|
|
|
MIRA INFORM REPORT
|
Report No. : |
486523 |
|
Report Date : |
18.01.2018 |
IDENTIFICATION DETAILS
|
Name : |
CAPITAL TRUST LIMITED |
|
|
|
|
Registered
Office : |
366, Sultanpur, MG Road, New Delhi - 110030 |
|
Tel. No.: |
Not Available |
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|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2017 |
|
|
|
|
Date of
Incorporation : |
23.08.1985 |
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|
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Com. Reg. No.: |
55-195299 |
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|
|
|
Capital
Investment / Paid-up Capital : |
INR 163.614 Million |
|
|
|
|
CIN No.: [Company Identification
No.] |
L65923DL1985PLC195299 |
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|
|
|
IEC No.: |
Not Divulged |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
DELC00445E |
|
|
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GSTIN : |
Not Divulged |
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|
|
|
PAN No.: [Permanent Account No.] |
AAACC0188L |
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|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
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|
|
|
Line of Business
: |
Subject operates as a non-banking finance company that provides enterprise and micro-finance loans to micro and small enterprises in India. (Registered activity) |
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|
|
|
No. of Employees
: |
1541 (Approximately) |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
A+ |
|
Credit Rating |
Explanation |
Rating Comments |
|
A+ |
Low Risk |
Business dealings permissible with low
risk of default |
|
Maximum Credit Limit : |
USD 6300000 |
|
|
|
|
Status : |
Excellent |
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|
|
|
Payment Behaviour : |
Regular |
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|
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Litigation : |
Clear |
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Comments : |
Capital Trust Limited was incorporated in the year 1985. It is engaged
in providing enterprises loans to micro and small scale businesses in rural and
semi-urban areas. It also provides microfinance loans as a Business
Correspondent. For the financial year 2017, the company has achieved a massive growth
in its revenue as compared to previous year and has reported fair profit
margin of 32.28%. The strong financial profile of the company is marked by healthy
networth base along with comfortable debt coverage indicators. Rating takes into consideration equity infused by its promoters. The rating also takes into consideration the subject’s long track
record of business operations along with extensive experience of its
promoters. The company has its share price trading at around INR 505 against the
Face Value (FV) of INR 10 on BSE as on 17th January, 2018. Business is active. Payments are reported to be usually correct. In view of aforesaid, the company can be considered or 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 (30.06.2017) |
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
|
Rating Agency Name |
CARE |
|
Rating |
Long Term Bank Facilities = BBB+ |
|
Rating Explanation |
Moderate degree of safety. |
|
Date |
17.11.2016 |
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 18.01.2018
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 DENIED
MANAGEMENT NON-COOPERATIVE: Tel. No.:
91-22-67740100
Mobile No.: 91-9997074312 – Number is continuously ringing
LOCATIONS
|
Registered Office : |
366, Sultanpur, MG Road, New Delhi – 110030, India |
|
Tel. No.: |
Not Available |
|
Fax No.: |
Not Available |
|
E-Mail : |
|
|
Website : |
DIRECTORS
As on 31.03.2017
|
Name : |
Mr. Yogen Khosla |
|
Designation : |
Managing Director |
|
Address : |
D-1079, New Friends Colony, New Delhi – 110065, India |
|
Date of Appointment : |
01.04.2003 |
|
DIN No.: |
00203165 |
|
|
|
|
Name : |
Mr. Surendra Mahanti |
|
Designation : |
Director |
|
Address : |
40 Masjid Moth DDA Flats, Phase-1, New Delhi – 110048, India
|
|
Experience : |
30 years |
|
Date of Appointment : |
30.06.2006 |
|
DIN No.: |
01077614 |
|
|
|
|
Name : |
Mr. Sachin Kumar Bhartiya |
|
Designation : |
Nominee Director |
|
Address : |
02122147 |
|
Date of Appointment : |
26.08.2016 |
|
DIN No.: |
02122147 |
|
|
|
|
Name : |
Mr. Joginder Pal Dua |
|
Designation : |
Director |
|
Address : |
House No. 1715, First Floor, DLF, Phase - 4, Chakkarpur,
Gurugram – 122002, Haryana, India |
|
Experience : |
40 years rich experience Baking and Finance and Rehabilitation of sick units. |
|
Date of Appointment : |
09.02.2017 |
|
DIN No.: |
02374358 |
|
|
|
|
Name : |
Mr. Hari Baskaran |
|
Designation : |
Director |
|
Address : |
295 Sheikh Sarai, Phase -I, New Delhi – 110017, India |
|
Date of Appointment : |
21.11.2013 |
|
DIN No.: |
02666053 |
|
|
|
|
Name : |
Mr. Anju Khosla |
|
Designation : |
Director |
|
Address : |
D - 1079 New Friends Colony, New Delhi – 110065, India |
|
Qualification : |
Masters degree in Business Economics. |
|
Date of Appointment : |
27.03.2015 |
|
DIN No.: |
03496484 |
|
|
|
|
Name : |
Mr. Vijay Kumar |
|
Designation : |
Director |
|
Address : |
Flat No. - 9, Brahmaputra Appartments Sector - 29, Noida –
201303, Uttar Pradesh, India |
|
Date of Appointment : |
25.03.2013 |
|
DIN No.: |
05300541 |
KEY EXECUTIVES
|
Name : |
Ms. Tanya Sethi |
|
Designation : |
Company Secretary |
|
Address : |
1/6892, 3rd Floor East Rohtash Nagar, Shahdara, New Delhi –
110032, India |
|
Qualification : |
Graduation in commerce from University of Delhi and has Master’s in Bus ines s Program and Corporate |
|
Experience : |
5 years |
|
Date of Appointment : |
31.03.2013 |
|
PAN No.: |
EWJPS6442H |
|
|
|
|
Name : |
Mr. Nitin Dhingra |
|
Designation : |
Chief Financial Officer |
|
|
|
|
Name : |
Mr. Vinod Raina |
|
Designation : |
Head – Compliances And Legal |
|
Qualification : |
Company Secretaries of India and Law Graduate |
|
Experience : |
15 years |
|
|
|
|
BOARD COMMITTEES: |
|
|
AUDIT COMMITTEE |
Members:
|
|
|
|
|
NOMINATION AND
REMUNERATION COMMITTEE |
Members:
|
|
|
|
|
SHAREHOLDERS’
GRIEVANCE COMMITTEE |
Members:
|
|
|
|
|
RISK MANAGEMENT
COMMITTEE |
Members:
|
|
|
|
|
CORPORATE SOCIAL
RESPONSIBILITY COMMITTEE |
|
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
As on December 2017
|
Category of
shareholder |
No.
of fully paid up equity shares held |
Shareholding
as a % of total no. of shares |
|
|
(A) Promoter & Promoter Group |
10740409 |
65.64 |
|
|
(B) Public |
5477091 |
33.48 |
|
|
(C2) Shares held by Employee Trust |
143915 |
0.88 |
|
|
Grand
Total |
16361415 |
100.00 |
Statement showing shareholding pattern of the Promoter
and Promoter Group
|
Category of
shareholder |
No.
of fully paid up equity shares held |
Shareholding
as a % of total no. of shares |
|
|
A1) Indian |
0.00 |
||
|
Individuals/Hindu
undivided Family |
7894524 |
48.25 |
|
|
Mr. Yogen Khosla |
7894524 |
48.25 |
|
|
Any Other
(specify) |
2845885 |
17.39 |
|
|
Indo Crediop Private Limited |
2844885 |
17.39 |
|
|
Moonlight Equity Private Limited |
1000 |
0.01 |
|
|
Sub Total A1 |
10740409 |
65.64 |
|
|
A2) Foreign |
0.00 |
||
|
A=A1+A2 |
10740409 |
65.64 |
Statement showing
shareholding pattern of the Public shareholder
|
Category
& Name of the Shareholders |
No.
