Genpharmasec Ltd Management Discussions.


Statements in this Management Discussion and Analysis of Financial Condition and Results of Operations of the Company describing the Companys objectives expectations or predictions may be forward looking within the meaning of applicable securities laws and regulations. Forward looking statements are based on certain assumptions and expectations of future events.

The Company cannot guarantee that these assumptions and expectations are accurate or will be realized. The Company assumes no responsibility to publicly amend modify or revise forward looking statements on the basis of any subsequent developments information or events. Actual results may differ materially from those expressed in the statement. Important factors that could influence the Companys operations include changes in government regulations tax laws economic developments within the country and such other factors globally.

The financial statements are prepared under historical cost convention on accrual basis of accounting and in accordance with the provisions of the Companies Act 2013 (the Act) and comply with the Accounting Standards notified under Section 211(3C) of the Act read with the Companies (Accounting Standards) Rules 2006. The management of Generic Pharmasec Limited has used estimates and judgments relating to the financial statements on a prudent and reasonable basis in order that the financial statements reflect in a true and fair manner the state of affairs and profit for the year.

The following discussions on our financial condition and result of operations should be read together with our audited consolidated financial statements and the notes to these statements included in the annual report.


The Directors of the Company are making efforts to revive the business as the industry is not functioning properly. The Board of Directors from time to time has always considered the proposals for diversification into the areas which would be profitable for the Company.

For this purpose the object clause of the Company which is presently restricted its scope required to be so made out to cover a wide range of activities to enable your company to consider embarking upon new projects and activities.

Therefore as a part of diversification plans for further growth of the Company and for increasing operations and profits of the Company and to avail the benefit of the Current economic scenario for further growth of the Company and for increasing operations and profits of the Company the Board has decided to extend its scope of working in the areas of pharmaceutical and allied areas. Therefore the name of the Company was changed from "Adi Rasayan Limited" to "Generic Pharmasec Limited" to bring in line with the proposed change in Object Clause of the Company.


The Company operates in a single business of manufacturers buyers, sellers, retailers and distributing agents of and dealers in all kinds of Diagnostic Equipments, pharmaceutical medicinal and medicated preparations patent medicines drugs herbs and in pharmaceutical medicinal and proprietary and industrial preparations and in pharmaceutical medicinal proprietary and industrial preparations compounds and articles of kinds chemists druggists and chemical manufacturers makeup prepare buy sell and deal in all articles substances and things commonly or conveniently used in or for making up preparing or packing any of the products in which the Company is authorised to deal or which may be required by customers or persons having dealings with the Company.


The Revenue from operations for FY 2020-21 increased to Rs. 21,30,75,138/-, as compared to the revenue of Rs. 16,50,13,041 /- in the previous year. The Profit before Tax for the FY 2020-21 is Rs. 1,50,95,392/- as compared to Rs. 1,20,53,886 /- in the previous year. The Profit After Tax for the FY 2020-21 increased to Rs. 1,25,74,477/- as compared to a profit of Rs. 1,00,93,802 /- in the previous year.


Due to recent strategic expansion of the Company it has unleashed several new opportunities in the area of pharmaceutical medicinal and medicated preparations patent medicines drugs herbs and in pharmaceutical medicinal and proprietary and industrial preparations and in pharmaceutical which will be a newer experience for the Company and the new Management of the Company consists of highly experienced personnel in the field of pharmaceutical. Their expertise in their respective field will help the Company to grow expeditiously.

At the same time as the Company has stepped a fresh into the field of Pharmaceutical thereby the major threat the Company faces is the competition from its rivals and gaining customer trust which will be a time taking process as well as making its separate impression in the Market in order to survive the cut throat competition prevailing currently.


The Company has gain lot of strength due to substitution of the Management and exploring opportunities in newer field of work thereby increasing its leverage and making it profitable venture. The expertise of the well experienced management will boost the Companys utilization of resources and is considered the greatest strength in making.


The Company is now into Pharmaceutical it is attributed to all the risks and concerns attached with the Pharmaceutical activities as a whole. The Company has formulated a policy and process for risk Management.


For the purposes of effective internal financial control the Company has adopted various policies and procedures for ensuring the orderly and efficient conduct of its business including adherence to companys policies the safeguarding of its assets the prevention and detection of frauds and errors the accuracy and completeness of the accounting records and the timely preparation of reliable financial information.

There has not been any significant change in such control systems. The control systems are reviewed by the management regularly. The same are also reviewed by the Statutory Auditors and Internal Auditors from time to time. The Company has also adopted various policies and procedures to safeguard the interest of the Company. These policies and procedures are reviewed from time to time. There has also been proper reporting mechanism implemented in the organization for reporting any deviation from the policies and procedures. Compliance audit is also conducted from time to time by external agencies on various areas of operations.


The company recognizes the importance of human value and ensures that proper encouragement both moral and financial is extended to employees to motivate them. The human resources received commensurate attention during the year considering the growth of the organization and the need arising there from.


The statements in the "Management Discussion and Analysis Report" section describes an optimistic approach of the management regarding the Companys visions strategies objectives projections estimates expectations and predictions. These may be "forward looking statements" within the meaning of legal framework. However the annual performance can differ significantly from those expressed or implied depending upon the market conditions economic and climatic conditions Government policies and other incidental factors.