MIRA INFORM REPORT

Report No. :	496575
Report Date :	12.03.2018

IDENTIFICATION DETAILS

Name :	NAVKAR EXPORTS
Registered Office :	20, Pudhu Thottam, 1st Street, Sheriff Colony Extension, Tiruppur - 641604, Tamilnadu
Tel. No.:	91-421-2211741
Country :	India
Financials (as on) :	31.03.2017
Year of Establishment :	1996
Capital Investment :	INR 102.438 Million
IEC No.:	Not Applicable [As informed by the management that firm does not have export and import]
TIN No.:	Not Divulged
GST No.:	33AACFN4868P1ZP
PAN No.: [Permanent Account No.]	AACFN4868P
Legal Form :	Partnership Concern with an Unlimited Liability of the Partners
Line of Business :	Manufacturer of Grey Fabric. [Confirmed by Management]
No. of Employees :	05 [Approximately]

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23^rd January 2017)

MIRA’s Rating :

A

Credit Rating	Explanation	Rating Comments
A	Acceptable Risk	Business dealings permissible with moderate risk of default

Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is a partnership concern established in the year 1996. It is a manufacturing of grey fabric. As per the financial records of 2017, the concern has achieved a favourable growth revenue as compared to the previous year’s revenue and has reported a low profitability margin. The satisfactory financial position of the concern’s is reflected by adequate capital base along with comfortable debt balance sheet profile. Payments seems to slow but correct. In view of aforesaid, the concern can be considered for business dealings at usual trade terms and conditions.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List

Country Name	Previous Rating (30.09.2017)	Current Rating (31.12.2017)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderately Low Risk	B1
Moderate Risk	B2
Moderately High Risk	C1
High Risk	C2
Very High Risk	D

EXTERNAL AGENCY RATING

NOT AVAILABLE

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2016.

BIFR (Board for Industrial & Financial Reconstruction) LISTING STATUS

Subject’s name is not listed as a Sick Unit in the publicly available BIFR (Board for Industrial & Financial Reconstruction) list as of 12.03.2018.

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 PARTED BY

Name :	Mr. Ranganath
Designation :	Accountant
Contact No.:	91-421-2214721
Date :	08.03.2018

LOCATIONS

Registered Office/ Factory :	20, Pudhu Thottam, 1st Street, Sheriff Colony Extension, Tiruppur - 641604, Tamilnadu, India
Tel. No.:	91-421-2211741
Fax No.:	91-421-2214721
E-Mail :	navkar.export@yahoo.co.in
Location :	Owned
Locality :	Commercial

PARTNERS

Name :	Mr. Kishor Kumar
Designation :	Partner
Name :	Mr. Mahavir Chand
Designation :	Partner
Name :	Mrs. Nirmala Devi
Designation :	Partner
Name :	Mrs. Manju Devi
Designation :	Partner

KEY EXECUTIVES

Name :	Mr. Ranganath
Designation :	Accountant

BUSINESS DETAILS

Line of Business :	Manufacturer of Grey Fabric. [Confirmed by Management]
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Available
Imports :	Not Available
Terms :
Selling :	Cheque
Purchasing :	Cheque

GENERAL INFORMATION

Suppliers :

Reference:	Not Divulged
Name of the Person (Designation):	--
Contact Number:	--
Since how long known:	--
Maximum limit dealt:	--
Experience:	--
Remark	--

Customers :

Wholesalers and Retailers

Reference:	Not Divulged
Name of the Person (Designation):	--
Contact Number:	--
Since how long known:	--
Maximum limit dealt:	--
Experience:	--
Remark	--

No. of Employees :

05 [Approximately]

Bankers :

