ANNUAL REPORT 2005-2006
Your Directors are pleased in presenting the 16 th Annual Reports and
audited Statement of Accounts for the year ended 31st March, 2006.
(Rs. in Lacs)
Year Ended Year Ended
31st March' 2006 31st March' 2005
Gross Sales 2801.54 2102.71
Other Income 178.45 91.30
Less : Total Expenditure 2524.74 1837.30
Gross Profit (before Depreciation
& Interest) 455.25 356.71
Less : Interest 35.02 29.63
Depreciation 84.27 81.30
Net Profit (PBI) 335.96 245.78
Provision for Income Tax 89.03 70.00
Deferred Tax (19.43) 13.63
Profit after Tax (PAT) 226.36 162.15
Balance B/F 63.08 58.40
Less : Transfer to General Reserve 200.00 100.00
Dividend & Dividend Tax 57.47 57.47
Balance to Balance Sheet 71.97 63.08
The gross Turnover of the Company have registered a substantial increase
over the last year inspite of a major fire occured at Factory premises at
Falta Unit. The Company has maintained a Steady overall gross margin. The
net margin of the Company has also been increased. The Company had to
perform in the midst of stiff competitions from within the Market. The
overall response in the domestic market is very encouraging and the
bookings of leather items has been increased manifold which results in
higher revenue as compared to previous year.
Besides, as a part of Company's diversifying planning activities, one wind
Turbine unit of 1.25 MW has been installed in the state of Maharashtra
which has become operational in the month of May, 2006.
The Company is also examining the prospects of further diversification in
Industrial Activities to transform the Company into a truly multifunctional
unit with diversified business interest under one roof.
The overall performance continued to keep spare with the GDP growth rate of
Your Directors recommend a Dividend @ 20% for the year ended 31st March,
2006, i.e. @ Rs. 2/- per share, subject to approval of the members in the
ensuing Annual General Meeting, which together with the Dividend Tax is
expected to absorb a sum of Rs. 57.47 Lacs.