Hydroflex Equipments Ltd.
||ISIN Code: N.A.
05:30 | 01 Jan
Hydroflex Equipments Ltd
05:30 | 01 Jan
Hydroflex Equipments Ltd
Hydroflex Equipments Ltd. (HYDROFLEXEQUIP) - Director Report
Company director report
HYDROFLEX EQUIPMENTS LIMITED
Your Directors have the pleasure in presenting the Ninth Annual Report
together with the audited accounts of the company for the Year ended 31st
Financial Results for the Year
Current Year Previous Year
Rs. In Lacs Rs. In Lacs
Sales 331.89 383.31
Profit before Interest, Depreciation
& Taxation 62.68 65.95
Interest 42.89 23.23
Depreciation 5.80 4.73
Provision for Taxation 4.00 10.00
Net Profit 9.99 27.99
PRESENT BUSINESS OPERATIONS
The Company's turnover decreased from 383.31 Rs. Lacs to Rs. 331.85 Lacs
due to general recession and strike, which affected the production for
almost 4 months.
Your Company has further consolidated its market network and with lots of
association with Dealers and Liaison Agents we are finding marked
improvement in getting their requirements and due to which there has been
increase in the Market share and which may improve further.
The total economy is in grip of Recession and we have been able to achieve
turnover due to support of our valued customers and the co-operation of our
Dealers & Liaison Agents.
Your Company has already ventured in the Export Market and has been
receiving inquiries and we hope to bag some Export orders. We are
forwarding sample of our products to be displayed at Uganda International
Trade Fair which is being held from 7th to the 12th of October 1997.
Your Company had faced Labour Unrest and Strikes from July '96 and the
matter at present is with the Industrial Tribunal. The Company has
recruited a new team of workers and they are being trained. The production
and functioning of our unit has now stabilised. The Company's Shares are
listed at various Stock Exchanges like Mumbai, Mangalore Hyderabad and
The Project was proposed to start Commercial Production tentatively by
December 1997 but due to the in-ordinatete delay in getting Industrial Land
from Goa Daman & Diu Industrial Development Corpn Ltd., Panjim (Goa) the
project could not commence as planned.
We are following up with the authorities of G.D.D.I.D.C and hope to et the
land tentatively by December 1997, The Project cost has gone up due to the
in-ordinate delay and we proposed to off load some job work with vendors to
cut down some of the machineries.
We are acquiring a shed to start the activities although in a small way
Hydraulic Products Division.
The globalisation of the Indian Economy, has thrown open the challenges to
the Domestic Manufacturers and we hope that when the creation of
Infrastructure starts this Industry would get substantial growth.
We have a strong and diversified Customer base and with our manufacturing
capabilities we expect to get tremendous growth in the coming years.
We, have developed vendor to supply our components and these would be an
asset to us in the Hydraulic Products Division.
We are making efforts to export our products and we hope to have a
substantial growth in this area in the coming years.
Your Directors recommend 5% dividend, to be paid on pro-rata basis on the
equity share capital of the Company as at 31-3-97.
The cash flow statement is attached pursuant to clause 32 of the listing
A statement of the Holding Company's interest in the Subsidiary in
accordance with Section 212(a) of the Companies Act 195 is enclosed.
Smt. Sushila Joshi and Mr. Laxminivas Sharma, Directors retire at the
meeting and offer themselves for reappointment.
M/s H.K. Aparanji Chartered Accountants, Auditors of the Company retire at
the Annual General Meeting and being eligible offer themselves for the
reappointment. The Qualification given in the Auditors report are self
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION
A) Optimum utilisation of machine capacity is being adhered to. Speed of
Hose cutting machine doubled in order to augment optimum utilisation and
for better cutting efficiency.
B) Technology absorption: The Manufacturing Process does not envisage any
special technology absorption.
C) Foreign Exchange and Outgo: The relevant details are given in note to
Particulars of the employees pursuant to section 217(2A) of the Companies
Act 1956, forms a part of this report.
The Directors place on record their gratitude to the Govt., of Goa,
Economic Development corporation Bank of Baroda, and all our customers. The
Directors also wish to place on record their appreciation of whole hearted
support of all the Employees, Vendors and Suppliers. The Future prospect of
the Company is bright and it would be Company's endeavor to merit the
confidence of 11th shareholders and Investors.
FOR AND ON BEHALF OF BOARD OF DIRECTORS
Place : Goa
Dated : 30th August, 1997.
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