MIRA INFORM REPORT
|
Report No. : |
350786 |
|
Report Date : |
24.11.2015 |
IDENTIFICATION DETAILS
|
Name : |
ADOR WELDING LIMITED (w.e.f. 16.10.2003) |
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|
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Formerly Known
As : |
ADVANI
OERLIKON LIMITED |
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Registered
Office : |
Ador
House, 6, K. Dubash Marg, Fort, Mumbai – 400001, |
|
Tel. No.: |
91-22-22842525 |
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Country : |
India |
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Financials (as
on) : |
31.03.2015 |
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Date of
Incorporation : |
22.10.1951 |
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Com. Reg. No.: |
11-008647 |
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Capital
Investment / Paid-up Capital : |
Rs.136.000 Million |
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CIN No.: [Company Identification
No.] |
L70100MH1951PLC008647 |
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IEC No.: |
0388022817 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMA20507E /
MUMA20506D |
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PAN No.: [Permanent Account No.] |
AAACA9076B /
AAACA9076A |
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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
: |
Manufacturer, Exporter and Importers of Welding Consumable and
Equipment’s. |
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No. of Employees
: |
300 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Aa (72) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
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 |
|
Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject was incorporated in the year 1951 and it is a manufacturer of welding consumables and equipment. Subject is a well-established company having fine track record. Company possesses strong operational performance and it has archived decent profitability margins from its operations during FY 2015. Rating also reflects long and established track record of AWL in welding industry supported by diversified product portfolio along with healthy financial base and adequate net worth profile of the company. Trade relations are reported as fair. Payments are reported to be regular and as per commitment. In view of aforesaid the company can be considered good 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 – 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 |
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High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
|
Off-credit |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
Long term bank
facilities: AA |
|
Rating Explanation |
High degree of
safety and very low credit risk. |
|
Date |
10.08.2015 |
|
Rating Agency Name |
CARE |
|
Rating |
Short term bank
facilities: A1+ |
|
Rating Explanation |
Very strong degree
of safety and carry lowest credit risk. |
|
Date |
10.08.2015 |
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
31-03-2015.
INFORMATION PARTED BY
|
Name : |
Mr. Sharad Sharma |
|
Designation : |
Area Sale Manager |
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Contact No.: |
91-9414044413 |
|
Date : |
23.11.2015 |
LOCATIONS
|
Registered Office / Corporate Office : |
Ador House,
6, K. Dubash Marg, Fort, Mumbai – 400001, |
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Tel. No.: |
91-22-22842525 / 22872548 / 66239300 / 35 |
|
Mobile No.: |
9414044413/ 9694344413 (Mr. Sharad) |
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Fax No.: |
91-22-22873083 /25966562 / 6062 |
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E-Mail : |
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Website : |
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Corporate Marketing Office / International Business Division : |
5/A, Corpora,
L.B.S Marg, Bhandup (West), Mumbai-400078, Maharashtra, India |
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Tel. No.: |
91-22-66239300 / 25962564 / 77 |
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Fax No.: |
91-22-25966562 / 6062 |
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E-Mail : |
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Branch Office: |
309, Ashwara Tower, Near Hawa Mahal Hotel, Ajmer Road,
Jaipur – 302006, Rajasthan, India |
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Tel. No.: |
91-141-2220833 |
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Fax No.: |
91-141-2220834 |
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Factory 1 : |
Melakottiyur, Via Vandalur, Chennai-600048, |
