|
|
|
MIRA INFORM REPORT
|
Report No. : |
484497 |
|
Report Date : |
05.01.2018 |
IDENTIFICATION DETAILS
|
Name : |
SPICEJET LIMITED |
|
|
|
|
Registered
Office : |
Indira Gandhi International Airport, Terminal 1D, New Delhi – 110037 |
|
Tel. No.: |
91-124-3913939 |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2017 |
|
|
|
|
Date of
Incorporation : |
09.02.1984 |
|
|
|
|
Com. Reg. No.: |
55-288239 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
INR 5994.500 Million |
|
|
|
|
CIN No.: [Company Identification
No.] |
L51909DL1984PLC288239 |
|
|
|
|
IEC No.: |
0593003667 |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
|
|
|
|
PAN No.: [Permanent Account No.] |
AACCR1459F |
|
|
|
|
GST No.: |
06AACCR1459F1ZK [Gurgaon] |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Subject is engaged principally in the business of Providing Air Transport Services for the Carriage of Passengers and Cargo. [Registered Activity] |
|
|
|
|
No. of Employees
: |
6902 (Approximately) |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
B |
|
Credit Rating |
Explanation |
Rating Comments |
|
B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
|
Status : |
Moderate |
|
|
|
|
Payment Behaviour : |
Slow |
|
|
|
|
Litigation : |
Exist |
|
|
|
|
Comments : |
Spicejet Limited was incorporated in the year 1984. It is the third largest airline in the country with a
market share of 14.2% as of July 2017. The airline operates 312 daily flights
to 55 destinations, including 45 Indian and 10 international destinations
from its hubs at Delhi, Kolkata and Hyderabad. The overall financial risk profile of the company seems to be moderate marked by eroded net worth base. Rating takes into account the subject’s long established track record of business operations along with extensive experience of its promoters.
|
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 (30.06.2017) |
Current Rating (30.09.2017) |
|
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
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
31-03-2016.
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 05.01.2018
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 [91-124-3913939]
LOCATIONS
|
Registered Office : |
Indira Gandhi International Airport, Terminal 1D, New Delhi – 110037, India |
|
Tel. No.: |
Not Available |
|
Fax No.: |
Not Available |
|
E-Mail : |
|
|
Website : |
|
|
|
|
|
Corporate/ Head
Office: |
319/ 320, Udyog Vihar, Phase IV, Gurgaon – 122016, Haryana, India |
|
Tel. No.: |
91-124-3913939 |
|
Fax No.: |
91-124-3913844 |
DIRECTORS
AS ON: 31.03.2017
|
Name : |
Mr. Anurag Bhargava |
|||||||||||||||||||||||||||||||
|
Designation : |
Director |
|||||||||||||||||||||||||||||||
|
Address : |
77, Hudson ST., Apartment 6 New York 10013 US |
|||||||||||||||||||||||||||||||
|
Date of Birth/Age : |
17.07.1966 |
|||||||||||||||||||||||||||||||
|
Date of Appointment : |
07.09.2016 |
|||||||||||||||||||||||||||||||
|
DIN No.: |
01297542 |
|||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||
|
Name : |
Mr. Ajay Singh |
|||||||||||||||||||||||||||||||
|
Designation : |
Chairman and Managing Director |
|||||||||||||||||||||||||||||||
|
Address : |
B-1 Kalindi Colony, New Delhi-110065, India |
|||||||||||||||||||||||||||||||
|
Date of Birth/Age : |
29.12.1965 |
|||||||||||||||||||||||||||||||
|
Date of Appointment : |
21.05.2015 |
|||||||||||||||||||||||||||||||
|
DIN No.: |
01360684 |
|||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||
|
Name : |
Mr. Raghavan Sasiprabhu Karunamittom |
|||||||||||||||||||||||||||||||
|
Designation : |
Director |
|||||||||||||||||||||||||||||||
|
Address : |
J-15, Jangpura Extention, New Delhi-110014, India |
|||||||||||||||||||||||||||||||
|
Date of Appointment : |
01.12.2015 |
|||||||||||||||||||||||||||||||
|
DIN No.: |
05116814 |
|||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||
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|
|
|||||||||||||||||||||||||||||||
|
Name : |
Mrs. Shiwani Singh |
|||||||||||||||||||||||||||||||
|
Designation : |
Director |
|||||||||||||||||||||||||||||||
|
Address : |
B-1 Kalindi Colony, New Delhi-110065, India |
|||||||||||||||||||||||||||||||
|
Date of Birth/Age : |
21.11.1971 |
|||||||||||||||||||||||||||||||
|
Qualification : |
Graduate |
|||||||||||||||||||||||||||||||
|
Experience: |
Mrs. Singh is competent businesswoman who takes care of her family’s real estate and fashion accessories business. She brings rich and successful experience in general business management and also provides benefit of gender diversity to the Board of Directors |
|||||||||||||||||||||||||||||||
|
Date of Appointment : |
21.05.2015 |
|||||||||||||||||||||||||||||||
|
DIN No.: |
05229788 |
|||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||
|
|
|
|||||||||||||||||||||||||||||||
|
Name : |
Dr. Harsha Vardhana Singh |
|||||||||||||||||||||||||||||||
|
Designation : |
Director |
|||||||||||||||||||||||||||||||
|
Address : |
A-89 Madhuvan, Delhi-110092, India |
|||||||||||||||||||||||||||||||
|
Date of Birth/Age : |
30.08.1956 |
|||||||||||||||||||||||||||||||
|
Date of Appointment : |
07.09.2016 |
|||||||||||||||||||||||||||||||
|
DIN No.: |
07110296 |
|||||||||||||||||||||||||||||||
|
||||||||||||||||||||||||||||||||
KEY EXECUTIVES
|
Name : |
Mr. Kiran Kumar Koteshwar |
|
Designation : |
Chief Financial Officer |
|
Address : |
18/204, Heritage City DLF, Phase 2, Gurugram-122001, Haryana, India |
|
Date of Appointment : |
28.05.2015 |
|
PAN No.: |
AIXPK2189B |
|
|
|
|
Name : |
Mr. Chandan Sand |
|
Designation : |
VP (Legal) and Company Secretary |
|
Address : |
62/10, Primrose Vatika City, Sector- 49, Gurugram-122018, Haryana, India |
|
Date of Appointment : |
06.02.2012 |
|
PAN No.: |
ASYPS3888C |
|
|
|
|
Name : |
Mr. G P Gupta |
|
Designation : |
Chief Administrative Officer and Accountable Manager |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON: 30.09.2017
|
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 |
