trident texofab ltd share price Management discussions

Economic overview

Global economy

Global economic growth is anticipated to undergo a moderate deceleration, with a projected decline from an estimated 3.4% in 2022 to 2.9% in 2023, followed by a gradual rebound to 3.1% in 2024. These projections take into account various factors exerting downward pressure on economic activity, such as the escalation of central bank rates to combat inflation and the ongoing conflict between Russia and Ukraine. Moreover, the rapid transmission of the COVID-19 virus in China had dampened growth in the previous year; however, recent developments signal a swifter-than-anticipated recovery as the country gradually restores normalcy.

Inflationary pressures at the global level are expected to ease in the coming years, with a projected decline from 8.8% in 2022 to 6.6% in 2023 and further down to 4.3% in 2024. Despite the persisting risks that tilt towards a negative outlook, the potential for a brighter trajectory exists. Enhanced economic momentum from pent-up demand in various economies and a more rapid decline in inflation represent plausible upside scenarios. Conversely, potential downside risks include the potential for severe health ramifications in China hindering the recovery, an escalation of the conflict between Russia and Ukraine, and the exacerbation of debt distress due to tighter global financing conditions. Additionally, unforeseen inflation- related news could prompt sudden repricing in financial markets, and further fragmentation on the geopolitical front may impede overall economic progress.

Moving forward, leveraging pent-up demand and fostering stable inflationary trends present opportunities for a more robust global economic outlook.

Indian economy

After experiencing a robust growth rate of 8.7% in FY22, the Indian economy is projected to achieve a real GDP growth of 7% in FY23. This growth has been primarily driven by strong private consumption and increased capital formation, which have also resulted in job creation as evidenced by declining urban unemployment rates and higher registrations in the Employee Provident Fund. Additionally, the successful implementation of a vast vaccination campaign, with over 2 Billion doses administered, has contributed to improved consumer sentiment, further bolstering consumption patterns.

Several factors contribute to the optimistic growth forecasts for the Indian economy. The rebound in private consumption has stimulated production activities, while increased Capital Expenditure has facilitated the participation of the private sector. The widespread vaccination coverage has allowed people to engage in contact-based services, such as dining out, hotel stays, shopping, and cinema visits. Moreover, the return of migrant workers to urban areas, specifically in the construction sector, has reduced housing market inventory. Furthermore, corporations have strengthened their balance sheets, and well-capitalised public sector banks are ready to increase credit supply, particularly to Micro, Small, and Medium Enterprises (MSMEs), enabling their growth.

The MSME sector has experienced remarkable credit growth, averaging over 30.6% between January and November 2022, supported by the extended Emergency Credit Linked Guarantee Scheme (ECLGS) introduced by the government. The recovery of MSMEs is evident from the increased amounts of Goods and Services Tax (GST) they contribute, while the ECLGS has eased their concerns regarding debt servicing. The capital expenditure of the central government, which rose by 63.4% in the first eight months of FY23, has also been a key driver of economic growth, crowding in private CAPEX since the beginning of 2022.

Looking ahead to FY24, India is expected to witness a GDP growth rate ranging between 6.0% and 6.8%.

This positive outlook is supported by the anticipation of a vigorous credit disbursement and capital investment cycle, as the corporate and banking sectors strengthen their balance sheets. Furthermore, the expansion of public digital platforms and the implementation of transformative initiatives such as PM GatiShakti, the National Logistics Policy, and the Production-Linked Incentive schemes are expected to boost manufacturing output and provide additional support for economic growth. These factors collectively indicate a favourable trajectory for the Indian economy in the coming years, underpinned by various growth drivers and strategic measures aimed at enhancing productivity and competitiveness.

