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|
MIRA INFORM REPORT
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Report No. : |
503326 |
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Report Date : |
12.04.2018 |
IDENTIFICATION DETAILS
|
Name : |
ESAB INDIA LIMITED (w.e.f. 17.08.1988) |
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Formerly Known
As : |
ESAB INDIA PRIVATE LIMITED ESWELD PRIVATE LIMITED |
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Registered
Office : |
Plot No. 13, 3rd Main Road, Industrial Estate, Ambattur,
Chennai - 600 058, Tamilnadu |
|
Tel. No.: |
91-44-43404632/ 42281100 |
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Country : |
India |
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Financials (as
on) : |
31.03.2017 |
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Date of Incorporation
: |
10.11.1987 |
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Com. Reg. No.: |
18-058738 |
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Capital
Investment / Paid-up Capital : |
INR 153. 900 Million |
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CIN No.: [Company Identification
No.] |
L29299TN1987PLC058738 |
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IEC No.: |
0388173122 |
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TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
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PAN No.: [Permanent Account No.] |
AAACE0861G |
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TIN No.: |
33221322323 |
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GST No.: |
33AAACE0861G1Z4 |
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Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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Line of Business
: |
Manufacturer and Trader of Consumables and Cutting Equipments. Business Segments Consumables: Welding electrodes, Copper Coated Wires, Flux Cored Wires and Welding Fluxes including related services. Equipment:
Welding machines and Cutting equipment. [Registered Activity] |
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|
|
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No. of Employees
: |
371 (Approximately) |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
A++ |
|
Credit Rating |
Explanation |
Rating Comments |
|
A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
|
Maximum credit limit |
USD 9758000 |
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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 1987. “ESAB Holding Limited”, UK holds 37.31% in the company and Exelvia Group B.V”, Netherlands holds 36.41% in the company. It is a engaged in Welding Consumables products such as Welding Electrodes, Copper Coated Wires, Flux Cored Wires, Welding Equipments and Cutting Equipments. For the financial year 2017, the company has achieved 5.04% growth in its revenue as compared to previous year revenue and has maintained average profitability margin of 5.49% during the year under review. The healthy financial profile of the company is marked by strong networth base along with strong debt coverage indicators due to debt free balance sheet profile. The company has its share price trading at around INR 68.89 Against the Face Value (FV) of INR 10. The rating takes into consideration the subject’s long established track record of business operations along with extensive experience of its promoters. The company has its share price trading at around INR 721 Against the Face Value [FV] of INR 10 on BSE as on 10th April, 2018. As per the unaudited quarterly financials of December 2017, the company has achieved revenue of INR 1287.4 million and has reported profit margin of 7.45% Business is active. Payments seems to be regular. In view of aforesaid, 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
|
Country Name |
Previous Rating (30.09.2017) |
Current Rating (31.12.2017) |
|
India |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low Risk |
A2 |
|
Moderately Low Risk |
B1 |
|
Moderate Risk |
B2 |
|
Moderately High Risk |
C1 |
|
High Risk |
C2 |
|
Very High Risk |
D |
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 12.04.2018
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 DECLINED
MANAGEMENT NON-COOPERATIVE [91-44-43404632/ 42281100]
LOCATIONS
|
Registered Office : |
Plot No. 13, 3rd Main Road, Industrial Estate, Ambattur,
Chennai - 600 058, Tamilnadu, India |
|
Tel. No.: |
91-44-43404632/ 42281100 |
|
Fax No.: |
91-44-4228 1150 |
