\MIRA INFORM REPORT
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Report No. : |
347171 |
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Report Date : |
29.10.2015 |
IDENTIFICATION DETAILS
|
Name : |
KEC INTERNATIONAL LIMITED |
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Registered
Office : |
RPG House, 463, Dr. Annie Besant Road, Worli, Mumbai – 400 030,
Maharashtra |
|
Tel. No.: |
91-22-66972777 |
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Country : |
India |
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Financials (as
on) : |
31.03.2015 |
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Date of
Incorporation : |
18.03.2005 |
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Com. Reg. No.: |
11-152061 |
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Capital
Investment / Paid-up Capital : |
Rs.514.177 Million |
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CIN No.: [Company Identification
No.] |
L45200MH2005PLC152061 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
MUMK11457F |
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PAN No.: [Permanent Account No.] |
AAACK4279J |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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Line of Business
: |
Subject engaged in Engineering, Procurement and Construction business (EPC). |
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No. of Employees
: |
Information declined by the management |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba (54) |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Exist |
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Comments : |
Subject is a part of RPG group is majorly involved in engineering
procurement and construction (EPC) of power transmission towers, power
transmission lines and tower testing services in India and abroad. The
company also undertakes railway electrification projects, manufacturing of
cables, waste water management, and EPC work for renewable sector (solar).
The company has eight manufacturing units spread across India, Brazil and
Mexico. It is a well-established and reputed company having fine track
record. The company possesses a healthy financial profile marked by strong
networth base, low debt, good profitability and liquidity. The rating continue to derive strength from its dominant market
position in power transmission and distribution segment and strong and
experienced parentage (part of RPG group). The ratings also take into consideration, an acceptable share price of
Rs. 142.80/- recorded by the company as against a face value of Rs. 2 as on
October 27, 2015. Trade relations are reported to be fair. Business is active. Payment
are reported to be regular and as per commitment. 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.
EXTERNAL AGENCY RATING
|
Rating Agency Name |
CARE |
|
Rating |
Long term Bank Facilities = A+ |
|
Rating Explanation |
Have adequate degree of safety and carry low credit risk. |
|
Date |
October 19, 2015 |
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Rating Agency Name |
CARE |
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Rating |
Short term Bank Facilities = A1 |
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Rating Explanation |
Have very strong degree of safety and carry lowest credit risk. |
|
Date |
October 19, 2015 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2015.
INFORMATION PARTED BY
|
Name : |
Mr. Anupam Gupta |
|
Designation : |
Manager of Corporate Finance |
|
Contact No.: |
91-22-66670200 |
|
Date : |
27.10.2015 |
LOCATIONS
|
Registered Office/ Power Transmission - International/ Power Systems/
Water Plant : |
1st Floor, RPG House, 463, Dr. Annie Besant Road, Worli,
Mumbai – 400 030, Maharashtra, India |
|
Tel. No.: |
91-22-66972777/ 28204045/ 66670200/ 66670297 |
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Fax No.: |
91-22-66972799/ 28204052/ 66670299/ 66670287/ 66670260 |
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E-Mail : |
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Website : |
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Transmission – South Asia/ Power Systems – South Asia /Railways
/Telecom Plant : |
8th Floor, Building No 9A, DLF Cyber City Phase III,
Gurgaon – 122 002, Haryana, India |
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Tel. No.: |
91-124-6757555 |
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Cables Plant : |
6th Floor, RPG House, 463, Dr. Annie Besant Road, Worli,
Mumbai – 400 025, Maharashtra, India |
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Tel. No.: |
91-22-66670300/ 305 |
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Tower Manufacturing Facilities (Plant 1) : |
Nagpur: B-190, M.I.D.C. Industrial Estate, Butibori, Nagpur – 441 108, Maharashtra,
India |
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Tel. No.: |
91-7104-662209 |
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Tower Manufacturing Facilities (Plant 2) : |
Jaipur: Plot No.14-15, Jhotwara Industrial Area,
Jhotwara, Jaipur – 302 012, Rajasthan, India |
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Tel. No.: |
91-141-2340214/ 6700201 |
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Tower Manufacturing Facilities (Plant 3) : |
Jabalpur: Deori Village, PO: Panagar, Jabalpur – 483
220, Madhya Pradesh, India |
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Tel. No.: |
91-761-2350024/ 25/ 40 |
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Cable Manufacturing Facilities (Plant 1) : |
Thane: 2nd Pokhran Road, Thane – 400 601, Maharashtra, India |
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Tel. No.: |
91-22-21731743 |
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Cable Manufacturing Facilities (Plant 2) : |
Mysore: 349, Hebbal Industrial Area, Hootagalli,
Belavadi Post, Mysore – 570 018, Karnataka, India |
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Tel. No.: |
91-821-2402401/ 6553375 |
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Cable Manufacturing Facilities (Plant 3) : |
Silvassa: Plot No.273/4, Demni Road, Dadra, Silvassa
– 396 193, Dadra
and Nagar Haveli, India |
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Tel. No.: |
91-260-2668518/ 6618500 |
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Cable Manufacturing Facilities (Plant 4) : |
Vadodara: Village Godampura (Samalya), Taluka –
Savli, Vadodara – 391 520, Gujarat, India |
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Overseas Plant 1 – Transmission : |
Mexico Arco Vial Saltillo-Nuevo Laredo
Km. 24.1, C.P. 66050-79 Escobedo, N. L. Mexico |
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Overseas Plant 2 – Transmission : |
Brazil R. Moacyr G. Costa, 15 -
Jd. Piemont Sul 32669-722 - Betim / MG, Brazil |
DIRECTORS
As on 31.03.2015
|
Name : |
Mr. Harsh Vardhan Goenka |
|
Designation : |
Director |
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Address : |
14/15a, Ii-Palazzo, B. G. Kher Marg, Mumbai - 400006, Maharashtra, India |
|
Qualification : |
Arts Graduate And Ba, Mba (Geneva) |
|
Date of Appointment : |
12.01.2006 |
|
DIN No.: |
00026726 |
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Name : |
Mr. Shobhasingh Rajaramsingh Thakur |
