MIRA INFORM REPORT
|
Report No. : |
346342 |
|
Report Date : |
24.10.2015 |
IDENTIFICATION DETAILS
|
Name : |
PEARL GLOBAL INDUSTRIES LIMITED |
|
|
|
|
Registered Office
: |
A-3, Community Center, Naraina Industrial Area, Phase – II, New Delhi
– 110028 |
|
Tel. No.: |
91-11-46001000 |
|
|
|
|
Country : |
India |
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|
|
|
Financials (as
on) : |
31.03.2015 |
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|
|
Date of
Incorporation : |
05.07.1989 |
|
|
|
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Com. Reg. No.: |
55-036849 |
|
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|
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Capital
Investment / Paid-up Capital : |
Rs. 216.639 Million |
|
|
|
|
CIN No.: [Company Identification
No.] |
L74899DL1989PLC036849 |
|
|
|
|
IEC No.: |
Not Available |
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|
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|
TAN No.: [Tax Deduction & Collection
Account No.] |
Not Available |
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|
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PAN No.: [Permanent Account No.] |
Not Available |
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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
and Exporter of Readymade Garments. |
|
|
|
|
No. of Employees
: |
1230 (Approximately) |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (50) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Maximum Credit Limit : |
USD 8225800 |
|
|
|
|
Status : |
Satisfactory |
|
|
|
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Payment Behaviour : |
Usually Correct |
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Litigation : |
Clear |
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|
Comments : |
Subject is an established company incorporated in the year 1989 and
has satisfactory track. The rating takes into consideration healthy financial risk profile of
the company marked by decent networth base along with comfortable debt level
in FY15. The company has reported marginal decrease in its sales turnover and
its revenue base and has thin profit margin. However, the rating also considered established brand, strong
financial condition and global network of the company. Trade relations are fair. Business is active. Payment terms are
reported to be usually correct. In view of long track record of business operations, the company can
be considered for business dealings with usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CRISIL |
|
Rating |
Long Term Rating=BBB |
|
Rating Explanation |
Moderate degree of safety and moderate
credit risk |
|
Date |
24.08.2015 |
|
|
|
|
Rating Agency Name |
CRISIL |
|
Rating |
Short Term Rating=A3+ |
|
Rating Explanation |
Moderate degree of safety and higher credit
risk |
|
Date |
24.08.2015 |
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 DECLINED
MANAGEMENT NON-COOPERATIVE
(Contact No: 91-11-46001000)
LOCATIONS
|
Registered Office : |
A-3, Community Center, Naraina Industrial Area, Phase – II, New Delhi
– 110028, India |
|
Tel. No.: |
91-11-46001000 |
|
Fax No.: |
Not Available |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate
Office 1: |
Plot
No.51,Sector-32, Gurgaon-122001, Haryana, India |
|
Tel. No.: |
91-124-4651714/ 4651000 |
|
Fax No.: |
91-124-4651010 |
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|
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Corporate Office 2/ Plant 1 : |
446, Udyog Vihar, Phase-V, Gurgaon – 122016, Haryana, India |
|
Tel. No.: |
91-124-4651000 |
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Fax No.: |
91-124-4651173 |
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Plant 2 : |
751, Pace City II, Sector 37, Khandsa, Gurgaon - 122 004, Haryana,
India |
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Plant 3 : |
16-17, Udyog Vihar, Phase VI, Khandsa, Gurgaon - 122 004, Haryana,
India |
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Plant 4 : |
Plot
No.73,Udyog Vihar,Phase-I, Gurgaon - 122016, Haryana, India |
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Plant 5 : |
274, Udyog Vihar, Phase - II, Gurgaon - 122016, Haryana, India |
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Plant 6 : |
B-17,A2,
and SA 17SA2 1st Street, SIDCO, Industrial Estate, MMDA, Arunbakkam,
Chennai-600106, Tamilnadu, India |
|
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Plant 7 : |
No.64,Janakiraman
Nagar, Puthagaram, Cuddapa Road, Kilattur,Chennai-600009, Tamilnadu, India |
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Plant 8 : |
NH-45
Chettipunniam Village near Chengalpattu, Kanchipuram district,
Chennai-603204, Tamilnadu, India |
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Plant 9 : |
292/9,
Madharpakkam, Gummidipoondi Taluk,Thiruvallur,-601202, Tamilnadu, India |
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Plant 10 : |
Norp
Knit Industries Limited., North Khilkar, P.O. National University, Gazipur,
Bangladesh |
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Plant 11 : |
PT
Pinnacle Apparels, Tanjung Emas Export, Processing Zone, Blok A-15-15A, JL
Coaster |
|
|
|
|
Pune Branch Offices : |
11,
Siddhatek Apartments, 4th Floor, 95/8, Prabhat Road, Opposite Lane
No. 11, Pune-411004, Maharashtra, India |
|
Tel. No.: |
91-20-25469683 |
|
E-Mail : |
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|
Manufacturing and Sales Offices : |
Located at ·
Gurgaon ·
Indonesia ·
USA ·
Bangladesh ·
Hong Kong ·
Vietnam |
DIRECTORS
AS ON 31.03.2015
|
Name : |
Mr.
Deepak Seth |
|
Designation : |
Chairman |
|
|
|
|
Name : |
Mr.
Pulkit Seth |
|
Designation : |
Vice-
Chairman and Managing Director |
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|
|
|
Name : |
Mrs.
Shefali Seth |
|
Designation : |
Whole-Time
Director |
|
Date of Birth/Age : |
34
Years |
|
Qualification : |
Bachelor of Science in
Business Administration from University of Bradford, U. K., has varied
exposure in Garments and Textiles Industry. |
|
|
|
|
Name : |
Mr.
Vinod Vaish |
|
Designation : |
Whole-Time
Director |
|
Date of Birth/Age : |
56
Years |
|
Qualification : |
Mr.
Vinod Vaish is a Bachelor of Science and Long Logistics Management. |
|
Experience : |
He had been in the Indian
Navy for 28 years at various levels in various capacities and has achieved in
depth knowledge of all aspects of Administration and Logistics Management. He
has over 7 years experience in private sector, specifically in Administration
and production. |
|
|
|
|
Name : |
Mr.
