The Directors have pleasure in presenting the Fourteenth Annual Report
and the audited accounts of the company for the year ended 31st March
2008 together with Auditors report thereon.
a) Financial Results:
(Rs. In Lakhs)
PARTICULARS Year Ended 31.03.2008
Gross Income 5990.94
Expenditure 3493.86
Profit before interest, deprecation ft tax 2497.08
Less: Interest (Financial Cost) 240.96
Profit before depreciation & tax 2256.12
Less: Depreciation 387.37
Profit before tax 1868.75
Less : Provision for tax
Current year 766.62
Deferred tax (78.71)
Fringe Benefit tax 8.00 695.91
Profit after tax 1172.84
Add: Balance brought forward from Previous Year 524.70
Add/ (Less): Excess provision of
Taxation for Earlier years
Add/(Less): Taxation for earlier years (36.00) 488.70
Profit available for distribution 1661.54
Less:
Transferred to General Reserve 500.00
Proposed Dividend @ 20% 250.24
(Previous Year 20%)
Tax on distributable profits 42.53 792.77
Balance Carried to Balance Sheet 868.77
Year Ended 31.03.2007
5833.57
3557.03
2276.54
169.91
2106.63
450.09
1656.54
576.89
5.59
4.00 586.48
1070.06
248.78
(1.38) 247.41
1317.47
500.00
250.24
42.53 792.77
524.70
b) Dividend:
Your Directors are pleased to recommend a dividend of 20% absorbing a
sum of Rs.292.77 Lakhs including the tax on distributable profits.
c) Performance of the Company:
The Company achieved a turnover of Rs. 5990.94 Lakh during the year and
earned a net profit after tax of Rs.1172.84 Lakhs. During the year, the
Company was successful in getting an order from the State Government of
Andhra Pradesh to Computerize and digitization of few of the offices of
Inspector General Registration and Stamps Department. The company
executed the following orders in various states during the financial
year under report.
KAVERI Project in Karnataka State: Scanning of documents and
maintenance of database of registration department of Karnataka
Government in 23 districts thereby changing the vision to CITIZEN -
CENTRIC and re orient itself to serve the citizens of Karnataka with
world-class quality service. The process involves digitizing and
returning the documents immediately duly registered. This project Was
on a BOOT (Build Own Operate and Transfer) model and the scope of work
is Providing IT infrastructure,
Kerala FAST Project in Kerala State: FULLY AUTOMATED SERVICES of
TRANSPORT Department of Government of Kerala on BOMT (Build Own
Maintain and Transfer) Model and the scope of work is Site preparation,
Establishing 60 RTA offices with IT infrastructure.
MAHAVIKAS - Maharashtra Vikri Kar Seva Project in Maharashtra State
(VAT Implementation of Maharastra sales tax department) on BOOR (Build
own operate and refresh) Model and the scope of work is Computerization
of Sales Tax department in the entire state of Maharashtra.
Imparting computer education in 144 schools in Goa to the pupils of 6th
to 10th classes. The Scope of work is to establish the Computer Labs
with UPS, Providing the Teaching staff and Maintenance of Systems.
Imparting computer education in 84 schools in Andhra Pradesh to the
pupils of 6th to 10th classes on BOOT (Build Own Operate and Transfer
model). The scope of work is establishing the Computer Labswith
Computers with infrastructure and Providing the Teaching staff and
Maintenance of Systems.
Spot Billing and Revenue Management of Bangalore Electricity Supply
Corporation of over 6 lakh consumers in 3 districts in Karnataka on BOO
(BUILD OWN AND OPERATE) basis. The scope of Work is maintenance of
software, data Base, and generation of MIS reports.
Spot Billing for West Bengal State Electricity Board: The Scope of work
is providing the Spot billing software and Equipment with field
manpower to generate the periodic electricity bills.
