To The Members of Associated Stone Industries (Kotah) Limited
The Directors have pleasure in presenting the 66th Annual Report
together with the Audited Accounts of the Company for the year ended
31st March, 2012:
1. FINANCIAL RESULTS:
(Rs. in lacs)
Total revenue 170886.19 17364.84
Profit before finance cost & depreciation 2638.34 2941.17
Less: Finance cost 601.82 559.48
Depreciation 577.20 524.22
Profit before taxation 1459.32 1857.47
Provision for taxation
Current tax (522.00) (655.00)
Deferred tax 43.15 24.72
Earlier year adjustments (37.60) (59.80)
Profit for the year (after tax) 942.87 1167.39
Add: Balance in profit & loss account 3419.32 2531.01
Profit available for appropriation 4362.19 3698.40
Transfer to general reserve 125.00 125.00
Proposed dividend 132.57 132.57
Tax on dividend 21.51 21.51
Balance carried forward to Balance Sheet 4083.11 3419.32
Your Directors are pleased to recommend a dividend of Re. 1/-
(equivalent to 20%) per equity share of the face value of Rs.5/-each.
For the year under review the production of Kotah Stone was 1461.10
lacs sq.ft. as against 1506.19 lacs sq. ft. in the previous year and
sales were 1450.58 lacs sq.ft. as against 1472.43 lacs sq.ft. in the
During the year 2011-12 the Company has registered revenue from
operations of Rs. 17088.19 lacs (previous year Rs. 17634.84 Lacs) and
Gross Profit of Rs.2638.34 Lacs (previous year Rs. 2941.17 Lacs).
The profit before taxation during the year 2011-12 is Rs. 1459.32 Lacs
as compared to Rs. 1857.47 Lacs during the previous year 2010-11.
4. WIND POWER PROJECT
As a part of its efforts to augment Green Power, the Company has
so far installed 4.75 MW capacity wind power projects comprising of
1.125 MW capacity in Tiruppur District of Tamil Nadu, 1.125 MW in Gadag
District of Karnataka and 2.50 MW capacity in Satara District of
The wind power projects by themselves are not commercially viable since
their operation depends upon availability of winds which is a function
of nature and many times erratic. Realising this fact, the Govt, of
India offers various incentives such as accelerated depreciation
benefit, enhanced tariff for companies not in a position to avail
accelerated depreciation benefit, tax holiday for 10 years etc.
However, even with these benefits, the returns on investment are very
moderate. In a move to accelerate the installation of wind power
projects and similar projects like solar power, bio-mass power etc.
which are based on renewable energy sources and do not have any adverse
impact on environment and climate change, the Govt, of India has
mandated that utilities should source a minimum percentage of their
power from renewable source based projects.
The need to encourage installation of environment friendly wind power
projects has been universally recognized and carbon credit benefits are
extended under the Kyoto Protocol of UNFCCC (United Nations Framework
Conference for Climate Change). Company had applied for such carbon
credit benefit for the 4.75 MW bundled wind power project which has
been approved and registered by UNFCCC, Bonn, Germany from 1st May
2011. The Company will be eligible to get carbon credit certificate for
ten years from the date of Registration based on the yearly generation.
As the first year has been completed on 30th April 2012, the Company is
in the process of collecting data of monitoring, verification etc. and
submitting to UNFCCC for approval. M/s. TUV India Pvt. Ltd (subsidiary
of TUV Nord, Germany) has been appointed to validate the project. Once
the carbon credit certificate is issued, the same can be traded in the
carbon credit market.
5. HEALTH, SAFETY & ENVIRONMENT
Health and Safety are the issues getting major attention of Regulatory
Authorities. Govt is insisting on regular health check of mine workers
especially for respiratory diseases like Silicosis. Company has
responded to all such calls by arranging health camps for mine workers
and thereafter regular follow up. During the year at least 1000 workers
had undergone medical check up.
Maintaining a good, clean & cool environment at its work- place is the
top most priority of the Company.
Environmental issues are getting serious momentum. Company has been
complying with all environmental requirements and has set up a
separate Environment Cell to monitor various parameters and taking up
corrective steps in case of any deviation. Special attention is paid on
plantation in mine area and rightful conservation of water source.
6. CORPORATE GOVERNANCE
The Company has complied with mandatory provisions of Corporate
Governance as prescribed under the Listing Agreement.
A separate report on Corporate Governance is produced as a part of the
Annual Report along with Auditors'' Certificate on its compliance.
7. DIRECTORS'' RESPONSIBILITY STATEMENT
As stipulated in Section 217(2AA) of Companies Act, 1956, your
Directors subscribe to the Directors Responsibility Statement and
- in the preparation of the annual accounts, the applicable
accounting standards have been followed along with proper explanation
relating to material departures;
- the Directors have selected such accounting policies and applied
them consistently and made judgements and estimates that are reasonable
and prudent so as to give a true and fair view of the state of affairs
of the Company at the end of the financial year and of the profit or
loss of the Company for that period;
- the Directors have taken proper and sufficient care 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
- the annual accounts have been prepared on a going concern basis.
Shri. Pramod G. Lath retires by rotation in accordance with the
provisions of the Companies Act, 1956 and Articles of Association of
the Company but being eligible, offers himself for reappointment.
Shri. S.M Shroff has resigned as Director of the Company w.e.f 02nd
February, 2012. The Board wishes to place on record its gratitude and
appreciation for the co-operation and guidance rendered by him during
his tenure as Director of the Company.
M/s. B.L. Ajmera & Co., Chartered Accountants, retires as auditors of
the Company at the ensuing Annual General Meeting and are eligible for
10. STATUTORY INFORMATION
The information pursuant to Section 217 (2A) of the Companies Act, 1956
read with the Companies (Particulars of Employees) Rules, 1975 is not
The Information pursuant to Section 217(1) (e) of the Companies Act,
1956 read with the Companies (Disclosure of Particulars in the Report
of Board of Directors) Rules, 1988 is in Annexure.
The Company has been accepting deposits within the provisions of
Section 58A of the Companies Act, 1956 and the Companies (Acceptance of
Deposits) Rules, 1975. The Fixed Deposits as on 31st March, 2012 was
Rs 251.25 Lacs.
Your Directors would like to acknowledge and place on record their
sincere appreciation to all stakeholders- clients, Financial
Institutions, Banks , Central and State Governments, the Company''s
valued investors and all other business partners for their continued
co-operation and excellent support received during the year.
Your Directors recognize and appreciate the efforts and hard work of
all the employees of the Company and their continued contribution to
On behalf of the Board of Directors
30th May, 2012 Deepak Jatia
Chairman & Managing Director