of fully paid up equity shares held |
Shareholding
% calculated as per SCRR, 1957 As a % of (A+B+C2) |
|
|
B1) Institutions |
0 |
0.00 |
|
|
Mutual Funds/ |
16842 |
0.10 |
|
|
Financial
Institutions/ Banks |
2047 |
0.01 |
|
|
Sub Total B1 |
18889 |
0.12 |
|
|
B2) Central
Government/ State Government(s)/ President of India |
0 |
0.00 |
|
|
B3)
Non-Institutions |
0 |
0.00 |
|
|
Individual share
capital upto INR 0.200 Million |
1471826 |
9.00 |
|
|
Individual share
capital in excess of INR 0.200 Million |
577778 |
3.53 |
|
|
Mr. Rohinton Soli Screwvala |
178017 |
1.09 |
|
|
NBFCs registered
with RBI |
3200 |
0.02 |
|
|
Any Other
(specify) |
3405398 |
20.81 |
|
|
Bodies Corporate |
433839 |
2.65 |
|
|
LIGHTHOUSE EMERGING INDIA
INVESTORS,LIMITED |
403481 |
2.47 |
|
|
INDIA 2020 II INVESTORS,LIMITED |
2421519 |
14.80 |
|
|
NRI – Non- Repat |
1482 |
0.01 |
|
|
NRI – Repat |
6335 |
0.04 |
|
|
Clearing Members |
138492 |
0.85 |
|
|
Trusts |
250 |
0.00 |
|
|
Sub Total B3 |
5458202 |
33.36 |
|
|
B=B1+B2+B3 |
5477091 |
33.48 |
|
BUSINESS DETAILS
|
Line of Business : |
Subject operates as a non-banking finance company that provides enterprise and micro-finance loans to micro and small enterprises in India. (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
|
Suppliers : |
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Customers : |
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No. of Employees : |
1541 (Approximately) |
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Bankers : |
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Facilities : |
NOTE: Long-term
Borrowings b. Terms and
conditions of secured loans and nature of security Term loans from banks and financial institutions except loan from Manaveeya Development and Finance Private Limited, which is secured by way of onlyhypothecation of loan receivables, are secured by way of hypothecation of the outstanding loan portfolio, in addition to the fixed deposits being held as collateral security. Vehicle loans from HDFC Bank were secured against hypothecation of respective vehicles. In addition to the above, following loans are also secured by way guarantees: 1. All term loans from MAS Financial Services Limited are secured by way of personal guarantee of all directors. 2. Terms loans from AU Financiers (India) Limited, Bank of India, IDBI Bank Limited and Moneywise Financial Services Private Limited are secured by way of personal guarantee of Mr. Yogen Khosla (Managing Director) and corporate guarantee of Indo Crediop Private Limited (shareholder). 3. Term loans from DCB Bank Limited, Andhara Bank, State Bank of India, Small Industries Development Bank of India, Nabkishan Finance Limited and Nabsamruddhi Finance Limited are secured by way of personal guarantee of Mr. Yogen Khosla (Managing Director). 4. Term loan from Manaveeya Development and Finance Private Limited is secured by way of personal guarantee of Mr. Yogen Khosla (Managing Director) and Mrs. Anju Khosla (Executive Director). Short-term
borrowings a. Terms and conditions of cash credit facility from bank Cash credit from State Bank of India is secured against assignment of small enterprise finance receivables on first charge in specific book debts and personal guarantee of Mr. Yogen Khosla (Managing Director). |
|
Financial Institutions : |
|
|
|
|
|
Auditors 1: |
|
|
Name : |
Walker Chandiok and Company LLP Chartered Accountants |
|
Address : |
L-41, Connaught Circus, New Delhi-110001, India |
|
Auditor 2 : |
|
|
Name : |
Unit No. 1704, 17th Floor, Tower B, World Trade, DND Elyway, C-01, Sector 16, Noida – 201301, Delhi, Uttar Pradesh, India |
|
Address : |
91-120-2970005 |
|
Tel No.: |
91-9205575996 |
|
E-Mail : |
|
|
Website: |
|
|
|
|
|
Memberships : |
Not Available |
|
|
|
|
Collaborators : |
Not Available |
|
|
|
|
Subsidiary : |
Capital Trust Microfinance Private Limited (Formerly known as Parikarma Investments and Financial Services Private Limited.) (w.e.f. 26 September 2016) |
|
|
|
|
Enterprise over which
KMP and their relatives can exercise significant influence: |
|
CAPITAL STRUCTURE
As on 31.03.2017
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
19000000 |
Equity Shares |
INR 10/- each |
INR 190.000 Million |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
16361415 |
Equity Shares |
INR 10/- each |
INR 163.614
Million |
|
|
|
|
|
(c) Reconciliation of
the equity share capital
|
|
Number |
INR in Million |
|
Balance at the beginning of the year |
14667500 |
146.675 |
|
Add: Shares issued during the year |
1693915 |
16.939 |
|
Balance at the end
of the year |
16361415 |
163.614 |
(e) During the year 1,550,000 share warrants (previous year: 4,092,500) held by Mr. Yogen Khosla have been converted into equity shares of INR10 each at a price of INR 117 aggregating to INR181,350,500 (previous year: INR 478,422,500) and balance 1,857,500 share warrants have been forfeited aggregating to INR 54,331,875. There are no outstanding share warrants as on 31 March 2017.
(f ) During the year 143,915 equity share alloted to Capital Employee Welfare Trust at a price of INR 559 aggregating to INR 80,448,490 under the scheme of Capital Trust Employee Option Scheme 2016.
(g) Terms and rights
attached to equity shares:
The Company has only one class of equity shares having a par value of INR10 per share (previous year INR10 per share). All issued shares rank pari-passu and have same voting rights per share.
The Company declares and pays dividend in Indian rupees, if any. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing general meeting.
In the event of liquidation of the Company, the holders of
the equity shares will be entitled to receive remaining assets of the Company,
after distribution of preferential amounts. The distribution will be in
proportion to the number of equity shares held by the shareholders.
(h) Details of
shareholders holding more than 5% shares in the Company
|
|
As at 31 March 2017 |
|
|
Name of Shareholder |
Number |
% |
|
Yogen Khosla |
7894524 |
48.25% |
|
Indo Crediop Private Limited |
2845885 |
17.39% |
|
Lighthouse Emerging India Investors Limited |
2825000 |
17.27% |
|
Total |
13565409 |
82.91% |
|
(i) Forfeited share
warrant |
As at 31 March 2017 |
|
Share warrant application money |
54331875 |
|
Total |
54331875 |
(j) During the current year, the members of the Company passed a resolution to offer, issue and grant options not exceeding 143,915 under Capital Trust Employee Stock Option Scheme, 2016 through Capital Employee Welfare Trust. 143,915 equity were allotted to Capital Employee Welfare Trust at a value of ‘559 per equity share, including a premium of ‘549 per equity share.
(k) There are no shares issued pursuant to contract without payment being received in cash, alloted as fully paid up by way of bonus issue and bought back during the last 5 years.
