MIRA INFORM REPORT
|
Report No. : |
344839 |
|
Report Date : |
23.10.2015 |
IDENTIFICATION DETAILS
|
Name : |
CORDS CABLE INDUSTRIES LIMITED |
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|
|
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Registered
Office : |
B-1/ A-26, Mohan Cooperative Industrial Estate, Mathura Road, New Delhi - 110044 |
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Tel. No.: |
91-11-40551200 |
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Country : |
India |
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Financials (as
on) : |
31.03.2015 |
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Date of
Incorporation : |
21.10.1991 |
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Com. Reg. No.: |
55-046092 |
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Capital
Investment / Paid-up Capital : |
Rs.130.278 Million |
|
|
|
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CIN No.: [Company Identification
No.] |
L74999DL1991PLC046092 |
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IEC No.: |
Not Available |
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TAN No.: [Tax Deduction &
Collection Account No.] |
DELC06369G |
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|
|
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PAN No.: [Permanent Account No.] |
AAACC0519K |
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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
: |
The company
manufactures and develops a wide range of specialized cables to address the
specific requirements of industries involving modern process technologies,
instrumentation and communication demanding the highest standards of
precisions and reliability with assured quality and safety standards. |
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|
|
|
No. of Employees
: |
500 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (45) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal commitments. |
Satisfactory |
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Maximum Credit Limit : |
USD 3100000 |
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Status : |
Satisfactory |
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Payment Behaviour : |
Usually correct |
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Litigation : |
Exist |
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Comments : |
Subject was incorporated in October 1991 as “Cords Cable Industries
Private Limited”, which was later converted into a public limited company in
May 2006. It is engaged in the business of designing, manufacturing and
marketing of cables which find application across industries, viz, power,
steel cement, real – estate, railways, amongst others. The company possesses a decent profile marked by decent networth base
along with fair liquidity. The rating continue to derive strength from the experience of the
promoters in the cable industry, long track record of operations of Cords
Cable Industries Limited, established position in the control and
instrumentation market with diversified and reputed clientele. Trade relations are reported to be fair. Business is active. Payment
terms are reported to be usually correct. The company can be considered for business dealings at usual trade
terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
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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 : BBB |
|
Rating Explanation |
Have moderate degree of safety and carry moderate credit risk. |
|
Date |
08.09.2014 |
|
Rating Agency Name |
CARE |
|
Rating |
Short Term Bank Facilities : A3 |
|
Rating Explanation |
Have moderate degree of safety and carry higher credit risk. |
|
Date |
08.09.2014 |
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
31-03-2015.
INFORMATION PARTED BY
|
Name : |
Mr. Manoj Kumar Gupta |
|
Designation : |
Chief Finanical Officer |
|
Contact No.: |
91-11-40551200 |
|
Date : |
10.10.2015 |
LOCATIONS
|
Registered Office / Head Office : |
B-1/ A-26, Mohan Cooperative Industrial Estate, Mathura Road, New Delhi – 110044, India |
|
Tel. No.: |
91-11-40551200 |
|
Fax No.: |
91-11-26951196 / 26951731 |
|
E-Mail : |
csco@cordscable.com [For
Investor] |
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Website : |
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Factory 1 : |
Existing Plat : A-525,
E-518 - 520, Industrial Area Chopanki, Bhiwadi, District Alwar – 301019,
Rajasthan, India |
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Factory 2 : |
Proposed Plant :
SP-239, 240 and 241, Industrial Area Kahrani, Bhiwadi Extension,
District Alwar, – 301019, Rajasthan, India |
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Regional Offices : |
Located At : ·
Mumbai ·
Hyderabad ·
Kolkata |
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Overseas Office : |
Located At : · Oman · UAE · Bahrain |
DIRECTORS
AS ON 31.03.2015
|
Name : |
Mr. Naveen Sawhney |
|
Designation : |
Managing Director |
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|
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|
Name : |
Mr. Sanjeev Kumar |
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Designation : |
Whole Time Director |
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|
Name : |
Mr. Vijay Kumar |
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Designation : |
Non -Executive Director |
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Name : |
Mr. Vimal Dev Monga |
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Designation : |
Non -Executive Director |
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Name : |
Mrs. Asha Bhandari |
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Designation : |
Non -Executive Director |
KEY EXECUTIVES
|
Name : |
Mr. Vinod Kumar Beri |
|
Designation : |
Chief Executive Officer |
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|
Name : |
Mr. Varun Sawhney |
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Designation : |
Vice President (Marketing, HR & IT) |
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|
Name : |
Mr. Gaurav Sawhney |
|
Designation : |
Vice President (Finance and Banking) |
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Name : |
Mr. Hemant Kumar Pandita |
|
Designation : |
Vice President (Marketing) |
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|
Name : |
Mr. Manoj Kumar Gupta |
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Designation : |
CFO & General Manager (Finance & Accounts) |
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|
Name : |
Mr. Anil Gupta |
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Designation : |
General Manager (Technical) |
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|
Name : |
Ms. Garima Pant |
