MIRA INFORM REPORT

 

 

Report No. :

341358

Report Date :

19.09.2015

 

IDENTIFICATION DETAILS

 

Name :

LOKESH MACHINES LIMITED

 

 

Registered Office :

B – 29, EEIE Stage 2, Balanagar, Hyderabad – 500037, Telangana

Tel. No.:

91-40-23079310 / 311 / 312 / 313

 

 

Country :

India

 

 

Financials (as on) :

31.03.2015

 

 

Date of Incorporation :

17.12.1983

 

 

Com. Reg. No.:

36-004319

 

 

Capital Investment / Paid-up Capital :

Rs.117.774 Million

 

 

CIN No.:

[Company Identification No.]

L29219TG1983PLC004319

 

 

IEC No.:

0988007941

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

Not Available

 

 

PAN No.:

[Permanent Account No.]

AAACL4244L

 

 

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 Special purpose machines, general purpose machines and Automobile Components.

 

 

No. of Employees :

2200 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (49)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

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

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually correct

 

 

Litigation :

Exist

 

 

Comments :

Subject was incorporated in December 1983, Lokesh Machines Limited (LML) is promoted by Mr. Lokeswara Rao. It is established company having satisfactory track.

 

The rating reflects healthy financial risk profile marked by improvement in its operational activities and profitability margin. The rating further takes into account companies negligible debt with comfortable debt protection metrics and significant improvement in cash and cash equivalents during the year under review.

 

The rating further derive strength from experienced promoters, reputed clientele and satisfactory capital structure along with established track record of its business.

 

However, this rating strength is partially offsets by volatility in raw material prices and low profit margin of the company.

 

Trade relations are fair. Business is active. Payment terms are reported as usually correct.

 

The company can be considered good for normal business dealings at usual trade terms and conditions.

 

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

 

ECGC Country Risk Classification List – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

India

A1

A1

 

Risk Category

ECGC Classification

Insignificant

 

A1

Low

 

A2

Moderate

 

B1

High

 

B2

Very High

 

C1

Restricted

 

C2

Off-credit

 

D

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

CARE

Rating

Long term Bank Facilities = B-

Rating Explanation

Risk-prone-credit-quality and carries very high credit risk 

Date

March 2015

 

Rating Agency Name

CARE

Rating

Short term Bank Facilities = A4

Rating Explanation

Minimal degree of safety and very high credit risk

Date

March 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. Purnachandra

Designation :

Accounts Manager

Contact No.:

91-40-23079310

Date :

16.09.2015

 

 

LOCATIONS

 

Registered Office :

B – 29, EEIE Stage 2, Balanagar, Hyderabad – 500037, Telangana

Tel. No.:

91-40-23079310 / 311 / 312 / 313

Fax No.:

91-10-23078274

E-Mail :

info@lokeshmachines.com

Website :

http://www.lokeshmachines.com

 

 

 

 

WORKS  1:

Temple Road,  Bonthapally, Medak District, Telangana

 

 

WORKS  2:

Ravalkol Village, Medchal Mandal, Rangareddy Dist. Telangana

 

 

WORKS  3:

B - 25 and 36, EEIE, Stage II, Balanagar, Hyderabad, Telangana

 

 

WORKS  4:

Plot No 41, IDA Balanagar, Hyderabad, Telangana

 

 

WORKS  5:

B - 15 and 17, EEIE, Stage II, Balanagar, Hyderabad, Telangana

 

 

WORKS  6:

Plot No D260/1 Ranjangaon Industrial Area, MIDC, Shirur, Pune, Maharashtra, India

 

 

DIRECTORS

 

As on 31.03.2015

 

Name :

Mr. Lokeswara Rao Mullapudi

Designation :

Managing Director

Address :

B-5, Mahuranagar, Hyderabad - 500038, Telangana, India

Date of Appointment :

17.12.1983

DIN No.:

00989447

 

 

Name :

Mr. Kishore Babu Bollineni

Designation :

Whole-Time Director

Address :

8 3 167 D 68, Kalyan Nagar, Vengalrao Nagar, Hyderabad - 500038, Telangana, India

Date of Appointment :

10.05.2002

DIN No.:

00840630

 

 

Name :

Mr. Srinivas Mullapudi

Designation :

Whole-Time Director

Address :

