Your Directors have pleasure in presenting the 26TH Annual Report together with auditedaccounts for the financial year ended March 31,2010.
1. FINANCIAL RESULTS
The financial performance of the Company for the period under review was as follows:
| || ||Amount (Lacs) |
|Particulars ||2009-2010 ||2008-2009 |
|Total Income ||4181.27 ||3943.86 |
|Total Expenditure ||3935.83 ||3748.03 |
|Profit before depreciation, tax and prior period items ||245.44 ||195.83 |
|Less: Depreciation ||78.05 ||177.41 |
|Less: Prior period items ||0.250 ||885.18 |
|Profit/ (Loss) for the year before tax ||167.14 ||(866.77) |
|Tax expenses ||0.170 ||303.02 |
|Profit/ (Loss) after tax ||166.97 ||(563.97) |
The operations of the Company are improving day by day and the management is veryaggressively striving to achieve the full production capacity. There has been significantincrease in the production by 21% over last year, but still optimum utilization is to beachieved. The management is taking all necessary steps including various modifications inthe plant to ensure the full and efficient running of the plant.
Your Directors are confident that the future for Indian industry is brighter with lotof potential for growth and prosperity.
3. FIXED DEPOSITS
The Company has not accepted any fixed deposits during the financial year under review.
The Board of the Company is duly constituted; there has been no change in thecomposition during the year. There are 7 (seven) Non-executive Director out of which 4(four) are independent and 1 (one) Executive Director.
In accordance with the provisions of the Companies Act and the Articles of Associationof the Company, Mr. Sandeep Kanoria and Mr. Ramesh Chaudhary, Directors retires byrotation at the ensuing Annual General Meeting and being eligible offers themselves forre-appointment.
M/s V K Jindal & Co. Chartered Accountants, the Auditors of the Company will retireat Annual General Meeting and are eligible for re-appointment The members are requested toappoint auditors for the current year to hold office till the conclusion of next AnnualGeneral Meeting.
6. CONSERVATION OF ENERGY. TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS ANDOUTGO
Particulars under Section 217(l)(e) of the Companies Act, 1956 to the extent applicableto the Company regarding conservation of energy, technology, and foreign exchange earningand outgo is given as Annexure (I) to the Report.
7. PARTICULARS OF EMPLOYEES
The Company does not have any of its employees drawing remuneration attracting theprovisions of Section 217(2A) of the Companies Act, 1956 read with Companies (Particularsof Employees) Rules, 1975.
8. MANAGEMENT'S DISCUSSION AND ANALYSIS REPORT
A comprehensive Management's Discussion and Analysis Report is made a part of thisAnnual Report.
9. CORPORATE GOVERNANCE
Pursuant to the clause 49 of the Listing agreement with the stock exchanges, CorporateGovernance Report is made a part of this Annual Report.
10. DIRECTORS' RESPONSIBILITY STATEMENT The Board of Directors states:
a) That in the preparation of the annual accounts, the applicable accounting standardshave been followed.
b) That the Directors had selected such accounting policies and applied themconsistently and made judgments and estimates that are reasonable and prudent so as togive a true and fair view of the state of affairs of the Company at the end of thefinancial year and of the profit of the Company for that period.
c) That the Directors had taken proper and sufficient care for the maintenance ofadequate accounting records in accordance with the provisions of the Companies Act, 1956safeguarding the assets of the Company and for preventing and detecting fraud and otherirregularities.
d) That the Directors had prepared the annual accounts oh a going concern basis.
Your Directors express their special thanks to the Customers, Suppliers, Members, andEmployees for their continued support. Your directors also gratefully acknowledge thecooperation and assistance received from Bank of Baroda, Central and State Governmentauthorities for their continued support and valuable assistance.
| ||FOR AND ON BEHALF OF BOARD OF DIRECTORS |
| ||SD/- |
|Place: Pune ||(Ramesh Chaudhary) |
|Date: 01.09.2010 ||CHAIRMAN |
ANNEXURE (I) TO THE DIRECTORS' REPORT
Particulars under Companies (Disclosure of particulars in the reports of Board ofDirectors) Rules, 1988 for the year ended 31st March 2010.
1. CONSERVATION OF ENERGY
a) Energy Conservation Measures Taken:
I. Variable Frequency Drives installed in order to save power.
II. Various old power consuming equipments are being replaced by new equipments.
b) Additional investment and proposals, if any, being implemented for reduction ofconsumption of energy: NIL
c) Impact of the measures (a) & (b) above, for reduction of energy consumption andconsequent impact on the cost of production of goods: The Company will achieve savings inenergy consumption.
d) Total energy consumption and energy consumption per unit of production as Form A ofthe Annexure to the rules in respect of industry specified in the Schedule thereto:
| ||Current Year ||Previous Year |
|A. Power and Fuel Consumption || || |
|1. Electricity || || |
|(a) Purchased || || |
|Unit ||10030058 kwh ||9871720 kwh |
|Total Amount ||Rs. 5,18,33,680/- ||Rs.4,57,00,057/- |
|Rate/unit ||Rs. 5.16/unit ||Rs. 4.62/unit |
|(b) Own Generation || || |
|(i) Through Diesel Generator || || |
|(ii) Through steam turbine / generator ||3232486 kwh ||2965823 kwh |
|2. Coal (specify quality and where used) || || |
|Quantity (tones) ||11163 MT ||9490 MT |
|Total Cost ||3,84,27,882/- ||3,74,85,500/- |
|Average Rate ||Rs. 3442/- ||Rs. 3950/- |
|3. Furnace Oil ||NIL ||Nil |
|4. Others ||NIL ||Nil |
B. Consumption per unit of production
| ||Current Year ||Previous Year |
|Products (with details) unit || || |
|Electricity ||623.73 unit/MT ||732.90 unit/ MT |
|Furnace Oil || || |
|Coal (specify quality) ||524.99 Kg/MT ||541.8 Kg/MT |
|Others (specify) || || |
2. TECHNOLOGY ABSORPTION
Efforts made in technology absorption as per Form-B of the Annexure:
1. Research & Development (R&D)
a) Specific areas in which R&D carried out by the Company: None
b) Benefits derived as a result of the above R & D: Not Applicable
c) Future plan of action: Not yet finalized
d) Expenditure on R & D : Nil
2. Technology absorption, adaptation and innovation: NIL
a) Efforts in brief, made towards technology absorption, adaptation and innovation:N.A.
b) Benefits derived as. a result of the above efforts: N.A.
c) Technology imported during the last five years: N.A.
3. FOREIGN EXCHANGE EARNINGS & OUTGO
a) The Company has not commenced any major export activities and the earnings inforeign currency during the year under review is Nil.
b) Total CIF Value of Imports during the year was Rs. 96,144,763 /-