FINANCIAL DATA
[all figures are
in INR Million]
ABRIDGED
BALANCE SHEET - STANDALONE
|
SOURCES
OF FUNDS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
163.614 |
146.675 |
105.000 |
|
(b) Reserves & Surplus |
2030.711 |
1362.626 |
114.701 |
|
(c) Money received against
share warrants |
0.000 |
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money
pending allotment |
0.000 |
99.669 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
2194.325 |
1608.970 |
219.701 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
2086.434 |
315.573 |
58.189 |
|
(b) Deferred tax liabilities
(Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term
liabilities |
0.000 |
0.000 |
3.443 |
|
(d) long-term provisions |
35.733 |
4.026 |
0.000 |
|
Total
Non-current Liabilities (3) |
2122.167 |
319.599 |
61.632 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
49.261 |
115.944 |
712.491 |
|
(b) Trade payables |
6.014 |
9.990 |
15.082 |
|
(c) Other current liabilities |
1080.882 |
360.598 |
229.891 |
|
(d) Short-term provisions |
153.440 |
0.000 |
0.000 |
|
Total
Current Liabilities (4) |
1289.597 |
486.532 |
957.464 |
|
|
|
|
|
|
TOTAL |
5606.089 |
2415.101 |
1238.797 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
13.663 |
11.271 |
8.674 |
|
(ii) Intangible Assets |
0.122 |
0.000 |
0.000 |
|
(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 |
192.862 |
1.500 |
0.000 |
|
(c) Deferred tax assets (net) |
17.577 |
4.305 |
2.957 |
|
(d) Long-term Loan and Advances |
1791.108 |
773.544 |
224.079 |
|
(e) Other Non-current assets |
172.550 |
0.000 |
0.000 |
|
Total
Non-Current Assets |
2187.882 |
790.620 |
235.710 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
0.000 |
0.000 |
0.000 |
|
(c) Trade receivables |
0.000 |
35.725 |
28.680 |
|
(d) Cash and cash equivalents |
285.621 |
787.205 |
269.309 |
|
(e) Short-term loans and
advances |
3114.772 |
801.551 |
705.098 |
|
(f) Other current assets |
17.814 |
0.000 |
0.000 |
|
Total
Current Assets |
3418.207 |
1624.481 |
1003.087 |
|
|
|
|
|
|
TOTAL |
5606.089 |
2415.101 |
1238.797 |
PROFIT
& LOSS ACCOUNT - STANDALONE
|
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
SALES |
|
|
|
|
|
Income |
1142.630 |
544.647 |
399.736 |
|
|
Other Income |
44.958 |
68.509 |
1.182 |
|
|
TOTAL
|
1187.588 |
613.156 |
400.918 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Employees benefits expense |
202.251 |
105.189 |
64.674 |
|
|
Other expenses |
179.053 |
73.856 |
47.706 |
|
|
TOTAL |
381.304 |
179.045 |
112.380 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION |
806.284 |
434.111 |
288.538 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
253.338 |
121.785 |
141.467 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
552.946 |
312.326 |
147.071 |
|
|
|
|
|
|
|
Less/
Add |
DEPRECIATION/
AMORTISATION |
3.914 |
2.091 |
1.149 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX |
549.032 |
310.235 |
145.922 |
|
|
|
|
|
|
|
Less |
TAX |
180.138 |
107.783 |
49.465 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX |
368.894 |
202.452 |
96.457 |
|
|
|
|
|
|
|
Add |
PREVIOUS
YEARS’ BALANCE BROUGHT FORWARD |
176.120 |
73.109 |
11.646 |
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
Transferred to reserve fund
under section 45-IC of RBI Act, 1934* |
73.779 |
40.490 |
19.291 |
|
|
Dividend paid |
0.000 |
1.000 |
12.900 |
|
|
Dividend paid on preference
shares |
0.000 |
1.050 |
0.000 |
|
|
Corporate dividend tax |
0.000 |
0.421 |
2.641 |
|
|
Proposed dividend |
0.000 |
22.001 |
0.000 |
|
|
Corporate dividend tax |
0.000 |
4.479 |
0.000 |
|
|
Transfer to capital redemption reserve on redemption of 3,000,000 preference shares of INR 10 each |
0.000 |
30.000 |
0.000 |
|
|
Transitional impact of Depreciation on fixed assets as per Companies Act 2013 |
0.000 |
0.000 |
0.162 |
|
|
Total
|
73.779 |
99.441 |
34.994 |
|
|
|
|
|
|
|
|
Balance
Carried to the B/S |
471.235 |
176.120 |
73.109 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (INR) |
24.13 |
24.46 |
12.86 |
CURRENT MATURITIES OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Maturities of Long term debt |
953.547 |
246.338 |
20.664 |
|
Cash generated from operations |
(2964.931) |
(94.022) |
156.993 |
|
Net cash flow from operating activity |
(3052.838) |
(201.805) |
156.993 |
KEY
RATIOS
EFFICIENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Average Collection Days (Sundry Debtors / Income * 365 Days) |
0.00 |
23.94 |
26.19 |
|
|
|
|
|
|
Account Receivables Turnover (Income / Sundry
Debtors) |
0.00 |
15.25 |
13.94 |
|
|
|
|
|
|
Inventory Turnover (Operating Income
/ Inventories) |
0.00 |
0.00 |
0.00 |
|
|
|
|
|
|
Asset Turnover (Operating Income
/ Net Fixed Assets) |
58.49 |
38.52 |
33.26 |
LEVERAGE RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Debt Ratio ((Borrowing + Current Liabilities) / Total
Assets) |
0.77 |
0.43 |
0.84 |
|
|
|
|
|
|
Debt Equity Ratio (Total Liability
/ Networth) |
1.41 |
0.42 |
3.60 |
|
|
|
|
|
|
Current Liabilities to Networth (Current
Liabilities / Net Worth) |
0.59 |
0.30 |
4.36 |
|
|
|
|
|
|
Fixed Assets to Networth (Net Fixed Assets
/ Networth) |
0.01 |
0.01 |
0.04 |
|
|
|
|
|
|
Interest Coverage Ratio (PBIT / Financial
Charges) |
3.18 |
3.56 |
2.04 |
PROFITABILITY RATIOS
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Net Profit Margin ((PAT / Sales) *
100) |
% |
32.28 |
37.17 |
24.13 |
|
|
|
|
|
|
|
Return on Total Assets ((PAT / Total
Assets) * 100) |
% |
6.58 |
8.38 |
7.79 |
|
|
|
|
|
|
|
Return on Investment (ROI) ((PAT / Networth)
* 100) |
% |
16.81 |
12.58 |
43.90 |
SOLVENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Ratio (Current Assets / Current Liabilities) |
2.65 |
3.34 |
1.05 |
|
|
|
|
|
|
Quick Ratio ((Current Assets –
Inventories) / Current Liabilities) |
2.65 |
3.34 |
1.05 |
|
|
|
|
|
|
G-Score Ratio Financial (Networth / Total
Assets) |
0.39 |
0.67 |
0.18 |
|
|
|
|
|
|
G-Score Ratio Debt (Debts / Equity
Capital) |
18.88 |
4.62 |
7.54 |
|
|
|
|
|
|
G-Score Ratio Liquidity (Total Current
Assets / Total Current Liabilities) |
2.65 |
3.34 |
1.05 |
Total Liability = Short-term Debt + Long-term
Debt + Current Maturities of Long-term debts
STOCK PRICES
|
Face Value |
INR 10.00/- |
|
Market Value |
INR 505.00/- |
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 |
105.000 |
146.675 |
163.614 |
|
Reserves & Surplus |
114.701 |
1362.626 |
2030.711 |
|
Money received against share warrants |
0.000 |
99.669 |
0.000 |
|
Net
worth |
219.701 |
1608.970 |
2194.325 |
|
|
|
|
|
|
Long Term borrowings |
58.189 |
315.573 |
2086.434 |
|
Short Term borrowings |
712.491 |
115.944 |
49.261 |
|
Current Maturities of Long term debt |
20.664 |
246.338 |
953.547 |
|
Total
borrowings |
791.344 |
677.855 |
3089.242 |
|
Debt/Equity
ratio |
3.602 |
0.421 |
1.408 |
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
|
399.736 |
544.647 |
1142.630 |
|
|
|
36.252 |
109.793 |
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
|
399.736 |
544.647 |
1142.630 |
|
Profit |
96.457 |
202.452 |
368.894 |
|
|
24.13% |
37.17% |
32.28% |
ABRIDGED
BALANCE SHEET – (CONSOLIDATED)
|
SOURCES
OF FUNDS |
|
31.03.2017 |
31.03.2016 |
|
|
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
163.614 |
146.675 |
|
(b) Reserves & Surplus |
|
2040.388 |
1362.626 |
|
(c) Money received against
share warrants |
|
0.000 |
99.669 |
|
|
|
|
|
|
(2) Share Application money pending
allotment |
|
0.000 |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
|
2204.002 |
1608.970 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
|
2248.934 |
315.574 |
|
(b) Deferred tax liabilities
(Net) |
|
0.000 |
0.000 |
|
(c) Other long term
liabilities |
|
0.000 |
0.000 |
|
(d) long-term provisions |
|
41.681 |
4.026 |
|
Total
Non-current Liabilities (3) |
|
2290.615 |
319.600 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
|
49.261 |
115.943 |
|
(b) Trade payables |
|
6.059 |
9.990 |
|
(c) Other current liabilities |
|
1436.787 |
360.598 |
|
(d) Short-term provisions |
|
156.698 |
0.000 |
|
Total
Current Liabilities (4) |
|
1648.805 |
486.531 |
|
|
|
|
|
|
TOTAL |
|
6143.422 |
2415.101 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
|
13.663 |
11.271 |
|
(ii) Intangible Assets |
|
0.122 |
0.000 |
|
(iii) Capital work-in-progress |
|
0.000 |
0.000 |
|
(iv) Intangible assets under
development |
|
0.000 |
0.000 |
|
(b) Non-current Investments |
|
1.500 |
1.500 |
|
(c) Deferred tax assets (net) |
|
17.577 |
4.305 |
|
(d) Long-term Loan and Advances |
|
1947.172 |
773.544 |
|
(e) Other Non-current assets |
