MAXVALUE CREDITS AND INVESTMENTS LIMITED
Max India Limited is a multi-business corporate, driven by the spirit of enterprise and focused on people and service-oriented businesses. The Company’s vision is to be one of India’s most admired corporates for Service Excellence. It is a manufacturer of specialty plastic film products for packaging industry. The Company has invested in various subsidiaries in diversified businesses, such as healthcare, life insurance, health insurance, clinical research, etc. The Company is in the business of clinical research services to global pharmaceuticals, device and biotechnology companies through its 100% wholly owned subsidiary Max Neeman Medical International Limited (MNMI). The Company has two segments: Specialty Plastic products and Business Investments.
Financial Summary (Amount in Rupees)
| Description | 2020-21 | 2019-20 |
| Total Income | 1,54,11,22,731 | 1,85,21,57,403 |
| Total Expenditure | 1,54,55,29,239 | 1,84,65,70,915 |
| Profit before prior period items and tax | (44,06,508) | 55,86,488 |
| Prior period items | 0 | 0 |
| Profit before tax | 17,54,054 | 55,86,488 |
| Less: Deferred Tax | (66,95,285) | (83,57,698) |
| Profit for the Year | 2,42,09,339 | 1,39,44,186 |
Ensuring Business Continuity during the Pandemic
Company’s digitalisation initiatives proved beneficial in the times of Covid-19 spread. Since the mandatory lockdown due to Covid-19 pandemic, customers could continue doing all transactions online such as interest/ loan amount payment, top up of loan, etc except new pledge and release of ornaments. All the critical business applications such as core banking solution (CBS), HR systems, etc were ensured running smoothly. The entire IT teams involved in monitoring and support are provided work from home (WFH) with appropriate information security controls in place. Also, to protect the data, VPN and DLP tools were used for the WFH client devises.
CONSOLIDATED
INCOME STATEMENT
BALANCE SHEET
| Equities & Liabilities | Mar 2020 | Mar 2019 | Mar 2018 | Mar 2017 | Mar 2016 | |
|---|---|---|---|---|---|---|
|
Share Capital
|
53 | 53 | 53 | 53 | 53 | |
|
Reserves & Surplus
|
2,092 | 2,005 | 1,765 | 2,281 | 1,911 |
|
|
Current Liabilities
|
2,311 | 2,302 | 2,098 | 5,195 | 1,400 |
|
|
Other Liabilities
|
70,068 | 62,849 | 51,923 | 39,208 | 34,780 |
|
|
Total Liabilities
|
74,526 | 67,210 | 55,841 | 46,739 | 38,146 |
|
| Assets | ||||||
|---|---|---|---|---|---|---|
|
Fixed Assets
|
115 | 30 | 31 | 168 | 176 |
|
|
Current Assets
|
71,339 | 65,414 | 54,652 | 6,368 | 3,926 |
|
|
Other Assets
|
3,071 | 1,766 | 1,157 | 40,202 | 34,043 |
|
|
Total Assets
|
74,526 | 67,210 | 55,841 | 46,739 | 38,146 |
|
| Other Info | ||||||
|---|---|---|---|---|---|---|
|
Contingent Liabilities
|
123 | 164 | 332 | 474 | 573 |
|
CASH FLOW
| Mar 2020 | Mar 2019 | Mar 2018 | Mar 2017 | Mar 2016 | ||
|---|---|---|---|---|---|---|
|
Operating Activities
|
9,467 | 8,826 | 7,533 | 6,525 | 3,802 |
|
|
Investing Activities
|
-9,008 | -8,789 | -6,951 | -6,289 | -3,503 | |
|
Financing Activities
|
-380 | -173 | -116 | -215 | -186 | |
|
Others
|
0 | 0 | 0 | 0 | 0 |
|
|
Net Cash Flow
|
78 | -136 | 465 | 20 | 112 |
|
GROWTH RATIO
| Growth Ratios | Mar 2020 | Mar 2019 | Mar 2018 | Mar 2017 | Mar 2016 | |
|---|---|---|---|---|---|---|
|
3 Yr CAGR Sales (%)
|
9.44 | 29.11 | 5.01 | 14.45 | 5.23 |
|
|
3 Yr CAGR Net Profit (%)
|
-32.18 | 2.92 | 10.04 | 68.29 | -31.97 |
|
Maxvalue Credits and Investments Limited Unlisted Shares – Company Overview
Maxvalue Credits and Investments Limited is a non-banking financial company (NBFC) based in India. It was incorporated in 1994 and is headquartered in Thrissur, Kerala. The company is primarily engaged in the business of providing loans and advances, investments, and trading in shares and securities.
