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The Board of Directors are pleased to present their report for the financial year ended March 31, 2019.
SUMMARY OF FINANCIAL RESULTS Rs. crores
Revenue from operations
Profit before tax
Less: Tax expense (including deferred tax)
Profit for the year
Total other comprehensive income/(loss)
Total comprehensive income for the year
AUTOMOTIVE BATTERY BUSINESS
The automotive sector experienced headwinds during second half of fiscal year 2018-19 and both 4 wheeler and 2 wheeler vehicle production experienced negative growth during the last quarter. While OEM business in both the application categories, saw some pressure in growth, the aftermarket business performance remained strong with double digit growth in volume. Both Amaron® and PowerZone™ brands continued to make further inroads in markets across the country supported by channel expansion initiatives leading to incremental gain in market share.
The Company’s export initiatives started paying rich dividends during the year with about 45% growth in volume. The distribution channels have been further strengthened in focus markets such as Australia, Malaysia, Saudi Arabia etc. The sale of Amaron® branded products in the premium segments of the markets accelerated further while PowerZone™ and selective private labeled product range have complimented our product offering in these markets.
The manufacturing capacity in both 4 wheeler and 2 wheeler battery product lines has been further augmented during the year to meet the growing market demand. The company also announced the establishment of a new green field automotive battery plant with a capacity of 6.5 Mn units with a capital outlay of Rs.700 crores. The first phase of this new plant will be operational by end of FY20. The company also signed a technology license agreement with Johnson Controls to use advanced stamped grid technology. A total Capital investment of ‘ 540 crores is being made for the deployment of advanced stamped grid technology which will enable the company to offer high performance batteries to meet our customers’ present and future needs.
INDUSTRIAL BATTERY BUSINESS
The Industrial Battery Business has improved its performance in FY19 compared to a very challenging year of FY18. This is enabled by virtue of its “preferred supplier status” with all major customers, efficient after sales service, customer relationship management and consistent product performance of its flagship brands PowerStack®, Quanta® and QRS Series, Amaron Volt® batteries. The volumes grew in all segments of the business barring Telecom segment, where the volumes remained flat.
Exports continue to show strong growth in regions like South East Asia, Middle East and Africa. Company’s “Amaron Volt®” and “Amaron Sleek®” became the preferred brands for the Telecom customers in SEA and African markets. The company established its 100% subsidiary Amara Raja Batteries Middle East (FZE) at Sharjah to serve the Middle East markets effectively. Similarly the Company is aggressively looking at placing own manpower at other regions during FY20 to expand the International Business.
The new business segments like Motive Power, Solar and Energy Storage started yielding results. The Company received a major order for Energy Storage battery system from Africa.
The UPS Business continue to grew on the back of a strong performance in the Data Centre Market. The Quanta® HWS series batteries were well established in this market and became a preferred battery for all the major UPS OEM’s. The company is also expanding the UPS battery capacity by adding an additional assembly line which will become operational by the end of the financial Year FY20.
The challenges in the Telecom segment continue to be major concern for the business. The overall potential for batteries in this segment de-grew for the second year in a row in excess of 25%. Due to this and significant over capacity in the industry making the pricing in this sector challenging. Despite this the company maintained the Telecom volumes at last year levels, thus improving the market share.
The Company has initiated necessary measures in all key customer segments to provide integrated solution offering for backup power requirements to its customer.
The paid up equity share capital of the Company as at March 31, 2019 stood at RS.17.08 crores comprising of 170,812,500 equity shares of Rs.1 each. During the year under review, the Company has not issued shares with differential voting rights, employee stock options and sweat equity shares.
Your Directors at the meeting held on May 15, 2019 amended the existing dividend distribution policy and approved dividend payout (excluding corporate dividend tax) to distribute upto 30% of the profit after tax of the Company effective from the financial year 2018-19. The amended Dividend Distribution Policy is available on the Company’s website viz. www. amararajabatteries.com
Your directors recommend a final dividend of RS.5.08 per equity share of RS.1 each (508%) for the financial year ended March 31, 2019, subject to the approval of the members at the ensuing annual general meeting. The final dividend, if approved, would involve a cash outflow of RS.86.77 crores (excluding corporate dividend tax). Your Directors had earlier approved an interim dividend of RS.2 per equity share of RS.1 each (200%) on November 9, 2018 and the same was paid to the shareholders on November 30, 2018.
The total dividend for the financial year ended March 31, 2019, including the proposed final dividend amounts to RS.7.08 per equity share of RS.1 each share (708%), which is in line with the amended dividend distribution policy of the Company.