|
172.550 |
0.000 |
|
Total
Non-Current Assets |
|
2152.584 |
790.620 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
|
0.000 |
0.000 |
|
(b) Inventories |
|
0.000 |
0.000 |
|
(c) Trade receivables |
|
0.000 |
35.725 |
|
(d) Cash and cash equivalents |
|
400.585 |
787.205 |
|
(e) Short-term loans and
advances |
|
3570.457 |
801.551 |
|
(f) Other current assets |
|
19.796 |
0.000 |
|
Total
Current Assets |
|
3990.838 |
1624.481 |
|
|
|
|
|
|
TOTAL |
|
6143.422 |
2415.101 |
PROFIT
& LOSS ACCOUNT– (CONSOLIDATED)
|
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
|
|
SALES |
|
|
|
|
|
Income |
|
1201.048 |
544.647 |
|
|
Other Income |
|
46.718 |
68.509 |
|
|
TOTAL
|
|
1247.766 |
613.156 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
|
0.000 |
0.000 |
|
|
Purchases of Stock-in-Trade |
|
0.000 |
0.000 |
|
|
Changes in inventories of finished
goods, work-in-progress and Stock-in-Trade |
|
0.000 |
0.000 |
|
|
Employees benefits expense |
|
202.251 |
105.189 |
|
|
Other expenses |
|
187.190 |
73.856 |
|
|
TOTAL |
|
389.441 |
179.045 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION |
|
858.325 |
434.111 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
|
285.728 |
121.785 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
|
572.597 |
312.326 |
|
|
|
|
|
|
|
Less/
Add |
DEPRECIATION/
AMORTISATION |
|
3.914 |
2.091 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX |
|
568.683 |
310.235 |
|
|
|
|
|
|
|
Less |
TAX |
|
190.112 |
107.783 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX |
|
378.571 |
202.452 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (INR) |
|
24.77 |
24.46 |
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 |
Yes |
|
17 |
Details of sister concerns |
Yes |
|
18 |
Major suppliers |
No |
|
19 |
Major customers |
No |
|
20 |
Banking Details |
Yes |
|
21 |
Banking facility details |
Yes |
|
22 |
Conduct of the banking account |
-- |
|
23 |
Financials, if provided |
Yes |
|
24 |
Capital in the business |
Yes |
|
25 |
Last accounts filed at ROC, if applicable |
Yes |
|
26 |
Turnover of firm for last three years |
Yes |
|
27 |
Reasons for variation <> 20% |
-- |
|
28 |
Estimation for coming financial year |
No |
|
29 |
Profitability for last three years |
Yes |
|
30 |
Major shareholders, if available |
Yes |
|
31 |
External Agency Rating, if available |
Yes |
|
32 |
Litigations that the firm/promoter
involved in |
-- |
|
33 |
Market information |
-- |
|
34 |
Payments terms |
No |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
COMPANY OVERVIEW
Subject is a public Company incorporated in India under the provisions of the erstwhile Companies Act, 1956. Its shares are listed on Bombay Stock Exchange and National Stock Exchange. The Company is Non-banking Financial Company which is registered with Reserve Bank of India (‘RBI’’). The Company is engaged in the business of Micro Finance and Small Enterprise Loan.
FINANCIAL RESULTS
The year was affected by demonetization of high currency notes, which has affected the business as a whole in general and NBFCs dealing in microfinance and micro credit loans in particular. After demonetization, the disbursements had dried up and the collection was also affected due to no availability of legal currency notes with the clients. The situation improved a bit only after January, 2017. However due to elections in UP and false propaganda by political parties, the collection was low as compared to other states in India. In spite of these difficulties the company has done exceptionally well and has increased its assets under Management to INR 5550.000 Million in year 2017 from INR 3040.000 Million in year 2016. During the year the company has takeover a NBFC-MFI company and has started the Microfinance business under that company. The results given above are therefore consolidated as well as standalone. The consolidated income from operations has increased from INR 613.156 Million in year ending 31st March 2016 to INR 1247.767 Million in year ending 31st March, 2017 increasing by 103%. The net profit has also increased from INR 202.452 Million in year ending 31st March, 2016 to INR 378.572 Million in year ending 31st March, 2017 increasing by 87%.
The company has opened branches in two more states of Rajasthan and Madhya Pradesh. In the current year the company is planning to expand in new states. The company has always been following the path having a neat portfolio. The company has strict checks and balances which enable the company to have a good clean portfolio.
The company has tied up with various financial institutions thereby raising the loan of INR 3600.000 Million from them during the year. The company has never failed in paying any installments or interest to the lenders. The company enjoys good reputation with all its stakeholder.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
ECONOMIC SCENARIO
Global Economy
Global GDP growth is projected to pick up modestly to around 3½ per cent in 2018, from just under 3% in 2016, boosted by fiscal initiatives in the major economies. The forecast is broadly unchanged since November 2016. Confidence has improved, but consumption, investment, trade and productivity are far from strong, with growth slow by past norms and higher inequality.
Emerging market and developing economies have become increasingly important in the global economy in recent years. They now account for more than 75 percent of global growth in output and consumption, almost double the share of just two decades ago. The external environment has been important for this transformation. Terms of trade, external demand, and, in particular, external financial conditions are increasingly influential determinants of medium-term growth in these economies as they become more integrated into the global economy. The still-considerable income gaps in these economies vis-à-vis those in advanced economies suggest further room for catch-up, favoring their prospects of maintaining relatively strong potential growth over the medium term.
Moreover, with the global economy in the midst of potentially persistent structural shifts, emerging market and developing economies may face a less supportive external environment going forward than they experienced for long stretches of the post-2000 period. Nevertheless, these economies can still get the most out of a weaker growth impulse from external conditions by strengthening their institutional frameworks, protecting trade integration, permitting exchange rate flexibility, and containing vulnerabilities arising from high current account deficits and external borrowing, as well as large public debt.
Advanced economies are now projected to grow by 1.9 percent in 2017 and 2.0 percent in 2018, 0.1 and 0.2 percentage points more than in the October forecast, respectively. As noted, this forecast is particularly uncertain in light of potential changes in the policy stance of the United States under the incoming administration. The projection for the United States is the one with the highest likelihood among a wide range of possible scenarios. Growth projections for 2017 have also been revised upward for Germany, Japan, Spain, and the United Kingdom, mostly on account of a stronger-than-expected performance during the latter part of 2016. These upward revisions more than offset the downward revisions to the outlook for Italy and Korea.
Indian Economy has been the driving force in the global economy followed by China. India economy grew by 7.3% and expected to grow by 7.5% in 2018. India is closely followed by China where the real GDP growth was 6.5% in 2017 and it is expected to be 6.3% in 2018. The Rest of World Economy is expected to by 3.2 % in year 2018.
India Economy
The economy of India is the sixth-largest in the world measured by nominal GDP and the third-largest by purchasing power parity (PPP). The country is classified as a newly industrialised country, and one of the G-20 major economies, with an average growth rate of approximately 7% over the last two decades. Maharashtra is the wealthiest Indian state with an annual nominal GDP of US$330 billion, roughly equivalent to those of Venezuela and the United Arab Emirates, and accounts for 13.4% of India's GDP followed by the states of Tamil Nadu (US$170 billion) and Uttar Pradesh (US$150 billion). India's economy became the world's fastest growing major economy in the last quarter of 2014, surpassing the People's Republic of China.