B-6, Madhuranagar, Hyderabad - 500038, Telangana, India

Date of Appointment :

01.10.2005

DIN No.:

00917565

 

 

Name :

Mr. Srikrishna Mullapud

Designation :

Whole-Time Director

Address :

B 5, Madhura Nagar, Ameerpet, Hyderabad - 500038, Telangana, India

Date of Appointment :

01.10.2005

DIN No.:

00841388

 

 

Name :

Mr. Badhe Ratnam Mahesh

Designation :

Director

Address :

Plot No 788, Durga Nagar Colony, Ameerpet, Hyderabad - 500016, Telangana, India

Date of Appointment :

28.06.1991

DIN No.:

00810019

 

 

Name :

Mr. Mohan Reddy Rakasi

Designation :

Director

Address :

Vijay Villa, Plot No 247, Kalyan Nagar, Hyderabad - 500038, Telangana, India

Date of Appointment :

27.09.2006

DIN No.:

00841038

 

 

Name :

Mr. Myneni Hariprasada Rao

Designation :

Director

Address :

E/161, Tiger Varadhachari Road, Mylapore, Chennai, 600004, Tamil Nadu, India

Date of Appointment :

28.09.2010

DIN No.:

02797630

 

 

Name :

Mr. Bhavana Rao

Designation :

Nominee Director

Address :

50, Vaishali Apartments, IIT Campus, New Delhi - 110016, India

Date of Appointment :

02.07.2011

DIN No.:

00956209

 

 

 

KEY EXECUTIVES

 

STATUTORY COMMITTEES

 

Audit Committee
  • Mr. B R Mahesh - Chairman
  • Mr. R Mohan Reddy - Member
  • Mr. M Srinivas - Member

 
  •  

Nomination and Remuneration Committee
  • Mr. R Mohan Reddy - Chairman
  • Mr. M Hariprasada Rao - Member
  • Mr. B R Mahesh - Member

 
  •  

Stakeholders Relationship Committee
  • Mr. R Mohan Reddy - Chairman
  • Mr. B Kishore Babu - Member
  • Mr. M Srikrishna - Member

 

 

Name :

Mr. Sudhakara Reddy Velmeti

Designation :

Chief Executive Officer

Address :

Plot No:103,Sainathapuram, A S Rao Nagar, Hyderabad - 500062, Telangana, India

Date of Appointment :

14.08.2014

PAN No.:

ABQPV1359L

 

 

Name :

Mr. Raghavendra Rao Dogiparthi

Designation :

Company Secretary

Address :

Door No A 6, Damodarkripa Apartments, 1st Floor, Gandhi Nagar, Hyderabad, 500080, Telangana, India

Date of Appointment :

03.01.2013

PAN No.:

AMZPD1559J

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 30.06.2015

 

Category of Shareholder

Total No. of Shares

Total Shareholding as a % of Total No. of Shares

 

(A) Shareholding of Promoter and Promoter Group

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

 

 

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

6741156

52.76

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

6741156

52.76

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

 

 

Total shareholding of Promoter and Promoter Group (A)

6741156

52.76

(B) Public Shareholding

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

 

 

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

370000

2.90

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

370000

2.90

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

 

 

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

752325

5.89

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

2632627

20.60

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

2163156

16.93

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

118136

0.92

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

74545

0.58

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

43591

0.34

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

5666244

44.35

Total Public shareholding (B)

6036244

47.24

Total (A)+(B)

12777400

100.00

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

0

0.00

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

0

0.00

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

0

0.00

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

0

0.00

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

12777400

0.00

 

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer, Exporter and Importer of Special purpose machines, general purpose machines and Automobile Components.

 

 

Products :
  • Special Purpose Machines
  • General Purpose Machines
  • Automobile Components

 

 

Brand Names :

Not Divulged

 

 

Agencies Held :

Not Divulged

 

 

Exports :

 

Products :

Finished Goods

Countries :

Russia

 

 

Imports :

 

Products :

Raw Material

Countries :
  • Japan
  • Taiwan
  • China

 

 

Terms :

 

Selling :

Cash, L/C and Credit

 

 

Purchasing :

Cash, L/C and Credit

 

PRODUCTION STATUS NOT AVAILABLE

 

 

GENERAL INFORMATION

 

Suppliers :

Reference :

Fonuc India Private Limited

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Maximum Limit Dealt :

