MIRA INFORM REPORT
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Report No. : |
302055 |
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Report Date : |
07.01.2015 |
IDENTIFICATION DETAILS
|
Name : |
JET AIRWAYS
(INDIA) LIMITED (w.e.f. 28.12.2004) |
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Formerly Known
As : |
JET AIRWAYS INDIA
PRIVATE LIMITED |
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Registered
Office : |
Siroya Centre, Sahar Airport Road, Andheri (East), Mumbai – 400099, Maharashtra |
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Country : |
India |
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Financials (as
on) : |
31.03.2014 |
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Date of
Incorporation : |
01.04.1992 |
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Com. Reg. No.: |
11-066213 |
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Capital
Investment / Paid-up Capital : |
Rs. 1135.974 Millions |
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CIN No.: [Company Identification
No.] |
L99999MH1992PLC066213 |
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PAN No.: [Permanent Account No.] |
Not Available |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMJ00366C /
MUMJ06594A / MUMJ05793ES |
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Legal Form : |
A Public Limited Liability Company.
The Company’s Shares are Listed on the Stock Exchanges. |
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Line of Business
: |
Subject is engaged in providing passenger and cargo air
transportation services, also
leases aircrafts. |
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No. of Employees
: |
13256 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
B (26) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Maximum Credit Limit : |
USD 195000000 |
|
Status : |
Moderate |
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Payment Behaviour : |
Slow |
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Litigation : |
Exist |
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Comments : |
Subject is an established company having moderate track record. There are accumulated losses recorded by the company which has eroded
networth of the company. However, trader reflects strategic initiative takes by subject company
with its strategic partner (Etihad Airways) in reshaping its business. This
strategic alliance is expected to be mutually beneficial in areas of
operational performance and cost improvement and other services. Business is active. Payment terms are slow. In view of support from its strategic partner, 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 – September 30, 2014
|
Country Name |
Previous Rating (30.06.2014) |
Current Rating (30.09.2014) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
ICRA |
|
Rating |
Long Term, Term Loans: BB |
|
Rating Explanation |
Inadequate credit quality and high credit
risk. |
|
Date |
November 2014 |
|
Rating Agency Name |
ICRA |
|
Rating |
Short Term, Fund Based Limits: A4 |
|
Rating Explanation |
Minimal degree of safety and very high
credit risk. |
|
Date |
November 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 DECLINED
MANAGEMENT NON CO-OPERATIVE (TEL NO.: 91-22-61211950)
LOCATIONS
|
Registered Office/
Corporate Office : |
Siroya Centre, Sahar Airport Road, Andheri (East), Mumbai – 400099, Maharashtra, India |
|
Tel. No.: |
91-22-61211000/ 28505080/ 4271/ 5627/ 5628/ 5629 |
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Fax No.: |
91-22-61211950/ 28560622 |
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E-Mail : |
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Website : |
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Engineering Office
: |
Jet Airways Hanger, Opposite Indian Airlines Sports Club, Kalina, Santacruz (East), Mumbai – 400029, Maharashtra, India |
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Tel No.: |
91-22-26675112/ 5120 |
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Fax No.: |
91-22-26675242 |
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Branch Office
: |
Located at: · Mumbai · Ahmadabad · Goa · Kochi · Kolkata · Mangalore · Bangalore · Hyderabad · Chennai · Coimbatore · Delhi |
DIRECTORS
As on 31.03.2014
|
Name : |
Mr. Naresh Goyal |
|
Designation : |
Chairman |
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Name : |
Mr. James Hogan |
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Designation : |
Nominee Director |
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Date of Appointment : |
20.11.2013 |
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DIN No.: |
06540486 |
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Name : |
Mr. James Rigney |
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Designation : |
Director |
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Date of Appointment : |
20.11.2013 |
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DIN No.: |
06540653 |
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Name : |
Mr. Javed Akhtar |
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Designation : |
Director |
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Date of Birth/Age : |
17.01.1945 |
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Qualification : |
Bachelor’s degree in Arts |
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Date of Appointment : |
01.03.1993 |
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DIN No.: |
00112984 |
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Name : |
Mr. Iftikhar Mustafahasan Kadri |
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Designation : |
Director |
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Date of Birth/Age : |
01.12.1929 |
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Qualification : |
Bachelor’s degree in Engineering from Pune University |
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Date of Appointment : |
19.02.2000 |
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DIN No.: |
00112984 |
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Name : |
Mr. Aman Mehta |
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Designation : |
Director |
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Date of Birth/ Age : |
01.09.1946 |
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Qualification : |
Bachelor’s
degree in Economics from Delhi University |
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Date of Appointment : |
29.09.2004 |
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DIN No.: |
00009364 |
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|
|
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Name : |
Mr. Gaurang Shetty |
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Designation : |
Director and Manager |
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Date of Birth/ Age : |
08.10.1956 |
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Qualification : |
Bachelor of Science |
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Date of Appointment : |
03.08.2012 |
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DIN No.: |
00009364 |
KEY EXECUTIVES
|
Name : |
Mr. Arun Kanakal |
|
Designation : |
Company Secretary and Associate Legal Counsel |
SHAREHOLDING PATTERN
As on 30.09.2014
|
Category of
Shareholder |
No.
of Shares |
Percentage
of Holding |
|
(A) Shareholding of Promoter and Promoter Group |
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|
|
|
|
|
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|
1000 |
0.00 |
|
|
1000 |
0.00 |
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|
|
|
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|
57933665 |
51.00 |
|
|
57933665 |
51.00 |
|
Total shareholding of Promoter and Promoter Group (A) |
57934665 |
51.00 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
3561380 |
3.14 |
|
|
554272 |
0.49 |
|
|
2430864 |
2.14 |
|
|
3734744 |
3.29 |
|
|
10281260 |
9.05 |
|
|
|
|
|
|
5289115 |
4.66 |
|
|
|
|
|
|
10793187 |
9.50 |
|
|
1200103 |
1.06 |
|
|
28099053 |
24.74 |
|
|
594960 |
0.52 |
|
|
103 |
0.00 |
|
|
240618 |
0.21 |
|
|
27263372 |
24.00 |
|
|
45381458 |
39.95 |
|
Total Public shareholding (B) |
55662718 |
49.00 |
|
Total (A)+(B) |
113597383 |
100.00 |
|
(C) Shares held by Custodians and against which Depository Receipts
have been issued |
|
|
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
113597383 |
100.00 |
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BUSINESS DETAILS
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Line of Business : |
Subject is engaged in providing passenger and cargo air
transportation services, also
leases aircrafts. |
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Brand Names : |
-- |
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Agencies Held : |
-- |
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Exports : |
-- |
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Imports : |
-- |
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Terms : |
-- |
GENERAL INFORMATION
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Suppliers : |
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Customers : |
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No. of Employees : |
13256 (Approximately) |
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Bankers : |
· Abhu Dhabi Commercial Bank · Allahabad Bank · AXIS Bank Limited · Banca Popolare Di Milano · Gagrats Bank of America N.A. · Bank of India · Siroya Centre Barclays Bank Plc · Canara Bank · Citibank N.A. · Corporation Bank · DBS Bank Limited · DVB Bank SE · First National Bank · HDFC Bank Limited · ICICI Bank Limited · IDBI Bank Limited · Indian Overseas Bank · ING Belgium SA / N.V. · JP Morgan Chase, N.A. · Kotak Mahindra Bank Limited · Lloyds Bank (formerly known as Bank of Scotland Plc) · Punjab National Bank · Standard Chartered Bank Plc · State Bank of India · Syndicate Bank · The Hong Kong and Shanghai Banking Corporation Limited · The Royal Bank of Scotland N.V. (formerly known as ABN AMRO Bank) · Yes Bank |
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Facilities : |
LONG TERM
BORROWINGS Security and
Salient Terms: a.
