Mar 31, 2015
Dear Members,
The Directors are please to present the Thirty Fifth Annual Report on
the business and operations of your Company and the financial accounts
for the year ended 31st March, 2015 approved by the Board :
FINANCIAL HIGHLIGHTS :
The Company's financial performance for the year under review along
with previous year's figures is given hereunder :
2014-15 2013-14
Particulars Rs. in lacs Rs. in lacs
Gross Sales and Other Income 17274 14256
Profit before Interest and 2558 2297
Depreciation
Finance Cost 1686 1654
Depreciation 760 794
Profit/(Loss) before Tax 112 (151)
(Less)Provision for Tax 22 -
(Less)/Add Deferred Tax 16 51
Proft/(Loss) after tax 74 (100)
Add : Balance Brought forward 699 799
from Previous Year
Balance Carried Over 773 699
DIVIDEND :
The Board has not proposed any dividend for the Financial Year ended
31st March, 2015 in view of augmenting to resources and strengthening
financial position which will enable your company to reward its
shareholders in future in a prudent manner.
YEAR IN RETROSPECT :
Gross sales for the year were 21% higher than the previous financial
year. Profit before Depreciation, Interest and Taxation (PBDIT) was
higher by 11% at Rs. 2558 lacs as compared to Rs. 2297 lacs in the
previous year. The improvement in operating margin has helped the
company to earn profit (after tax) of Rs. 74 lacs for the year against
a corresponding loss of Rs. 100 lacs in the previous year.
BUSINESS PROSPECTS :
The Indian Packaging Industry is growing at more than 15% per annum.
India stands at the 11th position in the world packaging industry and
with the rising consumer demand and new technologies, it is expected to
grow at 18- 20 per cent and it is expected that annual turnover of
Indian packaging industry will touch $32 billion by 2025 from the
present $24.6 billion. At the expected growth pace Indian Packaging
Industry will soon take a respectable 4th position in the world
packaging industry. There will be ten times increase of middle class
population by 2025 in India which will further trigger the consumption
of packaging material and thus, the packaging industry will grow
further.
The highlights of the industry trend, the outlook and the opportunities
ahead for the company are discussed in detail in the Management
Discussion and Analysis Report attached as Annexure - IV to this
report.
SHARE CAPITAL :
The Paid-up Equity Share Capital as on 31st March, 2015 is Rs.
8,99,98,000/- comprises 8,99,98,000 shares of Rs.10/- each. During the
year under review, the Company has not issued any Shares on Right basis
and bonus to the shareholders.
EXPORTS:
During the year, the export turnover was Rs. 2676 lacs as compared to
the previous year turnover of Rs. 2561 lacs, which represents an
increase of 5% over previous year. Major exports were made to Asian,
Middle East, African and Australian countries.
SUBSIDIARY :
The statement pursuant to Section 129 of the Companies Act 2013
containing details of financial highlights of the subsidiary company in
the prescribed Form AOC-1 is annexed to this report [Annexure VIII].
CONSOLIDATED FINANCIALS :
Pursuant to Clause 41 of the Listing Agreement and in accordance with
Accounting Standard AS - 21 on Consolidated Financial Statements, the
audited Consolidated Financial Statements incorporating the operations
of the company and its subsidiary company viz., M/s Shetron Metropak
Private Ltd are provided in this Annual Report.
The audited financial statements of subsidiary shall be kept for
inspection during business hours by any shareholders at the registered
office of the Company and of the subsidiary company. The Company will
also make available the audited financial accounts and related
information of the subsidiary companies, upon request by any
shareholder of the company.
AWARDS & LAURELS :
As a testimonial of the company's strength, received CAN MAKER 2014 -
BORNZE AWARD for food 3 piece tin plate category for 401 size printed
Can.
DIRECTORS AND KEY MANAGERIAL PERSONNEL :
In terms of Section 161 of the Companies Act, 2013 Dr. P P Shastri and
Mrs. Yashoda Diwakar Shetty who were appointed as Additional Directors
on 02-Feb-2015 and holds the said office till the date of the Annual
General Meeting. We have received a notice under Section 160(1) of the
Companies Act, 2013 from a member proposing their candidatures to the
office of the Directorship.
Brief resumes of the Dr. P P Shastri and Mrs. Yashoda Diwakar Shetty
being appointed is attached to the Notice of the Annual General
Meeting.
The Board on the recommendation of the Nomination and Remuneration
Committee, appointed Mr. Naveen S D as our Company Secretary w.e.f
02-Feb-2015.
During the year under review, the Board of Directors met four times.
The Independent Directors have submitted their declaration that they
fulfill the requirements as stipulated in Section 149 (6) of the
Companies Act, 2013.
