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MIRA INFORM REPORT
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Report No. : |
486216 |
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Report Date : |
18.01.2018 |
IDENTIFICATION DETAILS
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Name : |
LAURUS LABS LIMITED (w.e.f. 16.08.2016) |
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Formerly Known
As : |
LAURUS LABS PRIVATE LIMITED (w.e.f.21.02.2012) APTUIT LAURUS PRIVATE LIMITED (w.e.f.24.07.2007) APTUIT LAURUS LIMITED (w.e.f.19.07.2007) LAURUS LABS LIMITED (w.e.f.12.02.2007) LAURUS LABS PRIVATE LIMITED |
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Registered
Office : |
Plot No. 21, Jawaharlal Nehru Pharma City, Parawada,
Visakhapatnam-531021, Andhra Pradesh |
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Tel. No.: |
91-891-3061222 |
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Country : |
India |
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Financials (as
on) : |
31.03.2017 |
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Date of
Incorporation : |
19.09.2005 |
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Com. Reg. No.: |
01-047518 |
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Capital
Investment / Paid-up Capital : |
INR 1060.297 Million |
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CIN No.: [Company Identification
No.] |
L24239AP2005PLC047518 (New) U24239AP2005PTC047518 (Old) |
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IEC No.: |
0905017846 |
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GSTIN : |
Not Divulged |
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TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
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PAN No.: [Permanent Account No.] |
AABCL1170C |
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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 is engaged in the manufacture of Active Pharmaceuticals Ingredients (API) including intermediates, Generic Finished forms (FDF) and Contract Research services to cater to the needs of the global pharmaceutical industry. (Registered Activity) |
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No. of Employees
: |
2660 (Approximately) |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A++ |
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Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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Status : |
Excellent |
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Payment Behaviour : |
Regular |
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Litigation : |
Clear |
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Comments : |
Subject was incorporated in the year 2005. It is a
manufacturer of pharmaceutical products. The company got listed on December
19, 2016.
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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
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Country Name |
Previous Rating (30.06.2017) |
Current Rating (30.09.2017) |
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India |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
EXTERNAL AGENCY RATING
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Rating Agency Name |
CARE |
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Rating |
Long Term Borrowing =AA- |
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Rating Explanation |
High degree of safety and very low credit risk. |
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Date |
05.07.2017 |
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Rating Agency Name |
CARE |
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Rating |
Short Term Borrowing =A1+ |
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Rating Explanation |
Very strong degree of safety and carry lowest credit risk. |
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Date |
05.07.2017 |
RBI DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter in
the publicly available RBI Defaulters’ list.
EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS
Subject’s name is not enlisted as a defaulter
in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of
31-03-2016.
BIFR (Board for Industrial & Financial Reconstruction) LISTING
STATUS
Subject’s name is not listed as a Sick Unit in
the publicly available BIFR (Board for Industrial & Financial
Reconstruction) list as of 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
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Name : |
Mr. Sumanth |
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Designation : |
Not Divulged |
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Contact No.: |
91-9959855668 |
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Name : |
Mr. Babchand |
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Designation : |
Not Divulged |
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Contact No.: |
91-9652234629 |
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Date : |
15.01.2018 |
Management non-cooperative (Tel No.:-91-40-39804359)
LOCATIONS
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Registered Office : |
Plot No. 21, Jawaharlal Nehru Pharma City, Parawada, Visakhapatnam –
531021, Andhra Pradesh, India |
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Tel. No.: |
91-891-3061222 |
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Mobile No.: |
91-9959855668 (Mr. Sumanth) 91-9652234629 (Mr. Babchand) |
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Fax No.: |
91-891-3061270 |
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E-Mail : |
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Website : |
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Corporate Office : |
2nd Floor, Serene Chambers, Road # 7, Banjara Hills, Hyderabad – 500034, Telangana, India |
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Tel. No.: |
91-40-39804333/ 66594333 |
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Fax No.: |
91-40-39804320 |
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Research and Development : |
Plot No. DS1and DS2, IKP Knowledge Park, Turkapally, Shameerpet Mandal, District Ranga Reddy - 500078, Telangana, India |
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Tel. No.: |
91-891-3061222/6601222 |
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Fax No.: |
91-891-3061270 |
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Drug Substance
Facility/ Factory 1 : |
Plot No:21, JN Pharma City, Parawada, Visakhapatnam – 531021, Andhra Pradesh, India |
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Integrated Facility Factory 2 : |
Plot No. 19, 20, 21, APSEZ, Gurajapalem, Atchutapuram, Visakhapatnam - 531011, Telangana, India |
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Tel. No.: |
91-891-3072100 |
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Fax No.: |
91-891-3072102 |
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Drug Substance
Facility/ Factory 3 : |
Plot No. 18, Jawaharlal Nehru Pharma City, Parawada, Visakhapatnam - 531021, Andhra Pradesh, India |
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Tel. No.: |
91-891-3072500/ 6682500 |
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Fax No.: |
91-891-3072501 |
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Drug Substance
Facility/ Factory 4 : |
Plot No 25, Lalamkoduru, Atchutapuram, Visakhapatnam - 531011, Andhra Pradesh, India |
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Drug Substance
Facility/ Factory 5 : |
Plot No. 102 and 103, SEZ, Lemarthi, Parwada, Visakhapatnam - 531021, Andhra Pradesh, India |
DIRECTORS
As on 31.03.2017
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Name : |
Dr. Chava Satyanarayana |
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Designation : |
Whole-Time Director |
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Address : |
H.No.8-2-293/82/A/303, Plot No.303, Road No.25, Jubilee Hills, Hyderabad-500033, Telangana, India |
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Date of Birth/Age : |
10.03.1961 |
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Date of Appointment : |
21.01.2006 |
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DIN No.: |
00211921 |
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PAN No.: |
ABWPC2407Q |
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Name : |
Dr. Kalidindi Srihari Raju |
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Designation : |
Whole-Time Director |
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Address : |
Villa No.3, Aparna Orchids,, Izzatnagar, Kondapur, Hyderabad-500084, Telangana, India |
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Date of Birth/Age : |
01.07.1963 |
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Qualification : |
M Sc, Ph D |
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Date of Appointment : |
24.04.2006 |
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DIN No.: |
00982034 |
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PAN No.: |
ASTPK1009N |
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Name : |
Mr. Chereddi Chandrakanth |
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Designation : |
Whole-time Director |
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Address : |
Plot No.63, Road No.72, Prashasan Nagar, Jubilee Hills, Hyderabad – 500033, Telangana, India |
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Date of Appointment : |
11.08.2016 |
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DIN No.: |
06838798 |
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Name : |
Mr. Venkata Ravi Kumar Vantaram |
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Designation : |
Whole-Time Director |
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Address : |
Villa No 46, Lumbini Sln Springs Residency, Gachibowli, Hyderabad-500032, Telangana, India |
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Date of Birth/Age : |
01.07.1965 |
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Qualification : |
M Com, FCMA |
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Date of Appointment : |
30.11.2006 |
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DIN No.: |
01424180 |
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Name : |
Mr. Ramesh Subrahmanian |
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Designation : |
Director |
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Address : |
