MIRA INFORM REPORT

Report No. :	302213.2
Report Date :	17.01.2014

IDENTIFICATION DETAILS

Name :	STS UTILITY SERVICES
Registered Office :	Plot No. 24, Udyog Kendra-2, Ecotech-III, Greater Noida - 201306, Uttar Pradesh
Country :	India
Financials (as on) :	31.03.2014
Year of Establishment :	July 2007
Capital Investment :	Rs. 36.691 Millions
IEC No.:	0510078729
PAN No.: [Permanent Account No.]	AIRPG3535B
Legal Form :	Sole Proprietary Concern
Line of Business :	Manufacturer of Transformer, Testing Equipment and Testing Tools.
No. of Employees :	80 (Approximately) (In Office 10 and In Factory 70)

RATING & COMMENTS

MIRA’s Rating :

Ba (45)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is an established proprietary concern having satisfactory track record. The rating takes into consideration concerns sound financial risk profile marked by fair liquidity position and adequate profitability margins of the concern. Trade relations are fair. Business is active. Payment terms are reported to be usually correct. The concern can be considered for business dealings at usual trade terms and conditions.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – 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
High	B2
Very High	C1
Restricted	C2
Off-credit	D

EXTERNAL AGENCY RATING

NOT AVAILABLE

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. Gautam Singh
Designation :	Accountant
Contact No.:	91-9717839278
Date :	09.01.2015

LOCATIONS

Registered Office/ Factory :	Plot No. 24, Udyog Kendra-2, Ecotech-III, Greater Noida - 201306, Uttar Pradesh, India
Tel. No.:	91-120-2935010
Mobile No.:	91-9717839278 [Mr. Gautam Singh]
Fax No.:	91-120-2397556
E-Mail :	ststransformers@gmail.com
Area :	22460 Sq. ft.
Location :	Owned
Correspondence Office:	E-20, Sector 8, Noida - 201301, Uttar Pradesh, India
Location:	Owned
Locality :	Industrial

SOLE PROPRIETOR

Name :	Mr. Suraj Gupta
Designation :	Proprietor
Address :	S-369, Greater Kailash - 1, New Delhi, India
Date of Birth/Age :	33 Years
Qualification :	B.E
Experience :	8 Years

KEY EXECUTIVES

Name :	Mr. Gautam Singh
Designation :	Accountant

BUSINESS DETAILS

Line of Business :	Manufacturer of Transformer, Testing Equipment and Testing Tools.
Brand Names :	--
Agencies Held :	--
Exports :	Not Available
Imports :	Not Available
Terms :
Selling :	Credit [30 days]
Purchasing :	Credit [90 days]

PRODUCTION STATUS

Products	Installed Capacity	Actual Production
100 KVA	500 Nos.	270 Nos.

GENERAL INFORMATION

Suppliers :

Reference:	Not Available
Name of the Person (Designation):	Not Available
Contact Number:	Not Available
Since how long known:	Not Available
Maximum limit dealt:	Not Available
Experience:	Not Available
Remark	Not Available

Customers :

End Users

Reference:	Not Available
Name of the Person (Designation):	Not Available
Contact Number:	Not Available
Since how long known:	Not Available
Maximum limit dealt:	Not Available
Experience:	Not Available
Remark	Not Available

No. of Employees :

80 (Approximately) (In Office 10 and In Factory 70)

Bankers :

Bank Name:	Not Available
Branch:	Not Available
Person Name (with Designation):	Not Available
Contact Number:	Not Available
Name of Account Holder:	Not Available
Account Number:	Not Available
Account Since (Date/ Year of A/c Opening):	Not Available
Average Balance Maintained (Optional):	Not Available
Credit Facilities Enjoyed (CC/OD/Term Loan):	Not Available
Account Operation:	Not Available
Remarks: Not Available

· Corporation Bank

Sector 18, Noida, Uttar Pradesh, India

Facilities :

Rs. 17.000 Millions [From Corporation Bank]

SECURED LOANS	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
Secured Loans	44.338	50.816

Banking Relations :	--
Auditors :
Name :	R.B. Arora and Company Chartered Accountants
Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

AS ON 31.03.2014

Capital Investment :
Owned :	Rs. 36.691 Millions
Borrowed :	--
Total :	Rs. 36.691 Millions

FINANCIAL DATA

[all figures are in Rupees Millions]

Note : Sole Proprietary and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry.

