prakash solvent extractions ltd Management discussions

PRAKASH SOLVENT EXTRACTIONS LIMITED ANNUAL REPORT 2009-2010 MANAGEMENT DISCUSSION AND ANALYSIS FINANCIAL RESULTS The highlights of the fnancial results for the Current fnancial year ended 31st March 2010 are: Rs in Lakhs 31.3.2010 31.3.2009 TOTAL INCOME Sales 445.18 1301.02 TOTAL 445.18 1301.02 TOTAL EXPENDITURE Raw Materials 389.12 1131.85 Operations and Other Exp. 48.06 155.91 Depreciation 5.88 6.56 Proft/(Loss) 2.10 6.68 OPERATIONS During the year the company has made proft. There is an decrease in the turnover as compared to the previous year. The Proft for the current year is Rs.2.10 lakhs as compared to Rs. 6.68 lakhs in the previous year. FUTURE PROSPECTS In lieu of the recessionary trend in the market in general the outlook for the current year is not very attractive. The Company is trying hard to recover the fxed and variable costs and it has also adopted various cost reduction measures. MANAGEMENT DISCUSSION AND ANALYSIS REPORT In terms of clause 49 of the Listing agreement with the Stock exchange, the Management Discussion and analysis Report is appended to this report. INTERNAL CONTROL SYSTEMS: The Company always believes that free hand in functioning, transparency , systems and controls combined together are important factor in the success and growth of any organization. Audit committee of Directors is responsible for implementing adequate systems and controls for all the activities in the Company. They monitor, strengthen and modify these from time to time to meet the changing requirements of the Company.