MIRA INFORM REPORT
|
Report No. : |
323818 |
|
Report Date : |
23.05.2015 |
IDENTIFICATION DETAILS
|
Name : |
GTN TEXTILES LIMITED |
|
|
|
|
Registered
Office : |
Door No. VIII/ 911, Erumathala Post, Aluva, Ernakulam - 683105, Kerala |
|
Tel. No. : |
91-484-3928300 |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2014 |
|
|
|
|
Date of
Incorporation : |
28.03.2005 |
|
|
|
|
Com. Reg. No.: |
09-018062 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
Rs.116.405 Million |
|
|
|
|
CIN No.: [Company Identification
No.] |
L18101KL2005PLC018062 |
|
|
|
|
IEC No.: |
Not Available |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
CHNG00626D |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACG8605N |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Manufacturer and Exporter of Cotton Yarn. |
|
|
|
|
No. of Employees
: |
927 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
B (32) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Maximum Credit Limit : |
USD 870000 |
|
|
|
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow but correct |
|
|
|
|
Litigation : |
Clear |
|
|
|
|
Comments : |
Subject is an established company having moderate track record. The company possesses a moderate financial profile marked by
relatively small networth base, leveraged capital structure and exposure to
volatility in raw material prices. Management has witnessed a slight increase in its sales volume and has
reported a profit from its operations along with thin profit margins, as
against a previous year loss. However, trade relations seems to be fair. Business is active. Payment
terms are reported as slow but correct. In view of experienced promoters, the company can be considered for
business dealings with 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 – 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 |
CARE |
|
Rating |
Long Term Bank facility: “BB-” |
|
Rating Explanation |
Moderate risk of Default |
|
Date |
20.10.2014 |
|
Rating Agency Name |
CARE |
|
Rating |
Short Term Bank facility: “A4” |
|
Rating Explanation |
Minimal degree of safety it carry very high credit risk |
|
Date |
20.10.2014 |
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 DENIED
Management non-Cooperative (Tel. No.: 91-484-3080100)
LOCATIONS
|
Registered Office / Factory : |
Door No. VIII/ 911, Erumathala Post, Aluva, Ernakulam - 683105, Kerala |
|
Tel. No.: |
91-484-3080100 |
|
Fax No.: |
91-484-2838585 |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Head/ Marketing Office : |
3rd Floor, Palal Towers, |
|
Tel. No.: |
91-484-3928300 |
|
Fax No.: |
91-484-2370812/ 3928380 |
|
E-Mail : |
|
|
|
|
|
Corporate Office : |
43, 4th Floor, Mittal Chambers, 228 Nariman Point, Mumbai –
400021, |
|
Tel. No.: |
91-22-32060265/ 32060266 |
|
Fax No.: |
91-22-22874144 |
|
E-Mail : |
DIRECTORS
As on 31.03.2014
|
Name : |
Mr. B K Patodia |
|
Designation : |
Chairman and Managing Director |
|
|
|
|
Name : |
Mr. B L Singhal |
|
Designation : |
Independent Director |
|
Date of Birth/Age : |
15.04.1947 |
|
Qualification : |
B.Com, FCA |
|
Expertise in
specific functional area : |
B.L SInghal, aged 67 years is a Graduate in Commerce and Fellow member of the Institute of Chartered Accountants of India (ICAI) and Senior Partner of B.L Singhal and Company, Chartered Accountants, Kolkata. He has vast experience in Finance, Company Law matters besides proficiency in Accountancy. |
|
Date of Appointment : |
20.06.2000 |
|
Other Directorship : |
· Patspin India Limited · GTN Industries Limited · Prime Urban Development India Limited · GTN Enterprises Limited · ATL Textile Processors Limited · Priti Credit Private Limited · B.L.S Securities Private Limited |
|
|
|
|
Name : |
Mr. Prem Malik |
|
Designation : |
Independent Director |
|
Date of Birth/Age : |
03.02.1942 |
|
Qualification : |
Post Graduate, |
|
Expertise in specific
functional area : |
Prem Malik, aged 72 years, is a post graduate from Punjab University and is having over 5 decades of experience in textiles and clothing. He had worked as Executive Director of main Board of Mafatlal Fine Spinning and Manufacturing Company Limited and M/s Bombay Dyeing and Manufacturing Company Limited. Presently, he is a Textile Consultant/Advisor. He is the Chairman of Confederation of Indian Textile Industry and Bombay Textiles Research Association and is the Vice Chairman of India ITME Society. He is a member/director of Textile Committee, Ministry of Textiles, and Government of India. He was Past Chairman of Texprocil and a Past Vice Chairman of the Synthetic Rayon Textile Export Promotion Council. |
|
Date of Appointment : |
17.12.2005 |
|
Other Directorship : |
· Patspin India Limited · Gyscoal Alloys Limited · Spentex Industries Limited · Indo Count Industries Ltd · Four Seasons Residency Limited · Lahoti Overseas Limited · APPTEX Manpower Development Services Limited · Ginni International Limited · Alder Trading Company Private Limited · Smilesville Care Private Limited · CLC Textiles Park Private Limited · Chhindwara Infrastructure Private Limited · M & M Mining Private Limited · Techware Consultants Private Limited |
