The Directors have pleasure in presenting the Company''s Balance
Sheet as at 31 st March, 2012, together with the Profit and Loss
Account for the year ended on that date.
Financial Results (Rupees in Lac)
Year Ended Year Ended
Sales and Other Income 7459.31 5902.68
Profit before Interest, Depreciation
and Tax 2,183.13 946.64
Finance cost 123.15 141.10
Depreciation 528.86 547.46
Profit Before Tax 1531.12 258.08
Provision for Tax 407.36 34.17
Profit(loss) after Tax 1123.76 223.91
Your Company''s Sales and Servicing Income for the year was Rs.5021.89
lac as compared to Rs.4968.35 lac in 2010-11.
Sale of metallic card clothing decreased by 1% during the year to
Rs.3661.35 lac from Rs.3699.71 lac in the previous year. Demand for
metallic card clothing was constrained because of low levels of
activity in the textile spinning industry in India since many mills
reduced production of yarn as it became un-remunerative to convert
cotton procured at higher prices into yarn which was trading in the
international market at prices lower than the cost of cotton. Sale of
woollen card clothing increased by 8.8% during the year to Rs.523.25
lac from Rs.480.87 lac in the previous year due to improvement in
procurement of input material. Exports increased significantly by 36.6%
to Rs.1484.31 lac during the year from Rs.1086.93 lac in the previous
year due to higher exports to Indonesia and Bangladesh.
New Manufacturing Facility at Nalagarh, Himachal Pradesh
Accura carriers and woollen metallic is now made in Nalagarh factory.
Various ranges of metallic card clothing are under development, though
dispatch of metallic card clothing from Nalagarh factory was limited
during the year.
One floor of the IT Park building in Pimpri constructed in 2009-10
year, was sold to Tata BSS Ltd and another floor was fully let out
during the year. Part of premises on the ground floor has been agreed
to be sold and balance one floor remains to be un-occupied at the IT
Park. During the year, the entire commercial building at Powai, Mumbai
was fully occupied.
Your Directors recommend final dividend of 35% for the year ended 31st
March, 2012 in addition to Special Interim dividend of 100% (30% for
the year ended 31 st March, 2011).
ICC International Agencies Ltd.(ICCIAL) recorded increase in income of
22% from Rs.376.06 lac in the previous year to Rs.458.53 lac in the
current year. The subsidiary company recorded profit after tax of
Rs.57.98 lac in the current year against previous year''s profit after
tax of Rs.50.00 lac. A higher profit after tax was mainly on account of
higher agency income. ICCIAL declared 50% dividend for the year (100%
in the previous year).
Garnett Wire Ltd.(GWL), a U.K. Company, in which your Company has 60%
of the issued share capital, recorded higher turnover of 22% from PDS
1111,145 to PDS 1356,460 resulting in profit after tax at PDS 45,433/-
against PDS 8,716/- in the previous year. Higher turnover for the year
was on account of higher sales of wire.
M/S. Shivraj Sugar and Allied Products Pvt. Ltd., subsidiary of the
Company, has not started operations as yet.
The present Directors who were appointed for a period of three years
under Article 115 at the 56th Annual General Meeting held on 9th
August. 2010 will continue to hold office.
Directors'' Responsibility Statement
Pursuant to Section 217 (2AA) of the Companies Act, 1956, your
Directors confirm that to the best of their knowledge and belief and
according to the information and explanations made available to them:
1. in the preparation of the annual accounts, the applicable
Accounting Standards have been followed;
2. appropriate accounting policies have been selected and applied
consistently and judgments and estimates have been made that are
reasonable and prudent so as to give a true and fair view of the state
of affairs of the Company as at 31 st March, 2012 and of the profit of
the Company for the year 1 st April, 2011 to 31st March, 2012;
3. 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 irregularities;
4. the annual accounts have been prepared on a going concern basis.
Your Company has complied with the guidelines on Corporate Governance
under the Listing Agreement and a certificate from the Auditors of the
Company as well as detailed report on Corporate Governance, approved by
the Board of Directors of the Company is annexed to this report. A
Management Discussion and Analysis Report also accompanies Report.
Technology Absorption, Research And Development
Your Company continues to satisfy the requirements of ISO 9001:2008 as
certified by Bureau Veritas Quality International (BVQI) for Metallic
and Flexible Card Clothing and Accrual Fixed Flats for Pimpri and
Nalagarh factories. The certificate was renewed in November, 2011 for a
further period of three years. In- house Research and Development
Centre in metallic card clothing and card wire continued to make a
contribution to the development of newer and improved products and
Information regarding technology absorption is given in Annexure I and
forms part of the report.
Foreign Exchange Earnings And Out-go
Total foreign exchange earnings Rs.1518.99 lac
Total foreign exchange out-go Rs.908.38 lac
Industrial relations in the Company continued to be cordial during the
year under review. Your Directors look forward to continuing
participation of employees in the Company''s efforts to increase
productivity and maintain the high quality of its products.
Particulars Of Employees
With Notification No.289(E) dated 31st March, 2011 increasing limit to
Rs.5 lac per month, information required under Section 217(2A) of the
Companies Act, 1956, read with the Companies (Particulars of Employees)
Rules, 1975, is not applicable.
Conservation Of Energy
LED fittings for lighting in open area and energy saving starter for
oxygen generator installed during the year resulted in power saving.
Maintenance of power factor at unity continued to entitle the Company
to rebate in energy bill.
M/s B.K. Khare & Co., the present auditors of the Company, have
signified their consent to continue in office.
For and On Behalf of the Board of Directors
Mumbai, 25th May, 2012 PRASHANT K. TRIVEDI