MIRA INFORM REPORT

 

 

Report No. :

347811

Report Date :

31.10.2015

 

IDENTIFICATION DETAILS

 

Name :

WALCHANDNAGAR INDUSTRIES LIMITED

 

 

Registered Office :

3, Walchand Terrace, Opposte Air Conditioned Market, Tardeo, Mumbai – 400034, Mahrashtra

Tel. No.:

91-22-23634527/4028110/04

 

 

Country :

India

 

 

Financials (as on) :

30.09.2014

 

 

Date of Incorporation :

25.11.1908

 

 

Com. Reg. No.:

11-000291

 

 

Capital Investment / Paid-up Capital :

Rs. 76.140 Million

 

 

CIN No.:

[Company Identification No.]

L74999MH1908PLC000291

 

 

IEC No.:

Not Available

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

MUMW02073B

 

 

PAN No.:

[Permanent Account No.]

AAACW0541M

 

 

Legal Form :

A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.

 

 

Line of Business :

Manufacturer, Exporter and Importer of conveyor and transmission belts, flow dynamics conveyor, High Angle conveyor, Long distance conveyor.

 

 

No. of Employees :

500 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (47)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

Slow and delayed

 

 

Litigation :

Exist

 

 

Comments :

Subject was established in the year 1908 and it is engaged in manufacturing heavy engineering products and machinery. Its services includes engineering, procurement and construction.

 

For the financial year ended September 2014, revenue of the company has declined by 11.76% and it also incurred loss from its operations during the year under a review.

 

Rating derive strength from its experienced promoters and established track record of over a century in the heavy engineering industry supported by its proven project execution capabilities along with revenue diversification with presence across sectors and geographies.

 

However, rating strength partially offset by working capital intensive nature of business operations and susceptibility of business performance to cyclical economic conditions.

 

Payment terms are reported slow and delayed by 90 to 180 days.

 

In view of aforesaid, the company can be considered for business dealings with some caution.

 

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 (Fund Based) = BBB+

Rating Explanation

Moderate degree of safety and moderate credit risk.

Date

January 13, 2015

 

Rating Agency Name

CARE

Rating

Short Term Bank Facilities (Non-fund Based) = A2

Rating Explanation

Strong degree of safety and low credit risk.

Date

January 13, 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 DENIED BY

 

Name :

Mr. Mayur Thattey

Designation :

Finance Head

Contact No.:

91-2163-227201

Date :

29.10.2015

 

Name :

Mr. Govind Khupekar

Designation :

Account Manager

Contact No.:

91-2163-227201

Date :

29.10.2015

 

 

LOCATIONS

 

Registered Office :

3, Walchand Terrace, Opposte Air Conditioned Market, Tardeo, Mumbai – 400034, Mahrashtra,  India

Tel. No.:

91-22-23634527/40287110/04

Fax No.:

91-22-23634527

E-Mail :

wil@walchand.com

Website :

http://www.walchand.com

 

 

Pune Office :

Walchand House, 15/1/B-2, Kothrud, Pune – 411038, Maharashtra, India

 

 

Factory 1 :

Walchandnagar, District Pune, Maharashtra, India

 

 

Factory 2 :

Satara Road, District Satara - 415010, Maharashtra, India

Tel. No.:

91-2163-227201 / 227316

Fax No.:

91-2163-227205

E-Mail :

wilfoundry@vsnl.net

 

 

Factory 3 :

Attikola, District Dharwad - 580003, Karnataka, India

Tel. No.:

91-836-2448565/ 2447359/ 2442382

Fax No.:

91-836-2448508

E-Mail :

tiwac@sancharnet.in

 

 

Marketing and Project Office:

Walchand House, 167A, 2/8+2/9, Karve Road, Kothrud, Pune – 411 038, Maharashtra, India

Tel. No.:

91-20-30252400

 

 

Oil and Gas :

215- Raikar Chambers, Govandi (East), Mumbai – 400 088, Maharashtra, India

Tel. No.:

91-22-25502807/25502808

Fax No.:

91-22-25502804

E-mail :

oilandgas@walchand.com

 

 

Branch Office :

Located at:

 

·         Hyderabad

·         Chennai

·         New Delhi

 

 

DIRECTORS

 

AS ON 30.09.2014

 

Name :

Mr. Chakor Lalchand Doshi

Designation :

Chairman

Address :

Neela House, 2nd Floor, M. L. Dahanukar Marg, Mumbai – 400 026, Maharashtra, India 

Date of Birth/Age :

15.09.1948

Date of Appointment :

15.05.1979

DIN No.:

00210949

 

 

Name :

Dr. Prahlad Kumar Basu

Designation :

Director

Address :

The Retreat, Bungalow No. 460, Sector 15A, Noida (Uttar Pradesh), Off New Delhi – 201 301, India

Date of Birth/Age :

16.12.1931

Date of Appointment :

18.12.1990

DIN No.:

01293663

 

 

Name :

Mr. Dilip Jayantikumar Thakkar

Designation :

Director

Address :

12, Acropolis-B, Little Gibs Road, Mumbai – 400 006, Maharashtra, India

Date of Birth/Age :

01.10.1936

Date of Appointment :

10.03.2003

DIN No.:

00007339

 

 

Name :

Dr. Anil Purushottam Kakodkar

Designation :

Director

Address :

5/1104, Accolade Co-Operative Housing Society, Hajuri Dargah Marg, Behind LIC, Thane (West) – 400 604, Maharashtra, India 

Date of Birth/Age :

11.11.1942

Date of Appointment :

27.12.2010

DIN No.:

03057596

 

 

Name :

Mr. Ghyanendra Nath Bajpai

Designation :

Director

Address :

131, Shaan Apartemnts, Kashinath Dhuru Marg, Opposite Kirti College, Prabhadevi, Mumbai – 400 028, Maharashtra, India 

Date of Birth/Age :

06.07.1942

Date of Appointment :

27.12.2010

DIN No.:

00946138

 

 

Name :

Mr. A. R. Gandhi

Designation :

Director

 

 

Name :

Mrs. Bhavna Gautam Doshi

Designation :

