MIRA INFORM REPORT
|
Report No. : |
328772 |
|
Report Date : |
24.06.2015 |
IDENTIFICATION DETAILS
|
Name : |
RENAISSANCE
JEWELLERY LIMITED |
|
|
|
|
Registered
Office : |
Plot No. 36 A and
37, SEEPZ, Andheri (East), Mumbai - 400096, Maharashtra |
|
Tel. No.: |
91-22-40551200 |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2015 |
|
|
|
|
Date of
Incorporation : |
04.12.1989 |
|
|
|
|
Com. Reg. No.: |
11-054498 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs. 190.794 Million |
|
|
|
|
CIN No.: [Company Identification
No.] |
L36911MH1989PLC054498 |
|
|
|
|
IEC No.: |
2789000093 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
MUMR14877C |
|
|
|
|
PAN No.: [Permanent Account No.] |
AACCR2148B |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Manufacturer, Exporter and Importer of Diamond Studded Jewellery. |
|
|
|
|
No. of Employees
: |
3500 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (50) |
|
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 : |
RJL was incorporated on December 04, 1989. The company is in the
business of manufacturing studded gold, platinum and silver jewellery using polished
diamonds, precious and other semi-precious coloured stones. Its product
portfolio includes rings, earrings, pendants etc. Subject is a well-established company having satisfactory track
record. The ratings continues to factor in the significant experience of
promoters in the diamond studded jewellery sector, the company during FY
2014-15 posted constant growth in its sales turnover and profitability of the
company. Rating takes into consideration on company fair networth base and
satisfactory balance sheet profile backed by it decent debt protection
metrics. Trade relations are fair. Business is active. Payment terms are
reported to be usually correct. In view of sound operational base backed by decent balance sheet
profile, the company 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 – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
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 |
ICRA |
|
Rating |
Fund Based Limits = BBB |
|
Rating Explanation |
Moderate degree of safety and moderate
credit risk |
|
Date |
March 2014 |
|
Rating Agency Name |
ICRA |
|
Rating |
Non Fund Based Limits = A2 |
|
Rating Explanation |
Strong degree of safety and low credit risk |
|
Date |
March 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
31-03-2013.
INFORMATION PARTED BY
|
Name : |
Mr. Kuldeep Patil |
|
Designation : |
Assistant Finance Manager |
|
Contact No.: |
91-22-40551200 |
|
Date : |
22.06.2015 |
LOCATIONS
|
Registered Office/ Factory 1 : |
Plot No. 36 A and
37, Seepz, Andheri (East), Mumbai - 400096, Maharashtra, India |
|
Tel. No.: |
91-22-40551200 |
|
Fax No.: |
91-22-66938457/ 28292146 |
|
E-Mail : |
|
|
Website : |
|
|
Location : |
Leased |
|
Locality : |
Commercial |
|
|
|
|
Factory 2 : |
G-42, G and J Complex - III, SEEPZ, MIDC Marol, Andheri (East), Mumbai
- 400096, Maharashtra, India |
|
|
|
|
Factory 3 : |
Unit No.156, SDF-V, SEEPZ, Andheri (East), Mumbai – 400096,
Maharashtra, India |
|
|
|
|
Factory 4 : |
GJ -10, SDF-VII, SEEPZ, Andheri (East), Mumbai – 400096, Maharashtra,
India |
|
|
|
|
Factory 5 : |
Unit No. 41 and 44, SDF-II, SEEPZ, Andheri (East), Mumbai-400096
Maharashtra, India |
|
|
|
|
Factory 6 : |
G-5, G and J Complex – I, SEEPZ, Andheri (East), Mumbai – 400096
Maharashtra, India |
|
|
|
|
Factory 7 : |
Unit No. C-3, Plot No. 15, WICEL, MIDC, Andheri - (East), Mumbai –
400096, Maharashtra, India |
|
|
|
|
Factory 8 : |
Plot No. 2302, Hill Drive, Talaja Road, Bhavnagar – 364002, Gujarat,
India |
|
|
|
|
Factory 9 : |
Diamond Division CC-9081, 9/F, “C’ Tower, Central Wing, Bharat Diamond Bourse, BKC,
