The Directors are pleased to present the 30th Annual Report on the
 business and operations together with Audited Balance Sheet and Profit
 & Loss Account of your Company for the year ended March 31, 2011.
 
 FINANCIAL RESULTS
 
 Your Companys performance during the year as compared with the
 previous year is summarized below:
 
                                                   Rupees in Million
 
 Particulars                                    2010-11      2009-10
 
 Net Sales                                     8,609.25     6,341.54
 
 Profit before Interest and Depreciation         571.41       517.56
 
 (-) : Financial Expenses                         93.63       113.20
 
 (-) : Depreciation/Amortisation/
 Impairment Loss                                 240.45       340.54
 
 Profit Before Tax (PBT)                         237.33        63.82
 
 (-) : Provision for Tax                          57.60         4.55
 
 Profit After Tax (PAT)                          179.73        59.27
 
 (+) : Balance of Profit brought forward          48.94        28.37
 
 Balance Available for Appropriation             228.67        87.64 
 Appropriations
 
 Dividend                                         56.09        28.04
 
 Corporate Dividend Tax                            9.10         4.66
 
 Transfer to General Reserve                      18.00         6.00
 
 Balance Carried to Balance Sheet                145.48        48.94
 
                                                 228.67        87.64
 
 Dividend (%)                                        60           30
 
 Basic and Diluted Earning Per Share (EPS)(Rs.)   19.23         6.34
 
 DIVIDEND
 
 Keeping in view of the remarkable Financial Performance during the year
 under review, as also the philosophy of your Company to reward its
 shareholders, the Board of Directors are pleased to recommend a
 Dividend of 60% (Rs.6/- per Equity Share) for the Financial Year
 2010-2011 as against 30% for the corresponding last year. The total
 amount of Dividend proposed to be distributed and tax thereon
 aggregates to Rs. 65.19 Million (including Dividend Tax) as against Rs.
 32.70 Million. The Dividend payout ratio comes to 36.27%.
 
 A sum of Rs. 18 Million has been transferred to the General Reserve of
 the Company. This reaffirms the inherent financial strength of your
 Company.
 
 BUSINESS PERFORMANCE
 
 Since the first car was rolled out in India in the year 1898, the
 Indian Automobile Industry has come a long way. During its early stages
 it was overlooked, but since the introduction of the liberalization
 policy, various tax reliefs by the Government of India and rapid growth
 in industrialization process in recent years, the automobile industry
 has made a remarkable growth. India is expected to become the worlds
 7th largest automobile market by 2016 and third largest by 2030.
 Further, the total sales are expected to reach US$ 120 -160 Billion by
 2016 and the investment requirement is estimated to be US$ 35-40
 Billion. 1
 
 During the year under review the Indian Automobile Industry recorded a
 remarkable production growth of 27%, as compared to the last year.  The
 industry produced around 18 Million vehicles of which share of two
 wheelers were 75%, passenger vehicles - 17 %, three wheelers and
 commercial vehicles - 4% each. 2
 
 In this backdrop, your Company has achieved a 36% growth in the Annual
 Sales, which is much above the industry growth, by clocking the sales
 of Rs.8,609 Million during the year under review ended March 31, 2011,
 as compared to Rs. 6,342 Million in the previous year.
 
 During the year under review, Lumax has posted Earnings before
 Depreciation Interest and Tax (EBDITA) of Rs. 571.41 Million for the
 year ended March 31, 2011 as against Rs. 517.56 Million in the previous
 year, an increase of 10% as compared to the previous year and Profit
 After Tax (PAT) of Rs. 179.73 Million as compared to the Profit After
 Tax (PAT) of Rs. 59.27 Million during the previous year, registering a
 tremendous growth of 203%.
 
 During the year under review, your Company has laid foundation for
 construction of a new ultra modern manufacturing plant at Bawal,
 Haryana at an estimated cost of about Rs.800 million to meet the
 increasing demand for supply of high volume auto lightings for one of
 its existing top customer - Maruti Suzuki, as some of the existing
 plants are facing capacity constraints. The said plant is expected to
 start commercial production by January 2012.
 
 Further, your Company is also in the process of setting up new plant at
 Bidadi, Bangalore for supply of auto lighting and other components for
 the Small Car of Toyota - Etios and the said facility is expected to
 become operational by the next year. Till then your company has set up
 a new small assembly facility in Bidadi, Bangalore and started
 supplying to this customer. Further, due to low volumes of Nano Car
 productions, your Company has delayed the commencing of production from
 the Nano Plant, Sanand, Gujarat, after a string of negotiations in
 relation with the investment in Singur, West Bengal.
 
 A detailed discussion on the business performance and future outlook is
 provided in the Chapter on Management Discussion & Analysis Report
 (MDA).
 
 RECOGNITION AND AWARDS
 
 Your Company believes that the journey of excellence is a never ending
 one but it begins with Quality. Quality initiatives are all pervasive
 encompassing each and every process throughout the organization,
 leading to excellence. As a result of which the Company has received
 the following awards and recognitions from Customers and other Agencies
 during the year under review:
 
 Rs.  Got 90% marks in the Annual Vendor System Audit by Maruti Suzuki
 India Ltd in 2010-11, as against 85% last year.
 
