall

Not Divulged

Not Divulged

Not Divulged

Remark:

--

 

 

No. of Employees :

750 (Approximately)

 

 

 

 

Bankers :
  • Indian Bank
  • Bank of India
  • Allahabad Bank
  • State Bank of India
  • State Bank of Hyderabad
  • Indian Overseas Bank

 

 

 

 

Facilities :

SECURED LOANS

 

31.03.2014

(Rs. In Millions)

31.03.2013

(Rs. In Millions)

LONG-TERM BORROWINGS

 

 

(a) Term Loans

 

 

Indian Rupee Loan

0.000

0.000

From Banks

362.433

419.324

From Others-House Property loan from HDFC Limited

22.140

0.000

(b) Long term maturities of finance lease obligations (Secured by Vehicles on Hire Purchase Loan)

0.000

0.000

There is no case of continuing default as on the Balance Sheet date in repayment of loans and interest

4.540

2.321

Short-Term Borrowings

 

 

Loans repayable on demand

 

 

Working Capital Loan from Banks

656.191

563.823

TOTAL

1045.304

985.468

 

NOTES

 

LONG-TERM BORROWINGS

 

BANK BORROWINGS OF TERM LOAN

 

Term loans from Indian Bank (IB), Bank of India (BOI) and Indian Overseas Bank (IOB) are secured by first pari passu charge on (a) all immovable properties situated in (i) 102.1897 acres of land at Jadayampalayam, Alangombu and Karamadai villages in Mettupalayam Taluk, Coimbatore District, Tamil Nadu and (ii) 2155.62 sq. meters of land at Amdha Village, Dharampur Taluk, Valsad District, Gujarat through equitable mortgage created with Indian Bank and (b) all plant and machineries including machineries and other movable fixed assets (excluding vehicles charged to financiers) acquired for the Expansion cum Diversification Scheme (ECDS) and New Capex Plan through Deed of Hypothecation.

Term loan from State Bank of Hyderabad and Term loan I from State Bank of India are secured by a first pari passu charge on (a) immovable properties in 48.5872 acres of land at Jadayampalayam, Alangombu and Karamadai Village in Mettupalayam Taluk, Coimbatore District,Tamilnadu and (b) all plant and machineries and other movable assets (excluding vehicles charged to financiers) acquired for the Expansion cum Diversification

 

Scheme (ECDS) through Deed of Hypothecation. Term loan II from State Bank of India is secured by a first pari passu charge on all plant and machineries acquired for the Modernisation cum Expansion Scheme (MCES) through Deed of Hypothecation. Power Plant Term Loan from Indian Bank Rs.148.000 Millions, Bank of India Rs.1480 lakhs and The South Indian Bank Limited Rs.147.000 Millions are secured by pari passu first charges on Assets relating to power plant project and pari passu second charges on current assets of the companies. Indian Bank is holding the original title deeds on its own behalf and on behalf of other Banks. Term loans are also guaranteed by Shri KG Baalakrishnan, Executive Chairman.

 

The company has availed four Term loans from Indian Bank and loan outstanding is - Term loan I Rs. Nil, Term loan II Rs. Nil Term Loan III Rs.77.007 Millions and Term Loan IV Rs.226.73 lakhs (Previous year 37.546 Millions,Rs.12.254 Millions Rs.14.555 Millions and Nil). Term Loan I is repayable in 32 quarterly installments commencing from 05.04.2007. Last Installment is due on 05.01.2015. Rate of Interest 13.00% p.a. as at year end.(Previous year 13.25% P.a.). Term Loan II is repayable in 90 monthly installments commencing from 15.10.2007. Last Installment is due on 15.03.2015. Rate of Interest 13.50% p.a. as at year end.(Previous year 13.75% p.a). Term Loan III is repayable in 6 monthly installments commencing from 01.09.2013. Last installment is due on 01.08.2018. Rate of Interest 13.50% p.a.as at year end. (Previous year 14.00% p.a). Term Loan IV is repayable 72 monthly installments commencing from 03.10.2015. Last installment is due on 03.10.2021. Rate of Interest 12.25% p.a as at year end.