TRANSFER TO RESERVES
Your Directors propose to transfer an amount of RS.48.35 crores to the general reserve. An amount of RS.2,824.68 crores is retained in the retained earnings.
During the year, your Company incorporated a wholly owned subsidiary in the name and style of “Amara Raja Batteries Middle East (FZE) (ARBME)” in Sharjah Airport International Free (SAIF) Zone.
ARBME, a wholly owned subsidiary of the Company, did not commence any operations during the year 2018-19 and reported a loss of RS. 0.26 crores for the year ended March 31, 2019.
CONSOLIDATED FINANCIAL RESULTS
In accordance with the provisions of the Companies Act, 2013 (‘the Act’), Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (‘the Regulations’) and applicable Accounting Standards, the audited consolidated financial statements of the Company for the financial year 2018-19, together with Auditors Report thereon forms part of the Annual Report. . A statement showing the salient features of the financial statements of the subsidiaries, associates and joint ventures is enclosed as “Annexure I” to this report.
In accordance with Section 136 of the Act, the financial statements of the subsidiary company will be made available for inspection to the members of the Company on request and will also be kept for inspection at the Registered Office of the Company.
MATERIAL CHANGES AND COMMITMENTS AFFECTING THE FINANCIAL POSITION OF THE COMPANY BETWEEN THE END OF THE FINANCIAL YEAR AND THE DATE OF THE REPORT
There were no material changes and commitments affecting the financial position of the Company between the end of the financial year and the date of this Report.
TERMINATION OF AGREEMENTS BETWEEN GALLA FAMILY AND JOHNSON CONTROLS (JC) AND ITS IMPLICATIONS
During the month of November 2018, Johnson Controls International PLC (JC) announced sale of its Power Solution business globally to Brookfield Business Partners LP, its affiliates and its co-investors (“sale”). Consequently, JC and the Galla Family entered into an agreement to terminate the shareholders agreements with effect from April 1, 2019.
Consequent to the termination of the shareholders agreement, the other agreements i.e Investment Agreement, Technical Assistance Agreement and PowerFrame Technology License Agreement & Technology Collaboration Agreement stands terminated with effect from April 1, 2019.
Your Company under the Technical Assistance agreement entered in the year 1997 with JC had fully absorbed all critical technologies over the years. Your Company entered into PowerFrame Technology license agreement in September 2018 from JC. The Company has received complete technology know-how and will continue to have license for manufacturing advanced stamped grid plate making technology under PowerFrame Technology license agreement.
Further your Company announced capacity expansion project with advanced stamped grid plate making process and the project is progressing as per scheduled timelines.
PROMOTERS AND THEIR SHAREHOLDING:
RNGalla Family Private Limited (RFPL) and Mangal Industries Limited (MIL) are the Indian Promoters holding 24.24% and 1.82% of the paid up share capital of the Company respectively. RFPL is owned and controlled by the Galla Family headed by Dr. Ramachandra N Galla, Chairman of the Company and MIL is a wholly owned subsidiary of RFPL.
Mr. Nagarjun Valluripalli, Mr. N Sri Vishnu Raju, Mr. T R Narayanaswamy and Ms. Bhairavi Tushar Jani are Independent Directors of the Company appointed pursuant to the provisions of Section 149 of the Act. They have submitted a declaration that each of them meet the criteria of independence as provided in Section 149(6) of the Act and the Regulations. There has been no change in the circumstances which may affect their status as an Independent Director during the year, which had been considered and taken on record by the Board.
Mr. Nagarjun Valluripalli, Mr. N Sri Vishnu Raju and Mr. T R Narayanaswamy were appointed as Independent Directors for a term of five consecutive years effective from August 6, 2014. Mr. Nagarjun Valluripalli, Independent Director expressed unwillingness for his re-appointment for a second term due to his pre-occupation.
Mr. N Sri Vishnu Raju and Mr. T R Narayanaswamy had given their consent for re-appointment. Based on the evaluation of the performance of the independent directors, your directors recommend their re-appointment for another term of 5 consecutive years.
The Company has received notice(s) in writing under Section 160 of the Act proposing the appointment(s) of Mr. N Sri Vishnu Raju and Mr. T R Narayanaswamy as Independent Directors. The necessary special resolution(s) seeking your approval for appointment of the above directors as Independent Directors are included in the notice of the ensuing annual general meeting along with brief details about them.
