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|
|
MIRA INFORM REPORT
|
Report No. : |
504311 |
|
Report Date : |
20.04.2018 |
IDENTIFICATION DETAILS
|
Name : |
BONFIGLIOLI TRANSMISSIONS PRIVATE LIMITED (w.e.f. 25.09.1948) |
|
|
|
|
Formerly Known
As : |
BONFIGLIOLI DEEPAK PRIVATE LIMITED |
|
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Registered
Office : |
Plot No. AC7-AC 11, SIDCO Industrial Estate, Thirumudivakkam, Chennai
– 600044, Tamilnadu |
|
Tel. No.: |
91-44-24781035/ 37/ 24781463/ 24782128/ 29 |
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|
|
|
Country : |
India |
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|
|
Financials (as
on) : |
31.03.2017 |
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|
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Date of
Incorporation : |
23.06.1998 |
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|
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|
Com. Reg. No.: |
18-040717 |
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Capital
Investment / Paid-up Capital : |
INR 1250.000 Million |
|
|
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CIN No.: [Company Identification
No.] |
U29309TN1998PTC040717 |
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|
|
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IEC No.: [Import-Export Code No.] |
0498052605 |
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|
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TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
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TIN No.: |
33090883421 |
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|
|
|
GSTN : [Goods & Service Tax
Registration No.] |
33AABCB1675N1ZL |
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PAN No.: [Permanent Account No.] |
AABCB1675N |
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Legal Form : |
Private Limited Liability Company |
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Line of Business
: |
Manufacture of gearboxes for agricultural machinery and motorcycles. (Registered activity) |
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No. of Employees
: |
Information declined by the management |
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 |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
|
Status : |
Good |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject is a subsidiary of ‘Bonfigliolo Riduttori S.P.A. based in Italy
and it was incorporated in the year 1998. It is a manufacturer and designer of gearboxes for agricultural
machinery and motorcycles. As per financials of march 2017, the company has registered a growth of
17.48% in its revenue as compared to its previous year’s revenue and has
reported good profit margin of 9.25% under review. Rating takes into consideration the company’s established track record
of business operations marked by sound net worth base along with low solvency
indicators and good liquidity position. Rating also takes into account the strong financial and managerial
support received from its holding entity and well experienced management
team. Further, the company has reported earnings per share of INR 5.67
against its face value of 10. Payments are reported to be regular. In view of aforesaid, the company can be considered for business
dealings at usual trade terms and conditions. |
NOTES :
Any query related to this report can be made on
e-mail : infodept@mirainform.com
while quoting report number, name and date.
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 |
EXTERNAL AGENCY RATING
|
Rating Agency Name |
Not Available |
|
Rating |
Not Available |
|
Rating Explanation |
Not Available |
|
Date |
Not Available |
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
31-03-2018.
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 20.042018
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 PARTED DENIED BY
|
Name : |
Mr. Jay Parikh |
|
Designation : |
Sales Executive |
|
Contact No.: |
91-9227907300 |
|
Date : |
17.04.2018 |
MANAGEMENT NON-COOPERATIVE: 91-22-24782128 /
29
LOCATIONS
|
Registered Office/ Factory 1 : |
Plot No. AC7-AC 11, SIDCO Industrial Estate, Thirumudivakkam, Chennai
– 600044, Tamilnadu, India |
|
Tel. No.: |
91-44-24781035/ 37/ 24781463/ 24782128/ 29 |
|
Mobile No.: |
91-9227907300 (Mr. Dharmendra Rami) |
