INDUSTRY STRUCTURE AND DEVELOPMENT:
GLOBAL ECONOMY
The past couple of years have witnessed a global economy grappling
with a complex web of challenges, including the Russian incursion into Ukraine, an
unparalleled surge in inflation, Chinas economic slowdown due to the pandemic, rising
interest rates, a tightening of global liquidity, and the quantitative tightening measures
taken by the US Federal Reserve. The most recent addition to this series of events is the
liquidity issues stemming from a sequence of worldwide banking crises. While efforts have
been made to manage the repercussions, these uncertainties persistently erode the trust of
both consumers and businesses, curtailing their willingness to spend. As a result, these
ongoing concerns are exerting a dampening effect on overall economic growth.
The World Bank is concerned about the ongoing global economic slowdown
potentially leading to a "lost decade." Predictions point to a subdued 2.9%
growth for the global economy in 2023, influenced by the prolonged Russia-Ukraine conflict
and higher interest rates. Global inflation is expected to reach 6.5% this year (Source:
IMF). However, positive factors include Chinas economic reopening post-pandemic,
alleviation of the European energy crisis, and a strong US consumption outlook despite
elevated inflation. Intriguingly, although the global economy is anticipated to grow under
3% for five years, India and China are poised to contribute to half of the 2023 global
growth (IMF). Analysts suggest that this could signify Indias decade, supported by recent
data revisions showcasing better economic performance amid ongoing global uncertainties.
The IMF projects Indias growth at 5.9% for FY 2023–24 and an average rate of 6.1%
over the next five years.
INDIAN ECONOMY
Exports (both goods and services) from India during the period of
April-February in the fiscal year 2022-23 registered a notable growth of 16.18 percent
compared to the corresponding period in the previous year. This expansion was observed
despite a global economic slowdown, as Indias domestic demand remained stable. On the
other hand, imports for the same April-February period in 2022-23 showed a substantial
increase of 19.93 percent when compared to the corresponding period of the prior year.
Given Indias significant, youthful population with an increasing
proportion belonging to the upper middle-income segment, which tends to spend actively, it
is evident that relying on consumption-driven growth is a logical strategy. However, there
is also a prevailing belief that over the next two years, investment will assume a
critical role. It is anticipated that investments will supply the necessary impetus for
India to embark on a trajectory of sustained growth driven by domestic demand, which is
projected to persist for several decades.
The upcoming two-year period is deemed pivotal for the establishment of
investment momentum before the economy propels into a phase of sustained and rapid growth.
Indicators of frequent occurrence, such as electricity production, GST
collections facilitated by e-way bills, daily average fuel consumption, sales of
two-wheelers and tractors, credit expansion across various sectors, industrial growth,
hotel occupancy rates, and purchasing managers indices (PMIs), unequivocally demonstrate
that the factors propelling growth have managed to sustain a positive momentum even amid
uncertainties.
Indias GDP growth is anticipated to be fuelled by internal demand and
increased public investment. In the fiscal year 2024, it is projected that Indias retail
inflation rate will decrease from 6.6 percent to 5.2 percent. This growth will be
underpinned by expanded credit availability, enhanced utilization of capacity, and
diminished trade deficits, leading to reductions in both headline and core inflation
figures. Furthermore, there is an expectation of a recovery in private sector investments.
The positive effects of the Production-Linked Incentive Scheme (PLI) on
downstream sectors have contributed to stable inflation. The nation is on the brink of
making significant investments in renewable energy and other industries, positioning
itself as a viable industrial alternative to China. By the end of the current decade,
India is poised to surpass Germany and Japan, emerging as the worlds third-largest
economy.
The confluence of widespread credit expansion, improved capacity
utilization, government emphasis on capital expenditure and infrastructure development, is
set to reinforce investment activity. Surveys indicate that companies in the
manufacturing, services, and infrastructure sectors hold optimistic views regarding their
future business prospects. However, potential risks include prolonged geopolitical
tensions, tightening global financial conditions, and a slowdown in external demand.