Bandra (East), Mumbai – 400051, Maharashtra, India |
DIRECTORS
AS ON 31.03.2014
|
Name : |
Mr. Niranjan A. Shah |
|
Designation : |
Executive Chairman |
|
Date of Birth/Age : |
18.01.1947 |
|
Qualification : |
SSC |
|
Expertise in specific functional area : |
He has over 40 years of experience in the Gems and Jewellery industry having an exposure to the entire range of activities. |
|
Date of Appointment : |
01.01.2003 |
|
|
|
|
Name : |
Mr. Sumit N. Shah |
|
Designation : |
Managing Director |
|
|
|
|
Name : |
Mr. Hitesh M. Shah |
|
Designation : |
Executive Director |
|
Date of Birth/Age : |
15.09.1971 |
|
Qualification : |
B.Com. |
|
Expertise in specific functional area : |
Hitesh Shah has over 20 years of experience in gems and Jewellery business. He has earlier worked with Sudiam B. V. BA, Japan as president and was responsible for its operational activities He oversees the finance and accounting functions and merchandising. |
|
Date of Appointment : |
01.01.2006 |
|
|
|
|
Name : |
Mr. Neville R. Tata |
|
Designation : |
Executive Director |
|
Date of Birth/Age : |
05.09.1973 |
|
Qualification : |
H.S.C. |
|
Expertise in specific functional area : |
Neville Tata has a total work experience of 18 years. Prior to joining us, Mr. Tata has worked with Inter Gold Private Limited as a Production Manager. He oversees the entire operations with relation to production activities. |
|
Date of Appointment : |
01.02.2006 |
|
|
|
|
Name : |
Mr. Veerkumar C. Shah |
|
Designation : |
Independent Director |
|
Date of Birth/Age : |
01.05.1945 |
|
Qualification : |
B.Com. and CA |
|
Expertise in specific functional area : |
He is a practicing Chartered Accountant having vast experience in the field of Accounts and Audit, Finance and Taxation. |
|
Date of Appointment : |
01.02.2006 |
|
|
|
|
Name : |
Mr. Vishwas V. Mehendale |
|
Designation : |
Independent Director |
|
Date of Birth : |
17.09.1957 |
|
Date of Appointment : |
03.04.2007 |
|
Qualifications : |
B.Com., LL.B. and CA |
|
Expertise in specific functional area : |
He is a practicing Chartered Accountant having vast experience in the field of Accounts and Audit, Finance and Taxation. |
|
|
|
|
Name : |
Mr. Anil K. Chopra |
|
Designation : |
Independent Director |
|
Date of Birth : |
07.12.1943 |
|
Date of Appointment : |
03.04.2007 |
|
Qualifications : |
B.Sc. (Hon.) – Chemistry and PG Dip. in Management |
|
Expertise in specific functional area : |
He has 44 years experience in marketing of durables and non-durables, commercial operations and management of business ethics |
|
|
|
|
Name : |
Mr. Arun P. Sathe |
|
Designation : |
Independent Director |
|
Date of Birth/Age : |
14.10.1939 |
|
Qualification : |
M.Com., LL.B. |
|
Expertise in specific functional area : |
He is one of the leading practicing Lawyers in Tax Tribunal, in the High Court, Supreme Court, mainly in Income Tax, Election Law and Constitutional Matters. He is a member of the Governing Council of Maharashtra Chamber of Commerce, Member of Finance and Taxation Committee of the Chamber and EX member of Finance and Taxation Committee of FICCI and on their expert panel for Tax Laws. He is the President of ITAI Bar Association. He is also connected with various other social and political organizations. |
|
Date of Appointment : |
27.05.2010 |
|
|
|
|
Name : |
Mrs. Madhavi Pethe |
|
Designation : |
Independent Director |
|
Date of Birth/Age : |
15.12.1963 |
|
Qualification : |
B.Com. M.Com., Ph.D. |
|
Expertise in specific functional area : |
Educationist and currently the Principal of M.L. Dahanukar College of Commerce, she has also done her Ph.D. in Human Resource Development. |
|
Date of Appointment : |
07.08.2014 |
KEY EXECUTIVES
|
Name : |
Mr. G. M. Walavalkar |
|
Designation : |