Industry scenario

Global textile and apparel Industry

Textile market

The global textile market has witnessed a substantial growth surge, soaring from $573.22 Billion in 2022 to $610.91 Billion in 2023, achieving an impressive CAGR of 6.6%. Although the short-term prospects for global economic recovery were marred by the Russia-Ukraine conflict, the textile industry is poised for further expansion due to several driving factors. The rise in population, rapid urbanisation, and increasing disposable incomes are expected to fuel market growth. Notably, the emergence of trends like the utilisation of recycled fibres is projected to foster the upward trajectory of the textile market. While challenges persist due to the war in Ukraine, resulting economic sanctions, commodity price surges, and supply chain disruptions leading to inflationary pressures across sectors, the textile market is predicted to ascend to new heights, with a projected value of $755.38 Billion by 2027 and a CAGR of 5.5%.

Apparel market

In 2021, the global apparel consumption market showcased resilience, estimated to have reached a substantial value of approximately $1.5 Trillion, marking a noteworthy recovery of around 16% compared to the previous year. The upward trend is set to continue, with the apparel market expected to surge to a staggering $2 Trillion by 2025, exhibiting a consistent CAGR of 4% since 2019. Geographically, the United States has solidified its position as the largest consumer market, boasting a significant worth of $257 Billion in 2021, with a commendable CAGR of 5%. In contrast, the EU-27 region experienced a decline, witnessing a CAGR of -11% in 2021 due to the lingering effects of the COVID-19 pandemic, resulting in a market value of $211 Billion. However, China, the third-largest market globally, is poised for remarkable growth, projected to achieve an outstanding CAGR of 11% and dominate the industry as the largest apparel market, with an estimated value of $340 Billion by 2025. Other notable players in the market include Japan, India, Brazil, and Canada, contributing to the dynamic landscape of global apparel consumption.

Shift in global dynamic

In this vibrant industry, emerging economies such as China and India have taken centre stage, surpassing the growth rates of their developed counterparts. These economies are fueled by their burgeoning domestic markets and the simultaneous rise in disposable incomes. Collectively, these two powerhouses account for a commanding 59% share of the total apparel market, with the rest of the world comprising the remaining 41%.

Global Textile & Apparel trade

The global textile and apparel (T&A) trade showcased an impressive performance, amounting to a remarkable $869 Billion in 2021. This marked a significant recovery of 22% post-COVID and a growth rate of 2% compared to 2019. The apparel segment played a pivotal role, accounting for the largest share at 57% of the total trade, amounting to a substantial value of $492 Billion, followed by fabric with a 13% market share. Looking ahead, the trade is projected to continue its upward trajectory, expected to achieve a CAGR of 3% and reach an impressive $1 Trillion by 2025.

As anticipated, apparel will maintain its position as the largest traded category, estimated to be valued at $573 Billion.

China remains the undisputed leader in the global T&A trade, capturing an impressive market share of 37%, followed by Bangladesh with a 5% share. India secures its position as the fourth-largest global supplier, holding a 5% share and an export value of $42 Billion. The rise of Vietnam and Poland has been notable, with both countries achieving a remarkable CAGR of 10% each since 2010. Bangladesh follows closely with an 8% CAGR during the same period. In contrast, India has experienced a moderate growth rate with a CAGR of 4%. Over the past decade, China witnessed a decline in market share by 4%, while Bangladesh and Vietnam recorded significant gains, each increasing their shares by 3%. Indias share has remained stable during this period, establishing a steady presence in the global T&A trade landscape.

India secures its position as the fourth-largest global supplier, holding a 5% share and an export value of $42 Billion. Indias share has remained stable during this period, establishing a steady presence in the global T&A trade landscape.

Opportunities driving growth:

Focus on sustainability

In response to the pressing environmental concerns surrounding the textile industry, companies worldwide are proactively adopting measures to transform the sector into a green and sustainable one. These initiatives encompass the responsible use of natural resources like water and energy during production, the utilisation of sustainable raw materials, proper management of hazardous chemicals, effective waste disposal, water treatment before discharge, incorporation of recycled products, and adherence to guidelines ensuring the wellbeing of workers, consumers, and the environment.