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Designation : |
Director |
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Address : |
1161, Abdul Court, Flat No. 20, 7th Floor, Suryavanshi Marg, Off. Cadel Road, Dadar, Mumbai - 400028, Maharashtra, India |
|
Date of Appointment : |
12.01.2006 |
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DIN No.: |
00001466 |
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Name : |
Mr. Sharad Madhav Kulkarni |
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Designation : |
Director |
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Address : |
161/A, Twin Towers, V.S.Road, Prabhadevi, Mumbai - 400025, Maharashtra, India |
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Qualification : |
Bachelor Of Engineering : Fie (India) F Institute Of Directors (Uk) Fellow-Institute Of Management (Uk) |
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Date of Appointment : |
12.01.2006 |
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DIN No.: |
00003640 |
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Name : |
Mr. Vinayak Chatterjee |
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Designation : |
Director |
|
Address : |
E-2278, Palam Vihar, Gurgoan - 122017, Haryana, India |
|
Date of Appointment : |
30.04.2014 |
|
DIN No.: |
00008933 |
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Name : |
Mr. Ramesh Chandak |
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Designation : |
Director |
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Address : |
1202, Shrushti Towers, Old Prabhadevi Road, Prabhadevi, Mumbai - 400025, Maharashtra, India |
|
Qualification : |
M. Com., Fca |
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Date of Appointment : |
26.12.2005 |
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DIN No.: |
00026581 |
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Name: |
Mrs. Sobha Singh Thakur |
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Designation: |
Director |
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Address: |
1161, Abdul Court, Flat No.20, Suryavanshi Marg, Dadar, Mumbai – 400 028, Maharashtra, India |
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Qualification: |
M. Com., Caiib |
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Name : |
Mr. Gulu Lalchand Mirchandani |
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Designation : |
Director |
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Address : |
D-131, Tahnee Heights,, Petit Hall, Napeansea Road, Mumbai - 400006, Maharashtra, India |
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Qualification: |
B. Mechanical |
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Date of Appointment : |
12.01.2006 |
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DIN No.: |
00026664 |
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Name : |
Mr. Vimal Kejriwal |
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Designation : |
Director |
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Address : |
41, Landmark, 175, Carter Road,, Bandra West, Mumbai - 400050, Maharashtra, India |
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Date of Appointment : |
01.01.2015 |
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DIN No.: |
00026981 |
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Name : |
Mr. Dilip Gopikisan Piramal |
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Designation : |
Director |
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Address : |
Piramal House, 61, Pochkhanwala Road, Worli, Mumbai - 400030, Maharashtra, India |
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Date of Appointment : |
12.01.2006 |
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DIN No.: |
00032012 |
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Name : |
Mr. Ajit Tekchand Vaswani |
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Designation : |
Director |
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Address : |
502, Solitaire, Hiranandani Gardens, Powai, Mumbai - 400076, Maharashtra, India |
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Qualification: |
Ca, Cs |
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Date of Appointment : |
12.01.2006 |
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DIN No.: |
00057953 |
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|
Name : |
Mr. Sudhir Mohan Trehan |
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Designation : |
Director |
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Address : |
501-502, Loutus-Lal Kamal Building, Nutan Laxmi Chs, 9th North South Road, Jvpd Scheme Ville Parle West, Mumbai - 400056, Maharashtra, India |
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Date of Appointment : |
30.10.2012 |
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DIN No.: |
00060106 |
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Name : |
Mr. Nirupama Rao |
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Designation : |
Director |
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Address : |
Apartment D Springleaf Apartments, No. 6 Brunton Cross Road, Bangalore - 560025, Karnataka, India |
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Date of Appointment : |
31.10.2014 |
|
DIN No.: |
06954879 |
KEY EXECUTIVES
|
Name : |
Mr. Vimal Kejriwal |
|
Designation : |
Chief Executive Officer |
|
Address : |
41, Landmark, 175, Carter Road,, Bandra West, Mumbai - 400050, Maharashtra, India |
|
Date of Appointment : |
01.04.2015 |
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PAN No.: |
AABPK0188N |
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|
Name : |
Mr. Rajeev Girraj Aggarwal |
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Designation : |
Chief Finance Officer |
|
Address : |
G 2704, Oberoi Splendor Grande, JVLR Road, Andheri (East), Mumbai - 400060, Mumbai, 400060, Maharashtra, India |
|
Date of Appointment : |
01.09.2014 |
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PAN No.: |
AACPA7811R |
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Name : |
Mr. Venkata Jagannadha Rao Chunduru |
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Designation : |
Vice President – Legal and Company Secretary |
|
Address : |
8/302, Seawoods Estates, Palm Beach Marg, Nerul, Navi Mumbai., Mumbai - 400706, Maharashtra, India |
|
Date of Appointment : |
12.01.2006 |
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PAN No.: |
ABFPC5452Q |
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|
Name : |
Mr. Rakesh Amol |
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Designation : |
President - Infrastructure Business |
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|
Name : |
Mr. Randeep Narang |
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Designation : |
President - South Asia (Transmission and Distribution) |
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|
Name : |
Mr. Nikhil Gupta |
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Designation : |
Executive Director - Cables |
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Name : |
Mr. Vasudevan Narasimha |
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Designation : |