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E-Mail : |
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Website : |
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Regional Offices: |
Located at: · Kolkata · Delhi · Mumbai · Chennai · Nagpur |
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|
Factories |
Welding Consumables
Factory Plot No. 13, 3rd Main Road, Industrial Estate, Ambattur, Chennai - 600 058, Tamilnadu, India Tel No.: 91-44-43404611 Fax No.:
91-44-26253108 Equipment Factory P-41, Taratala Road, Kolkata - 700 088, West Bengal, India Tel No.: 91 - 33 - 24014517 / 18 / 19 Fax No.: 91 - 33 - 24011880 / 4427 Welding Consumables
Factory B-28, MIDC Industrial Area, Kalmeshwar - 441 501, Dist. Nagpur, Maharashtra Tel No.: 91 - 7118 - 271462 / 63 Fax No.: 91 -
7118 - 271461 Equipment
Factory G-22, SIPCOT Industrial Park, Irungattukottai, Pennalur
Post, Tel No.: 91-44-47114000 Fax No.: 91-44-47114108 |
DIRECTORS
AS ON: 31.03.2017
|
Name : |
Kalyana Sundaram Vaidyanathan |
|
Designation : |
Director |
|
Address : |
"Bhaggyam Elegance", Flat 3A, III Floor, 29/10,, TTK Road, 1st Cross Street, Alwarpet, Chennai - 600018, Tamil Nadu, India |
|
Date of Appointment: |
21.07.2011 |
|
DIN No.: |
00063692 |
|
|
|
|
Name : |
Mr. Sudhir Chand |
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Designation : |
Director |
|
Address : |
Flat No. 10, Belvedere Estate, 8/8 Alipore Road, Kolkata - 700027, West Bengal, India |
|
Date of Appointment: |
23.04.2010 |
|
DIN No.: |
01385201 |
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|
|
|
Name : |
Mr. Vikram Krishanlal Tandon |
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Designation : |
Director |
|
Address : |
57A Friends Colony East, New Delhi - 110065, Delhi, India |
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Date of Appointment: |
23.04.2010 |
|
DIN No.: |
01727251 |
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|
|
|
Name : |
Mr. Daniel Alexis Pryor |
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Designation : |
Nominee Director |
|
Address : |
3630, Prospect Street, NW, Washington - 20007, United States Of America |
|
Date of Appointment: |
01.07.2012 |
|
DIN No.: |
05305621 |
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|
|
|
Name : |
Mr. Rohit Gambhir |
|
Designation : |
Managing Director |
|
Address : |
Flat No. A 3, III Floor,, No. 94, Satyadev Avenue Jain Sagarika, MRC Nagar, Chennai - 600028, Tamil Nadu, India |
|
Date of Appointment: |
01.11.2013 |
|
DIN No.: |
06686250 |
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|
|
|
Name : |
Sabitha Rao |
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Designation : |
Director |
|
Address : |
B-3, Shangrila Apartments, No-136, Karpagam Avenue, Chennai - 600028, Tamil Nadu, India |
|
Date of Appointment: |
31.07.2014 |
|
DIN No.: |
06908122 |
KEY EXECUTIVES
|
Name : |
Mr. Mohan Bhuvarahan |
|
Designation : |
Chief Financial Officer and Vice President- Finance |
|
Address : |
No 2, Park View Road, United India Colony, Kodambakkam, Chennai - 600024, Tamil Nadu, India |
|
Date of Appointment: |
06.11.2014 |
|
PAN No.: |
AEYPM0517L |
|
|
|
|
Name : |
Mr. Venkatakrishnan Subramanian |
|
Designation : |
Company Secretary and Compliance Officer |
|
Address : |
"Sree Chakra", Flat 1, Door No. 205, Ramaswamy Salai, K.K. Nagar, Chennai - 600078, Tamil Nadu, India |
|
Date of Appointment: |
10.03.2006 |
|
PAN No.: |
AADPV3150B |
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Audit Committee |
· K Vaidyanathan-Chairman · Vikram Tandon -Member · Sudhir Chand -Member · Daniel A Pryor-Member |
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|
Stakeholders
Relationship Committee |
· Vikram Tandon - Chairman · Sudhir Chand - Member · Daniel A Pryor - Member · Rohit Gambhir - Member |
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|
|
|
Nomination and
Remuneration Committee |
· K Vaidyanathan - Chairman · Sudhir Chand - Member · Sabitha Rao - Member · Daniel A Pryor - Member |
|
|
|
|
Corporate Social
Responsibility Committee |
· Sabitha Rao - Chairperson · Daniel A Pryor - Member · Rohit Gambhir - Member |
|
|
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|
Risk Management
Committee |
· Daniel A Pryor - Chairman · Rohit Gambhir - Member · B Mohan - Member |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON: 31.12.2017
|
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 |
634688 |
3.10 |
|
|
(B) Public |
19807812 |
96.90 |
|
|
Grand Total |
20442500 |
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 |