Supply chain digitisation

The post-COVID era has witnessed a paradigm shift in conducting business, with digitalization revolutionising supply chain dynamics between buyers and suppliers across the globe. As compliance requirements become more stringent, transparency within the supply chain has become essential. Digitalization enables buyers to connect with suitable suppliers from any corner of the world, paving the way for greater efficiency, transparency, and collaboration. This transformative trend has impacted sourcing approaches, supply chain visibility, partner collaboration, and information sharing and analysis, thereby redefining the textile supply chain landscape.

The Xinjiang impact

Following the ban on Xinjiang cotton by the US, heightened consciousness regarding sourcing practices has motivated buyers to reduce dependency on China. This development has presented a valuable opportunity

for other manufacturing nations such as Bangladesh, Vietnam, and India to expand their market share in the global textile and apparel industry, boosting their exports. The ban has particularly opened doors for Indian cotton- based products on the global stage. Capitalising on the shifting production capacity away from China over the past few years, countries in South Asia have steadily increased their market shares in terms of textile exports to the US.

The comfort wear factor

The advent of the COVID-19 pandemic necessitated prolonged periods of staying at home, spurring a surge in demand for comfortable clothing. This phenomenon gave a significant boost to the comfort wear segment, which primarily utilises stretchable fabrics. Consequently, there was an increased demand for raw materials like cotton- spandex, polyester, and nylon-spandex. The combination of the pandemic-induced emphasis on comfort and the growing interest in comfortable apparel over the past years propelled the athleisure category to new heights.

Growing share of manmade fibre

The dominance of manmade fibre (MMF) in the global fibre consumption landscape continues to rise, accounting for a substantial 70% share, primarily led by polyester fibre. Global fibre consumption has witnessed a steady increase from 87 Million tons in 2014 to 103 Million tons in 2022. Polyester has emerged as the largest and fastest- growing category, surpassing cotton, with a current global consumption of 57 Million tons. The escalating demand for man made fibre is significantly shaping the global textile and apparel industry, offering vast opportunities for growth and innovation.

Indian textile and apparel industry

Indias textiles and apparel industry holds a prominent position on the global stage, driven by impressive achievements and significant contributions. Renowned as one of the largest producers of cotton and jute worldwide, Indias prowess extends to silk production, where it stands as the second-largest silk producer globally.

Notably, a remarkable 95% of the worlds hand-woven fabric originates from the skilled artisans of India. Such expertise is further bolstered by the countrys robust technical textiles segment, which accounts for an estimated $16 Billion, capturing approximately 6% of the global market share.

The textiles and apparel industry in India has emerged as a vital driver of employment, ranking as the second- largest employer within the nation. Directly employing a staggering 45 Million individuals and supporting an additional 100 Million in allied industries, this sector serves as a cornerstone of economic growth and livelihood creation. Indias footprint in the global trade of textiles and apparel is equally impressive, with its market share standing at a noteworthy 5%. In 2022, the Indian textile and apparel market reached an impressive valuation of $172.3 Billion.

Looking ahead, this dynamic industry is poised for remarkable growth, with projections anticipating a meteoric rise to $387.3 Billion by 2028. This translates to an exceptional CAGR of 14.59% during the period between 2023 and 2028. Several key factors drive this anticipated expansion, including the escalating demand for premium-quality clothing and footwear, the introduction of government schemes empowering weavers, and a growing emphasis on ethically sourced sustainable materials. Notably, the domestic home textile market is predicted to witness substantial growth, projected to reach $13 Billion, while the technical textile market is expected to achieve a robust CAGR and reach $42 Billion by FY26.

Given Indias thriving economy, the textiles and apparel industry assumes a pivotal role in the nations trajectory.