235, Arcadia Road, #06-07 Blk A, Arcadia Garden, Singapore 289843 Sg |
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Date of Appointment : |
09.08.2016 |
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DIN No.: |
02933019 |
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Name : |
Mr. Narendra Ostawal |
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Designation : |
Director |
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Address : |
G/601, Gundecha Gardens, Bombay Gas Compound, Lalbaug, Mumbai -400012,
Maharashtra, India |
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Date of Appointment : |
29.10.2014 |
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DIN No.: |
06530414 |
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Name : |
Ms. Aruna Rajendra Bhinge |
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Designation : |
Director |
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Address : |
3501, Tower 2, Planet Godrej, Keshav Khadye Road, Mumbai – 400011,
Maharashtra, India |
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Date of Appointment : |
16.08.2016 |
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DIN No.: |
07474950 |
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Name : |
Mr. Rajesh Koshy Chandy |
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Designation : |
Director |
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Address : |
5, Belgrave Mansions, Belgrave Gardens, London Nw8 0ra London Na Gb |
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Date of Appointment : |
27.07.2016 |
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DIN No.: |
07575240 |
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Name : |
Mr. Malempati Venugopala Rao |
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Designation : |
Director |
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Address : |
Plot No.1202, Road No.36, Jubilee Hills, Hyderabad-500033, Telangana, India |
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Date of Appointment : |
18.05.2017 |
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DIN No.: |
00012704 |
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Name : |
Mr. Ravindranath Kancherla |
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Designation : |
Director |
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Address : |
Plot No.303, Road No.25, Jubilee Hills, Hyderabad-500033, Telangana,
India |
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Date of Appointment : |
18.05.2017 |
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DIN No.: |
00117940 |
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Name : |
Mr. Chereddi Chandrakanth |
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Designation : |
Director |
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Address : |
Plot No.63, Road No.72, Prashahsan Nagar Jubilee Hills, Hyderabad-500033, Telangana, India |
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Date of Appointment : |
09.08.2016 |
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DIN No.: |
06838798 |
KEY EXECUTIVES
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Name : |
Mr. Venkata Ravi Kumar Vantaram |
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Designation : |
Chief Financial Officer |
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Address : |
Villa No 46, Lumbini SLN Springs Residency, Gachibowli, Hyderabad – 500032, Telangana, India |
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Date of Appointment : |
27.07.2016 |
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PAN No.: |
ACFPV4907L |
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Name : |
Gogireddy Venkateswar Reddy |
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Designation : |
Company Secretary |
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Address : |
42-669/3, Chandabagh, Moula-Ali, Hyderabad-500040, Telangana, India |
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Date of Appointment : |
House. 18.01.2016 |
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PAN No.: |
AEQPG1065F |
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Name : |
Dr. Chava Satyanarayana |
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Designation : |
Chief Executive Officer |
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Address : |
H.No.8-2-293/82/A/303, Plot No.303, Road No.25, Jubilee Hills, Hyderabad-500033, Telangana, India |
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Date of Appointment : |
27.07.2016 |
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DIN No.: |
06838798 |
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Name : |
Mr. Rajesh Kumar Dugar |
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Designation : |
Director |
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Address : |
31, Chitrakoot, Altamount Road, Mumbai-400026, Maharashtra, India |
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Date of Birth/Age : |
01.07.1969 |
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Date of Appointment : |
07.09.2012 |
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DIN No.: |
00307729 |
MAJOR SHAREHOLDERS
As on 31.12.2017
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Category of
shareholder |
Total nos. shares
held |
Shareholding as a %
of total no. of shares (calculated as per SCRR, 1957)As a % of |
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Promoter & Promoter Group |
32408204 |
30.57 |
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Public |
73621545 |
69.43 |
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Grand Total |
106029749 |
100.00 |
STATEMENT SHOWING SHAREHOLDING PATTERN OF THE PROMOTER AND
PROMOTER GROUP
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Category of
shareholder |
Total nos. shares
held |
Shareholding as a %
of total no. of shares (calculated as per SCRR, 1957) |
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A1) Indian |
0.00 |
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Individuals/Hindu Undivided Family |
32408204 |
30.57 |
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Satyanarayana Chava |
16781704 |
15.83 |
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Vantaram Venkata Ravi Kumar |
1600000 |
1.51 |
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Vijaya Durga Chintalapati |
40000 |
0.04 |
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Chava Naga Rani |
6240000 |
5.89 |
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Chunduru Venkatalakshman Rao |
2300000 |
2.17 |
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Krishnaveni Vasireddi |
40000 |
0.04 |
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Sekhar Babu Chunduru |
20000 |
0.02 |
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Vantaram Hymavathi |
40000 |
0.04 |
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Srihari Raju Kalidindi |
5200000 |
4.90 |
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Nagamani Thokala |
20000 |
0.02 |
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Jayapadma Chintalapati |
40000 |
0.04 |
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Kamala Kommana |
20000 |
0.02 |
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Narasimha Rao Suryadevara |
26500 |
0.02 |
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Rama Suryadevara |
40000 |
0.04 |
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Sub Total A1 |
32408204 |
30.57 |
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A2) Foreign |
0.00 |
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A=A1+A2 |
32408204 |
30.57 |
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 |
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B1) Institutions |
0.00 |
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Mutual Funds/ |
7944417 |
7.49 |
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Kotak Mahindra Balance Unit Scheme 99 |
3129628 |
2.95 |
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Sbi Magnum Taxgain Scheme |
4560789 |
4.30 |
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Alternate Investment Funds |
1287467 |
1.21 |
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Foreign Portfolio Investors |
11080358 |
10.45 |
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Nomura India Investment Fund Mother Fund |
2153451 |
2.03 |
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The Nomura Trust And Banking Co., Ltd As The Trustee Of Nomura India Stock Mother Fund |
1133182 |
1.07 |
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Goldman Sachs India Limited |
1432643 |
1.35 |
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Morgan Stanley Investment Funds Indian Equity Fund |
1092783 |
1.03 |
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Financial Institutions/ Banks |
35346 |
0.03 |
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Any Other (Specify) |
33307208 |
31.41 |
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Fil Capital Management (Mauritius) Limited |
12237612 |
11.54 |
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Bluewater Investment Limited |
20989596 |
19.80 |
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Sub Total B1 |
53654796 |
50.60 |
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B2) Central Government/ State Government(S)/ President Of India |
0.00 |
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B3) Non-Institutions |
0.00 |
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Individual Share Capital Upto INR 0.200 Million |
5264473 |
4.97 |
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Individual Share Capital In Excess Of INR 0.200 Million |
8597851 |
8.11 |
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Vijaya Lakshmi Yelavarthy |
2914313 |
2.75 |
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Nbfcs Registered With RBI |
193326 |
0.18 |
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Any Other (Specify) |
5911099 |
5.57 |
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Trusts |
827000 |
0.78 |
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NRI |
272020 |
0.26 |
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Clearing Members |
75968 |
0.07 |
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NRI – Non- Repat |
672308 |
0.63 |
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Bodies Corporate |
3435654 |
3.24 |
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HUF |
628149 |
0.59 |
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Sub Total B3 |
