|
|
|
MIRA
INFORM REPORT
|
Report No. : |
500486 |
|
Report Date : |
28.03.2018 |
IDENTIFICATION DETAILS
|
Name : |
NOVARTIS INDIA LIMITED |
|
|
|
|
Registered
Office : |
Sandoz House, Shivnagar Estate, Dr. Annie Besant Road, Worli, Mumbai –
400018, Maharashtra |
|
Tel. No.: |
91-22-24958888 |
|
|
|
|
Country : |
India |
|
|
|
|
Financials (as
on) : |
31.03.2017 |
|
|
|
|
Date of
Incorporation : |
13.12.1947 |
|
|
|
|
Com. Reg. No.: |
11-006104 |
|
|
|
|
Capital
Investment / Paid-up Capital : |
INR 140.704 Million |
|
|
|
|
CIN No.: [Company Identification
No.] |
L24200MH1947PLC006104 |
|
|
|
|
IEC No.: |
Not Divulged |
|
|
|
|
TIN No.: |
27300245484 |
|
|
|
|
GST No.: |
27AAACH2914F1ZY |
|
|
|
|
TAN No.: [Tax Deduction &
Collection Account No.] |
Not Available |
|
|
|
|
PAN No.: [Permanent Account No.] |
AAACH2914F |
|
|
|
|
Legal Form : |
A Public Limited Liability Company. The Company’s Shares are Listed on
the Stock Exchanges. |
|
|
|
|
Line of Business
: |
Subject is in the divisions as a operating segment: Pharmaceuticals: The Pharmaceuticals segment comprises a portfolio of prescription medicines which are provided to patients through healthcare professionals and mainly products of original research of the Novartis Group and Generics products which primarily focuses on the therapeutic segments such as Anti-TB, Anti-DUB (Gynecology), Antihistamines, Antibiotics, Anti-ulcerants, Anti-diabetes and Cardiovascular. OTC: The OTC segment was mainly in the VMS (vitamins, minerals and nutritional supplements) and CoCoA (cough, cold and allergy) market segments. This business unit has been divested on 30 September 2015. Animal Health: The Animal Health segment had a presence primarily in the cattle and poultry market segments. This business unit has been divested on 31 December 2015 [Registered Activity] |
|
|
|
|
No. of Employees
: |
674 (Approximately) |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
|
MIRA’s Rating : |
A+ |
|
Credit Rating |
Explanation |
Rating Comments |
|
A+ |
Low Risk |
Business dealings permissible with low
risk of default |
|
Maximum Credit Limit : |
USD 26275000 |
|
|
|
|
Status : |
Excellent |
|
|
|
|
Payment Behaviour : |
Regular |
|
|
|
|
Litigation : |
Exist |
|
|
|
|
Comments : |
Subject was incorporated in the year 1947. It is a subsidiary of Novartis AG, Switzerland. The company is engaged in the business of marketing and distribution of pharmaceutical products. As per the quarterly results of December 2017, the company has achieved sales turnover of INR 1561 million and has gained favourable profitability margin of 12.01%. For the financial year ended 2017, the company has reported a decline in its revenue as compared to the previous year’s revenue but has managed to maintain fair profitability margin 8.72%. Rating takes into consideration the company’s favourable Earnings Per Share (EPS) of INR 19.10 against the Face Value of (F.V) INR 5. The sound financial profile of the company is marked by robust net worth base along with debt free balance sheet profile and satisfactory liquidity position. Rating also takes into consideration the strength that the company derives from its holding company and its well experienced management team. The company has its share price trading at around INR 600 on BSE as on March 27, 2018 as against the Face Value (FV) of INR 5. Business is active. Payment seems to be regular and as per commitment. In view of aforesaid, the company can be considered for business dealings at usual trade terms and condition. |
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 28.03.2018
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 DECLINED
MANAGEMENT NON-COOPERATICE [91-22-24958888]
[91-22-24958400] Number is ringing
LOCATIONS
|
Registered Office : |