Rupee Term Loans of Rs.1996.000 Millions (Previous
Year Rs.5207.900 Millions) and Foreign Currency Term Loan of Rs.4285.000
Millions (Previous Year Rs.5546.900 Millions) are secured by way of a
pari-passu charge on all the current and future domestic credit card
realizations received into the Trust and Retention Account including interest
earned thereon. Of the above, Foreign Currency Term Loan amounting to
Rs.1917.300 Millions for which the Company is in the process of creating
charge. Interest rates are linked to respective Banks’ Prime Lending Rate /
Base Rate / LIBOR plus Margin and are repayable in installments starting from
May, 2011 and ending in March, 2019. b.
Foreign Currency Term Loans of Rs.5441.700
Millions (Previous Year Rs.6934.700 Millions) are secured by way of a
pari-passu charge on all the current and future international credit card
realizations, as per the Merchant Establishment agreement, received into the
Trust and Retention Account (Debt Service Reserve Account) maintained with
the Banks together with a First mortgage charge on the four flight simulators
and on theland located at Vadgaon, Pune and at Pali, Raigad. Interest rates
are linked to LIBOR plus Margin and are repayable in monthly installments by
June 2016. c.
Rupee Term Loan from a Financial Institution of
Rs.Nil Millions (Previous Year Rs.2020.000 Millions) is secured by way of a
pledge of 100% of Equity Share Capital of Jet Lite (India) Limited held by
the Company together with a negative lien on one of the Boeing 737 aircraft.
Interest rate is linked to institutions benchmark rate plus margin and is
repayable in quarterly installment by September, 2013. d.
Foreign Currency Term Loan from a financial
institution of Rs.2042.000 Millions (Previous Year Rs.4095.400 Millions)is
secured by pari-passu charge on leasehold land situated at Bandra Kurla
Complex, Mumbai along with construction thereon, present and future and first
charge on Company’s entitlement under the development agreement for the
aforesaid plot of land entered into with Godrej Buildcon Private Limited. The
aforesaid charge is pending creation. Interest rate is LIBOR plus Margin and
is repayable on each working day Rs.10.000 Millions starting from 4th May,
2013. SHORT TERM
BORROWINGS Security and
Salient Terms : a)
Loans aggregating to Rs.17732.900 Millions (Previous
Year Rs.16335.200 Millions) are secured by way of hypothecation of
Inventories (excluding Aircraft fuel), Debtors / Receivables (excluding
credit card receivables, receivables from aircraft subleased and claim
receivables from aircraft lessors), Ground Support Vehicles / Equipment
(excluding trucks, jeeps and other motor vehicles), Spares (including
engines), Data Processing Equipment and other current assets and a
subservient charge in relation to the aircraft owned by the Company either on
Hire Purchase / Finance Lease. The Company has escrowed the entire IATA
collection with the lead bank for facilitating interest servicing and
regularisation in case of any irregularity. b)
i.
Foreign Currency Loans amounting to Rs.Nil
Millions (Previous Year Rs.446.000 Millions) and Rupee Loans amounting to
Rs.Nil Millions (Previous Year Rs.360.000 Millions) are secured by a second
charge on five of its Boeing wide body aircraft. Further, the same is also
secured by a charge on the profits of the Company after deduction of taxes,
dividends, repayment instalment, payment under any guarantees and / or any
other dues payable and Escrow of the Thai lease rentals upto November, 2013. ii.
Rupee Loan of Rs.Nil Millions (Previous Year Rs.300.000
Millions) is secured by a third pari-passu charge on four of its Boeing wide
body aircraft and a second pari-passu charge on one Boeing wide body
aircraft. Of these, the second pari-passu charge is pending creation. c)
Rupee loan of Rs.Nil Millions (Previous Year
Rs.350.200 Millions) is secured by way of a second charge on two Boeing
narrow body aircraft. d)
Rupee Term loan of Rs.693.700 Millions (Previous
Year Rs.Nil Millions) is secured by way of pledge of 151,834,623 shares of
Jet Lite. e)
Buyer’s credit of Rs.1150.600 Millions (Previous
Year Rs.1042.500 Millions) is secured by exclusive charge over two NewCFM
Engines and Quick Engine Change kits. |
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Statutory
Auditors 1 : |
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|
Name : |
Deloitte Haskins
and Sells Chartered
Accountants |
|
Address : |
12, Dr. Annie
Besant Road, Opposite Shiv Sagar Estate, Worli, Mumbai – 400018, Maharashtra,
India |
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Statutory
Auditors 2 : |
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|
Name : |
Chaturvedi and
Shah Chartered
Accountants |
|
Address : |
Laxmi Towers, “A”
Wing, Bandra-Kurla Complex, Mumbai – 400051, Maharashtra, India |
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Legal Advisors : |
Gagrats |
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Enterprise
exercising Significant Influence over the Company : |
Etihad Airways PJSC (w.e.f.20th November, 2013) |
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|
Wholly Owned Subsidiary
Company (Control exists) : |
· Jet Lite (India) Limited · Jet Airways Training Academy Private Limited |
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Associate
Company : |
Jet Privilege Private Limited (Subsidiary upto 23rd March, 2014) |
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Enterprises over which controlling shareholder
and his relatives are able to exercise significant influence directly or indirectly : |
· Tail Winds Limited (Holding Company upto 30th May, 2013) · Jetair Private Limited · Trans Continental e Services Private Limited · Jet Enterprises Private Limited · Jet Airways Europe Services N.V. · Jetair Tours Private Limited · Global Travel Solutions Private Limited · Jet Airways LLC (Ceased w.e.f. 1st April, 2013) · Jet Airways of India Inc. (Ceased w.e.f. 1st April, 2013) · India Jetairways Pty Limited (Ceased w.e.f. 1st April, 2013) |
CAPITAL STRUCTURE
As on 31.03.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
180000000 |
Equity Shares |
Rs.10/- each |
Rs.1800.000 Millions |
|
20000000 |
Preference Shares |
Rs.10/- each |
Rs.200.000 Millions |
|
|
Total |
|
Rs.2000.000
Millions |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
113597383 |
Equity Shares |
Rs.10/- each |
Rs.1136.000
Millions |
a.
