MIRA INFORM REPORT

 

 

Report No. :

497954

Report Date :

14.03.2018

 

 

 

IDENTIFICATION DETAILS

 

Name :

ABB INDIA LIMITED (w.e.f. 14.06.2013)

 

 

Formerly Known As :

ABB LIMITED (w.e.f. 2013)

 

ASEA BROWN BOVERI LIMITED (w.e.f. 13.10.1989)

 

HINDUSTAN BROWN BOVERI LIMITED (w.e.f. 1965)

 

HINDUSTAN ELECTRIC COMPANY LIMITED

 

 

Registered Office :

21st Floor, World Trade Center, Brigade Gateway, No.26/1, Dr. Rajkumar Road, Malleshwaram (West), Bangalore – 560055, Karnataka

Tel. No.:

91-80-22949150

 

 

Country :

India

 

 

Financials (as on) :

31.12.2017

 

 

Date of Incorporation :

24.12.1949

 

 

Com. Reg. No.:

08-032923

 

 

Capital Investment / Paid-up Capital :

INR 423.800 Million

 

 

CIN No.:

[Company Identification No.]

L32202KA1949PLC032923

 

 

IEC No.:

[Import-Export Code No.]

0388038047

 

 

TIN No:

29450069265

 

 

GSTN :

[Goods & Service Tax Registration No.]

29AAACA3834B1Z4

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

Not Available

 

 

PAN No.:

[Permanent Account No.]

AAACA3834B

 

 

Legal Form :

A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.

 

 

Line of Business :

The subject is engaged in:

 

1. Manufacture of electric motors, generators, transformers and electricity distribution and control apparatus.

2. Manufacture of electronic components.

3. Manufacture of measuring, testing, navigating and control equipment; watches and clocks. (Registered Activity)

 

 

No. of Employees (As on 31.12.2016) :

5603 (Approximately)

 

 

RATING & COMMENTS

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

 

MIRA’s Rating :

A++

 

Credit Rating

Explanation

Rating Comments

A++

Minimum Risk

Business dealings permissible with minimum risk of default

 

Status :

Excellent

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Clear

 

 

Comments :

Subject is subsidiary of ‘ABB Asea Brown Boveri Limited’, Zurich.

 

 The company provides solutions for secure, energy-efficient generation, transmission and distribution of electricity and for increasing productivity in industrial, commercial and utility operations.

 

For the financial year 2017, the company has increased its revenue from operation as compared to previous year and maintained average profitability margin of 4.48%.

 

Rating takes into consideration strong financial profile of the company marked by healthy networth base and negligible debt balance sheet.

 

Further, rating also reflected from its established market position in the power and automation technology segments, strong operational, technologies and management support form ABB Limited.

 

Share price are quoted high on stock exchange (Share Price of INR 1398 with Face Value of INR 2).

 

These rating strengths are partially offset by the susceptibility of the company’s operating margin to intense competition and its exposure to structural issues in power sector.

 

Trade relations are reported as fair. Business is active. Payments are seems to be regular and as per commitment.

 

In view of established market position, the company can be considered good for normal 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

 

Rating Agency Name

CRISIL

Rating

Fund Base CC Limit (AAA)

Rating Explanation

Highest degree of safety and carry lowest credit risk.

Date

September 28, 2017

 

Rating Agency Name

CRISIL

Rating

Short-term Rating: A1+

Rating Explanation

Very strong degree of safety and carry lowest credit risk.

Date

September 28, 2017

 

 

RBI DEFAULTERS’ LIST STATUS

 

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

 

 

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 14.03.2018.

 

 

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.

 

 

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.

 

 

LOCATIONS

 

Registered/ Corporate Office :

21st Floor, World Trade Center, Brigade Gateway, No.26/1, Dr. Rajkumar Road, Malleshwaram (West), Bangalore – 560055, Karnataka, India

Tel. No.:

91-80-22949150/ 53/ 54

Fax No.:

91-80-22949148

E-Mail :

ashay.khandwala@in.abb.com

b.gururaj@in.abb.com 

investor.helpdesk@in.abb.com

Website :

http://www.abb.co.in

 

 

Branch Office:

22A, Shah Industrial Estate, Off Verna Desai Road, Andheri (West), Mumbai – 400053, Maharashtra, India

 

 

Marketing Office:

ABB House, Dr. S B Path, Old Goa Street, Ballard Estate, Mumbai – 400025, Maharashtra, India

Tel No.:

91-22-66159800

 

 

Development Office :

KSSIDC IT/BT Park, Plot No. 1,2,3,4,  Rajajinagar Industrial Estate, 6th Block,  Bangalore – 560010, Karnataka, India

 

 

Factory 1 :

32, Industrial Area, NIT, Faridabad-121001, Haryana, India

Tel No.:

91-129-2448100

 

 

Factory 2 :

Menaja Village, Bank of Baroda Road, J.D. Nagar, Maneja, Vadodara - 390013, Gujarat, India

 

 

Factory 3 :

485/6, 14th Cross, 4th Phase, Peenya Industrial Area, Bangalore – 560058, Karnataka, India

Tel. No.:

91-80 2294 9449

 

 

Factory 4 :

Plot No.79, Street No.17, MIDC, Industrial Area, Satpur, Nashik – 422007, Maharashtra, India

 

 

Factory 5 :

A1 and A2, III Stage, Peenya Industrial Area, Bangalore – 560058, Karnataka, India

 

 

Factory 6 :

Power Electroics Excitation System Unit - 88/3 – 88/6, Basavanahalli Village, Kasaba Hobli, Bangalore North, Nelamangala – 562123, Karnataka, India

 

 

Factory 7 :

AP LV Control Products, Plot No 5&6, 2nd Phase, P.O. No. 5806, Peenya Industrial Area  Bangalore – 560048, Karnataka, India

 

 

Factory 8 :

Khanija, Bhavan, Race Course Road, 2nd Floor, No.49, West, Bangalore – 560001, Karnataka, India  

 

 

Factory 9 :

Halol Champaner Road, PO: Chqandrapura, District Panchmahal, Taluka Halol-391520, Gujarat, India

 

 

Factory 10 :

Plot No 25 and 36, (Alindra) Savli GIDC, Industrial Estate, Talika Savli District Vadodara– 391775, Gujarat, India

 

 

Factory:

Also Located At:

 

  • Haridwar
  • Mumbai
  • Mysore

 

 

DIRECTORS

 

As on: 2017

 

Name :

Mr. Sanjeev Sharma

Designation :

Managing Director

Address :

3AA The Avare, No.2 Lorong Kuda 50450, Kuala Lumpur, 999999,  Malaysia

Date of Appointment :

01.01.2016

DIN No.:

07362344

 

 

Name :

Jean Christophe Georges Deslarzes

Designation :

Director

Address :

Runggelmatt 3 Wollerau 8832, China

Date of Appointment :

08.02.2018

DIN No.:

08064621

 

 

Name :

Mr. Nasser Mukhtar Munjee

Designation :

Director

Address :

Benedict Villa, House No.471, Saud Vaddo, Chorao Island, Tiswadi, Goa-403102, India

Date of Birth/Age :

18.11.1952

Qualification :

Post Graduate in Economics from ‘The London School Of Economics’

Date of Appointment :

20.02.2002

DIN No.:

00010180

 

 

Name :

Mr. Darius E Udwadia

Designation :

Director

Address :

Empress Court, 142, M-Karve Road, Mumbai-400020, Maharashtra, India

Date of Birth/Age :

27.09.1939

Qualification :

B.A, M.A, LL B.

