a. Industry Structure & Development:
The Company is having cotton yarn spinning and knitted fabrics manufacturing unit. Textile is the oldest and most important industry with a high employment potential. The textile industry provides jobs for semi-skilled and unskilled labourers, women in particular, on a large scale in the country.
Eurotex has a state of art modern spinning mills manufacturing and exporting cotton yarn all over the world.
b. Opportunities & Threats:
While opportunities for domestic and export demand is bright, yet presently the conflict in Europe has dampened the Textile business in general.
Indian textile industry is facing threat from other textile exporting countries due to high power cost, cost of raw materials and rigid labour laws of our country.
c. Segment or Product wise Performance:
The Company has only two reportable business segments i.e. Yarn and Real estate development segment in terms of requirements of IND AS-108 and has its operations / assets located in India.
Hence, segment-wise or product-wise performance is given.
d. Outlook, Risks and Concern:
The Company has invested substantially in modernization and upgradation of its production facilities and the Company is poised to take maximum advantage of demand in quality goods in post quota regime.
The Exchange Rate Fluctuations, Power Cost increase due to increase in oil prices and state grid power rates are the risks and the matters of concern and may adversely affect its profitability.
e. Internal Control Systems and their Adequacy:
The Company has got adequate internal control system commensurate with its size of all departments.
f. Financial Performance with respect to Operational Performance:
The financial and operational performances are already elaborated in the Directors Report.
g. Key ratios
Ratios | F.Y 2022-23 | F.Y 2021-22 |
Debtors Turnover Ratio | 114.25 | 67.30 |
Inventory Turnover Ratio | 4.59 | 1.53 |
Current Ratio | 0.05 | 0.04 |
Interest Coverage Ratio | (0.28) | (3.34) |
Debt- Equity Ratio | (2.22) | (2.50) |
Operating Profit Margin | ||
(%) Ratio | (52.06) | (535.58) |
Net Profit Margin (%) | (44.98) | (582.47) |
Return on Net Worth (%) | ||
(RONW) | 13.13 | 70.95 |
h. Development in Human Resources / Industrial Relations Front:
The Company continued its endeavor in maintaining peace and harmony at all levels of employment in the Organization in the year under review.
i. Cautionary Statement:
The Statements in the Report may be forward looking within the meaning of applicable laws or regulations. These Statements are made on certain assumptions andexpectations of future events. Actual results could differ Materially from those exzpressed or implied. Important factors that could make a difference to the Companys operations include raw material availability and prices, cyclical demand and pricing in the Companys principal markets, changes in government regulations, Tax Regimes, economic developments within India and the Countries in which the Company conducts business and other incidental Factors.
The Company and its Directors assume no responsibility in respect of the forward-looking statements herein which may undergo changes in the future on the basis of subsequent developments, information or events.
K. K. PATODIA
Chairman and Managing Director
Place: Mumbai
Date : 4th August, 2023
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www.indiainfoline.com is part of the IIFL Group, a leading financial services player and a diversified NBFC. The site provides comprehensive and real time information on Indian corporates, sectors, financial markets and economy. On the site we feature industry and political leaders, entrepreneurs, and trend setters. The research, personal finance and market tutorial sections are widely followed by students, academia, corporates and investors among others.
Copyright © IIFL Securities Ltd. All rights Reserved.
Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213, IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248
This certificate demonstrates that IIFL as an organization has defined and put in place best-practice information security processes.