19966749 |
18.83 |
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B=B1+B2+B3 |
73621545 |
69.43 |
BUSINESS DETAILS
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Line of Business : |
Subject is engaged in the manufacture of Active Pharmaceuticals Ingredients (API) including intermediates, Generic Finished forms (FDF) and Contract Research services to cater to the needs of the global pharmaceutical industry. (Registered Activity) |
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Products / Services
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Brand Names : |
Not Available |
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Agencies Held : |
Not Available |
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Exports : |
Not Divulged |
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Imports : |
Not Divulged |
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Terms : |
Not Divulged |
PRODUCTION STATUS – (NOT AVAILABLE)
GENERAL INFORMATION
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Suppliers : |
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Customers : |
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No. of Employees : |
2660 (Approximately) |
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Bankers : |
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Facilities : |
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Auditors : |
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Name : |
S.R. Batliboi and Associates Chartered Accountants |
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Address : |
Plot No 18, Oval Office, ILabs Centre,
Software Units Layout, Hitee City Madhapur, Hyderabad-50008, Telangana, India |
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Income-tax
PAN of auditor or auditor's firm : |
AABFS3421N |
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Memberships : |
Not Available |
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Collaborators : |
Not Available |
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Subsidiaries : |
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Company which exercises significant influence : |
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Company where control exists : |
Laurus Info Systems (India) Private Limited (CIN No - U72300TG2014PTC092281) |
CAPITAL STRUCTURE
As on 12.07.2017
Authorised Capital : INR 1110.000 Million
Issued, Subscribed & Paid-up Capital : INR 1060.297
Million
As on 31.03.2017
Authorised Capital :
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No. of Shares |
Type |
Value |
Amount |
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|
111000000 |
Equity Shares |
INR 10/- each |
INR 1110.000 Million |
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Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
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|
105756249 |
Equity Shares |
INR 10/- each |
INR 1057.562 Million |
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Reconciliation of the
shares outstanding at the beginning and at the end of the reporting period
|
Particulars |
March 31, 2017 |
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No. |
INR In Million |
|
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Equity
Shares of INR 10 Each, Fully paid up |
|
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Balance as per last financial statements |
15767255 |
157.670 |
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Issued during the year - ESOP |
118500 |
1.190 |
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Converted from preference shares to equity shares |
8889846 |
88.900 |
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Issued during the year - Bonus shares |
73971303 |
739.710 |
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Issue of equity shares - IPO |
7009345 |
70.090 |
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Outstanding at the end of the year |
105756249 |
1057.560 |
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 at the general meetings of the Company. For liquidation terms and preferential rights refer note 12.3a. The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of shareholders in the ensuing Annual General Meeting. For the year ended March 31, 2017, the amount of dividend per share declared as distribution to equity shareholders was INR 1.50 (March 31, 2016: INR 2.00 (not adjusted for bonus issue) and April 01, 2015: INR Nil).
RIGHTS ATTACHED TO PREFERENCE SHARES
0.001% Compulsorily Convertible Participatory Cumulative Preference
Shares - Series A of ` 10/- each fully paid up
During the year ended March 31, 2008, the Company issued 6,800,000 CCPCPS of INR 10/- each fully paid at a premium of INR 140 per share and also during the year ended March 31, 2009, 88,690 CCPCPS had been issued at par as part of the scheme of amalgamation of Aptuit Informatics India Private Limited with the Company. Each CCPCPS at the option of the holder is convertible into one equity share or will automatically be converted into one equity share on the twentieth anniversary of the initial issuance. For Liquidation terms and preferential rights refer note 12.3a. During the year ended March 31, 2012, the preference share holder converted 4,629,630 CCPCPS into equity shares and the balance of 2,259,060 CCPCPS was renamed as “Series A Preference Shares””. Each “”Series A Preference Shareholder”” is entitled to cumulative preference dividend equal to 0.001% per financial year and to exercise one vote per one share at the general meetings of the Company.
During the year ended March 31, 2017, all the 2,259,060 Series A Preference Shares have been converted into equity shares in the ratio of 1:1. For the year ended March 31, 2017, the amount of dividend per share declared as distribution to Series A preference shareholders was INR Nil (March 31, 2016: INR 2.00 (including cumulative preference dividend) (not adjusted for bonus issue) and April 01, 2015: INR Nil).
0.001% Compulsorily Convertible Participatory Cumulative Preference
shares - Series B of ` 243/- each fully paid up
For the year ended March 31, 2012, the Company had issued Series B Preference Shares of INR 243 each fully paid up aggregating 2,477,387 shares to FIL Capital Management (Mauritius) Limited, Fidelity India Principals and Dr. Satyanarayana Chava(Promoter). Each Series B Preference Share at the option of the holder is convertible into one equity share or will automatically be converted into one equity share after completion of 19 years and 365 days from the date of issue. Each Series B Preference Shareholder is entitled to cumulative preference dividend equal to 0.001% per financial year and to exercise one vote per share at the general meetings of the Company.
During the year ended March 31, 2017, all the 2,477,387 Series B Preference Shares have been converted into equity shares in the ratio of 1:1
For the year ended March 31, 2017, the amount of dividend per share declared as distribution to Series B preference shareholders was INR Nil (March 31, 2016: INR 2.00 (including cumulative preference dividend) (not adjusted for bonus issue) and April 01, 2015: INR Nil).
0.001% Compulsorily Convertible Participatory Cumulative Preference
Shares - Series C of ` 10/- each fully paid up
During the year ended March 31, 2015, the Company had issued Series C Preference Shares of INR 10/- each fully paid up aggregating 4,153,399 shares to Bluewater Investment Limited (“”Blue Water””). Each Series C Preference Share at the option of the holder is convertible into one equity share or will automatically be converted into one equity share after completion of 19 years and 365 days from the date of issue. Each Series C Preference Shareholder is entitled to cumulative preference dividend equal to 0.001% per financial year and to exercise one vote per share at the general meetings of the Company. For liquidation terms and preferential rights refer note 12.3a. During the year ended March 31, 2017, all the 4,153,399 Series C Preference Shares have been converted into equity shares in the ratio of 1:1.
For the year ended March 31, 2017, the amount of dividend per share declared as distribution to Series C preference shareholders was INR Nil (March 31, 2016: INR 2.00 (including cumulative preference dividend) (not adjusted for bonus issue) and April 01, 2015: INR Nil).
Liquidation terms and preferential rights
In case of winding up or liquidation, if the liquidation proceeds are adequate to cater to the amount of investment of Bluewater, FIL Capital Management (Mauritius) Limited and Fidelity India Principals as increased by an Internal Rate of Return (IRR) of 18% per annum computed thereon from the date of investment by each of them, then the liquidation proceeds will be shared equally among all the shareholders including preference shareholders proportionate to their holdings.
In the case of winding up or liquidation, if the liquidation proceeds are not adequate to cater to the amount of investment of Bluewater, FIL Capital Management (Mauritius) Limited and Fidelity India Principals, then such proceeds shall be distributed amongst Bluewater, FIL Capital Management (Mauritius) Limited, Fidelity India Principals and Promoter pari passu in proportion to Bluewater Investment Amount, FIL Capital Management (Mauritius) Limited Investment amount, Fidelity India Principals Investment amount and Promoter Investment Amount of Series B Preference Shares respectively. Of the remaining proceeds if any, the preference is defined as under:
- Contracted investment of Series A preference shareholders
- Promoter contracted investment amount of 465,000 equity shares
Other shareholders including promoter contracted investment amount of equity shares
- Balance distributed to all shareholders in proportion to their shareholding.
However, with effect from December 19, 2016, upon equity shares of the Company becoming listed on the stock exchanges, the liquidation terms are as follows:
(a) If the company shall be wound up, the Liquidator may, with the sanction of a special resolution of the company and any other sanction required by the Act divide amongst the shareholders, in specie or kind the whole or any part of the assets of the company, whether they shall consist of property of the same kind or not.
(b) For the purpose aforesaid, the Liquidator may set such value as he deems fair upon any property to be divided as aforesaid and may determine how such division shall be carried out as between the shareholders or different classes of shareholders.