Not Divulged

Experience :

Not Divulged

Remark:

Not Divulged

 

 

Customers :

Reference :

Mahindra and Mahindra Limited

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Maximum Limit Dealt :

Not Divulged

Experience :

Not Divulged

Remark:

Not Divulged

 

 

No. of Employees :

2200 (Approximately) 

 

 

Bankers :

Bank Name

State Bank of Hyderabad

Branch

TFB Branch, Hyderabad, Telangana, India

Person Name (With Designation)

Mr. Srinivas Buchi Babu Saja

Contact Number

91-8897591454

Name of Account Holder

Not Divulged

Account Number

Not Divulged

Account Since (Date/Year of Account Opening)

Not Divulged

Average Balance Maintained (If Possible)

Not Divulged

Credit Facilities Enjoyed (If any)

Fund Base: Rs. 195.000 Million / Non Fund: Rs. 90.000 Million

Account Operation

Not Divulged

Remarks (If any)

Not Divulged

 

  • Punjab National Bank
  • State Bank of India
  • Indusind Bank Limited

 

 

Facilities :

Secured Loan

31.03.2015

(Rs. in Million)

31.03.2014

(Rs. in Million)

Long-term Borrowings

 

 

State Bank of Hyderabad -Term loan - 1

0.000

47.357

State Bank of Hyderabad -Term loan - 2

0.000

12.799

State Bank of Hyderabad -Term loan - 3

0.000

18.974

State Bank of Hyderabad -Term loan - 4

38.994

48.000

Punjab National Bank -Term loan - 1

0.000

26.696

Punjab National Bank -Term loan - 2

0.000

11.188

Punjab National Bank -Term loan - 3

114.750

118.500

State Bank of India -Term loan - 1

0.000

16.000

State Bank of India -Term loan - 2

62.399

71.729

Punjab National Bank -Term loan - 4

10.683

0.000

Mahindra & Mahindra Finance Ltd

128.388

27.775

Intec Capital

0.000

15.325

Vehicle Hire Purchase Loans

0.879

1.070

 

 

 

Short-term borrowings

 

 

Loans repayable on demand from banks

 

 

State Bank of Hyderabad

 

 

Cash Credit

86.302

76.490

WCDL

96.000

96.000

State Bank of India

 

 

WCDL

185.000

204.659

Punjab National Bank

 

 

Cash Credit

29.433

18.679

WCDL

76.000

76.000

Indusind Bank - Cash Credit

112.231

114.846

Other Companies

0.000

1.732

Total

941.059

1003.819

Note :

 

LONG TERM BORROWING :

 

1 The Loans referred at (a), (e), (h) above are secured by 1st pari-passu charge by hypothecation of movable fixed assets (Plant and Machinery), Buildings at Balanagar created out of bank finance and Land at Toopran as per Machine Division expansion plan and guaranted by Managing Director and Executive Director and 2nd pari-passu charge on the fixed assets of the company (other than project assets exclusively financed) and current assets of the company.

 

2 The Loans referred at (d) above are secured by Extention of 1st pari-passu charge on current assets, 2nd charge on the fixed assets pari-passu basis and immovable property at Medchel standing in the name of

Mr. M.Lokeswara Rao.

 

3 The Loans referred at (g) and (i) above are secured by 1st pari-passu charge by hypothecation of land and buildings and Plant and Machinery, created out of bank finance as per 2DI and Connecting rod expansion plan at Pune and guaranted by Managing Director and Executive Director and 2nd pari-passu charge on the fixed assets of the company(other than project assets exclusively financed) and current assets of the company

 

4 The Loans referred at (j) above are secured by 1st pari-passu charge by hypothecation Plant and Machinery, created out of bank finance at pune and guaranted by Managing Director and Executive Director and 2nd pari-passu charge on the fixed assets of the company(other than project assets exclusively financed) an current assets of the company

 

5 The Loans referred at (k) above are secured by 1st pari-passu charge by hypothecation of movable fixed assets (Plant and Machinery), created out of finance and guaranted by Managing Director and Director.

 

SHORT TERM BORROWING :

 

1 Working capital limits from consortium banks are secured by way of :

i) Primary : pari-passu first charge by way of hyphothecation of stocks of raw material, semi-finished goods, finished goods, stores and spares, book debts and all movable and other current assets of the company.

