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MIRA INFORM REPORT
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Report No. : |
488625 |
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Report Date : |
27.01.2018 |
IDENTIFICATION DETAILS
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Name : |
BAJAJ FINANCE LIMITED (w.e.f. 2010) |
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Formerly Known
As : |
BAJAJ AUTO FINANCE LIMITED |
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Registered
Office : |
Mumbai–Pune Road, Akurdi, Pune – 411035, Maharashtra |
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Tel. No.: |
91-22-30405060 |
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Country : |
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Financials (as
on) : |
31.03.2017 |
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Date of
Incorporation : |
25.03.1987 |
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Com. Reg. No.: |
11-042961 |
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Capital
Investment / Paid-up Capital : |
INR 1093.700 Million |
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CIN No.: [Company Identification
No.] |
L65910MH1987PLC042961 |
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IEC No.: |
Not Divulged |
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TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
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PAN No.: [Permanent Account No.] |
AABCB1518L |
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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
: |
The Company is a registered non-banking finance company engaged in the business of providing finance. (Registered Activity) |
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No. of Employees
: |
11479 (Approximately) |
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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 : |
Exist |
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Comments : |
Bajaj Finance Limited is a non-banking finance company and a subsidiary of Bajaj Finserv Limited. BFL is one of the leading NBFC in India having a diversified loan book with exposure in various segments like consumer finance, SME finance, commercial finance and rural finance. The company was incorporated in the year 1987 and is based in Pune, Maharashtra. It is an established company having excellent track record. For the financial year ended 2017, the company has witnessed a growth in its revenue and has achieved decent profit margin at 18.41% (approx.) The company possesses strong financial profile marked by healthy net worth base along with decent profit margin of the company. Rating also takes into consideration rich experience of its promoter, long established track and strong operating efficiency of the company. Rating also derives strength from its strong group “Bajaj Group” and its established brand name. Share price are quoted high on stock exchange (Share price of INR 1710 with Face value of INR 2) Trade relations are reported as fair. Business is active. Payments terms are reported to be regular and as per commitment. In view of the aforesaid, the company can be considered normal for business dealings at usual trade terms and conditions |
NOTES:
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List
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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 |
ICRA |
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Rating |
Non-convertible debenture programme: AAA |
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Rating Explanation |
Highest degree of safety and carry lowest
credit risk. |
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Date |
23.10.2017 |
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Rating Agency Name |
ICRA |
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Rating |
Commercial paper programme: A1+ |
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Rating Explanation |
Very strong degree of safety and carry
lowest credit risk. |
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Date |
23.10.2017 |
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 27.01.2018
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 CO-OPERATIVE (91-22-30405060)
91-20-30405020 / 30 - RINGING
LOCATIONS
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Registered Office : |
Mumbai–Pune Road, Akurdi, Pune – 411035, Maharashtra, India |
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Tel. No.: |
91-20-30186072 |
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Fax No.: |
91-20-30186364 |
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E-Mail : |
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Website : |
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Corporate Office 1 : |
4th Floor, Finserv Corporate Office, Off Pune-Ahmednagar
Road, Viman Nagar, Pune – 411014, Maharashtra, India |
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Fax No.: |
91-20-30405020 / 30 |
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Corporate Office 2 : |
3rd Floor, Panchshil Tech Park, Plot 43/1, 43/2 and 44/2, Viman Nagar, Pune – 411014, Maharashtra, India |
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Tel. No.: |
91-20-30186403 |
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Fax No.: |
91-20-30186364 |
DIRECTORS
AS ON 31.03.2017
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Name : |
Mr. Rajeev Jain |
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Designation : |
Managing Director |
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Address : |
D-2, Ivy Glen, Marigold Premises, Kalyani Nagar, Pune – 411014, Maharashtra, India |
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Date of Appointment : |
01.04.2015 |
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DIN No.: |
01550158 |
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Name : |
Mr. Dipakkumar Jagdishprasad Poddar |
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Designation : |
Director |
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Address : |
Brij Kutir, 17th Floor, Rungta Lane, Off Nepean Sea Road, Mumbai – 400006, Maharashtra, India |
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Date of Appointment : |
25.03.1987 |
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DIN No.: |
00001250 |
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Name : |
Mr. Omkar Goswami |
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Designation : |
Director |
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Address : |
E-121, Masjid Moth, First Floor, Greater Kailash-III, New Delhi – 110048, India |
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Date of Appointment : |
16.05.2012 |
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DIN No.: |
00004258 |
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Name : |
Mr. Rahulkumar Kamalnayan Bajaj |
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Designation : |
Director |
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Address : |
Bajaj Vihar, Mumbai Pune Road, Akurdi, Pune – 411035, Maharashtra, India |
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Date of Appointment : |
25.03.1987 |
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DIN No.: |
00014529 |
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Name : |
Mr. Madhurkumar Ramkrishnaji Bajaj |
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Designation : |
Director |
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Address : |
Bajaj Vihar, Mumbai Pune Road, Akurdi, Pune – 411035, Maharashtra, India |
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Date of Appointment : |
15.05.1990 |
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DIN No.: |
00014593 |
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Name : |
Mr. Sanjivnayan Rahulkumar Bajaj |
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Designation : |
Director |
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Address : |
Bajaj Vihar, Mumbai Pune Road, Akurdi, Pune – 411035, Maharashtra, India |
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Date of Appointment : |
18.01.2005 |
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DIN No.: |
00014615 |
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Name : |
Mr. Rajivnayan Rahulkumar Bajaj |
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Designation : |
Director |
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Address : |
34/35, Yog Lane No.2, Koregaon Park, Pune – 411001, Maharashtra, India |
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Date of Appointment : |
02.05.1994 |
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DIN No.: |
00018262 |
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Name : |
Mr. Balaji Rao Jagannathrao Doveton |
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Designation : |
Director |
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Address : |
D-103, Adarsh Residency, 47th Cross, 2nd Main Jayanagar, 8th Block, Bangalore – 560082, Karnataka, India |
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Date of Appointment : |
15.07.2009 |
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DIN No.: |
00025254 |
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Name : |
Mr. Dhirajlal Shantilal Mehta |
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Designation : |
Director |
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Address : |
301/ 302, Gora Gandhi Aprtments 3, Laburnam Road, Gamdevi, Mumbai – 400007, Maharashtra, India |
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Date of Appointment : |
15.05.1990 |
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DIN No.: |
00038366 |
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Name : |
Nanoo Gobindram Pamnani |
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Designation : |
Director |
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Address : |
Flat No. 21, ELCID 13A, Ridge Road, Malabar Hill, Mumbai – 400006, Maharashtra, India |
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Date of Appointment : |
11.07.2007 |
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DIN No.: |
00053673 |
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Name : |
Mr. Rajendra Lakhotia |
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Designation : |
Director |
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Address : |
Universal Auto Traders, M.G. Marg, Gangtok – 737101, Sikkim, India |
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Date of Appointment : |
25.03.1987 |
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DIN No.: |
00163156 |
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Name : |
Mr. Ranjan Surajprakash Sanghi |
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Designation : |
Director |
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Address : |
Flat No.21, Mistry Court, 4th Floor, Dinshaw Vachha Road, Mumbai – 400020, Maharashtra, India |
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Date of Appointment : |
25.03.1987 |
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DIN No.: |
00275842 |
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Name : |
Ms. Gita Piramal |
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Designation : |
Director |
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Address : |
61, 6th Floor, Piramal House, S Pochkhanawala Road, Worli Seaface, Mumbai – 400025, Maharashtra, India |
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Date of Appointment : |
27.03.2014 |
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DIN No.: |
01080602 |
KEY EXECUTIVES
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Name : |
Mr. Anant Damle |
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Designation : |
Company Secretary |
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Address : |
Ashirwad, 11/171, Behind Hindusthan Bakery, Chinchwad, Pune – 411033, Maharashtra, India |
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Date of Appointment : |
01.04.2010 |
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PAN No.: |
AARPD5193J |
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Name : |
Mr. Sandeep Vijaykumar Jain |
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Designation : |
Chief Financial Officer |
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Address : |
Flat No. 811, Iris – II, Clover Acropolis, Viman Nagar, Pune – 411014, Maharashtra, India |
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Date of Appointment : |
04.02.2016 |
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PAN No.: |
AFLPJ1609J |
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Audit Committee : |
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Stakeholders
Relationship Committee : |
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Nomination and
Remuneration Committee : |
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Corporate Social
Responsibility Committee : |
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Risk Management
Committee : |
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SHAREHOLDING PATTERN
AS ON DECEMBER 2017
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Category of
Shareholder |
No. of Shares |
Percentage
of Holding |
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(A) Promoter
& Promoter Group |
318678085 |
55.28 |
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(B) Public |
256214278 |
44.44 |
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(C) Shares held by
Employee Trust |
1624945 |
0.28 |
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Grand Total |
576517308 |
100.00 |
STATEMENT SHOWING SHAREHOLDING PATTERN OF THE PROMOTER
AND PROMOTER GROUP
|
Category of
Shareholder |
No. of
Shares |
Percentage
of Holding |
|
A1) Indian |
|
0.00 |
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Individuals/Hindu undivided Family |
861015 |
0.15 |
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RAHULKUMAR BAJAJ |
186000 |
0.03 |
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MADHUR BAJAJ |
186000 |
0.03 |
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SANJIVNAYAN BAJAJ |
482000 |
0.08 |
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SUMAN JAIN |
7015 |
0.00 |
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Any Other (specify) |
317817070 |
55.13 |
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BAJAJ FINSERV LIMITED |
317816130 |
55.13 |
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JAMNALAL SONS PRIVATE LIMITED |
940 |
0.00 |
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Sub Total A1 |
318678085 |
55.28 |
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A2) Foreign |
|
0.00 |
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A=A1+A2 |
318678085 |
55.28 |
Statement showing shareholding pattern of the Public
shareholder
|
Category of
Shareholder |
No.