 

The company has availed four term loans from Bank of India and loan outstanding is - Term Loan I Rs. Nil, Term Loan II Rs Nil Term Loan III Rs.90.856 Millions and Term Loan IV Rs.23.828 Millions (Previous year Rs.31.790 Millions, Rs.9.239 Millions Rs.97.453 Millions and Nil). Term Loan I is repayable in 32 quarterly installments commencing from 07.04.2007. Last Installment is due on 07.01.2015. Rate of Interest 13.50% p.a. as at year end.(Previous year 14.50% p.a.). Term Loan II is repayable in 87 monthly installments commencing from 15.10.2007. Last Installment is due on 15.12.2014. Rate of Interest 13.50% p.a. as at year end.(Previous year 14.50% p.a). Term Loan III is repayable in 60 monthly installments commencing from 01.07.2014. Last installment is due on 01.06.2019. Rate of Interest 13.50% p.a as at year end.(Previous year 14.50% p.a). Term Loan IV is repayable 96 monthly installments commencing from 25.12.2015.Last installment is due on 25.12.2023. Rate of Interest 12.25% p.a as at year end.

 

The company has availed two term loans from State Bank of India and loan outstanding is - Term Loan I for Rs. Nil and Term Loan II for Rs.84.934 Millions (Previous year Rs.26.943 Millions and Rs.94.933 Millions). Term Loan I is repayable in 31 quarterly installments commencing from 08.09.2007. Last Installment is due on 08.03.2015. Rate of Interest 13.5% p.a. as at year end.(Previous year 14.50% p.a.).Term Loan II is repayable in 60 monthly installments commencing from 01.04.2013. Last Installment is due on 01.03.2018. Rate of Interest 13.35% p.a. as at year end.(Previous year 14.40% p.a)

 

The company has availed a term loan from State Bank of Hyderabad and loan outstanding is Rs. Nil (Previous year Rs.24.905 Millions). Term Loan is repayable in 29 quarterly installments commencing from 21.09.2007. Last Installment is due on 21.03.2015. Rate of Interest 13.95% p.a. as at year end.(Previous year 14.25% p.a.).

 

The company has availed two term loans from Indian Overseas Bank and loan outstanding is- Term loan I Rs.18.754 Millions (Previous year Rs.29.536 Millions) is repayable in 20 quarterly installments commencing from 19.06.2012. Last Installment is due on 19.03.2017. Rate of Interest 14.00% p.a. as at year end.(Previous year 14.50% p.a.) and Term loan II Rs.25.643 Millions (Previous year Rs.40.169 Millions) is repayable in 60 monthly installments commencing from 28.04.2012. Last Installment is due on 28.03.2017. Rate of Interest 14.25% p.a. as at year end.(Previous year 14.75% p.a.)

 

The company has availed a term loan from The South Indian Bank Limited and loan outstanding is- Rs.23.830 Millions (Previous year Rs. Nil). Term Loan is repayable in 84 quarterly installments commencing from 25.12.2015. Last Installment is due on 25.12.2022. Rate of Interest 12.25% p.a. as at year end.

 

Term Loan from others :

 

HDFC Limited Loan Rs. 23.000 Millions for Mumbai Office Premises - mortgage of the property - Office space in Mumbai.

 

The company has availed a term Loan from HDFC Limited and loan outstanding is Rs.17.043 Millions (Previous year Rs. Nil). Term Loan is repayable in 84 quarterly installments commencing from 20.11.2014. Last Installment is due on 20.11.2021. Rate of Interest 13.50% p.a. as at year end.

