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NILE Ltd.

BSE: 530129 Sector: Metals & Mining
NSE: N.A. ISIN Code: INE445D01013
BSE LIVE 15:40 | 18 Aug 616.60 -5.25
(-0.84%)
OPEN

605.10

HIGH

623.00

LOW

605.10

NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 605.10
PREVIOUS CLOSE 621.85
VOLUME 7606
52-Week high 790.00
52-Week low 213.00
P/E 6.49
Mkt Cap.(Rs cr) 185
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 605.10
CLOSE 621.85
VOLUME 7606
52-Week high 790.00
52-Week low 213.00
P/E 6.49
Mkt Cap.(Rs cr) 185
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

NILE Ltd. (NILE) - Director Report

Company director report

To

The Members

Your Directors take pleasure in presenting the 32nd Annual Report on theoperations of your Company and the Audited Accounts for the financial year ended 31stMarch 2016 together with the AuditorsRs Report thereon.

Financial Results:

Your Company's results for the year and the comparative figures for the previous yearare given below in a summarized format:

(Rs in lakhs)

Particulars 2015-16 2014-15
Net Sales 42527.32 38595.87
Other Income 257.54 566.26
Profit before interest and depreciation 2154.66 2254.32
Less: Interest 686.44 705.24
Depreciation 340.54 332.98
Profit before exceptional & extraordinary items and tax 1127.68 1216.10
Profit before Tax 1127.68 1216.10
Profit after Tax 706.45 811.99
Add: Opening balance in Statement of Profit & Loss 4715.67 4094.59
Amount available for appropriation 5422.12 4905.73
Appropriations:
Transfer to General Reserve 71.00 82.00
Interim/Proposed Dividend on equity shares 90.06 90.06
Dividend distribution Tax on interim/proposed dividend 18.33 18.00
Surplus/(Deficit) carried to Balance Sheet 5242.73 4715.67

Note: Previous yearRs s figures are regrouped and presented wherever necessary.

Dividend:

Your Directors declared an interim dividend of Rs 3/- per share for the financial year2015-16 at their meeting held on 12th March 2016. The Directors do notrecommend any final dividend.

Operations:

Operations of the Company's two divisions for the year under review were as follows:

Lead Division:

This year the Lead division recorded sales of Rs 42465 lakhs as against Rs 38512lakhs in the previous year an increase of 10%.

Windmills:

The entire energy of approximately 20 lakhs units generated at Ramagiri was sold toAndhra Pradesh Southern Power Distribution Company Ltd. The earlier power purchaseagreement expired on 29th August 2015 and was extended for another 10 yearsat a reduced tariff of Rs 2.23 per unit. The total revenue was Rs 62 lakhs against Rs 84lakhs in the previous year.

Total:

The combined turnover of the Company thus was Rs 42527 lakhs for the year underreview as against Rs 38596 lakhs for the previous year.

Corporate Governance: Your Company has complied with all provisions of CorporateGovernance as required under the Listing Agreement / the SEBI (LODR) Regulations 2015. Areport on Corporate Governance along with the certificate on its compliance from theAuditors forms part of this report.

Quality System: Your Company's certificates for Quality Systems under ISO 9001 forthe Lead Division continue to be valid.

Management Discussion and Analysis Report: A detailed discussion on the industrystructure as well as on the financial and operational performance is contained in the RsManagement Discussion and Analysis ReportRs enclosed hereto that forms an integral part ofthis Report. (Refer Annexure-A)

Information as required under Section 134(3)(m) of the Companies Act 2013 read withRule 8(3) of Companies (Accounts) Rules 2014:

A. Conservation of Energy:

Your Company continues to explore all possible avenues to reduce energy consumption.

Street and high bay lights were replaced with energy efficient LED lights at a cost ofmore than Rs 3.5 lakhs at both the lead recycling units.

Variable frequency drive which will result in significant power savings was installedfor the ID fan of the fourth rotary furnace at Tirupati plant. This drive installed on theother three furnaces earlier.

The transformer at the Choutuppal plant was replaced with an optimal capacitytransformer which will reduce power losses resulting in annual savings of about 11000units of energy.

B. Technology Absorption:

No new technology has been obtained during the year and the existing technology in usehas been fully absorbed.