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Fax No.: |
91-44-24780091/ 92 |
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E-Mail : |
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Website : |
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Headquarters: |
Survey No. 528/1, Perambakkam High Road, Mannur Village,
Sriperambudur Taluk Chennai - 602105, Tamil Nadu, India |
|
Tel. No.: |
91-44-67103800 |
|
Fax No.: |
91-44-67103999 |
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E-Mail : |
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Branch Office / Factory 2 : |
A/812, 8th Floor, Safal Pegasus 100 Feet Road, Prahlad Nagar,
Ahmedabad - 380015, Gujarat, India |
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|
Subsidiary Local Office : |
Located at:
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DIRECTORS
As on 31.03.2017
|
Name : |
Bonfiglioli Sonia |
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|
Designation : |
Director |
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Address : |
VIA Dell'osservanza, 76 Bologna Italy 40136 |
||||||||
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Date of Birth/Age : |
25.11.1963 |
||||||||
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Qualification : |
Graduate |
||||||||
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Date of Appointment : |
20.11.1998 |
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DIN No.: |
02433473 |
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Other Directorship:
|
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|
||||||||
|
Name : |
Fausto Carboni |
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Designation : |
Director |
||||||||
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Address : |
Viale Mazzini G, Near 60 INT.3, Cesenatico FC 47042 IT |
||||||||
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Date of Birth/Age : |
06.05.1963 |
||||||||
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Date of Appointment : |
28.12.2011 |
||||||||
|
DIN No.: |
05183351 |
||||||||
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|
|
||||||||
|
Name : |
Luisa Lusardi |
||||||||
|
Designation : |
Director |
||||||||
|
Address : |
Dell 'Osservanza, 78 Bologna 40136 NA IT |
||||||||
|
Date of Appointment : |
30.09.2016 |
||||||||
|
DIN No.: |
07491096 |
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KEY EXECUTIVES
|
Name : |
Mr. Vikraman Janakiraman |
|
Designation : |
Company Secretary |
|
Address : |
Door No. 8, Flat No. H, Kannika Colony 1st Street Lakshmi Nagar 3rd Main Road, Nanganallur Chennai-600061, Tamilnadu, India |
|
Date of Birth/Age : |
19.01.1986 |
|
Date of Appointment : |
09.09.2015 |
|
PAN No.: |
AOKPV1638M |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on 31.03.2017
|
Names of Shareholders |
|
No. of Shares |
|
Bonfiglioli Riduttori S.p.A |
|
124999990 |
|
G A Ganesh |
|
10 |
|
Total |
|
125000000 |
Equity Share Break up (Percentage of Total Equity)
As on 29.09.2017
|
Category |
Percentage |
|
Public - Bodies corporate |
100.00 |
|
Total |
100.00 |
BUSINESS DETAILS
|
Line of Business : |
Manufacture of gearboxes for agricultural machinery and motorcycles. (Registered activity) |
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Products : |
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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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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 : |
Information declined by the management |
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Bankers : |
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Facilities : |
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Auditors : |
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|
Name : |
Price Waterhouse and Company LLP Chartered Accountants |
|
Address : |
8th Floor, Prestige Palladium Bayan, 129-140, Greams Road, Chennai - 600006, Tamilnadu, India |
|
PAN N Income-tax PAN of auditor or auditor's firm : |
AAFFP3698A |
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|
|
|
Memberships : |
Not Available |
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|
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Collaborators : |
Not Available |
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Holding company : |
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Fellow Subsidiary
