Dear Stakeholders of Ushanti
It is my honoured to share with you all operational activity of the Company for the FY19-20. Company had performed well during 11 month but due to Coronavirus Pandemic(CoVID-19) performance of the last month of the Company has been affected. The CoVID-19has impacted not only the human but also economy of the nation whole. In this criticalphase well-being of employees and workers were utmost priority of the Company and forthat Company had adopted work from home policy for the urgent work of the Company and keptaside the growth of the Company.
Company has partial resumed its operation from April 25 2020 after taking care of allthe safety measures and guidelines issued by Government strictly and receiving approvalfrom concerned authority so that Company is able to ramp-up its sales by 70-80% andproduction to 60-70% of normal level and recover its losses rapidly.
There is a belief that every problem teaches something new to us so let's take it in apositive way and recognise that now onwards people are thinking and taking care ofthemselves and their family members first. They are focusing on their health and aremaintaining hygiene and cleanliness at all places.
Company is manufacturing Dyes and Intermediates and sell in the local market as well asexport the same. During the FY 19-20 Company has generated revenue from sale of itsproduct of Rs. 45.17 Crore growing to 14.70% over the prior FY 18-19 and also increasedthe profit of the Company to 5.80% over the prior FY 18-19. At this juncture I would liketo point out that due to COVID 19 the prices of raw material had shot up in December 2019and due to lockdown we were stuck up with some raw materials which devalued by around 40lacs on 31st March 2020. The same has also been taken into account in our P& L account.
During the FY 19-20 Company had declared and paid Interim Dividend of Rs. 0.20/- perEquity share of Face Value Rs. 10 each to the members of the Company and transferred theprofit ratio towards members of the Company.
Company has initially formed UC Colours and Intermediates Private Limited as whollyowned subsidiary of Ushanti Colour Chem Limited which is now become subsidiary w.e.f.December 26 2019. During the FY 19-20 Company has altered its object as mentioned in theInitial Public Offer (IPO) and now the altered object will be implemented by theSubsidiary of the Company. Company assures that Members of the Company will availsultimate benefit of the altered object to the issue.
Due to CoVID-19 the next few months will be difficult for the Company and also to thewhole market but with the help of trustworthy and having strongest relationalstakeholders Company will ramp up its production gradually and will stabilise itsposition in the market in a short span.
Ushanti deeply appreciates the work of management team and is thankful to all itsemployees and workers who are always with ushanti and continue do work for the uplifmentof the Company.
On behalf of the Board of Directors of Ushanti I want to thank you to all stakeholdersfor showing your trust confidence and support.
At the end of my speech I urge all the members to please stay safe healthy andmaintain hygiene and cleanliness at your place. Thanks again my wonderful team Ushanti forbeing with Ushanti. Keep believes on us!