Sandoz House, Shivnagar Estate, Dr. Annie Besant Road, Worli, Mumbai –
400018, Maharashtra, India |
|
Tel. No.: |
91-22-24958888/ 24958400 |
|
Fax No.: |
91-22-24950221 |
|
E-Mail : |
|
|
Website : |
DIRECTORS
|
Name : |
Mr. Jai Vishwanath Hiremath |
|
Designation : |
Director |
|
Address : |
191-A, Maker Tower, A & B Co-Op. Hsg. Soc. Limited, Cuffe Parade, Mumbai - 400005, Maharashtra, India |
|
Date of Appointment : |
28.01.2006 |
|
DIN No.: |
00062203 |
|
|
|
|
Name : |
Mr. Rajendra Nath Mehrotra |
|
Designation : |
Director |
|
Address : |
8, Horizon View, 1st Floor 138 General J. Bhonsle Marg, Nariman Point, Mumbai - 400021, Maharashtra, India |
|
Date of Appointment : |
30.05.2000 |
|
DIN No.: |
00172639 |
|
|
|
|
Name : |
Mr. Jawed Zia |
|
Designation : |
Managing Director |
|
Address : |
Appartment No. 3301, The Imperial South Tower, B.B. Nakashe Marg, Tardeo, Mumbai Tulsiw Adi, Mumbai-400034, Maharashtra, India |
|
Date of Appointment : |
01.03.2018 |
|
DIN No.: |
00191276 |
|
|
|
|
Name : |
Mr. Christopher David Snook |
|
Designation : |
Casual Vacancy Director |
|
Address : |
Solothurner Strasse, 22 CH 4053, Basel 4053 CH |
|
Date of Appointment : |
01.08.2008 |
|
DIN No.: |
00369790 |
|
|
|
|
Name : |
Mrs. Sandra Martyres |
|
Designation : |
Director |
|
Address : |
4A, Rajendra Apartments, Lady Jamshedji, 1st Cross Road, Mahim Mumbai - 400016, Maharashtra, India |
|
Date of Appointment : |
19.04.2016 |
|
DIN No.: |
00798406 |
|
|
|
|
Name : |
Mrs. Monaz Noble |
|
Designation : |
Wholetime Director and Chief Finance Officer |
|
Address : |
T-2, 702, Planet Godrej Keshav Rao, Khade Marg, Mahalaxmi, Mumbai - 400011, Maharashtra, India |
|
Date of Appointment : |
13.06.2016 |
|
DIN No.: |
03086192 |
|
PAN No.: |
AABPN0356M |
KEY EXECUTIVES
|
Name : |
Mr. Trivikram Guda |
|
Designation : |
Company Secretary and Compliance Officer |
|
Address : |
D - 204 Mahindra Splendour LBS Marg, Bhandup West, Mumbai - 400078, Maharashtra, India |
|
Date of Appointment : |
03.02.2017 |
|
PAN No.: |
AIZPG7906Q |
MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN
AS ON: 06.02.2018
|
Category of shareholder |
Total nos. shares held |
Shareholding as a % of total no. of shares
(calculated as per SCRR, 1957)As a % of (A+B+C2) |
|
|
(A) Promoter &
Promoter Group |
17450680 |
70.68 |
|
|
(B) Public |
7240117 |
29.32 |
|
|
Grand Total |
24690797 |
100.00 |
Statement showing
shareholding pattern of the Promoter and Promoter Group
|
Category of shareholder |
Total nos. shares held |
Shareholding as a % of total no. of shares
(calculated as per SCRR, 1957)As a % of (A+B+C2) |
|
|
A1) Indian |
0.00 |
||
|
A2) Foreign |
0.00 |
||
|
Any Other
(specify) |
17450680 |
70.68 |
|
|
Novartis AG |
17450680 |
70.68 |
|
|
Sub Total A2 |
17450680 |
70.68 |
|
|
A=A1+A2 |
17450680 |
70.68 |
Statement showing
shareholding pattern of the Public shareholder
|
Category & Name of the Shareholders |
Total no. shares held |
Shareholding % calculated as per SCRR, 1957 As a % of (A+B+C2) |
|
|
B1) Institutions |
0.00 |
||
|
Mutual Funds/ |
760 |
0.00 |
|
|
Foreign Portfolio
Investors |
98 |
0.00 |
|
|
Financial
Institutions/ Banks |
285746 |
1.16 |
|
|
The Oriental
Insurance Company Limited |
280562 |
1.14 |
|
|
Sub Total B1 |
286604 |
1.16 |
|
|
B2) Central
Government/ State Government(s)/ President of India |
0.00 |
||
|
Central
Government/ State Government(s)/ President of India |
99509 |
0.40 |
|
|
Sub Total B2 |
99509 |
0.40 |
|
|
B3)
Non-Institutions |
0.00 |
||
|
Individual share
capital up to INR 0.200 Million |
5342999 |
21.64 |
|
|
Individual share
capital in excess of INR 0.200 Million |
270568 |
1.10 |
|
|
Any Other
(specify) |
1240437 |
5.02 |
|
|
Trusts |
1874 |
0.01 |
|
|
Foreign
Individuals |
54 |
0.00 |
|
|
HUF |
216146 |
0.88 |
|
|
NRI – Non- Repat |
