The Directors submit the 20th Annual Report along with the Audited
Statement of Accounts of the Company for the year ended March 31, 2014.
(Rs. In Lacs)
FINANCIAL RESULTS 2013-2014 2012-2013
Gross Income 8,029.16 7,569.21
Profit before Depreciation, Finance Cost and Tax 684.70 596.91
Less : Depreciation 163.76 160.70
Less : Finance Cost 113.61 96.78
Profit before Taxation 407.33 339.43
Less : Current Tax 88.44 76.00
Profit after Tax 318.89 263.43
Add : Balance b/f from previous year 1,922.81 1,837.23
Balance available for appropriation 2,241.70 2,100.66
Balance c/f 2,241.70 2,100.66
Less : Proposed Dividend 110.00 110.00
Less: Dividend Tax 18.70 17.85
Less : General Reserve 50.00 50.00
Balance c/f to Balance Sheet 2,063.00 1,922.81
The Global environment was not encouraging due to continuous recession
in several European economies, persistent problem of unemployment,
banking fragility and fiscal tightening, China experienced considerably
slow growth and the entire Indian industries too were facing policy
paralysis, despite these constraints and the challenging environment,
your Company performed reasonably well and delivered positive growth in
sales. The highlights of the company''s performance are as under:
* PBDIT increased by 14.70% at Rs. 684.70 lacs
* Turnover of moulded furniture division increased by 9% to Rs.7,287.61
* Exports increased by 22% to Rs.1,863.62 lacs.
* Operating revenue of moulded furniture division increased from
Rs.137.10 to Rs.581.58 lacs.
* Turnover of ACP division increased from Rs.436.56 lacs to Rs.623.96
The performance of ACP business has slowly improving due to focusing on
retail business. However commercial real estate sector had remained
sluggish in the last year resulting into under utilization of installed
capacity. The main raw material for ACP division is Coated Aluminum
Coil and prices of the Aluminum are driven by global market and at
present the prices are within the reasonable range. The Company mainly
sources, its raw materials from China & other leading countries.
Overall the Company''s performance is satisfactory and registered a
profit before tax of Rs. 407.33 lacs.
Your Directors have recommended a dividend of Rs.1/- per equity share
(last year Rs.1/- per equity share) for the financial year ended March
31, 2014, amounting to Rs.128.70 lacs (inclusive of tax of Rs.18.70
lacs). The dividend payout is subject to approval of members at the
ensuing Annual General Meeting.
The dividend will be paid to members whose names appear in the Register
of Members as on September 12, 2014; in respect of shares held in
dematerialized form, it will be paid to members whose names are
furnished by National Securities Depository Limited and Central
Depository Services (India) Limited, as beneficial owners as on that
The dividend payout for the year under review has been formulated in
accordance with shareholders'' aspirations and the Company''s policy to
pay sustainable dividend linked to long term growth objectives of the
Company to be met by internal cash accruals.
TRANSFER TO RESERVES
The Company proposes to transfer Rs.50.00 lacs to the General Reserve
out of the amount available for appropriations and an amount of
Rs.2,063.00 lacs is proposed to be retained in the Profit and Loss
The Company has bagged the Top Export Award from Plex Council of
India for the Financial Year 2011-12 & 2012-13.
PERFORMANCE OF JOINT VENTURE
Prima Dee-lite Plastics Pvt. Ltd., Cameroon is a Joint Venture Company
manufacturing Moulded Articles and HDPE Woven Sack Bags. The total
turnover of JV Company for the calendar year 2013 was INR 4,724.71 lacs
as compared to previous calendar year of INR 3,267.20 lacs. The profit
for the year after depreciation and tax was INR 873.70 lacs as compared
to INR 491.86 lacs in the previous year.
CONSOLIDATED FINANCIAL STATEMENTS
In accordance with the Accounting Standard (AS) - 21 on Consolidated
Financial Statements read with AS - 27 on Financial Reporting of
Interests in Joint Ventures, the audited consolidated financial
statement is provided in the Annual Report.
Shri Bhaskar M. Parekh (DIN - 00166520) retires by rotation and being
eligible, offers himself for reappointment at the ensuing Annual
General Meeting. Pursuant to the applicable provisions of Section 149,
150, 152, 161 and other applicable provisions of the Companies Act,
2013 and rules made there under, the Board has received the proposal
from members of the Company for appointment of Independent Directors
for 5 years. Shri Bhaskar M. Parekh and Shri Dilip M. Parekh were
re-appointed as Executive Chairman and Managing Director & KMP
respectively as per the requirement of new Companies Act, 2013. Brief
resume of Shri Bhaskar M. Parekh (DIN - 00166520), Shri Dilip M. Parekh
(DIN - 00166385), Shri Mulchand S. Chheda (DIN - 00179932), Shri
Krishnakant V. Chitalia (DIN - 00443945), Shri Rasiklal M. Doshi (DIN -
00239580) nature of his experience are given in the section on Notice
elsewhere in the Annual Report.
