GLOBAL ECONOMIC REVIEW
The current state of the global economy is marked by a significant level of uncertainty
resulting from various factors. Instability in the financial sector and persistently high
inflation rates contribute to this uncertainty. Additionally, the ongoing repercussions of
Russias invasion of Ukraine and the prolonged effects of the COVID-19 pandemic further
add to the overall unpredictability.
According to the baseline forecast, global growth is expected to decline from 3.4
percent in 2022 to 2.8 percent in 2023, ultimately reaching a 3.0 percent growth rate in
2024. Advanced economies are likely to experience a more pronounced slowdown in growth,
with their growth rate dropping from 2.7 percent in 2022 to 1.3 percent in 2023. In an
alternative scenario where the financial sector experiences further stress, global growth
could decline to approximately 2.5 percent in 2023, with advanced economies witnessing
growth rates below 1 percent.
While global headline inflation is projected to decrease from 8.7 percent in 2022 to
7.0 percent in 2023 due to lower commodity prices, underlying (core) inflation is expected
to decline at a slower pace. It is unlikely that inflation will return to target levels
before 2025 in most cases.
The natural rate of interest holds significant importance in monetary and fiscal policy
as it serves as a benchmark for assessing the effectiveness of monetary policy and
determining the sustainability of public debt. The COVID-19 pandemic has led to a surge in
public debt-to-GDP ratios worldwide, and it is anticipated that these elevated levels will
persist.
The concept of geoeconomic fragmentation, characterized by disruptions in supply chains
and escalating geopolitical tensions, has become a central focus in policy discussions.
The risks, potential benefits, and costs associated with this fragmentation are currently
being carefully examined.
In summary, the global economy is currently navigating uncertainties arising from
turmoil in the financial sector, high inflation, the ongoing repercussions of the
Russia-Ukraine conflict, and the prolonged effects of the COVID-19 pandemic. The baseline
forecast indicates a slowdown in growth, particularly in advanced economies. Public debt
remains a concern, and efforts are underway to explore strategies for reducing debt-to-GDP
ratios. Geoeconomic fragmentation is being thoroughly studied to understand its
implications for foreign direct investment (FDI) and its impact on the global economy.
Source: https://www.imf.org/en/Publications/ WEO/Issues/2023/04/11/world-economic-
outlook-april-2023?cid=ca-com-compd-pubs belt
INDIAN ECONOMIC REVIEW
Indias economy demonstrated strong growth in the fourth quarter of the fiscal year
2022-23, expanding by 6.1 percent, resulting in an annual growth rate of 7.2 percent. This
growth rate surpassed the 4.5 percent expansion witnessed in the quarter of
October-December 2022-23.
The official forecast for Indias economy in the fiscal year 2023-2024 is an expansion
of 7 percent. However, the finance ministry has identified downside risks to this
forecast. These risks include oil production cuts by OPEC, challenges in the financial
sector of developed markets affecting cash flows, and the potential impact of deficient
monsoon rains due to El Nino on farm output and prices.
According to the International Monetary Fund (IMF), Indias economy is displaying
resilience and is expected to contribute to a growth rate of 4.6 percent in Asia for the
current financial year, an increase from 3.8 percent the previous year. India, along with
China, is recognized as a key driver of growth in the Asia-Pacific region, with both
countries projected to account for approximately half of global growth in 2023, while the
remaining 20 percent comes from the rest of the region. Despite the implementation of
monetary tightening measures, domestic demand in Asia remains strong, although there is a
declining trend in external demand for technology products and other exports.
The Economic Survey report 2022-23 highlights several factors that could positively
influence Indias growth outlook. It suggests that the ongoing surge in Covid-19
infections in China may have limited health and economic repercussions for the rest of the
world, leading to the normalization of supply chains. Additionally, inflationary pressures
resulting from Chinas economic reopening are expected to be temporary and not have a
significant or lasting impact.