Company : |
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Enterprises which
are owned, or have significant influence of or are partners with Key
management personnel and their relatives : |
|
CAPITAL STRUCTURE
After 29.09.2017
Authorised Capital: INR 1282.000
Million
Issued, Subscribed & Paid-up Capital: INR 1281.818 Million
As on 31.03.2017
Authorised Capital:
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
125000000 |
Equity Shares |
INR 10/- each |
INR 1250.000 Million |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital:
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
125000000 |
Equity Shares |
INR 10/- each |
INR 1250.000 Million |
|
|
|
|
|
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 |
1250.000 |
1250.000 |
1250.000 |
|
(b) Reserves and Surplus |
2156.200 |
1447.100 |
971.900 |
|
(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) |
3406.200 |
2697.100 |
2221.900 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
0.000 |
0.000 |
60.700 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long-term
liabilities |
0.000 |
0.000 |
0.000 |
|
(d) long-term
provisions |
21.100 |
21.500 |
16.400 |
|
Total Non-current
Liabilities (3) |
21.100 |
21.500 |
77.100 |
|
|
|
|
|
|
(4)
Current Liabilities |
|
|
|
|
(a) Short-term
borrowings |
4.200 |
298.000 |
978.500 |
|
(b) Trade
payables |
1329.900 |
1203.800 |
920.200 |
|
(c) Other
current liabilities |
214.800 |
243.300 |
312.200 |
|
(d) Short-term
provisions |
186.100 |
72.100 |
87.200 |
|
Total Current
Liabilities (4) |
1735.000 |
1817.200 |
2298.100 |
|
|
|
|
|
|
TOTAL |
5162.300 |
4535.800 |
4597.100 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1)
Non-current assets |
|
|
|
|
(a) Fixed
Assets |
|
|
|
|
(i) Tangible
assets |
972.400 |
1054.700 |
1185.100 |
|
(ii)
Intangible Assets |
7.200 |
6.800 |
7.400 |
|
(iii) Tangible assets
capital work-in-progress |
46.300 |
12.500 |
2.000 |
|
(iv)
Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
1.000 |
0.700 |
0.000 |
|
(c) Deferred tax assets (net) |
97.300 |
67.500 |
34.300 |
|
(d)
Long-term loans and advances |
52.500 |
67.400 |
56.800 |
|
(e) Other
Non-current assets |
0.600 |
6.400 |
0.800 |
|
Total Non-Current Assets |
1177.300 |
1216.000 |
1286.400 |
|
|
|
|
|
|
(2)
Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
1216.200 |
1124.400 |
1183.500 |
|
(c) Trade
receivables |
1809.100 |
1521.600 |
1452.700 |
|
(d) Cash and
bank balances |
580.700 |
164.800 |
16.500 |
|
(e)
Short-term loans and advances |
289.200 |
422.600 |
540.100 |
|
(f) Other
current assets |
89.800 |
86.400 |
117.900 |
|
Total
Current Assets |
3985.000 |
3319.800 |
3310.700 |
|
|
|
|
|
|
TOTAL |
5162.300 |
4535.800 |
4597.100 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
SALES |
|
|
|
|
|
Revenue
from operations |
7669.100 |
6527.800 |
6372.900 |
|
|
Other Income |
42.400 |
43.300 |
68.500 |
|
|
TOTAL |
7711.500 |
6571.100 |
6441.400 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials
Consumed |
4864.900 |
3954.800 |
4236.200 |
|
|
Purchases of
Stock-in-Trade |
204.000 |
227.600 |
192.100 |
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
(125.700) |
35.600 |
(164.900) |
|
|
Employee benefit expense |
512.000 |
493.600 |
419.200 |
|
|
CSR expenditure |
16.900 |
4.100 |
2.600 |
|
|
Other expenses |
784.600 |
785.400 |
670.100 |
|
|
TOTAL |
6256.700 |
5501.100 |
5355.300 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION |
1454.800 |
1070.000 |
1086.100 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
54.400 |
70.400 |
169.300 |
|
|
|
|
|
|
|
|
PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
1400.400 |
999.600 |
916.800 |
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
256.400 |
269.600 |
277.400 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
BEFORE TAX |
1144.000 |
730.000 |
639.400 |
|
|
|
|
|
|
|
Less |
TAX |
434.900 |
254.800 |
222.500 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
AFTER TAX |
709.100 |
475.200 |
416.900 |
|
|
|
|
|
|
|
|
Earnings / (Loss) Per Share
(INR) |
5.67 |
3.80 |
3.34 |
CURRENT MATURITIES OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Maturities of Long term debt |
0.000 |
60.400 |
98.400 |
|
Net cash flows from (used in) operations |
1331.400 |
1500.500 |
977.400 |
|
Net cash flows from (used in) operating activities |
995.600 |
1163.400 |
776.900 |
KEY
