Trident Ltd Management Discussions.


The disruption wrecked by the ongoing COVID-19 pandemic put the global economy in recovery mode. Multiple vaccine approvals and the launch of vaccination in many countries raised hopes of an eventual end to the pandemic. Despite the high and rising human toll caused by the novel virus, economic activity remained subdued in 2020 as the global economy contracted by 3.3 per cent. Economies adapted to new ways of working after lockdowns were eased in the second half of the year. With the passage of time, businesses have adapted to subdued contact-intensive operations.

Yet, global prospects remain highly uncertain one year into the pandemic. New virus mutations and the accumulating human toll raise concerns, even as growing vaccine coverage lifts sentiment. Economic recoveries are diverging across countries and sectors, reflecting variation in pandemic-induced disruptions and the extent of policy support. Additional policy measures announced at the end of 2020, notably in the United States and Japan, are expected to support the global economy in 2021 and 2022. Global growth is projected at 6 per cent in 2021, moderating to 4.4 per cent in 2022, which reflects the additional fiscal support in certain advanced economies and the anticipated vaccine-powered recovery starting second half of 2021.


(Source: IMF World Economic Outlook, April 2021)


Even before the COVID-19 outbreak, the Indian economy was in slowdown mode. Led by a decline in private consumption growth, weaknesses in the financial sector compounded a collapse in investment demand. The COVID-19 outbreak that triggered a nationwide lockdown followed by phased opening of economic activities, impacted GDP growth in FY 2020-21. The sub-sectors worst affected by the mobility restriction due to the lockdown included aviation, tourism, hospitality, trade, construction and industrial activity.

The Governments huge spending on healthcare and infrastructure sectors, RBIs liquidity measures and the massive vaccination drive helped economic recovery in the second half of FY 2020-21. As per the second advance estimates of National Income by the Governments National Statistics Office (NSO), real GDP contraction is estimated around 8 per cent mainly on account of significant growth of subsidies.

The massive spending push of over Rs 4 trillion announced in the Union Budget 2021-22 is expected to boost consumption supported by solid fiscal and quasi-fiscal measures.

The agriculture sector has been the only silver lining this fiscal year while the manufacturing sector also registered a partial recovery in the second half of this fiscal in anticipation of festival season demand.

As per the World Bank, Indias GDP growth is estimated between 7.5-12.5 per cent during FY 2021-22 depending on the success of the vaccination campaign, requirement of mobility restrictions and global economic recovery. As economic activity normalizes domestically and in key export markets, the current account is expected to return to a mild deficit of around 1 per cent in FY 2021-22 and FY 2022-23 while capital inflows are projected basis the continued accommodative monetary policy and abundant international liquidity conditions.


(Source: National Statistics Office, World Bank)


The year 2020 was challenging for the textile industry due to the worldwide lockdown initiated in the wake of the COVID-19 pandemic. The restrictive containment measures involving social distancing, remote working, and closure of non-essential commercial activities led to industry-wide problems of production and transportation.

The global textile market was estimated at USD 594.1 billion in 2020. With companies rearranging their operations and recovering from the COVID-19 impact, the market is expected to reach USD 654.7 billion in 2021 and grow at 6 per cent CAGR to reach USD 821.7 billion by 2025.

In 2020, Asia-Pacific was the largest textile market region, accounting for 51 per cent of the global market size; Western Europe was the second largest accounting for 17 per cent of the global market while Africa remained the smallest market. Increasing demand from a larger post-lockdown online apparel shopping platform is expected to be the main growth driver for this industry.


(Source: The Business Research Company, Textile Global Market Report 2021: COVID-19 Impact And Recovery To 2030.)


The year gone by has drastically impacted all sectors, especially manufacturing and export which came to an abrupt halt and subsequently witnessed a slow pick-up, post the phased opening of economic activities. The textile industry which accounts for 12 per cent of Indian exports was also impacted due to labor unavailability or limited availability. However, clothes being one of the basic existential needs, the online textile and apparel industry witnessed a boom in sales even during the lockdown or restricted movement scenario.