Furthermore, if major Advanced Economies (AEs) experience a recessionary trend, it
could result in a pause in monetary tightening measures and a return of capital flows to
India. This, combined with a stable domestic inflation rate below 6 percent, has the
potential to enhance investor confidence and stimulate private sector investment.
The Indian agriculture economy is expected to grow at a rate of 3.5% in 2022-23,
according to the Economic Survey 2022-23. This growth is driven by several factors,
including increased investment in agriculture as the government has increased its
investment in agriculture in recent years, and this is expected to continue in the coming
years. This investment will be used to improve irrigation facilities, develop new crop
varieties, and provide training to farmers. Further, the agricultural sector has been
making steady progress in terms of productivity, and this is expected to continue in the
coming years. This progress is being driven by a number of factors, including the use of
improved agricultural practices, the adoption of new technologies, and the availability of
better inputs. Lastly, the demand for agricultural products is expected to grow in the
coming years, due to the increasing population and rising incomes.
This growth in demand will provide a boost to the agricultural sector.
As per the third advance estimate for 2022-23 the total foodgrain production in India
is estimated to be 330.53 million tonnes in 2022-23, which is a record high. This is an
increase of 7.5% from the previous year. The total pulses production in India is estimated
to be 27.5 million tonnes in 2022-23, that of oilseeds is 40.99 million tonnes, cotton is
34.35 million tonnes and sugarcane is 494.23 million tonnes.
In summary, the Economic Survey report 202223 identifies various factors that could
positively influence Indias growth prospects. These include the limited impact of Chinas
Covid-19 surge on global health and economies, temporary inflationary effects from Chinas
economic reopening, a potential pause in monetary tightening by major AEs, and increased
capital flows to India. These factors, along with stable domestic inflation and improved
investor sentiment, could provide a boost to private sector investment and further drive
Indias economic growth.
Source:
https://pib.gov.in/PressReleaseIframePage.aspx?PRID=1927272
https://www.livemint.com/news/india/imf-predicts-resilient-economic-growth-for-india-in-2023-driven-by-china-and-india-contributing-70-of-global-growth-11683049759653.html
https://www.forbesindia.com/article/explainers/gdp-india/85337/1
https://economictimes.indiatimes.com/news/economy/indicators/expect-indias-gdp-growing-over-7-pc-in-2023-24-cea-anantha-nageswaran/videoshow/100895649.cms
https://pib.gov.in/PressReleasePage.aspx?PRID=1894932
GLOBAL INDUSTRY REVIEW
Organic products are cultivated using an agricultural system that abstains from the
application of chemical fertilizers and pesticides, while prioritizing environmental and
social responsibility. This farming approach operates at the grassroots level to safeguard
the soils reproductive and regenerative abilities, promote optimal plant nutrition, and
practice effective soil management. As a result, it yields nourishing food abundant in
vitality, endowed with disease resistance.
The organic food and beverages market experienced significant growth in recent years,
with a market size of USD 212.83 billion in 2022. It is anticipated to continue expanding
at a compound annual growth rate (CAGR) of 13.0% from 2022 to 2030. The increasing
awareness about the health advantages linked to organic products is a key driver for this
market expansion. Consumers are becoming more conscious of the benefits of organic food
and beverages, leading to a change in their purchasing behavior.
Source-
https://www.grandviewresearch.com/industry-analysis/organic-foods-beverages-market
MARKET SIZE
In 2022, the global organic market was valued at USD 212.83 billion. By 2030, it is
expected to reach USD 565.8 billion.
SEGMENTATION
The global organic market is segmented by product type, distribution channel, and
region. The product type segment includes fresh fruits and vegetables, processed foods,
dairy products, meat, fish and poultry, and others. The distribution channel segment
includes supermarkets/hypermarkets, specialty stores, online channels, and others. The
regional segment includes North America, Europe, Asia-Pacific, Latin America, and Middle
East & Africa.