||
|
Individuals/Hindu
undivided Family |
634688 |
3.10 |
|
|
Dheeraj Shah |
634688 |
3.10 |
|
|
Sub Total A1 |
634688 |
3.10 |
|
|
A2) Foreign |
0.00 |
||
|
A=A1+A2 |
634688 |
3.10 |
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 |
||
|
B2) Central
Government/ State Government(s)/ President of India |
0.00 |
||
|
B3)
Non-Institutions |
0.00 |
||
|
Individual share
capital up to INR 0.200 million |
3831540 |
18.74 |
|
|
Individual share
capital in excess of INR 0.200 million |
6939787 |
33.95 |
|
|
VISHAL VIJAY SHAH |
679699 |
3.32 |
|
|
HEMANGINI
VINITKUMAR PARIKH |
528750 |
2.59 |
|
|
KAMLESH BHIKHABHAI
SHAH |
263523 |
1.29 |
|
|
VANDANA JAIN . |
232500 |
1.14 |
|
|
KUMAIL ASHIK
SURATWALA |
207500 |
1.02 |
|
|
JITENDRA TUKARAM
SHINDE |
206300 |
1.01 |
|
|
Any Other
(specify) |
9036485 |
44.20 |
|
|
Bodies Corporate |
7783290 |
38.07 |
|
|
CRB Trustee
Limited |
446500 |
2.18 |
|
|
GARTH MERCANTILE
PRIVATE LIMITED |
445491 |
2.18 |
|
|
VILOHIT PROPERTY
PRIVATE LIMITED |
370000 |
1.81 |
|
|
SHIVSATHI
MERCANTILE PRIVATE LIMITED |
318777 |
1.56 |
|
|
SURFACE FINANCE
PRIVATE LIMITED |
260857 |
1.28 |
|
|
VENERA PROPERTY
PRIVATE LIMITED |
242507 |
1.19 |
|
|
RUPAK DEVELOPER
PRIVATE LIMITED |
235832 |
1.15 |
|
|
ROMY REALTY
PRIVATE LIMITED |
228868 |
1.12 |
|
|
VICTOR COMMODEAL
PRIVATE LIMITED |
216840 |
1.06 |
|
|
GOODPOINT IMPEX
PRIVATE LIMITED |
206165 |
1.01 |
|
|
Clearing Members |
344841 |
1.69 |
|
|
NRI – Repat |
38129 |
0.19 |
|
|
NRI – Non- Repat |
3050 |
0.01 |
|
|
HUF |
867175 |
4.24 |
|
|
Sub Total B3 |
19807812 |
96.90 |
|
|
B=B1+B2+B3 |
19807812 |
96.90 |
BUSINESS DETAILS
|
Line of Business : |
Manufacturer and Trader of Consumables and Cutting Equipments. Business Segments Consumables: Welding electrodes, Copper Coated Wires, Flux Cored Wires and Welding Fluxes including related services. Equipment:
Welding machines and Cutting equipment. [Registered Activity] |
|
|
|
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Brand Names : |
Not Divulged |
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Agencies Held : |
Not Divulged |
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Exports : |
Not Divulged |
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Imports : |
Not Divulged |
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|
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Terms : |
|
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Selling : |
Not Divulged |
|
|
|
|
Purchasing : |
Not Divulged |
PRODUCTION STATUS: NOT AVAILABLE
GENERAL INFORMATION
|
Suppliers : |
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Customers : |
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No. of Employees : |
371 (Approximately) |
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|
||||||||||||||
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Bankers : |
· Axis Bank Limited No. 82, Dr Radhakrishnan Salai, Mylapore, Chennai-600 004, Tamilnadu, India
· HDFC Bank Limited No. 115, Dr Radhakrishnan Salai, Mylapore, Chennai-600 004, Tamilnadu, India |
|
|
|
|
Statutory Auditors:
|
|
|
Name : |
S. R. Batliboi and Associates, LLP Chartered Accountants |
|
Address : |
6th and 7th Floor, "A" Block, Tidel Park,
(Module 601, 701 and 702) No. 4, Rajiv Gandhi Salai, Taramani, Chennai - 600
113, Tamil Nadu, India |
|
Tel. No.: |
91-44-66548100 |
|
Fax No.: |
91-44-22540120 |
|
Firm Regn. No: |
101049W / E300004 |
|
|
|
|
Internal Auditors |
|
|
Name : |
P K F Sridhar Santhanam, LLP Chartered Accountants |
|
Address : |
KRD Gee Gee Crystal, No.91-92, 7th Floor, Dr Radhakrishnan Salai, Mylapore, Chennai-600 004, Tamilnadu, India |
|
Tel. No. |
91-44-2811 2989 |
|
Cost Auditors |
|
|
Name : |
Geeyes and Company Cost and Management Accountants |
|
Address : |
A-3, III Floor, 56, Seventh Avenue, Ashok Nagar, Chennai-600 083, Tamilnadu, India |
|
Tel. No. |
91-44-4203 3470 |
|
|
|
|
|
|
|
Secretarial
Auditors |
|
|
Name : |
V Mahesh and Associates Company Secretaries |
|
Address : |
39/19, Aspen Court, 3rd Floor, 6th Main Road, R A Puram, Chennai 600 028, Tamilnadu, India |
|
Tel. No. |
91-44-4317 4474 |
|
|
|
|
Memberships : |
Not Available |
|
|
|
|
Collaborators : |
Not Available |
|
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|
|
Parties where
control exist : |
· ESAB Holdings Limited, UK - Principal Shareholder - Holds 37.31% of the paid up equity share capital of the Company as at March 31, 2017. Colfax UK Holding Limited, Company incorporated under the laws of England and Wales, is an indirect wholly owned subsidiary of Colfax Corporation. Further, Colfax UK, Holdings Limited indirectly holds 100% equity shares of ESAB Holdings Ltd ·
