Message from the Chairman
FY2021 will be remembered as the year of COVID-19. For the Pennar teamit was a tale of resilience reflected in our determination to face down challenges andcontinue to deliver on our commitments. The year saw multiple national lockdowns when onlyessential services were allowed and people were confined to their homes. Theserestrictions placed significant pressure on our people and our operations. Throughout ourpriority has been the well-being of our people. In our various works and projects acrossIndia we rolled out our operations with a minimal workforce to continue delivering on ourcommitted output to our customers. We have worked hard to foster employee engagementthrough online resources to create a culture of support and understanding where everyonehas access to the aid they need. Your Company is an exemplary illustration of true gritput on view by its employees. I am immensely proud of the way our people have bandedtogether in steering the Company through the last fiscal year. I am pleased to inform youthat despite a tough year I believe that we have come out stronger through FY2021.
Our Financial Performance
With the spread of the COVID-19 pandemic resultant national level andlocalised lockdowns impacted economic activity with many sectors slowing downdrastically. Despite these challenges our performance for the fiscal year under reviewreflected resilience and strength. During FY20-21 our total revenue from operationsdecreased by 27.59% at Rs 15254 million as compared to Rs 21066 million in the previousyear. Our EBITDA margin was at 9% as of FY20-21 while gross margin decreased by 60 bpsYoY. We sustained our track record of strong cash generation with cash and cashequivalent at 200 million. With our Operating Profit Margin staying intact at around 39%our steady performance year. Our sustainable business model combined gives furthercredence to our approach to pursue both good top and bottom-line numbers.
Resilience & Long-Term Strength
Over the years we have successfully overcome many challenges and goingforward our goal is to become an enduring company that can withstand challenging marketconditions. We are confident that our prudent capital budgeting approach to sustain ourbalance sheet strength and keep to extend adequate liquidity positions our position inthe marketplace. We have by design built up our financial strength and flexibility overthe last couple of years so we are well placed to deliver on our strategy. With strongprogress under our belt already our management team is strong enthusiastic andcommitted to delivering for all our stakeholders. We have excellent people across ourbusiness who have got us through multiple crisis and will stand us in good stead for thefuture. Again I would like to thank the whole team for their contribution this year.
During FY2021 despite the pandemic playing spoil sport to much ofIndia's economy our business continued to make progress towards our clear ambitions.Our sustainable business model combined with our proven experience in the engineeringspace offer us significant opportunities to continue to generate value for all ourstakeholders. We are confident that our initiatives directed towards bringing normalcy toour operations will make us bounce back in a post-pandemic world.
I would like to thank the entire Pennar family for their contributionthis with our proven record of accomplishment for scaling offer us significantopportunities to continue to generate value for all our stakeholders. Going forward ourgoal is to continuous -ly deliver outlier performance that can withstand challengingmarket conditions. I express my sincere gratitude to my shareholders suppliers bankersassociates financial institutions and Central and State Governments for their patience.We look forward to a heathier and more vibrant world for all of us.
|Nrupender Rao |
|DIN No. 00089922 |