Reconciliation of the number of shares
|
Equity Shares |
As on 31.03.2014 |
|
|
|
Number of shares |
Rs. in Millions |
|
As at the beginning of the year |
86334011 |
863.300 |
|
Add : Issued during the year |
27263372 |
272.700 |
|
As at the end of
the year |
113597383 |
1136.000 |
b.
Shareholders holding more than 5% of equity share
capital and shares held by Holding / Ultimate Holding Company
|
Name of
Shareholder |
As on 31.03.2014 |
|
|
|
Number of Shares |
% holding |
|
Naresh Goyal |
57933665 |
51.00% |
|
Etihad Airways (PJSC) |
27263372 |
24.00% |
|
Tail Winds Limited (Holding Company) and its nominee |
-- |
-- |
c.
Terms / Rights attached to Equity Shares
The Company has only one class of Equity Shares having a par value of
Rs.10/-. Each holder of equity shares is entitled to one vote per share. The
Company declares and pays dividends if any, in Indian rupees. The dividend
proposed, if any, by the Board of Directors is subject to the approval of the
Shareholders in the ensuing Annual General Meeting.
In the event of liquidation of the Company, the holders of Equity Shares
will be entitled to receive any of the remaining assets of the Company, after
distribution of all preferential amounts. The distribution will be in
proportion to the number of equity shares held by the Shareholders.
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 |
1,136.000 |
863.300 |
863.300 |
|
(b) Reserves & Surplus |
(23,413.700) |
(4288.600) |
10945.300 |
|
(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) |
(22,277.700) |
(3425.300) |
11808.600 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
65,460.700 |
68686.000 |
87735.800 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term
liabilities |
3,650.000 |
3650.000 |
4223.900 |
|
(d) long-term provisions |
2,142.600 |
1251.800 |
987.100 |
|
Total Non-current
Liabilities (3) |
71,253.300 |
73587.800 |
92946.800 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
20,397.200 |
19525.900 |
20941.700 |
|
(b) Trade
payables |
48,404.600 |
47524.500 |
37448.100 |
|
(c) Other
current liabilities |
64,518.500 |
49281.300 |
44847.000 |
|
(d) Short-term
provisions |
1,395.300 |
1051.300 |
799.400 |
|
Total Current
Liabilities (4) |
134,715.600 |
117383.000 |
104036.200 |
|
|
|
|
|
|
TOTAL |
183,691.200 |
187545.500 |
208791.600 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
96,094.600 |
107431.100 |
135951.300 |
|
(ii)
Intangible Assets |
255.000 |
339.300 |
1873.200 |
|
(iii)
Capital work-in-progress |
0.000 |
0.000 |
20.700 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
16,412.100 |
16460.100 |
16459.600 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
30,983.900 |
22813.700 |
21085.000 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
143,745.600 |
147044.200 |
175389.800 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
8,037.600 |
7866.700 |
7783.500 |
|
(c) Trade
receivables |
12,092.200 |
11845.800 |
12664.400 |
|
(d) Cash
and cash equivalents |
11,454.100 |
8370.700 |
4978.800 |
|
(e)
Short-term loans and advances |
8,361.700 |
12418.100 |
7975.100 |
|
(f) Other
current assets |
0.000 |
0.000 |
0.000 |
|
Total
Current Assets |
39,945.600 |
40501.300 |
33401.800 |
|
|
|
|
|
|
TOTAL |
183,691.200 |
187545.500 |
208791.600 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from Operations |
173,018.900 |
168,525.900 |
148,159.100 |
|
|
|
Other Income |
4,115.800 |
5,505.800 |
3,571.700 |
|
|
|
TOTAL (A) |
177,134.700 |
174,031.700 |
151,730.800 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Aircraft Fuel Expenses |
71,754.200 |
69,920.000 |
66,306.700 |
|
|
|
Employee Benefit Expenses |
18,995.900 |
15,442.400 |
15,994.900 |
|
|
|
Selling and Distribution Expenses |
14,482.900 |
13,585.600 |
13,616.700 |
|
|
|
Aircraft Lease Rentals |
16,761.000 |
12,321.000 |
9,060.000 |
|
|
|
Other Expenses |
65,871.400 |
48,227.600 |
40,926.600 |
|
|
|
Exceptional Items |
7,219.900 |
(1,065.400) |
(731.900) |
|
|
|
TOTAL (B) |
195,085.300 |
158,431.200 |
145,173.000 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
(17,950.600) |
15,600.500 |
6,557.800 |
||
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
9,971.600 |
11,189.800 |
9,712.300 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
(27,922.200) |
4,410.700 |
(3,154.500) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
8,757.500 |
9,265.700 |
9,398.800 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) BEFORE
TAX (E-F) (G) |
(36,679.700) |
(4,855.000) |
(12,553.300) |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
(1.200) |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
AFTER TAX (G-H) (I) |
(36,678.500) |
(4,855.000) |
(12,553.300) |
|
|
|
|
|
|
|
|
|
Add |
PREVIOUS YEARS’
BALANCE BROUGHT FORWARD |
(24,409.900) |
(19,554.900) |
(7,193.900) |
|
|