NORTH AMERICA
North America is the largest market for organic food and beverages, followed by Europe
and Asia- Pacific. The North America organic food market is expected to grow at a CAGR of
12.8% from 2022 to 2030. The growth of the organic market in North America is being driven
by the increasing awareness of the health benefits of organic products, as well as the
growing demand for sustainable food.
EUROPE
The European organic market is the second largest market in the world, after North
America. The market is expected to grow at a CAGR of 11.2% from 2022 to 2030. Germany is
the largest market for organic food and beverages in Europe, followed by France, Italy,
and the United Kingdom.
ASIA-PACIFIC
The Asia-Pacific organic market is the third largest market in the world, and is
expected to grow at the fastest CAGR from 2022 to 2030. China is the largest market for
organic food and beverages in Asia-Pacific, followed by India, Japan, and Australia.
LATIN AMERICA
The Latin America organic market is the fourth largest market in the world, and is
expected to grow at a CAGR of 10.5% from 2022 to 2030. Brazil is the largest market for
organic food and beverages in Latin America, followed by Argentina, Mexico, and Colombia.
MIDDLE EAST & AFRICA
The Middle East & Africa organic market is the smallest market in the world, but is
expected to grow at the fastest CAGR from 2022 to 2030. Israel is the largest market for
organic food and beverages in Middle East & Africa, followed by South Africa, Turkey,
and Egypt.
KEY TRENDS OF THE GLOBAL ORGANIC MARKET:
Increasing demand for organic food and beverages: The rising demand for organic
food and beverages is one of the key trends that is expected to shape the global organic
market in the coming years. The increasing consumer awareness about the benefits of
organic products, such as better taste, higher nutritional value, and reduced risk of
foodborne diseases, is driving the demand for organic food and beverages.
Increasing government support for the organic farming sector: The increasing
government support for the organic farming sector is another key trend that is expected to
shape the global organic market in the coming years. Governments across the globe are
providing financial assistance, tax breaks, and other incentives to organic farmers to
encourage them to adopt organic farming practices.
Rising consumer preference for natural and sustainable products: The rising
consumer preference for natural and sustainable products is another key trend that is
expected to shape the global organic market in the coming years. Consumers are
increasingly becoming aware of the harmful effects of synthetic chemicals and pesticides
on their health and the environment. This is driving the demand for natural and
sustainable products, including organic products.
Growing popularity of online shopping: The growing popularity of online shopping is
another key trend that is expected to shape the global organic market in the coming years.
Online retailers are increasingly offering a wide range of organic products to consumers.
This is making it easier for consumers to buy organic products and is expected to boost
the growth of the market in the coming years.
OPPORTUNITIES
The global organic market is expected to grow at a significant rate in the coming
years. The market is expected to be driven by a number of factors, including:
• Growing demand for healthy food: Consumers are becoming increasingly
concerned about their health, and are looking for healthier food options. This is expected
to drive the demand for organic products.
• Rising disposable income: The rising disposable income of consumers is
expected to lead to an increase in the demand for organic products.
• Changing lifestyle: The changing lifestyle of consumers is expected to lead
to an increase in the demand for organic products. More and more people are working long
hours and do not have time to cook. This is expected to lead to an increase in the demand
for ready-to-eat organic food products.
CHALLENGES
The global organic market is facing a number of challenges, including:
• High cost of organic product: Organic products are often more expensive than
conventional products. This can be a barrier for some consumers.
• Lack of awareness about organic products:
Some consumers are not aware of the benefits of organic products. This can limit the
growth of the market.
• Competition from conventional products:
Conventional food and beverage companies are increasingly launching organic products.
This is increasing competition in the market.
INDIAN INDUSTRY REVIEW
The growth of organic production in India is a positive development for the Indian
economy. The growth of organic production is generating foreign exchange for India and is
creating jobs in the organic farming sector. The growth of organic production is also
helping to improve the health of Indian farmers and consumers.