Date of Appointment :

21.07.2005

DIN No.:

00009755

 

 

Name :

Renu Sud Karnad

Designation :

Director

Address :

BB-14, Greater Kailash, Enclave-II, New Delhi-110048, India

Date of Birth/Age :

03.09.1952

Qualification :

Master in Arts, Economics, University of Delhi and Bachelor of Law, University of Mumbai.

Date of Appointment :

09.08.2013

DIN No.:

00008064

 

 

Name :

Mr. Tarak Bhadresh Mehta

Designation :

Director

Address :

Stockenstrasse 67, Kilchberg, Zurich, Kilchberg, 8802, Switzerland

Date of Birth/Age :

16.10.1966

Qualification :

BS Mechanical Engineering

MBA Finance and Marketing

Date of Appointment :

28.10.2014

DIN No.:

06995639

 

 

KEY EXECUTIVES

 

Name :

Mr. Gururaj Bhujanga Rao

Designation :

Company Secretary

Address :

S-1, 'Padma', No.38, 8th Cross, 5th Main, Malleswaram, Bangalore-560001, Karnataka, India

Date of Appointment :

01.10.2002

PAN No.:

AANPB2813P

 

 

Name :

Tyagavalli Krishnaswamy Sridhar

Designation :

Chief Financial Officer

Address :

Flat No. 36/5, UP Homes, 16th Cross, 11th Main, Malleswaram, Bangalore-560055, Karnataka, India

Date of Appointment :

24.07.2015

PAN No.:

ANIPS7791R

 

 

Audit Committee :

·         Nasser Munjee - Director (Chairman)

·         Darius E Udwadia - Director

·         Renu Sud Karnad - Director

·         Tarak Mehta - Director

 

 

Stakeholders Relationship Committee :

·         Darius E Udwadia - Director (Chairman)

·         Renu Sud Karnad - Director

·         Sanjeev Sharma - Member

 

 

Nomination and Remuneration Committee :

·         Nasser Munjee - Director (Chairman)

·         Renu Sud Karnad - Director

·         Frank Duggan - Director

 

 

Corporate Social Responsibility Committee :

·         Renu Sud Karnad - Director (Chairperson)

·         Sanjeev Sharma - Member

·         Tarak Mehta - Director

 

 

Risk Management Committee :

·         Nasser Munjee - Director (Chairman)

·         Frank Duggan - Director

·         Sanjeev Sharma - Member

·         T.K. Sridhar – Member

·         Piamber Shivnani - member

 

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

AS ON DECEMBER 2017

 

Category of shareholder

Total Nos. shares held

% of total no. of shares

(A) Promoter & Promoter Group

158931281

75.00

(B) Public

52977094

25.00

Grand Total

211908375

100.00

 

 

 

STATEMENT SHOWING SHAREHOLDING PATTERN OF THE PROMOTER AND PROMOTER GROUP"

 

Category of shareholder

Total nos. shares held

 % of total no. of shares

A1) Indian

 

A2) Foreign

0.00

Any Other (specify)

158931281

75.00

ABB Norden Holding AB

12540330

5.92

ABB Asea Brown Boveri Limited

146390951

69.08

Sub Total A2

158931281

75.00

A=A1+A2

158931281

75.00

 

 

 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 %

B1) Institutions

 

Mutual Funds/

5687719

2.68

R Shares Junior Bees-Investments A/c

2721617

1.28

Foreign Portfolio Investors

9251693

4.37

ABERDEEN GLOBAL INDIAN EQUITY LIMITED

3225870

1.52

Financial Institutions/ Banks

20884551

9.86

LIC of India Profit Plus Balanced Fund

18527222

8.74

Any Other (specify)

705

0.00

Foreign National

705

0.00

Sub Total B1

35824668

16.91

B2) Central Government/ State Government(s)/ President of India

0.00

B3) Non-Institutions

0.00

Individual share capital upto INR 0.200 Million

14887616

7.03

Individual share capital in excess of INR 0.200 Million

114000

0.05

NBFCs registered with RBI

362651

0.17

Any Other (specify)

1788159

0.84

Bodies Corporate

1279328

0.60

NRI – Non- Repat

206965

0.10

Clearing Members

122075

0.06

NRI

156040

0.07

Trusts

15095

0.01

NRI – Repat

8656

0.00

Sub Total B3

17152426

8.09

B=B1+B2+B3

52977094

25.00

 

 

 

BUSINESS DETAILS

 

Line of Business :

The subject is engaged in:

 

1. Manufacture of electric motors, generators, transformers and electricity distribution and control apparatus

2. Manufacture of electronic components

3. Manufacture of measuring, testing, navigating and control equipment; watches and clocks. (Registered Activity)

 

 

Products :

NIC Code

Product/ Services Description

271

Manufacture of electric motors,

generators, transformers and electricity distribution and control apparatus

279

Manufacture of other electrical equipment

 

  • Electric Motors
  • Generators
  • Transformers
  • Electricity Distribution
  • Control Apparatus

 

 

Brand Names :

Not Available

 

 

Agencies Held :

Not Available

 

 

Exports :

Not Available

 

 

Imports :

Not Available

 

 

Terms :

Not Available

 

 

GENERAL INFORMATION

 

Suppliers :

 

Reference :

Not Available

Name of the Person :

--

Contact No.:

--

Since How Long Known :

--

Maximum Limit Dealt :

--

Experience :

--

Remark:

--

 

 

Customers :

 

Reference :

Not Available

Name of the Person :

--

Contact No.:

--

Since How Long Known :

--

Maximum Limit Dealt :

--

Experience :

--

Remark:

--

 

 

No. of Employees (As on 31.12.2016):

5603 (Approximately)

 

 

Bankers (As on 31.12.2016) :
  • AXIS Bank Limited
  • Bank of America, N.A.
  • Bank of Bhutan Limited
  • Bank of India
  • Canara Bank
  • Deutsche Bank AG
  • HDFC Bank Limited
  • ICICI Bank Limited
  • IDBI Bank Limited
  • JP Morgan Chase Bank, N.A.
  • Standard Chartered Bank
  • State Bank of India
  • The Bank of Tokyo-Mitsubishi UFJ, Limited
  • The Hongkong and Shanghai Banking Corporation Limited
  • UCO Bank
  • Union Bank of India
  • YES Bank Limited

 

 

Facilities :

Secured Loan

31.12.2017

(INR in Million)

31.12.2016

(INR in Million)

Long-term Borrowings

 

 

600 (December 31, 2015: 600) Unsecured, listed, redeemable, non-convertible debenture having face value of INR 10000000 each.