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
(61088.400) |
(24,409.900) |
(19,554.900) |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN FOREIGN
CURRENCY |
|
|
|
|
|
|
|
Passenger and Cargo Revenue |
76778.400 |
71829.300 |
62844.000 |
|
|
|
Interest on Bank Account |
0.100 |
0.036 |
3.400 |
|
|
|
Leasing Operations |
6872.300 |
4843.200 |
4521.200 |
|
|
|
Other Income |
559.200 |
260.200 |
161.500 |
|
|
TOTAL EARNINGS |
84210.000 |
76932.736 |
67530.100 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Components and Spares |
3030.100 |
2521.200 |
3525.200 |
|
|
|
Capital Goods |
631.600 |
1958.100 |
1568.500 |
|
|
TOTAL IMPORTS |
3661.700 |
4479.300 |
5093.700 |
|
|
|
|
|
|
|
|
|
|
Earnings/ (Loss)
Per Share (Rs.) |
(381.30) |
(56.23) |
(143.18) |
|
QUARTERLY RESULTS
|
Particulars |
30.06.2014 1st Quarter |
30.09.2014 2nd Quarter |
|
Audited / UnAudited |
UnAudited |
UnAudited |
|
Net Sales |
4,4828.300 |
4,5257.200 |
|
Total Expenditure |
4,6168.000 |
4,8453.000 |
|
PBIDT (Excl OI) |
(1339.700) |
(3195.800 |
|
Other Income |
2578.300 |
4900.000 |
|
Operating Profit |
1238.600 |
1704.200 |
|
Interest |
1942.900 |
2122.700 |
|
Exceptional Items |
391.000 |
3050.100 |
|
PBDT |
(313.300) |
2631.60 |
|
Depreciation |
1863.200 |
1933.400 |
|
Profit Before Tax |
(2176.500) |
698.200 |
|
Tax |
0.000 |
0.000 |
|
Provisions and contingencies |
0.000 |
0.000 |
|
Profit After Tax |
(2176.500) |
698.200 |
|
Extraordinary Items |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
|
Net Profit |
(2176.500) |
698.200 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
Net Profit Margin (PAT / Sales) |
(%) |
|
|
|
|
|
|
|
|
|
|
Operating Profit Margin (PBIDT/Sales) |
(%) |
|
|
|
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
(21.93) |
(2.84) |
(6.53) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
1.65 |
1.42 |
(1.06) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
(3.85) |
(25.75) |
9.20 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.30 |
0.35 |
0.32 |
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 |
863.300 |
863.300 |
1136.000 |
|
Reserves & Surplus |
10945.300 |
(4288.600) |
(23413.700) |
|
Net
worth |
11808.600 |
(3425.300) |
(22277.700) |
|
|
|
|
|
|
long-term borrowings |
87735.800 |
68686.000 |
65460.700 |
|
Short term borrowings |
20941.700 |
19525.900 |
20397.200 |
|
Total
borrowings |
108677.500 |
88211.900 |
85857.900 |
|
Debt/Equity
ratio |
9.203 |
(25.753) |
(3.854) |
%20LIMITED%20-%20302055%2007-Jan-2015_files/image020.gif)
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 |
148,159.100 |
168,525.900 |
173,018.900 |
|
|
|
13.747 |
2.666 |
%20LIMITED%20-%20302055%2007-Jan-2015_files/image021.gif)
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
|
148,159.100 |
168,525.900 |
173,018.900 |
|
Profit |
(12,553.300) |
(4,855.000) |
(36,678.500) |
|
|
(8.47%) |
(2.88%) |
(21.20%) |
%20LIMITED%20-%20302055%2007-Jan-2015_files/image022.gif)
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check List by Info Agents |
Available in
Report (Yes / No) |
|
1] |
Year of Establishment |
Yes |
|
2] |
Locality of the firm |
Yes |
|
3] |
Constitutions of the firm |
Yes |
|
4] |
Premises details |
No |
|
5] |
Type of Business |
Yes |
|
6] |
Line of Business |
Yes |
|
7] |
Promoter's background |
Yes |
|
8] |
No. of employees |
Yes |
|
9] |
Name of person contacted |
No |
|
10] |
Designation of contact
person |
No |
|
11] |
Turnover of firm for last
three years |
Yes |
|
12] |
Profitability for last
three years |
Yes |
|
13] |
Reasons for variation
<> 20% |
----------- |
|
14] |
Estimation for coming
financial year |
No |
|
15] |
Capital in the business |
Yes |
|
16] |
Details of sister
concerns |
Yes |
|
17] |
Major suppliers |
No |
|
18] |
Major customers |
No |
|
19] |
Payments terms |
No |
|
20] |
Export / Import details
(if applicable) |
No |
|
21] |
Market information |
---------- |
|
22] |
Litigations that the firm
/ promoter involved in |
Yes |
|
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 |
LITIGATION
DETAILS
|
HIGH COURT OF
BOMBAY |
|
CASE DETAILS BENCH: BOMBAY |
|
PRESENTATION DATE : 14/10/2014 |
|
STAMP NO: CEXAL/333/2014
FILING DATE: 14/10/2014 |
|
PETITIONER: THE COMMISSIONER OF SERVICE TAX-MUMBAI RESPONDENT: JET AIRWAYS (INDIA) LIMITED PETN.ADV: SUCHITRA KAMBLE (I2836) DISTRICT: MUMBAI |
|
BENCH: DIVISION STATUS: PRE-ADMISSION |
|
ACT: CENTRAL
EXCISE & SALT ACT
UNDER SECTION: 35G |
INDEX OF CHARGE:
|
SR. NO. |
CHARGE ID |
DATE OF CHARGE CREATION/MODIFICATION |
CHARGE AMOUNT SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST NUMBER (SRN) |
|
1 |
10536559 |
01/11/2014 * |
9,300,000,000.00 |
MASHREQ BANK PSC |
1ST FLOOR, NO 2 LONDON WALL BUILDINGS, 1 - 5 LONDON WALL, LONDON, - EC2M5PP, UNITED KINGDOM |
C37045788
|
|
2 |
10530179 |
20/10/2014 |