The labor-intensive nature of the textile industry makes it the second largest employer, after agriculture, contributing 10 per cent to the countrys manufacturing. The industry contributes 7 per cent to the nations total industry output and 2.3 per cent of the GDP. It also makes up 5 per cent of the global trade in textiles and apparel.

The Indian textile industry is among the oldest industries in the country dating back several centuries. India is the second largest producer and exporter of textiles after China as well as the fourth largest producer and exporter of apparel after China, Bangladesh and Vietnam. Superior quality makes companies in India export leaders. Almost two-thirds of Indias export of textiles is to US and UK.

Despite the slowdown due to the pandemic, sales in the online textile and apparel industry witnessed a jump in various cities and states of India. The post-COVID-19 era provided a big opportunity for the industry to move online. In fact, e-retail may be the big game-changer with e-retailers expected to play a pivotal role in the recovery of the Indian economy in 2021.

Government Support: The textile industry is already witnessing substantial investment by both national and international players. Up to 100 per cent FDI is allowed under the automatic route in the Indian textile sector. Equity inflows from Foreign Direct Investment in textiles (including dyed, printed) between April 2020 and December 2020 was USD 3.7 billion. The Indian government has also introduced various promotion schemes such as the Technology Upgradation Fund Scheme (TUFS) and the Scheme for Integrated Textile Parks (SITP) to attract investment in the industry.

While TUFS is the flagship scheme of the Ministry of Textiles to facilitate technology modernization and upgradation of textile mills, the SITP facilitates infrastructure for setting up textile units in growth areas. Until financial year 2020-21, 59 textile parks were sanctioned under the scheme for integrated textile parks, out of which 22 have been completed.

In Budget 2021-22, the Government also proposed a scheme for setting up mega investment textile parks (MITP) in the country to enable Indias textile industry to become globally competitive, attract large investments, and boost employment generation through the creation of world-class infrastructure. Seven mega textile parks will be established over the next three years as part of the scheme. The mega textile parks will have integrated facilities and quick turnaround time for minimizing transportation losses and an eye on big-ticket investments in the sector.

On a positive note, textile and garment manufacturers all over the country contributed to the growth of the personal protective equipment (PPE) industry as the COVID crisis saw India become the second largest manufacturer of PPEs globally. As per estimates based on inputs provided by the industry, the country manufactured nearly 6 crore PPE body coveralls and 15 crore N-95 masks during April 2020 to December 2020. Nearly 1,100 manufacturers had registered for PPE body coveralls and more than 200 manufacturers for N-95 mask manufacturing. The average market size of this newly created industry is around Rs 7,000 crore.

According to data from the National Investment Promotion and Facilitation Agency for Investment in India, by FY 2024-25, exports by the textile and apparel industry are expected to reach USD 300 billion and Indias market share is likely to triple from 5 per cent to 15 per cent.


Adoption of modern technologies Superior capacity building Availability of low-cost skilled labor Industry 4.0 adoption in manufacturing Growth of online fashion industry

Favorable demographics – growing youth population, rising disposable incomes, urbanization, etc.

Increasing penetration of organized retail

Growth of technical textiles led by the growing prevalence of industries like medical, construction, etc. Strong support from government with several schemes like the SITP, Revised Restructured Technological Upgradation Fund Scheme (RRTUFS) and Amended Technology Upgradation Fund Scheme (ATUFS) besides lowering the GST slab to 5 per cent, ‘Make in India, Atmanirbhar Bharat, 100 per cent FDI etc.


The pulp and paper industry is a large and growing portion of the worlds economy, which is faced with mounting environmental, political, and economic pressures to reduce the volume and toxicity of its industrial wastewater.

