It is my privilege to present the Annual Report for FY2019 of ASI Industries ltd(Formerly known as Associated Stone Industries (Kotah) ltd). the objective before us is tocreate long term value for the shareholders and we are slowly moving towards that path byadopting multiple strategic initiatives.
The economic scenario in the country is showing some signs of improvement but we areyet to see traction in terms of infrastructure growth. We are constantly reviewing thebusiness strategy to make a powerful framework that will be sufficiently flexible toremain over the economic tides. The government is supporting housing and infrastructuresector by proposing Rs 50 lacs crore for Railway Infrastructure and additional deductionson loans for buying affordable houses. Government initiatives towards the development ininfrastructure and housing will support our growth as Kota stone is used in both theinteriors andxteriors of houses and commercial areas.
Let me now highlight the performance for fiscal 2019. Our consolidated revenueexperienced some pressure mainly due to decline in trading business; while the marginshave rebounded well and closed the year with 20% which is almost a 400 bps improvementover the last fiscal year. Revenues from stone business grew from Rs.20441 lacs toRs.21610 lacs while wind power business generated revenue worth Rs.97 lacs as againstRs.75 Lacs during last year. Consolidated profit for the FY19 increased by 17% toRs.2246lacs as against previous year'sprofitof Rs.1926 Lacs. I am extremely delighted by themargin resilience shown by the Company and it is our endeavour to ensure that we adopt thebest cost practices and efficiencies so that earnings improve over the years. We areconfident that we should be able to sustain the margins going forward.
An important development during the current financial year was the foray of the Companyinto the Engineered Stone business in Jaipur which adds a new dimension to your Company'sportfolio. this project will be implemented at Mahindra World City Jaipur Rajasthanwhich will have a capacity of 6.50 million sq.ft on approximately 7 acres of land.Thereare only around 50 units globally that use this patented technology fromBretonstone Italy and the ASI unit will be the third of its kind to be set up in India.the construction is in full swing and we expect the commercial production to commence fromthe last quarter of this fiscal. Once operational the Engineered stone facility isexpected to drive revenue growth from fiscal year 2021 which will take he Company into thenext orbit. Engineered stone finds application for food service areas kitchencountertops island counters basin counters and also suitable for heavy commercialtraffic flooring. It is the fastest growing market segment in the surface industry
Al Rawasi Rocks and Aggregates l.l.C operates as a subsidiary of ASI Industries ltdproduces annually 5 million tonnes of limestones which is used as a construction material.We see a good demand for product and the focus will be on increasing profitability as wemove forward.
Before I conclude I would like to express my gratitude to all the employees businesspartners kers vendors and other business ban associates for the support and assistanceprovided throughout our journey. I do hope with this support and backing your Companywill scale greater heights in the future.
With best regards
Mr. Deepak Jatia
Chairman and Managing Director