samtex fashions ltd Management discussions

Overview Company Background

The Company was incorporated on 26th April, 1993 and having its Registered Office at Khasra No. 62 D 1/3 Industrial Area RajarampurSikandrabad, Bulandshahr UP-203205, engaged in the business of manufacturing and selling of Ready Made Garments.

Its Corporate Office is located at Unit No. 137, DLF Prime tower, F Block, Okhla Phase I, New Delhi -110020. The Trading Office in USA in the city of New York is not operational during the year under report.

Company Management

The Board of Directors of the Company presently comprised of four Directors headed by Mr. Atul Mittal Chairman & Managing Director of the Company. The Board has a combination of Executive and non-Executive Directors comprising of one Executive Director- namely Mr. Atul Mittal, Managing Director and three Non-Executive Independent Directors.

The Board of Directors meets regularly at least 4 times in a year. In the year 2022-2023 5(Five) such meetings were held, the details of the attendance of Directors in the Board Meetings have been given in the Report of Corporate Governance. The Board has also constituted Committees namely, (a) Audit Committee (b) Nomination and Remuneration Committee (c) Stake holders Relationship Committee. The committee members meet regularly from time to time to dispose of the work assigned to them respectively.

Product and Services

The Company is engaged in the business of manufacturing and selling of Ready Made Garments. In March 2019 the Company changed the business premises to setup the manufacturing facilities, however there no manufacturing activities have been carried on. Further, in January 2021 the Company further changed the Registered Office to Khasra No 62, D 1/3 Industrial Area, Rajarampur, Sikandrabad, Bulandshahr, UP 203205, As regards the commencement of manufacturing activities at the new premises the company is not able to setup and start in absence of orders.

Industry Structure and Development

The Indian Textile Industry especially Garment Sector is export oriented and is one of the leading textile industry in the world, having an overwhelming presence in the Indian Economy. The international trade in clothing and textile plays a vital role through its contribution to industrial output, employment generation and export earnings for the country. The Industry is targeting towards modernization and expansions being encouraged by the prevailing textile strategies and policies.

The Indian clothing and textile industry has attracted huge investments and is moving towards economic growth. Restructuring its system and operations to match the international levels of technology, quality and standards. As a result, the capacity has expanded to meet the future requirements as the demands are growing but with slow speed. The business environment is very challenging.

Opportunities and Threats

The modern technology, improvements in infrastructure and regulations, all are playing significant role among the different sectors of the Industry.

The textile and clothing industry is also facing increase in input prices as well as increase in conversion cost. The inflationary pressure both within the country and globally have bearing on the outlook of the textile and clothing industry.

Segment Wise Performance

During the current financial year the reportable segment did not exceed the quantitative threshold limits as per the applicable accounting standard, Hence segment wise performance is not evaluated.

Internal control systems and their adequacy

During the current financial year, there was no manufacturing and other operations so no internal audit was conducted. The Internal Financial Control System is adequate relevant to the existing operations.

Discussion on financial performance with respect to operational performance.

The commencement of manufacturing activities at the new premises the company is not able to setup and start in due to absence of orders in the reporting year.

Material developments in Human Resources/Industrial Relations front, including number of people employed.

The Company was not carrying any business operation throughout the year, hence not applicable.

Disclosure of Accounting Treatment:

The financial statements have been prepared in accordance with the lndian Accounting Standards (hereinafter referred to as the lnd AS) as notified by Ministry of Corporate Affairs pursuant to Section 133 of the Companies Act, 2013 (Act) read with of the Companies (lndian Accounting Standards) Rules, 2015 as amended and other relevant provisions of the Act. The accounting policies are applied consistently to all the periods presented in the financial Statements.

	For and on behalf of the Board of Directors
	For SAMTEX FASHIONS LIMITED
Date: 04.09.2023
Place: New Delhi	SD/-
	Atul Mittal
	Chairman & Managing Director
	DIN 00223366