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Designation : |
Company Secretary |
SHAREHOLDING PATTERN
AS ON 30.06.2015
|
Category of Shareholder |
Total No. of Shares |
Total Shareholding as a % of Total No. of Shares |
|
|
||
|
(A) Shareholding of
Promoter and Promoter Group |
||
|
|
|
|
|
|
6646438 |
58.16 |
|
|
6646438 |
58.16 |
|
|
|
|
|
Total shareholding of
Promoter and Promoter Group (A) |
6646438 |
58.16 |
|
|
|
|
|
(B) Public Shareholding |
||
|
|
|
|
|
|
12695 |
0.11 |
|
|
12695 |
0.11 |
|
|
|
|
|
|
522787 |
4.57 |
|
|
|
|
|
Individual shareholders
holding nominal share capital up to Rs. 0.100 Million |
2585995 |
22.63 |
|
Individual shareholders
holding nominal share capital in excess of Rs. 0.100 Million |
1520275 |
13.30 |
|
|
139590 |
1.22 |
|
|
92513 |
0.81 |
|
|
47077 |
0.41 |
|
|
4768647 |
41.73 |
|
Total Public shareholding
(B) |
4781342 |
41.84 |
|
|
|
|
|
Total (A)+(B) |
11427780 |
100.00 |
|
|
|
|
|
(C) Shares held by
Custodians and against which Depository Receipts have been issued |
|
|
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total (A)+(B)+(C) |
11427780 |
0.00 |
BUSINESS DETAILS
|
Line of Business : |
The company
manufactures and develops a wide range of specialized cables to address the specific
requirements of industries involving modern process technologies,
instrumentation and communication demanding the highest standards of
precisions and reliability with assured quality and safety standards. |
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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 : |
Finished Goods |
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Countries : |
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Imports : |
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Products : |
Raw Materials |
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Countries : |
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Terms : |
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Selling : |
Cash, L/C and Credit |
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Purchasing : |
Cash, L/C and Credit |
PRODUCTION STATUS : NOT AVAILABLE
GENERAL INFORMATION
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Suppliers : |
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Customers : |
Wholesalers, Retailers and End Users
BHEL |
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No. of Employees : |
500 (Approximately) |
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Bankers : |
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Facilities : |
NOTE Long-term
Borrowings Term Loans from Banks and others referred above are secured by way of first charge on entire movabale fixed assets and equitable mortgage Factory land and Building and Plant and Machinery and other fixed assets. Vehicle loans are secured by way of hypothecation of vehicles. Maturity Profile of long term borrowings are as below:
Short Term
Borrowings Working Capital loans along with non-fund based facilities from banks are secured by way of hypothecation of present and future stock of raw materials, work-in-process, finished goods, book debts as first charge which ranks Pari-passu amongst Bankers and by way of First and Second charge on the immovable and movable assets of the company by respective banks and pledge of FDR Rs.35.241 Million. |
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Auditors : |
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|
Name : |
Sharma Goel and Company LLP Chartered Accountants |
|
Address : |
New Delhi, India |
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Memberships : |
Not Available |
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Collaborators : |
Not Available |
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Associates/Subsidiaries : |
Not Available |
CAPITAL STRUCTURE
AS ON 31.03.2015
Authorised Capital:
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1,20,00,000 |
Equity Shares |
Rs.10/- each |
Rs.120.000 Million |
|
3,60,000 |
Non-Convertible Cumulative Preference Share |
Rs.100/- each |
Rs.36.000 Million |
|
|
|
|
|
|
|
Total |
|
Rs.156.000
Million |
Issued, Subscribed & Paid-up Capital:
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1,14,27,780 |
Equity Shares |
Rs.10/- each |
Rs.114.278 Million |
|
1,60,000 |
Non-Convertible Cumulative Preference Share |
Rs.100/- each |
Rs.16.000 Million |
|
|
|
|
|
|
|
Total |
|
Rs.130.278 Million |
Terms/rights attached
to Equity Shares
The company has only one class of equity shares having a face value of Rs. 10 (Rupees Ten) per share. Each holder of equity shares is entitled to one vote per share. In the event of liquidation of the company, the holders of equity shares will be entitled to received remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders. In the event of distributing dividends by the company and winding up, the preference shareholders will be preferred over the equity shareholders. They do not have any voting rights except for in the conditions mentioned in the Companies Act, 2013.
Terms/rights attached
to Preference Shares
During the year March, 2012, the Company has issued and allotted 1,60,000 Non-Convertible, Cumulative, Redeemable Preference Shares of Rs.100/- each fully paid to Promoters. These Shares carry Dividend rate @10% (Ten Percent) Per Annum and voting rights of these shares are limited to matters which directly affect the rights of Preference Shareholders. The said Preference Shares shall have tenure of 5 (Five) years, however the company, reserve the right to recall the shares after a period of 2 (Two) years or at any suitable tenure giving not less than 6 (Six) months previous notice in writing to shareholders to redeem these shares. These shares are not listed on any stock exchange.
Authorised Share
Capital
During the year March 31,2012, the authorised share capital has been increased from Rs. 120.000 Million divided into 12.000 Million Equity Shares of Rs.10 (Rupee Ten) each to Rs.140.000 Million divided into 12.000 Million Equity Shares of Rs.10 (Rupee Ten) each and 0.200 Million Non-Convertible, Cumulative, Redeemable Preference Shares of Rs. 100 (Rupees Hundred) each at the Annual General Meeting of the Company held on September 26, 2011. During the year March 31,2013 the authorized share capital has been increased from Rs.14,00,00,000 (Rupees Fourteen Crores) divided into 12.000 Million Equity Shares of Rs.10 (Rupee Ten) each and 0.200 Million Non-Convertible, Cumulative, Redeemable Preference Shares of Rs. 100 (Rupees Hundred) each to Rs.156.000 Million divided into 12.000 Million Equity Shares of Rs.10 (Rupee Ten) each and 0.360 Million Non-Convertible, Cumulative, Redeemable Preference Shares of Rs. 100 (Rupees Hundred) each in the Annual General Meeting of the Company held on September 26, 2012.