40,400,000,000.00 |
SBICAP TRUSTEE COMPANY LIMITED |
202 MAKER TOWER E,
CUFFE PARADE, MUMBAI, MAHARASH |
C32937583
|
|
3 |
10526830 |
29/09/2014 |
6,100,000,000.00 |
PUNJAB NATIONAL BANK |
LARGE CORPORATE BRANCH, GROUND FLOOR, MAKER TOWER "E", CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
C30401160
|
|
4 |
10518085 |
09/08/2014 |
6,500,000,000.00 |
IL & FS TRUST COMPANY LIMITED |
IL & FS FINANCIAL
CENTREPLOT NO C22 G BLOCK BANDRA, KURLA COMPLEX BANDRA EAST, MUMBAI,
MAHARASHTRA |
C19209071
|
|
5 |
10483722 |
03/03/2014 |
1,924,485,665.00 |
ETIHAD AIRWAYS PJSC |
P.O.BOX 35566, KHALIFA CITY A, ABU DHABI, - 35566, UNITED ARAB EMIRATES |
C00002451
|
|
6 |
10463337 |
30/10/2013 |
5,856,000,000.00 |
BARCLAYS BANK PLC |
5 THE NORTH
COLONNADE, CANARY WHARF, LONDON, - E |
B90780503
|
|
7 |
10447009 |
04/09/2013 |
6,336,000,000.00 |
BARCLAYS BANK PLC |
5 THE NORTH
COLONNADE, CANARY WHARF, LONDON, - E |
B84012830
|
|
8 |
10442057 |
05/08/2013 |
5,856,000,000.00 |
BARCLAYS BANK PLC |
5 THE NORTH COLONNADE,
CANARY WHARF, LONDON, - E |
B81698102
|
|
9 |
10438668 |
02/07/2013 |
9,000,000,000.00 |
PUNJAB NATIONAL BANK |
LARGE CORPORATE BRANCH, GROUND FLOOR, MAKER TOWER "E", CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
B80345994
|
|
10 |
10409940 |
26/02/2013 |
3,850,000,000.00 |
ETIHAD AIRWAYS PUBLIC JOINT STOCK COMPANY |
P.O. BOX 35566,
KHALIFA CITY A, ABU DHABI, UNITED |
B70082201
|
|
11 |
10450556 |
31/01/2013 |
1,500,000,000.00 |
ALLAHABAD BANK |
I.F.BRANCH, ALLAHABAD BANK BLDG,2ND FLOOR,, 37, MUMBAI SAMACHAR MARG, FORT, MUMBAI, MAHARASHTRA - 400023, INDIA |
B77548030
|
|
12 |
10399683 |
24/12/2012 |
600,000,000.00 |
SBICAP TRUSTEE COMPANY LIMITED |
202, MAKER TOWER, 'E', CUFFE PARADE, COLABA, MUMBAI, MAHARASHTRA - 400005, INDIA |
B66389792
|
|
13 |
10382177 |
01/11/2012 * |
7,000,000,000.00 |
PUNJAB NATIONAL BANK |
LARGE CORPORATE BRANCH, GROUND FLOOR, MAKER TOWER "E", CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
B69806719
|
|
14 |
10369279 |
26/11/2012 * |
2,500,000,000.00 |
SBICAP TRUSTEE COMPANY LIMITED |
202, MAKER TOWER, 'E', CUFFE PARADE, COLABA, MUMBAI, MAHARASHTRA - 400005, INDIA |
B66390030
|
|
15 |
10333257 |
29/12/2011 |
7,500,000,000.00 |
HOUSING DEVELOPMENT FINANCE CORPORATION LIMITED |
RAMON HOUSE 169BACKBAY RECLAMATION, H T PAREKH MARG, MUMBAI, MAHARASHTRA - 400020, INDIA |
B31108343
|
|
16 |
10290717 |
23/04/2011 |
5,000,000,000.00 |
CANARA BANK |
PRIME CORPORATE BRANCH I, MAKER TOWER-F, 20TH FLOOR, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
B14458574
|
|
17 |
10266051 |
11/04/2011 * |
6,150,000,000.00 |
PUNJAB NATIONAL BANK |
LARGE CORPORATE
BRANCH, GROUND FLOOR, MAKER TOWER "E", CUFFE PARADE, MUMBAI,
MAHARASHTRA - 400005, |
B11564374
|
|
18 |
10154078 |
11/06/2010 * |
15,000,000,000.00 |
PUNJAB NATIONAL BANK |
LARGE CORPORATE BRANCH, MAKER TOWER - E, CUFFE PARADE, MUMBAI, MAHARASHTRA - 400005, INDIA |
A91065755
|
|
19 |
10134142 |
06/03/2014 * |
7,000,000,000.00 |
INDIAN OVERSEAS BANK |
NARIMAN POINT BRANCH, 229, 'BAKHTAWAR', GROUND FLOOR, NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021, INDIA |
C11704061
|
|
20 |
10110861 |
27/06/2008 |
3,500,000,000.00 |
FLEET IRELAND AIRCRAFT LEASE 2007-A LIMITED |
1 GUILD STREET,
IFSC, DUBLIN 1, DUBLIN, - 0000, |
A40729105
|
|
21 |
10104436 |
28/05/2008 |
3,500,000,000.00 |
FLEET IRELAND AIRCRAFT LEASE 2007-A LIMITED |
1 GUILD STREET,
IFSC, DUBLIN 1, DUBLIN, - 0000, |
A39194956
|
|
22 |
10085375 |
01/02/2008 |
3,200,000,000.00 |
MOORGATE AIRCRAFT 2007 LIMITED |
1, GUILD STREET,
IFSC, DUBLIN 1,, DUBLIN, - 00000 |
A31369028
|
|
23 |
10080550 |
17/12/2007 |
3,200,000,000.00 |
MOORGATE AIRCRAFT 2007 LIMITED |
1, GUILD STREET,
IFSC, DUBLIN 1,, DUBLIN, - 00000 |
A29199528
|
|
24 |
10080546 |
14/12/2007 |
3,200,000,000.00 |
MOORGATE AIRCRAFT 2007 LIMITED |
1, GUILD STREET,
IFSC, DUBLIN 1,, DUBLIN, - 00000 |
A29198355
|
|
25 |
10080547 |
05/12/2007 |
3,200,000,000.00 |
MOORGATE AIRCRAFT 2007 LIMITED |
1, GUILD STREET,
IFSC, DUBLIN 1,, DUBLIN, - 00000 |
A29198926
|
|
26 |
10072398 |
11/10/2007 |
1,789,600,000.00 |
DELAWARE AIRCRAFT HIRE 2007 LLC |
C/O. WILMINGTON TRUST
COMPANY, RODNEY SQUARE NORTH, 1100, NORTH MARKET STREET, WILMINGTON DE, - 19 |
A25519232
|
|
27 |
10065234 |
27/08/2007 |
1,789,600,000.00 |
DELAWARE AIRCRAFT HIRE 2007 LLC |
C/O. WILMINGTON TRUST
COMPANY,, 1100, NORTH MARKE |
A21987227
|
|
28 |
10022713 |
15/12/2006 * |
1,575,000,000.00 |
DELAWARE AIRCRAFT HIRE 2006 LLC |
C/O. WILMINGTON TRUST COMPANY RODNEY SQUARE NORTH, 1100 NORTH MARKET STREET, WILMINGTON DE, - 19890, UNITED STATES OF AMERICA |
A05664859
|
|
29 |
10020829 |
15/12/2006 * |
1,575,000,000.00 |
DELAWARE AIRCRAFT HIRE 2006 LLC |
C/O. WILMINGTON TRUST COMPANY RODNEY SQUARE NORTH, 1100 NORTH MARKET STREET, WILMINGTON DE, - 19890, UNITED STATES OF AMERICA |
