Your directors have pleasure in presenting their Twenty seventh annual report and theaudited statement of accounts for the year ended on 31st March 2015 togetherwith the auditors report thereon.
The summarized financial results for year end 31st March 2015 are as under
| || |
Amount in Rs.
|Particulars ||2014-15 ||2013-14 |
|Total Revenue (Including other income) ||445786527 ||379411937 |
|Gross Profit before Interest and depreciation ||33706899 ||30322448 |
|Less : Interest ||17791372 ||13397298 |
|Less : depreciation ||20345142 ||11783267 |
|Profit/loss before tax ||-4429615 ||5141883 |
|Less: provision for tax including deferred tax ||(4201889) ||2821488 |
|Add: Surplus ||-227726 ||2348310 |
Since the company does not have profits for year hence
The directors do not recommend any dividend for the year ended 31st March 2015.
The company continues to operate in Plastics business mainly production of Polyesterstaple fiber and nylon granules. The sales for year has increased from Rs. 379411397/-to Rs.445786527/-. But net loss of Rs. 222726/- due to change in depreciation rates asper guideline of institute of chartered accountant of India.
MANAGEMENT DISCUSSION AND ANALYSIS.
(a) Industry Structure and Developments :- Company is engaged in business ofPolyester staple fiber and nylon granules manufacture .
(b) Opportunities and Threats :- The industry provides ample opportunities indomestic and as well as export market However the uncertainty of raw material prices andgovernment policies are detrimental to growth and profitability.
(c) Segmentwise or productwise Proformance :- Company operates in single segmentand segment wise reporting is not applicable.
(d) Outlook :- The Company shall continue to explore its policy of expansionbased on availability of resources and opportunity .
(e) Risks & Concerns :- Company do not foresee any such risk in near futurewhich will hamper the activities.
(f) Internal control systems and their adequacy :- Company is in the process ofimplementing various softwares for better control.
(g) Human Resources Mamagement Initiatives:- The management is keenly interestedthis field. All the efforts are made to rationalize its manpower and make effective use ofthe same.
BOARD OF DIRECTORS:
Mr. Suresh Kawar Jain Managing Director retires by rotation and is eligible for beingreappointment as directors. The independent directors are proposed to be appointed forfive years in terms of provisions of the Companies Act 2013. The particular of directorswhose appointment is to be considered is given as annexure to notice.
M/s. N. Kumbhat & Co. Chartered Accountants retire at this Annual General Meetingand being eligible offer themselves for reappointment. Your Company has received a letterfrom them to the effect that their reappointment if made will be in accordance with theprovisions of Section 224(1B) of the Companies Act 1956. The Board of directors commendstheir reappointment.
Your Company has not accepted any deposits from public.
Certificate of the statutory auditors regarding compliance of the conditions ofCorporate Governance as stipulated in clause 49 of the Listing Agreement with stockexchange is enclosed.
(i) Information under section 217 (1) (e) of the Companies Act 1956 read with thecompanies (Disclosure of particulars in the Report of the Board of Directors) Rules1988:-
A. CONSERVATION OF ENERGY
a) Energy conversation measures taken: None at present.
b) Additional investment and proposals if any being implemented for reduction ofconsumption of energy: There are no proposals.
c) Impact of measures at (a) & (b) above for reduction of energy consumption andconsequent impact on the cost of production of goods: Does not arise.
d) Total energy consumption and energy consumption per unit of production as perForm"A" to annexure in respect of industries specified in the schedule thereto
|A. Power and fuel consumption ||2014-15 ||2013-14 |
|(a) Electricity || || |
|Purchased ||3688432 ||3047412 |
|Units(KWH) || || |
|Total amount Rs.in lacs ||2369.70 ||1953.11 |
|Rate/Unit (Rs.) ||6.42 ||6.41 |
|Own Generation || || |
|Units (KWH) ||16650 ||27168 |
|Units per liter of diesel oil ||3.8 ||3.6 |
|Rate/unit (Rs.) ||17.55 ||21.75 |
B. TECHNOLOGY ABSORPTION
Research & Development (R & D)
1. Specific area in which R & D carried by the company: None at Present
2. Benefits derived as a result of the above R & D: Does not arise.
3. Future plan of action: At present it is not under consideration
4. Expenditure on R & D: Nil
Technology absorption adaptation and innovation:
1. Efforts being made towards technology absorption adaptation and innovation: None
2. Benefits derived as a result of the above efforts e.g. Product improvement costreduction product development import substitution etc. : None
3. Imported technology: Not applicable as technology has not been imported.
C. FOREIGN EXCHANGE EARNING AND OUTGO:
Outgo : Rs.129.49 lacs
INFORMATION UNDER SECTION 217 (2A) OF THE COMPANIES ACT 1956 READ WITH THE COMPANIES(PARTICULARS OF EMPLOYEES) RULES 1975 AS AMENDED UP TO DATE :
The company do not have any employee drawing salary in excess of limits prescribedunder section 217 (2a) of the companies act 1956 read with the companies (particulars ofemployees) rules 1975 the particulars should be treated as nil
DIRECTORS RESPONSIBILITY STATEMENT.
Your Directors confirm that:
(i) In the preparation of Annual Accounts the applicable accounting standards had beenfollowed along with proper explanation relating to material departures.
(ii) The Directors had selected such accounting policies and applied them consistentlyand made judgments and estimates that are reasonable and prudent so as to give a true andfair view of the state of affairs of the company at the end of financial year and of theloss of the company for the year.
(iii) The Directors has taken proper and sufficient care for the maintenance ofadequate accounting records in accordance with the provisions of the Companies Act 1956for safeguarding the assets of the company and for preventing and detecting fraud andother irregularities and
(iv) The Directors had prepared the accounts on going concern basis.
The industrial relations continued to be cordial during the year under review.
The Directors express their sincere thanks to the employees customers supplierscompanys bankers and members of the company for their continued support.
| ||For & On Behalf of the Board of Directors |
|Place : Surat || |
|Date : 05/08/2015 ||Chairman |