HPC Biosciences Ltd Management Discussions

INDUSTRY STRUCTURE, DEVELOPMENTS, OPPORTUNITIES AND THREATS

On macroeconomic front the financial year 2014- 15 was among the most challenging years. The policy and governance environment impacted the economic scenario. Persistent inflation resulted in the regulator raising the policy rates leading to a high interest-rate environment.

All these factors contributed towards an industrial slowdown and eventually led to a moderation in GDP growth. Raising capital became more difficult and working capital cycles in most industries increased, resulting in cash flow issues across various sectors. The microfinance sector came to a standstill, owing to regulatory hurdles.

However, in the midst of these challenges, there were certain pockets and segments that continued to thrive.

OPPORTUNITIES AND THREATS

Your Company being an agricultural Company seeks opportunities and making efforts to fully utilize it.

OUTLOOK

The long term objective of the Company is to remain strong player in the market with strong emphasis on product and market development. Your Company is also continuously improving its operational efficiency, and cost control which alone can improve the bottom line in future in highly competitive environment. Further, your Company is hopeful to get advantage of this overall boom likely to happen for the Indian markets and will do all out efforts to secure the bigger share of the increasing market in future.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Company has a proper adequate internal control system to ensure that all the assets are safe guarded and protected against the loss from unauthorized used or disposition and that transactions are authorized, recorded and reported correctly. The internal control is supplemented by an extensive internal audit, periodical review by the management and documented policies, guidelines and procedures. The internal control is designed to ensure that the financial and other records are reliable for preparing financial statements and other data and for maintaining accountability of assets.

Share Capital

The Paid up Share Capital of the Company as on 31st March, 2015 stands at Rs. 159,600,000 divided into 1,59,600,000 equity shares of Rs. 1/- each fully paid up due to split of shares w.e.f.23.02.2015.

Reserves and Surplus

The Reserves and Surplus is Rs. 1366.51 Lacs as on the end of the Current year.

Total Income

During the year under consideration, total income is Rs.326.36 Lacs as compared to Rs.352.61 during the previous year.

MATERIAL DEVELOPMENTS IN HUMAN RESOURCES

Apart from this there has been no material development on the Human Resources front during the year. As on 31st March, 2015 the Company had 18 employees. The Company continues to lay emphasis on developing and facilitating optimum human performance. Performance management was the key word for the Company this year.