The long-term growth prospective of the Indian economy is positive due to its young population, corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. The Indian economy has the potential to become the world's 3rd-largest economy by the next decade, and one of the two largest economies by mid-century. And the outlook for short-term growth is also good as according to the IMF, the Indian economy is the "bright spot" in the global landscape. India also topped the World Bank's growth outlook for 2015-16 for the first time with the economy having grown 7.6% in 2015-16. According to the International Monetary Fund (IMF), India's growth is expected to rebound to 7.3 per cent in the 2017-18 fiscal and 7.7 per cent in 2018-19.
India stands out as a bright spot in the world economic landscape. India’s macro-economic stability continues to be the foundation of economic success. CPI inflation declined from 6% in July 2016 to 3.4% in December, 2016 and is expected to remain within RBI’s mandated range of 2% to 6%. Favourable price developments reflect prudent macroeconomic management, resulting in higher agricultural production, especially in pulses. India’s Current Account Deficit declined from about 1% of GDP last year to 0.3% of GDP in the first half of 2016-17. Foreign Direct Investment (FDI) increased from INR 1070000.000 Million in the first half of last year to INR 1450000.000 Million in the first half of 2016-17. This marks an increase by 36%, despite 5% reduction in global FDI inflows. Foreign exchange reserves have reached 361 billion US Dollars as on 20th January, 2017, which represents a comfortable cover for about 12 months of imports.
In the last one year, India has witnessed historic and impactful economic reforms and policy making. In fact, India was one of the very few economies undertaking transformational reforms. There were two policy initiatives, namely, passage of the Constitution Amendment Bill for GST and the progress for its implementation; and demonetisation of high denomination bank notes. The advantages of GST for our economy in terms of spurring growth, competitiveness, indirect tax simplification and greater transparency. Demonetisation has strong potential to generate long-term benefits in terms of reduced corruption, greater digitisation of the economy, increased flow of financial savings and greater formalisation of the economy, all of which would eventually lead to higher GDP growth and tax revenues.
The Government of India is focusing on ease of doing business. Among the chosen 189 countries for this index, India was ranked 134 in 2015 on the World Bank’s Doing Business index. Since then there has been a remarkable improvement. India is now ranked at 130.
Since 2014, the Government of India launched an ambitious program of regulatory reform aimed at making it easier to do business in India. The program represents a great deal of effort to create a more business-friendly environment. The efforts have yielded substantial results with India jumping 4 places on the World Banks’ Doing Business rankings\
India is currently the world’s fastest-growing major economy. And before long, it may leapfrog the US on a ranking of the largest. In a new report titled “The World in 2050,” consulting firm PwC projects that India’s GDP would exceed US GDP in purchasing power parity terms by 2040 (purchasing power parity accounts for the different prices levels across countries). This would make India the largest economy in the world after China. As per the report the world economy could more than double in size by 2050, far outstripping population growth, due to continued technology-driven productivity improvements. As a result, six of the seven largest economies in the world are projected to be emerging economies in 2050 led by China (1st), India (2nd) and Indonesia (4th)
Among the 32 largest economies in the world in 2016, only Vietnam is expected to grow faster per capita than India over the next three decades. With this growth, India’s economy would go from accounting for 7% of world GDP to 15%.
INDUSTRY OVERVIEW
Indian Financial
services Industry
India’s financial services sector consists of the capital market, insurance sector, Banking Sector, Co-operative Banks and Non-Banking Financial Companies (NBFCs). Further, the RBI has given license to various companies to set-up of payments bank that is expected to revolutionise the financial sector in India as it focuses to conduct banking activities primarily through mobile phones. As a step forward for the financial inclusion, the Reserve Bank has also given license to various micro-finance companies to setup Small Finance Bank. Banks with a small finance bank license can provide basic banking service of acceptance of deposits and lending. The aim behind these to provide financial inclusion to sections of the economy not being served by other banks, such as small business units, small and marginal farmers, micro and small industries and unorganised sector entities.
The Government of India has introduced several reforms to liberalise, regulate and enhance this industry. The Government and Reserve Bank of India (RBI) have taken various measures to facilitate easy access to finance for Micro, Small and Medium Enterprises (MSMEs). These measures include launching Credit Guarantee Fund Scheme for Micro and Small Enterprises, issuing guideline to banks regarding collateral requirements and setting up a Micro Units Development and Refinance and private sector, India is undoubtedly one of the world's most vibrant capital markets.
Market Size
Mergers and acquisition (M&A) activity in India rose 125 per cent year-on-year to US$ 32.5 billion across 445 deals during January-September 2016. Domestic M&A deal value stood at US$ 7.3 billion across 137 deals during July-September 2016, which is around 65 per cent of the total M&A deal value of US$ 11.3 billion during the quarter.
Funds mobilised by Indian companies through nonconvertible debentures (NCDs) increased sixteen-fold to INR 23,901.4 crore (US$ 3.58 billion) during April-September 2016 led by growing investor appetite.
The assets under management (AUM) of the mutual fund (MF) industry grew 45 per cent to INR 1.789 Million crore (US$ 268.35 billion) during March 2016 to February 2017. Mutual fund asset base in India increased by INR 3.71 trillion (US$ 55.65 billion) to reach a total corpus of around INR 17 trillion (US$ 255 billion) in 2016, which is the highest growth recorded in the last seven yeaINR
Prime Minister of India, Mr Narendra Modi has stated that the BHIM (Bharat Interface for Money) mobile application reached the mark of 10 million downloads indicating the widespread acceptance of the app. India's digital payments industry is expected to grow by 10 times to reach US$ 500 billion by 2020 and contribute 15 per cent of Gross Domestic Product (GDP).
As per Reserve Bank data during the year there had been high bad debt and weak corporate demand, resulting credit growth plunged to a six-decade low of 5.08 per cent in the financial year 2016-17, as against 10.7 per cent a year ago. For the year to March 2017, banks' outstanding credit stood at INR 78.81 trillion compared to INR 75.01 trillion as of April 1 2016.
NBFC Sector (Non
Banking Finance Company) Industry:
Indian Financial sector is very diversified and comprises of Commercial banks, Non-Banking Financial Companies, Cooperatives, Insurance Companies among others. During the year the Government took several measures to strengthen the financial service sector which includes the New Bankruptcy law, Jan Dhan campaign for financial inclusion, liberalization of Foreign Direct Investment, gold monetization scheme and much more.
There are 11,682 Non-Banking Financial Companies (NBFCs) registered with the Reserve Bank of India out of which a lion's share of 98% are non-deposit accepting with the balance 2% being deposit accepting NBFCs. Around 220 non-deposit accepting NBFCs have been classified as systemically important. NBFCs are present in the competing fields of vehicle financing, housing loans, hire purchase, lease and personal loans. NBFCs have emerged as key financial intermediaries particularly for small-scale and retail sectors. With easier sanction procedures, flexibility, low operating cost and focus on core business activity, NBFCs stand on a surer footing vis-a-vis banks.
Non-Banking Financial Companies (NBFC) in India made a humble beginning way back in the 1960’s to serve the need of the investor whose financial requirements were not sufficiently covered by the existing banking system in India. The NBFCs began to invite fixed deposit from investor and work out leasing deal for big industrial firms. Initially, they operated on a limited scale and could not make a significant impact on the financial system. However, between 1980’s and 1990’s, NBFCs gained good ground and started to inveigle a huge number of investors owing to them customer friendly reputation.
India Ratings expects NBFCs to account for over 17% of the total credit in the country by FY 2019, compared to 13.1% at the end of the FY 2015 & 9.4% in the FY 2006. Until some years ago, NBFCs were a small part of the financial services business with a small resource base. Today, the equity of leading NBFCs is comparable with or larger than many mid–sized banks. The combined market capitalisation of the top 10 NBFCs is now twice that of mid and small–sized public sector banks.
NBFC credit portfolio in India is relatively under-penetrated at 13% of GDP compared to 25% in Malaysia and Thailand and 33% in China. Thus, the sector has immense scope for rapid growth over the next 5-10 years.