Executive Director - Human Resource |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 30.09.2015
|
Category of
Shareholder |
Total No. of
Shares |
Total
Shareholding as a % of Total No. of Shares |
|
As a
% of (A+B) |
||
|
(A)
Shareholding of Promoter and Promoter Group |
||
|
|
|
|
|
|
7863191 |
3.06 |
|
|
122072265 |
47.48 |
|
|
129935456 |
50.54 |
|
|
|
|
|
Total
shareholding of Promoter and Promoter Group (A) |
129935456 |
50.54 |
|
(B)
Public Shareholding |
||
|
|
|
|
|
|
59062664 |
22.97 |
|
|
628494 |
0.24 |
|
|
7115298 |
2.77 |
|
|
14717006 |
5.72 |
|
|
383477 |
0.15 |
|
|
5480 |
0.00 |
|
|
377997 |
0.15 |
|
|
81906939 |
31.86 |
|
|
|
|
|
|
10413895 |
4.05 |
|
|
|
|
|
|
26876522 |
10.45 |
|
|
4114445 |
1.60 |
|
|
3841113 |
1.49 |
|
|
932384 |
0.36 |
|
|
594068 |
0.23 |
|
|
5420 |
0.00 |
|
|
1039746 |
0.40 |
|
|
880 |
0.00 |
|
|
1225040 |
0.48 |
|
|
43575 |
0.02 |
|
|
45245975 |
17.60 |
|
Total
Public shareholding (B) |
127152914 |
49.46 |
|
Total
(A)+(B) |
257088370 |
100.00 |
|
(C) Shares
held by Custodians and against which Depository Receipts have been issued |
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
|
0 |
0.00 |
|
Total
(A)+(B)+(C) |
257088370 |
0.00 |
Shareholding of
securities (including shares, warrants, convertible securities) of persons
belonging to the category Promoter and Promoter Group
|
o. |
Name of the
Shareholder |
Details of
Shares held |
Total shares
(including underlying shares assuming full conversion of warrants and
convertible securities) as a % of diluted share capital |
|
|
No. of Shares
held |
As a % of grand
total (A)+(B)+(C) |
|||
|
1 |
Swallow Associates LLP |
6,95,46,616 |
27.05 |
27.05 |
|
2 |
Summit Securities Ltd |
2,69,74,152 |
10.49 |
10.49 |
|
3 |
Instant Holdings Ltd |
1,76,57,851 |
6.87 |
6.87 |
|
4 |
STEL Holdings Ltd |
46,85,880 |
1.82 |
1.82 |
|
5 |
Carniwal Investments Ltd |
29,70,981 |
1.16 |
1.16 |
|
6 |
Chattarpati Investments Ltd |
2,11,785 |
0.08 |
0.08 |
|
7 |
Atlantic Holdings Ltd |
25,000 |
0.01 |
0.01 |
|
8 |
Harsh Vardhan Goenka Mrs. Mala
Goeka, Mr Anant Vardhan Goenka |
39,14,482 |
1.52 |
1.52 |
|
9 |
Harsh Vardhan Goenka, Mrs Mala
Goenka |
28,05,216 |
1.09 |
1.09 |
|
10 |
Harsh Vardhan Goenka |
1,69,500 |
0.07 |
0.07 |
|
11 |
Anant Vardhan Goenka |
40,000 |
0.02 |
0.02 |
|
12 |
Harsh Vardhan Goenka |
9,33,943 |
0.36 |
0.36 |
|
13 |
Mala Goenka, Harshvardhan Ram
Prasad Goenka Anand Vardhan Govenka |
50 |
0.00 |
0.00 |
|
|
Total |
12,99,35,456 |
50.54 |
50.54 |
Shareholding of
securities (including shares, warrants, convertible securities) of persons belonging
to the category Public and holding more than 1% of the total number of shares
|
Sl. No. |
Name of the
Shareholder |
No. of Shares
held |
Shares as % of
Total No. of Shares |
Total shares (including
underlying shares assuming full conversion of warrants and convertible
securities) as a % of diluted share capital |
|
|
1 |
HDFC Trustee Company Ltd |
23110249 |
8.99 |
8.99 |
|
|
2 |
Reliance Capital Trustee
Company Ltd |
11345657 |
4.41 |
4.41 |
|
|
3 |
Unit Trust of India |
8685386 |
3.38 |
3.38 |
|
|
4 |
Life Insurance Corporation of
India |
7115298 |
2.77 |
2.77 |
Shareholding of
securities (including shares, warrants, convertible securities) of persons (together
with PAC) belonging to the category “Public” and holding more than 5% of the
total number of shares of the company
|
l. No. |
Name(s) of the
shareholder(s) and the Persons Acting in Concert (PAC) with them |
No. of Shares |
Shares as % of
Total No. of Shares |
Total shares
(including underlying shares assuming full conversion of warrants and
convertible securities) as a % of diluted share capital |
|
|
1 |
HDFC Trustee Company Ltd |
23110249 |
8.99 |
8.99 |
|
|
|
Total |
23110249 |
8.99 |
8.99 |
BUSINESS DETAILS
|
Line of Business : |
Subject engaged in Engineering, Procurement and Construction business (EPC). |
|
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|
|
Products / Services : |
Engineering, Procurement and Construction business (EPC). |
|
|
|
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Brand Names : |
Not Divulged |
|
|
|
|
Agencies Held : |
Not Divulged |
|
|
|
|
Exports : |
Not Divulged |
|
|
|
|
Imports : |
Not Divulged |
|
|
|
|
Terms : |
Not Divulged |
PRODUCTION STATUS NOT AVAILABLE
GENERAL INFORMATION
|
Suppliers : |
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Customers : |
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No. of Employees : |
Information declined by the management |
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Bankers : |
INDIA
MIDDLE EAST
US
MEXICO
BRAZIL
|
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Facilities : |
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Auditors : |
|
|
Name : |
Deloitte Haskin
and Sells Chartered Accountants |
|
Address : |
Mumbai, |
|
Tel No.: |
91-22-61854000 |
|
Fax No.: |
91-22-61854501/4601 |
|
|
|
|
Memberships : |
Not Available |
|
|
|
|
Collaborators : |
Not Available |
|
|
|
|
Subsidiaries-
wholly owned: |
|
|
|
|
|
Associate: |
RP Goenka Group of Companies Employees Welfare Association |
|
|
|
|
Subsidiaries: |
|
|
|
|
|
Joint Ventures: |
|
|
|
|
CAPITAL STRUCTURE
As on 31.03.2015
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
550000000 |
Equity Shares |
Rs.2/- each |
Rs.1100.000 million |
|
1500000 |
Redeemable Preference
Shares |
Rs.100/- each |
Rs.150.000 million |
|
|
Total |
|
Rs.1250.000
million |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
257088370 |
Equity Shares |
Rs.2/- each |
Rs.514.177
million |
|
|
|
|
|
Notes:
Reconciliation of number of equity Shares and amount outstanding at the
beginning and at the end of the year:
|
Particulars |
31.03.2015 |
|
|
Nos. |
Amount (Rs. in million) |
|
|
Equity Shares: |
|
|
|
Outstanding at
the beginning of the year |
257088370 |
514.177 |
|
Add : Shares
issued during the year |
-- |
-- |
|
Outstanding as at the end of the year |
257088370 |
514.177 |
Shareholders holding more than 5% equity Shares in the company as at the
end of the year:
|
Name of the
shareholder |
31.03.2015 |
|
|
Nos. of Shares
Held |
Percentage of
shares held |
|
|
Swallow Associates LLP *# |
69546616 |
27.05 |
|
Summit
Securities Limited * |
26974152 |
10.49 |
|
HDFC Trustee Company Limited A/c (AAATH1809A) |
23110249 |
8.99 |
|
Instant Holdings Limited * |
16592755 |
6.45 |
|
Reliance Capital Trustee Co. Limited (AAATR0090B) |
12605080 |
4.90 |
|
Life
Insurance Corporation of India (AAACL0582H) |
8145899 |
3.17 |
*
Shares held in Multiple Folios have been combined.
10,365,340 (Previous Year 10,365,340) Equity Shares of Rs. 2 each were allotted as fully paid up pursuant to contracts without payment being received in cash, during the period of five years immediately preceding the balance sheet date.
|
Particulars |
31.03.2015 Nos. |
|
Equity Shares of
Rs.2 each allotted in 2010-11 to the shareholders of the erstwhile RPG Cables
Limited pursuant to the Scheme of Amalgamation. |
10365340 |
3750 fully paid-up Equity Shares
of Rs.2 each were allotted to a trustee against 1688 equity shares of the
erstwhile RPG Transmission Limited (RPGT), since merged in the Company in
2007-08, where rights were kept in abeyance under section 206A(b) of the
Companies Act, 1956 by RPGT. On settlement of the relevant court cases/issues,
the Equity Shares issued to the trustee will be transferred.