 

ii) Collateral : (i) pari-passu first charge by way of Equitable Mortage of land and buildings at B-36, 15 and 17,25 and 27, Plot No 41 at Balanagar, Land and Buildings at Bonthapalli and Medchel except the relating to the specific term loans.

 

(ii) pari-passu second charge by way of Equitable Mortage of fixed assets of the Company.

(b) Other loans From Companies

 

Auditors :

 

Name :

Brahmayya and Company

Chartered Accountants

Address :

#403 and 404, Golden Green Apartment, Irrum Manzil Colony, Hyderabad – 500 082, Telangana, India

Tel. No.:

91-40-23370002 / 4

Fax No.:

91-40-23370005

E-Mail :

hydbrahmayya@gmail.com

 

 

Memberships :

Not Available

 

 

Collaborators :

Not Available

 

 

Entity owned or significantly influenced by key management personnel:

·         MLR Auto Limited

  • MLR Motors Limited

 

 

CAPITAL STRUCTURE

 

As on 31.03.2015

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

17500000

Equity Shares

Rs.10/- each

Rs.175.000 Million

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

11777400

Equity Shares

Rs.10/- each

Rs.117.774 Million

 

 

 

 

 

(a)Disclosure pursuant to Note 6(A)(d) of Part 1 of Schedule III to the Companies Act, 2013

 

Particulars

31.03.2015

Equity shares outstanding at the beginning of the year

117.774

Issued during the year

--

Equity Shares redeemed/bought back during the year

--

Equity shares outstanding at the end of the year

117.774

 

 

(b) Details of Share Holders holding more than 5% of shares in the Company.

 

 

As at 31 March 2015

 

No of shares

% of Holding

M.Lokeswara Rao

746872

6.34

M.Vijayalakshmi

1794913

15.24

M.Srinivas

1135191

9.64

M.Srikrishna

1109931

9.42

B.Kishore babu

807687

6.86

 

 

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

117.774

117.774

117.774

(b) Reserves & Surplus

858.526

859.517

861.811

(c) Money received against share warrants

2.500

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

50.000

0.000

0.000

Total Shareholders’ Funds (1) + (2)

1028.800

977.291

979.585

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

356.093

415.413

493.796

(b) Deferred tax liabilities (Net)

83.448

78.052

78.392

(c) Other long term liabilities

26.605

120.807

20.602

(d) long-term provisions

29.713

31.559

29.397

Total Non-current Liabilities (3)

495.859

645.831

622.187

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

584.966

588.406

542.369

(b) Trade payables

261.757

223.450

253.340

(c) Other current liabilities

448.281

486.028

444.815

(d) Short-term provisions

42.025

31.125

29.918

Total Current Liabilities (4)

1337.029

1329.009

1270.442

 

 

 

 

TOTAL

2861.688

2952.131

2872.214

 

 

 

 

II.          ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

778.979

984.279

1049.453

(ii) Intangible Assets

2.159

3.188

3.830

(iii) Capital work-in-progress

406.585

347.667

247.527

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

80.000

80.000

80.000

(c) Deferred tax assets (net)

0.000

0.000

0.000

(d)  Long-term Loan and Advances

151.475

149.491

129.508

(e) Other Non-current assets

94.652

106.415

100.325

Total Non-Current Assets

1513.850

1671.040

1610.643

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

0.000

0.000

0.000

(b) Inventories

850.188

809.799

709.804

(c) Trade receivables

210.686

234.282

278.211

(d) Cash and cash equivalents

111.691

29.472

27.352

(e) Short-term loans and advances

90.885

113.986

166.353

(f) Other current assets

84.388

93.552

79.851

Total Current Assets

1347.838

1281.091

1261.571

 

 

 

 

TOTAL

2861.688

2952.131

2872.214

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2015

31.03.2014

31.03.2013

 

SALES

 

 

 

 

Revenue from Operations

1181.425

1117.990

1402.653

 

Other Income

12.812

8.652

4.609

 

Captive consumption

12.875

14.060

29.012

 

TOTAL (A)

1207.112

1140.702

1436.274

 

 

 

 

 

Less

EXPENSES

 

 

 

 

Cost of Materials Consumed

498.742

513.019

656.007

 

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

(0.224)

(86.679)

(46.147)

 

Employees benefits expense

219.752

230.830

245.746

 

Other expenses

194.918

192.766

261.099

 

