andhra pradesh heavy machinery & engineering ltd share price Management discussions


ANDHRA PRADESH HEAVY MACHINERY AND ENGINEERING LIMITED ANNUAL REPORT 2006-2007 MANAGEMENT DISCUSSION AND ANALYSIS FINANCIAL RECONSTRUCTION: ISO 9001-2000 CERTIFICATION The Company has obtained the certificate of assessment with the international Quality System Standard ISO 9001-2000 with effective date from 8-5-2006 with the scope of Design, Development, Manufacture and supply of Engineering equipment for Mining, Chemical, Power, Material Handling, Machine Tools and other Allied Industries. NEW EQUIPMENT MANUFACTURED DURING THE YEAR The Company manufactured 20 Nos. of 37 KW Direct Haulers and 1 No. of 2 x 200 KW Drive Head. These were supplied to the Singareni Collieries Company limited and working satisfactorily. The company manufactured Powered Roof Support and sent for testing at Jessop, Calcutta. FUTURE OUTLOOK The Management is optimistic about the future of the company. The Company has been earning profits for the past five years and the same trend is expected to continue in future. Order for Cars drawn by a Diesel Locomotive is received during the year. These Cars are designed and are being manufactured. For the first time we have received order for manufacturing of L.P. Side wall and L.P. outer Casing from BHEL, Hyderabad. Received enquiries for repair and replacement of various equipment at Barouni Thermal Station Coal handling Plant and Mill reject handling system at NALCO, Angule. CONTRIBUTION TO EXCHEQUER During the year under review, the Company contributed an amount of Rs.963.89 lakhs to Government by way of taxes and duties. DEPOSITS During the year under review, the Company has not accepted any deposits within the meaning of section 58-A of the Companies Act, 1956 and (Acceptance of Deposits) Rules, 1975. INDUSTRIAL RELATIONS During the year under review, the industrial relations were cordial and peaceful. SAFETY Continuous efforts are being made to ensure adherence to safety measures at work places and safety record consequently is quite satisfying.