Pursuant to Clause VII (1) of Schedule IV of the Companies Act, 2013,
the Independent Directors had a separate meeting on 02-Feb-2015.
DIRECTORS' RESPONSIBILITY STATEMENT :
Based on the framework of internal financial controls and compliance
systems established and maintained by the Company, work performed by
the internal, statutory and secretarial auditors and the reviews
performed by Management and the relevant Board Committees, including
the Audit Committee, the Board is of the opinion that the Company's
internal financial controls were adequate and effective during the
financial year 2014-15.
Accordingly, pursuant to Section 134(5) of the Companies Act, 2013, the
Board of Directors, to the best of their knowledge and ability, confirm
that :
1) In the preparation of the Annual Accounts, the applicable accounting
standards had been followed along with proper explanation relating to
material departures;
2) The Directors had selected such accounting policies and applied them
consistently and made
judgments and estimates that are 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 and loss of the company for that period;
3) The Directors had taken proper and sufficient care for the
maintenance of adequate accounting records in accordance with the
provisions of Companies Act 2013 for safeguarding the assets of the
company and for preventing and detecting fraud and other
irregularities;
4) The Directors had prepared the Annual Accounts on a Going Concern
basis;
5) The Directors had laid down internal financial controls to be
followed by the company and that such
internal financial controls are adequate and were operating
effectively.
6) The Directors have devised proper systems to ensure compliance with
the provisions of all applicable laws and that such systems were
adequate and operating effectively.
BOARD EVALUATION :
Pursuant to the provisions of the Companies Act, 2013 and Clause 49 of
the Listing Agreement with the stock exchange, the Board has carried
out an annual performance evaluation of its own performance, and of the
directors individually, as well as the evaluation of the working of its
Audit and Nomination & Remuneration Committees. The manner in which the
evaluation has been carried out has been explained in detail in the
Corporate Governance Report, which forms part of this Annual Report.
PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS MADE :
The company has not given any loans or guarantees covered under the
provisions of Section 186 of the Companies Act, 2013.
The details of the investments made by company are given in the notes
to the financial statements.
EXTRACT OF ANNUAL RETURN :
Pursuant to section 92(3) of the Companies Act, 2013 and rule 12(1) of
the Companies (Management and Administration) Rules, 2014, an extract
of Annual Return in MGT 9 as a part of this Annual Report (Annexure -
I).
ADDITIONAL DISCLOSURES :
In line with the requirements of Listing Agreements and Accounting
Standards, your company has made additional disclosures in respect of
Related Party Transactions and Segment Reporting in notes to accounts.
DEPOSITS :
In terms of the provision of Section 73, 74 & 76 of the Companies Act,
2013 read with the Companies (Acceptance of Deposits) Rules, 2014, your
company has not accepted/ renewed any fixed deposits from the public
during the year under review.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE
EARNINGS AND OUT- GO :
The information pertaining to conservation of energy, technology
absorption, Foreign exchange Earnings and outgo as required under
Section 134 (3)(m) of the Companies Act, 2013 read with Rule 8(3) of
the Companies (Accounts) Rules, 2014 is furnished in Annexure - III and
is attached to this report.
STATUTORY AUDITORS :
M/s Pal and Shanbhogue, Chartered Accountants, who was the Statutory
Auditors of the Company, hold office until the conclusion of the
ensuing AGM and are eligible for re-appointment. Members of the Company
at the AGM held on 29th September 2014 had approved the appointment of
M/s Pal and Shanbhogue, Chartered Accountants, as the Statutory
Auditors for a period of three financial years i.e., up to the
conclusion of 37th AGM to be held in the year 2017. As required by the
provisions of the Companies Act, 2013, their appointment should be
ratified by members each year at the AGM. Accordingly, requisite
resolution forms part of the notice convening the AGM.
COST AUDITORS :
The Company has appointed M/s Vishwanath Bhat & Co., Cost Auditors to
conduct the Cost Audit of the Company for the Financial Year 2014-15.
SECRETARIAL AUDIT :
Pursuant to the provisions of Section 204 of the Companies Act, 2013
and the Companies (Appointment and Remuneration of Managerial
Personnel) Rules, 2014, M/s SNM & Associates, Company Secretaries, was
appointed to undertake the Secretarial Audit. The Report of the
Secretarial Audit for the year ended 31st March, 2015 is attached to
the Board Report (Annexure - II).
AUDITORS REPORT :
There was no qualification, reservations or adverse remarks made either
by the Statutory Auditors or by the Practicing Company Secretary in
their respective reports and their report is annexed to this Report as
annexure.
REPORT ON CORPORATE GOVERNANCE :
Your Company has taken adequate steps to adhere to all the stipulations
laid down in Clause 49 of the Listing Agreement. A report on compliance
of the code is annexed herewith (Annexure - VII).