S.B. Mohapatra |
|
Designation : |
Non-Executive
Independent Director |
|
|
|
|
Name : |
Mr.
Chittranjan Dua |
|
Designation : |
Non-Executive
Independent Director |
|
|
|
|
Name : |
Mr.
Rajendra K Aneja |
|
Designation : |
Non-Executive
Independent Director |
|
|
|
|
Name : |
Mr.
Anil Nayar |
|
Designation : |
Non-Executive
Independent Director |
KEY EXECUTIVES
|
Name : |
Mr.
Sandeep Sabharwal |
|
Designation : |
Company Secretary |
|
|
|
|
Audit
Committee : |
Mr.
Anil Nayar - Chairman Mr.
Vinod Vaish - Member Director Mr.
S. B. Mohapatra - Member Director |
|
|
|
|
Nomination
and Remuneration Committee : |
Mr.
S. B. Mohapatra - Chairman Mr.
Rajendra K Aneja - Member Director Mr.
Anil Nayar - Member Director |
|
|
|
|
Stakeholder
Relationship Committee : |
Mr.
S. B. Mohapatra - Chairman Mr.
Pulkit Seth - Member Director Mr.
Vinod Vaish - Member Director |
|
|
|
|
Corporate
Social Responsibility Committee : |
Mr.
Vinod Vaish - Chairman Mr.
Pulkit Seth - Member Director Mr.
Anil Nayar - Member Director |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON 30.06.2015
|
Category of Shareholder |
No. of Shares |
Percentage of
Holding |
|
(A) Shareholding of Promoter and Promoter
Group |
|
|
|
|
|
|
|
|
30 |
0.00 |
|
|
11562734 |
53.37 |
|
|
11562734 |
53.37 |
|
|
11562764 |
53.37 |
|
|
|
|
|
|
2862145 |
13.21 |
|
|
2862145 |
13.21 |
|
Total shareholding of Promoter and Promoter
Group (A) |
14424909 |
66.58 |
|
(B) Public Shareholding |
|
|
|
|
|
|
|
|
856451 |
3.95 |
|
|
52382 |
0.24 |
|
|
483958 |
2.23 |
|
|
1197343 |
5.53 |
|
|
2590134 |
11.96 |
|
|
|
|
|
|
262811 |
1.21 |
|
|
|
|
|
|
1771590 |
8.18 |
|
|
1875773 |
8.66 |
|
|
738720 |
3.41 |
|
|
160 |
0.00 |
|
|
12512 |
0.06 |
|
|
69325 |
0.32 |
|
|
256205 |
1.18 |
|
|
74912 |
0.35 |
|
|
325606 |
1.50 |
|
|
4648894 |
21.46 |
|
Total Public shareholding (B) |
7239028 |
33.42 |
|
Total (A)+(B) |
21663937 |
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) |
21663937 |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer
and Exporter of Readymade Garments. |
|
|
|
|
Brand Names : |
-- |
|
|
|
|
Agencies Held : |
-- |
|
|
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Exports : |
Not Divulged |
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Imports : |
Not Divulged |
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|
|
|
Terms : |
Not Divulged |
PRODUCTION STATUS: NOT AVAILABLE
GENERAL INFORMATION
|
Suppliers : |
|
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Customers : |
· Bershka · Express · Zara · Chakra · Traget · Old Navy |
||||||||||||||||||||||||||||||||||||
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No. of Employees : |
1230 (Approximately) |
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|
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Bankers : |
·
UCO Bank ·
Bank of Baroda · The Karur Vysya Bank Limited No 528, P H
Road, Arumbakkam, Chennai- 600106, Tamilnadu, india · Andhra Bank M-35, connaught
Circus Branch, Delhi - 110001, India ·
Standard Chartered Bank Narain Manzil,
23 Barakhamba Road, New Delhi, Delhi - 110001, India |
||||||||||||||||||||||||||||||||||||
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Facilities : |
|
|
Banking
Relations : |
-- |
|
|
|
|
Auditors : |
|
|
Name : |
Dinodia
and Company LLP Chartered Accountants |
|
Address : |
K-39,Connaught
Place, New Delhi-110001 |
|
Tel. No.: |
91-11-43703300 |
|
Fax No.: |
91-11-41513666 |
|
E-Mail : |
|
|
|
|
|
Memberships : |
-- |
|
|
|
|
Collaborators : |
-- |
|
|
|
|
Subsidiary
(Direct / Indirect)/ Associates : |
DOMESTIC ·
Lerros Fashions India Limited ·
Pixel Industries Limited OVERSEAS ·
Norp Knit Industries Limited ·
Pearl Global Fareast Limited ·
Pearl Global (HK) Limited ·
DSSP Global Limited ·
PT Pinnacle Apparels (formely known as PT
Norwest Industry) ·
Vau Apparels LLP* |
|
|
|
|
Associates : |
·
Little People Education Society ·
Nim International Commerce LLP** ·
HOPP Fashions |
|
|
|
|
Enterprise over which Key
Managerial Personnel are able to exercise Significant influence : |
DOMESTIC ·
Pearl Wears ·
Creative Arts Education Society ·
PS Arts Private Limited ·
PDS Multinational Fashions Limited* OVERSEAS ·
Grupo Extremo SUR S.A ·
SACB Holdings Limited ·
JSM Trading (FZE.) ·
Transnational Textile Group Limited ·
Superb Mind Holdings Limited ·
Global Textiles Group Limited * ·
Multinational Textile Group Limited* ·
Casa Forma Limited* ·
PDS Asia Star Corporation Limited* ·
Simple Approach Limited* ·
Zamira Fashion Limited * ·
PG Group Limited * ·
DPOD Manufacturing Limited* ·
Norwest Industries Limited * ·
Poeticgem International Limited* ·
Multinational OSG Services Bangladesh
Limited* ·
Nor Delhi Manufacturing Limited* ·
Techno Design Gmbh* ·
Propur Investment Limited* ·
Mahidhulu Investment Limited* ·
Poetic Brands Limited* ·
Poeticgem Limited * ·
PDS Trading (Shanghai) Company Limited* ·
Simple Approach (Canada) Limited* ·
Zamira Denim Lab Limited* ·
PG Home Group Limited * ·
PG Shanghai Mfg Company Limited* ·
Gem Australia Manufacturing Company
Limited* ·
Norwest Inc.* ·
Sourcing Solutions Limited* ·
Grand Pearl Trading Company Limited* ·
Razamtazz Limited* ·
Krayon Sourcing Limited (Formerly Souring
Solutions HK Limited)* ·
Nor France Manufacturing Company Limited* ·
Nor Lanka Manufacturing Limited* ·
Nor Europe MFG Company Limited* ·
Kleider Sourcing Hongkong Limited* ·
Techno Manufacturing Limited (Formerly Sino
West MFG Company Limited* ·
Nor India Manufacturing Company Limited* ·
Spring Near East Manufacturing Company
Limited* ·
Designed and Sourced Limited* ·
FX Import Hongkong Limited* ·
Poetic Knitwear Limited * ·
Pacific Logistics Limited * ·
Pearl GES Home Group SPA* ·
Nor France SAS* ·
Nor Lanka Manufacturing Colombo Limited* · Nor Europe SPA* |
NOTE:
*Converted
from Vau Apparels Private Limited to Vau Apparels LLP during the year.