Director

 

 

Name :

Mr. Arjun Uttamchand Rijhsinghani

Designation :

Director

Address :

172-B, Shivalik, Near Malviya Nagar, New Delhi – 110 017, India

Date of Birth/Age :

13.11.1932

Date of Appointment :

24.04.2006

DIN No.:

00177091

 

 

Name :

Mr. Jaysing Laxmanrao Deshmukh

Designation :

Director

Address :

185, Mahatma Housing Society, Kothrud, Pune – 411 029, Maharashtra, India 

Date of Birth/Age :

03.05.1949

Date of Appointment :

01.04.2004

DIN No.:

00267467

 

 

Name :

Mr. G. K. Pillai

Designation :

Managing Director and Chief Executive Officer

 

 

Name :                                

Mr. Chirag Chakor Doshi

Designation :

Managing Director

Address :

Neela House, 4th Floor, M. L. Dahanukar Marg, Mumbai – 400 026, Maharashtra, India 

Date of Birth/Age :

22.04.1974

Qualification :                     

B.A. (Economics) from University of Michigan, USA; and MBA from the worldrenowned ‘INSEAD INSTITUTE’, Paris.

Date of Appointment :

25.11.2007

DIN No.:

00181291

 

 

KEY EXECUTIVES

 

Name :

Mr. Mayur Thattey

Designation :

Finance Head

 

 

Name :

Mr. Govind Khupekar

Designation :

Account Manager

 

 

MAJOR SHAREHOLDERS

 

AS ON 30.09.2015

 

Category of Shareholder

No. of Shares

% of Holdings

(A) Shareholding of Promoter and Promoter Group

http://www.bseindia.com/include/images/clear.gif(1) Indian

 

 

http://www.bseindia.com/include/images/clear.gifIndividuals / Hindu Undivided Family

80280

0.21

http://www.bseindia.com/include/images/clear.gifBodies Corporate

15471923

40.64

http://www.bseindia.com/include/images/clear.gifAny Others (Specify)

386410

1.01

http://www.bseindia.com/include/images/clear.gifTrusts

386410

1.01

http://www.bseindia.com/include/images/clear.gifSub Total

15938613

41.87

http://www.bseindia.com/include/images/clear.gif(2) Foreign

 

 

http://www.bseindia.com/include/images/clear.gifBodies Corporate

5000000

13.13

http://www.bseindia.com/include/images/clear.gifSub Total

5000000

13.13

Total shareholding of Promoter and Promoter Group (A)

20938613

55.00

(B) Public Shareholding

http://www.bseindia.com/include/images/clear.gif(1) Institutions

 

 

http://www.bseindia.com/include/images/clear.gifMutual Funds / UTI

486035

1.28

http://www.bseindia.com/include/images/clear.gifFinancial Institutions / Banks

120716

0.32

http://www.bseindia.com/include/images/clear.gifCentral Government / State Government(s)

12000

0.03

http://www.bseindia.com/include/images/clear.gifInsurance Companies

1379988

3.62

http://www.bseindia.com/include/images/clear.gifForeign Institutional Investors

5150

0.01

http://www.bseindia.com/include/images/clear.gifSub Total

2003889

5.26

http://www.bseindia.com/include/images/clear.gif(2) Non-Institutions

 

 

http://www.bseindia.com/include/images/clear.gifBodies Corporate

1588342

4.17

http://www.bseindia.com/include/images/clear.gifIndividuals

 

 

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital up to Rs. 0.100 Million

11804252

31.01

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital in excess of Rs. 0.100 Million

586890

1.54

http://www.bseindia.com/include/images/clear.gifQualified Foreign Investor

42254

0.11

http://www.bseindia.com/include/images/clear.gifAny Others (Specify)

1105965

2.91

http://www.bseindia.com/include/images/clear.gifClearing Members

366456

0.96

http://www.bseindia.com/include/images/clear.gifNRIs/Foreign Individuals

6630

0.02

http://www.bseindia.com/include/images/clear.gifNon Resident Indians

138444

0.36

http://www.bseindia.com/include/images/clear.gifOthers

30439

0.08

http://www.bseindia.com/include/images/clear.gifOverseas Corporate Bodies

5870

0.02

http://www.bseindia.com/include/images/clear.gifTrusts

4675

0.01

http://www.bseindia.com/include/images/clear.gifHindu Undivided Families

553451

1.45

http://www.bseindia.com/include/images/clear.gifSub Total

15127703

39.74

Total Public shareholding (B)

17131592

45.00

Total (A)+(B)

38070205

100.00

(C) Shares held by Custodians and against which Depository Receipts have been issued

 

 

http://www.bseindia.com/include/images/clear.gif(1)

0

0.00

http://www.bseindia.com/include/images/clear.gif(2)

0

0.00

http://www.bseindia.com/include/images/clear.gifSub Total

0

0.00

Total (A)+(B)+(C)

38070205

0.00

 

 

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Promoter and Promoter Group

 

Sl.No.

Name of the Shareholder

Details of Shares held

No. of Shares held

As a % of grand total (A)+(B)+(C)

1

Walchand Kamdhenu Commercials Private. Limited.

98,69,673

25.92

2

Walchand Great Achievers Private. Limited.

52,60,160

13.82

3

Rodin Holdings Inc.

30,00,000

7.88

4

Olsson Holdings Inc.

20,00,000

5.25

5

Smt. Lalitabai Lalchand Charity Trust

3,79,210

1.00

6

Walchand Chiranika Trading Private Limited.

3,42,090

0.90

7

Chakor L. Doshi

49,250

0.13

8

Chirag C. Doshi

14,000

0.04

9

Champa C. Doshi

10,350

0.03

10

Walchand Charitable Trust

7,200

0.02

11

Chakor L. Doshi HUF

6,680

0.02

 

Total

2,09,38,613

55.00

 

 

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

1

Life Insurance Corporation of India

1379988

3.62

2

Reliance Capital Trustee Co. Limited. A/C Reliance Capital Builder Fund - SR

477535

1.25

 

Total

1857523

4.88

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer, Exporter and Importer of conveyor and transmission belts, flow dynamics conveyor, High Angle conveyor, Long distance conveyor.

