Relicab Cable Manufacturing Ltd Management Discussions

BUSINESS OVERVIEW:

Our company Relicab Cable Manufacturing Ltd. was incorporated in 2009 with an aim to corporatize the business of wires and cables manufacturing being carried out since 1999 in the name and style of M/s. Relicab Cable Corporation (Partnership concern). After receiving our certificate of incorporation, we have taken over the running business of this partnership concern through a business takeover agreement dated April 01, 2009.

Our Company is engaged in the business of manufacturing and marketing of PVC Compounds and Wires and Cables and we have successfully developed a wide base of business network and made our presence in this industry since over 15 years. We manufacture wires and cables to provide cost- effective and quality solutions for various electrical connectivity requirements, mainly for the industrial segments. We accomplish this through customized design and development, continuous research & development initiatives, quality manufacturing and reliable delivery of all varieties of cables. We are involved in manufacturing a complete array of wires and cables that are used in diverse sectors encompassing virtually all industries like telecom, electrical, automotive and household appliances and the new field of wind energy.

Our product range includes a wide range of wires and cables including armored / unarmored and single core as well as multi core flexible cables, control & power cables, instrumentation cables etc. using high quality copper wires in HR, FR, FRLS, ZHFR forms and other raw materials. Our Company has as part of its backward integration initiative; an in-house PVC Compound manufacturing facility which supplies compound raw material for our Wires and Cables manufacturing business as well as being sold directly as finished goods to other users of PVC Compound. We offer all types of PVC Compounds i.e. Insulation, Sheathing, Inner sheath, HR, FR, FRLS & Master batches.

To support our operations and carry out in-depth testing & quality management activities, our Company maintains a number of well designed and equipped test facilities and laboratories, which enable various designs and conceptions to be tested and implemented. Our Company also carries out periodic calibrations of instruments which are required in day-to-day use, to ensure higher accuracy of products. These laboratories and testing facilities ensure that all RELICAB products adhere to strict quality norms and also adhere to the relevant ISI and international specifications.

Our focus on quality products and services has enabled us to garner clients who are some of the leading industrial, electrical and telecommunication names in India and abroad. We have developed a long standing relationship with our clients which include companies like, ABB India, Schneider Electric, Crompton Greaves, Bharat Bijlee, Siemens, Maktel Control & Systems, etc., to name a few. Our products are being exported through exporters to countries such as Russia, Uganda, Indonesia, Nigeria, Singapore, and UAE. We supply our products under our own brand name - ₌Relicab".

Over the years we have strengthened our manufacturing capacity by undertaking expansion from time to time. Our manufacturing facility located at Daman (Union Territory) has a capacity to manufacture approximately 7,510 Km per year of wires and cables and almost 1500 tons of PVC Compound per annum. We have also been improving our technologies and constantly developing products and features to our PVC Compound, Moulded Wire Harness, Wires and Cables etc. in order to differentiate ourselves from competitors and increase our product qualities in the future. However, due to lack of available working capital, we have not been able to grow our turnovers and business capacity utilizations substantially. With the political and macro-economic scenario in India, we believe that demands for quality products within our space would increase and hence we propose to augment our working capital fund base in order to better utilize our installed capacities and formulations thereby increase sales volumes and improve margins.

India Wires and Cables Market Outlook

The India wires and cables market size reached a value of nearly INR 1083.71 Billion in 2024. The market is projected to grow at a CAGR of 14.50% between 2025 and 2034 to reach around INR 4197.28 Billion by 2034

Strong demand prospects to boost earnings momentum:

The Indian cables & wires industry, offers huge growth potential led by increased traction in the infrastructure and real estate sectors. The cables & wires industry constitutes ~39% of the electrical industry and forms a crucial part of construction and infrastructure activities.

The demand for wires and cables in India is expected to ramp up with the expansion of renewable power generation, the upgrading of transmission and distribution infrastructure, rising investments in metro railways and smart grid initiatives, and the growing data center sector.