**Converted
from Nim International Commerce Private Limited to Nim International Commerce
LLP during the year.
CAPITAL STRUCTURE
AS ON 31.03.2015
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
51,440,000 |
Equity Shares |
Rs. 10/- each |
Rs. 514.400 Million |
|
10,000 |
4%
Non Cumulative Redeemable Preference Shares |
Rs. 10/- each |
Rs. 0.100 Million |
|
3,256,000 |
10.5% Non Cumulative
Redeemable Preference Shares |
Rs. 100/- each |
Rs. 325.600 Million |
|
|
Total |
|
Rs. 840.100
Million |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
21,663,937 |
Equity Shares |
Rs. 10/- each |
Rs. 216.639
Million |
|
|
|
|
|
(a) Reconciliation Statement of Equity Share Capital
|
Particulars |
31.03.2015 |
|
|
|
No.of shares |
Rs. In Million |
|
Balance
of Shares at the beginning of the year |
21,663,937 |
216.639 |
|
Add:-
Addition during the year |
|
-- |
|
Less:-
Buy back during the year |
-- |
-- |
|
Balance
of Shares at the end of the year |
21,663,937 |
216.639 |
(b)
Terms/rights attached to equity shares
The company has only one
class of equity shares having per value of Rs. 10 per share. Each holder of
equity shares is entitled to one vote per share. The company declares and pays
dividends in Indian rupees. For the year ended 31st March 2015, the amount of
`2.25 per share (March 31, 2014: Rs. 2 per share) has been proposed to be
declared as dividend for distribution to equity shareholders. The dividend
proposed by the Board of Directors is subject to the approval of the
shareholders in the ensuing Annual General Meeting.
In the event of liquidation
of the company the holders of equity shares will be entitled to receive
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.
(c)
Details of shareholder’s holding more than 5 percent shares in the company
|
Particulars |
31.03.2015 |
|
|
|
No.of shares |
%holding |
|
Equity
Shares of Rs. 10 each fully paid up |
|
|
|
Mrs.
Payel Seth |
9,849,872 |
45.47 |
|
Mr.
Deepak Seth |
1,544,499 |
7.13 |
|
Mr.
Pulkit Seth |
1,511,384 |
6.98 |
|
Mr.
Pallak Seth |
1,317,646 |
6.08 |
(d)
For a period of 5 years immediately preceeding the date of balance sheet,
aggregate number and class of shares allotted as fully paid pursuant to Scheme
of Amalgamation without payment being recovered in cash
|
Particulars |
31.03.2015 |
|
|
No.of shares |
|
Equity Share Capital
(being shares issued to shareholders of Pearl Global Limited, subsidiary
since merged with the company as per Scheme of Amalgamation) |
2,163,594 |
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 |
216.639 |
216.639 |
216.639 |
|
(b) Reserves & Surplus |
2662.395 |
2599.052 |
3432.162 |
|
(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) |
2879.034 |
2815.691 |
3648.801 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) Long-term borrowings |
106.500 |
124.522 |
82.746 |
|
(b) Deferred tax liabilities (Net) |
1.973 |
12.404 |
7.385 |
|
(c)
Other long term liabilities |
413.251 |
235.491 |
183.984 |
|
(d)
long-term provisions |
26.518 |
19.327 |
21.773 |
|
Total
Non-current Liabilities (3) |
548.242 |
391.744 |
295.888 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
1037.930 |
948.859 |
1042.293 |
|
(b)
Trade payables |
762.628 |
738.422 |
783.435 |
|
(c)
Other current liabilities |
195.077 |
260.530 |
152.116 |
|
(d)
Short-term provisions |
60.627 |
53.796 |
26.499 |
|
Total
Current Liabilities (4) |
2056.262 |
2001.607 |
2004.343 |
|
|
|
|
|
|
TOTAL |
5483.538 |
5209.042 |
5949.032 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
1665.924 |
1433.150 |
1223.119 |
|
(ii)
Intangible Assets |
9.192 |
14.174 |
59.591 |
|
(iii)
Capital work-in-progress |
2.374 |
130.632 |
17.801 |
|
(iv) Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current
Investments |
538.390 |
377.039 |
1402.064 |
|
(c) Deferred tax assets
(net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
572.210 |
542.431 |
521.696 |
|
(e) Trade receivables |
0.000 |
0.000 |
7.044 |
|
(f) Other Non-current assets |
33.161 |
25.856 |
21.632 |
|
Total
Non-Current Assets |
2821.251 |
2523.282 |
3252.947 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
111.762 |
186.360 |
131.327 |
|
(b)
Inventories |
1138.646 |
1141.997 |
1352.610 |
|
(c)
Trade receivables |
523.368 |
504.404 |
570.728 |
|
(d)
Cash and cash equivalents |
443.304 |
386.045 |
243.650 |
|
(e)
Short-term loans and advances |
159.407 |
226.135 |
260.788 |
|
(f)
Other current assets |
285.800 |
240.819 |
136.982 |
|
Total
Current Assets |
2662.287 |
2685.760 |
2696.085 |
|
|
|
|
|
|
TOTAL |
5483.538 |
5209.042 |
5949.032 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from Operations |
6239.920 |
6634.488 |
5576.926 |
|
|
|
Other Income |
278.237 |
220.462 |
142.946 |
|
|
|
TOTAL |
6518.157 |
6854.950 |
5719.872 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
1756.324 |
1804.570 |
1429.454 |
|
|
|
Purchases of Stock-in-Trade |
1690.045 |
1871.667 |
1755.166 |
|
|
|
Changes in inventories of finished goods, work-in-progress
and Stock-in-Trade |
37.996 |
199.590 |
(84.695) |
|
|
|
Employees benefits expense |
620.342 |
554.282 |
548.145 |
|
|
|
Other expenses |
1993.456 |
