Again the year 2016-17 has been very hard for the company due to sluggish market. Itwas the year of great transformation by the Indian Government. The overall market faced aslowdown in November due to demonetisation. Infrastructure companies continued to face aseries of challenges such as amendments in regulatory processes insufficient and limitedavenues for A funding therefore the entire sector has continued to remainseriously stressed both operationally and financially. In our business there is also theissue of contractor's claims not being settled and paid by the Government and publicsector clients.
India's GDP slow down to 7.1% after demonitization. JPL had entered the year with aninsufficient order book which is reflected in the reduced turnover for FY 2016-17.Profits and cash flows were further affected by deferment of settlement of Company'sclaims on certain projects both domestic and overseas. Due to various negative impacts inthe Economy all infrastructure players have affected adversely. We were not invulnerableto this trend and the industry's downwards trend reflected in our results in this yeartoo. The Company has earned consolidated income of Rs. 6418.97 Lacs in Financial Year2016-17 from Rs. 12237.43 Lacs in the FY 2015-16. The company has incurred a net loss ofRs. 770.00 Lacs (FY 2016-17) from net loss of Rs. 3211.29 Lacs (FY 2015-16).
During the year gone by we take all the setbacks positively and we will continue tosustain corporate stability and low cost with high quality work. We strongly believe thatinfrastructure sector is bound to grow at a very good pace in the coming financial year.
I extend my sincere thanks to all our stakeholders including lending banksshareholders customers and our loyal hardworking and committed employees for theirunstinted support in shaping and improving the performance of the Company.
We must thank the Board of Directors for their constant guidance & support. As saidearlier we always strive towards "re-writing the future" and with it India andyour Company will grow rapidly.
Thankyou very much.
Prakash L. Hinduja Chairman & Managing Director Jaihind Projects Limited