The global paper products market was estimated at USD 837.6 billion in 2020 and expected to grow to USD 885.6 billion in 2021 at 5 per cent CAGR. The growth is mainly due to companies rearranging their operations to recover from the COVID-19 crisis. The market is expected to reach USD 1,080.4 billion in 2025 at 5 per cent CAGR between 2020 and 2025. World production of paper and paperboard is around 390 million tons and expected to touch 490 million tons by 2020.

Asia-Pacific was the largest region in the global paper products market, accounting for 35 per cent of the market in 2020; North America came second, having cornered 26 per cent of the global market and Africa was the smallest region in the global paper products market.

The outbreak of COVID-19 proved to be a massive restraint on the paper products manufacturing market in 2020 as it disrupted supply chains due to trade restrictions and consumption declined due to lockdowns imposed by governments globally. While the outbreak will expectedly, continue to have a negative impact on businesses into 2021, the paper products manufacturing market is likely to recover soon as supply channels normalize.

Meanwhile, businesses have realized the benefits of enhancing automation in an otherwise labor-intensive industry. The paper industry has been shifting from tedious manual manufacturing processes to automated production facilities. Automation has enabled paper product companies to enhance productivity and reduce production costs. These technologies are also saving energy cost. Control systems such as integrated drive systems (IDS) are improving plant efficiency by minimizing energy consumption and simplifying service and maintenance processes.


(Source: The Business Research company, Paper Products Global Market Report 2021: COVID-19 Impact And Recovery To 2030)


Indias paper industry provides employment to over 500,000 people directly and 1.5 million indirectly. Paper consumption in India, approximately 15 million tons per annum, is expected to touch 23.5 tons per annum by 2025 and predicted to increase by 7.6 per cent per year. The per capita consumption of paper in India, however, is still very low at 14 kgs per annum, as compared with the global average of 57 kgs and over 200 kgs in developed countries. The domestic market size is approximately Rs 80,000 crores while exports of paper were valued at over Rs 6,800 crores in FY 2019-20. India ranks fifteenth among paper manufacturing nations in the world.

The Indian paper industry, which was one of the worst hit in the wake of the COVID-19 pandemic, has witnessed some signs of revival. The closure of educational institutes significantly impacted the demand for paper. However, there was a strong traction in demand for packaging boards due to the spike in online deliveries. The global trend to support biodegradable and sustainable packaging has also augured well for the industry.

Paper manufacturing scenario in India is witnessing a significant shift towards sustainability with large paper mills working to improve efficiencies, increase productivity, and reduce resource intensity. The industry has been working on new practices including research and development towards energy efficiency, environment preservation, and better overall process technology.

In the last five years, specific energy consumption has reduced by about 20 per cent. Integrated paper mills in India generate 50-60 per cent of the power indigenously, utilizing the black liquor from the pulping process. In the first two cycles of the Governments Perform Achieve Trade (PAT) scheme to reduce energy consumption, the paper industry significantly over-achieved the mandated stiff targets for energy saving. The environmental standards stipulated by the Government have become stringent over time and all members of the Indian Paper Manufacturers Association (IPMA) are environment compliant. The paper industry has reduced water consumption significantly from 200 cubic meters to produce one ton of paper a few years ago to 50 cubic meters of water currently used by integrated mills. Efforts are ongoing to bring down water consumption to 35-40 cubic meters by inducting a range of water conservation technologies.


(Source: Business Line, Paper industry likely to witness uptick in demand, 21 February 2021.)


