Dear Shareholders Greetings from Crompton The past year has been momentous one for uswhere we have set out to chart new territories as an independent company. We haveinherited a trusted well-nurtured brand and a talented motivated organisation. Outliningour course in future will depend on how well we build on this solid foundation to identifyand utilise the opportunities that we encounter.
This is an interesting time for the industry. Despite a relatively muted macroeconomicscenario swift transition to LED has been the dominant story in the lighting business.This has played out through multiple channels including Government which has emerged asa big buyer. We have ridden this wave well to deliver a 9.1% growth in Lighting segment.Besides LED our efforts of focussing on identified growth segments of Premium fans &Agro Pumps have shown encouraging results. With a strong performance in ElectricalConsumer Durables where we grew by 12.2% we posted a double digit growth of 11.2% forthe Company. Our efforts in cost improvement and value creation have shown good results inmargin as well.
We have set ourselves a goal to be the fastest growing company in our sector anddeliver disproportionate returns to all stakeholders. This will mean doing the things thatwe do well better and to find out new areas where we can add value. We undertook apan-organisation exercise to agree on the most important themes to focus on in next fiveyears and develop specific actions around them.
First theme is to deepen our connect with our consumers. Over the years Crompton brandhas sustained as a mark of trust and quality. It is critical to continue this relationshipwith younger generations in their preferred idiom.
Second is to have a more meaningful impact on the lives of our consumers. Thistranslates to innovation in our products that are valued by our customers. Our assessmentis that these innovations will be in domains of energy efficiency better functionalityand smart products.
Third theme is to make sure that we are able to service our customers at their desiredlevel. This will mean that right products be available at the right price where customerbuys them. At the same time we will be able to service those products up to our consumersRs. satisfaction.
Fourth theme is to strengthen our supply chain to be able to answer higher standards weare placing on ourselves.
Fifth theme is to find higher efficiencies in our processes and systems to be able togenerate value for all stakeholders. Our ability to generate value on both market andprocess side will help us drive our growth & profitability objectives.
The best way to serve the consumer is to set a way of working where consumer needs arethe starting point. This has been our overarching belief as we set these guidelines forourselves. At the same time we will continue to invest in people and build capability tokeep pace with the wheel of change we have set in motion.
I owe a sincere thanks to all our partners vendors and employees for standing firmlyby us through the transition. The faith all of them have reposed on us is a continuedsource of strength for the company. I will also like to thank the Board of Directors fortheir guidance during this crucial transition phase of the company.
Mumbai 18 May 2016