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Tel. No.: |
91-44-27477115 / 116 |
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Fax No.: |
91-44-27477117 |
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E-Mail : |
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Factory 2: |
Survey No. 59/11/1, Khanvel Road, Masat, Silvassa-396230,
Union Territory of Dadra and Nagar Haveli, India |
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Tel. No.: |
91-260-2632287/ 3258843/ 2640447 |
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Fax No.: |
91-260-2632776 |
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E-Mail : |
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Factory 3 : |
Industrial Estate, Billaspur Road, Raipur - 493221,
Chattisgarh, India |
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Tel. No.: |
91-771-4016288/ 2562201 |
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Fax No.: |
91-771-2562204 |
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E-Mail : |
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Factory 4 : |
Akurdi Village, Pune-411019, Maharashtra, India |
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Tel. No.: |
91-20-40706000 |
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Fax No.: |
91-20-40706001 |
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E-Mail : |
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Factory 5 : |
54-55, F-11 Block MIDC, Pimpri, Pune-411018, |
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Tel. No.: |
91-20-27470224 |
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Fax No.: |
91-20-27470224 |
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Domestic Sales Offices : |
Located At:
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Overseas Office: |
Sharjah
Airport International Free Zone, Q 3 – 216, P.O. Box – 120025, Sharjah, UAE |
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Tel No.: |
0097165578601 |
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Fax No.: |
0097165578602 |
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E mail: |
DIRECTORS
AS ON 31.03.2015
|
Name : |
Ms. A. B. Advani |
|
Designation : |
Executive Chairman |
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|
Name : |
Mr. S. M. Bhat |
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Designation : |
Managing Director |
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Name : |
Mrs. N. Malkani Nagpal |
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Designation : |
Director |
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|
Name : |
Mr. R. A. Mirchandani |
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Designation : |
Director |
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|
Name : |
Mr. A. T. Malkani |
|
Designation : |
Director |
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Name : |
Mr. D. A. Lalvani |
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Designation : |
Director |
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Name : |
Mr. Vippen Sareen* |
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Designation : |
Director |
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Name : |
Mr. Anil Harish# |
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Designation : |
Director |
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|
Name : |
Mr. M. K. Maheshwari |
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Designation : |
Director |
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|
Name : |
Mr. P. K. Gupta |
|
Designation : |
Director |
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|
Name : |
Mr. R. N. Sapru |
|
Designation : |
Director |
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|
Name : |
Mr. K. Digvijay Singh |
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Designation : |
Director |
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Name : |
Mr. S. G. Mirchandani $ |
|
Designation : |
Director |
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Name : |
Mr. G. M. Lalwani $ |
|
Designation : |
Director |
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KEY EXECUTIVES
|
Name : |
Mr.
V. M. Bhide |
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Designation : |
Company Secretary |
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|
|
Name : |
Mr. Sharad Sharma |
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Designation : |
Area Sale Manager |
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Executive Management Team: |
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SHAREHOLDING PATTERN
AS ON 30.09.2015
|
Category of
Shareholder |
Total No. of Shares |
Total Shareholding
as a % of Total No. of Shares |