2002.986 |
1800.123 |
|
|
|
TOTAL |
6098.163 |
6433.095 |
5448.193 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
419.994 |
421.855 |
271.679 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
166.130 |
165.960 |
146.469 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION |
253.864 |
255.895 |
125.210 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
99.490 |
77.771 |
100.797 |
|
|
|
|
|
|
|
|
|
Less |
EXCEPTIONAL ITEMS |
2.648 |
23.438 |
(15.922) |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX |
151.726 |
154.686 |
40.335 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
49.550 |
7.477 |
1.389 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
|
102.176 |
147.209 |
38.946 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
Export
of Goods - FOB basis |
5751.268 |
6070.226 |
5242.674 |
|
|
|
Interest
Income |
19.965 |
22.000 |
17.103 |
|
|
|
IT/SAP
Income |
17.798 |
20.607 |
25.690 |
|
|
|
Foreign
Travelling |
4.127 |
2.179 |
0.000 |
|
|
|
EDI
Expenses |
1.967 |
4.425 |
0.000 |
|
|
|
Others |
11.089 |
25.988 |
0.000 |
|
|
Sample Designing
Sale |
0.000 |
0.000 |
11.324 |
|
|
|
TOTAL EARNINGS |
5806.214 |
6145.425 |
5296.791 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (Rs.) |
4.72 |
6.80 |
1.80 |
|
CURRENT MATURITIES
OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Current Maturities of Long term Borrowings |
43.732 |
33.998 |
23.758 |
|
|
|
|
|
|
Cash Generated from Operations |
356.347 |
636.502 |
83.288 |
|
|
|
|
|
|
Net Cash From Operating Activities |
315.231 |
621.390 |
84.074 |
KEY
RATIOS
|
PARTICULARS |
|
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Net Profit Margin (PAT / Sales) |
(%) |
1.64 |
2.22 |
0.70 |
|
|
|
|
|
|
|
Operating Profit Margin (PBDIT/Sales) |
(%) |
6.73 |
6.36 |
4.87 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
3.07 |
3.29 |
0.89 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.05 |
0.05 |
0.01 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt/Networth) |
|
0.41 |
0.39 |
0.31 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.29 |
1.34 |
1.35 |
STOCK
PRICES
|
Face Value |
Rs. 10 /- |
|
Market Value |
Rs. 200 /- |
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 |
216.639 |
216.639 |
216.639 |
|
Reserves & Surplus |
3432.162 |
2599.052 |
2662.395 |
|
Money received against share
warrants |
0.000 |
0.000 |
0.000 |
|
Share Application money
pending allotment |
0.000 |
0.000 |
0.000 |
|
Net
worth |
3648.801 |
2815.691 |
2879.034 |
|
|
|
|
|
|
Long-term borrowings |
82.746 |
124.522 |
106.500 |
|
Short term borrowings |
1042.293 |
948.859 |
1037.930 |
|
Current Maturities of
Long-Term Borrowings |
23.758 |
33.998 |
43.732 |
|
Total
borrowings |
1148.797 |
1107.379 |
1188.162 |
|
Debt/Equity
ratio |
0.315 |
0.393 |
0.413 |
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 |
5576.926 |
6634.488 |
6239.920 |
|
|
|
18.963 |
(5.947) |
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 |
5576.926 |
6634.488 |
6239.920 |
|
Profit |
38.946 |
147.209 |
102.176 |
|
|
0.70% |
2.22% |
1.64% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check list by
info agents |
Available in
Report (Yes/No) |
|
1 |
Year of establishment |
Yes |
|
2 |
Constitution of the entity -Incorporation
details |
Yes |
|
3 |
Locality of the entity |
Yes |
|
4 |
Premises details |
No |
|
5 |
Buyer visit details |
-- |
|
6 |
Contact numbers |
Yes |
|
7 |
Name of the person contacted |
No |
|
8 |
Designation of contact person |
No |
|
9 |
Promoter’s background |
Yes |
|
10 |
Date of Birth of Proprietor / Partners /
Directors |
Yes |
|
11 |
Pan Card No. of Proprietor / Partners |
No |
|
12 |
Voter Id Card No. of Proprietor / Partners |
No |
|
13 |
Type of business |
Yes |
|
14 |
Line of Business |
Yes |
|
15 |
Export/import details (if applicable) |
No |
|
16 |
No. of employees |
Yes |
|
17 |
Details of sister concerns |
Yes |
|
18 |
Major suppliers |
No |
|
19 |
Major customers |
Yes |
|
20 |
Banking Details |
Yes |
|
21 |
Banking facility details |
Yes |
|
22 |
Conduct of the banking account |
-- |
|
23 |
Financials, if provided |
Yes |
|
24 |
Capital in the business |
Yes |
|
25 |
Last accounts filed at ROC, if applicable |
Yes |
|
26 |
Turnover of firm for last three years |
Yes |
|
27 |
Reasons for variation <> 20% |
-- |
|
28 |
Estimation for coming financial year |
No |
|
29 |
Profitability for last three years |
Yes |
|
30 |
Major shareholders, if available |
Yes |
|
31 |
External Agency Rating, if available |
Yes |
|
32 |
Litigations that the firm/promoter
involved in |
-- |
|
33 |
Market information |
-- |
|
34 |
Payments terms |
No |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
INDEX OF CHARGES
|
S.NO. |
CHARGE ID |
DATE OF CHARGE CREATION/MODIFICATION |
CHARGE AMOUNT SECURED |
CHARGE HOLDER |
ADDRESS |
SERVICE REQUEST NUMBER (SRN) |
|
1 |
10587457 |
30/06/2015 |
900,000.00 |
THE KARUR VYSYA
BANK LIMITED |
NO 528, P H ROAD,
ARUMBAKKAM, CHENNAI- 600106, TAMIL NADU, INDIA |
C62355730 |
|
2 |
10579284 |
20/06/2015 |
9,000,000.00 |
PUNJAB NATIONAL
BANK |
INTERNATIONAL
BANKING BRANCH, 8TH FLOOR, DCM BUIL |
C58588153 |
|
3 |
10590559 |
18/06/2015 |