Greater emphasis on education and literacy by the Government

Robust growth in organized retail

Growing demand for better quality paper in writing and printing segment

Increasing demand for better quality packaging of FMCG products marketed through organized retail

Booming e-commerce

Rising healthcare spends, over-the-counter medicines

Increasing preference for ready-to-eat foods

Complete ban or limited use of plastic in carry bags and packaging


Established in 1990, Trident Limited (hereafter referred to as the Company) is the flagship company of the dynamic and growth-oriented USD 1 billion Trident Group. Founded by Mr Rajinder Gupta, Chairman and first-generation entrepreneur, the Company is one among the top five global terry towel giants of the world. Headquartered in Ludhiana, Punjab, it is the largest player in terms of terry towel capacity and one of the biggest players in home textiles in India. From being a solitary yarn manufacturer, the Company has transformed into one of the largest state-of-the-art integrated home textile and paper manufacturers globally.

Trident is a leading manufacturer of yarn, bath linen, bed linen, wheat straw-based paper, chemicals, and captive power. In 2016, the Company ventured into the bed linen space by commissioning a facility in Budni, a town in the state of Madhya Pradesh. The Company has three state-of-the-art manufacturing facilities, two in Barnala, Punjab and one in Budni. It has marketing offices spread across the country in Chandigarh, Bhopal, Gurgaon, Delhi and Surat and internationally in New York, USA and Warrington in Cheshire, United Kingdom. The Company has spread its footprint in over 150 countries worldwide.

To accelerate the growth momentum, the Company launched ‘Vision 2025 aimed at synchronizing group efforts for better positioning of the Company in all business verticals. The Company is seeking to unlock long-term sustainable value for shareholders. Its plan is to achieve revenues of Rs 25,000 crore by 2025 with a 12 per cent growth in the bottom line; make Trident a national brand and digitalize Trident by completing the journey of smart manufacturing or Industry 4.0. The Board has authorized its strategy committee to examine various rapid-growth strategies.

The strategy committee shall explore various options to boost shareholder value including capital allocation strategies to improve return ratios, expansion of existing businesses and diversification into new businesses through organic and inorganic growth. The committee shall look into creation of focused business groups to generate synergies and explore business alliances. Optimization of leveraging capacity to create value and penetration into new markets, product development, E-commerce, and brand building are also part of the Committees growth strategy.


Key highlights Sales EBIT Margin
(Rs million)
FY 2019-20 37,776.0 10.1%
FY 2020-21 38,160.9 10.1%


Operating for almost two decades in the industry, the Company has the largest spinning installation at a single campus in India. It manufactures high quality cotton yarns for both indigenous consumption in the home textile segment and for retail sale. The manufacturing facilities are equipped with advanced technologies like blow room from Trutzchler, ring frame from Zinser and Murata, compact attachments of Suessen, and testing technologies like UT 5. Its vast product portfolio includes a wide range of premium quality yarn.


Segment witnessed good recovery

Captive consumption of yarn for home textile products at 59% of total yarn production

Capacity utilization at 84 per cent


The capex project being undertaken by the Company for setting up additional yarn manufacturing unit is at advanced stage of completion

To enhance existing product lines, the Company is likely to leverage IPRs for value creation

Expansion of product pipeline with new launches

Revenue Contribution Contribution (%)
FY 2019-20 26%
FY 2020-21 27%


100 per cent cotton Packed dye yarn
combed yarn Gassed mercerized yarn
Special open-end yarn Zero twist yarn
Organic cotton yarn Wrapper yarn
Core spun yarn Bamboo/cotton yarn
Blended yarn Modal/cotton yarn
Eli-twist yarn Soya/cotton yarn
Slub yarn Polyester/cotton yarn
Compact yarn BCI cotton yarn
Air rich yarn BMP cotton yarn
Certified cotton yarn 100 per cent dyed yarn
Mlange yarn


The Company holds a unique place in the home textile space as one of the largest vertically integrated companies globally. Bath and Bed Linen are the two main business divisions. Innovation lies at the very heart of Trident, be it in the production infrastructure, fiber use, yarn production or processing. The Company has a strong grip across its value chain.