Certificate from the Statutory Auditors of the company confirming the
compliance with the conditions of Corporate Governance as stipulated
under Clause 49 of the Listing Agreement is attached to this report.
CONTRACTS AND ARRANGEMENTS WITH RELATED PARTIES :
All contracts / arrangements / transactions entered by the Company
during the financial year with related parties were in the ordinary
course of business and on an arm's length basis. During the year, the
Company had not entered into any contract / arrangement / transaction
with related parties which could be considered material in accordance
with the policy of the Company on materiality of related party
transactions. All contracts / arrangements / transactions with related
parties are placed before the Audit Committee as also the Board, as may
be required, for approval.
The policy on materiality of related party transactions and also on
dealing with related party transactions as approved by the Audit
Committee and Board of Directors is displayed on the company's website
www.shetrongroup.com.
Accordingly, particulars of contracts or arrangements with related
parties referred to in Section 188(1) along with the justification for
entering into such contract or arrangement in Form AOC-2 does not form
part of the report.
Details of contracts / arrangements / transactions with related parties
are given in the notes to the financial statements.
TRANSFER OF UNCLAIMED DIVIDEND TO INVESTOR EDUCATION AND PROTECTION
FUND :
Pursuant to the provisions of Companies Act, relevant amounts which
remained unpaid or unclaimed for a period of Seven years have been
transferred by the Company, from to time to time on due dates, to the
Investor Education and Protection Fund.
HEALTH, SAFETY AND ENVIRONMENTAL PROTECTION:
Your Company has complied with all applicable environmental laws and
labour laws. The Company has been taking all the necessary measures to
protect the environment and maximise worker protection and safety. The
Company's policy require conduct of operation in such a manner so as to
ensure safety of all concerned, compliance of environmental regulations
and preservation of natural resources.
The Company is having status of ISO - 9001-2008 certification, which is
internationally recognised for the production, quality control and
other qualities. The scope of the certificate is for management system
which is in line with the standards of the manufacturing and supply of
metal cans, lug-caps & battery jackets.
DISCLOSURE UNDER THE SEXUAL HARASSMENT OF WOMAN AT WORKPLACE
(PREVENTION, PROHIBITION AND REDRESSAL) ACT, 2013 :
The Company has been employing women employees in various cadres within
its office and factory premises. The Company has in place a policy
against Sexual Harassment in line with the requirements of the Sexual
Harassment of Women at Workplace (Prevention, Prohibition and
Redressal) Act, 2013. Internal Complaint Committee is set up at shop
floor level to redress any complaints received. All employees are
covered under the policy. There was no compliant received from any
employee during the financial year 2014-15 and hence no complaint is
outstanding as on 31.03.2015 for redressal.
DISCLOSURE UNDER RULE 5 OF THE COMPANIES (APPOINTMENT AND REMUNERATION)
RULES, 2014 :
Disclosures required under Section 197 of the Companies Act, 2013 read
with Rule 5 of the Companies (Appointment & Remuneration) Rules, 2014
have been annexed as "Annexure VI".
MANAGEMENT DISCUSSION AND ANALYSIS REPORT :
The Management Discussion and Analysis Report as required is annexed as
"Annexure IV".
ACKNOWLEDGEMENTS :
Your Directors place on record their sincere thanks to Bankers,
Business Associates, Consultants, various Government Authorities and
employees at all levels in the Company for their continued support
extended to your Companies activities during the year under review.
Your Directors also acknowledges gratefully the shareholders for their
support and confidence reposed on your Company.
By the order of the Board
For SHETRON LIMITED
Place : Bangalore DIWAKAR S SHETTY
Date : 29th May, 2015 Chairman
Mar 31, 2014
Dear Members,
The Directors present the Thirty Fourth Annual Report on the business
and operations of your Company and the financial accounts for the year
ended 31st March 2014 approved by the Board:
FINANCIAL HIGHLIGHTS :
Particulars 2013-14 2012-13
Rs. in lacs Rs. in lacs
Gross Sales and Other Income 14,256 13,265
Profit before Interest and Depreciation 2,297 1,974
Finance Cost 1,654 1,688
Depreciation 794 790
Profit/(Loss) before Tax (151) (504)
(Less)Provision for Tax - -
(Less)/Add Deferred Tax 51 156
Profit/(Loss) after tax (100) (348)
Add: Balance Brought forward from
Previous Year 799 1,147
Balance Carried Over 699 799
YEAR IN RETROSPECT :
Gross sales for the year were marginally higher than the previous
financial year. Profit before Depreciation, Interest and Taxation
(PBDIT) was higher by 16% at Rs. 2297 lacs as compared to Rs. 1974 lacs in
the previous year. The improvement in operating margin has helped the
company to reduce the loss to Rs. 100 lacs for the year against a
corresponding loss of Rs. 348 lacs in the previous year.