NA

6000.000

 

 

 

Total

NA

6000.000

 

NOTE:

 

The debentures are repayable after 3 years from the date of allotment being September 4, 2015. The debentures carry interest rate of MIBOR plus 80 basis points. The proceeds have been utilized towards working capital and other corporate purposes including refinancing of Company’s debt.

 

 

Auditors 1:

 

Name :

S.R. Batliboi and Associates LLP

Chartered Accountants

Address :

“UB City”, Canberra Block, 12th Floor, No.24, Vittal Mallya Road, Bangalore – 560001, Karnataka, India

Tel. No. :

91-80-67275000

Fax No. :

91-80-22106000

 

 

Auditors 2:

 

Name :

BSR and Company LLP

Chartered Accountants

Address :

11-12/1, Inner Ring Road, Koramangala, Bangalore – 560071, Karnataka, India

Tel. No. :

91-80-71347000

Fax No. :

91-80-71347999

 

 

Cost Auditor

 

Name :

Ashwin Solanki and Associates

Cost Accountants

Address :

D/104, Koyna, Shantivan, Near National Park, Borivli (East), Mumbai – 400066, Maharashtra, India

 

 

Secretarial Auditor

Messrs HBP and Company

Company Secretary

Address :

No.926, 20th Main BSK, 2nd Stage, Bangalore – 560070, Karnataka, India

 

 

Memberships :

--

 

 

Collaborators :

---

 

 

Ultimate Holding Company (As on 31.12.2016) :

ABB Limited, Zurich, Switzerland

 

 

Holding Company (As on 31.12.2016) :

ABB Asea Brown Boveri Limited, Zurich, Switzerland

 

 