154295 |
0.62 |
|
|
Director or
Director's Relatives |
220 |
0.00 |
|
|
NRI – Repat |
69450 |
0.28 |
|
|
Clearing Members |
54822 |
0.22 |
|
|
Atul Limited |
374619 |
1.52 |
|
|
Sub Total B3 |
6854004 |
27.76 |
|
|
B=B1+B2+B3 |
7240117 |
29.32 |
BUSINESS DETAILS
|
Line of Business : |
Subject is in the divisions as a operating segment: Pharmaceuticals: The Pharmaceuticals segment comprises a portfolio of prescription medicines which are provided to patients through healthcare professionals and mainly products of original research of the Novartis Group and Generics products which primarily focuses on the therapeutic segments such as Anti-TB, Anti-DUB (Gynecology), Antihistamines, Antibiotics, Anti-ulcerants, Anti-diabetes and Cardiovascular. OTC: The OTC segment was mainly in the VMS (vitamins, minerals and nutritional supplements) and CoCoA (cough, cold and allergy) market segments. This business unit has been divested on 30 September 2015. Animal Health: The Animal Health segment had a presence primarily in the cattle and poultry market segments. This business unit has been divested on 31 December 2015 [Registered Activity] |
|
|
|
|
Products : |
Drugs and Pharmaceuticals |
|
|
|
|
Brand Names : |
Not Available |
|
|
|
|
Agencies Held : |
Not Available |
|
|
|
|
Exports : |
Not Divulged |
|
|
|
|
Imports : |
Not Divulged |
|
|
|
|
Terms : |
|
|
Selling : |
Not Divulged |
|
|
|
|
Purchasing : |
Not Divulged |
PRODUCTION STATUS: [NOT AVAILABLE]
GENERAL INFORMATION
|
Suppliers : |
|
||||||||||||||||||||||
|
|
|
||||||||||||||||||||||
|
Customers : |
|
||||||||||||||||||||||
|
|
|
||||||||||||||||||||||
|
No. of Employees : |
674 (Approximately) |
||||||||||||||||||||||
|
|
|
||||||||||||||||||||||
|
Bankers : |
|
|
|
|
|
Auditors : |
|
|
Name : |
Deloitte Haskins and Sells LLP Chartered Accountants |
|
Address : |
Indiabulls Finance Centre Tower 3, 27th, 32 Floor, Senapati
Bapat Marg, Elphinstone Road (West), Mumbai-400013, Maharashtra, India |
|
Tel. No.: |
91-22-61854000 |
|
Fax No.: |
91-91-22-61854001 |
|
|
|
|
Memberships : |
Not Available |
|
|
|
|
Collaborators : |
Not Available |
|
|
|
|
Holding Company: |
Novartis AG, Basel, Switzerland |
|
|
|
|
Fellow Subsidiaries
: |
· Alcon Laboratories (India) Private Limited, India · Alcon Pharmaceuticals Limited, Switzerland · Befico Limited, Bermuda · Novartis (Bangladesh) Limited, Bangladesh · Novartis (Singapore) Pte Limited, Singapore · Novartis Animal Health Inc, Switzerland · Novartis Asia Pacific Pharmaceuticals Pte. Limited, Singapore · Novartis Consumer Health SA, Switzerland · Novartis Healthcare Private Limited, India · Novartis International AG, Switzerland · Novartis Pharma AG, Switzerland · Novartis Pharma Services Inc., Kenya · Novartis Pharmaceuticals Australia Pty Ltd Novartis · Pharmaceuticals Corporation Inc., USA Novartis · Pharmaceuticals East Hanover, USA · Sandoz Private Limited, India · Shanghai Novartis Animal Health Co. Limited, China |
|
|
|
|
Subsidiary of Joint
Venture in which the holding Company is a venture: |
GlaxoSmithKline Consumer Private Limited, India |
|
|
|
|
List of other
related parties (Post-employment benefit plan of Novartis India Limited): |
· Novartis India Limited Contractual Employees Pension Scheme · Novartis India Limited Employees’ Provident Fund |
CAPITAL STRUCTURE
AS ON: 31.03.2017
Authorised Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
64000000 |
Equity Shares |
INR 5/- each |
INR 320.000 Million |
|
|
|
|
|
Issued, Subscribed & Paid-up Capital :
|
No. of Shares |
Type |
Value |
Amount |
|
|
|
|
|
|
28140797 |
Equity Shares |
INR 5/- each |
INR 140.700 Million |
|
|
|
|
|
FINANCIAL DATA
[all figures are
in INR Million]
ABRIDGED
BALANCE SHEET
|
SOURCES OF FUNDS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
I.
