CHASE BRIGHT STEEL LIMITED
ANNUAL REPORT 2009-2010
MANAGEMENT DISCUSSION AND ANALYSIS
1. FINANCIAL RESULTS
Your Companys performance for the financial year ending 31st March 2010 is
Particular For the year ended on
March 31, 2010 March 31, 2009
Profit before tax 46,13,307 46,02,124
Less: Provision for tax and FBT 16,25,000 23,10,000
Less: Deferred Tax 4,52,626 (19,50,622)
Add: Excess Provision for I.T. written back 4,09,040 15,00,000
Less: Prior Period Adjustment-Debit (net) (2,94,498) (1,50,843)
Net profit for the year after tax 26,50,223 55,91,903
Less: Losses brought down from earlier year (1,93,78,896) (2,49,70,799)
Balance Losses carried to Balance Sheet (1,67,28,673) (1,93,78,896)
The companys working result is not as per expectations. This is mainly due
to severe pressure on the margins of companys products. Raw material
prices continued to rise without any corresponding increase in the selling
price of the finished products.
The company has been able to enter into new markets for exports but the
prices are not remunerative. Even then efforts to establish companys brand
image continues and shall be beneficial in the long run.
The current years working is expected to be encouraging.