A05214317
|
|
30 |
80022013 |
21/11/2014 * |
40,400,000,000.00 |
SBICAP TRUSTEE COMPANY LIMITED |
202 MAKER TOWER E, 202 MAKER TOWER E, MUMBAI, MAH ARASHTRA - 400005, INDIA |
C36888576
|
|
31
|
80051195
|
24/03/1998
|
55,625,000.00
|
THE
SUMITOMO BANK LIMITED |
15TH FLOOR,
JOLLY MAKER CHAMBER II, 225 NARIMAN POINT, MUMBAI, MAHARASHTRA - 400021,
INDIA |
-
|
* Date of charge modification
UNSECURED LOAN
|
Particulars |
31.03.2014 Rs.
In Millions |
31.03.2014 Rs.
In Millions |
|
LONG TERM
BORROWINGS |
|
|
|
From Banks |
|
|
|
Foreign Currency Term Loan (Refer note (e) below) |
8388.200 |
0.000 |
|
From Others |
|
|
|
Rupee Term Loans
|
0.000 |
0.000 |
|
Foreign Currency
Term Loan |
1845.400 |
0.000 |
|
Long Term
Maturities of Finance Lease |
49714.400 |
58219.300 |
|
|
|
|
|
SHORT TERM
BORROWINGS |
|
|
|
Loans Repayable on Demand |
|
|
|
From Banks |
|
|
|
Foreign Currency
Loans |
0.000 |
252.000 |
|
From Others |
|
|
|
Rupee Loans |
820.000 |
440.000 |
|
Total |
60768.000 |
58911.300 |
|
Notes:
LONG TERM
BORROWINGS e) Foreign Currency
Term Loan of Rs.8388.200 Millions is availed against a corporate guarantee
given by one of the Shareholder to the lender. Further, the Company has
hypothecated one B737 Aircraft in favour of that Shareholder. Interest rates are
linked to LIBOR plus Margin and are repayable by way of a bullet repayment in
March, 2019. f) i) Finance Lease
obligation for six aircraft are secured by the Corporate Guarantees given by
the Subsidiary Company of Rs.42682.900
Millions equivalent to USD 7,124 lakhs (Previous Year Rs.38672.100 Millions
equivalent to USD 7,124 lakhs). ii) Repayable in
quarterly installments over a period of twelve years from the date of
disbursement of the respective loans. Interest rate is linked with LIBOR plus
margin. SHORT TERM BORROWINGS f) The rate of
interest for the loans listed in (a) to (e) above ranges from 130 base points
to 750 base points over LIBOR plus Margin for Foreign Currency Loans and 12 %
to 16.5 % for Rupee Loans. |
||
REVIEW OF OPERATIONS
The Company has
reported a consolidated Loss After Tax of Rs.41297.600 Millions in fiscal 2014,
but achieved passenger growth of 2 % in the same period. The losses incurred by
the Company were essentially due to:
a) Depreciating
rupee vis-à-vis the US dollar
b) Increase in crude oil prices
c) Instances of
surplus aircraft which were on ground
d) Non-cash
extraordinary write down of Rs.9360.100 Millions
e) Impairment of
goodwill of Rs.7000.000 Millions
f) Frequent,
aggressive price war strategy initiated by certain low cost airlines players
The consolidated
operating loss excluding non-cash extraordinary write down, impairment of
goodwill and cost of surplus aircraft on ground aggregates Rs.20751.800
Millions.
The Company, on
its part, has taken various initiatives to improve its operating efficiency
and revenue earning potential to bring down the breakeven load factor. They are
committed to take stringent measures to ensure our success in this challenging
and competitive aviation industry. In order to secure long term future, they
are taking measures such as putting in place a new network and fleet plan,
significant product enhancement and major cost reduction programme. There can be no short-term solutions and
these changes will take time to implement.
The Company is
continuously looking at cost reduction initiatives, discontinuing all loss
making routes, renegotiating major contracts including aircraft maintenance
costs and other efficiency enhancement measures which will help us to bring
down costs which are key to overall turnaround of the Company.
Additionally, they
are focusing on exploring various avenues to enhance ancillary revenues such as
seat select, prepaid excess baggage, prepaid meals, paid lounge access,
unaccompanied minors to name a few, through all its distribution channels.
After seeking
the approval, the Company transferred its frequent flyer
programme to its subsidiary - Jet Privilege Private Limited. Subsequently Jet
Privilege Private Limited ceased to be a subsidiary of the Company with effect
from 24th March, 2014. This will enable us to better manage our loyalty
programme and help customers avail more benefits out of it, including earn and
burn on the Etihad Global loyalty programme.
On 20th November
2013, Etihad infused equity of Rs.2,058 crores (circa US$ 380 Million) for the
acquisition of 24% strategic stake in
the Company. The approval accorded by
Govt. of India to a number of code share segments between the Company and
Etihad Airways PJSC allows a greater access to a number of European and
North-American destinations currently not operated by the Company. This will
offer Company’s customers better international connectivity through either
non-stop on Jet’s services or through one stop combined with Etihad Airways’
partner Airlines’ network.
Whilst on one
hand, the Company is upgrading and
repositioning itself based on its own operational strengths, on the other hand,
it will exploit and capitalize on synergies arising from its alliance with
Etihad as a strategic partner. Common areas of benefits include joint sourcing
of aircraft and equipment, sharing of best practices, co-ordination of flights,
leasing of spare aircraft, joint procurement of fuel and other services etc.
resulting in cost savings for both the airlines. Through effective
renegotiation of contracts, the Company
is targeting to achieve major cost savings in excess of USD 100 million.
The domestic traffic
in India increased by 5% for Fiscal year 2014. This was a significant
improvement as compared to a 5% contraction in the corresponding previous year.
Over the next few years, they expect the domestic aviation market to grow at
around 2 to 2.5 times of GDP growth. However, there will be short term
challenges to grow profitably because of the cost intensive aviation
infrastructure in India and the high regulatory operating costs.
The Company
carried 172.18 lakhs revenue passengers on its international and domestic
services during the year. The Company’s domestic passenger traffic for
the year grew by 1% as compared to a reduction of 4% last year while
international passenger traffic registered an increase of 6%, as compared
to an increase of 0.3% last year.
The Company ended
the financial year with a system-wide seat factor of 78.2%. The seat factor
was 70.6% on domestic sectors and 82.2% on the international sectors.
MANAGEMENT’S
DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
INDUSTRY STRUCTURE
AND DEVELOPMENT
Industry wide domestic passenger traffic grew by 5% in the current fiscal, as compared to a 5% decline in the previous fiscal. Despite recent challenges, India is expected to be amongst the fastest growing aviation market in the world over the next two decades.
However, the aviation industry in India has gone through yet another difficult year of operations due to high operating costs and increased price war, resulting in substantial industry wide losses for Fiscal 2014.
With the stablisation of Indian rupee against the USD in the last few months, the overall outlook for the industry remains positive for the Financial Year 2014-15. The fiscal year is expected to bring new challenges such as spurt in global fuel prices and increase in competition in terms of new airlines.
In light of above, airlines in India remain focused on strict cost controls and further productivity improvement. Persistent efficiency enhancement measures being taken by airlines in the country, improvement
OUTLOOK /
RESTRUCTURING MEASURES
Etihad acquired
24% stake in the company for a consideration of Rs.2,058 Crores. This
partnership will enable Jet to have combined network of more than 130 routes,
which is expected to bring additional feeder traffic from Etihad and its
partner airlines to Jet. The revised Network plan will take into account the
revenue opportunities which are now available to Jet from about 23 destinations
in India to Abu Dhabi.
Jet-Etihad deal
will also bring cost synergies in fleet acquisition, maintenance, joint
purchasing opportunities for fuel, spare parts, equipment and catering
supplies, as well as external services such as insurance and technology
support.
Other areas of
co-operation will include joint training of pilots, cabin crew and engineers,
as well as maintenance of common aircraft types and consolidation of guest
loyalty programs.
High Crude prices,
increased landing charges, currency depreciation and inflationary pressures
continue to adversely impact the company’s cost structure. Additionally,
aggressive pricing strategy followed by certain domestic airlines make it
difficult to pass on these increases to the passengers.
Crude oil prices,
over the last one month has seen steep increase due to political uncertainty in
the Middle East. With fuel cost constituting almost 35% of our total costs,
this could have adverse impact on the Company’s performance, going forward.
They continue in
our endeavor in reducing costs, exploring various avenues of ancillary revenues
and process improvements across all segments of the business. They believe that
this will help the Company in maximizing profitability in the medium to long
term. Further, post regulatory approvals received on 23rd May, 2014, they
commenced our code share program with Etihad airways which is expected to
resulted in significant growth in bookings per day.
Additionally, they
have identified key areas of focus like engineering, marketing, flight
operations, finance and airport services in order to enhance efficiency, reduce
costs, improve customer experience and thereby, embark on a turnaround
trajectory.