Expected credit
growth in the NBFC sector
Considering the strong rising trend in credit growth from the NBFCs, its share as a percentage of GDP is expected to grow strongly in the medium term scenario. In case 1, if the share of NBFC credit grows from the current 13% to 33% by 2020 then the compounded growth in the credit during 2016-20 would be 27%. While in case 2, if the share of NBFC credit grows from the current 13% to 25% by 2020 then the compounded growth in the credit during 2016-20 would be 20%.
Demonetization and
its Impact
Cash-dependent micro, small and medium enterprises (MSMEs) across the country have borne the brunt of the demonetization exercise. With about 86 per cent of the currency (INR500 and INR1,000 bank notes) in circulation being scrapped with effect from November 9, and the replacements in the form of INR 2,000 and new INR 500 bank notes proving to be grossly inadequate, MSMEs’ businesses, especially those in the unorganised space, took a hard knock due to slump in demand.
This led to many micro and small units being temporarily shuttered, leading to job losses.
The demonetisation announcement has come as a bolt from the blue for the unorganised MSMEs, which reportedly account for almost 55 per cent of the total enterprises in the MSME segment.
Diversified financial services firm Edelweiss, in its research report Edel Pulse, said business in the case of SMEs in the unorganised sector was severely impacted in the first week (more than 70 per cent decline in business activity)
This has effected the NBFCs who have lent to Micro Enterprise and Micro Finance Loans.
For the first 2 weeks following the announcement of demonetization, the collection ratio declined to 80%. Subsequent increased in supply of new currencies by RBI had led to increase in collections in the fourth week. But the collections have come down subsequently due to slowdown in business activities of the borrowers and dispensation provided by RBI (earlier by 60 days and later increased to 90 days) to financial institutions in terms of recognizing NPAs. This special consideration was misrepresented to the borrowers by local influential individuals and thus resulted in fall in collection efficiency in few areas of states like Uttar Pradesh, Maharashtra and Madhya Pradesh.
Outlook and
Opportunities:
The Non-Banking Financial companies (NBFCs) sector forms an integral part of the Indian financial system. The sector plays a vital role in India’s economic growth and development. It aids in boosting ‘Financial Inclusion’ initiative by lending services to the unbanked population in rural/ semi-rural or few urban areas, also provide services to the Micro, Small and Medium Enterprises (MSMEs) segment. They provide product and services such as personal loans, housing loan, gold loan, insurance and loan for purchasing commercial vehicles, machinery, and farm equipment amongst others. NBFCs ability to understand their customer profile, their credit portfolio and deliver on customised products and services makes them as one of the fastest growing sectors providing innovation in financial products.
NBFCs are rapidly gaining importance as financial intermediary in the retail finance. Their contribution to the economy has significantly improved standing at 15% as on FY17. The growth is driven not only by the traditional NBFC products like commercial vehicle financing but also in the areas of loans financing like personal and housing etc. The success of the sector is attributed to the cost efficiency, bad debt control, customised products and better customer services. Along with on-going stress in the public sector banks due to mounting debts, the lending potential of the banks are going to deteriorate further, thereby providing opportunity for NBFCs to increase their reach.
The various opportunities available to the
NBFCs include:
• While the Bank credit to SMEs is witnessing a decline, the NBFCs at the same time are ramping up efforts to reach out to the SMEs. NBFCs, typically, offer loans against property, consumer durable loans and business loans, among other products, to SME customers or self-employed professionals. With the appetite of banks to extend credit likely to remain weak in the future as well, this offers opportunities to NBFCs to address the gap.
• NBFCs play an important role in promoting inclusive growth in the country, by catering to the diverse financial needs of bank excluded customers. The coverage of unbanked (self-employed or small businesses) provides the due impetus to government schemes like Start-up India or Make in India. Many reports on MSMEs and emerging businesses have highlighted the issue of ease and access to credit funding. By ensuring finances to such segments with low or no income proofs, NBFCs have directly or indirectly helped the economic growth and selfsustainability of the country.
• Increasing Internet and mobile penetration, growing acceptability of online payments and favourable demographics are expected to lead the e-commerce sector in India to a record revenue of 120 billion USD by 2020. This explosion of e-commerce, Internet and social media usage in India has led to the emergence of a new breed of online lending platforms in India and abroad that leverage social media and Internet browsing data to assess the creditworthiness of customers.
• Large scale housing and urbanisation projects by the government – 100 smart cities to be built over 5 years at an investment of USD 7-8 bn, 20 million houses to be constructed under ‘Housing for All” by 2022, Low Cost Housing and developing 500 cities under the AMRUT development scheme.
• Massive expected investments of USD 600 bn over the next five years towards infrastructure development
• Digital India initiative to enable investments worth USD 68 billion and create 1.8 million jobs. Over 1 million MSMEs are expected to resort digital platform over the next five years.
• NBFCs has opportunity for emerging Fintech start-ups as they offer far more agility and flexibility when compared to many of their banking counterparts.
• Digital trend to provide disruptive opportunities for innovation and partnerships.
• Demand from geographic areas and customer segments that traditional banks do not cater to.
BUSINESS OUTLOOK
Capital Trust Limited headquatered in New Delhi is a Non- Banking Finance Company (NBFC) incorporated in 1985. It is listed at the National Stock Exchange and Bombay Stock Exchange. The company has focused on the business of providing Enterprise Loans to Micro and Small Enterprises. The company has provided affordable funding to over 0.500 Million Clients through its 162 branches in 38 districts of 6 states in a transparent manner. The company provides loans ranging from INR 0.100 Million to INR 1.000 Million.
Key strengths:
• Strong Technology: The Company makes use of state-ofthe- art technology to keep operations efficient and low cost. The technology electronically connects all its branches for online data entry and real time report generation. The Company works on a hub-and-spoke model. The Company is providing g the digital receipts to its clients instantly at the time of repayment of their installments.
• Extensive Knowledge of the region: The Company operates in the 6 states in Northern India. Thus there is no language barrier for the clients. The company has wide experience in the region and has started from Microfinance and gradually increased the portfolio to Micro Enterprise and Secured Enterprise Loans.
• Strong Human Capital: The Company has strong business development, compliance and managerial team. The business development team ensures extensive market coverage to generate leads which are thoroughly examined by the compliance team to minimize bad accounts to the best extent. The managerial team devises strategies and undertake planning to enable the Company maintain its growth.
• Efficient Internal Audit: The company has efficient Internal Audit system where every branch is being audited on regular intervals. This helps the company in filling the gaps, if any, and monitoring the frauds.
• Deep Penetration: The Company has a strong branch network of 162 branches in 38 districts on a hub and spoke model of operations. The maximum radius between the branches is not more than 15 Kms which helps in better control on the clients and proper contact with the customers.
• Strong Financials: The company is having a steady growth on year
to year basis. This is reflected in the Company’s healthy balance sheet. As on March
31, 2017 the Company’s total asset under management surged to INR 555 crores
with a capital adequacy ratio of 46.83 % and net worth of INR 220.40 cr. Its
robust operational efficiency enabled it to achieve a PAT margin of 30.33 % in
2016-17.
• Varied no. of Products: The company provides loan from INR 15,000 – INR 10,00,000 based on the need of the client. With the takeover of the Microfinance Company, the company now provides Microfinance, Micro Enterprise and Secured Enterprise Loans to its clients. The company is catering clients of different sectors, thus minimizing the risk of polarization in one sector.
• Mitigating Risks: The company is making all the disbursements to its clients in their bank accounts. No cash disbursements are being made to the clients. The clients need to have Adhaar card and the Bank Account before applying for the loan. So 100% clients of the company are KYC compliant. The company is also exploring the cash less repayments from clients.
• Systems and Processes: The company has extremely robust systems and processes, which have evolved over a period of 30 years, experience as an NBFC. The current processes are well adapted to business needs and extremely stable. Further, the company have a large body of staff trained in these systems and processes.
• Liquidity: The shares of company are listed at National Stock Exchange and the Bombay Stock Exchange. This allows ease in raising capital, according to the requirements of the company
• Renowned Board of Directors: The board of directors of the company is independent and consists of renowned bankers and professionals
OPERATING AND
FINANCIAL PERFORMANCE
Income from
operations
The year was a tough year for the Financial Sector companies. In this year the Government announced demonetization which effected the business of the company. Upto October, there was increase in disbursement on month on month basis. After demonitisation there has been effect in the collections and disbursements.
