SHRI BHAGAVATI BRIGHT BARS LIMITED
ANNUAL REPORT 2004-2005
BHAGAVATI BRIGHT BARS LIMITED,
SHAPAR Dist. RAJKOT
Your directors are presenting before you the ANNUAL REPORT on the affairs
of the company together with the audited accounts for the period ended on
31st March, 2005.
(1) FINANCIAL RESULTS:
The financial results for the period ended on 31st March, 2005 are as
(Rs. In lacs)
FOR THE PERIOD ENDED ON
PARTICULARS 31.03.2005 31.12.2003
Sales & Other Income 684.97 326.20
Profit before Depreciation & Interest 284.08 (3.58)
Less: Interest 49.46 48.10
Profit/(Loss) before Depreciation 234.62 (51.68)
Less: Depreciation 24.39 29.45
Net Profit during the year 210.23 (81.13)
Less: Provision for Tax NIL NIL
Net Profit/(Loss) after tax 210.23 (81.13)
Due to the accumulated losses, your directors regret their inability to
recommend any dividend.
(3) OPERATION AND PROSPECTS:
The company has incurred net profit of Rs.210.23 lacs after providing for
depreciation and interest. Your directors are trying their level best to
improve the performance of the company in terms of Turnover and
Profitability. Your directors expect that worse will be soon over. The
prospects for the Company's business are very bright and positive.
 REFERENCE TO THE BOARD FOR INDUSTRIAL AND FINANCIAL RECONSTRUCTION
As per the Auditor's report for the year ended 31st December, 2002, the
entire net worth of the company has eroded and the company has become a
'Sick Company' within the meaning of the Sick Industrial Companies Act.
Further the company has made a reference to the Board for Industrial and
Financial Reconstruction (BIFR) as per the provisions of the Act.
M/s. P.T. Makadia & Co. Chartered Accountants of Rajkot, the retiring
auditors being eligible and offer themselves for their re-appointment.
 REPLY TO AUDITOR'S COMMENTS:
The company had accepted unsecured loans to meet short-term requirements of
fund. So far nobody has asked for repayment of unsecured loans. however,
your company intends to repay the same at the earliest.
 PARTICULARS OF EMPLOYEES UNDER SECTION 217(2-A):
There were no employees for the whole or part of the calendar year/period
under review who were in receipt of remuneration aggregating Rs.24,00,000/-
per annum or Rs.2,00 000/- per month respectively and therefore particulars
of employees as required by the provisions of section 217 (2-A) of
Companies Act, 1956 read with the Companies (Particulars of Employees)
Rules 1957 are not given.
 CONSERVATION OF ENERGY, TECHNOLOGY, ABSORPTION, FOREIGN EXCHANGE
EARNING AND OUTGO:
(A) CONSERVATION OF ENERGY:
In accordance with the requirements of section 217(1)(e) of the Companies
Act, 1956 read with the Companies (Disclosure of Particulars in the Report
of Board of Directors) Rules, 1988, the particulars with respect to
Conservation of Energy Technology Absorption and Foreign Exchange Earnings
and Outgo are presented here under
(B) ENERGY CONSERVATION MEASURES TAKEN:
Conservation of energy is always been an area of priority in the Company's
operations. The Company is focusing on installation of energy efficient
machinery and process.
(C) TECHNOLOGY ABSORPTION:
RESEARCH & DEVELOPMENT:
At present, Company is dependent as the indigenous technology provided by
the machinery suppliers. During the period, the Company has not initiated
any research and development activities.
FUTURE PLAN & ACTION:
The Company has yet not envisaged any future plan of action in Research and
EXPENDITURE ON RESEARCH & DEVELOPMENT:
1. Capital Expenditure (Including Technical Know How NIL
2. Recurring Expenses NIL
3. TOTAL NIL
4. TOTAL R & D Expenditure (As a % of Total Turnover) NIL
TECHNOLOGY ABSORPTION, ADAPTATION AND INNOVATION:
Efforts are being made towards technology absorption adaptation and
innovation. The Company depends on its own technology and so far as the
need for importing or absorbing foreign technology has not arisen.
FOREIGN EXCHANGE EARNINGS AND OUTGO:
The Company has earned foreign exchange of Rs.7.05 Lacs by way of export
sales, however there was no foreign exchange outgo during the period under
 DIRECTORS' RESPONSIBILITY STATEMENT:
Your directors confirm:
a) That in preparation of the annual accounts, the applicable accounting
standards have been followed;
b) That the directors have selected such accounting policies and applied
them consistently and made judgments 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 period 31st March, 2005 and of the profit of the
company for that period;
c) That the Directors had taken proper and sufficient care for the
maintenance of 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 irregularities;
d) That the directors have prepared the annual accounts on going concern
 COMPLIANCE OF CLAUSE 49 OF THE LISTING AGREEMENT PURSUANT TO CORPORATE
The board of directors are in process to implement and adopt the compliance
of Clause 49 of the listing agreement in relation to Corporate Governance.
The board expects to fulfill the required compliance during the due course
Your directors wish to place on record their appreciation for the continued
assistance and co-operation extended to the company by the Registrar of
Companies, Bankers, Shareholders and Employees of the company.
FOR AND BEHALF OF THE BOARD
FOR SHRI BHAGAVATI BRIGHT BARS LTD.
Place : RAJKOT
Date : 29.08.2005