It brings me immense delight to put forth the annual performance of your Company forthe financial year 2019-20. This was a year marked by various events both good and badfor the global economy. Tense trade relations a global pandemic and an already strugglingdomestic economy were the big highlights of the last fiscal year. Aarti Drugs howeversailed safe during the year and capitalised on its opportunities. FY 2019-20 was aneventful year for Aarti Drugs on several fronts. Your Company stayed true to itscommitment of delivering excellence and adding value to the shareholders in addition toachieving significant feats. The FY19-20 will be a testament of our grit and belief inourselves as we passed these testing times with flying colours.
India is one of the major driving forces of the global pharmaceuticals industry owingto its focus on Research and Development (R&D). Additionally the country has anever-growing pharmaceutical market being the largest provider of generic drugs globally.The Indian pharmaceutical sector supplies over 50% of global demand for various vaccines40% of generic demand in the US and 25% of all medicine in UK. This proves that theopportunities in the industry will keep growing in the coming years.
During the last quarter of FY20 the COVID-19 outbreak impacted all countries bothmedically and economically. The wild spread of the virus in addition to the increasingcasualties brought the world to a halt as numerous nations initiated a lockdown tocounter the outbreak. India too followed suit and began a country-wide lockdown fornearly three months as a step to prevent the virus from impacting the nation. The effortsof the brave civil workers and medical professionals around the world is lauded as theywork day and night to treat the patients find a cure and ensure safety on all fronts.
The Company continued to bank on its worldwide footprint and set higher standards inFY20. Through constant innovation and market studies the Company has recently expandedits capacity in anti-inflammatory therapeutic category. The Coronavirus did impact theoperations of Aarti Drugs but your Company held its own ground on the back of its strongfinancials and dominance in the industry. For the first time in its history your Companyamassed a PAT of more than Rs. 100 Crores. The financials of the Company for FY20 provethat we are on the right track of progress and our continuous efforts are bearing fruit.Furthermore the Company also streamlined its key products processes with alternate KSMs(Key Starting Materials).
The financial year 2019-20 presented a lot of challenges which your Company dealtsuccessfully with market knowledge and experience. Owing to the unavailability of KSMsfrom China there were a lot of changes in the processes of key products. The Company madesure these changes were for the better as improved efficiency was noted with the betterprocess. The Company is investing heavily on its R&D as a part of its tradition toinnovate new products and improve the processes of our key products. R&D is alsocrucial in solving the teething problems involved in scaling up the production of ourrecently expanded anti-diabetic facility which will help us in innovating new products.
Your Company's dedication to reducing pollution and ensuring a sustainable process isintact as we emphasize proper waste management techniques and believe in operatingprocedures which do not harm the environment. We have made continuous efforts ineliminating the organic effluent discharge and manufacturing more by-products out of wastestreams. It is a part of our vision and ethics to manufacture the best quality productswith negligible discharge operations and recycling requirements.
It makes me proud by overviewing all the goals and feats achieved in the financial year2019-20. Our objective for the coming years is to keep producing the best-in-classproducts to retain the trust of our loyal customers as a part of "The Chemistry ofSustained Relationships" and capture new markets. The Company is standing tall andconfident to face any challenges which develop in the future nearby.
I would like to express my gratitude towards the shareholders and employees of AartiDrugs who continued to lay trust on the management even during these tough times.Further I would like to thank the suppliers customers bankers and all the stakeholdersfor forging a strong partnership with us and believing in our vision.
|Thanking you |
|Prakash M. Patil |
|Chairman Managing Director & CEO |