Company
Secretary |
|
|
|
|
Name : |
Mr. Kuldeep Patil |
|
Designation : |
Assistant Finance Manager |
|
|
|
|
SENIOR
MANAGEMENT |
|
|
Name : |
Mr. A. K. Sharma |
|
Designation : |
President- Bridal Division |
|
|
|
|
Name : |
Mr. Amit Shah |
|
Designation : |
Vice President – Procurement |
|
|
|
|
Name : |
Mr. Bhupen Shah |
|
Designation : |
Vice President – Procurement |
|
|
|
|
Name : |
Mr. Dhiren Shah |
|
Designation : |
Vice President – Operations |
|
|
|
|
Name : |
Mr. Dilip Joshi |
|
Designation : |
Vice President – Finance |
|
|
|
|
Name : |
Mr. Nikesh Shah |
|
Designation : |
Vice President – Production |
|
|
|
|
Name : |
Mr. Parag Shah |
|
Designation : |
Vice President – Operations |
|
|
|
|
Name : |
Mr. Amrish Shah |
|
Designation : |
General Manager – Production |
|
|
|
|
Name : |
Mr. G. M. Walavalkar |
|
Designation : |
General Manager – Legal & CS |
|
|
|
|
Name : |
Mr. Hari Metha |
|
Designation : |
General Manager – Purchase & Stores |
|
|
|
|
Name : |
Mr. P. K. Sharma |
|
Designation : |
General Manager – Quality- Bridal Division |
|
|
|
|
Name : |
Mr. Naimesh Shah |
|
Designation : |
General Manager – Corporate Strategy |
|
|
|
|
Name : |
Mr. Sunil Pansare |
|
Designation : |
General Manager – Production |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 31.03.2015
|
Category of Shareholder |
Total
No. of Shares |
As a % |
|
(A) Shareholding of Promoter and Promoter
Group |
|
|
|
|
|
|
|
|
11702460 |
61.34 |
|
|
80 |
0.00 |
|
|
2607040 |
13.66 |
|
|
2607040 |
13.66 |
|
|
14309580 |
75.00 |
|
|
|
|
|
Total shareholding of Promoter and Promoter
Group (A) |
14309580 |
75.00 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
521372 |
2.73 |
|
|
521372 |
2.73 |
|
|
|
|
|
|
495031 |
2.59 |
|
|
|
|
|
|
1719456 |
9.01 |
|
|
1230783 |
6.45 |
|
|
803218 |
4.21 |
|
|
103825 |
0.54 |
|
|
51789 |
0.27 |
|
|
647604 |
3.39 |
|
|
4248488 |
22.27 |
|
Total Public shareholding (B) |
4769860 |
25.00 |
|
Total (A)+(B) |
19079440 |
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) |
19079440 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer, Exporter and Importer of Diamond Studded Jewellery. |
|
|
|
|
Brand Names : |
-- |
|
|
|
|
Agencies Held : |
-- |
|
|
|
|
Exports : |
|
|
Products : |
Diamond Studded Jewellery |
|
Countries : |
· USA · UK · Hong Kong · Austria |
|
|
|
|
Imports : |
|
|
Products : |
Raw Material |
|
Countries : |
· USA · Hong Kong · Germany |
|
|
|
|
Terms : |
|
|
Selling : |
Cash and Credit |
|
|
|
|
Purchasing : |
Cash and Credit |
PRODUCTION STATUS NOT AVAILABLE
GENERAL INFORMATION
|
Suppliers : |
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|
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|
Customers : |
End Users
|
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|
No. of Employees : |
3500 (Approximately) |
||||||||||||||||||
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|
|
||||||||||||||||||
|
Bankers : |
· State Bank of India SEEPZ, Andheri, Mumbai, Maharashtra, India · Bank of India · Punjab National Bank · Antwerp Diamond Bank N.V ·
Central Bank of India |
||||||||||||||||||
|
|
|
||||||||||||||||||
|
Facilities : |
|
|
|
|
|
Statutory Auditors
: |
|
|
Name : |
J. K. Shah and Company Chartered Accountants |
|
|
|
|
Internal Auditors : |
|
|
Name : |
Jayesh Dadia and Associates Chartered Accountants |
|
|
|
|
Memberships : |
Not Available |
|
|
|
|
Collaborators : |
Not Available |
|
|
|
|
Subsidiary Company: |
· Renaissance Jewelry N.Y. Inc. · Verigold Jewellery (UK) Limited · Renaissance Jewellery Bangladesh Private Limited · N. Kumar Diamond Exports Limited |
|
|
|
|
Indirect Subsidiary Company : |