EQUITY AND LIABILITIES |
|
|
|
|
(1)Shareholders' Funds |
|
|
|
|
(a) Share Capital |
140.700 |
159.800 |
159.800 |
|
(b) Reserves & Surplus |
9055.700 |
11776.000 |
10171.600 |
|
(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) |
9196.400 |
11935.800 |
10331.400 |
|
|
|
|
|
|
(3)
Non-Current Liabilities |
|
|
|
|
(a) Long-term borrowings |
0.000 |
0.000 |
0.000 |
|
(b) Deferred tax liabilities (Net) |
0.000 |
0.000 |
0.000 |
|
(c)
Other long term liabilities |
62.900 |
22.000 |
21.600 |
|
(d)
long-term provisions |
380.900 |
322.900 |
265.000 |
|
Total
Non-current Liabilities (3) |
443.800 |
344.900 |
286.600 |
|
|
|
|
|
|
(4) Current Liabilities |
|
|
|
|
(a)
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
(b)
Trade payables |
735.900 |
696.600 |
649.700 |
|
(c)
Other current liabilities |
690.500 |
932.800 |
347.300 |
|
(d)
Short-term provisions |
404.000 |
415.500 |
335.000 |
|
Total
Current Liabilities (4) |
1830.400 |
2044.900 |
1332.000 |
|
|
|
|
|
|
Liabilities directly associated with assets classified as held for
sale |
28.800 |
0.000 |
438.100 |
|
|
|
|
|
|
TOTAL |
11499.400 |
14325.600 |
12388.100 |
|
|
|
|
|
|
II.
ASSETS |
|
|
|
|
(1) Non-current assets |
|
|
|
|
(a)
Fixed Assets |
|
|
|
|
(i)
Tangible assets |
57.100 |
64.800 |
81.600 |
|
(ii)
Intangible Assets |
0.000 |
0.000 |
0.000 |
|
(iii)
Capital work-in-progress |
0.100 |
4.500 |
0.000 |
|
(iv) Intangible assets under development |
0.000 |
0.000 |
0.000 |
|
(b) Non-current
Investments |
0.000 |
0.000 |
0.000 |
|
(c) Deferred tax assets
(net) |
232.200 |
215.800 |
219.000 |
|
(d) Long-term Loan
and Advances |
0.000 |
0.000 |
0.000 |
|
(e)
Other Non-current assets |
1468.200 |
1403.600 |
1447.200 |
|
Total
Non-Current Assets |
1757.600 |
1688.700 |
1747.800 |
|
|
|
|
|
|
(2) Current assets |
|
|
|
|
(a)
Current investments |
0.000 |
0.000 |
0.000 |
|
(b)
Inventories |
875.200 |
724.000 |
661.200 |
|
(c)
Trade receivables |
452.300 |
501.700 |
505.200 |
|
(d)
Cash and cash equivalents |
8157.200 |
11255.500 |
8413.200 |
|
(e)
Short-term loans and advances |
0.000 |
0.000 |
0.000 |
|
(f)
Other current assets |
246.700 |
155.700 |
423.200 |
|
Total
Current Assets |
9731.400 |
12636.900 |
10002.800 |
|
|
|
|
|
|
Assets classified as
held for sale |
10.400 |
0.000 |
637.500 |
|
|
|
|
|
|
TOTAL |
11499.400 |
14325.600 |
12388.100 |
PROFIT
& LOSS ACCOUNT
|
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
|
|
SALES |
|
|
|
|
|
|
|
Revenue from Operations |
6562.300 |
6899.000 |
8733.800 |
|
|
|
Other Income |
701.500 |
808.800 |
1076.400 |
|
|
|
TOTAL |
7263.800 |
7707.800 |
9810.200 |
|
|
|
|
|
|
|
|
Less |
EXPENSES |
|
|
|
|
|
|
|
Cost of Materials Consumed |
1.200 |
4.700 |
122.400 |
|
|
|
Purchases of Stock-in-Trade |
3212.100 |
2924.100 |
3376.200 |
|
|
|
Changes in inventories of finished goods, work-in-progress
and Stock-in-Trade |
(152.100) |
(65.200) |
30.500 |
|
|
|
Employees benefits expense |
1393.000 |
1566.600 |
2000.300 |
|
|
|
Other expenses |
1849.100 |
2125.600 |
3243.000 |
|
|
|
Excise Duty |
0.100 |
1.300 |
0.000 |
|
|
|
TOTAL |
6303.400 |
6557.100 |
8772.400 |
|
|
|
|
|
|
|
|
|
PROFIT
BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION |
960.400 |
1150.700 |
1037.800 |
|
|
|
|
|
|
|
|
|
Less |
FINANCIAL
EXPENSES |
7.200 |
2.100 |
2.100 |
|
|
|
|
|
|
|
|
|
|
PROFIT/
(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION |
953.200 |
1148.600 |
1035.700 |
|
|
|
|
|
|
|
|
|
Less/ Add |
DEPRECIATION/
AMORTISATION |
35.900 |
34.900 |
40.100 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) BEFORE
TAX |
917.300 |
1113.700 |
995.600 |
|
|
|
|
|
|
|
|
|
Less |
TAX |
345.100 |
(869.200) |
204.500 |
|
|
|
|
|
|
|
|
|
|
PROFIT/ (LOSS) AFTER
TAX |
572.200 |
1982.900 |
791.100 |
|
|
|
|
|
|
|
|
|
|
Earnings/ (Loss)
Per Share (INR) |
|
|
|
