Latin Manharlal Chat
BSE Prices delayed by 5 minutes...
     Prices as on May 24, 2018     
  ABB India 1167.3 [ -2.40% ]
  ACC 1332.5 [ 1.49% ]
  Axis Bank Ltd. 534.45 [ 2.71% ]
  Bajaj Auto Ltd. 2736.7 [ -1.41% ]
  Bank of Baroda 138.7 [ 1.84% ]
  Bharti Airtel 371.45 [ 4.11% ]
  Bharat Heavy Ele 74.85 [ -0.73% ]
  Bharat Petroleum 371.15 [ -0.62% ]
  Cipla 532.1 [ -0.12% ]
  Colgate Palm. 1251.25 [ 1.35% ]
  Dabur India 370.15 [ 0.56% ]
  DLF Ltd. 195.9 [ 0.05% ]
  GAIL (India) Ltd. 306.8 [ -5.06% ]
  Grasim Inds. 1019.9 [ -2.56% ]
  HDFC 1806.05 [ 1.24% ]
  HDFC Bank 1985.9 [ 0.96% ]
  Hero MotoCorp 3486.25 [ 0.12% ]
  ICICI Bank 297.25 [ 1.90% ]
  IDFC L 49.6 [ -1.00% ]
  IndusInd Bank 1871.2 [ 0.78% ]
  Infosys 1221.85 [ 3.09% ]
  ITC Ltd. 274.8 [ 0.49% ]
  Jindal St & Pwr 227.7 [ 0.75% ]
  L&T 1338.65 [ 0.86% ]
  Lupin Ltd. 742.1 [ 1.11% ]
  Mahi. & Mahi 844.2 [ 1.49% ]
  MTNL 15.85 [ -1.55% ]
  Nestle India 9657.75 [ 0.24% ]
  NIIT Ltd. 98.45 [ 0.10% ]
  NMDC Ltd. 115.5 [ 2.26% ]
  NTPC 165.05 [ -0.78% ]
  ONGC 167.65 [ -4.50% ]
  Punj. NationlBak 82.1 [ 1.92% ]
  Reliance Inds. 916.05 [ 0.42% ]
  SBI 268.5 [ 2.01% ]
  Vedanta 250.4 [ -0.91% ]
  Shipping Corpn. 64.2 [ 3.05% ]
  Sun Pharma. 462.05 [ 2.23% ]
  Tata Chemicals 716.5 [ -0.74% ]
  Tata Motors Ltd. 288.95 [ -6.56% ]
  Tata Steel 548.4 [ 1.70% ]
  Tata Power Co. 76.4 [ -1.10% ]
  UltraTech Cement 3658 [ -1.14% ]
  United Spirits 3122.05 [ -2.85% ]
  Wipro Ltd 264.2 [ 0.36% ]

Company Information

Home » Market » Company Information

Ester Industries Ltd.

May 24
55.85 -1.75 ( -3.04 %)
 
VOLUME : 14734
Prev. Close 57.60
Open Price 57.60
TODAY'S LOW / HIGH
55.45
 
 
 
58.00
Bid PRICE (QTY.) 0.00 (0)
Offer PRICE (Qty.) 0.00 (0)
52 WK LOW / HIGH
30.00
 
 
 
78.00
May 24
56.15 -1.50 ( -2.60 %)
 
VOLUME : 57253
Prev. Close 57.65
Open Price 58.90
TODAY'S LOW / HIGH
55.55
 
 
 
58.90
Bid PRICE (QTY.) 0.00 (0)
Offer PRICE (Qty.) 0.00 (0)
52 WK LOW / HIGH
30.00
 
 
 
77.90
Company Information Menu

Search Company

Market Cap. ( ₹ ) 525.66 Cr. P/BV 1.86 Book Value ( ₹ ) 30.18
52 Week High/Low ( ₹ ) 78/30 FV/ML 5/1 P/E(X) 99.38
Bookclosure 04/09/2017 EPS ( ₹ ) 0.57 Div Yield (%) 0.00
NOTES TO ACCOUNTS
You can view the entire text of Notes to accounts of the company for the latest year
Year End :2016-03 

Term Loans from banks are further secured by second charge by way of hypothecation of stocks of raw material, finished goods, semi finished goods, stores and spares, book debts and other receivables (both present and future).

II. Vehicle loans are secured by hypothecation of specific vehicles acquired out of proceeds of the Loans .Vehicle loans bears interest rates ranging from 8 . 25% to 13 . 50% pa. These loans are repayable in monthly installments till January 2020.

III. Buyers' credit for capital goods

a) Buyers' Credit amounting to Rs .979.83 lacs (previous year Rs . 534.22 lacs) are against LOUs / LOCs issued by Bank of India. LOUs / LOCs facility from BOI is secured by first exclusive charge by way of hypothecation of Engineering Plastics Extruder, Twin Screw Extruder and UPS and further secured by irrevocable guarantee of Wilemina Finance Corp. (Holding company) and Personal Guarantee of Mr. Arvind Singhania.

Company has availed LOUs / LOCs facilities from the banks to avail the Buyers' Credit of Rs . 979.83 lacs (previous year - Rs. 534.22 Lacs). These LOU / LOC facilities are sanctioned to the company as a sub limit of term loans upto a period of 3 years till March 2018 .

LOCs / LOUs facilities are sanctioned to the company as a sub limit of term loan, bears interest rate ranging from 0.45% to 1. 53%. Liability towards Buyers' Credit under LOCs / LOUs will be liquidated out of the proceeds of term loans that are repayable in 12 quarterly installments .