BUSINESS PROSPECTS :
The Indian Packaging Industry is growing at more than 15% per annum.
India stands at the 11th position in the world packaging industry and
with the rising consumer demand and new technologies, it is expected to
grow at 18-20 per cent and it is expected that annual turnover of
Indian packaging industry will touch $32 billion by 2025. At the
expected growth pace Indian Packaging Industry will soon climb up to
the 4th position in the world packaging industry. There will be ten
times increase of middle class population by 2025 in India which will
further trigger the consumption of packaging material and thus, the
packaging industry will grow further.
The highlights of the industry trend, the outlook and the opportunities
ahead for the company are discussed in detail in the Management
Discussion and Analysis Report attached as Annexure  C to this report.
EXPORTS:
During the year, the export turnover was Rs. 2561 lacs as compared to the
previous year turnover of Rs. 3105 lacs, which represents a decrease of
18% over previous year. Major exports were made to Asian, Middle East,
African and Australian countries.
SUBSIDIARY:
The statement pursuant to Section 212 of the Companies Act 1956
containing details of financial highlights of the subsidiary company
forms part of the Annual Report.
CONSOLIDATED FINANCIALS :
Pursuant to Clause 41 of the Listing Agreement and in accordance with
Accounting Standard AS-21 on consolidated financial statements, the
audited consolidated financial statements incorporating the operations
of the company and its subsidiary company viz., M/s Shetron Metropak
Private Ltd are provided in this Annual Report.
In terms of General Circular No.3/2011 issued by the Ministry of
Corporate Affairs issued on 21st April 2011 under Section 212(8) of the
Companies Act 1956, the audited financial statements and other related
reports of the company''s subsidiary are not annexed as required under
Section 212(8) of the Companies Act 1956. The audited financial
statements of subsidiary shall also be kept for inspection during
business hours by any shareholders at the registered office of the
Company and of the subsidiary company. The Company will also make
available the audited financial accounts and related information of the
subsidiary companies, upon request by any shareholder of the company.
AWARDS & LAURELS :
As a testimonial of the company''s strength, IMDA, USA (International
Metal Decorators Association) in recognition of the excellence in
quality for printing has awarded the company again in the year 2014.
DIRECTORS :
In accordance with the provisions of the Companies Act 2013, and
Articles of Association of the company, Mr. B S Patil and Dr. M
Mahadeviah retire by rotation at the end of this Annual General Meeting
and is eligible for re-appointment. Brief resume of the Mr. B S Patil
and Dr. M Mahadeviah being re-appointed is attached to the Notice of
the Annual General Meeting.
DIRECTORS'' RESPONSIBILITY STATEMENT :
As per the provisions of Section 217(2AA) of the Companies Act 1956,
the Directors hereby submit that:
1. The Company has followed all the applicable Accounting standards
and there is no material departure from this in the preparation of the
annual accounts.
2. The Company had selected the normal accounting policies and applied
them consistently and made judgment and estimates that are responsible
and prudent so as to give a true and fair view of the affairs of the
Company at the end of the financial year and the profit and loss
account of the Company for that period.
3. Proper and sufficient care has been taken by the Company for
maintenance of proper accounting records in accordance with the
provisions of the Companies Act, 1956 for safeguarding the assets of
the Company and for detecting frauds and irregularities.
4. The accounts of the Company are prepared on a ''going concern''
concept basis.
ADDITIONAL DISCLOSURES :
In line with the requirements of Listing Agreements and Accounting
Standards, your company has made additional disclosures in respect of
related party transactions and segment reporting in notes to accounts
DEPOSITS:
In terms of the provision of Section 58A of the Companies Act, 1956
read with the Companies (Acceptance of Deposits Rules) 1975, the
company has not accepted/renewed any fixed deposits from the public
during the year under review.
PARTICULARS OF EMPLOYEES UNDER SECTION 217(2A) OF THE COMPANIES ACT
1956:
The information as per Section 217(2A) of the Companies Act, 1956 read
with the Companies (Particulars of Employee Rules) 1975 are not given
since the remuneration paid to the employees during the financial year
were below the limits prescribed by the amended Companies (particulars
of Employees) Rules, 1975.
INFORMATION PURSUANT TO SECTION 217(1)(e) OF THE COMPANIES ACT 1956:
The information as required under Section 217(1) (e) of the Companies
Act, 1956 read with Companies (Disclosure of Particulars in the report
of the Board of Directors) Rules 1988 is enclosed as Annexure A.
AUDITORS AND AUDIT REPORT:
M/s Pal and Shanbhogue, Chartered Accountants, auditors of the Company
hold office as auditors until the conclusion of ensuing Annual General
Meeting and have offered for re-appointment.