The Companys state-of-the-art production facilities include spinning, wide-width air jet and jacquard weaving, soft flow dyeing and fully automated cutting and sewing for towels. The manufacturing units are equipped with world-class machinery like Karl Mayer, Texpa, Schmale, and Thies from Germany; Toyota from Japan; Beninger from Switzerland; Anglada from Spain; ETON from Sweden; Zimmer from Austria and Picanol from Belgium.

The Companys design studios in US and UK ensure proximity to the market and its customers. It has a dedicated team of qualified designers from the most prestigious Indian institutes for end-to-end product and print design innovation.

In order to enhance the presence of Trident, the Company has also opened six New Showrooms Across India in January, 2021 and further Six showrooms in the Month of April, 2021.

Revenue Contribution Contribution (%)
FY 2019-20 54%
FY 2020-21 55%


The Company, equipped with omni-channel capabilities has established its footprint across e-commerce platforms. The Company is focused to drive growth from digital platforms to leverage the new opportunities arising from currently challenging times.


The Company is the largest player in terry towel capacity. In the US market, it holds the position of being one of the leading suppliers of bath linen. The Company has been at the forefront of innovation to introduce superior quality products conforming to global standards. It has manufacturing units at Barnala, Punjab and Budhni, Madhya Pradesh. The average capacity utilization of this segment has been exceptionally high at 53 per cent due to growing exports as a result of the COVID-19 pandemic.


Luxury Bath Mats
Organic Checkered
Spa & Hotel Waffle
Beach Infants & Kids
Designer Bath Rugs
Dobby Texture


Trident is a complete bedding solution provider with a wide product portfolio and unmatched design capabilities. The division has witnessed huge traction primarily led by increasing exports. It clocked the highest capacity utilization of around 80 per cent in the year under review.


Solid/Printed Sheets Pillow Cases
Top-up Sheets Quilts
Duvets Decorative Pillows
Comforters Coverlets
Fitted Sheets Dohars


Introduced products with anti-microbial treatment as the standard across Bath Linen category

Introduced several Bath Linen products under anti-viral category

Highest ever capacity utilization at 53 per cent for Bed Linen and 80 per cent for Bath Linen on account of robust export demand

The Company has taken various steps to sustain and increase the volume growth across Bed and Bath Linen segments in the US market. It has tapped new customers with customized product offerings in the beach products category, created a dedicated team to cater to rising demand from online channels, created virtual showrooms to enable customers to view the range of offerings, conducted virtual plant visits and inspections, and focused on increasing patents and trademarks


Cross-selling bed linen products to existing clients of bath linen

Establishing stronger presence in ecommerce with changing needs due to COVID-19 pandemic

Dedicated innovation and designing team to accelerate patents and trademarks


Trident has established itself as one of the preferred suppliers of high-quality paper for multi-color high speed printing and publishing and high-quality branded copier paper. With a clearly defined customer-centric approach, the Company has strengthened its brand equity. Trident has established itself as one of the prominent paper manufacturing companies in both the domestic and international markets. With a production capacity of 175,000 TPA, Trident is the worlds largest manufacturer of wheat straw-based paper. This capacity is being further upgraded to 200,000 TPA with the help of de-bottlenecking project.

Keeping pace with latest technological advancements, the Company has unmatched ability to produce high-quality eco-friendly paper. The Company focuses on technical superiority with world-class machines and great concern for the environment. The Company is committed to minimal wastage during production and thus uses eco-friendly raw material like wheat straw. Punjab being the highest wheat producing state in India, enables easy procurement at attractive pricing.