· VGJA Inc., – Subsidiary of Renaissance Jewelry N.Y Inc., · Housefull International Limited - Subsidiary of N. Kumar Diamond Exports Limited · Housefull Supply Chain Management Limited – Subsidiary of Housefull International Limited |
|
|
|
|
Associate concerns / Companies / trust under control of key management
personnel and relatives: |
· Anived Trade Impex Private Limited (formerly known as Fancy Jewellery Private Limited) · Vedani Allcomm Impex Private Limited (formerly known as Anika Jewellery Private Limited) · Niranjan Holdings Private Limited · Renaissance Jewellery Limited – Employee Group Gratuity Trust · iAlpha Enterprise · RJL - Employee Welfare Trust · Renaissance Foundation · Aurelle Jewellery LLP |
CAPITAL STRUCTURE
AS ON 31.03.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
27000000 |
Equity Shares |
Rs.10/- each |
Rs.270.000 Million |
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
19079440 |
Equity Shares |
Rs.10/- each |
Rs.190.794 Million |
|
|
FINANCIAL DATA
[all figures are
in Rupees Million]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
190.794 |
190.794 |
190.794 |
|
(b) Reserves & Surplus |
3377.839 |
3249.088 |
2858.906 |
|
(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) |
3568.633 |
3439.882 |
3049.700 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) Long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c)
Other long term liabilities |
0.000 |
0.000 |
0.000 |
|
(d)
long-term provisions |
7.666 |
21.803 |
12.907 |
|
Total
Non-current Liabilities (3) |
7.666 |
21.803 |
12.907 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
1780.345 |
2685.977 |
1846.945 |
|
(b)
Trade payables |
1987.740 |
1740.583 |
1247.309 |
|
(c)
Other current liabilities |
68.809 |
73.287 |
41.448 |
|
(d)
Short-term provisions |
37.623 |
47.131 |
43.834 |
|
Total
Current Liabilities (4) |
3874.517 |
4546.978 |
3179.536 |
|
|
|
|
|
|
TOTAL |
7450.816 |
8008.663 |
6242.143 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
351.843 |
433.175 |
416.270 |
|
(ii)
Intangible Assets |
0.000 |
5.086 |
5.454 |
|
(iii)
Capital work-in-progress |
0.000 |
3.224 |
10.398 |
|
(iv) Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current
Investments |
1100.750 |
1051.553 |
1050.933 |
|
(c) Deferred tax assets
(net) |
15.211 |
3.374 |
2.890 |
|
(d) Long-term Loan
and Advances |
167.502 |
125.526 |
112.523 |
|
(e)
Other Non-current assets |
3.039 |
2.561 |
5.293 |
|
Total
Non-Current Assets |
1638.345 |
1624.499 |
1603.761 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
145.260 |
0.000 |
0.000 |
|
(b)
Inventories |
2129.851 |
2482.610 |
2097.506 |
|
(c)
Trade receivables |
3213.929 |
3497.180 |
2302.051 |
|
(d)
Cash and cash equivalents |
230.840 |
125.945 |
132.006 |
|
(e)
Short-term loans and advances |
92.018 |
135.861 |
73.204 |
|
(f)
Other current assets |
0.573 |
142.568 |
33.615 |
|
Total
Current Assets |
5812.471 |
6384.164 |
4638.382 |
|
|
|
|
|
|
TOTAL |
7450.816 |
8008.663 |
6242.143 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from Operations |
10603.906 |
9822.965 |
7190.074 |
|
|
|
Other Income |
6.346 |
6.829 |
7.409 |
|
|
|
TOTAL (A) |
10610.252 |
9829.794 |
7197.483 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
8449.439 |
8101.712 |
5347.254 |
|
|
|
Purchases of Stock-in-Trade |
0.000 |
0.000 |
0.015 |
|
|
|
Changes in inventories of finished goods, work-in-progress
and Stock-in-Trade |
347.993 |
(621.077) |
285.469 |
|
|
|
Employees benefits expense |
386.885 |
472.263 |
583.502 |
|
|
|
Foreign Exchange (Gain) / Loss |
(159.448) |
0.000 |
0.000 |
|
|
|
Other expenses |
1011.240 |
1398.695 |
620.692 |
|
|
|
TOTAL (B) |
10036.109 |
9351.593 |
6836.932 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
574.143 |
478.201 |
360.551 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
92.045 |
81.190 |