The Company has only one
class of Equity Shares having a face value of Rs.2 each. Every member shall be entitled
to be present, and to speak and vote and upon a poll the voting right of every
member present in person or by proxy shall be in proportion to his share of the
paid-up equity share capital of the Company. The Company in General Meeting may
declare dividends to be paid to members, but no dividends shall exceed the
amount recommended by the Board, but the Company in General Meeting may declare
a smaller dividend.
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.
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 |
514.177 |
514.177 |
514.177 |
|
(b) Reserves & Surplus |
10594.704 |
9807.801 |
9252.078 |
|
(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) |
11108.881 |
10321.978 |
9766.255 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
2083.891 |
2140.947 |
2810.708 |
|
(b) Deferred tax liabilities
(Net) |
703.615 |
730.832 |
804.220 |
|
(c) Other long term
liabilities |
100.000 |
100.000 |
100.000 |
|
(d) long-term provisions |
108.702 |
99.037 |
97.905 |
|
Total
Non-current Liabilities (3) |
2996.208 |
3070.816 |
3812.833 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
12524.433 |
11012.676 |
6954.405 |
|
(b) Trade payables |
28615.318 |
28601.507 |
22263.202 |
|
(c) Other current liabilities |
5104.157 |
6205.883 |
8200.847 |
|
(d) Short-term provisions |
1105.253 |
1096.940 |
773.543 |
|
Total
Current Liabilities (4) |
47349.161 |
46917.006 |
38191.997 |
|
|
|
|
|
|
TOTAL |
61454.250 |
60309.800 |
51771.085 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
5960.374 |
6775.481 |
7091.212 |
|
(ii) Intangible Assets |
1283.501 |
1393.541 |
1515.482 |
|
(iii) Capital work-in-progress |
124.169 |
90.155 |
213.064 |
|
(iv) Intangible assets under
development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
65.651 |
63.796 |
63.747 |
|
(c) Deferred tax assets (net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
2922.291 |
1934.039 |
1173.950 |
|
(e) Other Non-current assets |
1688.283 |
1066.714 |
858.103 |
|
Total
Non-Current Assets |
12044.269 |
11323.726 |
10915.558 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
3719.871 |
3333.441 |
2855.015 |
|
(c) Trade receivables |
32265.682 |
33357.202 |
26226.632 |
|
(d) Cash and cash equivalents |
1261.333 |
902.397 |
618.986 |
|
(e) Short-term loans and advances |
5383.894 |
4497.743 |
4767.835 |
|
(f) Other current assets |
6779.201 |
6895.291 |
6387.059 |
|
Total
Current Assets |
49409.981 |
48986.074 |
40855.527 |
|
|
|
|
|
|
TOTAL |
61454.250 |
60309.800 |
51771.085 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
|
SALES |
|
|
|
|
|
Revenue from Operations |
65920.901 |
65587.669 |
55920.770 |
|
|
Other Income |
1774.100 |
829.739 |
206.414 |
|
|
TOTAL
(A) |
67695.001 |
66417.408 |
56127.184 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
35451.678 |
34662.256 |
30963.122 |
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
(27.912) |
(530.884) |
(45.734) |
|
|
Employees benefits expense |
3572.257 |
3215.148 |
2891.081 |
|
|
Exceptional Items |
0.000 |
181.642 |
1.376 |
|
|
Erection and Sub-contracting
Expenses |
16111.150 |
16654.591 |
13518.645 |
|
|
Other expenses |
7539.060 |
7857.724 |
6282.725 |
|
|
TOTAL
(B) |
62646.233 |
62040.477 |
53611.215 |
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION (C) |
5048.768 |
4376.931 |
2515.969 |
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
2521.326 |
2314.201 |
1648.063 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
2527.442 |
2062.730 |
867.906 |
|
|
|
|
|
|
|
Less/
Add |
DEPRECIATION/
AMORTISATION (F) |
704.034 |
554.175 |
430.550 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
BEFORE TAX (E-F) (G) |
1823.408 |
1508.555 |
437.356 |
|
|
|
|
|
|
|
Less |
TAX (H) |
716.058 |
652.702 |
391.772 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
AFTER TAX (G-H) (I) |
1107.350 |
855.853 |
45.584 |
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
Transfer to General Reserve |
110.700 |
85.600 |
4.500 |
|
|
Proposed Dividend on equity shares |
278.500 |
180.500 |
150.300 |
|
|
Total
(M) |
389.200 |
266.100 |
154.800 |
|
|
|
|
|
|
|
|
Balance
Carried to the B/S (J+K+L-M) |
718.150 |
589.753 |
(109.216) |
|
|
|
|
|
|
|
|
EARNINGS
IN FOREIGN CURRENCY |
|
|
|
|
|
Export of goods calculated on
F.O.B. basis |
11608.244 |
8809.619 |
7568.151 |
|
|
Freight recovered on sales |
162.846 |
327.882 |
597.782 |
|
|
Tower testing charges and
design charges |
457.219 |
170.342 |
70.264 |
|
|
Sales & Services :
overseas projects |
12687.737 |
19871.603 |
18029.026 |
|
|
Interest income |
4.040 |
1.373 |
3.651 |
|
|
Dividend income from wholly
owned subsidiaries/ jointly controlled entity |
351.095 |
702.332 |
40.425 |
|
|
Share of Profit from Joint
Venture |
261.818 |
0.000 |
0.000 |
|
|
Guarantee Charges received from
a wholly owned subsidiary/joint venture |
11.898 |
10.901 |
55.547 |
|
|
Others (Insurance claims,
etc.) |
11.627 |
24.875 |
12.403 |
|
|
TOTAL
EARNINGS |
25556.524 |
29918.927 |
26377.249 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Raw Materials and components |
2991.208 |
3020.539 |
3105.956 |
|
|
Spares parts / Dies and tools |
15.582 |
49.508 |
35.059 |
|
|
Purchase of capital goods |
43.109 |
318.541 |
363.884 |
|
|
TOTAL
IMPORTS |
3049.899 |
3388.588 |
3504.899 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (Rs.) |
4.31 |
3.33 |
0.18 |
CURRENT MATURITIES OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Current Maturities of Long term debt |
806.978 |
1079.331 |
1193.466 |
|
Cash generated from operations |
1825.837 |
500.620 |
(1155.204) |
|
Net cash flow from operating activity |
627.191 |
(268.360 ) |
(1508.123) |
KEY
RATIOS
|
PARTICULARS |
|
31.03.2015 |
31.03.2014 |
31.03.2013 |
|
Net Profit Margin (PAT / Sales) |
(%) |
1.68 |
1.30 |
0.08 |
|
|
|
|
|
|
|
Operating Profit Margin (PBIDT/Sales) |
(%) |
7.66 |
6.67 |
4.50 |
|
|
|
|
|
|
|
Return on Total Assets (PBT/Total Assets} |
(%) |
2.98 |
2.51 |
0.85 |
|
|
|
|
|
|
|
Return on Investment (ROI) (PBT/Networth) |
|
0.16 |
0.15 |
0.04 |
|
|
|
|
|
|
|
Debt Equity Ratio (Total Debt /Networth) |
|
1.39 |
1.38 |
1.12 |
|
|
|
|
|
|
|
Current Ratio (Current Asset/Current Liability) |
|
1.04 |
1.04 |
1.07 |
STOCK
PRICES
|
Face Value |
Rs.2/- |
|
Market Value |
Rs.142.80/- |
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 |
514.177 |
514.177 |
514.177 |
|
Reserves & Surplus |
9252.078 |
9807.801 |
10594.704 |
|
Net
worth |
9766.255 |
10321.978 |
11108.881 |
|
|
|
|
|
|
long-term borrowings |
2810.708 |
2140.947 |
2083.891 |
|
Short term borrowings |
6954.405 |
11012.676 |
12524.433 |
|
Current Maturities Of
Long-Term Debts |
1193.466 |
1079.331 |
806.978 |
|
Total
borrowings |
10958.579 |
14232.954 |
15415.302 |
|
Debt/Equity
ratio |
1.122 |
1.379 |
1.388 |
YEAR-ON-YEAR GROWTH
|
Year
on Year Growth |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs.
