I extend a warm welcome to the 27th Annual General Meeting of the Company. Your companycontinues to consistently perform in the challenging and competitive environment. YourCompany has continued focus on its business growth strategy in the sectors ofinfrastructure development having domain expertise and by creating value for its clientsand stakeholders. Continued focus on its business plans coupled with contribution ofemployees has resulted in improved performance of your Company.
During 2015-16 the macro economic activity is expected to witness a quantum jump whichis expected to start showing results in 2016. The industry outlook for new investment byremoving of bottlenecks of implementation is likely to generate growth in Infra Sector.The GDP growth for 2015-16 is projected at 7.6 to 7.8 per cent which is quite higher thanprevious years.
Your Company proposes to consolidate its performance based on the intrinsic advantagesof its asset base and existing business standing in the light of new Economic Developmentthrust.
The period of economic hope will create huge challenges and opportunities. Thechallenges are in the form of pressure on operating margins interest costs and stretchedworking capital cycles. Positive economic sentiment Infra Thrust of government is likelyto throw opportunities for the company in related infra sectors like Urban Infra &Railways.
The net consolidated receipts from operations of the Company were Rs. 4665.85 lacs ascompared to Rs. 3632.62 lacs in the last fiscal. There was a rise in the receipts mainlyon account of Road and Mining EPC Contracts. The net profits of the Company have increasedfrom Rs.119.56 lacs to Rs.189.92 lacs and operating profits stood at Rs.796.12 lacs VsRs.785.82 lacs in previous year.
Your Company is optimistic of the potential of returns from the projects as yourCompany as well as from its subsidiary Artefact Infrastructure Limited. It has built agood base of long-term yielding infrastructure assets. The revenues from these newprojects have commenced from the financial year 2014-15 and are likely to increase duringthe current financial year 2015-16.
The Company has substantial orders in hand strengthening its revenue visibility fornext 3 to 4 years.
Your Company welcomes the induction of young Professional directors who also form partof promoters group and have Post Graduate Qualifications and experience in CivilEngineering Architecture and Management. Your management feels its also time to promoteyoung talent to take up more challenges and responsibilities to shape the Companysfuture.
I would like to take this opportunity to thank the entire management team at ArtefactProjects Limited for their energy and tireless work throughout the year. I would also liketo sincerely thank our joint venture partners bankers customers and business associatesfor their support. Finally a big thank you to all our investors for the continuedconfidence they have shown in Artefact Projects Limited.
Manoj B. Shah
Date: 14th August 2015