of Shares |
Percentage
of Holding |
|
B1) Institutions |
|
0.00 |
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Mutual Funds/ |
40353804 |
7.00 |
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BIRLA SUN LIFE TRUSTEE COMPANY PRIVATE LIMITED
AC BIRLA SUN LIFE BALANCED 95 FUND |
6792040 |
1.18 |
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AXIS MUTUAL FUND TRUSTEE LIMITED A/C AXIS
MUTUAL FUND |
7410444 |
1.29 |
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Alternate Investment Funds |
856832 |
0.15 |
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Foreign Portfolio Investors |
117679007 |
20.41 |
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GOVERNMENT OF SINGAPORE |
22727606 |
3.94 |
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SMALLCAP WORLD FUND, INC |
6087160 |
1.06 |
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Financial Institutions/ Banks |
552612 |
0.10 |
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Insurance Companies |
5108328 |
0.89 |
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Sub Total B1 |
164550583 |
28.54 |
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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 |
44692681 |
7.75 |
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Individual share capital in excess of INR
0.200 Million |
10871585 |
1.89 |
|
NBFCs registered with RBI |
61671 |
0.01 |
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Any Other (specify) |
36037758 |
6.25 |
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Trusts |
722361 |
0.13 |
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NRI |
5191453 |
0.90 |
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Clearing Members |
573285 |
0.10 |
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Director or Director's Relatives |
753975 |
0.13 |
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Bodies Corporate |
28451594 |
4.94 |
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MAHARASHTRA SCOOTERS LIMITED |
18974660 |
3.29 |
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Investor Education and Protection Fund
Authority |
345090 |
0.06 |
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Sub Total B3 |
91663695 |
15.90 |
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B=B1+B2+B3 |
256214278 |
44.44 |
BUSINESS DETAILS
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Line of Business : |
The Company is a registered non-banking finance company engaged in the business of providing finance. (Registered Activity) |
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Products/ Services : |
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Brand Names : |
Not Divulged |
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Agencies Held : |
Not Divulged |
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Exports : |
Not Divulged |
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Imports : |
Not Divulged |
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Terms : |
Not Divulged |
PRODUCTION STATUS – NOT AVAILABLE
GENERAL INFORMATION
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Suppliers : |
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Customers : |
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No. of Employees : |
11479 (Approximately) |
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Bankers : |
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Facilities : |
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Auditors : |
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Name : |
Dalal and Shah LLP Chartered Accountants |
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Secretarial Auditor |
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Name : |
Shyamprasad D Limaye Practising Company Secretary |
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Memberships : |
Not Available |
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Collaborators : |
Not Available |
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Holding Company: |
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Subsidiary: |
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Fellow Subsidiary: |
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Enterprises over
which anyone in (B) and (C) exercises significant influence: |
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CAPITAL STRUCTURE
AS ON 19.07.2017
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
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|
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|
750 000 000 |
Equity Shares |
INR 2/- each |
INR 1500.000 Million |
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Issued Subscribed & Paid-up
Capital :
|
No. of Shares |
Type |
Value |
Amount |
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|
576517308 |
Equity Shares |
INR 2/- each |
INR 1153.035
Million |
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AS ON 31.03.2017
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
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|
#750 000 000 |
Equity Shares |
INR 2/- each |
INR 1500.000 Million |
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Issued Capital :
|
No. of Shares |
Type |
Value |
Amount |
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|
#549 890 090 |
Equity Shares |
INR 2/- each |
INR 1099.800
Million |
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Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
#549 890 090 |
Equity Shares |
INR 2/- each |
INR 1099.800
Million |
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Less: 3 057 500 equity shares of INR 2 each held in Trust for employees under ESOP Scheme |
|
INR 6.100
Million |
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|
INR 1093.700 Million |
# Pursuant to approval of the Members:
(i) Authorised share capital of the Company was increased and subdivided from INR 750.000 Million (consisting of 75 000 000 equity shares of face value of INR 10 each) to INR 1500.000 Million (consisting of 750 000 000 equity shares of face value of INR 2 each) consequent to the decision to subdivide issued capital of 53 872 190 equity shares of face value of INR 10 each as on the record date i.e. 10 September 2016 (end of the day) into 269 360 950 equity shares of face value of INR 2 each and declaration of bonus thereon as stated in (ii) below.
(ii) On 14 September 2016 the Allotment Committee of the Board of Directors allotted 269 360 950 equity shares of face value of INR 2 each as bonus shares in the proportion of one bonus equity share for every one equity share of face value of INR 2 held as on the record date by capitalising an amount of INR 538 721 900 from securities premium account. The bonus shares were listed on BSE Limited and National Stock Exchange of India Limited. w.e.f. 19 September 2016.
(iii) Consequently
(a) in terms of the SEBI (Issue of Capital and Disclosure Requirements) Regulations 2009 the exercise price and the number of warrants earlier issued to the promoter Bajaj Finserv Limited. and equity shares offered on rights basis held in abeyance* were proportionately adjusted and
(b) (b) in terms of the Employee Stock Option Scheme 2009 of the Company the grant price and the number of outstanding stock options in respect of stock options granted under the Employee Stock Option Scheme 2009 were proportionately adjusted.
Reconciliation of the shares outstanding at
the beginning and at the end of the year
|
Particulars |
As at 31 March 2017 |
|
|
Nos. |
INR In Million |
|
|
Equity shares |
|
|
|
At the beginning of the year (Subscribed and paid up) |
53 872 190 |
538.700 |
|
Adjusted no. of shares on account of sub-division of equity share # |
269 360 950 |
538.700 |
|
Add: Issue of bonus shares during the year to eligible shareholders # |
269 360 950 |
538.700 |
|
Add: Issued during the year – Employee Stock Option Plan |
1 918 040 |
3.900 |
|
Add: Issued during the year to promoter on account of conversion of warrants + |
9 250 000 |
18.500 |
|
Add: Issue of shares on Right basis (INR 300 previous year INR 150) * |
150 |
-- |
|
|
549 890 090 |
1099.800 |
|
Less: Equity shares held in trust for employees under ESOP scheme |
3 057 500 |
6.100 |
|
Outstanding at the end of the year |
546 832 590 |
1093.700 |
+ During the year Bajaj Finserv Limited. (Promoter) exercised the option to convert 9 250 000 warrants issued on preferential basis upon payment of INR 3060.800 Million being balance 75% amount of the issue consideration and accordingly 9 250 000 equity shares of the face value of INR 2 each were allotted to Bajaj Finserv Limited. on 23 November 2016 at a premium of INR 439.20 per equity share. The funds received upon allotment have been utilised for meeting funding requirements of the business activities of the Company as per the objects of the issue.