Details of
Shareholders holding more than 5% shares of the Company:
|
PARTICULARS |
March 31, 2017 |
|
|
% Holding |
No. |
|
|
Equity
Shares of INR 10/- each Held By |
|
|
|
Bluewater Investment Limited |
19.85% |
20989596 |
|
FIL Capital Management (Mauritius) Limited |
11.57% |
12237612 |
|
Dr. C. Satyanarayana |
15.87% |
16781704 |
|
SBI Magnum Multiplier Fund |
7.02% |
7427959 |
|
Mrs. C. Naga Rani |
5.90% |
6240000 |
|
Dr. Raju S Kalidindi |
4.92% |
5200000 |
Details of Shares Reserved for issue under Options
For details of shares reserved for issue under Employee Stock Options Scheme plan of the Company.
Aggregate number of bonus shares issued, shares issued for
consideration other than cash during the period of five years immediately
preceding the reporting date:
|
Particulars |
March 31, 2017 |
|
No. of equity shares
allotted as fully paid bonus shares by capitalization of securities premium |
73971303 |
|
|
|
FINANCIAL DATA
[all figures are
INR Million]
ABRIDGED
BALANCE SHEET
|
SOURCES
OF FUNDS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
1057.560 |
823.800 |
821.250 |
|
(b) Reserves & Surplus |
12524.270 |
7899.940 |
6470.950 |
|
(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 |
13581.830 |
8723.740 |
7292.200 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
1002.100 |
4597.400 |
3036.770 |
|
(b) Deferred tax liabilities
(Net) |
0.000 |
0.000 |
113.000 |
|
(c) Other long term
liabilities |
630.720 |
164.660 |
446.580 |
|
(d) long-term provisions |
87.380 |
67.710 |
51.260 |
|
Total
Non-current Liabilities |
1720.200 |
4829.770 |
3647.610 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
6150.580 |
4682.190 |
4316.350 |
|
(b) Trade payables |
2505.950 |
2507.600 |
2300.740 |
|
(c) Other current liabilities |
1946.900 |
1468.440 |
1331.440 |
|
(d) Short-term provisions |
99.270 |
76.520 |
92.040 |
|
Total
Current Liabilities |
10702.700 |
8734.750 |
8040.570 |
|
|
|
|
|
|
TOTAL |
26004.730 |
22288.260 |
18980.380 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
11295.590 |
10075.650 |
7944.140 |
|
(ii) Intangible Assets |
72.420 |
63.880 |
61.150 |
|
(iii) Capital work-in-progress |
1432.560 |
696.000 |
1072.540 |
|
(iv) Intangible assets under
development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current Investments |
27.300 |
0.000 |
191.110 |
|
(c) Deferred tax assets (net) |
634.610 |
548.700 |
0.000 |
|
(d) Long-term Loan and Advances |
98.160 |
67.640 |
955.180 |
|
(e) Other Non-current assets |
1025.220 |
866.460 |
139.620 |
|
Total
Non-Current Assets |
14585.860 |
12318.330 |
10363.740 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
0.000 |
0.000 |
0.000 |
|
(b) Inventories |
5009.280 |
4870.930 |
4754.960 |
|
(c) Trade receivables |
5619.560 |
4437.010 |
2850.450 |
|
(d) Cash and cash equivalents |
24.170 |
249.220 |
555.640 |
|
(e) Short-term loans and
advances |
32.770 |
7.160 |
309.360 |
|
(f) Other current assets |
733.090 |
405.610 |
146.230 |
|
Total
Current Assets |
11418.870 |
9969.930 |
8616.640 |
|
|
|
|
|
|
TOTAL |
26004.730 |
22288.260 |
18980.380 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
SALES |
|
|
|
|
|
Income |
19183.170 |
18080.500 |
13263.130 |
|
|
Other Income |
304.590 |
19.120 |
340.670 |
|
|
TOTAL
|
19487.760 |
18099.620 |
13603.800 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
10156.830 |
10145.060 |
9066.230 |
|
|
Purchases of Stock-in-Trade |
129.600 |
149.500 |
61.850 |
|
|
Changes in inventories of finished
goods, work-in-progress and Stock-in-Trade |
(360.790) |
(250.780) |
(844.530) |
|
|
Employees benefits expense |
2176.880 |
1699.860 |
1294.700 |
|
|
Other expenses |
2660.630 |
2282.400 |
1232.240 |
|
|
Excise duty on sale of goods |
263.940 |
334.080 |
398.520 |
|
|
TOTAL |
15027.090 |
14360.120 |
11209.010 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION |
4460.670 |
3739.500 |
2394.790 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
954.880 |
1086.070 |
1061.570 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
3505.790 |
2653.430 |
1333.220 |
|
|
|
|
|
|
|
Less |
DEPRECIATION/
AMORTISATION |
1029.530 |
857.880 |
612.830 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX |
2476.260 |
1795.550 |
720.390 |
|
|
|
|
|
|
|
Less |
TAX |
450.610 |
349.030 |
-15.260 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) AFTER TAX |
2025.650 |
1446.520 |
735.650 |
|
|
|
|
|
|
|
|
EARNINGS
IN FOREIGN CURRENCY |
6745.000 |
0.000 |
0.000 |
|
|
|
|
|
|
|
|
IMPORTS |
|
|
|
|
|
Raw Materials |
0.000 |
0.000 |
7539.280 |
|
|
Components and Stores parts |
0.000 |
0.000 |
7.740 |
|
|
Capital Goods |
0.000 |
0.000 |
404.570 |
|
|
TOTAL
IMPORTS |
0.000 |
0.000 |
7951.590 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (INR) |
22.14 |
23.12 |
47.630 |
CURRENT MATURITIES
OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Maturities of Long term debt |
730.140 |
865.510 |
849.060 |
|
Cash generated from operations |
3701.650 |
2304.720 |
(420.440) |
|
Net cash flows from (used in) operating activity |
3200.590 |
1971.690 |
(588.620) |
QUARTERLY
RESULTS
|
Particulars |
|
(Unaudited) Quarter Ended
30.06.2017 |
(Unaudited) Quarter Ended
30.09.2017 |
|
|
|
|
|
|
Net Sales |
|
4854.920 |
5334.810 |
|
Total Expenditure |
|
3880.760 |
4199.310 |
|
PBIDT (Excl OI) |
|
974.160 |
1135.500 |
|
Other Income |
|
74.380 |
65.880 |
|
Operating Profit |
|
1048.540 |
1201.380 |
|
Interest |
|
177.450 |
182.750 |
|
Exceptional Items |
|
NA |
NA |
|
PBDT |
|
871.090 |
1018.630 |
|
Depreciation |
|
281.620 |
283.730 |
|
Profit Before Tax |
|
589.470 |
734.900 |
|
Tax |
|
163.040 |
207.280 |
|
Provisions and
contingencies |
|
NA |
NA |
|
Profit After Tax |
|
426.430 |
527.620 |
|
Extraordinary Items |
|
NA |
NA |
|
Prior Period Expenses |
|
NA |
NA |
|
Other Adjustments |
|
NA |
NA |
|
Net Profit |
|
426.430 |
527.620 |
KEY
RATIOS
EFFICIENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Average Collection Days (Sundry Debtors / Income * 365 Days) |
106.92 |
89.57 |
78.44 |
|
|
|
|
|
|
Account Receivables Turnover (Income / Sundry
Debtors) |
3.41 |
4.07 |
4.65 |
|
|
|
|
|
|
Average Payment Days (Sundry Creditors
/ Purchases * 365 Days) |
88.92 |
88.91 |
92.00 |
|
|
|
|
|
|
Inventory Turnover (Operating Income
/ Inventories) |
0.89 |
0.77 |
0.50 |
|
|
|
|
|
|
Asset Turnover (Operating Income
/ Net Fixed Assets) |
0.35 |
0.35 |
0.26 |
LEVERAGE RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Debt Ratio ((Borrowing + Current Liabilities) / Total
Assets) |
0.48 |
0.64 |
0.63 |
|
|
|
|
|
|
Debt Equity Ratio (Total Liability
/ Networth) |
0.58 |
1.16 |
1.12 |
|
|
|
|
|
|
Current Liabilities to Networth (Current
Liabilities / Net Worth) |
0.79 |
1.00 |
1.10 |
|
|
|
|
|
|
Fixed Assets to Networth (Net Fixed Assets
/ Networth) |
0.94 |
1.24 |
1.24 |
|
|
|
|
|
|
Interest Coverage Ratio (PBIT / Financial
