KPL INTERNATIONAL LIMITED
ANNUAL REPORT 2009-2010
MANAGEMENT DISCUSSION AND ANALYSIS
The ethos of the Company is based on the relationships it has nurtured over
the years and the goodwill it has generated among its business associates.
The Company summarizes this in its motto 'Chemistry of Partnerships'.
The Company has emerged as one of the top chemicals indenting and
distribution companies in India. It is now exploring new areas of growth
and some beginning in this direction is already under way. In terms of
diversifications, the Company intends to foray into the renewable energy
sector, particularly generation of electricity from solar energy. This
would supplement the Company's modest success in the wind energy segment.
The Company acquired a tea estate near Darjeeling called Avongrove about
two years ago. This business has witnessed significant improvement. The
quality of organic tea produced in the estate is excellent and is fetching
prices that are one of the highest in the Kolkata tea auctions. The brand
equity of Avongrove is strong as a result of the emphasis on quality as
well as efficiencies in production. Apart from being certified as an
organic tea estate under US Department of Agriculture (USA), Japanese
Agricultural Standards* (Japan) and National Programme for Organic
Production (India & the EU), this business segment also received the
Certificate of Fairtrade from Flo-CertGmbH, Germany during the yearfor
conformation to labour and trade standards..
The Company continued to maintain stable growth in the financial year 2009-
10 across all segments of its activities. During the year, the Company set
new benchmarks in terms of sales, profits and commissions. The turnover for
the year increased to Rs. 563.22 million as against Rs. 501.88 million in
the previous year. The income from commission was Rs. 151.09 million as
against Rs. 74.88 million in previous year. The profit after tax increased
to Rs. 82.83 million as against Rs. 27.12 million in the previous year.