|
|
|
|
Name : |
Mahesh C. Thakker |
|
Designation : |
Additional Director |
|
Date of Birth/Age : |
07.09.1964 |
|
Qualification : |
Graduate |
|
Expertise in
specific functional area : |
Mahesh C Thakker is aged 50 years, and is the Managing Director of Purav Trading Limited. He is also partner in Perfect Cotton Company, Mumbai and Patcot Company, Mumbai. These Company / firms are mainly engaged in raw cotton procurement. He is having more than 25 years of experience in raw cotton procurement line. |
|
Date of Appointment : |
31.10.2013 |
|
Other Directorship : |
Purav Trading Limited |
|
|
|
|
Name : |
S. Sundareshan |
|
Designation : |
Independent Director |
|
Date of Birth/Age : |
28.10.1952 |
|
Qualification : |
M.A,M.B.A,I.A.S |
|
Expertise in
specific functional area : |
S.Sundareshan, aged 61 years and did his Masters
from University of Mumbai before joining the 1976 batch of Indian
Administrative Service. He has worked at senior level in the Ministry of
Heavy Industries & Public Enterprises as Secretary, Department of Heavy
Industries since May,2011 onwards to October 2012 and Ministry of Petroleum
& Natural Gas as Secretary, Special Secretary and Additional Secretary
since April-2007. During the period from April, 2007 to May, 2011, he was on
the Boardof ONGC, GAIL India Ltd and IOC. He was also Chairman of Petronet
LNG Ltd. He has also been Chairman, Forward Markets Commission, putting in
place necessary regulation and structures for the growth of Commodities
Futures market. An MBA from University of Leeds, UK, Shri Sundareshan has
held several important positions in the Government of India including Joint
Secretary in the Department of Economic Affairs (Ministry of Finance),
Minister (Economic and Commercial), Embassy of India, Tokyo, Japan, Joint
Chief Controller of Imports & Exports (Ministry of Commerce) and Deputy
Secretary, Ministry of Environment, Government of India. He has handled
important assignments in his cadre State Kerala. These include Principal
Secretary (Revenue), Secretary (Department of Expenditure), District
Collector in kerala, Managing Director (MD), Kerala State Milk Marketing
Federation, MD, Kerala Fisheries Corporation. |
|
Date of Appointment : |
19.09.2014 |
KEY EXECUTIVES
|
Name : |
E. K. Balakrishan |
|
Designation : |
Vice President (Corporate Affairs) and Company Secretary |
|
|
|
|
Name : |
A. K. Warerkar |
|
Designation : |
Vice President (Finance) and Chief Financial Officer |
SHAREHOLDING PATTERN
As on 31.03.2015
|
Category of Shareholder |
Total No. of Shares |
Total Shareholding as a % of Total No. of
Shares |
|
(A) Shareholding of
Promoter and Promoter Group |
||
|
|
|
|
|
|
5022089 |
43.14 |
|
|
2228349 |
19.14 |
|
|
7250438 |
62.29 |
|
|
|
|
|
Total shareholding
of Promoter and Promoter Group (A) |
7250438 |
62.29 |
|
(B) Public
Shareholding |
||
|
|
|
|
|
|
1686 |
0.01 |
|
|
42 |
0.00 |
|
|
87377 |
0.75 |
|
|
2000 |
0.02 |
|
|
800 |
0.01 |
|
|
800 |
0.01 |
|
|
91905 |
0.79 |
|
|
|
|
|
|
313463 |
2.69 |
|
|
|
|
|
Individual shareholders holding nominal share capital up to Rs. 0.100 Million |
2819254 |
24.22 |
|
Individual shareholders holding nominal share capital in excess of Rs. 0.100 Million |
1120329 |
9.62 |
|
|
45089 |
0.39 |
|
|
6833 |
0.06 |
|
|
38256 |
0.33 |
|
|
4298135 |
36.92 |
|
Total Public
shareholding (B) |
4390040 |
37.71 |
|
Total (A)+(B) |
11640478 |
100.00 |
|
(C) Shares held by Custodians
and against which Depository Receipts have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
11640478 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Exporter of Cotton Yarn. |
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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 Divulged |
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Imports : |
Not Divulged |
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Terms : |
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Selling : |
Not Divulged |
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Purchasing : |
Not Divulged |
PRODUCTION STATUS = NOT AVAILABLE
GENERAL INFORMATION
|
Suppliers : |
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Customers : |
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No. of Employees : |
927 (Approximately) |
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Bankers : |
· Central Bank of India · State Bank of India · Export-Import Bank of India · State Bank of Travancore · Bank of India ·
Axis Bank Limited |
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Facilities : |
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|
Auditors : |
|
|
Name : |
M Chartered Accountants |
|
Address : |
67A, Sri Krishna Krupa, P&T Colony, Main Road, Kavundampalayam, Coimbatore
– 641031, India |