Charges) |
4.67 |
3.44 |
2.26 |
PROFITABILITY RATIOS
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Net Profit Margin ((PAT / Sales) *
100) |
% |
10.56 |
8.00 |
5.55 |
|
|
|
|
|
|
|
Return on Total Assets ((PAT / Total
Assets) * 100) |
% |
7.79 |
6.49 |
3.88 |
|
|
|
|
|
|
|
Return on Investment (ROI) ((PAT / Networth)
* 100) |
% |
14.91 |
16.58 |
10.09 |
SOLVENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Ratio (Current Assets / Current Liabilities) |
1.07 |
1.14 |
1.07 |
|
|
|
|
|
|
Quick Ratio ((Current Assets
– Inventories) / Current Liabilities) |
0.60 |
0.58 |
0.48 |
|
|
|
|
|
|
G-Score Ratio Financial (Networth / Total
Assets) |
0.52 |
0.39 |
0.38 |
|
|
|
|
|
|
G-Score Ratio Debt (Debts / Equity
Capital) |
7.45 |
12.32 |
9.99 |
|
|
|
|
|
|
G-Score Ratio Liquidity (Total Current
Assets / Total Current Liabilities) |
1.07 |
1.14 |
1.07 |
Total Liability = Short-term Debt + Long-term
Debt + Current Maturities of Long-term debts
STOCK
PRICES
|
Face Value |
INR 10.00/- |
|
Market Value |
INR 543.20/- |
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 |
821.250 |
823.800 |
1057.560 |
|
Reserves & Surplus |
6470.950 |
7899.940 |
12524.270 |
|
Money received against share
warrants |
0.000 |
0.000 |
0.000 |
|
Share Application money pending allotment |
0.000 |
0.000 |
0.000 |
|
Net
worth |
7292.200 |
8723.740 |
13581.830 |
|
|
|
|
|
|
long-term borrowings |
3036.770 |
4597.400 |
1002.100 |
|
Short term borrowings |
4316.350 |
4682.190 |
6150.580 |
|
Current maturities of
long-term debts |
849.060 |
865.510 |
730.140 |
|
Total
borrowings |
8202.180 |
10145.100 |
7882.820 |
|
Debt/Equity
ratio |
1.125 |
1.163 |
0.580 |
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 |
13263.130 |
18080.500 |
19183.170 |
|
|
|
36.322 |
6.099 |
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 |
13263.130 |
18080.500 |
19183.170 |
|
Profit |
735.650 |
1446.520 |
2025.650 |
|
|
5.55% |
8.00% |
10.56% |
ABRIDGED
BALANCE SHEET (CONSOLIDATED)
|
SOURCES
OF FUNDS |
|
31.03.2017 |
31.03.2016 |
|
|
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
1057.560 |
823.800 |
|
(b) Reserves & Surplus |
|
12246.920 |
7744.180 |
|
(c) Money received against
share warrants |
|
0.000 |
0.000 |
|
|
|
|
|
|
(2) Share Application money pending
allotment |
|
0.000 |
0.000 |
|
Total
Shareholders’ Funds |
|
13304.480 |
8567.980 |
|
|
|
|
|
|
(3) Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
|
1245.620 |
4597.400 |
|
(b) Deferred tax liabilities
(Net) |
|
0.000 |
0.000 |
|
(c) Other long term
liabilities |
|
630.720 |
164.660 |
|
(d) long-term provisions |
|
91.720 |
67.710 |
|
Total
Non-current Liabilities |
|
1968.060 |
4829.770 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
|
6441.710 |
4814.190 |
|
(b) Trade payables |
|
2630.990 |
2476.120 |
|
(c) Other current liabilities |
|
2087.740 |
1470.660 |
|
(d) Short-term provisions |
|
101.220 |
76.520 |
|
Total
Current Liabilities |
|
11261.660 |
8837.490 |
|
|
|
|
|
|
TOTAL |
|
26534.200 |
22235.240 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
|
12123.430 |
10146.390 |
|
(ii) Intangible Assets |
|
175.920 |
63.880 |
|
(iii) Capital work-in-progress |
|
1432.560 |
696.000 |
|
(iv) Intangible assets under
development |
|
0.000 |
0.000 |
|
(b) Non-current Investments |
|
34.050 |
0.000 |
|
(c) Deferred tax assets (net) |
|
698.860 |
548.720 |
|
(d) Long-term Loan and Advances |
|
109.740 |
77.130 |
|
(e) Other Non-current assets |
|
561.450 |
675.790 |
|
Total
Non-Current Assets |
|
15136.010 |
12207.910 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
|
0.000 |
0.000 |
|
(b) Inventories |
|
5090.460 |
4870.930 |
|
(c) Trade receivables |
|
5676.050 |
4448.570 |
|
(d) Cash and cash equivalents |
|
40.910 |
287.740 |
|
(e) Short-term loans and
advances |
|
32.770 |
5.830 |
|
(f) Other current assets |
|
558.000 |
414.260 |
|
Total
Current Assets |
|
11398.190 |
10027.330 |
|
|
|
|
|
|
TOTAL |
|
26534.200 |
22235.240 |
PROFIT
& LOSS ACCOUNT (CONSOLIDATED)
|
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
|
|
SALES |
|
|
|
|
|
Income |
|
19315.490 |
18109.860 |
|
|
Other Income |
|
319.330 |
19.260 |
|
|
TOTAL
|
|
19634.820 |
18129.120 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Cost of Materials Consumed |
|
10187.050 |
10182.880 |
|
|
Purchases of Stock-in-Trade |
|
129.600 |
149.500 |
|
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
|
(349.000) |
(250.780) |
|
|
Employees benefits expense |
|
2462.310 |
1885.170 |
|
|
Other expenses |
|
2540.160 |
2187.030 |
|
|
Excise duty on sale of goods |
|
269.020 |
334.080 |
|
|
TOTAL |
|
15239.140 |
14487.880 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE INTEREST, TAX,
DEPRECIATION AND AMORTISATION |
|
4395.680 |
3641.240 |
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
|
983.910 |
1086.750 |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
|
3411.770 |
2554.490 |
|
|
|
|
|
|
|
Less |
DEPRECIATION/
AMORTISATION |
|
1059.820 |
864.090 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX |
|
2351.950 |
1690.400 |
|
|
|
|
|
|
|
Less |
TAX |
|
438.640 |
349.030 |
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) |
|
1913.310 |
1341.370 |
|
|
|
|
|
|
|
|
Share
of loss of an associates |
|
(10.550) |
(4.020) |
|
|
|
|
|
|
|
|
PROFIT
/ (LOSS) FOR THE YEAR |
|
1902.760 |
1337.350 |
|
|
|
|
|
|
|
|
Earnings
/ (Loss) Per Share (INR) |
|
20.78 |
21.37 |
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 |
Yes |
|
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 |
Yes |
|
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 |
No |
|
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 |
CORPORATE INFORMATION
The Company is a public company domiciled in India and is
incorporated under the provisions of the Companies Act applicable in India. The
Company’s shares are listed on two recognised stock exchanges in India. The
registered office of the company is located at Plot no. 21, Jawaharlal Nehru
Pharma city, Parawada, Vishakapatnam, Andhra Pradesh, India - 531201. The Group
is principally engaged in offering a broad and integrated portfolio of Active
Pharmaceuticals Ingredients (API) including intermediates, Generic Finished
dosage forms (FDF) and Contract Research services to cater to the needs of the
global pharmaceutical industry. Information on the Group’s structure is
provided in Note 39. Information on other related party relationships of the
Group is provided in Note 33. The consolidated financial statements were
authorised for issue in accordance with a resolution of the directors on May
18, 2017
COMPANY’S AFFAIRS:
Operations:
During the year the Company achieved the following:
Growth of 6.1% in income and 19.29% in Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA). Expansion of R&D Centre at Hyderabad is completed.