 

 

Products :

Not Available

 

 

Brand Names :

Not Available

 

 

Agencies Held :

Not Available

 

 

Exports :

 

Products :

Finished Goods

Countries :
  • Kenya
  • Indonesia

 

 

Imports :

 

Products :

Raw Material

Countries :
  • China
  • UK

 

 

Terms :

 

Selling :

Cash and Credit (30/60/90 Days)

 

 

Purchasing :

Cash and Credit (30/60/90 Days)

 

 

GENERAL INFORMATION

 

Suppliers :

Reference :

Not Divulged

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Experience :

Not Divulged

Maximum Limit Dealt :

Not Divulged

 

 

Customers :

Reference :

Not Divulged

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Experience :

Not Divulged

Maximum Limit Dealt :

Not Divulged

 

 

No. of Employees :

500 (Approximately)

 

 

Bankers :
  • State Bank of India
  • Bank of India
  • ING Vysya Bank Limited

 

 

Facilities :

SECURED LOANS

30.09.2014

(Rs. in Million)

30.09.2013

(Rs. in Million)

LONG TERM BORROWINGS

 

 

Vehicle loan

0.661

1.079

Corporate loan

750.000

0.000

SHORT TERM BORROWINGS

 

 

Buyers credit loan

89.534

31.425

Working capital loans

1949.989

1203.720

Working capital loans

449.967

450.000

Working capital loans

86.637

35.610

Total

3240.151

1686.224

 

 

 

 

NOTE:

 

LONG TERM BORROWINGS

 

(i) Vehicle Loan from ICICI Bank

 

 

Particulars

Amount of loan Rs. In Million

Rato of interest

Installment amount  Rs. In Million

No. of outstanding installments

Period of maturity from balace sheet date

Vehicle Loan – Secured by vehicle bougt uner loan and repayable in 60 equated monthly installment of Rs. 0.430 Million and interst of Rs. 0.043 million and interest @10.82 % pa.a

2.000

10.82

0.043

2.900

29 months

 

(ii) Corporate loan of Rs. 750.000 Million (Rs. 400.000 Million from State Bank of India  and Rs. 350.000 Million from Bank of India) at an interest rate of 12.50% is secured by:

 

(a) First pari passu charge on specified demarcated fixed assets of the company’s Heavy Engineering Division.

(b) Mortgage of two specified immovable properties  at Pune city.

(c) 2nd pari passu charge on current assets of the company.

 

Particulars

No. of months

No. of installment

Amount (Rs. In Million)

Oct 2014- Sept 2015

12

Moratorium Period

--

Oct 2015-Mar 2016

6

Rs. 37.500 Million*2 Qtrs

75.000

April 2016-Mar 2017

12

Rs. 37.500 Million* 4 Qtrs.

150.000

April 2017-Mar 2018

12

Rs. 37.500 Million* 4 Qtrs

150.000

April 2018-Mar 2019

12

Rs. 37.500 Million* 4 Qtrs

150.000

April 2019-Mar 2020

12

Rs. 37.500 Million* 4 Qtrs

150.000

April 2020-Sept 2021

6

Rs. 37.500 Million* 2 Qtrs

75.000

 

 

 

 

Total

72

 

750.000

 

SHORT TERM BORROWINGS

 

-       The facilities mentioned at (1) and (2) above are secured by mortgage of residential flat in Mumbai, land and building and by way of charge on all movable plant and machinery, fixtures, implements, fittings, furniture, current assets (both present and future) including stock-in-trade, raw material, semi-finished and finished products, stores and spares, book debts, tools and accessories and other movables of and pertaining to Heavy Engineering Division at Walchandnagar.

-       Secured by hypothecation of all those tangible movable properties and assets, including all stocks of Raw Material, Components, Tools, Stores Materials, Work-inProgress, Finished Goods and Book Debts and equitable mortgage on fixed assets of Foundry Division at Satara Road.

 

 

 

Auditors :

 

Name :

K.S. Aiyar and Company

Chartered Accountants

 

 

Memberships :

Not Available

 

 

Collaborators :

Not Available

 

 

Enterprises over which any person described in (i) or (ii) above are able to exercise significant influence :
  • Bombay Cycle and Motor Agency Limited (BCMA)
  • Olsson Holdings Inc.
  • Walchand Great Achievers Private Limited
  • Vinod Shashank Chakor Private Limited
  • Walchand Kamdhenu Commercials Private Limited
  • Chirag Enterprises
  • Walchand Chiranika Trading Private Limited
  • Walchand Engineers Private Limited
  • Chakor Doshi HUF
  • Walchand Projects Private Limited
  • Chirag Doshi HUF
  • Walchand Power Systems Private Limited
  • Chiranika Enterprises
  • Walchand Oil and Gas Private Limited
  • Chiranika Corporation
  • Walchand Leisure Realty Private Limited
  • Chiranika Properties Walchand BMH Private Limited
  • Walchand Botanicals Private Limited
  • Walchand Solar Private Limited
  • Rodin Holdings Inc.
  • Trust Finlease Private Limited

 

 

CAPITAL STRUCTURE

 

As on: 30.09.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

50000

10% Cumulative Preference Shares

Rs.100/- each

Rs.5.000 Millions

50000

Preference Shares

Rs.100/- each

Rs.5.000 Millions

120000000

Equity Shares

Rs.2/- each

Rs.240.000 Millions

 

 

 

 

 

Total

 

Rs.250.000 Millions

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

38070205

Equity Shares

Rs.2/- each

Rs.76.140 Millions

 

 

 

 

 

 

(a) Reconciliation of number of shares outstanding:

 

Equity Shares of Rs. 2 each

Number of Shares

Amount in Millions

At the beginning of the year

38070205

76.140

Movements during the year

--

--

At the end of the year

38070205

76.140

 

(b) Terms and Rights attached to Equity Shares:

 

The Company has only one class of equity shares having par value of Rs. 2 per share. Each shareholder of equity share is entitled to one vote per share. The company declares and pays dividends in Indian Rupees. The dividend proposed by the Board of Directors is subject to 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 shareholders holding more than 5% of shares in the Company:

 

(Equity shares of Rs. 2 each fully paid up)

Number of Shares

% of holding

Walchand Kamdhenu Commercials Private Limited

9869673

25.92

Walchand Great Achievers Private Limited

5260160

13.82

Rodin holdings inc.

