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MIRA INFORM REPORT
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Report No. : |
501414 |
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Report Date : |
02.04.2018 |
IDENTIFICATION DETAILS
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Name : |
WEST COAST PAPER MILLS LIMITED |
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Registered
Office : |
Post Box No. 5, Bangur Nagar, Dandeli, Uttar Kannada, Dandeli – 581325, Karnataka |
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Tel. No.: |
91-8284-231391/395 |
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Country : |
India |
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Financials (as
on) : |
31.03.2017 |
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Date of
Incorporation : |
25.03.1955 |
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Com. Reg. No.: |
08-001936 |
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Capital
Investment / Paid-up Capital : |
INR 132.098 Million |
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CIN No.: [Company Identification
No.] |
L02101KA1955PLC001936 |
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IEC No.: [Import-Export Code No.] |
Not Divulged |
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GSTN : [Goods & Service Tax
Registration No.] |
Not Divulged |
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TAN No.: [Tax Deduction &
Collection Account No.] |
Not Divulged |
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PAN No.: [Permanent Account No.] |
Not Divulged |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges |
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Line of Business
: |
Production and sales of Paper and Paperboard coupled (including Duplex Board) and Telecommunication Cables. [Registered Activity] |
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No. of Employees
: |
2390 (Approximately) |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A+ |
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Credit Rating |
Explanation |
Rating Comments |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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Maximum Credit Limit : |
USD 18300000 |
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Status : |
Excellent |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject was incorporated in the year 1955. It manufacturers paper and
produces pulp, writing and printing paper as well as cup stock, paperboards
and duplex boards. As per the quarterly results of December 2017, the company has earned
sales turnover of INR 4085.801 Million and has reported favourable
profitability margin. As per the financial record of 2017, the company has achieved 4.00%
growth in its revenue as compared to the previous year and has gained fair
net profit margin of 6.85%. The company possesses strong financial profile marked by above average
net worth base, satisfactory liquidity position and low debt balance sheet
profile. Further, the company has reported good earnings per share of INR 19.46
against its face value of INR 2. The company has its share price trading at around INR 239.40 on BSE as
on March 30, 2018 as against the Face Value (FV) of INR 2. Business is active. Payments terms are seems to be regular and as per
commitment. In view of aforesaid, the subject can be considered for business
dealings at usual trade terms and conditions. |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List
|
Country Name |
Previous Rating (30.09.2017) |
Current Rating (31.12.2017) |
|
India |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
INDIA RATING |
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Rating |
Fund based facilities = A+ |
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Rating Explanation |
Adequate degree of safety and low credit
risk |
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Date |
12.09.2017 |
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Rating Agency Name |
INDIA RATING |
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Rating |
Non fund based facilities = A1+ |
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Rating Explanation |
Very strong degree of safety and carry
lowest credit risk |
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Date |
12.09.2017 |
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
31-03-2016.
BIFR (Board for Industrial & Financial Reconstruction) LISTING
STATUS
Subject’s name is not listed as a Sick Unit in
the publicly available BIFR (Board for Industrial & Financial Reconstruction)
list as of 02.04.2018.
IBBI (Insolvency and Bankruptcy Board of India) LISTING STATUS
Subject’s name is not listed in the publicly
available IBBI (Insolvency and Bankruptcy Board of India) list as of report
date.
INFORMATION DENIED
Management Non-Cooperative (Tel. No.:
91-8284-231391)
LOCATIONS
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Registered Office/ Works Office : |
Post Box No. 5, Bangur Nagar, Dandeli, Uttar Kannada, Dandeli – 581325, Karnataka, India |
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Tel. No.: |
91-8284-231391/395 |
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Fax No.: |
91-8254-231225 |
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E-Mail : |
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Website : |
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Corporate Office
and East Zone Office: |
31, Chowringhee Road, Kolkata – 700016, West Bengal, India |
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Tel. No.: |
91-33-22656271 (8 Lines) |
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Fax No.: |
91-33-22265242 |
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E-Mail : |
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ZONAL OFFICES |
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North Zone: |
Vishnu Bhavan, 1st Floor, 5 Ansari Road Daryaganj, New
Delhi – 110002, India |
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Tel. No.: |
91-11-23269806/23273679/23246254 |
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Fax No.: |
91-11-23284913 |
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E-Mail : |
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West Zone: |
Shreeniwas House, H. Somani Marg, Fort, Mumbai – 400001,
Maharashtra, India |
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Tel. No.: |
91-22-22070041/44 |
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Fax No.: |
91-22-22070001 |
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E-Mail : |
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South Zone – 1: |
Flat No. 7, 12/13, Kanakasri Nagar St. George Cathedral Lane, Off Cathedral Road, Chennai – 600086, Tamilnadu, India |
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Tel. No.: |
91-44-28111654/299/42359709 |
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Fax No.: |
91-44-28117013 |
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E-Mail : |
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South Zone – 2 : |
Chandra Kiran, 4th Floor, 10/A, Kasturba Road,
Bangalore – 560001, Karnataka, India |
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Tel. No.: |
91-80-2221828/1837 |
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Fax No.: |
91-80-22231838 |
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E-Mail : |
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South Zone – 3 : |
2-2-51/119, 3rd Floor (302,303), Mittal Chambers, M. G.