The Company has received letters from all of them to the effect that
their reÂappointment, if made, would be within the prescribed limits
under Section 141(3)(g) of the Companies Act, 2013 and that they are
not disqualified for reÂappointment.
COST AUDITORS:
The Company has appointed M/s Vishwanath Bhat & Co., Cost Auditors to
conduct the Cost Audit of the Company for the financial year 2013-14.
REPORT ON CORPORATE GOVERNANCE:
The Company is in compliance of all mandatory requirements of the Code
of Corporate Governance. A report on compliance of the code is annexed
herewith (Annexure B). Auditor''s Certificate on the same is also
annexed herewith.
TRANSFER OF AMOUNTS TO INVESTOR EDUCATION AND PROTECTION FUND:
Pursuant to the provisions of Section 205A(5) and 205C of the Companies
Act, 1956, relevant amounts which remained unpaid or unclaimed for a
period of Seven years have been transferred by the Company, from to
time to time on due dates, to the Investor Education and Protection
Fund.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT:
The Management Discussion and Analysis Report as required is annexed as
Annexure C.
ACKNOWLEDGEMENTS:
The Board of Directors takes this opportunity to express their
appreciation to the employees at all levels in the Company for their
dedicated service. Your Directors also thank the Bankers, Institutions,
and the customers for their unstinted support to the Company.
For and on behalf of the Board
SHETRON LIMITED
Place :Bangalore DIWAKAR S. SHETTY
Date : 19th May, 2014 Chairman
Mar 31, 2013
The Directors present the Thirty Third Annual Report on the business
and operations of your Company and the financial accounts forthe year
ended 31 st March, 2013 approved by the Board:
FINANCIAL HIGHLIGHTS:
Particulars 2012-13 2011-12
Rs. in lacs Rs. in lacs
Gross Sales and Other Income 13,265 13,025
Profit before Interest and Depreciation 1,974 1,493
Finance Cost 1,688 1,441
Depreciation 790 766
Profit/(Loss) before Tax (504) (714)
(Less)Provision for Tax
(Less)/Add Deferred Tax 156 291
Profit/(Loss) after tax (348) (423)
Balance Profit for the year
(after appropriations) (348) (423)
Add: Balance Brought forward
from Previous Year 1,147 1,570
Balance Carried Over 799 1,147
YEAR IN RETROSPECT:
Gross sales for the year were marginally higher than the previous
financial year. Profit before Depreciation, Interest and Taxation
(PBDIT) was higher by 32% at Rs. 1974 lacs as compared to Rs. 1493 lacs in
the previous year. With depreciation of Rs. 790 lacs (previous year Rs. 766
lacs), higher interest / exchange fluctuation charges of Rs. 1688 lacs
(previous year Rs. 1441 lacs), the company incurred loss of X 504 lacs as
compared to Rs. 714 lacs of the corresponding previous year. However, the
improvement in operating margin has helped the company to reduce the
loss to Rs. 348 lacs for the year against a corresponding loss of Rs.423
lacs in the previous year.
The year was a challenging one for operations - in terms of market
being sluggish and unprecedented depreciation of the rupee. The
operating results are indicative of these adversities - albeit with a
reasonable improvement over the previous year. The details are annexed
in the Management Discussion and Analysis Report.
BUSINESS PROSPECTS:
The packaging industry has organized to medium to large players as well
as unorganized local players. The growth indicator for the Indian
packaging industry is the food & beverage and pharmaceutical packaging
sectors. The coming 3-4 years will witness the growth of the food
processing industry in double fold, which will consequently lead to a
huge demand for packaging material.
Divulging from the traditional packaging demand, the changing life
style and the societal pattern of life with the increasing number of
working couples has hastened the growth for ready-to-cook and
ready-to-eat foods. This has proved to be precursor for growth forthe
packaging industry.
Battery Industry has now settled down to a stable level which seem
sustainable. The market is in a mood to accept adverse impacts of an
inflationary economy. This hurdle being over, the outlook appears to be
bright. Forthe long term, battery business is linked to fundamental
demand driven by device population. As India gets economically more
developed, device penetration into households will increase in line
with the rest of the world, boosting battery growth.
The highlights of the industry trend, the outlook and the opportunities
ahead forthe company are discussed in detail in the Management
Discussion and Analysis Report attached as Annexure - C to this report.
EXPORTS:
During the year, the export turnover was Rs. 3105 lacs as compare to the
previous year turnover of Rs. 2931 lacs, which represent a growth of 6%
over previous year. Major exports were made to Asian, Middle East,
African and Australian countries.
SUBSIDIARY:
The statement pursuant to Section 212 of the Companies Act 1956
containing details of financial highlights of the subsidiary company
forms part of the Annual Report.