|
(A) Shareholding of
Promoter and Promoter Group |
||
|
|
|
|
|
|
858826 |
6.32 |
|
|
6800531 |
50.01 |
|
|
7659357 |
56.33 |
|
|
|
|
|
|
49050 |
0.36 |
|
|
49050 |
0.36 |
|
Total shareholding of
Promoter and Promoter Group (A) |
7708407 |
56.69 |
|
(B) Public Shareholding |
||
|
|
|
|
|
|
2199485 |
16.17 |
|
|
4482 |
0.03 |
|
|
10 |
0.00 |
|
|
3925 |
0.03 |
|
|
2207902 |
16.24 |
|
|
|
|
|
|
305650 |
2.25 |
|
|
|
|
|
|
2400373 |
17.65 |
|
|
523541 |
3.85 |
|
|
452594 |
3.33 |
|
|
33059 |
0.24 |
|
|
300 |
0.00 |
|
|
419235 |
3.08 |
|
|
3682158 |
27.08 |
|
Total Public shareholding
(B) |
5890060 |
43.31 |
|
Total (A)+(B) |
13598467 |
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) |
13598467 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer, Exporter and Importers of Welding Consumable and
Equipment’s. |
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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 : |
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Products : |
Welding Consumable and Equipment’s |
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Countries : |
Gulf Countries. |
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Imports : |
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Products : |
Raw Material |
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Countries : |
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Terms : |
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Selling : |
Cash and Credit |
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Purchasing : |
Cash and Credit |
PRODUCTION STATUS: NOT AVAILABLE
GENERAL INFORMATION
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Suppliers : |
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Customers : |
End Users
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No. of Employees : |
300 (Approximately) |
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Bankers : |
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Facility: |
Notes: SHORT-TERM
BORROWINGS (SECURED): (i) Working Capital facilities from Banks are secured by pari passu charge by way of hypothecation of Company’s stocks, other current assets and other tangible moveable assets of the Company, both present and future and book debts in favour of Bank of Baroda and HDFC Bank Limited. HDFC Bank Limited facilities are further secured by first exclusive charge on the entire plant and machinery and other moveable fixed assets of the Company and on the land & building at the Company’s Silvassa unit. (ii) Guarantees given by banks to third parties amounting to Rs.1,365 lacs; (Previous year Rs.214.500 Million) on behalf of the Company are secured against securities mentioned in (i) above |
|
Statutory Auditors: |
|
|
Name : |
Dalal and Shah Chartered Accountants |
|
Address : |
Mumbai, Maharashtra, India |
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|
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Cost Auditor: |
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|
Name : |
CMA Vishvesh Desai Cost Accountant |
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Address : |
Pune, Maharashtra, India |
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|
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Solicitors : |
Nanu Hormasjee and Company |
|
Address : |
Mumbai, Maharashtra, India |
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Memberships : |
Not Available |
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Collaborators : |
Not Available |
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Holding Company: |
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Company in which
Holding Company has Significant Influence and Its Associates: |
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Other Related
Parties where significant influence exists: |
|
CAPITAL STRUCTURE
AS ON 31.03.2015
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
30000000 |
Equity Shares |
Rs. 10/- each |
Rs.300.000 Million |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
13598467 |
Equity Shares |
Rs.10/- each |
Rs.136.000
Million |
|
|
|
|
|
NOTE:
Reconciliation of shares
|
Particulars |
No. of shares |
Rs. in Millions |
|
Equity shares: |
|
|
|
Shares
outstanding at the beginning of the year |
13598,467 |
136.000 |
|
Shares issued during the year |
-- |
-- |
|
Shares bought back during the year |
-- |
-- |
|
Shares outstanding at the end of the year |
13598467 |
136.000 |
Rights, preferences
and restrictions attached to shares
The Company has only one class of shares referred to as equity shares having a par (face) value of Rs.10/- per share. Each shareholder is eligible for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the Annual General Meeting.