Road, Secunderabad – 500003, Telangana, India |
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Tel. No.: |
91-40-40276854 |
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E-Mail : |
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Telecom Cable Division: |
West Coast Optilinks (Sudarshan Telecom) Plot No. 386/387,
KIADB, Electronic City Hebbal Industrial Area, Mysore – 570016, Karnataka,
India |
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Tel. No.: |
91-821-2404060 |
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Fax No.: |
91-821-2404061 |
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E-Mail : |
DIRECTORS
AS ON 31.03.2017
|
Name : |
Mr. Shree Kumar Bangur |
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Designation : |
Chairman and Managing Director |
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Address : |
16, Alipore Road, Kolkata – 700027, West Bengal, India |
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Date of Birth/Age : |
65 Years |
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Qualification : |
B.Com |
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Experience (Years)
: |
42 Years |
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Date of Appointment : |
01.12.1998 |
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DIN No.: |
00053237 |
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Name : |
Mr. Saurabh Bangur |
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Designation : |
Vice Chairman |
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Address : |
16, Alipore Road, Kolkata – 700027, West Bengal, India |
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Date of Appointment : |
28.06.2004 |
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DIN No.: |
00236894 |
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Name : |
Mr. Premal Narendra Kapadia |
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Designation : |
Director |
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Address : |
Flat No. 6, "Haveli", 19, L. D. Ruparel Marg, Mumbai – 400006, Maharashtra, India |
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Date of Appointment : |
07.08.1992 |
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DIN No.: |
00042090 |
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Name : |
Mrs. Shashi Devi Bangur |
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Designation : |
Director |
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Address : |
16, Alipore Road, Kolkata – 700027, West Bengal, India |
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Date of Birth/Age : |
39 Years |
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Date of Appointment : |
30.05.1994 |
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DIN No.: |
00053300 |
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Name : |
Mr. Mahavirprasad Surajmal Taparia |
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Designation : |
Director |
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Address : |
Girikunj 71, Marine Drive, Churchgate, Mumbai – 400020, Maharashtra, India |
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Date of Appointment : |
11.11.2010 |
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DIN No.: |
00112461 |
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Name : |
Mr. Krishna Kumar Karwa |
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Designation : |
Director |
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Address : |
1601, Beaumonde, B Wing, Appa Saheb Marathe Marg, Prabha Devi, Mumbai - 400025 Maharashtra, India |
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Date of Birth/Age : |
50 Years |
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Date of Appointment : |
30.10.2009 |
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DIN No.: |
00181055 |
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Name : |
Mr. Amitav Kothari |
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Designation : |
Director |
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Address : |
26B, Camac Street 8E, Neelkanth Building Kolkata – 700016, West Bengal, India |
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Date of Appointment : |
12.02.2016 |
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DIN No.: |
01097705 |
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Name : |
Lt. Gen. [Retd.] Utpal Bhattacharyya |
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Designation : |
Director |
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Address : |
A - 14, Shalimar Apartment, South Extension – Part – II, New Delhi – 110049, India |
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Date of Appointment : |
27.05.2009 |
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DIN No.: |
02665807 |
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Name : |
Mr. Rajendra Jain |
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Designation : |
Executive Director |
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Address : |
C/O The West Coast Paper Mills Limited, Executive Bungalow No 13, Bangurnagar, Dandeli, Dandeli (Rural) Uttara Kannada – 581325, Karnataka, India |
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Date of Birth/Age : |
54 Years |
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Qualification: |
B.Com., FCA, ACS |
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Date of Appointment : |
01.12.2015 |
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PAN No.: |
ABSPJ8768P |
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DIN No.: |
07250797 |
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Name : |
Mr. Sudarshan Somani |
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Designation : |
Additional Director |
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Address : |
Shreeniketan, 2nd Floor, 86/A, N.S. Road, Mumbai-400002, Maharashtra, India |
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Date of Appointment : |
10.11.2017 |
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DIN No.: |
00137568 |
KEY EXECUTIVES
|
Name : |
Mr. Rajendra Jain |
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Designation : |
Chief Financial Officer |
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Address : |
C/O, The West Coast Paper Mills Limited, Executive Bungalow
No 13, Bangurnagar, Dandeli, Dandeli (Rural) Uttara Kannada – 581325,
Karnataka, India |
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Date of Birth/Age : |
54 Years |
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Qualification: |
B.Com., FCA, ACS |
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Date of Appointment : |
01.12.2015 |
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PAN No.: |
ABSPJ8768P |
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Name : |
Mr. Brajmohan Prasad |
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Designation : |
Company Secretary |
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Address : |
I Type, Bangur Nagar, Dandeli – 581325, Karnataka, India |
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Date of Appointment : |
22.07.2016 |
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PAN No.: |
AJCPP3309C |
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MANAGEMENT TEAM |
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Paper and Duplex Board
Division |
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Telecom Cable
Division : |
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SHAREHOLDING PATTERN
AS ON DECEMBER 2017
|
Category of shareholder |
Total nos. shares held |
Shareholding as a % of total no. of
shares (calculated as per SCRR, 1957)As a % of (A+B+C2) |
|
|
(A) Promoter & Promoter Group |
36870043 |
55.82 |
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(B) Public |
29178865 |
44.18 |
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Grand Total |
66048908 |
100.00 |
STATEMENT SHOWING SHAREHOLDING PATTERN OF THE PROMOTER AND PROMOTER
GROUP
|
Category of shareholder |
Total nos. shares held |
Shareholding as a % of total no. of
shares (calculated as per SCRR, 1957)As a % of (A+B+C2) |
|
|
A1) Indian |
0.00 |
||
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Individuals/Hindu undivided Family |
8468510 |
12.82 |
|
|
Shree Kumar Bangur |
2678979 |
4.06 |
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Shashi Devi Bangur |
2151265 |
3.26 |
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Saurabh Bangur |
1479730 |
2.24 |
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Virendraa Bangur |
1081273 |
1.64 |
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|
Rangnath Shree Kumar (HUF) |
613063 |
0.93 |
|
|
Shree Kumar Virendra Kumar (HUF) |
155000 |
0.23 |
|
|
Bharti Bangur |
122300 |
0.19 |
|
|
Aaryan Bangur |
62300 |
0.09 |
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|
Ankit Bangur |
62300 |
0.09 |
|
|
Shrivatsa Bangur |
62300 |
0.09 |
|
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Any Other (specify) |
28401533 |
43.00 |
|
|
Veer Enterprises Limited |
10458054 |
15.83 |
|
|
Shree Satyanarayan Investments Company Limited |
10312973 |
15.61 |
|
|
Orbit Udyog Private Limited |
2384855 |
3.61 |
|
|
Saumya Trade And Fiscal Services Private Limited |
2071309 |
3.14 |
|
|
The Diamond Company Limited |
1953197 |
2.96 |
|
|
Gold Mohore Investment Co Limited |
647545 |
0.98 |
|
|
Kilkotagiri and Thirumbadi Plantations Limited |
464200 |
0.70 |
|
|
Mothola Company Limited |
77700 |
0.12 |
|
|
The Indra Company Limited |
15750 |
0.02 |
|
|
Amrit- Villa Investments Limited |
11500 |
0.02 |
|
|
Union Company Limited |
4450 |
0.01 |
|
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Sub Total A1 |
36870043 |
55.82 |
|
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A2) Foreign |
0.00 |
||