176,000,000.00 |
ANDHRA BANK |
M-35, CONNAUGHT
CIRCUS BRANCH, NEW DELHI, DELHI - |
C64022460 |
|
4 |
10570980 |
02/05/2015 |
3,090,000.00 |
PUNJAB NATIONAL
BANK |
INTERNATIONAL BANKING
BRANCH, 8TH FLOOR, DCM BUIL |
C54406145 |
|
5 |
10552145 |
03/02/2015 |
650,000.00 |
PUNJAB NATIONAL
BANK |
INTERNATIONAL
BANKING BRANCH, 8TH FLOOR, DCM BUIL |
C45119534 |
|
6 |
10552147 |
03/02/2015 |
605,000.00 |
PUNJAB NATIONAL
BANK |
INTERNATIONAL
BANKING BRANCH, 8TH FLOOR, DCM BUIL |
C45119963 |
|
7 |
10552148 |
03/02/2015 |
650,000.00 |
PUNJAB NATIONAL
BANK |
INTERNATIONAL
BANKING BRANCH, 8TH FLOOR, DCM BUIL |
C45120276 |
|
8 |
10552150 |
03/02/2015 |
586,000.00 |
PUNJAB NATIONAL
BANK |
INTERNATIONAL
BANKING BRANCH, 8TH FLOOR, DCM BUIL |
C45121274 |
|
9 |
10532611 |
10/11/2014 |
575,000,000.00 |
STANDARD
CHARTERED BANK |
NARAIN MANZIL, 23
BARAKHAMBA ROAD, NEW DELHI, DEL |
C34478552 |
|
10 |
10540520 |
28/10/2014 |
990,000.00 |
KOTAK MAHINDRA
PRIME LIMITED |
27BKC, C 27, G
BLOCK, BANDRA KURLA COMPLEX, BANDRA (E), MUMBAI-400051, MAHARASHTRA, INDIA |
C39165105 |
|
* Date of charge modification |
||
|
|
||
UNSECURED LOANS
|
PARTICULARS |
31.03.2015 (Rs.
In Million) |
31.03.2014 (Rs.
In Million) |
|
SHORT TERM BORROWINGS |
|
|
|
Loan and advances from related parties |
0.749 |
29.579 |
|
|
|
|
|
Total |
0.749 |
29.579 |
CORPORATE INFORMATION
Subject is a public limited
company domiciled in India and has its registered office at A-3, Community
Centre, Naraina Industrial Area, Phase-II, New Delhi-110028. The company is
primarily engaged in manufacturing, sourcing and export of ready to wear
apparels through its facilities and operations in India and overseas. The
Company has its primary listings on Bombay Stock Exchange and National Stock
Exchange in India.
STATE OF THE AFFAIRS OF THE
COMPANY
Subject is one of India’s
largest listed garment exporters, manufacturing from multiple sourcing regions
within India and countries within South Asia. A preferred longterm vendor to
most leading global brands, they are amongst the leading players in our
industry. Their mainstay business is to create value from competitively
manufacturing and exporting fashion garments to leading global brands. They
have now also ventured into e-retail through established digital channels and
they own e-com portal “Sbuys.in”, giving consumers access to global fashion at
attractive values.
Their product range
includes knits, woven and bottoms (basic and complex designs) across men, women
and kids wear segments. They have a well-diversified and de-risked
manufacturing base across India, Indonesia and Bangladesh. They have a total
capacity to manufacture around 5 million garments per month (including own and
outsourced facilities). their revenue structure is primarily export based, with
a major contribution coming from exports to the United States. We provide total
supply chain solutions to customers – value retailers and high-end fashion
brand retails in the United States and Europe. Their business model enables
them to offer superior quality products across various countries, catering to
all kinds of consumers. Their esteemed global clientele include
premium retailers in USA
and Europe, including GAP, Banana Republic, Kohl’s, Macy, Ralph Lauren, Tom
Tailor and Next, among others.
They strive to be the most
preferred vendor to the top global apparel brands and be ranked amongst the top
garment manufacturers in the world, in terms of quality, service standards and
ultimately - customer satisfaction, keeping in line with their broader vision.
With additional capacities and promising growth in new markets and geographies,
they bettered their operational performance during the year. They continued to
amplify their strengths, while diversifying their footprint in the global
market. Currently, ~90% of their sales are accounted by United States. However,
the seasonal decline in sales of wovens during the fall season
(August-November) results in lower capacity utilization at our Indian
facilities. Hence, they are continuously endeavouring to diversify their sales
to newer geographies in Australia, UK, Germany, Canada, Mexico, Chile and South
Africa.
MANAGEMENT DISCUSSION AND ANALYSIS
A.
ECONOMIC OVERVIEW
1. Global Economy
Global growth remained
broadly on track at about 2.8% in Real GDP in FY 2015 after hitting a somewhat
soft patch at the start of the year. It is largely expected to pick up to 3.2%
in 2016-17, in line with previous forecasts. Divergence across major economies
will narrow in 2015-16 as growth plateaus in the United States and strengthens
in the Euro Area and Japan. Several major forces such as soft commodity prices,
persistently low interest rates, increasingly divergent monetary policies
across major economies, and weak world trade have been driving the global
economic outlook. Lower oil prices will support consumer spending and hold inflation
at record lows in the short term, but these effects will wane by 2016. Activity
in China will continue to decelerate modestly in line with expectations, with
the slowdown buffered by scaled-up monetary and fiscal accommodation.