Maxvalue Credits offers various loan products, including personal loans, vehicle loans, business loans, home loans, and gold loans. The company also provides non-fund based facilities like letters of credit and bank guarantees. Its investment portfolio includes equity shares, mutual funds, and debt instruments.
Maxvalue Credits operates through a network of branches across Kerala, Tamil Nadu, and Karnataka. The company has a customer base of individuals, small and medium-sized enterprises (SMEs), and corporates.
The company’s vision is to become a leading NBFC in India by providing a range of financial products and services to its customers with a focus on customer satisfaction, ethical practices, and continuous improvement. Maxvalue Credits has a strong management team with extensive experience in the financial services industry, which has helped the company in maintaining a consistent growth trajectory over the years.
Maxvalue Credits Unlisted Share Details as of March 31, 2022
| Maxvalue Credits Outstanding Shares: | 31,15,51,828 |
| Face Value of Maxvalue Credits Unlisted Share: | Rs. 5 Per Equity Share |
| ISIN of Maxvalue Credits Unlisted Share: | INE040401023 |
| Lot Size of Maxvalue Credits Unlisted Share: | 100 Shares |
| Maxvalue Credits Share Price: | Best in Industry |
| PAN Number of Maxvalue Credits: | AAACT8550D |
Maxvalue Credits and Investments Limited Incorporation Details
Maxvalue Credits Limited CIN Number |
U65921KL1995PLC009581 | |
Maxvalue Credits Limited Registration Date |
02 November 1995 | |
Category / Sub-Category of Maxvalue Credits |
Company limited by shares/ Non-govt Company | |
Maxvalue Credits Registered Office Address & Contact Details |
1st Floor, Ceekay Plaza, Opp Metropolitan Hospital
Koorkkenchery, Thrissur, kerela, 680 007 Ph : 04872422799 |
|
Maxvalue Credits Registrar & Transfer Agent Address & Contact Details |
M/s.SKDC Consultants Limited
“Surya” 35, Mayflower Avenue, Behind Senthil Nagar, Sowripalayam, Coimbatore- 641 028. Ph: 0422 4958995 |
|
Maxvalue Credits and Investments Limited Board of Directors
Sri. Paulson CV, Chairman
Sri. Parameswaran PN, Independent Director
Sri. Saraladevi M, Independent Director
Sri. Roy Johnson V, Non-Executive Director
Sri. Christo George, Whole-Time Director
Sri. Manoj VR, Whole-Time Director
Sri. Prathapan KR, Non-Executive Director
Sri. Gireesh K, Non-Executive Director
Sri. V K Gopinathan, Non-Executive Director
Sri. Nandakumar Kottarath, Non-Executive Director
Maxvalue Credits Principal Business Activities
| Name and Description of main products/services | NIC Code of the product/service* | % to the total turnover of the Company |
| Other financial intermediation | 6499 | 100% |
Maxvalue Credits’s Particulars of Joint venture or Associate or Subsidiary Companies
Maxvalue Credits And Investments Limited does not have any Joint venture or Associate Company or Subsidiary Company.
Maxvalue credits and Investments Limited Shareholding Pattern
|
Category |
Total no. of shares |
% of shares held |
|
Promoter’s shareholding |
– |
|
|
Others |
32,95,19,507 |
100% |
|
Total |
32,95,19,507 |
100% |
The Company does not have promoters as on 31st March 2022 & 31st March 2023.
FAQ Related to Maxvalue credits and Investments Limited
Q.1) Is Maxvalue credits and Investments Limited is a private or public company?
Maxvalue Credits And Investments Limited is a Public incorporated on 02 November 1995.
Q.2) Do Maxvalue credits and Investments Limited listed or not?
Maxvalue Credits And Investments Limited is an unlisted public company.
Q.3) in which field the work of Maxvalue credits and Investments Limited is?
Maxvalue Credits and Investments Limited operates in the financial services and investment management sector.
Q.4) how is Maxvalue credits and Investments Limited is in liquid category?