In the event of liquidation of the Company, the equity shareholders will be entitled to receive the remaining assets of the Company, after distribution of all the preferential amounts, in proportion to their shareholding.
Shares held by Holding Company
|
Particulars |
No. of shares |
|
Equity shares: |
|
|
J. B. Advani and Company Private Limited |
6800531 |
Details of shares held by shareholders holding more than 5% of aggregate
shares in the Company
|
Particulars |
No. of shares |
% of holding |
|
Equity shares: |
|
|
|
J. B. Advani and Company Private Limited |
6800531 |
50.01 |
|
Reliance Capital Trustee Company Limited |
918884 |
6.76 |
|
Total |
7719415 |
56.77 |
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 |
136.000 |
136.000 |
136.000 |
|
(b) Reserves & Surplus |
1904.100 |
1673.000 |
1710.300 |
|
(c) Money received against
share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money
pending allotment |
0.000 |
0.000 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
2040.100 |
1809.000 |
1846.300 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
1.300 |
7.700 |
14.000 |
|
(b) Deferred tax liabilities
(Net) |
85.200 |
5.000 |
4.300 |
|
(c) Other long term
liabilities |
8.400 |
9.200 |
18.400 |
|
(d) long-term provisions |
0.000 |
0.000 |
0.000 |
|
Total
Non-current Liabilities (3) |
94.900 |
21.900 |
36.700 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Trade payables |
439.500 |
519.400 |
405.200 |
|
(c) Other current liabilities |
111.400 |
146.800 |
108.500 |
|
(d) Short-term provisions |
168.600 |
247.500 |
153.400 |
|
Total
Current Liabilities (4) |
719.500 |
913.700 |
667.100 |
|
|
|
|
|
|
TOTAL |
2854.500 |
2744.600 |
2550.100 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
949.000 |
739.300 |
808.800 |
|
(ii) Intangible Assets |
10.400 |
13.500 |
1.800 |
|
(iii) Capital work-in-progress |
16.000 |
17.600 |
4.500 |
|
(iv) Intangible assets under
development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
19.400 |
19.400 |
78.700 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
247.000 |
222.200 |
31.700 |
|
(e) Other Non-current assets |
8.500 |
7.900 |
117.000 |
|
Total
Non-Current Assets |
1250.300 |
1019.900 |
1042.500 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
46.100 |
119.100 |
247.800 |
|
(b) Inventories |
430.400 |
499.000 |
436.600 |
|
(c) Trade receivables |
832.300 |
781.000 |
725.800 |
|
(d) Cash and cash equivalents |
198.300 |
213.400 |
35.400 |
|
(e) Short-term loans and
advances |
88.200 |
54.300 |
33.900 |
|
(f) Other current assets |
8.900 |
57.900 |
28.100 |
|
Total
Current Assets |
1604.200 |
1724.700 |
1507.600 |
|
|
|
|
|
|
TOTAL |
2854.500 |
2744.600 |
2550.100 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
|
SALES |
|
|
|
|
|
Income |
3849.400 |
3683.500 |
3641.700 |
|
|
Other Income |
45.900 |
50.600 |
36.100 |
|
|
TOTAL
(A) |
3895.300 |
3734.100 |
3677.800 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
2548.500 |
2442.600 |
2333.100 |
|
|
Purchases of Stock-in-Trade |
43.100 |
47.900 |
18.000 |
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
55.100 |
(43.300) |
20.900 |
|
|
Employees benefits expense |
365.500 |
338.200 |
359.600 |
|
|
Other expenses |
545.800 |
529.200 |
548.200 |
|
|
Exceptional Items |
(281.100) |
147.800 |
0.000 |
|
|
TOTAL
(B) |
3276.900 |
3462.400 |
3279.800 |
|
|
|
|
|
|
|
Less |
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION (C) |
618.400 |
271.700 |
398.000 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
11.400 |
14.200 |
8.100 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
607.000 |
257.500 |
389.900 |
|
|
|
|
|
|
|
Less/
Add |
DEPRECIATION/
AMORTISATION (F) |
124.300 |
120.300 |
123.400 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
BEFORE TAX (E-F) (G) |
482.700 |
137.200 |
266.500 |
|
|
|
|
|
|
|
Less |
TAX (H) |
159.000 |
94.900 |
75.700 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
AFTER TAX (G-H) (I) |
323.700 |
42.300 |
190.800 |
|
|
|
|
|
|
|
|
EARNINGS
IN FOREIGN CURRENCY |
|
|
|
|
|
F.O.B. Value of Exports |
298.700 |
491.300 |
463.500 |
|
|
TOTAL
EARNINGS |
298.700 |
491.300 |
463.500 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Raw Materials |
424.200 |
359.900 |
208.200 |
|
|
Capital Goods |
1.300 |
2.200 |
4.000 |
|
|
Components and Stores parts |
3.500 |
0.900 |
5.500 |
|
|
Purchase of
Stock-in-Trade |
23.300 |
11.100 |
28.000 |
|
|
TOTAL
IMPORTS |
452.300 |
374.100 |
245.700 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (Rs.) |
23.8 |
3.11 |
14.03 |
Expected Sales (2015-2016) : Rs.4250.000 Million
The above information has been parted by Mr. Sharad Sharma (Area Sales Manager).
