To be a global leader in the construction and infrastructure industry by continuouslymoving forward.
To have international standards by adopting latest technologies ideas and systems bycreating quality minded employees to deliver to client expectations.
To perform exceptionally well in all aspects in the industry by providing innovativereliable and high quality services to our clients.
Developing highly trained loyal employees who work as a team to anticipate identifyand respond to client needs.
IT GIVES ME PLEASURE TO SHARE WITH YOU THAT YOUR COMPANY HAS POSTED ROBUST FINANCIALPERFORMANCE ON THE BACK OF CHALLENGING ECONOMIC SCENARIO WITH IMPROVEMENTS ACROSS KEYPARAMETERS DUE IN NO SMALL PART TO OUR CONTINUED EFFORTS IN PRODUCTIVITY ENHANCEMENT ANDRESOURCE MANAGEMENT.
Positive policy actions together with the decline in oil prices have helped make Indiaone of the fastest-growing large economies in the world. Indias growth outlook isfavourable with GDP growth projected to strengthen from 7.3 percent in 2015-16 to 7.5percent in the upcoming fiscal year. According to the IMF the potential is enormous butto remain in the economic sweet spot India must ensure forward momentum ofeconomic reforms.
Union Budget 2016-17 highlighted the governments focus once again on theinfrastructure sector. Like last year there was a substantial increase in outlay forroads and railways. The government has also taken measures to address issues in irrigationand civil aviation space. The government has continued to build upon the promises madelast year and has made significant progress during the year.
Indias growth would spur only with the growth and development of infrastructurein size scale and speed. For the development of infrastructure role of private playersshall be pivotal many of which are implemented in the "Public PrivatePartnership" (PPP) model. The PPP model which involves both private and publicsectors joining hands symbiotically is the route forward to achieving success. Thegovernment has taken a multi-pronged approach to improve the PPP model for allstakeholders. They have systematically identified the hurdles of these projects &tried to address them.
Notwithstanding the uncertainties of the economic environment your company has turnedin a laudable performance on most key performance parameters for 2015-16.
We have registered a 20% growth in revenue as well as 20% increase in profit after tax.The companys revenue for the FY1516 was H315 crores as against H263 crores in theprevious financial year. Net profit for the year was H20.67 crores as against H17.27crores in the previous year.
Some of the significant projects undertaken by the Company during the year included:
Construction of godowns at Thanjavur Coimbatore and Nagapattinam for TNCSC
Construction of toilet blocks under Swacch Bharat Scheme at Andhra Pradesh
Road and drain improvement works in Gadag Karnataka
Providing CWSS (Combined Water Supply Schemes) to rural habitations in SalemTirupur and Trichy districts
Formation of Flood Carrier Canals in Ramanathapuram District of Tamil Nadu
WSIS to Tindivanam Municipality in Villupuram District of Tamil Nadu
Implementation of Phase II eco restoration in the 300 acres of Adyar estuary andcreek
As a part of our overall strategy of enlarging our footprint across India we havebagged projects in Madhya Pradesh. We have also entered in to a Consortium agreement withSiemens Ltd. India for submitting a joint bid to Power Grid Company of Bangladesh inrespect of design supply erection testing and commissioning of 400 KV 230 KV and 132KVsubstations on turnkey basis.
The performance of the subsidiary companies remained muted with the Groupsconsolidated revenues for the year being H315 crores while the consolidated profit aftertax was H19.19 crores.
It gives me pleasure to announce that your Company has recommended a dividend ofRe.0.50 per equity share for the financial year ending 31st March 2016.
Infrastructure is not a matter of choice but of need. Good Infrastructure fuelseconomic growth of a country. Spending by the public sector in core infrastructure hasbeen improving. Funding from increased budgetary allocation by the Central Governmentincreased level of ordering by healthy public sector undertakings and a steady inflow ofsoft loans from external multilateral lending agencies have contributed to a perceptiblerise in the core infrastructure investment momentum. This has considerably enhancedpotential business opportunities for your Company.
R.P.P Infra continues to build on core competencies thus reducing the risk ofdependence on any one sector or project and helps in participating in projects across thecountry. We will stay focused and selective in achieving increased returns. We are bullishon the long term growth opportunities and are well positioned to capitalise on theopportunities by leveraging on our execution capabilities track record and robust balancesheet. With a positive view on the economic status of the sector we can look forward tosignificant growth for the company.
I thank the Board members Shareholders Lenders Employees and Vendors who have walkedwith us and strengthened us in our pursuit of excellence and have enabled sustainable andprofitable growth in business year after year.
P. Arul Sundaram
Chairman & Managing Director
27th May 2016