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Hind Industries Ltd.

BSE: 526307 Sector: Agri and agri inputs
NSE: HINDIND ISIN Code: INE675B01019
BSE LIVE 14:41 | 29 Aug Stock Is Not Traded.
NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 10.80
PREVIOUS CLOSE 11.36
VOLUME 225
52-Week high 10.80
52-Week low 0.00
P/E
Mkt Cap.(Rs cr) 9
Buy Price 0.00
Buy Qty 0.00
Sell Price 10.80
Sell Qty 125.00
OPEN 10.80
CLOSE 11.36
VOLUME 225
52-Week high 10.80
52-Week low 0.00
P/E
Mkt Cap.(Rs cr) 9
Buy Price 0.00
Buy Qty 0.00
Sell Price 10.80
Sell Qty 125.00

Hind Industries Ltd. (HINDIND) - Director Report

Company director report

DIRECTORS

Dear Members

Your Directors have pleasure in presenting the Forty First Annual Report on thebusiness and operations of your Company and the Audited Annual Accounts of the Company forthe financial year ended on 31st March 2014.

Financial Results:

The Financial Highlights of the Company for the financial year ended on March 31 2014are as under:

(Amount in Lac Rs )

Particulars 2013-14 2012-13
Revenue from Operations 15607.24 15163.16
Other Income 153.61 129.24
Profit before Depreciation 462.75 482.16
Extra Ordinary Items and Taxes {PBDEIT}
Extra Ordinary Items Written Off 0 0
Profit/(Loss) before Depreciation and Taxes {PBDT} 462.75 482.16
Depreciation and Amortisation Expense 271.66 286.72
Profit/(Loss) before Tax 191.09 195.45
Less: Tax for current year 111.95 91.55
Add: Deferred tax Written Back 57.64 52.11
Profit/(Loss) after Taxes {PAT} 136.78 156.01
Surplus/(Loss) Carried to Balance 4598.63 4472.73
Sheet

Performance:

During the financial year 2013-14 your Company again achieved the highest everturnover of Rs 15607.24 Lacs as against Rs 15163.16 Lacs in the previous year 2012-13thereby showing an increase of 2.93%. The Profit before Depreciation Extra Ordinary Itemsand Taxes (PBDEIT) of the Company during the financial year 2013-14 stood at Rs 462.75Lacs as against Rs 482.16 Lacs in the previous financial year 2012-13 which is a decreaseof 4.03% mainly due to the increase in Raw Material costs. The company earned a NetProfit after Tax of Rs 136.78 Lacs during the financial year 2013-14 against the NetProfit after Tax (PAT) of Rs 156.01 Lacs in the previous year.

Profitability:

During the year under review the company has been able to post marginal profits of Rs136.78 Lacs despite the increase in raw material costs by better control of the financialmanufacturing logistics selling distribution administrative and other expenses.

Financial Conditions and Results of Operation:

‘Management Discussion and Analysis of Financial Condition and Results ofOperation of the Company for the year under review’ as stipulated in Clause 49 ofthe Listing Agreement with the Stock Exchange are given as separate Statement in thisAnnual Report.

Subsidiary Company: HIND AGRO INDUSTRIES LIMITED

The Subsidiary Company i.e. M/s Hind Agro Industries Limited which has a 100% exportoriented modern integrated abattoir-cum-meat processing plant at Aligarh (U.P.) achievedTotal Sales Turnover Rs 73653.66 Lacs and Profit before taxes (PBT) of Rs 957.02 Lacs forthe year ended 31st March 2014 as compared to the Total Sales Turnover of Rs71914.32 Lacs and the Profit before taxes (PBT] of Rs 936.96 Lacs in the previous yearended on 31st March 2013. Pursuant to the provisions under Section 212(8) ofthe Companies Act 1956 read with the Notification No. 51/12/2007-CL-III the CentralGovernment has granted general exemption for not attaching the annual accounts ofSubsidiary Company hence the Board of Directors of the company has by resolution givenconsent for not attaching the balance sheet of the subsidiary company.