The total volume of export of organic food from India during 2022-23 was 1.29 million
tonnes, valued at ^6,760.69 crore (US$971.24 million). The top export destinations for
Indian organic food were the United States, the European Union, Canada, and Australia.
Organic products are exported to USA, European Union, Canada, Great Britain, Switzerland,
Turkey, Australia, Ecuador, Korea Republic, Vietnam, Japan, etc.
In terms of export value realization processed foods including soya meal (61%) lead
among the products followed by Oilseeds (12.85%), Cereals and millets (12.71%), Sugar
(4.77%), Plantation crop products such as Tea & Coffee (2.16 %), Spices and condiments
(1.72%), Pulses (1.1%0) and others.
https://apeda.gov.in/apedawebsite/organic/ organic products.htm#:~:text=The%20
total%20volume%20of%20export,Crore%20 (771.96%20million%20USD).
AREA
As of March 31, 2023, total area under organic certification process (registered under
National Programme for Organic Production) is 10.17 mha (2022-23), according to the
Agricultural and
Processed Food Products Export Development Authority (APEDA). This represents an
increase of 11.2% from the previous year.
The top states for organic production in India are:
• Madhya Pradesh (262,944 hectares)
• Maharashtra (192,992 hectares)
• Andhra Pradesh (172,783 hectares)
• Gujarat (126,987 hectares)
• Karnataka (108,441 hectares)
The main crops grown under organic production in India are: Cereals, Pulses, Oilseeds,
Fruits, Vegetables , Spices and Medicinal plants.
PRODUCTION
According to APEDA, in the fiscal year 2022-23, India produced around 2.9 Million MT
(202223) of certified organic products. These products encompass a wide range of food
varieties, including oilseeds, fibre, sugar cane, cereals, millets, cotton, pulses,
aromatic and medicinal plants, tea, coffee, fruits, spices, dry fruits, vegetables, and
processed foods. The production of organic goods extends beyond the edible sector and
includes organic cotton fibre and functional food products.
Among the various states in India, Madhya Pradesh holds the distinction of being the
largest producer of organic products, followed by Maharashtra, Rajasthan, Karnataka, and
Odisha. In terms of commodity categories, fibre crops rank as the most prominent, followed
by oilseeds, sugar crops, cereals and millets, medicinal and herbal plants, spices and
condiments, fresh fruits and vegetables, pulses, and tea and coffee.
EXPORTS
The organic food export realization was around INR 5525.18 Crore (708.33 million USD).
Organic products are exported to USA, European Union, Canada, Great Britain, Switzerland,
Turkey, Australia, Ecuador, Korea Republic, Vietnam, Japan, etc.
OPPORTUNITIES OF ORGANIC FOOD IN INDIA: Increasing Health Consciousness: As more people
become aware of the potential health benefits of organic food, there is a growing market
for organic products in India. Consumers are increasingly concerned about the quality of
their food and are willing to pay a premium for organic options.
Government Support: The Indian government has been actively promoting organic farming
through various initiatives and schemes. This includes financial support, training
programs, certification assistance, and subsidies, which create favourable conditions for
organic farmers and encourage the growth of the organic food sector.
Export Potential: India has a significant potential for exporting organic products to
international markets. With its diverse agricultural resources and traditional farming
practices, India can tap into the growing global demand for organic food and establish
itself as a reliable supplier of organic products.
Environmental Sustainability: Organic farming practices prioritize soil health,
biodiversity conservation, and ecological balance. With increasing concerns about climate
change and environmental degradation, organic farming offers a sustainable and
eco-friendly approach to food production, which resonates with consumers and presents an
opportunity for organic food in India.
THREATS OF ORGANIC FOOD IN INDIA:
Price Premium: Organic food often comes with a higher price tag compared to
conventionally grown food due to factors like increased labour costs and limited economies
of scale. Affordability can be a barrier for some consumers, particularly in price-
sensitive markets, hindering the wider adoption of organic food.