361173124 |
60.25 |
|
|
(B) Public |
238277059 |
39.75 |
|
|
Grand Total |
599450183 |
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 |
361173124 |
60.25 |
|
|
Ajay Singh |
304443450 |
50.79 |
|
|
Ajay Singh (HUF) |
52961838 |
8.84 |
|
|
Kalpana Singh |
3767836 |
0.63 |
|
|
Sub Total A1 |
361173124 |
60.25 |
|
|
A=A1+A2 |
361173124 |
60.25 |
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/ |
29715438 |
4.96 |
|
|
ICICI PRUDENTIAL
VALUE FUND - SERIES 1 |
12696681 |
2.12 |
|
|
RELIANCE CAPITAL
TRUSTEE COMPANY LIMITED A/C RELIANCE GROWTH FUND |
8982669 |
1.50 |
|
|
Foreign Portfolio
Investors |
41093031 |
6.86 |
|
|
NATIONAL
WESTMINSTER BANK PLC AS TRUSTEE OF THE JUPITER INDIA FUND |
9281768 |
1.55 |
|
|
Financial
Institutions/ Banks |
1738 |
0.00 |
|
|
Any Other
(specify) |
3000 |
0.00 |
|
|
FOREIGN NATIONALS |
3000 |
0.00 |
|
|
Sub Total B1 |
70813207 |
11.81 |
|
|
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 |
71215941 |
11.88 |
|
|
Individual share
capital in excess of INR 0.200 million |
56711972 |
9.46 |
|
|
MEENAKSHI BHARGAVA |
9384000 |
1.57 |
|
|
NBFCs registered
with RBI |
291734 |
0.05 |
|
|
Any Other
(specify) |
39244205 |
6.55 |
|
|
Trusts |
2070 |
0.00 |
|
|
Bodies Corporate |
28547213 |
4.76 |
|
|
NRI |
8168057 |
1.36 |
|
|
Clearing Members |
879170 |
0.15 |
|
|
NRI – Non- Repat |
1647695 |
0.27 |
|
|
Sub Total B3 |
167463852 |
27.94 |
|
|
B=B1+B2+B3 |
238277059 |
39.75 |
BUSINESS DETAILS
|
Line of Business : |
Subject is engaged principally in the business of Providing Air Transport Services for the Carriage of Passengers and Cargo. [Registered Activity] |
|
|
|
|
Brand Names : |
“SPICEJET” |
|
|
|
|
Agencies Held : |
Not Divulged |
|
|
|
|
Exports : |
Not Divulged |
|
|
|
|
Imports : |
Not Divulged |
|
|
|
|
Terms : |
|
|
Selling : |
Not Divulged |
|
|
|
|
Purchasing : |
Not Divulged |
PRODUCTION STATUS: (NOT AVAILABLE)
GENERAL INFORMATION
|
Suppliers : |
|
|||||||||||||||||||||
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|
|
|||||||||||||||||||||
|
Customers : |
|
|||||||||||||||||||||
|
|
|
|||||||||||||||||||||
|
No. of Employees : |
6902 (Approximately) |
|||||||||||||||||||||
|
|
|
|||||||||||||||||||||
|
Bankers : |
· Allahabad Bank · City Union Bank Limited · HDFC Bank Limited · ICICI Bank Limited · State Bank of India ·
Yes Bank Limited |
|||||||||||||||||||||
|
|
|
|||||||||||||||||||||
|
Facilities : |
|
|
|
|
|
Auditors : |
|
|
Name : |
S. R. Batliboi and Associates LLP Chartered Accountants |
|
Address : |
Tidel Park, 6th and 7th Floor-A Block (Module 601, 701-702), No.4, Rajiv Gandhi Salai, Taramani, Chennai – 600113, Tamilnadu, India |
|
Tel. No.: |
91-44-66548100 |
|
Fax No.: |
91-44-22540120 |
|
|
|
|
Memberships : |
Not Available |
|
|
|
|
Collaborators : |
Not Available |
|
|
|
|
Enterprises over which parties above or their relatives have control
/ significant influence (‘Affiliates’) |
· Crosslink Finlease Private Limited · Greenline Transit System Private Limited · Intel Constructions Private Limited · One City, Promoters Private Limited · Multipurpose Trading & Agencies Limited · Argentum Motors Private Limited · Spice Homes (Meerut) Private Limited · Green Volt Technologies Private Limited · Indiverse Broadband Private Limited · Smartnagar Digital Ventures Private Limited · Argentum Auto Private Limited · Smartnagar Broadband Networks Private Limited · Starbus Services Private Limited · Argentum Engineering Design Private Limited · Spice Homes Private Limited · Argentum Electric Vehicles Private Limited · Argentum Defence Systems Private Limit · i2n Technologies Private Limited · Greenstar Mobility Private Limited · Greenvolt Technologies Private Limited · Greenline Communication Private Limited · Pan India Motors Private Limited |
|
|
|
|
Investment in
equity shares of subsidiaries : |
· SpiceJet Merchandise Private Limited · SpiceJet Technic Private Limited |
CAPITAL STRUCTURE
AS ON: 31.03.2017
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
1500000000 |
Equity Shares |
INR 10/- each |
INR 15000.000 Million |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
599450183 |
Equity Shares |
INR 10/- each |
INR 5994.500
Million |
|
|
|
|
|
Reconciliation of Equity
Shares outstanding at the beginning and at the end of the reporting period
|
Particulars |
As at March 31, 2017 |
|
|
Number |
Value [INR] |
|
|
Shares outstanding at the beginning of the period |
599450183 |
5994.502 |
|
Issued during the year |
-- |
-- |
|
Shares outstanding at the end of the period |
599450183 |
5994.502 |
Term / Rights
attached to Equity Shares
The Company has only one class of equity shares having a 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
dividend proposed by the board of directors is subject to the approval of the
shareholders in the ensuing annual general meeting.
In the event of liquidation of the Company, the holders of
equity shares will be entitled to receive remaining assets of the company,
after distribution of all preferential amounts. The distribution will be in
proportion to the number of equity shares held by the shareholders.
Details of
Shareholders holding more than 5 percent in the Company:
|
Name of Shareholder |
As at March 31, 2017 |
|
|
No. of Shares |
% against total number of shares |
|
|
Mr. Ajay Singh |
354443450 |
59.13% |
|
Total |
354443450 |
59.13% |
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 ownership of shares.
Aggregate number of bonus
shares, shares issued for consideration other than cash and shares bought back
during the period of five years immediately preceeding the reporting date:
The Company has issued total 171,665 shares (March 31, 2016
- 1,091,265 shares) (March 31, 2015 - 1,732,865 shares) during the period of
five years immediately preceeding the reporting date on exercise of options
granted under the employee stock option (‘ESOP’) plan wherein part
consideration was received in form of employee services.
