Sampada Chemicals Ltd Management Discussions

SAMPADA CHEMICALS LIMITED ANNUAL REPORT 2010-2011 MANAGEMENT DISCUSSION AND ANALYSIS A. ECONOMIC OVERVIEW Economies across the globe are showing signs of recovery post the financial crises. Advanced economies are recovering at a subdued pace. Amongst emerging economies, India and China are leading the growth campaign it will help Indian economic return back to the GDP growth range of 8.5-9.0%in year 2011-12. B. INDUSTRY STRUCTURE AND DEVELOPMENT: Your company being a Non - banking finance company (NBFC) is engaged in the business of finance and investments. C. INTERNAL CONTROL SYSTEM AND THEIR ADEQUACY: The Company has effective system of internal control: a. Effective system of accounting and administrative control. b. Existence of Audit Committee of Directors and system of internal audit by an outside independent firm. c. Performance review system by the management with preset objective. D. FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE: The net profit of the Company for the current year is 18.51lakhs as compared to a net profit of Rs.5.43 lakhs in the previous year. The total income of the Company was 41.75 Crores against income of Rs.42.64 Crores in the previous year. E. SEGMENTWISE PERFORMANCE: The Company has one segment only however separate segmentwise reporting is not applicable. F. CAUTION STATEMENT: Statements in the Management Discussion and Analysis are in the nature of judgements and forward looking statements. Actual results could differ materially or otherwise.