Indias overall T&A exports

Indias Trade and Apparel (T&A) exports experienced a mixed performance during the first half (H1) of FY23. In Q1 FY23, exports showed a modest growth of 5%, but this positive trend reversed in Q2 FY23 with a significant decline of 22%. As a result, the overall export growth in H1 FY23 remained negative at 9%. Among the various T&A categories, apparel emerged as the top performer, witnessing a growth rate of 11%. However, other segments faced challenges and reported negative growth. Notably, fiber exports took the hardest hit, plummeting by 51% in H1 FY23 compared to H1 FY22.

Indias T&A exports to the United States (USA) recorded a slight increase of 3%, while exports to Europe saw a more promising growth of 4%. Collectively, these two regions accounted for approximately 50% of Indias total T&A exports. Impressively, the USA witnessed a 24% surge in imports during H1 FY23, corresponding to Indias 22% export growth to the country during the same period. Similarly, the European Union (EU) experienced a significant uptick of 40% in imports from around the world, with Indias exports to the EU reflecting this growth by expanding 40% in H1 FY23.

Indias overall T&A exports

Indias Trade and Apparel (T&A) exports experienced a mixed performance during the first half (H1) of FY23. In Q1 FY23, exports showed a modest growth of 5%, but this positive trend reversed in Q2 FY23 with a significant decline of 22%. As a result, the overall export growth in H1 FY23 remained negative at 9%. Among the various T&A categories, apparel emerged as the top performer, witnessing a growth rate of 11%. However, other segments faced challenges and reported negative growth. Notably, fibre exports took the hardest hit, plummeting by 51% in H1 FY23 compared to H1 FY22.

Indias T&A exports to the United States (USA) recorded a slight increase of 3%, while exports to Europe saw a more promising growth of 4%. Collectively, these two regions accounted for approximately 50% of Indias total T&A exports. Impressively, the USA witnessed a 24% surge in imports during H1 FY23, corresponding to Indias 22% export growth to the country during the same period. Similarly, the European Union (EU) experienced a significant uptick of 40% in imports from around the world, with Indias exports to the EU reflecting this growth by expanding 40% in H1 FY23.

Indias overall T&A imports

Indias overall T&A imports exhibited a substantial increase of 65% in H1 FY23 compared to H1 FY22. Fibre imports emerged as the leading contributor to this surge, experiencing a remarkable growth rate of 144% since H1 FY22. Yarn imports also showed a notable growth rate of 79%. China maintained its position as Indias largest import partner, accounting for 37% of the total imports in H1 FY23. However, there was a 5% point decline in Chinas share compared to H1 FY22.

The performance of Indias T&A exports and imports during H1 FY23 reflects a mixed picture. While the overall export growth remained negative due to the decline in the second quarter, the apparel category displayed resilience with positive growth. Notably, Indias exports to the USA and Europe showed moderate increases, aligning with the rise in imports observed in these regions. On the import side, India witnessed significant growth, primarily driven by fibre and yarn imports. Although China remains a key trading partner, there was a slight decline in its import share.

Indias textile & apparel import								(Values in	USD Million)
Category	Q1 FY22	Q1 FY23	Growth	Q2 FY22	Q2 FY23	Growth	H1 FY22	H1 FY23	Growth
Fibre	1,086	582	(46%)	689	284	(59%)	1,775	866	(51%)
Filament	375	295	(21%)	392	256	(35%)	767	551	(28%)
Yarn	1,398	1,093	(22%)	1,612	758	(53%)	3,010	1,851	(39%)
Fabric	1,290	1,459	13%	1,451	1,315	(9%)	2,741	2,774	1%
Apparel	3,408	4,493	32%	3,929	3,685	(6%)	7,337	8,178	11%
Home Textile	1,610	1,634	1%	1,918	1,470	(23%)	3,528	3,104	(12%)
Other	531	611	15%	689	578	(16%)	1,220	1,189	(3%)
Total	9,700	10,167	5%	10,680	8,346	(22%)	20,380	18,513	(9%)

Growth drivers

1. World-class infrastructure: India boasts excellent infrastructure that supports the production of high-quality cotton products. While it may not directly compete with Chinas current dominance in textile manufacturing, Indias focus on cotton-based products positions it as a strong contender in the global market.

functional textile parks

2. Increasing focus on technical Textiles: The growth of end-user industries such as automotive, healthcare, infrastructure, and oil and petroleum has fueled the demand for technical textiles. India has recognized this opportunity and has been actively expanding

its capabilities in this sector to cater to the evolving market needs.