|
Tel. No.: |
91-422-2402365 / 2402848 / 2403861 |
|
E-Mail : |
|
|
|
|
|
Legal Advisors : |
|
|
|
|
|
Name : |
Menon and Pai |
|
Address : |
Kochi, Kerala, India |
|
|
|
|
Associates : |
· Patspin India Limited · GTN Enterprises Limited |
CAPITAL STRUCTURE
As on 31.03.2014
Authorised Capital:
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
12000000 |
Equity Shares |
Rs. 10/- each |
Rs.120.000 Million |
Issued, Subscribed & Paid-up Capital:
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
11640478 |
Equity Shares |
Rs. 10/- each |
Rs.116.405 Million |
Note:
Reconciliation of Number of Shares:
|
Particulars |
As at March 31, 2014 |
|
|
Equity Shares |
No. of Shares |
Amount in Million |
|
Balance as at the beginning of the year |
11640478 |
116.405 |
|
Add: Shares issued during the year |
0.000 |
0.000 |
|
Balance as at the end of the year |
11640478 |
116.405 |
Details of shares held
by shareholders holding more than 5% of the aggregate shares in the Company
|
Particulars |
As at March 31, 2014 |
|
|
No. of Shares |
% of holding |
|
|
Binod Kumar Patodia |
1195580 |
10.27 |
|
Umang Patodia |
835120 |
7.17 |
|
Ankur Patodia |
732331 |
6.29 |
|
Prabha Patodia |
682418 |
5.86 |
|
Binod Kumar Patodia HUF |
1158880 |
9.96 |
|
Beekaypee Credit Private Limited |
822311 |
7.06 |
|
Patodia Exports and Investments Private Limited |
672986 |
5.78 |
|
Umang Finance Private Limited |
733052 |
6.30 |
There was no issue of shares allotted as fully paid up shares pursuant to contract(s) without payment being received in cash or buy back or bonus shares in the preceding five years
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 |
116.405 |
116.405 |
116.405 |
|
(b) Reserves & Surplus |
188.938 |
169.407 |
205.003 |
|
(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) |
305.343 |
285.812 |
321.408 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term borrowings |
263.735 |
320.236 |
369.175 |
|
(b) Deferred tax liabilities (Net) |
41.859 |
22.159 |
36.358 |
|
(c) Other long term
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term
provisions |
0.000 |
0.000 |
0.000 |
|
Total Non-current
Liabilities (3) |
305.594 |
342.395 |
405.533 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short
term borrowings |
309.807 |
299.770 |
251.327 |
|
(b) Trade
payables |
375.933 |
337.789 |
323.271 |
|
(c) Other
current liabilities |
237.829 |
219.230 |
220.495 |
|
(d) Short-term
provisions |
10.506 |
10.310 |
11.000 |
|
Total Current
Liabilities (4) |
934.075 |
867.099 |
806.093 |
|
|
|
|
|
|
TOTAL |
1545.012 |
1495.306 |
1533.034 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i)
Tangible assets |
565.536 |
599.226 |
661.924 |
|
(ii)
Intangible Assets |
1.492 |
1.675 |
2.546 |
|
(iii)
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
198.492 |
198.492 |
198.492 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
16.430 |
10.443 |
9.724 |
|
(e) Other
Non-current assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current
Assets |
781.950 |
809.836 |
872.686 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
389.115 |
387.109 |
407.721 |
|
(c) Trade
receivables |
224.518 |
162.518 |
138.984 |
|
(d) Cash
and cash equivalents |
62.085 |
54.769 |
49.477 |
|
(e)
Short-term loans and advances |
85.074 |
78.767 |
62.118 |
|
(f) Other
current assets |
2.270 |
2.307 |
2.048 |
|
Total Current
Assets |
763.062 |
685.470 |
660.348 |
|
|
|
|
|
|
TOTAL |
1545.012 |
1495.306 |
1533.034 |
PROFIT & LOSS
ACCOUNT
|
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
|
SALES |
|
|
|
|
|
Income |
2861.184 |
2093.866 |
1400.065 |
|
|
Other Income |
6.167 |
3.530 |
5.003 |
|
|
TOTAL |
2867.351 |
2097.396 |
1405.068 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
1102.429 |
967.455 |
912.679 |
|
|
Purchases of Stock-in-Trade |
876.846 |
439.604 |
28.154 |
|
|
Changes in inventories of finished goods, work-in-progress
and Waste |
14.290 |
16.845 |
(101.351) |
|
|
Employees benefits expense |
244.315 |
217.890 |
205.443 |
|
|
Other expenses |
400.145 |
335.420 |
266.713 |
|
|
TOTAL |
2638.025 |
1977.214 |
1311.638 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION |
229.326 |
120.182 |
93.430 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
129.024 |
107.142 |
95.111 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
100.302 |
13.040 |
(1.681) |
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
61.071 |
62.836 |
63.177 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX |
39.231 |
(49.796) |
(64.858) |
|
|
|
|
|
|
|
Less |
TAX |
19.700 |
(14.200) |
(20.600) |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX |
19.531 |
(35.596) |
(44.258) |
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
(41.758) |
(6.162) |
38.096 |
|
|
|
|
|
|
|
|
BALANCE CARRIED
TO THE B/S |
(22.227) |
(41.758) |
(6.162) |
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
FOB Value of Exports |
1750.052 |
1064.503 |
634.098 |
|
|
TOTAL EARNINGS |