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 |
5994.500 |
5994.500 |
5994.500 |
|
(b) Reserves & Surplus |
(12085.430) |
(16383.130) |
(20846.640) |
|
(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) |
(6090.930) |
(10388.630) |
(14852.140) |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) Long-term borrowings |
7759.840 |
9209.220 |
11161.360 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c)
Other long term liabilities |
670.730 |
757.980 |
254.780 |
|
(d)
long-term provisions |
2897.250 |
2634.020 |
1690.320 |
|
Total
Non-current Liabilities (3) |
11327.820 |
12601.220 |
13106.460 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
2522.450 |
1050.000 |
1200.000 |
|
(b)
Trade payables |
5845.150 |
7209.870 |
9423.310 |
|
(c)
Other current liabilities |
14886.670 |
14310.260 |
14424.270 |
|
(d)
Short-term provisions |
1417.920 |
3684.340 |
3737.400 |
|
Total
Current Liabilities (4) |
24672.190 |
26254.470 |
28784.980 |
|
|
|
|
|
|
TOTAL |
29909.080 |
28467.060 |
27039.300 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
16188.790 |
16265.490 |
17114.380 |
|
(ii)
Intangible Assets |
9.020 |
10.100 |
23.870 |
|
(iii)
Capital work-in-progress |
0.000 |
0.000 |
0.000 |
|
(iv) Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current
Investments |
0.430 |
0.000 |
0.000 |
|
(c) Deferred tax assets
(net) |
0.000 |
0.000 |
0.000 |
|
(d) Long-term Loan
and Advances |
190.330 |
0.000 |
0.000 |
|
(e)
Other Non-current assets |
5256.320 |
5388.650 |
4371.500 |
|
Total
Non-Current Assets |
21644.890 |
21664.240 |
21509.750 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
1397.520 |
204.640 |
0.000 |
|
(b)
Inventories |
869.940 |
665.460 |
451.170 |
|
(c)
Trade receivables |
617.690 |
433.740 |
1281.830 |
|
(d)
Cash and cash equivalents |
2011.650 |
1059.020 |
183.030 |
|
(e)
Short-term loans and advances |
0.000 |
0.000 |
0.000 |
|
(f)
Other current assets |
3367.390 |
4439.960 |
3613.520 |
|
Total
Current Assets |
8264.190 |
6802.820 |
5529.550 |
|
|
|
|
|
|
TOTAL |
29909.080 |
28467.060 |
27039.300 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from Operations |
61912.660 |
50880.720 |
52430.650 |
|
|
|
Other Income |
1125.380 |
1520.560 |
1584.410 |
|
|
|
TOTAL |
63038.040 |
52401.280 |
54015.060 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Employees benefits expense |
6735.390 |
4924.510 |
5374.660 |
|
|
|
Operating expenses |
44325.140 |
35941.020 |
48057.590 |
|
|
|
Selling and marketing
expenses |
2092.900 |
1637.050 |
2793.610 |
|
|
|
Other expenses |
3326.420 |
3003.190 |
2371.650 |
|
|
|
Exceptional items |
(385.540) |
(636.940) |
(613.550) |
|
|
|
TOTAL |
56094.310 |
44868.830 |
57983.960 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
6943.730 |
7532.450 |
(3968.900) |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
650.400 |
1236.500 |
1635.390 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
6293.330 |
6295.950 |
(5604.290) |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
1986.050 |
1798.070 |
1266.250 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
BEFORE TAX |
4307.280 |
4497.880 |
(6870.540) |
|
|
|
|
|
|
|
|
|
Less |
TAX |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS)
AFTER TAX |
4307.280 |
4497.880 |
(6870.540) |
|
|
|
|
|
|
|
|
|
|
EARNINGS IN
FOREIGN CURRENCY |
|
|
|
|
|
|
|
|
|
2876.910 |
2125.440 |
|
|
|
Cargo revenue |
|
31.690 |
29.180 |
|
|
|
Incentives received |
|
232.710 |
312.170 |
|
|
|
Income from wet lease of aircraft |
|
0.000 |
185.270 |
|
|
TOTAL EARNINGS |
NA |
3141.310 |
2652.060 |
|
|
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
|
|
|
|
200.060 |
48.220 |
|
|
|
Stores & Spares |
|
609.110 |
616.550 |
|
|
|
Aviation turbine fuel |
|
1182.570 |
1403.910 |
|
|
TOTAL IMPORTS |
NA |
1991.740 |
2068.680 |
|
|
|
|
|
|
|
|
|
|
Earnings/ (Loss)
Per Share (INR) |
|
|
|
|
|
|
Basic
|
7.19 |
7.50 |
(12.28) |
|
|
|
Diluted |
7.19 |
5.70 |
(12.28) |
|
CURRENT MATURITIES OF LONG TERM DEBT DETAILS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Maturities of Long term borrowings |
1272.260 |
2037.350 |
2374.790 |
|
|
|
|
|
|
Cash generated from operations |
3223.660 |
5439.600 |
(4041.390) |
|
|
|
|
|
|
Net cash flow from / (used in) operating activities |
4963.210 |
7111.730 |
(4109.090) |
KEY
RATIOS
EFFICIENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Average Collection Days (Sundry
Debtors / Income * 365 Days) |
3.64 |
3.11 |
8.92 |
|
|
|
|
|
|
Account Receivables Turnover (Income / Sundry Debtors) |
100.23 |
117.31 |
40.90 |
|
|
|
|
|
|
Inventory Turnover (Operating Income / Inventories) |
7.98 |
11.32 |
(8.80) |
|
|
|
|
|
|
Asset Turnover (Operating Income / Net Fixed Assets) |
0.43 |
0.46 |
(0.23) |
LEVERAGE RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Debt Ratio ((Borrowing
+ Current Liabilities) / Total Assets) |
1.13 |
1.32 |
1.57 |
|
|
|
|
|
|
Debt Equity Ratio (Total Liability / Networth) |
(1.90) |
(1.18) |
(0.99) |
|
|
|
|
|
|
Current Liabilities to Networth (Current Liabilities / Net Worth) |
(4.05) |
(2.53) |
(1.94) |
|
|
|
|
|
|
Fixed Assets to Networth (Net Fixed Assets / Networth) |
(2.66) |
(1.57) |
(1.15) |
|
|
|
|
|
|
Interest Coverage Ratio (PBIT / Financial Charges) |
10.68 |
6.09 |
(2.43) |
PROFITABILITY RATIOS
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Net Profit Margin ((PAT / Sales) * 100) |
% |
6.96 |
8.84 |
(13.10) |
|
|
|
|
|
|
|
Return on Total Assets ((PAT / Total Assets) * 100) |
% |
14.40 |
15.80 |
(25.41) |
|
|
|
|
|
|
|
Return on Investment (ROI) ((PAT / Networth) * 100) |
% |
(70.72) |
(43.30) |
46.26 |
SOLVENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Ratio (Current
Assets / Current Liabilities) |
0.33 |
0.26 |
0.19 |
|
|
|
|
|
|
Quick Ratio ((Current Assets – Inventories) / Current
Liabilities) |
0.30 |
0.23 |
0.18 |
|
|
|
|
|
|
G-Score Ratio Financial (Networth / Total Assets) |
(0.20) |
(0.36) |
(0.55) |
|
|
|
|
|
|
G-Score Ratio Debt (Debts / Equity Capital) |
1.93 |
2.05 |
2.46 |
|
|
|
|
|
|
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities) |
0.33 |
0.26 |
0.19 |
Total
Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term
debts
STOCK
PRICES
|
Face Value |
INR 10.00/- |
|
|
|
|
Market Value |
INR 142.15/- |
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 |
5994.500 |
5994.500 |
5994.500 |
|
Reserves & Surplus |
(20846.640) |
(16383.130) |
(12085.430) |
|
Share Application money
pending allotment |
0.000 |
0.000 |
0.000 |
|
Net
worth |
(14852.140) |
(10388.630) |
(6090.930) |
|
|
|
|
|
|
long-term borrowings |
11161.360 |
9209.220 |
7759.840 |
|
Short term borrowings |
1200.000 |
1050.000 |
2522.450 |
|
Current Maturities of Long
term Borrowings |
2374.790 |
2037.350 |
1272.260 |
|
Total
borrowings |
14736.150 |
12296.570 |
11554.550 |
|
Debt/Equity
ratio |
(0.992) |
(1.184) |
(1.897) |
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 |
52430.650 |
50880.720 |
61912.660 |
|
|
|
(2.956) |
21.682 |
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 |
52430.650 |
50880.720 |
61912.660 |
|
Profit/ (Loss) |
(6870.540) |
4497.880 |
4307.280 |
|
|
(13.10%) |
8.84% |
6.96% |
LEGAL CASES
$~15
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ O.M.P. (COMM) 465/2016
SIESTA HOSPITALITY SERVICES LIMITED ..... Petitioner
Through Ms. Awantika Manohar, Mr. Joshep
Pookkatt and Mr. Dhawesh Pahuja,
Advocates
Versus
SPICEJET LIMITED ..... Respondent
Through Mr. Samrat K.Nigam, Advocate
CORAM:
HON'BLE MR. JUSTICE JAYANT NATH
O R D E R
%
21.07.2017
List this matter for argument on 24.11.2017.