Exelvia Group India B.V., Netherlands - Holds
36.41% of the paid up equity share capital of the Company as at March 31,
2017. Colfax UK, Holding Limited, Company incorporated under the laws of
England and Wales, is an indirect wholly owned subsidiary of Colfax
Corporation. Further, Colfax UK Holdings Limited indirectly holds 100% equity
shares of Exelvia Group India B.V., Netherlands |
|
|
|
|
Related parties
with whom transactions have taken place during the year: (Fellow Subsidiary)
: |
· Alcotec Wire Corporation, USA · Cigweld (M) SDN BHD, Malaysia · Cigweld Pty Ltd., Australia · ESAB AB, Sweden · ESAB Asia/Pacific Pte. Limited, Singapore · ESAB Automation Cutting and Welding Equipment (Wuxi) Co., Ltd., China · Esab Cutting Systems GmbH, Germany · ESAB Europe GmbH, Switzerland · ESAB Holdings Limited, UK · ESAB Middle East FZE, UAE · Esab North America, Global Cost Nam Florence, USA · ESAB SeAH CORP, Korea · ESAB Seah Welding Products(Yantai) Co Ltd China · ESAB Polska Sp.Z.O.O., Poland · ESAB Vamberk Sro, Czech Republic · ESAB Welding Products, USA · ESAB Welding Products (Jiangsu) Co Ltd-China · Howden Solyvent (India) Private Limited, India · OZAS-ESAB Sp.Z.O.O., Poland · PT Esabindo Pratama, Indonesia · PT Karya Yasantara Cakti, Indonesia · PT Victor Teknologi, Indonesia Thermal Dynamics OY, Finland · Victor (Ningbo) Cutting & Welding Equipment Trade & Commerce Co., Ltd., China · Victor Technologies Asia SDN BHD, Malaysia ·
Victor Technologies International, Inc., USA |
CAPITAL STRUCTURE
AS ON 31.03.2017
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
19000000 |
Equity Shares |
INR 10/- each |
INR 190.000 Million |
|
3000000 |
Unclassified Shares |
INR 10/- each |
INR 30.000
Million |
|
|
|
|
|
|
|
Total |
|
INR 220.000 Million |
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
15393020 |
Equity Shares |
INR 10/- each |
INR 153.900
Million |
|
|
|
|
|
Reconciliation of
shares outstanding at the beginning and at the end of the reporting period
|
Equity shares |
As at March 31, 2017 |
|
|
|
Number |
Amount |
|
At the commencement of the year |
15393020 |
153.900 |
|
At the end of the year |
15393020 |
153.900 |
Rights, preferences
and restrictions attached to equity shares
The Company has only one class of equity shares having par value of INR 10 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The final dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.
During the year ended March 31, 2017, the amount of per share dividend recognized as distributions to equity shareholders was INR Nil (March 31, 2016: INR 1/-).
In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.
Shares held by
subsidiaries of ultimate holding company / holding and / or their subsidiaries
/ associates
|
Equity shares of
INR 10/- each fully paid up held by |
As at March 31, 2017 |
|
|
|
Number |
Amount |
|
Subsidiary companies of Colfax Corporation, the ultimate
holding company: |
|
|
|
ESAB Holdings Limited, UK |
5743200 |
57.400 |
|
Exelvia Group India B.V, Netherlands |
5604760 |
56.000 |
|
Total |
11347960 |
113.400 |
Particulars of
shareholders holding more than 5% shares of a class of shares
|
Equity shares of
INR 10/- each fully paid up held by |
As at March 31, 2017 |
|
|
|
Number |
% of shares |
|
ESAB Holdings Limited, UK |
5743200 |
37.31% |
|
Exelvia Group India B.V, Netherlands |
5604760 |
36.41% |
|
Acacia Partners, LP, Mauritius |
821140 |
5.33% |
As per of the Company, including its register of shareholders/ members and other declarations received from shareholders regarding beneficial interest, the above shareholding represents both legal and beneficial ownerships of shares.
|
Proposed dividends
on Equity shares: |
As at March 31, 2017 |
|
The board proposed dividend on equity shares after the
balance sheet date Proposed dividend on equity shares for the year ended on
March 31, 2017 : INR Nil (March 31, 2016: INR 1 per share) |
15.400 |
|
Tax on proposed dividend |
3.100 |
FINANCIAL DATA
[all figures are
in 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 |
153.900 |
153.900 |
153.900 |
|
(b) Reserves & Surplus |
3261.500 |
3001.500 |
2736.600 |
|
(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) |
3415.400 |
3155.400 |
2890.500 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) Long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c)
Other long term liabilities |
38.300 |
12.700 |
11.900 |
|
(d)
long-term provisions |
31.700 |
29.400 |