Globally, India is the third-largest producer and consumer of electricity. As of April 30, 2023, India had an installed power capacity of 416.59 GW. There is a growing number of investments in the power, telecommunication, and infrastructure sectors, including metros, railroads, smart grids, and data centers.

Some of the investments include Raipur Visakhapatnam Expressway (NH-130CD) with a funding of Rs 20,000 crore, Kala Amb smart grid project with an investment of Rs.19.44 crore, and USD 32.7 billion capital investment into the rail among several others.

Some of the factors driving the India cables and wires market growth are ongoing technological advancements and innovations by branded players. India aims to achieve 500 GW of renewable energy by 2030 and the Indian government is significantly investing in metro projects. The Government of India.

KEY HIGHLIGHTS

• The demand for wires and cables in India is expected to ramp up with the expansion of renewable power generation, the upgrading of transmission and distribution infrastructure, rising investments in metro railways and smart grid initiatives, and the growing data center sector.

• Polycab India Limited, KEI Industries Limited, Havells India Limited are a few of the major companies in the market.

• The anticipated increase in urbanisation and commercialisation is assessed to stimulate investments in the real estate sector, leading to a higher demand for low-voltage insulated wires and cables.

Government investments in metro projects; increasing adoption of renewable energy; rapid infrastructural development; and expansion of smart devices are favouring the Indian cables and wires market.

TRENDS IMPACT AND INSIGHTS

Exports of cables & wires have been on a rising trend. India is now a net exporter of cables & wires. Higher exports and market share gains to support organized players: The industry should benefit from the rising exports of cables from India, as exports have clocked a 16% CAGR vs. ~8% CAGR for imports over FY17-23 (~15% YoY growth during 9MFY24).

The cables & wires industry constitutes ~39% of the electrical industry and forms a crucial part of the construction and infrastructure activities of the government and private players. Intensifying focus on infrastructure, a strong traction in the real estate sector, an increase in electrification of villages, and rising nuclear families are expected to spur cables & wires industry growth.

The Indian cables & wires industry, along with FMEG products, is estimated to be ~INR1.8t in FY23. Intensifying focus on infrastructure and strong traction in the real estate sector are expected to spur growth for this industry.

The industry growth has been fueled by strong government focus on infrastructure development, rising trend of nuclear families, increase in electrification in rural areas, increase in exports of cables & wires, etc.

Some of the factors driving the India cables and wires market growth are ongoing technological advancements and innovations by branded players. India aims to achieve 500 GW of renewable energy by 2030 and the Indian government is significantly investing in metro projects. The Government of India allocated approximately INR 19,518 crores in metro projects during the Union budget 2023-2024.

High voltage is expected to dominate the India wires and cables market share as these are suitable for underground or underwater power transmission

CAGR 2025-2034 - Market by	Voltage
High Voltage	15.3%
Medium Voltage	14.6%
Low Voltage	XX %

The rising urbanisation in India and the growth of metro cities propel the demand for extra-high- voltage cables (EHV) in India. These cables are especially ideal for underground installations as they omit the risks of power theft and require reduced maintenance. High- voltage cables are ideal for power transmission and distribution. Indias National Grid capacity is expanding continuously under the PM Gati Shakti National Master Plan, which is expected to add around

26,988 circuit km capacity by 2024-2025 in line with growing electricity generation and demand.

Low voltage wires and cables also occupy a significant share of the market due to their wide applications in the residential, commercial, and industrial sectors of the country. Low voltage wires are extensively implemented in building wiring for power distribution throughout the infrastructure. Moreover, they are utilised in electrical appliances such as lighting, switchboards, fans, and sockets, among others. Low voltage cables are also deployed in LAN networks and telecommunication for the transmission of audio, video, and internet data.

Source: https://www.expertmarketresearch.com/reports/india-wires-and-cables-market

The demand for building wires is significantly increasing as they play an essential role in the commercial, residential, and industrial sectors

Building wires hold a significant share of the India wires and cables market. Building wires are extensively deployed in commercial, industrial, and residential establishments. These are essential components of branch circuit wiring in homes and businesses that carry electrical current for powering appliances. Through the Union budget 2023-24, the finance ministry of India allocated over Rs 79,000 crore (USD 9.64 billion) towards the Pradhan Mantri Awas Yojana (PMAY)), representing a 66% increase compared to the previous year. PMAY, launched in 2015, aims to provide affordable housing to all citizens.