3. Abundance of raw materials and skilled manpower:

India benefits from a rich abundance of raw materials, particularly cotton and jute, which are essential for the textile industry. Additionally, the country has a vast pool of skilled manpower that possesses the expertise required for various stages of textile production.trained artisans

4. Complete value chains and growing domestic market:

India boasts a well-established and comprehensive value chain for textile and apparel production.

From sourcing raw materials to manufacturing and distribution, the country possesses a strong ecosystem that supports the entire value chain. Furthermore, Indias large and growing domestic market presents immense opportunities for the industry to cater to the rising demand for textiles and apparel within the country.

5. Competitive manufacturing costs and organised retail landscape: India offers competitive manufacturing costs, making it an attractive destination for textile production. Coupled with an organised retail landscape and the growth of e-commerce, the industry benefits from a robust market that facilitates efficient distribution and increased accessibility to consumers.

6. Rising per capita income and rising brand preference:

As per capita income continues to rise in India, there is an accompanying increase in disposable incomes.

This, coupled with evolving consumer preferences, has led to a greater demand for branded and high-quality textile and apparel products.

7. Shifting global trade patterns: The COVID-19 pandemic has triggered a redistribution of global trade shares and a recalibration of sourcing patterns, with the emergence of the "China plus one" strategy. This presents a golden opportunity for Indian textiles to regain a leadership position as a top exporting economy, as businesses seek alternative sourcing options beyond China.

Recent developments

Government impetus

8. Implementation of the PLI scheme: The textile ministry has chosen 61 companies to benefit from the C 10,683 Crores PLI scheme aimed at boosting the labor-intensive textiles and garment sector. These companies have committed to investing C 19,077 Crores over five years, leading to an incremental turnover

of C 1.85 Trillion and creating direct employment opportunities for 240,000 people.

9. Mega Integrated Textile Region & Apparel Parks:

Approval has been granted for the establishment of seven PM Mega Integrated Textile Region and Apparel (PM MITRA) Parks, with a total investment of C 4,445 Crores. These parks aim to provide comprehensive support and infrastructure along the textile value chain.

Technology upgradation

Amended Technology Fund Upgradation Scheme (ATUFS): January 2016, ATUFS aims to

incentivize technology upgradation and modernization in the textile sector. As of March 2022, 14,389 Unique Identification Numbers (UIDs) have been issued, with an estimated project cost of C 69,160 Crores. ATUFS plays a vital role in mobilizing new investments and creating employment opportunities.

Pace of settlement under ATUFS

Tax expectations

1. Removal of 11% import duty on cotton and cotton waste to ensure competitiveness against Bangladesh.

2. Retention of 5% import duty on all types of textile machinery until 31 March, 2023, followed by an increase to 7.5% thereafter.

3. Increase in basic customs duty on imports of MMF Yarn from 5% to 10%.

4. Restoration of duty-free imports facility against made-ups exports to support the sector.

5. Inclusion of cotton yarn exports under the 3% interest equalization scheme to provide financial support.

Source: Annual Report, Ministry of Textiles

Looking ahead

The future of the textile and apparel industry appears promising, driven by the increasing global population, which is projected to reach 8.1 Billion by 2025. As a result, the global apparel market is expected to grow substantially, reaching a value of US $2.1 Trillion by 2025. Ir Asia, there is a notable shift from being the worlds largesl textile manufacturer and supplier to becoming the worlds biggest consumer of textiles. This transition is set to reshape the global manufacturing value chain, attracting investments of approximately US $350 Billion to meet the additional demand of the apparel market. These changes are directly influenced by global demographic shifts.