Supply Chain Challenges: The organic food sector in India faces challenges related to
the supply chain, including inadequate infrastructure, inefficient distribution systems,
and lack of proper storage and transportation facilities. These issues can lead to quality
deterioration and higher costs, affecting the availability and accessibility of organic
products.
Limited Awareness and Education: Despite growing awareness, there is still a
significant knowledge gap among consumers regarding organic food and its benefits. Lack of
awareness and education about organic farming practices and certifications can limit
consumer trust and demand for organic products.
Counterfeit and Mislabelling: The lack of strict regulatory oversight can lead to
issues such as counterfeit organic products and mislabelling. This undermines consumer
confidence in the authenticity of organic food and poses a threat to the credibility of
the entire organic food sector in India.
COMPANYS OVERVIEW
White Organic Retail Ltd (WORL), is an integrated Organic Foods player offering
end-to-end solutions to its customers. The company has built a robust value chain right
from contract / leased farming to supply chain management to direct consumers. WORL is
into trading Agriculture produce like Cereals, Pulses, Grains, Fruits, and Vegetables etc.
Our company is into the operations of trading in Agricultural products including Organic
and other Products and started Distribution and Retailing of those Products in October
2016.
The company is currently cultivating organic vegetables and fruits from over 120+
farmers in the state of Maharashtra and Gujarat. Having a strong relationship with farmers
is one of the major critical edges the company has built, which ensures a reliable and
consistent supply of fruits and vegetables of the desired quality and quantity on a
sustainable basis.
BRAND & PRODUCTS
A diversified and vast range of products across vegetables, fruits, processed foods,
pulses, cooking oils, spices, snacks, dietary supplements, etc. is one of the key USP of
White Organic, which brings substantial value preposition to its customers. The company is
constantly widening its product basket by way of rigorous innovations and analysing needs
of its valued customer.
The Company sells fresh organic veggies and premium grade organic pulses, spices,
cereals etc. from all the segments. Company will also expand in the e-commerce integrated
portal with PAN India delivery, with outsourced logistic support. We are very optimist
about the future and the growth of the business. The organic business has grown
exponentially in the recent past.
The company is focused on expansion of retail segment of the business and exploring
models like online e-store and tie ups with e-marketplaces, and the export channel with
strategic tie-ups with international companies.
The new management with expertise in retail sector and the initiative of the holding
Company to reach out to tier 2 and tier 3 cities and also rural areas to bridge the demand
and supply gap will enable the Company also to reach out to these areas and educate people
at large about organic food products.
PRODUCT WISE PERFORMANCE
Our performance of the organic agro business activity has started reflecting tremendous
response from the market owing to health consciousness and awareness in the organic food
product area.
Having successfully entered into the unexplored market of organic food sector (largely
unexplored market) the Company has emerged as the pure player in the organic food sector.
Our strong will to explore this sector has enabled us to cross boundaries both in terms of
capabilities and geography.
Company is not only targeting the viable aspect of rapidly growing concept of organic
food, but also putting great efforts to educate the larger society to understand and adapt
to better and healthier ways of livelihood. This is witnessed by the Companys performance
in the last few quarters.
White Organic together with Suumaya group is all set to create a niche in this sector.
For this we have planned different promotional, marketing and advertising activities, also
working towards increasing existing product portfolio and bring more niche products in
product offerings. The Company has witnessed great demand for products. This gives
tremendous confidence to move up the value chain and keep introducing new products.
The Company will continue to strive towards providing the best possible services
through quality products and help build a stronger and healthier India. Companys efforts
will always be to win over the "Trust and Loyalty" of the consumers thereby
build a great brand "White Organics".