 

SHORT-TERM BORROWINGS

 

Working capital facilities from Indian Bank Consortium (Indian Bank, Bank of India, Allahabad Bank and State Bank of India) are secured by a first pari passu charge on the whole of the current assets through Deed of Hypothecation and second pari passu charge on

(a)   All the immovable properties situated in

(i)             102.1897 acres of land at Jadayampalayam, Alangombu and Karamadai Villages in Mettupalayam Taluk, Coimbatore District, Tamil Nadu and

(ii)             2155.62 sq. meters of land at AmdhaVillage, Dharampur Taluk, Valsad District, Gujarat through equitable mortgage created with Indian Bank and

 

(b)   All plant and machineries (excluding vehicles charged to financiers) through Deed of Hypothecation. The entire working capital facilities are also guaranteed by Shri KG Baalakrishnan, Executive Chairman.

 

 

 

 

Banking Relations :

--

 

 

Auditors :

 

Name :

Gopalaiyer and Subramanian

Chartered Accountants

Address :

Coimbatore, Tamilnadu, India

 

 

Subsidiaries :

·         Trigger Apparels Limited

·         KG Denim (USA) Inc.

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2014

 

Authorised Capital :

 

No. of Shares

Type

Value

Amount

 

 

 

 

31000000

Equity Shares

Rs.10/- each

Rs. 310.000 Millions

1000000

10% Cumulative Redeemable Preference Shares

Rs. 100/- each

Rs. 100.000 Millions

 

TOTAL

 

Rs. 410.000 Millions

 

Issued Capital :

 

No. of Shares

Type

Value

Amount

 

 

 

 

25691305

Equity Shares

Rs.10/- each

Rs. 256.913 Millions

 

 

 

 

 

 

Subscribed & Paid-up Capital

 

No. of Shares

Type

Value

Amount

 

 

 

 

25653905

Equity Shares

Rs.10/- each

Rs. 256.539 Millions

Add

Forfeited Shares

 

Rs. 0.112 Million

 

TOTAL

 

Rs. 256.651 Millions

 

NOTES

 

Reconciliation of the number of shares outstanding at the beginning and at the end of the reporting period

 

Particulars

31.03.2014

Shares outstanding at the beginning of the year 25653905 Number

256.539

Shares outstanding at the end of the year 25653905 Number

256.539

 

 

Shares in the company held by each shareholder holding more than 5 percent shares

 

Name of the shareholder

31.03.2014

No. of shares held

% of holding

Sri Kannapiran Mills Limited

3065183

11.95

Shri KG Baalakrishnan

2578560

10.05

Shri B Srihari

2231859

8.70

Shri B Sriramulu

2208659

8.61

Smt B Sathyabama

1886500

7.35

 

 

Terms and Conditions of Equity Shares :

The Company has only one class of Equity Shares having a par value of Rs.10 per share. Each shareholder is eligible for one vote per share.

 

In the event of liquidation the Equity Shareholders are eligible to receive the remaining assets of the company after distribution of all preferential amounts in proportion of their shareholding.

 

There are no shares allotted as fully paid without payments being received in cash, bonus shares or shares bought back.


 

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

256.651

256.651

256.651

(b) Reserves & Surplus

419.702

376.204

243.286

(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)

676.353

632.855

499.937

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

389.113

421.645

443.673

(b) Deferred tax liabilities (Net)

127.281

130.200

129.865

(c) Other long term liabilities

24.000

25.496

61.190

(d) long-term provisions

22.264

22.622

18.861

Total Non-current Liabilities (3)

562.658

599.963

653.589

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

656.191

563.823

457.689

(b) Trade payables

1231.445

1066.455

825.475

(c) Other current liabilities

276.352

241.164

175.969

(d) Short-term provisions

23.964

23.880

49.529

Total Current Liabilities (4)

2187.952

1895.322

1508.662

 

 

 

 

TOTAL

3426.963

3128.140

2662.188

 

 

 

 

II.          ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

1204.135

1119.864

934.537

(ii) Intangible Assets

0.000

0.000

0.000

(iii) Capital work-in-progress

71.505

47.941

66.381

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

53.684

55.327

57.331

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d) Long-term Loan and Advances

115.213

36.117

39.625

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

1444.537

1259.249

1097.874

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

1123.898

1103.753

1018.244

(c) Trade receivables

424.406

378.581

237.494

(d) Cash and cash equivalents

89.462

83.707

66.526

(e) Short-term loans and advances

179.359

186.322

151.258

(f) Other current assets

165.301

116.528

90.792

Total Current Assets

1982.426

1868.891

1564.314

 