In Million) |
(Rs.
In Million) |
(Rs.
In Million) |
|
Sales |
55920.770 |
65587.669 |
65920.901 |
|
|
|
17.287 |
0.508 |
NET PROFIT MARGIN
|
Net
Profit Margin |
31.03.2012 |
31.03.2013 |
31.03.2014 |
|
|
(Rs.
In Million) |
(Rs.
In Million) |
(Rs.
In Million) |
|
Sales |
55920.770 |
65587.669 |
65920.901 |
|
Profit |
45.584 |
855.853 |
1107.350 |
|
|
0.08% |
1.30% |
1.68% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check list by
info agents |
Available in
Report (Yes/No) |
|
1 |
Year of establishment |
Yes |
|
2 |
Constitution of the entity -Incorporation
details |
Yes |
|
3 |
Locality of the entity |
Yes |
|
4 |
Premises details |
No |
|
5 |
Buyer visit details |
-- |
|
6 |
Contact numbers |
Yes |
|
7 |
Name of the person contacted |
Yes |
|
8 |
Designation of contact person |
Yes |
|
9 |
Promoter’s background |
Yes |
|
10 |
Date of Birth of Proprietor / Partners /
Directors |
Yes |
|
11 |
Pan Card No. of Proprietor / Partners |
No |
|
12 |
Voter Id Card No. of Proprietor / Partners |
No |
|
13 |
Type of business |
Yes |
|
14 |
Line of Business |
Yes |
|
15 |
Export/import details (if applicable) |
No |
|
16 |
No. of employees |
No |
|
17 |
Details of sister concerns |
Yes |
|
18 |
Major suppliers |
No |
|
19 |
Major customers |
No |
|
20 |
Banking Details |
Yes |
|
21 |
Banking facility details |
Yes |
|
22 |
Conduct of the banking account |
-- |
|
23 |
Financials, if provided |
Yes |
|
24 |
Capital in the business |
Yes |
|
25 |
Last accounts filed at ROC, if applicable |
Yes |
|
26 |
Turnover of firm for last three years |
Yes |
|
27 |
Reasons for variation <> 20% |
-- |
|
28 |
Estimation for coming financial year |
No |
|
29 |
Profitability for last three years |
Yes |
|
30 |
Major shareholders, if available |
Yes |
|
31 |
External Agency Rating, if available |
Yes |
|
32 |
Litigations that the firm/promoter
involved in |
Yes |
|
33 |
Market information |
-- |
|
34 |
Payments terms |
No |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
LITIGATION DETAILS
|
CASE DETAILS |
||||||||
|
Bench:- Bombay |
||||||||
|
Presentation Date:- 22.08.2013 |
||||||||
|
Lodging No:- |
ITXAL/1329/2013 |
Failing Date:- |
22.08.2013 |
Reg. No.:- |
ITXAL/2043/2013 |
Reg. Date:- |
21.10.2013 |
|
|
|
||||||||
|
Petitioner:- |
THE COMMISSIONER INCOME TAX 8, - |
Respondent:- |
KEC INTERNATIONAL LIMITED |
|||||
|
Petn.Adv:- |
ARVIND PINTO (O) |
Resp.Adv.: |
ATUL KARSANDA JASANI (33) |
|||||
|
District:- |
MUMBAI |
|||||||
|
Bench:- |
DIVISION |
Category: |
TAX APPEALS |
|||||
|
Status:- |
Pre-Admission |
Stage:- |
FOR ADMISSION |
|||||
|
Next Date:- |
27.10.2015 |
|||||||
|
Coram:- |
HON'BLE SHRI JUSTICE M.S. SANKLECHA HON'BLE SHRI JUSTICE G. S. KULKARNI |
|||||||
|
Last Date : |
2710.2015 |
|||||||
|
Last Coram:- |
HON'BLE SHRI JUSTICE M.S. SANKLECHA HON'BLE SHRI JUSTICE G. S. KULKARNI |
|||||||
|
Act:- |
Income Tax Act, 1961 |
Under Section :- |
260A |
|||||
PERFORMANCE
Financial Performance
In FY15, several measures were taken for improving the performance of the Company and to secure new orders across various businesses and geographies.
On a consolidated basis, the net revenue from operations for FY15 is Rs. 84680.000 Million, a growth of 7.2% over FY14. During the year Company disposed its surplus land at Thane, Mumbai which helped improve the net profit to Rs. 1610.000 Million, a growth of 141.1% over FY14. On a standalone basis, the net revenue from operations increased to Rs. 65920.000 Million and the net profit increased to Rs. 1110.000 Million.
The Company secured orders of Rs. 82230.000 Million in FY15. The closing order book position on March 31, 2015 is at Rs. 95080.000 Million. The Company is also expecting to receive significant orders in the near future as it has a good L1 pipeline.
