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ADHUNIK SYNTHETICS LIMITED
ANNUAL REPORT 2006-2007
MANAGEMENT DISCUSSION AND ANALYSIS
FINANCIAL HIGHLIGHTS:
(Rs. in lacs)
2006-2007 2005-2006
Sales and other Income 204.12 238.12
Profit/(loss): before provision (1064.20) (876.83)
of Depreciation & Tax
Less/(add): Provision (22.56) (30.70)
for Depreciation
Profit/(loss) before tax (1086.76) (907.53)
Less/(add): Tax adjustment 0.74 (6,15)
Less/(add): Provision for (11.95) (32.82)
Doubtful Debts/advances
Profit/(loss) after tax (1097.97) (946.50)
OPERATIONS:
The year under review resulted in the net loss of Rs. 1097.97 lacs as
compared to net loss of Rs. 946.50 lacs during the previous year. As was in
earlier years, the manufacturing operations at Jalgaon unit were remained
suspended and the weaving units were in operation mainly on job work basis
due to shortage of working capital.
INSURANCE:
Due to continuous financial difficulties, no assets of the company have
been insured against the fire and other risks.
ACCUMULATED LAIBILITIES:
In respect of liabilities provided in the audited accounts further to add
that pursuance to the heavy losses, the company suspended its yarn
manufacturing Works/ functioning in its units/factories long back and in
lieu of no improvement in the textile market but reactant slack down, it
has closed down yarn manufacturing units/ factories long back and
approached to BIFR in the year 2000-2001 and subsequently BIFR declared the
company sick industrial undertaking.
Therefore it is pertinent to say that the liabilities of the company
towards all financial institution/banks, of its principles amounts,
interest and compound interest along with rate inconceivable/untenable and
can not be taken as the admitted liabilities but under scan
ner/scrutinisation/ arbitrated/prima-facie and subject for the verdict of
an appropriate Court of Law as per provision i.e. the liabilities stand as
disputed/integrated.
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