ANNUAL REPORT 1998-99
AKAR LAMINATOR LIMITED
Your Directors have pleasure in presenting the Tenth Annual Report with the
Audited Statement of Accounts for the year ended 1999.
In order to meet the present future Working Capital requirements your
Directors believe the Company should continue to build and preserve
financial strength in the long term interest of the company and hence do
not recommend payment of Dividend for the year under review.
Your Company has continued the trend of growth at the steady rate achieving
the turnover of Rs. 98.74 crores during the year under review compared to
Rs.84.98 Crores in the previous year registering an increase of more than
16% over the previous year. The Profit before interest, depreciation and
taxation (operating profit) jumped from Rs, 13,48 crores in the previous
year to Rs.15.77 crores in 1998-99. However. the net profit during the year
reduced marginally to Rs, 293,53 lacs compared to Rs. 349.95 lacs in the
previous year mainly on account of the charge of higher depreciation from
current year's profit. Due to the healthy marketing segments. the company
is hopeful of securing better performance and the current year's operations
are expecled to reflect further growth and improvement in profitability of
the company in the coming years.
The Company is in the final stages of implementing the scheme for
modernisation and product mix up-gradation. The benefits of the schedule
are expected to accrue from December. 1999 onwards as a result of which the
operations and profitability are expected to improve in the year 2000,
The Company has taken appropriate steps to be Y2K compliant. The software
packages being used by accounts / commercial departments & plants are
already Y2K compliant. Hence the company does not foresee any operational
collapses due to Y2K problem
The industrial relation throughout the period remained cordial.
Shri Inder Chand Jain and Shri Srujal Dalal, Directors of the Company have
resigned during the year under review due to personal reasons. Your
Directors place on record the appreciation of valuable services received
from time to time during the tenure of their directorships.
During the year Shri Hitesh.R.Shah & Shri Vatsal.S.Parikh have been
appointed as an Additional Directors on the Board of the company to
strengthen the Board
Under the Provisions of the Companies Act, 1956 and the Articles of
Association of the Company Shri Rajesh Sheth retires by rotation at the
ensuing Annual General Meeting and is eligible for reappointment.
M/s Mehta Lodha & Co; Chartered Accountants, Ahmedabad, the statutory
Auditors of the Company retire at the ensuing Annual General Meeting and
being eligible offer themselves for reappointment.
COMPANIES (DISCLOSURE ,OF PARTICULARS IN THE REPORT OF BOARD OF DIRECTORS)
CONSERVATION OF ENERGY, RESEARCH & DEVELOPMENT AND TECHNOLOGY ABSORPTION:
All energy conservation measures are taken on a continuing basis on various
fields Addilional investments are also being made on installation of new
equipments and modification of existing equipments. wherever necessary to
reduce energy consumption These measures have yielded positive results in
reducing energy consumption.
The company is not covered under the list specified in Form 'A" of the
Companies (Disclosure of Particulars in-the Report of Board of Directors)
FOREIGN EXCHANGE EARNINGS AND OUTGO
a.C.l.F. value of Imports of Raw Materials.
Capital Goods. Stores & Spares 11.13
b. Expenditure incurred in Foreign Currency
- Travelling 2.76
c. Advance For Capital Goods Nil
d. Earnings in Foreign Currency Nil
PARTICULARS OF EMPLOYEES
The information required in terms of Section 217(2A) of the Companies Act.
156 read with Companies (Particulars of Employees) Rules. 1975 and forming
part of this report is given in the Annexure to the Directors Report.
We take this opportunity to express our deep sense of gratitude to
Financial Institutions, Banks for their continued support and gratitude. We
would like to place on record our sincere appreciation of the dedication
and hard work put in by every member of Akar team for the Company's
For & On behalf of the Board
Place: Mumbai VINOD SHETH
Date: 3rd December, 1999. CHAIRMAN & MANAGING DIRECTOR