JAYANT NATH, J.
JULY 21, 2017/v
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 |
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 |
Yes |
|
33 |
Market information |
-- |
|
34 |
Payments terms |
No |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
INDEX OF CHARGES
|
SNO |
SRN |
CHARGE ID |
CHARGE HOLDER NAME |
DATE OF CREATION |
DATE OF MODIFICATION |
DATE OF SATISFACTION |
AMOUNT |
ADDRESS |
|
1 |
G52294774 |
100129078 |
YES BANK LIMITED |
27/02/2016 |
- |
- |
15135000.0 |
48, NYAYA MARGCHANAKYAPURINEW DELHIDL110021IN |
|
2 |
B64343536 |
10312651 |
EXPORT DEVELOPMENT CANADA |
24/08/2011 |
14/12/2012 |
- |
14684760000.0 |
150 SLATER STREETOTTAWANAK1A1K3CA |
|
3 |
G70515762 |
10283803 |
YES BANK LIMITED |
21/04/2011 |
07/12/2017 |
- |
7500000000.0 |
48, NYAYA MARGCHANAKYAPURINEW DELHIDL110021IN |
|
4 |
B25129321 |
10281542 |
YES BANK LIMITED |
30/03/2011 |
19/10/2011 |
- |
2500000000.0 |
9TH FLOOR, NEHRU CENTRE, DISCOVERY OF INDIA,DR. ANNIE BESANT ROAD, WORLI,MUMBAIMH400018IN |
|
5 |
B77411213 |
10141013 |
ALLAHABAD BANK |
28/01/2009 |
17/05/2013 |
- |
2200000000.0 |
INDUSTRIAL FINANCE BRANCH, ALLAHABAD BANK BUILDING2ND FLOOR, 37, MUMBAI SAMACHAR MARG, FORTMUMBAIMH400023IN |
|
6 |
Z00040549 |
80011521 |
ICICI BANK LIMITED |
19/07/2005 |
- |
- |
215000000.0 |
9A, PHELPS BUILDINGCONNAUGHT PLACENEW DELHIHR122016IN |
|
7 |
B75071225 |
80050395 |
THE BANK OF NEW YORK (THROUGH ITS LOCAL AGENT IL&FS TRUST COMPANY LIMITED) |
06/12/2005 |
22/10/2008 |
09/05/2013 |
23060000.0 |
48TH FLOOR, ONE CANADA SQUARELONDONNAE145ALGB |
|
8 |
B39894316 |
10350723 |
CITY UNION BANK LIMITED |
05/03/2012 |
- |
24/05/2012 |
1000000000.0 |
67,MANDAVELI STREETMANDAVELICHENNAITN600028IN |
|
9 |
A95128948 |
10214100 |
ALLAHABAD BANK |
24/02/2010 |
- |
09/09/2010 |
90000000.0 |
INDUSTRIAL FINANCE BRANCH, ALLAHABAD BANK BUILDING2ND FLOOR, M. S. MARGE, FORTMUMBAIMH400023IN |
|
10 |
A54597802 |
10096276 |
SREI INFRASTRUCTURE FINANCE LIMITED |
10/03/2008 |
- |
14/01/2009 |
170000000.0 |
VISHWAKARMA,86C,TOPSIA ROAD (SOUTH),KOLKATAWB700046IN |
UNSECURED LOANS
|
PARTICULARS |
31.03.2017 (INR
In Million) |
31.03.2016 (INR
In Million) |
|
LONG-TERM BORROWINGS |
|
|
|
Other loans |
|
|
|
External commercial borrowing (Unsecured) |
9021.930 |
11231.850 |
|
Vehicle loan from bank |
10.170 |
14.720 |
|
Less: Current maturities of long term borrowings |
(1272.260) |
(2037.350) |
|
|
|
|
|
Total |
7759.840 |
9209.220 |
CORPORATE INFORMATION
Subject was incorporated on February 9, 1984 as a limited Company under the Companies Act, 1956 and is listed on the Bombay Stock Exchange Limited (‘BSE’). The Company is engaged principally in the business of providing air transport services for the carriage of passengers and cargo. The Company is a low cost carrier (‘LCC’) operating under the brand name of ‘SpiceJet’ in India since May 23, 2005. The Company operates a fleet of 49 aircraft including 2 aircraft taken on wet lease across various routes in India and abroad as at March 31, 2017. The registered office of the Company is located at Indira Gandhi International Airport, Terminal 1D, New Delhi – 110037
AFFAIRS OF THE COMPANY AND MATERIAL
DEVELOPMENT
This was Company’s second year of operation under the new management and post change of control of the Company. During this year, the Company successfully discharged all its legacy obligations to its business partners, implemented cost savings measures by restructuring contracts and its business processes. SpiceJet has placed an order for up to 205 Boeing 737MAX narrow and wide bodied aircraft valued at over USD 22 billion. This order signifies the strategic direction in which the Company is now committed upon and is the biggest order ever placed by any Indian airline with Boeing in its history. This historic order marks the beginning of new growth story, which will see the airline expand its wings – both domestically and internationally.
Further, in order to strengthen its regional connectivity, the Company has placed order for upto 50 Bombardier Q400 aircraft post completion of financial year 2016-17.
The Company has been awarded 6 proposals and 11 routes under the first phase of the Regional Connectivity Scheme (RCS) of Government of India which aimed at making air travel affordable and widespread, enabling inclusive job growth and infrastructure development of all regions and states of India. Out of the 6 proposals awarded to the Company, 4 will cater to unserved markets of Adampur, Kandla, Puducherry and Jaisalmer whereas 2 will be for underserved markets of Porbandar and Kanpur. Currently the Company is the largest and most organized regional player in the country with a fleet of 20 Bombardier Q400 aircraft, which can seat 78 passengers.