25.600 |
|
Total
Non-current Liabilities (3) |
70.000 |
42.100 |
37.500 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
(b)
Trade payables |
577.200 |
431.400 |
552.100 |
|
(c)
Other current liabilities |
132.300 |
132.600 |
107.600 |
|
(d)
Short-term provisions |
77.300 |
94.200 |
99.200 |
|
Total
Current Liabilities (4) |
786.800 |
658.200 |
758.900 |
|
|
|
|
|
|
TOTAL |
4272.200 |
3855.700 |
3686.900 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
752.000 |
773.400 |
815.900 |
|
(ii)
Intangible Assets |
18.300 |
6.800 |
14.500 |
|
(iii)
Capital work-in-progress |
72.300 |
52.500 |
12.400 |
|
(iv) Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current
Investments |
0.000 |
0.000 |
0.000 |
|
(c) Deferred tax assets (net) |
29.600 |
17.800 |
6.200 |
|
(d) Long-term Loan
and Advances |
135.900 |
137.800 |
156.800 |
|
(e)
Other Non-current assets |
191.900 |
181.800 |
23.600 |
|
Total
Non-Current Assets |
1200.000 |
1170.100 |
1029.400 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
1438.600 |
1197.700 |
1218.900 |
|
(b)
Inventories |
628.300 |
584.600 |
539.600 |
|
(c)
Trade receivables |
479.800 |
454.400 |
437.000 |
|
(d)
Cash and cash equivalents |
414.300 |
349.100 |
349.300 |
|
(e)
Short-term loans and advances |
97.800 |
92.000 |
106.600 |
|
(f)
Other current assets |
13.400 |
7.800 |
6.100 |
|
Total
Current Assets |
3072.200 |
2685.600 |
2657.500 |
|
|
|
|
|
|
TOTAL |
4272.200 |
3855.700 |
3686.900 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from Operations |
4737.200 |
4509.500 |
5518.500 |
|
|
|
Other Income |
128.500 |
80.000 |
114.600 |
|
|
|
TOTAL (A) |
4865.700 |
4589.500 |
5633.100 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of raw materials and components consumed |
2428.700 |
2322.000 |
2909.800 |
|
|
|
Purchases of Stock-in-Trade |
566.900 |
518.800 |
581.300 |
|
|
|
(Increase) / decrease in inventories of finished goods,
work-in-progress and traded goods |
(18.100) |
(31.200) |
77.400 |
|
|
|
Employees benefits expense |
523.300 |
465.700 |
558.400 |
|
|
|
Other expenses |
807.400 |
772.700 |
886.500 |
|
|
|
Exceptional items |
91.100 |
35.300 |
176.100 |
|
|
|
TOTAL (B) |
4399.300 |
4083.300 |
5189.500 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C) |
466.400 |
506.200 |
443.600 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES (D) |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E) |
466.400 |
506.200 |
443.600 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION (F) |
102.700 |
95.200 |
137.500 |
|
|
|
|
|
|
|
|
|
|
PROFIT BEFORE
TAX (E-F) (G) |
363.700 |
411.000 |
306.100 |
|
|
|
|
|
|
|
|
|
Less |
TAX (H) |
103.700 |
127.600 |
69.700 |
|
|
|
|
|
|
|
|
|
|
PROFIT AFTER TAX
(G-H) (I) |
260.000 |
283.400 |
236.400 |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
FOB value of exports |
219.300 |
139.600 |
200.100 |
|
|
|
Income from services |
113.600 |
80.000 |
68.200 |
|
|
|
Others |
0.000 |
0.200 |
0.300 |
|
|
TOTAL EARNINGS |
332.900 |
219.800 |
268.600 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
Raw materials (including packing material) |
240.700 |
307.300 |
247.700 |
|
|
|
Components and traded goods |
270.600 |
250.200 |
277.100 |
|
|
|
Capital Goods |
44.200 |
5.500 |
38.800 |
|
|
TOTAL IMPORTS |
555.500 |
563.000 |
563.600 |
|
|
|
|
|
|
|
|
|
|
Earnings Per
Share (INR) |
16.89 |
18.41 |
15.36 |
|
CURRENT MATURITIES OF LONG TERM DEBT DETAILS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Maturities of Long term debt |
NA |
NA |
NA |
|
|
|
|
|
|
Cash generated from operations |
483.000 |
307.000 |
282.700 |
|
|
|
|
|
|
Net cash flow from / (used in) operating activities |
365.000 |
181.900 |
164.200 |
KEY
RATIOS
EFFICIENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Average Collection Days (Sundry
Debtors / Income * 365 Days) |
36.97 |
36.78 |
28.90 |
|
|
|
|
|
|
Account Receivables Turnover (Income / Sundry Debtors) |
9.87 |
9.92 |
12.63 |
|
|
|
|
|
|
Average Payment Days (Sundry Creditors / Purchases * 365 Days) |
70.33 |
55.43 |
57.72 |
|
|
|
|
|
|
Inventory Turnover (Operating Income / Inventories) |
0.74 |
0.87 |
0.82 |
|
|
|
|
|
|
Asset Turnover (Operating Income / Net Fixed Assets) |
0.55 |
0.61 |
0.53 |
LEVERAGE RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Debt Ratio ((Borrowing
+ Current Liabilities) / Total Assets) |
0.18 |
0.17 |
0.21 |
|
|
|
|
|
|
Debt Equity Ratio (Total Liability / Networth) |
0.00 |
0.00 |
0.00 |
|
|
|
|
|
|
Current Liabilities to Networth (Current Liabilities / Net Worth) |
0.23 |
0.21 |
0.26 |
|
|
|
|
|
|
