MIRA INFORM REPORT
|
Report No. : |
311069 |
|
Report Date : |
10.03.2015 |
IDENTIFICATION DETAILS
|
Name : |
K.P.R. MILL LIMITED |
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|
|
|
Registered
Office : |
9, Gokul Buildings, 1st Floor, A.K.S. Nagar, Thadagam Road,
Coimbatore - 641001, Tamilnadu |
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|
Country : |
India |
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|
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|
Financials (as
on) : |
31.03.2014 |
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Date of
Incorporation : |
19.03.2003 |
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Com. Reg. No.: |
18-010518 |
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Capital
Investment / Paid-up Capital : |
Rs. 526.800 Million |
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|
|
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CIN No.: [Company Identification
No.] |
L17111TZ2003PLC010518 |
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IEC No.: |
Not Available |
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|
TAN No.: [Tax Deduction &
Collection Account No.] |
CMBK04050E |
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PAN No.: [Permanent Account No.] |
AACCK0893N |
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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 the business of manufacturing of textiles consisting of yarn, fabrics and garments. |
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|
|
|
No. of Employees
: |
12000 (Approximately) [Including Group Companies] |
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 |
|
Maximum Credit Limit : |
USD 22000000 |
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|
Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Clear |
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Comments : |
Subject is an established company having satisfactory track record. Financial position of the company seems to be decent. Trade relations are reported to be fair. Business is active. Payment
terms are reported to be usually correct. The company can be considered for normal 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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
EXTERNAL AGENCY RATING
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.
LOCATIONS
|
Registered Office : |
9, |
|
Tel. No.: |
91-422-2479835 |
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Fax No.: |
91-422-2470159 |
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E-Mail : |
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|
Website : |
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Corporate Office : |
1st Floor, Srivari Shrimat, 1045, Avinashi Road, Coimbatore
– 641018, Tamilnadu, India |
|
|
|
|
Factory 1 |
Indiampalayam
Village, Sathyamangalam – 638454, Tamilnadu, India |
|
Tel. No.: |
91-4285-251490 |
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|
|
|
Factory 1 |
S.F.No.273,
Kittampalayam, Karumathampatti, Coimbatore–641659, Tamilnadu, India |
|
Tel. No.: |
91.421-2321000 |
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|
|
|
Factory : |
S.F.
No.525, Neelambur, Coimbatore – 641062, Tamilnadu, India |
|
Tel. No. : |
91-422-2625115 |
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|
|
|
Factory : |
S.F.No.181,
Kollupalayam, Arasur, Coimbatore – 641407, Tamilnadu, India |
|
Tel. No. : |
91-422-2635500 |
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|
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Factory : |
252,
Periyar Colony, Tirupur – 641652, Tamilnadu, India |
|
Tel. No. : |
91-421-2259200 |
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Factory : |
SIPCOT
Industrial Area, Perundurai, Tamilnadu, India |
|
Tel. No. : |
91-4294-234800 |
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|
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Factory : |
270
J, Periyar Colony, Tirupur – 641652, Tamilnadu, India |
|
Tel. No. : |
91-421-2259500 |
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|
|
|
Factory : |
Tirunelveli,
Tenkasi, Theni and Coimbatore District, Tamilnadu, India |
DIRECTORS
AS ON 31.03.2014
|
Name : |
Mr. K.P. Ramasamy |
|
Designation : |
Chairman |
|
Date of Birth/Age : |
66 Years |
|
Experience : |
44 Years |
|
|
|
|
Name : |
Mr. K.P.D. Sigamani |
|
Designation : |
Managing Director |
|
Date of Birth/Age : |
61 Years |
|
Experience : |
31 Years |
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|
|
|
Name : |
Mr. P. Natraj |
|
Designation : |
Managing Director |
|
Date of Birth/Age : |
57 Years |
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|
|
|
Name : |
Mr. Shujaat Khan |
|
Designation : |
Director |
|
Date of Birth/Age : |
45 Years |
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|
|
|
|
|
|
Name : |
Mr. M.J. Vijayaraaghavan |
|
Designation : |
Director |
|
Date of Birth/Age : |
03-08-1932 |
|
Qualification : |
F.C.A |
|
Date of Appointment : |
05-10-2006 |
|
Expertise in Specific Functional Area: |
Mr. M.J. Vijayaraaghavan, an Independent Director, is a Chartered Accountant
with over four decades of experience. He is a senior partner of M.S.