|
A=A1+A2 |
36870043 |
55.82 |
STATEMENT SHOWING SHAREHOLDING PATTERN OF THE PUBLIC SHAREHOLDER
|
Category & Name of the Shareholders |
Total no. shares held |
Shareholding % calculated as per SCRR,
1957 As a % of (A+B+C2) |
|
|
B1) Institutions |
0.00 |
||
|
Mutual Funds/ |
6400715 |
9.69 |
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|
Reliance Capital Trustee Company Limited-A/C Reliancesmall Cap Fund |
4263889 |
6.46 |
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L And T Mutual fund Trustee Limited- L And T India Value Fund |
1048770 |
1.59 |
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Sundaram Mutual Fund A/c Sundaram Long term Micro Cap Tax Advantage Series III |
953746 |
1.44 |
|
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Alternate Investment Funds |
232666 |
0.35 |
|
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Foreign Portfolio Investors |
3752378 |
5.68 |
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Financial Institutions/ Banks |
50394 |
0.08 |
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Insurance Companies |
1240116 |
1.88 |
|
|
General Insurance Corporation of India |
800000 |
1.21 |
|
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Any Other (specify) |
600 |
0.00 |
|
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UTI |
600 |
0.00 |
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Sub Total B1 |
11676869 |
17.68 |
|
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B2) Central Government/ State Government(s)/ President of India |
0.00 |
||
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Central Government/ State Government(s)/ President of India |
232474 |
0.35 |
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Sub Total B2 |
232474 |
0.35 |
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B3) Non-Institutions |
0.00 |
||
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Individual share capital upto INR 0.200 Million |
10742047 |
16.26 |
|
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Individual share capital in excess of INR 0.200 Million |
1515188 |
2.29 |
|
|
Any Other (specify) |
5012287 |
7.59 |
|
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Trusts |
2400 |
0.00 |
|
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Foreign Individuals |
12050 |
0.02 |
|
|
HUF |
637575 |
0.97 |
|
|
NRI |
334590 |
0.51 |
|
|
Clearing Members |
427929 |
0.65 |
|
|
Bodies Corporate |
3597743 |
5.45 |
|
|
CD Equifinance Private Limited |
933207 |
1.41 |
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Sub Total B3 |
17269522 |
26.15 |
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|
B=B1+B2+B3 |
29178865 |
44.18 |
BUSINESS DETAILS
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Line of Business : |
Production and sales of Paper and Paperboard coupled (including Duplex Board) and Telecommunication Cables. [Registered Activity] |
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Products / Services
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Brand Names : |
Not Available |
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Agencies Held : |
Not Available |
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Exports : |
Not Divulged |
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Imports : |
Not Divulged |
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Terms : |
Not Divulged |
PRODUCTION STATUS – (NOT AVAILABLE)
GENERAL INFORMATION
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Suppliers : |
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Customers : |
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No. of Employees : |
2390 (Approximately) |
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Bankers : |
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Facilities : |
Note: LONG TERM BORROWINGS Nature of security 1. Loan of INR 750.000 million from Axis Bank Limited, (excluding INR 375.000 million being current maturities) is secured by second charge on movable fixed assets both present and future at effective interest rate of 12.72%. 2. Loan of INR 1205.600 million from SCB., (excluding INR 277.700 million being current maturities) is secured by way of hypothecation on all movable fixed assets both present and future at effective interest rate of 10.82% 3. Loan from State Bank of Mysore is secured by second charge on plant and machinery acquired / to be acquired under the project at effective rate of interest of 12.62%. 4. Term loan from IFC, Washington is secured by way of hypothecation on all movable fixed assets both present and future and are secured by equitable mortgage of immovable assets, both present and future on pari passu basis. 5. Interest free loan under Sales Tax Deferral Scheme availed from August 1994 to July 2016 of INR 668.800 million is being repaid in 12 installments yearly starting from August 2006. (Balance outstanding - INR 116.900 million excluding current maturities). Interest free loan under Sales Tax Deferral Scheme availed from June, 2002 to June 2014 of INR 1609.800 million is being repaid in 12 installments on a year to year basis from June, 2014 to June, 2025. (Balance outstanding - INR 1416.400 million excluding current maturities). 6 There is no default in repayment of loans and interest. SHORT TERM
BORROWINGS The working capital facilities from Banks are secured by Joint Hypothecation of Stores, Spares, Raw Materials, Stock-in process, Finished Goods, Book Debts etc., ranking pari-passu charge |
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Statutory Auditors
: |
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Name: |
Batliboi and Purohit Chartered Accountants |
|
Address : |
204, Dadabhoy Naoroji Road, Fort, Mumbai - 400001, Maharashtra, India |
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Tel. No.: |
91-22-22077941 |
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Fax No.: |
91-22-22074260 |
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E-Mail : |
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Website: |
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Cost Auditors : |
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Name: |
Umesh N. Kini Cost Accountant |
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Address : |
Sirsi, Karnataka, India |
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Secretarial Auditor
: |
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Name: |
Naman Gurumurthi Joshi, Practicing Company Secretary |
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Address : |
Bangalore, Karnataka, India |
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Internal Auditor : |
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Name: |
Rajesh Bothra Head-Finance |
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Auditor : |
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Name: |
Singhi and Company Chartered Accountants |
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Address : |
B2 402 B, Marathon Innova, 4th Floor, Off Ganpatrao Kadam
Marg, Opposite Peninsula Corporate Park, Lower Parel, Mumbai-400013,
Maharashtra, India |
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Tel. No.: |
91-22-66625537 / 38 |
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E-Mail : |
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Website: |
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Legal Advisors : |
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Name: |
Khaitan and Company |
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Address: |
Mumbai, Maharashtra, India |
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Memberships : |
Not Available |
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Collaborators : |
Not Available |
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Associate
Companies: |
· Fort Gloster Industries Limited, Kolkata (FGI) CIN No.: L17232WB1890PLC000627 · Speciality Coatings and Laminations Limited CIN No.: U74899DL1993PLC052430 |
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|
|
|
Enterprises where
principal shareholders have control : |
· Veer Enterprises Limited · Shree Satyanarayan Investment Company Limited · Siddhi Trade and Holdings Private Limited · Rangnath Bangur Charitable Trust |
CAPITAL STRUCTURE
AS ON 31.03.2017
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
150000000 |
Equity Shares |
INR 02/- each |
INR 300.000 Million |
|
6500000 |
Cumulative Redeemable Non-convertible Preference Shares |
INR 100/- each |
INR 650.000 Million |
|
|
Total |
|
INR 950.000
Million |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
66048908 |
Equity Shares |
INR 02/- each |
INR 132.098 Million |
|
|
|
|
|
[a] Reconciliation of the number of shares outstanding
at the beginning and at the end of the year :
|
Particulars |
As at 31st March 2017 |
|
|
Number |
INR in Million |
|
|
Shares outstanding at the beginning of the year |
66048908 |
132.098 |
|
Shares issued during the year |
- |
- |
|
Shares outstanding
at the end of the year |
66048908 |
132.098 |
[b] Shares in the
Company held by each Shareholder holding more than 5% Shares
|
Name of share
holders |
As at 31st March 2017 |
|
|
No. of Shares |
% of Holdings |
|
|
Veer Enterprises Private Limited |
10597100 |
16.04 |
|
Shree Satyanarayan Investment Company Limited |
10312973 |
15.61 |
|
Reliance Capital Trustee Company Limited A/c Reliance Small Cap Fund |
3398707 |
5.15 |
[c] Rights,
preference and restrictions attached to equity
shares
The Company has only one class of equity shares having a par value of INR 2 per share. Each Shareholder is eligible for one vote per share. The dividend proposed by the Board of Directors is subject to the approval of shareholders, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the company, after distribution of all preferential amounts, in proportion of their shareholding.