1750.052 |
1064.503 |
634.098 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Raw Materials – Cotton |
537.687 |
453.608 |
498.741 |
|
|
Stores and Spares |
2.123 |
3.213 |
4.440 |
|
|
Capital Goods |
22.423 |
0.000 |
23.043 |
|
|
TOTAL IMPORTS |
562.233 |
456.821 |
526.224 |
|
|
|
|
|
|
|
|
Earnings /
(Loss) Per Share (Rs.) |
1.68 |
(3.06) |
(3.80) |
CURRENT MATURITIES
OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
Current Maturities of Long term debt |
103.890 |
127.984 |
132.126 |
|
Cash generated from operations |
208.175 |
102.503 |
271.480 |
QUARTERLY RESULTS
(Rs. In Million)
|
Particulars |
30.06.2014 1st Quarter |
30.09.2014 2nd Quarter |
31.12.2014 3rd Quarter |
|
Unaudited |
Unaudited |
Unaudited |
Unaudited |
|
Net Sales |
349.500 |
459.000 |
562.100 |
|
Total Expenditure |
312.400 |
418.600 |
530.300 |
|
PBIDT (Excl OI) |
37.100 |
40.400 |
31.800 |
|
Other Income |
1.300 |
2.300 |
1.100 |
|
Operating Profit |
38.400 |
42.700 |
32.900 |
|
Interest |
28.100 |
28.100 |
31.800 |
|
Exceptional Items |
0.000 |
0.000 |
0.000 |
|
PBDT |
10.300 |
14.600 |
1.100 |
|
Depreciation |
10.800 |
11.600 |
12.400 |
|
Profit Before Tax |
(0.500) |
3.000 |
(11.300) |
|
Tax |
0.000 |
0.100 |
(0.100) |
|
Provisions and contingencies |
0.000 |
0.000 |
0.000 |
|
Profit After Tax |
(0.500) |
2.900 |
(11.200) |
|
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
Prior Period Expenses |
0.000 |
0.000 |
0.000 |
|
Other Adjustments |
0.000 |
0.000 |
0.000 |
|
Net Profit |
(0.500) |
2.900 |
(11.200) |
KEY RATIOS
|
PARTICULARS |
|
31.03.2014 |
31.03.2013 |
31.03.2012 |
|
Net Profit Margin (PAT/Sales) |
(%) |
0.68 |
(1.70) |
(3.16) |
|
|
|
|
|
|
|
Operating Profit Margin (PBDIT/Sales) |
(%) |
8.02 |
5.74 |
6.67 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
2.91 |
(3.84) |
(4.86) |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.13 |
(0.17) |
(0.20) |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
2.22 |
2.62 |
2.34 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
0.82 |
0.79 |
0.82 |
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 |
116.405 |
116.405 |
116.405 |
|
Reserves & Surplus |
205.003 |
169.407 |
188.938 |
|
Net worth |
321.408 |
285.812 |
305.343 |
|
|
|
|
|
|
long-term borrowings |
369.175 |
320.236 |
263.735 |
|
Short term borrowings |
251.327 |
299.770 |
309.807 |
|
Current Maturities of
Long Term Debt |
132.126 |
127.984 |
103.890 |
|
Total borrowings |
752.628 |
747.990 |
677.432 |
|
Debt/Equity ratio |
2.342 |
2.617 |
2.219 |
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 |
1400.065 |
2093.866 |
2861.184 |
|
|
|
49.555 |
36.646 |
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 |
1400.065 |
2093.866 |
2861.184 |
|
Profit/ (Loss) |
(44.258) |
(35.596) |
19.531 |
|
|
(3.16%) |
(1.70%) |
0.68% |
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 |
No |
|
8 |
Designation of contact person |
No |
|
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) |
No |
|
16 |
No. of employees |
Yes |
|
17 |
Details of sister concerns |
Yes |
|
18 |
Major suppliers |
No |
|
19 |
Major customers |
No |
|
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 |
No |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
INDEX OF CHARGES
|
S. No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount secured |
Charge Holder |
Address |
Service Request Number (SRN) |
|
1 |
10388449 |
20/03/2013 * |
75,000,000.00 |
Central Bank of India |
Market Road, Alwaye, Cochin - 683101, Kerala, INDIA |
B71954994 |
|
2 |
10337549 |
20/03/2013 * |
35,000,000.00 |
Export-Import Bank of India |
Floor 21, Center One Building, World Trade Center,Cuffe Parade, Mumbai - 400005, Maharashtra, INDIA |
B72812563 |
|
3 |
10106252 |
13/03/2012 * |
1,073,100,000.00 |
Central Bank of India |
Market Road, Aluva, Cochin - 683101, Kerala, INDIA |
B35424175 |
|
4 |
10043498 |
27/01/2014 * |
271,600,000.00 |
AXIS BANK LIMITED |
NO.41/419, GROUND
FLOOR, CHICAGO PLAZA, RAJAJI RO |
B94848272 |
|
5 |
10050934 |
17/11/2009 * |
72,251,510.00 |
EXPORT-IMPORT BANK OF INDIA |
FLOOR 21 CENTER ONE
BUILDING, WORLD TRADE CENTER |
A74750324 |
|
6 |
10050935 |
17/11/2009 * |
81,568,750.00 |
EXPORT-IMPORT BANK OF INDIA |
FLOOR 21 CENTER ONE
BUILDING, WORLD TRADE CENTER |
A74750233 |
|
7 |
10039967 |
13/03/2012 * |
120,000,000.00 |
Bank of India |
Ernakulam Mid
Corporate Branch, Manavalan Building |
B36416717 |
|
8 |
10008948 |
30/06/2009 * |
320,000,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH FIRST FLOOR, VANKARATH TOWERS PADIVATTOM, KOCHI - 682024, Kerala, INDIA |
A67215897 |
|
9 |
10008946 |
17/11/2012 * |
697,000,000.00 |
Central Bank of India |
Market Road, Alwaye, Cochin - 683101, Kerala, INDIA |
B62769054 |
|
10 |
10008943 |
13/03/2012 * |
40,000,000.00 |
Central Bank of India |
Market Road, Aluva, Cochin - 683101, Kerala, INDIA |
B35422872 |
* Date of charge modification
UNSECURED LOANS
|
PARTICULAR |
31.03.2014 (Rs.
In Million) |
31.03.2013 (Rs.