Fixed Assets to Networth (Net Fixed Assets / Networth) |
0.25 |
0.26 |
0.29 |
|
|
|
|
|
|
Interest Coverage Ratio (PBIT / Financial Charges) |
0.00 |
0.00 |
0.00 |
PROFITABILITY RATIOS
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Net Profit Margin ((PAT / Sales) * 100) |
% |
5.49 |
6.28 |
4.28 |
|
|
|
|
|
|
|
Return on Total Assets ((PAT / Total Assets) * 100) |
% |
6.09 |
7.35 |
6.41 |
|
|
|
|
|
|
|
Return on Investment (ROI) ((PAT / Networth) * 100) |
% |
7.61 |
8.98 |
8.18 |
SOLVENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Ratio (Current
Assets / Current Liabilities) |
3.90 |
4.08 |
3.50 |
|
|
|
|
|
|
Quick Ratio ((Current Assets – Inventories) / Current Liabilities) |
3.11 |
3.19 |
2.79 |
|
|
|
|
|
|
G-Score Ratio Financial (Networth / Total Assets) |
0.80 |
0.82 |
0.78 |
|
|
|
|
|
|
G-Score Ratio Debt (Debts / Equity Capital) |
0.00 |
0.00 |
0.00 |
|
|
|
|
|
|
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities) |
3.90 |
4.08 |
3.50 |
Total
Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term
debts
STOCK
PRICES
|
Face Value |
INR 10.00/- |
|
|
|
|
Market Value |
INR 721.00/- |
FINANCIAL ANALYSIS
[all figures are
in 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 |
153.900 |
153.900 |
153.900 |
|
Reserves & Surplus |
2736.600 |
3001.500 |
3261.500 |
|
Share Application money pending allotment |
0.000 |
0.000 |
0.000 |
|
Net
worth |
2890.500 |
3155.400 |
3415.400 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
0.000 |
0.000 |
|
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
Total
borrowings |
0.000 |
0.000 |
0.000 |
|
Debt/Equity ratio |
0.000 |
0.000 |
0.000 |
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 |
5518.500 |
4509.500 |
4737.200 |
|
|
|
(18.284) |
5.049 |
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 |
5518.500 |
4509.500 |
4737.200 |
|
Profit |
236.400 |
283.400 |
260.000 |
|
|
4.28% |
6.28% |
5.49% |
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 |
No |
|
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 |
Litigations that the firm/promoter
involved in |
-- |
|
32 |
Market information |
-- |
|
33 |
Payments terms |
No |
|
34 |
Negative Reporting by Auditors in the
Annual Report |
No |
INDEX OF CHARGES
|
CHARGES REGISTERED |
||||||||
|
SNO |
SRN |
CHARGE ID |
CHARGE HOLDER NAME |
DATE OF CREATION |
DATE OF MODIFICATION |
DATE OF SATISFACTION |
AMOUNT |
ADDRESS |
|
1 |
C05464029 |
10500768 |
HDFC BANK LIMITED |
19/03/2014 |
- |
- |
130000000.0 |
HDFC BANK HOUSESENAPATI BAPAT MARGLOWER PAREL WMUMBAIMH400013IN |
|
2 |
C47672738 |
10384878 |
AXIS BANK LIMITED |
09/10/2012 |
24/02/2015 |
- |
240000000.0 |
CBB, KARUMUTHU NILAYAMNO.192 ANNA SALAICHENNAITN600002IN |
|
3 |
B59649582 |
80033750 |
STATE BANK OF INDIA |
08/07/1988 |
11/08/2011 |
09/10/2012 |
330000000.0 |
OVERSEAS BRANCHNO.86, RAJAJI SALAICHENNAITN600001IN |
EXTRACT OF STATEMENT OF
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND 6 MONTHS ENDED 31.12.2017
|
Particulars |
Quarter Ended 31.12.2017 |
Quarter Ended 30.09.2017 |
Half Year Ended 31.12.2017 |
|
(Unaudited) |
(Unaudited) |
(Unaudited) |
|
|
Total Income From operations |
1287.400 |
1296.500 |
3980.800 |
|
Net Profit/ (Loss) for the
period [Before Tax, Exceptional and/ or extraordinary items] |
144.000 |
139.700 |
423.100 |
|
Net Profit/ (Loss) for the period
Before Tax [After Exceptional and/ or extraordinary items] |
144.000 |
137.100 |
411.700 |
|
Net Profit/ (Loss) for the
period [After Tax, Exceptional and/ or extraordinary items] |
96.000 |
92.900 |
279.600 |
|
Total Comprehensive income for the period [comprising Profit/ Loss]
for the period after tax] and other comprehensive income [after tax] |
92.900 |
90.800 |
272.300 |
|
Equity share Capital |
153.900 |
153.900 |
153.900 |
|
Earnings
Per Share [of INR 10/- each] [for continuing and discontinuing operations] |
|
|
|
|
Basic |
6.24 |
6.04 |
18.16 |
|
Diluted
|
6.24 |
6.04 |
18.16 |
UNAUDITED
FINANCIAL RESULTS FOR THE QUARTER ENDED 31.12.2017
(INR
IN MILLION)
|
Particulars |
Quarter Ended 31.12.2017 |
Quarter Ended 30.09.2017 |
Half Year Ended 31.12.2017 |
|
|
(Unaudited) |
(Unaudited) |
(Unaudited) |
|
|
|
|
|
|
Income from operations |
|
|
|
|
Revenue from operations [Inclusive of excise duty] |
1263.900 |
1269.200 |
3899.700 |
|
Other operating Income |
23.500 |
27.300 |
81.100 |
|
Total Income from operations (Net) |
1287.400 |
1296.500 |
3980.800 |
|
|
|
|
|
|
Expenses |
|
|
|
|
Cost of raw material and
components |
626.400 |
619.200 |
1946.300 |
|
Cost of traded goods |
166.400 |
164.200 |
525.500 |
|
