indo germa products ltd Directors report

INDO GERMA PRODUCTS LIMITED ANNUAL REPORT 2009-2010 DIRECTORS REPORT Your Directors have pleasure in presenting the Annual Report of the Company together with the accounts for the Year ended 31st March 2010. 1. FINANCIAL HIGHLIGHTS: 2010 2009 Profit & Loss before depreciation and interest 33.102 31.231 Interest - - Depreciation 11.286 8.239 Provision for Taxation - - Profit/Loss After Tax - - Profit/Loss brought forward from previous year 173.620 19.512 Prior Year Adjustment NIL NIL Profit/Loss carried to Balance Sheet 151.804 (173.620) 2. DIRECTORS: The Company Director Mr. Basant Merathia retires by rotation and being eligible offers himself for reappointment. 3. AUDITORS: The Company Auditors M/s. Karpagam & Co., Chartered Accountants are retiring at the conclusion of the annual General Meeting and are eligible reappointment. 4. PARTICULARS OF EMPLOYEES: During the period undef.review there was no employee who come under the purview of Section 217 (2A) of the Companies Act 1956. 5. FIXED DEPOSITS: The Company, has not accepted any fixed deposits during the year under review. 6. DIRECTORS RESPONSIBILITY STATEMENT: Directors hereby declare that:- (i) That in the preparation of the annual accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures; (ii) That the Directors had selected such accounting policies and applied them consistently and made judgements and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the company at the end of the financial year and of the profit / loss of the company for the period; (iii) That the Directors has taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities; (iv) That the Directors had prepared the annual accounts on a going concern basis. 7. FOREIGN EXCHANGE EARNINGS AND OUTGO : USS IRS Foreign Exchange Earnings - - Foreign Exchange Outgo - - 8. TECHNOLOGY ADOPTIONS: Nil 9. CONSERVATION OF ENERGY: Concrete steps have been taken for conservation of Energy, both at Factory as well as at Administrative office. 10. CORPORATE GOVERNANCE: As per the listing agreement with the Stock Exchange the Directors are pleased to Annexe the following reports. 1. Management discussion and Analysis report. (Annexure - A) 2. A report on Corporate Governance (Annexure - B) 3. Auditers Certificate regarding compliance with the conditions of corporate governance(Annexure - B) 4. Certification by CEO issued pursuant to revised clause 49 of the listing agreement. 11. FINANCE: Directors wish to place on record their sincere appreciation and gratitude for the assistance provided by the bankers to the company. 12. ACKNOWLEDGEMENTS: Your Directors would like to place on record the sincerity and loyalty shown by the executives and staff of the Company and their total commitment while discharge of their duties. By order of the Board, sd/- Place: Chennai SUBHASH AGARWAL Date : 09.08.2010 (Chairman Cum Managing Director) ANNEXURE - A TO THE DIRECTORS REPORT MANAGEMENT DISCUSSION AND ANALYSIS REPORT OVERALL REVIEW OF THE INDUSTRY AND BUSINESS PROSPECT IN INDIA: With Government of India Infrastructure development lies in the top priority, cur products are directly linked to infra structure, as such we are presently seeing and would continue to see high growth in our industry, with easy finance options available, the industry as a whole is looking up specially in the residential sector INDO GERMA PRODUCTS LTD - A SHORT PROFILE: The Company INDO - GERMA PRODUCTS LTD promoted jointly by M/s GLINDEROL INTERNATIONAL PTY.LTD. AUSTRALIA to manufacture ROL-A-DOR. The product ROL- A-DOR is an improved technology over Rolling Shutters. The improved features of Rol-A-DOR as against Rolling Shutters are: i) Rust free panels ii) Pre-coated colour coils as against manually painted Rolling Shutters with the result the colour will have its shine throughout the life of the door. iii) Automatic Doors operated through remote control iv) Less weight as against heavy Rolling Shutters. In addition to ROL-A-DOR, INDO-GERMA also has other products like Gate Openers, Balcony Paralline, Paralline Duo-Plus etc. which are manufactured out of state-of-the art and sophisticated technology. The products mentioned above are targetted against upper class segment of the society. All the products command very good domestic market and we have also established overseas market in Nepal and Srilanka. As fas as the domestic market is concerned our doors are popular among all the MNCs, to mention a few - Honda City Show Room, Hyundai, Volvo, TVS Suzuki, Videocon, Citibank, MITSUI Kensetsu. L & T etc., We are able to provide Roller Doors of size upto 6M X 6M which is the greatest advantage as against the shutters manufacturers who have limitations to the size more so because of its weight. ADEQUACY OF INTERNAL CONTROLS: An extensive system of internal controls is practised by the company to ensure that all its assets are safeguarded and protected against loss from unauthorised use of disposition, and those transactions are authorised, recorded and reported correctly. The Company has an internal control system that is geared towards achieving efficiency in operations, optimum utilisation of resources and effective monitoring. An extensive programme of internal audits, reviews by management, and documented policies, guidelines and procedures, supplements the iqternal cgntrol systems that are designed to ensure reliability of financial and all other records to prepare financial statements and other data, and to maintain accountability of assets. HUMAN RESOURCE DEVELOPMENT: The Company believes that its real strength is its people. The key principles of development of human resources followed by the company are equal opportunity work environment and idenifying and nurturing talent. FINANCIAL REVIEW 1. The Companys gross turnover for the financial year ended 31st March 2010 Rs. 27876269.49 2. Depreciation for the year was at Rs. 11286639 3. Net profit for the year recorded Rs. 2181655 4. Earnings per share were Rs. 4.04 5. Capital expenditure during the year was Rs. 5,40,00,000 6. Total assets increased during the year to Rs. 14225 7. No. of people employed. - 25 persons. Category: EXECUTIVES - 3 NON-EXECUTIVE - 22 TOTAL - 25