In the financial year 2022, Indias nominal gross domestic product
(GDP) at current prices is estimated to be around Rs. 232.15 trillion (equivalent to US$
3.12 trillion). Remarkably, India boasts the third-largest unicorn base globally, with
over 100 unicorns collectively valued at US$ 332.7 billion. In a noteworthy move towards
sustainability, the government is actively prioritizing renewable energy sources, aiming
to attain 40% of the nations energy from non-fossil sources by the year 2030.
The McKinsey Global Institute outlines a crucial goal for India: to
accelerate its employment growth and generate 90 million non- farm jobs between 2023 and
2030. This strategic approach is intended to bolster productivity and foster economic
expansion. A net employment growth rate of 1.5% annually from 2023 to 2030 is essential to
achieve a GDP growth rate ranging from 8% to 8.5% within the same timeframe. The first
quarter of the fiscal year 2022-23 witnessed a current account deficit (CAD) equivalent to
2.1% of GDP, primarily driven by an upswing in the trade deficit.
During the pandemic, exports exhibited notable resilience, contributing
to economic recovery even when other growth engines were faltering. However, going
forward, the contribution of merchandise exports might face fluctuations due to economic
slowdowns in several of Indias trade partner countries. Mr. Piyush Goyal, the Minister of
Commerce and Industry, Consumer Affairs, Food and Public Distribution, and Textiles,
envisions Indian exports reaching a milestone of US$ 1 trillion by the year 2030.
LOOKING AHEAD
Continuing from the first quarter, the second quarter of the fiscal
year 2022-23 demonstrated the sustained growth momentum, with high-frequency indicators
(HFIs) performing well in both July and August of 2022. Indias relatively robust position
in the external sector reflects a positive outlook for economic growth and increasing
employment rates. Among both developed and developing nations listed, India secured the
fifth position in terms of foreign direct investment inflows for the initial quarter of
2022.
The economic narrative of India in the first half of the ongoing fiscal
year underscored the consistent backing provided by the government to its capital
expenditures. In FY 2022-23 (up to August 2022), capital expenditure saw an impressive
increase of 46.8% compared to the same period in the previous year. The shift from a
revenue expenditure to capital outlay ratio of 6.4 in the prior year to 4.5 in the current
year indicates a clear shift towards higher-quality spending. Enhanced tax compliance,
improved corporate profitability, and a growing economic activity contributed to the
upward trajectory of capital expenditures.
Despite the prevailing global economic slowdown, Indias exports
demonstrated the second-highest growth rate in this quarter. As port congestion eased,
supply networks began to recover, leading to a noticeable impact. This impact is already
evident in the reduction of both CPI-C (Consumer Price Index for Industrial Workers) and
WPI (Wholesale Price Index) inflation figures from April 2022. By August 2022, CPI-C
inflation had declined from 7.8% in April to 7.0%, while WPI inflation dropped from 15.4%
in April to 12.4%. With proactive administrative measures by the government, adaptable
monetary policies, and a softening of global commodity prices and supply-chain challenges,
the overall inflationary pressures in India appear to be diminishing.
GLOBAL AND INDIAN INDUSTRY OVERVIEW AND OUTLOOK
The global textile industry, valued at around USD 920 billion, is
forecasted to experience a Compound Annual Growth Rate (CAGR) of approximately 4.4%
throughout the projected period. This trajectory is anticipated to propel the industrys
worth to nearly USD 1,230 billion by 2024, according to recent research.
Spanning from the invention of the cotton gin in the 18th century, the
textile industry has undergone significant transformation. This overview delves into
current worldwide textile trends while delving into industry expansion. Textiles encompass
products crafted from fibers, filaments, yarns, or threads, and can serve either technical
or conventional purposes based on their intended usage. Technical textiles are engineered
for specific functions, such as oil filters or diapers, while conventional textiles
prioritize aesthetics, though they can also be utilitarian, such as jackets and shoes.