|
|
|
|
|
|
|
|
|
|
From continuing
operations |
19.10 |
22.68 |
-- |
|
|
|
From discontinued operations |
-- |
39.36 |
-- |
|
|
|
From total operations |
19.10 |
62.04 |
-- |
|
|
|
|
|
|
|
|
|
|
From total
operations |
|
|
|
|
|
|
Before Extraordinary Items |
-- |
-- |
26.28 |
|
|
|
After Extraordinary items |
-- |
-- |
24.75 |
|
|
|
|
|
|
|
|
|
|
From continuing
operations |
|
|
|
|
|
|
Before Extraordinary Items |
-- |
-- |
26.35 |
|
|
|
After Extraordinary items |
-- |
-- |
24.82 |
|
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 |
62.100 |
1360.300 |
(168.800) |
|
|
|
|
|
|
Net cash (used in)/from operating activities |
(379.500) |
565.900 |
(595.900) |
KEY
RATIOS
EFFICIENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Average Collection Days (Sundry
Debtors / Income * 365 Days) |
25.16 |
26.54 |
21.11 |
|
|
|
|
|
|
Account Receivables Turnover (Income / Sundry Debtors) |
14.51 |
13.75 |
17.29 |
|
|
|
|
|
|
Average Payment Days (Sundry Creditors / Purchases * 365 Days) |
83.59 |
86.81 |
67.78 |
|
|
|
|
|
|
Inventory Turnover (Operating Income / Inventories) |
1.10 |
1.59 |
1.57 |
|
|
|
|
|
|
Asset Turnover (Operating Income / Net Fixed Assets) |
16.79 |
16.60 |
12.72 |
LEVERAGE RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Debt Ratio ((Borrowing
+ Current Liabilities) / Total Assets) |
0.16 |
0.14 |
0.14 |
|
|
|
|
|
|
Debt Equity Ratio (Total Liability / Networth) |
0.00 |
0.00 |
0.00 |
|
|
|
|
|
|
Current Liabilities to Networth (Current Liabilities / Net Worth) |
0.20 |
0.17 |
0.17 |
|
|
|
|
|
|
Fixed Assets to Networth (Net Fixed Assets / Networth) |
0.01 |
0.01 |
0.01 |
|
|
|
|
|
|
Interest Coverage Ratio (PBIT / Financial Charges) |
133.39 |
547.95 |
494.19 |
PROFITABILITY RATIOS
|
PARTICULARS |
|
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Net Profit Margin ((PAT / Sales) * 100) |
% |
8.72 |
28.74 |
9.06 |
|
|
|
|
|
|
|
Return on Total Assets ((PAT / Total Assets) * 100) |
% |
4.98 |
13.84 |
6.39 |
|
|
|
|
|
|
|
Return on Investment (ROI) ((PAT / Networth) * 100) |
% |
6.22 |
16.61 |
7.66 |
SOLVENCY RATIOS
|
PARTICULARS |
31.03.2017 |
31.03.2016 |
31.03.2015 |
|
Current Ratio (Current
Assets / Current Liabilities) |
5.24 |
6.18 |
6.01 |
|
|
|
|
|
|
Quick Ratio ((Current Assets – Inventories) / Current
Liabilities) |
4.77 |
5.83 |
5.64 |
|
|
|
|
|
|
G-Score Ratio Financial (Networth / Total Assets) |
0.80 |
0.83 |
0.83 |
|
|
|
|
|
|
G-Score Ratio Debt (Debts / Equity Capital) |
0.00 |
0.00 |
0.00 |
|
|
|
|
|
|
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities) |
5.24 |
6.18 |
6.01 |
Total
Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term
debts
STOCK
PRICES
|
Face Value |
INR 5.00/- |
|
|
|
|
Market Value |
INR 600.00/- |
FINANCIAL ANALYSIS
[all figures are
in INR Million]
DEBT EQUITY RATIO
|
Particular |
31.03.2015 |
31.03.2016 |
31.03.2017 |
|
|
INR
In Million |
INR
In Million |
INR
In Million |
|
Share Capital |
159.800 |
159.800 |
140.700 |
|
Reserves & Surplus |
10171.600 |
11776.000 |
9055.700 |
|
Money received against share
warrants |
0.000 |
0.000 |
0.000 |
|
Share Application money
pending allotment |
0.000 |
0.000 |
0.000 |
|
Net
worth |
10331.400 |
11935.800 |
9196.400 |
|
|
|
|
|
|
long-term borrowings |
0.000 |
0.000 |
0.000 |
|
Short term borrowings |
0.000 |
0.000 |
0.000 |
|
Current Maturities of Long
term debt |
0.000 |
0.000 |
0.000 |
|
Total
borrowings |
0.000 |
0.000 |
0.000 |
|
Debt/Equity
ratio |
0.000 |
0.000 |
0.000 |
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 |
8733.800 |
6899.000 |
6562.300 |
|
|
|
(21.008) |
(4.880) |
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 |
8733.800 |
6899.000 |
6562.300 |
|
Profit |
791.100 |
1982.900 |
572.200 |
|
|
9.06% |
28.74% |
8.72% |
LEGAL CASES
|
HIGH COURT OF BOMBAY |
|
CASE DETAILS BENCH: BOMBAY |
|