Maxvalue Credits and Investments Limited is not in a strong liquidity position as of 31st March 2023. Key indicators show a decline in liquidity ratios, a heavy reliance on short-term debt, and challenges in meeting short-term financial obligations. The current ratio, quick ratio, and cash ratio reflect tight liquidity conditions, and the debt service coverage ratio indicates insufficient cash flow to cover debt payments. Additionally, a higher proportion of short-term liabilities compared to total assets and long-term assets further strains liquidity. Despite some improvements in efficiency and a reduction in losses, these issues highlight significant liquidity challenges for the company.
NBFC Industry Outlook
The non-banking financial company (NBFC) sector in India, in which Maxvalue Credits and Investments Limited operates, has seen significant growth over the past few years. The NBFCs have been able to serve as an important source of credit for segments of the population that have been underserved by traditional banks.
However, the sector has also faced challenges in recent years, such as the liquidity crisis in 2018, which affected the ability of NBFCs to raise funds from the market, and the COVID-19 pandemic, which led to a decline in economic activity and increased stress on the financial system.
Despite these challenges, the outlook for the NBFC sector in India remains positive, with the government and regulators taking steps to address the issues faced by the sector. The Reserve Bank of India (RBI) has introduced various measures to improve the liquidity and funding situation of NBFCs and has also provided regulatory support for the sector.
Maxvalue Credits and Investments Limited has a strong presence in the southern states of Kerala, Tamil Nadu, and Karnataka, and has been able to grow its business by focusing on customer satisfaction, ethical practices, and continuous improvement. The company’s diversified loan portfolio, which includes personal loans, vehicle loans, business loans, home loans, and gold loans, has helped it to manage risks and capitalize on opportunities in different segments of the market.
Overall, the outlook for Maxvalue Credits and Investments Limited appears positive, with the company well-positioned to benefit from the growth opportunities in the NBFC sector in India. However, the company will need to continue to focus on maintaining a strong balance sheet, managing risks effectively, and adapting to changing market conditions in order to sustain its growth trajectory over the long term.
Maxvalue credits and Investments Limited Balance Sheet (Rs in lakhs)
|
Particulars |
31-03-2023 |
31-03-2022 |
|
EQUITY AND LIABILITIES |
|
|
|
Shareholders’ funds |
|
|
|
Share capital |
16,475.98 |
15,577.59 |
|
Reserves and surplus |
-8,881.10 |
-6,726.72 |
|
Non-current liabilities |
|
|
|
Long-term borrowings |
18,513.14 |
41,619.70 |
|
Other long-term liabilities |
5,769.80 |
6,200.03 |
|
Long term provisions |
74.37 |
74.37 |
|
Current liabilities |
|
|
|
Other current liabilities |
32,949.63 |
23,866.14 |
|
Short-term provisions |
1,377.30 |
3,857.86 |
|
TOTAL |
66,279.13 |
84,468.97 |
|
ASSETS |
|
|
|
Non-current assets |
|
|
|
Property, Plant and Equipment |
2,838.66 |
2,968.08 |
|
Intangible assets |
24.48 |
30.6 |
|
Deferred tax assets (net) |
483.42 |
308.62 |
|
Long-term loans and advances |
26,724.55 |
33,676.21 |
|
Current assets |
|
|
|
Current investments |
– |
5.3 |
|
Cash and cash equivalents |
4,448.46 |
12,620.08 |
|
Short-term loans and advances |
29,515.07 |
32,147.40 |
|
Other current assets |
2,244.48 |
2,712.67 |
|
TOTAL |
66,279.13 |
84,468.97 |
Maxvalue credits and Investments Limited Profit & Loss Statement (Rs in lakhs)
|
Particulars |
31-03-2023 |
31-03-2022 |
|
Revenue from operations |
14,965.60 |
15,263.25 |
|
Other income |
523.37 |
445.14 |
|
Total Revenue |
15,488.97 |
15,708.39 |
|
Expenses |
|
|
|
Employee benefits expense |
4,546.82 |
3,636.72 |
|
Finance cost |
7,760.58 |
9,620.76 |
|
Depreciation and amortization expense |
410.63 |
385.04 |
|
Other expenses |
5,102.63 |
5,814.52 |
|
Total Expenses |