Mr. Marc D Andraca, Director (DIN : 08032189) and Mr. Claudio Morfe (DIN: 08167880), nominees of Johnson Controls resigned from the Board with effect from April 30, 2019, consequent to the termination of the shareholders agreement between Johnson Controls and Galla Family. Your Board wishes to place on record its sincere appreciation of the valuable services rendered by Mr. Nagarjun Valluripalli, Mr. Marc D Andraca and Mr. Claudio Morfe during their tenure as directors of the Company.
Consequent to the resignation of Mr. Marc D Andraca and Mr. Claudio Morfe, Non-Executive Directors, Dr. Ramachandra N Galla who was appointed as Director at the annual general meeting held on August 11, 2018, being the longest-serving Non-Executive Director on the Board, retires by rotation at the ensuing annual general meeting and being eligible offers himself for reappointment.
The necessary resolution(s) seeking your approval by special resolution for appointment of Dr. Ramachandra N Galla as a Director is included in the notice of the ensuing annual general meeting along with brief details about him.
KEY MANAGERIAL PERSONNEL
During the year, Mr. S V Raghavendra, Chief Financial Officer retired from the services of the Company on attaining the age of superannuation on December 12, 2018. Your Directors place on record the valuable services rendered by Mr. S V Raghavendra during his tenure as Chief Financial Officer of the Company. Your Directors, based on the recommendation of Nomination and Remuneration Committee, appointed Mr. Y Delli Babu as Chief Financial officer of the Company with effect from February 11, 2019.
Pursuant to the provisions of Section 203 of the Act read with the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, Mr. Jayadev Galla, Vice Chairman and Managing Director, Mr. S Vijayanand, Chief Executive Officer, Mr. Y Delli Babu, Chief Financial Officer and Mr. M R Rajaram, Company Secretary are the key managerial personnel of the Company.
STATUTORY AUDITORS AND THEIR REPORT
M/s. Brahmayya & Co., Chartered Accountants and M/s. Deloitte Haskins & Sells LLP, Chartered Accountants were appointed as the joint statutory auditors at the Annual General Meeting held on August 14, 2015 for a term of five (5) years from the conclusion of the 30th annual general meeting till the conclusion of 35th annual general meeting. Pursuant to amendments to Section 139 of the Act, the requirements to place the matter relating to such appointment for ratification by members at every annual general meeting has been omitted with effect from May 7, 2018.
The Auditors Report given by M/s. Brahmayya & Co., Chartered Accountants and M/s Deloitte Haskins & Sells, LLP, Chartered Accountants the joint Statutory Auditors, on the financial statements of the Company for the year ended March 31, 2019 forms part of the Annual Report. The Auditor’s Report does not contain any qualification, reservation or adverse remark.
COST AUDITORS AND THEIR REPORT
As per Section 148 of the Act, read with the Companies (Cost Records and Audit) Rules as amended from time to time, the cost records are required to be audited. Based on the recommendation of the Audit Committee, your Board has appointed M/s. Sagar & Associates, Cost Accountants, as cost auditors for the financial year 2019-20 to audit the cost records of the Company. Necessary resolution for ratification of their remuneration is being placed for your approval.
SECRETARIAL AUDITORS AND THEIR REPORT
Pursuant to Section 204 of the Act, read with the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 and pursuant to the Regulation 24A of the Regulations, the Company had appointed M/s. R. Sridharan & Associates, Company Secretaries to undertake the secretarial audit of the Company for the financial year 2018-19. The Secretarial Audit Report in Form MR-3 received from them is annexed herewith as “Annexure II”. The Secretarial Audit Report does not contain any qualification, reservation or adverse remark.
The report on corporate governance for the year ended March 31, 2019 pursuant to Regulation 34 of the Regulations is annexed hereto as “Annexure III”. The certificate from practicing company secretary regarding the compliance of conditions of corporate governance is attached to the report on corporate governance.
MANAGEMENT DISCUSSION AND ANALYSIS
Management discussion and analysis report, highlighting the performance and prospects of the Company’s business is provided in a separate section and forms an integral part of this report.
BUSINESS RESPONSIBILITY REPORT
Pursuant to Regulation 34(2)(f) of the Regulations, the Business Responsibility Report (BRR) initiatives taken from an environmental, social and governance perspective, is annexed hereto as “Annexure IV.”