PRESENTATION
DATE:- 13.03.2018 |
|
LODGING NO: ITXAL/ 497/2018
FILING DATE: 13.03.2018 |
|
PETITIONER:
PR. COMMISSIONER OF INCOME TAX-7 RESPONDENT: NOVARTIS INDIA
LIMITED RESP. ADV.: SURESH KUMAR (I2100)
DISTRICT: MUMBAI |
|
BENCH: DIVISION STATUS: PRE-ADMISSION CATEGORY:
TAX APPEALS LAST DATE: 20.03.2018
STAGE:- -- LAST CORAM: REGISTRAR (OS)/ PROTHONOTARY AND SR. MASTER |
|
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 |
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 |
Yes |
|
18 |
Major suppliers |
No |
|
19 |
Major customers |
No |
|
20 |
Banking Details |
No |
|
21 |
Banking facility details |
No |
|
22 |
Conduct of the banking account |
-- |
|
23 |
Financials, if provided |
Yes |
|
24 |
Capital in the business |
Yes |
|
25 |
Last accounts filed at ROC, if applicable |
Yes |
|
26 |
Turnover of firm for last three years |
Yes |
|
27 |
Reasons for variation <> 20% |
-- |
|
28 |
Estimation for coming financial year |
No |
|
29 |
Profitability for last three years |
Yes |
|
30 |
Major shareholders, if available |
Yes |
|
31 |
External Agency Rating, if available |
No |
|
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 |
INDEX OF CHARGES
|
CHARGES REGISTERED |
||||||||
|
SNO |
SRN |
CHARGE ID |
CHARGE HOLDER NAME |
DATE OF CREATION |
DATE OF MODIFICATION |
DATE OF SATISFACTION |
AMOUNT |
ADDRESS |
|
1 |
C80248339 |
90232124 |
BNP PARIBAS |
12/04/1999 |
03/08/2015 |
- |
330000000.0 |
BNP PARIBAS HOUSE, 1 NORTH AVENUE, MAKER MAXITY,BANDRA KURLA COMPLEX, BANDRA (EAST)MUMBAIMH400051IN |
|
2 |
Y10332138 |
90229347 |
THE HONGKONG AND SHANGHAI BANKING CORPORATION LTD. |
02/05/1998 |
- |
- |
50000000.0 |
52/60; MAHATMA GANDHI ROADFORTBOMBAYMH400001IN |
|
3 |
Y10331458 |
90228667 |
GRINDLAYS BANK |
21/07/1993 |
- |
- |
450000000.0 |
90; MAHATMA GANDHI ROADBOMBAYMH400023IN |
|
4 |
Y10333542 |
90230751 |
ALLAHABAD BANK |
21/07/1993 |
12/02/1997 |
- |
450000000.0 |
APEEJAY HOUSEDINSHAW WACHA ROADBOMBAYMH400020IN |
|
5 |
Y10331339 |
90228548 |
GRINDLAYS BANK |
28/05/1992 |
- |
- |
380000000.0 |
90; MAHATMA GANDHI ROADBOMBAYMH400023IN |
|
6 |
Y10333494 |
90230703 |
INDUSTRIAL DEVELOPMENT BANK OF INDIA |
26/03/1992 |
- |
- |
50000000.0 |
IDBI TOWERCUFFE PARADEBOMBAYMH400005IN |
|
7 |
Y10333485 |
90230694 |
THE INDUSTRIAL CREDIT AND INVESTMENT CORPN. OF INDIA LTD. |
13/02/1992 |
27/09/1994 |
- |
100000000.0 |
163; BACKBAY RECLAMATIONNARIMAN POINTBOMBAYMH400020IN |
|
8 |
Y10331292 |
90228501 |
THE INDUSTRIAL CREDIT AND INVESTMENT CORPN. OF INDIA LTD. |
13/02/1992 |
24/07/1992 |
- |
100000000.0 |
163; BACKBAY RECLAMATIONNARIMAN POINTBOMBAYMH400020IN |
|
9 |
Y10331200 |
90228409 |
NATIONALE DE PARIS FRENCH BANK BUILDING |
09/05/1991 |
- |
- |
325000000.0 |
HOMJI STREETBOMBAYMH400001IN |
|
10 |
Y10333345 |
90230554 |
GRINDLAYS BANK |
30/09/1988 |
21/08/1990 |
- |
112000000.0 |
90; MAHATMA GANDHI ROADBOMBAYMH400023IN |
CONTINGENT
LIABILITIES:
|
Particulars |
31.03.2017 (INR
In Million) |
31.03.2016 (INR
In Million) |
|
Claims against the
company not acknowledged as debts |
|
|
|
Income-tax matters |
|
|
|
Matters decided in favour of the company but disputed
further by the income-tax authorities |
27.700 |
76.600 |
|
Matters decided against the company in respect of which the company has preferred an appeal |
334.800 |
120.800 |
|
Sales tax matters |
518.200 |
480.700 |
|
Service tax matters |
4.800 |
4.800 |
|
Excise matters |
3.000 |
3.00 |
|
Drug Price Control Order 2013 |
281.800 |
281.800 |
|
Claims from third party manufacturers in respect of Excise
matters |
42.400 |
40.700 |
|
Claims from Consumers |
0.200 |
0.200 |
|
Others |
2.100 |
2.10 |
|
Note: Future cash outflows in respect of the above are determinable only on receipt of judgements/decisions pending with various authorities/forums and/or final outcome of the matters. |
|
|