3000000

7.88

Olsson holdings inc.

2000000

5.25

 

 

FINANCIAL DATA

[all figures are in Rupees Million]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

30.09.2014

30.09.2013

30.09.2012

I.              EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

76.140

76.140

76.140

(b) Reserves & Surplus

6627.350

6988.157

3934.616

(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)

6703.490

7064.297

4010.756

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

750.661

1.079

212.737

(b) Deferred tax liabilities (Net)

854.942

851.891

33.710

(c) Other long term liabilities

0.000

0.000

1329.081

(d) long-term provisions

55.616

40.975

9.789

Total Non-current Liabilities (3)

1661.219

893.945

1585.317

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

2751.928

2357.367

1654.198

(b) Trade payables

2056.214

2719.916

2566.982

(c) Other current liabilities

2939.129

2675.444

2630.086

(d) Short-term provisions

38.599

148.585

87.942

Total Current Liabilities (4)

7785.870

7901.312

6939.208

 

 

 

 

TOTAL

16150.579

15859.554

12535.281

 

 

 

 

II.            ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

6140.981

6338.476

2967.477

(ii) Intangible Assets

29.395

44.087

43.653

(iii) Capital work-in-progress

43.896

204.129

219.528

(iv) Intangible assets under development

0.000

0.000

10.965

(b) Non-current Investments

51.987

102.238

13.565

(c) Deferred tax assets (net)

190.101

190.101

0.000

(d) Long-term Loan and Advances

115.407

237.837

34.942

(e) Non-Current Trade Receivables

230.415

34.365

0.000

(f) Other Non-current assets

13.700

13.700

13.700

Total Non-Current Assets

6815.882

7164.933

3303.830

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

193.369

206.920

185.409

(b) Inventories

2747.574

2626.733

3143.934

(c) Contractors-in-progrss

431.701

0.000

0.000

(d) Trade receivables

4046.984

4172.158

4390.913

(e) Cash and cash equivalents

468.557

122.652

185.379

(f) Short-term loans and advances

1290.909

1389.078

987.558

(g) Other current assets

155.603

177.080

338.258

Total Current Assets

9334.697

8694.621

9231.451

 

 

 

 

TOTAL

16150.579

15859.554

12535.281

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

30.09.2014

30.09.2013

30.09.2012

 

SALES

 

 

 

 

 

Income

6382.310

7265.135

8814.709

 

 

Other Income

78.497

56.335

137.078

 

 

TOTAL                                     (A)

6460.807

7321.470

8951.787

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of Materials Consumed

3154.805

4218.581

5422.045

 

 

Sub-contracting and Processing Charges & Other  Direct Cost

1437.058

1475.732

1317.447

 

 

Changes in inventories of finished goods, work-in-progress and Stock-in-Trade

(3.572)

(23.483)

(190.311)

 

 

Employees benefits expense

924.319

964.703

936.797

 

 

Other expenses

21.754

129.296

677.224

 

 

Exchange Currency Fluctuation (Gain)/Loss

(244.536)

(417.454)

81.935

 

 

Exceptional Items

704.404

742.687

52.902

 

 

TOTAL                                     (B)

5994.232

7090.062

8298.039

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)     (C)

466.575

231.408

653.748

 

 

 

 

 

Less

FINANCIAL EXPENSES                                    (D)

479.889

407.598

304.873

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                               (E)

(13.314)

(176.190)

348.875

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION                     (F)

172.549

181.538

179.788

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE TAX (E-F)                (G)           

(185.863)

(357.728)

169.087

 

 

 

 

 

Less

TAX                                                                  (H)

(62.200)

25.089

47.823

 

 

 

 

 

 

PROFIT/ (LOSS)  AFTER TAX (G-H)                  (I)

(123.663)

(382.817)

121.264

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

F.O.B. Value of Exports

786.891

1984.100

2807.926

 

 

Others

63.730

395.138

5.661

 

 

Ethiopia

3.299

183.673

173.122

 

 

Zambia

16.977

0.000

0.000

 

TOTAL EARNINGS

870.897

2562.911

2986.709

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

175.074

62.067

118.618

 

 

Stores & Spares

6.245

22.895

220.929

 

 

Capital Goods

0.000

8.176

14.011

 

TOTAL IMPORTS

181.319

93.138

353.558

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

(3.25)

(10.06)

3.19

 

 

Expected Sales (2014-15) : Rs. 7000.000 Million

 

The above information has been parted by Mr. Govind Khupekar (Account Manager)

 

 

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

 

Particulars

 

30.09.2014

 

30.09.2013

30.09.2012

Current Maturities of Long term debt

0.419

251.232

201.873

Cash generated from operations

(153.362)

(250.712)

(118.582)

Net cash flow from (used in) operation

313.650

267.016

(160.032)

 

 

KEY RATIOS

 

PARTICULARS

 

 

30.09.2014

 

30.09.2013

30.09.2012

 

 

 

 

 

Net Profit Margin

PAT / Sales

(%)
7.31

5.27

1.38

 

 
 

 

 

Operating Profit Margin

(PBDIT/Sales)

(%)
(1.94)

3.19

7.42

 

 
 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

(1.18)

(2.37)

1.38

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

(0.03)

(0.05)

0.04

 

 

 

 

 

Debt Equity Ratio

(Total Debts/Networth)

 

0.52

0.33

0.47

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.20

1.10

1.33

 

 

STOCK PRICES

 

Face Value

Rs. 2.00/-

Market Value

Rs. 148.45/-

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

 

DEBT EQUITY RATIO

 

Particular

30.09.2012

30.09.2013

30.09.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Share Capital

76.140

76.140

76.140

Reserves & Surplus

3934.616

6988.157

6627.350

Net worth

4010.756

7064.297

6703.490

 

 

 

 

long-term borrowings

212.737

1.079

750.661

Short term borrowings

1654.198

2357.367

2751.928

Total borrowings

1866.935

2358.446

3502.589

Debt/Equity ratio

0.465

0.334

0.523

 

 

 

YEAR-ON-YEAR GROWTH

 

Year on Year Growth

30.09.2012

30.09.2013

30.09.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

8814.709

7265.135

6382.310

 

 

(17.579)

(12.152)

 

 

 

 

 

NET PROFIT MARGIN

 

Net Profit Margin

30.09.2012

30.09.2013

30.09.2014

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

8814.709

7265.135

6382.310

Profit

121.264

(382.817)

(123.663)

 

1.38%

(5.27%)

(1.94%)

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sr. No.

