Indian Economy
Indias growth continues to be resilient despite some signs of moderation in growth,
says the World Bank. A conducive domestic policy environment and the Governments
sustained focus on structural reforms have kept Indias economic activity robust despite
global headwinds. Emerging as a beacon of resilience in the global economy, despite a drop
in growth rate projections, India continues to be the worlds fastest-growing economy in
the world, as reported by the World Economic Outlook report by the International Monetary
Fund (IMF). India is expected to maintain its position as one of the fastest growing G-20
nations in the foreseeable forthcoming years. Stabilizing inflation trajectory, rising
disposable income and the Governments growing investment in capital expenditure will
augur well for Indias sustainable development and long-term growth. Indias efforts in
leveraging digitalization to overcome the challenges posed by the pandemic, has not only
helped the country weather the storm but also created new opportunities for growth and
employment. Overall, demand circumstances in India remain favorable for economic growth.
India enters the new fiscal year with optimism bolstered by underlying and overall
macroeconomic stability
Overall Review:
The COVID-19 pandemic permanently changed global health care, from accelerating the
adoption of new technology and care delivery models to increasing the focus on
sustainability and resiliency. At the same time, it accentuated existing workforce
challenges and the global disparities of health equity. The sector now faces critical
questions that will shape its future in 2023 and beyond. In the coming year, health care
providers, other sector participants, governments, and regulators must ask themselves how
they can:
3 Translate lessons about virtual health delivery during the pandemic into improved
access and treatment.
3 Leverage technology to reduce costs and demands on health workers while improving
care for patients.
3 Reduce their carbon footprint and thereby help to mitigate some of the
environmental threats to public health.
3 Ease the burdens on an increasingly stressed workforce by reshaping the scope of
job requirements, allowing more remote work, and providing better support such as mental
health services.
3 Better prepare facilities, supply chains, and partnerships for future pandemics,
public health events, or natural disasters.
COVID-19 has not disappeared from the global stage, but public health professionals are
increasingly optimistic that the pandemic is becoming endemic, meaning that while the
virus is still present, it is becoming more manageable and predictable - more like the
seasonal flu. While several hundred thousand new infections - and hundreds of deaths -
were being reported daily worldwide at the end of 2022, new vaccines have reduced the
number of deaths dramatically.
During 2022, no new strains were declared a "variant of concern" by the World
Health Organization. Health care stakeholders should remain alert, nimble, flexible, and
prepared for spikes and valleys in COVID-19 cases as well as other communicable diseases.
At the same time, COVID taught health professionals how to adapt to remote working,
virtual doctor visits and shortages of medical supplies, personnel, and services. Indeed,
the lasting impact of COVID-19 may be one of opportunity in which the health sector has a
chance to reinvent itself and capitalize on trends that were emerging even before the
pandemic, such as shifting consumer preferences, changes in patient behaviors, and rapidly
evolving technology.
The sector also should continue to explore clinical innovation and new care delivery
models - some of which, like telemedicine, were successfully used on a widespread basis
during the pandemic. If the health sector takes advantage of these opportunities, it could
transform care delivery, the patient experience, and ways of working at hospitals and
other facilities, while also reducing inequities and boosting resiliency.
Government Initiatives
The Government of India has placed significant emphasis on driving Oral Health in the
nation. In order to deliver comprehensive and integrated oral healthcare services, the
Indian government has established the National Oral Health Programme (NOHP). This aims to
enhance oral health determinants, decrease morbidity associated with oral diseases,
integrate oral health promotion and preventive services into the overall healthcare
system, and foster public private partnerships (PPP) to achieve improved oral health
outcomes. To accomplish these goals, the Indian government has provided assistance to
state governments in delivering dental care alongside other existing health programs at
different levels of the primary healthcare system.
Industry Outlook
Outlook provides insights to investors on the state of industry subsectors. It
incorporates the latest data about 2022 deal making as well as findings from a nationwide
survey of company leaders who reflected on the past years activity and described their
plans for 2023.
After strong years propelled by rapid innovation and strong demand during the height of
the COVID-19 pandemic, most companies faced business and economic headwinds during 2022,
and deal making in several subsectors dropped back toward pre-pandemic levels. Another
winter surge of COVID-19 cases at the beginning of the year continued to strain the
resources of hospitals and physician practices, which faced employee shortages, supply
chain delays, and rapidly rising costs, while life sciences companies faced their own
daunting uncertainties. Chief among those was passage of the Inflation Reduction Act
(IRA), which opens the door for price negotiation for best-selling drugs. The invasion of
Ukraine, surging inflation, and rapid interest rate hikes that led to steep increases in
borrowing costs added further complications.