 

 

 

TOTAL

3426.963

3128.140

2662.188

 

 

PROFIT & LOSS ACCOUNT

 

 

 

PARTICULARS

31.03.2014

31.03.2013

31.03.2012

 

SALES

 

 

 

 

Income

5918.646

5148.277

4000.744

 

Other Income

30.905

36.315

31.689

 

TOTAL (A)

5949.551

5184.592

4032.433

 

 

 

 

 

Less

EXPENSES

 

 

 

 

Cost of Material Consumed

3691.761

3020.877

2423.794

 

Other Manufacturing Expenses

1272.86

1138.768

830.13

 

Purchases of Stock-in-Trade

0.397

0.006

0.537

 

Changes in inventories of finished goods, work-in-progress and Stock-in-Trade

(78.765)

(65.371)

(101.119)

 

Employees benefits expense

269.825

233.107

189.117

 

Other expenses

278.616

245.733

216.424

 

TOTAL (B)

5434.694

4573.120

3558.883

 

 

 

 

 

Less

PROFIT/ (LOSS)  BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)

514.857

611.472

473.550

 

 

 

 

 

Less

FINANCIAL EXPENSES (D)

280.515

257.630

232.271

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)

234.342

353.842

241.279

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION (F)

133.46

119.170

130.835

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE TAX (E-F)   (G)

100.882

234.672

110.444

 

 

 

 

 

Less

TAX (I)

35.023

79.393

36.737

 

 

 

 

 

 

PROFIT/ (LOSS)  AFTER TAX  (G-I)   (J)

65.859

155.279

73.707

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

Export of goods on direct export

2315.479

1833.142

1476.942

 

TOTAL EARNINGS

2315.479

1833.142

1476.942

 

 

 

 

 

 

IMPORTS

 

 

 

 

Raw Materials

114.687

143.326

112.421

 

Chemicals

116.150

105.490

66.082

 

Stores & Spares

20.684

70.051

29.789

 

Capital Goods

52.458

105.161

43.404

 

TOTAL IMPORTS

303.979

424.028

251.696

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

2.57

6.05

2.87

 

 

KEY RATIOS

 

PARTICULARS

 

31.03.2014

31.03.2013

31.03.2012

Net Profit Margin
(PAT/Sales)

(%)

1.11

3.02

1.84

 

 

 

 

 

Operating Profit Margin
(PBITD/Sales)

(%)

8.70

11.88

11.84

 

 

 

 

 

Return on Total Assets
(PBT/Total Assets}

(%)

3.06

7.76

4.35

 

 

 

 

 

Return on Investment (ROI)
(PBT/Networth)

 

0.15

0.37

0.22

 

 

 

 

 

Debt Equity Ratio
(Total Debt /Networth)

 

1.55

1.56

1.80

 

 

 

 

 

Current Ratio
(Current Asset/Current Liability)

 

0.91

0.99

1.04

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

 

DEBT EQUITY RATIO

 

Particular

31.03.2012

31.03.2013

31.03.2014

 

(INR in Mlns.)

(INR in Mlns.)

(INR in Mlns.)

Share Capital

256.651

256.651

256.651

Reserves & Surplus

243.286

376.204

419.702

Net worth

499.937

632.855

676.353

 

 

 

 

long-term borrowings

443.673

421.645

389.113

Short term borrowings

457.689

563.823

656.191

Total borrowings

901.362

985.468

1,045.304

Debt/Equity ratio

1.803

1.557

1.546

 

 

 

YEAR-ON-YEAR GROWTH

 

Year on Year Growth

31.03.2012

31.03.2013

31.03.2014

 

(INR in Mlns)

(INR in Mlns)

(INR in Mlns)

Sales

4,000.744

5,148.277

5,918.646

 

 

28.683

14.964

 

 

 

NET PROFIT MARGIN

 

Net Profit Margin

31.03.2012

31.03.2013

31.03.2014

 

(INR)

(INR)

(INR)

Sales

4,000.744

5,148.277

5,918.646

Profit

73.707

155.279

65.859

 

1.84%

3.02%

1.11%

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sr. No.