The Reconciliation of number of shares and amount outstanding at the
beginning and at the end of the year:
Equity Share
|
|
As at 31.03.2015 |
|
|
Particulars |
No. of Shares |
Amount |
|
Equity Shares at the beginning of the year |
1,14,27,780 |
114.278 |
|
Add: Equity Shares issued during the year |
- |
- |
|
Equity Share at the
End of the year |
1,14,27,780 |
114.278 |
Preference Share
|
|
As at 31.03.2015 |
|
|
Particulars |
No. of Shares |
Amount |
|
Preference Shares at the beginning of the year |
1,60,000 |
16.000 |
|
Add : Preference Share Issued during the Year |
-- |
-- |
|
Preference Share at
the end of the year |
1,60,000 |
16.000 |
The Details of shareholders holding more than 5% shares:
|
Equity Shares |
As at 31.03.2015 |
|
|
Name of Shareholder |
No. of Shares |
% held |
|
Naveen Sawhney |
27,24,849 |
23.84 |
|
Devender Kumar Prashar |
27,86,044 |
24.38 |
|
|
|
|
|
Preference Shares |
|
|
|
Naveen Sawhney |
80,000 |
50 |
|
Devender Kumar Prashar |
80,000 |
50 |
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 |
130.278 |
130.278 |
130.278 |
|
(b) Reserves &
Surplus |
956.480 |
935.491 |
917.018 |
|
(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) |
1086.758 |
1065.769 |
1047.296 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term borrowings |
91.584 |
156.707 |
230.074 |
|
(b) Deferred tax
liabilities (Net) |
74.816 |
69.780 |
59.94 |
|
(c) Other long term
liabilities |
16.585 |
18.889 |
22.376 |
|
(d) long-term provisions |
9.530 |
10.333 |
9.482 |
|
Total Non-current
Liabilities (3) |
192.515 |
255.709 |
321.872 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
525.321 |
493.516 |
481.567 |
|
(b) Trade payables |
922.633 |
902.989 |
863.998 |
|
(c) Other current liabilities |
105.139 |
102.690 |
160.988 |
|
(d) Short-term provisions |
5.141 |
4.914 |
9.37 |
|
Total Current Liabilities
(4) |
1558.234 |
1504.109 |
1515.923 |
|
|
|
|
|
|
TOTAL |
2837.507 |
2825.587 |
2885.091 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
994.066 |
1041.882 |
1087.124 |
|
(ii) Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii) Capital
work-in-progress |
7.198 |
7.015 |
6.447 |
|
(iv) Intangible assets
under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current
Investments |
0.000 |
0.000 |
0.000 |
|
(c) Deferred tax assets
(net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
29.570 |
27.816 |
20.613 |
|
(e) Other Non-current
assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
1030.834 |
1076.713 |
1114.184 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
1.936 |
0.460 |
0.080 |
|
(b) Inventories |
475.238 |
452.034 |
518.276 |
|
(c) Trade receivables |
866.319 |
838.694 |
828.212 |
|
(d) Cash and cash
equivalents |
171.776 |
180.071 |
160.511 |
|
(e) Short-term loans and
advances |
254.169 |
220.983 |
215.315 |
|
(f) Other current assets |
37.235 |
56.632 |
48.513 |
|
Total Current Assets |
1806.673 |
1748.874 |
1770.907 |
|
|
|
|
|
|
TOTAL |
2837.507 |
2825.587 |
2885.091 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
|
SALES |
|
|
|
|
|
Income |
2650.269 |
2629.924 |
3854.354 |
|
|
Other Income |
19.147 |
18.553 |
17.064 |
|
|
TOTAL |
2669.416 |
2648.477 |
3871.418 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials
Consumed |
2097.392 |
1965.276 |
3114.724 |
|
|
Purchases of Stock-in-Trade |
0.000 |
0.000 |
0.000 |
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
(56.545) |
73.466 |
(42.614) |
|
|
Employees benefits
expense |
147.435 |
142.336 |
162.872 |
|
|
Other expenses |
189.140 |
190.703 |
236.000 |
|
|
TOTAL |
2377.422 |
2371.781 |
3470.982 |
|
|
|
|
|
|
|
Less |
PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND
AMORTISATION |
291.994 |
276.696 |
400.436 |
|
|
|
|
|
|
|
Less |
FINANCIAL EXPENSES |
199.868 |
196.592 |
226.425 |
|
|
|
|
|
|
|
|
PROFIT / (LOSS) BEFORE
TAX, DEPRECIATION AND AMORTISATION |
92.126 |
80.104 |
174.011 |
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
54.113 |
49.919 |
84.004 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) BEFORE TAX |
38.013 |
30.185 |
90.007 |
|
|
|
|
|
|
|
Less |
TAX |
10.993 |
9.840 |
29.199 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) AFTER TAX
|
27.020 |
20.345 |
60.808 |
|
|
|
|
|
|
|
Add |
PREVIOUS YEARS’ BALANCE BROUGHT
FORWARD |
453.357 |
438.995 |
380.059 |
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
Transfer
to General Reserve |
0.000 |
0.000 |
0.000 |
|
|
Proposed Dividend (Preference
Dividend) |
1.600 |
1.600 |
1.600 |
|
|
Corporate Dividend Tax |
0.320 |
0.272 |
0.272 |
|
|
|
|
|
|
|
|
Balance Carried to the
B/S |
478.457 |
453.357 |
438.995 |
|
|
|
|
|
|
|
|
EARNINGS IN FOREIGN