Energy efficiency has emerged as a key priority for the textile industry. While the trend towards energy-efficient textile products has been prevalent for a decade, the demand for such products has recently surged. Textile processing has undergone radical transformation, and manufacturing units now emphasize energy efficiency in their Company profiles to gain customer trust. Additionally, there is a growing emphasis on organic products within the sector.

The textile industry is also focused on embracing technological advancements and staying updated with the ongoing technical revolution. In the coming decade, technology will play a vital role not only in fabric production and design but also in shaping the future of retail.

Exporters are optimistic about the growth prospects for the industry in FY24, with expectations of an 11-13% overall growth. Cotton textile and apparel exporters specifically anticipate an 8-10% year-on-year growth

in FY24. India achieved $450 Billion in exports in FY23, and exporters anticipate a full resumption of business operations after July. Their optimism stems from the recovery in advanced markets and an improved order book, suggesting positive momentum for the Indian textile and apparel industry.

Exporters are optimistic about the growth prospects for the industry in FY24, with expectations of an 11-13% overall growth. Cotton textile and apparel exporters specifically anticipate an 8-10% year-on-year growth in FY24. India achieved $450 Billion in exports in FY23, and exporters anticipate a full resumption of business operations after July. Their optimism stems from the recovery in advanced markets and an improved order book, suggesting positive momentum for the Indian textile and apparel industry.

Company Overview

Trident Texofab Limited, established by Mr. Hardik Desai and Mr. Chetan Jariwala, was incorporated and commenced its operations in the esteemed textile hub of Surat, Gujarat, India, in the year 2008. Initially, the Company operated as a textile trading entity, specialising in a wide range of Home Furnishing products such as bedsheets, curtains, upholstery, and others. In addition, it dealt with various textile categories, including Scarfs, Pareos, Suiting, Shirting, and more.

Over the years, the Companys trading endeavours demonstrated remarkable growth, prompting a pivotal decision to transform its status from private to public. Consequently, in 2017, after a successful decade of operations, Trident Texofab went public through an Initial Public Offering (IPO) on the Bombay Stock Exchange (BSE). This strategic move aimed to propel the Companys operations to greater heights and facilitate expansions in the manufacturing sector of the textile industry.

In the year 2018, Trident embarked on its maiden greenfield investment in Surat, Gujarat, heralding the initiation of its manufacturing operations. Since then, the Company has taken significant strides, establishing production units for the manufacturing of grey fabrics,

finished garments, and offering a plethora of value-added services like embroidery, stitching, and digital printing.

At present, Trident Texofab stands as a semi-composite textile Company, demonstrating active engagement in both manufacturing and trading activities. Its interests span across the domains of Home Furnishing, Garments, Technical Textiles, and an assortment of Polyester and Poly-blend Fabrics.

As it looks ahead to the future, the Company envisages further expansions in the upcoming years, as part of its relentless pursuit of excellence in the textile industry.

FY23 Performance Discussion

Revenue from Operations experienced strong growth, reaching C 9,635.63 Lakhs, indicating an impressive year- on-year surge of 14%. The resilience of our manufacturing operations played a crucial role in sustaining the overall profitability of the Company. Our EBITDA margins for the year improved to 6.4%, up from 5.7% in the previous year, resulting in an EBITDA of C 617.80 Lakhs in FY23 compared to C 482.79 Lakhs in the preceding year. Despite higher Interest Cost and Depreciation, our Net Profit for the year stood at C 221.84 Lakhs in FY23, a notable increase from C 98.27 Lakhs in the previous year.