RATIOS
EFFICIENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Average Collection Days (Sundry Debtors / Income * 365 Days) |
86.10 |
85.08 |
83.20 |
|
|
|
|
|
|
Account Receivables Turnover (Income / Sundry
Debtors) |
4.24 |
4.29 |
4.39 |
|
|
|
|
|
|
Average Payment Days (Sundry Creditors
/ Purchases * 365 Days) |
95.76 |
105.06 |
75.85 |
|
|
|
|
|
|
Inventory Turnover (Operating Income
/ Inventories) |
1.20 |
0.95 |
0.92 |
|
|
|
|
|
|
Asset Turnover (Operating Income
/ Net Fixed Assets) |
1.42 |
1.00 |
0.91 |
LEVERAGE RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Debt Ratio ((Borrowing + Current Liabilities) / Total
Assets) |
0.34 |
0.41 |
0.53 |
|
|
|
|
|
|
Debt Equity Ratio (Total Liability
/ Networth) |
0.00 |
0.13 |
0.51 |
|
|
|
|
|
|
Current Liabilities to Networth (Current Liabilities
/ Net Worth) |
0.51 |
0.67 |
1.03 |
|
|
|
|
|
|
Fixed Assets to Networth (Net Fixed Assets
/ Networth) |
0.30 |
0.40 |
0.54 |
|
|
|
|
|
|
Interest Coverage Ratio (PBIT / Financial
Charges) |
26.74 |
15.20 |
6.42 |
PROFITABILITY RATIOS
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Net Profit Margin ((PAT / Sales) *
100) |
% |
9.25 |
7.28 |
6.54 |
|
|
|
|
|
|
|
Return on Total Assets ((PAT / Total
Assets) * 100) |
% |
13.74 |
10.48 |
9.07 |
|
|
|
|
|
|
|
Return on Investment (ROI) ((PAT / Networth)
* 100) |
% |
20.82 |
17.62 |
18.76 |
SOLVENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Ratio (Current Assets / Current Liabilities) |
2.30 |
1.83 |
1.44 |
|
|
|
|
|
|
Quick Ratio ((Current Assets
– Inventories) / Current Liabilities) |
1.60 |
1.21 |
0.93 |
|
|
|
|
|
|
G-Score Ratio Financial (Networth / Total
Assets) |
0.66 |
0.59 |
0.48 |
|
|
|
|
|
|
G-Score Ratio Debt (Debts / Equity
Capital) |
0.00 |
0.29 |
0.91 |
|
|
|
|
|
|
G-Score Ratio Liquidity (Total Current
Assets / Total Current Liabilities) |
2.30 |
1.83 |
1.44 |
Total Liability = Short-term Debt + Long-term
Debt + Current Maturities of Long-term debts
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 |
1250.000 |
1250.000 |
1250.000 |
|
Reserves & Surplus |
971.900 |
1447.100 |
2156.200 |
|
Net
worth |
2221.900 |
2697.100 |
3406.200 |
|
|
|
|
|
|
Long-term borrowings |
60.700 |
0.000 |
0.000 |
|
Short term borrowings |
978.500 |
298.000 |
4.200 |
|
Current maturities of
long-term debts |
98.400 |
60.400 |
0.000 |
|
Total
borrowings |
1137.600 |
358.400 |
4.200 |
|
Debt/Equity
ratio |
0.512 |
0.133 |
0.001 |
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 |
6372.900 |
6527.800 |
7669.100 |
|
|
0.000 |
2.431 |
17.484 |
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 |
6372.900 |
6527.800 |
7669.100 |
|
Profit/ (Loss) |
416.900 |
475.200 |
709.100 |
|
|
6.54
% |
7.28
% |
9.25
% |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check list by
info agents |
Available in
Report (Yes/No) |
|
1 |
Year of establishment |
Yes |
|
2 |
Constitution of the entity -Incorporation
details |
Yes |
|
3 |
Locality of the entity |
Yes |
|
4 |
Premises details |
No |
|
5 |
Buyer visit details |
-- |
|
6 |
Contact numbers |
Yes |
|
7 |
Name of the person contacted |
Yes |
|
8 |
Designation of contact person |
Yes |
|
9 |
Promoter’s background |
Yes |
|
10 |
Date of Birth of Proprietor / Partners /
Directors |
Yes |
|
11 |
Pan Card No. of Proprietor / Partners |
No |
|
12 |
Voter Id Card No. of Proprietor / Partners |
No |
|
13 |
Type of business |
Yes |
|
14 |
Line of Business |
Yes |
|
15 |
Export/import details (if applicable) |
No |
|
16 |
No. of employees |
No |
|
17 |
Details of sister concerns |
Yes |
|
18 |
Major suppliers |
No |
|
19 |
Major customers |
No |
|
20 |
Banking Details |
Yes |
|
21 |
Banking facility details |
Yes |
|
22 |
Conduct of the banking account |
-- |
|
23 |
Financials, if provided |
Yes |
|
24 |
Capital in the business |
Yes |
|
25 |
Last accounts filed at ROC, if applicable |
Yes |
|
26 |
Turnover of firm for last three years |
Yes |
|
27 |
Reasons for variation <> 20% |
-- |
|
28 |
Estimation for coming financial year |
No |
|
29 |
Profitability for last three years |
Yes |
|
30 |
Major shareholders, if available |
Yes |
|
31 |
External Agency Rating, if available |
No |
|
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 |
STATE OF AFFAIRS:
During the financial year 2016-17, revenue from operations increased to INR 76,691 lacs as against INR 65,278 lacs in the previous year – a growth of 17.5%.