CURRENT MATURITIES
OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Current Maturities of Long term debt |
3.000 |
6.300 |
3.000 |
|
Cash generated from operations |
74.000 |
392.700 |
NA |
|
Operating Activities |
22.400 |
304.000 |
169.100 |
QUARTERLY RESULTS
|
Particulars |
|
30.06.2015 (Unaudited) |
30.09.2015 (Unaudited) |
|
|
|
|
|
|
Net Sales |
|
802.700 |
918.400 |
|
Total Expenditure |
|
705.300 |
837.900 |
|
PBIDT (Excl OI) |
|
97.400 |
80.500 |
|
Other Income |
|
6.700 |
14.900 |
|
Operating Profit |
|
104.100 |
95.400 |
|
Interest |
|
1.600 |
1.000 |
|
Exceptional Items |
|
NA |
(15.500) |
|
PBDT |
|
102.500 |
78.900 |
|
Depreciation |
|
30.500 |
29.100 |
|
Profit Before Tax |
|
72.000 |
49.800 |
|
Tax |
|
16.000 |
16.300 |
|
Provisions and
contingencies |
|
NA |
NA |
|
Profit After Tax |
|
56.000 |
33.500 |
|
Extraordinary Items |
|
NA |
NA |
|
Prior Period Expenses |
|
NA |
NA |
|
Other Adjustments |
|
NA |
NA |
|
Net Profit |
|
56.000 |
33.500 |
KEY
RATIOS
|
PARTICULARS |
|
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Net Profit Margin (PAT / Sales) |
(%) |
8.41 |
1.15 |
5.24 |
|
|
|
|
|
|
|
Operating Profit Margin (PBIDT/Sales) |
(%) |
16.06 |
7.38 |
10.93 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
17.12 |
5.07 |
10.80 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.24 |
0.08 |
0.14 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.00 |
0.01 |
0.01 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
2.23 |
1.89 |
2.26 |
STOCK
PRICES
|
Face Value |
Rs.10.00/- |
|
Market Value |
Rs.282.00/- |
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 |
136.000 |
136.000 |
136.000 |
|
Reserves & Surplus |
1710.300 |
1673.000 |
1904.100 |
|
Net
worth |
1846.300 |
1809.000 |
2040.100 |
|
|
|
|
|
|
long-term borrowings |
14.000 |
7.700 |
1.300 |
|
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
Current maturities of
long-term debts |
3.000 |
6.300 |
3.000 |
|
Total
borrowings |
17.000 |
14.000 |
4.300 |
|
Debt/Equity
ratio |
0.009 |
0.008 |
0.002 |
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 |
3641.700 |
3683.500 |
3849.400 |
|
|
|
1.148 |
4.504 |
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 |
3641.700 |
3683.500 |
3849.400 |
|
Profit |
190.800 |
42.300 |
323.700 |
|
|
5.24% |
1.15% |
8.41% |
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 |
Yes |
|
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 |
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 30TH SEPTEMBER 2015
(Rs. In Million)
|
Particulars
|
Quarter Ended ( Unaudited) |
Quarter Ended ( Unaudited) |
Half Year Ended ( Unaudited) |
|
|
30.09.2015 |
30.06.2015 |
30.09.2015 |
|
|
|
|
|
|
1.
Income from operations |
|
|
|
|
a) Net sales/ Income from operation (net of excise duty) |
913.700 |
800.800 |
1714.500 |
|
b) Other operating income |
4.700 |
1.900 |
4.600 |
|
Total
income from Operations(net) |
918.400 |
802.700 |
1721.100 |
|
2.Expenditure |
|
|
|
|
a) Cost of material consumed |
680.500 |
497.300 |
1079.600 |
|
b) Purchases of stock in trade |
11.600 |
12.500 |
19.800 |
|
c) Changes in inventories of finished goods,
work-in-progress and stock-in-trade |
(9.000) |
(21.00) |
(111.000) |
|
d) Employees benefit expenses |
87.300 |
91.200 |
178.500 |
|
e) Depreciation and amortization expenses |
29.100 |
30.500 |
59.600 |
|
f) Other expenditure |
148.500 |
126.400 |
274.900 |
|
Total expenses |
867.000 |
736.900 |
1603.900 |
|
3. Profit from operations before other income and
financial costs |
51.400 |
65.800 |
117.200 |
|
4. Other income |
14.900 |
6.700 |
21.600 |
|
5. Profit from ordinary activities before finance costs |
66.300 |
72.500 |
138.800 |
|
6. Finance costs |
1.000 |
0.500 |
1.500 |
|
7. Net profit/(loss) from
ordinary activities after finance costs but before exceptional items |
65.300 |
72.000 |
137.300 |
|
8. Exceptional item |
(15.500) |
-- |
(15.500) |
|
9. Profit from ordinary
activities before tax Expense: |
49.800 |
72.000 |
121.800 |
|
10.Tax expenses |
16.300 |
16.000 |
32.300 |
|
11.Net Profit / (Loss) from ordinary activities
after tax (9-10) |
33.500 |
56.000 |