UNAUDITED FINANCIAL RESULTS FOR THE
QUARTER AND HALF YEAR ENDED 31.12.2017
(INR IN MILLION)
|
Particulars |
Three Months Ended 31.12.2017 |
Three Months Ended 30.09.2017 |
Nine Months Ended 31.12.2017 |
|
|
(Unaudited) |
(Unaudited) |
(Unaudited) |
|
|
|
|
|
|
Income from operations |
|
|
|
|
Revenue from operations |
1561.000 |
1676.500 |
4385.700 |
|
Other Income |
144.500 |
251.000 |
622.300 |
|
Total Income |
1705.500 |
1927.500 |
5008.000 |
|
|
|
|
|
|
Expenses |
|
|
|
|
Cost of Materials Consumed |
0.000 |
0.000 |
0.000 |
|
Purchases of Stock-in-Trade |
474.200 |
561.000 |
1542.900 |
|
Changes in inventories of finished goods, work-in-progress
and Stock-in-Trade |
163.500 |
153.100 |
341.400 |
|
Excise Duty |
0.000 |
0.000 |
0.100 |
|
Employee
benefits expense |
389.100 |
355.100 |
1076.400 |
|
Finance
Costs |
3.200 |
0.500 |
3.900 |
|
Depreciation
and amortisation expense |
5.400 |
6.400 |
18.900 |
|
Other
expenditure |
416.000 |
448.000 |
1268.400 |
|
Total Expenses |
1451.400 |
1524.100 |
4252.000 |
|
|
|
|
|
|
Profit before tax |
254.100 |
403.400 |
756.000 |
|
Tax
expense |
66.700 |
142.200 |
237.100 |
|
Net profit/ loss for the year |
187.400 |
261.200 |
518.900 |
|
Other comprehensive income |
|
|
|
|
Items
that will not be reclassified to profit or loss |
(18.000) |
0.000 |
(18.000) |
|
Actuarial
gain/ (Loss) on remeasurements of post-employment obligations |
(27.500) |
0.000 |
(27.500) |
|
Income
Tax relating to items that will not be reclassified to profit or loss |
9.500 |
0.000 |
9.500 |
|
Total comprehensive income |
169.400 |
261.200 |
500.900 |
|
Paid - up Equity Share Capital (Face value of INR 5/- per share) |
140.700 |
140.700 |
140.700 |
|
Earnings Per Share (EPS) |
|
|
|
|
a) Basic and diluted EPS before exceptional
Items for the period (INR) |
6.66 |
9.28 |
18.44 |
NOTES:
1. This Statement has been reviewed by the Audit Committee at its meeting held on January 29, 2018 and approved at the meeting of the Board of Directors held on that date.
2. This Statement has been prepared in accordance with the Companies (Indian Accounting Standards) Rules, 2015 (Ind AS), prescribed under Section 133 of the Companies Act, 2013, and other recognised accounting practices and policies to the extent applicable.
3. The Company has a single business segment namely 'Pharmaceuticals Business'.
4. Due to implementation of the Goods and Services Tax (GST), effective July 01, 2017, the revenue from operations for the nine months ended 31.12.2017 is not comparable with corresponding previous period. Further the quarter ended 30.09.2017 includes a significant recovery of the trade down stocking that took place in the quarter ended 30.06.2017 in anticipation of GST implementation.
5. Other Income includes for the quarter ended 30.09.2017 INR 112.7 million and for the nine months ended 31.12.2017 INR 198.8 million being profit on disposal of certain assets out of "Assets classified as held for sale".
6. Current tax for the quarter and nine months ended 31.12.2017 includes prior years' write back of INR 32.6 million and 41.6 million respectively.
7.
On September 25, 2017, the Board of Directors
approved buyback by the Company of up to 3.45 million fully paid up equity
shares of face value INR 5 each (representing 12.26% of total paid-up equity
capital) from the shareholders / beneficial owners of equity shares of the
Company on a proportionate basis, through the Tender Offer route at a price of INR
670 per equity share for an aggregate amount not exceeding INR 2,311.5 million
in accordance with the provisions of the Companies Act, 2013 and the Securities
and Exchange Board of India (Buy Back of Securities) Regulations, 1998, subject
to the approval of members by postal ballot and such other approvals, permission
and sanction as may be necessary.