A strong U.S. dollar is
expected continue to weigh on exports, driven predominantly by private
consumption. Growth in United States is expected to strengthen modestly to 2.7%
in 2015 and further to 2.8% in 2016. Overall, policy in the United States is expected
to remain accommodative and the fiscal stance will be broadly neutral. As a
result of sustained job creation, the unemployment rate is approaching
structural levels and inflation is expected to move closer to the U.S. Federal
Reserve’s target in 2016. This, together with neutral fiscal policy
and healing household
balance sheets, should support a steady growth trend in U.S. in 2015-16.
However, the European economy continues to be in choppy waters. Greece is
facing a severe crisis in its loan repayments to the International Monetary
Fund (IMF), and the trajectory shows a strong probability that any further
delay or default can threaten its association with the European Union. The
European economy is more stable to handle the immediate fallout from a Greek
exit compared to 2012. However, a number of countries in the European economic
periphery still continue to experience weak economic growth and continue to
have very high public and private sector debt levels. This makes them
especially vulnerable to swings in investor sentiment once global liquidity
conditions are normalised and the perception becomes widespread that Euro
membership is no longer irrevocable. Even though the Greek economy is
relatively smaller to have big global impact, a sense of nervousness exists
among other EU countries with high debts and repayment difficulties, dampening
overall business and consumer sentiments.
2. Indian Economy
With strong global ties and
a dynamic investment atmosphere, India will outgrow China and its BRIC peers
with a GDP growth of 7.5% in 2016, from 7.2% in FY2015. India, a major oil
importer, will be a big beneficiary of the decrease in energy prices as it is
consequently increasing real income and spending. This includes removing
infrastructural bottlenecks as well as implementing reforms to education,
labour, and product markets for raising labour force participation and
productivity. As the Government is pushing forward with subsidy reforms, lower
oil prices offer an opportunity to decrease energy subsidies and replace them
with better-targeted programmes.
a. Outlook of Global
Economic Growth in Real GDP
Growth is expected to be
strong in the coming years on the back of reforms, pick-up in investments,
rebounding consumer demand and lower prices. A ranking of investment
destinations for attractiveness to foreign investors has placed India at the
top among 110 countries. Based on the Baseline profitability Index (BPI), India
tops the list as the most viable option for attracting investors around the
world. This can be primarily attributed to drivers such as Government
stability, high growth forecast and an overall sense of investment protection.
2. India’s Textile Market
India’s total textile and
apparel industry (domestic plus exports) is a $108 billion market, of which
roughly $40 billion is export oriented. This is projected to grow at a CAGR of
9.5% and almost double at $221 billion by 2021. India is one of the largest
producers of textiles and apparels in the world, second only to China. Textile
industry plays a significant role in India’s economy, which is largely
dependent on textile manufacturing and exports. The industry is the second
largest employer after agriculture, providing direct employment to over 45
million people. The Indian Textile Industry contributes approximately 5% to
India’s GDP and 14% to overall Index of Industrial Production (IIP).
Furthermore, the textile and apparel exports it contribute roughly 11% to
India’s export earnings. Textile exports have grown by roughly 11% over the last
decade and accounts for 5% of India’s total global trade. With rising GDP
growth in India and a subsequent growth in consumer spending, India’s textile
and apparel sector witnesses a plethora of opportunities to flourish,
irrespective of the global market conditions.
a. Growth Triggers
·
Political and economic stability
·
Flexibility in production quantity
·
Skilled and cost-efficient talent pool
b. Government Initiatives
The Indian government has
come up with a number of export promotion policies for the textiles sector. It
has also allowed 100% Foreign Direct Investment (FDI) in the Indian textiles
sector under the automatic route.
COMPANY OVERVIEW
Pearl Global Industries
Limited (PGIL) is one of India’s largest listed garment exporters, manufacturing
from multiple sourcing regions within India and countries within South Asia. A
preferred long-term vendor to most leading global brands, we are amongst the
leading players in our industry. Their mainstay business is to create value
from competitively manufacturing and exporting fashion garments to leading
global brands. We have now also ventured into e-retail through established
digital channels and our own e-com portal “Sbuys.in”, giving consumers access
to global fashion at attractive values. Their product range includes knits,
woven and bottoms (basic and complex designs) across men, women and kids wear
segments.
They have a
well-diversified and de-risked manufacturing base across India, Indonesia and
Bangladesh. They have a total capacity to manufacture around 5 million garments
per annum (including own and outsourced facilities). Their revenue structure is
primarily export based, with a major contribution coming from exports to the
United States. They provide total supply chain solutions to customers – value
retailers and high highend fashion brand retails in the United States and
Europe. Their business model enables us to offer superior quality products
across various countries, catering to all kinds of consumers. Their esteemed
global clientele includes premium retailers in USA and Europe, including GAP,
Banana Republic, Kohl’s, Macy, Ralph Lauren, Tom Tailor and Next, among others.
They strive to be the most preferred vendor to the top global apparel brands
and be ranked amongst the top garment manufacturers in the world, in terms of
quality, service standards and ultimately - customer satisfaction, keeping in
line with their broader vision.
OPERATIONAL HIGHLIGHTS:
With additional capacities
and promising growth in new markets and geographies, they bettered their
operational performance during the year. They continued to amplify their
strengths, while diversifying their footprint in the global market. Some of the
key operational highlights during the year are as below:
Market Diversification
Currently, ~90% of our
sales are accounted by United States. However, the seasonal decline in sales of
wovens during the fall season (August-November) results in lower capacity
utilization at our Indian facilities. Hence, they are continuously endeavouring
to diversify our sales to newer geographies in Australia, UK, Germany, Canada,
Mexico, Chile and South Africa.
Capacity Growth
They made a capex of Rs.
534.500 Million during FY2015, which was mainly applied towards (modernization
of existing plant as well as capacity expansion at Bangalore and Chennai). As a
result, their aggregate production capacity is expected to increase by 8.8%,
from 5 million units FY2014 to 5.44 million in FY2016.
