MAGMA FINCORP LIMITED  

Quarterly Result
-
Audited Financial Results for the quarter and year ended 31 March 2010



Audited Financial Results for The Quarter and Year Ended 31st March, 2010

(Rs. in lacs)
Particulars
Consolidated
Standalone
Quarter ended
Year ended
Quarter ended
Year ended
31st March, 2010
31st March, 2009
31st March, 2010
31st March, 2009
31st March, 2010
31st March, 2009
31st March, 2010
31st March, 2009
(Unaudited)
(Unaudited)
(Audited)
(Audited)
(Unaudited)
(Unaudited)
(Audited)
(Audited)
1.
Income From Operations 20,162.85 16,642.97 65,658.80 57,469.34 19,556.70 16,340.21 63,653.11 56,927.84
2. Other Operating Income 1,485.24 1,351.50 6,277.77 5,436.80 1,485.24 1,346.54 6,277.77 5,413.07
  Total Operating Income (A) 21,648.09 17,994.47 71,936.57 62,906.14 21,041.94 17,686.75 69,930.88 62,340.91
3. Staff Cost 2,617.67 2,912.28 10,533.55 9,992.15 2,617.67 2,912.28 10,533.55 9,992.15
4. Depreciation 777.61 987.90 3,278.58 3,423.90 777.61 987.90 3,278.58 3,423.90
5. Brokerage & Commission 1,657.69 1,040.73 5,021.72 4,657.35 1,657.69 1,009.03 5,021.72 4,625.65
6. Bad Debts Written-off 1,418.27 1,917.71 4,083.48 4,151.19 1,355.96 1,916.52 4,001.85 4,151.19
7. Other Operative & Administrative Expenses 2,158.71 1,811.16 5,838.38 5,982.41 2,060.61 1,751.99 5,536.11 5,806.76
  Total Operating Expenditure (B) 8,629.95 8,669.78 28,755.71 28,207.00 8,469.54 8,577.72 28,371.81 27,999.65
8. Profit From Operations Before Other Income & Interest (A-B) 13,018.14 9,324.69 43,180.86 34,699.14 12,572.40 9,109.03 41,559.07 34,341.26
9. Other Income 79.95 70.86 370.01 207.50 79.95 70.86 370.01 207.50
10. Profit Before Interest & Tax 13,098.09 9,395.55 43,550.87 34,906.64 12,652.35 9,179.89 41,929.08 34,548.76
11. Interest & Finance Charges 8,872.37 8,200.49 32,504.56 28,802.59 8,604.36 8,061.07 31,624.96 28,536.23
12. Profit Before Tax 4,225.72 1,195.06 11,046.31 6,104.05 4,047.99 1,118.82 10,304.12 6,012.53
13. Tax Expense (Includes Deferred Tax) 1,579.90 451.63 3,914.20 2,124.21 1,515.36 438.55 3,658.09 2,108.29
14. Profit After Tax 2,645.82 743.43 7,132.11 3,979.84 2,532.63 680.27 6,646.03 3,904.24
15. Share of Minority Interest in Profit / (Loss) 29.43 15.85 126.40 17.79 - - - -
16. Profit After Tax & Minority Interest 2,616.39 727.58 7,005.71 3,962.05 2,532.63 680.27 6,646.03 3,904.24
17. Paid-up Equity Capital (Face Value of Rs.10/-Each) 2,177.71 2,177.71 2,177.71 2,177.71 2,177.71 2,177.71 2,177.71 2,177.71
18. Reserves & Surplus - - 33,048.95 27,474.52 - - 32,670.78 27,277.64
19. Earning Per Share                
  - Basic (In Rs.) 11.59 3.13 28.96 15.04 11.20 2.91 27.31 14.69
  - Diluted (In Rs.) 11.56 3.12 28.90 15.01 11.18 2.90 27.25 14.66
20. Public Shareholding                
  - Number Of Shares 10,961,317 11,099,318 10,961,317 11,099,318 10,961,317 11,099,318 10,961,317 11,099,318
  - Percentage of Shareholding 50.33% 50.97% 50.33% 50.97% 50.33% 50.97% 50.33% 50.97%
21. Promoters and promoter group Shareholding                
  a) Pledged/
Encumbered
               
  - Number of Shares - - - - - - - -
  - % of Shares (to total shareholding of promoter and promoter group) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
  - % of Shares (to total share capital of the Company) 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%
  b) Non-encumbered                
  - Number of Shares 10,815,823 10,677,822 10,815,823 10,677,822 10,815,823 10,677,822 10,815,823 10,677,822
  - % of Shares (to total shareholding of promoter and promoter group) 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00% 100.00%
  - % of Shares (to total share capital of the Company) 49.67% 49.03% 49.67% 49.03% 49.67% 49.03% 49.67% 49.03%