 Rs.  Won Silver Award for Manufacturing Excellence from Automotive
 Components Manufacturer Association (ACMA).
 
 Rs.  Won Golden Trophy in QCC Competition organised by Quality Circle
 Forum of India - Delhi Chapter.
 
 Rs.  Won First prize in poster competition in QCC Competition organised
 by Quality Circle Forum of India - Delhi Chapter.
 
 Rs.  Won Winner Award (GOLD TROPHY) in the 23rd Preliminary QC Circle
 Competition Organized by Confederation of Indian Industry (CII).
 
 Rs.  Won Silver Award in the 21st Chapter Convention QC Circle
 Competition Organized by Quality Circle Forum of India - Delhi
 Chapter.
 
 Rs.  Received Certificate from Maruti Suzuki India Ltd. (MSIL),
 recognizing efforts and superior performance of the Company in the
 field of Design and Development
 
 Rs.  Received Certificate of Appreciation from International Centre for
 Automotive Technology (ICAT).
 
 DIRECTORS
 
 In accordance with the Articles of Association of the Company and the
 Companies Act 1956 Mr Anmol Jain Mr M C Gupta Mr Makio Natsusaka and Mr
 A P Gandhi Director(s) are retiring by rotation at the ensuing Annual
 General Meeting and being eligible offer themselves for re-appointment.
 
 The term of Mr D K Jain as Chairman & Managing Director and Mr Anmol
 Jain as Sr Executive Director is expiring accordingly the Board
 recommends to re-appoint them as Whole-time Directors with respective
 Designations subject to the approval of the members in the ensuing
 Annual General Meeting.
 
 Further the previous tenure of Mr Deepak Jain as Sr Executive Director
 expired on 31-01-2011 Hence the Board re-appointed Mr Deepak Jain as Sr
 Executive Director for a further period of 5 years we f 01-02-2011 in
 its meeting dated 29-01-2011 subject to the approval of the members in
 the ensuing Annual General Meeting.
 
 Your Directors recommend the re-appointment of the above Directors at
 the ensuing Annual General Meeting.
 
 DIRECTORS RESPONSIBILITY STATEMENT
 
 As required under Section 217(2AA) of the Companies Act 1956, the
 Directors state:
 
 (i) That in the preparation of the Annual Accounts for the Financial
 Year ended March 31 2011 the applicable Accounting Standards have been
 followed along with proper explanation relating to material departures
 in the Auditor Report and Notes to Accounts;
 
 (ii) That the Directors have selected such accounting policies and
 applied them consistently and made judgments 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;
 
 (iii) That 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
 irregularities;
 
 (iv) That the Directors have prepared the Annual Accounts on a going
 concern basis.
 
 FIXED DEPOSITS
 
 During the year under review the company has not accepted any Deposit
 under Sections 58A and 58AA of the Companies Act, 1956 read with the
 Companies (Acceptance of Deposits) Rules, 1975.
 
 AUDITORS
 
 M/s S.R. Batliboi & Associates, Chartered Accountants are proposed for
 re-appointment as Statutory Auditors of the Company from the conclusion
 of the ensuing Annual General Meeting till the conclusion of the next
 Annual General Meeting. They have given their consent to act as
 Auditors of the Company and have further confirmed that their
 appointment would be in conformity of the provision of Section 224(1B)
 of the Companies Act, 1956. The Board recommends their re-appointment
 for the approval of members in the ensuing Annual General Meeting.
 
 The explanations of your Board of Directors on the Auditors
 observations as contained in their report, read with the relevant notes
 to accounts are as follows.
 
 (i) With reference to the observation in Para (v) (b) to the Annexure
 of their Report in respect of transactions exceeding
 
 Rs. 5 Lacs in which comparable prices are not availaible, it is
 explained that the nature of these transactions covers under two
 categories viz. (a) Designing and Development of Tools, Moulds and (b)
 Specialized Nature of Raw Material, Semi Finished and Finished
 Products.
 
 (a) Designing and Development of Tools, Moulds
 
 The Tools and Moulds etc. are of specialized nature of products which
 needs to be designed and developed with specialized knowledge and skill
 as per the Customer specifications and requirements. The specifications
 provided by Customer for designing and development of Tools are of a
 Confidential Nature and having immense Intellectual property value.
 Therefore, the Company arranges the Designing and development of Tools
 with the Technical Support and Guidance from its Collaborator M/s
 Stanley Electric Co. Ltd and its associates. In some cases, the Tool
 designing and its development is also undertaken by Vendors which
 transactions are not pursuance of such contracts and arrangements as
 referred to in Para (v) (b) to the Annexure of the Audit Report.
 