Cost of goods sold as a percentage to revenue from operations was maintained at the same level of 64.4% compared to the previous year.
The Profit After Tax for the current year is INR 7,091 lacs as against INR 4,752 lacs in the previous year – a growth of 49.2%. The growth in profit is mainly driven by increase in revenue from operations and controlling of expenses during the year.
This year, they capitalized INR 1,752 lacs. This is mainly on account of of INR 1,368 lacs for investment in Plant and Machinery. The balance investments are towards Motor Vehicles, Office Equipment, Furniture and Fixtures and Software.
The company liquidity position had further improved during the financial year and the company was debt-free and maintain sufficient cash to meet their strategic and operational requirements.
OPERATIONS,
PERFORMANCE AND FUTURE OUTLOOK OF THE COMPANY:
Country’s Overview:
Indian economy is one of the fastest growing economies of the world. In 2016-17, Gross Domestic Product (GDP) growth moderated due to slowdown in gross capital formation as fading business confidence and flagging entrepreneurial energies took their toll on the appetite for new investment. As per annual report of Reserve Bank of India, the country’s GDP was 7.1% for 2016-17 compared to 7.9% for 2015-16.
During the financial year 2016-17, the Government announced demonetization, subsequent to which the country faced severe cash shortages with severe detrimental effects across the country. While the growth in many sectors continued to outperform the overall GDP growth rate, growth in manufacturing, construction and major services were impacted due to currency squeeze during the fourth quarter.
GST has been implemented with effect from 1st July 2017 and the preparation for GST resulted in anxiety in manufacturing and trade of the country during the first quarter of FY 2017-18 and the country’s GDP come to a record low of 5.7% but would be good for the economy in long term. Reaction of trade and business are causing this strain.
Industry’s and
Company’s Overview:
i. Mobile and Wind
Solutions
Mobile sector demonstrates a healthy trend. Indian construction equipment sales grew 39% in 2016. Moving forward, they expect the industry to grow at a CAGR of 10-12% for the next three years.
Earthmoving, Road construction and Concrete industry are to drive the demand for construction equipments, mainly on account of Government’s spending on Road construction, Irrigation, River linking projects and other flag ship projects like Smart cities, Housing for all and Rail way project like Metro rail and Bullet train.
Agricultural sector continue to be affected by the vagaries of monsoon. However, initiatives on River linking and Irrigation projects are expected to remove this shackle in due course. Mining sector face structural issues like slump in global demand due to environmental concerns and move towards more sustainable energy, legal quagmires and public resistance.
Notable risks for this industry would be the continued reliance on Government for investments in infrastructure segment. Private investment is almost dismissal due to poor track record, debt burden and bank’s aversion to risk on account of past experience. Any change in Governments spending pattern due to deficit targets, social spending priorities or for political expediency would adversely affect the industry. Higher GST for the construction equipment, at 28%, is expected to have a temporary impact on sales in 2017. However, it would recover due to underlying demand from previously mentioned initiatives.