CURRENCY |
|
|
|
|
|
F.O.B. Value of Exports |
27.739 |
68.439 |
290.783 |
|
|
TOTAL EARNINGS |
27.739 |
68.439 |
290.783 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Raw Materials |
100.885 |
243.499 |
168.113 |
|
|
TOTAL IMPORTS |
100.885 |
243.499 |
168.113 |
|
|
|
|
|
|
|
|
Earnings / (Loss) Per Share
(Rs.) |
2.20 |
1.62 |
5.16 |
CURRENT MATURITIES
OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Current maturities of long term debts |
64.934 |
73.414 |
116.561 |
|
Cash generation from operating activities |
231.198 |
326.506 |
403.860 |
|
Net cash generation from operating activities |
225.198 |
318.182 |
381.201 |
QUARTERLY RESULTS
|
PARTICULARS |
|
|
30.06.2015 (Unaudited) |
|
Unaudited |
|
|
1st Quarter |
|
Net Sales |
|
|
594.940 |
|
Total Expenditure |
|
|
532.640 |
|
PBIDT (Excl OI) |
|
|
62.300 |
|
Other Income |
|
|
4.860 |
|
Operating Profit |
|
|
67.160 |
|
Interest |
|
|
46.720 |
|
Exceptional Items |
|
|
NA |
|
PBDT |
|
|
20.440 |
|
Depreciation |
|
|
13.590 |
|
Profit Before Tax |
|
|
6.850 |
|
Tax |
|
|
2.260 |
|
Provisions and contingencies |
|
|
NA |
|
Profit After Tax |
|
|
4.580 |
|
Extraordinary Items |
|
|
NA |
|
Prior Period Expenses |
|
|
NA |
|
Other Adjustments |
|
|
NA |
|
Net Profit |
|
|
4.580 |
KEY
RATIOS
|
PARTICULARS |
|
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Net Profit Margin (PAT / Sales) |
(%) |
1.02 |
0.77 |
1.58 |
|
|
|
|
|
|
|
Operating Profit Margin (PBIDT/Sales) |
(%) |
11.02 |
10.52 |
10.39 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
1.34 |
1.07 |
3.13 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.03 |
0.03 |
0.09 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
0.63 |
0.68 |
0.79 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.16 |
1.16 |
1.17 |
STOCK
PRICES
|
Face Value |
Rs.10/- |
|
Market Value |
Rs.35.40/- |
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 |
130.278 |
130.278 |
130.278 |
|
Reserves & Surplus |
917.018 |
935.491 |
956.480 |
|
Share Application money
pending allotment |
0.000 |
0.000 |
0.000 |
|
Net worth |
1047.296 |
1065.769 |
1086.758 |
|
|
|
|
|
|
long-term borrowings |
230.074 |
156.707 |
91.584 |
|
Short term borrowings |
481.567 |
493.516 |
525.321 |
|
Current
maturities of long term debts |
116.561 |
73.414 |
64.934 |
|
Total borrowings |
828.202 |
723.637 |
681.839 |
|
Debt/Equity ratio |
0.791 |
0.679 |
0.627 |
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 |
3854.354 |
2629.924 |
2650.269 |
|
|
|
(31.767) |
0.774 |
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 |
3854.354 |
2629.924 |
2650.269 |
|
Profit |
60.808 |
20.345 |
27.020 |
|
|
1.58% |
0.77% |
1.02% |
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 |
No |
|
10 |
Date of Birth of Proprietor / Partners /
Directors |
No |
|
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 |
No |
|
18 |
Major suppliers |
Yes |
|
19 |
Major customers |
Yes |
|
20 |
Banking Details |
Yes |
|
21 |
Banking facility details |
Yes |
|
22 |
Conduct of the banking account |
-- |
|
23 |
Financials, if provided |
Yes |
|
24 |
Capital in the business |
Yes |
|
25 |
Last accounts filed at ROC, if applicable |
Yes |
|
26 |
Turnover of firm for last three years |
Yes |
|
27 |
Reasons for variation <> 20% |
-- |
|
28 |
Estimation for coming financial year |
No |
|
29 |
Profitability for last three years |
Yes |
|
30 |
Major shareholders, if available |
Yes |
|
31 |
External Agency Rating, if available |
Yes |
|
32 |
Litigations that the firm/promoter
involved in |
Yes |
|
33 |
Market information |
--- |
|
34 |
Payments terms |
Yes |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
LITIGATION DETAILS
|
$~14 * IN THE HIGH COURT OF DELHI AT NEW DELHI + CS(OS) 2833/2011 ERA BUILDSYS LIMITED ..... Plaintiff Through Mr. Vineet Tayal, Advocate Versus CORDS CABLE INDUSTRIES LIMITED..... Defendant Through Mr. Praveen K. Mittal and Mr. Benu Gunjan Jha,
Advocates CORAM: SH. RAJESH KUMAR SINGH (DHJS), JOINT REGISTRAR O R D E R % 17.07.2015 Matter is mentioned by learned counsel for parties in the pre lunch session and it is submitted that considering the heavy cause list for today in the post lunch session, the matter may be adjourned, if it would not be possible to complete the examination of PW1 today. There are seven matters listed today in the post lunch session and it would not be possible to complete the cross examination of PW1 today. Matter is adjourned to 28th August, 2015 for PE. Matter will be taken up in the pre lunch session on the next date. RAJESH KUMAR SINGH (DHJS) JOINT REGISTRAR JULY 17, 2015 ms |
CONTINGENT
LIABILITIES:
|
PARTICULARS |
31.03.2015 (Rs.