Check list by info agents

Available in Report (Yes/No)

1

Year of establishment

Yes

2

Constitution of the entity -Incorporation details

Yes

3

Locality of the entity

Yes

4

Premises details

No

5

Buyer visit details

----

6

Contact numbers

Yes

7

Name of the person contacted

Yes

8

Designation of contact person

Yes

9

Promoter’s background

Yes

10

Date of Birth of Proprietor / Partners / Directors

Yes

11

Pan Card No. of Proprietor / Partners

No

12

Voter Id Card No. of Proprietor / Partners

No

13

Type of business

Yes

14

Line of Business

Yes

15

Export/import details (if applicable)

Yes

16

No. of employees

Yes

17

Details of sister concerns

Yes

18

Major suppliers

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

Yes

35

Negative Reporting by Auditors in the Annual Report

No

 

 

LITIGATION DETAILS:

 

HIGH COURT OF BOMBAY

 

Bench:- Bombay

Lodging No:-

ITXAL/119/2015

Failing Date:-

10/02/2015

Reg. No.:-

ITXA/352/2015

Reg. Date:-

26/03/2015

Petitioner:-

THE COMMISSIONER OF INCOME TAX -

Respondent:-

WALCHANDNAGAR INDUSTRIES LTD

Petn.Adv:-

NIRMAL CHANDRA MOHANTY (0)

District:-

MUMBAI

Bench:-  DIVISION

Status:- Pre-Admission                                                                   Category:- TAX APPEALS

Next Date:-

19/11/2015

Stage:-

 

Last Coram:-

ACCORDING TO SITTING LIST

 

ACCORDING TO SITTING LIST

Act:- Income Tax Act, 1961                        Under

                                                                     Section :- 260A

 

 

UNSECURED LOANS

 

PARTICULAR

30.09.2014

(Rs. in Million)

30.09.2013

(Rs. in Million)

SHORT TERM BORROWINGS

 

 

From Banks working capital loans

175.801

0.000

Working  capital  loans foreign currency

0.000

636.612

Total

175.801

636.612

 

 

INDEX OF CHARGES

 

S.No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10545493

31/12/2014

750,000,000.00

SBICAP TRUSTEE COMPANY LIMITED

202, MAKER TOWER, 'E', CUFFE PARADE, COLABA, MUMBAI,

Maharashtra - 400005, INDIA

C41628603

2

10465200

22/11/2013

450,000,000.00

INDUSIND BANK LTD.

2401, Gen, Thimmayya Road, (Cantonment), Pune, 
Maharashtra - 411001, INDIA

B91561654

3

10323379

18/07/2014 *

13,200,000,000.00

SBICAP TRUSTEE COMPANY LIMITED

202, MAKER TOWER, 'E', CUFFE PARADE, COLABA, MUMBAI,

Maharashtra - 400005, INDIA

C15683030

4

80005249

21/11/2014 *

150,000,000.00

State Bank of India

INDUSTRIAL FINANCE BRANCH, PUNE, TARA CHAMBERS, 
MUMBAI-PUNE ROAD, PUNE,

Maharashtra - 411003, INDIA

C37070851

 

* Date of charge modification

 

 

PERFORMANCE FOR THE YEAR IN RETROSPECT:

 

During the year, the revenue for the year 2013-14 declined by 11.76% to Rs. 6460.800 Million as compared to the previous year of Rs. 7321.500 Million. However, there is a reduction in losses during the year largely on account of the following:

 

  • Higher contribution on account of change of sale mix & reduction in the material costs and better value additions
  • Better realization on export sales
  • Better Expense Control

 

 

MANAGEMENT DISCUSSION AND ANALYSIS

 

Economic Overview

 

After achieving unprecedented growth of over 9% for three successive years between 2005-06 and 2007-08 and recovering swiftly from the economic crisis of 2008-09, the Indian economy has been going through challenging times that culminated in sub 5% growth in two consecutive years 2012-13 and 2013-14. Persistent slowdown in the global economy especially in the Euro area compounded by structural constraints in the domestic economy and inflationary pressures resulted in a protracted slowdown. Though the slowdown was broadbased, what is particularly worrisome is the slowdown in manufacturing growth that has averaged 0.2% per annum in 2012-13 and 2013-14. In 2014-15, the Indian economy is poised to come out of the sub 5% growth rate. Key factors that would aid in this recovery would be political stability after the General Elections which concluded in May 14 and the resultant uptick in business sentiment, thrust of the new government on reviving the manufacturing sector, significant improvement in the Current Account Deficit (CAD) seen over 2013-14 as well as decline in the fiscal deficit as a % of GDP which is in line with the stated medium term policy. Also moderation of inflation seen in the recent quarters would help ease the monetary policy stance and revive confidence of investors

 

 

Order Book

 

The outstanding order book as on September 30, 2014 is at Rs. 13760.000 Million. Almost 55% of the order book is comprised of orders in the traditional EPC businesses of Sugar, Co-Generation and Cement Plant Equipment. The remaining 45% comprises of orders in the strategic and niche sectors like Defence, Aerospace, Missiles and Nuclear and products business i.e. Gear. It is therefore a balanced order book with EPC and Manufacturing being equally represented. 2013-14 has been a year where market conditions stayed subdued and it is only in the last quarter i.e. July-September that sentiments have improved owing to the formation of a new and stable government. Going ahead the thrust is going to be on exploring and converting new opportunities especially in the Defence and Aerospace sectors into firm orders. Opening up of the Defence Sector to private players participation by the new government, clear emphasis on indigenization as well as the recent success of the Mars Orbiter Mission in September 2014 are expected to positively impact order booking. As far as the EPC businesses are concerned, focus would be on profitable growth in the domestic market and the company would be selective in booking orders so as not to compromise on quality and inherent profitability. The company has successfully executed projects in the recent past in Africa, Latin America as well as New Zealand and therefore we are confident that the share of Exports in the overall EPC order book will definitely increase. All probable opportunities are being expeditiously pursued. The recent uptick in market sentiment in the Indian economy would also lead to a lot of allied opportunities in the areas of General Fabrication, EPC work in Defence and Nuclear, Renewable Energy, etc. The company is fully geared up to accept these new challenges and further expand its footprint.