DIRECTORS’ RESPONSIBILITY STATEMENT
Pursuant to Section 134(3)(c) and 134(5) of the Act, including any statutory modifications or re-enactment thereof for the time being in force the Board of Directors of the Company confirm, to the best of their knowledge and belief, that in the preparation of annual financial statements for the financial year ended March 31, 2019:
i) applicable accounting standards and Schedule III of the Act have been followed;
ii) appropriate accounting policies have been selected and applied consistently and such judgements and estimates that are reasonable and prudent have been made so as to give a true and fair view of the state of affairs of the Company as at March 31, 2019 and of the profit of the Company for the financial year ended March 31, 2019;
iii) proper and sufficient care has been taken for the maintenance of adequate accounting records in accordance with the provisions of the Act, for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities. To ensure this, the Company has established internal control systems, consistent with its size and nature of operations, subject to the inherent limitations that should be recognised in weighing the assurance provided by any such system of internal controls. These systems are reviewed and updated on an on-going basis. Periodic internal audits are conducted to provide reasonable assurance of compliance with these systems. The audit committee meets at regular intervals to review the internal audit function;
iv) financial statements have been prepared on a going concern basis;
v) proper internal financial controls are in place and that such internal financial controls were adequate and were operating effectively;
vi) systems to ensure compliance with the provisions of all applicable laws are in place and were adequate and operating effectively.
INFORMATION AND DISCLOSURES UNDER THE ACT EXTRACT OF THE ANNUAL RETURN
The extract of the Annual Return pursuant to Section 134(3)(a) and Section 92(3) of the Act read with Companies (Management and Administration) Rules, 2014 in the prescribed form MGT-9 is annexed herewith as “Annexure V”. The complete annual return is available on the website of the Company at https:// www.amararajabatteries.com/Investors/annual-reports/
NUMBER OF MEETINGS OF THE BOARD
During the year, six (6) meetings of the Board of Directors of the Company were convened and held in accordance with the provisions of the Act. The date(s) of the Board Meeting, attendance by the directors are given in the Corporate Governance Report forming an integral part of this report.
COMMITTEES OF THE BOARD
In compliance with the provisions of Sections 135, 177, 178 of the Act, the Board constituted Corporate Social Responsibility Committee, Audit Committee, Nomination and Remuneration Committee and Stakeholders Relationship Committee (Committees). The details of composition of the Committees, their meeting and attendance of the members are given in the Corporate Governance Report forming an integral part of this report.
During the year under review, your Board constituted Risk Management Committee effective from April 1, 2019 as per Regulation 21 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The members of the said Committee are Mr. Nagarjun Valluripalli, Mr. N Sri Vishnu Raju, Mr. T R Narayanaswamy, Independent Directors, Mr. S Vijayanand, Chief Executive Officer and Mr. Y Delli Babu, Chief Financial Officer of the Company.
CORPORATE SOCIAL RESPONSIBILITY (CSR)
The brief outline of the CSR Policy of the Company and the initiatives undertaken by the Company on CSR activities during the year are given in “Annexure VI” to this report in the format prescribed in Companies (Corporate Social Responsibility Policy) Rules, 2014. The said policy is available on the Company’s website at https://www.amararajabatteries.com/ Investors/corporate-governance-policies
NOMINATION AND REMUNERATION POLICY
The Board has on the recommendation of Nomination and Remuneration Committee framed a policy for selection and appointment of Directors, Senior Management Personnel and their remuneration. The Nomination and Remuneration Policy adopted by the Board is available on the Company’s website at https://www.amararajabatteries.com/Investors/corporate-governance-policies
EVALUATION OF THE BOARD
Pursuant to the provisions of the Act and Regulation 17 of Regulations, the Board had carried out an annual evaluation of its own performance, the Directors individually and of the committees of the Board, based on the evaluation criteria defined by Nomination and Remuneration Committee for performance evaluation process of the Board, its committees and Directors.
A structured questionnaire was prepared after taking into consideration inputs received from the Directors, covering aspects of the Board’s functioning such as adequacy of the composition of the Board and its committees, execution and performance of specific duties, obligations and governance.
A separate exercise was carried out to evaluate the performance of Individual Directors including the Chairman of the Board. The Directors performance was evaluated on parameters such as level of engagement and contribution in safeguarding the interest of the Company etc.
The performance evaluation of all Directors including the Independent Directors was carried out by the entire Board, excluding the Director being evaluated. Further, the performance evaluation of the Chairman and the Non Independent Directors was carried out by the Independent Directors.
FAMILIARISATION PROGRAMME FOR INDEPENDENT DIRECTORS
A handbook covering the role, function, duties and responsibilities and the details of the compliance requirements expected from the Directors under the Act and relevant Regulations of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 were given and explained to the Independent Directors.
