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The purpose of this discussion is to provide an understanding of financial statements and a composite summary of performance of our business. Management Discussion and Analysis (MDA) is structured as follows:
Overview of Indian Economy
Construction Industry Overview
Financial Performance and Highlights
Risk and Concerns
Internal Control Systems and adequacy
Material Development in Human Resources
Overview of Indian Economy
India has emerged as the fastest growing major economy in the world as per the Central Statistics Organisation (CSO) and International Monetary Fund (IMF) and it is expected to be one of the top three economic powers of the world over the next 10-15 years, backed by its strong democracy and partnerships. Indias GDP is estimated to have increased 6.6 per cent in 2017-18 and is expected to grow 7.3 per cent in 2018-19. The improvement in Indias economic fundamentals has accelerated in the year 2015 with the combined impact of strong government reforms, Reserve Bank of Indias (RBI) inflation focus supported by benign global commodity prices.
According to The World Bank, The World Bank has stated that private investments in India is expected to grow by 8.8 per cent in FY 2018-19 to overtake private consumption growth of 7.4 per cent, and thereby drive the growth in Indias gross domestic product (GDP) in FY 2018-19.
The long-term growth prospective of the Indian economy is moderately positive due to its young population, corresponding low dependency ratio, healthy savings and investment rates, and increasing integration into the global economy. The Indian economy has the potential to become the worlds 3rd-largest economy by the next decade, and one of the largest economies by mid-century. And the outlook for short-term growth is also good as according to the IMF, the Indian economy is the "bright spot" in the global landscape. India also topped the World Banks growth outlook for 2016-17 for the first time with the economy having grown 7.1% in 2016-17 and expected to grow 7.8% for the next year i.e 2018-19.
Construction Industry Overview
The Construction Industry in India is the second largest economic activity after agriculture and provides employment to large amount of people. Broadly, construction can be classified into two segments infrastructure and real estate. The infrastructure segment involves construction projects in different sectors like roads, rails, ports, irrigation, power, etc. Investment in the infrastructure sector plays a crucial role in the growth of the economy of the country. Development of infrastructure in the country mainly depends upon the spending by GOI in various sub-segments of infrastructure.
Our Company was initially incorporated with the object of trading in textiles. Till FY 2012 our Company was engaged in the business of textile trading thereafter we have started construction business and IT Supply activities in the FY 2012-13. Currently, we sub-contract specific construction, development and execution work related to our project to third contractors. Currently, we are engaged in the business of Land Development, construction and execution of infrastructure projects. We are currently executing four diversified projects, two of which are land development based for civil work and another project related to supply of IT Equipments. We also started Importing Musical Instruments in our own Brand named BRONZE for selling throughout India from F.Y 2014-2015. Now days the Company is selling different article like Piano, Digital Keyboards, Guitar/Drum etc. Our performance is highly correlated to general economic conditions in India, which are in turn influenced by global economic factors. Any event or trend resulting in a deterioration in whole or in part of the Indian or global economy may directly or indirectly affect our performance, including the quality and growth of our assets. Any volatility in global commodity prices could adversely affect our results of operations.
During the fiscal 2018-19, the total Revenue generated by the Company was Rs. 540,826/- and during the previous year it was Rs. 6,768,343/-. Profit after tax for the fiscal year 2018-19 was Rs. (596,149/-) as compared to the previous years Rs. (1,74,72,958/-)
Revenue from operation stood at Rs. 540,826/- for fiscal 2019
Profit before Taxes of fiscal 2019 was Rs. (592,772)/-
Profit After Taxes of fiscal 2019 was Rs. (596,149)/-
Basic Earnings per share for fiscal 2019 was (0.03)
Opportunities and Threat
The growth of the Company is subject to opportunities and threats as are applicable to the industry from time to time however it seems that selling Musical Instrument, there is a great opportunities in the Indian Market.
