rekvina labs ltd share price Management discussions

ANNEXURE- I

Overall Review

Indian Pharmaceutical industries is one of the fastgrowing sector of Indian economy clocking double digit growth constantly over the few years. India is preferred the cost effective manufacturing location for pharmaceuticals. Competitively low cost of Active Pharmaceuticals ingredients (APIs), robust manufacturing capability, existence of regulatory approved manufacturing facilities for APIs and formulations and availability of abundant skill manpower are the main driving factor for healthy growth of Indian Pharma industry.

a) Industry Structure and Development:

Rekvina Laboratories Limited is a company engages in manufacturing and marketing of Pharmaceutical product.

b) Opportunities and Threats:

1) Strength:

- Rekvina Laboratories Limited is Quality producer of Pharmaceutical formulations for its customer as per their specific requirements.

- The centre is engage in manufacturing process for newer formulations through innovative and cost effective process.

- Rekvina Laboratory Ltd has capability to provide contract research and manufacturing services to its customers.

2) Weaknesses:

The growing competition, increasing energy and solvent cost are few causes of concern.

3) Opportunities & Threat:

All pharmaceuticals companies which have succeeded in achieving manufacturing excellence over the year and developed cost effective synthesis rout have scope for partnering with other companies for contract manufacturing and research services. With the state of the art and regulatory compliant manufacturing facilities the company is geared up to encase the business opportunities available in this space.

c) Segment wise performance or product wise performance

The segment wise report is not furnished as the company is presently engaged in one business segment i.e. copper extrusion.

d) Outlook & Future Strategy:

The company is focusing on core business of Manufacturing and marketing of formulations. Research and development has been put on fast track for cost competitiveness and to comply with the regulatory market. Cost rationalisation and management control at all level are practised to ensure operational efficiency in the sphere of manufacturing and marketing.

Armed with strong resources base and a vision to be a leading manufacturer of formulation in selected therapeutic areas, Rekvina Laboratories Limited is poised to unleash its true potentials to meet the challenges and exploit the growth opportunities ahead.

e) Risk and Concerns:

The operating profit is not being achieved due to fluctuation in Material prices coupled with heavy interest burden. Reduction in production cost as an economy measure and utilization of existing manufacturing capacity by undertaking job work activity would help the company in achieving desired level of profitability.

f) Internal Control Systems and Adequacy:

Your Company is in the process of implementing effective internal control procedures commensurate with the size and nature of business. These procedures would ensure efficient use and protection of the resources and compliance with policies, procedures and statutes. There is procedure of periodically review of the existing internal control system.

g) Human Resources:

Recognizing that people are an important part of the organization, a major exercise in training and development of employees has been undertaken at all levels. The Company gives a lot of importance to Human Resources activities. These activities have helped to retain and motivate employees of the company to face this difficult period.

h) Financials:

The detailed financial analysis of the companys operation for the year is given in director report and same is not repeated.

By Order of the Board of Directors

For Rekvina Laboratories Limited

Place: Vadodara	Sd/- Amit Mukesh Shah
Date: August 11, 2023	Director
Registered Office:	DIN:01993211
328 Paradise Complex, Sayajigunj, Baroda Varodara-390005 India