in Million) |
31.03.2014 (Rs.
in Million) |
|
Guarantees issued by Bankers * |
798.717 |
908.339 |
|
L/C’s negotiated by bank |
92.933 |
132.551 |
|
In respect of Bill factored from banks/Factoring agency |
148.316 |
121.988 |
|
*Bank Guaranties includes BG’s amounting to Rs 369.560 Million (PY 364.560 Million) extended to Raw Materials suppliers for credit period extended to company and the same is accounted for in sundry creditors. |
||
COMPANY’S
PERFORMANCE/STATE OF COMPANY’S AFFAIRS
During the year, the company’s total revenue stood at Rs. 2669.416 Million as against Rs. 2648.477 Million in the previous year. The Company earned profit before interest, tax and depreciation of Rs. 291.994 Million as against a PBITDA of Rs. 276.696 Million in the previous year. The interest cost was Rs. 199.868 Million as against Rs. 196.592 Million in the previous year.
The company earned profit after tax for the year of Rs. 27.020 Million as against a PAT of Rs. 20.345 Million earned in the previous year. Even though your company witnessed a jump in its Profits in FY’14-15 visa- vis FY’13-14, yet the company earned inadequate profits in the fiscal in respect of the remuneration payable to its managerial person(s). Major reason for earning inadequate profits in the year had been the inability of the company in producing the desirable projected volumes in the fiscal due to which its revenues saw a growth of just under 1% in FY’14-15.
The Company has been earning profits in its operations since inception. However, the overall economy as a whole affected the profitability of the Company. Also, general worldwide economic slowdown had also adversely resulted in inadequate profits during the financial year 2014-15. During past few years due to overall adverse economic environment around the country, the investments in new projects were put on hold by most of the companies. The increase in the net sales was not at par with the expectations marginally due to lower realizations, delayed and slow pick-up of the finished goods by the customers and consequently the profits were further impacted. Nevertheless since the Company is engaged in cable manufacturing products used in projects hence demand is likely to increase significantly as Government of India has focused again on infra projects and approvals and investments in new projects will entail higher turnover of the Company which will ultimately increase the profitability of the Company. Also, the company has been continuously working upon achieving better efficiencies, cutting costs at every stage of production, better preventive maintenance, making product mix having higher contribution and achieving higher production so that the company can achieve the scale of economy and maintain higher margin of profit. Expectation of the company in terms of increase in its profits is in line with the increase in its activity and market penetration in the potentially improving macroeconomic scenario in
the country. Further, interest rates are likely to soften in near future and your company is expected to save significantly on its interest outgoes. Additionally, with the ongoing repayment of term loans availed for project financing, the company is expected to save on its financial expenses.
Newly added
prestigious export/domestic clients
No major push in project implementation and new projects in the country were witnessed in the FY 2014-15 and thus as such there may have not been any major impact on the order booking and execution for cable industry per-se in the FY 2014-15.
However, the company, being a leading manufacturer of Control and Instrumentation cables in the country has been sailing well through a very competitive market and has been successful in achieving sales revenue of over Rs. 2650.000 Million with a profit after tax of over Rs. 27.000 Million as for FY’14-15.
The company has also been successful in booking orders from new EPC contractors like Bombardier, Welspun, GE, ABB Global, Alstom Transport etc. and has also been able to maintain sustainable order booking and sales revenues from existing customers like L&T, Siemens, EIL, NTPC, BHEL etc.
The Company is also envisaging developing projects for use in freight corridor, smart city, railway signalling and protection system and infrastructure projects.
MANAGEMENT DISCUSSION
AND ANALYSIS
ECONOMIC OVERVIEW
GLOBAL : Global growth will improve slightly, but continue at only a moderate level The global economy continued to expand at only a moderate estimated pace of 2.6 per cent in 2014. Recovery was hampered by some new challenges, including a number of unexpected shocks, such as the heightened geopolitical conflicts in different parts of the world. Most economies have seen a shift in gross domestic product (GDP) growth to a noticeably lower path compared to pre-crisis levels, raising the specter of longer-term mediocre economic growth. In the developed economies, although some improvements are forecast for 2015 and 2016, significant downside risks persist, especially in the euro area and Japan. Growth rates in developing countries and economies in transition have become more divergent during 2014, with a sharp deceleration in a number of large emerging economies, particularly in Latin America and the Commonwealth of Independent States (CIS). A number of these economies have encountered various country-specific challenges, including structural imbalances and geopolitical tensions. In the outlook period, the global economy is expected to expand at a slightly faster but still only moderate pace, with world gross product (WGP) projected to grow by 3.1 and 3.3 per cent in 2015 and 2016, respectively.
International trade and finance Primary commodity prices trend lower, while trade growth will increase slightly International prices of primary commodities have been on a downward trend in the past two years, and no measurable upturn is projected for 2015–2016. International prices of oil declined sharply in the second half of 2014 and are projected to continue softening in 2015–2016, as the growth of demand for oil is expected to remain weaker than the increase in supply of oil. Non-oil commodity prices have also been on a decreasing trend, although they still remain high relative to their long-term trend of the past decades. Trade growth has been sluggish in the past few years, due mainly to the slow and uneven recovery in major developed countries and the moderate growth in developing countries. World trade is estimated to have expanded by 3.4 per cent in 2014, still well below pre-crisis trends. In the forecast period, trade growth is expected to pick up moderately along with improvement in global output, with the volume of world imports of goods and services projected to grow by 4.7 per cent in 2015 and 5.0 per cent in 2016. However, this projection is subject to various risks, including the possible disruptive effects on trade flows of any increase in geopolitical tensions in some sub regions.