The performance of the Company during this financial year was exceptionally well on all operational parameters. The Company achieved the best on-time performance of all airlines in India for the current financial year as well. The Company’s rate of cancellation of flights was one of the lowest in the industry. Its load factor of over 90% for continuous period of 24 months in a row is one of the best globally. As a result of various operational, commercial and financial measures implemented over the last two years, the Company has significantly improved its liquidity position, and generated operating cash flows during that period. The Company has also earned profit after tax of 4,307.28 million for the year ended March 31, 2017.
The Company completed its twelve year of operation on May 23, 2017 wherein it continued to focus on consolidating its operations on key routes. As at the end of the financial year the Company maintained a fleet size to 49 aircraft with which it operated approximately 316 flights per day covering 39 domestic and 7 international destinations.
The Company had in earlier financial years, received amounts aggregating 5,790.9 million from its erstwhile promoters as advance money towards proposed allotment of certain securities (189,091,378 share warrants and 3,750,000 nonconvertible cumulative redeemable preference shares, issuable based on approvals obtained), to be adjusted at the time those securities were to be issued. Pursuant to the legal proceedings in this regard before the Hon’ble High Court of Delhi (“Court”) between the erstwhile promoters, the present promoter and the Company, the Court, in its order dated July 29, 2016, without expressing anything on the merits of the dispute, ordered the Company to deposit the amount of 5,790 million as security with the Court, in five equal monthly instalments, and directed the parties to take necessary steps for the purpose of constitution of an arbitral tribunal.
The Company preferred an appeal against the aforesaid order which was dismissed by Hon’ble Division Bench of the Court (“Division Bench”) on July 3, 2017. However, the Division Bench modified the order of Hon’ble Single Judge by ordering the Company to secure an amount of 3,290 million through a bank guarantee in favour of the Registrar General of the Delhi High Court (“Registrar”), on or before July 31, 2017, and to deposit the balance amount of 2,500 million with the Registrar on or before August 31, 2017. The Company preferred a Special Leave Petition against the order of the Division Bench before the Hon’ble Supreme Court of India (“Supreme Court”). The Supreme Court dismissed the Company’s Special Leave Petition while observing that it assailed an interlocutory order. However, the Supreme Court modified the period within which the bank guarantee and deposit were to be made to the Registrar by two weeks’ respectively from the original deadlines as mentioned above.
The Company has provided guarantee of 3,290 million and deposited 2,500 million respectively with the Registrar on August 14, 2017 and September 14, 2017 and accordingly have complied with the above said orders. Based on their assessment and legal advice obtained, the Company is of the view that any possible consequential effects, including penal consequences and any compounding thereof, does not have a material impact on the financial results of the Company.
MANAGEMENT DISCUSSION
AND ANALYSIS
ECONOMY AND PROSPECTS
INDIAN ECONOMY:
FASTEST GROWING MAJOR ECONOMY
Indian economy grew at 7.1% in FY 2016-17. Maintaining a strong
growth momentum, it remained above 7% mark despite a short term impact created
by government’s demonetization of high-value banknotes which subdued growth in
fourth quarter of FY 2016-17. The Agriculture, Industrial and Services sectors
grew by 4.1%, 5.2% and 8.8% respectively. Following this, India remains the
fastest growing major economy in the world.
Several initiatives emphasizing on macroeconomic stability
and increased fiscal discipline are making the Indian economy more resilient.
Continued policy initiatives, tax reforms, low commodity prices and a stable
geo-political environment will all be strong levers for continued strong and
sustainable growth.
PROSPECTS, SHORT TERM
AND MEDIUM TERM
The medium to long term outlook for India continues to be robust. The economic growth is expected to pick up in FY 2017-18 on the back of improved government spend, better external demand, turnaround in the rural demand and rising urban consumption.
• Implementation of GST is likely to drive tax compliance, improve government finances, lead to higher public spending, and eventually higher GDP growth
• Expectation of normal monsoon for second consecutive year, higher MSPs, higher allocation to MGNREGA and better harvests is likely to lead to improvement in the rural economy
• Government’s focus on pushing up spending in infrastructure and job creation is likely to lead to improved demand conditions across economy
Credit rating agency, Moody’s Investors Service, projects
India’s economy to accelerate and grow at 7.5% in FY 2017-18 and 7.7% in FY
2018- 19 with the government successfully curbing the negative impact of
demonetization on the economy. The World Bank also expects the Indian economy
to grow at 7.2% in FY 2017-18 and gradually gather pace to touch 7.7% by FY
2019-20.
INDIAN AVIATION
India became the world’s fastest growing domestic travel market for the 22nd time in a row, recording a 26.6% year-on-year growth in January 2017, according to the IATA
Indian aviation market registered an impressive annual growth of 22% in domestic passengers and 12% in international passengers during FY 2016- 17. The industry wide load factors remained at a healthy 84% for domestic and 78% for international operations. The year also witnessed the industry matching up with demand as capacity measured in ASKMs (Average Seat Kilometers) grew at 20% and 12% for domestic and international operations respectively.
STRONG FUNDAMENTALS
DRIVING AVIATION GROWTH IN INDIA
In year 2016, India, with 100 million domestic flyers, became the third largest market in terms of domestic air passenger traffic behind only the US (719 million) and China (436 million). It acquired the third spot by unseating Japan, which flew 97 million domestic passengers. According to CAPA (Centre for Asia Pacific Aviation), India standing at the joint fourth position in terms of overall air passenger traffic (both domestic and international) along with the UK in 2016, is expected to become the third largest market by March 2018
FACTORS SUPPORTING
GROWTH:
• Favorable demographics and large pool of middle class population to fuel demand.
• Geographical advantage of lying at crossroads of important international hubs.
• Economic growth along with the low aircraft penetration, presents a huge opportunity.
• Airports and supplementing infrastructure development will
further unlock demand.
INCREASED FOCUS ON
AVIATION BY GOVERNMENT OF INDIA
Carrying on with the National Civil Aviation Policy 2016
cleared by the Indian Cabinet in June 2016, the Government maintained its
strong thrust on the Aviation sector.
In the FY 2017-18 Union Budget, budgetary allocation
increased by a significant 22% to 51,676 million for the next financial year.
SOME OF THE KEY INITIATIVES
PROPOSED BY THE GOVERNMENT INCLUDE:
• The construction of 18 Greenfield airports in the country. These would be executed and financed by the respective airport promoters, and are estimated to require an investment of 300,000 million
• The revival of 50 un-served and underserved airstrips in three financial years starting from FY 2017-18 at an estimated cost of 45,000 million
• The commencement of a new Regional Connectivity Scheme called “Ude Desh ka Aam Nagrik” (UDAN) under which fares will be capped at nominal fares to make air travel affordable 2,500 for specified seats for one-hour flight
• Doubling the number of airports in India over the next two
to three years to cater to the increasing passenger traffic due to developing
regional air travel market
• Developing small airports with frugal facilities, and
encouraging private airlines to bid for routes connecting these small airports
with existing larger airports, thereby increasing regional air traffic.