 In all these cases the Company need to share the Technical
 Specification and Other Information of Customer which is of immense
 Intellectual Property Value with the Vendor which can only be done
 after entering into Legally binding Contracts which includes
 Confidentiality Agreements also, with the respective Vendor. These
 Vendors are finalised after due Financial and Technical Assessment of
 their capability to execute the job. In view of this background, it is
 not possible for the Company to share the Customers
 Information/specifications with alternate vendors only for the purpose
 of arranging comparable quotes/prices.
 
 (b) Raw Material, Semi Finished and Finished Products
 
 In most of these cases, the Company procures the raw material and
 components from the Vendors after supplying Tools, Moulds, Jigs Dies
 for its manufacturing and some of the items purchased are of a
 specialized and unique nature for which no alternate sources of supply
 availaible to enable comparison of prices. Further such Vendors are
 also defined/approved by our Customer(s), to whom the Company supplies
 the Final Product. As these raw material and components are of
 specialized and unique nature and its comparable market prices are not
 availaible.
 
 (ii) With reference to the observations of the Auditor in Para (ix) (a)
 to the Annexure of their Report regarding slight delay in deposit of
 Statutory Dues, it is informed that the said dues have since been paid.
 
 During the year, all the recommendations of the Audit Committee were
 accepted by the Board. Hence there is no need for disclosure of the
 same in this Report.
 
 MATERIAL CHANGES AND COMMITMENTS
 
 No other material changes and commitments affecting the Financial
 position of the Company have occurred between April 1, 2011 and the
 date on which this Report has been signed.
 
 CORPORATE SOCIAL RESPONSIBILITY
 
 The Company actively takes part in Corporate Social Responsibility
 (CSR) programmes, from time to time, in order to create value for all
 stakeholders, including shareholders, employees, customers, suppliers,
 project affected people, society at large etc.
 
 The Companys CSR scheme is underpinned by the principles of Ethics,
 Transparency and Accountability. Your company does not engage in
 business practices that are abusive, unfair, corrupt or
 anti-competitive.
 
 Depending upon the core competency and business interest, the Company
 aims to undertake activities for social development of communities and
 geographical areas, particularly in the vicinity of their operations.
 These operations may vary from education, skill building for livelihood
 of people, health, cultural and social welfare etc.
 
 The Corporate Social Responsibility (CSR) program is an integral part
 of the way the Company conducts its business.
 
 Last year your Company started the programme of Nanhi Chhaan, which
 is fostered by Confederation of Indian Industry (CII) for promoting the
 girl child amongst general population and to promote communitys
 involvement in aforestation drive. The programme has gained
 considerable popularity and credibility for its tremendous contribution
 to the society.
 
 MANAGEMENT DISCUSSION & ANALYSIS REPORT
 
 Pursuant to the provisions of Clause 49 of the Listing Agreement,
 Management Discussion & Analysis Report is annexed as part of this
 report separately as Annexure - A
 
 OTHER INFORMATION
 
 Disclosure of information regarding Conservation of Energy, Research &
 Development, Technology Absorption and Foreign Exchange Earning and
 Outgo etc. under Section 217(1)(e) of the Companies Act, 1956 is
 annexed separately as Annexure - B.
 
 GROUP
 
 Pursuant to the intimation from the Promoters, the names of the
 Promoters and entities comprising Group are disclosed in the Annual
 Report as Annexure C, for the purpose of the SEBI (Substantial
 Acquisition of Shares and Takeovers) Regulations, 1997.
 
 CORPORATE GOVERNANCE
 
 The report on Corporate Governance together with the Auditors
 Certificate regarding the Compliance of conditions of Corporate
 Governance as stipulated in Clause 49 of the Listing Agreement is
 annexed and forms part of this Annual Report as Annexure - D.
 
 PARTICULARS OF EMPLOYEES
 
 Information of Particulars of Employees as required under Section
 217(2A) of the Companies Act, 1956 read with the Companies (Particulars
 of Employees) Rules, 1975 forms an integral part of this report. As per
 the provisions of Section 219(1)(b)(iv) of the Companies Act, 1956, the
 Report and Accounts are being sent to the shareholders of the Company
 excluding the Statement of Particulars of employees under Section
 217(2A) of the Companies Act, 1956. Any shareholder interested in
 obtaining a copy of such statement may write to the Vice President
 (Legal) and Company Secretary at the registered office of the Company.
 
 ACKNOWLEDGEMENT
 
 It is our strong belief that caring for our business constituents has
 endured our success in the past and will do so in future. Your
 Directors wish to place on record their sincere thanks to all its
 highly valued customers, its Technical and Financial Collaborator- M/s
 Stanley Electric Co. Ltd., Japan, all other business partners, all the
 Shareholders, Financial Institutions, Banks, Vendors and various
 Government agencies for their continued support and patronage.
 
 The Board would also like to acknowledge the co-operation & commitment
 rendered by all the associates & employees of the Company for their
 unstinted support shown during these challenging times.
 
                          For and on behalf of the Board of Directors
 
 Place :Gurgaon                                            D. K. JAIN
 
 Dated : May 27, 2011                    Chairman & Managing Director