96.345 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
482.098 |
397.011 |
264.206 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
109.947 |
68.636 |
68.407 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
372.151 |
328.375 |
195.799 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
27.662 |
57.316 |
62.121 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
344.489 |
271.059 |
133.678 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Exports at F.O.B. Value |
NA |
9648.387 |
6885.248 |
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw materials (Includes Goods in transit) |
|
4174.475 |
2354.250 |
|
|
|
Consumable, Tools and Spares |
|
73.013 |
59.712 |
|
|
|
Capital Goods |
|
19.882 |
13.248 |
|
|
TOTAL IMPORTS |
NA
|
4267.370 |
2427.210 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
18.06 |
14.21 |
7.01 |
|
CURRENT MATURITIES
OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Current Maturities of Long term debt |
NA |
NA |
NA |
|
|
|
|
|
|
Cash generated from/(used in) operations |
NA |
(519.133) |
274.521 |
QUARTERLY RESULTS
|
PARTICULARS |
30.06.2014 |
30.09.2014 |
31.12.2014 |
31.03.2015 |
|
Type |
1st
Quarter |
2nd
Quarter |
3rd
Quarter |
4th
Quarter |
|
Net Sales |
1960.640 |
2450.600 |
4211.450 |
1981.220 |
|
Total Expenditure |
1860.650 |
2403.460 |
4001.350 |
1930.100 |
|
PBIDT (Excl OI) |
99.990 |
47.140 |
210.100 |
51.120 |
|
Other Income |
17.120 |
67.100 |
65.070 |
16.510 |
|
Operating Profit |
117.110 |
114.240 |
275.170 |
67.630 |
|
Interest |
24.400 |
23.850 |
24.200 |
19.590 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
PBDT |
92.710 |
90.390 |
250.970 |
48.040 |
|
Depreciation |
26.480 |
28.160 |
27.770 |
27.540 |
|
Profit Before Tax |
66.230 |
62.230 |
223.200 |
20.500 |
|
Tax |
17.580 |
(2.250) |
21.980 |
(9.650) |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
48.650 |
64.480 |
201.220 |
30.140 |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
0.000 |
|
Net Profit |
48.650 |
64.480 |
201.220 |
30.140 |
KEY
RATIOS
|
PARTICULARS |
|
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Net Profit Margin (PAT / Sales) |
(%) |
3.25 |
2.76 |
1.86 |
|
|
|
|
|
|
|
Operating Profit Margin (PBDIT/Sales) |
(%) |
5.41 |
4.87 |
5.01 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
5.87 |
4.72 |
3.78 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.10 |
0.10 |
0.06 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Liability/Networth) |
|
0.50 |
0.78 |
0.61 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.50 |
1.40 |
1.46 |
Total Liability = Short-term Debt + Long-term Debt + Current Maturities
of Long-term debts
STOCK
PRICES
|
Face Value |
Rs. 10/- |
|
|
|
|
Market Value |
Rs. 65.70/- |
FINANCIAL ANALYSIS
[all figures are
in Rupees Million]
DEBT EQUITY RATIO
|
Particular |
31.03.2013 |
31.03.2014 |
31.03.2015 |
|
|
(Rs.
In Million) |
(Rs.
In Million) |
(Rs.
In Million) |
|
Share Capital |
190.794 |
190.794 |
190.794 |
|
Reserves & Surplus |
2858.906 |
3249.088 |
3377.839 |
|
Money received against share warrants |
0.000 |
0.000 |
0.000 |
|
Share Application money pending allotment |
0.000 |
0.000 |
0.000 |
|
Net
worth |
3049.700 |
3439.882 |
3568.633 |
|
|
|
|
|
|
Long-term borrowings |
0.000 |
0.000 |
0.000 |
|
Short term borrowings |
1846.945 |
2685.977 |
1780.345 |
|
Total
borrowings |
1846.945 |
2685.977 |
1780.345 |
|
Debt/Equity ratio |
0.606 |
0.781 |
0.499 |
YEAR-ON-YEAR GROWTH
|
Year on Year Growth |
31.03.2013 |
31.03.2014 |
31.03.2015 |
|
|
(Rs.
In Million) |
(Rs.
In Million) |
(Rs.
In Million) |
|
Sales |
7190.074 |
9822.965 |
10603.906 |
|
|
|
36.618 |
7.950 |
NET PROFIT MARGIN
|
Net Profit Margin |
31.03.2013 |
31.03.2014 |
31.03.2015 |
|
|
(Rs.
In Million) |
(Rs.
In Million) |
(Rs.