89.500 |
|
12.Extraordinary Items (net
of tax expense) |
-- |
-- |
-- |
|
13.Net Profit / (Loss) for
the period (11 -12) |
33.500 |
56.000 |
89.500 |
|
14.Paid-up equity share capital (Nominal value Rs.10/- per share) |
136.000 |
136.000 |
136.000 |
|
15. Reserve excluding Revaluation Reserves as per balance sheet of previous
accounting year |
-- |
-- |
-- |
|
16.i) Earnings per share
(before extraordinary items) of Rs.10/- each) (not annualised): |
|
|
|
|
(a) Basic |
2.46 |
4.12 |
6.58 |
|
(b) Diluted |
3.60 |
4.12 |
7.72 |
|
Particulars
|
Quarter Ended ( Unaudited) |
Quarter Ended ( Unaudited) |
Half Year Ended ( Unaudited) |
|
|
30.09.2015 |
30.06.2015 |
30.09.2015 |
|
A. Particulars of shareholding |
|
|
|
|
1. Public Shareholding |
|
|
|
|
- Number of shares |
5890130 |
5890130 |
5890130 |
|
- Percentage of shareholding |
43.31% |
43.31% |
43.31% |
|
2. Promoters and Promoters group Shareholding- |
|
|
|
|
a) Pledged /Encumbered |
|
|
|
|
Number of shares |
-- |
-- |
-- |
|
Percentage of shares (as a % of total shareholding of the promoter
and promoter group) |
-- |
-- |
-- |
|
Percentage of shares (as a % of total share capital of the
company) |
-- |
-- |
-- |
|
|
|
|
|
|
b) Non Encumbered |
|
|
|
|
Number of shares |
7708337 |
7708337 |
7708337 |
|
Percentage of shares (as a % of total shareholding of the
promoter and promoter group) |
100.00% |
100.00% |
100.00% |
|
|
|
|
|
|
Percentage of shares (as a % of total share capital of the
company) |
56.69% |
56.69% |
56.69% |
|
|
|
|
|
|
B. Investor
Complaints |
|
|
|
|
Pending at the beginning of the quarter |
-- |
|
|
|
Receiving during the quarter |
5 |
|
|
|
Disposed of during the quarter |
5 |
|
|
|
Remaining unreserved at the end of the quarter |
-- |
|
|
UNAUDITED SEGMENT WIE
REVENUE, RESULTS AND CAPITAL EMPLOYED
(Rs. In
Million)
|
Particulars
|
Quarter Ended ( Unaudited) |
Quarter Ended ( Unaudited) |
Half Year Ended ( Unaudited) |
|
|
30.09.2015 |
30.06.2015 |
30.09.2015 |
|
1. Segment Revenue |
|
|
|
|
a. Consumables |
670.300 |
529.500 |
1199.800 |
|
b. Equipment’s and project engineering |
248.100 |
273.200 |
521.300 |
|
Net Sales/ Income from operations |
918.400 |
802.700 |
1721.100 |
|
|
|
|
|
|
2. Segment Result (Profit before Interest and Tax) |
|
|
|
|
a. Consumables |
78.000 |
43.000 |
121.000 |
|
b. Equipment’s and project engineering |
6.700 |
66.000 |
72.700 |
|
Total |
84.700 |
109.000 |
193.700 |
|
|
|
|
|
|
Less : (i) Interest |
1.00 |
0.500 |
1.500 |
|
(ii) Other un-allocable expenditure net off un-allocable
income. |
18.400 |
36.500 |
54.900 |
|
Exceptional items |
15.500 |
-- |
15.500 |
|
|
|
|
|
|
Profit before Tax |
49.800 |
72.000 |
121.800 |
|
|
|
|
|
|
3. Capital Employed |
|
|
|
|
a. Consumables |
1105.600 |
1093.600 |
1105.600 |
|
b. Equipment’s and project engineering |
776.300 |
686.100 |
776.300 |
|
c.Unallocable corporate assets net of unallocable
liabilities |
247.700 |
316.400 |
247.700 |
|
Total |
2129.600 |
2096.100 |
2129.600 |
|
Notes: 1. The above financial results have been reviewed and
recommended for adoption to the Board of Directors by the Audit Committee and
thereafter have been approved by the Board at their meeting held on 31st July,
2015. |
|||
OPERATIONS:
In FY 2014-15, the total Sales and Other Income went up by 4.32%. The year ended with Sales and Other Income of Rs. 3895.300 Million (Rs.3734.100 Million)*. The Company’s Sales and Other Income during 2014-15 comprised of the following:3.1 Welding Consumables at Rs.27,181 Lacs (Rs.2753.200 Million)*- Due to severe competition witnessed in the Welding Industry over last year and core industrial sector showing degrowth, Domestic Sales of Consumables recorded a degrowth of over 1.27% compared to the previous year.3.2 Equipment and Project Engineering at Rs.1131.300 Million (Rs.930.300 Million)* - The Welding Equipment and Project Engineering Business was higher by over 21% compared to the previous year, due to better performance of Project Engineering division. 3.3 Other Income at Rs.45.900 Million (Rs.50.600 Million))*. (*Figures in brackets indicate previous year).
