Today's Top Gainer
Note:Top Gainer - Nifty 50 More
Management Discussion & Analysis Report Pursuant to Regulation 34(2)(e) of Securities And Exchange Board Of India (Listing Obligations And Disclosure Requirements) Regulations, 2015.
I. Industry Structure and Development
The Company is engaged in the business of trading of ferrous and non ferrous. The Company also extended its area of operations to manufacturing sector of non-ferrous metals by carrying out job works at its manufacturing facility. The metal industry in which the Company is dealing is recently having trends of volatility and there are very good chances for the Company to develop its area of operation in the metal industry.
Metals sector have always been in the forefront of a nations economy and India is no exception. Both ferrous and non ferrous metals are equally important towards building up the countrys future. Ferrous metals are definitely more in use in India, but at the same time non ferrous metals are also gradually taking the centre stage and the time is not far when it will be regarded as the future. India is one of the richest reserves of all the raw materials required for the metal industry i.e. land, capital, cheap labour, power, coal etc.
II. Opportunities and Threats
For market players of Metal industry, a major cause of volatility is the cost of raw materials, which has been exacerbated by the change from annual to shorter-term price contracts. Shortages in supply have enabled suppliers to re-engineer the pricing mechanisms. However, this has created challenges for market players. They now have to deal not only with the increased volatility in raw material prices, but also with how to maintain margins with fluctuating demand. These developments are significantly affecting the earnings of the Metal industry and try to achieve stability in Metal market.
III. Segment wise Performance:
During the year the Company has not achieved a notable progress in its operations but due to its future expansion plans, projects and emerging opportunities your directors expect increase in its revenue and income. Our Companys operations belong to a single segment and therefore no segment wise performance given.
IV. Recent Trend and Future Outlook:
The sector in which the Company has been operating is developing faster and provides ample growth opportunities. Further due to rise in foreign direct investment in the sector, Company will be able to develop projects at fast pace and looking forward for better development and high investment returns.
V. Internal Control system and their adequacy
The Company has adequate system of internal control commensurate with its size and operations to ensure orderly and efficient conduct of the business. These controls ensure safeguard of assets, reduction and detection of frauds and error, adequacy and completeness of the accounting record and timely preparation of reliable financial information.
VI. Financial performance with respect to operational performance
The financial performance of the Company for the year 2017-18 is described hereinunder.
|FINANCIAL RESULTS||F.Y 2017-18||F.Y 2016-2017|
|Total Revenue from Operations (Net) (Incl. Changes in Inventories)||42,27,55,898||45,55,20,106|
|Total Expenditure(Excluding Depreciation)||41,84,26,069||45,09,70,308|
|Provision for Taxation||5,17,200||534,000|
|Earlier years Tax||-|
|Deferred Tax liabilities||(2,46,973)||231,181|
|Extra Ordinary Items (Investments written off)||-||-|
|Profit/ (Loss) after Tax (PAT)||18,31,140||17,10,849|
VII. Material developments in Human Resources/Industrial Relations front, including the number of people employed.
Your Company has undertaken certain employees Development initiative which have very positive impact on the moral and team spirit of the employees. The Company has continued to give special attention to Human Resource/ Industrial Relations development. Industrial relations remained cordial throughout the year and there was no incident of strike, lock-out etc.
VIII. Cautionary Statement-
Statement in this Management Discussion and Analysis describing the companys objectives, projections, estimated and expectations are "forward looking statements" Actual results might differ, materially from those anticipated because of changing ground realities
|By Order of the Board of Directors|
|For, Shree Metalloys Limited|
|Pratik R. Kabra|
|Date: 30thMay,2018||Chairman & Managing Director|
|Place: Ahmedabad||DIN: (00006358)|
|103, Sun Square,|
|Nr. Klassic gold hotel,|
|Ahmedabad - 380 009.|