Jagannathan and Visvanathan,Chartered Accountants, who are the Statutory
Auditors of Leading Companies located in |
|
Other Directorship: |
Shanthi Gears Limited, K.G. Denim Limited |
|
|
|
|
Name : |
Dr. K. Sabapathy |
|
Designation : |
Director |
|
Date of Birth/Age : |
04-06-1955 |
|
Qualification : |
M. Sc., M.Phil., PhD. |
|
Date of Appointment : |
21-02-2007 |
|
Expertise in Specific Functional Area: |
Dr. K. Sabapathy, an Independent Director, was a faculty of Physics in
PSG College of Arts and Science for 5 years from 1977 to 1982 and a faculty
of Physics and Computer Science in |
|
Other Directorship: |
Coimbatore Capital Limited |
|
|
|
|
Name : |
Mr. G.P. Muniappan |
|
Designation : |
Director |
|
Date of Birth/Age : |
74 Years |
|
|
|
|
Name : |
Mr. K.N.V. Ramani |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. A.M. Palanisamy |
|
Designation : |
Director |
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|
|
|
Name : |
Mr. A. Sekar |
|
Designation : |
Whole Time Director |
|
Date of Birth/Age : |
58 Years |
|
Experience : |
27 Years |
|
|
|
|
Name : |
Mr. C. R. Anandakrishnan |
|
Designation : |
Executive Director |
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|
|
|
Name : |
Mr. C. Thirumurthy |
|
Designation : |
Director |
KEY EXECUTIVES
|
Name : |
Mr. P. Kandaswamy |
|
Designation : |
Company Secretary |
|
Date of Birth/Age : |
60 Years |
|
Experience : |
30 Years |
|
|
|
|
Name : |
Mr. PL Murugappan |
|
Designation : |
Chief Financial Officer |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.12.2014
|
Category
of Shareholder |
Total No.
of Shares |
Total
Shareholding as a % of Total No. of Shares |
|
As a % of (A+B) |
||
|
(A) Shareholding of Promoter
and Promoter Group |
||
|
|
|
|
|
|
27208725 |
72.20 |
|
|
1038000 |
2.75 |
|
|
28246725 |
74.96 |
|
|
|
|
|
Total shareholding of Promoter
and Promoter Group (A) |
28246725 |
74.96 |
|
(B) Public Shareholding |
||
|
|
|
|
|
|
2124694 |
5.64 |
|
|
641406 |
1.70 |
|
|
973794 |
2.58 |
|
|
3739894 |
9.92 |
|
|
|
|
|
|
743217 |
1.97 |
|
|
|
|
|
|
1731770 |
4.60 |
|
|
1776386 |
4.71 |
|
|
1444900 |
3.83 |
|
|
17431 |
0.05 |
|
|
138654 |
0.37 |
|
|
2 |
0.00 |
|
|
1160605 |
3.08 |
|
|
128208 |
0.34 |
|
|
5696273 |
15.12 |
|
Total Public shareholding (B) |
9436167 |
25.04 |
|
Total (A)+(B) |
37682892 |
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) |
37682892 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged in the business of manufacturing of textiles consisting of yarn, fabrics and garments. |
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Products : |
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Brand Names : |
Not Available |
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Agencies Held : |
Not Available |
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Exports : |
Not Available |
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Imports : |
Not Available |
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Terms : |
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Selling : |
Not Available |
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Purchasing : |
Not Available |
PRODUCTION STATUS : Not Available
GENERAL INFORMATION
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Suppliers : |
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Customers : |
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No. of Employees : |
12000 (Approximately) [Including Group
Companies] |
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Bankers : |
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Facilities : |
Note: LONG TERM
BORROWINGS Term Loans from banks are secured by pari-passu first charge on fixed assets and second charge on current assets of the Company.