FINANCIAL DATA
[all figures are
INR Million]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
132.098 |
132.098 |
132.098 |
|
(b) Reserves &
Surplus |
6259.402 |
5033.605 |
5845.641 |
|
(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) |
6391.500 |
5165.703 |
5977.739 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term borrowings |
2937.259 |
4191.264 |
3960.652 |
|
(b) Deferred tax
liabilities (Net) |
1350.539 |
856.770 |
723.331 |
|
(c) Other long term
liabilities |
928.816 |
859.883 |
291.150 |
|
(d) long-term provisions |
58.465 |
40.958 |
42.397 |
|
Total Non-current
Liabilities (3) |
5275.079 |
5948.875 |
5017.530 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
836.490 |
2211.193 |
3012.843 |
|
(b) Trade payables |
1479.925 |
1993.445 |
2494.477 |
|
(c) Other current
liabilities |
1682.047 |
1462.194 |
2735.309 |
|
(d) Short-term provisions |
428.958 |
525.355 |
14.750 |
|
Total Current Liabilities
(4) |
4427.420 |
6192.187 |
8257.379 |
|
|
|
|
|
|
TOTAL |
16093.999 |
17306.765 |
19252.648 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
9983.824 |
10858.128 |
11465.056 |
|
(ii) Intangible Assets |
26.415 |
1.110 |
1.849 |
|
(iii) Capital
work-in-progress |
60.142 |
33.517 |
23.005 |
|
(iv) Intangible assets
under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
8.273 |
8.273 |
467.120 |
|
(c) Deferred tax assets
(net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan and Advances |
20.557 |
17.540 |
644.045 |
|
(e) Other Non-current
assets |
1065.998 |
997.974 |
8.046 |
|
Total Non-Current Assets |
11165.209 |
11916.542 |
12609.121 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
2826.715 |
3750.452 |
4832.454 |
|
(c) Trade receivables |
1283.113 |
1180.401 |
1249.923 |
|
(d) Cash and cash
equivalents |
232.788 |
126.219 |
131.334 |
|
(e) Short-term loans and
advances |
3.843 |
4.152 |
180.637 |
|
(f) Other current assets |
582.331 |
328.999 |
249.179 |
|
Total Current Assets |
4928.790 |
5390.223 |
6643.527 |
|
|
|
|
|
|
TOTAL |
16093.999 |
17306.765 |
19252.648 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
SALES |
|
|
|
|
|
Income |
18767.132 |
18045.879 |
16483.701 |
|
|
Other Income |
23.711 |
76.718 |
26.567 |
|
|
TOTAL |
18790.843 |
18122.597 |
16510.268 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials
Consumed |
9954.208 |
10142.686 |
10116.972 |
|
|
Excise duty on sale of
goods |
1073.711 |
1045.461 |
0.000 |
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
237.540 |
418.427 |
199.926 |
|
|
Employees benefits
expense |
1183.416 |
1141.112 |
974.464 |
|
|
Exceptional items |
0.000 |
532.375 |
515.950 |
|
|
Other expenses |
2939.771 |
2802.895 |
2735.131 |
|
|
TOTAL |
15388.646 |
16082.956 |
14542.443 |
|
|
|
|
|
|
|
|
PROFIT / (LOSS) BEFORE
INTEREST, TAX, DEPRECIATION AND AMORTISATION |
3402.197 |
2039.641 |
1967.825 |
|
|
|
|
|
|
|
Less |
FINANCIAL EXPENSES |
515.725 |
758.068 |
698.480 |
|
|
|
|
|
|
|
|
PROFIT / (LOSS) BEFORE
TAX, DEPRECIATION AND AMORTISATION |
2886.472 |
1281.573 |
1269.345 |
|
|
|
|
|
|
|
Less |
DEPRECIATION/
AMORTISATION |
1107.687 |
1143.616 |
1222.009 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) BEFORE TAX |
1778.785 |
137.957 |
47.336 |
|
|
|
|
|
|
|
Less |
TAX |
493.768 |
142.607 |
36.186 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) AFTER TAX
|
1285.017 |
(4.650) |
11.150 |
|
|
|
|
|
|
|
|
EARNINGS IN FOREIGN
CURRENCY |
|
|
|
|
|
F.O.B. Value of Exports |
259.041 |
339.950 |
286.435 |
|
|
TOTAL EARNINGS |
259.041 |
339.950 |
286.435 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Raw Materials |
2952.961 |
4782.573 |
3131.292 |
|
|
Components and Spare
parts |
339.889 |
304.270 |
237.064 |
|
|
Capital Goods |
12.294 |
20.924 |
22.498 |
|
|
TOTAL IMPORTS |
3305.144 |
5107.767 |
3390.854 |
|
|
|
|
|
|
|
|
Earnings / (Loss) Per
Share (INR) |
19.46 |
(0.07) |
0.17 |
CURRENT MATURITIES
OF LONG TERM DEBT DETAILS)
|
Particulars |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Maturities of Long term debt |
1224.803 |
1036.473 |
2130.795 |
|
Cash generated from operations |
4531.059 |
1043.636 |
3087.758 |
|
Net cash inflow from operating activities |
4310.655 |
981.659 |
2567.691 |
QUARTERLY
RESULTS
|
PARTICULARS |
30.06.2017 1st
Quarter |
30.09.2017 2nd
Quarter |
31.12.2017 3rd
Quarter |
|
|
(Unaudited) |
(Unaudited) |
(Unaudited) |
|
|
|
|
|
|
Net Sales |
4102.420 |
4215.310 |
4085.800 |
|
Total Expenditure |
3275.620 |
3381.790 |
3355.340 |
|
PBIDT (Excluding Other Income) |
826.800 |
833.520 |
730.460 |
|
Other Income |
30.890 |
7.540 |
87.710 |
|
Operating Profit |
857.690 |
841.060 |
818.170 |
|
Interest |
79.820 |
116.100 |
53.160 |
|
Exceptional Items |
NA |
NA |
NA |
|
PBDT |
777.870 |
724.960 |
765.010 |
|
Depreciation |
262.000 |
280.140 |
286.840 |
|
Profit Before Tax |
515.870 |
444.820 |
478.170 |
|
Tax |
(21.220) |
(33.040) |
48.650 |
|
Provisions and contingencies |
NA |
NA |
NA |
|
Profit After Tax |
537.090 |
477.860 |
429.520 |
|
Extraordinary Items |
NA |
NA |
NA |
|
Prior Period Expenses |
NA |
NA |
NA |
|
Other Adjustments |
NA |
NA |
NA |
|
Net Profit |
537.090 |
477.860 |
429.520 |
KEY
RATIOS
EFFICIENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Average Collection Days (Sundry Debtors
/ Income * 365) |
24.96 |
23.88 |
27.68 |
|
|
|
|
|
|
Account Receivables Turnover (Income /
Sunday Debtors) |
14.63 |
15.29 |
13.19 |
|
|
|
|
|
|
Average Payment Days (Sundry Creditors / Purchases * 365 Days) |
54.27 |
71.74 |
90.00 |
|
|
|
|
|
|
Inventory Turnover (Operating Income / Inventories) |
1.20 |
0.54 |
0.41 |
|
|
|
|
|
|
Asset Turnover (Operating Income / Net Fixed Assets) |
0.34 |
0.19 |
0.17 |
LEVERAGE RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Debt Ratio ((Borrowing
+ Current Liabilities) / Total Assets) |
0.53 |
0.66 |
0.75 |
|
|
|
|
|
|
Debt Equity Ratio (Total Liability / Networth) |
0.78 |
1.44 |
1.52 |
|
|
|
|
|
|
Current Liabilities to Networth (Current Liabilities / Net Worth) |
0.69 |
1.20 |
1.38 |
|
|
|
|
|
|
Fixed Assets to Networth (Net Fixed Assets / Networth) |
1.58 |
2.11 |
1.92 |
|
|
|
|
|
|
Interest Coverage Ratio (PBIT / Financial Charges) |
6.60 |
2.69 |
2.82 |
PROFITABILITY RATIOS
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Net Profit Margin [(PAT / Sales) * 100] |