* The Company during the year 2012-13 had issued equity shares on right basis of which 8 590 shares (of face value of INR 2 each adjusted for sub-division and issue of bonus shares) were held in abeyance pending adjudication of title/claim from respective shareholders. Of these 150 shares (of face value of INR 2 each) were allotted during the year at a premium of INR 108 per share.
Terms/rights/restrictions attached to
equity shares
(i) The Company has only one class of equity shares having a par value of INR 2 per share (Previous year INR 10 each). Each holder of equity shares is entitled to one vote per share. The dividend recommended by the Board of Directors and approved by the shareholders in the Annual General Meeting is paid in Indian Rupees. In the event of liquidation of the Company the holders of equity shares will be entitled to receive remaining assets of the Company after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.
(ii) Pursuant to the SEBI (Issue of Capital and Disclosure Requirements) Regulations 2009 equity shares held by Bajaj Finserv Limited. are restricted from transfer as per details below:
(a) 308 566 130 equity shares up to 13 June 2017.
(b) 9 250 000 equity shares up to 11 December 2019.
Shares held by Holding
Company
|
Particulars |
As at 31 March 2017 |
|
|
Nos. |
INR In Million |
|
|
Bajaj Finserv Limited* |
317 816 130 |
635.600 |
* An associate of Bajaj Holdings and Investments Limited
Details of shareholders holding
more than 5% shares in the Company
|
Particulars |
As at 31 March 2017 |
|
|
Nos. |
% Holding |
|
|
|
|
|
|
Bajaj Finserv Limited* |
317 816 130 |
57.80% |
* An associate of Bajaj Holdings and Investments Limited
Shares reserved for issue
under Employee Stock Option Plan
|
Particulars |
No. of Shares |
|
Number of equity shares approved/reserved for issue under Employee Stock Option Plan 2009 of the Company drawn in accordance with SEBI (Employee stock option Scheme and Employee Stock Purchase Scheme) Guidelines 1999 (SEBI Guidelines) (i.e. 5% of the then subscribed and paid up share capital) as on 31 March 2016 of the face value of INR 10 each |
2 507 116 |
|
Resultant shares due to sub-division of the face value to INR 2 each and issue of bonus shares |
25 071 160 |
|
|
|
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Number of shares allotted to the trust up to 31 March 2016 of the face value of INR 10 each |
1 241 988 |
|
Resultant shares on sub-division and after bonus |
12 419 880 |
|
Allotted to the trust during the year on 15 February 2017 of the face value of INR 2 each |
1 918 040 |
|
Total number of shares alloted to the trust up to 31 March 2017 |
14 337 920 |
|
Number of equity shares reserved for issue under Employee Stock Option Plan 2009 |
10 733 240 |
|
|
|
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Equity shares held by the trust as on 31 March 2016 of the face value of INR 10 each |
322 674 |
|
Option exercised up to record date of sub-division and bonus i.e.10 September 2016 |
133 240 |
|
Shares available with the trust on record date for sub-division and bonus |
189 434 |
|
Resultant shares on sub-division and after bonus of the face value of INR 2 each |
1 894 340 |
|
Add: Allotted on 15 Feb 2017 of the face value of INR 2 each |
1 918 040 |
|
Less: Exercised after record date for sub-division and bonus of the face value of INR 2 each up to 31 March 2017 |
754 880 |
|
Equity shares held by the trust as on 31 March 2017 of the face value of INR 2 each |
3 057 500 |
Consequent to the opinion expressed by the 'Expert Advisory Committee' of the Institute of Chartered Accountants of India on the applicability of clause 22A.1 of the SEBI Guidelines the balance unexercised equity shares held by the trust at the close of the year have been reduced against the share capital as if the trust is administered by the Company itself.
The securities premium related to the unexercised equity shares held by the trust at the close of the year aggregating INR 622283779 (As at 31 March 2016 INR 448741587) has also been reduced from securities premium account and adjusted against the loan outstanding from the trust. See note no. 29 for further details.
Dividends declared by the Company do not accrete to unexercised options. Accordingly any dividend received by the ESOP trust is remitted to the Company and adjusted against the source from which dividend has been paid.
FINANCIAL DATA
[all figures are
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 |
1093.700 |
535.500 |
500.000 |
|
(b) Reserves &
Surplus |
94909.400 |
72710.600 |
47497.000 |
|
(c) Money received
against share warrants |
0.000 |
1020.300 |
0.000 |
|
|
|
|
|
|
(2) Share Application
money pending allotment |
0.000 |
0.000 |
0.000 |
|
Total Shareholders’ Funds
(1) + (2) |
96003.100 |
74266.400 |
47997.000 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term borrowings |
331159.600 |
252869.700 |
182736.200 |
|
(b) Deferred tax
liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c) Other long term
liabilities |
4848.700 |
4474.000 |
1357.700 |
|
(d) long-term provisions |
3622.100 |
2429.400 |
1520.800 |
|
Total Non-current
Liabilities (3) |
339630.400 |
259773.100 |
185614.700 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
89224.200 |
56384.900 |
42778.300 |
|
(b) Trade payables |
5288.100 |
3349.100 |
2736.600 |
|
(c) Other current
liabilities |
25659.800 |
8546.500 |
5966.500 |
|
(d) Short-term provisions |
9327.300 |
6417.500 |
1672.300 |
|
(e) Current maturities of long-term borrowings |
72112.700 |
60992.400 |
41032.500 |
|
Total Current Liabilities
(4) |
201612.100 |
135690.400 |
94186.200 |
|
|
|
|
|
|
TOTAL |
637245.600 |
469729.900 |
327797.900 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
2859.000 |
2429.500 |
2182.600 |
|
(ii) Intangible Assets |
752.300 |
440.500 |
309.200 |
|
(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 |
10903.000 |
4851.500 |
1750.900 |
|
(c) Deferred tax assets
(net) |
3690.700 |
2800.400 |
2122.800 |
|
(d) Receivables under financing activity |
320281.000 |
247785.500 |
181196.700 |
|
(e) Long-term Loan and Advances |
598.600 |
997.900 |
886.000 |
|
(f) Other Non-current
assets |
0.000 |
0.000 |
0.000 |
|
Total Non-Current Assets |
339084.600 |
259305.300 |
188448.200 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
29844.000 |
5489.200 |
1572.000 |
|
(b) Inventories |
0.000 |
0.000 |
0.000 |
|
(c) Receivables under
financing activity |
256546.300 |
184936.800 |
130797.800 |
|
(d) Cash and cash
equivalents |
3565.200 |
13291.500 |
2286.200 |
|
(e) Short-term loans and
advances |
4967.900 |
4588.900 |
3035.300 |
|
(f) Other current assets |
