You are here » Home » Companies » Company Overview » EMCO Ltd

EMCO Ltd.

BSE: 504008 Sector: Engineering
NSE: EMCO ISIN Code: INE078A01026
BSE 00:00 | 14 Oct 2.21 -0.11
(-4.74%)
OPEN

2.23

HIGH

2.23

LOW

2.21

NSE 00:00 | 14 Oct 2.20 -0.10
(-4.35%)
OPEN

2.20

HIGH

2.20

LOW

2.20

OPEN 2.23
PREVIOUS CLOSE 2.32
VOLUME 22482
52-Week high 3.49
52-Week low 1.10
P/E
Mkt Cap.(Rs cr) 15
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 2.23
CLOSE 2.32
VOLUME 22482
52-Week high 3.49
52-Week low 1.10
P/E
Mkt Cap.(Rs cr) 15
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

EMCO Ltd. (EMCO) - Chairman Speech

Company chairman speech

EMCO LIMITED ANNUAL REPORT 2009-2010 CHAIRMAN'S REPORT Dear Shareholder, 2009 was a year when many remarkable global changes have taken place. Post Lehman brothers, banking reforms were seen and economy of many countries saw a phase which they had not seen since few decades. This did impact global economy and recovery is now visible. However, Indian economy was one shining star globally. This obviously saw us moving as closer to the world recognising how India will be a catalyst in economic recovery of many countries. Every country now will have India strategy and it is clear that India has capability to play important role in helping global economy to recover. These are long term sentiments and not short term euphoria. Indian economy faced similar situation as global economy was facing but regulated central bank proved how to manage stimulus package and bring back growth on track. India could recover its path by second half of 2009-2010. Even then, it did leave scar on slow growth in first half when manufacturing industry like ours suffered and pace of growth for year was overall slow. Your Company's performance under the circumstances was definitely impacted. While our strategy is to remain focussed in the T & D segment of power sector, challenges on competition and execution front including margin pressure are evident. The Industry is facing acute shortage of skilled manpower in EPC business specially in Transmission line stringing area which has impacted overall Industry's performance and your Company's too. However, your Company is taking continuous steps to overcome these challenges by improving efficiency, productivity, execution capability and enhancing skills of human resources by a continuous process of learning & development but at the same time also see its impact in short term. We are optimistic about the future prospects for the power industry and those for your Company. India's very need of the hour is power and other infrastructure as repeatedly pointed out by all big economists and industrialists. Infact, India is expected to add a generation capacity of 62,000 MW on certainty basis in the th 11 five year plan, out of the planned target of 78,577 MW. If one goes by the actual implementation of the plan so far, the country will have to go for capacity addition of around 37,000 MW in the remaining two th years of the 11 plan. This offers remarkable opportunities to Companies like EMCO. Your Company has emerged as a formidable force in providing turnkey transmission solutions (400kV- 765 kV extra high voltage segment) in the dynamic power sector in India. To stay ahead of time and match the pace of change, your Company always endeavours towards inculcating a culture that encourages innovations and work on fresh technology perspective. Your Company has well equipped corporate R&D Centre, staffed by a team of specialists and professionals working passionately on innovative development projects synergic to the Company's business interest. In order to protect intellectual property rights and to create further wealth for our shareholders, your Company has also filed few patents. During the year, your Company has achieved various milestones and some of them are: * First transformer manufacturer in the world to have successfully tested a 315MVA, 230 kV Generator Transformer for Dynamic Short Circuit Test at the world-renowned KEMA High Power Test Lab, Netherlands. * Only Indian Company selected to present a technical paper at CIGRE in Paris, France. * Appreciation Certificate from Hon'ble Union Minister for State for Power for the Product- 'Eco-friendly Dielectric Fluid for Transformer' for the Best Product Contest at ELECRAMA-2010. Your Company sold one of its subsidiaries EMCO Energy Limited, which was setting up a thermal power project, in order to unlock the value to pursue larger opportunities in the power generation business. The Company, in order to fuel its power generation plans, had perceived this strategy after taking into consideration the changing scenario in the power sector in which the emphasis is essentially on large size projects to become competitive, cost efficient and environmental friendly. The decision has earned good return on investment and increased your Company's networth and risk taking capability against future unforeseen events. However, the Company has only sold a Project and not the business and therefore, entire core team and knowledge remains with the Company. While pursuing growth in business, the Company does not neglect its social responsibilities. Every year, it contributes minimum1 per cent of its net profit to health, education and environment protection activities, which are handled by EMCO Foundation. Finally, let me express my personal gratitude for the confidence that you have always bestowed on us. I sincerely hope that you will continue to be our strength, so that, together, we can reap the benefits of the phenomenal opportunities unfolding in front of us and become stronger and successful in the coming years. Yours sincerely, Rajesh S. Jain Chairman
.