TOTAL (B)

913.188

849.936

1116.705

 

 

 

 

 

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

293.924

290.766

319.569

 

 

 

 

 

Less

FINANCIAL EXPENSES (D)

181.778

190.510

208.392

 

 

 

 

 

 

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

112.146

100.256

111.177

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION (F)

86.790

89.700

96.115

 

 

 

 

 

 

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

25.356

10.556

15.062

 

 

 

 

 

Less

TAX (H)

17.895

5.986

4.434

 

 

 

 

 

 

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

7.461

4.570

10.628

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

F.O.B. Value of Exports

37.847

80.883

74.488

 

TOTAL EARNINGS

37.847

80.883

74.488

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

0.63

0.39

0.9

 

 

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

 

Particulars

 

31.03.2015

31.03.2014

31.03.2013

Current Maturities of Long term debt

221.455

246.902

194.706

Cash generated from operations

250.808

317.974

292.669

Net cash flow from operating activity

236.215

302.879

271.574

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2015

31.03.2014

31.03.2013

Net Profit Margin

(PAT / Sales)

(%)

0.63

0.41

0.76

 

 

 

 

 

Operating Profit Margin

(PBIDT/Sales)

(%)

24.88

26.01

22.78

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

1.07

0.42

0.59

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.02

0.01

0.02

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

1.13

1.28

1.26

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.01

0.96

0.99

 

 

STOCK PRICES

 

Face Value

Rs.10.00/-

Market Value

Rs.73.00/-

 

 

 

 

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

 

DEBT EQUITY RATIO

 

Particular

31.03.2013

31.03.2014

31.03.2015

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Share Capital

117.774

117.774

117.774

Reserves & Surplus

861.811

859.517

858.526

Money received against share warrants

2.500

0.000

0.000

 Share Application money pending allotment

0.000

0.000

50.000

Net worth

982.085

977.291

1026.300

 

 

 

 

long-term borrowings

493.796

415.413

356.093

Short term borrowings

542.369

588.406

584.966

Current Maturities Of Long-Term Debts

194.706

246.902

221.455

Total borrowings

1230.871

1250.721

1162.514

Debt/Equity ratio

1.253

1.280

1.133

 

 

 

YEAR-ON-YEAR GROWTH

 

Year on Year Growth

31.03.2013

31.03.2014

31.03.2015

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

1402.653

1117.990

1181.425

 

 

(20.295)

5.674

 

 

 

NET PROFIT MARGIN

 

Net Profit Margin

31.03.2013

31.03.2014

31.03.2015

 

(Rs. In Million)

(Rs. In Million)

(Rs. In Million)

Sales

1402.653

1117.990

1181.425

Profit

10.628

4.570

7.461

 

0.76%

0.41%

0.63%

 

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

Sr. No.

Check list by info agents

Available in Report (Yes/No)

1

Year of establishment

Yes

2

Constitution of the entity -Incorporation details

Yes

3

Locality of the entity

Yes

4

Premises details

No

5

Buyer visit details

--

6

Contact numbers

Yes

7

Name of the person contacted

Yes

8

Designation of contact person

Yes

9

Promoter’s background

Yes

10

Date of Birth of Proprietor / Partners / Directors

Yes

11

Pan Card No. of Proprietor / Partners

No

12

Voter Id Card No. of Proprietor / Partners

No

13

Type of business

Yes

14

Line of Business

Yes

15

Export/import details (if applicable)

Yes

16

No. of employees

Yes

17

Details of sister concerns

Yes

18

Major suppliers

Yes

19

Major customers

Yes

20

Banking Details

Yes

21

Banking facility details

Yes

22

Conduct of the banking account

--

23

Financials, if provided

Yes

24

Capital in the business

Yes

25

Last accounts filed at ROC, if applicable

Yes

26

Turnover of firm for last three years

Yes

27

Reasons for variation <> 20%

--

28

Estimation for coming financial year

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

 

ITTA 172 / 2012                                                ITTASR 3198 / 2008                               CASE IS: PENDING

PETITIONER                                                                             RESPONDENT

THE COMMISSIONER OF INCOME TAX-IV,                VS M/S LOKESH MACHINES LIMITED, HYDERABAD

HYDERABAD   

PET.ADV.: PRASAD (SC FOR INCOME TAX)                   RESP.ADV.: RAGHU RAM

SUBJECT: U/Sec. 143 Assessment                                   DISTRICT: HYDERABAD