Financial Ratios
Ratio	FY23	FY22	Variance	Reason
Current Ratio	1.36	1.43	(5.11%)	NA
Debt-equity Ratio	2.49	3.02	(17.57%)	NA
Debt service coverage ratio	0.24	0.23	4.94%	NA
				Other Income and revenue has
Return on equity ratio	0.15	0.08	92.75%	increased which led to increase in profit after tax.
Inventory turnover ratio	9.49	9.33	1.65%	NA
Trade receivables turnover ratio	2.98	2.76	7.96%	NA
Trade payables turnover ratio	5.77	5.18	11.44%	NA
Net capital turnover ratio	7.78	6.95	11.86%	NA
Net profit ratio	0.02	0.01	97.48%	The Profit has been increased as compared to the previous year.
				Other Income and revenue has
Return on capital employed	0.14	0.10	40.67%	increased which led to increase in profit after tax.
Return on investment	-	-	-	The Company has no current investments.

Risks and Concerns

• Raw Material Pricing: Any sudden changed in raw material pricing can impact the Companys profitability

• Credit Risks: The Company faces risks on account of assessment of credit worthiness of customers (counterparty risk)

• Logistics Risk: the Company faces risks on account of logistical challenges

• Market Risks: Any adverse event such as the Russia:Ukraine war, or any geopolitical risks may have adverse impacts on market and demand

Opportunities and Threats

Opportunities

• India enjoys a comparative advantage in terms of skilled manpower and in cost of production, relative to major textile producers.

• Production-linked Incentive (PLI) Scheme worth

C 10,683 Crores (US$ 1.44 Billion) for manmade fibre and technical textiles over a five-year period.

• The Indian technical textiles market is expected to expand to US $ 23.3 Billion by 2027 , driven by increased awareness of goods and higher disposable incomes.

• Government Initiatives such as the Scheme for Integrated Textile Parks (SITP), Technology Upgradation Fund Scheme (TUFS) and Mega Integrated Textile Region and Apparel (MITRA) Park scheme.

Threats

• Competition from other low-cost textile producing countries like Bangladesh and Vietnam

• Impact of inflationary pressures and macroeconomic conditions, which may adversely affect global textile demand

• Risks from geopolitical developments and evolving market dynamics

• Adverse effects on supply chain disruptions

Outlook

The Companys future outlook remains strong. Currently, the Company is assessing a few projects to expand its manufacturing operations further. This expansion in manufacturing operations is expected to positively impact growth and increase profitability margins. The Companys goal for the next year is to attain an even higher revenue contribution from manufacturing activities, a move that is anticipated to significantly enhance overall net profitability.

Internal Control and Adequacy

The Companys proper and adequate system of internal control ensures that all its assets are safeguarded and protected against losses from unauthorised use or disposition, and that all transactions are authorised, recorded and reported appropriately. The Company has deployed an effective mechanism to achieve optimum and effective utilisation of resources, efficiency in operations, monitoring thereof and compliance with applicable laws. Further, the auditors have also expressed that the Companys internal control systems are adequate and satisfactory.

The Company has established a proper and adequate system of internal controls, commensurate with the size and nature of its business. These systems provide reasonable assurance that all the Companys assets are safeguarded and protected against loss from unauthorised use or disposition, and that all transactions are authorised, recorded and reported correctly.

Moreover, it also ensures that the business operations are conducted as per the prescribed policies and procedures of the Company. The Internal Audit Committee and the Management have reviewed the adequacy of these internal control systems, and have suggested suitable steps that have been undertaken to improve on these systems further.

Human Resource Development and Industrial Relations

For Trident, its employees are its growth enablers. It is therefore the Companys ardent endeavour to provide its employees with a learning, growing and thriving work environment. The Company periodically engages with its employees to upskill them and equip them with knowledge, technique and know-how. It also works towards establishing its brand name to attract, recruit and retain the best talent in the market. During the period under review, employee relations continued to be healthy, cordial, and harmonious at all levels, and the Company aims to maintain such relations with the employees going forward as well. As of 31 March, 2022 the Company has 62 permanent employees.