MANAGEMENT OUTLOOK
The future of India’s
textile industry looks promising. This positive outlook is driven by improving
revenue prospects from rebounding economic growth in key export destinations;
and by stabilising input costs and continuing favourable policies supporting
our industry. The future for the domestic textile industry is also buoyant due
to strong domestic consumption. With consumerism and disposable incomes on the
rise, the textile sector is experiencing a rapid growth and they hope to surf
forward on this positive wave.
Their main market in the USA
looks relative healthy with both employment and consumption on a steady rise.
They expect their business into the USA to grow consistently over the near
term. Simultaneously, they expect to continue their steady penetration into
other markets, allowing them to use their capacity in lean seasons and so
gradually improve their ROIs. They also intend to strengthen their existing
association with various apparel brands by becoming a larger, more service
orientated vendor-partner to them. They are geographically well positioned to
produce from the most cost-effective supply bases in Asia, keeping them highly
competitive and relevant to our customers. Above all, they expect to maintain
and step up our profitability from superior value added products and meticulous
management of our costs and processes.
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED
30.06.2015
(RS. IN MILLION)
PART I
|
|
Particulars |
30.06.2015 Quarter (Unaudited) |
|
1. |
Income
from operations |
|
|
|
a)
Net Sales/Income from Operations |
1407.646 |
|
|
b)
Other Operating Income |
104.551 |
|
|
Total
Income from Operations (a+b) |
1512.198 |
|
|
|
|
|
2. |
Expenses |
|
|
|
a)
Cost of materials consumed |
475.268 |
|
|
b)
Purchase of traded goods |
347.643 |
|
|
c)
Changes in inventories of finished goods, work-in-progress and traded goods |
12.166 |
|
|
d)
Employee benefits expense |
171.355 |
|
|
e)
Depreciation and amortisation expense |
24.767 |
|
|
f)
Other expenses |
441.619 |
|
|
g) Total Expenses |
1472.818 |
|
|
|
|
|
3. |
Profit from Operations
before other income, Interest, finance costs and exceptional Items (1-2) |
39.380 |
|
4. |
Other
Income |
65.143 |
|
5. |
Profit from ordinary activities
before finance costs and exceptional Items (3+4) |
104.522 |
|
6. |
Finance
costs |
39.411 |
|
7. |
Profit from ordinary
activities after finance costs but before exceptional Items (5-6) |
66.112 |
|
8. |
Exceptional
Items |
(1.732) |
|
9. |
Profit/
(Loss) from ordinary activities before tax (7+8) |
63.380 |
|
10. |
Tax
expense |
17.630 |
|
11. |
Net
Profit/ (Loss) from ordinary
activities after tax (9-10) |
45.850 |
|
12. |
Extraordinary
items ( net of tax expense Rs. Nil) |
0.00 |
|
13. |
Net
Profit/ (Loss) for the period (11-12) |
45.850 |
|
14. |
Share
of Profit/ (Loss) of associates |
-- |
|
15. |
Minority
Interest |
-- |
|
16. |
Net
Profit/ (Loss) after taxes, minority interest and share of profit/ (loss) of
associates (13+14+15) |
45.850 |
|
17. |
Paid - up Equity Share Capital |
216.639 |
|
|
(Face
value of Rs. 10/- each) |
|
|
18. |
Reserves
excluding revaluation reserves as per balance sheet of previous accounting
year |
|
|
19.i) |
Earnings Per Share
(before extraordinary Items) (in Rs.) |
|
|
|
(of Rs. 10 each) (not
annualised): |
|
|
|
(a) Basic |
5.62 |
|
|
(b) Diluted |
5.62 |
|
19.ii) |
Earnings Per Share (after
extraordinary Items) (in Rs.) |
|
|
|
(of Rs. 10 each) (not
annualised): |
|
|
|
(a)
Basic |
5.62 |
|
|
(b)
Basic |
5.62 |
|
PART
II |
|
|
|
SELECT INFORMATION FOR
THE QUARTER ENDED 30.06.2015 |
||
|
A. |
PARTICULARS
OF SHAREHOLDING |
|
|
1. |
Public
Shareholding |
|
|
|
-
Number of Shares |
7239028 |
|
|
-
Percentage of Shareholding |
33.42 |
|
2. |
Promoter
and Promoter Group Shareholding |
|
|
|
a)
Pledged/Encumbered |
|
|
|
-
Number of Shares |
-- |
|
|
-Percentage of Shares (as
a % of the total shareholding of promoter and promoter group) |
-- |
|
|
-Percentage
of Shares (as a % of the total share capital of the Company) |
-- |
|
|
b)
Non-encumbered |
|
|
|
-
Number of Shares |
14424909 |
|
|
-Percentage
of Shares (as a % of the total shareholding of promoter and promoter group) |
100.00 |
|
|
-Percentage
of Shares (as a % of the total share capital of the Company) |
66.58 |
|
|
||
|
|
Particulars |
3
Months Ended 30.06.2015 |
|
B. |
INVESTOR
COMPLAINTS |
|
|
|
Pending
at the beginning of the quarter |
Nil |
|
|
Received
during the quarter |
One |
|
|
Disposed
of during the quarter |
One |
|
|
Remaining
unresolved at the end of the quarter |
Nil |
NOTES:
1. Unaudited Financial Results of the company for the quarter ended June 30, 2015 have been reviewed by the Audit Committee and taken on record by the Board of Directors at their meetings held on August 11, 2015.
2. The financial performances on standalone basis for the quarter ending June 30, 2015 are (Rs. in Million): a) Turnover Rs. 1512.198 b) Profit Before Tax Rs. 63.380 and c) Profit After Tax Rs 45.850.
3. The figures of last quarter are the balancing figures between audited figures in respect of the full financial year and the published year to date figures up to third quarter of the last financial year.
4. The standalone results for the quarter ended 30th June 2015 are available on the company’s website at www.pearlglobal.com, besides the websites of Bombay Stock Exchange Limited and National Stock Exchange of India Limited.
5. Figures of the previous periods have been regrouped and
rearranged wherever necessary.