% |
6.85 |
(0.03) |
0.07 |
|
|
|
|
|
|
|
Return on Total Assets ((PAT / Total Assets) * 100) |
% |
7.98 |
(0.03) |
0.06 |
|
|
|
|
|
|
|
Return on Investment (ROI) ((PAT / Networth) * 100) |
% |
20.11 |
(0.09) |
0.19 |
SOLVENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Ratio (Current
Assets / Current Liabilities) |
1.11 |
0.87 |
0.80 |
|
|
|
|
|
|
Quick Ratio ((Current Assets – Inventories) / Current
Liabilities) |
0.47 |
0.26 |
0.22 |
|
|
|
|
|
|
G-Score Ratio Financial (Networth / Total Assets) |
0.40 |
0.30 |
0.31 |
|
|
|
|
|
|
G-Score Ratio Debt (Debts / Equity Capital) |
37.84 |
56.31 |
68.92 |
|
|
|
|
|
|
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities) |
1.11 |
0.87 |
0.80 |
Total
Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term
debts
STOCK
PRICES
|
Face Value |
INR 2.00/- |
|
Market Value |
INR 239.40/- |
FINANCIAL ANALYSIS
[all figures are
INR Million]
DEBT EQUITY RATIO
|
Particular |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR In Million |
INR In Million |
INR In Million |
|
Share Capital |
132.098 |
132.098 |
132.098 |
|
Reserves & Surplus |
5845.641 |
5033.605 |
6259.402 |
|
Money received against
share warrants |
0.000 |
0.000 |
0.000 |
|
Share Application money
pending allotment |
0.000 |
0.000 |
0.000 |
|
Net worth |
5977.739 |
5165.703 |
6391.500 |
|
|
|
|
|
|
Long-term borrowings |
3960.652 |
4191.264 |
2937.259 |
|
Short term borrowings |
3012.843 |
2211.193 |
836.490 |
|
Current Maturities of
Long term debt |
2130.795 |
1036.473 |
1224.803 |
|
Total borrowings |
9104.290 |
7438.930 |
4998.552 |
|
Debt/Equity ratio |
1.523 |
1.440 |
0.782 |
YEAR-ON-YEAR GROWTH
|
Year on Year Growth |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR In Million |
INR In Million |
INR In Million |
|
Sales |
16483.701 |
18045.879 |
18767.132 |
|
|
|
9.477 |
3.997 |
NET PROFIT MARGIN
|
Net Profit Margin |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR In Million |
INR In Million |
INR In Million |
|
Sales |
16483.701 |
18045.879 |
18767.132 |
|
Profit / (Loss) |
11.150 |
(4.650) |
1285.017 |
|
|
0.07% |
(0.03%) |
6.85% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check list by
info agents |
Available in
Report (Yes/No) |
|
1 |
Year of establishment |
Yes |
|
2 |
Constitution of the entity -Incorporation
details |
Yes |
|
3 |
Locality of the entity |
Yes |
|
4 |
Premises details |
No |
|
5 |
Buyer visit details |
-- |
|
6 |
Contact numbers |
Yes |
|
7 |
Name of the person contacted |
No |
|
8 |
Designation of contact person |
No |
|
9 |
Promoter’s background |
Yes |
|
10 |
Date of Birth of Proprietor / Partners /
Directors |
Yes |
|
11 |
Pan Card No. of Proprietor / Partners |
No |
|
12 |
Voter Id Card No. of Proprietor / Partners |
No |
|
13 |
Type of business |
Yes |
|
14 |
Line of Business |
Yes |
|
15 |
Export/import details (if applicable) |
No |
|
16 |
No. of employees |
Yes |
|
17 |
Details of sister concerns |
Yes |
|
18 |
Major suppliers |
No |
|
19 |
Major customers |
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 |
-- |
|
33 |
Market information |
-- |
|
34 |
Payments terms |
No |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
MANAGEMENT DISCUSSION
AND ANALYSIS
GLOBAL PAPER INDUSTRY
OVERVIEW:
The Global Paper & Paperboard Packaging Market is poised to grow at a CAGR of around 4.3% over the next decade to reach approximately $263.3 billion by 2025.
Global paper and board production managed to advance 1.0% in 2014 to reach a new record level of 406.500 million tonnes, despite the continued decline in North America and Europe. Positive growth in issue and packaging grades continued to offset the retreat in global graphic paper production. China has maintained the top spot for both demand and production of total paper and board since 2009 with the US remaining in second place. China accounted for 25% of world demand and 26% of global production of total paper and board in 2014.
The paper industry is highly fragmented. Asia Pacific dominates this industry and was the major contributor due to
improvement in changing lifestyle of consumers, urbanization and rise in disposable income.
The world paper industry is currently facing far-reaching structural changes due to the digitalization of society and
businesses, the globalization of industries and the consequent re-distribution of wealth across the globe. A new, more competitive business environment is taking shape, ending the dominance of traditional western markets and giving rise to new, dynamic playing fields for the world’s paper, issue and packaging board industry.
The last five to six years have been extremely challenging for the world’s paper industry, particularly to those operating mainly in the western markets. Paper consumption in developed markets has been declining, while in emerging market areas demand growth is matched by the growth of the macro environment. End-use prospects differ widely, as some uses of paper are dying or slowing while some uses or product areas are stable, or have performed extremely well. For over a decade now, digital media have been replacing graphic papers, either directly or indirectly, through changing consumer habits and people’s ways of spending spare time. The popularity of online media coupled with new business practices, including paperless banking and invoicing, create uncertainty for the graphic paper industry’s future. At the same time, sustainable packaging is becoming an increasingly important factor in e-commerce and other market places, thus creating new opportunities for fiber-based, recyclable and biodegradable packaging materials. In fact, practically 100% of the growth of global paper demand in the last 15 years has been driven by Asia (excl. Japan), which now accounts for a good 40% of the global paper and paperboard demand. Increasing population, urbanization and the development of a new middle class all contribute to the steadily rising demand for paper and paperboard products in emerging markets, where obsolete and uncompetitive mills are being replaced and investments focus on efficient, state-of-the-art assets. These new entries constitute a significant competitive counter–force to their western rivals operating in international paper and paperboard markets.