Interest rate relating to term loans from banks is in the range of 10.75% to 12.75%. The Company has not defaulted in the repayment of principal and interest during the year. SHORT TERM BORROWINGS The above loans are secured by first charge on inventories and bookdebts, and second charge on fixed assets to lending banks on pari-passu basis. The Company has not defaulted in its repayments of the loans and interest during the year. |
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Auditors : |
|
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Statutory Auditors : |
|
|
Name : |
Deloitte Haskins and Sells Chartered Accountant |
|
Address : |
41, Shanmuga Manram, Race Cource, Coimbatore-641 018, |
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|
|
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Internal Auditors : |
|
|
Name : |
Mr. A Vetrivel B.Sc. F.C.A Chartered Accountant |
|
Address : |
1/1, Seth Narayan Das Layout, |
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Memberships : |
Not Available |
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Collaborators : |
Not Available |
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Subsidiary Company
: |
Quantum Knits Pvt. Limited K.P.R.Sugar Mill Limited Jahnvi Motor Private Limited Galaxy Knits Limited |
|
|
|
|
Enterprises owned
or significantly influenced by key management personnel/Directors or their
relatives : |
|
CAPITAL STRUCTURE
As on 31.03.2014
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
40000000 |
Equity Shares |
Rs.10/- each |
Rs. 400.000 Million |
|
1500000 |
7%
Redeemable Cumulative Non-Convertible Preference Shares |
Rs.100/- each |
Rs. 150.000 Million |
|
|
Total |
|
Rs.550.000
Million |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
37682892 |
Equity Shares |
Rs.10/- each |
Rs. 376.800 Million |
|
1500000 |
7%
Redeemable Cumulative Non-Convertible Preference Shares |
Rs.100/- each |
Rs. 150.000 Million |
|
|
Total |
|
Rs.526.800
Million |
Pursuant to the approval of
share holders at the Annual General Meeting held on 25.08.2010, the Company allotted
15,00,000 7% redeemable cumulative preference shares to K.P.R. Developers
Limited for consideration other than cash.
Term / Rights to Shares
Equity Shares:
The Company has issued only
one class of equity shares having a face value of Rs.10 per share. The holder
of each equity share is entitled to one vote per share. The Company declares
and pays dividends in Indian rupees. The final dividend proposed by the Board
of Directors is subject to the approval of the shareholders in the Annual
General Meeting.
During the year, the amount
of per share interim dividend paid to equity shareholders was Rs. 4 (31st March 2013: Rs. 3) and per share final dividend recommended for
distribution to equity shareholders is Rs. 3 (31st March 2013: Rs. 3).
In the event of liquidation
of the Company, the holders of equity shares will be entitled to receive
remaining assets of the Company, after settling the dues of preferential and
other creditors as per priority. The distribution will be in proportion to the
number of equity shares held by the shareholders.
Preference Shares: 7% Redeemable Cumulative Non-Convertible Preference Shares are
redeemable at par within a period of 10 years from the date of issue, as may be
decided by the Board.
