Let me take the pleasure in presenting you the Annual Report of your company for the financial year 2017-18. The Company has achieved revenue of Rs, 346.23 Cr in 2017-18, a growth of 12.13% over the previous year. I 1 v It also has posted a net profit \ of Rs, 30.98 Cr during the current year, a growth of I 26.30% over the previous I year. During the last three B financial years, our net H profit after tax has grown
- at a significant pace of W 108.30% of CAGR; the '' net margin also improved '' by 655 basis points during the same period.
- The steady performance in I financial numbers is generated I through our consistent drive to
- achieve beyond the expected I aspirational limits and our I incessant efforts to become a r recognized force in the engineered
wood product industry. India is at the cusp of a new growth trajectory with a huge consumer market to reckon with. With Government of I India focusing clearly on its ‘Make I in India1 initiative, the potential I for growth in per capita income
I and in turn, in consumerism and
I spending propensity is expected | to be manifold in the near future.
Assuming a conservative GDP estimate of 6-7% a year, India''s consumption expenditure is expected to touch USD 4 trillion by 2025 making India the third largest consumer market in the world. Rising affluence is the biggest driver of increasing consumption. The sheer size of India''s youth combined with improved education pave the way for sustained growth in purchasing power making it one of the world''s most encouraging growth stories for the next 20 years.
Your company is perfectly attuned to meet the dynamic requirements of affordability, durability and comfort of the young India population. A perfect mix of aesthetic appeal along with low maintenance and readymade array of varied product designs form the core of today''s young generation requirements. We, at RDL, have positioned ourselves perfectly to meet this requirement of our customers and grab the opportunity to grow exponentially in the near future.
With implementation of Real Estate (Regulation and Development) Act, 2016, the home buyers have rejuvenated with confidence on protection of their interests thus translating into enhanced demand for homes throughout the country in sync with Government of India''s mission to ''House for all by 2020''.
EMPHASIS ON RENEWABLE ENERGY
FY 2017-18 was another year to achieve great milestones for us at RDL. During this year, your company has initiated the process of expansion of its MDF Board manufacturing capacity with its Greenfield project in Visakhapatnam, Andhra Pradesh. We expect to reap benefits from this endeavour by the end of FY 2020. Our desire to be eco-friendly and provide a much potent alternative to conventional engineered wood products has driven us to set up a new WPC unit in Chikmagalur, Karnataka to manufacture wide variety of wood PVC panels during the year. Let me also share my pleasure to be on board of governance of Indian Plywood Industries Research & Training Institute (IPIRTI) representing to Association of Indian Panelboard Manufacturer.
CORPORATE SOCIAL RESPONSIBILITY
In its endeavour to deliver its corporate social responsibility (CSR) initiatives, RDL has taken part in several community upliftment initiatives like women and children empowerment, sanitation programmes, disaster management initiatives, health and educational programmes throughout the year. These pro-community initiatives have translated with significant increase in our CSR expenditure during the year, demonstrating the value that our CSR programs have been delivering to society.
At RDL, we are grateful to our stakeholders for ushering in trust, support and encouragement since the beginning of our journey. We will continue to meet the expectation of our stakeholders in the years to come through enriched strategic, operational and product innovation drives - to become successful in our endeavour to be an ''eco-friendly'' leader in the engineered wood products industry with a wish to deliver desired offerings for our customer''s aesthetic requirements.