In Million) |
|
Sales |
7190.074 |
9822.965 |
10603.906 |
|
Profit |
133.678 |
271.059 |
344.489 |
|
|
1.86% |
2.76% |
3.25% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check list by
info agents |
Available in
Report (Yes/No) |
|
1 |
Year of establishment |
Yes |
|
2 |
Constitution of the entity -Incorporation
details |
Yes |
|
3 |
Locality of the entity |
Yes |
|
4 |
Premises details |
No |
|
5 |
Buyer visit details |
-- |
|
6 |
Contact numbers |
Yes |
|
7 |
Name of the person contacted |
Yes |
|
8 |
Designation of contact person |
Yes |
|
9 |
Promoter’s background |
Yes |
|
10 |
Date of Birth of Proprietor / Partners /
Directors |
Yes |
|
11 |
Pan Card No. of Proprietor / Partners |
No |
|
12 |
Voter Id Card No. of Proprietor / Partners |
No |
|
13 |
Type of business |
Yes |
|
14 |
Line of Business |
Yes |
|
15 |
Export/import details (if applicable) |
Yes |
|
16 |
No. of employees |
Yes |
|
17 |
Details of sister concerns |
Yes |
|
18 |
Major suppliers |
Yes |
|
19 |
Major customers |
Yes |
|
20 |
Banking Details |
Yes |
|
21 |
Banking facility details |
Yes |
|
22 |
Conduct of the banking account |
-- |
|
23 |
Financials, if provided |
Yes |
|
24 |
Capital in the business |
Yes |
|
25 |
Last accounts filed at ROC, if applicable |
Yes |
|
26 |
Turnover of firm for last three years |
Yes |
|
27 |
Reasons for variation <> 20% |
-- |
|
28 |
Estimation for coming financial year |
No |
|
29 |
Profitability for last three years |
Yes |
|
30 |
Major shareholders, if available |
Yes |
|
31 |
External Agency Rating, if available |
Yes |
|
32 |
Litigations that the firm/promoter
involved in |
-- |
|
33 |
Market information |
-- |
|
34 |
Payments terms |
Yes |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
DIAMOND INDUSTRY – INDIA
-
From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of
diamonds but history says that in the remote past, diamonds were mined only in
India. Diamond production in India can be traced back to almost 8th
Century B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
-
The achievement of the Indian diamond industry was
possible only due to combination of the manufacturing skills of the Indian
workforce and the untiring and unflagging efforts of the Indian diamantaires,
supported by progressive Government policies.
-
The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
-
Some of the basic traits of family run business
enterprises include spirit of entrepreneurship, mutual trust lowers transaction
costs, small, nimble and quick to react, information as a source of advantage
and philanthropy.
-
Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term
performance – focused strategies, modern management and technology.
-
Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
-
Excerpts from Times of India dated 30th
October 2010 is as under –
-
Gem & Jewellery Export Promotion Council in its
statistical data has shown the export of polished diamonds to have increase by
28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in
February, 2012, India exported $ 1.84 billion worth of polished diamonds in February
2013. A senior executive of GJEPC said, “Export of cut and polished diamonds
started falling month-wise after the imposition of 2 % of import duty on the
polished diamonds. But February, 2013 has given a new ray of hope to the
industry as the export of polished diamonds has actually increased by 28 %. It
means the industry is on the track of recovery and round tripping of
diamonds has stopped completely.” Demand has started coming from the US, the
UK, Japan and China. India’s polished diamond export is expected to cross $ 21
bn in 2013-14.
-
The banking sector has started exercising restraint
while following prudent risk management norms when lending money to gems and
jewellery sector. This follows the implementation of Basel III accord – a
global voluntary regulatory standard on bank capital adequacy, stress testing
and market liquidity.
