Today's Top Gainer
Note:Top Gainer - Nifty 50 More
In terms of the provisions of Regulation 34 (2) (e) of the Listing Regulations, the Managements discussion and analysis are as follows:
Statement made in this report describing the Companys objectives, projection, estimates and expectations may be "forward-looking statements" within the meaning of applicable laws and regulations. Actual results may differ materially from those expressed or implied. Important factors that could make a difference to the Companys operations include economic conditions affecting the Markets in which company operates; changes in the Government regulations; tax laws and other statutes and incidental factors.
INDUSTRY STRUCTURE AND DEVELOPMENT
Changing economic and business conditions and rapid growth of Business Environment are creating an increasingly competitive market environment that is driving corporations to transform their operations. Companies are focusing on their core competencies and service providers to adequately address these needs. The role of technology has evolved from supporting corporations to transforming their business.
OPPORTUNITIES AND THREATS
The performance of market in India has a direct correlation with the prospect of economic growth and political stability. Though the growth projections for F.Y. 2019-20 appear reassuring, there are certain downside risks such as pace and shape of global recovery, effect of withdrawal of fiscal stimulus and hardening of commodity prices. Accommodative monetary policies in advanced economies, coupled with better growth prospects in Emerging Markets (EMs) including India, are expected to trigger large capital inflows in EMs which in turn could lead to inflationary pressures and asset price bubble. Our business performance may also be impacted by increased competition from local and global players operating in India, regulatory changes and attrition of employees. With growing presence of players offering advisory service coupled with provision of funds for the clients needs, we would face competition of unequal proportion. We continuously tackle this situation by providing increasingly superior customized services.
In financial services business, effective risk management has become very crucial. Your Company is exposed to credit risk, liquidity risk and interest rate risks. Your company has in place suitable mechanisms to effectively reduce such risks. All these risks are continuously analysed and reviewed at various levels of management through an effective information system. The Company is having excellent Board of Directors who are experts in the financial sector, and are helping the Company in making good investment.
OUTLOOK AND FUTURE PROSPECTS
Competition continues to be intense, as the Indian and foreign banks have entered the retail lending business in a big way, thereby exerting pressure on margins. The erstwhile providers of funds have now become competitors. Company can sustain in this competitive environment only through optimization of funding costs, identification of potential business areas, widening geographical reach, and use of technology, cost efficiencies, strict credit monitoring and raising the level of customer service.
RISKS & CONCERNS
In todays complex business environment, almost every business decision requires executives and managers to balance risk and reward. Effective risk management is therefore critical to an organizations success. Globalization, with increasing integration of markets, newer and more complex products & transactions and an increasingly stringent regulatory framework has exposed organizations to newer risks. As a result, todays operating environment demands a rigorous and integrated approach to risk management. Timely and effective risk management is of prime importance to our continued success. Increased competition and market volatility has enhanced the importance of risk management. The sustainability of the business is derived from the following:
(1) Identification of the diverse risks faced by the company.
(2) The evolution of appropriate systems and processes to measure and monitor them.
(3) Risk management through appropriate mitigation strategies within the policy framework.
(4) Monitoring the progress of the implementation of such strategies and subjecting them to periodical audit and review.
(5) Reporting these risk mitigation results to the appropriate managerial levels.
As there are no subsidiaries of the company, investment made in subsidiaries is nil.
The Companys relations with the employees continued to be cordial.
SEGMENT-WISE OR PRODUCT WISE PERFORMANCE
The Company operates in only single segment. Hence segment wise performance is not applicable.
INTERNAL CONTROL SYSTEMS AND THEIR ADEQUENCY
Your Company has an effective system of accounting and administrative controls supported by an internal audit system with proper and adequate system of internal check and controls to ensure safety and proper recording of all assets of the Company and their proper and authorised utilization. As part of the effort to evaluate the effectiveness of the internal control systems, your Companys internal audit department reviews all the control measures on a periodic basis and recommends improvements, wherever appropriate. The internal audit department is manned by highly qualified and experienced personnel and reports directly to the Audit Committee of the Board. The Audit Committee regularly reviews the audit findings. An Information Security Assurance Service is also provided by independent external professionals. Based on their recommendations, the Company has implemented a number of control measures both in operational and accounting related areas, apart from security related measures.
|For and on behalf of the Board of Directors|
|Place: Kolkata||R.S. JHAWAR|
|Dated: May 30, 2019||(DIN: 00023792)|