Unit 5 (dedicated manufacturing facility for Aspen) was inaugurated and operational from November 2016.
Initiated ARV API supply into the European market.
USFDA and WHO-Geneva Inspections completed successfully at Unit-2.
Under Profit sharing arrangement with Natco for Hepatitis-C Segment, Natco launched Velpatasvir and Sofosbuvir combination in Nepal and launched in India in May 2017.
Partnering with Dr. Reddy’s for development and marketing of several anti-retroviral formulations on profit-and cost sharing basis
Signed manufacturing and supply agreement for Oncology NCE for clinical phase and commercial supplies.
Unit 4 for API/Intermediate manufacturing facility is under construction.
Filed 3 ANDAs with USFDA and one dossier with WHOGeneva
Outlook:
Business prospects will remain positive because of the growing global demand for generics and opportunities provided by expiry of patents in developed markets.
Various business aspects including market conditions,
business opportunities, challenges etc. have been discussed at length in the
Management’s Discussion and Analysis (MDA), which forms part of this Annual
Report.
MANAGEMENT DISCUSSION
AND ANALYSIS
ECONOMIC OVERVIEW
Global Economy
The global economy gained momentum in the fourth quarter of 2016 from a rather lacklustre performance in the beginning of the year. Encouragingly, the impetus is expected to continue. Global economic growth is likely to strengthen from an estimated 3.1% in 2016 to 3.5% in 2017. The primary reasons for this growth, include buoyant financial markets and a long-awaited cyclical recovery in manufacturing.
The impact on global economic growth and business performance has been mixed so far. The performance of emerging and developing economies, except India has been rather challenging in 2016. With persistent structural shifts occurring in the global economy, emerging market and developing economies may have to reorient and recalibrate their strategies for future growth. However, the considerable income gaps in these economies vis-à-vis their advanced counterparts suggest further room for catch-up. Such a scenario will enable these economies to sustain relatively strong potential growth over the medium term.
China, the world’s second largest economy, is projected to grow by 6.7% in 2017. The major factors comprise: strong fiscal support provided by the government, loose monetary policy, and a booming property market. The currencies of advanced commodity exporters have also strengthened, reflecting the firming up of commodity prices, whereas the euro and especially the Japanese yen have weakened.
Outlook
Global economic activity is stabilising, but legacy challenges remain. The momentum can only be sustained if policymakers implement the right set of policies and avoid missteps.
For many economies, continued demand support and
well-targeted structural reforms to lift supply potential and broaden economic
opportunities across the skills spectrum remain the primary objectives. The
precise combination of priorities differ across individual economies, depending
on their cyclical conditions, structural challenges, and needs for enhancing
resilience.
Indian Economy
India’s GDP for 2017 is expected to touch 7.1%, demonstrating the fact that India’s economic fundamentals continue to be strong. The year 2017 was marked by a variety of institutional reforms such as the implementation of the Insolvency and Bankruptcy Code, creation of Monetary Policy Committee, redesigning of the FRBM framework, passage of GST, and finally, the policy thrust towards a less-cash formal economy. The National Health Policy 2017 is also a significant milestone in the history of public health in the country.
The Policy recommends prioritising the role of the Government in shaping health systems in all its dimensions. The country’s economic fundamentals (low fiscal and current account deficit, moderate inflation, and manageable trade deficit) and consistent thrust on infrastructure and reforms will create more opportunities for businesses and employment.
Outlook
India’s economic growth is expected to accelerate, backed by improved investor confidence, and better policy reforms. The Government’s continuing fiscal consolidation, and gradual improvement in rural demand are expected to drive growth, going forward.
The country’s growth rate is likely to touch 7.4% in 2018, driven by a rebound in consumption demand post demonetisation. In addition, long-term consumption growth will be driven by major factors: government’s impetus towards reforms across all sectors of the economy; low interest rates; benign inflation; favourable demographics (half of the population is below the age of 35), and an expanding addressable market size (India now has 50 large consumption hubs).
PHARMACEUTICAL
INDUSTRY
Global
The global spending on medicines is likely to reach US$ 1.5 trillion by 2021, up 33% from 2016 levels, but down from recent high growth rates in 2014 and 2015 (Source: Quintiles IMS, Outlook for Global Medicines Through 2021: Balancing Cost and Value). The medicine spending is expected to grow by 4-7% compound annual growth rate (CAGR) during the next five years, down from the nearly 9% growth level seen in 2014 and 2015.
The short-term rise in growth in 2014 and 2015 was driven by new medicines in hepatitis and cancer. These factors will have a reduced impact through 2021. The total volume of medicines consumed globally is likely to increase by about 3% annually through 2021, only modestly faster than population and demographic shifts. Issues of pricing, market-access pressures, lower volume growth in emerging markets, and further generic drug movement will contribute to low level of growth.
The total global spend for pharmaceuticals through 2021 will increase by US$ 367 billion on a constantdollar basis. Most global spending growth, particularly in developed markets, will be driven by innovations in oncology, autoimmune, and diabetes treatments. The US will continue as the world’s largest pharmaceutical market and pharmerging markets will make up nine of the top 20 markets. The country will account for 53% of expected growth over the next five years, while China will continue as the second largest market, a position it has held since 2012, contributing 12% of the growth.
Developed market spending growth will be determined by original brands, while pharmerging markets will continue to be powered by non-original products that make up an average 91% of pharmerging market volume and 78% of spending. Specialty medicines are projected to increase their share particularly in developed markets.
The share of specialty medicines in global spending has
risen from 20% 10 years ago to 30% in 2016 and to 35% by 2021. This is likely
to approach half of total spending in the US and European markets, according to
a study.
COMPANY OVERVIEW
Laurus Labs Limited is a leading research and development (R&D) driven pharmaceutical company in India. It enjoys leadership position in generic active pharmaceutical ingredients (APIs) for select, high-growth antiretrovirals (ARVs), Hepatitis C and Oncology. The Company also manufactures APIs in other therapeutic areas, such as anti-asthma, ophthalmology, anti-diabetics, cardiovascular, proton pump inhibitors (PPIs), among others.