Reconciliation of the Shares outstanding at the beginning and at the end
of the reporting period
a. Equity Shares
|
Particulars |
As at 31st
March, 2014 |
|
|
Number of
Shares |
(Rs. In Million) |
|
|
At
the beginning of the period |
37682892 |
376.800 |
|
At
the beginning of the period |
-- |
-- |
|
Outstanding
at the end of the period |
37682892 |
376.800 |
7% Redeemable
Cumulative Non-Convertible Preference Shares
|
Particulars |
As at 31st
March, 2014 |
|
|
Number of
Shares |
(Rs. In Million) |
|
|
At
the beginning of the period |
1500000 |
150.000 |
|
At
the beginning of the period |
-- |
-- |
|
Outstanding
at the end of the period |
1500000 |
150.000 |
Details of Shareholders
holding more than 5% of Shares in the Company
a. Equity Shares
|
Particulars |
As at 31st
March, 2014 |
|
|
Number of
Shares |
% |
|
|
K.P. Ramasamy |
8127684 |
21.57 |
|
KPD Sigamani |
8128634 |
21.57 |
|
P. Nataraj |
8127733 |
21.57 |
|
Ares Investments |
2554994 |
6.78 |
As per the of the Company, including its register of shareholders/members and other declarations received from shareholders regarding beneficial interest, the above shareholding represents both legal and beneficial ownership of shares as at the balance sheet date.
b.7% Redeemable
Cumulative Non-Convertible Preference Shares
|
Particulars |
Number of
Shares |
% |
|
K.P. Ramasamy |
1500000 |
100 |
FINANCIAL DATA
[all figures are
in Rupees Million]
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 |
526.800 |
526.800 |
526.800 |
|
(b) Reserves &
Surplus |
7223.000 |
6248.100 |
5422.200 |
|
(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) |
7749.800 |
6774.900 |
5949.000 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term borrowings |
2897.200 |
2747.200 |
3619.100 |
|
(b) Deferred tax
liabilities (Net) |
601.100 |
622.700 |
473.400 |
|
(c) Other long term
liabilities |
251.600 |
1471.000 |
1640.000 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total Non-current
Liabilities (3) |
3749.900 |
4840.900 |
5732.500 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
2879.200 |
2242.500 |
2333.300 |
|
(b) Trade payables |
1181.600 |
763.000 |
305.400 |
|
(c) Other current
liabilities |
1121.800 |
1073.600 |
1013.000 |
|
(d) Short-term provisions |
174.600 |
182.800 |
238.400 |
|
Total Current Liabilities
(4) |
5357.200 |
4261.900 |
3890.100 |
|
|
|
|
|
|
TOTAL |
16856.900 |
15877.700 |
15571.600 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
9568.800 |
10297.000 |
10895.500 |
|
(ii) Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii) Capital work-in-progress |
59.800 |
0.000 |
178.100 |
|
(iv) Intangible assets
under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current
Investments |
1741.600 |
741.600 |
268.900 |
|
(c) Deferred tax assets
(net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
91.500 |
232.300 |
337.500 |
|
(e) Other Non-current
assets |
0.000 |
22.800 |
17.400 |
|
Total Non-Current Assets |
11461.700 |
11293.700 |
11697.400 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
664.600 |
0.000 |
|
(b) Inventories |
2412.200 |
1393.500 |
1682.600 |
|
(c) Trade receivables |
1920.400 |
1378.000 |
1105.000 |
|
(d) Cash and cash
equivalents |
407.400 |
622.500 |
544.100 |
|
(e) Short-term loans and
advances |
293.700 |
429.500 |
161.100 |
|
(f) Other current assets |
361.500 |
95.900 |
381.400 |
|
Total Current Assets |
5395.200 |
4584.000 |
3874.200 |
|
|
|
|
|
|
TOTAL |
16856.900 |
15877.700 |
15571.600 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
SALES |
|
|
|
|
|
Income |
19597.500 |
14930.200 |
11859.200 |
|
|
Other Income |
297.600 |
62.700 |
67.400 |
|
|
TOTAL (A) |
19895.100 |
14992.900 |
11926.600 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials
Consumed |
13063.900 |
9056.800 |
8100.000 |
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
(329.900) |
(61.500) |
410.200 |
|
|
Employees benefits
expense |
1092.300 |
863.800 |