3237.600 |
2118.200 |
1658.400 |
|
Total Current Assets |
298161.000 |
210424.600 |
139349.700 |
|
|
|
|
|
|
TOTAL |
637245.600 |
469729.900 |
327797.900 |
PROFIT
& LOSS ACCOUNT (STANDALONE)
|
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
SALES |
|
|
|
|
|
Income |
99773.600 |
72935.400 |
53818.000 |
|
|
Other Income |
259.500 |
398.400 |
364.300 |
|
|
TOTAL |
100033.100 |
73333.800 |
54182.300 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Employee benefits expense |
9316.700 |
6296.300 |
4507.300 |
|
|
Loan losses and
provisions |
8181.900 |
5428.500 |
3845.600 |
|
|
Other expenses |
15614.000 |
12131.300 |
9421.000 |
|
|
TOTAL |
33112.600 |
23856.100 |
17773.900 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND
AMORTISATION |
66920.500 |
49477.700 |
36408.400 |
|
|
|
|
|
|
|
Less |
FINANCIAL EXPENSES |
38033.700 |
29268.600 |
22483.000 |
|
|
|
|
|
|
|
|
PROFIT / (LOSS) BEFORE
TAX, DEPRECIATION AND AMORTISATION |
28886.800 |
20209.100 |
13925.400 |
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
711.600 |
563.400 |
356.000 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) BEFORE TAX |
28175.200 |
19645.700 |
13569.400 |
|
|
|
|
|
|
|
Less |
TAX |
9809.700 |
6860.500 |
4590.700 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) AFTER TAX
|
18365.500 |
12785.200 |
8978.700 |
|
|
|
|
|
|
|
Add |
PREVIOUS YEARS’ BALANCE
BROUGHT FORWARD |
24108.500 |
16840.300 |
11719.100 |
|
|
|
|
|
|
|
Less |
APPROPRIATIONS |
|
|
|
|
|
Transfer to Reserve Fund
in terms of section 45-IC(1) of the Reserve Bank of India Act, 1934 |
3680.000 |
2560.000 |
1850.000 |
|
|
Transfer to
Infrastructure Reserve in terms of section 36(1)(viii) of the Income Tax Act,
1961 |
35.000 |
0.000 |
0.000 |
|
|
Transfer to General
Reserve |
1840.000 |
1280.000 |
900.000 |
|
|
Transfer to Infrastructure
Reserve |
0.000 |
0.000 |
21.000 |
|
|
Final dividend to
qualified institutional buyers |
0.000 |
58.900 |
0.000 |
|
|
Tax on final dividend to
qualified institutional buyers and ESOP trust |
0.000 |
12.800 |
0.000 |
|
|
Proposed dividend |
0.000 |
377.100 |
902.700 |
|
|
Provision for tax on
dividend |
0.000 |
76.800 |
183.800 |
|
|
Interim dividend |
0.000 |
969.700 |
0.000 |
|
|
Tax on interim dividend |
0.000 |
197.400 |
0.000 |
|
|
Adjustment of dividend to
ESOP trust |
(1.700) |
(15.700) |
0.000 |
|
|
Balance Carried to the
B/S |
36920.700 |
24108.500 |
16840.300 |
|
|
|
|
|
|
|
|
Earnings / (Loss) Per
Share (INR) |
|
|
|
|
Basic |
34.01 |
24.23 |
179.94 |
|
|
Diluted |
33.67 |
23.88 |
177.7 |
CURRENT MATURITIES OF LONG TERM DEBT DETAILS
|
Particulars |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Maturities of Long term debt |
NA |
NA |
NA |
|
|
|
|
|
|
Cash generated from operations |
NA |
NA |
NA |
|
|
|
|
|
|
Net cash from operating activities |
(105002.300) |
(98708.300) |
(71471.400) |
QUARTERLY
RESULTS
|
Particulars |
|
30.06.2017 (Unaudited) |
30.09.2017 (Unaudited) |
|
|
|
1st
Quarter |
2nd
Quarter |
|
Net sales |
|
31504.700 |
30862.400 |
|
Total Expenditure |
|
11392.500 |
10789.700 |
|
PBIDT (Excluding Other Income) |
|
20112.200 |
20072.700 |
|
Other income |
|
140.400 |
160.900 |
|
Operating Profit |
|
20252.600 |
20233.600 |
|
Interest |
|
10779.500 |
11437.800 |
|
Exceptional Items |
|
NA |
NA |
|
PBDT |
|
9473.100 |
8795.800 |
|
Depreciation |
|
218.800 |
240.700 |
|
Profit Before Tax |
|
9254.300 |
8555.100 |
|
Tax |
|
3233.900 |
2986.100 |
|
Provisions and
contingencies |
|
NA |
NA |
|
Profit after tax |
|
6020.400 |
5569.000 |
|
Extraordinary Items |
|
NA |
NA |
|
Prior Period Expenses |
|
NA |
NA |
|
Other Adjustments |
|
NA |
NA |
|
Net Profit |
|
6020.400 |
5569.000 |
KEY
RATIOS
EFFICIENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Average Collection Days (Sundry
Debtors / Income * 365 Days) |
938.52 |
925.50 |
887.09 |
|
|
|
|
|
|
Account Receivables Turnover (Income / Sundry Debtors) |
0.39 |
0.39 |
0.41 |
|
|
|
|
|
|
Inventory Turnover (Operating Income / Inventories) |
0.00 |
0.00 |
0.00 |
|
|
|
|
|
|
Asset Turnover (Operating Income / Net Fixed Assets) |
18.53 |
17.24 |
14.61 |
LEVERAGE RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Debt Ratio ((Borrowing
+ Current Liabilities) / Total Assets) |
0.84 |
0.83 |
0.84 |
|
|
|
|
|
|
Debt Equity Ratio (Total Liability / Networth) |
4.38 |
4.16 |
4.70 |
|
|
|
|
|
|
Current Liabilities to Networth (Current Liabilities / Net Worth) |
2.10 |
1.83 |
1.96 |
|
|
|
|
|
|
Fixed Assets to Networth (Net Fixed Assets / Networth) |
0.04 |
0.04 |
0.05 |
|
|
|
|
|
|
Interest Coverage Ratio (PBIT / Financial Charges) |
1.76 |
1.69 |
1.62 |
PROFITABILITY RATIOS
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Net Profit Margin ((PAT / Sales) * 100) |
% |
18.41 |
17.53 |
16.68 |
|
|
|
|
|
|
|
Return on Total Assets ((PAT / Total Assets) * 100) |
% |
2.88 |
2.72 |
2.74 |
|
|
|
|
|
|
|
Return on Investment (ROI) ((PAT / Networth) * 100) |
% |
19.13 |
17.22 |
18.71 |
SOLVENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Ratio (Current
Assets / Current Liabilities) |
1.48 |
1.55 |
1.48 |
|
|
|
|
|
|
Quick Ratio ((Current Assets – Inventories) / Current
Liabilities) |
1.48 |
1.55 |
1.48 |
|
|
|
|
|
|
G-Score Ratio Financial (Networth / Total Assets) |
0.15 |
0.16 |
0.15 |
|
|
|
|
|
|
G-Score Ratio Debt (Debts / Equity Capital) |
384.37 |
577.51 |
451.03 |
|
|
|
|
|
|
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities) |
1.48 |
1.55 |
1.48 |
Total
Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term
debts
STOCK
PRICES
|
Face Value |
INR 2/- |
|
Market Value |
INR 1710/- |
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 |
500.000 |
535.500 |
1093.700 |
|
Reserves & Surplus |
47497.000 |
72710.600 |
94909.400 |
|
Share Application money pending
allotment |
0.000 |
0.000 |
0.000 |
|
Net
worth |
47997.000 |
73246.100 |
96003.100 |
|
|
|
|
|
|
Long-Term Borrowings |
182736.200 |
252869.700 |
331159.600 |
|
Short Term Borrowings |
42778.300 |
56384.900 |
89224.200 |
|
Current Maturities of Long term debt |
41032.500 |
60992.400 |
72112.700 |
|
Total
borrowings |
266547.000 |
370247.000 |
492496.500 |
|
Debt/Equity
ratio |
5.553 |
5.055 |
5.130 |
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 |
53818.000 |
72935.400 |
99773.600 |
|
|
|
35.522 |
36.797 |
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
|
53818.000 |
72935.400 |
99773.600 |
|
Profit |
8978.700 |
12785.200 |
18365.500 |
|
|
16.68% |
17.53% |
18.41% |
ABRIDGED
BALANCE SHEET (CONSOLIDATED)
|
SOURCES OF FUNDS |
|
31.03.2017 |
31.03.2016 |
|
|
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
|
1093.700 |
535.500 |
|
(b) Reserves &
Surplus |
|
94908.900 |
72711.800 |
|