Statement of Assets and Liabilities as at 31st March, 2010
(Rs. in lacs)
Particulars Consolidated Standalone
As at As at
31st March, 2010 31st March, 2009 31st March, 2010 31st March, 2009
(Audited) (Audited) (Audited) (Audited)
Shareholders' Funds        
    (a) Share Capital 13,787.91 13,787.91 13,787.91 13,787.91
    (b) Reserves and Surplus 33,048.95 27,474.52 32,670.78 27,277.64
Total Shareholders' Funds 46,836.86 41,262.43 46,458.69 41,065.55
Mezzanine Capital - 185.92 - 185.92
Minority Interest 522.96 417.65 - -
Loan Funds 365,433.13 250,657.23 356,709.07 247,139.14
Deferred Tax Liability 4,789.02 4,963.42 4,791.55 4,967.66
Total 417,581.97 297,486.65 407,959.31 293,358.27
         
Fixed Assets 20,795.87 23,819.78 20,795.87 23,819.78
Investments 1,911.64 2,903.96 3,021.58 4,213.84
Current Assets, Loans and Advances        
    (a) Assets on Finance 330,136.73 204,591.19 318,158.65 198,026.85
    (b) Stock-in-trade 17.17 - 17.17 -
    (c) Sundry Debtors 710.81 655.28 744.65 655.28
    (d) Cash & Bank Balances 97,090.65 90,247.13 96,845.68 89,899.68
    (e) Other Current Assets 36.18 44.71 36.18 44.71
    (f) Loans and Advances 15,596.77 12,986.41 16,225.26 13,705.07
Less: Current Liabilities and Provisions        
    (a) Current Liabilities 43,401.68 35,348.42 42,689.12 34,615.90
    (b) Provisions 5,312.17 2,413.39 5,196.61 2,391.04
Total Net Current Assets, Loans and Advances 394,874.46 270,762.91 384,141.86 265,324.65
Total 417,581.97 297,486.65 407,959.31 293,358.27




Notes :
1. The audited financial results have been reviewed by the Audit Committee and taken on record and approved by the Board of Directors of the Company at its Meeting held on 31st May, 2010.
2. The consolidated financial statements have been prepared in accordance with the Accounting Standard 21 (Consolidated Financial Statements) and comprise of the financial results of Magma Fincorp Limited and its subsidiary Magma ITL Finance Limited. Magma Consumer Finance Private Limited has ceased to be a subsidiary of the Company and accordingly not considered for consolidation for the quarter and year ended 31st March, 2010.
3. The Board of Directors at their meeting considered and recommended an Equity Dividend @ 20% i.e. Rs. 2/- per Equity Shares of Rs.10/- each and a Preference Dividend of 9.7%, 5% and 3.68% for the financial year 2009-10 and @ 0.5% on 21,09,199 Cumulative Non-Convertible Redeemable Preference Shares of Rs.100/- each for the financial year 2008-09, subject to approval of the Shareholders. In accordiance with the terms of the issuance, the Board of Directors recommended payment of differential dividend of Rs. 19.48 Lacs on 65,00,999 Cumulative Non-Convertible Redeemable Preference Shares of Rs. 100/- each for the financial years 2006-07, 2007-08 and 2008-09 representing difference of dividends payable as per dollar-denominated value of the preference shares, over the dividends paid on rupee-denominated value of preference shares subject to approval of the Shareholders.
4. The Company is engaged primarily in the business of financing and only in India and as such no separate information as per Accounting Standard 17 (Segment Reporting) is required to be furnished.
5. The Company has allotted on 30th April, 2010, 20,00,000 Warrants to one of the Promoter entities carrying an option / entitlement to subscribe to equivalent number of Equity Shares at a price of Rs. 250/- per Equity Share, on a future date not exceeding 18 months from the date of issue of such Warrants in terms of provisions of SEBI Guidelines for Preferential Issue (Chapter VII of the SEBI (Issue and Disclosure Requirements) Regulations, 2009).
6. The Company has, for augmenting capital adequacy and long term resources, allotted on 12th May, 2010, 40,67,220 Equity Shares to Qualified Institutional Buyers (QIBs) in the Qualified Institutions Placement under chapter VIII of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009 at a price of Rs. 301/- per Equity Share (including premium of Rs. 291/- per share) aggregating to Rs. 12,242.33 Lacs. Further, the Company has allotted on preferential basis on 25th May, 2010, 25,260 Equity Shares under Employee Stock Option Plan (ESOP) pursuant to SEBI (ESOS and ESPS) Guidelines, 1999 to the eligible employees of the Company. The total paid-up Equity Share Capital of the Company stands increased to 2,58,69,620 Equity Shares of Rs.10/- each aggregating to Rs. 2,586.96 Lacs.
7. During the quarter, no complaints received. There were no investor complaints pending on 31st March, 2010.


By order of the Board
For Magma  Fincorp Limited
Place : Kolkata - 700 016
Dated : 31st May, 2010
Sanjay Chamria
Vice Chairman & Managing Director

Registered Office : Magma House, 24 Park Street, Kolkata - 700 016