 

 

Segment Review

 

 

Heavy Engineering Division

 

For the year under consideration, the Sales of the Heavy Engineering Division decreased as compared to the previous year. The profitability in the manufacturing sector is encouraging and is expected to continue but the profit margins on the project business remains to be tight and extremely competitive. However your company has done better as compared with previous year due to higher contribution on account of better sales mix, reduction in the material costs and better value addition.

 

 

Foundry Division

 

Because of heavy competition from smaller players and lower productivity Foundry division has made losses in current year. However company is taking conscious efforts to make the foundry profitable in current year

 

 

Precision Instrument Division

 

Sales of division have grown however the profitability margin have gone down in current year. However the company is taking efforts and initiatives to improve the productivity to effectively use the available infrastructure and capital and in house design & engineering effort to improve the margins.

 

 

Risk Management

 

The Company follows a conservative Risk Management policy. Whilst the broad framework of the Risk remains more or less same, the priorities do change in line with the changing business profile, economic scenario etc. The business profile of the company is evolving in line with the current market trends and conditions wherein going ahead there would be a fine balance between project execution in the EPC domain as well as niche manufacturing. Established presence in the Sugar & Co-Generation business, Cement Equipment manufacturing as well as supply of critical manufactured components for Aerospace, Defence and Nuclear sectors enables us to understand the dynamics and cyclicality of such businesses and largely mitigate all associated risks. With a function dedicated to Contract Performance and a constituted body in the form of a Risk Management Committee, the company assures all its shareholders of a conservative and prudent Risk Mitigation framework.

 

 

Project Management and Contract Performance

 

Execution excellence is the key to profitable growth and the company’s management clearly realizes this golden rule. The Company has made the necessary changes in its organization structure so as to ensure faster and more decisive project execution. One of the key steps taken in this direction is to de-centralize its procurement function and give more autonomy to each individual division. Upgradation of skills through specialized project management training programs, creation of a second line of young project managers as well as a systematic review mechanism are some initiatives which we feel would bring about far reaching improvement in Project Management and execution.

 

Exposure to Retention Monies and Guarantees is an inherent part of the business of the Company which is especially pronounced in the case of long gestation projects. In order to systematically protect the Company’s interests and ensure sustainability, the following processes have been adequately strengthened:

 

  • Estimation Process – This has been made more robust with a combination of technical and commercial assessment.
  • Effective Project and Contract Management – Exhaustive monitoring of customers and vendors contractual obligations vis-à-vis our respective contracts with them concomitant to project progress.

 

 

Liquidity and Financial Prudence

 

Management of liquidity assumes even more importance when the size of the projects being handled goes up. This is to ensure adequate supply of funds for execution of the projects and entails the complete management of net working capital. The Company is giving significant emphasis on this aspect with specific efforts to track receivables, inventories and payment to supply base. Further, the Company firmly believes that financial prudence is the key to survival in difficult times as well as sustained growth.

 

 

Foreign Exchange Risk Management

 

The Company’s fundamental policy on the exchange risk management still continues to be conservative where the Company does not enter into any exotic, leveraged or embedded, long term structures of hedging. The only instrument, if used for hedging, is a Forward contract strictly against the underlying asset or liability. Further, the Company has created significant natural hedge between the exports outstanding and import and loan liability in foreign exchange terms.

 

 

Technology Upgradation

 

The key to sustained competitiveness is the availability of contemporary technologies. The Company, over the years, has entered into collaboration arrangements with some of the world’s renowned technology providers in its core field of activities. In domains like Co-generation, Cement Equipment Manufacturing and Gear Design, the company has benefitted from such technical collaborations. Increased thrust on strategic sectors like Defence would definitely increase the need to have the right technology collaborations and references. In its quest to grow in this domain, the company would ensure the necessary technology Upgradation at appropriate stages.

 

 

Demand Cyclicality

 

Demand cyclicality is a generic risk applicable almost across the market spectrum especially in the capital Goods Industry. In case of the Company, this risk assumes significance since most of the end users of the Company follow an economic cycle of their own. This results in variation in the revenue drawn from different end user segments from year to year. The Company’s approach to mitigate this risk continues to be:

 

  • Technology up-gradation and moving up the value chain
  • Diverse yet synergistic revenue model – fine balance between EPC and Manufacturing.
  • Focus on core and less cyclical industries such as Missiles and Aerospace.
  • More focus on product business like Gears and Centrifugal Machines.
  • More focus going ahead on Spares, Refurbishment and Repairs and O&M activities
  • Growing focus on overseas business in order to hedge against domestic cyclicality

 

 

Internal Control and Audit

 

The internal audit function of the Company can be broadly divided into the following:

 

  • Risk Based Internal Audit (RBIA) wherein the focus is given on End to End processes and control points from the point of view of Systems, Processes and awareness of people.

 

  • Transaction audit covering all individual transactions on a granular basis to check the accuracy, accounting, propriety and controls

 

  • Audit of various sub processes in SAP. This entails identification of process gaps in SAP and correcting them from time to time.

 

  • The findings of the audit are discussed in each audit committee meeting as well as in the internal meetings at a regular interval.

 

 

Outlook

 

While the revenues of the company declined by 11.76 % in the year 2013-14 over the previous year, the Company looks to be poised for profitable growth in the next year because of the following:

 

  • Balanced order book as on September 30, 2014, which stands at ` 1376 Crores.