622.700 |
|
|
Other expenses |
2250.400 |
1502.600 |
956.100 |
|
|
TOTAL (B) |
16076.700 |
11361.700 |
10089.000 |
|
|
|
|
|
|
|
Less |
PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND
AMORTISATION (C) |
3818.400 |
3631.200 |
1837.600 |
|
|
|
|
|
|
|
Less |
FINANCIAL EXPENSES (D) |
723.400 |
800.800 |
470.400 |
|
|
|
|
|
|
|
|
PROFIT / (LOSS) BEFORE
TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
3095.000 |
2830.400 |
1367.200 |
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/ AMORTISATION
(F) |
1298.200 |
1418.100 |
1036.200 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) BEFORE TAX (E-F) (G) |
1796.800 |
1412.300 |
331.000 |
|
|
|
|
|
|
|
Less |
TAX (H) |
491.200 |
404.700 |
18.700 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) AFTER TAX
(G-H) (I) |
1305.600 |
1007.600 |
312.300 |
|
|
|
|
|
|
|
|
EARNINGS IN FOREIGN
CURRENCY |
|
|
|
|
|
F.O.B. Value of Exports |
4285.100 |
2715.700 |
1949.300 |
|
|
TOTAL EARNINGS |
4285.100 |
2715.700 |
1949.300 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Raw Materials |
1644.600 |
1402.300 |
28.900 |
|
|
Stores and Spare parts |
50.700 |
30.900 |
29.200 |
|
|
Machinery |
1829.800 |
18.300 |
7.900 |
|
|
TOTAL IMPORTS |
3525.100 |
1451.500 |
66.000 |
|
|
|
|
|
|
|
|
Earnings / (Loss) Per
Share (Rs.) |
34.32 |
26.41 |
7.96 |
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
|
|
|
|
|
Net Profit Margin (PAT/ Sales) |
(%) |
6.66 |
6.75 |
2.63 |
|
|
|
|
|
|
|
Operating Profit Margin (PBDIT/Sales) |
(%) |
19.48 |
24.32 |
15.50 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
11.93 |
9.33 |
2.19 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.23 |
0.21 |
0.06 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.75 |
0.74 |
1.00 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.01 |
1.08 |
1.00 |
FINANCIAL ANALYSIS
[all figures are
in Rupees Million]
DEBT EQUITY RATIO
|
Particular |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs. In Million) |
(Rs. In Million) |
(Rs. In Million) |
|
Share Capital |
526.800 |
526.800 |
526.800 |
|
Reserves & Surplus |
5422.200 |
6248.100 |
7223.000 |
|
Net worth |
5949.000 |
6774.900 |
7749.800 |
|
|
|
|
|
|
long-term borrowings |
3619.100 |
2747.200 |
2897.200 |
|
Short term borrowings |
2333.300 |
2242.500 |
2879.200 |
|
Total borrowings |
5952.400 |
4989.700 |
5776.400 |
|
Debt/Equity ratio |
1.001 |
0.736 |
0.745 |
YEAR-ON-YEAR GROWTH
|
Year on Year Growth |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs. In Million) |
(Rs. In Million) |
(Rs. In Million) |
|
Sales |
11859.200 |
14930.200 |
19597.500 |
|
|
|
25.896 |
31.261 |
NET PROFIT MARGIN
|
Net Profit Margin |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs. In Million) |
(Rs. In Million) |
(Rs. In Million) |
|
Sales |
11859.200 |
14930.200 |
19597.500 |
|
Profit |
312.300 |
1007.600 |
1305.600 |
|
|
2.63% |
6.75% |
6.66% |
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 |
No |
|
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 |
---------------------- |
|
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 |
No |
REVIEW OF OPERATIONS
Growth Momentum continued. Entire segments of Textile Chain progressed well elevating the topline and bottom-line to another milestone. Export targets crossed significantly. However, but for the considerable drop in wind power generation due to evacuation issue vis-a-vis its impact on power cost, the margin would have been much better. Though Textile industry has been subjected to varying degrees of power cuts throughout the year, availing of power from their Co-gen plant has been a ‘blessing in disguise‘ for KPR, more particularly, during peak hour power restrictions. In fact, the strategic investment enables green power availability throughout the year. At Labour front, despite general labour shortage at industry level, their trend setting labour friendly practices minimises its impact on them.