 

FILING DATE: 22.11.2008         POSTING STAGE: FOR ADMISSION

REG. DATE: 16.05.2012            LISTING DATE: 05.06.2012                                     STATUS: ADMIT

HON’BLE JUDGE(S):                 GODA RAGHURAM                                              N.RAVI SHANKAR

 

 

PERFORMANCE REVIEW:

 

The turnover increased by 6%, and the Profit before Interest and Taxes increased by 1% compared to the previous year. The Earnings per Share increased from Rs. 0.390 Million in the previous year to Rs 0.630 Million in the year under report.

 

The offtakes in the component division had come down due to a severe fall in the Commercial Vehicles and Tractors last year. There has been a fall in the Job Work Charges, the General Purpose machinery division could hold on to a respectable sale although it was Higher than the previous year. The SPM division performed much better than the previous years due to some major projects being undertaken by the OEMs. Though the market conditions were not significantly great, the OEMs still went ahead and completed their projects thereby ensuring that the machines on order with us were lifted.

 

FUTURE OUTLOOK

 

The current market conditions are slow at the moment and there has been a sizeable shrinkage in the general business. However, your directors we are pleased to inform you that we will be able to sail through this year

 

1) They are comfortable on their Special Purpose Machinery Order book and we are more or less booked for the entire year. These are project orders from the OEs which could be for their Greenfield or expansion projects and they will go ahead and execute these projects regardless of the temporary market conditions.

 

2) The CNC machines division is also expected to maintain the performance as they have had a breakthrough in the Russian market and have already successfully delivered a few machines. There are repeat orders from Russia which should help offset reduction in regular order flows. The company is exploring other new overseas markets to shore up export revenues.

 

3) On the component division front, they have already made a significant investment in new machining lines in the Pune plant. These lines are expected to commence production in the last quarter of this year and thereby add to their revenues. With slowdown reaching unprecedented levels, there is a turnaround due now and the government is expected to announce some measures to provide the momentum to the overall growth in the general economic activity which the Directors are hopeful would help further in the current year.

 

 

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

 

Industry Structure and Development

 

Machine tools production in India has reached to Rs. 20750.000 Million during Apr- Sept-14 compared to Rs.16130.000 Million during Apr- Sept -13 registering the growth of 29%. Machine wise production values are collected from all the members from each quarter and consolidated to annual production values for further analysis. IMTMA segregates the production of machines into CNC machines, Non CNC machines, Metal cutting machines and Metal forming Machines.

 

Machine tools imports to India has reached Rs.24820.000 Million during Apr- Sept-14 compared to Rs. 22220.000 Million during Apr- Sept-13 registering growth of 12%. All types of machines CNC, non CNC, metal cutting, metal forming, used and new machines are imported to India from various countries.

 

Machine tools consumption has reached Rs.44210.000 Million during Apr- Sept-14 compared to Rs.36780.000 Million during Apr- Sept-13 registering growth of 20%. All types of machines CNC, non CNC, metal cutting, metal forming, are consumed in India. The year 2014-15 was marked by growing global uncertainties. Global recovery has stalled, growth prospects have dimmed and downside risks have escalated. The growth of the Indian Economy has also slowed down.

 

In the present scenario though there is a slowdown in the economy and the company could not perform well during the first quarter when compared to the turnover for the same period in the previous year, If the circumstances change and are favorable the company is expecting to perform well during the next coming quarters.

 

 

Segment -wise Performance

 

The company has a rich experience of 31 years in automobile sector and in manufacturing of auto component such as Cylinder Blocks and Cylinder Heads, further the company planned to expand further and enter into the manufacturing field of Connecting Rod as there is an interest evinced by their clients. For this new Connecting Rod projects, the company will be setting up a new unit and the requisite machines are been sourced from and equipped by German technology.

 

With an efficient innovative management team and vast experience in Development, Production, Supply of Machine Tools, Jigs, Fixtures and Accessories needed and Improved and sustained efforts of the Company for enhancing the technological competencies and cost competitiveness the company is expected to yield good results in the near future.

 

 

Financial Overview during the Year:

 

During the year the Company had maintain an all round growth in the operations. The turnover increased by 6%, and the Profit before Interest and Taxes increased by 1% compared to the previous year. The Earnings per Share increased from Rs. 0.39 in the previous year to Rs 0.63 in the year.

