Cindrella Hotels Ltd Management Discussions.


Cindrella Hotels Limited is a listed entity involved in hospitality, travel and tourism sector and operating a hotel of considerable repute at Siliguri in north Bengal and its sphere of business activities also encompassing Darjeeling district, state of Sikkim and Bhutan. A portion of its revenues also comes from sale of food and beverages at its restaurant and operation of health club, park rental for marriages and other occasions, which are all clubbed into the sale of services category. It is also engaged in the business of selling tour packages to both domestic and international travelers.


Though the tourist footfall increased considerably during the last year and the trend for the current year had looked promising, the havoc wreaked by the COVID19 pandemic on the hospitality and travel and tourism industry has made the immediate future very uncertain. Also, excessive rainfall and widespread floods all over the eastern and north eastern region has caused further disruption to business. The threat of landslides also remains imminent. Further, this being an earthquake prone zone, the occurrence of the same remains a constant threat. Of course they are being considered as possible occurrences not affecting the industry till the actual happening. However, the Company is looking forward to return of normalcy and intends to take advantage of any kind of relaxation of restrictions in the number of persons allowed to assemble together in order to earn maximum possible revenues from rentals from occasions and sales food and beverages. Further, the Company is in the process of generating increased tourist interest by developing/offering attractive travel packages at lucrative rates for both domestic and foreign visitors.


The performance of the Hospitality Industry in the region had improved overall and the Company was looking forward to a very prosperous business year in 2020-21. But the immediate future looks quite bleak in view of the continuing COVID19 crisis. However, presently the Company has re-opened its hotel with implementation of COVID 19 protocols as per guidelines laid down by the Government of India in this regard and is focusing on and optimistic about renewing/attaining levels of profitable operations.


The companys objectives, projections, estimates and expectations as stated herein are in the nature of ‘forward looking statements within the meaning applicable under the securities laws and regulations. As ‘forward looking statements are based on certain assumptions and expectations of future events over which the company exercises no control, the company cannot guarantee their accuracy nor can it warrant that the same will be realized by the company. Actual results could differ materially from those expressed or implied. Significant factors that could make a difference to the companys operations include domestic and international economic and political conditions affecting the industry, changes in foreign exchange rates, government regulations, tax regimes and other statutes. Presently the most overwhelming concern of the Company is to sustain itself during and overcome the COVID19 crisis.


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The Company has proper internal controls systems and its adequacy has been reported by its auditors in their report. The companys internal control systems are commensurate with the nature of its business and the operations. Systems have been put in place to ensure that all the assets of the Company are safeguarded and protected against any loss and that all the transactions are properly authorized, recorded and reported. The Board duly considers and takes appropriate action on the recommendations made by the statutory auditors and the independent Audit Committee of the Board of Directors.



The Companys revenue from operations is Rs. 479.00 lacs and total income is Rs. 494.18 for the year ended March 31,2020 as compared to Rs. 478 lacs and Rs. 478.92 lacs respectively for the year ended March 31,2019.


The Companys total expenditure increased to Rs. 467.97 lacs for the year ended March 31,2020 from Rs. 435.60 lacs for the year ended March 31,2019.


Interest expenses stood at Rs.2.92 lacs for the year ended March 31,2020 (previous year figure was Rs. 2.81 lacs).

Profit after tax

The Companys profit after tax is Rs. 151.05 lacs for the year ended March 31,2020 as compared to Rs. 32.07 lacs for the year ended March 31,2019.


The earnings per share for the year ended March 31,2020 was Rs. 4.24 as compared to Rs. 0.90 per equity share of Re.10 /- each in the previous year.


The industrial relations climate of the company continues to remain harmonious and cordial with focus on improving productivity, quality and safety.

Disclosures pertaining to remuneration and other details as required under Section 197(12) read with Rule 5(1) of Companies (Appointment & Remuneration of Managerial Personnel) Rules, 2014

Sl. No. Name of the Director/KMP and Designation Remuneration of Director/KMP for financial year 2019- 20 (Rs In lakhs) % Increase in Remuneration in the Financial year 2019- 20 Ratio of remuneration of each director/ median remuneration of employees Comparison of the Remuneration of the KMP against the performance of the Company
1 Sangita Devi Baid, Director -- -- -- --
2 Vivek Baid, Managing Director -- -- -- --
3 Subhajit Mukherjee, Company Secretary & CFO 1.93 -- -- --

The Company has 83 permanent employees on its rolls.