CONSOLIDATED FINANCIALS:
Pursuant to Clause 41 of the Listing Agreement and in accordance with
Accounting Standard AS-21 on consolidated financial statements, the
audited consolidated financial statements incorporating the operations
of the company and its subsidiary company viz., M/s Shetron Metropak
Private Ltd are provided in this Annual Report.
In terms of General Circular No.3/2011 issued by the Ministry of
Corporate Affairs issued on 21st April 2011 under Section 212(8) of the
Companies Act 1956, the audited financial statements and other related
reports of the company''s subsidiary are not annexed as required under
Section 212(8) of the Companies Act 1956. The audited financial
statements of subsidiary shall also be kept for inspection during
business hours by any shareholders at the registered office of the
Company and of the subsidiary company. The Company will also make
available the audited financial accounts and related information of the
subsidiary companies, upon request by any shareholder of the company.
AWARDS & LAURELS:
As a testimonial of the company''s strength, IMDA, USA has awarded the
company again in the year 2013.
DIRECTORS:
In accordance with the provisions of the Companies Act 1956, and
Articles of Association of the company, Dr. M Mahadeviah retires by
rotation at the end of this Annual General Meeting and is eligible for
re-appointment. Brief resume of the Dr. M Mahadeviah is attached to the
Notice of the Annual General Meeting.
DIRECTORS'' RESPONSIBILITY STATEMENT:
As per the provisions of Section 217(2AA) of the Companies Act 1956,
the Directors hereby submit that:
1. The Company has followed all the applicable Accounting standards
and there is no material departure from this in the preparation of the
annual accounts.
2. The Company had selected the normal accounting policies and applied
them consistently and made judgment and estimates that are responsible
and prudent so as to give a true and fair view of the affairs of the
Company at the end of the financial year and the profit and loss
account of the Company for that period.
3. Proper and sufficient care has been taken by the Company for
maintenance of proper accounting records in accordance with the
provisions of the Companies Act, 1956 for safeguarding the assets of
the Company and for detecting frauds and irregularities.
4. The accounts of the Company are prepared on a ''going concern''
concept basis.
ADDITIONAL DISCLOSURES:
In line with the requirements of Listing Agreements and Accounting
Standards, your company has made additional disclosures in respect of
related party transactions and segment reporting in notes to accounts
DEPOSITS:
In terms of the provision of Section 58A of the Companies Act, 1956
read with the Companies (Acceptance of Deposits Rules) 1975, the
company has not accepted/renewed any fixed deposits from the public
during the year under review.
PARTICULARS OF EMPLOYEES UNDER SECTION 217(2A) OF THE COMPANIES ACT
1956 :
The information as per Section 217(2A) of the Companies Act, 1956 read
with the Companies (Particulars of Employee Rules) 1975 are not given
since the remuneration paid to the employees during the financial year
were below the limits prescribed bythe amended Companies (Particulars
of Employees) Rules, 1975.
INFORMATION PURSUANTTO SECTION 217(1)(e)OF THE COMPANIES ACT 1956:
The information as required under Section 217(1) (e) of the Companies
Act, 1956 read with Companies (Disclosure of Particulars in the report
of the Board of Directors) Rules 1988 is enclosed as Annexure A
AUDITORS AND AUDIT REPORT:
M/s Pal and Shanbhogue, Chartered Accountants, auditors of the Company
hold office as auditors until the conclusion of ensuing Annual General
Meeting and have offered for re-appointment. The necessary letter of
consent has been received from the Auditors in this regard.
COST AUDITORS:
The Company has appointed M/s Vishwanath Bhat & Co., cost auditors to
conduct the cost audit of the Company for the financial year 2012-13
REPORT ON CORPORATE GOVERNANCE :
The Company is in compliance of all mandatory requirements of the Code
of Corporate Governance. A report on compliance of the code is annexed
herewith (Annexure B). Auditor''s Certificate on the same is also
annexed herewith.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT:
The management discussion and analysis report as required is annexed as
Annexure C
ACKNOWLEDGEMENTS:
The Board of Directors takes this opportunity to express their
appreciation to the employees at all levels in the Company for their
dedicated service. Your Directors also thank the Bankers, Institutions
and the customers for their unstinted support to the Company.