The textile industry constitutes a vast global market with direct or
indirect ramifications on every nation. For instance, cotton sellers elevated prices in
the late 2000s due to crop challenges, leading to rapid sales that depleted available
cotton supplies. The
resultant scarcity and price hike permeated consumer product prices
containing cotton, resulting in reduced sales. This showcases how each participant within
the industry can influence others, a dynamic reflected in trends and growth patterns.
From a global perspective, the textile industry remains a constantly
expanding arena, featuring major competitors including China, the European Union, the
United States, and India.
Since June 2022, the global textile sector has faced decreased demand
due to ongoing global inflation and potential recession concerns, causing higher costs for
both consumers and manufacturers across supply chains. Despite this industry slowdown, the
Indian textile and apparel sector is predicted to maintain a 10% Compound Annual Growth
Rate (CAGR) from 2019-20, aiming for a US$ 190 billion valuation by 2025-26. The wider
Indian textiles market is expected to exceed US$ 209 billion by 2029.
In the fiscal year 2022-23, readymade garments (RMG) cotton exports,
along with associated accessories, reached US$ 7.68 billion by January 2023. Predictions
foresee this figure surpassing US$ 30 billion by 2027, contributing to an estimated
4.6-4.9% share in the global market. This expansion is credited to Indias resilient
economy, driven by domestic demand and strategic governmental policies.
In the Union Budget 2023-24, the government unveiled several
initiatives to bolster the Textile and Apparel sector across its entire value chain,
spanning from raw materials to manufacturing. A significant focus lies on Extra-Long
Staple (ELS) cotton, approached through cluster-based and value chain strategies under
public-private partnerships (PPP). This emphasis on elevating ELS cotton yield aims to
enhance value-added garment production and reduce ELS cotton imports.
Additionally, five new HS codes have been identified for cotton,
allowing further categorization based on staple length. This classification will
facilitate tailored policy support for segments requiring incentives or dealing with
import dependence.
Enhanced allocation of funds to textile-centric schemes such as RoDTEP,
RoSCTL, and the Amended Technology Upgradation Fund Scheme (ATUFS) underscores the
governments dedication to textiles. Schemes like the Scheme for Integrated Textile Parks
(SITP) and Mega Integrated Textile Region and Apparel (MITRA) Park scheme aim to attract
private investment. The PM Mitra Park Scheme, with a budget exceeding ?70,000 crore,
envisages mega textile parks, transforming India into a global hub for man- made fibers
(MMF) and technical textiles.
The governments endorsement of 100% Foreign Direct Investment (FDI) in
the sector through the automatic route, coupled with export promotion policies, sets the
stage for growth. The government aims for a 3-5 times increase in the export of technical
textiles worth $10 billion in the next three years.
The Production-linked Incentive (PLI) Scheme worth ?10,683 crore ($1.44
billion) over five years for man-made fiber and technical textiles, along with heightened
government capex spending on transportation and logistics, is projected to have a positive
influence on various industries, including textiles. With these policy interventions and
increasing domestic demand, the textiles and apparel sector seems well-positioned for
substantial growth.
SEGMENT WISE OR PRODUCT WISE PERFORMANCE:
The textile industry holds a prominent position within the Indian
economy, serving as a significant source of foreign exchange earnings and contributing
substantially to the countrys economic landscape. This sector constitutes 4 percent of
the gross domestic product (GDP), 20 percent of industrial output, and just over 30
percent of export revenues. Remarkably, it employs around 38 million individuals,
establishing itself as the largest provider of industrial employment in India.
Distinguished by its self-sufficiency, the textile industry covers the
entire spectrum from raw material production to the supply of finished goods, with
substantial value added at each processing phase. This characteristic significantly
bolsters the nations economy. Our company anticipates a promising future within the
trading sector in India.