The company undertakes that annual accounts of the subsidiary company and the relateddetailed information shall be made available to shareholders of the holding and subsidiarycompany seeking such information at any point of time. The annual accounts of thesubsidiary company shall also be kept for inspection by any shareholders in the headoffice of the holding company and of the subsidiary company. The holding company shallfurnish a hard copy of details of accounts of subsidiary company to any shareholder ondemand.

Dividend:

In view of the marginal profit earned by the Company the Board wishes to maintain therate of dividend and keeping in view of the investor’s interest and marketsentiments the Board of Directors recommended a dividend @3% (i.e. 30 paise per EquityShare) out of the Profits of the Company for the Financial Year ended on 31stMarch 2014.

Further the company has uploaded the details of unclaimed and unpaid dividendpertaining to the financial years 2008-09 to 2011-12 on the website of the Ministry ofCorporate Affairs for the necessary compliance.

Current year’s outlook:

Your Company is expected to improve further and consolidate its operations in theongoing financial year i.e. 2014-15 by making increase in volumes reduce financial andother costs monitoring and controlling a better mix of its products and markets towardsachieving the better top and bottom lines in the years to come. The Company has alreadycommenced the commercial production w.e.f. 25th March 2010 in the factory ofHigh Security Registration Number Plate (HSRNP). The said project at Baddi in the Stateof Himachal Pradesh is now commissioned and the company is applying for tenders in variousstates. Since the issue of contempt notices to the transport secretaries of Delhi Punjaband Uttar Pradesh by the Honble’ Supreme Court for not implementing the HSRNP systemtenders have been floated by certain States. In view of this development the company ishopeful of getting the tenders from various State Governments where the company hassubmitted its bids.

The Company has diversified its activities into the power generation sector. The saidproject at Neemrana in the State of Rajasthan is in initial stage and the company isapplying for tenders. In view of the increasing demand of the power the company is hopefulof getting the tenders from State Government.

Consolidated Financial Statements:

As stipulated in the Listing Agreement with the Stock Exchange the ConsolidatedFinancial Statements have been prepared by the Company in accordance with the relevantaccounting standards issued by the Institute of Chartered Accountants of India. TheAudited consolidated financial statements together with Auditors’ Report thereonforms part of this Annual Report.

Deposits:

The Company has not invited/accepted any Fixed Deposits from Public during the yearpursuant to the provisions of Section 58A of the Companies Act 1956 and the Rules madethereunder.

Capital Structure:

During the year under review there is no change in the capital structure of thecompany.

Listing Agreement Compliance:

The Equity Shares of the Company are listed with the BSE Ltd. (Bombay Stock Exchange)Mumbai. The Company has been complying with the provisions of Listing Agreement and hasalready made the payment of listing fees for the Financial Year 2014-15 to the BSE Ltd.Mumbai.

Corporate Governance:

Your Company is committed to maintain the highest standards of Corporate Governance.Your directors are also committed to adhere to the requirements set out by the Securitiesand Exchange Board of India’s (SEBI) Corporate Governance practices and haveimplemented all the major stipulations prescribed. A separate section on CorporateGovernance and the Certificate from the Auditors of the Company regarding compliance ofthe conditions of Corporate Governance forms part of this Annual Report.

Insurance:

The Company has made necessary arrangements for adequate insurance of its insurableinterests.

Directors:

As per Section 149(4) of the Companies Act 2013 Mr. B. B. Gupta Mr. B. B. Huria andDr. S. K. Ranjhan the independent directors of the Company are being appointed to holdoffice as independent directors for a period of five years with effect from 26thSeptember 2014. Brief particulars and expertise of these directors and their otherdirectorships and committee memberships have been given in the annexure to the Notice ofthe Annual General Meeting in accordance with the requirements of listing agreement withStock Exchange.