Copper is expected to dominate the India wires and cables market share in the coming years

By material, copper wires are anticipated to grow significantly due to their high electrical conductivity, ductility, and thermal resistance. Copper wire and cables work as great electrical conductors. Copper wires are commonly deployed in commercial and household electrical wiring. As a result, rising residential construction due to increased disposable income drives the demand for copper wires for powering TVs, computers, and kitchen appliances.

CAGR 2025-2034 - Market by	Material
Copper	15.1%
Aluminium	14.3%
Others	XX %

Although aluminum wires and cables are not as strong as their copper counterparts, they are lightweight and cost-effective. Such wires have a 1.5 times larger cross-section than copper wires, hence they are used in high-voltage power lines.

The India Wire And Cable Market size is estimated at USD 21.22 billion in 2025, and is expected to reach USD 32.85 billion by 2030, at a CAGR of 9.13% during the forecast period (2025-2030).

Housing demand, renewable- energy targets, and rapid telecom upgrades are converging to keep large-volume orders flowing to cable makers, while mandatory BIS certification is nudging buyers toward organized suppliers. Utility projects linked to the governments pledge of 500 GW of non-fossil capacity by 2030 are creating multi-year procurement pipelines for extra-high-voltage (EHV) products. At the same time,

5G fiberisation and data-center corridors are expanding the addressable market for low-loss optical- fiber cables. Competitive intensity is rising as new copper smelters and backward-integration moves lower raw-material risk for large entrants, prompting incumbents to accelerate capacity and brand investments.

Source: https://www.mordorintelligence.com/industry-reports/india-wire-and-cable-market Surging Residential and Commercial Real-Estate Completions

Rising urban incomes and favorable mortgage terms are fuelling a wave of premium apartment and office projects that specify flame-retardant, low-smoke housing wires. About 600,000 new urban homes finished in and developers continue to strong velocity in and Tier-2 Higher-end increasingly 180-meter 200-meter minimize joints, giving organized brands a pricing edge. A shift away from sub-25 lakh rupee units toward premium categories also lifts average cable value per dwelling. Developers expanding to Bangalore and Pune underline the west-south axis as a core consumption corridor. In parallel, commercial real-estate completions are embedding smart-building protocols that require additional data and control cabling. Together, these dynamics keep residential wiring the single largest contributor to the India wire and cable market.

Utility-Scale Renewable-Energy Build-Out Acceleration

Installed renewable capacity reached 217.62 GW by January 2025, and the grid needs thousands of circuit-kilometers of EHV and flexible DC cables to transmit output from desert and coastal clusters to load centers^[Ultra-high-voltage AC corridors and green-hydrogen clusters are being mapped for rollout through 2034, each backed by dedicated budget lines. Solar rooftop incentives under PM Surya Ghar have already passed 1 million installations, pushing up orders for UV-resistant DC strings. Additions of

India Wire And Cable Market Trends and Insights

Drivers Impact Analysis

DRIVER	% IMPACT ON CAGR FORECAST	GEOGRAPHIC RELEVANCE	IMPACT TIMELINE
Surging residential and commercial real estate completions	+2.10%	Mumbai, Delhi NCR, Bangalore	Medium term (2-4 years)
Utility-scale renewable-energy build-out acceleration	+1.80%	Gujarat, Rajasthan, Tamil Nadu	Long term (> 4 years)
Nation-wide 5G fiberisation and tower back-haul upgrades	+1.50%	Urban centers nationwide	Short term (< 2 years)
Government push for rural household electrification (Saubhagya 2.0)	+1.20%	Uttar Pradesh, Bihar, Odisha	Medium term (2-4 years)

Market Overview

Study Period	2019 2030
Base Year For Estimation	2024
Forecast Data Period	2025-2030
Market Size (2025)	USD 21.22 Billion
Market Size (2030)	USD 32.85 Billion
Growth Rate (2025 2030)	9.13% CAGR
Market Concentration	Medium

34 GW in FY25, 87% of which came from renewables, illustrate the volume scale that cable suppliers must support. Developers increasingly favor low-loss OFHC conductors to meet grid-efficiency norms, propelling double-digit growth for high-purity copper variants. Manufacturers able to certify products for 1,500 V DC arrays are capturing premium margins in this fast-moving segment of the India wire and cable market.