LCCS (LOW-COST
CARRIERS) WELL POSITIONED TO CAPITALIZE ON REGIONAL DEMAND GROWTH
India’s domestic aviation growth story continues to be led by LCCs, whose market share increased from around 40% in FY 2009-10 to around 68% in FY 2016-17. The Government’s regional connectivity scheme is expected to further boost the LCC’s market share
In FY 2016-17, SpiceJet maintained its market share at last
year levels of around 13%.
INPUT COST GRADUALLY
TRENDING UPWARDS
Global Crude Oil prices increased in FY 2016- 17 as compared
to the FY 2015-16. As a result, domestic ATF price measured by average of
prices at metros in India increased about 4.3% in FY 2016-17 compared to a
decline of 30% in FY 2015-16. Rupee depreciated almost 2.5%, from an average of
around 65 INR/USD during FY 2015-16 to an average of around 67 INR/USD during
FY 2016-17. Both these factors adversely impacted the earnings of airlines in
FY 2016-17. However, LCCs with their leaner cost structures remained better
equipped to face such challenging operating environment
SHORT TERM AND LONG
TERM PROSPECTS
India is amongst the fastest growing aviation markets in the world. However, despite the phenomenal growth in the sector, its air travel penetration at 0.9 trips per capita is the lowest amongst developing nations including Brazil, China, Russia and Turkey; reflecting a significant growth potential for the sector.
India’s favorable demographics combined with progressive policy implementation bode well for this growth to sustain. Rising disposable incomes, shift from rail to air, widening route network and regional connectivity scheme is expected to strengthen demand and expand the addressable market further.
These factors combined with the various Government
initiatives, some of which have been discussed above give credence to the
forecast that domestic India is projected to be fastest growing aviation market
growing at 10.7% CAGR (2016-26) and 8.8% CAGR (2016-2036)
FUTURE OUTLOOK FOR
SPICEJET
The opportunities in India due to low flyer base, lack of connectivity
and the Governments’ impetus to develop airport infrastructure will see
unlocking of demand in the next few years. During FY 2016-17, the Company
consolidated its operations and is well set for scaling up its operations to
tap the opportunity in this high growth environment. During this FY 2017-18,
the Company has added 6 aircraft to its fleet and is looking to take its total
fleet to 59 aircraft by March 2018. The Company has placed a big aircraft order
to provide a long-term direction to its operations and planning. These
aircraft, 205 Boeing 737MAX & 50 Bombardier Q400, are scheduled for
inductions between 2018 and 2024. The Company (a) in the regional space, has
participated in the UDAN scheme for regional connectivity and will further
increase its foot print in this space; and (b) in the International space will
continue to look to add more routes. The Company is looking at new ventures to
increase its ancillary revenues and develop new travel segments. Pricing levels
in the industry have firmed up and are reflective of the underlying cost
structure. The aforesaid long-term order, coupled with cost reductions will
lead to profitable and sustainable operations. With demonstrated profitability,
scalability and the forecast demand, increase in SpiceJet’s capacity addition
is on track to command a healthy market presence.
In summary, the Company’s management is working on every
aspect ranging across revenue maximisation, cost reduction, employee welfare
and productivity, customer retention, brand awareness and reputation, etc. in
its efforts to create and sustain a world class airline.
INFORMATION
TECHNOLOGY
At SpiceJet, information technology (IT) plays a crucial
role in providing unmatched services and driving business efficiencies. While
the Company has been at the forefront of adopting new technologies, it now
intends to become a ‘Digital Airline’. Towards this objective, the Company has
adopted comprehensive digital transformation strategy which includes:
“DIGITAL
TRANSFORMATION” FOR ENTERPRISE:
Understanding the vital role data plays in the decision making process, the Company focused on building a Datamart, which leverages intelligent insights and trends generated from Business Intelligent dashboards to create meaningful data. This facilitates the Company in taking informed decision to increase revenue, reduce cost, and improve operational efficiency. Pilot performance dashboard is also available for all the pilots to check the performance and work on the improvement areas.
The Company has also worked towards digitizing all crew flight reports. As a result, all reported issues get digitally captured and shared with relevant departments for immediate resolution. IMS (Incident Management System), Spicecare, has been implemented to improve operational efficiency, quick resolution to problems reported and greater visibility. Further to ensure effectiveness of all programs, a Smart Audit App was implemented, which facilitates in capturing the feedback of various departments.
“DIGITAL TRANSFORMATION”
FOR EMPLOYEES:
The Company has developed a robust and comprehensive application, SpiceWorld, for empowering its employees. This application is a one stop store and features elements like LMS (Leave Management System), AMS (Attendance Management System), Digital on boarding, official travel booking automation, Idea Portal, Knowledge repository which facilitates in improving employee efficiency.
Going forward, the Company intends to lay more emphasis on
Predictive Analysis using data for revenue and engineering. Plans are also in
place for implementing advanced software suites for Engineering and Spicestyle
to further improve efficiency. The Company intends to re-launch CMS (Cabin
Management System) to improve in cabin operations.
STANDALONE
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 30.09.2017
(INR IN MILLION)
(INR In Million)
|
Particulars |
Quarter ended |
Half Year ended |
|
|
|
30.09.2017 (Unaudited) |
30.06.2017 (Unaudited) |
30.09.2017 (Unaudited) |
|
INCOME FROM OPERATIONS |
|
|
|
|
Net Income from Operations
|
17974.500 |
18561.300 |
36535.800 |
|
Other Operating Income |
168.500 |
134.000 |
302.500 |
|
Total
Income from Operations |
18143.000 |
18695.300 |
36838.300 |
|
Other Income |
241.900 |
199.300 |
441.200 |
|
Total
Income |
18384.900 |
18894.600 |
37279.500 |
|
|
|
|
|
|
EXPENSES |
|
|
|
|
a) Operating Expenses |
|
|
|
|
- Aircraft Fuel |
5423.400 |
5343.700 |
10767.100 |
|
- Aircraft Lease Rentals |
2416.200 |
2309.300 |
4725.500 |
|
- Airport Charges |
1554.800 |
1599.500 |
3154.300 |
|
- Aircraft Maintenance Costs |
3053.900 |
3004.800 |
6058.700 |
|
-Purchase of Stock-in-trade |
--- |
--- |
--- |
|
-Changes in Inventory of Stock-in-trade |
--- |
--- |
--- |
|
- Other Operating Costs |
609.800 |
613.800 |
1223.600 |
|
Employee Benefits Expenses |
2136.800 |
1965.000 |
4101.800 |
|
Depreciation and Amortization expenses |
574.300 |
561.000 |
1135.300 |
|
Other Expenses |
1389.800 |
1575.300 |
2965.100 |
|
Finance costs |
173.100 |
169.900 |
343.000 |
|
Total
Expenses |
17332.100 |
17142.300 |
34474.400 |
|
Profit
/ (Loss) before exceptional items and tax |
1052.800 |
1752.300 |
2805.100 |
|
Exceptional Items |
--- |
--- |
--- |
|
Profit
/ (Loss) before Tax |
1052.800 |
1752.300 |
2805.100 |
|
Tax Expense |
--- |
--- |
--- |
|
Profit
/ (Loss) after Tax |
1052.800 |
1752.300 |
2805.100 |
|
Other Comprehensive Income |
|
|
|
|
Items that will not be reclassified to profit or loss in subsequent periods |
|
|
|
|
Remeasurement gains and (losses) on defined benefit
obligations (net) |
(20.200) |
(3.600) |
(23.800) |
|
Total
Comprehensive Income |
1032.600 |
1748.700 |
2781.300 |
|
Net
profit for the year attributable to: |
|
|
|
|
-Owners of the company |
1052.800 |
1752.300 |
2805.100 |
|
-Non-controlling interests |
--- |
--- |
--- |
|
Other
comprehensive income for the year attributable |
|
|
|
|
-Owners of the company |
(20.200) |
(3.600) |
(23.800) |
|
-Non-controlling interests |
--- |
--- |
--- |
|
Total
comprehensive income for the year attributable |
|
|
|
|
-Owners of the company |
1032.600 |
1748.700 |
2781.300 |
|
-Non-controlling interests |
--- |
--- |
--- |
|
Paid-up Equity Share Capital (Face value INR 10/- per
share) |
5994.500 |
5994.500 |
5994.500 |
|
Other Equity |
|
|
|
|
Earnings
per Share (EPS) - INR |
|
|
|
|
Basic
|
1.76 |
2.92 |
4.68 |
|
Diluted
|
1.76 |
2.92 |
4.68 |
1.