Risks and Concerns
Risk is an inherent part of any business. There are various types of risks, which threat the existence of a Company like Credit Risk, Market Risk, Operational Risk, Liquidity Risk, Interest Rate Risk, Strategic Risk, Regulation Risk etc. Your Company aims at enhancing and maximizing shareholders value by achieving appropriate trade-off
Internal Control System & Adequacy
Internal Control Systems has been designed to provide reasonable assurance that assets are safeguarded, transactions are executed in accordances with managements authorization and properly recorded and accounting records are adequate for preparation of financial statements and other financial information. Internal check is conducted on a periodical basis to ascertain the adequacy and effectiveness of internal control systems
Material Development In Human Resources
The Company continues to lay emphasis on developing and facilitating optimum human performance. Performance management was the key word for the Company this year.
During the year the Company has not entered into any transaction of material nature with its promoters, the Directors or the management, their subsidiaries or relatives etc that may have potential conflict with the interest of the Company at large.
C.E.O / C.F.O CERTIFICATION
The Board of Directors
M/s. Bronze Infra-Tech Limited
I have reviewed the financial statements and the cash flow statement for the Financial Year ended 31st March, 2019 and to the best of my Knowledge and belief, I state that:
a) 1. These statements do not contain any materially untrue statements or omit any material facts or contain any statements that might be misleading.
2. These statements together Present a true and fair view of the Companys affairs and are in compliance with the existing accounting standards, applicable laws and regulations.
b) There are, to the best of my knowledge and belief, no transactions entered into by the Company during the year, which are fraudulent, illegal or violation of the Companys Code of Conduct.
c) I accept responsibility for establishing and maintaining internal controls for financial reporting. I have evaluated the effectiveness of the internal control systems of the Company pertaining to the financial reporting and I have disclosed to the Auditors and the Audit Committee, deficiencies in the design or operation of such internal controls, if any, of which I are aware and steps taken and/or proposed to be taken to rectify these deficiencies.
d) I have also indicated to the Auditors and the Audit Committee:
i) Significant changes, if any, in the Internal Controls over financial reporting during the year.
ii) Significant changes, if any, in accounting policies made during the Year and that the same have notes to the financial statements; and
e) Instances of significant fraud of which I have become aware and the involvement therein, if any, of an employee having a significant role in the Companys internal control system over financial reporting.
Mrs. Jayshree Desai
Chief Financial Officer
Date : 21/08/2019.
AUDITORS CERTIFICATE ON CORPORATE GOVERNANCE
Bronze Infra-Tech Limited
We have examined the compliance of regulations of Corporate Governance by Bronze Infra-Tech Limited for the year ended 31st March, 2019, as stipulated in Regulation 17, 18, 19, 20, 22, 23, 24, 25, 26, 27 and clause (b) to (i) of sub-regulation 46 and para C, D and E of schedule V of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.
The compliance of conditions of Corporate Governance is the responsibility of management. This responsibility includes the designing, implementing and maintaining operating effectiveness of internal control to ensure compliance with the conditions of corporate governance as stipulated in the Listing Regulations.
Pursuant to the requirements of the Listing Regulations, our responsibility is to express a reasonable assurance in the form of an opinion as to whether the Company has complied with the conditions of corporate governance as stated in paragraph 2 above. Our responsibility is limited to examining the procedures and implementation thereof, adopted by the Company for ensuring the compliance with the conditions of corporate governance. It is neither an audit nor an expression of opinion on the financial statements of the Company.
We have examined the relevant records of the Company in accordance with the applicable Generally Accepted Auditing Standards in India, the Guidance Note on Certification of Corporate Governance issued by the Institute of Chartered Accountants of India (ICAI), and Guidance Note on Reports or Certificates for Special Purposes issued by the ICAI which requires that we comply with the ethical requirements of the Code of Ethics issued by the ICAI.
We have complied with the relevant applicable requirements of the Standard on Quality Control (SQC) 1, Quality Control for Firms that Perform Audits and Reviews of Historical Financial Information, and Other Assurance and Related Services Engagements.
Based on the procedures performed by us and to the best of our information and according to the explanations provided to us, in our opinion, the Company has complied, in all material respects, with the conditions of corporate governance as stipulated in the Listing Regulations during the year ended 31 March 2019.
We state that such compliance is neither an assurance as to the future viability of the Company nor the efficiency or effectiveness with which the management has conducted the affairs of the Company.
This certificate is issued solely for the purpose of complying with the aforesaid regulations and may not be suitable for any other purpose.
For, SSRV & Associates.
ICAI FRN. 135901W
Membership No.: 403437