The directors are pleased to present the Thirty First Annual Report on
the business and operations of the Company, together with the audited
financial statements and auditors report For the financial year ended
31st March 2012.
(Rs. in Lakhs)
Particulars Year Ended Year Ended
Turnover and Profitability
Gross Sales 5962.22 724335
Total Expenditure 5472.74 6784.93
Profit before Depreciation and
Financial Charges 489.48 458.42
Depreciation 117.71 78.93
Financial Charges 207.00 190.33
Profit before Tax 16477 189.16
Provision for Taxation (80.45) (71.49)
Profit after Tax 8432 117.67
Prior year adjustments (2565) 56.19
Add Profit brought forward from
previous year 535.92 464.23
Profit available for Appropriation
from Operations 594.59 638.09
Proposed Dividend 52.81 79.22
Provision for Tax on Proposed Dividend 8.57 14.26
Transfer to General Reserve - 8.69
Balance in Profit and Loss Account 533.21 535.92
Results From Operations
The total income for your company reduced by 17.68% over the previous
Turnover and Profitability
The gross sales and other income for the financial year under review
was Rs. 5962.22 lakhs. The profit before tax (after depreciation and
Financial charges) was Rs. 164.77 lakhs and Profit after Tax (before
extraordinary items) was Rs. 84.32 Lakhs.
Considering the performance of the Company, your Directors are pleased
to recommend a dividend of Re. 1.00 per equity share of face value Rs.
10 For the year ended 31st March, 2012.
During the financial year under review, the share capital of your
company remained unaltered.
The Company is committed to maintaining the highest standards of
Corporate Governance and disclosure practices. The Company ensures
compliance to law and adherence to ethical standards to enhance
customer value. A separate section on Corporate Governance, along with
a certificate from the Auditors confirming the Level of compliance. is
annexed and forms a part of the Directors'' Report.
Mr. Bhaskar Valiveti and Mr. Rajkumar Raisinghani retire by rotation at
the ensuing Annual General Meeting, and being eligible, offer
themselves for reappointment.
M/s. Anand Amarnath & Associates, Chartered Accountants, Bengaluru
retire at the conclusion of the forthcoming Annual General Meeting.
Your Company has received a letter from them to the effect that their
re-appointment, if made, will be in accordance with the provisions of
Section 224(16) of the Companies Act, 1956.
In the report by the auditors under Companies (Auditors'' Report) Order.
2003 (as amended), the Auditors have reported that the company has
maintained proper record 5 of all Accounting transactions.
With respect to observations made by the Auditors in their report dated
22nd May 2012. under note IX of Annexure to the Auditors Report, the
responses of the Board are as follows:
The Company is in the process of remitting the due amount to the
respective department end will ensure that the same is paid in the
earliest possible time.
Management Discussion and Analysis Report:
The report, as required, is given as Annexure I and forms part of the
During the year under review, your Company has not accepted any
deposits falling under section 5BA of the Companies Act, 1956 read with
Companies (Acceptance of Deposits) Rules, 1975 There are no overdue
deposits, due for payment as at the close of the year.
Directors'' Responsibility Statement
Pursuant to the requirement under Section 217 (2AA) of the Companies
Act, 1956. with respect to the Directors Responsibility Statement. your
Directors state that:
(i) We have followed the applicable accounting standards in preparation
of the Annual Accounts and there has been no material departure:
(ii) We have selected such accounting policies and applied them
consistently end made judgments and estimates that are reasonable and
prudent so as to give a true and fair view of the state of the affairs
of the Company as at 31 March 2012 and of the Profit of the Company
for the year ended on that date:
(iii) We have taken proper and sufficient care has been taken for the
maintenance of adequate accounting records in accordance with the
provisions of the Companies Act, 1956 for safeguarding the assets of
the Company and for preventing and detecting fraud and other
(iv) We have prepared the annual accounts on a going concern basis.
Particulars of Research and Development, Conservation of energy,
technology absorption and Foreign exchange earnings and Outgo
Particulars required under Section 217 (1)(c) of the Companies Act,
1956 read with Rule 2 of the Companies (Disclosure of Particulars in
the Report of Board of Directors) Rules, 1988 is given in the Annexure
11 to the Report.
Particulars of Employees
The details of Employees of the Company who received remuneration in
excess of the limits prescribed under Section 317 (2A) of the Companies
Act, 1956 read with the Companies (Particulars of Employees) Rules.
1975 is given in the Annexure-III to the report.
Your Directors would like to place on record their gratitude for all
the guidance and cooperation received from all its clients, vendors,
bankers, financial institutions, business associates, advisors,
regulatory and government authorities.
Your Directors also take this opportunity to thank all its investors
and stakeholders for their continued support and all employees for
their valuable contribution and dedicated service.
For end on behalf of the Board
Chairman & Managing Director
Place : Bengaluru
Date : 14th August, 2012