Wind sales
At 5.4 GW, 2016 saw the highest wind installation in Indian history. This was driven by the rush of wind producers to take advantage of financial subsidies like Accelerated Depreciation and Generation based incentives, before it being curtailed.
2017 is a defining moment for wind Sector. Government’s support is taken away and it has to compete with other energy forms like coal and solar for its share of business. Central Government’s move to buy wind energy through auctioning has brought down the prices to a record low of 3.6 INR per KWH. This has prompted state electricity companies to scrap existing “feed in-tariff” agreements to pursue similar price seeking auctions. The transition to new form of power purchasing process, auctioning, is mired by delays at different stages. Consequently, wind industry is completely shut down and 2017 expected to have one of the lowest wind installation.
While price seeking auction is expected to significantly bring down the ROE for all industry players, better transparency in power purchasing would be extremely detrimental for some players.
While short term outlook for wind industry is grim, the medium term forecast remains positive with Government’s continued commitment for renewable energy, better financial viability of state power units due to UDAY scheme and increasing trend in rural power consumption. Falling power rates are expected to bring down the margin in wind industry for all players but this would also help the industry to get out of the crutches of Government support, providing it with a sustainable demand. However, long term growth outlook is purely depending on improvement in energy infrastructure including connectivity, forecasting and storage.
Industrial Solutions:
All the key performance indicators for the Bonfiglioli’s Industrial business in India were exceptionally good in the year 2016-17. During the year, the business registered a strong acceleration due to the aggressive approach in the market supported by excellent performance of the plants.
The beginning of the Operations in their new facility in Pune would help to add capacity and strengthen the confidence of their customers in their Brand.
Their most important industrial sector, Material Handling, is suffering the reduction in the fixed investment mentioned above. Luckily they were able to compensate with very good performance in Food and Beverage, Chemical and Metal processing. They expect this trend to continue also in the coming months and the good monsoon of this year should boost the demand in rice, sugar and other Food related sectors.
They are working on important projects (CRM and Pricing) to put their sales team in the conditions to sell more and sell better.
They have got the updated ISO 9001:2015 certification with some positive remarks from the auditors.
They are working on the development of Heavy Duty gearboxes where they see high potential for their Growth.
Their biggest challenge in front of us is the introduction in India of the High Efficiency motors starting from 1st October 2017. This, along with an unfavorable exchange rate, might impact their performance in the last quarter of 2017-18 but in spite of this they are confident to reach the important target of 3bn INR turnover.
INDEX
OF CHARGES:
|
SNo |
SRN |
Charge Id |
Charge Holder Name |
Date of Creation |
Date of
Modification |
Date of
Satisfaction |
Amount |
Address |
|
1 |
C65824260 |
10594247 |
The Hongkong and Shanghai Banking Corporation Limited |
25/09/2015 |
- |
- |
465000000.0 |
No 30, Rajaji Salai,Opp to Beach StationChennaiTN600001IN |
|
2 |
G36124766 |
10096567 |
HDFC BANK LIMITED |
16/02/2008 |
13/02/2017 |
- |
550000000.0 |
HDFC Bank House, Senapati Bapat MargLower Parel (West)MumbaiMH400013IN |
|
3 |
G01430487 |
90286480 |
Kotak Mahindra Bank Limited |
22/10/2002 |
12/02/2016 |
- |
300000000.0 |
27 BKC, C 27, G Block,Bandra Kurla Complex, Bandra East,MumbaiMH400051IN |
|
4 |
G07552003 |
10247436 |
HDFC BANK LIMITED |
12/11/2008 |
- |
04/07/2016 |
300000000.0 |
HDFC BANK HOUSESENAPATI BAPAT MARGLOWER PAREL WMUMBAIMH400013IN |
|
5 |
G05037213 |
10228661 |
AXIS BANK LIMITED |
25/06/2010 |
18/05/2015 |
19/05/2016 |
260000000.0 |