Strong fundamentals co-hered with key strengths and stimulated market conditions upsurged Profitability. The Company generated a Cash Profit of Rs. 2600.000 Million and Cash EPS of Rs. 69 as against Rs. 2430.000 Million and Rs. 64 in the previo them year.
MANAGEMENT DISCUSSION
& ANALYSIS
ECONOMIC SCENARIO:
The global economy's jagged recovery inched forward in 2013, with fast-growing emerging markets losing pace while developed nations gained strength.
The 2013 performance reflected something of a role reversal among the players. After years of notching far slower growth than many emerging-market counterparts, some leading economies are at last showing strength. The global snapshot also reveals the far-flung effects of monetary policy, as decisions by central bankers in developed nations reverberated through emerging markets.
In 2013, central banks in the U.S., Japan and Europe showered money on their economies, held interest rates low and promised to continue to do so in a bid to animate a recovery that remains tepid almost five years after the worst recession since the Great Depression. In emerging markets such as Brazil and India, domestic demand softened and exports sagged as rates were boosted to stem inflation.
The International Monetary Fund forecasts that world output will grow 3.6% in 2014, compared with a 2.9% estimate for 2013.
However, they are optimistic about their prospects as the Indian economy works towards its recovery and with their wide ranging capabilities; they expect to deliver a strong performance going forward.
India is likely to grow by 5.6% in 2014-15 against a projected growth of less than 5% in the current fiscal. The global economy in 2014 appears to be in a better shape than what it was in 2012 and 2013. The economic growth in FY 2014-15 is likely to be contributed majorly by the industrial sector, which is estimated to grow by 4.1%.
PERFORMANCE:
Strong Support from Domestic Market coupled with increased International demand facilitated a better performance in all areas of operations compared to last year.
Garment sales has grown by 50%; Fabric Sales by 50% and Yarn Sales by 20%. Though the Cotton prices had seen lesser volatility, the cost of labour and power had gone upon account of hike in minimum wages and evacuation issues. The Co-gen Cum Sugar Plant has begun its first full year of operations earning profit. But higher cane prices and mismatched Sugar Prices impacted the margin. The green power support from Sugar unit played a vital role in meeting their Power requirement more particularly during peak hour power restriction. Moreover, it enabled supply of Green energy throughout the year — Wind power season — April to September and Co-gen power season — October to March.
TEXTILE INDUSTRY:
The Textile & Clothing trade in the global market is fast changing with the scaling up of uses of textiles in diverse areas.
Asian countries including India play a dominant role in the international trade of the global market. Gradually gaining importance in textile trade due to lower costs compared to African, European and South American countries. However, Asian countries are facing challenges in the global market due to volatility in price, rising input cost, energy crisis and lack of marketing initiative/exposure etc. In addition, initiatives need to be made in the area of Research and Development, Skill Development and Capacity building of the industry as a whole.
As per the Global Textile and Apparel Industry: Vision 2015, World textile and apparel trade is expected to reach US$805bn by 2015 from US$650bn in 2010. At present, few countries like Bangladesh, Thailand, Cambodia, Sri Lanka, Pakistan contribute major share in Forex earnings of their country from Textile and Clothing trade, though their share in the world market is not very significant.
The cotton and textiles industry plays vital role in the Indian Economy by way of significant contribution to GDP, manufacturing output, employment generation and export earnings.