Corporate Information

BOARD OF DIRECTORS AND KEY MANAGERIAL PERSONNEL:

Name of Director	Designation	Appointment Date
Mr. Hardik Jigishkumar Desai (DIN: 01358227)	Chairman & Managing Director	05.09.2008
Mr. Chetan Chandrakant Jariwala (DIN: 02780455)	Whole-Time Director	20.02.2013
Mrs. Natasha Karbhari (DIN: 07846132)	Non-Executive Independent Director	09.06.2017
Mrs. Ankita Jignesh Saraiya (DIN: 08057276)	Non-Executive Independent Director	01.02.2018
Mr. Deepak Prakashchandra Gandhi (DIN: 08256996)	Executive Director	15.10.2018
Mr. Manish Dhirajlal Halwawala (DIN: 08958684)	Executive Director	11.11.2020
Mr. Mishal Shailesh Patel (DIN: 10250091)	Non-Executive Independent Director	10.08.2023
Mr. Rahul Jariwala (PAN: BWGPJ6844N)	Company Secretary & Compliance Officer	02.01.2023
Mr. Rahul Jariwala (PAN: BWGPJ6844N)	Chief Financial Officer	25.04.2023

For details of change in management please refer Directors report attached here with.

COMMITTEES AS ON BOARD REPORT DATE:

1. Audit Committee:

Mrs. Ankita Jignesh Saraiya - Chairperson

Mrs. Natasha Karbhari - Member

Mr. Manish Halwawala - Member

Mr. Mishal Patel - Member

2. Nomination and Remuneration Committee:

Mrs. Ankita Jignesh Saraiya - Chairperson

Mrs. Natasha Karbhari - Member

Mr. Mishal Patel - Member

STATUTORY AUDITORS:

M/s. Shah Kailash & Associates

Chartered Accountants

505, 21st Century Business Center,

Nr. World Trade Center,

Ring Road, Surat-395 003. Email: skt@sktllp.com

INTERNAL AUDITOR:

M/s. Purushottam Khandelwal & Co.,

216, Madhupura Vyapar Bhawan, Nr. Gunj Bazar, Madhupura, Ahmedabad -380004

Branch Office: L-3, DhanLaxmi Complex,

Near Mafatlal Showroom,

Madhumati, Navsari-396445, Gujarat.

 

3. Stakeholders Relationship Committee:

Mrs. Ankita Jignesh Saraiya - Chairperson

Mrs. Natasha Karbhari - Member

Mr. Manish Halwawala - Member

Mr. Mishal Patel - Member

4. Management Committee:

Mr. Hardik J. Desai - Chairman

Mr. Chetan C. Jariwala - Member

Mr. Deepak P. Gandhi - Member

SECRETARIAL AUDITOR:

M/s. Amareliya & Associates

Practicing Company Secretary

317, 03rd Floor, Times Shoppers,

Nr. Amiras Hotel, Sarthana Jakatnaka,

Surat-395006.

Email: cs@amareliyaassociates.in

BANKER TO THE COMPANY:

Axis Bank Limited

1st Floor, Digvijay Towers,

Opp. St. Xaviers school, Near Ram Chowk,

Ghod Dod Road, Surat, Gujarat 395007.

Bank of Baroda

SME Branch, 1st Floor,

Krishna Market, Ring Road

Surat, Gujarat, 395002

 

REGISTERED OFFICE:	FACTORY:
2004, 2nd Floor, North Extension,	B-15/11, Hojiwala Industrial Estate
Falsawadi, Begumpura, Nodh-4/1650,	Sachin Palsana Road,
Sahara Darwaja, Surat-395003, Gujarat.	Surat-394230, Gujarat
Tel.: +91-261-2451274/2451284
Email: info@tridenttexofab.com
Website: www.tridenttexofab.com
REGISTRAR & SHARE TRANSFER AGENT:
KFin Technologies Limited
(Formerly Known as KFin Technologies Private Limited)
Selenium Tower B, Plot Nos. 31 & 32 : Financial District
Nanakramguda :Serilingampally Mandal : Hyderabad - 500032
Phone: 040 6716 1606/1776
Email: raghu.veedha@kfintech.com
Website: www.kfintech.com
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