The growth of the Asian market is putting an end to the dominance of traditional producers and giving rise to a new type of competition. However, medium-term prospects can be bleak, particularly for the second tier Asian producers, as high capital spending by the leading Chinese/Asia-Pacific paper firms has led to striking over-capacity and declining fortunes for the sector as a whole.
The Asian Graphic paper demand was 55.5 million tones with 3.1 % negative growth in 2016. Uncoated wood free growth was 1% as against negative 5% growth for coated wood free paper. This is 3rd year of negative growth in P&W demand mainly due to negative growth in Japan and China. Overall India is expected to grow at 4%, China 1%, Indonesia 1%, Thailand 1%, Japan-negative growth.
It is expected that the global gross output of pulp and paper to go up +1.4% in 2017 vs. 2016.
INDIAN PAPER
INDUSTRY:
The Indian paper industry with approximately 14 mn tonnes of capacity accounts for about 3% of global paper production. According to Indian Paper Mills Association, the domestic consumption of paper in India during 2014-15 was 13.9 mn tonnes with yoy growth of 6%. The per capita consumption of paper in India stands at about 13 kg which is relatively lower compared to other developed and developing countries and 57 kg global average in per capita paper consumption and the Asian average of 40 kgs. India holds 15th rank among paper producing countries in the world.
The paper Industry is fragmented with over 750 paper mills, of which less than 100 mills have a capacity of 50,000 TPA or more. Most of the paper mills are in existence for a long time and hence present technologies fall in a wide spectrum ranging from oldest to the most modern. However, the focus of paper industry is now shifiing towards more eco-friendly products and technology. The mills use a variety of raw material viz. Wood, bamboo, recycled fibre, bagasse, wheat straw, rice husk etc.
In India, Capacity-wise Industrial and Packaging Paper accounts for about 45%, Printing and Writing Paper 31%, Speciality Paper 6% and Newsprint 18% of total production. The growth rate in the year 2015-16 was 9.42 % in Packaging paper/ board, 4.98% in writing & printing paper, 16.63 % in Tissue paper and 2.33 % in newsprint.
The Indian Paper Industry currently has a turnover (net of taxes) of over INR 500000.000 million and contributes over INR 45000.000 million p.a. to the national exchequer. Even more importantly it is providing employment opportunities to over 2.0 million people, directly and indirectly, mostly in rural areas.
Production growth has lagged the increase in demand for paper, necessitating reliance to an extent on imports, especially in the Newsprint segment. There was an import of worth INR 122840.000 million in the year 2015-16 as compared to INR 123500.000 million in the year 2014-15. Import in volume term is increasing with a 5 year CAGR of 7.89% and in terms of Indian Rupeess; same is at 11.42 % CAGR.
India is the fastest growing market for paper globally and it presents an exciting scenario and paper consumption is poised for a big leap forward in sync with the economic growth. We feel that given India’s projected GDP growth, the renewed thrust on universal education through Sarva Shiksha Abhiyan and Right to Education and the consequent changes in lifestyle, paper demand is expected to gradually move to about 20 million tonnes by 2024-25 in their country with the per capita consumption of around 17 kg.
The availability of raw-material has always been a matter of concern for the Industry and has been requesting the Government to allot degraded revenue and forest lands so that not only the requirement of raw-material would be met but also employment for rural unskilled population is generated. However, the government has not considered the request. Nevertheless, the Industry in general has taken initiatives by taking up Farm / Social Forestry programme whereby plantation is taken in a big way on the unproductive revenue land and thus generating not only income to the farmers but also providing employment to the rural unskilled population.
Major Paper producing countries of Latin America, Europe and Asia, including China, Indonesia, Malaysia, etc., have adopted a policy of granting forest concessions to large Paper Mills to plant, protect and harvest Pulpwood in a cost effective manner. In absence of similar enabling policies, Paper Mills in India have to necessarily depend upon small and scatiered plantations developed through Industry’s social forestry initiative or Government controlled forests. In the process, the cost of collection and transportation works out to be greater than cost of the pulpwood itself. As a result, cost of raw-materials in India has been continuously going up and has become most uncompetitive in comparison to the major paper producing countries in the world.
Given the above status of availability, the Industry is facing severe shortage of wood apart from continuously increasing cost of procurement particularly in the context of unplanned expansion by the Industry without raw-material back-up and focusing only on Andhra Pradesh for sourcing the requirement.
In order to meet shortiall in locally wood availability, the Company decided to import wood chips from 2013 with first shipment arrived at Goa Port in June, 2013. The Company imported 5.75 lakh GMT in 2015-16 and 4.12 lakh GMT in 2016-17 and has an edge over other mills due to proximity to the port.
The Central Government in its Union Budget 2016 has made NIL custom duty on import of wood chips bringing some relief to wood based Paper Industry.
CABLE DIVISION:
Indian optical fiber cables market is expected to grow robustly due to expansion of telecom infrastructure throughout the country over the next five years. Being the second largest telecom market worldwide, India exhibit high data traffic owing to increasing penetration of smart phones and growing demand for broadband services, thereby creating significant demand for OFC installations. Consumers are increasingly shifting towards internet driven applications like HDV, video on demand and high-speed file sharing. To address the soaring demand for high speed data transmission, the Government of India along with telecom giants is investing substantial capital in upgrading the country’s telecom infrastructure.
The optical fiber cables market in India is expected to surpass US $ 424 Million by 2020. Nationwide connectivity projects launched by the Government such as National Optical Fiber Network (NOFN) and National Fiber Spectrum (NFS) , and the 4G in the country are bound to boost data transmission volumes, thereby making expansion of OFC installations critical for supporting the planned network expansions. In addition, next generation technologies such as LTE and FTTx, which require last mile connectivity, would also propel the demand for optical fiber cables in the coming years.
Looking at the upcoming demand and competition, Cable Division has also augmented the facility with new Colouring, Secondary and Stranding machines and equipping with the new state-of-art Optical testing machines. Further, we have started manufacturing of FRP and Glass Roving in the same plant as a backward integration.
OUTLOOK
PAPER DIVISION:
The Paper Industry is cyclical in nature and its performance depends on the global pulp and paper demand supply situation. The domestic paper sector is likely to see marginal improvement in demand from education and corporate sectors, aided by expected higher GDP growth of the country.
Import pressures are likely to be continued and could result in pricing pressures on paper products particularly copier and maplitho segments. However, the company has well diversified product base which partially insulates it from the import and other cyclical impact. The company has developed and introduced some new products and varieties like Wesco Bond, Wesco Supershine, Wesco Duraprint, B2B 64 gsm copier etc. to capture new markets with betier product mix. Further, continued thrust on manufacturing different variants of cup stock paper having double digit growth prospects augurs well for maintaining the market share in this competitive segment.