The newly appointed Independent Directors are given induction and orientation with respect to Company’s Vision, Core purpose, Core Values and business operations. In addition detailed presentations are made by Senior Management Personnel on business environment, performance of the Company at every Board Meeting.
The above initiatives help the Independent Directors to understand the Company, its business and the regulatory framework in which the Company operates and enables the Directors to fulfill their role/responsibility. The details of the familiarization programme are available on the Company’s website www.amararajabatteries.com
PARTICULARS OF LOANS, GUARANTEES AND INVESTMENTS
The details of loans, guarantees and investments under the provisions of Section 186 of the Act read with the Companies (Meetings of Board and its Powers) Rules, 2014 as on March 31, 2019 are given in Note 38 to the standalone financial statements of the Company.
TRANSACTIONS WITH THE RELATED PARTIES
All related party transactions that were entered into during the financial year were on arm’s length basis and were in the ordinary course of business. During the financial year 2018-19, there were no materially significant transactions with the related parties which might be deemed to have had a potential material conflict with the interest of the Company at large.
In line with the provisions of Section 177 of the Act read with the Companies (Meetings of the Board and its Powers) Rules, 2014, omnibus approval for the estimated value of transactions with the related parties for the financial year is obtained from the Audit Committee. The transactions with the related parties are routine and repetitive in nature.
The summary statement of transactions entered into with the related parties pursuant to the omnibus approval so granted are reviewed and approved by the Audit Committee and the Board of Directors on a quarterly basis. The summary statements are supported by an independent audit report certifying that the transactions are at an arm’s length basis and in the ordinary course of business.
The members at the annual general meeting held on August 7, 2017 approved and authorised the Board to enter into transactions with Mangal Industries Limited (MIL) upto a cumulative value of transactions of RS.1,000 crores in each financial year. During the financial year 2018-19, the transactions with MIL amounted to RS.910.50 crores (including dividend paid), a material transaction under the Regulation 23 of the Regulations and the policy adopted by the Company under the said Regulations.
The Form AOC- 2 pursuant to Section 134 (3)(h) of the Act read with Rule 8(2) of the Companies (Accounts) Rules, 2014 is set out as “Annexure VII” to this Report.
The Company has put in place adequate system of internal controls commensurate with its size and the nature of its operations. The Company’s internal control system covers the following aspects:
- Financial propriety of business transactions.
- Safeguarding the assets of the Company.
- Compliance with prevalent statues, regulations, management authorisation, policies and procedures.
The Audit Committee of the Board periodically reviews audit plans, observations and recommendations of the internal and external auditors, with reference to the significant risk areas and adequacy of internal controls and keeps the Board of Directors informed of its observations, if any, from time to time.
During the year, the risk assessment parameters were reviewed and modified. The audit committee reviewed the elements of risk and the steps taken to mitigate the risks. In the opinion of the Board, there are no major elements of risk which has the potential of threatening the existence of the Company.
WHISTLE BLOWER POLICY /VIGIL MECHANISM
The Company has established a whistle blower policy/ vigil mechanism to provide an avenue to raise concerns. The mechanism provides for adequate safeguards against victimization of employees who avail of it and also for appointment of an Ombudsperson who will deal with the complaints received. The policy also lays down the process to be followed for dealing with the complaints and in exceptional cases, also provides for direct appeal to the Chairperson of the Audit Committee. The Whistle Blower Policy established by the Board is available on the Company’s website at https://www. amararajabatteries.com/Investors/corporate-governance-policies
DEPOSITS FROM PUBLIC
The Company has not accepted any deposits from the public falling within the ambit of Sections 73 and 74 of the Act read with the Companies (Acceptance of Deposits) Rules, 2014 during the year under review. There are no outstanding deposits as on March 31, 2019.
PARTICULARS OF CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND OUTGO
The information on conservation of energy, technology absorption, foreign exchange earnings and outgo as per Section 134(3)(m) of the Act read with Rule 8 of The Companies (Accounts) Rules 2014, are annexed hereto as “Annexure VIII” and forms an integral part of this report.
PARTICULARS OF EMPLOYEES AND REMUNERATION
The information required pursuant to Section 197(12) of the Act read with Rule 5 of The Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 is annexed hereto as “Annexure IX”.
A statement showing names and other particulars of the top ten employees and employees drawing remuneration in excess of the limits prescribed under Rule 5(2) of the said rules is also annexed to the Directors’ Report as “Annexure X”. However, as per the provisions of Section 136(1) of Act the annual report is being sent to all the members excluding the aforesaid statement. The statement is available for inspection at the registered office of the Company during working hours upto the date of 34th Annual General Meeting.