The transmission business continues to perform well both in terms of revenue and profitability. However, the overall profitability of the Company was affected due to time and cost overruns associated with project closures in Railways, Water and Distribution businesses. The profitability was also negatively impacted due to adverse movement in currencies. The Company’s wholly owned subsidiary, SAE Towers, also reported negative profitability this year as a result of lower order intake in Mexico and lack of clearances in Brazil leading to higher inventories and lower production. This resulted in under absorption of fixed costs. The Cables business, however, has shown signs of turning around with topline growth of 43.7% over FY14. This was achieved due to higher capacity utilisation as a result of increase in demand. The Cables business has received type test approval for its 220 kV Cables from KEMA, Netherlands which has enabled the Company to commence sale of this product.
Evaluation of
performance
Making recommendations to the Board on appropriate performance criteria for the Directors. Formulate criteria and framework for evaluation of every Director’s performance. Identifying familiarization and training programs for the Board to ensure that Non-Executive Directors are provided adequate information regarding the operations of the business, the industry and their duties and legal responsibilities.
OPERATIONAL
HIGHLIGHTS
The key highlights for the Company’s various businesses are as follows:
Power Transmission
and Distribution
– This is the Company’s largest business vertical which provides end-to-end solutions for power evacuation from generating stations to consumer distribution points.
The Company secured orders worth Rs. 68120.000 Million during the year across India, MENA, Africa, SAARC and the Americas. The orders include the single largest order in transmission business from Saudi Electricity Company, Saudi Arabia and the largest ever order in domestic business from Karnataka Power Transmission Corporation Limited, Karnataka.
The Company has implemented a business transformation exercise to keep pace with the global growth in the business and the changing client requirements. As a result of this, the Company has:
o Defined and documented its proprietary ‘KEC way’ of project execution (more than 90% of the processes are internal best practices selected for horizontal deployment)
o Achieved associated savings in project cost due to wastage reduction;
o Developed a mindset to complete projects on time with focus on working capital.
The impact of above will be felt in the coming years. The Company is also focusing on significant cost savings in supply chain – procurement and logistics, especially in the transmission business.
The successful implementation of the transformation exercise has led to a reduction in the execution cycle for Transmission and Distribution projects and the Company has also successfully completed a few projects ahead of the contracted schedule. The performance was acknowledged with two prestigious awards from Power Grid Corporation of India Limited (PGCIL) namely; Best Transmission Line Contractors (large players) and Special Prize for helping PGCIL in restoring Power to New Delhi during last year black out.
During the year the Company has completed the prestigious Haldia River Crossing project in West Bengal. The project included construction of two of the tallest (775 feet) and heaviest towers (each weighing more than 1790 MT) on the Hoogly River. This project reaffirms the Company’s capability to execute challenging projects in difficult terrains and adverse weather conditions.
The Company also expanded its domestic presence in Substation business by securing large and prestigious orders for the establishment of various Gas Insulated Substations (GIS). A 765 kV GIS in Thiruvalam, Tamil Nadu constructed by KEC has been commissioned by PGCIL during the year, this is the second GIS Sub Station in India
The Company has also expanded its strong global EPC expertise in the Americas through its wholly owned subsidiary SAE Towers by securing five transmission EPC projects in Brazil.
Cables – The cables business has seen excellent order inflows during the year. It secured orders of Rs. 11560.000 Million in FY15, a growth of 35.2 percent over the previous year. In EHV segment, KEC manufactures cables up to 220 kV although the production line is capable of manufacturing cables up to 400 kV. Recently, they manufactured a 220 kV, 2000 mm2 cable which is largest ever in India. With the 220 kV KEMA type test certificate they are well positioned to cater to the increasing demand not only domestic but also the international markets.
Railways – The Company has secured two orders of Rs. 2460.000 Million for Over Head Electrification (OHE) from the Central Organization of Railway Electrification, India. The Company is also targeting projects related to Metro and Dedicated Freight Corridors in partnerships with other qualified players.
Water – This year the Company’s focus has been on technology projects like waste water treatment (WWT), presently four waste water treatment projects are under execution. The Company is expecting to complete the balance water resource management (WRM) projects during the current financial year.
Sale of Surplus
Assets During the year ended March 31,
2015, the Company has consummated
the transaction for sale of its
surplus land at Thane near Mumbai
for a total consideration of Rs.
2123.500 Million. Further the
Company has entered into agreement
for sale of its telecom assets in
the states of Chhattisgarh,
Meghalaya and Mizoram. The
consideration is envisaged at around
Rs. 810.00 Million subject to
fulfilment of certain conditions by
the Company. The transaction is
expected to be concluded in next few months after receipt of the required approvals.
MANAGEMENT DISCUSSION
AND ANALYSIS
Economy and Power
Sector Review
- Global Economic Scenario
Global growth has been less than moderate. Many advance economies are battling legacies of global financial crisis and high unemployment barring a few like the US and the UK who are of late witnessing improved growth. On the other hand, emerging economies are faced with daunting challenges like increased market risks and enhanced geopolitical risks. Their growth, which was mainly fuelled by strong external demand from advanced economies is an area of concern in the current scenario. However, this is expected to be offset by the decline in oil prices which is benefiting the emerging economies. Furthermore, there is an need for structural reforms in many economies, advanced and emerging market alike in areas including investment in public infrastructure etc. to boost investment prospects.
Global growth in 2015 and 2016 is projected at 3.5 and 3.8 percent respectively. In emerging markets and developing economies, growth is projected at 4.3 percent in 2015 and expected to increase to 4.7 percent in 2016 (World Economic Outlook, IMF, April, 2015 and January, 2015 updates). Although, the decline in oil prices is expected to give an impetus to global growth, uncertainty pertaining to the price path is a risk reflecting an altogether new dimension to global growth prospects.
- Indian Economic Scenario
India’s outlook for growth is gradually improving; there is renewal of confidence due to pick-up in industrial and investment activity. Reforms in the area of policy are also regaining momentum. Government’s initiative of ‘Make in India’ and enhanced focus on manufacturing are further expected to boost India’s growth prospects.
Indian economy is expected to grow at a high rate of around 8.1 to 8.5 percent in FY16, it grew at 7.4 percent in FY15 (E) and 6.9 percent in FY14 (Source: Economic Survey Highlights). This reiterates the fact that the economy is progressing and is moving beyond economic slowdown, persistent inflation, elevated fiscal deficit, slack in domestic demand, external account imbalances and fluctuating value of the Rupee.