Key Highlights Sales EBIT Margin
(Rs million)
FY 2019-20 9,225.4 33.6%
FY 2020-21 7,040.7 25.5%


Trident Spectra Trident Royal Touch
Trident My Choice Trident Digi Print
Trident Natural Trident Spectra Bond
Trident Eco Green


Super Line Drawing Paper
Prime Line Platinum Line
Cartridge Paper Silver Line
Index Paper Trident Royale
Stiffener Paper Copier Grade
Diamond Line


Bible Cream Wove Offset (Watermark) Paper


Capacity utilization at 79 per cent

To improve its product mix, the Company has started to offer Kraft paper which has diverse uses including packaging

Realizations suffered on account of growing imports of cheaper products from China


The Company expects improvement in volumes as well as realizations with ramping up of the massive inoculation drive in the country

Growing manufacturing sector, humungous growth in e-commerce related deliveries, requirement of better-quality packaging of FMCG products marketed through organized retail, and the demand for the upstream market of paper products, such as tissue paper, filter paper, tea bags, lightweight online coated paper and medical grade coated paper are expected to drive market demand


Trident is the leading manufacturer of sulphuric acid in India, offering superior quality LR/AR grade sulphuric acid based on borosilicate glass making facility from De Dietrich Process Systems, Germany, who are world leaders in the field of glass plants. The Company boasts of being one of the largest commercial and battery grade sulphuric acid manufacturers in North India. It manufactures a superior quality product with more consistency, bigger scale, and improved efficiency. It specializes in three grades of sulphuric acid - Commercial Grade, Battery Grade, and Laboratory Reagent (LR) Grade Sulphuric Acid, which differ in composition and hence serve various different applications. Sulphuric acid produced by the Company finds applications in diverse battery requirements and in the production of zinc sulphate, alum, fertilizers, detergent, and dyes.

The Company follows the process of burning elemental Sulphur using the double contact, double absorption technology to manufacture sulphuric acid. The Dhaula absorption plant is designed to support the unique process that limits emissions to a bare minimum. The multi-fuel AFBC boilers are equipped with automated DCS operations and intelligent load management systems. The plant is fed through agro-wastes like rice husk, ETP sludge, methane (from ETP), and pet as well as imported coke. This energy efficient model works appropriately to support the entire production.

The Company is accredited with ISO 9001:2008 for quality management by DNV Netherland. It is also accredited with OHSAS 18001:2007 for occupational health and safety management systems.

FINANCIAL PERFORMANCE Statement of Profit and Loss Revenues

Net Revenue in FY 2020-21 stood at Rs 45,353 million compared to Rs 47,239 million in FY 2019-20.

Segmental Revenues Textile Segment:

Revenue for segment stood at Rs 38,161 million in FY 2020-21 compared to Rs 37,776 million in financial year 2019-20. EBIT for the segment increased to Rs 3,925 million Y-o-Y as compared to 3,018 million in FY 2019-20.

Paper & Chemicals Segment:

Revenue for the period stood at Rs 7,041 million in FY 2020-21 compared to Rs 9,225 million in FY 2019-20. EBIT for the segment during the period stands at Rs 1,823 million Y-o-Y as compared to Rs 3,100 million in FY 2019.


EBIDTA for FY 2020-21 stood at Rs 8,270 million which translates into 18 per cent margin.

Net Profit

Net Profit for the FY 2020-21 stood at Rs 3,457 million translating to EPS of Rs 0.68.


The Company has maintained healthy dividend percentage of 36 per cent on face value of each equity share by way of Final Dividend. The dividend payout ratio stood at 53 per cent for the FY 2020-21.

Finance Cost

Finance Cost in FY 2020-21 reduced to Rs 720 million, reduction of 35 per cent as compared to Rs 1,108 million in FY 2019-20.

Balance Sheet Paid-up Capital

The total equity share capital for the FY 2020-21 stood at 5,096 million. There is no change in the equity share capital of the Company.

Net Worth

Net worth for FY 2020-21 stood at Rs 33,166 million from 29,669 million in FY 2019-20. The increase was mainly on account of increased profitability of the Company.


The Companys net borrowings have declined by 12 per cent to 14,232 million in FY 2020-21 from Rs 16,145 million in FY 2019-20 on account of decrease in working capital utilization and increase in cash and cash equivalents.

