Financial Year 2016-17 was a pivotal year for Navneet Education Limited (NEL). NEL'sTurnover for the first time in its history crossed Rs. 1000 crore.
Before I articulate on NEL's performance with a heavy heart I write to inform thatShri Amarchandbhai our Founder-Chairman and most revered patriarch of the entireNavneet Parivar' left for his heavenly abode on 5th February 2017. Within just afew months Shri Harakhchandbhai another founder director of Navneet passed away on 1stJune 2017 after brief illness.
In one life time without the benefits of formal education they started out withnothing to their names except extraordinary vision deep commitment and immensedetermination which helped the Company to successfully steer ahead from humble beginningsthrough ups and downs to achieve its present stature. The stories of their legendaryachievements will enthral generations.
Even while pursuing growth objectives of the Company Late Shri Amarchandbhai and LateShri Harakhchandbhai never lost sight of their responsibility towards the society andconstantly taught us to give back to society.
We are committed to living by the principles values and philosophies that they stoodfor in placing trust in people and nurturing long- term relationships. Although they arephysically not with us today their principles and values shall always remain a beaconlight for us.
On behalf of all the Directors and stakeholders I pay tribute to these great souls andpray to God to give strength and courage to all Gala family members to bear thisirreparable loss.
We had a good year amidst economic changes and some degree of global challenges. Allthis volatility and change however has a silver lining. Every such change also createsnew opportunities along with the new risks. We entered the year with a backdrop of a toughenvironment especially in the Stationery vertical but managed to do reasonably wellduring the year. With your unflinching support and faith in our abilities we willcontinue to rise by accepting no limits thinking alternatively and by drivingpositive change. In the backdrop of the above I am pleased to report that your Companyreported revenue growth ahead of the industry growth rate this year. We ended FY 2016-17with a total revenue of Rs. 111453 lakh a growth of 16.9% and our total comprehensiveincome after tax grew 27.6% to Rs. 16115 lakh.
The segment highlights are as under :
Publication Revenue increased by 15.4% to Rs. 59592 lakh
Stationery Revenue increased by 20.2% to Rs. 49332 lakh
We have also made encouraging progress on a number of our strategic objectives. Duringthe year we have initiated more of sales and marketing activities as we look to strengthendirect relationships with our customers. Aiming for more predictable earnings NELcontinues to broaden its business. The acquisition of Indiannica Learning Pvt. Ltd.(earlier known as Encyclopaedia Britannica (India) Pvt. Ltd.) is an example. We continueto be open to diversify and expand that help us to deliver our strategy in particular totaking attractive opportunities to increase top line. Revenue from operations of NEL'ssubsidiary eSense Learning Pvt. Ltd. increased by 12.8% to Rs. 2213 lakh. We willcontinue to strive to improve the business model in the digital business in order to growthe business to next level.
At NEL community development is integral to our sustainability strategy. We define CSRas conducting business in a way that provides social environmental and economic benefitsto communities. We recognize that inclusive growth can be achieved through responsiblecommunity participation thereby contributing to social prosperity. Keeping these guidingprinciples in mind we have delivered our CSR activities through various ways includingthrough "Navneet Foundation".
There is a wealth of talent across the NEL. I would like to acknowledge again theimmense contribution of everyone in NEL and on behalf of the Board to thank all stafffor their hard work and dedication. The commitment to excellence the entrepreneurialismand the imagination of our staff are critical to our progress and to our ambition toprovide the best possible service. The overall strength of our NEL team enables us to facethe challenges with confidence.
We look forward to an exciting and challenging year ahead with new milestones andachievements. As I conclude I want to thank all of our customers shareholders andemployees for their continued faith and support in the Company.
Kamlesh S. Vikamsey