Rap Media Ltd Management Discussions.


Overall Review of the Business of the Company:

Financial Performance of the Company:

During the year the Company has achieved a total turnover of Rs.2,12,53,890/- as compared to Rs.4,71,39,674/-.

The Company has incurred loss of Rs.14,915/- during the financial year.

Your Director strives to achieve better performance in the future taking maximum efforts to control the costs and optimize the results in the coming years.

Details of previous financial years turnover:

As the shareholders are bound to compare the figures of total turnover of last financial year with that of current years, the management is of the view to clarify the details of previous financial years turnover.

The financial results of the Company for quarter ended 31st December, 2017, reflects the total revenue of Rs.4 Crores, which has been apportioned out of the final settlement of ongoing dispute with Carnival Cinema Private Limited.

In the recent past, the Company tried to sell off its Mall at Agra and against which it has received an advance of Rs.11 Cr. from the potential buyer. The potential buyer happened to be the Carnival Cinema Private Limited, who had also taken on the lease the mall at Meerut. The Carnival was having outstanding of around 5 Cr. against the Rent for using the property at Meerut. The same never received and the Company has appropriated the same against the advance received from them against the proposed purchase of property at Agra.

This matter went into dispute and finally after having rounds of discussions and negotiations, the Company has finally paid off Rs.2.25 Cr. to Carnival Cinema against the final settlement of dispute. Accordingly out of Rs.11 Cr., Rs.5 Cr. were apportioned against the Rents dues from Carnival Cinema for the use of Meerut mall and Rs.1.75 Cr. were paid and remaining amount has been apportioned as revenue of the Company. The final profit of Rs.3.75 Cr. in the financial results is merely an accounting treatment of the income and money already received in the past. The Company has not earned any income as such from its operations.

The profit arising is merely out of the accounting treatment of the whole settlement and hence there is no actual realization of any money or profit as such.

Future Outlook:

You will also appreciate the fact that the Management has no control over the market forces and all are aware of the challenging times faced by Real Estate players. Even the major players like DLF, DB Realty, Unitech etc. are highly stressed. The only silver lining in our case is that the Company is having "Zero Debt" and has been able to weather all the storms.

The Management and Board of Directors are striving and committed to bring the Company to the right track and bring back the prosperity which the Shareholders have once seen and have relied upon.

Your Director strives to achieve better performance in the future taking maximum efforts to control the costs and optimize the results in the coming years.


None of the employees of the Company had drawn remuneration in excess of the limits prescribed In terms of the provisions of Section 197(12) of the Act read with Rules 5(2) and 5(3) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 or any other law as may be applicable.

The relation between employees and management are cordial during the year.