STANDALONE UNAUDITED STATEMENT OF ASSETS AND LIABILITIES
|
PARTICULARS
|
|
|
30.09.2017 |
|
|
|
|
(Unaudited) |
|
ASSETS |
|
|
|
|
Non-Current Assets |
|
|
|
|
Property Plant and equipment |
|
|
15936.300 |
|
Other Intangible assets |
|
|
8.100 |
|
Investments in subsidiaries |
|
|
0.200 |
|
Financial assets |
|
|
|
|
Investments |
|
|
0.200 |
|
Loans |
|
|
249.500 |
|
Other Financial assets |
|
|
9681.400 |
|
Other non-current assets |
|
|
4921.000 |
|
Non-current tax assets |
|
|
243.400 |
|
Sub Total
Non-Current Assets |
|
|
31040.100 |
|
|
|
|
|
|
CURRENT ASSETS |
|
|
|
|
(a) Inventories |
|
|
907.100 |
|
(b) Financial assets |
|
|
|
|
Investments |
|
|
289.500 |
|
Trade receivables |
|
|
879.800 |
|
Cash and cash equivalents |
|
|
864.200 |
|
Bank balances other |
|
|
169.900 |
|
Other financial assets |
|
|
905.700 |
|
Other Current Assets |
|
|
2060.600 |
|
Total |
|
|
6076.800 |
|
|
|
|
|
|
Total Assets |
|
|
37116.900 |
|
|
|
|
|
|
EQUITY AND LIABILITIES |
|
|
|
|
EQUITY |
|
|
|
|
(a) Equity Share Capital |
|
|
5994.500 |
|
(b) Other Equity |
|
|
(9321.300) |
|
Equity attributable to the owners of the company |
|
|
(3326.800) |
|
(c) Non-controlling interests |
|
|
--- |
|
Total |
|
|
(3326.800) |
|
|
|
|
|
|
LIABILITIES |
|
|
|
|
Non-Current
Liabilities |
|
|
|
|
financial Liabilities |
|
|
|
|
Borrowings |
|
|
9682.900 |
|
Trade payables |
|
|
180.500 |
|
Other non-current liabilities |
|
|
571.500 |
|
Long-term Provisions |
|
|
2781.900 |
|
Total Non-Current
Liabilities |
|
|
13216.800 |
|
|
|
|
|
|
Current
Liabilities |
|
|
|
|
financial Liabilities |
|
|
|
|
Borrowings |
|
|
2413.600 |
|
Trade payables |
|
|
6476.400 |
|
Other current financial liabilities |
|
|
1596.400 |
|
Other current liabilities |
|
|
14199.200 |
|
Short term Provisions |
|
|
2541.300 |
|
Total Current
Liabilities |
|
|
27226.900 |
|
|
|
|
|
|
Total Equity and
liabilities |
|
|
37116.900 |
NOTES:
2. On July 18, 2016 and October 5, 2016 respectively, SpiceJet Merchandise Private Limited ('SMPL') and SpiceJet Technic Private Limited ('STPL') were incorporated as wholly owned subsidiaries of the Company. Both SMPL and STPL each have a paid-up share capital of INR 100,000.000 (10,000 equity shares of INR 10 each) and are principally engaged in the business of trading of goods and provision of technological services relating to the aviation, aerospace and defence industry, respectively. As permitted by the SEBI (Listing obligations and disclosure requirements) Regulations, 2015 (‘SEBI LODR’) the Company has opted to additionally submit quarterly and year-to-date consolidated results for the current year. The comparative information in respect of the consolidated financial results for the quarter and half year ended September 2016, that have been presented as a result of such option, have been prepared by the management and have not been subjected to limited review. (Also, refer note 10 below).
3. The standalone and consolidated financial results for the quarter and half
year ended September 30, 2017 have been reviewed by the Audit Committee and
approved by the Board of Directors at their meeting held on November 13, 2017.
The consolidated financial results includes the results of the Company and its
subsidiaries SMPL and STPL (together referred to as 'the group').
4. Based on internal reporting provided to the chief operating decision maker,
the standalone financial results relate to “Air transport services” as the only
segment of the Company. Consolidated segment information for the group is as
follows:
|
Particulars |
Quarter ended |
Half Year ended |
|
|
|
30.09.2017 (Unaudited) |
30.06.2017 (Unaudited) |
30.09.2017 (Unaudited) |
|
Segment Revenue |
|
|
|
|
Air transport services |
18143.000 |
14004.000 |
36838.300 |
|
Others |
9.900 |
--- |
19.200 |
|
Total |
18152.900 |
14004.000 |
36857.500 |
|
Segment Results |
|
|
|
|
Air transport services |
1049.200 |
588.900 |
2796.600 |
|
Others |
(3.900) |
(2.800) |
(24.600) |
|
Total |
1045.300 |
586.100 |
2772.000 |
|
Segment Assets |
|
|
|
|
Air transport services |
36827.400 |
29492.400 |
36827.400 |
|
Others |
234.500 |
25.600 |
234.500 |
|
Total |
37061.900 |
29518.000 |
37061.900 |
|
Segment Liabilities |
|
|
|
|
Air transport services |
40443.700 |
37854.500 |
40443.700 |
|
Others |
13.400 |
0.400 |
13.400 |
|
Total |
40457.100 |
37854.900 |
40457.100 |
Segment revenue and expenses:
Segment revenue and expenses represent relevant amounts that are either directly
attributable to individual segment or are attributable to individual segment on
a reasonable basis.