The Company continues its focus on e-governance projects and was able
to procure additionally six new projects of the State Government of
Andhra Pradesh, Karnataka, Raj as than, West Bengal and Himachal
Pradesh during the last one year. The performance of the Company is
improving and all the above projects are in various phases of
implementation and will start generating revenues from the year 2008-09
onwards.
d) Listing of Shares in Stock Exchanges:
At present the Equity Shares of your Company are traded under permitted
Securities on the Bombay Stock Exchange Limited and listed on Hyderabad
Securities And Enterprises limited formally known as The Hyderabad
Stock Exchange Limited and Bangalore Stock Exchange Limited. The
listing fee was paid up to date.
e) Fixed Deposits:
The Company has accepted fixed deposits during the year to which the
provisions of Section 58A of the Companies Act, 1956 apply. There are
no overdue amounts of deposits including the interest thereon as at the
end of the year.
f) Directors:
In accordance with the provisions of the Companies Act, 1956, and the
Articles of Association of the Company, Smt.T. Pavana Devi, Whole time
Director, Sri K Rama Rao, Director and Sri D. Seetharamaiah, Chairman,
will be retiring at this annual general meeting and being eligible
offer themselves for reappointment.
g) Auditors:
M/s. NARVEN ASSOCIATES, Chartered Accountants retire at the ensuing
Annual General Meeting, and are eligible for reappointment. They have
furnished the requisite certificate to the effect that their
reappointment, if made, would be in accordance with section 224 (IB) of
the Companies Act 1956.
h) Particulars of Employees:
Statement of particulars of employees pursuant to the provisions of
section 217 (2A) of the Companies Act, 1956.
Name Designation Qualification Age
(years)
N V V Prasad E.D. B.Tech 48
Date of Experience Gross Previous
Joining (Years) Remuneration Employment
01.09.1995 26 3,361,424 Electronics
Corporation
of India Limited
01.12.1999 25 2,629,854 Taraka Prabhu
Publishers
Pvt. Ltd.
i) Conservation of energy, technology-absorption and foreign exchange
earnings/out goings:
The particulars as required U/S 217(1) (e) of the Companies Act, 1956,
read with the Companies (Disclosure of particulars in the report of the
Board of Directors Rules 1988 are:
1. Conservation of energy: The Company does trading of various kinds
of computer items and does not use any energy. The electricity power
consumption under LT is minimal. However, the Company installed power
efficient transformers and UPS systems to save the power cost; hence
the Company is not an energy intensive unit.
2. Technology absorption, adaptation& innovation: The Company has not
imported any technology.
j) Directors Responsibility Statement:
Pursuant to the requirement under section 217(2AA) of the Companies
Act, 1956, with respect to Directors Responsibility Statement, it is
hereby confirmed:
a. That in the preparation of the accounts for the financial year
ended 31st March, 2008 the applicable accounting standards have been
followed along with proper explanation relating to material departures;
b. That the directors have selected such accounting policies and
applied them consistently and made adjustments and estimates that were
reasonable and prudent so as to give a true and fair view of the state
of affairs of the Company at the end of the financial year and of the
profit of the Company for the year under review;
c. That the directors have taken proper and sufficient care for the
maintenance of adequate accounting records in accordance with the
provisions of the Companies Act, 1956 for safeguarding the assets of
the Company and for preventing and detecting fraud and other
irregularities;
d. That the directors have prepared the accounts for the financial
year ended 31st March, 2008 on a going concern basis.
k) Acknowledgment:
Your directors thank the clients, vendors, investors and bankers for
their continued support. Your directors place on record their
appreciation of the contribution made by the employees at all levels.
Your directors thank the Government of India, State Governments,
Electronic Corporation of India Limited and Other Government Agencies
for their support during the year and look forward to their patronized
support.
For and on behalf of the Board of Directors
Sd/- Sd/-
Place : Hyderabad (T. Gopi Chand) (N.V.V.Prasad)
Date : 27.08.2008 Vice Chairman and Managing
Director Executive Director
