nirman cements ltd Management discussions


NIRMAN CEMENTS LIMITED ANNUAL REPORT 2010-2011 MANAGEMENT DISCUSSION AND ANALYSIS FINANCIAL HIGHLIGHT: The Financial and operational results of the company for the year under review as compared to the previous year are furnished here under:- Rs. In Lacs Rs. In Lacs For the year For the year Ended 31.03.11 Ended 31.03.10 Turnover 182.56 295.59 Other Income 83.69 11.52 Profit before interest, Dep. Tax 90.21 89.13 Less: Interest 18.53 31.07 Depreciation 38.86 37.39 Income Tax & FBT - - Profit for the year 32.81 20.68 Add: Balance b/f from previous year (-) 79.93 (-) 100.61 Balance Carried to Balance Sheet (-) 47.12 (-) 79.93 DIVIDEND Considering the overall performance of the company and the market outlook for the coming year, your directors express their inability to recommend any dividend. REVIEW OF PERFORMANCE The result of the current year has not been satisfactory due the factors / details given below:- 1. Over supply cement position and weak sentiment in cement market. 2. Increase in cost of clinker and electricity. 3. Cut throat competition by large scale company. PROSPECTUS The coming year may be emerging to be the bright as the central Government as well as state government is focusing on the development of the infrastructure that will in turn boost up the cement market.