In accordance with the provisions of Section 152(6) of the Companies Act 2013 andArticle No.147 of the Articles of Association of the Company Dr. Naseem Qureshi Directorof the Company is liable to retire by rotation at the forthcoming Annual General Meetingof the company and being eligible offers himself for the re-appointment. The term ofthree years for payment of remuneration to Mr. Sirajuddin Qureshi as the Chairman &Managing Director of the company has been expired on 05th August 2014 henceas per the provisions of Companies Act 2013 read with the provisions under Schedule V tothe Companies Act 2013 his reappointment on the same terms and conditions and payment ofsame remuneration is required to be approved for a further period of three years w.e.f. 06thAugust 2014 to 05th August 2017 by passing a special resolution of theshareholders in the ensuing Annual General Meeting of the Company.

The Board recommends for the re-appointment of all the aforesaid Directors.

Auditors:

The Statutory Auditors M/s M. K. Aggarwal & Co. Chartered Accountants hold officeuntil the conclusion of the ensuing Annual General Meeting and are eligible forre-appointment. The Company has received a letter from them to the effect that theirre-appointment if made would be within the limits prescribed under section 141(3)(g) ofthe Companies Act 2013 and they are not disqualified for such re-appointment within themeaning of section 141 of the said Act.

The Board recommends their re-appointment at the ensuing Annual General Meeting of thecompany.

Auditor’s Report:

The Auditor’s Report is self explanatory hence required no clarification by theBoard.

Particulars of Employees:

A statement showing the particulars of employees pursuant to section 217(2A) of theCompanies Act 1956 read with the Companies (particulars of employees) rules 1975 ismentioned below:-

Name of the Employee Designation Qualification Age Remuner-ation (Amt in Lacs Rs ) Experience Date of employment Previous employment
Mr. Sirajuddin Qureshi Chairman & Managing Director BA LLB 66 years 57.60 37 years 06.08.1993 Not Applicable

Particulars of Conservation of Energy Technology Absorption and Foreign ExchangeEarnings and Outgo:

The Statement pursuant to section 217(1)(e) of the Companies Act 1956 read with theCompanies (Disclosure of Particulars in the Report of Board of Directors) Rules 1988 isgiven in the Annexure forming part of this Report.

Directors’ Responsibility Statement:

Pursuant to the requirements of section 217 (2AA) of the Companies Act 1956 withrespect to Directors’ Responsibility Statement it is hereby confirmed: (i) that inthe preparation of the Annual Accounts for the Financial Year ended 31st March 2014 theapplicable Accounting Standards had been followed along with proper explanations relatingto the material departures; (ii) that the Directors had selected such Accounting Policiesand applied them consistently and made judgments and estimates that were reasonable andprudent so as to give a true and fair view of the state of affairs of the Company at theend of the Financial Year and of the Profit of the Company for the year under review;(iii) that the Directors had taken proper and sufficient care for the maintenance ofadequate accounting records in accordance with the provisions of the Companies Act 1956for safeguarding the assets of the Company and for preventing and detecting fraud andother irregularities;

(iv) that the Directors had prepared the Accounts for the Financial Year ended 31stMarch 2014 on a ‘going concern’ basis.

Personnel:

The employer-employee relations throughout the year were very cordial. The Companyenjoys a healthy working atmosphere that inspires the employees to put their best footforward in achieving a high-sustainable growth. The Directors also wish to place on recordthe support and confidence reposed in the management by the employees. Total quality inevery sphere of activities employee training and development continues to be on the toppriority of your management.

Corporate Social Responsibility

As per the provisions under new Companies Act 2013 and the rules made thereunder thecompany is not required to comply with the CSR Policy however the Company voluntarilymaking its regular efforts in improving the socio–economic environment in and aroundthe factory especially towards maintaining clean and green pollution free surroundingsimproving the quality of life of its suppliers employees and all concerned through itsefficient functioning and by taking all precautions against all sorts of environmentalhazards. Developing and improving the agricultural resources especially livestock isgiven an utmost priority by the Company. The Company is fully conscious of its socialresponsibilities and has been discharging them to the fullest extent.

