BHOR INDUSTRIES LIMITED
ANNUAL REPORT 2004-2005
Your Directors are forwarding herewith the Sixty Second Annual Report of
your Company together with the Audited Accounts for the year ended 31st
Year ended Year ended
(Rs in Lacs) (Rs in Lacs)
Income (008) 412
Other Income 391 746
Total Income 383 1158
Total Expenditure 249 962
Operating Profit / (Loss) 134 196
Interest: Net 84 55
Gross Profit / (Loss) 50 141
Depreciation 23 43
Profit / (Loss) before Tax 27 98
Taxation for earlier years - 12
Net Profit / (Loss) 27 86
Balance brought forward
from previous year (4624) (4710)
Profit / (Loss) carried
to Balance Sheet (4597) (4624)
Your Company has achieved a turnover of Rs. 22.38 Lacs during the Financial
Year 2004-2005 as against Rs. 481 Lacs in the previous year.
The Company reported a profit of Rs. 27 Lacs after Interest & Depreciation
during the year 2004-05, this is on account of sale of fixed assets of the
The Directors recommend re-appointment of M/s. JCR & Co., Chartered
Accountants, Mumbai as Auditors of the Company for the Financial Year 2005-
The Company has received certificate from them stating that their
appointment, if made, will be in accordance with the limits specified in
Section 224 (1B) of the Companies Act, 1956.
The Board of Directors of the Company has constituted an Audit Committee,
pursuant to Section 292 A of the Companies Act, 1956. This committee has
three Directors, Shri.L.J.Tanna, Shri.T.T.Tanna and Shri. V.Ramamrutham.
The committee meets as and when required.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS
Information in accordance with the provisions of Section 217 (1) (e) of the
Companies Act, 1956 read with Companies (Disclosure of particulars in the
Report of the Board of Directors) Rules, 1988 regarding conservation of
energy, technology absorption and foreign exchange earnings and outgo is
given here below:
(A) CONSERVATION OF ENERGY:
(a) Energy Conservation measures taken:
Conservation of energy is given top priority by the Company. During the
year, the Company has taken following measures towards energy conservation.
1. Organising the operating procedures in such a way that energy losses are
minimised by eliminating idle running. This has helped in reducing Furnace
Oil consumption and Energy per unit.
2. Modifying the processes so as to eliminate intermediate steps bringing
down per unit consumption of energy.
3. Optimisation of electrical load by matching motor power capacity to the
exact operational requirements.
(b) Proposals being implemented for reduction of consumption of energy:
1. Reduction in wastage of raw materials leading to lower consumption of
2. Development of products to meet new uses and users in domestic and
3. Development of products aimed at import substitution particularly in
4. Introduction of ingredients to enhance environmental protection.
5. Modification of process so as to reduce the number of steps.
The above measures have been instrumental in bringing down the cost of
energy per unit of production in addition to improving quality.
(B) TECHNOLOGY ABSORPTION:
(a) Specific areas in which R &D was carried out by the Company
1. Efforts are directed towards producing products meeting international
standards by devising processes and introducing materials to enhance
2. As a result of these efforts, products developed to meet the
requirements of new customers resulting in import substitution and cost
(b) Benefits derived as a result of above:
i) Product range widened to meet market requirements and to serve new
ii) Reduction in cost of new products.
iii) Improved quality and productivity.
(c) Technology Absorption, adaptation and innovation:
The Company has not improved any technology during the year.
(C) FOREIGN EXCHANGE EARNINGS AND OUTGO:
Total Foreign Exchange earned Nil 3,67,755
Total Foreign Exchange used Nil 14,49,746
RESPONSIBILITY STATEMENT PURSUANT TO SECTION 217 (2A) & 217 (2AA) OF THE
COMPANIES ACT, 1956:
Section 217 (2A), No employee is paid remuneration above Rs. 24 Lacs per
Section 217 (2AA) of the Companies Act, 1956, the Board of Directors state
i. in the preparation of the Annual Accounts, the applicable Accounting
Standards have been followed except wherever otherwise disclosed.
ii. the Company has selected and applied such Accounting Policy
consistently and judgements and estimates are made in reasonable and
prudent manner so as to give true and fair view of the State of Affairs of
the Company as at the end of the financial year and profit of the Company
for that period,
iii. proper and sufficient care has been taken for maintenance of
accounting records in accordance with the provisions of the Act for
safeguarding the assets of the Company and preventing/detecting fraud and
iv. the annual accounts are prepared on a going concern basis.
The Company is having qualified and trained employees who are responsible
to both customers needs and changing economic scenario. Employees relations
were cordial and work atmosphere was congenial during the year.
The Directors place on record their appreciation for the co-operation given
by Bankers, Shareholders, Dealers, Valued Customers and the Employees of
the Company during the year under review.
For and on behalf of the Board
July 20, 2005