(c) Money received
against share warrants |
|
0.000 |
1020.300 |
|
|
|
|
|
|
(2) Share Application money
pending allotment |
|
0.000 |
0.000 |
|
Total Shareholders’ Funds
(1) + (2) |
|
96002.600 |
74267.600 |
|
|
|
|
|
|
(3) Non-Current
Liabilities |
|
|
|
|
(a) long-term borrowings |
|
331159.600 |
252868.600 |
|
(b) Deferred tax liabilities
(Net) |
|
0.000 |
0.000 |
|
(c) Other long term
liabilities |
|
4848.700 |
4474.000 |
|
(d) long-term provisions |
|
3622.100 |
2429.400 |
|
Total Non-current
Liabilities (3) |
|
339630.400 |
259772.000 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a) Short term borrowings |
|
89224.200 |
56384.900 |
|
(b) Trade payables |
|
5288.100 |
3349.100 |
|
(c) Other current
liabilities |
|
25662.100 |
8547.200 |
|
(d) Short-term provisions |
|
9327.300 |
6417.500 |
|
(e) Current maturities of long-term borrowings |
|
72111.600 |
60992.400 |
|
Total Current Liabilities
(4) |
|
201613.300 |
135691.100 |
|
|
|
|
|
|
TOTAL |
|
637246.300 |
469730.700 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a) Fixed Assets |
|
|
|
|
(i) Tangible assets |
|
2875.100 |
2429.500 |
|
(ii) Intangible Assets |
|
752.300 |
440.500 |
|
(iii) Capital
work-in-progress |
|
0.000 |
0.000 |
|
(iv) Intangible assets under
development |
|
0.000 |
0.000 |
|
Goodwill on consolidation |
|
32.700 |
32.700 |
|
(b) Non-current
Investments |
|
7623.000 |
4571.500 |
|
(c) Deferred tax assets
(net) |
|
3690.700 |
2800.400 |
|
(d) Receivables under financing activity |
|
320281.500 |
247785.500 |
|
(e) Long-term Loan and Advances |
|
599.000 |
998.200 |
|
(f) Other Non-current
assets |
|
0.000 |
0.200 |
|
Total Non-Current Assets |
|
335854.300 |
259058.500 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a) Current investments |
|
33072.100 |
5719.500 |
|
(b) Inventories |
|
0.000 |
0.000 |
|
(c) Receivables under
financing activity |
|
256546.300 |
184936.800 |
|
(d) Cash and cash
equivalents |
|
3568.100 |
13308.500 |
|
(e) Short-term loans and
advances |
|
4967.900 |
4588.900 |
|
(f) Other current assets |
|
3237.600 |
2118.500 |
|
Total Current Assets |
|
301392.000 |
210672.200 |
|
|
|
|
|
|
TOTAL |
|
637246.300 |
469730.700 |
PROFIT
& LOSS ACCOUNT (CONSOLIDATED)
|
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
|
|
SALES |
|
|
|
|
|
Income |
|
99773.600 |
72935.400 |
|
|
Other Income |
|
291.700 |
400.200 |
|
|
TOTAL |
|
100065.300 |
73335.600 |
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
Employee benefits expense |
|
9316.700 |
6296.300 |
|
|
Loan losses and
provisions |
|
8181.900 |
5428.500 |
|
|
Other expenses |
|
15643.800 |
12132.100 |
|
|
TOTAL |
|
33142.400 |
23856.900 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND
AMORTISATION |
|
66922.900 |
49478.700 |
|
|
|
|
|
|
|
Less |
FINANCIAL EXPENSES |
|
38037.100 |
29268.500 |
|
|
|
|
|
|
|
|
PROFIT / (LOSS) BEFORE
TAX, DEPRECIATION AND AMORTISATION |
|
28885.800 |
20210.200 |
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
|
711.700 |
563.400 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) BEFORE TAX |
|
28174.100 |
19646.800 |
|
|
|
|
|
|
|
Less |
TAX |
|
9810.300 |
6860.500 |
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) AFTER TAX
|
|
18363.800 |
12786.300 |
|
|
|
|
|
|
|
|
Earnings / (Loss) Per
Share (INR) |
|
|
|
|
Basic |
|
34.01 |
24.23 |
|
|
Diluted |
|
33.67 |
23.88 |
LEGAL
CASES
CASE DETAILS
BENCH:-BOMBAY
|
Presentation
Date:- |
06/02/2017 |
|
|||||||
|
Lodging No.:- |
ITXAL/318/2017 |
Filing Date:- |
06/02/2017 |
Reg. No.:- |
ITXA/485/2017 |
Reg. Date:- |
18/03/2017 |
||
|
Petitioner:- |
THE PR. COMMISSIONER OF
INCOME TAX - 5 |
|
Respondent:- |
BAJAJ FINANCE LTD
(EARLIER KNOW AS BAJAJ AUTO FINANCE LTD) |
|
Petn.Adv.:- |
TEJVEER SINGH MASTAN SINGH (I3678) |
|
Resp.Adv.:- |
VASANTI B PATEL (I4796) |
|
District:- |
PUNE |
|
Bench:- |
DIVISION |
||||
|
Status:- |
Pre-Admission |
Category:- |
TAX APPEALS |
|
Next Date:- |
16/03/2018 |
Stage:- |
|
Coram:- |
ACCORDING TO SITTING LIST |
|
ACCORDING TO SITTING LIST |
|
Act :- |
Income Tax Act, 1961 |
Under Section:- |
260A |
LOCAL AGENCY FURTHER INFORMATION
|
Sr. No. |
Check list by
info agents |
Available in
Report (Yes/No) |
|
1 |
Year of establishment |
Yes |
|
2 |
Constitution of the entity -Incorporation
details |
Yes |
|
3 |
Locality of the entity |
Yes |
|
4 |
Premises details |
No |
|
5 |
Buyer visit details |
-- |
|
6 |
Contact numbers |
Yes |
|
7 |
Name of the person contacted |
No |
|
8 |
Designation of contact person |
No |
|
9 |
Promoter’s background |
Yes |
|
10 |
Date of Birth of Proprietor / Partners /
Directors |
Yes |
|
11 |
Pan Card No. of Proprietor / Partners |
No |
|
12 |
Voter Id Card No. of Proprietor / Partners |
No |
|
13 |
Type of business |
Yes |
|
14 |
Line of Business |
Yes |
|
15 |
Export/import details (if applicable) |
No |
|
16 |
No. of employees |
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 |
Yes |
|
33 |
Market information |
-- |
|
34 |
Payments terms |
No |
|
35 |
Negative Reporting by Auditors in the
Annual Report |
No |
GENERAL
INFORMATION
The Company is a
registered non-banking finance company engaged in the business of providing
finance. The Company is registered with the Reserve Bank of India as a Non-Banking
Finance Company (NBFC) with effect from 5 March 1998, with Registration
No.A-13.00243. The Company primarily deals in the financing of two and
three-wheelers, consumer durables, small business loans, personal loan
cross-sell, mortgage loans and loan against securities etc. The Reserve Bank of
India vide its letter dated 7 October 2010, has re-classified the Company as a
‘Loan Company’ from 'Asset Finance Company'.
FINANCIAL RESULTS
WORKING RESULTS
The
receivables under financing activity as on 31 March 2017 were INR 568320.000
Million as compared to INR 427560.000 Million as on 31 March 2016, an increase
of 33% over the previous year.
Total
income during FY2017 increased to INR 100030.000 Million from INR 73330.000
Million during FY2016, an increase of 36% over the previous year.
The
profit before tax for FY2017 was INR 28180.000 Million, as against INR
19650.000 Million for FY2016, an increase of 43% over the previous year. The
profit after tax for FY2017 was INR 18370.000 Million as compared to INR
12790.000 Million for FY2016, an increase of 44% over the previous year. This
has been due to the Company’s healthy net interest margins, operating
efficiencies and prudent risk management. The Company had an excellent year
aided by strong volume growth across all its lines of businesses. During
FY2017, the Company launched various new products and variants to strengthen
its business model and continue its growth momentum.
