My Dear Shareowners
We are pleased to present to you our 17th Annual Report for the FinancialYear (FY) 2020-21.
The year began with outbreak of the Covid-19 pandemic an unparalleled calamity in therecent history of mankind. The world as we know was thrown into turmoil and all that wastaken for granted was threatened impacting lives and livelihood. A number of globaleconomies went into a state of enforced and extended lockdowns to contain its spread. Thepandemic during 2020-21 brought in challenges which came unexpectedly in the form of wavesimpacting our supply chain commodity prices and other economic factors. We are preparedto face these uncertainties in partnership with our stakeholders; we collectively emergedstronger over the past year.
The paramount focus of your Company was on employee safety health morale and securityof all operational assets. The Company maintained high levels of communication within theorganization at all levels and with all stakeholders including vendors supplierscustomers and end users. Major functions were conducted in virtual mode and adoption ofdigital practices were encouraged.
Despite a tough market environment impacted by repeated lockdowns and a drop in steeldemand your Company was able to maintain performance both in terms of turnover andprofitability. We are happy to share that during FY 2020-21 we were able to record robustrevenue growth. Improved operational efficiencies and strict cost control led toincreasing operational profitability.
Your Company achieved atop-line growth of 7.55% (Y-O-Y) driven by better realisationand improved market conditions especially in H2FY 2020-21. Strong operational turn aroundtranslated into robust bottom-line performance as well. Your Company's EBITDA touched Rs17015.60 Lakhs and a net profit of Rs 10366.30 Lakhs against Rs 5812.42 Lakhs in theprevious year 2019-20. Standalone Earnings per Share (EPS) stood at Rs 3.67 (face value ofRs 1/- each) and Consolidated Earnings per Share (EPS) stood at Rs 4.37 (face value of Rs1/- each) for the Financial Year ended March 31 2021. Your Company focussed aggressivelyon cash flow management while pursuing deleveraging. I feel privileged to report thatyour Company has cleared in advance the long-term loan of Rs 3000.00 Lakhs instalmentsfalling due until FY 2022-23 and deleveraged the Company significantly in FY 2020-21. Thishas helped enhance investor confidence as reflected in the Company's marketcapitalisation. We embarked on the journey of transformation and closed the year with astrong performance leading us to a sense of optimism and confidence that we will attaingreater heights in the year ahead.
Gallantt Ispat is a trusted name in the Steel industry and it has done so by having theright combination of dedicated employees effective manufacturing processes and asustained effort of building long term relationships with external stakeholders. We aremaking continuous investments in our productive assets and our growth plans are alsobeing formulated bearing in mind our focus on efficient allocation of capital. Thedecisions taken to expand our facilities are deeply thought out and followed by meticulousresearch and planning. Integration is a key pillar of our growth strategy as it enables usto strengthen and reinforce our competitive position.
Our people are vital to our success and we continue to focus on building theircapabilities and driving a high-performance culture. During the year numerous trainingprogrammes were rolled out for upskilling and professional growth. We also providedmultiple learning and development opportunities to develop future leaders and keep thetalent pipeline flowing. The health and safety of its workforce has always been paramountto Gallantt Ispat. The Company has placed utmost priority on the health and safety of theemployees - from testing to contact tracing monitoring social distancing norms hygieneat workplace classifying employee risk levels and providing appropriate healthcareresponses apart from sharing regular travel advisories.
As I sign off I would like to thank all our employees customers partners suppliersshareholders and all other stakeholders for their continued support. Gallantt Ispat alsoacknowledges the support extended by various government agencies.
C. P. AGRAWAL