REPORTING OF FRAUDS
There was no instance of fraud during the year under review, which required the Auditors to report to the Audit Committee and / or Board under Section 143(12) of the Act and the rules made there under.
SIGNIFICANT AND MATERIAL ORDERS PASSED BY REGULATORS OR COURTS
There are no significant material orders passed by the Regulators or Courts which would impact the going concern status of the Company and its future operations.
COMPLIANCE OF SECRETARIAL STANDARDS
The Company has complied with the Secretarial Standards with respect to Meetings of the Board of the Directors (SS-1) and General Meetings (SS-2) issued by the Institute of Company Secretaries of India and approved by the Central Government.
INVESTOR EDUCATION AND PROTECTION FUND (IEPF)
In terms of Section 124 (5) of the Act, an amount of RS.17,41,938 being unclaimed final dividend(s) pertaining to the financial year 2010-11 was transferred to IEPF on September 18, 2018.
HEALTH, SAFETY AND ENVIRONMENTAL PROTECTION (HSE)
The Company has complied with all applicable environmental and labour laws. The Company continues to be certified under ISO-14001 and OHSAS 18001-2007 for its environment management systems and occupational health and safety management systems respectively.
POLICY ON PREVENTION, PROHIBITION AND REDRESSAL OF SEXUAL HARASSMENT AT WORKPLACE
The Company has in place a policy on prevention of Sexual Harassment and has constituted an Internal Complaints Committee (ICC) in line with the requirements of the Sexual Harassment of women at the workplace (Prevention, Prohibition and Redressal) Act, 2013 and Rules made thereunder. During the year, no complaints were received by ICC.
AWARDS AND RECOGNITIONS
Your Company continues to get accolades and awards from its customers and other prestigious domestic/international forums. Some of the awards and recognitions your Company received during the year under review:
- Received “Best Vendor Rating and System Audit” award from Maruti Suzuki India Limited.
- Received “4 star rating” from Hyundai Motors India Ltd
- Received “High Quality Performance” from Bajaj Auto Limited in recognition for our excellence in the field of QCDM parameters (Excellence in Quality, Delivery, and relationship Building).
- Received “Best in Quality Management” from Honda Motorcycle and Scooters India Limited
- Received “Gold award” under infra equipment’s supply category from Indus Towers Limited.
- Received “Platinum” award from Caterpillar for “Supplier Quality Excellence Process”
- Received “The Prize” at the most prestigious 9th CII National HR Excellence AwarRs. 2018.
- Received “Gold award” in Indian Green Manufacturing Challenge (IGMC) Awards 2018 from International Research Institute for Manufacturing (IRIM) for the good manufacturing practices being followed in the Company.
- Received first prize in “AP Green awards 2017” under Industries (Private) category from A.P. Greening and Beautification Corporation, Government of Andhra Pradesh.
- Received “Platinum Award” and “Gold award” for facilities at, Karakamabadi, Tirupati and Nunegundlapalli, Chittoor District respectively from Arogya World, a global health nonprofit organisation.
- Bestowed with prestigious ABK AOTS awards in following categories
i. Awards received under Sustenance Category for LVRLA Battery Plant, Karakambadi, Tirupati, Automotive Battery Plant II, Chittoor.
ii. Platinum award under Excellence category for Twowheeler Automotive Battery plant, Chittoor
- Received two Gold awards in ICQCC (International Convention of Quality Control Circles) 2018 competition held in Singapore.
- Two-wheeler automotive battery plant team won the 2nd runner award in Twelfth CII Six Sigma National Conference and Competition under the “Manufacturing Industry (Discrete and Assembly Line)” category.
During the year under review, industrial relations remained cordial and stable. The directors wish to place on record their sincere appreciation for the co-operation received from employees at all levels.
The Board of Directors takes this opportunity to place on record their appreciation for the unstinted co-operation, commitment and dedication of all the employees of the Company, and the support extended by the channel partners, customers, vendors, business associates, banks, government authorities and all concerned without which it would not have been possible to achieve all round growth of the Company.
Your Directors also take this opportunity to thank Johnson Controls for their valuable assistance, support and successful association for 21 years, which created one of the leading battery manufacturers in India.
The Directors are thankful to the shareholders for their continued patronage.
On behalf of the Board
Place: Hyderabad Dr. Ramachandra N Galla
Date: May 15, 2019 Chairman