In Million) |
|
LONG TERM
BORROWINGS |
|
|
|
Fixed Deposits From Public |
1.560 |
0.000 |
|
Total |
1.560 |
0.000 |
PERFORMANCE REVIEW
In the last year’s Directors report there has been steady demand recovery in textile business from second half of FY 2012-13, both in international as well as domestic market. Accordingly, the year witnessed overall improvement in performance of the company, with sales, operating margin and cash profit reporting substantial increase. Exports of the Company showed handsome increase of 66% over previous year to Rs. 179 crores, significant part of which came from outsourced yarn business. Amongst various importing countries, demand from China was main factor leading to export led growth of the industry. However, of late, exports to China have been showing a declining trend for various reasons including uncertainty over cotton stocking policies of that country, which has direct impact on their export prices.
Total income during the year was substantially higher at Rs. 2853.100 Million as against Rs. 2080.600 Million of the previous year. While Operating profit increased to Rs. 229.400 Million from Rs. 120.200 Million, cash profit stood at Rs. 10.03 crores as compared to Rs. 13.000 Million. After charging depreciation of Rs. 61.100 Million, the profit before tax was at Rs. 39.200 Million as against a loss of Rs. 49.800 Million in previous year. After provision for deferred Tax of Rs. 19.700 Million, the Net profit was at Rs. 19.500 Million in comparison to previous year’s Net Loss of Rs. 3.56 crores.
There are signs of slowdown in exports, besides pressure on domestic prices. Other areas of concern are continued high cost of salaries and wages as compared to Industry norms and ever rising cost of power in Kerala. Under the circumstances, the company will have to strive hard to maintain the current level of performance during current financial year.
MANAGEMENT DISCUSSION
AND ANALYSIS
INDUSTRY STRUCTURE
AND DEVELOPMENTS
The importance of textile industry in the national economy is overwhelming because of its contribution to economic growth, exports and employment. Exports of Textiles and Clothing during 2013-14 are estimated at around 37.47 billion USD, which works out to a share of about 12 per cent in the estimated total exports of 313.54 billion USD. This sector currently employs about 35 million workers directly and 47 million workers in allied sectors like Agriculture.
The Indian Textile Industry had faced a challenging year in 2011-12 because of economic crisis in Eurozone and the weak recovery in US, resulting in demand recession. Its working, however, improved in 2012-13 and 2013-14 on account of steady prices of raw material and better demand, both in international and domestic markets.
SPINNING AND WEAVING
CAPACITIES
Figures of worlds installed spinning and weaving capacities are available from International Textile Manufacturers Federation (ITMF) as of May, 2014. As at the end of 2013, world’s total spindle age was 257 million, with China having 121 million spindles, representing the share of 47 per cent and India was having 48 million spindles, representing share of about 18.7 per cent. As of March, 2014, however, India’s installed spindles have increased to 49.44 million, accounting for almost 19.25 per cent of the global spindle age. It is pertinent to mention that during the last four years, the spindle age in India has expanded by around 8 million. The capacity utilization of spinning of Indian textile mills has substantially increased to 90 per cent in 2013-14 as compared to 88 per cent in 2012-13.
Deducting 10 million spindles of closed mills, the number of operative spindles works out to around 40 million. The number of installed open-end rotors has marginally increased from 795 thousand in March, 2013 to 820 thousand in March, 2014. It is pertinent to point out that expansion of spinning capacity has been significant both in the organized and small spinning sectors. To meet the rising domestic demand for cotton yarn from the downstream value chain and also to meet higher targets of exports of cotton yarn and other cotton textile items, the Twelfth Five Year Plan has envisaged investment of Rs. 400000.000 Million in the spinning sector.
A major chunk of spinning capacity expansion took place under the TUF Scheme, which was operative for a span of eight years from 1st April, 1999 to 31st March, 2007. Further, under the modified TUF Scheme operative from 1st April, 2007, investments during three years 2007-08 to 2009-10, increased considerably towards modernization and expansion.
The Restructured TUF Scheme was announced by the Ministry of Textiles on 28th April, 2011. The Scheme was operative from 28th April, 2011 to 31st March, 2012, the terminal year of the Eleventh Five Year Plan. The major change in the Restructured Scheme was a reduction in the repayment period to seven years with two years moratorium as compared to earlier repayment period of ten years with two years moratorium. It is commendable that Government has decided to continue TUF Scheme during the Twelfth Plan period, 2012-17.
The total subsidy outflow to stand alone spinning sector will be kept at 26 per cent of the plan allocation (i. e., Rs. 119528.000 Million) including commitment liabilities of spinning sector of erstwhile / modified TUFS, RTUFS and fresh sanctions in the 12th Plan period.
The number of looms in the mill sector which remained stagnant at 71,000 for the three-year period, 2007-08 to 2009-10, declined to 66,000 during 2011-12 and 2012-13. It further declined to 52,000 in 2013-14. However, the weaving capacity in the power loom sector has increased from 22.46 lakhs looms in 2009-10 to almost 23.68 lakhs looms as of February, 2014.
PRODUCTION OF YARN
The total production of spun yarn which was 4193 million kgs in 2009-10 expanded to 4713 million kgs in 2010-11, showing a creditable growth of over 12 per cent. However, total production of spun yarn in 2011-12 was lower at 4373 million kgs exhibiting a decline of 7 per cent. For the year 2012-13, total production of spun yarn was placed at 4867 million kgs showing a robust growth of 11 per cent. The total Spun yarn production in 2013-14 is projected at 5295 million kgs. Similarly, production of cotton yarn also escalated from 2009-10 to 2010-11. Production of cotton yarn in 2012-13 was placed at 3583 million kgs and for 2013-14 it is projected at 3923 million kgs. This shows a growth of 9 per cent both in respect of spun and cotton yarn in 2013-14 as compared to the previous year.