17,820.66 |
19,457.03 |
|
Profit before exceptional and extraordinary items and tax |
-2,331.69 |
-3,748.64 |
|
Exceptional Items |
|
|
|
Profit before extraordinary items and Tax |
-2,331.69 |
-3,748.64 |
|
Extraordinary items |
2.5 |
0.39 |
|
Profit before tax |
-2,329.19 |
-3,748.25 |
|
Deferred tax |
-174.8 |
-30.87 |
|
Profit / (Loss) for the period |
-2,154.39 |
-3,717.38 |
|
Earnings per equity share |
|
|
|
Basic |
-0.65 |
-1.19 |
|
Diluted |
-0.65 |
-1.19 |
Maxvalue credits and Investments Limited Consolidated Cash Flow Statement (Rs in lakhs)
|
Particulars |
31-03-2023 |
|
Cash flows from operating activities |
|
|
Net Profit before taxation and extraordinary items |
-2,331.69 |
|
Adjustments for: |
|
|
Depreciation |
410.63 |
|
Deferred revenue expenditure w/off |
543.39 |
|
Provision for NPA |
-1,480.89 |
|
Provision for Standard assets |
-27.57 |
|
Additional provision restructure-Vehicle loan (Expense) |
-1,040.91 |
|
Additional provision restructure-MF (Expense) |
-200.86 |
|
Write-off |
4,135.52 |
|
Provision for gratuity |
253.1 |
|
Provision for cash shortage Exp A/c |
3.25 |
|
Provision for Spurious Gold A/c |
13.33 |
|
Operating Profit before working capital changes |
277.29 |
|
Add: Increase in current liabilities |
-295.62 |
|
Decrease in current assets |
-69.9 |
|
Increase in current assets |
2,632.33 |
|
Cash generated from operations |
2,544.10 |
|
Cash flow before extraordinary items |
2,544.10 |
|
Cash flows from investing activities |
|
|
Purchase of fixed assets |
-276.8 |
|
Sale/Disposal of Fixed Assets |
4.2 |
|
Net cash flows from investing activities |
-272.59 |
|
Cash flows from Financing Activities |
|
|
Re-payment of long term borrowings |
-13,727.44 |
|
Re-payment of other long term liabilities |
-430.22 |
|
Receipt from long term loans and advances |
2,816.15 |
|
Receipt from Issue of Equity shares |
898.38 |
|
Net cash flows from financing activities |
-10,443.14 |
|
Net increase/decrease in cash or cash equivalents |
-8,171.63 |
|
Cash and Cash equivalents at the beginning of the year |
12,620.08 |
|
Cash and Cash equivalents at the end of the year |
4,448.46 |
|
Net increase as disclosed above |
-8,171.63 |
Here is a summary of the Cash Flow Statement for the year 2023
For the year ending 31st March 2023, the company generated a positive cash flow of ₹2,544.10 from operating activities despite a net loss, due to effective management of non-cash adjustments and working capital. However, the company faced a net cash outflow of ₹272.59 from investing activities due to capital expenditures exceeding asset sales, and a significant cash outflow of ₹10,443.14 from financing activities driven by long-term debt repayments and other liabilities. As a result, there was a net decrease in cash and cash equivalents by ₹8,171.63, reducing the ending cash balance to ₹4,448.46, highlighting challenges in liquidity and financing management despite operational cash generation.
Financial Ratios of Maxvalue credits and Investments Limited
|
Ratios |
31-03-2023 |
31-03-2022 |
|
Current Ratio |
1.06 |
1.71 |
|
Quick Ratio |
1.06 |
1.71 |
|
Cash Ratio |
0.13 |
0.46 |
|
Short-term liability to Total assets (%) |
51.79 |
32.82 |
|
Short-term liability to Long-term assets (%) |
114.15 |
74.96 |
|
NCD (short term) to Total assets (%) |
2.08 |
0.91 |
|
Short-term liability to Total liabilities (%) |
51.79 |
32.82 |
|
Short-term liability to Total liabilities (excluding shareholders’ fund) (%) |
58.49 |
36.66 |
|
Long-term assets to Total assets (%) |
45.37 |
43.78 |
|
Debt-Equity ratio (in times) |
6.18 |
6.86 |
|
Debt service coverage ratio (in times) |
0.29 |
1.26 |
|
Return on equity ratio (%) |
-26.09% |
-34.71% |
|
Net capital turnover ratio (in times) |
7.97 |
0.77 |
|
Net profit ratio (%) |
-14.27% |
-24.36% |
|
Return on capital employed (%) |
71.75% |
77.46% |
Current Ratio:
2023: 1.06
2022: 1.71
Analysis: The current ratio decreased from 1.71 to 1.06, indicating a decline in the company’s ability to meet short-term obligations with short-term assets. A ratio of 1.06 suggests that the company is only marginally able to cover its current liabilities.
