INDUSTRY OVERVIEW
The Jewellery Market worldwide has grown steadily over the last few
years while it slowed down during the global economic recession but is likely to grow at a
faster rate compared to the growth rate of past three years. The value of worlds
jewellery market is expected to grow at a faster rate compared to the growth rate of past
three years. The value of worlds jewellery market is expected to grow at the CAGR of
over 5% over the next five years. The Global market for jewellery is expected to surpass
USD 257 Billion revenues by 2024. The market is predominantly driven by the Asia Pacific
and the Middle Eastern markets, but U.S. continues to remain the dominant player in the
Industry.
U.S currently accounts for the largest jewellery market in the world
with more than half of its market being dominated by the diamond jewellery segment.
Regionally, Asia Pacific holds the worlds largest jewellery market and is being
driven largely by China and India which are two largest consumers of gold in the world and
also hold majority of the processing and manufacturing Industry for jewellery. The global
market is now witnessing an improvement in the jewellery sales overall and with the rising
disposable incomes and changing lifestyles; the global market is set to experience a
strong growth over the coming years. However, the market is still challenged by the large
unorganized markets, particularly in the developing economies.
Overview of the Gems and Jewellery Industry in India
The two primary segments of the sector in India are gold jewellery and
diamonds. India is the worlds largest consumer of gold, accounting for over 20
percent of the global gold consumption. The Country is also the worlds largest
cutting and polishing center for diamonds, with the cutting and polishing Industry being
well supported by government policies. India exports 95 per cent of worlds diamonds.
OVERVIEW OF THE INDIAN TEXTILE AND APPAREL INDUSTRY
Indian textiles and apparels have a history of fine craftsmanship and
global appeal. Cotton, Silk, and denim from India are highly popular abroad and with the
upsurge in Indian design talent, Indian apparel too has found success in the fashion
centers of the world.
The Indian Textile and apparel Industry is one of the largest in the
world with an enormous raw material and manufacturing base. The present domestic textile
industry is estimated at US$ 33.23 billion and unstitched garments comprise US$ 8.307
billion. The Industry is a significant contributor to the economy, both in terms of its
domestic share and exports. It accounts for a phenomenal 14 percent of total Industrial
production, contributes to nearly 30 percent of the total exports and employs around 45
million people.
Road Ahead
The Indian textiles and apparels industry is set for strong growth,
buoyed by both strong domestic consumption as well as export demand. The industry is
expected to reach US$ 200 billion by fiscal 2024, at a CAGR of 10.25% in the next 7 years.
For the textiles industry, the proposed hike in FDI limit in multi-brand retail will bring
in more players, thereby providing more options to consumers. It will also bring in
greater investments along the entire value chain- from agricultural production to final
manufactured goods.
BUSINESS OVERVIEW
Your Company is a BSE listed incorporated in Delhi as "Mishka Exim
Limited" as on 25th August, 2014 as a public limited Company under the
provisions of Companies Act 2013. It is registered at ROC National Capital Territory of
Delhi & Haryana.
The Company is engaged in the Business of trading and distribution of
jewellery, ornaments and textile products
The Company is a multi-product trading Company with a diverse product
portfolio. The Company deals in lifestyle products such as jewellery, Ornaments and
fabrics. We supply products, which are made with most advanced technology and graded raw
materials.
The Company is an entrepreneur driven and well managed organization
focused on meeting our consumer requirements for meeting their fashion and lifestyle
requirements by offering products and services with the finest quality. We also aim at
achieving greater and long term growth.
The Company sells gold and diamond jewellery on a wholesale basis to
other jewellery retailers in India. Our product profile includes traditional, contemporary
and combination designs across jewellery lines, usage and price points its range includes
fabrics for silk, polyester, sarees, lace fabrics, net fabrics, coarse cotton fabric,
suiting, shirting, linen, jute, and other fabrics.
The Company primarily caters to retailers in Delhi & NCR Regions,
wherein it supply mid range of unstitched fabrics.
THREATS
The Biggest Challenge before the Company is that it is facing stiff
competition both in jewellery business and fabric business segments. In the Jewellery
segment, there are a number of well established players in the market. The Company faces
competition from both the organized and unorganized sector in jewellery e-retail as well
as from already established
branded e-retailers. In fabric segment Company face the competition
from other existing traders and manufacturers of fabrics. Many of Our Competitor has
substantially large capital base and resource and offer broader range products.
ROAD AHEAD
Company has been formed with the basic objective of dealing in Gems,
Jewellery of all kind in India & abroad. The company intends to establish showrooms
& outlets in India. It intends to import & purchase high grade of fabric from
India & Abroad and to supply it to high net- worth clients, individuals and showrooms.
The company has big expansion plans in the near future.