Net Private capital inflows to emerging economies have been on a moderate downturn since 2013, triggered by the tapering of the quantitative easing by the United States Federal Reserve, the deterioration in the growth prospects for these economies, and escalated geopolitical tensions. In 2014, net private inflows to this group of economies have declined, mainly because of capital flight from the Russian Federation amid a weakening economic situation and geopolitical strains. External borrowing costs continue to be relatively low for most emerging economies, but the risks for abrupt adjustments and increased volatility driven by changes in investor sentiment remain high. The outlook for capital inflows to emerging economies and developing countries remains moderately positive. Overall, net capital inflows are projected to stay at the same level in 2015 and slightly increase in 2016. But sudden shifts in investor sentiment due to geopolitical crises, the monetary policy change in the United States of America and a further divergence of the monetary policy stances of the major central banks might significantly affect portfolio flows. The divergence of monetary policy stances has already contributed to a significant strengthening of the dollar in the second half of 2014; a continuation of this trend could also underpin shifts in international trade patterns.
INDIA : The Indian Economy has overcome varied challenges in its resolve to sustain its economic success. The major challenges faced by Indian Economy are unsupportive external environment, domestic structural constraints, growth slowdown and inflationary pressure. The Economy has recorded a GDPgrowth of 7.8% for the fiscal year 2015-2016. The industry sector is estimated to grow by 6.5% in 2015- 2016 and the service sector by 10.3%.
According to Economic Outlook Survey, inflation is expected to ease somewhat compared to last year and the annual average CPI inflation rate is projected at 7.8% in financial year 2015. Further, the macroeconomic fundamentals are gradually strengthening and the overall health of the economy is set to improve going ahead. The confidence amongst investors is slowly returning and going ahead the momentum on implementation will build up.
Manufacturing sector has been one of the weakest links in India’s growth story. The share of the sector in Indian’s GDP has been around 15% on an average for almost three decades now. While the sector has merited attention in the government policies over the years, once again it was clearly highlighted that the government should seek to get the basics right to assure a more conducive environment for manufacturing activities, thereby focusing on to realise the vision of “Make in India”, inviting companies to come and invest in India.
For the Indian Economy, the outlook for the growth and price stability at this juncture looks more promising. There are signs from some high frequency indicators that the weakness in economic activity has bottomed out and a gradual upswing is imminent. With the change in Government, there is widespread optimism with regards to economic revival, with forecast for a discernible impact being felt only by 2015-2016.
INDUSTRY SCENARIO
Wire and Cable industry’s fate is closely linked to that of the industrial growth in general. Cables are crucial infrastructure backbone of an economy - the critical elements that wire up the length and breadth of the country. With the green shoots visible in with the expectation of a stable pro-reform, growth focused government at the centre and as per the indications available, the growth is expected to pick up slowly in the later part of the financial year provided improved governance and concerted action to resolve structural bottlenecks are effectively in place. Demand for cables is expected to improve further with the improvement in industrial growth. The Indian Wire and Cable industry offers lucrative scope for stable revenue streams to manufacturers of both specialised cables and power cables. The prospects of the Wire and Cable industry are interlinked with the health of other industries viz: power, telecom, railways, real estate, steel, cement, refineries, infrastructure etc., government’s procurement policies, strategic diversifications and switching over to integrated manufacturing. With the growth of other related industries, the Indian Wire and Cable industry is indeed bound to grow & prosper.
POWER
The power sector provides one of the most important inputs for the development of a country. Power sector is the biggest driver in the mainstay of cable demand, accounting for more than three-quarters of the market. Power is the core industry as it facilitates development in various sectors of the Indian Economy like agriculture, manufacturing, railways etc. It is considered that the growth of the economy is expected to boost the electricity demand in future. Also, there is a strong correlation between the GDP growth and increase in power generation capacity of an economy.
During the Period, India achieves lowest ever power deficit in India’s history – 3.6%, highest ever power capacity addition – 22,566 MW, highest ever increase in transmission line capacity – 22,100 circuit kilometres, highest ever increase in sub-station capacity – 66,554 MVA and highest ever coal production increase by Coal India – 32 million tons. Also power generation growth was highest in 20 years – 8.4%, coal production growth highest in 23 years – 8.3% and solar capacity increased by 42%.
Ministry of Power has approved the National Mission on Enhanced Energy Efficiency (NMEEE) in August 2014 with an outlay of Rs.775 crore. NMEEE covers - Perform, Achieve and Trade framework for energy efficiency in industrial units; Venture Capital Fund and Partial Risk Guarantee Fund for funding energy efficiency projects; and Super Efficient Electrical Appliances (SEEP).
The positive trend in the power sector is one of the most important catalysts for the wire and cable industry. Cables play a crucial part in all the three aspects of the power sector - generation, transmission and distribution. Therefore, the trend of wire and cable industry is to some extent dependent upon the power sector.
FINANCIAL REVIEW
Results of Operations During the year, Net Sales from Operations stood at Rs. 2650.270 Million, as against Rs. 2629.924 Million in FY’14.
The Operational Profit, before making provision for Interest, Depreciation and Amortization, stood at Rs. 272.847 Million for FY’15 as against Rs. 258.143 Million in FY’14. Thereby, the Profit After Tax during the year stood at Rs. 27.020 Million, as against Rs. 20.345 Million in the previous Financial Year’ 14.