India accounts for nearly 22% of the world’s installed capacity of spindles and is one of the largest exporters of yarn in international market. It has second highest spindleage in the world after China. Cotton Textile industry is on fast growth track. According to Annual Report FY 2012-13, Ministry of Textiles, the sector contributes around 14% to the manufacturing output, 2% to the GDP and 11% to the country’s merchandise exports.
INDUSTRY OUTLOOK:
COTTON:
The outlook on cotton sector is improving driven by better revenue prospects from a rebounding economic growth in key export destinations, stabilizing input costs and continuing favorable policies. China’s high cotton cost and rising labour costs have encouraged millers to import cotton yarn, which benefited Indian yarn exporters in the last year. But with the recent changes in the Chinese cotton policy, its impact on the industry is yet to be seen.
TEXTILES: YARN &
FABRIC:
In the liberalized post-quota period, India has emerged as a major sourcing destination for buyers from all over the globe. As a measure of growing interest in the Indian textiles and clothing sector, a number of reputed houses opened their sourcing / liaison office in India. Commercially, the buoyant retailers across the world are looking for various routes to increase their proportion of sourcing from the Indian markets. Indian manufacturers have very pro-actively worked towards capitalizing on this opportunity.
Production of spun yarn registered increase of about 10% during Apr-Nov 2013 and cloth production which grew by 2% during Apr-Nov 2013 in comparison to the same period of last year, indicate that the textile industry’s growth trajectory. This was mainly on the back of Chinese cotton policy and labour issues in neighbouring countries. But with uncertainty in impact of Chinese cotton policy is creating a drag on the sector.
GARMENTS
India’s garment exports grew by 19% in the period July 2012 - July 2013 to reach US $1.3 billion, mainly on account of increased demand from developed economies such as the US. Source: Apparel Export Promotion Council (AEPC)
With increasing consumerism and rise in disposable income, retail sector has experienced a rapid growth in the past decade with the entry of several international players. The organized apparel segment is expected to grow at a Compound Annual Growth Rate (CAGR) of more than 13% over a 10-year period, mainly driven by India’s growing population, changing lifestyles and demand for quality products.
The future for the Indian textile industry looks promising, buoyed by both strong domestic consumption as well as export demand. Indian textile and apparel industry is expected to reach US$ 221 billion by 2021, according to Technopak's Textile and Apparel Compendium 2012.
UNSECURED LOANS
|
PARTICULAR |
31.03.2014 (Rs.
in Million) |
31.03.2013 (Rs.
in Million) |
|
LONG TERM
BORROWINGS |
|
|
|
From Others |
|
|
|
Interest
Free Sales Tax Loan |
9.700 |
34.200 |
|
Total |
9.700 |
34.200 |
INDEX OF CHARGES
|
S. No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount secured |
Charge Holder |
Address |
Service Request Number (SRN) |
|
1 |
10539949 |
12/12/2014 |
1,000,000,000.00 |
ICICI BANK LIMITED |
NO.1090, CHERAN PLAZA,
FIRST FLOOR, TRICHY ROAD, |
C38831442 |
|
2 |
10525033 |
18/09/2014 |
400,000,000.00 |
IDBI Bank Limited |
'EXCELLENCE', 4TH
FLOOR, RACE COURSE ROAD, COIM |
C28781441 |
|
3 |
10500976 |
09/05/2014 |
500,000,000.00 |
Axis Bank Limited |
NO.1133,1135,1136, AVINASHI ROAD, P N PALAYAM, COIMBATORE, TAMIL NADU - 641037, INDIA |
C05567391 |
|
4 |
10445645 |