C. Foreign Exchange earnings and outgo:

Total foreign exchange used and earned: (Rs in lakhs)

Particulars 2015-16 2014-15
a) Foreign Exchange earnings on exports 26.97 244.72
b) Foreign Exchange used on account of:
i) Foreign Travel 3.73 0.25
ii) Professional Charges 0.80 0.91
iii) Subscription charges 4.05 2.96
iv) CIF value of imports of raw material & others 12036.92 12426.55
v) Dividend for 2014- 15/2013-14 3.60 2.47

Directors:

pursuant to Section 152 and other applicable provisions if any of the Companies Act2013 Smt. Vuyyuru Rajeswari will retire by rotation at the ensuing annual general meetingand being eligible offers herself for reappointment.

Statutory Auditors:

M/s. JVSL & Associates Chartered Accountants expressed their inability tocontinue as Statutory Auditors of the Company due to personal reasons and forwarded theirresignation to the Chairman and Managing Director of the Company. The Board at theirmeeting held on 13th August 2016 accepted their resignation. However theywill continue as Statutory Auditors of the Company till the conclusion of the ensuingAnnual General Meeting.

Further on the recommendation of the Audit Committee the Board of Directors of yourcompany proposes to appoint M/s. Gokhale & Co. Chartered Accountants Hyderabad asStatutory Auditors of the Company at the ensuing annual general meeting.

Number of meetings of the Board:

Details of same are disclosed in the Corporate Governance Report.

Declaration of Independence:

This is to confirm that all the Independent Directors have affirmed their compliancewith the criteria of Independence as provided in Section 149 (6) of the Companies Act2013.

Risk Management Policy:

The Board has adopted and is implementing a suitable Risk Management Policy for thecompany which identifies therein different elements of risk which may threaten theexistence of the company.

Particulars of investments under Section 186 of the Companies Act 2013:

The company had made an investment of Rs 91.16 lakhs in equity shares of GLW Ltd. inthe financial year 2008-09. The company had also made a provision for diminution in theentire value of the said investment by way of Rs 45.58 lakhs each in the financial years2012-13 and 2013-14. Further the company has approached the Reserve Bank of Indiaseeking permission to write off the investments in GLW Ltd.

Deposits:

No deposits under Chapter V of the Companies Act 2013 were accepted or renewed duringthe year.

Composition of Audit Committee and Vigil Mechanism/ Whistle Blower Policy:

Details of the same are disclosed in the Corporate Governance Report.

Information as required under Section 134(3)(e) Section 178(3) of the Companies Act2013 and Rule 8(4) of the Companies (Accounts) Rules 2014: Refer Annexure B Disclosurespursuant to Section 197(12) and Rule 5 of the Companies (Appointment and Remuneration ofManagerial Personnel) Rules 2014: Refer Annexure C Annual Report on CorporateSocial Responsibility (CSR) activities in accordance with Rule 8 of Companies (CSR Policy)Rules 2014: Refer Annexure D

Extract of Annual Return (Form MGT-9) [(Pursuant to Section 92(3) and Section 134(3)(a) of the Companies Act 2013 and Rule 12 of Companies (Management and Administration)Rules 2014]: Refer Annexure E

Employees:

No employee was in receipt of remuneration more than the limit prescribed under theCompanies (Appointment and Remuneration of Managerial Perssonnel) Rules 2014. DirectorsRsResponsibility Statement:

Your Directors in terms of Section 134(5) of the Companies Act 2013 state that:

(a) In the preparation of the annual accounts the applicable accounting standards hadbeen followed along with proper explanation relating to material departures;

(b) The Directors had selected such accounting policies and applied them consistentlyand made judgments and estimates that are reasonable and prudent so as to give a true andfair view of the state of affairs of the company at the end of the financial year and ofthe profit and loss of the company for that period;

(c) The Directors had taken proper and sufficient care for the maintenance of adequateaccounting records in accordance with the provisions of this Act for safeguarding theassets of the company and for preventing and detecting fraud and other irregularities;

(d) The Directors had prepared the annual accounts on a going concern basis; and

(e) The Directors had laid down internal financial controls to be followed by thecompany and that such internal financial controls are adequate and were operatingeffectively.

(f) The Directors had devised proper systems to ensure compliance with the provisionsof all applicable laws and that such systems were adequate and operating effectively.

Industrial Relations:

The industrial relations in the Company continue to be very cordial and stable. YourDirectors would like to place on record their appreciation of the dedication andcommitment of all employees of your Company.

Acknowledgement:

Your Directors thank the customers vendors investors and Andhra Bank for theircontinued support during the year.

For Board of Directors
Sd/-
V. Ramesh
Chairman and
Place : Hyderabad Managing Director
Date : 13-08-2016 DIN: 00296642