Your company has crossed an important milestone during the FY 2018-19 by acquiring thestatus of a listed company. The company has got its listing approval on 16th August 2018& the trading of the shares of your company has begun from 20th August 2018. Myhearty congratulations to you all for this achievement.
We are pleased to share with you 11th Annual report for the FY2018-19. For this FYyour Company has posted Revenue from operation of Rs. 479.97 crores and PBT of Rs. 2.06crores.
Having a legacy of more than two decades of being involved in various aspects of Agrisupply chain professional management and effective and prudent risk management protocolsyour company has successfully weathered through all the ups and downs of the commoditycycle and brought value to the shareholders.
We are a learning organization always eager to introspect we are continuouslyexploring new and profitable opportunities by pursuing new ideas and write new successfulstories.
After a couple of years of expansion global economic growth came down to 3.6 percentin 2018 as compared to an anticipation of 3.9 percent in the beginning of the year. USeconomy grew but there was decline in the growth of European and Japanese markets. EMmarketing economies also came down largely due to slowdown in China and in India as well.However a strong and stable government in the centre shall pave the way to keep themomentum on to grow the economy more than 7%. The agriculture sector has not performedwell. However a population of 1.3 billion require food and your company has actively beenengaging itself to capture the opportunities this presents by leveraging our fantasticprocurement and distribution network.
During FY 2018-19 the Company has widened its portfolio by diversifying its businessactivities and trading in other commodities such as Steel abrasives & Constructionchemicals. Your company has commenced a new business line of import and trading in steelabrasives. The company has hired a team of professionals to who have a strongtechnocommercial background to look after this vertical.In the last financial year 2141MTof Steel abrasives with turnover of Rs. 9.4 crores has been booked.
For the next FY 2019-20 apart from trading in agricultural commodities your companywill continue to focus on plans to diversify into non-agricultural products like Steelabrasives Construction chemicals and Bitumen. The company has focus to develop the nonAgri business to de-risk the business from dependence on Agri products. We will builtsteel abrasives business more aggressively and are targeting to sell 5000 MT with turnoverof Rs. 25 crores is FY2019-20. The company is exploring the import and sale of bitumenfrom Middle East. We expect a good turnover in that too. In Agri while we are active inall the commodities but we expect more business in wheat Crude DSBO and chana in thecurrent year.
Commodity prices are volatile in nature correctly judging changing weather patternsand demand-supply are instrumental for the bottom line of a business. A prudent approachprofessional management prudent risk management and a well- defined SOP in place has beenhelpful to make your company one of the most consistent performers in the sector.
We are thankful to the shareholders for their confidence and belief in the company. Wevalue the trust and the confidence at the same time the management is committed andworking hard to create value to the shareholders.
| ||Chairman |
|Place: New Delhi || |
|Date: 6th August 2019 || |