I am extremely pleased to present the details of your Companys
performance forthe financial year which is more particularly described
in the Annual Report of 2009-2010 a copy of which is enclosed.
Your Company has achieved a record turnover of Rs.532.47 crores during
FY 09/10 on a standalone basis. The consolidated revenue of the Company
was up by 56.89% to Rs. 553 crores and the consolidated net profit
after tax was up by 52.42% to Rs. 62.29 crores.
The Companys Board of Directors have recommended a final dividend of
Rs.1.50/- per share (in addition to the interim dividend issue @1.50/-
per share on October 31, 2009) subject to the approval of the
shareholders. The Company had also issued bonus shares in the ratio 2:5
in July 2009- the second bonus issue since the Company went public in
During the year, your Company has successfully reached near completion
of revamp of NQD process complex and ICP process complex. In addition
to these revamp projects, the Company has also successfully completed
several other contracts with ONGC, Leighton and Punj Lloyd.
The world economic crisis left a deep impact on oil and gas industry
globally. Fortunately, it did not have much effect on the growth of the
oil and gas industry in India and we expect that there will be
significant increase in the E&P activities in the offshore Indian
In view of the strong growth of the Indian economy and increased
investment in the oil & gas sector, the outlook of your Company
continues to be encouraging in the coming years. ONGC has planned an
outlay of approximately Rs.11,600 crores over the next 3 to 4 years.
With the increased activities on the East Coast of India promise more
growth opportunities for your Company.
Your Company has consistently adopted high standards of Corporate
Governance. Good Corporate Governance is always part of the Companys
business philosophy. The effort of your Company is not only to comply
with regulatory requirements but also practice Corporate Governance
principles based on integrity, transparency and overall corporate
I am grateful to the Board of Directors for their support and guidance
and also to all customers, bankers, financial institutions,
shareholders and most of all to all the employees for their valuable
support and co-operation.
I look forward to your continued support, trust and participation in
the growth of the Company.
With warm regards,
Rear Admiral Kirpal Singh Executive Chairman