The Members of
Indian Polyfins Limited
Your directors have pleasure in presenting the Annual Report together with the audited
accounts for the year ended 31.03.2008
FINANCIAL RESULTS :
The summarised financial results are as under:
(Rs. In Lacs)
|Sales& Other Income
|Net Profit Before Tax
|Profits (Loss) Account
|Balance Brought forward
|Balance to be carried forward
In view of financial position and loss incurred by the company during the year under
review, your directors regret their inability to recommend any dividend.
PERFORMANCE & FUTURE OUTLOOK :
During the year company's sales has decreased considerably as compared to previous
year. The year has witnessed worst period for the textile industry. There was heavy
competition, coupled with heavy fluctuation in prices of raw materials. Further due to
unprecedented increase in crude price in international market, there was steep rise in the
price of raw materials with no corresponding rise in selling prices. However your
directors are making best efforts to control the overhead cost, however the variable cost
viz. electricity, wages are ever increasing. All these factors have resulted in net loss
of Rs.21.42 Lacs. Due to all these factors, the company was forced to curtail the
production to minimize the losses.
Your directors taking appropriate steps to improve the performance of the company but
looking to the current scenario, immediate improvement in market conditions and
consequently the performance of the company seems very remote. However your directors are
taking necessary steps to survive in difficult conditions and improve the performance by
improving the quality and minimizing the cost of operation, to the extent possible and
hopeful that the efforts will bring some positives results for the company.
Pursuant to the Articles of Association of company read with the section 256 of the
Companies Act, 1956 Smt Nitu Arya retires by rotation at the ensuing Annual General
Meeting and being eligible offer himself for reappointment.
M/s. Soni Surana & Company, Chartered Accountants retires at the conclusion of
ensuing Annual general meeting and had confirmed their eligibility for the reappointment
and willingness to accept office, if reappointed.
AUDITOR'S REPORT :
The observations made by the Auditors in their report are self - explanatory and do not
require further explanation.
The Company does not have any employee drawing salary as stipulated under Section
217(2A) of the Companies Act, 1956 read with the Companies (Particulars of Employees)
DIRECTORS' RESPONSIBILITY STATEMENT :
As required under section 217(2AA) of the Companies Act, 1956, it is hereby stated that
(i) In the preparation of the annual accounts, the applicable accounting standards had
been followed along with proper explanation relating to material departures.
(ii) We have selected such Accounting Policies and applied them consistently and made
judgements and estimates that are reasonable and prudent so as to give a true and fair
view of the state of affairs of the Company at the end of the financial year and of the
profit or loss of the Company for that period.
(iii) We have taken proper and sufficient care for the maintenance of the adequate
accounting records in accordance with the provisions of the Companies Act, 1956 for
safeguarding the assets of the company and for preventing and detecting fraud and other
(iv) We have prepared annual accounts on a going concern basis.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNING AND OUT GO:
A. CONSERVATION OF ENERGY
The Company continues its efforts to improve methods of energy conservation and
Utilisation and the present consumption of the company is in line of the industry norms.
The company has taken following measures in respect of conservation of energy:
(a) Energy conservation measures taken reducing the maximum demand by evenly
distributing the loads throughout the day and increasing efficiency of plant and
(b) No Additional investments and proposals are being implemented for reduction of
consumption of energy.
The cost of electricity consumption during the year is a s under.
|(A) Units Purchased
||22. 97 Lacs (units)
||106.50 Lacs (Rupee)
|Per unit cost
||Rs. 4.64 per unit
(B) Own Generation through DG Sets
||0.30 Lacs (units)
||4.21 Lacs (Rupees)
|Per unit cost
||Rs. 14.10 per unit
There were no consumption of coal, furnace oil and LDO etc.
B. TECHNOLOGY ABSORPTION, ADAPTATION AND INNOVATION
(1) Area in which R&D carried out by the Company.
R&D have continuously been carried out for improvement in the quality of the
(2) Benefits derived as a result of above R&D
Improvement in the quality of product quality, product performance and cost
(3) Future Plan of action.
With the growth of the Company's operation, Research & Development activities will
be further intensified.
(4) Expenditure on R & D
As the activities of R & D are integrated with the total manufacturing and
production activities of the plant, it is not possible to identify separately the
expenditure on R & D.
C. FOREIGN EXCHANGE EARNINGS & OUT GO
(a) Total foreign exchange earned : Rs. Nil (Previous year NIL)
(b) Total foreign exchange out go : Rs. 0.00Lacs (Previous year Rs. 0.84 Lacs)
PUBLIC DEPOSITS :
During the year under review, the Company has not accepted any deposits within the
meaning of Section 58A of the Companies Act, 1956 and rules made there under.
The properties and insurable interests of your company are insured.
Your company is following standards of Corporate Governance and we have well documented
your company's internal policies on Corporate Governance in the line with the
recommendation of the Securities and Exchange Board of India (SEBI) and various
committees. A Report of Corporate Governance is incorporated as Annexure to this report.
MATERIAL CHANGES :
There were no material changes during the year.
Your Directors place on record their gratitude for the continuous support received from
its shareholders and all others who have been extended their co-operation in difficult
period for the company.
||BY THE ORDER OF BOARD OF DIRECTORS
|Date : 7th September 2008