Fellow subsidiaries (As on 31.12.2016) :
  • ABB (Asea Brown Boveri), S.A., Oeiras, Portugal
  • ABB (China) Limited, Beijing, China
  • ABB (Hong Kong) Limited, Hong Kong, Hong Kong
  • ABB (Namibia) (Pty) Limited, Windhoek, Namibia
  • ABB (Private) Limited, Harare, Zimbabwe
  • ABB (Pty) Limited, Gaborone, Botswana
  • ABB (Private) Limited, Lahore, Pakistan
  • ABB A/S, Skovlunde, Denmark
  • ABB AB, Västerås, Sweden
  • ABB AG, Mannheim, Germany
  • ABB AG, Vienna, Austria
  • ABB AS, Billingstad, Norway
  • ABB AS, Jüri, Estonia
  • ABB Manufacturing Sdn. Bhd., Subang Jaya, Malaysia
  • ABB Australia Pty Limited, Moorebank, NSW, Australia
  • ABB Automation Company Limited, Riyadh, Saudi Arabia
  • ABB Automation GMBH, Mannheim, Germany
  • ABB Automation L.L.C., Abu Dhabi, United Arab Emirates
  • ABB Automation Products GMBH, Ladenburg, Germany
  • ABB B.V., Rotterdam, Netherlands
  • ABB Bailey Beijing Engineering Company Limited, Beijing, China
  • ABB Bailey Japan Limited, Shizuoka-Ken, Japan
  • ABB Beijing Drive Systems Company Limited, Beijing, China
  • ABB Beteiligungs-Management GmbH, Mannheim, Germany
  • ABB Bulgaria EOOD, Sofia, Bulgaria
  • ABB Business Services Sp. z o.o., Warsaw, Poland
  • ABB Canada Holding Limited Partnership, Saint-Laurent, Canada
  • ABB Capital B.V., Rotterdam, Netherlands
  • ABB Chongqing Transformer Company Limited, Chongqing, China
  • ABB Contracting Company Limited, Riyadh, Saudi Arabia
  • ABB d.o.o., Belgrade, Serbia
  • ABB Ecuador S.A., Quito, Ecuador
  • ABB Electrical Industries Limited, Riyadh, Saudi Arabia
  • ABB Electrical Machines Limited, Shanghai, China
  • ABB Elektrik Sanayi A.S., Istanbul, Turkey
  • ABB Engg. Technologies Company (KSCC), Safat, Kuwait
  • ABB Engineering (Shanghai) Limited, Shanghai, China
  • ABB Engineering Trading and Service Limited, Budapest, Hungary
  • ABB Enterprise Software Inc., Atlanta, GA, United States
  • ABB Enterprise Software UK Limited, Warrington, United Kingdom
  • ABB ESAP Limited, St. Peter’s Port, Guernsey
  • ABB Finance B.V., Rotterdam, Netherlands
  • ABB for Electrical Industries (ABB ARAB) S.A.E., Cairo, Egypt
  • ABB France, Cergy Pontoise, France
  • ABB FZ-LLC, Dubai, United Arab Emirates
  • ABB Generators Limited, Nanchang, China
  • ABB Genway Xiamen Electrical Equipment Company Limited, Xiamen, China
  • ABB Global Industries and Services Private Limited, Bangalore, India
  • ABB Global Marketing FZ LLC, Dubai, United Arab Emirates
  • ABB Hefei Transformer Company Limited, Hefei, China
  • ABB High Voltage Switchgear (Xiamen) Company Limited, Xiamen, China
  • ABB High Voltage Switchgear Company, Limited Beijing, Beijing, China
  • ABB Holdings B.V., Rotterdam, Netherlands
  • ABB Holdings Sdn. Bhd., Subang Jaya, Malaysia
  • ABB Import and Export Services Limited, Oranjestad/Aruba (NA), Aruba
  • ABB Inc., Cary, NC, United States
  • ABB Management Services Limited, Zurich, Switzerland
  • ABB Inc., Saint-Laurent, Quebec, Canada
  • ABB Industries (L.L.C.), Dubai, United Arab Emirates
  • ABB Industries FZ, Dubai, United Arab Emirates
  • ABB Information Systems Limited, Zurich, Switzerland
  • ABB International Marketing Limited in liquidation, Zurich, Switzerland
  • ABB Intra AG, Baden, Switzerland
  • ABB Inzeniring d.o.o., Ljubljana, Slovenia
  • ABB SARL, Kinshasa Gombe, Congo, Democratic Republic of the
  • ABB SAS, Cergy Pontoise, France
  • ABB Schweiz AG, Baden, Switzerland
  • ABB Sécheron S.A., Satigny, Switzerland
  • ABB Service Company Limited, Al Khobar, Saudi Arabia
  • ABB Shanghai Motors Company Limited, Shanghai, China
  • ABB Shanghai Transformer Company Limited, Shanghai, China
  • ABB Shenzhen New Energy System Company, Limited , Shenzhen, China
  • ABB SIA, Riga, Latvia
  • ABB South Africa (Pty) Limited, Longmeadow, South Africa
  • ABB Sp. z o.o., Warsaw, Poland
  • ABB Stotz-Kontakt GmbH, Heidelberg, Germany
  • ABB Striebel and John GmbH, Sasbach, Germany
  • ABB Technologies Limited, Haifa, Israel
  • ABB Technologies S.A., Dakar, Senegal
  • ABB Technologies W.L.L., Bahrain, Bahrain
  • ABB Technology Oy, Helsinki, Finland
  • ABB Technology SA, Abidjan, Cote d’Ivoire
  • ABB Training Center GmbH and Company KG, Heidelberg, Germany
  • ABB Transformers S.A.E., El-Nozha El-Gedida, Egypt
  • ABB Transmission and Distribution Limited LLC, Abu Dhabi, United Arab Emirates
  • ABB Turbo Systems (Hong Kong) Limited, Hong Kong, Hong Kong
  • ABB Turbo Systems AG, Baden, Switzerland
  • ABB Turbo Systems Holding Limited, Baden, Switzerland
  • ABB Turbochargers S.A.E., Suez, Egypt
  • ABB UAB, Avizieniai , Lithuania
  • ABB Verwaltungs AG, Zurich, Switzerland
  • ABB Xiamen Electrical Controlgear Company Limited, Xiamen, China
  • ABB Xiamen Low Voltage Equipment Company Limited, Xiamen, China
  • ABB Xiamen Switchgear Company Limited, Xiamen, China
  • ABB Xi’an High Power Rectifier Company Limited, Xi’an, China
  • ABB Xi’an Power Capacitor Company Limited, Xi’an, China
  • ABB Xinhui Low Voltage Switchgear Company Limited, Xinhui , China
  • ABB Zhongshan Transformer Company Limited, Zhongshan, China
  • ABB, Inc., Paranaque, Metro Manila, Philippines
  • ABB Jiangjin Turbo Systems Company Limited, Chongqing, China
  • ABB Jiangsu Jingke Instrument Transformer Company, Limited, Suqian, Jiangsu, China
  • ABB K.K., Tokyo, Japan
  • ABB Limited, Auckland, New Zealand
  • ABB Limited, Bangkok, Thailand
  • ABB Limited, Dar ES Salaam, Tanzania, United Republic of
  • ABB Limited, Dhaka, Bangladesh
  • ABB Limited, Dublin, Ireland
  • ABB Limited, Nairobi, Kenya
  • ABB Limited, Warrington, United Kingdom
  • ABB Limited/Jordan LLC., Amman, Jordan
  • ABB LLC, Doha, Qatar
  • ABB LLC, Muscat, Oman
  • ABB LLP., Almaty, Kazakhstan
  • ABB Logistics Center Europe GmbH, Menden, Germany
  • ABB Limited, Hanoi, Vietnam
  • ABB Limited, Kampala, Uganda
  • ABB Limited, Kiev, Ukraine
  • ABB Limited, Lusaka, Zambia
  • ABB Limited, Moscow, Russian Federation
  • ABB Limited, Seoul, Korea, Republic of
  • ABB Limited, Taipei, Taiwan, Province of China
  • ABB Limited, Zagreb, Croatia
  • ABB Ltda., Bogotá, Colombia
  • ABB Ltda., São Paulo, Brazil
  • ABB LV Installation Materials Company Limited Beijing, Beijing, China
  • ABB Malaysia Sdn Bhd., Subang Jaya, Malaysia
  • ABB Mexico S.A. de C.V., San Luis Potosi SLP, Mexico
  • ABB Motion Limited, Bristol, United Kingdom
  • ABB N.V., Zaventem, Belgium
  • ABB Near East Trading Limited, Amman, Jordan
  • ABB Norden Holding AB, Västerås, Sweden
  • ABB Oryx Motors and Generators Service LLC, Doha, Qatar
  • ABB Oy, Helsinki, Finland
  • ABB Power and Automation (Private) Limited, Lahore, Pakistan
  • ABB Power Equipment (Xiamen) Company, Limited, Xiamen, China
  • ABB Power Protection SA, Gambarogno, Switzerland
  • ABB Pte. Limited, Singapore, Singapore
  • ABB Research Limited, Zurich, Switzerland
  • ABB S.A., Buenos Aires, Argentina
  • ABB S.A., Casablanca, Morocco
  • ABB S.A., Lima, Peru
  • ABB S.A., Panama, Panama
  • ABB S.A., Santiago, Chile
  • ABB S.p.A., Milan, Italy
  • ABB S.R.O., Prague, Czech Republic
  • ABB, S.R.O., Bratislava, Slovakia
  • ABB NG Limited, Lagos, Nigeria
  • Asea Brown Boveri Electrica SGPS (Angola) Limitada, Luanda, Angola
  • Asea Brown Boveri Industrial, Technical and Commercial Company of
  • Imports – Exports S.A., Metamorphossis Attica , Greece
  • Asea Brown Boveri Lanka (Private) Limited, Colombo, Sri Lanka
  • Asea Brown Boveri Limited, Moka, Mauritius
  • Asea Brown Boveri Ltda., La Paz, Bolivia, Plurinational State of
  • Asea Brown Boveri S.A., Caracas, Venezuela, Bolivarian Republic of
  • Asea Brown Boveri S.A., Douala, Cameroon
  • Asea Brown Boveri S.A., Madrid, Spain
  • Asea Brown Boveri S.A.E., Cairo, Egypt
  • Baldor Electric (Asia) PTE Limited, Singapore, Singapore
  • Baldor Electric Company, Fort Smith, AR, United States
  • Busch-Jaeger Elektro GmbH, Lüdenscheid, Germany
  • Electrical Materials Center Company Ltd, Riyadh, Saudi Arabia
  • Maska Power Transmission (Changzhou) Company Limited, Changzhou, China
  • Power-One Italy S.p.A., Terranuova Bracciolini (AR), Italy
  • Power-One Renewable Energy Solutions India Private Limited,Mumbai, India
  • Power-One Renewable Energy Solutions LLC, Delaware, United States
  • PT ABB Sakti Industri, Jakarta, Indonesia
  • Pucaro Elektro-Isolierstoffe GmbH, Roigheim, Germany
  • Shanghai ABB Power Transmission Company Limited, Shanghai, China
  • Shantou Winride Switchgear Company, Limited, Longhu District Shantou, China
  • Spirit IT B.V., Eindhoven, Netherlands
  • Sucursal Panama de ABB SA, Panama, Panama
  • Thomas and Betts Asia (Singapore) Pte. Limited, Singapore, Singapore
  • Thomas and Betts Corporation, Knoxville, TN, United States
  • Thomas and Betts India Private Limited, Hyderabad, India
  • Thomas and Betts Limited, Saint-Jean-sur-Richelieu, Quebec, Canada
  • Thomas and Betts Power Solutions LLC, Delaware, United States
  • Trasfor S.A., Monteggio, Switzerland
  • Turbo Systems United Company Limited, Tokyo, Japan