Changes in inventories work-in-progress and finished goods
|
28.300 |
93.600 |
9.000 |
|
Employee
benefits expense |
124.400 |
137.800 |
400.200 |
|
Depreciation
and amortisation expense |
25.900 |
24.800 |
76.100 |
|
Other
expenditure |
172.000 |
117.200 |
600.600 |
|
Total Expenses |
1143.400 |
1156.800 |
3557.700 |
|
|
|
|
|
|
Profit before exceptional Items |
144.00 |
139.700 |
423.100 |
|
Exceptional
Items |
0.000 |
2.600 |
11.400 |
|
Profit before tax |
144.000 |
137.100 |
411.700 |
|
Tax
expense |
48.000 |
44.200 |
132.100 |
|
Net after tax |
96.000 |
92.900 |
279.600 |
|
Other
comprehensive income |
(3.100) |
(2.100) |
(7.300) |
|
Total comprehensive income |
92.900 |
90.800 |
272.300 |
|
Earnings Per Share (EPS) |
|
|
|
|
Basic and diluted (INR) |
6.24 |
6.04 |
18.16 |
|
weighted and average number of shares
[Nos.] |
15393020 |
15393020 |
15393020 |
|
Per value of Equity share [in INR] |
10 |
10 |
10 |
STATEMENT OF UNAUDITED FINANCIAL RESULTS
FOR THE QUARTER AND 6 MONTHS ENDED 31.12.2017
(INR In Million)
|
Particulars |
Quarter Ended 31.12.2017 |
Quarter Ended 30.09.2017 |
Half
Year Ended 31.12.2017 |
|
|
(Unaudited) |
(Unaudited) |
(Unaudited) |
|
|
|
|
|
|
1. Segment
Revenue |
|
|
|
|
a)
Consumables |
877.900 |
876.700 |
2700.600 |
|
b)
Equipments |
386.000 |
392.500 |
1199.100 |
|
Total |
1263.900 |
1269.200 |
3899.700 |
|
|
|
|
|
|
2. Segment
Results |
|
|
|
|
a)
Consumables |
110.100 |
120.200 |
326.800 |
|
b)
Equipments |
38.700 |
28.000 |
114.200 |
|
Total segment
results |
148.800 |
148.200 |
441.000 |
|
Less: (i)
Exceptional Items |
|
|
|
|
a)
Consumables |
0.000 |
0.000 |
7.400 |
|
b)
Equipments |
0.000 |
2.600 |
4.000 |
|
Other
un-allocable expenditure net off un-allocable other operating income |
4.800 |
8.500 |
17.900 |
|
Total Profit
Before Tax |
144.000 |
137.100 |
411.700 |
|
|
|
|
|
|
Segment Assets |
|
|
|
|
a)
Consumables |
1543.300 |
1661.500 |
1543.300 |
|
b)
Equipments |
678.100 |
798.000 |
678.100 |
|
c)
Unallocated |
2446.300 |
2120.300 |
2446.300 |
|
Total Segment Assets |
4667.700 |
4579.800 |
4667.700 |
|
|
|
|
|
|
Segment Liabilities |
|
|
|
|
a)
Consumables |
490.300 |
498.700 |
490.300 |
|
b)
Equipments |
344.800 |
369.300 |
344.800 |
|
c)
Unallocated |
153.200 |
125.300 |
153.200 |
|
Total Segment Liabilities |
988.300 |
993.300 |
988.300 |
|
|
|
|
|
|
Capital
Employed |
|
|
|
|
a)
Consumables |
1053.000 |
1162.800 |
1053.000 |
|
b)
Equipments |
333.300 |
428.700 |
333.300 |
|
c)
Unallocated |
2293.100 |
1995.000 |
2293.100 |
|
Total Capital Employed |
3679.400 |
3586.500 |
3679.400 |
Notes:
1. The Company has adopted the Indian Accounting Standards (IND AS) from April 1, 2017 and these financials have been prepared in accordance with the recognition and measurement principles laid down in IND AS 34 - Interim financial reporting, prescribed under Section 133 of the Companies Act 2013 read with relevant rules issued thereunder. The date of transition to IND AS is April 1, 2016. The impact of transition has been accounted for in the opening reserves and the comparitive period results have been restated accordingly. The opening balance as at April 1, 2016 and the subsequent periods would get finalised along with the annual financial statements for the year ending March 31, 2018.
2. The financial results and other financial information for the quarter ended September 30, 2016 has not been reviewed and has been presented based on the information compiled by the management after making necessary adjustments to provide a true and fair view of the results in accordance with IND AS.
3. The above unaudited financial results of the Company were reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on February 7, 2018.
4. The company undertook a restriction exercise during the previous year at Taratala Involving optimizing its capacities, which has resulted impairement of property, plant and equipment amounting of INR Nil [September 30, 2017, INR 2.600 Million December 31, 2016 Nil].
5. The Board of Directors and Shareholders had approved discontinuance of manufacturing operations at its Consumables Plant at Khardah during earlier years. As a result, impairment of property, plant and equipment aggregating to INR Nil (June 30, 2017 – INR 7.400 million; September 30, 2016 - INR Nil) have been reported under exceptional items."
6. Previous period's figures have been regrouped or reclassified wherever necessary.
7. The results would be uploaded and available for viewing in the Company’s website www.esabindia.com and on the stock exchange website of BSE and NSE.