UNAUDITED FINANCIAL RESULTS FOR THE THREE QUARTER ENDED 30TH JUNE 2014
(Rs. In Millions)
|
Particulars |
Quarter Ended ( Unaudited) |
|
|
30.06.2014 |
|
1.
Income from operations |
|
|
a) Net sales/ Income from operation (net of excise duty) |
43340.700 |
|
b) Other operating income |
3515.700 |
|
Total
income from Operations(net) |
46856.400 |
|
2.Expenditure |
|
|
a. Aircraft Fuel Expenses |
18047.700 |
|
b. Aircraft Lease Rentals |
4185.500 |
|
c. Employees Remuneration and Benefits |
5100.300 |
|
d. Depreciation and Amortisation |
1863.200 |
|
e. Selling and Distribution Expenses |
4094.200 |
|
f. Other Expenses |
14740.300 |
|
Total expenses |
48031.200 |
|
3. Profit from operations before other income and
financial costs |
(1174.800) |
|
4. Other income |
550.200 |
|
5. Profit from ordinary activities before finance costs |
(624.600) |
|
6. Finance costs |
1942.900 |
|
7. Net profit/(loss) from ordinary activities
after finance costs but before exceptional items |
(2567.500) |
|
8. Exceptional item |
391.000 |
|
9. Profit from ordinary activities before tax
Expense: |
(2176.500) |
|
10.Tax expenses |
0.000 |
|
11.Net Profit
/ (Loss) from ordinary activities after tax (9-10) |
(2176.500) |
|
12.Extraordinary Items (net of tax expense) |
0.000 |
|
13.Net Profit / (Loss) for the period (11 -12) |
(2176.500) |
|
14.Paid-up equity share capital (Nominal value Rs.10/- per share) |
1136.000 |
|
15. Reserve excluding
Revaluation Reserves as per balance sheet of previous accounting year |
-- |
|
16. Basic and Diluted EPS before and after Extraordinary Item (in
Rupees) * (Face Value of Rupees 10/- each) * Not annualised in respect of Quarterly Results |
(19.16) |
|
Particulars |
Quarter Ended ( Unaudited) |
|
|
30.06.2014 |
|
A. Particulars of shareholding |
|
|
1. Public Shareholding |
|
|
- Number of shares |
55662718 |
|
- Percentage of shareholding |
49% |
|
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 |
57934665 |
|
Percentage of shares (as a % of total shareholding of the promoter and promoter group) |
100% |
|
Percentage of shares (as a % of total share capital of the company) |
51% |
|
|
|
|
B.
Investor Complaints |
|
|
Pending at the beginning of the quarter |
Nil |
|
Receiving during the quarter |
7 |
|
Disposed of during the quarter |
7 |
|
Remaining unreserved at the end of the quarter |
Nil |
UNAUDITED
STANDALONE SEGMENTWISE REVENUE, RESULTS FOR THE QUARTER ENDED 30TH JUNE, 2014
The Company, considering its higher level of international operations and
internal financial reporting based on geographic segment, has identified
geographic segment as primary segment. The geographic segment consists of: a)
Domestic (air transportation within India) b) International (air transportation
outside India).
(Rs. In
Millions)
|
Particulars |
Quarter
Ended (
Unaudited) |
|
|
30.06.2014 |
|
Segment
Revenue: (Primarily Passenger, Cargo, Excess Baggage and Leasing of Aircraft) |
|
|
Domestic |
18403.900 |
|
International |
28452.500 |
|
Total |
46856.400 |
|
Segmental
Result: |
|
|
Domestic |
9887.000 |
|
International |
13876.200 |
|
Total |
23763.200 |
|
|
|
|
Less: Finance Cost |
1942.900 |
|
Depreciation and Amortisation |
1863.200 |
|
Other Unallocable Expenditure |
23074.800 |
|
Add: Other Unallocable Revenue |
550.200 |
|
Add: Exceptional Items (Net) |
391.000 |
|
|
|
|
(Loss)
before tax |
(2176.500) |
|
|
|
|
Less: Taxes |
0.000 |
|
|
|
|
(Loss)
after tax |
(2176.500) |
Note: The Company believes
that it is not practical to identify fixed assets used in the Company’s
business or liabilities contracted, to any of the reportable segments, as the
fixed assets are used interchangeably between segments. Accordingly, no
disclosure relating to total segment assets and liabilities have been made.
Notes:
1.
The above results have been reviewed by the Audit
Committee and thereafter were approved and taken on record by the Board of
Directors at its Meeting held on 11th August, 2014.
2.
The figures for the quarter ended 31st March, 2014
are balancing figures between audited figures in respect of the full financial
year ended 31st March, 2014 and published year to date figures up to the third
quarter ended 31st December, 2013.
3.
Other Operating Income includes:
Income from leasing of Aircraft and Engine, for the Quarter ended 30th
June, 2014 of Rs.2028.100 Millions. The corresponding income for the Quarter
ended 30th June, 2013 was Rs.1133.400 Millions.
The corresponding income for the Quarter and Year ended 31st March, 2014
were Rs.1887.600 Millions and Rs.6872.300 Millions respectively.
4.
Pursuant to the Company adopting the useful life of
fixed assets as indicated in part C of Schedule II of the Companies Act, 2013
coming in to effect from 1st April, 2014, the depreciation charge for the
quarter ended 30th June' 2014 is lower (net) by Rs.260.600 Millions and the
adjustment to accumulated balance of retained earnings (deficit) is Rs.286.100
Millions.
5.
Other Income includes:
Profit on Sale and Leaseback of Engine
during the Quarter and Year ended 30th June, 2014 of Rs. Nil Millions. The
corresponding Profit on Sale and Leaseback of Engine for the Quarter ended 30th
June, 2013 was Rs. Nil Millions. Profit on Sale and Leaseback of Engine for the
Quarter and Year ended 31st March, 2014 were Rs. Nil Millions and Rs.298.100
Millions respectively.
6.
a)
Pursuant to a "Power by the Hour" (PBTH)
engine maintenance arrangement entered into by the Company with a service
provider for its B777 Aircraft engines, the PBTH cost are being charged to the
Statement of Profit and Loss and the variable rentals payable to the Lessors,
based on maintenance plan, are being recognised as "Receivable From Lessors". Based on
a joint validation of the Company's maintenance plan with the service provider,
the Company has recognised the expected refunds of variable rentals till 31st
March, 2014 as "Contribution receivable from Lessors towards
maintenance".
b)
Unrealised exchange Gain / (Loss) refers to the
notional Gain / (Loss) arising out of the restatement of the unhedged portion
of foreign currency monetary assets and liabilities (other than asset backed
borrowings) up to 31st March, 2014. Further, in line with the Notification
dated 29th December, 2011 issued by the Ministry of Corporate Affairs, the
Company exercised the option given in the paragraph 46A of Accounting Standard
- 11 "The Effects of Changes in foreign exchange rates". Accordingly,
the Company has, with effect from April 1, 2011, amortised the foreign exchange
loss incurred on long term foreign currency monetary items over the balance
period of such long term foreign currency monetary items. The amortised portion
of foreign exchange Gain / (Loss) (net) incurred on long term foreign currency
monetary items for the Quarter ended 30th June, 2014 is Rs. (193.700) Millions.