The Company currently operates four manufacturing facilities in Visakhapatnam, Andhra Pradesh. Three of these facilities manufacture APIs and ingredients, while the fourth facility produces Finished Dosage Formulations (FDFs) and one API. The Company has expanded its R&D centre in Hyderabad and is setting up another in Visakhapatnam. The Company commenced commercial operations at Unit05 for steroidal intermediates and hormones in November 2016. Laurus is also setting up additional manufacturing facilities for APIs, intermediates, and ingredients. It is expected to be operational by December 2017.
Business Segments
1. Generics API business comprises the development, manufacture and sale of APIs and advanced intermediates
2. Generics FDF business comprises the development and manufacture of oral solid formulations
3. Synthesis business includes contract development and
manufacturing services for global pharmaceutical companies 4. Ingredients
business comprises the manufacture and sale of specialty ingredients for use in
the nutraceutical and cosmeceutical sectors
UNSECURED LOAN
|
PARTICULARS |
31.03.2017 (INR
in Million) |
31.03.2016 (INR
in Million) |
|
Long-term
Borrowings |
|
|
|
Foreign currency loans from banks |
0.000 |
1061.330 |
|
Total |
0.000 |
1061.330 |
INDEX
OF CHARGES
|
SNo |
SRN |
Charge Id |
Charge Holder Name |
Date of Creation |
Date of
Modification |
Date of
Satisfaction |
Amount |
Address |
|
1 |
G53644001 |
100123195 |
HDFC BANK LIMITED |
23/08/2017 |
- |
- |
1000000000.0 |
HDFC Bank House, Senapati Bapat Marg, Lower Parel (West), Mumbai MH400013IN |
|
2 |
G32367104 |
10625238 |
The Hongkong and Shanghai Banking Corporation Limited |
10/03/2016 |
15/12/2016 |
- |
500000000.0 |
6-3-1107 & 1108, Raj Bhavan Road Somaji Guda Hyderabad TG500082IN |
|
3 |
C46966628 |
10555574 |
THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED |
19/03/2015 |
- |
- |
20450000.0 |
6-3-1107 & 1108, Raj Bhavan Road Somaji Guda Hyderabad TG 500082IN |
|
4 |
G52578168 |
10522636 |
State Bank of India |
17/09/2014 |
24/08/2017 |
- |
10132000000.0 |
Overseas Branch, Mid Corporate Group3rd Floor, Rajala Centre, Road No.36, Jubilee Hill HyderabadTG500078IN |
|
5 |
C80425721 |
10074320 |
STATE BANK OF INDIA |
22/10/2007 |
18/02/2016 |
- |
1186500000.0 |
OVERSEAS BRANCH 2ND FLOOR RAJALA CENTRE ROAD NO.36 JUBILEE HILLS HYDERABAD TG500033IN |
|
6 |
G53352605 |
10369823 |
Bank of Bahrain & Kuwait B.S.C |
21/07/2012 |
21/08/2015 |
14/09/2017 |
284000000.0 |
43, Government Avenue, P O Box 597, Manama NA597BH |
|
7 |
G44305597 |
10449850 |
ICICI BANK LIMITED |
06/09/2013 |
- |
18/05/2017 |
225300000.0 |
LANDMARKRACE COURCE CIRCLEALKAPURIBARODAGJ390015IN |
|
8 |
G33086190 |
10468024 |
Export-Import Bank of India |
16/12/2013 |
21/08/2015 |
09/01/2017 |
490000000.0 |
Centre One BuildingFloor 21, World Trade Centre Complex, Cuffe ParadeMH400005IN |
|
9 |
G33086257 |
10406036 |
Export-Import Bank of India |
30/01/2013 |
21/08/2015 |
09/01/2017 |
1000000000.0 |
Centre One BuildingFloor 21, World Trade Centre Complex,Cuffe ParadeMH400005IN |
|
10 |
G32924300 |
10557467 |
Punjab National Bank |
31/12/2014 |
21/08/2015 |
26/12/2016 |
1450000000.0 |
4-1-427, AGM's OfficeBank StreetHyderabadTG500001IN |
STATEMENT OF
STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE HALF YEAR AND QUARTER ENDED
30.09.2017
|
PARTICULARS |
QUARTER ENDED |
HALF YEAR ENDED 30.09.2017 |
|
|
30.09.2017 Unaudited |
30.06.2017 Unaudited |
||
|
|
|
|
|
|
REVENUE FROM OPERATIONS |
|
|
|
|
Revenue from operations |
5334.810 |
4854.920 |
10189.730 |
|
Other Income |
65.880 |
74.380 |
140.260 |
|
Total Income |
5400.690 |
4929.300 |
10329.990 |
|
EXPENSES |
|
|
|
|
Cost of Materials Consumed |
3096.800 |
2290.780 |
5387.580 |
|
Purchases of Stock-in-Trade |
77.990 |
47.810 |
125.800 |
|
Changes in inventories of
finished goods, work-in-progress and Stock-in-Trade |
(362.840) |
119.780 |
(243.060) |
|
Excise Duty |
0.000 |
124.460 |
124.460 |
|
Employee benefits expense |
582.030 |
557.860 |
1139.890 |
|
Finance Costs |
182.750 |
177.450 |
360.200 |
|
Depreciation and Amortization expenses |
283.730 |
281.620 |
565.350 |
|
Other Expenditure |
805.330 |
740.070 |
1545.400 |
|
Total Expenses |
4665.790 |
4339.830 |
9005.620 |
|
Profit / (Loss) before tax |
734.900 |
589.470 |
1324.370 |
|
Tax Expense |
|
|
|
|
Current Tax |
144.990 |
137.650 |
282.640 |
|
Deferred Tax Liability |
62.290 |
25.390 |
87.680 |
|
Tax Expense |
207.280 |
163.040 |
370.320 |
|
Profit / (Loss) after tax |
527.620 |
426.430 |
954.050 |
|
Other comprehensive income/expenses |
|
|
|
|
Items that will not be reclassified to profit and loss |
2.650 |
(4.510) |
(1.860) |
|
income tax after effect |
(0.910) |
1.560 |
0.650 |
|
Comprehensive
income for the period |
1.740 |
(2.950) |
(1.210) |
|
Total comprehensive income for the period |
529.360 |
423.480 |
952.840 |
|
Paid-up equity share capital |
1060.3 |
1057.56 |
1060.3 |
|
Basic |
4.99 |
4.03 |
9.02 |
|
Diluted |
4.96 |
4.01 |
8.17 |
STATEMENT OF
UNAUDITED STANDALONE ASSETS AND LIABILITIES AS ON 30.09.2017
(INR in
Million)
|
SOURCES
OF FUNDS |
|
|
30.09.2017 |
|
|
|
Unaudited |
|
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)
Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
|
1060.300 |
|
(b) Reserves & Surplus |
|
|
13308.240 |
|
(c) Money received against
share warrants |
|
|
0.000 |
|
|
|
|
|
|
(d)
Share Application Money Pending Allotment |
|
|
0.000 |
|
Total
Shareholders’ Funds |
|
|
14368.540 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) long-term borrowings |
|
|
1191.050 |
|
(b) Deferred tax liabilities
(Net) |
|
|
0.000 |
|
(c) Other long term
liabilities |
|
|
681.510 |
|
(d) long-term provisions |
|
|
93.100 |
|
Total
Non-current Liabilities |
|
|
1965.660 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
|
|
7403.930 |
|
(b) Trade payables |
|
|
3555.650 |
|
(c) Other current liabilities |
|
|
1821.310 |
|
(d) Short-term provisions |
|
|
110.420 |
|
Total
Current Liabilities |
|
|
12891.310 |
|
|
|
|
|
|
TOTAL |
|
|
29225.510 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
|
|
10851.120 |
|
(ii) Intangible Assets |
|
|
61.030 |
|
(iii) Capital work-in-progress |
|
|
2932.140 |
|
(iv) Intangible assets under
development |
|
|
0.000 |
|
(b) Non-current Investments |
|
|
498.500 |
|
(c) Deferred tax assets (net) |
|
|
547.580 |
|
(d) Long-term Loan and
Advances |
|
|
108.330 |
|
(e) Other Non-current assets |
|
|
608.460 |
|
Total
Non-Current Assets |
|
|
15607.160 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
|
|
0.000 |
|
(b) Inventories |
|
|
5616.800 |
|
(c) Trade receivables |
|
|
6685.260 |
|
(d) Cash and cash equivalents |
|
|
47.360 |
|
(e) Short-term loans and advances |
|
|
2.930 |
|
(f) Other current assets |
|
|
1266.000 |
|
Total Current Assets |
|
|
13618.350 |
|
|
|
|
|
|
TOTAL |
|
|
29225.510 |
Notes:
1.