DIRECTORS'' RESPONSIBILITY STATEMENT
As stipulated in Section 217(2AA) of the Companies Act, 1956, the Board
of Directors of the Company hereby state and confirm that:
I. In the preparation of the annual accounts for the year ended March
31, 2014, the applicable accounting standards read with requirements
set out under Schedule VI to the Companies Act,1956, have been followed
and there has been no material departure;
II. 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 as at March 31, 2014 and of the profit of the Company
for the year ended on that date;
III. The Directors have taken proper and sufficient care to the best of
their knowledge and ability for the maintenance of adequate accounting
records in accordance with the provisions of the Companies Act, 1956.
They confirm that there are adequate system and control for
safeguarding the assets of the Company and for preventing and detecting
fraud and other irregularities.
IV. Directors have prepared the Annual Accounts on a going concern
AUDITORS & AUDITOR''S REPORT
M/s. G.P. Kapadia & Co., Chartered Accountants, Mumbai bearing ICAI
Registration (104768W) are proposed to be appointed as Auditors of the
Company from the conclusion of ensuing Annual General Meeting till the
conclusion of the 23rd Annual General Meeting of the Company held
thereafter, subject to ratification of the appointment by the members
at every AGM held after the ensuing AGM.
As required under Section 139 of the Companies Act, 2013, the Company
has obtained a written consent from M/s. G.P. Kapadia & Co., to such
appointment and also a certificate to the effect that their
appointment, if made, would be in accordance with Section 139(1) of the
Companies Act, 2013 and the rules made there under, as may be
The Auditors'' Report to the members on the Accounts of the Company for
the financial year ended March 31, 2014 does not contain any
PARTICULARS OF EMPLOYEES
The Company does not have any employee drawing remuneration as
stipulated under Section 217 (2A) of the Companies Act, 1956 read with
the Companies (Particulars of Employees) Rules, 1975.
CONSERVATION OF ENERGY, THCHNOLOGY ABSORPTION, FOREIGN EXCHANGE
EARNINGS AND OUTGO
Additional information given as required under the Companies
(Disclosures of Particulars in the report of Board of Directors) Rules,
Energy conservation program is an ongoing process, the Company
continues to emphasize on energy conservation at the stage of
selections of plant, equipment to optimize energy consumption and by
installing necessary power saving equipments.
RESEARCH & DEVELOPMENT
The R & D activities carried out by the Company are directly working in
the supervision and guidance of the Managing Director. The Company has
been able to launch few new products in plastics in replacement of
conventional wood and also few new designs of chairs developed
internally. The Company further plans to develop and introduce new
range of products in the current year.
TECHNICAL ABSORPTION, ADAPTATION & INNOVATION
The Company has not imported any technology or processes know how. The
Machines and moulds used for manufacturing products are regularly
upgraded to cater variety products in line with the market trend and
demand. The new investments are made in new technology upgraded
machines & moulds.
As a result, the Company is able to give new & innovative designed
product and has created strong demand of its products in export market.
FOREIGN EXCHANGE EARNING AND OUTGO
1) Activities relating to exports, initiative taken to increase
exports; development of new exports market for products and services;
and export plans:-
The Company''s key markets for international business are the Africa,
Middle East, and Latin America. The export products are well
established in the international market and the exports were higher at
Rs.1,863.62 lacs as compared to Rs.1,526.15 lacs in last year. The
growth in export too is very impressive at 22% in percentage term due
to repeated orders from its existing clients.
The Company has not accepted any Fixed Deposit covered from the Members
or the Public during the year.
The Report on Corporate Governance as stipulated under Clause 49 of the
Listing Agreement forms part of the Annual Report. The requisite
Certificate from the Auditors of the Company confirming compliance with
the conditions of Corporate Governance as stipulated under the
aforesaid Clause 49 is attached to this Report.
The Directors thank the Company''s customers, vendors, investors and
banks for their support to the Company. The Directors also thanks the
Governments of other countries, Government of India, State Governments
in India and concerned Government Departments/Agencies for their
Certain statements in the reports of the Board of Directors and
Management''s discussions and analysis may be forward looking statements
within the meaning of applicable securities laws and regulations.
Actual results could differ materially from those expressed or implied
since Company''s operations are influence by many external and internal
factors beyond the control of the Company. The Company assumes no
responsibility to publicly amend, modify or revise any of these
statements on the basis of any subsequent developments, information or
For and on behalf of the Board
Bhaskar M Parekh (DIN - 00166520)
August 13, 2014