EXPORTS OF COTTON
YARN
In pursuance of National Fibre Policy, Government set up in September 2010, Cotton Yarn Advisory Board (CYAB) to advise the Government on matters pertaining to production, consumption and exports of cotton yarn.
Exports of cotton yarn in 2013-14 are estimated at 1350 million kgs valued at 4.7 billion USD as against exports of 1108 million kgs valued at 3.54 billion USD in 2012-13. This shows a growth of 22 per cent in terms of quantity and 33 per cent in terms of value.
China has been increasing its sourcing of cotton yarn from all over the world in view of the high value cotton stock held by it and to meet ever increasing demand for yarn for its domestic knitting and weaving industry. Import of cotton yarn in China increased by 69 per cent from all sources - 1526 million kgs in 2012 against 903 million kgs in 2011. As against this, import of cotton yarn from India in the year 2012 increased by 124 per cent. India’s exports of cotton yarn in 2012 were 326 million kgs as against 111 million kgs in 2011. The share of India’s exports of cotton yarn to China accounts for almost 33 per cent of India’s total exports of cotton yarn. Thus, India has emerged as the leading exporter of cotton yarn to China. However, our exports of cotton yarn to China in the current fiscal are likely to suffer due to changes brought by the Chinese Government in its cotton pricing policy.
Exports of cotton yarn are permitted freely subject to registration of contracts with DGFT. In the year 2013-14, export contracts registered with DGFT were 1415 million kgs, whereas actual exports at 1350 million kgs, is the highest so far.
DOMESTIC COTTON
SCENARIO
For the cotton season 2012-13, Cotton Advisory Board had estimated area under cotton at 119.78 lakhs hectares and crop at 365 lakh bales. The per hectare yield for the season increased to 518 kgs as against of 496 kgs in the previous season. For the cotton season 2013-14, Cotton Advisory Board has estimated the area at 117.27 lakhs hectares and a crop of 390 lakhs bales. Per hectare yield in the cotton season 2013 -14 works out higher at 565 kgs.
GLOBAL ORGANIC COTTON
Global organic cotton production in 2011 declined from 195797 Metric tones to 103004 metric tones in 2011-12, organic cotton saw a fall of about 47 per cent. The top ten organic cotton producing countries in order by rank are: India, Turkey, Syria, China, USA, Uganda, Tanzania, Peru, Egypt and Burkina Faso. India took over Turkey’s long-time standing as the number one producer in 2007-08. More than 70 per cent of the world’s organic cotton is grown in India. Over the past 6 years, India has been the global leader in organic cotton production. Recently production of organic cotton is coming down as the global brands shift to Better Cotton Initiative (BCI), a market driven green alternative to conventional cotton growing using chemicals. BCI is growing rapidly getting premium over conventional cotton.
PROSPECTS OF COTTON
CROP IN THE COMING SEASON
Government’s prediction of a weak monsoon, which is already delayed for the coming season, has been causing anxiety in the industry about uncertainty of the size of cotton crop. Encouraging factors are: growing awareness among farmers for adoption of better technology and use of augmented supply of a good quality seed. So far in the current cotton crop year 2014-15 sowing is far behind, but it is expected that even if with late rainfall, the area under cotton in all probability will be almost similar to previous season. Therefore, even though the crop is nearly a month late but due to higher productivity, they will have satisfactory and adequate crop.
GLOBAL COTTON
PRODUCTION
According to ICAC, for the cotton season 2012-13, global production was estimated at 26.68 million tons. Consumption, on the other hand, was 23.29 million tons. The ending stocks are expected to rise to 17.80 million tons, as against 15.27 million tons in 2011-12.
ICAC’s forecast for global cotton production for the cotton season 2013-14 is lower at 25.63 million tons and consumption is forecast at 23.48 million tons. Ending stocks are estimated at 19.94 million tons. Thus Cotlook ‘A’ Index for the cotton season 2011-12 which was 100 cents per pound declined to 88 cents per pound in 2012-13. However, for the cotton season 2013-14 the price forecast is 91 cents per pound. For the cotton season 2014-15, ICAC has forecast cotton production lower at 25.26 million tons and consumption at 24.35 million tons with ending stocks at 20.89 million tons. The price forecast for Cotlook 2014-15 a index is lower at 75.90 cents per lb. This indicates comfortable supply of cotton in international markets.
The above price forecasts are based on the assumption that the Chinese Government will continue its current reserve policy. As it is, China has built up a massive national cotton reserve, ensuring raw material security to its textile industry. China holding 59 per cent of global cotton stocks, is creating significant uncertainty for the global cotton market. With reduced imports of cotton by China, its share in the global cotton stocks is set to decline.
BUSINESS OVERVIEW
The company is engaged in the business of manufacture and export of cotton yarn. The yarn is manufactured from the world’s best sources of raw cotton like the Egyptian Giza, American Supima, DCH 32, MCU-5, setting high standards of quality and excellence at all levels of production. The company manufactures yarns of various counts ranging from NE 40s to NE 240s. Permutations and combinations in spinning, finishing processes result in yarns of varied qualities for specific end users. The extensive range of products on company’s portfolio is a testimonial to a continuous process of innovation and expansion in manufacturing technology. The company was amongst the first in India to manufacture compact yarn using the breakthrough technology of compact spinning, and also uses state-of-art machineries across its plants. Presently, the company has a capacity of 58,864 spindles at Aluva, Kerala, consisting of 34,896 compact spinning and 23,968 ring spinning. The company has promoted Patspin India Limited which has 2 Plants at Palakkad in Kerala and Ponneri in Tamilnadu having a capacity of 113,856 spindles, consisting of 79,025 Compact Spinning and 34,831 Ring Spinning.
