A & M Febcon Ltd Management Discussions.

Business Overview

Our Company was originally formed and registered as a partnership firm under the Partnership Act,

1932 in name and style of Messrs. ‘A & M MARKETING’ Thereafter, by and under a partnership deed dated March 8, 2013 the name of the firm was changed to Messrs. ‘A & M FEBCON’

M/s. A & M FEBCON was thereafter converted from a partnership firm to a private limited company under Part IX of Companies Act, 1956 under the name of "A & M FEBCON PRIVATE LIMITED" Our

Company on March 15, 2017, was converted from a private limited company to a public limited company under the provisions of Companies Act, 2013. Consequent upon the conversion of our

Company into a public limited company, the name of our Company was changed to "A & M Febcon Limited" and a fresh certificate of incorporation dated 15th March 2017 bearing registration no.

075662 was issued by the Registrar of Companies, Ahmedabad.

Our Company is basically engaged in the services of engineering which is applied to the planning, designing and control of industrial operations and in the business of Industrial equipment and metal fabrication. Industrial equipment fabrication is the most complex out of the three i.e. structural, commercial and industrial which is used primarily to develop industrial machinery. Our equipments and machineries are manufactured through industrial fabrication that include boilers, storage tanks, heat exchangers, columns, and towers etc, collectively called as process plant equipments. These process plant equipments are widely used in petrochemical plants, oil and gas refinery, metal industry, cement plants, pulp & paper manufacturing plants etc.

Our Competitive Strengths:

• Wide Product Range covering different Industry verticals

• Our Product Development and Technological capabilities

• Our Cost effective production and timely fulfillment of orders

• Strategic Location of Manufacturing Unit

Our Strategy:

• Improving cost structure

• To enhance our customer base by entering new geographies to establish long-term Relationships

• To focus on Quality and on timely project schedule delivery

• Optimal Utilization of Resources

HUMAN RESOURCES AND INDUSTRIAL RELATIONS:

The Company recognizes human resources as its biggest strength which has resulted in getting acknowledgement that the Company is the right destination where with the growth of the organization, value addition of individual employees is assured.

INTERNAL CONTROL:

The Company has an adequate internal control system for safeguarding the assets and financial transactions of the Company. The strong internal control systems have been designed in such a way that, not only it prevent fraud and misuse of the Companys resources but also protect shareholders interest.

(a) Industry structure and developments : engineering and metal fabrication

(b) Opportunities and Threats : Government’s continued impetus through different initiatives like "Make in India" push will boost growth.

(c) Segment wise or product-wise performance : The Company operates in Single Segment (d) Outlook : Your Company is well positioned in industry innovative and Cost effective products. (e) Risks and concerns : Volatility in price of raw materials can be risk to industry. (f) Internal control systems and their adequacy : The Company has an adequate internal control system for safeguarding the assets and financial transactions of the Company. The strong internal control systems have been designed in such a way that, not only it prevent fraud and misuse of the Companys resources but also protect shareholders interest. (g) Discussion on financial performance with respect to operational performance : For the period ended March 31, 2019 our Company’s total income and profit after tax was Rs. 33.31 Lakhs and Rs.1.26 Lakhs, respectively (h) Material developments in Human Resources / Industrial Relations front, including number of people employed : There has been no any material changes during the year as compared to previous year. (i) details of significant changes (i.e. change of 25% or more as compared to the immediately previous financial year) in key financial ratios, along with detailed explanations: No significant change compared to the immediately previous financial year. or sector-specific equivalent ratios, as applicable. (j) details of any change in Return on Net Worth as compared to the immediately previous financial year along with a detailed explanation thereof:

2018-19 2017-18
PAT 126670.30 47093.00
EQUITY -P.EXPS 114802958.30 119655565.00
Return on Net worth : 0.11 0.04

As there is change / increase in Net Profit of company, The return on Net worth also increased.

PROFILE OF THE COMPANY:

The company has been incorporated on 18th June, 2013. The company is mainly engaged in manufacturing of Fabrication Items. The company converted into public limited company on 15.03.2017.

BOARD OF DIRECTORS:

1. Renukaben Rameshbhai Shah

2. Tejasbhai H. Patel (Director & CFO)

3. Abhishek Lodha

4. Varun Jigneshkumar Shah (Managing Director)

5. Amitbhai Pravinbhai Kadiya

6. Rupal Vijay Thakkar

7. Hiral Dipsinh Kashela