MANAGEMENT DISCUSSION
& ANALYSIS REPORT
Industry Structure and Development Though inherently highly fragmented, the previous year’s recessionary trend seems to be a phase of the past, and a stable Central Government with a positive focus towards industrial growth,
Economic measures and steps taken towards actively encouraging investors, both foreign and domestic, seem to encourage the emergence of India as an Industry Giant in the near future. With focus of the government on “Make in India”, the manufacturing sector will get desired boost leading to a robust and sustainable GDP growth in the years to come.
In the consumables manufacturing space, few MNCs have done certain local acquisitions to get a footprint in India. Also, local players are trying to go up in the value chain, both in the product and distribution front. The Equipment business is moving towards low cost Chinese products, posing competition to both, local and some key global players. At the same time, many Global European as well as US based manufacturers have set up manufacturing units in India, as a parallel resource to their Chinese manufacturing units, for low cost, rugged Equipment’s, customized for the Indian Market. The availability of low cost highly skilled manpower and engineering resources has also encouraged this trend. In the coming days, they focus on indigenized R and D should pay dividends. At this juncture, for the high - end Inverter machines, we shall be the main local source to cater the Local market needs. Economic improvement will encourage the market to switch to Automation in a big way, both for Welding and Cutting equipment’s, and thereby calls for preparedness from local suppliers.
OUTLOOK:
The Indian economy depicts a forecast to grow @ 7.5% with new base in FY 2015-16 as per IMF, and projected to overtake China as one of the growing major economies. It is expected that India’s economic growth will be at much better rate of 8 – 8.5% in the current fiscal year. If the current year’s growth plans unfold the way it is forecasted, India will achieve its fastest growth in five years since FY 2010-11. The smart economic pick-up is said to be largely on the back of the robust manufacturing sector performance and a surge in public expenditure.
In these conditions, their market share strategy will be pursued aggressively for continuing their growth plan. New products developed for new applications, will enable their customers to reduce their operating costs, and will help us grow business. They new range of products, like CNC machines, Stainless Steel and MSGP electrodes for the Bottom of the Pyramid segment, special electrodes for Power, Process plants, Oil and Gas, Shipbuilding will help us grow their market share. Their offering of total automation solution, especially for auto components shall open a new market opportunity for us. Their investment in R and D and technical support should enable us grow as a true total solution provider for their Customers, rather than a mere hardware supplier, which will act as a key strategic differentiator.
BACKGROUND OF THE
COMPANY:
Incorporated in 1951, Ador Welding Ltd. (AWL) is one of India’s leading player in the field of Welding Products, Technologies and Services. The Company is also engaged in providing customized solutions for multi-disciplinary projects and contracts related to Refineries, Oil and Gas, Petrochemicals, Fertilizers, Steel Plants, Pharma, Water, other chemical process industries, etc.
UNSECURED LOAN
(Rs.