Prospects for the Indian textile industry are bright, driven by robust
domestic consumption and burgeoning export demand. The remarkable economic growth has
translated into increased disposable income, fueling demand for products and creating a
substantial domestic market.
PERFORMANCE DURING THE YEAR:
During the year under review, Company has earned total income of
Rs. 39723.10 Lakh as against the total income of Rs. 42066.30 Lakh of previous year. The
total income of the company was down by 5.57% over previous year. Further, Profit before
Tax in the
financial year 2022-2023 stood at Rs. 94.00 Lakh as compared to Rs
1262.25 Lakh of last year and Net Profit after Tax stood at Rs.
38.14 Lakh compared to profit of Rs. 931.58 Lakhs for previous year.
STRENGHTS
Automated Processes: To accommodate its unexpected growth, the
textile industry embraced the development of novel, effective, and efficient processes
that could be scaled. This led to the introduction of innovative software and machinery
that have significantly impacted the industrys expansion, streamlining operations and
fostering growth.
Strong Industry Network: The interconnectedness and open communication
among stakeholders in the textile industry have played a pivotal role in maintaining a
robust industry network. In recent years, companies have supported one another, leveraging
their relationships to navigate challenges such as the pandemic and collectively steer the
industry back to growth.
Favorable Tax Rates: In many developing countries where the textile
industry forms a substantial portion of the export economy, there is a trend of offering
lower corporate tax rates to both domestic and foreign companies. Notably, leading garment
exporters like Germany and Bangladesh have corporate textile tax rates hovering around 12
to 15%. This incentivizes growth and investment within the industry.
Balancing these positive aspects, its important to acknowledge the
barriers to diversification and the uneven nature of the supply market that the industry
faces:
Diversification Challenges: The textile industry grapples with the
challenge of implementing sudden changes to established systems, whether related to
machinery or management. The reluctance or difficulty in changing established processes
can result in significant time and cost implications, making adaptability a crucial but
complex endeavor.
Uneven Supply Market: The industrys supply market is characterized by
a concentration of specific buyers, primarily situated in particular regions or
continents. This lopsided distribution is evident in the EU and USA, which are the largest
importers, accounting for a substantial share of the industrys total import value,
amounting to $119 billion in 2022. This imbalance can lead to challenges in maintaining a
steady and balanced supply chain.
Overall, the textile industry has embraced automation, leveraged strong
networks, and benefited from favorable tax structures. These strengths have contributed to
the industrys growth. However, it also faces barriers related to inflexibility in
diversification and the challenges posed by an uneven supply market. Addressing these
challenges requires a holistic approach that balances strengths and tackles weaknesses.
WEEKNESS
Diversification Challenges: The textile industry grapples with a
notable weakness - the difficulty of implementing sudden changes once systems or machinery
are already in place. This inertia towards change can lead to prolonged timelines and
increased costs if modifications are required. This lack of agility can hinder the
industrys ability to adapt swiftly to emerging trends or shifts in consumer preferences.
Uneven Supply Market: The textile market exhibits an uneven
distribution of buyers, with a significant concentration of specific companies
predominantly located in certain regions or continents. Notably, the EU and USA emerge as
the two major importers within the industry. The total import value of $119 billion in
2022 underscores the unequal distribution of market demand, posing challenges for
suppliers to maintain a balanced supply across diverse regions.
Escalating Material Costs: Amidst various price fluctuations, the
textile industry contends with continuous increases in the costs of primary materials.
Notably, some sectors experienced staggering price increases of up to sixty percent in
2022 alone. With rising oil prices anticipated to exert further pressure, the industrys
reliance on these materials implies a potential for elevated product costs.
Inaccurate Forecasting: The textile industry faces a recurring
challenge in effectively forecasting demand and supply dynamics. Variability stemming from
market demand, external factors like pandemics or weather events, and other uncertainties
make accurate forecasting a daunting task. This inaccuracy hampers the industrys ability
to align production with actual market requirements.