INDEX
OF CHARGES:
|
S.NO. |
CHARGE ID |
DATE OF CHARGE CREATION/MODIFICATION |
CHARGE AMOUNT SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST NUMBER (SRN) |
|
1 |
10275006 |
20/07/2013 * |
170,000,000.00 |
ICICI BANK LIMITED |
LANDMARKRACE
COURCE CIRCLE, ALKAPURI, BARODA, GUJARAT - 390015, INDIA |
B82989484 |
|
2 |
90223422 |
23/11/2012 * |
2,823,500,000.00 |
STATE BANK OF INDIA
(AS LEAD BANK OF SBI CONSORTIUM) |
SEEPZ BRANCH,
ANDHERI (EAST), MUMBAI, MAHARASHTRA - 400096, INDIA |
B63608863 |
* Date
of charge modification
UNSECURED LOANS
|
PARTICULARS |
31.03.2014 Rs. In Million |
31.03.2013 Rs. In Million |
|
SHORT TERM BORROWINGS |
|
|
|
Interest free loan from related parties repayable on
demand |
190.911 |
9.249 |
|
|
|
|
|
Total |
190.911 |
9.249 |
CORPORATE INFORMATION [AS ON 31.03.2014]
The company is a public limited company domiciled in India and
incorporated under the provisions of the Companies Act, 1956. Its shares are
listed on two stock exchanges in India. The company is engaged in the
manufacture of diamond studded Jewellery which are majorly exported to
countries like USA, Hong Kong, etc.
AWARDS [AS ON 31.03.2014]
The Company has always strived for the best quality and designs and has been consistently receiving recognition by various Trade Organizations and Councils, for its’ performance and achievements. Following are some of the awards/recognition received by the Company in the past:
- SEEPZ-SEZ Star 2000-2001 Award
- Wal-Mart’s ‘International Supplier of the Year’ Award
- GJEPC Award for being the largest exporter of studded precious metal Jewellery in 2008
- Emerging India Awards 2009
- GJEPC Award for topping
the export performance under the category “Studded Precious Metal
Jewellery Exports from EPZ/EOU Complexes” in 2011
- GJEPC Award for outstanding
Export Performance under the category “Studded Precious Metal Jewellery
Exports”, in 2012
ABOUT THE COMPANY [AS ON 31.03.2014]
The Company (RJL) has gained a respectable name in the business of design, manufacture and sale of studded gold, platinum and silver Jewellery especially in the USA, which has always been a focal point, being the largest end market. They operate through 8 manufacturing units of which 6 units are located at SEEPZ-SEZ at Mumbai, 1 unit is located out of SEZ at Mumbai and one 100% EOU unit at Bhavnagar in Gujarat.
The Company has a Subsidiary in USA to cater effectively to customers in this market. In order to expand the market and to mitigate the geographical risk, the Company has a wholly owned Subsidiary in UK with a view to develop alternative markets. The Company has also set up a manufacturing facility in Bangladesh in order to manufacture cost effective quality products. The Company has been successful in receiving gradual but steady results through these strategic steps and the management is confident of achieving the desired objectives.
Their portfolio includes rings, earrings, pendants, bracelets, bangles, etc. studded with polished diamonds and other precious stones. Along with US and European markets, they are currently exploring the domestic market opportunity. In its endeavor to excel, the company explores opportunities and embarks on new initiatives through newer market segments and niche product categories on an ongoing basis. Apart from their core Jewellery business, they have their own Home Retail Brand, ‘House Full’ with 31 Stores across India.
OUTLOOK [AS ON 31.03.2014]
Consistent growth in the Indian economy and rising standards of living are key factors driving demand in the India furniture industry. Changing consumer demographics and increased propensity to spend on lifestyle products by young Indian consumers have a positive impact on the furniture sector and are expected to drive demand for furniture in the future. They expect to consistently ramp up the store count of “HOUSE FULL” with a 30% increase planned in FY ’15. Their 5 year goal is to have greater than 100 stores across the country.
CONTINGENT
LIABILITIES:
|
PARTICULARS |
31.03.2014 (Rs. in Million) |
|
|
|
|
Guarantees given to banks against credit facilities extended to indirect subsidiary company |
170.000 |
|
Penalty levied by the Custom Authorities |
0.311 |
|
Income Tax demand disputed in appeal: Disputed by the Department |
9.258 |
|
Disputed demand by Custom Authorities |
2132.224 |
|
|
|
|
Total |
2311.793 |
FIXED ASSETS:
· Factory buildings
· Other buildings
· Plant and equipment’s
· Furniture and fixtures
· Vehicles
· Computers
· Office Equipment
·
Leasehold Improvements
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
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. 63.64 |
|
|
1 |
Rs. 100.41 |
|
Euro |
1 |
Rs. 71.63 |
INFORMATION DETAILS
|
Information
Gathered by : |
NYA |
|
|
|
|
Analysis Done by
: |
KAS |
|
|
|
|
Report Prepared
by : |
BVA |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILITY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
6 |
|
--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 |
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 |
|
50 |
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.