 

  • Strong business outlook in strategic sectors like Defence & Aerospace.

 

  • Marked improvement in the progress of long gestation EPC projects.

 

  • Presence in overseas markets and further capitalizing upcoming opportunities.

 

  • Likely favourable impact of exchange rate vis-à-vis Exports.

 

  • Likely positive impact of general macro-economic conditions in the domestic economy and government’s thrust on “Make in India”.

 

Further, the Company has strong fundamentals for a sustainable growth:

 

  • Well diversified yet synergistic business model.
  • Strong manufacturing capability.
  • In house design engineering capability.
  • Project management capability.
  • Technology tie-ups in critical areas.

 

This would augur well for your Company’s long term sustainable growth.

 

 

Contingent Liabilities and Commitments

 

Claims against the company not acknowledged as debt

 

  1. Demand of Non Agricultural (NA) Tax of Rs. 16.137 million is raised by Tahshildar, Indapur (Previous year Rs. 16.137 million) out of which Rs. 2.000 million is paid under protest by the company. No provision has been made in the accounts as the company has not accepted the liability and the matter is sub-judice.

 

  1. Demand on account of fixation of Annual Rateable Value of Property at Pune, amounting to Rs. 32.507 million (for the period 1.4.2008 to 31.3.2012) was raised by the local authorities (Previous Year Rs. 32.507 million). No provision has been made in the books of accounts. The Company has not accepted the liability and the same is sub-judice.

 

  1. The Central Excise Authorities have raised a demand of Rs. 26.619 million (Previous Year Rs. 26.619 million) (Net of Cenvat Reversal and Payment) denying the exemption from the excise duty on non-conventional energy devices/ systems supplied by the Company. The Company has disputed the demand and has preferred an appeal which is pending before CESTAT, Mumbai. On the basis of legal opinion, the Company does not accept any liability.

 

  1. The Central Excise Authorities have raised a demand of Rs. 8.273 million (Previous Year Rs. 8.273 million) on bought out items supplied for Centrifugals, which has already suffered duty at manufacturers’ end. The Company has disputed the demand and has preferred an appeal which is pending before the Supreme court. Company has dicharged a liability of Rs. 294.500 million by reversal of CENVAT availed and paid Rs. 1.000 million under protest (included under the head loans and advances). On the basis of legal opinion, the Company does not expect any liability.

 

  1. The sales Tax Authority, Maharashtra has raised demand of Rs. 15.983 million (Previous Year Rs. 15.983 million) as per section 6(2) of the Central Sales Tax Act,1956. The Company has disputed the demand and has preferred an appeal before The Sales Tax Appellate Commissioner. Company has paid Rs. 3.000 million under protest (included under the head loans and advances). On the basis of legal opinion the Company does not expect any liability.

 

  1. Service Tax demand of Rs. 36.265 million on sale of bought out items has been raised by the concerned authorities. The company has discharged liability of Rs. 2.876 million by way of CENVAT reversal under protest and has preferred an appeal which is pending before the CESTAT.

 

  1. Company has received a demand of Rs. 5.068 million from Employee’s Provident Fund office. The company has contested the demand raised, and filled a writ petition with Mumbai High Court. No provision is being made against the same based on the legal advise.

 

  1. Certain cases filed against the company by the Ex-employees of Heavy Engineering Division and Foundry Division for compensation are pending before the labour courts - Amounts unascertained

 

  1. The Central Excise Authorities have raised demand of Rs. 0.247 million (Previous Year Nil) on bought out items supplier for centrifugals, which has already suffered duty at manufacturers end. The company had disputed demand of Rs. 0.247 million before CESTAT against order passed by Commissioner (Appeals). The Stay order has been granted and Rs. 0.050 million paid as ordered by CESTAT.

 

  1. Certain customers of the Company have deducted Liquidated Damages amounting to Rs. 131.129 million due to delays in supplies/ services. The Company contends that the delays are not attributable to it and has submitted the waiver applications to these parties. Based on past experience, the Company is confident of getting these Liquidated Damages waived

 

Particular

30.09.2014

30.09.2013

Counter Guarantees by the Company in respect of guarantees given by banks  (including guarantee on account of erstwhile Machine Tool Division of Rs. 0.355 Millions)

2910.318

3100.483

Estimated amount of Contracts remaining to be executed on Capital accounts not  provided for (Net of advance)

60.850

7.536

 

 

STATEMENT OF UNAUDITED RESULTS FOR THE QUARTER ENDED ON 30th JUNE 2015

 

             (Rs. In Million)

Particulars

Quarter Ended 

30.06.2015

Quarter

Ended

31.03.2015

Quarter

Ended

30.06.2014

Nine Months

Ended

30.06.2015

 

Unaudited

Unaudited

Unaudited

Unaudited

1 Income from Operations:

 

 

 

 

(a) Net Sales/ Income from Operations (Net of Excise Duty)

1162.200

1406.600

1457.200

4193.300

(b) Other Operating Income

9.100

3.900

24.000

33.900

Total Income from Operations (Net)

1171.300

1410.500

1481.200

4227.200

 

 

 

 

 

2 Expenses:

 

 

 

 

(a) Cost of Materials Consumed

707.900

700.500

498.800

2338.300

(b) Sub-Contracting and Processing Charges

244.200

368.700

248.500

847.100

(c) Changes in Inventories of Finished Goods, Work-in-Progress & Stock-in-Trade

(104.200)

(135.000)

204.000

(112.000)

(d) Employee Benefit Expense

213.700

226.900

218.400

677.500

(e) Depreciation and Amortization Expense

52.100

54.600

44.000

177.9000

(f) Other expenses

126.100

195.600

144.800

484.700

Total Expenses

1239.800

1411.300

1358.500

4413.500

 

 

 

 

 

3 Profit/ (Loss) from Operations before Other Income, Finance Costs and Exceptional Items (1-2)

(68.500)

(0.800)

122.700

(186.300)

4 Other Income

8.700

10.600

49.100

22.200

5 Profit/ (Loss) from Ordinary Activities before Finance Costs and Exceptional Items (3+4)

(59.800)