Major reason for earning inadequate profits in the year had been the inability of the company in producing the
desirable projected volumes in the fiscal due to which its revenues saw a growth of just under 1% in FY’14-15.
The Company has been earning profits in its operations since inception. However, the overall economy as a whole affected the profitability of the Company. Also, general worldwide economic slowdown had also adversely resulted in inadequate profits during the financial year 2014-15. During past few years due to overall adverse economic environment around the country, the investments in new projects were put on hold by most of the companies. The increase in the net sales was not at par with the expectations marginally due to lower realizations, delayed and slow pick-up of the finished goods by the customers and consequently the profits were further impacted. Nevertheless since your Company is engaged in cable manufacturing products used in projects hence demand is likely to increase significantly as Government of India has focused again on infra projects and approvals and investments in new projects will entail higher turnover of the Company which will ultimately increase the profitability of the Company. Also, the company has been continuously working upon achieving better efficiencies, cutting costs at every stage of production, better preventive maintenance, making product mix having higher contribution and achieving higher production so that your company can achieve the scale of economy and maintain higher margin of profit. Expectation of your company in terms of increase in its profits is in line with the increase in its activity and market penetration in the potentially improving macroeconomic scenario in the country. Further, interest rates are likely to soften in near future and your company is expected to save significantly on its interest outgoes. Additionally, with the ongoing repayment of term loans availed for project financing, your company is expected to save on its financial expenses.
SEGMENTAL OVERVIEW
The company operates under a single product segment i.e. Cables. The company mainly focuses on specialized cables which differentiates it from other cable players in the country.
FUTURE OUTLOOK
The vision of CORDS is to be recognized as a leading global player, providing products and services, offering comprehensive solutions to the electrical and data connectivity requirements of businesses as well as household users. It focuses on capturing new markets by developing customers in new and existing territories, to provide new cables for special applications like solar, marine, low temperature cables, cables for automobiles etc.
COMPANY OVERVIEW
Subject was incorporated on October 21, 1991 as “Private Limited” and it was later converted into “Public Limited” on May 10, 2006. The Company manufactured or developed a wide range of specialized cables to address the specific requirements of industries involving modern process technologies, instrumentation & communication demanding the highest standards of precisions and reliability with assured quality and safety standards.
INDEX OF CHARGES
|
S. NO. |
CHARGE ID |
DATE OF CHARGE CREATION/MODIFICATION |
CHARGE AMOUNT SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST NUMBER (SRN) |
|
1 |
10472625 |
24/03/2015 * |
200,000,000.00 |
IDBI BANK LIMITED |
IDBI BANK LIMITED, IDBI TOWERWTC COMPLEX, CUFFE PARADE, MUMBAI – 400005, MAHARASHTRA, INDIA |
C53925103 |
|
2 |
10384483 |
10/10/2012 |
7,500,000.00 |
L & T FINANCE LIMITED |
L&T HOUSE, BALLARD ESTATE, MUMBAI - 400001, MAHARASHTRA , INDIA |
B61374690 |
|
3 |
10382695 |
28/09/2012 |
20,000,000.00 |
CANARA BANK |
L&T HOUSE, BALLARD ESTATE, MUMBAI - 400001, MAHARASHTRA , INDIA |
B60527470 |
|
4 |
10374385 |
06/09/2012 |
680,000.00 |
L & T FINANCE LIMITED |
L&T HOUSE, BALLARD ESTATE, MUMBAI - 400001, MAHARASHTRA , INDIA |
B57223950 |
|
5 |
10364488 |
09/07/2012 |
2,872,320.00 |
L & T FINANCE LIMITED |
L&T HOUSE, BALLARD ESTATE, MUMBAI - 400001, MAHARASHTRA , INDIA |
B43192343 |
|
6 |
10362823 |
21/06/2012 |
1,080,052.00 |
L & T FINANCE LIMITED |
L&T HOUSE, BALLARD ESTATE, MUMBAI - 400001, MAHARASHTRA , INDIA |
B42540948 |
|
7 |
10356489 |
11/04/2012 |
277,000.00 |
L & T FINANCE LIMITED |
L&T HOUSE, BALLARD ESTATE, MUMBAI - 400001, MAHARASHTRA , INDIA |
B39903968 |
|
8 |
10293818 |
28/06/2011 |
36,000,000.00 |
ICICI BANK LIMITED |
LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA - 390015, GUJARAT, INDIA |
B15622004 |
|
9 |
10289222 |
28/06/2011 * |
200,000,000.00 |
RAJASTHAN STATE
INDUSTRIAL DEVELOPMENT AND INVESTM |
UDYOG BHAWAN, TILAK MARG, JAIPUR - 302005, RAJASTHAN, INDIA |
B15872153 |
|
10 |
10270771 |
24/06/2014 * |
500,000,000.00 |
ICICI BANK LIMITED |
LANDMARKRACE COURCE CIRCLE, ALKAPURI, BARODA - 390015, GUJARAT, INDIA |
C09968025 |
* Date of charge modification
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER AND ENDED AS ON 30.06.2015
(Rs. in million)
|
|
|
Particulars |
|
Quarter Ended |
|
|
|
|
|
|
|
30.06.2015 |
|
|
|
|
|
|
Unaudited
|
|
1 |
Income from Operations |
|
|
|
|
|
|
|
Sales/Income from Operations (Gross) |