Bank Name:	IndusInd Bank
Branch:	No. 1 & 32-A, KMA Building Eswaran Kovil, North Street, Tirupur - 641601, Tamilnadu, India
Person Name (with Designation):	--
Contact Number:	91-421-2421875/ 2423875
Name of Account Holder:	--
Account Number:	A/C No.: 200013722931 IFSC No.: INDB0000580 [Not confirmed with bank]
Account Since (Date/ Year of A/c Opening):	--
Average Balance Maintained (Optional):	--
Credit Facilities Enjoyed (CC/OD/Term Loan):	--
Account Operation:	--
Remarks:	We have tried to contact several times to the bank but the number is ringing

Bank Name:	Axis Bank Limited
Branch:	No. 3, Court Street, Tirupur Branch, Tamilnadu, India
Person Name (with Designation):	Mr. Biju (Customer Executive)
Contact Number:	91-421-4242868
Name of Account Holder:	--
Account Number:	A/C No.: 912020029570324 IFSC No.: UTIB0000210
Account Since (Date/ Year of A/c Opening):	5 Years
Average Balance Maintained (Optional):	--
Credit Facilities Enjoyed (CC/OD/Term Loan):	--
Account Operation:	--
Remarks:	As confirmed by Mr. Biju (Customer Executive) that they are satisfactory with the subject companies banking transaction.

Auditors :
Name :	Mithalal Jain and Associates Chartered Accountants
Address :	Coimbatore, Tamilnadu, India
Memberships :	Not Available
Collaborators :	Not Available
Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

Capital Investment :	INR in Million
Partners Capital A/C
Kishore Kumar Chhaganraj	35.739
Mahaveerchand Chhaganraj	42.973
Nirmala Devi	11.268
Manuju Devi	12.458
Total :	102.438

FINANCIAL ANALYSIS

[all figures are in INR Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2017	31.03.2016
SHAREHOLDERS FUNDS
1] Capital Account		102.438	103.917
2] Reserves & Surplus		0.000	0.000
NETWORTH		102.438	103.917
LOAN FUNDS
1] Secured Loans		2.479	3.874
2] Unsecured Loans		0.000	0.000
TOTAL BORROWING		2.479	3.874
DEFERRED TAX LIABILITIES		0.000	0.000
TOTAL		104.917	107.791
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		7.461	54.919
Capital work-in-progress		0.000	0.000
INVESTMENT		0.000	0.000
DEFERRED TAX ASSETS		0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	0.000	0.000
	Sundry Debtors	338.715	201.867
	Cash & Bank Balances	42.077	33.018
	Other Current Assets	7.026	9.526
	Loans & Advances	1.002	1.000
Total Current Assets		388.820	245.411
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	219.672	121.098
	Other Current Liabilities	0.000	0.000
	Provisions	71.692	71.441
Total Current Liabilities		291.364	192.539
Net Current Assets		97.456	52.872
MISCELLANEOUS EXPENSES		0.000	0.000
TOTAL		104.917	107.791

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2017	31.03.2016
	SALES
		Sales	1002.075	750.211
		Other Income	3.230	13.932
		TOTAL	1005.305	764.143
Less	EXPENSES
		Purchase	927.588	711.994
		Direct exp.	6.659	5.009
		Buyer credit charges	1.700	0.000
		Commission exp.	1.824	4.491
		Discount	0.000	0.351
		Salary	0.827	0.000
		Currency difference	0.721	0.000
		Cross subsidy	2.324	0.000
		Goods checking expenses	0.535	0.385
		Hamali exp.	0.573	0.414
		Local freight charges	0.050	0.198
		Petrol exp.	0.076	0.126
		Shippment charges	0.129	0.225
		Stationery Charges	0.025	0.022
		Telephone Charges	0.030	0.018
		Travelling Charges	0.110	0.091
		Other Expenses	0.465	0.422
		TOTAL	943.636	723.746
	PROFIT/ (LOSS) BEFORE INTEREST AND DEPRECIATION AND AMORTISATION		61.669	40.397
Less	FINANCIAL EXPENSES		3.142	4.982
	PROFIT / (LOSS) BEFORE DEPRECIATION AND AMORTISATION		58.527	35.415
Less/ Add	DEPRECIATION/ AMORTISATION		57.646	31.084
	NET PROFIT/ (LOSS)		0.881	4.331