Segment assets and liabilities:
Segment assets and liabilities include all relevant amounts pertaining to a
segment, which are directly attributable to individual segments or are
attributable to individual segments on a reasonable basis.
5. The Company had in earlier financial years, received amounts aggregating INR
5,790.900 Million from Mr. Kalanithi Maran and M/S KAL Airways Private Limited
(“erstwhile promoters”) as advance money towards proposed allotment of certain
securities (189,091,378 share warrants and 3,750,000 non-convertible cumulative
redeemable preference shares, issuable based on approvals obtained), to be
adjusted at the time those securities were to be issued. Pursuant to the legal
proceedings in this regard before the Hon’ble High Court of Delhi
("Court") between the erstwhile promoters, the present promoter and
the Company, the Court, in its order dated July 29, 2016, without expressing
anything on the merits of the dispute, ordered the Company to deposit the
amount of INR 5,790.000 Million as security with the Court, in 5 equal monthly
instalments, and directed the parties to take necessary steps for the purpose
of constitution of an Arbitral Tribunal.
During the previous quarter, the Company’s appeal against this order was
dismissed by Hon'ble Division Bench of the Court (”Division Bench”). However
the Division Bench modified the order of Hon’ble Single Judge of the Court by ordering
the Company to secure an amount of INR 3,290.000 Million through a bank
guarantee in favour of the Registrar General of the Delhi High Court
(“Registrar”) and to deposit the balance amount of INR 2,500.000 Million with
the Registrar. The Company has accordingly secured INR 3,290.000 million
through bank guarantee and has also deposited the amount of INR 2,500.000
million with the Registrar, within the permitted timelines.
The parties to the aforementioned litigation have concurrently initiated arbitration
proceedings which are ongoing before a 3 member arbitral tribunal. The
erstwhile promoters have made various claims against the Company and Mr. Ajay
Singh (”current promoter”) citing various purported breaches / non-compliances
with the terms of the Share Sale & Purchase Agreement (”SSPA”) dated
January 29, 2015. The Company and the current promoter have disputed all such
claims citing various grounds including non-compliances with the terms of the
SSPA by the erstwhile promoters themselves. The arbitration is currently in
progress, and the final outcome of the matter is currently not ascertainable.
In view of the uncertainties involved as explained above, management believes
that the manner, timing and other related aspects of adjustment of these amounts,
are currently not determinable. The effects of this matter may attract the
consequent provisions (including penal provisions) of applicable provisions of
law, including deeming provisions, relating to acceptance of deposits. Based on
their assessment and legal advice obtained, management is of the view that any
possible consequential effects, including penal consequences and any
compounding thereof, will not have a material impact on the financial results
of the Company. Accordingly, no adjustments have been made for any such
consequential penal effects in this regard.
6. As at September 30, 2017, the Company has total equity of (INR 3,326.800
Million), including accumulated losses of INR 19,250.100 Million. As of that
date, the Company's total liabilities (including INR 5,790.900 million referred
to in Note 5 above) exceed its total assets by INR 3,326.800 Million, as a
result of historical market factors and the matter described in Note 5 above.
These factors result in a material uncertainty that may cause significant doubt
about the Company’s ability to continue as a going concern.
As a result of various operational, commercial and financial measures
implemented over the last two years, the Company has significantly improved its
liquidity position, and generated operating cash flows during that period. The
Company has also earned profit after tax of Rs 4,307.2 million for the year
ended March 31, 2017 and INR 2,805.100 million for the half-year ended
September 30, .2017. In view of the foregoing, and having regard to industry
outlook and also management's current assessment of the outcome of the matters
stated in Note 5 above, management is of the view that the Company will be able
to maintain profitable operations and raise funds as necessary, in order to
meet its liabilities as they fall due. Accordingly, these financial results
have been prepared on the basis that the Company will continue as a going
concern for the foreseeable future.
7. Having regard to the status of the matters relating to the allotment and
conversion of share warrants, as stated in Note 5, it is not possible to
determine the dilutive effect, if any, of those on Diluted Earnings Per Share
calculations. Accordingly, diluted earnings per share for various periods
presented in these financial results do not include the dilutive impact in
respect of share warrants stated in Note 5 above.
8. Exceptional items in respect of the year ended March 31, 2017 relate to
write-back of provision of INR 385.500 Million relating to vendor claims
currently in arbitration, to the extent management believes such claims are not
likely to subsist, having regard to the relevant contractual terms, updates to
arbitration proceedings, submissions thereat, and legal advice obtained by the
Company.
9. Other non-current assets include, amounts aggregating INR 178.4600 million
representing Integrated Goods and Services Tax (‘IGST’) paid under protest, on
overseas repairs and replacement of various aircraft equipment, which in the
opinion of management and legal advise obtained, is not subject to such levy.
Accordingly, no further adjustments have been made in this regard as at
September 30, 2017.
10. Previous periods' / year's figures have been regrouped / reclassified
wherever considered necessary to conform to current periods' presentation. SMPL
and STPL were incorporated as wholly owned subsidiaries of the Company on July
18, 2016 and October 5, 2016 respectively. Accordingly the figures for the
current period are strictly not comparable with those of the previous periods.
CONTINGENT
LIABILITIES:
|
Particulars |
31.03.2017 (INR
In Million) |
31.03.2016 (INR
In Million) |
|
Liability arising out of legal cases filed against the Company in various Courts/ Consumer Redressal Forums, Consumer Courts, disputed by the Company. |
128.130 |
101.200 |
|
Liability arising out of Arbitration proceedings on account of cancellation of leased premises. |
33.320 |
33.320 |
|
Liability towards Penalty levied by customs department on late payments which is disputed and is pending in the Hon’ble High Court of Delhi. |
--- |
82.690 |
|
Demand in respect of provident fund dues for international workers as explained |
142.370 |
77.950 |
|
Demand in respect of service tax (including interest and penalty) as explained |
170.700 |
170.700 |
|
Liability arising out of other legal cases filed against the Company. |
11.830 |
19.590 |
|
Liability arising out of other Arbitration proceedings |
196.510 |
--- |
|
Show cause notice received in respect of service tax |
3815.740 |
3776.020 |
FIXED ASSETS:
TANGIBLE ASSETS:
· Plant and Machinery
· Rotable and Tools
· Office Equipment
· Furniture and Fixture
· Motor Vehicles
· Computer
· Leasehold Improvements
· Software
CMT REPORT (Corruption, Money Laundering & Terrorism]
The Public Notice information has been collected from various sources
including but not limited to: The Courts, India Prisons Service,
Interpol, etc.
1] INFORMATION ON
DESIGNATED PARTY
No 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 63.39 |
|
UK Pound |
1 |
INR 85.74 |
|
Euro |
1 |
INR 76.25 |
INFORMATION DETAILS
|
Information
Gathered by : |
GYT |
|
|
|
|
Analysis Done by
: |
PRY |
|
|
|
|
Report Prepared
by : |
RUP |
SCORE FACTORS
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
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.