Nation-Wide 5G Ferberization and Tower Back-Haul Upgrades

India has rolled out 4.69 lakh 5G base stations since October 2022, yet only 35% of towers are fiberized, leaving massive headroom for optical-fiber deployment ^[Telecom operators are targeting near-100% fiber backhaul and a 1 Gbps pipe to 120 million households, translating to multi-year demand for armored and ribbon cables. Domestic fiber output exceeded 100 million fiber-kilometers in FY24, positioning India as a net exporter even as internal consumption accelerates. Data-center operators budget roughly USD 2 billion for fiber in the current decade, and Deloitte projects fiber deployment to grow 12-15% annually. Suppliers that invested in glass-preform capability, such as Finolex and West Coast Opti links, now enjoy shorter cycle times and better cost control. The upshot is a sustained structural uplift in optical-fiber revenue within the India wire and cable market.

Government Push for Rural Household Electrification (Saubhagya 2.0)

The next phase of Saubhagya aims to connect the final 12 million unelectrified rural homes, focusing on states with historically low electrification ratios. Distribution utilities are issuing bundled tenders covering poles, meters, and aluminum conductors, favoring manufacturers with turnkey capabilities. Rural schemes also encourage frugal designs, increasing demand for aluminum-alloy solutions that balance conductivity with lower weight. Quality-assurance audits funded by REC and PFC are raising compliance thresholds, indirectly steering orders to certified brands. As last-mile electrification progresses, secondary demand emerges for household wiring upgrades, boosting retail volumes in small towns. This policy tailwind ensures that even price-sensitive geographies remain on the radar of organized players in the India wire and cable market.

Source: https://www.mordorintelligence.com/industry-reports/india-wire-and-cable-market

SEGMENT ANALYSIS

By cable type: Housing wires lead and Amid Fiber Surge

Housing wires commanded a 32.8% share of the India wire and cable market in 2024, underpinned by the nationwide push to build 100 million new homes during the decade These volumes translated into USD 7 billion of 2024 revenue, making the category the anchor of distributor cash flows. Growth remains steady because apartment completions correlate closely with wiring installation, and rising per-capita income drives adoption of FR-LSH and energy-efficient variants. At the premium end, builders specify 180-meter rolls to reduce jointing losses, lifting value per unit. Compliance audits by state electricity boards tip demand toward IS-marked spools, tightening shelf space for counterfeit offerings. In parallel, public-sector housing agencies are inserting sustainability clauses that favor halogen-free compounds, nudging local vendors up the technology curve.

Communication cables are set to outpace all other categories with a forecast 12.5% CAGR to 2030, propelled by Indias 120 million-home fiber target and hyperscale data-center clustering. The India wire and cable market size for fiber-optic products is projected to cross USD 5 billion by 2030 as low-loss specifications become mainstream. Suppliers with internal glass-preform capability benefit from higher margins because imported preforms attract a 6.5% basic duty. Flexible industrial cables and instrumentation lines enjoy mid-single-digit expansion as factory automation deepens under the PLI schemes. Coaxial and twisted-pair cables hold a niche for legacy CCTV and broadcast links but face volume leakage to Ethernet over fiber. Overall, cable-type diversification remains a hedge for manufacturers against cyclicality in any one end-market.