For and on behalf of the Board
SHETRON LIMITED
Place: Bangalore DIWAKAR S. SHETTY
Date :10th May, 2013 Chairman
Mar 31, 2012
The Directors present the Thirty Second Annual Report on the business
and operations of your Company and the financial accounts for the year
ended 31st March 2012 approved by the Board:
FINANCIAL HIGHLIGHTS
Particulars 2011-12 2010-11
Rs.in lacs Rs. in lacs
Gross Sales and Other Income 13,025 12,302
Gross Profit before
Interest and Depreciation 1,493 1,965
Finance Cost 1,441 1,262
Depreciation 766 662
Profit/Loss before Tax (714) 41
(Less )Provision for Tax 5
(Less)/Add Deferred Tax 291 7
Profit/Loss after tax (423) 29
Balance Profit for the
year (after appropriations) (423) 29
Add: Balance Brought
forward from previous year 1,570 1,541
Balance Carried Over 1,147 1,570
YEAR IN RETROSPECT
The Company achieved Gross turnover and other income of ? 13,025 lacs
against the previous year turnover of ? 12,302 lacs showing an increase
of about 6% in sales over previous year. The loss after tax was ? 423
lacs compared to profit ? 29 lacs in the previous year.
Major factors that contributed to the loss for the year, as compared to
the previous year were the overall increase in raw materials and other
input costs, higher Interest cost and provision for depreciation. The
details are annexed in the Management Discussion and Analysis Report.
BUSINESS PROSPECTS
The outlook for metal packaging industry is very positive in the long
term. The Company installed new can line machine during the second
quarter. With the expansion of Installed Capacity, your company is
expanding its operations into new segments in food Industry. However on
profitability front, the overall increasing trend in input costs poses
challenge to protect the profit margin in the current financial year.
The Directors are confident that the fructification of our capex plans
would yield positive results within next two years.
The highlights of the industry trend, the outlook and the opportunities
ahead for the company are discussed in detail in the Management
Discussion and Analysis Report attached as Annexure - C to this report.
EXPORTS
During the year, the export turnover has increased to ? 2,931 lacs
i.e., an increase of 15% over the previous year sales of ? 2,553 lacs.
Major exports were made to Asian, Middle East, African and Australian
countries.
SUBSIDIARY:
The statement pursuant to Section 212 of the Companies Act 1956
containing details of financial highlights of the subsidiary company
forms part of the Annual Report.
CONSOLIDATED FINANCIALS:
Pursuant to Clause 41 of the Listing Agreement and in accordance with
Accounting Standard AS-21 on consolidated financial statements, the
audited consolidated financial statements incorporating the operations
of the company and its subsidiary company viz., M/s Shetron Metropak
Private Ltd are provided in this Annual Report.
In terms of General Circular No.3/2011 issued by the Ministry of
Corporate Affairs issued on 21st April 2011 under Section 212(8) of the
Companies Act 1956, the audited financial statements and other related
reports of the companyÃs subsidiary are not annexed as required under
Section 212(8) of the Companies Act 1956. The audited financial
statements of subsidiary shall also be kept for inspection during
business hours by any shareholders at the registered office of the
Company and of the subsidiary company. The Company will also make
available the audited financial accounts and related information of the
subsidiary companies, upon request by any shareholder of the company.
AWARDS & LAURELS
Your company has bagged the ÃAward of Excellence for foodà for the
Tenth consecutive year in 2012 issued by IMDA, USA (International Metal
Decorators Association) in recognition of the excellence in quality for
printing. Each year the IMDA conducts a Quality Contest to recognize
the skillful achievements of the metal decorating industry. Entries
from around the globe are judged in eight categories with the best
entry given the Grand Award.
DIRECTORS
In accordance with the provisions of the Companies Act 1956, and
Articles of Association of the company, Mr. B.S. Patil retires by
rotation at the end of this Annual General Meeting and is eligible for
re-appointment. Brief resume of the Mr. B.S. Patil being re-appointed
is attached to the Notice of the ensuing Annual General Meeting.
DIRECTORSÃ RESPONSIBILITY STATEMENT
As per the provisions of Section 217(2AA) of the Companies Act 1956,
the Directors hereby submit that:
1. The Company has followed all the applicable Accounting standards
and there is no material departure from this in the preparation of the
annual accounts.
2. The Company had selected the normal accounting policies and applied
them consistently and made judgment and estimates that are responsible
and prudent so as to give a true and fair view of the affairs of the
Company at the end of the financial year and the profit and loss
account of the Company for that period.
3. Proper and sufficient care has been taken by the Company for
maintenance of proper accounting records in accordance with the
provisions of the Companies Act, 1956 for safeguarding the assets of
the Company and for detecting frauds and irregularities.
4. The accounts of the Company are prepared on a Ãgoing concernÃ
concept basis.
ADDITIONAL DISCLOSURES
In line with the requirements of Listing Agreements and Accounting
Standards, your company has made additional disclosures in respect of
related party transactions and segment reporting in notes to accounts
DEPOSITS
In terms of the provision of Section 58A of the Companies Act, 1956
read with the Companies (Acceptance of Deposits Rules) 1975, the
company has not accepted/renewed any fixed deposits from the public
during the year under review.