- Power Sector Review
Globally, emphasis on grid integration, migration to higher voltages, enhanced focus on clean and green energy etc. signify that power sector is transforming and evolving towards better quality outlook the world over. transmission and distribution networks are also expanding and quality of power is definitely gaining momentum. However, power is a scarce commodity and a large part of the globe still faces shortage of power. With rapid urbanization and industrialisation, the demand for power is growing day by day necessitating substantial investments in Power Generation and Transmission and Distribution infrastructure. Total investment needed for T&D during 2014-2035 is estimated at USD 6.8 trillion; USD 1.8 trillion for Power Transmission and USD 5.0 trillion for Power Distribution. (Source: International Energy Agency (IEA) - World Energy Outlook 2014)
Industry Outlook and
Opportunities across Businesses and Related Geographies
This section highlights the industry outlook and opportunities in each of the Company’s Business – Power Transmission and Distribution, Cables, Railways, Water and Renewable (Solar).
Power Transmission
and Distribution Business - Outlook and Opportunities
This is the largest business vertical of the Company. With around 7 decades of experience, KEC has global leadership position in the power transmission EPC space and is rapidly growing in power distribution space mainly in the domestic market. Globally, T&D investment is expected to be around USD 6.8 trillion between 2014 and 2035 largely led by Asia, America, Europe and Africa (Source: IEA). The Company’s T&D business is spread across various regions. Region-wise outlook and opportunities in this business are as follows:
I) South Asia (India)
With around 2,72,503 MW of installed generation capacity, 3,16,281 ckm of installed transmission capacity and 6,08,245 MVA of substation transformation capacity, the Indian power sector has achieved remarkable growth over the years.
However, India still faces perennial shortage of power and around 25 percent of India’s population is still without access to electricity. India’s burgeoning population, rapid urbanisation and industrialisation, emphasis on 24X7 power across the country by 2019, focus on infrastructure development combined with proposed establishment of smart cities imply high growth in electricity demand which necessitates continuous and efficient supply of electricity.
Elaborating more on capacity additions, the 12th and 13th plan envisage around 88,537 MW and 93,400 MW of generation capacity addition; 1,09,440 ckm and 1,30,000 ckm of transmission capacity addition and 2,70,000 MVA and 3,00,000 MVA of substation capacity addition respectively. This requires an investment of Rs. 1800000.000 Million and Rs. 3062350.000 Million during the 12th plan for transmission and distribution capacity addition respectively. The T&D sector in particular suffers from substantial underinvestment as compared to the generation sector. Evacuation of power is a major concern in India which has to be addressed at the earliest. Ensuring energy security is vital for India’s growth and development. Adequate funds have to be infused to strengthen the T&D network in India.
The growth in intra-state power transmission networks, which falls under the State Electricity Boards (SEBs) and their transmission utilities (STUs) has not been able to match the interstate capacity addition due to financial constraints. However, the Government of India (GoI) cleared the restructuring programme for SEBs. Some of the SEBs are in the process of restructuring their debt, a move which is likely to expedite progress of this sector and provide opportunities for power and its ancillary industries.
Further, the industry continues to be grappled with numerous issues like fuel linkages for generation capacity additions, land acquisition, Right of Way, statutory clearances, poor financial health of SEBs and funding constraints which hamper the progress. Concurrently, the competitive intensity is increasing on both market side as well as supply side (fuel, logistics, finances\ and manpower).’
Conscious about the challenges as well as about the fact that power sector development is necessary for sustained economic development, the Indian Government has embarked on numerous initiatives and mechanisms to expedite the progress of this sector. The Government is also encouraging Public Private Partnerships (PPP) in the T&D sector. They are incrementally seeing projects being awarded through competitive bidding processes on BOO/BOOT/ BOOM model.
II) South Asia Region
(SAARC excluding India)
The Company’s presence in South Asia region is increasing. The region faces energy scarcity and hence prospective investment opportunities are expected to benefit the Company. The Company has strong local presence and execution experience in the region and is currently executing projects in Bhutan, Afghanistan, Bangladesh, Nepal and Sri Lanka. During the year, it has secured good orders from Bangladesh. Further, India’s cross border electricity transmission interconnections with Bangladesh, Sri Lanka, Nepal and Bhutan are also being expanded to facilitate power trade between the countries.
III) The MENA Region
Power demand in the Middle East and North Africa (MENA) region is set to grow, mainly on account of strong economic and demographic growth associated with rapid urbanisation and strong industrial growth in the region. The region is also diversifying fuel sources and investing in renewables/nuclear sources.
IV) Rest of Africa
Region excluding North Africa Region
Due to the energy deficiency experienced by this region, it has significant growth potential. In Sub-Saharan Africa, the average electricity consumption per capita is 535 kWh. Further, around 68 percent of its population is still without access to electricity (Source: IEA). The continent has under-exploited energy resources and under-served demand as compared to the rest of the world.
Numerous multilateral funding agencies are dispensing funds for new projects in this region. Further, various cross-border transmission line interconnections are also expected which will improve power transmission infrastructure thereby leading to efficient energy exchange among the countries.
V) Central Asia
Region
On account of its growing industrialisation, Central Asia continues to be a high growth market with increasing demand for electricity. Many countries in this region are facing electricity supply issues due to financial constraints. However, multilateral institutions have come to their rescue and are supporting and funding several initiatives to expand and upgrade the region’s Soviet-era power infrastructure.
VI) North America and
Latin America Region
North America: The
North America transmission system
needs investment to build new lines
as well as upgrade and refurbish the
existing network as existing transmission
grid is ageing due to under-investment
in transmission infrastructure as well as complying with potential upgrades to regulations,
with a ruling expected by mid-2015.
As coal-fired power plants go offline under U.S. EPA’s Clean Power Plan, building new power lines to evacuate renewable energy is expected to drive investment over next five years.
Around 2,60,000 kms of additional transmission lines are planned to be added between 2014 to 2035 (Source: IEA). Over this period, the expected investment in transmission line infrastructure is estimated to the tune of USD 324 billion.
Besides, with the new federally proposed Clean Power Plan in the US, many states have issued the Renewable Portfolio Standards regulation. This directive mandates electricity suppliers to produce a specified portion of their electricity from renewable energy sources.
In Canada, new generation sources in Alberta and new hydroelectric generation expansion continue to contribute for an increase in demand of transmission lines.
Latin America: Between 2014 to 2035 an estimated investment of USD 128 billion is planned to be made on transmission line in this region. Brazil, the largest market in Latin America, covers nearly half of the continent of South America. Brazil’s Government plans to build about 2,28,000 kms of transmission lines between 2014 and 2035 (Source: IEA). In Mexico, the state-owned Comisión Federal de Electricidad (CFE) owns and operates transmission lines. Significant transmission line infrastructure is expected to be built in Mexico over the years to come.