The equity shares of
the Company were listed on BSE limited ('BSE') and National Stock Exchange of India
Limited ('NSE') with effect from December 19, 2016.
2. The above unaudited standalone financial
results as reviewed by the Audit Committee has been approved by the Board of
Directors at its meeting held on November 09, 2017. A limited review of the results
for the quarter and half year ended September 30, 2017 has been carried out by
our statutory auditors. The statutory auditors of the Company have issued an
unmodified opinion thereon. The standalone financial results and other
information for the quarter and half year ended September 30, 2016 have not
been audited or reviewed by the statutory auditors. Management has exercised
necessary due diligence to ensure that the unaudited standalone financial
results for the comparable periods provide a true and fair view of the
Company's affairs.
3. These standalone financial results of the
Company have been prepared in accordance with the recognition and measurement
principles laid down in the Ind AS 34, Interim Financial Reporting, notified
under Section 133 of the Companies Act, 2013 ("the Act") read with
Rule 3 of the Companies (Indian Accounting Standards) Rules, 2015 and Companies
(Indian Accounting Standards) Amendment Rules, 2016, to the extent notified and
guidelines issued by the Securities and Exchange Board of India
("SEBI").
4. In accordance with Indian Accounting Standard
(Ind AS) 108 on operating segments, segment information has been given in the
consolidated financial results of the Company, and therefore no separate
disclosure on segment information is given in these standalone financial
results.
5. During the quarter and half year ended
September 30, 2017, the Company allotted 273,500 equity shares of ? 10/- each,
consequent to the exercise of the stock options by the employees of the Company
under the Employee Stock Option Plan.
6. The Government of India introduced the Goods
and Services Tax (GST) with effect from July 01, 2017. Accordingly, in
compliance with Indian Accounting Standard (Ind AS) 18 - 'Revenue', Revenue
from operations for the quarter ended September 30, 2017 is presented net of
GST. Revenue from operations of earlier periods included Excise duty which is
now subsumed in GST. Revenue from operations for the half year ended September
30, 2017 includes Excise duty up to June 30, 2017.
7. The Board of Directors in their meeting held
on November 09, 2017 approved the proposal to acquire the existing assets and
liabilities of an API unit located at Visakhapatnam of Sriam Labs Private
Limited, a wholly owned subsidiary of the Company, on a slump sale basis. The
transaction is expected to close after obtaining the necessary approvals.
8. Corresponding previous period's figures have
been regrouped/ reclassified wherever necessary.
CONTINGENT
LIABILITIES:
(INR in million)
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
|
Outstanding bank guarantees (excluding performance obligations) |
110.640 |
50.150 |
|
Bills discounted |
257.250 |
477.270 |
|
Demand for direct taxes under appeal * |
10.100 |
10.100 |
|
Corporate guarantee |
820.280 |
132.670 |
|
Preference dividend |
- |
0.000 |
|
Demand for indirect taxes under appeal |
101.030 |
- |
* Demand for direct taxes under appeal comprise demand from the Indian tax authorities for payment of additional tax for the financial year 2007-08 (Assessment year 2008-09) on account of disallowance of deduction under Section 10A of the Income Tax Act, 1961 as claimed by the Company under the Income tax Act, 1961 of INR 10.10 (March 31, 2016: INR 10.10, April 01, 2015: INR 10.10). As against the same, the Company has paid tax under protest for INR 7.05 (March 31, 2016: INR 7.05, April 01, 2015: 7.05). The matter is pending before the Honourable High Court of Karnataka.
Demand for indirect taxes majorly comprise demand for an amount of INR 99.78 (including 100% penalty on tax thereon) from the Commissioner of Central Excise, Customs & Service Tax, for the period October 2010 to March 2015, disputing that the Company is engaged in providing technical testing and analysis services performed in India but has not discharged service tax claiming them to be export of services. As against the same, the Company has paid tax under protest for INR 3.74 (March 31, 2016: INR Nil, April 01, 2015: Nil). The matter is pending before the Customs, Excise and Service Tax Appellate Tribunal.
The Company is contesting the demands and the management, including its tax advisors, believe that its position will likely be upheld in the appellate process. No tax expense has been accrued in the financial statements for the tax demand raised. The management believes that the ultimate outcome of this proceeding will not have a material adverse effect on the Company’s financial position and results of operations.
Note : In addition to above, the Company has provided INR
7.45 (March 31, 2016: INR Nil, April 01, 2015: INR Nil). All these cases are
under litigations and are pending with various authorities, expected timing of
resulting outflow of economic benefits cannot be specified.
FIXED ASSETS
- Land
- Buildings
- Plant and Equipment
- Furniture and Fixtures
- Vehicles
- Computer Equipment
- Goodwill
- Computer Software
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 63.97 |
|
|
1 |
INR 88.12 |
|
Euro |
1 |
INR 78.35 |
INFORMATION DETAILS
|
Information
Gathered by : |
PRT |
|
|
|
|
Analysis Done by
: |
PYK |
|
|
|
|
Report Prepared
by : |
TRUP |
SCORE FACTORS
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
NO |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
NO |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
RATING EXPLANATIONS
|
Credit Rating |
Explanation |
Rating Comments |
|
A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
|
A+ |
Low Risk |
Business dealings permissible with low
risk of default |
|
A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
|
B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
|
C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
|
D |
High Risk |
Business dealing not recommended or on
secured terms only |
|
NB |
New Business |
No recommendation can be done due to
business in infancy stage |
|
NT |
No Trace |
No recommendation can be done as the
business is not traceable |
NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.
This score serves as a reference to assess
SC’s credit risk and to set the amount of credit to be extended. It is
calculated from a composite of weighted scores obtained from each of the major
sections of this report. The assessed factors are as follows:
·
Financial
condition covering various ratios
·
Company
background and operations size
·
Promoters
/ Management background
·
Payment
record
·
Litigation
against the subject
·
Industry
scenario / competitor analysis
·
Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.