KUBER FLORITECH LTD.
Your Directors have pleasure in presenting the 5th Annual Report together
with Audited Statement of Accounts for the year ended 31st March, 1998.
The director not record end any dividend for the year 1997-98.
Your director are pleased to inform that net sales and other income during
the year ended 31st March, 1998 is Rs 244.02 lacs Compared to Rs. 189.68
lacs in the previous year. Inspite of increase in total sales the shortfall
in operating primary account of lower production of cut flower due to
certain plant diseases catch loss of rose saplings national market etc.
The company has distributed its product into various exports markets viz
Holland, Germany, London, France and Belgium. Besides, the company is also
the hope to export flowers in Kuwait, Switzerland, Japan and Abudhabi in
In our previous report we inform that company is making efforts of India,
organising the technical know-how by hailing a Senior Scientist
(Floriculturist) from IARI for giving technical guidance and to conduct all
the related tests at IARI Laboratory. The company has improved its quality
to a good extent to meet the international standard with the help of
technical know-how products by the said Senior Scientist of IARI. We hope
that the company will, by taking the fullest advantage of the consultancy
services from different consultants, achieve the international standard in
near future and will be able to earn more foreign exchange.
The company is taking all possible steps for efficient use of available
energy and minimize the wastage of same in the operations. In the year
under consideration the company has spent Rs. 3.68 lacs on power for the
plant and rest of the required power is being generated from the generator
sets and incurred Rs. 18.10 lacs on the diesel for the Gensets. We are also
taking the consultancy to minimize the consumption of energy and to earn
maximum profit with less cost.
FOREIGN EXCHANGE EARNINGS & OUTGO
The details of foreign exchange and outgo during the year is as under:
(Rs. in lacs)
MODERNISATION AND EXPANSION
Your company has taken significant steps for debottle necking and
optimisation schemes, preparatory to the major expansion proposed and
improvements are already reflected in the performance during the year in
the production of cut flowers.
Heating system has already been installed to have been production. Fogging
system has been installed to help in minimizing the diesel during summer.
Your company has not accepted any deposits within the meaning of Section
58-A of the Companies Act, 1956 and the rules made thereunder.
The comments in the Auditors report read with the "Notes" to the accounts
in schedule are self explanatory and do not call for further explanations.
M/s Manoj Gupta & Co., Chartered Accountants, Statutory Auditors of your
company hold office until the conclusion of the ensuing Annual General
Meeting and are recommended for reappointment. The company has received a
certificate from them to the effect that their appointment, if made, would
be within the limits prescribed under Section 224(1-B) of the Companies
In accordance with the provisions of the Companies Act, 1956 and Article
130A & 131 of the Articles of Association of the company, Mr. Ajit Edwin
and Mr.R.S. Rathore, Directors of the company retire by rotation and being
eligible, offer themselves for reappointment.
PARTICULARS OF EMPLOYEES
There was no employee receiving remuneration during the year in excess of
limits prescribed U/S 217(2A) of the Companies Act, 1956 and the relevant
rules made thereunder.
Considerable interest has been taken by your company on employees develop
ment and welfare. A large number of training schemes have been conducted
and a good cross section of employees at all levels given exposure thereto.
The industrial relations continued to be cordial and harmonious. Your
directors wish to place on record the appreciation for the devoted services
rendered by the workers, staff and executives of the company at all levels
and other employees who have contributed to the efficient and successful
management of the company.
STATEMENT UNDER CLAUSE 43 OF THE LISTING AGREEMENT
The statement containing details as required under Clause 43 of the listing
agreement with the Stock Exchange is given as under:
(Rs. in lacs) for 1997-98
Projection V/s Actuals Projection in prospectus Actuals
Sales 1359.72 214.90
Net Profit 469.15 (42.91)
The shortfall in profit as compared to the projections given in the
company's prospectus dated 22.04.95 is primarily on account of lower
production of cut flowers due to certain plant diseases causing loss
saplings, and adverse international market conditions in the export market.
Your directors wish to place on record their appreciation for the whole
hearted support and sincere co-operation the company has received from
company's bankers, Government and Semi-government Departments and wish to
thank all the employees for their support and co-operation.
On behalf of the Board
for KUBER FLORITECH LIMITED
Place :New Delhi (PRADYUMAN KUMAR SHARMA) (ROWENA SHARMA)
Date :28.07.1998 Managing Director Director