Impact of COVID-19

During the period under review, the Companys/Groups operations, revenue and consequently profit were impacted due to COVID-19. The Company/Group has made detailed assessment of its liquidity position and the recoverability of carrying value of its assets comprising property, plant and equipment, intangible assets, right of use assets, investments, inventory and trade receivables. Based on current indicators of future economic conditions, the Company/Group expects to recover the carrying amount of these assets. The impact of the pandemic in the subsequent period is highly dependent on the situations as they evolve and hence may be different from that estimated as at the date of approval of these standalone and consolidated financial results.

Debt-Equity Ratio

The Companys net debt-equity ratio has strengthened from 0.54 in FY 2019-20 to 0.42 in FY 2020-21 on account of accelerated debt repayment. The Company has successfully strengthened its balance sheet to ensure smooth cash flows and periodic reduction of long-term debts.

Debtor Turnover

The Debtor Turnover Ratio has improved significantly in FY 2020-21 to 10.0 as compared to 17.0 in previous year FY 2019-20. The initiatives taken by the Company during the year have resulted in reduction of its receivables and improvement in the Cash-to-Cash Cycle.

Key Financial Ratios

Ratio Formula FY21 FY20 Change Reason for major change (i.e. 25% or more)
Debtors Turnover Total Sales/Total Trade 10.0x 17.0x -41% Increase in Trade
Receivables Receivables
Inventory Turnover Total Sales/Total Inventory 4.5x 5.2x -13% NA
Interest Coverage Ratio EBITDA/Interest 11.5x 7.8x 47% Deduction in Finance Costs
Current Ratio Current Assets/Current Liabilities 1.0x 1.0x -4% NA
Debt Equity Ratio Gross Debt/Net Worth* 0.5x 0.7x -30% Reduction in Debt
Operating Profit Margin EBIT/Total Sales 10.8% 11.3% -4% NA
Net Profit Margin PAT/Total Sales 7.6% 7.2% 5% NA
Return on Net Worth PAT/Net Worth* 10.4% 11.5% -10% NA


* Including fair valuation of land amounting Rs 6,907.7 million


Active risk management is essential for the Company to drive its operations successfully. Various types of risks, both internal and external, can impact business profitability. Trident closely monitors and minimizes any foreseeable risks in a structured and proactive manner.

Risk Impact Mitigation Strategy
Raw Material Risk For its textile and paper production, the Company uses cotton and wheat straw, respectively as raw materials. Production may be impacted due to unavailability, limited availability or price volatility of these raw materials. Close proximity to raw material sources besides strong and long-lasting vendor relationships help the Company ensure steady availability.
With a deep understanding of the historical cycle of input prices, the Company consciously takes measures to save landed cost and inventory management. The Companys robust hedging policies take care of any raw material price volatility.
Currency Risk Having a strong international business, the Company is exposed to foreign currency fluctuation risk. Timely and continuous tracking of currency movements and exposures, besides limiting the same enables management of margins.
Measured hedging in foreign currency helps mitigate exchange rate fluctuations.
Geographical Risk Overdependence of revenue from a particular geography increases risk to business continuity in case of severe economic impact in that particular region. The Company has widespread business activities in India and over 150 countries globally thereby strategically reducing the impact of economic risk arising in a particular region.
Additionally, its strong and growing e-commerce presence ensures products can be made available anytime at any place.
Policy Risk Introduction of new policy or modification in an existing policy may impact the Companys business thereby posing a risk to revenue flow. The Companys adept management team closely monitors policy actions and accordingly formulates business strategies. The Company leverages various policy incentives by the Government to strengthen its market position.
Competition Risk Low-cost imports due to favorable government policies in other countries, may pose significant risk to business and impact pricing strategy. Leveraging economies of scale, cutting-edge technology, and strategic partnerships with all stakeholders, gives the Company the competitive advantage to offer competitive rates globally.
Force Majeure The outbreak of the COVID-19 pandemic brought economies across the globe to a standstill and altered ways of working both personally and professionally. Minimum contact activities are becoming the new norm. While the first wave of the pandemic is behind us, and massive inoculation drives are underway, the impact and severity of the forthcoming waves pose significant risk to business. The Company undertook timely and effective measures to ensure business continuity. Significant changes were made at manufacturing facilities to leverage economies of scale and focus on innovation. The Companys strategies centered around employee well- being, cost optimization, prudent cash management, optimum utilization of resources, product innovation, increasing scope of e-commerce platforms, and effectively tapping the domestic market.