9.800

171.800

(164.100)

6 Finance Costs

151.100

140.700

126.200

430.100

7 Profit/ (Loss) from Ordinary Activities after Finance Costs but before Exceptional Items & Foreign Exchange Fluctuation (5+6)

(210.900)

(130.900)

45.600

(594.200)

8 Exchange Currency Fluctuation Gain/ (Loss)

(2.000)

6.500

(0.300)

0.300

9 Exceptional Items (Refer Note No. 5)

 

--

--

--

10 Profit/ (Loss) from Ordinary Activities before Tax (7+8+9)

(212.900)

(124.400)

45.300

(593.900)

11 Tax Expense (Net of Deferred Tax Assets) (Refer Note No. 3 & 4)

--

31.100

--

31.100

12 Net Profit/ (Loss) from Ordinary Activities after Tax (10+11)

(212.900)

(155.500)

45.300

(593.900)

13 Extraordinary Items

 

--

--

--

14 Net Profit/ (Loss) for the period (12+13)

(212.900)

(155.500)

45.300

(593.900)

15 Paid-up Equity Share Capital (Face Value of Rs. 21- each)

76.100

76.100

76.100

76.100

16 Reserve excluding Revaluation Reserves as per Balance Sheet of previous accounting year

 

 

 

 

17 Earnings per Share (before & after Extraordinary Items) (of Rs. 21- each) (not annualized):

 

 

 

 

(a) Basic

(5.59)

(4.08)

(1.19)

(16.42)

(b) Diluted

(5.59)

(4.08)

(1.19)

(16.42)

 

 

 

 

 

A PARTICULARS OF SHAREHOLDING

 

 

 

 

1 Public Shareholding

 

 

 

 

-  Number of shares

17131592

17131592

17131592

17131592

-  Percentage of shareholding

45.00

45.00

45.00

45.00

 

 

 

 

 

2 Promoters and Promoter Group Shareholding

 

 

 

 

(a) Pledged/ Encumbered

 

 

 

 

-  Number of Shares

Nil

Nil

Nil

Nil

-  Percentage of Shares (as a % of the Total Shareholding of Promoter Group)

NA

NA

NA

NA

-  Percentage of Shares (as a % of the Total Share Capital of the Company)

NA

NA

NA

NA

(b) Non-encumbered

 

 

 

 

-  Number of shares

20938613

20938613

20938613

20938613

-  Percentage of Shares (as a % of the Total Shareholding of the Promoter & Promoter Group)

100

100

100

100

-  Percentage of Shares (as a % of the Total Share Capital of the Company)

55

55

55

55

B  INVESTOR COMPLAINTS

 

 

 

 

Pendings at the beginning of the quarter

Received during the quarter

Disposed of during the quarter

Remaining unresolved at the end of the quarter

--

12

12

--

 

 

 

 

 

SEGMENT-WISE REVENUE RESULTS AND CAPITAL EMPLOYED

 

(Rs. In Million)

Particulars

Quarter Ended 

30.06.2015

Quarter

Ended

31.03.2015

Quarter

Ended

30.06.2014

Nine Months

Ended

30.06.2015

 

Unaudited

Unaudited

Unaudited

Unaudited

Segment Revenue:

 

 

 

 

(a) Heavy Engineering

1037.600

1280.800

1338.500

3822.400

(b) Foundry and Machine Shop

102.900

101.300

112.700

320.200

(c) Others

32.400

32.500

30.700

93.200

Total

1172.900

1414.600

1481.900

4235.800

Less: Inter-Segment Revenue

1.600

4.100

0.700

8.600

Net Sales/ Income from Operations

1171.300

1410.500

1481.200

4227.200

Segment Results:

 

 

 

 

Profit/ (Loss) before Interest and Tax:

 

 

 

 

(a) Heavy Engineering

(21.400)

67.600

177.600

(25.100)

(b) Foundry and Machine Shop

(26.900)

(29.100)

(21.700)

(80.400)

(c) Others

5.800

5.300

2.000

11.000

Total

(42.500)

43.800

157.900

(94.500)

Exceptional items

 

 

 

 

Less: Finance Cost

151.100

140.700

126.200

430.100

Less: Other Unallocable Expenditure (Net of Unallocable Income)

19.300

27.500

(13.600)

69.300

Profit/ (Loss) Before Tax

(212.900)

(124.400)

45.300

(593.900)

Capital Employed:

 

 

 

 

Segment Assets

 

 

 

 

Less: Liabilities

 

 

 

 

(a) Heavy Engineering

4646.100

4752.000

5645.700

4546.100

(b) Foundry and Machine Shop

412.500

445.300

635.500

412.500

(c) Others

414.200

411.600

414.800

414.200

(d) Unallocated (Excluding Investments)

479.400

543.200

262.400

479.400

Total

5952.200

6152.100

6958.400

5952.200

 

 

FIXED ASSETS

 

  • Land
  • Buildings
  • Plant and Machinery
  • Office Equipments
  • Vehicles
  • Furniture and Fixture
  • Patents

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

 

1]         INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

 

2]         Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

 

3]         Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                                       None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                        None

 

6]         Records on Int’l Anti-Money Laundering Laws/Standards :

            Charges or investigation registered against subject:                                                        None

 

7]         Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

 

8]         Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

 

9]         Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

 

10]        Press Report :

            No press reports / filings exists on the subject.

 

CORPORATE GOVERNANCE

 

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

 

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

 

 

CONTRAVENTION

 

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

 

 

FOREIGN EXCHANGE RATES

 

Currency

 
Unit

Indian Rupees

US Dollar

1

Rs. 65.22

UK Pound

1

Rs. 99.93

Euro

1

Rs. 65.22

 

 

INFORMATION DETAILS

 

Information Gathered by :

SVA

 

 

Analysis Done by :

KAR

 

 

Report Prepared by :

JYO

 

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

5

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

5

--PROFITABILITY

1~10

--

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

5

--CREDIT LINES

1~10

5

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

YES

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

YES

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

YES

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

46

 

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

 

--

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.