Yet these are changed industries, with advances achieved at remarkable speed during the
pandemic now shaping the way forward in many areas. From telehealth and decentralized
diagnostic testing to cell and gene therapies and digital therapeutics, rapid innovation
continues, leading to strategic repositioning by companies in many subsectors. Despite the
extraordinary challenges of 2022, deal making continued, often in the form of smaller
acquisitions, partnerships, and licensing agreements. Looking ahead to 2023, respondents
to our investor survey expect more deals this year than in 2022. We also believe that a
projected decline in industry valuations could be a catalyst for strategic and financial
investments.
Segment-wise/Product-wise Performance:
The Company is engaged mainly in trading activities of medical supplies and as such
there are no other reportable segments as defined by Indian Accounting Standard 108 on
"Operating Segments" issued by the Institute of Chartered Accountants of India.
Outlook:
In the future of health, we expect six key areas - data sharing, interoperability,
equitable access, empowered consumers, behavior change, and scientific
breakthrough—to collectively transform health system from treatment-based
reactionary care to prevention and well-being. Indias public expenditure on healthcare
touched 2.1% of GDP in FY 2023 and 2.2 % in FY 22, against 1.6% in FY 2021, as per the
Economic Survey 2022-23.
In the Union Budget 2023-24, the government allocated Rs. 89,155 crore (US$10.76
billion) to the Ministry of Health and Family Welfare.
Risks, Concerns and Threats:
There are risks and challenges involved in this industry and one has to overcome them
by considering the following:
Regulatory Complications
• High Healthcare Costs
• Slow, Expensive R&D.
• Cyber security
• Supply Chain Disruptions.
• Medical Device Manufacturing Must Evolve
Internal Control System:
The internal control systems have been designed to effectively and efficiently handle
the dynamic and complex nature of business operations of the Company. The internal control
systems and environment are commensurate to the scale and volumes of the business with
adequate segregation of roles and responsibilities. The executives of the Company keep
themselves abreast with the detailed documentation of its policies and SOPs, which are
regularly reviewed and updated by the management. The statutory auditors of the Company
critically review the internal control environment to arrive at their opinion about the
financial performance of the Company.
The Company also has a strong internal audit framework as approved by the Audit
Committee which ensures detailed coverage of the processes and systems needed to safeguard
its assets, prevention and detection of errors and frauds, ensure accuracy and
completeness of accounting transactions thus enabling timely preparation of reliable
financial information. The various committees of the board, including the Audit Committee,
periodically review the observations and recommendations of the internal auditors to
further improve the systems and processes.
Financial Performance w.r.t. Operational Performance:
During the year, the Company has earned Total Revenue of Rs. 156.69 lakhs in comparison
to Rs. 241.78 lakhs during the previous year. The total expenses has been reduced from Rs.
202.97 lakhs to Rs. 133.81 lakhs due to which Net Profit after tax is Rs. 17.07 lakhs in
comparison with Rs. 29.02 lakhs during the previous year. The transformational journey has
embarked upon and the Company remains confident of a sound growth trajectory in FY2023 and
thereafter.
Safety, Health and Environment:
Your Company as a matter of policy gives greater importance to safety, health and
environment and also ensures compliance with applicable legislative requirements.
Human Resources:
The Company has embarked on its journey of "Happiness at the workplace" which
has helped to look at employee engagement in a more holistic way.
Key Financial Ratios:
In accordance with the SEBI (Listing Obligations and disclosures Requirements)
Regulations 2018 (Amendment) Regulations, 2018, the Company is required to give details of
significant changes (change of 25% or more as compared to the immediately previous
financial year) in Key sector-specific financial ratios.
| Particulars |
F.Y. 2022-23 |
F.Y. 2021-22 |
| Debtors Turnover Ratio1 |
71.74 times |
39.59 times |
| Current Ratio3 |
1.57 times |
0.99 Times |
| Net Profit Margin (%) |
10.99% |
12.12% |
1Debtors Turnover gone up due to efficiency in collection of trade receivables by
the Company. 2Current Ratio gone up mainly due to Increase in current assets
and decrease in current liabilities.
Cautionary Statement:
The report contains forward looking statements describing expectations, estimates,
plans or words with similar meaning. Your Companys results may differ depending on
various factors. Your Company cannot guarantee that the assumptions and estimates in the
forward-looking statements are accurate or will be realized.
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