CONTINGENT
LIABILITIES: (As on 31.03.2015)
CONTINGENT
LIABILITIES AND COMMITMENTS
i) Corporate Guarantee
Given By The Company (as per Section 186(4) of the Companies Act 2013)
·
To HSBC Limited, Indonesia for securing credit
facilities to its step down subsidiary PT Pinnacle Industry, Indonesia for Nil
(March 31, 2014: USD 2,500,000 equivalent to Rs. 150.250 Million)
·
To Standard Chartered Bank, Hong Kong for securing
credit facilities to its step down subsidiary Norwest Industries Limited for
Nil (March 31, 2014: :USD 21,052,840 equivalent to Rs. 1,265.275 Million)
·
To BNP Paribas, Hong Kong for letter of credit
facility to its step down subsidiary Norwest Industries Limited for Nil (March
31,2014: USD 10,000,000 equivalent to Rs. 601.000 Million)
·
To Canara Bank, Hong Kong Branch, for securing
various credit facilities to its subsidiary Norwest Industries Limited for USD
15,000,000 equivalent to Rs. 938.850 Million (March 31,2014: USD
15,000,000 equivalent to ` 901,500,000)
·
To ICICI Bank Limited, Hong Kong Branch, for
securing the derivative limits to its step down subsidiary Norwest Industries
Limited for USD 3,000,000 equivalent to Rs. 187.770 Million (March
31, 2014: USD 3,000,000 equivalent to Rs. 180,300 Million)
·
To ICICI Bank Limited, Hong Kong Branch, for
securing the credit limits to its step down subsidiary Norwest Industries
Limited and Nor Lanka Manufacturing Limited for Nil (March 31,2014: USD 15,000,000
equivalent to Rs. 901.500 Million).
·
To Punjab National Bank, Hong Kong Branch, for
securing the credit limits to its step down subsidiary Norwest Industries
Limited Nil (March 31,2014: USD 30,000,000 equivalent to Rs. 1,803.000 Million).
·
To Standard Chartered Bank, Hongkong Branch for
securing credit facilities to its wholly owned subsidiary Pearl Global (HK)
Limited, Hong Kong for USD 12,000,000 equivalent to Rs. 751.080 Million ( March
31,2014: USD 8,200,000 equivalent to Rs. 492.820 Million)
·
To Standard Chartered Bank, Bangladesh Branch for
securing credit facilities to its subsidiary Norp Knit Industries Limited,
Bangladesh for BDT 560,000,000 equivalent to Rs. 442.400 Million (March
31,2014: BDT 560,000,000 equivalent to Rs. 425.600 Million) HSBC
Bank Plc. UK for securing credit facilities to its subsidiary Poeticgem
Limited, UK NIl (March 31,2014: GBP 12,050,000 equivalent to Rs. 1,203.192 Million) HSBC
Invoice Finance (UK) Limited UK for securing credit facilities to its
subsidiary Poeticgem Limited, UK Nil (March 31, 2014: GBP 5,000,000 equivalent
to Rs. 499.250 Million) Counter guarantee given by the Company to Axis
Bank, Gurgaon for issue of Standby Letter of Credit to HSBC, Bangladesh for
securing credit facilities to its subsidiary Norp Knit Industries Limited,
Bangladesh for USD 400,000 equivalent to Rs. 25,036,000 (March 31, 2014: USD
400,000 equivalent to Rs. 24.040 Million)
·
To Intesa Sanpaolo S.P.A. Hongkong Branch for
securing credit facilities to its step down subsidiary Norlanka Manufacturing
Company Limited for USD Nil Equivalent to Nil (March 31, 2014: USD 10.00
Million equivalent to Rs. 601.000 Million)
·
To Intesa Sanpaolo S.P.A. Hongkong Branch for
securing credit facilities to its step down subsidiary Norwest Industries
Limited with sublimit to Simple Approach Limited, Zamira Fashion Limited and
/or spring near East Manufacturing Limited for USD Nil equivalent to Nil (March
31, 2014: USD 22.00 Million equivalent to Rs. 1,322.200 Million)
ii) Export Bills Discounted
with banks Rs. 442,187 Million (March 31,2014: Rs. 359.780 Million)
iii) Irrevocable letter of
credit outstanding with banks Rs. 917.280 Million (March 31,2014: Rs. 919.723 Million)
iv) Bank Guarantee given to
government authorities Rs. 60.355 Million (March 31,2014: Rs. 86.081 Million)
v) Counter Guarantees given
by the company to the Sales Tax Department for its associate company Rs. 0.100 Million (March 31, 2014: Rs. 0.100
Million), for others Rs.
0.050 Million
(March 31, 2014: Rs. 0.050 Million)
vi) Contingenet Liability:
Claims against the Company not acknowledged as debts:
Case pending before ITAT
(with respect to tax demand for AY 2009-10) for which the Company has filed
appeal amounting to Rs. 7.348 Million.
FIXED ASSETS:
Tangible Assets
·
Leasehold
Land
·
Freehold
Land
·
Buildings
·
Plant
and Equipment
·
Furniture
and Fixtures
·
Vehicles
·
Leasehold
Improvements
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or
ordered forfeited for violation of money laundering or international
anti-terrorism laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or
investigation registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent government
authority for any violation of anti-corruption laws or international anti-money
laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on Corporate
Governance to identify management and governance. These factors often have been
predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs. 64.88 |
|
|
1 |
Rs. 99.89 |
|
Euro |
1 |
Rs. 72.06 |
INFORMATION DETAILS
|
Information Gathered
by : |
SVA |
|
|
|
|
Analysis Done by
: |
KIN |
|
|
|
|
Report Prepared
by : |
IND |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
5 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
5 |
|
--PROFITABILIRY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
5 |
|
--LEVERAGE |
1~10 |
5 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--MARGINS |
-5~5 |
-- |
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
|
DEFAULTER |
|
|
|
--RBI |
YES/NO |
NO |
|
--EPF |
YES/NO |
NO |
|
TOTAL |
|
50 |
This score serves as a reference to assess
SC’s credit risk and to set the amount of credit to be extended. It is calculated
from a composite of weighted scores obtained from each of the major sections of
this report. The assessed factors and their relative weights (as indicated
through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment record
(10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit
transaction. It has above average (strong) capability for payment of interest
and principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General
unfavourable factors will not cause fatal effect. Satisfactory capability for
payment of interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with
full security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.