With optimum capacity utilisation, good demand outlook, moving into environmental friendly and value added
products, the company is expected to sustain its growth prospects.
CABLE DIVISION:
India optical fiber cables (OFC) market is expected to grow robustly due to expansion of telecom infrastructure throughout the country over the next five years. Being the second largest telecom market worldwide, India exhibits high data traffic owing to increasing penetration of smart phones and growing demand for broadband services, thereby creating significant demand for OFC installations. Consumers are increasingly shifting towards internet driven applications like HDTV, video on demand and high-speed file sharing. To address the soaring demand for high speed data transmission, the government of India along with telecom giants is investing substantial capital in upgrading the country's telecom infrastructure. The existing network of copper cables is being over hauled by using advanced fiber optic technology. All these factors are consequently providing a considerable thrust to the OFC market in India.
UNSECURED LOANS:
|
Unsecured Loan |
31.03.2017 INR In Million |
31.03.2016 INR In Million |
|
Long-term
Borrowings |
|
|
|
From Others |
|
|
|
Interest Free Loan under Sales Tax Deferment Scheme from State Government of Karnataka |
1416.390 |
1533.277 |
|
|
|
|
|
Short-term
borrowings |
|
|
|
Loan repayable on demand from banks |
0.000 |
98.630 |
|
Total |
1416.390 |
1631.907 |
INDEX OF CHARGE:
|
SNo |
SRN |
Charge Id |
Charge Holder Name |
Date of Creation |
Date of Modification |
Date of Satisfaction |
Amount |
Address |
|
1 |
G64678717 |
100135809 |
IDBI Trusteeship Services Limited |
28/10/2017 |
- |
- |
1712500000.0 |
Asian Building, Ground Floor,17, R. Kamani Marg, Ballard Estate, Mumbai-400001, Maharashtra, India |
|
2 |
G00347765 |
100020050 |
Standard Chartered Bank |
04/04/2016 |
- |
- |
1205600000.0 |
112,"Serenity",3rd Floor, East Wing, Koramangala Industrial Area, 5th Block, Koramangala, Bangalore-560095, Karnataka, India |
|
3 |
C03575172 |
10494511 |
Syndicate Bank |
26/03/2014 |
- |
- |
390000000.0 |
J.N. Road, Dandeli-581325, Karnataka, India |
|
4 |
A71719561 |
10183373 |
International Finance Corporation |
01/10/2009 |
- |
- |
1860000000.0 |
2121, Pennsylvania Avenue N.W. Washington D Can 20433 United States |
|
5 |
G42311183 |
10174549 |
Central Bank of India |
08/08/2009 |
30/03/2017 |
- |
6250000000.0 |
Corporate Finance Branch (Under Consortium) 1st Floor, Mmo Building, M G Road, Fort, Mumbai-400023, Maharashtra, India |
|
6 |
A34936542 |
10094675 |
International Finance Corporation |
25/03/2008 |
- |
- |
1600000000.0 |
2121, Pennsylvania Avenue N.W. Washington D Can 20433 United States |
|
7 |
G72928302 |
10365217 |
State Bank of Mysore |
20/06/2012 |
- |
02/01/2018 |
500000000.0 |
Lenin Road, Dandeli-581325, Karnataka, India |
|
8 |
G72926660 |
10365215 |
State Bank of Mysore |
20/06/2012 |
- |
02/01/2018 |
500000000.0 |
Lenin Road, Dandeli-581325, Karnataka, India |
|
9 |
G72635600 |
10532599 |
Syndicate Bank |
25/11/2014 |
- |
26/12/2017 |
500000000.0 |
J.N. Road, Dandeli-581325, Karnataka, India |
|
10 |
G72636509 |
10546190 |
Syndicate Bank |
13/01/2015 |
- |
26/12/2017 |
500000000.0 |
J.N. Road, Dandeli-581325, Karnataka, India |
CONTINGENT
LIABILITIES:
(INR in million)
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
|
I. Claims against the
Company not acknowledged as debts in respect of |
|
|
|
a. Income tax matters, pending decisions on various appeals made by the Company and by the Department |
1.974 |
27.118 |
|
b. Excise matters and Service Tax under dispute |
9.146 |
9.088 |
|
c. Custom matters under dispute |
43.903 |
43.903 |
|
d. Sales Tax matters under dispute |
3.066 |
3.066 |
|
e. Other matters under dispute |
313.236 |
210.000 |
|
|
|
|
|
II. Other money for
which the company is contingently liable : |
|
|
|
a. Guarantees Issued by Banks |
399.237 |
442.557 |
|
b. Letters of Credit outstanding |
519.715 |
337.350 |
|
c. ICICI Bank Limited |
400.000 |
400.000 |
Notes :
1. The Income tax assessments of the Company have been completed up to AY 2013-14.
2. The total demand outstanding as on 31.3.2017 on account of income tax dues is INR 1.974 million. (INR 27.118 million). The Company is expecting further refund from Income Tax Department as a result of favourable orders of Income Tax Appellate Tribunal and the said demand of INR 1.974 million will get adjusted against the refund due to the Company.
3. The Company and the Income Tax Department are in appeal before the appellate authorities in respect of various years. Since most of the issues raised in these years are already covered by the decision of Hon’ble Income Tax Appellate Tribunal in Company’s favour, the Company has been legally advised that the demands are likely to be either deleted or substantially reduced in the appeals before Appellate Authorities and in view of this, the Company has decided to adjust the excess/short provision, if any, after the appeals are disposed off.
4. The Company and the Income Tax Department are in appeal before the High Court of Bombay on various grounds decided by the Income Tax Appellate Tribunal. The Company has therefore not recorded adjustment of taxes/orders in the books.
5. The Company had entered into
Share Purchase Agreement with Riddhi Siddhi Gluco Biols Limited, (“Acquirer”)
on 21.05.2015 for sale of its Long Term Investments of 21124791 equity
shares of Shree Rama Newsprint Ltd.(SRNL). Accordingly a Loan Purchase
Aggrement was executed for INR 400.000 million between the company and ICICI
bank Limited stipulating that in case SRNL defaults in
payment of its debts obligation
towards ICICI Bank Ltd, then the Company will have to purchase loan on notice from ICICI Bank Limited and in
such case security of the underlying agreement will be transferred to the
Company.