Nevertheless the revenue of the company increased from INR 613.100 Million in 2015-16 to INR 1247.700 Million in Year 2016-17 growing by 103%. The Profit of the company increased to INR 378.600 Million The capital of the company also increased from INR 14,66,75,000 to INR 16,36,14,150 during the year due to conversion of 15,50,000 warrants into equity and allotment of 143,915 equity shares to Capital Employee Welfare Trust.
Owning to profits and the induction of capital, the networth of company increased from INR 1609.000 Million as on 31st March 2016 to INR 2204.000 Million as on 31st March 2017. The Capital Adequacy ratio as on 31st March 2017 is 46.83% as compared to 77.50% as on 31st March, 2016. The capital adequacy ratio has reduced because company’s borrowings has increased to INR 3600.000 Million as on 31st March 2017 from INR 680.000 Million as on 31st March, 2016.
Portfolio Performance
The gross Asset under Management of the Company grew 83 % from INR 3041.600 Million. as on March 31, 2016 to INR 5550.000 Million. As on March 31, 2017. The Micro Enterprise loan Portfolio increased from 1160.000 Million in 2016 to INR 3400.000 Million in year 2017 showing increase of 193%. During the year the Secured Enterprise Loan also increased by 32% reaching INR 1250.000 Million. As on 31st March 2017. The company entered into Microfinance business through its wholly owned subsidiary Capital Trust Microfinance Private Limited and has a portfolio of INR 550.000 Million.
UNSECURED LOAN
|
Unsecured Loan |
31.03.2017 (INR
in Million) |
31.03.2016 (INR
in Million) |
|
Long-term
Borrowings |
|
|
|
from related parties |
1.000 |
30.500 |
|
from others |
450.000 |
0.000 |
|
Less: Current maturities of long-term borrowings |
(953.547) |
(246.339) |
|
Short-term
borrowings |
|
|
|
Term loan from others |
0.000 |
65.834 |
|
Total |
(502.547) |
(150.005) |
|
Note: Long-term
Borrowings c. Terms and conditions of
unsecured loans Term loans from Capital
First Limited and Moonlight Equity Private Limited are unsecured and carry
interest in the range of 16.00% per annum to 18.00% per annum (31 March 2016
: 18.00% per annum) |
||
INDEX
OF CHARGES:
|
SNo |
SRN |
Charge Id |
Charge Holder Name |
Date of Creation |
Date of
Modification |
Date of
Satisfaction |
Amount |
Address |
|
1 |
G73156028 |
100145795 |
MAS FINANCIAL SERVICES LIMITED |
30/12/2017 |
- |
- |
150000000.0 |
6 NARAYAN CHAMBERS GR FLR B/HPATANG HOTEL, ASHRAM ROADAHMEDABADGu380009IN |
|
2 |
G71393409 |
100142150 |
MAS FINANCIAL SERVICES LIMITED |
30/11/2017 |
- |
- |
150000000.0 |
6 NARAYAN CHAMBERS GR FLR B/HPATANG HOTEL, ASHRAM ROADAHMEDABADGu380009IN |
|
3 |
G69741098 |
100139343 |
CAPITAL FIRST LIMITED |
28/11/2017 |
- |
- |
250000000.0 |
One Indiabulls Centre, Tower 2A & 2B, 10th Floor,Senapati Bapat Marg, Lower Parel (West),MumbaiMa400013IN |
|
4 |
G58261579 |
100129789 |
Union Bank of India |
28/09/2017 |
- |
- |
250000000.0 |
M-11,Middle Circle,Connaught PlaceNew DelhiDL110001IN |
|
5 |
G53906905 |
100123657 |
NABKISAN FINANCE LIMITED |
13/09/2017 |
- |
- |
150000000.0 |
3RD FLOOR, NANARD REGIONAL OFFICE BUILDING,NO.48MAHATMA GANDHI ROAD, NUNGAMBAKKAM,CHENNAI 600034Ta600034IN |
|
6 |
G55180335 |
100125887 |
MONEYWISE FINANCIAL SERVICES PRIVATE LIMITED |
05/09/2017 |
- |
- |
100000000.0 |
18, Rabindra Sarani, Poddar CourtGate No.4, 5th FloorKolkataWe700001IN |
|
7 |
G48474712 |
100109933 |
CAPITAL FIRST LIMITED |
28/06/2017 |
- |
- |
1000000000.0 |
One Indiabulls Centre, Tower 2A & 2B, 10th Floor,Senapati Bapat Marg, Lower Parel (West),MumbaiMa400013IN |
|
8 |
G49200108 |
100112243 |
HINDUJA LEYLAND FINANCE LIMITED |
30/05/2017 |
- |
- |
70000000.0 |
1 Sardar Patel RoadGuindyChennaiTa600032IN |
|
9 |
G45281433 |
100101266 |
UCO Bank |
30/05/2017 |
- |
- |
250000000.0 |
Flagship Corporate Branch at 5,Parliament Street,New DelhiDL110001IN |
|
10 |
G46503579 |
100104459 |
Karur Vysya Bank |
22/05/2017 |
- |
- |
150000000.0 |
MRJ Tower,3rd Floor, Faiz RoadKarol Bagh, New DelhiNew DelhiDL110005IN |
|
11 |
G42460121 |
100093930 |
Bank of India |
24/03/2017 |
- |
- |
250000000.0 |
New Delhi Overseas Branch, G-40, Connaught Place,Outer Circle, New DelhiNew DelhiDL110001IN |
|
12 |
G41295254 |
100090837 |
NABSAMRUDDHI FINANCE LIMITED |
20/03/2017 |
- |
- |
100000000.0 |
10-1-128/4, NABARD QUARTERS,BEHIND PARADISE TAKEAWAY, MASAB TANK, HYDERABADHYDERABADTe500028IN |
|
13 |
G40895013 |
100089624 |
MAS FINANCIAL SERVICES LIMITED |
17/03/2017 |
- |
- |
135000000.0 |
6 NARAYAN CHAMBERS GR FLR B/HPATANG HOTEL, ASHRAM ROADAHMEDABADGu380009IN |
|
14 |
G40775595 |
100089259 |
NABARD FINANCIAL SERVICES LIMITED |
14/03/2017 |
- |
- |
100000000.0 |
# 3072, 14th Cross Road,Banashankari II StageBengaluruKa560070IN |
|
15 |
G37259496 |
100080561 |
ANDHRA BANK |
27/02/2017 |
- |
- |
150000000.0 |
SECTOR-31GURGAONGURGAONHR122001IN |
|
16 |
G40869315 |
100089625 |
RELIANCE CAPITAL LTD |
23/02/2017 |
- |
- |
300000000.0 |
"H" BLOCK 1ST FLOORDhirubhai Ambani Knowledge City, KoparkhairneNavi MumbaiMa400710IN |
|
17 |
G36131126 |
100078204 |
MAS FINANCIAL SERVICES LIMITED |
31/01/2017 |
- |
- |
120000000.0 |
6 NARAYAN CHAMBERS GR FLR B/HPATANG HOTEL, ASHRAM ROADAHMEDABADGu380009IN |
|
18 |
G29725181 |
100065811 |
NABKISAN FINANCE LIMITED |
09/12/2016 |
- |
- |
150000000.0 |
3RD FLOOR, NANARD REGIONAL OFFICE BUILDING,NO.48MAHATMA GANDHI ROAD, NUNGAMBAKKAM,CHENNAI 600034Ta600034IN |
|
19 |
G29855236 |
100065991 |
MONEYWISE FINANCIAL SERVICES PRIVATE LIMITED |
01/12/2016 |
- |
- |
150000000.0 |
18, Rabindra Sarani, Poddar CourtGate No.4, 5th FloorKolkataWe700001IN |
|
20 |
G53693925 |
100063007 |
SIDBI |
29/11/2016 |
15/09/2017 |
- |
200000000.0 |
New Delhi Branch Office, Ground FloorVideocon Tower, Rani Jhansi RoadNew DelhiDL110055IN |
|
21 |
G34192997 |
100074016 |
MAS FINANCIAL SERVICES LIMITED |
17/11/2016 |
- |
- |