 

 

CAPITAL STRUCTURE

 

 

AS ON 31.12.2017

 

Authorised Capital : INR 500.000 Million

 

Issued, Subscribed & Paid-up Capital : INR 423.800 Million

 

 

AS ON 31.12.2016

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

212500000

Equity Shares

INR 2/- each

INR 425.000 Million

750000

11% Redeemable Cumulative Preferences Shares

INR 100/- each

INR 75.000 Million

 

Total

 

INR 500.000 Million

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

211908375

Equity Shares

INR 2/- each

INR 423.800 Million

 

 

 

 

 

 

a) Terms / rights attached to equity shares

 

The Company has only one class of equity shares having a par value of INR 2/- per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pay dividends in Indian Rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

 

During the year ended December 31, 2016, the amount of per share dividend recommended and provided for distribution to equity shareholders is INR 4.00 (December 31, 2015: INR 3.70)

 

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.

 

 

b) Shares held by holding / ultimate holding company and / or their subsidiaries / associates

 

Particulars

31.12.2016

Number

INR In Million

ABB Asea Brown Boveri Limited - the holding company

146390951

292.800

ABB Norden Holding AB - a fellow subsidiary

12540330

25.100

Total

158931281

317.900

 

 

c) Details of shareholders holding more than 5% of the shares in the Company

 

Particulars

31.12.2016

Number

% of holding

Equity shares of INR 2/- each

 

 

ABB Asea Brown Boveri Limited - the holding company

146390951

69.08

ABB Norden Holding AB - a fellow subsidiary

12540330

5.92

Life Insurance Corporation of India

18007799

8.29

 

As per records of the Company and other declarations received from shareholders, the above shareholding represents both legal and beneficial ownerships of shares

 

 

d) There is no movement in the share capital during the current and previous year.

 

 

FINANCIAL DATA

[all figures are in INR Million]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.12.2017

31.12.2016

31.12.2015

I.      EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

423.800

423.800

423.800

(b) Reserves & Surplus

35645.100

32404.000

29661.700

(c) Money received against Share Warrants

0.000

0.000

0.000

 

 

 

 

(2) Share Application Money Pending Allotment

0.000

0.000

0.000

Total Shareholders’ Funds (1) + (2)

36068.900

32827.800

30085.500

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) Long-term Borrowings

41.400

6000.000

6000.000

(b) Deferred Tax Liabilities (Net)

0.000

0.000

0.000

(c) Other Long Term Liabilities

38.600

39.100

43.000

(d) Long-term Provisions

426.800

520.800

479.200

Total Non-current Liabilities (3)

506.800

6559.900

6522.200

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term Borrowings

0.000

0.400

0.000

(b) Trade Payables

27131.100

21573.100

21019.600

(c) Other Current Liabilities

22028.500

12372.300

12677.000

(d) Short-term Provisions

3145.200

3955.600

3784.000

Total Current Liabilities (4)

52304.800

37901.400

37480.600

 

 

 

 

TOTAL

88880.500

77289.100

74088.300

 

 

 

 

II.    ASSETS

 

 

 

(1) Non-Current Assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible Assets

11426.000

11687.900

11993.600

(ii) Intangible Assets

296.400

861.200

990.600

(iii) Capital work-in-progress

1164.800

677.800

442.800

(iv) Intangible assets under Development

464.200

0.000

0.000

(b) Non-current Investments

1.700

162.300

163.100

(c) Deferred Tax Assets (net)

1173.000

783.600

489.600

(d)  Long-term Loan and Advances

215.600

3806.000

4222.000

(e) Other Non-Current Assets

4574.400

72.300

66.900

Total Non-Current Assets

19316.100

18051.100

18368.600

 

 

 

 

(2) Current Assets

 

 

 

(a) Current Investments

2704.500

0.800

0.800

(b) Inventories

11535.500

9402.500

9395.700

(c) Trade Receivables

27877.800

30633.300

33909.300

(d) Cash and Cash Equivalents

14916.600

11891.600

5735.900

(e) Short-term Loans and Advances

246.200

3307.800

2780.800

(f) Other Current Assets

12283.800

4002.000

3897.200

Total Current Assets

69564.400

59238.000

55719.700

 

 

 

 

TOTAL

88880.500

77289.100

74088.300

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.12.2017

31.12.2016

31.12.2015

 

SALES

 

 

 

 

 

Income

93751.000

86483.700

81402.700

 

 

Other Income

1209.700

652.700

130.400

 

 

TOTAL                                    

94960.700

87136.400

81533.100

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of raw materials and components consumed and project bought outs

50606.700

46413.600

45605.100

 

 

Purchase of traded goods

3571.200

4015.900

3216.400

 

 

(Increase) / decrease in inventories of finished goods, work-in-progress and traded goods

(655.100)

666.400

(485.600)

 

 

Subcontracting charges

5382.900

5076.900

4664.200

 

 

Excise Duty

2877.800

 

 

 

 

Employee benefit expenses

7963.000

7678.200

7498.700

 

 

Other expenses

16643.800

15166.200

13778.900

 

 

TOTAL                                    

86390.300

79017.200

74277.700

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION

8570.400

8119.200

7255.400

 

 

 

 

 

Less

FINANCIAL EXPENSES                                   

773.100

849.200

911.600

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION

7797.300

7270.000

6343.800

 

 

 

 

 

Less

DEPRECIATION/ AMORTISATION

1579.700

1509.500

1597.900

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE TAX            

6217.600

5760.500

4745.900

 

 

 

 

 

Less

TAX

2018.100

1998.000

1747.100

 

 

 

 

 

 

PROFIT/ (LOSS)  AFTER TAX (G-H)                 

4199.500

3762.500

2998.800

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

1236.400

1094.100

1039.000

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

 

Transfer to General Reserve

NA

2100.000

1500.000

 

 

Proposed Dividend

NA

500.000

784.100

 

 

Corporate Dividend Tax

NA

847.600

159.600

 