By Conductor Material: Copper Dominance Faces Efficiency Challenge

Copper retained 65% revenue control within the India wire and cable market in 2024, thanks to superior conductivity and entrenched supply chains. High-conductivity (OFHC) grades are winning share in power-transmission projects because a 1% efficiency gain can shave millions off lifetime energy losses. These variants are on a 9.2% CAGR path through 2030, and suppliers with vertical integration into smelting and rod-making gain cost advantages. Aluminum remains the preferred metal for price- sensitive rural lines and certain overhead conductors , keeping its share stable near 32%.

Hybrid conductors that wrap aluminum cores with copper cladding are emerging as a compromise between weight and conductivity, especially for feeder lines in smart-grid deployments. Adanis Kutch Copper smelter, scalable to 1 million tpa, promises to cut Indias USD 3.3 billion import bill and stabilize local premiums. Reduced duty on copper scrap opens the door for cost-effective secondary-metal blends, a relief for small and mid-size players. Yet price instability clouds margin planning, compelling CFOs to pursue dynamic hedging and inventory segmentation. As material science advances, the competitive narrative is shifting from metal choice alone to total-lifecycle performance, reinforcing the premium end of the India wire and cable market.

Source: https://www.mordorintelligence.com/industry-reports/india-wire-and-cable-market Source: https://www.mordorintelligence.com/industry-reports/india-wire-and-cable-market

OPPORTUNITIES IN VARIOUS SECTORS:

Cable and wire industry has established itself as one of the backbones of modern information age. The increasing importance for power, light and communication has kept demand high for wire and cable.

This trend will continue as demand for reliable, efficient energy and data communications will strengthen the wire and cable industry. Cables play a small but significant part in infrastructure activities. With strong investments proposed across sectors such as power, realty, industrial and telecom the cable industry in India is slated for a strong growth going forward. Apart from the above, Government impetus in refineries, ports, airport modernization, power and fertilizers will offer a boost to the wire and cable industry as almost all manufacturing companies need cables. Robust industrialization and growing urbanization are also one of the important drivers identified. Auto sector and railways are the other important sectors consuming wires and cables on a large scale. Additionally, growth will be fuelled by urbanization as cables and wires will be required in buildings and offices.

POWER:

The power sector provides one of the most important inputs for the development of a country. Power sector is the biggest driver in the mainstay of cable demand, accounting for more than three-quarters of the market. Power is the core industry as it facilitates development in various sectors of the Indian Economy like agriculture, manufacturing, railways etc. It is considered that the growth of the economy is expected to boost the electricity demand in future. Also, there is a strong correlation between the GDP growth and increase in power generation capacity of an economy.

The positive trend in the power sector is one of the most important catalysts for the wire and cable industry. Cables play a crucial part in all the three aspects of the power sector - generation, transmission and distribution. Therefore, the trend of wire and cable industry is to some extent dependent upon the power sector.

REAL ESTATE SECTOR:

The Indian real estate sector is one of the most globally recognized sectors. In the country, it is the second largest employer after agriculture and is slated to grow at 30 per cent over the next decade. It comprises four sub sectors - housing, retail, hospitality, and commercial. The growth of this sector is well complemented by the growth of the corporate environment and the demand for office space as well as urban and semi-urban accommodations.

Growth in the real estate sector is essential to the wires and cable industry.

AIRPORT MODERNIZATION:

Aviation is one of the most important industries for the Nation. It connects Indias vast geography more time-efficiently than any other mode of transport. The vision of India becoming the third largest aviation market by 2021, Indias aviation sector is witnessing a steady growth where domestic passenger traffic handled at Indian airports stood at 122.43 million in 2013-14 as compared to 116.37 million in 201213. The growth in international passenger traffic at Indian airports increased to 46.62 million in 2013-14 as compared to 43.03 million, witnessing a growth of 8.34%.

Airport Authority of India (AAI) has identified Surat airport and 28 other metro and non-metro airports in the country for modernization. This would motivate domestic and global airlines to start operations from these airports to newer destinations thus helping improve air connectivity. The Government of India has decided to award airports in Kolkata, Chennai, Jaipur and Ahmedabad on management contract. The Airports Authority of India (AAI) has issued ‘Request for Qualification document for these four airports.

Increased activity in Airport modernization shall add to the demand for specialized cables.