|
|
646.290 |
|
|
|
Less: Excise Duty |
|
|
51.350 |
|
|
a) Net Sales/Income from Operations (net of excise duty) |
|
|
594.940 |
|
|
|
b) Other Operating Income |
|
|
- |
|
|
|
Total Income from Operations (Net) |
|
|
594.940 |
|
|
2 |
Expenses |
|
|
|
|
|
|
a) |
Cost of Materials consumed |
|
|
465.108 |
|
|
b) |
Purchase of stock in-trade |
|
|
0.000 |
|
|
c) |
Changes in inventories of finished goods, work-in-progress and
stock-in-trade |
|
|
(9.865) |
|
|
d) |
Employee benefit expenses |
|
|
35.552 |
|
|
e) |
Depreciation and amortization expense |
|
|
13.594 |
|
|
f) |
Other
expenses |
|
|
41.845 |
|
|
Total Expenses |
|
|
546.234 |
|
|
3 |
|
Profit
/(Loss) from operations before other income, finance costs and exceptional
items (1-2) |
|
|
48.707 |
|
4 |
Other
Income |
|
|
4.861 |
|
|
5 |
|
Profit
/(Loss) from ordinary activities before finance costs and exceptional items
(3+4) |
|
|
53.568 |
|
6 |
Finance
Costs |
|
|
46.721 |
|
|
7 |
|
Profit
/(Loss) from ordinary activities after finance costs but before exceptional
items (5-6) |
|
|
6.847 |
|
8 |
Exceptional
Items |
|
|
-- |
|
|
9 |
Profit /(Loss) from ordinary activities
before tax |
|
|
6.847 |
|
|
10 |
Tax
Expense |
|
|
2.264 |
|
|
11 |
Net Profit /(Loss) from ordinary activities
after tax (9-10) |
|
|
4.583 |
|
|
12 |
Extraordinary
items (net of tax expense) |
|
|
-- |
|
|
13 |
Net Profit /(Loss) for the period (11-12) |
|
|
4.583 |
|
|
14 |
Paid up
equity share capital (Eq. shares of
Rs.10/- each) |
|
|
114.278 |
|
|
15 |
Reserve
excluding revaluation reserves |
|
|
|
|
|
16 |
|
Earnings
per share (before/after extraordinary items) of Rs.10/- each |
|
|
|
|
|
|
Basic |
|
|
0.36 |
|
|
|
Diluted |
|
|
0.36 |
|
|
|||||
|
A |
|
PARTICULARS
OF SHAREHOLDING |
|
|
|
|
1 |
|
Public Shareholding |
|
|
|
|
|
|
- No. of
Shares |
|
|
4781342 |
|
|
|
-
Percentage of Shareholding |
|
|
41.84 |
|
2 |
|
Promoters and promoter group shareholding |
|
|
|
|
|
|
a) Pledged/Encumbered |
|
|
|
|
|
|
- Number
of shares |
|
|
-- |
|
|
|
-
Percentage of shares ( as a % of the total shareholding of the promoter and
promoter group) |
|
|
-- |
|
|
|
-
Percentage of shares (as a % of the total share capital of the Company) |
|
|
-- |
|
|
|
b) Non-
encumbered |
|
|
|
|
|
|
- Number
of shares |
|
|
6646438 |
|
|
|
- Percentage
of shares ( as a % of the total shareholding of the promoter and promoter
group) |
|
|
100.00 |
|
|
|
-
Percentage of shares (as a % of the total share capital of the Company) |
|
|
58.16 |
|
|
Particulars |
Quarter
ended 30.06.2015 |
|
|
B |
|
Investor
Complaints |
|
|
|
|
Pending at
the beginning of the quarter |
0 |
|
|
|
Received
during the quarter |
0 |
|
|
|
Disposed
during the quarter |
0 |
|
|
|
Remaining
unresolved at the end of the quarter |
0 |
NOTE
1. The above results, as reviewed by the Audit Committee, have been taken on record by the Board of Directors of the Company at its meeting held on 14th August, 2015 and a limited review of the same has been carried out by the Statutory Auditors of the Company.
2. The Company operates in one segment only.
3. Figures of the previous quarters/year have been regrouped and/or reclassified wherever considered necessary.
4. The Company does not have any Exceptional or Extraordinary item to report for the above periods.
FIXED ASSETS:
· Land
· Building
· Plant and Machinery
· Tools and Instrument
· Generator
· Office Equipments
· Computer
· Furniture and Fixture
·
Vehicles
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners, controlling
shareholders or senior officers as terrorist or terrorist organization or whom
notice had been received that all financial transactions involving their assets
have been blocked or convicted, found guilty or against whom a judgement or
order had been entered in a proceedings for violating money-laundering,
anti-corruption or bribery or international economic or anti-terrorism sanction
laws or whose assets were seized, blocked, frozen or ordered forfeited for
violation of money laundering or international anti-terrorism laws.
2] Court Declaration :
No 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 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.65.15 |
|
|
1 |
Rs.100.53 |
|
Euro |
1 |
Rs.73.97 |
INFORMATION DETAILS
|
Information
Gathered by : |
PRT |
|
|
|
|
Analysis Done by
: |
RAS |
|
|
|
|
Report Prepared
by : |
SNT |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
5 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILITY |
1~10 |
4 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
5 |
|
--CREDIT LINES |
1~10 |
5 |
|
--MARGINS |
-5~5 |
---- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
YES |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
45 |
This score serves as a reference to assess SC’s
credit risk and to set the amount of credit to be extended. It is calculated
from a composite of weighted scores obtained from each of the major sections of
this report. The assessed factors and their relative weights (as indicated
through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively below
average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.