RADHIKA POLYESTERS LIMITED
DIRECTORS' REPORT 1997-98
your directors are pleased to present the 12th Annual Report together with
Audited statement of Accounts for the year ended 31st March, 1998.
The total turnover of the Company during the year under review was Rs.
291.67 Lakhs. The Net loss amounted to Rs.336.74 Lakhs after Depreciation
of Rs.72.09 Lakhs and Provision of Tax of Rs. Nil.
The recessional trend in the textile industry continued to affect your
company in the current year also. However, in view of liquidity constraints
and insufficient working capital, your company emphasised upon catering to
jobwork of third parties and as a result was able to gross revenue of
Rs.93.49 Lakhs as processing charges. This helped your company to reduce
Net loss to Rs.336.74 Lakhs as against that of last year Rs.401.17 Lakhs
Your Directors are unable to recommend any dividend keeping in view the
loss during the year.
Your company is expecting increase in orders on Jobwork of Third parties in
current financial year 1998-99 and expects to reduce further losses.
Shri Subhash Khanna and Shri Vasu Hiranandani are retiring by rotation and
being eligible, offer themselves for reappointment.
The Company has not accepted any Fixed Deposits within the meaning of
section 58 A of the Companies Act, 1956 from the Public during the year
The Industrial relation during the year was cordial and satisfactory.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS
Information pursuant to Section 217 (1)(e) of the Companies Act, 1956, read
with the Companies (Disclosure of Particulars in the report of Board of
Directors) Rules 1975 are set out and given herein below:
A. POWER AND FUEL CONSUMPTION
1. a) Electricity
Purchase Units (in '000) 513 655
Total Amount (Rs. in Lakhs) 23.10 25.32
Rate per Unit (Rs.) 4.50 3.86
b) Own Generation
B. RESEARCH & DEVELOPMENT
The Company has no specific Research and Development Department.
C. FOREIGN EXCHANGE EARNINGS
(Rupees in Lakhs)
Earnings Nil Nil
i) Raw Material Imports nil 4.00
ii) Capital Goods Imports nil Nil
iii) Traveling Expenses Nil 0.91
iv) Technical Know How Fees nil Nil
You are requested to appoint Auditors to hold office from the conclusion of
this Meeting until the conclusion of the next Annual General Meeting and to
fix their remuneration. The observation made in the Auditor's Report read
together with the relevant notes are self-explanatory and therefore, do not
call for any further comments under Section 217 of the Companies Act, 1956.
Your Company is grateful for the continued co-operation and assistance
extended to it by Financial Institution and Banks in meeting the financial
requirement of the Company. Your Directors also wish to place on record
their warm appreciation for the sincere services rendered by Staff,
Workmen. Contractors and Dealers of the Company.
For and on behalf of the Board of Directors
Dated: 31st July, 1998.