 

The optimistic outlook about the company's continued growth in the years to come enabled the Board to declare a dividend of 5% to its equity shareholders.

 

 

 

Outlook

 

Global economic uncertainties will be there in the near future. The company believes that with the strong customer relations, product development capabilities, design and engineering capabilities and stronger balance sheet it can create opportunities for itself in this uncertain environment.

 

With a focus on innovation and technology to best leverage its strong customer relations, and with a considerably good order book the Company is reasonably confident of continuing on the growth path in FY 2014-15.

 

 

INDEX OF CHARGES

 

S.No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10563709

31/12/2014

14,244,843.00

Punjab National Bank

Saifabad, Saeed Plaza, Lakdi ka pool, Hyderabad, Telangana - 500004, INDIA

C50990308

2

10533716

28/01/2015 *

80,000,000.00

MAHINDRA AND MAHINDRA FINANCIAL SERVICES LIMITED

GATEWAY BUILDING, APOLLO BUNDER,, MUMBAI, Maharashtra - 400001, INDIA

C44281038

3

10508903

11/07/2014

22,700,000.00

MAHINDRA AND MAHINDRA FINANCIAL SERVICES LIMITED

GATEWAY BUILDING, APOLLO BUNDER,, ., MUMBAI, Maharashtra - 400001, INDIA

C11199163

4

10488805

18/03/2014

55,000,000.00

MAHINDRA AND MAHINDRA FINANCIAL SERVICES LIMITED

MAHINDRA AND MAHINDRA FINANCIAL SERVICES LIMITED,., MUMBAI, Maharashtra - 400001, INDIA

C02506962

5

10456488

23/09/2013

60,000,000.00

State Bank of Hyderabad

Industrial Finance Branch, Topaz BuildingState, A 
mrutha Hills, Punjagutta, Hyderabad, Telangana - 500082, INDIA

B88127451

6

10368091

25/07/2012

86,100,000.00

State Bank of India

Commercial Branch, Bank Street, Koti, Hyderabad, 
Telangana - 500095, INDIA

B44708550

7

10372526

06/07/2012

800,000.00

Saifabad , 1st Floor, Saeed Plaza, Lakdikapool, Hyderabad, Telangana - 500004, INDIA

B56375769

8

10363992

13/06/2012

650,000.00

Punjab National Bank

Saifabad , 1st Floor, Saeed Plaza, Lakdikapool, Hyderabad, Telangana - 500004, INDIA

B42994780

9

10344712

22/09/2012 *

291,100,000.00

State Bank of India

Commercial Branch, Bank Street, Koti, Hyderabad, 
Telangana - 500095, INDIA

B59093898

10

10322838

26/11/2011

1,450,000.00

Punjab National Bank

Saifabad , 1st Floor, Saeed Plaza, Lakdikapool, Hyderabad, Telangana - 500004, INDIA

B27749852

 

 

UNAUDITED FINANCIAL RESULTS (PROVISIONAL) FOR THE QUARTER ENDED JUNE 30, 2015

 

(Rs. In Million)

 

 

Particulars

9 Months ended 30.06.2015

1

 

Income from Operations

 

 

 

a) Net Sales/Income from Operations (Gross)

207.311

 

 

b) Other Operating Income

--

 

Total Income from Operations (Net)

207.311

2

Expenses

 

 

a)

Cost of Materials consumed

87.042

 

b)

Purchase of stock-in-trade

--

 

c)

Changes in inventories of finished goods, work-in-progress and stock-in-trade

 (15.975)

 

d)

Employee benefit expenses

86.746

 

e)

Depreciation and amortization expense

15.559

 

f)

Other expenses (Any item exceeding 10% of the total expenses relating to continuing operations to be shown separately)

13.413

 

g)

Other manufacturing expenses

27.406

 

h)

Less Capative Consumption

(3.636)

 

Total Expenses

180.555

 

 

 

3

 

Profit /(Loss) from operations before other income, finance costs and exceptional items

26.756

4

Other Income

0.664

5

Profit /(Loss) from ordinary activities before finance costs and exceptional items

27.420

6

Finance Costs

39.570

7

Profit /(Loss) from ordinary activities after finance costs but before exceptional items