The company’s performance improved during F.Y. 2013-14 in line with over all improvement in working of textile mills, mainly on account of robust demand for cotton yarn from China as well as spurt in domestic demand. There is however anxiety in the industry that exports to China may come down due to a change in the cotton policy of China, which was the largest importer of cotton yarn in 2013-14. Further, the power situation which was critical in Kerala in past few years is showing signs of improvement. However, power tariffs are expected to rise soon during the current fiscal. To overcome the problem of shortage of skilled and trained manpower and its increasing cost, it is gratifying that Confederation of Indian Textile Industry (CITI) has already initiated the work for establishment of Textile Sector Skill Council.
OUTLOOK,
OPPORTUNITIES AND THREATS
(a) Global exports of textiles and clothing in 2012 were 708 billion USD, as per WTO figures. China’s share in the global trade in textiles / clothing was 35 per cent and that of India a barely 5 per cent. With the rising costs in China and its deliberate shift in favour of domestic consumption, India has tremendous scope for boosting its share to a more respectable figure. Further, by 2022, world exports of textiles / clothing are projected to increase to 1,200 billion USD. The expectation is that India’s exports would rise from 37.47 billion USD to 120 billion USD by 2022. This will provide immense potential to India for enhancing its exports.
On the domestic front also India is poised for a healthy growth, in view of rising population, sustained increase in per capita income and disposable surplus, favourable demographic profile and changing lifestyle. Surveys carried out by Textiles Committee also corroborate this. Besides, Government of India is becoming increasingly sensitive to the needs of the textile industry and taking ameliorative measures in regard to debt restructuring scheme, extension of TUFS and TMC in the Twelfth Five Year Plan etc. Happily, new Government has announced that it will get necessary impetus for boosting exports of textiles. This augurs well for higher of textiles from the country. Another area is rapid growth of technical textiles for which Government has been providing encouraging support.
The Ministry of Commerce has been announcing exporter-friendly measures in the Foreign Trade Policy. Favourable policy changes have been made in Focus Product Scheme, Market Product Scheme, Market Linked Focus Product Scheme, Incremental Exports Incentivisation Scheme, Liberalized EPCG Scheme, etc. All these measures will boost exports of textiles and clothing.
Above all, India is in a unique position of having an integrated textile set-up endowed with presence across all the textile value chain from fibres to fashion garments.
All these favourable factors indicate extremely optimistic and positive future for the healthy growth of the Indian textile industry.
(b) The health of textile units is primarily dependent on adequate availability of quality cottons at competitive prices. With the augmented supply of quality seed and larger production of hybrids and Bt. cottons, production of cotton in the coming season 2013-14 is forecast to be comfortable. However, prospects for cotton crop in the season 2014-15 areuncertain on account of delayed and weak monsoon.
(c) Inadequate Duty Drawback rates run counter to the well-accepted Government Policy of not taxing exports. It may be stated that Duty Drawback is not incentive but only refund of indirect taxes suffered by export products. Further, remission of duties suffered by exported products is totally WTO-compliant. One can only hope that Government will revise upward Duty Drawback rates to reflect the actual incidence of duties and taxes borne by exported textile products. Texprocil has been pursuing this matter with Government by providing adequate justification in a logical manner. It is expected that new Government will deal with this problem dispassionately.
CONTINGENT
LIABILITIES (AS ON 31.03.2014):
1 Disputed amounts of Taxes and Duties and other claims not acknowledged as debts: Rs. NIL (Previous year Rs.Nil).
2 The company has given corporate Guarantee amounting of Rs. 30.000 Million (Previous year Rs. 30.000 Million) to EXIM bank in respect of financial assistance provided by them to PATSPIN INDIA LIMITED under restructured TUF scheme and the outstanding amount of the said loan is Rs. 119.800 Million. (Previous year Rs 123.700 Million).