 

Debenture Redemption Reserve

NA

172.600

500.000

 

BALANCE CARRIED TO THE B/S

NA

1236.400

1094.100

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

 

Export of goods on FOB basis

NA

10678.900

8746.800

 

 

Goods supplied/ services rendered locally against foreign exchange remittances

NA

343.100

343.900

 

 

Erection and other services

NA

1027.600

873.700

 

 

Commission

NA

63.500

23.800

 

 

Services charges and others

NA

862.000

673.800

 

TOTAL EARNINGS

NA

12975.100

10662.000

 

 

 

 

 

 

IMPORTS

 

 

 

 

 

Raw Materials

NA

2657.500

2334.300

 

 

Stores & Spares

NA

16144.000

15377.900

 

 

Finished Goods

NA

88.900

111.300

 

 

Capital Goods

NA

144.300

161.700

 

 

Project Item

NA

3616.200

3030.800

 

TOTAL IMPORTS

NA

22650.900

21016.000

 

 

 

 

 

 

Earnings / (Loss) Per Share (INR)

19.82

17.76

14.15

 

 

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

 

Particulars

 

31.12.2017

31.12.2016

31.12.2015

Current Maturities of Long term debt

NA

NA

NA

Cash generated from operations

10798.000

5785.000

6002.900

Net cash flow from operating activities

8625.700

3816.700

4790.000

 

 

KEY RATIOS

 

EFFICIENCY RATIOS

 

PARTICULARS

 

31.12.2017

31.12.2016

31.12.2015

Average Collection Days

[Sundry Debtors / Income * 365]

108.54

129.29

152.05

 

 

 

 

Account Receivables Turnover

[Income / Sunday Debtors]

3.36

2.82

2.40

 

 

 

 

Average Payment Days

(Sundry Creditors / Purchases * 365 Days)

182.78

156.14

157.15

 

 

 

 

Inventory Turnover

(Operating Income / Inventories)

0.74

0.86

0.77

 

 

 

 

Asset Turnover

(Operating Income / Net Fixed Assets)

0.64

0.61

0.54

 

LEVERAGE RATIOS

 

PARTICULARS

 

31.12.2017

31.12.2016

31.12.2015

Debt Ratio

((Borrowing + Current Liabilities) / Total Assets)

0.59

0.57

0.59

 

 

 

 

Debt Equity Ratio

(Total Liability / Networth)

0.00

0.18

0.20

 

 

 

 

Current Liabilities to Networth

(Current Liabilities / Net Worth)

1.45

1.15

1.25

 

 

 

 

Fixed Assets to Networth

(Net Fixed Assets / Networth)

0.37

0.40

0.45

 

 

 

 

Interest Coverage Ratio

(PBIT / Financial Charges)

11.09

9.56

7.96

 

PROFITABILITY RATIOS

 

PARTICULARS

 

 

31.12.2017

31.12.2016

31.12.2015

Net Profit Margin

 ((PAT / Sales) * 100)

%

4.48

4.35

3.68

 

 

 

 

 

Return on Total Assets

((PAT / Total Assets) * 100)

%

4.72

4.87

4.05

 

 

 

 

 

Return on Investment (ROI)

((PAT / Networth) * 100)

%

11.64

11.46

9.97

 

SOLVENCY RATIOS

 

PARTICULARS

 

31.12.2017

31.12.2016

31.12.2015

Current Ratio

(Current Assets / Current Liabilities)

1.33

1.56

1.49

 

 

 

 

Quick Ratio

((Current Assets – Inventories) / Current Liabilities)

1.11

1.31

1.24

 

 

 

 

G-Score Ratio Financial

(Networth / Total Assets)

0.41

0.42

0.41

 

 

 

 

G-Score Ratio Debt

(Debts / Equity Capital)

0.10

14.16

14.16

 

 

 

 

G-Score Ratio Liquidity

(Total Current Assets / Total Current Liabilities)

1.33

1.56

1.49

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

 

 

STOCK PRICES

 

Face Value

INR 2.00/-

Market Value

INR 1398/-

 

 

FINANCIAL ANALYSIS

[all figures are in INR Million]

 

DEBT EQUITY RATIO

 

Particular

31.12.2015

31.12.2016

31.12.2017

 

INR In Million

INR In Million

INR In Million

Share Capital

423.800

423.800

423.800

Reserves & Surplus

29661.700

32404.000

35645.100

Net worth

30085.500

32827.800

36068.900

 

 

 

 

long-term borrowings

6000.000

6000.000

41.400

Short term borrowings

0.000

0.400

0.000

Total borrowings

6000.000

6000.400

41.400

Debt/Equity ratio

0.199

0.183

0.001

 

 

 

YEAR-ON-YEAR GROWTH

 

Year on Year Growth

31.12.2015

31.12.2016

31.12.2017

 

INR In Million

INR In Million

INR In Million

Sales

81402.700

86483.700

93751.000

 

 

6.242

8.403

 

 

 

NET PROFIT MARGIN

 

Net Profit Margin

31.12.2015

31.12.2016

31.12.2017

 

INR In Million

INR In Million

INR In Million

Sales

81402.700

86483.700

93751.000

Profit

2998.800

3762.500

4199.500

 

3.68%

4.35%

4.48%

 

 

 

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

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

Yes

22

Conduct of the banking account

--

23

Financials, if provided

Yes

24

Capital in the business

Yes

25

Last accounts filed at ROC, if applicable

Yes

26

Turnover of firm for last three years

Yes

27

Reasons for variation <> 20%

--

28

Estimation for coming financial year

No

29

Profitability for last three years

Yes

30

Major shareholders, if available

Yes

31

External Agency Rating, if available

Yes

32

Litigations that the firm/promoter involved in

---

33

Market information

---

34

Payments terms

No

35

Negative Reporting by Auditors in the Annual Report

No

 

 

CHANGE OF ADDRESS

 

The Company has shifted its Registered Office to the new premises at 21st Floor, World Trade Center, Brigade Gateway, No.26/1, Dr. Rajkumar Road, Malleshwaram West, Bangalore – 560055, Karnataka, India effective May 19, 2014.

 

 

CORPORATE INFORMATION (As on 31.12.2016)

 

The Company has served utility and industry customers for over six decades with the complete range of engineering, products, solutions and services in areas of Automation and Power technology. The Company has extensive installed base for manufacturing and a countrywide marketing and service presence. Besides catering to Indian domestic market, the Company is also playing an increasing role in the global market.