(12.150)

8

Exceptional Items

--

9

Profit /(Loss) from ordinary activities before tax

(12.150)

10

Tax Expense

(3.645)

11

Net Profit /(Loss) from ordinary activities after tax

(8.505)

12

Paid up equity share capital (Eq. shares of  Rs.10/- each)

127.774

13

Reserve excluding revaluation reserves

 

14

 

Earnings per share (before/after extraordinary items) of  Rs.10/- each

 

 

 

Basic

(0.67)

 

 

Diluted

(0.67)

 

 

 

 

A

 

PARTICULARS OF SHAREHOLDING

 

1

 

Public Shareholding

 

 

 

- No. of Shares

6030244

 

 

- Percentage of Shareholding

47.24

2

 

Promoters and promoter group shareholding

 

 

 

a) Pledged/Encumbered

 

 

 

- Number of shares

4696225

 

 

- Percentage of shares ( as a % of the total shareholding of the promoter and promoter group)

69.66

 

 

- Percentage of shares (as a % of the total share capital of the Company)

36.75

 

 

b) Non- encumbered

 

 

 

- Number of shares

2050931

 

 

- Percentage of shares ( as a % of the total shareholding of the promoter and promoter group)

30.39

 

 

- Percentage of shares (as a % of the total share capital of the Company)

16.05

 

 

Particulars

3 Months Ended Ended

30.06.2015

Pending at the beginning of the quarter

Nil

Received during the quarter

Two complaints was recerived

Disposed of during the quarter

Two complaints was recerived and resolved during the quarter

Remaining unresolved at the end of the quarter

Nil

 

 

SEGMENT-WISE REVENUE, RESULT AND CAPITAL EMPLOYED UNDER CLAUSE 41 OF THE LISTING AGREEMENT

(Rs. In Million)

Sr.

No.

Particular

3 Months ended

 

 

30.06.2015

 

 

(Unaudited)

1.

Segment Revenue

 

 
  1. Machinery Division

112.195

 

      b.    Components Division 

95.116

 
  1. Un-allocated

--

 

Total

207.311

 

Less: Inter Segment Revenue

--

 

Net Sales / Income from Operations

207.311

2.

Segment Result

 

 

 

 

 
  1. Machinery Division

25.310

 

      b.    Components Division 

15.386

 

c. Un-allocated

--

 

Total

40.696

 

Less : i. Interest

39.570

 

           ii. Other Un-allocable expenditure net off un-allocable income

13.276

 

Total Profit/(Loss) before tax

(12.150)

3.

Segment Capital Employed

 

 
  1. Machinery Division

765.742

 

      b.    Components Division 

316.594

 

      c.    Un-allocated

--

 

Total capital employed in Segment

1082.336

 

Note:

 

  1. The Financial Results have been reviewed by the Audit Committee and approved by the Board of Directors at their Meeting held on August 14.2015 and the limited review of the unaudited financial results for the quarter ended June 30, 2015 has been carried out by the statutory auditors of the Company.

 

  1. There have been no outstanding complaints from the Shareholders / Investors either at the beginning or at the end of the quarter ended 30.06.2015. Two complaints was received and resolved during the Quarter.

 

  1. Previous period figures have been reclassified / regrouped to conform to the current period.

 

 

CONTINGENT LIABILITIES:

 

(Rs. in million)

PARTICULARS

31.03.2015

31.03.2014

Letter of Credit

43.780

59.599

Bank Guarantees

25.722

101.674

Contracts to be executed on capital projects

5.000

1.025

 

 

FIXED ASSETS

 

Tangible Assets

 

  • Freehold Land
  • Buildings
  • Plant and Machinery
  • Furniture and Fixtures
  • Vehicles
  • Misc.Equipment
  • Office Equipment
  • Computers

 

Intangible Assets

 

  • Computer software

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

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

 

1]         INFORMATION ON DESIGNATED PARTY

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

 

2]         Court Declaration :

No 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.65.92

UK Pound

1

Rs.102.75

Euro

1

Rs.75.12

 

 

INFORMATION DETAILS

 

Information Gathered by :

PRT

 

 

Analysis Done by :

KAS

 

 

Report Prepared by :

SUJ

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILITY

1~10

5

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

5

--RESERVES

1~10

6

--CREDIT LINES

1~10

5

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

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

 

49

 

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.