In Million)
|
Particulars |
As
on 31.03.2015 |
As
on 31.03.2014 |
|
LONG TERM
BORROWING |
|
|
|
Long term maturities of finance lease obligations |
1.300 |
7.700 |
|
Total |
1.300 |
7.700 |
INDEX
OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE CREATION/MODIFICATION |
CHARGE AMOUNT SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST NUMBER (SRN) |
|
1 |
90230039 |
07/02/2014 * |
405,000,000.00 |
HDFC BANK LIMITED |
HDFC BANK HOUSESENAPATI BAPAT MARG, LOWER PAREL W, MUMBAI, MAHARASHTRA - 400013, INDIA |
B97666473 |
|
2 |
90234674 |
15/09/2000 * |
9,600,000.00 |
BANK OF BARODA |
SIR P. M. ROAD BRANCH, P. B. NO. 1297, MUMBAI, MA |
- |
|
3 |
90232746 |
20/11/2000 * |
210,000,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH, JUSTICE G. N. V. MARG, BOMBAY, |
- |
|
4 |
90090825 |
24/11/1998 |
5,000,000.00 |
SYNDICATE BANK |
CHINCHWAL BRANCH, CHINCHWAL, MAHARASHTRA - 411019, INDIA |
- |
|
5 |
90234278 |
09/12/1996 * |
77,200,000.00 |
IDBI |
IDBI TOWER, CUFFE PARADE, BOMBAY, MAHARASHTRA - 400005, INDIA |
- |
|
6 |
90234206 |
01/02/1996 |
30,000,000.00 |
ABN AMRO BANK |
14; V. N. ROAD, BOMBAY, MAHARASHTRA - 400023, INDIA |
- |
|
7 |
90234187 |
15/12/1995 |
83,800,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH, JUSTICE G. N. V. MARG, BOMBAY, |
- |
|
8 |
90234186 |
14/12/1995 |
8,500,000.00 |
STATE BANK OF TRAVANCORE |
BOMBAY MAIN BRANCH, NARIMAN POINT, BOMBAY, MAHARA |
- |
|
9 |
90234184 |
28/11/1995 * |
17,500,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH, JUSTICE G. N. V. MARG, BOMBAY, |
- |
|
10 |
90234174 |
08/11/1995 |
12,200,000.00 |
STATE BANK OF INDIA |
COMMERCIAL BRANCH, J. G. N. VAIDYA MARG, BOMBAY, |
- |
* Date of charge modification
CONTINGENT
LIABILITIES:
(Rs. in million)
|
PARTICULARS |
31.03.2014 |
31.03.2013 |
|
Disputed Sales Tax as the matters are in appeal (advance paid Rs.31 Million; Previous Year Rs.2.700 Million) |
28.700 |
27.900 |
|
Disputed Excise duties as the matters are in appeal (advance paid Rs.0.200 Million; previous Year Rs.0.200 Million) |
11.500 |
12.300 |
|
On account of bills discounted by the Company |
2.700 |
22.200 |
|
Bonds / Undertakings given by the Company under Concessional duty / exemption scheme / Waiver of penalty to Customs Authorities. |
9.600 |
9.000 |
|
Standby Letter of Credit issued to Bank Hapoalim Limited / HDFC Bank Limited.- Hongkong for loans drawn / to be drawn by a subsidiary |
0.000 |
7.300 |
|
Other matters |
15.200 |
11.000 |
|
Total |
67.700 |
89.700 |
FIXED ASSETS
Tangible Assets
- Land
- Buildings
- Plant and Machinery
- Electrical Installations
- Furniture and Fixtures
- Office Equipment’s
- Vehicles
- Plant and Machinery
- Air Conditioners
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, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners, controlling
shareholders or senior officers as terrorist or terrorist organization or whom
notice had been received that all financial transactions involving their assets
have been blocked or convicted, found guilty or against whom a judgement or
order had been entered in a proceedings for violating money-laundering,
anti-corruption or bribery or international economic or anti-terrorism sanction
laws or whose assets were seized, blocked, frozen or ordered forfeited for
violation of money laundering or international anti-terrorism laws.
2] Court Declaration :
No exist to suggest that subject is or was
the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.66.35 |
|
UK Pound |
1 |
Rs.100.66 |
|
Euro |
1 |
Rs.70.47 |
INFORMATION DETAILS
|
Information
Gathered by : |
NYA |
|
|
|
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
GEET |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
8 |
|
PAID-UP CAPITAL |
1~10 |
8 |
|
OPERATING SCALE |
1~10 |
8 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
8 |
|
--PROFITABILITY |
1~10 |
8 |
|
--LIQUIDITY |
1~10 |
8 |
|
--LEVERAGE |
1~10 |
8 |
|
--RESERVES |
1~10 |
8 |
|
--CREDIT LINES |
1~10 |
8 |
|
--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 |
|
72 |
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 |
|
ss |
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.