22/08/2013 |
250,000,000.00 |
ICICI BANK LIMITED |
NO.1090, CHERAN PLAZA,
FIRST FLOOR, TRICHY ROAD, |
B83362681 |
|
5 |
10436754 |
23/01/2015 * |
1,500,000,000.00 |
ANDHRA BANK |
COIMBATORE BRANCH,
NO.17, MILL ROAD, COIMBATORE, |
C43874635 |
|
6 |
10341862 |
22/02/2012 |
500,000,000.00 |
UNITED BANK OF INDIA |
TIRUPUR BRANCH, 61
& 62, T.S. PURAM, VALIPALAYAM, |
B34902387 |
|
7 |
10335486 |
21/01/2012 |
247,500,000.00 |
KARNATAKA BANK LIMITED |
184, ESWARAN KOVIL STREET,
TIRUPUR MAIN BRANCH, T |
B32095747 |
|
8 |
10247038 |
14/12/2011 * |
1,150,000,000.00 |
BANK OF INDIA |
COIMBATORE
CORPORATE BANKING BRANCH, 1ST FLOOR, |
B28792869 |
|
9 |
10229944 |
28/06/2010 |
300,700,000.00 |
IDBI BANK LTD |
72, MAYFLOWER, 'E'
CASTLE, DR.BALASUNDARAM ROAD, |
A89951784 |
|
10 |
10219368 |
14/12/2011 * |
2,325,000,000.00 |
Bank of Baroda |
TIRUPUR MAIN BRANCH, 75/1, KAMARAJ ROAD,, TIRUPUR, TAMIL NADU - 641604, INDIA |
B28634616 |
* Date of charge modification
Contingent Liabilities and
Commitments (to the extent not provided for):
The Company is in receipt
of a demand of Rs. 8.200 Million (Pr. Yr. Rs. 8.200 Million) from the Indian
Bank towards prepayment charges. The same has been contested in writ filed
before the High Court of Judicature at Madras which has restrained Indian Bank
from applying proceeds of TUF subsidy towards its demand for prepayment
charges. The case is pending disposal.
The Company has issued Bank
Guarantee amounting to Rs. 16.400 Million (Pr. Yr. Rs. 16.400 Million) in
favour of TANGEDCO and Bank Guarantee amounting to Rs. 0.500 Lakhs (Pr. Yr. Rs.
0.500 Million) in favour of Tamilnadu Pollution Control Board. The Company has
issued Corporate Guarantees amounting to Rs. 1566.500 Million (Pr. Yr. Rs.
1500.000 Million) towards working capital facilities availed by the wholly
owned subsidiaries from banks.
The Company has an Export
obligation of Rs. 510.100 Million (Pr. Yr. Rs. 501.300 Million) to be completed
upto 2018-19. The duty implication involved is Rs. 83.600 Million (Pr. Yr. Rs.
62.700 Million).
At the request of the
Company, the Bankers have extended Foreign Letter of Credit facility for Rs.
3.600 Million (Pr. Yr. Rs. 370.800 Million) and Inland Letter of Credit
facility for Rs. 87.300 Million (Pr. Yr. Rs. Nil) in favour of suppliers.
The Company has discounted
sales invoices amounting to Rs. 408.900 Million (Pr. Yr. Rs. 715.600 Million)
with banks as at the balance sheet date.
The disputed Income Tax
demands pending in appeals as at the balance sheet date is Rs. 234.500 Million (Pr.
Yr. Rs. 204.900 Million). The disputed Central Excise duty demands pending in
appeals as at the balance sheet date is Rs. 0.600 Million (Pr. Yr. Rs. 0.600
Million). The disputed Service Tax demands pending in appeals as at the balance
sheet date is Rs. 2.800 Million (Pr. Yr. Rs. 2.800 Million).
Estimated amount of
contracts on capital account remaining to be executed (net of advances)
aggregate to Rs. Nil (Pr. Yr. Rs. 5.500 Million).
FIXED ASSETS
·
Land
·
·
Buildings
·
Plant and Machinery
·
Wind Mill
·
Electrical Installation
·
Furniture and Fixtures
·
Computers and Accessories
·
Vehicles
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 records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 62.62 |
|
|
1 |
Rs. 94.39 |
|
Euro |
1 |
Rs. 67.96 |
INFORMATION DETAILS
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
TRU |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILITY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--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 |
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.