For the quarter ended 30th June, 2013 it was Rs. (22.700) Millions. The
corresponding amount for the Quarter and Year ended 31st March, 2014 were
Rs.(348.200) Millions and Rs.(287.600) Millions respectively. The unamortised
portion carried forward as on 30th June, 2014 is Rs.361.700 Millions
(Rs.469.000 Millions for the Year ended 31st March, 2014).
c)
The Company has equity investment of Rs.16450.000
Millions in Jet Lite (India) Limited, a wholly owned subsidiary, and has
advanced interest free loans amounting to Rs.19479.100 Millions as on 30th
June, 2014 (31st March, 2014 - Rs.19639.200 Millions) to the said subsidiary.
The subsidiary continues to incur losses and show negative net worth as on 30th
June, 2014. The Management, based on the recommendations provided by a domain
expert, had approved the broad parameters to re-organize the fleet and network
between Jet Airways and its wholly owned subsidiary Jet Lite (India) Limited.
Considering these parameters, a detailed business plan has since been drawn and
an independent valuer, based on these business plans, had valued the equity
interest in the subsidiary. The Management had performed a sensitivity analysis
as on 31st March, 2014 on the values so arrived and accordingly, made a
provision for diminution of Rs.70,000 Millions as at 31st March 2014 to fairly
reflect the recoverable amount based on a prudent assessment. The Management
has revisited the underlying assumptions about future events and the operating
parameters considered in the aforementioned business plan and concluded that
additional provision is not required to be recognised as at 30th June, 2014.
In view of the significant uncertainty as regards the underlying assumptions
about future events and the operating parameters, the same will be periodically
monitored and changes to reflect the reliable measurement will be made if the
conditions so warrant.
7.
The Company had acquired 100% of the shareholding
of Sahara Airlines Limited (SAL) (now known as Jet Lite (India) Limited) in
April, 2007. As per the Share Purchase Agreement (SPA) as amended by the
subsequent Consent Award, the mutually agreed sale consideration was to be paid
to the Selling Shareholders (SICCL) in four equal interest free instalments by
30th March, 2011. As a result of certain disputes that arose between the
parties, both the parties had filed petitions in the Hon'ble Bombay High Court
for breach of SPA as amended by the subsequent Consent Award. The Hon'ble
Bombay High Court delivered its Judgment on 4th May, 2011 whereby SICCL's
demand for restoration of the original price of Rs.20000.000 Millions was
denied and the Purchase Consideration was sealed at the revised amount of
Rs.14500.000 Millions. However, in its judgment, the Hon’ble Bombay High Court
has awarded interest at 9% p.a. on the delayed payments made to SICCL largely
on account of ongoing legal dispute. In view of this Order, a sum of
Rs.1164.300 Millions became payable as interest which has been duly discharged
by the Company. As a result of this discharge, the undertaking given by the
Company in April 2009 for not creating any encumbrance or alienation of its
moveable or immoveable assets and properties in any manner other than in the normal
course of the business, stands released.
Though the Company had complied with the order of the Hon’ble Bombay
High Court, based on legal advice, it filed an appeal with the Division Bench
of the Hon’ble Bombay High Court contesting the levy of interest. SICCL also
filed an appeal with the Division Bench of the Hon’ble Bombay High Court for
restoration of the purchase consideration to Rs.20000.000 Millions and for
interest to be awarded at 18% p.a. as against the 9% p.a. awarded by the
Hon'ble Bombay High Court.
The Division Bench of the Hon’ble Bombay High Court heard the matter and
vide its order dated 17th October, 2011 dismissed both the appeals as being not
maintainable in view of jurisdictional issue. The Company has since filed
Special Leave Petitions (SLP) before the Hon'ble Supreme Court challenging both
the orders of 4th May, 2011 and 17th October, 2011. SICCL had earlier filed a
SLP before the Hon'ble Supreme Court for
increased compensation and interest. Both the SLPs, filed by Jet Airways
as well as SICCL, came up for hearing before the Supreme Court. The Supreme
Court directed the parties to file the Counter and Rejoinder which has since
been filed. The Supreme Court also recorded that the statement made by Jet
Airways, as recorded in the order dated 6th May, 2011 passed by the Hon’ble
Bombay High Court, would continue till further orders. Previous periods /
year's figures have been regrouped / reclassified wherever necessary to
correspond with the current period's classification / disclosure. The Company
has filed its Counter Affidavit in the SLPs filed by SICCL and the Hon'ble
Supreme Court has granted further time to SICCL to file their Rejoinder.
8.
With strategic investment by Etihad Airways PJSC
and gradual implementation of the recommendations provided by a domain expert,
the Management expects to achieve required operating cash inflows through cost
synergies, revenue management, network synergy, leasing out aircraft, etc.
These measures coupled with ongoing
initiatives to raise funds are expected to result in sustainable cash
flows and accordingly the statement of financial results continue to be
prepared on a going concern basis, which contemplates realisation of assets
and settlement of liabilities in the
normal course of business.
9.
The Company has transferred its ‘Jet Privilege
Frequent Flyer Programme’ (JPFFP) undertaking to Jet Privilege Private Limited
(JPPL) on 21st April, 2014 as a going concern on a slump sale basis for a
consideration of Rs.11937.800 Millions. In accordance with the terms and
conditions of the Slump Sale Agreement and pending implementation of certain
commercial aspects of other associated agreements, surplus on the transfer has
not been recognized during the quarter.
10.
Previous periods / year's figures have been
regrouped / reclassified wherever necessary to correspond with the current
period's classification / disclosure.
FIXED ASSETS:
· Freehold Land
· Plant and Machinery
· Furniture and Fixtures
· Electrical Fittings
· Data Processing Equipments
· Office Equipments
· Vehicles
· Ground Support Equipments
· Simulator
· Leasehold Land
· Aircraft and Spare Engine (Narrow Body)
· Aircraft and Spare Engine (Wide Body)
· Improvement on Leased Aircraft
· Improvement on Leased Property
· Software
· Landing Rights
· Trademarks
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.63.39 |
|
UK Pound |
1 |
Rs.96.72 |
|
Euro |
1 |
Rs.75.80 |
INFORMATION DETAILS
|
Information
Gathered by : |
GYT |
|
|
|
|
Analysis Done by
: |
SUM |
|
|
|
|
Report Prepared
by : |
MRI |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
3 |
|
PAID-UP CAPITAL |
1~10 |
3 |
|
OPERATING SCALE |
1~10 |
3 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
3 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
3 |
|
--CREDIT LINES |
1~10 |
3 |
|
--MARGINS |
-5~5 |
- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--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 |
|
26 |
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.