SEGMENT WISE PERFORMANCE OF THE COMPANY
The Company has identified business segments as its primary segment and
there are no geographical segments of the Company. Business segments are primarily divided
into three segments. First segment consists of Income from sale of fabric, second segment
consists of income from sale of ornaments and third segment consists of income from sale
of shares. Revenue and expenses directly attributable to segments are reported under each
reportable segment. Expenses which are not directly identifiable to each reporting segment
have been allocated on the basis of associated revenues of the segment and manpower
efforts. All other expenses which are attributable on allocable to segments have been
disclosed as un allocable expenses. Assets and liabilities that are directly attributable
or allocable to segments have been disclosed under each reportable segment.
| 1 Segment Revenue |
As on 31/03/2023 |
As on 31/03/2022 |
| a) Fabric |
218.25 |
44.10 |
| b) Jewellery |
94,905.73 |
1,76,498.78 |
| c) Share Trading |
20,757.07 |
1,546.02 |
| Total |
1,15,881.05 |
1,78,088.90 |
| Less: Inter Segment Revenue |
- |
- |
| Net Income from operations |
1,15,881.05 |
1,78,088.90 |
| Less: Segment Expenses |
|
|
| a) Fabric |
193.53 |
42.72 |
| b) Jewellery |
96,782.32 |
1,75,582.41 |
| c) Share Trading |
20,928.53 |
2,803.09 |
| 2 Segment Results |
|
|
| a) Fabric |
24.72 |
1.38 |
| b) Jewellery |
(1,876.59) |
916.37 |
| c) Share Trading |
(171.46) |
(1,257.06) |
| Total |
(2,023.32) |
(339.31) |
| Less: Un-allocable |
|
|
| Expenditure |
5,040.95 |
5,199.28 |
| Add: Unallocable Income |
1,868.68 |
1,349.83 |
| Total Profit before Tax |
(4,141.09) |
(4,188.76) |
| Less: Tax for the year |
(1,117.64) |
(4,521.89) |
| Total Profit After Tax |
(4,077.95) |
333.14 |
| 3 Segment Assets |
|
|
| a) Fabric |
- |
92.97 |
| b) Jewellery |
38,952.21 |
42,491.41 |
| c) Share Trading |
1359.85 |
3,648.73 |
| d) Unallocated |
1,41,918.50 |
1,40,898.26 |
| Total Assets(A) |
1,82,230.59 |
1,87,131.38 |
| Segment Liabilities |
|
|
| a) Fabric |
- |
- |
| b) Jewellery |
- |
- |
| c) Share Trading |
- |
- |
| d) Unallocated |
8,134.01 |
8,013.89 |
| Total Liabilities(B) |
8,134.01 |
8,013.89 |
| Capital Employed |
|
|
| (Segment Assets-Segment Liabilities) |
|
|
| a) Fabric |
- |
92.97 |
| b) Jewellery |
38,952.21 |
42,491.41 |
| c) Share Trading |
1,359.85 |
3,648.73 |
| d) Unallocated |
1,33,784.50 |
1,32,884.37 |
| Total |
1,74,096.55 |
1,79,117.49 |
During the year Company recorded the Income from sale of fabric
amounting to Rs. 218.25 thousands as compared to Rs. 44.00 thousands in 2021-2022 and
segment expense also showed Rs. 193.53 thousand at the end of the reporting period i.e.
2022-23 thereby Profit/Loss recorded Rs.24.72 thousands during the year in fabric segment.
Companys revenue from sale of jewellery during the year were Rs. 94905.73 thousands
as against Rs. 176498.78 thousands in the previous year which showed Decrease of 46.23%
whereas segment expenditure decreased by 44.88% from previous year.
During the year the company recorded the Income from share trading of
Rs.(171.46) thousands as compared to Rs.(1257.06) in the previous year
HUMAN RESOURCES
The Company always considers its human resources as valuable asset and
is committed towards their development for continuous growth. Focus on training to enhance
the skill-sets of employees in line with the business and market requirements continued
throughout the year. The employee relations have continued to be harmonious throughout the
year.
SUBSIDIARY/ ASSOCIATE COMPANY
During the year the Company has the following Subsidiary and Associate
Companies.
| S. No. Name of The Company |
| 1. Mishka Capital Advisors Limited- (Subsidiary Company) |
| 2. Cross River Securities Limited- (Associate Company) |
RISK MANAGEMENT
Risk is defined as the ‘effect of uncertainties on
objectives which can have a material impact on performance and future prospects of
the Company.
Thus, as a measure of risk management, it is the responsibility of the
Company to identify, evaluate and counter the risks, by understanding the core of the
Business and the market conditions affecting the business. In other words the risk should
be minimized and the returns should be maximized.
At Mishka Exim Limited we have a well defined, integrated risk
management policy that includes a clear understanding of risk, evaluating its impact on
the Business and taking appropriate actions to counter them. The centralized system for
devising the risk management approach rests with the senior management.
INTERNAL CONTROL SYSTEMS
To assess the potentiality of its control system, Mishka Exim Limited
has implemented robust audit and control mechanisms. To ensure that all assets are
safeguarded; transactions are authorized, recorded and reported properly and all
applicable statutes and corporate policies are duly complied with, the Companys
audit processes are made aware of the nature of its operations. The Companys
internal auditor is responsible for evaluating the adequacy and efficacy of internal
controls.
CAUTIONARY STATEMENT
This report contains certain ‘forward looking statements
within the meaning of applicable laws and regulations. Actual results may vary
significantly from the statement contained in this document due to various risks and
uncertainties.
|
By Order of the Board of Directors |
|
Sd/- |
|
Rajneesh Gupta |
|
(Managing Director) |
| Delhi, September 04, 2023 |
DIN: 00132141 |
|
41, Shanti Vihar, |
| Registered Office: |
Delhi- 110092 |
| F-14, First Floor, Cross River Mall, |
|
| CBD Ground, Shahdara,Delhi- 110032 |
|
+91-9892691696
