At AksharChem we believe in being spirited and determined in the most adversescenarios. Our motto of doing the right things in the gloomiest situations has alwayshelped the Company stay afloat and come out more colourful. In the past three years alonethe Companys market capitalisation increased 1312.07% to Rs. 11539.76 lacs as on31st March 2015 and shareholders fund grew by 431.29%.
The year 2014-15 was a challenging one as the Company witnessed surge in the prices ofraw material packing materials and finance costs. Keeping these realities in mind theCompany registered a satisfactory performance wherein the revenues grew 37.92% to Rs.19981.58 lacs primarily driven by the addition of Copper Phthalocyanine Green (CPCgreen) division under the Scheme of Arrangement in the nature of demerger.
Doing the right things
The global textile chemicals industry is witnessing paradigm changes as demand foreco-friendly chemicals dyes and pigments is increasing. Moreover the rising cost ofraw-materials has forced established players to undertake restructuring for costoptimisation leading to relocation of production in lower cost destinations like Asia.
The Company undertook several initiatives during the year to enhance the Companysbusiness sustainability:
Widened product portfolio: The CPC green division shall widen the productoffering of the Company resulting in higher sales and addition of new customers.
Focus on service improvement: The Company consciously undertook serviceimprovement measures by improving customer responsiveness through regular interactions andfeedback. As a result the Company is able to provide customised solutions to itscustomers and provide timely delivery of products.
Spreading to new regions: The Company is in continuous process of exploringbusiness opportunities in new regions like Middle East South East Asia and Africa.
Undertaking promotional activities:
The Company undertook activities like participation in trade exhibition maintainingcustomer relationships and entering into strategic partnerships to promote theCompanys brand.
The global textile chemicals industry is expected to grow at a compounded rate of 3.5%through 2020 backed by strong demand in the textile industry. The rise in textileconsumption for engineered products growing awareness of technical textiles in workplaceand increasing industrialization are likely to boost growth in textile sector. The hometextiles demand is also likely to grow with the rising disposable income and improvingliving standards.
Corporate social responsibility
At AksharChem we believe in making business prosperity scalable and sustainable forour employees society and stakeholders at large. The Company has state-of-the-artenvironment management system that generates minimum waste per unit of output emits fewerpollutants and checks plant operational noise. The plant also has effluent treatmentfacility that ensures re-cycling and re-utilisation of wastes to minimise damage done toenvironment. The employees are encouraged and trained to minimise wastage of water fueland energy.
We promote working in a clean and hygienic plant environment to ensure health andsafety of our employees. The Company complies with all international safety standards andensures that employees working at the plant are equipped with necessary protection gears.
During the year we have shown our concern for people by providing water sanitationfacility in Village Indrad
committed to provide the villagers with pure drinking water eventually improving theirhealth and hygiene.
Message to shareholders
As the saying goes that adversity either destroys or brings out the best in us. Webelieve in daring the tough times as it keeps us on toes motivates us to think harderenable us to challenge our capabilities and push further to explore new opportunities.
The various agenda undertaken by the Company to carry-on its growth momentum in thecoming years includes:
Explore avenues for organic and inorganic growth.
Enter the South American market.
Focus on developing value added grades of existing product line and developproduct line with new applications to attract wider gamut of chemical companies.
Set-up research and development centres to focus on product innovation andprocess development with the objective of cost reduction and quality improvement. Thefocus shall also be on making products more eco-friendly to increase its acceptance inexisting markets and enable the Company to enter new markets.
I thank all the stakeholders for being with the Company and assure them that we areusing the current slump to build competencies and capitalise on the opportunity to bounceback with increased profitability and enhanced shareholders value.
Mrs. Paru M. Jaykrishna