OUTLOOK
The Company is committed to expanding its product portfolio to meet the diverse needs
of customers and establish itself as a comprehensive solution provider. Our goal is to
promote the brand "White Organics" and become a leading supplier of
unadulterated organic food products, contributing significantly to the creation of a
healthier India based on principles and values.
With substantial growth achieved over the past years and through internal resources,
the new management is determined to drive robust growth in all areas of the company. Our
focus lies on efficient organic farming practices and an agricultural approach that
ensures environmental sustainability. This approach provides stable yields, improves soil
health, minimizes environmental impact, and promotes the consumption of organic food while
reducing the use of synthetic fertilizers. To achieve these goals, the company will
implement a new business strategy.
The vision of the new management is to create a significant social impact through
organic farming. We will design a system that promotes and enhances the health of the
agro-ecosystem, including biodiversity, biological cycles, and soil biological activity.
This will be achieved by employing on-farm agronomic, biological, and mechanical methods,
while eliminating the use of synthetic off-farm inputs. Following the acquisition by the
new promoter group and the introduction of the new management, the company plans to expand
in phases using its cash flow.
One of our key objectives is to develop our own e-commerce website integrated with a
digital platform and mobile application. This will enable us to drive sales through an
omnichannel approach. The increasing availability of organic food products online and the
shifting consumer preference towards organic food are expected to significantly boost the
demand for our products in India and globally. Additionally, we are exploring strategic
partnerships with major players in the agriculture industry to handle procurement and
supply chain management for FMCG companies interested in our organic products.
By pursuing these initiatives, we aim to strengthen our position in the market,
increase our product offerings, and make a meaningful contribution to the organic farming
sector. We believe that by embracing organic practices and promoting sustainable
agriculture, we can not only meet consumer demand but also create a positive impact on
society and the environment.
Together with our dedicated team, we are excited about the future prospects of the
company and look forward to achieving our goals while upholding our commitment to quality
and sustainability.
RISKS AND RISK MITIGATION
The Risk factors have been determined based on their materiality. The following factors
have been considered for determining the materiality.
I. Some risks may not be material individually but may be material when considered
collectively.
II. Some risks may have material impact qualitatively instead of quantitatively.
III. Some risks may not be material at present but may have a material impact in the
future.
The Company faces the following Risks and Concerns
• Economic Risk
Any business is in a way or other, dependent on the prevailing global economic
conditions. Inflation, changes in tax, trade, fiscal and monetary policies, scarcity of
credit etc. However, we do not expect to be significantly affected by this risk.
RISKS IN ORGANIC AGRICULTURE
Risks that are similar to those in conventional farming, though they may be managed in
different ways in organic farming.
Risks that are different between organic farming and conventional farming, but that may
only be temporary, due to the recent rapid growth in the organic sector.
Risks that greatly different from those of most conventional farmers because of the
different nature of the production and marketing systems.
• Production Risks
Organic farming is less restricted in their choice of crops for rotation than
conventional farmers, who risk damage to certain crops from previously applied pesticides.
Organic farming can be affected by the natural calamity, adverse weather conditions and
climatic risks that are similar for organic and conventional farming. Because of harsh
climates, bad weather such as hail or wind can destroy a crop very quickly. Any farmer
without irrigation facilities faces the risk of drought, but as organic farmers
investment in soil quality allows their soils to hold water and withstand drought better
than those of their conventional farmers. Organic producers face less risk than
conventional producers on account of chemical-free pesticides usage.
Thus, we believe we have adequate mitigation in place for trade risk.
• Input Risks
Organic farming may face dearth of certified organic seeds, biological pesticides,
specialized farm equipment designed for organic cultural practices and other inputs
because the market they offer to suppliers may be too small to be profitably served by
agribusiness. Concern about the availability of good quality compost that has not been
contaminated by GMOs. The flow of credit to organic producers is limited and can be
difficult to obtain.
