Simmonds Marshall Ltd Management Discussions.


The main business of the Company is manufacturing and sale of Industrial Fasteners used in Auto Industry, railways, white goods, farm equipment amongst others.


Backed by the Industrys growth and positive consumer sentiment, your company touched new highs in financial year 2017-18. The good news is that the positive market sentiment is continuing and interest rates and inflation are under control and with a good monsoon forecast for a third consecutive year by the Meteorological Department, rural markets are expected to loosen their purse strings further this year on the back of a good crop and better minimum support price. Yours company is confident to maintain the growth momentum current year as well.


The Company is fast consolidating its resources to build a significant market presence in the international arena. Exports during the year stood at Rs.1780.86 Lakhs and we are expecting an impressive increase in the current year as well.


Internal Control Systems are designed to ensure the reliability of financial and other records and accountability of executive action to the managements authorization. The internal control systems are reviewed by the top management and by the audit committee of the board and proper follow up action is ensured wherever required. Regular audit committee meetings are held where statutory auditors as well as internal auditors participate and internal audit reports are discussed and reviewed. The internal audit of the transactions of the Company is carried out and the company is planning to enlarge the scope of work of the internal auditors.


During the year under review, the Company has achieved the Total Revenue of Rs. 17580.26Lakhs as against the Total Revenue of Rs. 14554.87Lakhs in the previous year. The Company has earned net Profit before tax of Rs. 1441.19Lakhs during the year as against the net Profit before tax of Rs. 960.06Lakhs in the previous year.


Development of skills and updating of knowledge are essential for continuous growth of any organization. Your Company considers human resources as a key asset. Therefore, your Company not only implemented many in house training programs but also sent selected employees to suitable outside programs to keep them appraised of the latest developments in the industry and economy.


Statement in the Management Discussion and Analysis describing the Companys objectives, expectations, estimates or predictions may be forward looking within the meaning of applicable securities laws and regulations. Actual results may differ materially from those expressed in the statement. Important factors that could influence the Companys operations include global and domestic supply. The Company assumes no responsibility to publicly amend, modify or revise any forward-looking statements, on the basis, of any subsequent developments, events or information.