navcom industries ltd Management discussions


Structure of the Company and thrust of the Business:

With the steps taken by the promoters to restart the operations of the company the company achieved a turnover of Rs. 386.15 Lacs for the financial year 2015-16 against Rs, 333.31 Lacs for the financial year 2014-15. As the company is mainly doing trading activity accordingly the profit margin was quite low. Moreover due to liquidity crunch the company is not in a position to restart its business activity in full swing.

Risks, Concerns and Outlook:

The Promoters of the Company have rich experience in Oil & Food Industry and they are looking for a proper opportunity to re-start the business activities of the company in full swing in the same line. However as the Net worth of the Company is negative the Company is facing liquidity problems to start its business operations in full swing,

Internal Control Systems and its adequacy:

At present the volume of the business of the Company is low and does not call for stringent internal controls and systems. However as the business of the Company will grow, the management will ensure that proper and effective systems are in place. The Company will strengthen the controls with the help of Professionals in the line.

Human Resource and Industrial Relations:

The Promoters of the Company have rich experience as regards Human Resource and Industrial Relations. Once the activities of the Company are put in line and the plan for revival of the company is finalized, the management will take due care to appoint experts in the respective fields and will ensure that manpower development is strengthened.