Acknowledgements:

Your Directors would like to express their grateful appreciation for the co-operationand support extended by the Central Government State Government Financial InstitutionsBankers Vendors and Shareholders of the company during the year under review. YourDirectors also wish to place on record their deep sense of appreciation for the committedservices and untiring efforts of the executives staff and workers of the company at allthe levels.

ON BEHALF OF THE BOARD
FOR HIND INDUSTRIES LIMITED
NEW DELHI SIRAJUDDIN QURESHI
14TH AUGUST 2014 CHAIRMAN & MANAGING DIRECTOR

ANNEXURE TO THE DIRECTORS’ REPORT

Information in accordance with the Companies (Disclosure of Particulars in the Reportof Board of Directors) Rules 1988.

A) CONSERVATION OF ENERGY:

Following activities were undertaken to save/conserve energy: (i) Proper inspectionshave been carried out for improvement in energy efficiency of the process adopted andeliminating wastages.

(ii) Efforts have been regularly made to timely detect and rectify any steam/water/gasleakage. (iii) Regular meetings lectures and demonstrations were organized to acquaintand train the workers and operators for keeping an efficient functioning and maintenanceof the refrigeration and other delicate equipments of the Company.

FORM A FOR DISCLOSURE OF PARTICULARS WITH RESPECT TO CONSERVATION OF ENERGY Power andFuel consumption:

Electricity Current Year Previous Year
a) Purchased units (KWH) 0 0
Total amount (Rs ) 0 0
Average rate/unit (Rs ) 0 0
b) Own generation through diesel generator set
Units of electricity 1819917 2272942
Total cost (Rs in Lacs) 356.77 328.29
Cost per unit of electricity (Rs ) 19.60 14.44
c) Furnace Oil (Boiler)
Ltrs 0 0
Cost in (Rs in Lacs) 0 0
Rate/Litre (Rs ) 0 0
d) High Speed Diesel Oil (Boiler)
Ltrs 2430 188673
Cost in (Rs in Lacs) 1.49 86.12
Rate/Litre (Rs ) 61.51 45.58
Consumption per unit of production:
Fresh & Frozen Meat: (Per K.G.)
Particulars Current Year Previous Year
Energy (in Units) 0.220 0.969

FORM "B"

(See Rule 2)

B) TECHNOLOGY ABSORPTION:

1. Technology Absorption Adaptation and Innovation:

a) Efforts in brief made towards technology absorption adaptation and innovation:

We have always kept abreast with the latest technology developments taking place in theexternal environment. The Company is regularly employing qualified technical operationalprocess veterinary staff and food technologist for proper absorption adaptation andinnovation of the technology. The employees are regularly imparted technical andprofessional training for their continuous updation.

b) Benefits derived as a result of the above efforts e.g. product improvement costreduction product development import substitution etc.:

The Company is making regular efforts for adopting the latest manufacturing technologywhich minimizes the wastage and contamination if any and thereby reduces the cost.

c) Technology imported: Nil

C) FOREIGN EXCHANGE EARNINGS AND OUTGO:

1. Earnings and Outgo:

Earnings of foreign exchange of the company have been to the tune of Rs 4060.12 Lacs(FOB Value) during the financial year 2013-14 (Previous year Rs 5925.22 Lacs) by way ofexports and the foreign exchange outgo during the same period was Rs Nil Lacs (PreviousYear Rs 19.41 Lacs).

ON BEHALF OF THE BOARD
FOR HIND INDUSTRIES LIMITED
NEW DELHI SIRAJUDDIN QURESHI
14TH AUGUST 2014 CHAIRMAN & MANAGING DIRECTOR