The
Company’s current provisioning standards are more stringent than Reserve Bank
of India (RBI) prudential norms. In line with its conservative approach, the
Company continues to strengthen its provisioning norms beyond the RBI
regulations by accelerating the provisioning to an early stage of delinquencies
based on past experience and emerging trends.
The
Company’s loan loss and provisions increased from INR 5430.000 Million in
FY2016 to INR 8180.000 Million in FY2017 taking into account the increased
business. The Company ended FY2017 with a net NPA of 0.44%.
MANAGEMENT DISCUSSION AND ANALYSIS
A MACROECONOMIC OVERVIEW
Financial
year 2016-17 (FY2017) began on a positive note. India had closed FY2016 with
growth in real GDP of 7.9% and a growth in gross value added (GVA) of 7.8%. Despite
two disconcerting facts — namely, the high level and proportion of the banking
sector’s non-performing assets coupled with a muted growth in bank credit —
there were expectations of India achieving a GDP growth rate somewhere between
7.5% and 8% in FY2017.
Unfortunately,
that has not occurred. The second advance estimates of national income forecast
by the Central Statistics Office released on 28 February 2017 suggest a real
GDP growth of 7.1% for FY2017; and a real gross value added (GVA) growth of
6.7%. Both estimates are significantly lower than what the economy achieved in
the previous year. Table 1 gives the data over the last four financial years.
On 8 November
2016, the Government announced demonetisation of INR 500 and INR 1,000
banknotes, which represented 86% of the currency in circulation. Contemporary
evidence suggested significant disruption arising out of unprecedented cash
constraints throughout the economy. For lending institutions in particular, the
impact of lower collection efficiencies was quite severe, and resulted in
poorer credit growth.
However, the
national income data published by the CSO does not suggest any significant
reduction in GDP or GVA growth in the third quarter of FY2017 which could have
been correlated with the demonetisation drive. The third quarter traditionally
tends to be muted. In FY2016, the growth rate of real GVA in Q2 was 8.4%; and
in Q3 it was 7%, or a sequential drop of 1.4 percentage points. In FY2017, GVA
growth in Q2 was 6.7%, and in Q3 it was 6.6%. In other words, despite the
effects of demonetisation for over 60% of Q3 FY2017, the negative effect — as
reported by the CSO — has been only 10 basis points. They need harder evidence
to clearly quantify the impact of demonetisation on real GDP or GVA growth.
What the data so far suggests is that it was more moderate than the naysayers
claimed it would be. And that the effects would be transitory.
If demonetisation
was not the prime cause for the lower estimate of GDP and GVA growth in FY2017,
then what were the other determinants? There are two.
The first is
insufficient investments, especially over the last five years. Gross fixed
capital formation (GFCF) for FY2017 is estimated to be only 0.6% higher than
what it was in FY2016. The share of GFCF to GDP has steadily fallen from 31.7%
in FY2015 to 31.1% in FY2016 to a low of 29.2% in FY2017. Unless investments
rapidly pick up in FY2018 and the following year, it is difficult to envisage
how India can achieve a sustained real GDP growth of 7.5%, leave aside an
aspirational target of 8%.
The second is also
related to investments and linked to the state of their banks, especially many
of those under Government ownership. Data for the quarter ended 31 December
2016 shows that for the 27 public sector banks which account for the vast
majority of the nation’s loans and advances, gross NPAs were estimated at INR
6477590.000 Million, a 140% increase over what
it was two years earlier. Today, such NPAs constituted 12% of total loans and
advances. The proportion may indeed be higher still. In any event, with these
banks being so badly stressed, there is no appetite for advancing term loans
without which, it is impossible to envisage the investment spends required to
transit to a higher growth path.
Consequently, it
is not surprising that several sectors of the economy have seen a reduction in
growth. Real GVA in mining and quarrying is estimated to grow by only 1.3% in
FY2017 versus 12.3% in the previous year. Manufacturing growth for FY2017 is
pegged at 7.7%, which will be 290 basis points lower than what it was a year
ago. GVA from trade, hotels, transport, communications and broadcasting
services are expected to grow by 7.3% compared to 10.7% in FY2016. And GVA from
financial, real estate and professional services is estimated to grow at 6.5%
in FY2017 versus 10.8% a year before.
Having said this,
it needs to be emphasised that 7.1% real GDP (or 6.7% real GVA) growth happens
to be among the highest in the developed world and across all major emerging
markets, including China. From a cross-country perspective, therefore, they
seem to be doing well enough. The issue is internal to India: Is such growth
sufficient to significantly increase incomes and employment and reduce poverty
in the country? And the answer is straightforward: they need to do much more.
What about
inflation? The Consumer Price Index (CPI) inflation varied month-to-month
between 3.2% and 6.1% during FY2017. Excluding food and fuel, however, core CPI
inflation has remained at around 4.9% since September 2016, which is somewhat
higher than what the Reserve Bank of India (RBI) is comfortable with. Thus, in
February 2017, the RBI changed its monetary policy stance from accommodative to
neutral. With core inflation remaining firm in the neighbourhood of 5%, the RBI
in its first monetary policy statement for 2017-18 (FY2018) has justified
maintaining a hawkish stance.
Growth in bank
credit continued to be subdued. Thanks to the overhang of NPAs, it grew only by
5.2% in FY2017 versus 10.2% in the previous year. On the liability side,
demonetisation led to an unnatural growth in bank deposits, which increased by
11.9% in FY2017 compared to 9.1% in FY2016. Awash with post-demonetisation
liquidity, the banks significantly reduced their incremental marginal cost
based lending rates in January 2017. This, they believe, has created a
potentially alarming situation in the banking sector, especially for the public
sector banks. On the one hand, these institutions remain saddled with high
levels of NPAs from which they earn little or no returns and need quarterly
provisioning to the detriment of their profits. On the other hand, extra
liquidity has forced a reduction in lending rates which, in turn, reduced the
net income margin from new lending. Without exaggeration, it is fair to say
that the state of most banks continue to be alarming.
How FY2018 plays
out depends upon two factors: the investment appetite of the country and a
perennial annual variable called the monsoons. Regarding the former, there is
still no sign of even a modest upsurge in private investments as firms continue
to leverage efficiency improvements and squeeze the best out of existing
capacities. As far as the latter is concerned, the India Meteorological
Department has come out with an initial forecast of a normal monsoon. That
remains to be seen. It will only be after August 2017 that they know how ample
the south west monsoon was.
On the positive
side, the roll out of the nation-wide Goods and Service Tax (GST) in FY2018
ought to aid growth. To be sure, a task as monumental as the GST will have
teething troubles in the first two quarters. They believe that it is only in
FY2019 that the country will begin to see the overall benefits of this key
economic reform. Equally, the Insolvency and Bankruptcy code ought to finally
create a market for stressed assets; and, all other things being equal, reduced
bank lending rates should make borrowing more attractive than before.
Despite these positives,
it is difficult to see a quantum jump in GDP growth in FY2018. From their
perspective, if they see India’s real GDP growing at around 7.4% to 7.5% in the
coming year, it will be a creditable achievement. Anything higher will be a
bonus.
Non-Banking
Finance Companies (NBFCs) continued to grow their share in the financial
services industry. As per data published by RBI in its Financial Stability
Report of December 2016, NBFCs have outperformed Scheduled Commercial Banks
(SCBs) on growth in advances and in asset quality.