 

 

PERFORMANCE REVIEW: (As on 31.12.2016)

 

The Company secured orders valued INR 124660.000 million in 2016 as against INR 81000.000 million in the previous year, reflecting the technology push in the transmission business and the continued traction in transportation and renewable energy. Services and export-led orders resulted in more comprehensive customer engagements. The order backlog at the end of the year stood at INR 118210.000 million which continued to provide visibility to the future revenue streams. The revenue from operations for the Company for the year 2016 stood at INR 86480.000 million as against INR 81400.000 million in the previous year, reflecting stability of operations in an uncertain market situation. Profit before tax was up by 21% at INR 5760.000 million in 2016 on higher sales as compared to INR 4750.000 million in the previous year mainly due to operational excellence initiatives, supply chain efficiencies, focus on project management. Net profit after tax was up by 25% at INR 3760.000 million for the current year as compared to INR 3000.000 million in the previous year.

 

Consequently the earnings per share for the year 2016 stood at INR 17.76 per share as compared to INR 14.15 per share in the year 2015.

 

 

MANAGEMENT’S DISCUSSIONS AND ANALYSIS

 

ECONOMIC AND MARKET OVERVIEW

 

In 2016 India’s growth story was restrained with dispersed outcomes in the shadow of several geopolitical occurrences like various international elections, Brexit, continuing uncertainty in the Middle East and the watershed moment in domestic policymaking with demonetization initiatives. While the growth in 2016 was marginally lower than China, it was more positive than other nations like Mexico and Brazil.

 

 

The year started with encouraging signs of growth in the country. Favorable government policies and continued public spending led to performance improvement in core sectors such as cement and steel as well as electricity.  Also, the FDI inflows improved from the previous year.

 

Sectors like renewable energy and the government push in transportation resulted in some traction. However, the Index of Industrial Production (IIP) growth slowed, dragged by the capital goods sector, which was down through the year. In the last quarter of 2016, the government passed the landmark Goods and Services Tax (GST) Bill aimed at simplifying the goods tax structure by bringing it into a centralized system. The US Federal Reserve retained the December 2015 rates for almost an entire year and revisited them only in December 2016.

 

The second half of the year proved to be quite different from the first. The capital goods output continued to contract despite various reforms. Food prices remained on the lower end pressuring the CPI to a two-year low. These factors pulled the industrial output down into the negative zone, and the continuing increase in imports further widened the trade deficit. The global dynamics and domestic events described earlier also added to the uncertainty. Though the Indian currency appreciated marginally against EUR, it fell to 70 to a USD touching the lowest ever since 2013, as investors queued up for dollar-based assets in light of the US election results.

 

However, it still remained stronger than other Asian currencies. Within India, the drive to purge unaccounted funds (black money) led to the removal of around 86% of the currency from circulation. The short-term impact of the move was a reduction in consumer spends and is expected to impact the GDP. Positively, banks had higher deposit and liquidity, there is also greater push for digitization of transactions, and the retail and food inflation fell to 2.11 percent towards the end of the year. Overall, owing to the movement in the economy and the seasonal slowdown, the order size and volume of existing and new projects during this year remained subdued than the previous year.

 

 

OPERATIONAL OVERVIEW

 

The Company has been closely tuned to market changes, which has helped it steer through the year smoothly despite the unexpected fluctuations in the macro economy. The Company strategically planned at improving the operational efficiency, executing orders, and stabilizing the cost structure to shield from external fluctuations.

 

As a result of this pursuit, the Company was cash positive right at the start of the year and continued this momentum in the succeeding quarters. Investments towards localizing and product engineering, increasing operational efficiency, shifting the product mix across business divisions and magnifying value to their customers led to benefits including margin improvement. The Company doubled the capacity of the solar inverter factory in Bangalore, aligning it well to partner in the country’s vision of 100 GW solar power generation capacity by 2022, providing the Company with an edge to serve the market segment when the opportunity comes.

 

During the year, the Company announced two key strategic global partnerships. One with Microsoft, which will be a digital industrial transformation partner for ABB globally. ABB and Microsoft will collaborate to build a platform for digitalization. As one of the key Group-level strategies, the Company is building its portfolio around digitalization driving futuristic industrial solutions for customers. The other with Indian Institute of Technology, Madras (IIT-M), wherein the Company and IIT-M have signed a Memorandum of Understanding (MoU) for the development of microgrids and battery storage.

 

During the year, orders grew at INR 124660.000 million as against INR 81000.000 million in the previous year reflecting the technology push in the transmission business and the continued traction in transportation and renewable energy. Services and export-led orders resulted in more comprehensive customer engagements. The revenue for 2016 improved to INR 86480.000 million as against INR 81400.000 million in 2015, reflecting the stability of operations in an uncertain market. The order backlog at the end of the year was at INR 118210.000 million, providing visibility to the future revenue streams.  

 

Profit before tax grew substantially to INR 5760.000 million in 2016 as compared to INR 4750.000 million in the previous year mainly due to higher operational efficiency, lower material cost and investments towards entering newer markets. Profit after tax posted a growth of 25 percent at INR 3760.000 million for the current year as compared to INR 3000.000 million in the previous year. Consequently, the earnings per share for 2016 stood at INR 17.76 per share as compared to INR 14.15 in 2015. 

 

 

SERVICES

 

In pursuit of delivering world-class customer experience, ABB has always focused on offering value-based engagement and putting the customer first. This relentless approach helped the Company achieve double digit growth in service operations, which, on an average, accounted for a substantial part of the order dimension. Going beyond the conventional approach of transactional business relationship for spare parts and field services, the Company adopted the RAS (Reliability, Availability & Safety) based approach with customized solutions and reconnected with the existing installed base to meet customers’ requirements in optimizing and managing their assets. Apart from the portfolio of energy efficiency and power quality, retrofit and debottlenecking services, equipment performance management (EPM) and personnel training, the Company is including some futuristic offerings in its portfolio like cyber security, data analytics, and remote monitoring, leading to clear technical differentiation and unlocking the full potential of their services offering. During the year, marquee customers including Adani Group, International Paper, Kansai Nerolac Paints, Biocon Limited, etc., recognized the Company for its service commitment and Power Grid Corporation of India (PGCIL), Jindal Steel Works (JSW) Group, Oil and Natural Gas Corporation Limited (ONGC), Steel Authority of India Limited (SAIL), UltraTech Cement, Indian Oil, National Thermal Power Corporation (NTPC), Indian Railways, and Deccan Chemicals, extended their service engagement with the Company.

 

EXPORTS

 

Despite slow movement in large orders, ABB India’s exports grew over the last year. Base orders were ore than 80 percent of total exports in 2016 and increased by 10 percent over last year. Strong team effort saw significant success for products like transformers, high voltage circuit breakers, rectifiers and LV motors, and for systems in Process Industries and Oil and Gas business units.