In conclusion, the textile industry grapples with barriers such as a
resistance to sudden changes, an uneven distribution of buyers, rising material costs, and
challenges in accurate demand-supply forecasting. Overcoming these obstacles necessitates
a combination of strategic planning, adaptability, and a proactive approach to addressing
supply chain and market fluctuations.
OPPORTUNITIES
Enhancing Employee Efficiency: It is widely recognized that the
workforce in the Ready-Made Garments (RMG) sector largely comprises unskilled labor,
leading to challenges in overall effectiveness and efficiency. To address this,
collaboration between industry leaders and governments can pave the way for improved
training programs. These initiatives will yield dividends in the form of enhanced work
effectiveness and efficiency, as workers become more skilled and knowledgeable in their
tasks.
Promoting Transparent Costing: The growing textile industry faces
complexities related to supply-demand dynamics, often exacerbated by issues such as
ambiguous costing structures. Introducing concepts like "open costing facility"
can establish a more transparent and collaborative relationship between stakeholders,
spanning suppliers and buyers. This approach minimizes miscommunication and fosters
greater efficiency throughout the value chain.
Embracing Technological Advancements: The global shift towards
technology and innovation has also reached the textile industry. However, challenges
around compatibility and the time-consuming process of technology implementation have been
prevalent. These issues can be tackled through the integration of modern and advanced
technological solutions into the textile sector. Such innovations can streamline
processes, making them more efficient and adaptable to changing demands.
Incorporating these strategies—boosting employee skills, promoting
transparency in costing, and embracing technology—can significantly enhance the
efficiency and effectiveness of the textile industry. By investing in human capital,
facilitating clear communication, and leveraging technological advancements, the industry
can position itself for sustainable growth and competitiveness in an evolving global
landscape.
THREAT
Rising Production Costs: The year 2022 witnessed a pervasive
increase in costs across all sectors, with the textile industry bearing a substantial
brunt of this escalation. Raw material prices, a critical component of textile
manufacturing, surged by as much as 40% in certain cases within India and other primary
textile exporting nations. Consequently, this surge in raw material costs led to a broader
uptick in overall textile prices, affecting the industrys economics.
Higher Delivery Expenses: Over the past few years, there has been a
continuous surge in oil and fuel prices, with a sharp spike following the Russia-Ukraine
conflict. This surge has reverberated through the entire delivery process, causing notable
increases in freight costs and various other expenses tied to transportation. This
inflation of delivery-related costs has had a pronounced impact on both buyers and
sellers, ultimately driving up the final product prices.
Weather-Related Challenges: Weather remains a significant factor in the
textile industry, impacting not only the manufacturing processes but also the journey of
products to end buyers. Adverse weather conditions can compromise product quality, leading
to potential delays in shipments due to factors like inclement weather. These
weather-induced disruptions can create challenges for the industrys operations and supply
chains.
Recession Effects: Reflecting on the 2008 recession, it is evident that
such economic downturns can have far-reaching consequences for the global textile
landscape. The industry experienced decreased production, reduced consumption, layoffs,
and even business closures. Considering the possibility of a 2023 recession, the textile
industry could once again face challenges, including diminished sales, disruptions in
supply chains, and broader economic instability.
Collectively, these factors - rising production costs, higher delivery
expenses, weather-related issues, and the potential for recession - underscore the
intricacies and challenges that the textile industry must navigate in its pursuit of
sustained growth and stability. Effective strategies for cost management, resilience
planning, and adaptability will be key for the industry to weather these challenges and
emerge stronger.
RISKS AND CONCERNS
The Company has successfully devised and put into operation an
all-encompassing system for risk management. This system is specifically designed to not
only recognize and handle the risks linked with its operational undertakings but also to
play a pivotal role in the decision-making procedures that steer the Company towards
accomplishing its objectives. By curbing potential losses,
refining the management of uncertainties, and optimizing opportunities,
this framework aims to facilitate the Companys goal attainment. Its core purpose is to
foresee, assess, and alleviate risks that possess the potential to significantly affect
the Companys business objectives.