UNSECURED LOAN:
|
PARTICULARS |
31.03.2017 INR In Million |
31.03.2016 INR In Million |
|
LONG TERM BORROWINGS |
|
|
|
Privately placed partly paid redeemable non-convertible debentures |
1241.000 |
0.000 |
|
Privately placed Subordinated (Tier II) redeemable non-convertible debentures |
33383.000 |
12783.000 |
|
Term loans from bank |
0.000 |
1000.000 |
|
Fixed deposits |
21094.400 |
12276.600 |
|
Inter-corporate deposits |
1240.000 |
0.000 |
|
SHORT TERM BORROWINGS |
|
|
|
From banks: |
|
|
|
Overdraft facility |
5025.200 |
6423.800 |
|
Working capital demand loan |
5000.000 |
5000.000 |
|
Fixed deposits |
7256.200 |
5484.500 |
|
Inter-corporate deposits |
4351.800 |
0.000 |
|
Borrowings by issue of commercial papers |
45886.900 |
16276.100 |
|
Total |
124478.500 |
59244.000 |
STANDALONE
UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 30TH
SEPTEMBER 2017
(INR In Million)
|
Particulars |
Quarter ended |
Half Year Ended |
|
|
|
30.09.2017 |
30.06.2017 |
30.09.2017 |
|
|
Unaudited |
Unaudited |
Unaudited |
|
INCOME FROM OPERATIONS |
|
|
|
|
Net Sales |
30862.400 |
31123.300 |
61985.700 |
|
Other Operating Income |
160.900 |
140.400 |
301.300 |
|
Total
Income from Operations |
31023.300 |
31263.700 |
62287.000 |
|
|
|
|
|
|
EXPENSES |
|
|
|
|
Employee benefits expense |
3361.800 |
3081.900 |
6443.700 |
|
Finance Costs |
11437.800 |
10779.500 |
22217.300 |
|
Depreciation and Amortization expenses |
240.700 |
218.800 |
459.500 |
|
Loan losses and provisions |
2278.200 |
2816.500 |
5094.700 |
|
Other Expenditure |
5149.7000 |
5112.700 |
12062.400 |
|
Total
Expenses |
22468.200 |
22009.400 |
44477.600 |
|
|
|
|
|
|
Profit
/ (Loss) before Tax |
8555.100 |
9254.300 |
17809.400 |
|
Tax
Expense |
|
|
|
|
Current tax |
3451.500 |
3315.000 |
6766.500 |
|
Deferred tax expenses |
(465.400) |
(81.100) |
(546.500) |
|
Total
Tax Expense |
2986.100 |
3233.900 |
6220.000 |
|
Profit
/ (Loss) after Tax |
5569.000 |
6020.400 |
11589.400 |
|
Paid-up Equity Share Capital (Face value INR 2/- per
share) |
1149.500 |
1095.200 |
1149.500 |
|
Reserves (excluding Revaluation Reserve) |
-- |
-- |
-- |
|
Earnings per Share (EPS) - INR |
|
|
|
|
Basic
EPS (in INR) |
10.06 |
11.00 |
21.06 |
|
Diluted
EPS (in INR) |
9.96 |
10.97 |
20.84 |
STATEMENT
OF ASSETS AND LIABILITIES
|
SOURCES OF FUNDS |
30.09.2017 |
|
|
|
|
I.
EQUITY AND LIABILITIES |
|
|
(1)Shareholders' Funds |
|
|
(a) Share Capital |
1149.500 |
|
(b) Reserves &
Surplus |
149094.700 |
|
(c) Money received
against share warrants |
0.000 |
|
|
|
|
(2) Share Application
money pending allotment |
0.000 |
|
Total Shareholders’ Funds
(1) + (2) |
150244.200 |
|
|
|
|
(3) Non-Current Liabilities |
|
|
(a) long-term borrowings |
389735.000 |
|
(b) Deferred tax
liabilities (Net) |
0.000 |
|
(c) Other long term
liabilities |
4685.300 |
|
(d) long-term provisions |
3613.500 |
|
Total Non-current
Liabilities (3) |
398033.800 |
|
|
|
|
(4) Current Liabilities |
|
|
(a) Short term borrowings |
57654.200 |
|
(b) Trade payables |
4571.000 |
|
(c) Other current
liabilities |
81523.500 |
|
(d)Other current
liabilities – current maturities of long term borrowing |
49622.000 |
|
(e) Short-term provisions
- Others |
9778.400 |
|
Total Current Liabilities
(4) |
203149.100 |
|
|
|
|
TOTAL |
751427.100 |
|
|
|
|
II.
ASSETS |
|
|
(1) Non-current assets |
|
|
(a) Fixed Assets |
|
|
(i) Tangible assets |
2877.000 |
|
(ii) Intangible Assets |
835.200 |
|
(iii) Capital
work-in-progress |
0.000 |
|
(iv) Intangible assets
under development |
0.000 |
|
(b) Non-current
Investments |
10774.200 |
|
(c) Deferred tax assets
(net) |
4237.200 |
|
(d) Long-term Loan and Advances |
811.600 |
|
(e) Other Non-current
assets |
0.000 |
|
Receivables under
financing activity |
383643.100 |
|
Total Non-Current Assets |
403178.300 |
|
|
|
|
(2) Current assets |
|
|
(a) Current investments |
20233.600 |
|
(b) Inventories |
0.000 |
|
(c) Receivables under
financing activity |
310934.200 |
|
(d) Cash and cash
equivalents |
5622.500 |
|
(e) Short-term loans and
advances |
5775.500 |
|
(f) Other current assets |
5683.000 |
|
Total Current Assets |
348248.800 |
|
|
|
|
TOTAL |
751427.100 |
Note:
1. The above results have been reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on 16 October 2017 and have been subjected to a limited review by the Statutory Auditors.
2. Figures for the previous periods have been regrouped, wherever necessary, to
make them comparable with the current period.
3. The Company is engaged primarly in the business of financing and accordingly there are no separate reportable segments as per Accounting Standard 17 dealing with Segment Reporting.
4. Pursuant to the option given by Regulation 33 of the SEBI (Listing
Obligations and Disclosure Requirements) Regulations, 2015, the Company has
opted to publish standalone financial results during financial year 2017-18.
5. The secured non-convertible debentures issued by the Company are fully
secured by first pari passu charge by mortgage of the Company's immovable
property at Pune/ Chennai and by hypothecation of book debts / loan receivables
to the extent as stated in the respective information memorandum.
6. During the quarter, on 8 August 2017, the Company entered into an agreement
with One Mobikwik Systems Private Limited ("Mobikwik") and has
invested an amount of approximately INR 2250.000 Million in the equity shares
and cumulative compulsorily convertible preference shares of Mobikwik.
7. During the quarter, on 12 September 2017, the Company through Qualified
Institutions Placement (QIP) allotted 2,66,27,218 equity shares to the eligible
Qualified Institutional Buyers (QIB) at a price of INR 1,690 per equity share
of INR 2 face value (inclusive of premium of INR 1,688 per share) aggregating
to approximately INR 45000.000 Million. The issue was made in accordance with
the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009.
Funds received in the QIP of equity shares have been utilized for the purpose
mentioned in the objects of the issue in the offer document.
