Sun Source (India) Ltd Management Discussions.
INDUSTRY STRUCTURE AND DEVELOPMENTS:
The solar industry has gone through one of the most eventful-and frightening-years in recent history.
The last 12 months have brought financial chaos, falling demand for solar products, rising inventory and rounds of consolidation. Yet today, because of continued political support for solar, the industry is moving into 2018 with strong momentum. Thats not to say the next 12 months will be easy. Electricity and heating fuel prices have rise substantially, and many consumers are still holding off big purchases like solar PV or solar thermal. Meanwhile, our Company continue to roll out new products that make solar more cost-competitive.
OPPORTUNITIES & THREATS:
The most important threat continues to be increasing competition which results into low growth rate of the Company. Company now trying to fetch all available opportunities as doing the business in fastest growing economy accelerates business of the Company.
During the financial year 2017-2018 the management of the Company was not able to generate revenues from business and operations. During the year under review, against Rs. 44,63,416/- in the previous year, which was from Other Income. The Company has suffered a net loss of Rs. 28,73,974/- in the current financial year and net loss of Rs. 25,85,926/- in the previous financial year.
RISKS AND CONCERNS:
The sector of solar energy systems in India has traditionally been an unorganized sector of the economy. However, over the past few years, the sector has received a lot of attention from the government leading to increased regulatory norms. As a result, it has metamorphosed from being largely fragmented and unorganized to a structured and organized one like its peers in developed economies. This market is inherently a cyclical market and is affected by macroeconomic conditions, risk related to fluctuant input, changes in applicable governmental schemes, reforms, policies, changes in supply and demand for projects, availability of consumer financing and liquidity, availability of labour and the skill of the employees. However, your Company has taken necessary steps to tackle these risks appropriately.
SAFETY, HEALTH AND ENVIRONMENT:
Your Company continues to give priority to the Safety, Health and Environment. Preservation & promotion of environment is of fundamental concern in all our business activities.
The Company continued to have cordial & harmonious relations with its employees. The Company recognizes and sincerely appreciates the hard work put in by all its employees. The Company is planning to execute whistle blower policy.
Statements made in this Management Discussion & Analysis Report on the Financial Condition and Results of Operations of the Company describing the Companys objectives, expectations or predictions may appear to be futuristic within the meaning of applicable laws/regulations. These statements are based on certain assumptions and expectations of events that may or may not take place in future.
The Company does not guarantee that the assumptions and expectations are accurate and/or will materialize. The Company assumes no responsibility to publicly amend, modify or revise the statements made therein nor does it assume any liability for them. Actual performance can vary substantially from those expressed in the foregoing statements. The investors are, therefore, cautioned and requested to take the considered decision in this regard.
On behalf of the Board of Directors
For SUN SOURCE (INDIA) LIMITED
Chairperson & Whole Time Director
Add: 9, PARISHRAM SOC,