 

2016 saw exports creating new footprints in Africa while consolidating and expanding in the Middle East.  While there were some repeat orders for transformers in Ethiopia, the Company received significant orders from Dubai and South Africa for LV motors and for rectifiers from Indonesia. Process Automation bagged cement plant projects in Bahrain and Uganda, while Oil and Ga business unit won orders in the UAE.

 

 

OUTLOOK

 

In 2017, global growth is likely to remain modest, plagued by various global political uncertainties, with the energy and the fourth industrial revolution providing opportunities and challenges in equal measure. Initial estimates have downgraded growth prospects in India due to the short-term impact of invalidating high-value currencies. However, in the coming year, some projects announcements might be forthcoming from government spending towards technology upgradation and modernization of the existing infrastructure in Railways, Ports and Metro, and reformative programs under the government initiatives of Digital India, Smart Cities and Make in India. Technology push in power transmission and distribution and advanced manufacturing could be the other bright spots. Investments in the private sector are expected to be subdued in the first half of the year owing to the deferral in consumption and an ensuing lag in capacity utilization. However, the Company enjoys a vast installed base in the country and continues to mine these accounts for deeper penetration and high-value engagement. Over the coming years, the Company will assess and partner in establishing the next level in Indian industries and utilities through automation and digitalization, working closely with customers to deploy solutions that best fit local needs. Despite the slowdown, there may appear to be a fair number of projects in the market, and the Company will exercise its choice with caution and proceed with discretion and due diligence in terms of credit availability (cash over revenue), scope, and safety of the employees while strengthening order books. The Company will continue to relentlessly work towards driving operational excellence and adopting innovations. As India takes strides towards a clean energy future, the Company is well positioned to partner with technology and solutions to decouple growth from carbon emissions.

 

 

 

UNSECURED LOAN

 

Unsecured Loan

31.12.2017

(INR in Million)

31.12.2016

(INR in Million)

Short-term borrowings

 

 

Overdraft Facility from Banks

NA

0.400

 

 

 

Total

NA

0.400

 

Note: Short term borrowings represent unsecured overdraft facility from banks. The same is repayable on demand and carries interest @ 9% to 11% p.a.

 

 

INDEX OF CAHREGS:

 

SNO

SRN

CHARGE ID

CHARGE HOLDER NAME

DATE OF CREATION

DATE OF MODIFICATION

DATE OF SATISFACTION

AMOUNT

ADDRESS

1

Z00074895

80017474

ICICI BANK LIMITED

08/09/2003

-

-

150000000.0

ICICI BANK TOWERS1,COMMISSORIAT ROADBANGALOREKA560001IN

2

A22227607

80017462

CANARA BANK

08/09/2003

-

03/09/2007

300000000.0

CORPORATE SERVICE BRANCHNO.25,M G ROADBANGALOREKA560001IN

3

A22227839

80017469

UNION BANK OF INDIA

08/09/2003

-

01/09/2007

400000000.0

INDUSTRIAL FINANCE BRANCH,111/74HAFEEZA CHAMBERS,K H ROADBANGALOREKA560027IN

4

A17967092

80020297

ICICI BANK LIMITED

08/09/2003

31/01/2005

03/07/2007

150000000.0

ICICI BANK TOWERSI COMMISSORIAT ROADBANGALOREKA560025IN

5

A13438502

80017468

STANDARD CHARTERED BANK

08/09/2003

-

11/04/2007

75000000.0

RAHEJA TOWERS26/27, M G ROADBANGALOREKA560001IN

6

A10175107

80017472

HONGKONG AND SHANGHAI BANKING CORPORATION

08/09/2003

-

19/01/2007

75000000.0

NO.7,M G ROADBANGALOREKA560001IN

 

 

 

CONTINGENT LIABILITIES:

 

PARTICULARS

31.12.2017

(INR In Million)

31.12.2016

(INR In Million)

i) Excise duty / service tax and sales tax liabilities in dispute

NA

5282.500

ii) Custom duty liabilities in dispute

NA

23.100

iii) Claims against the Company not acknowledged as debts

NA

748.700

iv) Income tax matters in dispute

NA

453.700

 

The Company is contesting the demands and the management believes that its position will likely be upheld in the various appellate authorities/courts. The management believes that the ultimate outcome of this proceeding will not have a material adverse effect on the Company’s financial position.

 

In respect of the above contingent liabilities, the future cash outflows are determinable only on receipt of judgement pending at various forums / authorities.

 

 

FIXED ASSETS

 

Tangible Assets

·         Freehold Land

·         Leasehold Land

·         Leasehold Improvements

·         Factory Buildings

·         Other Buildings

·         Plant and Equipment

·         Office Equipment’s

·         Furniture and Fixtures

 

Intangible Assets

·         Goodwill

·         Technical Know-how fees

·         Capitalised Software

 

 

 

 

CMT REPORT (Corruption, Money Laundering & Terrorism]

 

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

 

1]         INFORMATION ON DESIGNATED PARTY

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

 

2]         Court Declaration :

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

 

3]         Asset Declaration :

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

 

4]         Record on Financial Crime :

            Charges or conviction registered against subject:                                                           None

 

5]         Records on Violation of Anti-Corruption Laws :

            Charges or investigation registered against subject:                                                        None

 

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

            Charges or investigation registered against subject:                                                        None

 

7]         Criminal Records

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

 

8]         Affiliation with Government :

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

 

9]         Compensation Package :

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

 

10]        Press Report :

            No press reports / filings exists on the subject.

 

CORPORATE GOVERNANCE

 

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

 

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

 

 

CONTRAVENTION

 

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

 

 

FOREIGN EXCHANGE RATES

 

Currency

 
Unit

INR

US Dollar

1

INR 64.99

UK Pound

1

INR 90.83

Euro

1

INR 80.58

 

 

INFORMATION DETAILS

 

Analysis Done by :

PSD

 

 

Report Prepared by :

MTN

 

 

SCORE FACTORS

 

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

YES

--OTHER MERIT FACTORS

YES/NO

YES

 

RATING EXPLANATIONS

 

Credit Rating

Explanation

Rating Comments

A++

Minimum Risk

Business dealings permissible with minimum risk of default

A+

Low Risk

Business dealings permissible with low risk of default

A

Acceptable Risk

Business dealings permissible with moderate risk of default

B

Medium Risk

Business dealings permissible on a regular monitoring basis

C

Medium High Risk

Business dealings permissible preferably on secured basis

D

High Risk

Business dealing not recommended or on secured terms only

NB

New Business

No recommendation can be done due to business in infancy stage

NT

No Trace

No recommendation can be done as the business is not traceable

 

NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors are as follows:

 

·         Financial condition covering various ratios

·         Company background and operations size

·         Promoters / Management background

·         Payment record

·         Litigation against the subject

·         Industry scenario / competitor analysis

·         Supplier / Customer / Banker review (wherever available)

 

 

 

 

 

 

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.