CONTINGENT LIABILITIES:
(INR in million)
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
|
Disputed claims against the Company not acknowledged as debts |
172.900 |
173.400 |
|
VAT matters under appeal |
22.400 |
68.600 |
|
ESI matters under appeal |
51.400 |
51.400 |
|
Service tax matters under appeal: |
|
|
|
On interest subsidy |
11471.000 |
0.000 |
|
On others |
0.000 |
14.900 |
|
Income tax matters: |
|
|
|
Appeals by the Company |
129.300 |
98.000 |
|
Appeals by the Income tax department |
329.800 |
493.600 |
|
i) The Company is of the opinion that the above demands are not sustainable and expects to succeed in its appeals/defense. ii) The Commissioner of Service Tax, during the year, confirmed the demand of service tax on interest subsidy received from manufacturers and dealers, which was previously questioned by show cause notice issued on the Company. Consequently, the Commissioner has demanded service tax amounting of INR 6446.500 Million for the period up to 30 September 2016, interest approximating INR 3035.000 Million (Interest up to 31 March 2017) and penalty of INR 1989.500 Million. The Company has disputed the said demand and in accordance with legal advice, is in the process of filing an appeal refuting the said claim. The Company in line with the opinion obtained from an Eminent Counsel, is of view that the said demands are not tenable and has accordingly disclosed it as a contingent liability. iii) It is not practicable for the Company to estimate the timings of the cash flows, if any, in respect of the above pending resolution of the respective proceedings. |
||
INDEX OF CHARGE:
|
SNO |
SRN |
CHARGE ID |
CHARGE HOLDER NAME |
DATE OF CREATION |
AMOUNT |
ADDRESS |
|
1 |
G73270373 |
100147180 |
CATALYST
TRUSTEESHIP LIMITED |
27/12/2017 |
4000000000.0 |
GDA HOUSE, FIRST
FLOOR, PLOT NO. 85S. NO. 94 & 95, BHUSARI COLONY (RIGHT),
KOTHRUDPUNEMA411038IN |
|
2 |
G73271496 |
100147188 |
CATALYST
TRUSTEESHIP LIMITED |
27/12/2017 |
10850000000.0 |
GDA HOUSE, FIRST
FLOOR, PLOT NO. 85S. NO. 94 & 95, BHUSARI COLONY (RIGHT),
KOTHRUDPUNEMA411038IN |
|
3 |
G55839609 |
100131372 |
CATALYST
TRUSTEESHIP LIMITED |
05/10/2017 |
11800000000.0 |
GDA HOUSE, FIRST
FLOOR, PLOT NO. 85S. NO. 94 & 95, BHUSARI COLONY (RIGHT),
KOTHRUDPUNEMA411038IN |
|
4 |
G48139158 |
100110314 |
CATALYST
TRUSTEESHIP LIMITED |
04/07/2017 |
3650000000.0 |
GDA HOUSE, FIRST
FLOOR, PLOT NO. 85S. NO. 94 & 95, BHUSARI COLONY (RIGHT),
KOTHRUDPUNEMA411038IN |
|
5 |
G48142640 |
100110528 |
CATALYST
TRUSTEESHIP LIMITED |
04/07/2017 |
10250000000.0 |
GDA HOUSE, FIRST
FLOOR, PLOT NO. 85S. NO. 94 & 95, BHUSARI COLONY (RIGHT),
KOTHRUDPUNEMA411038IN |
|
6 |
G59561340 |
100131588 |
CATALYST
TRUSTEESHIP LIMITED |
04/07/2017 |
10000000000.0 |
GDA HOUSE, FIRST
FLOOR, PLOT NO. 85S. NO. 94 & 95, BHUSARI COLONY (RIGHT),
KOTHRUDPUNEMA411038IN |
|
7 |
G46230629 |
100105626 |
CATALYST
TRUSTEESHIP LIMITED |
07/06/2017 |
8855000000.0 |
GDA HOUSE, FIRST
FLOOR, PLOT NO. 85S. NO. 94 & 95, BHUSARI COLONY (RIGHT),
KOTHRUDPUNEMA411038IN |
|
8 |
G46232096 |
100105627 |
CATALYST
TRUSTEESHIP LIMITED |
07/06/2017 |
2500000000.0 |
GDA HOUSE, FIRST
FLOOR, PLOT NO. 85S. NO. 94 & 95, BHUSARI COLONY (RIGHT),
KOTHRUDPUNEMA411038IN |
|
9 |
G46233177 |
100105629 |
CATALYST
TRUSTEESHIP LIMITED |
07/06/2017 |
2250000000.0 |
GDA HOUSE, FIRST
FLOOR, PLOT NO. 85S. NO. 94 & 95, BHUSARI COLONY (RIGHT),
KOTHRUDPUNEMA411038IN |
|
10 |
G46651675 |
100105921 |
CATALYST
TRUSTEESHIP LIMITED |
07/06/2017 |
10000000000.0 |
GDA HOUSE, FIRST
FLOOR, PLOT NO. 85S. NO. 94 & 95, BHUSARI COLONY (RIGHT),
KOTHRUDPUNEMA411038IN |
FIXED ASSETS:
Tangible assets
- Leasehold improvements
- Land freehold
- Building
- Computers
- Office equipments
- Furniture and fixtures
- Vehicles
Intangible assets
- Specialised software
WEBSITE DETAILS
PRESS RELEASES /
NEWS
BAJAJ FINANCE TO
ACQUIRE 12.6% IN MOBIKWIK
In August last year, Bajaj Finance had entered into a subscription agreement with One MobiKwik Systems to acquire 10.83 per cent stake for about INR 2250.000 Million.
Bajaj Finance today said it will acquire 12.60 per cent stake in mobile wallet company Mobikwik as against 10.83 per cent stated earlier due to a change in conversion price of the compulsory convertible cumulative preference shares.
In August last year, Bajaj Finance had entered into a subscription agreement with One MobiKwik Systems to acquire 10.83 per cent stake for about INR 2250.000 Million.
"Due to the change in the conversion price of compulsory convertible cumulative preference shares (CCCPS)...the company will now hold approximately 12.60 per cent of equity in Mobikwik on a fully diluted basis post conversion of CCCPS, as and when it happens," it added.
"There is no further investment made by the company that what has been made earlier," it added.
Under the agreement, Bajaj Finance will acquire 10 equity shares and 271,050 compulsory convertible preference cumulative preference shares (CCCPS) of Mobikwik.
Shares of Bajaj Finance were trading down 2.16 per cent at INR 1,704.25 on BSE.
BAJAJ FINANCE'S Q2
NET PROFIT RISES 37% AT INR 5570.000 MILLION; ASSET QUALITY IMPROVES
The net interest income (NII) was higher by over 41 percent at INR 19580.000 Million against INR 1385.000 Million year on year.
NBFC major Bajaj Finance reported 37 percent rise in its September quarter net profit at INR 5570.000 Million against INR 4080.000 Million during the same period last year. The number was largely in line with CNBC-TV18 poll of INR 5660.000 Million.
The net interest income (NII) was higher by over 41 percent at INR 19580.000 Million against INR 13850.000 Million year on year. The revenue was reported at INR 30860.000 Million against INR 23350.000 Million during the same quarter last year.
The asset quality was slightly better as net NPAs were seen at 0.51 percent against 0.53 percent in the previous quarter, while gross NPAs was seen at 1.68 percent against 1.7 percent quarter on quarter.
The assets under management (AUMs) were up 38 percent at INR 721390.000 Million against INR 523320.000 Million in the same period last year, while provision coverage ratio was seen at 70 percent as of September 30.
At 14:08 hrs Bajaj Finance was quoting at INR 1,922.15, down INR 32.70, or 1.67 percent, on the BSE. It touched an intraday high of INR 1,972.45 and an intraday low of INR 1,920.05.
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 63.50 |
|
|
1 |
INR 90.92 |
|
Euro |
1 |
INR 79.07 |
INFORMATION DETAILS
|
Information Gathered
by : |
AKY |
|
|
|
|
Analysis Done by
: |
DIV |
|
|
|
|
Report Prepared
by : |
KVT |
SCORE FACTORS
|
DEMERIT POINTS |
|
|
|
--BANK CHARGES |
YES/NO |
YES |
|
--LITIGATION |
YES/NO |
YES |
|
--OTHER ADVERSE INFORMATION |
YES/NO |
NO |
|
MERIT POINTS |
|
|
|
--SOLE DISTRIBUTORSHIP |
YES/NO |
NO |
|
--EXPORT ACTIVITIES |
YES/NO |
NO |
|
--AFFILIATION |
YES/NO |
YES |
|
--LISTED |
YES/NO |
YES |
|
--OTHER MERIT FACTORS |
YES/NO |
YES |
RATING EXPLANATIONS
|
Credit Rating |
Explanation |
Rating Comments |
|
A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
|
A+ |
Low Risk |
Business dealings permissible with low
risk of default |
|
A |
Acceptable Risk |
Business dealings permissible with moderate
risk of default |
|
B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
|
C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
|
D |
High Risk |
Business dealing not recommended or on secured
terms only |
|
NB |
New Business |
No recommendation can be done due to
business in infancy stage |
|
NT |
No Trace |
No recommendation can be done as the
business is not traceable |
NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.
This score serves as a reference to assess
SC’s credit risk and to set the amount of credit to be extended. It is
calculated from a composite of weighted scores obtained from each of the major
sections of this report. The assessed factors are as follows:
·
Financial
condition covering various ratios
·
Company
background and operations size
·
Promoters
/ Management background
·
Payment
record
·
Litigation
against the subject
·
Industry
scenario / competitor analysis
·
Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.