VII) Southeast Asian
Region
The region’s energy demand has expanded approximately 2.5 times since 1990. Major demand drivers include growth of Industry, Buildings and Transport sectors. However, the region’s per capita energy use is still low and 1/4th of its population is without access to electricity. The region is projected to require an additional 2,40,000 kms of transmission lines and 37,35,000 kms of distribution lines to connect end-users between 2014 and 2035. Its investment needs are expected to be around USD 544 billion for T&D infrastructure (Source: IEA). Many countries in this region have formulated plans to increase their power generation capacity and grid expansion.
Cables Business –
Outlook
The Company manufactures power cables and telecom cables, with the former constituting a significant part of its cables business. A significant portion of their cables are also exported to numerous developed and developing countries.
Power Cables
Domestic demand for these cables is inextricably linked to the infrastructure growth. Government’s thrust on strengthening of sub-transmission and distribution systems and increasing share of Renewables is expected to result in increase in demand for Power Cables. The demand is also expected to get a boost on account of the proposed smart cities and mass transportation projects where higher proportion of EHV and HT cables are majorly used.
Telecom Cables
The Optic Fibre Cables requirement is expected to grow on the back of 3G, 4G network installations along with Government of India driven National Optic Fibre Network (NOFN) programme.
INDEX
OF CHARGES
|
S.No. |
Charge ID |
Date of Charge Creation/Modification |
Charge amount secured |
Charge Holder |
Address |
Service Request Number (SRN) |
|
1 |
10522718 |
26/09/2014 |
500,000,000.00 |
IDBI TRUSTEESHIP SERVICES LIMITED |
Asian Building, Ground Floor, 17 R Kamani Marg, Ballard Estate,
Mumbai, Maharashtra - 400001, INDIA |
C23365109 |
|
2 |
10523248 |
17/11/2014 * |
750,000,000.00 |
IDBI TRUSTEESHIP SERVICES LIMITED |
Asian Building, Ground Floor, 17 R Kamani Marg, Ballard Estate,
Mumbai, Maharashtra - 400001, INDIA |
C34348532 |
|
3 |
10484445 |
04/04/2014 * |
750,000,000.00 |
IDBI TRUSTEESHIP SERVICES LIMITED |
Asian Building, Ground Floor, 17 R Kamani Marg, Ballard Estate,
Mumbai, Maharashtra - 400001, INDIA |
C03665882 |
|
4 |
10304824 |
07/04/2012 * |
1,200,000,000.00 |
Export - Import Bank of India |
Sakar II, Near Ellisbridge Shopping Centre, Ashra |
B38080842 |
|
5 |
10257075 |
03/05/2011 * |
350,000,000.00 |
Export-Import Bank of India |
FLOOR 21, CENTRE ONE BUILDING, WORLD TRADE CENTRE, |
B13160270 |
|
6 |
10198804 |
19/06/2015 * |
120,000,000,000.00 |
BANK OF INDIA |
MUMBAI LARGE CORPORATE BRANCH, ORIENTAL BUILDING, 364, DR. D. N. ROAD,
FORT, MUMBAI, Maharashtra |
C60104486 |
|
7 |
10160904 |
31/07/2014 * |
106,500,000,000.00 |
IDBI TRUSTEESHIP SERVICES LIMITED |
Asian Building, Ground Floor, 17 R Kamani Marg, Ballard Estate,
Mumbai, Maharashtra - 400001, INDIA |
C19061167 |
|
8 |
10108502 |
25/06/2008 |
220,815,331.43 |
THE PRADESHIYA INDUSTRIAL & INVESTMENT CORPORATION |
PICUP BHAWN, GOMTI NAGAR, LUCKNOW, Uttar Pradesh - |
A40843278 |
|
9 |
10090177 |
20/02/2008 |
84,613,115.00 |
The Pradeshiya Industrial and Investment Corporati |
PICUP Bhavan, Gomti Nagar, Lucknow, Uttar Pradesh |
A33585571 |
|
10 |
80059040 |
28/09/1998 |
36,880,825.43 |
THE PRADESHIYA INUSTRIAL & INVESMENT CORPN OF U P |
PICUP BHAWAN, GONTI NAGAR , LUCKNOW, Uttar Pradesh - 226010, INDIA |
- |
CONTINGENT
LIABILITIES:
(Rs. in million)
|
PARTICULARS |
31.03.2015 |
31.03.2014 |
|
(a) Claims against
the Company not acknowledged as debts: |
|
|
|
1 Sales Tax /Value Added Tax* (Tax/Penalty/Interest) |
909.346 |
659.987 |
|
2 Excise Duty * (Tax/Penalty/Interest) |
399.258 |
340.822 |
|
3 Service Tax * (Tax/Penalty/ Interest) |
1682.200 |
1698.340 |
|
4 Entry Tax * (Tax/Penalty/Interest) |
215.828 |
197.494 |
|
5(i) Income Tax matters mainly in respect of allowance of depreciation etc. relating to Power Transmission Business acquired by the Company where Department is in appeal in the Supreme Court. |
241.610 |
241.610 |
|
(ii) Income Tax matters at overseas unit/s and of joint venture |
590.396 |
314.353 |
|
6 Customs Duty |
6.014 |
6.014 |
|
7 Civil Suits |
6.702 |
7.202 |
|
8 Claims including amounts withheld by the Customers of the Company |
2082.709 |
727.099 |
FIXED ASSETS
- Land
- Buildings
- Plant and Equipment
- Furniture and Fixtures
- Vehicles
- Office Equipment
- Computers
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.65.04 |
|
|
1 |
Rs.99.58 |
|
Euro |
1 |
Rs.71.75 |
INFORMATION DETAILS
|
Information
Gathered by : |
SVA |
|
|
|
|
Analysis Done by
: |
RSM |
|
|
|
|
Report Prepared
by : |
SUJ |
SCORE & RATING EXPLANATIONS
|
SCORE FACTORS |
RANGE |
POINTS |
|
HISTORY |
1~10 |
6 |
|
PAID-UP CAPITAL |
1~10 |
6 |
|
OPERATING SCALE |
1~10 |
6 |
|
FINANCIAL
CONDITION |
|
|
|
--BUSINESS SCALE |
1~10 |
6 |
|
--PROFITABILITY |
1~10 |
6 |
|
--LIQUIDITY |
1~10 |
6 |
|
--LEVERAGE |
1~10 |
6 |
|
--RESERVES |
1~10 |
6 |
|
--CREDIT LINES |
1~10 |
6 |
|
--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 |
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 |
|
54 |
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.