75000000.0 |
6 NARAYAN CHAMBERS GR FLR B/HPATANG HOTEL, ASHRAM ROADAHMEDABADGu380009IN |
|
22 |
G21258769 |
100059450 |
IDBI Bank Limited |
07/11/2016 |
- |
- |
200000000.0 |
IDBI TOWERWORLD TRADE COMPLEX, CUFFE PARADEMUMBAIMH400005IN |
|
23 |
G17597162 |
100056518 |
MUTHOOT CAPITAL SERVICES LIMITED |
27/09/2016 |
- |
- |
150000000.0 |
MUTHOOT CAPITAL SERVICES LIMITED3rd FLOOR, MUTHOOT TOWERS, M.G. ROADKOCHIKe682035IN |
|
24 |
G11833811 |
100049964 |
MAANAVEEYA DEVELOPMENT & FINANCE PRIVATE LIMITED |
09/09/2016 |
- |
- |
50000000.0 |
HOUSE NO. 8-2-293/82/2/208/A and 208/A/1M.L.A's COLONY, BANJARA HILLS, ROAD NO. 12HYDERABADTe500034IN |
|
25 |
G10817344 |
100047980 |
DCB BANK LIMITED |
24/08/2016 |
- |
- |
50000000.0 |
A-Set House, 7/56, Desh Bandhu Gupta RoadKarol BaghNew DelhiDL110005IN |
|
26 |
G10070779 |
100046251 |
MAS FINANCIAL SERVICES LIMITED |
29/07/2016 |
- |
- |
100000000.0 |
6 NARAYAN CHAMBERS GR FLR B/HPATANG HOTEL, ASHRAM ROADAHMEDABADGu380009IN |
|
27 |
G10070050 |
100046252 |
MAS FINANCIAL SERVICES LIMITED |
29/07/2016 |
- |
- |
100000000.0 |
6 NARAYAN CHAMBERS GR FLR B/HPATANG HOTEL, ASHRAM ROADAHMEDABADGu380009IN |
|
28 |
G02581320 |
100023718 |
MAS FINANCIAL SERVICES LIMITED |
29/03/2016 |
- |
- |
50000000.0 |
6 NARAYAN CHAMBERS GR FLR B/HPATANG HOTEL, ASHRAM ROADAHMEDABADGu000000IN |
|
29 |
G17385410 |
10618054 |
State Bank of India |
20/01/2016 |
30/09/2016 |
- |
500000000.0 |
SME Branch, Dharam Palace ComplexSector-18NoidaUP201301IN |
|
30 |
C77578250 |
10617052 |
AU FINANCIERS (INDIA) LIMITED |
04/01/2016 |
- |
- |
50000000.0 |
19-A DHULESHWAR GARDENJAIPURRJ302001IN |
STATEMENT OF
STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND SIX MONTHS ENDED 30TH
SEPTEMBER 2017
|
|
|
Particulars |
quarter ended |
quarter ended |
6 months ended |
|
|
|
|
30.09.2017 |
30.06.2017 |
30.09.2017 |
|
1 |
|
Income from
Operations |
|
|
|
|
|
|
Sales/Income from Operations (Gross) |
346.090 |
342.354 |
688.444 |
|
|
|
Other Income |
24.004 |
12.165 |
36.169 |
|
|
Total Income from
Operations (Net) |
370.094 |
354.519 |
724.613 |
|
|
2 |
Expenses |
|
|
|
|
|
|
a) |
Employee benefit expenses |
69.951 |
60.109 |
128.060 |
|
|
b) |
Finance Costs |
161.648 |
104.767 |
266.415 |
|
|
c) |
Other expenses |
54.285 |
37.892 |
92.177 |
|
|
d) |
Depreciation and amortization expense |
1.128 |
1.064 |
2.192 |
|
|
e) |
Provision for Non performing assets and Loan written off. |
5.901 |
307.779 |
313.680 |
|
|
Total Expenses |
290.912 |
511.611 |
602.523 |
|
|
|
|
|
|
|
|
|
9 |
Profit /(Loss)
before tax |
79.182 |
(157.092) |
(77.910) |
|
|
10 |
Tax Expense |
|
|
|
|
|
|
Current Tax |
(51.243) |
(51.243) |
0.000 |
|
|
|
Deferred Tax |
74.966 |
(108.305) |
(33.339) |
|
|
11 |
Net Profit /(Loss)
after tax |
55.459 |
(100.030) |
(44.571) |
|
|
12 |
Paid up equity share capital (Eq. shares of INR 10/- each) |
1636.140 |
1636.140 |
1636.140 |
|
|
13 |
Reserve excluding revaluation reserves |
|
|
|
|
|
14 |
|
Earnings per share (before/after extraordinary items) of INR 10/- each |
|
|
|
|
|
|
Basic & Diluted |
3.39 |
(6.11) |
(2.72) |
STATEMENT OF ASSETS ANS LIABILITIES AS ON 30TH SEPTEMBER
2017
|
SOURCES
OF FUNDS |
30.09.2015 |
|
|
(Half
Year ended) |
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
(1)Shareholders' Funds |
|
|
(a) Share Capital |
163.614 |
|
(b) Reserves & Surplus |
1956.602 |
|
(c) Money received against
share warrants |
0.000 |
|
|
|
|
(2) Share Application money
pending allotment |
0.000 |
|
Total
Shareholders’ Funds (1) + (2) |
2120.217 |
|
|
|
|
(3) Non-Current Liabilities |
|
|
(a) long-term borrowings |
3295.423 |
|
(b) Deferred tax liabilities
(Net) |
0.000 |
|
(c) Other long term
liabilities |
0.000 |
|
(d) long-term provisions |
128.115 |
|
Total
Non-current Liabilities (3) |
3423.538 |
|
|
|
|
(4) Current Liabilities |
|
|
(a) Short term borrowings |
50.329 |
|
(b) Trade payables |
4.366 |
|
(c) Other current liabilities |
1581.589 |
|
(d) Short-term provisions |
(10.891) |
|
Total
Current Liabilities (4) |
1625.393 |
|
|
|
|
TOTAL |
7169.148 |
|
|
|
|
II.
ASSETS |
|
|
(1) Non-current assets |
|
|
(a) Fixed Assets |
|
|
(i) Tangible assets |
17.372 |
|
(ii) Intangible Assets |
0.039 |
|
(iii) Capital work-in-progress |
0.000 |
|
(iv) Intangible assets under
development |
0.000 |
|
(b) Non-current Investments |
397.462 |
|
(c) Deferred tax assets (net) |
50.916 |
|
(d) Long-term Loan and Advances |
2579.888 |
|
(e) Other Non-current assets |
205.050 |
|
Total
Non-Current Assets |
3250.728 |
|
|
|
|
(2) Current assets |
|
|
(a) Current investments |
0.000 |
|
(b) Inventories |
0.000 |
|
(c) Trade receivables |
0.000 |
|
(d) Cash and cash equivalents |
291.083 |
|
(e) Short-term loans and
advances |
3588.095 |
|
(f) Other current assets |
39.242 |
|
Total
Current Assets |
3918.420 |
|
|
|
|
TOTAL |
7169.148 |
Note:
1. The above financial results have been reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on 14th November 2017 and are published in accordance with regulation 33 of SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015.
2. The company is engaged primarily in the business of financing and
accordingly there are no separate reportable segments as per Accounting
Standard 17 dealing with Segment reporting.
3. The company has provided for the cases where repayment has not been regular
post demonetization.
4. Previous period / year figures have been reviewed or reclassified to conform
to the current period / year's presentation.
FIXED ASSETS
- Plant and equipment
- Computer
- Furniture and fixtures
- 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 63.41 |
|
|
1 |
INR 87.17 |
|
Euro |
1 |
INR 77.44 |
INFORMATION DETAILS
|
Information
Gathered by : |
KMN |
|
|
|
|
Analysis Done by
: |
VRS |
|
|
|
|
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 |
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.