FINANCIAL RESULTS
FOR THE QUARTER AND NINE MONTHS ENDED 31ST DECEMBER, 2017
(INR In Million)
|
Particulars |
Quarter ended |
Nine months ended |
|
|
|
31.12.2017 |
30.09.2017 |
31.12.2017 |
|
|
Unaudited |
Unaudited |
Unaudited |
|
INCOME FROM OPERATIONS |
|
|
|
|
Revenue from operations |
4085.801 |
4215.311 |
12403.534 |
|
Other Income |
87.706 |
9.077 |
128.804 |
|
Total
Income from Operations |
4173.507 |
4224.388 |
12532.338 |
|
|
|
|
|
|
EXPENSES |
|
|
|
|
Cost of materials consumed |
1943.947 |
2643.012 |
6720.891 |
|
Changes in inventories of finished goods and
work-in-progress |
336.154 |
(293.335) |
(158.973) |
|
Excise duty |
0.000 |
0.000 |
237.211 |
|
Employee benefits expense |
315.695 |
312.343 |
927.749 |
|
Finance cots |
53.160 |
107.590 |
245.006 |
|
Depreciation and Amortization expenses |
286.842 |
280.137 |
828.974 |
|
Other Expenditure |
759.535 |
729.817 |
2292.609 |
|
Total
Expenses |
3695.333 |
3779.565 |
11093.467 |
|
Profit
/ (Loss) before Tax |
478.174 |
444.824 |
1438.871 |
|
Tax Expense |
48.652 |
(33.039) |
(5.608) |
|
Profit
/ (Loss) after Tax |
429.522 |
477.863 |
1444.479 |
|
Other
comprehensive income |
|
|
|
|
Item that will not be reclassified to profit or loss |
(8.158) |
3.048 |
(5.238) |
|
Income tax relating to item that will not be reclassified
to profit or loss |
1.741 |
(0.650) |
1.118 |
|
Total
comprehensive income |
423.105 |
480.261 |
1440.359 |
|
Paid-up Equity Share Capital (Face value INR 2/- per
share) |
132.098 |
132.098 |
132.098 |
|
Basic
and Diluted EPS (in INR) |
6.50 |
7.23 |
21.87 |
SEGMENT WISE
REVENUE, RESULTS, ASSETS AND LIABILITIES FOR THE QUARTER AND NINE MONTHS ENDED
31ST DECEMBER, 2017
(INR in Million)
|
Sr. No. |
Particular |
Quarter ended |
Nine months ended |
|
|
|
|
31.12.2017 |
30.09.2017 |
31.12.2017 |
|
|
|
Unaudited |
Unaudited |
Unaudited |
|
1. |
Segment Revenue |
|
|
|
|
|
Paper and paper board |
4011.303 |
3976.580 |
11931.924 |
|
|
Telecommunication cable |
73.916 |
237.946 |
470.243 |
|
|
Others |
0.582 |
0.785 |
1.357 |
|
|
Total |
4085.801 |
4215.311 |
12403.524 |
|
|
|
|
|
|
|
2. |
Segment Result |
|
|
|
|
|
Paper and paper board |
548.028 |
515.106 |
1686.225 |
|
|
Telecommunication cable |
(6.115) |
58.294 |
60.333 |
|
|
Others |
(1.188) |
1.663 |
(0.488) |
|
|
Total |
540.725 |
575.063 |
1746.070 |
|
|
Less : i.
Interest |
53.160 |
107.590 |
245.006 |
|
|
ii. Other Un-allocable expenditure net off un-allocable income |
9.391 |
22.649 |
62.193 |
|
|
Total Profit/(Loss)
before tax |
478.174 |
444.824 |
1438.871 |
|
|
|
|
|
|
|
3. |
Segment Assets |
|
|
|
|
|
Paper and paper board |
15996.227 |
16780.534 |
15996.227 |
|
|
Telecommunication cable |
318.884 |
528.058 |
318.884 |
|
|
Others |
4.763 |
4.994 |
4.763 |
|
|
Total Segment
Assets |
16319.874 |
17313.586 |
16319.874 |
|
|
|
|
|
|
|
|
Segment Liabilities |
|
|
|
|
|
Paper and paper board |
8584.026 |
9978.464 |
8584.026 |
|
|
Telecommunication cable |
104.516 |
124.491 |
104.516 |
|
|
Others |
0.000 |
0.000 |
0.000 |
|
|
Total Segment
Liabilities |
8688.542 |
10102.955 |
8688.542 |
|
|
|
|
|
|
|
|
Capital employed
(Segment Assets - Segment Liabilities) |
|
|
|
|
|
Paper and paper board |
7412.201 |
6802.070 |
7412.201 |
|
|
Telecommunication cable |
214.368 |
403.567 |
214.368 |
|
|
Others |
4.763 |
4.994 |
4.763 |
|
|
Total |
7631.332 |
7210.631 |
7631.332 |
NOTES:
1. The above results have been prepared in accordance with Indian Accounting Standards('IND AS') notified under section 133 of the Companies Act, 2013, read together with the Companies (Indian Accounting Standard) Rules, 2015.
2. Consequent to the introduction of Goods and Service Tax Act (GST) w.e.f. 1st
July 2017, Central Excise, Value Added Tax (VAT), etc have been subsumed into GST.
In accordance with Indian Accounting Standard - 18 on Revenue and Schedule III
of the Companies Act, 2013, unlike Excise duties, levies like GST, VAT, etc are
not part of Revenue. Accordingly, the figures for the periods upto 30th June,
2017 are not relatable to those thereafter.
3. During the current quarter, the major job undertaken in last quarter for
replacement/modification of pressure parts along ESP of Enmas Recovery Boiler
and rebuild of PM3 for quality improvement has been successfully completed.
PM-3 started on 7th Nov and Enmas Recovery Boiler started on 17th Nov.
4. The figures for the previous periods have been regrouped / rearranged,
wherever necessary.
5. The above Unaudited Financial results have been reviewed by the Audit
Committee and approved by the Board of Directors at their meeting held on 8th
February, 2018, Limited review of these results has been carried out by the
Auditors.
FIXED ASSETS:
- Land
- Building
- Plant and
Machinery
- Furniture and
Fixture
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
|
INR |
|
US Dollar |
1 |
INR 65.04 |
|
UK Pound |
1 |
INR 92.28 |
|
Euro |
1 |
INR 80.62 |
INFORMATION DETAILS
|
Information
Gathered by : |
KAM |
|
|
|
|
Analysis Done by
: |
NYT |
|
|
|
|
Report Prepared
by : |
BHG |
SCORE FACTORS
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
RATING EXPLANATIONS
|
Credit Rating |
Explanation |
Rating Comments |
|
A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
|
A+ |
Low Risk |
Business dealings permissible with low
risk of default |
|
A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
|
B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
|
C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
|
D |
High Risk |
Business dealing not recommended or on
secured terms only |
|
NB |
New Business |
No recommendation can be done due to
business in infancy stage |
|
NT |
No Trace |
No recommendation can be done as the
business is not traceable |
NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.
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 are as follows:
·
Financial
condition covering various ratios
·
Company
background and operations size
·
Promoters
/ Management background
·
Payment
record
·
Litigation
against the subject
·
Industry
scenario / competitor analysis
·
Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.