UNAUDITED FINANCIAL
RESULTS FOR THE QUARTER AND NINE MONTH ENDED 31ST DECEMBER 2014
(Rs in Million)
|
Sr. No |
Particulars |
Quarter Ended |
Half Year Ended |
|
|
|
|
31.12.2014 |
30.09.2014 |
31.12.2014 |
|
1 |
Income from operations |
|
|
|
|
|
(a) Net
Sales/Income from Operations |
544.600 |
450.800 |
11340.400 |
|
|
(b) Other Operating Income |
17.500 |
8.200 |
30.200 |
|
|
Total income from operations
(net) |
562.100 |
459.000 |
1370.600 |
|
2 |
Expenses |
|
|
|
|
|
(a) Cost of materials consumed |
241.800 |
242.200 |
748.900 |
|
|
(b) Purchases of stock-in-trade |
162.600 |
69.400 |
241.100 |
|
|
(c)
Changes in inventories of finished goods, work-in-progress and stock-in-trade |
(17.100) |
(39.400) |
(150.500) |
|
|
(d) Employee benefits expense |
61.500 |
67.400 |
193.700 |
|
|
(e) Depreciation and amortization expense |
12.400 |
11.600 |
34.800 |
|
|
(f) Power and Fuel |
44.300 |
43.400 |
129.700 |
|
|
(g) Other expenditure |
37.200 |
35.600 |
98.400 |
|
|
Total expenses |
542.700 |
430.200 |
1296.100 |
|
3 |
Profit before interest, Depreciation, Other Income, Exceptional Items
and Tax (PBIDTA) |
31.800 |
40.400 |
109.300 |
|
4. |
Profit / (Loss) from operations before other income, finance costs
and exceptional items(1-2) |
19.400 |
28.800 |
74.500 |
|
5 |
Other Income |
1.100 |
2.300 |
4.700 |
|
6 |
Profit / (Loss) from ordinary activities before
finance costs and exceptional items(3 + 4) |
20.500 |
31.100 |
79.200 |
|
7 |
Finance costs |
31.800 |
28.100 |
88.000 |
|
8 |
Profit after Interest
but before Depreciation, Exceptional Items and Tax (PBDTA) |
1.100 |
14.600 |
26.000 |
|
9 |
Profit / Loss from ordinary activities after finance
cost and exceptional items (6+/-7) |
(11.300) |
3.000 |
(8.800) |
|
10 |
Exceptional items |
0.000 |
0.000 |
0.000 |
|
11 |
Profit / (Loss) from ordinary activities before tax
(9+/-10) |
(11.300) |
3.000 |
(8.800) |
|
12 |
Tax Expense |
|
|
|
|
|
Current Tax (MAT) |
(0.500) |
0.500 |
0.000 |
|
|
MAT Credit Entitlement |
0.500 |
(0.500) |
0.000 |
|
|
Deferred Taxation |
(0.100) |
0.100 |
0.000 |
|
13 |
Net Profit / (Loss) from ordinary activities after
tax (11+/-12) |
(11.200) |
2.900 |
(8.800) |
|
14 |
Extraordinary Items |
0.000 |
0.000 |
0.000 |
|
15 |
Net Profit / (Loss) for the
period (13+/-14) |
(11.200) |
2.900 |
(8.800) |
|
16 |
Paid up equity share capital (Face Value of Rs10/- share) |
116.400 |
116.400 |
116.400 |
|
17 |
Reserve excluding
Revaluation Reserves year |
0.000 |
0.000 |
0.000 |
|
18 |
Earnings per share (EPS) Basic / Diluted, not annualized (Face Value of Rs. 10/- each) |
(0.96) |
0.25 |
(0.75) |
|
|
|
|
|
|
|
|
SELECT
INFORMATION FOR THE QUARTER AND NINE MONTH ENDED 31.12.2014 |
|||
|
|
|
|
|
|
|
A |
PARTICULARS OF SHAREHOLDING |
|
|
|
|
1 |
Public
shareholding |
|
|
|
|
|
-
Number of shares |
4390040 |
4390040 |
4390040 |
|
|
- Percentage of
shareholding |
37.71 |
37.71 |
37.71 |
|
2 |
Promoters and Promoter
Group Shareholding |
|
|
|
|
|
a) Pledged / Encumbered |
|
|
|
|
|
- Number of shares |
NIL |
NIL |
NIL |
|
|
- Percentage of shares
(as a % of the total shareholding of promoter and promoter group) |
NA |
NA |
NA |
|
|
-
Percentage of shares (as a % of the total share capital of the company) |
NA |
NA |
NA |
|
|
b) Non-encumbered |
|
|
|
|
|
- Number of shares |
7250438 |
7250438 |
7250438 |
|
|
-
Percentage of shares (as a % of the total shareholding of promoter and
promoter group) |
100 |
100 |
100 |
|
|
- Percentage
of shares (as a % of the total share capital of the company) |
62.29 |
62.29 |
62.29 |
|
|
|
|
|
|
|
B |
INVESTOR COMPLAINTS (Nos.) |
Quarter Ended 31.12.2014 |
|
|
Pending
at the beginning of the quarter |
NIL |
|
|
Received
during the quarter |
3 |
|
|
Disposed
of during the quarter |
3 |
|
|
Remaining
unresolved at the end of the quarter |
NIL |
Note:
- The above results were reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on 31st January, 2015. The Statutory Auditors have carried out a limited review of these results pursuant to clause 41 of the Listing Agreement.
- With effect from April 01, 2014, depreciation has been charged as per the rates prescribed under Schedule II of the Companies Act, 2013. Consequently, the amount of depredation for the quarter and Nine months ended December 31, 2014 is lower by Rs. 3.931 Million and Rs. 10.898 Million respectively.
- The Company is engaged in Yarn business and as such has only Single Reportable Business Segment i.e. "Yarn Segment” in terms of requirements of Accounting Standard 17.
- Income from operation is significantly lower on account of lower sales during the nine months period on the outsourced yarn. This was primarily due to sharp decline in the exports.
- Deferred Tax Asset, if any for the current financial year will be recognised at the end of the year.
- Previous period / Year figures have been regrouped wherever necessary.
FIXED ASSETS
Tangible Assets
· Land
· Building
· Plant and Equipment
· Office Equipment
· Furniture and Fixtures
· Vehicles
Intangible Assets
· Computer Software
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.63.57 |
|
|
1 |
Rs.99.66 |
|
Euro |
1 |
Rs.70.92 |
INFORMATION DETAILS
|
Information
Gathered by : |
KMN |
|
|
|
|
Analysis Done by
: |
SUB |
|
|
|
|
Report Prepared
by : |
PNM |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
4 |
|
PAID-UP CAPITAL |
1~10 |
4 |
|
OPERATING SCALE |
1~10 |
4 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
4 |
|
--PROFITABILIRY |
1~10 |
3 |
|
--LIQUIDITY |
1~10 |
3 |
|
--LEVERAGE |
1~10 |
3 |
|
--RESERVES |
1~10 |
4 |
|
--CREDIT LINES |
1~10 |
3 |
|
--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 |
|
32 |
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.