a) INDUSTRY STRUCTURE AND DEVELOPMENT:

With the entry of Banking Companies into the Non-banking Sector and the strict controls imposed by the Apex Bank, the NBFC sector is strugulling fro existence. The future of these Companies seems to be grim except for a few who have strong investor confidence and support. There shall be no development unless these Companies diversify to other fund/non-fund based activities.

b) OPPORTUNITIES AND THREATS:

At present there seems to be no good opportunities for NBFCs in future

C) SEGMENT WISE PERFORMANCE:

The Company is engaged in the hire purchase loans and advances segment, the perform ance of which was discussed earlier in the report.

d) RISKS AND CONCERNS:

Risk of delayed receipt of installments:

In case of delayed receipts of installment amounts of the hire purchase finance given, the funds of the Company get blocked resulting in high non-performing assets.

To mitigate this risk, the Company is trying to put pressure on the delayed payers for payment of installments and in inevitable cases legal action is also being initiated.

Risk of insolvency of the borrowers:

Where the borrower becomes insolvent, and is unable to clear the loan, the same becomes a bad debt and the total loan amount and the interest accrued thereon becomes a charge on the income generated by other good transactions.

To m itigate this risk, the com pany follow s a very conservative policy of lending.

e) INTERNAL CONTROL SYSTEMS:

The Company has an adequate system of internal control and management with respect to disbursement of loans and follow-up action for collection of installments.

f) HUMAN RESOURCES:

There are no significant developments in this front during the year under review.

IX. GENERAL SHAREHOLDERS’ INFORMATION:

i) AGM Date, time and Venue :	27th June, 2016 at 10.00 A.M. D.No. 54-15-3,Ring Road VIJAYAWADA-8.
ii) Financial Year	2015-16
iii) Date of Book Closure	: 23rd June, 2016 to 27th June, 2016(Both days inclusive)
iv) Dividend Payment Date	Not Applicable
V) Listing on Stock Exchanges: BSE Limited
Vi) Stock Code	: SWRNASE

vii) Market Price Data

	Apr.	May	June	July	Aug	Sep.	Oct.	Nov.	Dec.	Jan.	Feb.	Mar.
High	14.00	13.95	13.26	13.21	00.00	00.00	00.00	00.00	13.10	13.60	00.00	00.00
Low	13.50	13.30	12.60	12.55	00.00	00.00	00.00	00.00	13.10	13.60	00.00	00.00

viii) Performance in comparison to Broad based indices :

ix) Registrar & Transfer Agents :	M/s Aarthi Consultants PrivateLimited,
	1-2-285, Domalguda, Hyderabad- 29
x) Share transfer System	Transfers and dematerialization are handled by the Transfer Agents.
xi) Distribution of shareholding:

 

Slab of share holding	Share holders	Percentage	No of shares	Percentage
0-500	349	64	95333	3
501-1000	111	20	93814	3
1001-2000	36	6	57450	2
2001-3000	16	3	40600	1
3001-4000	8	2	28200	1
4001-5000	5	1	22800	1
5001-10000	5	1	37100	1
10001 and above	17	3	2624703	88
TOTAL	547	100	3000000	100

 

xii) Dematerialisation of Shares and liquiding	As on 31.03.2016 a total number of 2323650 shares have been dematerialized
xiii) Outstanding GDRs/ADRs/	The Company has not issued any
Warrants or any Convertible Debentures	GDRS/ADRs/ warrants or any convertible instruments.
xiv) Plant Location	Not Applicable
xv) Address for Correspondence	Swarna Securities Limited
	II Floor, Swarnalok Complex
	Governorpet,
	VIJAYAW ADA-5 2 0 002.