KEY RATIOS

EFFICIENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016
Average Collection Days (Sundry Debtors / Income * 365 Days)	123.37	98.21
Account Receivables Turnover (Income / Sundry Debtors)	2.96	3.72
Average Payment Days (Sundry Creditors / Purchases * 365 Days)	86.44	62.08
Inventory Turnover (Operating Income / Inventories)	0.00	0.00
Asset Turnover (Operating Income / Net Fixed Assets)	8.27	0.74

LEVERAGE RATIOS

PARTICULARS	31.03.2017	31.03.2016
Debt Ratio ((Borrowing + Current Liabilities) / Total Assets)	0.74	0.65
Debt Equity Ratio (Total Liability / Networth)	0.02	0.04
Current Liabilities to Networth (Current Liabilities / Net Worth)	2.84	1.85
Fixed Assets to Networth (Net Fixed Assets / Networth)	0.07	0.53
Interest Coverage Ratio (PBIT / Financial Charges)	19.63	8.11

PROFITABILITY RATIOS

PARTICULARS		31.03.2017	31.03.2016
Net Profit Margin ((PAT / Sales) * 100)	%	0.09	0.58
Return on Total Assets ((PAT / Total Assets) * 100)	%	0.22	1.44
Return on Investment (ROI) ((PAT / Networth) * 100)	%	0.86	4.17

SOLVENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016
Current Ratio (Current Assets / Current Liabilities)	1.33	1.27
Quick Ratio ((Current Assets – Inventories) / Current Liabilities)	1.33	1.27
G-Score Ratio Financial (Networth / Total Assets)	0.26	0.35
G-Score Ratio Debt (Debts / Equity Capital)	0.02	0.04
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities)	1.33	1.27

Total Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term debts

FINANCIAL ANALYSIS

[all figures are in INR Million]

DEBT EQUITY RATIO

Particular	31.03.2016	31.03.2017
	INR In Million	INR In Million
Share Capital	103.917	102.438
Reserves & Surplus	0.000	0.000
Net worth	103.917	102.438
Secured Loans	3.874	2.479
Unsecured Loans	0.000	0.000
Total borrowings	3.874	2.479
Debt/Equity ratio	0.037	0.024

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2016	31.03.2017
	INR In Million	INR In Million
Sales	750.211	1002.075
		33.572

NET PROFIT MARGIN

Net Profit Margin	31.03.2016	31.03.2017
	INR In Million	INR In Million
Sales	750.211	1002.075
Profit	4.331	0.881
	0.58%	0.09%

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check list by info agents	Available in Report (Yes/No)
1	Year of establishment	Yes
2	Constitution of the entity -Incorporation details	Yes
3	Locality of the entity	Yes
4	Premises details	No
5	Buyer visit details	--
6	Contact numbers	Yes
7	Name of the person contacted	Yes
8	Designation of contact person	Yes
9	Promoter’s background	No
10	Date of Birth of Proprietor / Partners / Directors	No
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	No
18	Major suppliers	No
19	Major customers	No
20	Banking Details	Yes
21	Banking facility details	No
22	Conduct of the banking account	Yes
23	Financials, if provided	Yes
24	Capital in the business	Yes
25	Last accounts filed at ROC, if applicable	No
26	Turnover of firm for last two years	Yes
27	Reasons for variation <> 20%	--
28	Estimation for coming financial year	No
29	Profitability for last two years	Yes
30	Major shareholders, if available	No
31	External Agency Rating, if available	No
32	Litigations that the firm/promoter involved in	--
33	Market information	--
34	Payments terms	Yes
35	Negative Reporting by Auditors in the Annual Report	No

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	INR
US Dollar	1	INR 65.08
UK Pound	1	INR 89.85
Euro	1	INR 80.16

INFORMATION DETAILS

Information Gathered by :	KMN
Analysis Done by :	NYT
Report Prepared by :	ARC

SCORE FACTORS

DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--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	NO
--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)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.