CMC, KARUMUTHU NILAYAMNO.192, ANNA SALAI,CHENNAITN600002IN |
|
6 |
C62971007 |
10136049 |
ING VYSYA BANK LIMITED |
12/11/2008 |
09/12/2011 |
10/08/2015 |
200000000.0 |
MOUNT ROAD,185,ANNA SALAI,NEAR TVS,CHENNAITN600006IN |
|
7 |
C45607132 |
90287755 |
ING VYSYA BANK LIMITED |
22/10/2002 |
15/09/2005 |
27/02/2015 |
100000000.0 |
MOUNT ROAD BRANCH185; ANNA SALAICHENNAITN600006IN |
|
8 |
A90815499 |
10202049 |
ICICI BANK LIMITED |
17/08/2006 |
- |
04/08/2010 |
50000000.0 |
ICICI BANK TOWERS93, SANTHOME HIGH ROADCHENNAITN600028IN |
|
9 |
A63353791 |
80054056 |
ICICI BANK LIMITED |
17/05/2006 |
- |
10/06/2009 |
316000000.0 |
ICICI BANK TOWERS SMALL ENTERPRISES GROUP8th FLOOR EAST WING 93,SANTHOME HIGH ROADCHENNAITN600028IN |
FIXED ASSETS
- Land
- Buildings
- Plant and equipment
- Furniture and fixtures
- Vehicles
- Motor vehicles
- Office equipment
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts,
1] INFORMATION ON
DESIGNATED PARTY
No exist designating subject or any of its beneficial owners,
controlling shareholders or senior officers as terrorist or terrorist
organization or whom notice had been received that all financial transactions
involving their assets have been blocked or convicted, found guilty or against
whom a judgement or order had been entered in a proceedings for violating
money-laundering, anti-corruption or bribery or international economic or
anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered
forfeited for violation of money laundering or international anti-terrorism
laws.
2] Court Declaration :
No records exist to suggest that subject is
or was the subject of any formal or informal allegations, prosecutions or other
official proceeding for making any prohibited payments or other improper
payments to government officials for engaging in prohibited transactions or
with designated parties.
3] Asset Declaration :
No records exist to suggest that the property or assets of the subject
are derived from criminal conduct or a prohibited transaction.
4] Record on Financial
Crime :
Charges or conviction
registered against subject: None
5] Records on Violation of
Anti-Corruption Laws :
Charges or investigation
registered against subject: None
6] Records on Int’l
Anti-Money Laundering Laws/Standards :
Charges or
investigation registered against subject: None
7] Criminal Records
No
available information exist that suggest that subject or any of its principals
have been formally charged or convicted by a competent governmental authority
for any financial crime or under any formal investigation by a competent
government authority for any violation of anti-corruption laws or international
anti-money laundering laws or standard.
8] Affiliation with
Government :
No record
exists to suggest that any director or indirect owners, controlling
shareholders, director, officer or employee of the company is a government
official or a family member or close business associate of a Government
official.
9] Compensation Package :
Our market
survey revealed that the amount of compensation sought by the subject is fair
and reasonable and comparable to compensation paid to others for similar
services.
10] Press Report :
No press reports / filings exists on
the subject.
CORPORATE GOVERNANCE
MIRA INFORM as part of its Due Diligence do provide comments on
Corporate Governance to identify management and governance. These factors often
have been predictive and in some cases have created vulnerabilities to credit
deterioration.
Our Governance Assessment focuses principally on the interactions
between a company’s management, its Board of Directors, Shareholders and other
financial stakeholders.
CONTRAVENTION
Subject is not known to have contravened any existing local laws,
regulations or policies that prohibit, restrict or otherwise affect the terms
and conditions that could be included in the agreement with the subject.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
INR |
|
US Dollar |
1 |
INR 65.68 |
|
|
1 |
INR 93.98 |
|
Euro |
1 |
INR 81.30 |
INFORMATION DETAILS
|
Information
Gathered by : |
SRY |
|
|
|
|
Analysis Done by
: |
VIV |
|
|
|
|
Report Prepared
by : |
SUJ |
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 |
NO |
|
--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.