Human capital is considered a key resource and an intrinsic contributor to the Companys success. The Company ensures a safe, transparent, healthy, progressive and productive work environment conducive to enhancing employee productivity. Robust HR policies are in place for attracting, retaining and developing the best talent. Training and development programs are periodically conducted for employees. These programs are targeted for skill enhancement and appropriate career progression to create future leaders. During the year under review, industrial relations remained cordial.

Our Organizational Capabilities – are the collective skills, abilities, and expertise of Trident – these are being enhanced by our unvarying investments in order to reap a plenitude of advantages. Whether it is ensuring ‘Strategic Unity with Project Ekaaksh – in collaboration with ISB; where we sponsored 90 young leaders to undertake an on campus Leadership development programme or ‘Fostering Innovation with an EXO Sprint series to deliver new Business Proposals – Project Brahma helped us to identify & nourish HiPos – we are constantly striding forward. Harboring ‘Diversity & Inclusion with numerous initiatives such as ‘SheKnows, we have been enhancing Individual Learning too with several strategic knowledge collaborations & building personal accountability towards our Shared Vision with a Master Trainer initiative. Our very own HR chatbot: Sameep has enhanced ‘Employee Engagement by enabling information on demand - 24x7 adding a new nuance & dimension to the HR proposition.


In our journey to make Trident an Organization that serves humanity and looks at synergistic growth and also in order to uplift the rural and youth, during the period under review, Trident has launched its first collaboration with MoT in the form of a Govt. project of Skill Development named – SAMARTH. SAMARTH stands for Scheme for Capacity Building in Textile Sector, Ministry of Textile, Government of India and under this training programme / scheme, we shall be providing training to the students so as to enable them to take on the job role of Sewing Machine Operator. Glimpse of the scheme is as follows:

The students are being trained in-campus of the Company for a duration of 7 weeks, during which continuous and rigorous classroom sessions and practical sessions will be covered The total of 300 hours of training is being provided which inter-alia includes 210 hours of practical training and 90 hours of classroom training Special classroom sessions are being conducted for the student under English and Soft skill development During the duration of training, if any student wants to stay inside campus, the same will be arranged for them in the hostel block sanctioned dedicatedly for Govt. projects Post the training, the students will be evaluated and basis their performance as per Trident criteria, minimum 70% students shall be absorbed as skilled workforce


The Companys robust internal control systems for financial reporting are commensurate with the size and industries in which it operates. These systems ensure efficiency and productivity at all levels as well as safeguard its assets. Stringent procedures are in place to ascertain high accuracy in recording and providing consistent financial and operational support. Business operations are closely monitored by the internal team and an Audit Committee. The Management Board is promptly notified in case of any deviations. To ensure seamless growth, risk identification and assessment, as well as mitigation strategies are designed basis these findings.


The Management Discussion and Analysis Report containing your Companys objectives, projections, estimates and expectations may incorporate certain statements, which are forward-looking within the meaning of applicable laws and regulations. The statements in this Management Discussion and Analysis Report could differ materially from those expressed or implied elsewhere. Important factors that could make a difference to the Companys operations include raw material availability and prices, cyclical demand and pricing in the Companys principal markets, changes in governmental regulations, tax regimes, forex markets, economic developments within India and the countries within which the Company conducts business besides other incidental factors.