Quick Ratio:
2023: 1.06
2022: 1.71
Analysis: The quick ratio, which excludes inventory from current assets, shows the same trend as the current ratio. A decrease from 1.71 to 1.06 reflects a reduced ability to meet short-term liabilities without relying on inventory, which is less liquid.
Cash Ratio:
2023: 0.13
2022: 0.46
Analysis: The cash ratio dropped significantly from 0.46 to 0.13, indicating that the company’s ability to cover short-term liabilities with cash and cash equivalents is very low. This sharp decline points to severe liquidity constraints.
Short-term Liability to Total Assets (%):
2023: 51.79%
2022: 32.82%
Analysis: The increase from 32.82% to 51.79% shows that a larger portion of the company’s assets are financed by short-term liabilities. This higher proportion of short-term debt relative to assets indicates increased liquidity risk.
Short-term Liability to Long-term Assets (%):
2023: 114.15%
2022: 74.96%
Analysis: The rise from 74.96% to 114.15% indicates that short-term liabilities exceed long-term assets. This is a concerning sign of potential liquidity problems as the company’s short-term debt is greater than its long-term asset base.
NCD (Short-term) to Total Assets (%):
2023: 2.08%
2022: 0.91%
Analysis: An increase in short-term non-convertible debentures (NCDs) as a percentage of total assets indicates a higher reliance on short-term debt, which can strain liquidity.
Short-term Liability to Total Liabilities (%):
2023: 51.79%
2022: 32.82%
Analysis: This ratio has increased, showing that a larger portion of the company’s total liabilities are short-term. This greater dependence on short-term liabilities indicates a higher risk of liquidity issues.
Short-term Liability to Total Liabilities (Excluding Shareholders’ Fund) (%):
2023: 58.49%
2022: 36.66%
Analysis: The significant increase in this ratio suggests that short-term liabilities constitute a larger portion of the company’s total liabilities, excluding shareholders’ equity, exacerbating liquidity concerns.
Long-term Assets to Total Assets (%):
2023: 45.37%
2022: 43.78%
Analysis: The slight increase from 43.78% to 45.37% reflects a minor increase in the proportion of long-term assets relative to total assets. This indicates a stable long-term asset base.
Debt-Equity Ratio (in Times):
2023: 6.18
2022: 6.86
Analysis: A decrease in the debt-equity ratio from 6.86 to 6.18 shows a slight reduction in the company’s leverage. However, the ratio remains very high, indicating significant debt compared to equity.
Debt Service Coverage Ratio (in Times):
2023: 0.29
2022: 1.26
Analysis: A sharp decline from 1.26 to 0.29 indicates that the company is struggling to generate enough cash flow to cover its debt obligations. A ratio below 1 implies that the company is not generating sufficient income to meet its debt servicing requirements.
Return on Equity Ratio (%):
2023: -26.09%
2022: -34.71%
Analysis: Although there is an improvement, the negative return on equity indicates that the company is still not generating profit relative to shareholders’ equity. However, the improvement from -34.71% to -26.09% shows a reduction in losses.
Net Capital Turnover Ratio (in Times):
2023: 7.97
2022: 0.77
Analysis: The substantial increase from 0.77 to 7.97 reflects a significant improvement in the efficiency of using capital to generate sales. This high ratio indicates effective capital utilization for revenue generation.
Net Profit Ratio (%):
2023: -14.27%
2022: -24.36%
Analysis: The improvement in the net profit ratio from -24.36% to -14.27% indicates that the company has reduced its losses relative to sales, though it is still operating at a loss.
Return on Capital Employed (%):
2023: 71.75%
2022: 77.46%
Analysis: A decrease in the return on capital employed from 77.46% to 71.75% suggests a slight decline in the efficiency of using capital to generate profits, but the ratio remains high, indicating strong returns on employed capital.