INTERNAL FINANCIAL CONTROL SYSTEMS AND THEIR ADEQUACY:
The Company has an adequate internal control system commensurate
with its size and the nature of its business in order to achieve efficiency in operation
and optimum utilization of resources. These controls ensure safeguarding of assets,
reduction and detection of fraud and error, adequacy and completeness of the accounting
records and timely preparation of reliable financial information. Internal audits are
conducted in the Company on regular basis.
DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL
PERFORMANCE
| PARTICULARS |
2021-2022 |
2020-2021 |
| Revenue from Operations |
39691.27 |
42056.83 |
| Other Income |
31.83 |
9.47 |
| Total Income |
39723.10 |
42066.30 |
| Profit/(Loss) before Finance Cost, Depreciation
& Tax |
2001.16 |
3197.14 |
| Less: Depreciation /Amortization/Impairment |
762.95 |
742.36 |
| Less: Finance Costs |
1143.81 |
1192.53 |
| Profit/(Loss) Exceptional items and Tax Expense |
94.40 |
1262.25 |
| Profit/(Loss) before Tax |
94.40 |
1262.25 |
| Provision for Taxation - Current Tax |
25.00 |
315.00 |
| Deferred Tax |
0.77 |
0.77 |
| Excess provision for Tax expense for earlier
years |
30.49 |
14.89 |
| Profit for the year |
38.14 |
931.58 |
| Total Comprehensive Income/Loss (2) |
37.98 |
946.72 |
The Board of Directors of the Company has, at its meeting held on
January 23, 2021 , approved a draft scheme of arrangement providing for amalgamation of
Gopi Synthetics Private Limited ("Transferor Company No. 1"), Aarnav Synthetics
Private Limited ("Transferor Company No. 2"), Aarnav Textile Mills Private
Limited ("Transferor Company No . 3"), Symbolic Finance and Investment Private
Limited ("Transferor Company No. 4") and Ankush Motor and General Finance
Company Private Limited ("Transferor Company No . 5") (collectively referred as
"Transferor Companies") with the Company, i.e., Aarnav Fashions Limited ("
AFL" I "Transferee Company") (hereinafter referred to as
"Scheme") in accordance with Sections 230 to 232 and other applicable provisions
of the Companies Act, 2013 and other applicable statutory provisions. The Honble NCLT,
Ahmedabad Bench has approved the aforesaid Scheme vide its order dated 10 August, 2022
pronouncing 01 October, 2020 as the "Appointed Date". The certified true copy of
the said order was received on 05 September, 2022 and the order was filed with the
Registrar of Companies on 17.09.2022.
Accordingly, the Company has restated financial results for year ended
31 March, 2022 has accounted for the amalgamation scheme using the acquisition method
retrospectively for all the periods presented as prescribed in Ind AS 103- "Business
Combination".
During the year under review, Company has earned total income of Rs.
39723.10 Lakh as against the total income of Rs. 42066.30 Lakh of previous year. The total
income of the company was down by 5.57% over previous year. Further, Profit before Tax in
the financial year 2022-2023 stood at Rs. 94.00 Lakh as compared to Rs 1262.25 Lakh of
last year and Net Profit after Tax stood at Rs.
38.14 Lakh compared to profit of Rs. 931.58 Lakhs for previous year.
MATERIAL DEVELOPMENTS IN HUMAN RESOURCE / INDUSTRIAL RELATIONS
FRONT, INCLUDING NUMBER OF PEOPLE EMPLOYED
The Company holds the view that Culture and Employee Experience
stand as the sole distinguishing factors in the present landscape of intense competition.