Check List by Info Agents

Available in Report (Yes / No)

1]

Year of Establishment

Yes

2]

Locality of the firm

Yes

3]

Constitutions of the firm

Yes

4]

Premises details

No

5]

Type of Business

Yes

6]

Line of Business

Yes

7]

Promoter's background

No

8]

No. of employees

Yes

9]

Name of person contacted

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

No

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

 

INDEX OF CHARGES

 

S.NO.

CHARGE ID

DATE OF CHARGE CREATION/MODIFICATION

CHARGE AMOUNT SECURED

CHARGE HOLDER

ADDRESS

SERVICE REQUEST NUMBER (SRN)

1

10465114

18/10/2013

23,000,000.00

HOUSING DEVELOPMENT FINANCE CORPORATION LIMITED

HDFC HOUSE, 29, KAMARAJ ROAD, COIMBATORE - 641018, TAMILNADU, INDIA

B91534743

2

10461438

14/11/2013 *

148,000,000.00

BANK OF INDIA

COIMBATORE MID CORPORATE BRANCH, FIRST FLOOR, CHAMBER TOWERS, 8/732, AVINASHI ROAD, COIMBATORE - 641018, TAMILNADU, INDIA

B92516863

3

10462477

11/10/2013

147,000,000.00

THE SOUTH INDIAN BANK LIMITED

COIMBATORE GANDHIPURAM BRANCH, CKN BUILDING, 100 FEET ROAD, GANDHIPURAM, COIMBATORE - 641012, TAMILNADU, INDIA

B90441502

4

10459739

14/11/2013 *

148,000,000.00

INDIAN BANK

COIMBATORE MAIN BRANCH, 31, VARIETY HALL ROAD, COIMBATORE - 641001, TAMILNADU, INDIA

B90725813

5

10366139

09/05/2013 *

100,000,000.00

BANK OF INDIA

MID CORPORATE BRANCH, FIRST FLOOR, CHAMBER TOWERS, 8/732, AVINASHI ROAD, COIMBATORE, TAMIL NADU - 641018, INDIA

B78812088

6

10349045

19/04/2013 *

120,000,000.00

INDIAN OVERSEAS BANK

PARK SQUARE BRANCH, 1027- AVINASHI ROAD, NEAR VOC PARK, UPPILIPALAYAM,, COIMBATORE, TAMIL NADU - 641018, INDIA

B76975879

7

10320308

19/04/2013 *

100,000,000.00

STATE BANK OF INDIA

COMMERCIAL BRANCH, 1443, TRICHY ROAD, COIMBATORE - 641018, TAMIL NADU, INDIA

B76817923

8

10065578

09/05/2013 *

56,400,000.00

BANK OF INDIA

COIMBATORE MID CORPORATE BRANCH, FIRST FLOOR, CHAMBER TOWERS, 8/732, AVINASHI ROAD, COIMBATORE - 641018, TAMILNADU, INDIA