The buyback proposal was approved by the members through postal ballot, the
results of which were declared on November 22, 2017. The Company has published
a Post Buyback public announcement on January 26, 2018 for the attention of its
equity shareholders intimating various details of buyback as per Regulation
19(7) of the Securities and Exchange Board of India (Buy Back of Securities)
Regulations, 1998, which includes pre-buyback, post-buyback capital structure and
shareholding pattern of the Company and other allied details thereto.
8. The results for the quarter and nine months ended 31.12.2017 have been subjected to limited review by the statutory auditors of the Company on which an unmodified conclusion has been issued.
9. Figures for the prior periods / year have been regrouped where necessary.
CORPORATE INFORMATION
Subject (“the Company”) is a public limited company listed
on the Bombay Stock Exchange, incorporated and domiciled in India and has its
registered office at Sandoz House, Dr. Annie Besant Road, Worli, Mumbai-400018,
India. It is primarily engaged in the business of trading of Drugs and
Pharmaceuticals.
These financial statements were authorised for issue by the
Board of Directors on May 23, 2017
MANAGEMENT DISCUSSION
AND ANALYSIS
INDUSTRY STRUCTURE
AND DEVELOPMENTS
India’s economic growth in terms of GDP, for Financial Year 2016-17, stood at 7.1 percent compared to 7.6 percent during the previous financial year, primarily due to the impact of demonetisation and slowdown in private investments. However, Government’s continued commitment towards economic reforms and a slew of measures to support these including the GST Bill and initiatives like ‘Make in India’, favoured the positioning of India as the fastest growing economy in the world.
India’s healthcare system remains grossly inadequate to provide care to a population of 1.3 billion, especially in rural areas. With public spending on healthcare at 1.4 percent of GDP, India is among the lowest in the world. Continuing challenges surrounding drug pricing and low health insurance are factors impacting the research based pharmaceutical industry.
The Indian Pharma Market (“IPM”) is valued at INR 1,011
billion (AIOCD, MAT FEB 2017) and forecasted to grow at a Compounded Annual
Growth Rate (CAGR) of 11-14 percent* over the next four years. It continues to
be a highly fragmented and competitive market with a large number of players
spread across therapeutic segments.
PERFORMANCE
Revenue from continuing operations for the year ended March 31, 2017 was at ` 6,562.3 million representing a decrease of 4.9 percent over the previous year.
Profit before tax for the year from continuing operations
was at ` 917.3 million representing a decrease of 17.6 percent over the
previous year.
SEGMENT-WISE
OPERATIONAL PERFORMANCE
The Pharmaceuticals business registered Net Revenue from
Operations of ` 6,562.3 million representing a decrease of 4.9 percent over the
previous year. Expansion of National List of Essential Medicines (NLEM) has led
to increase in the scope of drugs subject to price control. Additionally there
was a 2.71 percent reduction in prices from April 2016 following a reduction in
the annual Wholesale Price Index (WPI) as per the Drugs Price Control Order,
2013 (“DPCO”). Both these events continue to have an adverse impact on the
operating profits of the Pharmaceutical business. To mitigate the DPCO impact,
cost containment measures were undertaken by the Company during the year to
protect its operating profit.
OUTLOOK
India’s economy is well placed to grow at a robust pace over the next five years owing to strong domestic consumption and increase in government spending on infrastructure. Harmonization of the existing, complex tax regime, with proper implementation of Goods & Service Tax (GST) will simplify the supply chain and improve the operating environment and will act as an additional driver of consolidation at all levels of the pharmaceutical market.
A large and growing population, low health care penetration, Government’s commitment to increase healthcare spend, emerging digital technologies in the healthcare sector, growing preference towards private care all present a growth opportunity for the pharmaceutical industry.
There are however, headwinds faced by the Indian Pharma Market (IPM) in the form of continuing price controls and the impending impact if the government makes it mandatory for doctors to prescribe medicines using their generic names. Despite the continued effort at driving productivity and various cost control measures, the Company results continue to be impacted by the severe price cuts.
FIXED ASSETS:
Tangible Assets
·
Buildings
·
Plant and Equipment
·
Furniture and Fixtures
·
Vehicles
·
Office Equipment
·
Leasehold Improvements
Intangible Assets
·
Trade Marks
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 64.80 |
|
UK Pound |
1 |
INR 92.26 |
|
Euro |
1 |
INR 80.76 |
INFORMATION DETAILS
|
Information
Gathered by : |
KAM |
|
|
|
|
Analysis Done by
: |
NYT |
|
|
|
|
Report Prepared
by : |
RUP |
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.