Working capital loan, bills discounting and acceptances: These loans are secured by first charge by way of hypothecation of stocks of raw materials, finished goods, semi finished goods, stores and spares, book debts and other receivables (both present and future) and further secured by irrevocable guarantees of Wilemina Finance Corp. (Holding company) and Personal Guarantee of Mr. Arvind Singhania. Working Capital and Bill discounting facilities are further secured by way of second charge in respect of immovable properties and movable fixed assets

The working capital loans from banks bear floating interest rate at Base Rate plus ranging from 2 50% to 3 00% pa The bill discounting from banks bear floating interest rate ranging from 10 15% to 11 75% pa

Buyers' credit for raw material are against LOUs / LOCs issued by consortium of banks . The LOUs / LOCs facilities is sanctioned to the Company as a sub limit of Non Fund (LCs) based facility The facility is secured by first charge by way of hypothecation of stocks of raw materials, finished goods, semi finished goods, stores and spares, book debts and other receivables (both present and future) and further secured by irrevocable guarantees of Wilemina Finance Corp. (Holding company). Buyers' credit for raw material taken in USD and Euro bears interest rate ranging from 0 . 93% to 1. 53% pa.

1. Directors' Remuneration

The shareholders of the Company had approved the remuneration of Mr. Arvind Singhania, Managing Director of the Company, vide Special Resolution passed through Postal Ballot on 20th May, 2015 . However due to changed market condition, the profits of the Company during FY 2015-16 were inadequate for payment of remuneration to Mr. Arvind Singhania and the remuneration paid to Mr Arvind Singhania is in excess of the limit prescribed under Section 197, 198 read with Schedule V of the Companies Act, 2013. Such inadequacy of the profit was not determinable at the time of appointment Therefore, the Company has made an application to the Central Government seeking its approval for the payment of remuneration in case of inadequacy of profit. The application is still under consideration with the Central Government In case the Central Government does not provide the approval for the payment of remuneration/waiver of excess remuneration, Mr. Arvind Singhania will refund the excess remuneration to the Company.

The remuneration of Mr. Pradeep Kumar Rustagi was approved by the Shareholders vide Special Resolution passed through Postal ballot on 20th May, 2015 .The remuneration paid to Mr Rustagi during FY 2015-16 is within the limits prescribed under Part II of Schedule V of the Companies Act, 2013 .

2. Gratuity and other post employment benefits plan Gratuity

The Company has a defined benefit gratuity plan. Gratuity is computed as 15 days salary, for every completed year of service or part thereof in excess of 6 months and is payable on retirement/termination/resignation.The benefit vests on the employees after completion of 5 years of service .The Gratuity liability has not been externally funded. Company makes provision of such gratuity liability in the books of accounts on the basis of actuarial valuation as per the projected unit credit method.

The following tables summaries the components of net benefit expense recognized in the Statement of profit and loss and the unfunded status and amounts recognized in the balance sheet for the Gratuity.

Provident Fund

Provident fund for certain eligible employees is managed by the company through trust "Ester Industries Limited Employee's Provident Trust" in line with the Provident Fund and Miscellaneous Provision Act, 1952.The plan guarantees interest at the rate as notified by the Provident Fund authority. The contribution by the employer and employee together with the interest thereon are payable to the employee at the time of separation from the company or retirement, whichever is earlier. The benefits vests immediately on rendering of the services by the employee .

In terms of the guidance note issued by the Institute of Actuaries of India for measurement of provident fund liabilities, the actuary have provided a valuation of provident fund liability and based on assumptions provided below there is no shortfall as at March 31, 2016 and March 31, 2015 .

As per the guidance note on implementing AS-15, employee benefits (revised 2005) issued by the accounting standard board (ASB), provident fund trust set up by employers, which required interest shortfall to be met by employer, needs to be treated as defined benefit plan

3. In the Board Meeting held on 25th May, 2015, the Company has allotted 2,07,50,000 Equity Shares of Rs . 5/- each (face value) fully paid at a price of Rs . 10 .10 each including premium of Rs . 5 .10/- each (the Equity Shares) to Vettel International Limited, a Non-Promoter entity, pursuant to conversion of 2,07,50,000 Zero Coupon Warrants of Rs . 10 .10 each (the Warrants) in compliance with the Companies Act, 1956 and SEBI Regulations .The company had already obtained approvals from Shareholders, Stock Exchanges and FIPB. During the month of May, 2015, the Company had received an amount of Rs . 1587.02 Lacs towards 75% of the total amount of the Warrants required for the conversion of the Warrants into Equity Shares. The Company had already received 25% of the total amount of the Warrants during FY 2014-15 .

The Company has obtained listing approvals of the Equity Shares from both the Stock Exchanges viz Bombay Stock Exchange and National Stock Exchange in the month of June, 2015 .

4. Pursuant to Section 135 of the Companies Act,2013 and rules made there under, the Board of Directors has constituted a Corporate Social Responsibility (CSR) Committee. The Committee has adopted a Corporate Social Responsibility Policy. As per Section 135(5) of the Act, the Company needs to ensure that at least 2% of the average net profit of preceding 3 (three) financial years is spent on CSR activities as mentioned in CSR Policy. The prescribed amount to be spent on CSR during FY 2015-16 was Rs . 7 . 47 Lacs being 2% of the average net profit of preceding three financial years (2012-13, 2013-14 and 2014-15) .

As against obligation to spend Rs . 7 . 47 lacs on CSR during FY 2015-16, the Company has spent only Rs . 2 . 90 lacs and carried forward unspent amount of Rs . 4 .57 Lacs for spending on CSR activities during FY 2016-17.The Company observed that obligated amount of Rs . 7.47 lacs was not large enough to make any worthwhile impact on the society. The Company feels that brought forward amount of Rs . 4 .57 lacs together with obligation of Rs . 17 .29 lacs, would be large enough to make positive impact on the society and accordingly has decided to spend Rs . 21. 86 lacs during the FY 2016-17 on CSR activities .