B78812278

9

10049364

19/04/2013 *

56,400,000.00

INDIAN BANK

COIMBATORE MAIN BRANCH, 31, VARIETY HALL ROAD, COIMBATORE - 641001, TAMIL NADU, INDIA

B76975614

10

80023257

22/06/2010 *

150,000,000.00

STATE BANK OF HYDERABAD

RAJAJINAGAR BRANCH, 200/Y, 12TH MAIN, 50TH CROSS, 3RD BLOCK, RAJAJINAGAR, BANGALORE - 560010, KARNATAKA, INDIA

A91880773

11

80023259

19/04/2013 *

150,000,000.00

STATE BANK OF INDIA

COMMERCIAL BRANCH, 1443, TRICHY ROAD, COIMBATORE - 641018, TAMILNADU, INDIA

B76817469

12

80023253

19/04/2013 *

197,800,000.00

INDIAN BANK

COIMBATORE MAIN BRANCH, 31, VARIETY HALL ROAD, COIMBATORE - 641001, TAMILNADU, INDIA

B76975432

13

90007210

06/01/2014 *

210,500,000.00

ALLAHABAD BANK

98, MECRICAR ROAD, R S PURAM, COIMBATORE - 641002, TAMILNADU, INDIA

B93518272

14

90006921

22/08/2013 *

324,900,000.00

STATE BANK OF INDIA

COMMERCIAL BRANCH, 1443, TRICHY ROAD, COIMBATORE - 641018,
TAMILNADU, INDIA

B85667590

15

90006688

22/08/2013 *

621,000,000.00

BANK OF INDIA

COIMBATORE MID CORPORATE BRANCH, FIRST FLOOR, CHAMBER TOWERS, 8/732, AVINASHI ROAD, COIMBATORE - 641018, TAMILNADU, INDIA

B87144903

16

90006683

23/09/2013 *

671,100,000.00

INDIAN BANK

COIMBATORE MAIN BRANCH, 31, VARIETY HALL ROAD, COIMBATORE - 641001, TAMILNADU, INDIA

B89323141

 

* Date of charge modification

 

PERFORMANCE OF THE COMPANY

 

During the year ended 31.03.2014, the Company achieved an overall production of 316 lakh meters of fabrics against the previous year’s production of 296 lakh meters. The revenue for the year was Rs.5918.600 Millions as against revenue of Rs.5148.300 Millions during the previous year, representing a growth of 15 %. The Company has three main product groups Denim and Apparel Fabrics, Home Textiles and Sale of Apparel. Denim Sales have inceased marginally but profitability was affected on account of increase in input costs.

 

In the Home Textiles category, Company has registered significant growth rate in sales compared to the previous year. In the Ready Made Garments group also the Company has registered significant growth in sales and profit.

The Board of Directors recommends a dividend of 7.50 % (i.e. Rs.0.75) per equity share of the Company for the year 2013-14. The Dividend tax payable amounts to Rs.3.100 Millions.

 

 

STATEMENT OF STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND NINE MONTHS ENDED 31 ST DECEMBER, 2014

 

(Rs. In Millions)

No

Particulars

Un-Audited

 

 

Quarter Ended

9 months ended

 

PART I

31.12.2014

30.09.2014

31.12.2014

1

Income from operations :

 

 

 

 

(a) Net Sales/Income from Operations (Net of Excise Duty )

1527.000

1581.500

4518.000

 

(b) Other Operating Income

13.900

19.500

48.300

 

Total Income from operations (Net)

1540.900

1601.000

4566.300

2

Expenses

 

 

 

 

(a) Cost of material consumed

936.200

1025.400

2876.100

 

(b) Purchases of Stock-in-trade

0.000

0.000

0.000

 

(c) Change in inventories of finished goods,Work-in-progress and stock-in-trade

(33.900)

(9.500)

(75.400)

 

(d) Power & Fuel

121.800

112.500

339.800

 

(e) Stores & Chemicals

198.100

227.000

635.700

 

(f) Employees benefit expense

81.800

79.300

236.300

 

(g) Depreciation and amortization expenses

51.700

51.800

155.000

 

(h) Other Expenses

70.500

73.500

200.000

 

Total Expenses

1426.300

1560.000

4367.600

3

Profit from Operations before Other Income,Finance cost and Exceptional items (1-2)

114.600

41.000

198.700

4

Other Income

0.500

0.400

1.000

5

Profit from ordinary activities before Finance costs & Exceptional items (3+4)

115.100

41.400

199.700

6

Finance Costs (Net)

65.200

59.600

189.100

7

Profit/Loss from ordinary activities after Finance costs but before Exceptional items (5-6)

49.900

(18.200)

10.600

8

Exceptional items

0.000

0.000

0.000

9

Profit/Loss from Ordinary Activities before tax (7+8)

49.900

(18.200)

10.600

10

Tax Expenses

 

 

 

 

Current Tax

2.100

0.000

2.100

 