RAILWAYS:

The Indian Railways contribution to national integration has been unparalleled. It connects industrial production centres with markets and with sources of raw materials and facilitates industrial development and link agricultural production centres with distant markets. It provides rapid, reliable and cost-effective bulk transportation to the energy sector, to move coal from the coal fields to power plants and petroleum products from refineries to consumption centres. It links places, enabling large- scale, rapid and low-cost movement of people across the length and breadth of the country.

Vision 2020 addresses another major development challenge, which is both national and global in nature, namely, reducing hazardous carbon emissions that have triggered climate change. So far, there has been inadequate recognition of the Railways contribution towards Indias climate protection efforts.

Vision 2020 addresses one of the biggest development challenges of contemporary India, namely, Growth with Jobs and not Jobless Growth. Vision 2020 aims at considerably enhancing the Indian Railways contribution to the national goal of achieving double-digit GDP growth rate on a sustainable basis.

Some of the major goals set for 2020 in the document include:

(a) Establish quality of service benchmarked to the best of the railway systems in the world;

(b) Target to achieve Zero accidents;

(c) Target to achieve Zero failures in equipments;

(d) Utilize at least 10% of its energy requirement from renewable sources;

(e) Institute a foolproof eco-friendly waste management system;

(f) Complete 4 high speed corridors of (2000 kms) and plan development of 8 others.

HYDROCARBONS:

OIL AND GAS: India produced 37.5 million tonnes of crude oil during 2015-16. Two-thirds of the oil produced in Indias is drilled from offshore fields. Onshore oil is mainly produced in Assam and Gujarat. Indian Oil, Indias second largest oil refining company, is ranked 19th globally. India exported over 59 MMT of petroleum products valued at Rs 1.96 trillion. Indias oil refining capacity amounted to 215 MMTPA (Million Metric Tonne Per Annum) in Apr 2015 placing India in the fifth position in the world after the United States, China, Russia and Japan. Total refined crude output was 223 million tons in 2015-16, i.e. over 100% of installed annual capacity.

CBM: India produced 33.66 billion cubic meters of natural gas in 2015-16, much of which was onshore. New gas field discoveries along the eastern coast of India could mark a significant increase in gas production and distribution. Cross-country gas pipelines are being planned and Reliance eg has applied for gas distribution licenses in 100 cities for the supply of gas to consumers. An estimated 650 bn cubic meters of gas reserves of ONGC and Reliance Industries lie untapped in the Krishna-Godavari basin.

SHALE GAS: Shale gas is natural gas produced from shale, a type of sedimentary rock. Shale gas has become an increasingly important source of natural gas in the United States over the past decade, and interest has spread to potential gas shales in Canada, Europe, Asia, and Australia. One analyst expects shale gas to supply as much as half the natural gas production in North America by 2020. Many countries have expressed environmental concerns which have led to restrictions on hydraulic fracturing to produce shale gas or oil. Although the shale gas potential of many nations is being studied, as of 2013, only the US, Canada, Mexico and China produce shale gas in commercial quantities, and only the US and Canada have significant shale gas production. A multi-organizational team of the Director General Hydrocarbans (DGH), Oil and Natural Gas Corporation (ONGC), Oil India Limited (OIL), Gas Authority of India Limited (GAIL) has been formed by the government to examine the existing data set and suggest a methodology for shale gas development in India.

REFINING: India is emerging as a refinery hub as the last decade showed a tremendous growth in the refining sector. India has 17 public sector refineries and five refineries in the private sector/or as a joint venture, the largest refineries being RIL Jamnagar (Gujarat), RPL Jamnagar (Gujarat), MRPL Mangalore (Karnataka), CPCL Manali (Chennai, Tamil Nadu) and IOC Koyali (Gujarat). Three new refineries have been proposed for implementation at Paradip (Orissa), Bina (Madhya Pradesh) and Bhatinda (Punjab).In the 12th Five year plan period 50 million tonne will be added to the total refining capacity of India through capacity expansion projects of existing units. While new refinery units, which are expected to come up in the near future, will add up to 90.5 million tonne to Indias total refining capacity.