CONTINGENT
LIABILITIES:
|
Particulars |
31.03.2017 (INR
In Million) |
31.03.2016 (INR
In Million) |
|
Claims against the Company not acknowledged as debts* |
82.400 |
82.400 |
|
Tax matters in dispute under appeal (excluding possible
interest)** |
232.400 |
202.600 |
|
Bank guarantees outstanding |
31.200 |
24.900 |
|
Notes: * The Company is contesting the demands and the Management, including its legal counsel, believe that it is possible, but not probable, the action will succeed and accordingly no provision for liability has been recognised in the financial statements. ** The Company is contesting the demands and the
Management, including its tax advisors, believe that it is possible, but not
probable, the action will succeed and accordingly no provision for liability has
been recognised in the financial statements. |
||
COMPANY OVERVIEW
Subject was incorporated on November 10, 1987 and commenced its business operations in July 1988. The Company is engaged in the business of welding consumables i.e. welding electrodes, copper coated wires, flux cored wires and welding fluxes and of welding equipment i.e. welding machines and cutting equipments. The Company caters to both domestic and international markets
MANAGEMENT DISCUSSION
AND ANALYSIS
ECONOMIC &
BUSINESS ENVIRONMENT
The financial year witnessed a slew of initiatives from the Government with varying ranges of present and potential impact. There appeared to be legislative intent in addressing multiple issues notably on financial sector reforms, digitization and policy push on infrastructure. The short term adverse impact on some of these initiatives affected business for a part of the financial year and they expect to have some more short term volatilities in the current fiscal year. This is specifically in the context of the proposed Goods and Services Tax. The longer term impact of these initiatives on digitization, demonetization and GST are expected to be positives for players in the organized sector including the Company. However, there are expected short term disruptions, compliance risks and multiple change management issues to address on the supply chain, IT and other business elements
In the specific context of segments addressed by the Company, the indicators continued to reflect a continuing phase of low to often negative core manufacturing growth. The Investment cycle is reportedly yet to revive and steel consumption growth for relevant segments addressed by the Company continued to languish at low levels
Key end customer segments for Welding products were affected to various degrees by the above elements
Input costs on Steel hardened in the face of reported cost increases on ore and coking coal. Pass through in terms of pricing changes was limited given the market conditions and the consequent squeeze on margins had to be addressed through productivity gains and cost reductions.
The Company enhanced its range of product offerings with the introduction of new products. The Company made a small beginning in terms of exports to South East Asian countries on a range of consumables that were hitherto sourced from another ESAB location outside India.
The Company discontinued manufacturing operations at its Khardah Plant and successfully completed the transfer of manufacture of products mainly to its Ambattur Plant. Some of the products relating to Wires are now being supplied out of the Company's Plant at Kalmeshwar, Nagpur.
The Company undertook a restructuring exercise at Taratala involving right sizing of headcount through a voluntary separation scheme for workmen and one time settlement of some of the contractors. This is expected to help us stay cost competitive in a difficult market
The Company continued to make good progress on its support service activities out of India in the areas of R&D, shared services and operational support for other subsidiaries of Colfax around the world. We have had encouraging response from the concerned end customers in the Colfax group. We continue to focus on this to grow employment opportunities in India and to optimize on costs apart from bringing in foreign exchange earnings.
They continue to explore avenues to drive down costs and improve productivity through internal and global benchmarking of performance metrics.
OUTLOOK,
OPPORTUNITIES AND THREATS
Despite mixed signals within various segments, the overall
outlook appears to be moderately better for the current fiscal year. They
expect to see the benefits of some of the reforms which tend to benefit the
organized sector of the economy. They also expect to see some change management
issues in the economy in the transition phase of GST when it is implemented.
They also expect to see some benefits from the restructuring projects
undertaken over the last 2 years to accrue in terms of costs and productivity.
FIXED ASSETS:
· Freehold land
· Leasehold land
· Buildings
· Plant and Machinery
· Furniture and Fixtures
· Vehicles
· Computer software
·
Technical know how
PRESS RELEASE:
ESAB INDIA BOARD
APPROVES ACQUISITION OF SANDVIK ASIA WELDING BUSINESS
07.02.2018
Esab India has informed the exchanges that the Board of Directors at its meeting held on February 7, 2018 have approved the acquisition of the welding business of Sandvik Asia Private Ltd, Pune. The cost of acquisition is still under finalisation between the parties, the company said in the release to the stock exchanges. Sandvik Asia is in the business of supplying welding materials for stainless steel and nickel alloys. Four employees of Sandvik Asia will be taken on the rolls of Esab India on and after completion of the deal, Esab India said. The deal involves a negligible value of current assets and liabilities with no transfer of stocks receivables. Retirement benefits would be reimbursed separately. The stock of Esab India jumped 2 per cent at INR 793.35 on the NSE.
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 records 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 65.13 |
|
UK Pound |
1 |
INR 92.52 |
|
Euro |
1 |
INR 80.59 |
INFORMATION DETAILS
|
Information Gathered
by : |
GYT |
|
|
|
|
Analysis Done by
: |
VAR |
|
|
|
|
Report Prepared
by : |
RUP |
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.