• Transition Risk
The process of transitioning from conventional to organic agriculture may also pose
production and market risks that do not persist over time. During the transition process,
it faces a steep learning curve as they learn to control pests biologically, manage
nutrient cycles, produce different crops, and tap new markets. Crop yields may drop
initially on some farms as the soil is being rebuilt and beneficial insect populations are
restored. Farmers are unable to command organic premiums until after they have acquired
organic certification, which usually requires a three-year waiting period and which
commands high value of money.
INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY
The internal control and risk management system is structured and applied in accordance
with the principles and criteria established in the corporate governance code of the
organisation. It is an integral part of the general organisational structure of the
Company and the Group and involves a range of personnel who act in a coordinated manner
while executing their respective responsibilities. The Board of Directors offers its
guidance and strategic supervision to the Executive Directors and management, monitoring
and support committees.
MATERIAL DEVELOPMENT IN HUMAN RESOURCES
Human resources are a valuable assets and the company seek to attract and retain the
best talent available. Systematic training, development, continuance of productivity and
employee satisfaction are some of the highlights of human resource development activities
during the year. Employee relations continued to be cordial. The company strives to
develop the most superior workforce so that it can accomplish along with the individual
employees, their work goals & services to its customers & stakeholders. Our
fundamental belief in immense power of the human potential and team work. A
transformational force that stimulates enterprise accelerates our constant pursuit of
excellence and empowers our people to release their full potential. The company also
believes human resources as the supporting pillars for the organizations success. Your
director acknowledges and thanks employees for their continued contribution.
DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE
In continuation with the operational performance highlighted in product wise
performance, the performance of the Company for the financial year ended March 31, 2023,
is as follows:
• Total Net revenue stood at Rs. 27,571.90 lakhs for the year ended March 31,
2023, as against Rs. 7716.63 lakhs for the year ended March 31, 2022
• The EBIDTA (earnings before interest, depreciation and tax) was Rs. (280) lakhs
for the year ended March 31, 2023, as against Rs. 923.33 lakhs for the corresponding
previous period.
• The profit after tax for the financial year ended March 31, 2023 was Rs.
(378.67) lakhs as against Rs. 668.53 lakhs for the corresponding previous period.
Key Financial Ratios
| Sr. No |
Ratio |
FY 2022-23 |
FY 2021-22 |
| 1 |
Current Ratio** |
1.11% |
7.56% |
| 2 |
Debt-Equity Ratio |
0.00 |
0.00 |
| 3 |
Return on Equity Ratio* |
-9.61% |
15.48% |
| 4 |
Trade Receivables turnover ratio** |
1.99% |
4.82% |
| 5 |
Trade Payables turnover ratio** |
1.10% |
9.75% |
| 6 |
Net capital turnover ratio * |
9.56% |
2.37% |
| 7 |
Net profit Margin (%) * |
-1.38% |
8.83% |
| 8 |
Operating Profit Margin** |
-3.19% |
8.70% |
| 9 |
Return on Capital employed * |
-9.46% |
21.34% |
| 10 |
Inventory turnover ratio (days)*** |
3672.54% |
0 |
| 11 |
Interest Coverage Ratio |
0 |
0 |
| 12 |
Debtor turnover ratio |
5.42% |
3.61% |
Explanation where variance is more than 25%:
* Led by increase in depreciation, finance cost and other expenses corresponding
decrease in profit ** During the year, there is significant increase trade receivables and
trade payables as a result of increase in sales and purchases.
*** Inventory turnover increased due to small quantum of inventory was lying at the end
of the FY. Cautionary Statement
The Management of the Company has been diligent in drawing up the said assumptions,
expectations, predictions, and forecasts as on date. However, considering the dynamic
business and regulatory environment, it assumes no responsibility to publicly amend,
modify or revise forward looking statements, based on any subsequent developments,
information or events. Actual results may differ materially from those expressed in the
statement. Important factors that could influence the Companys operations include changes
in government regulations, tax laws, economic developments within the country and such
other factors globally.
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