| To, The Members,
The Directors are pleased to present the Thirty Fourth Annual Report
and the Audited Accounts of the Company for the year ended on 31st
March, 2013.
1. FINANCIAL RESULTS [Rupees in Lacs]
Particulars For the
year ended For the
year ended
31.03.2013 31.03.2012
Total Income 2323.30 2576.27
Increase /(Decrease in stock) 288.51 -30.18
Expenditure 2128.04 2073.52
Finance Charges 242.64 222.67
Gross Prom after interest but before 239.13 249.9
depreciation and taxation
Depreciation 116.68 93.78
Profit before provisions and writeoffs 122.45 156.12
Tax Expenses
Current Tax 25.00 32.00
Deferred Tax 42.82 31.18
Profit after tax 54.63 92.31
Less: Short provision (Income Tax) 0 2.56
Profit (Loss) for the period 54.63 89.74
Profit carried to Balance Sheet 580.49 525.87
2. DIVIDEND
With a view to conserve the resources & retaining them for future
prospects, your directors do not recommend any dividend for the
financial year 2012-13.
3. OPERATIONS
During the year, the company has achieved sales turnover of Rs. 2Z95.37
Lacs as compared to previous year of Rs. 2559.20 Lacs against projected
targets as per CME Data given to Bank. This is due to market has go
down slowly our company has reduced around 10.30% of sales as compare
to previous year. Further international market has witnessed slowdown.
So. export unit of India also turn into local market and which has
increased the competition.
During the year the Company made allotment of 201300 equity shares to
the promoter on preferential basis at Rs. 20V- per share including
premium of Rs. 10/- per share and the proceeds of the allotment have
been towards margin money required from the Bankers and being applied
for required funds towards ongoing projects and working capital.
4. Forging Press Project
Company has invested in new international technology for increasing
production diveriication and cost reduction to sustain in domestic and
international market
5. DIRECTORS
At the ensuing Annual General Meeting, Mr. Hemant Chheda, Director of
the Company shall retire by rotation and are being eligible
offerthemsetves for re-appointment.
6. PUBLIC DEPOSITS
The Company has neither accepted norrenewed any Public Deposits during
the year underreview.
8. AUDITORS
M/s. Majithia & Associates, Chartered Accountants, Mumbaj, will retire
at the ensuing Annual General Meeting and are eligible for
reappointment. They have forwarded a certificate to the Company stating
that the appointment, if made, will be within the limit specified in
Section 224(18) of the Companies Act, 1956. The members are requested
to appoint the auditors and fix their remuneration.
Management reply to auditors observation to the Auditors Report:
Minor delay in payment of Excise Duty, Cess, Service Tax, Income Tax,
Provident Fund, Employees' State Insurance, and Professional Tax etc
will be taken care of in future. Default in repayment of dues to
financial institutions was because of slowdown in the business & non
recovery of funds from market
Compliance Certificate under section 383A of the Companies Act:
The Company has obtained Compliance Certificate under section 383A of
Companies Act, 1956 from M/s. Kashyap Shah & Co., Practicing Company
Secretaries, Vadodara and the same is attached in Annexure to this
report.
09. CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE*
EARNINGS AND OUTGO
a) Conversion of Fuel
The Company has invested in press technology instead of hammer to make
less pollution and up to par with international standard.
b) New Workshop machining of Shaft.
With the installation of this new workshop used as balancing equipment
will result in to overall increase in turnover by 20% appx.
c) Foreign Exchange Earning and outgo
1. Foreign Exchange expenditure: Rs. 3.13,10,561/-
2. Foreign Exchange earned: Rs. 1.39,70,399/-
10. PARTICULARS OF EMPLOYEES
The Company did not have any employee falling within the scope of
sub-section [2AJ of Section 217 of the Companies Act, 1956.
11. DISCLOSURE OF PARTICULARS
Particulars required to be furnished under the Companies (Disclosure of
Particulars in the report of Board of Directors) Rules 1988 to the
extent applicable to the Company are given in the Annexure which forms
part of this report
12. CORPORATE GOVERNANCE
The report on Corporate Governance pursuant to clause 49 of the listing
agreement with Bombay Stock Exchange Ltd.. along with the certificate
of M/s. Majithia & Associates.. Chartered Accountants, Mumbai,
Statutory Auditors of the Company form part of this report and attached
to this report.
13. DIRECTORS' RESPONSIBILITY STATEMENT.
In accordance with the Companies (Amendment) Act. 2000, the Directors
state that:
a. In the preparation of the annual accounts for tf.e year the
applicable Accounting Standards have been followed and there are no
material departures.
b. Accounting Policies have been consistently applied. The Directors
have made judgments and estimates that are reasonable and prudent so as
to give a true and fair view of the state of affairs ofthe Company as
on 31st March, 2013 and the profit and loss of the Companyforthe
accounting year ended on that date;
c. Proper and sufficient care for maintenance of adequate accounting
records has been taken in accordance with the provision of the Act so
as to safeguard the assets of the Company and to prevent and detect
fraud and other irregularities:
d. The annual accounts have been prepared on a going concern basis.
14. ACKNOWLEDGEMENT
Your Directors acknowledges the support received from ali its Business
Associates, Bankers, depositors, shareholders and other business
constituents.
Your Directors also wish to record their appreciation of the
contribution made by employees during this challenging year.
Regd. Office: By Order of the Board,
1022, GIDC IndustrialArea, For Techno Forge Limited
odi- Ankksshwar-393 002. [Ashok M. Kapasij
29.05.2013 Chairman | 