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2014	31.03.2013	31.03.2012
SHAREHOLDERS FUNDS
1] Proprietor’s Capital		36.691	24.165	25.284
2] Share Application Money		0.000	0.000	0.000
3] Profit and Loss Account		0.000	0.000	0.000
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		36.691	24.165	25.284
LOAN FUNDS
1] Secured Loans		44.338	50.816	50.421
2] Unsecured Loans		27.515	11.938	9.887
TOTAL BORROWING		71.853	62.754	60.308
DEFERRED TAX LIABILITIES		0.000	0.000	0.000
TOTAL		108.544	86.919	85.592
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		36.605	33.485	33.295
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		2.658	1.168	9.065
DEFERRED TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	34.235	26.925	8.890
	Sundry Debtors	50.204	29.345	29.136
	Cash & Bank Balances	5.244	3.199	4.181
	Other Current Assets	1.822	1.312	1.096
	Loans & Advances	16.211	14.506	13.908
Total Current Assets		107.716	75.287	57.211
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	36.615	21.191	13.000
	Other Current Liabilities	1.471	1.561	0.904
	Provisions	0.349	0.269	0.075
Total Current Liabilities		38.435	23.021	13.979
Net Current Assets		69.281	52.266	43.232
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		108.544	86.919	85.592

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income	95.607	35.632	23.598
		Other Income	4.292	0.222	1.438
		TOTAL (A)	99.899	35.854	25.036
Less	EXPENSES
		Cost of Goods sold	73.784	18.336	13.779
		Operating Expenses	6.933	4.909	3.692
		Administrative and Office Expenses	1.823	2.014	1.629
		Establishing Expenses	0.951	1.557	1.008
		Selling and Distribution Expenses	1.366	0.393	0.240
		TOTAL (B)	84.857	27.209	20.348
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		15.042	8.645	4.688
Less	FINANCIAL EXPENSES (D)		9.043	6.306	2.686
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		5.999	2.339	2.002
Less/ Add	DEPRECIATION/ AMORTISATION (F)		1.545	0.998	1.115
	PROFIT BEFORE TAX (E-F) (G)		4.454	1.341	0.887
Less	TAX (H)		0.349	0.215	0.075
	PROFIT AFTER TAX (G-H) (I)		4.105	1.126	0.812

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT/Sales)	(%)	4.29	3.16	3.44
Operating Profit Margin (PBDIT/Sales)	(%)	15.73	24.26	19.87
Return on Total Assets (PBT/Total Assets}	(%)	3.09	1.23	0.98
Return on Investment (ROI) (PBT/Networth)		0.12	0.06	0.04
Debt Equity Ratio (Total Debt/Networth)		1.96	2.60	2.39
Current Ratio (Current Asset/Current Liability)		2.80	3.27	4.09

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particulars	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Proprietor’s Capital	25.284	24.165	36.691
Profit and Loss Account	0.000	0.000	0.000
Net worth	25.284	24.165	36.691
Secured Loans	50.421	50.816	44.338
Unsecured Loans	9.887	11.938	27.515
Total borrowings	60.308	62.754	71.853
Debt/Equity ratio	2.385	2.597	1.958

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	23.598	35.632	95.607
		50.996	168.318

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	23.598	35.632	95.607
Profit	0.812	1.126	4.105
	3.44%	3.16%	4.29%

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	Yes
5]	Type of Business	Yes
6]	Line of Business	Yes
7]	Promoter's background	Yes
8]	No. of employees	Yes
9]	Name of person contacted	Yes
10]	Designation of contact person	Yes
11]	Turnover of firm for last three years	Yes
12]	Profitability for last three years	Yes
13]	Reasons for variation <> 20%	--
14]	Estimation for coming financial year	No
15]	Capital in the business	Yes
16]	Details of sister concerns	No
17]	Major suppliers	No
18]	Major customers	No
19]	Payments terms	Yes
20]	Export / Import details (if applicable)	No
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	No
29]	Last accounts filed at ROC	No
30]	Major Shareholders, if available	No
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	No

UNSECURED LOANS

PARTICULARS	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
Unsecured Loans	27.515	11.938

TRADE REFERENCES

· B.M. Insulation

· Raj Petro Specialities Private Limited

· Raj Auxiliary Services

· Arihant Industries

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 records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs. 61.89
UK Pound	1	Rs. 93.92
Euro	1	Rs. 72.01

INFORMATION DETAILS

Information Gathered by :	NYA
Analysis Done by :	KAR
Report Prepared by :	BVA

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTERS
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		45

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.