With strong investments proposed across sectors, the cable industry in India is slated for a strong growth going forward.

RISKS AND CONCERNS:

Liquidity Risk: liquidity risk is the risk that a given security or asset cannot be traded quickly enough in the market to prevent a loss. All businesses need to manage liquidity risk to ensure that they remain solvent. The company manages the liquidity risk through prudent resource planning to ensure the availability of adequate funds at all times to meet its obligations on its liabilities as well as disbursement on due dates.

Finance Cost Risk: Finance Cost risk arises due to payment of high rate of interest on term loans and other funds & non-fund-based facilities being availed by the company from banks and other financial institutions. The company tries to minimize this risk by keeping a check on the interest rates charged by various banks and by swapping its long term/short term loans with banks charging lesser interest rates.

Raw Material Availability and Price Fluctuations: Scarce availability and price-volatility in Companys Basic Raw Materials - Copper, Aluminum, Steel, and PVC etc. can severely impact the profits of the Company. To mitigate these risks, the Company inculcates MOUs with its suppliers, price escalation clauses for large orders and hedges these raw-materials on the commodity exchange Foreign Exchange Risk: Foreign exchange risk is a financial risk posed by an exposure to unanticipated changes in the exchange rate between two currencies. Company imports a part of its raw materials and is also engaged in export of its products. To mitigate this risk, the company resorts to forward booking where deemed appropriate.

Human Resource Risk: In the absence of quality human resources, the company may not be able to execute its growth plans. To mitigate this risk, the company places due importance to its human capital assets and invests in building and nurturing a strong talented pool to gain strategic edge and achieve operational excellence in all its goals.

PERFORMANCE:

The management was focused on optimizing cost efficiencies to enable the business to cope with the economic crisis. This has enabled the Company to export its products in competitive global markets like Russia, Uganda, Indonesia, Nigeria, Singapore, and UAE, which contribute a major part of the total exports turnover. The Companys products are well recognized in the domestic market and the Company has been a land mark in producing a high-quality product.

OPERATIONS:

The Company achieved a sales turnover of Rs. 3983.33 (Rs. in Lakhs) in current year as compared to

Rs. 3782.84 (Rs. in Lakhs) in previous year. The Company earned a profit of Rs. 236.73 (Rs. in Lakhs) before tax and Rs.171.03 (Rs. in Lakhs) after tax. With favourable market conditions, your Directors expect better performance in future.

SEGMENTAL OVERVIEW:

The company operates under a single product segment i.e. Cables. The company mainly focuses on specialized cables which differentiates it from other cable players in the country.

INTERNAL CONTROL SYSTEM:

The system of Internal Control provides for maintance of proper accounting records, reliability of financial information and assures its operations are effective and efficient, and its activities comply with applicable laws and regulations. The internal audit is carried out by an independent firm of Chartered Accountants and covers all the key areas of the companys business.

INDUSTRIAL RELATIONS AND HUMAN CAPITAL:

The Company strives to provide the best working environment with ample opportunities to grow and explore. The Company maintained healthy, cordial and harmonious industrial relations at all levels throughout the year. Every initiative and policy of the Company takes care of welfare of all its employees. The human resource development function of the Company is guided by a strong set of values and policies.

FUTURE OUTLOOK:

The vision of CORDS is to be recognized as a leading global player, providing products and services, offering comprehensive solutions to the electrical and data connectivity requirements of businesses as well as household users. It focuses on capturing new markets by developing customers in new and existing territories, to provide new cables for special applications like solar, marine, low temperature cables, cables for automobiles etc.

CAUTIONARY STATEMENT:

Statement made in this report in describing the companys objectives, estimates and expectations are "Forward looking Statement" within the meaning of applicable laws and regulations. They are based on certain assumptions and expectations of future events but the company, however, cannot guarantee that these assumptions are accurate or will be materialized by the company. Actual results may vary from those expressed or implied, depending upon the economic conditions, Government policies and/ or other related factors.