MAT Credit Entitlement

0.000

0.000

0.000

 

Deferred Tax

(3.300)

(8.300)

(19.200)

 

 

(1.200)

(8.300)

(17.100)

11

Net Profit/Loss from Ordinary Activities after tax (9-10)

51.100

(9.900)

27.700

12

Extraordinary items (Net)

0.000

0.000

0.000

13

Net Profit/Loss for the period (11-12)

51.100

(9.900)

27.700

14

Paid-up Equity Share Capital

 

 

 

 

(Face value of Rs.10/- each)

256.700

256.700

256.700

15

Reserves (excluding revaluation reserves)

 

 

 

16

Earnings Per Share (EPS) - Basic & Diluted

 

 

 

 

(Before Extraordinary items) (Not Annualised)

1.99

(0.39)

1.08

 

Earnings Per Share (EPS) - Basic & Diluted

 

 

 

 

(After Extraordinary items) (Not Annualised)

1.99

(0.39)

1.08

 

 

 

 

 

A

Particulars of Shareholding :

 

 

 

1

Public Shareholding

 

 

 

 

No of Shares

10622502

10622502

10622502

 

Percentage of Shareholding

41.41%

41.41%

41.41%

2

Promoters & Promoter Group Shareholding a)Pledged / Encumbered

 

 

 

 

No of Shares

2000000

2000000

2000000

 

Percentage of Shares (as % of the total shareholding of Promoter & Promoter Group)

13.31%

13.31%

13.31%

 

Percentage of Shares (as % of the total share capital of the Company)

7.80%

7.80%

7.80%

 

b)Non-encumbered

 

 

 

 

Number of Shares

13031403

13031403

13031403

 

Percentage of Shares (as % of the total shareholding of

 

 

 

 

Promoter & Promoter Group)

86.69%

86.69%

86.69%

 

Percentage of Shares (as % of the total share capital of the Company)

50.79%

50.79%

50.79%

 

 

 

 

 

B

INVESTOR COMPLAINTS

Quarter Ended

31.12.2014

 

 

 

Pending at the beginning of the quarter

NIL

 

 

 

Received during the quarter

2

 

 

 

Disposed of during the quarter

2

 

 

 

Remaining unresolved at the end of the quarter

NIL

 

 

 

NOTES

 

  1. The above Un-Audited results were reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on 31st January, 2015

 

  1. The Auditors of the Company have carried out a Limited Review of the aforesaid financial results for the quarter ended and Nine months ended 31st December 2014 in term of Clause 41 of the Listing Agreement with Stock Exchange.

 

  1. The Company has only one business segment (i.e.) Textiles Business. Hence, segment wise reporting is not applicable.

 

  1. Figures of the previous year / quarter / nine months ended have been regrouped / re arranged wherever necessary.

 

  1. Consequent to the enactment of the Companies Act 2013 (the Act) and its applicability for according periods commencing from 1st April 2014, the company has reassessed the remaining useful life of fixed assets in accordance with the provisions described under Schedule II to the Act. In case of assets which have completed their useful life , the carrying value (net of residual value ) as at 1st April 2014, amounting to Rs.39.600 Millions (net of Deferred Tax of Rs.17.000 Millions) has been adjusted to Retained Earnings; in case of other assets the carrying value (net of residual value) is being depreciated over the revised remaining useful life. The depreciation and amortisation expense charge for the quarter ended 31st December, 2014 would have been lower by Rs.16.900 Millions, had company continued with the previous assessment of useful life of such assets.

 

 

FIXED ASSETS

 

·         Land

·         Buildings

·         Machinery

·         Electric Machinery

·         Office Equipments

·         Furniture and Fittings

·         Motor 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. 62.18

UK Pound

1

Rs. 95.70

Euro

1

Rs. 70.75

 

 

INFORMATION DETAILS

 

Information Gathered by :

SUV 

 

 

Analysis Done by :

KAR

 

 

Report Prepared by :

DPT


 

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

3

--RESERVES

1~10

4

--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

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

 

34

 

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.