Welcure Drugs & Pharmaceuticals Ltd Management Discussions

Industry Structure & Developments: Pharma Industry as such is progressing, though competitive, but due to paucity of funds the Company cannot avail any benefit therefrom.

Opportunities & Threats: Due to continued losses, the company has paucity of funds to carry on business of the company properly.

Product-Wise Performance: Business activity of the company was closed therefore, no product was sold during the year.

Outlook: The Company has paucity of funds and is searching for a partner or collaborator for financial assistance to come out from such situation.

Risks & Concerns: Company has no funds even to meet minimum required expenses; and therefore it has to find a financial partner / Collaborator / amalgamator.

Internal Control Systems & their Adequacy: Welcure has been having strong and adequate internal audit and control systems over financial reporting. Independence of the audit and compliance function is ensured by direct reporting of the Internal Auditor to the Audit Committee of the Board.

Operational vis-a-vis Financial Performance:Company did not have sufficient funds to carry on business activity in the company. During the year under review the Company had a loss of Rs. 1.75/- Millions.

Material Developments in Human Resources / Industrial Relations Front: Presently no employee has been on the pay roll of the company.

Cautionary statement: Statements in this Report are based on reasonable assumptions and the Management does not guarantee the accuracy of the assumptions.