The Company is actively striving to establish a workspace that fosters a sense of value,
support, and empowerment for all individuals to unleash their utmost potential. A primary
concentration lies in nurturing internal talent, and a significant number of our business
leaders have risen from within the organization, contributing
significantly to our achievements. Notably, a considerable effort is
directed toward promoting diversity and inclusion, exemplified by our heightened focus on
recruiting women.
DETAILS OF SIGNIFICANT CHANGES IN KEY FINANCIAL RATIOS ALONGWITH
EXPLANATION
In compliance with the requirement of the Listing Regulations, the
key financial ratios of the Company along with explanation for significant changes (i.e.,
for change of 25% or more as compared to the immediately previous financial year will be
termed as ‘significant changes), has been provided hereunder:
DISCLOSURES RELATING TO VARIOUS RATIOS
| SR. NO |
RATIO |
31ST MARCH, 2023 |
31ST MARCH, 2022 |
% VARIANCE |
REASON FOR VARIANCE |
| 1 |
Current ratio |
1.467 |
1.507 |
-2.77% |
Not a Material Variation |
| 2 |
Debt-Equity ratio |
1.274 |
1.659 |
-23.17% |
Due to Reduction of
Current/Non-current
Liability |
| 3 |
Debt- service coverage
ratio |
1.018 |
1.592 |
-36.07% |
Due to Decrease in EBDIT |
| 4 |
Return on equity ratio |
0.221 |
5.386 |
-95.90% |
Due to Decrease in Profit |
| 5 |
Inventory turnover ratio |
2.331 |
2.924 |
-20.26% |
Due to Decrease in Sales |
| 6 |
Trade receivable turnover
ratio |
2.688 |
2.347 |
14.54% |
Due to Reduction of Average
Receivables |
| 7 |
Trade payables turnover
ratio |
3.316 |
3.648 |
-9.11% |
Due to Reduction of Average
Payables |
| 8 |
Net capital turnover ratio |
4.578 |
3.707 |
23.53% |
Due to Reduction in Net Working
Capital |
| 9 |
Net profit ratio |
4.578 |
3.707 |
23.53% |
Due to Decrease in Profit |
10 |
Return on capital employed |
0.096 |
2.227 |
-2216.42% |
Due to Decrease in EBDIT |
| 11 |
Return on investment |
7.175 |
14.193 |
-49.45% |
Due to Nil income in Preceding
year |
| 12 |
Interest coverage ratio |
1.921 |
2.857 |
-32.76% |
Due to Decrease in EBDIT |
Details of any change in Return on Net Worth as compared to the
immediately previous financial year along with a detailed explanation thereof.:-
The Return on Net Worth (RoNW) has experienced a decline compared
to the immediately preceding financial year, primarily attributed to a substantial
decrease in Earnings Before Depreciation, Interest, and Taxes (EBDIT)
CAUTIONARY STATEMENT
This sections content encompasses the Companys objectives,
projections, expectations, and estimations, potentially qualifying as forward-looking
statements as defined by relevant securities laws and regulations. These forward-looking
statements hinge on specific assumptions and anticipations of forthcoming events. However,
the Company cannot assure the precision or realization of these assumptions and
expectations. Real-world outcomes may substantially differ from the expressions or
implications in the statements due to external factors beyond the Companys control. The
Company disclaims any obligation to publicly adjust, modify, or revise forward-looking
statements based on subsequent developments.
CODE OF CONDUCT DECLARATION
I hereby declare that all Board members of the Company and senior
management personnel have affirmed compliance with the Code of Conduct of the Company as
per Regulation 26(3) of SEBI (LODR) Regulations, 2015.
PLACE: AHMEDABAD AND ON BEHALF OF THE BOARD OF DIRECTORS OF DATE:
05.09.2023 AARNAV FASHIONS LIMITED
MR. CHAMPALAL GOPIRAM AGARWAL
CHAIRMAN & DIRECTOR
DIN: 01716421
+91-9892691696