PARTICULARS OF EMPLOYEES UNDER SECTION 217(2A) OFTHE COMPANIES ACT 1956
The information as per Section 217(2A) of the Companies Act, 1956 read
with the Companies (Particulars of Employee Rules) 1975 are not given
since the remuneration paid to Employees during the financial year were
below the limits prescribed by the amended Companies (Particulars of
Employees) Rules, 1975.
INFORMATION PURSUANTTO SECTION 217(1)(e) OFTHE COMPANIES ACT 1956
The information as required under Section 217(1) (e) of the Companies
Act, 1956 read with Companies (Disclosure of Particulars in the report
of the Board of Directors) Rules 1988 is enclosed as Annexure - A.
AUDITORS AND AUDIT REPORT
M/s Pal and Shanbhogue, Chartered Accountants, auditors of the Company
hold office as auditors until the conclusion of ensuing Annual General
Meeting and have offered for re-appointment. The necessary letter of
consent has been received from the Auditors in this regard.
REPORT ON CORPORATE GOVERNANCE
The Company is in compliance of all mandatory requirements of the Code
of Corporate Governance. A report on compliance of the code is annexed
herewith (Annexure -B). Auditorsà Certificate on Corporate Governance
is also annexed.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
The management discussion and analysis report as required is annexed as
Annexure C.
ACKNOWLEDGEMENTS
The Board of Directors take this opportunity to express their
appreciation to the employees at all levels in the Company for their
dedicated service. Your Directors also thank the Bankers, Institutions,
and the customers for their unstinted support to the Company.
For and on behalf of the Board
SHETRON LIMITED
Place : Bangalore DIWAKAR S. SHETTY
Date : 29th May, 2012 Chairman
Mar 31, 2010
The Directors present the Thirtieth Annual Report on the business and
operations of your Company and the financial accounts for the year
ended 31st March 2010 approved by the Board :
FINANCIAL HIGHLIGHTS
Particulars 2009-10 2008-09
Rs.in lacs Rs.in lacs
Net Sales and Other Income 11023 12233
Profit before Interest and Depreciation 1869 1795
Less : Interest (1094) (990)
Less : Depreciation (624) (604)
Profit/Loss before Tax 151 201
Less : Provision for Tax (19) (72)
Less : Deferred Tax Liability (28) (4)
Profit/Loss after tax 104 125
Transfer from Debenture Redemption Reserve 665 (95)
Prelimary Exp written off (213) -
Transfer to General Reserve - 13
Balance Profit for the year after
appropriations 557 17
Add; Balance Brought Forward from
previous year 984 967
BALANCE Carried Over 1541 984
YEAR IN RETROSPECT
The Company achieved a Net Turnover of Rs.10680 lacs as against the
previous year turnover of Rs 11910 lacs showing a decrease of about 10%
in sales over previous year. The drop in sales is due to product mix
and decline in the sale of printed metal sheets during the year.
Further the economic slow down and liquidity constraints faced by the
company have also affected drop in sales.
The profit before tax was Rs 151 lacs compared to Rs.201 lacs in the
previous year. Increase in prices of raw materials, especially
Tinplate,Higher Interest and Financing charges due to capitalization of
fixed assets and higher borrowings were major factors that contributed
to lower profitability for the year, as compared to the previous year.
However, the above adverse factors were partially moderated by
increasing the prices of end products and reduction in rate of excise
duty.
The net profit after tax was Rs 104 lacs as compared from Rs 125 lacs
achieved during the previous year. During the year the Company has
transferred the sum of Rs 665 lacs Debenture Redemption Reserve and
credited the same to Profit and loss appropriation account, due to
redemption of debentures.
DIVIDEND
In view of inadequate profits, the Board has not recommended dividend
for the year.
BUSINESS PROSPECTS
The economy currently is emerging from the clutches of a global
slowdown prevailed for the past two years is recovering albeit slowly,
aided by the stimuli provided by the Government to stimulate industrial
growth . The outlook for metal packaging industry continues to be
positive in the long term. With the consistent and vigorous efforts
being made by the Company for cost reduction measures coupled with
efficient monitoring of working capital, Company expects improved
performance for the current year.
The highlights of the industry trend, the outlook and the opportunities
ahead for the company are discussed in detail in the Management
Discussion and Analysis Report attached as Annexure à D to this report.
EXPORTS
During the year, the export turnover has increased to Rs 1875 lacs
i.e., an increase of 34 % over the previous year sales of Rs 1395 lacs.
Exports to both Asian and African countries have picked up during the
year.
JOINT VENTURE
The Companys 50:50 joint venture company viz., M/s Shetron Metropak
Private Ltd has reported a Sales of Rs. 635.78 lacs for the last
financial year.
The Directors are committed to provide continued operational support to
the JV Company and are confident that it would make a turnaround in the
current financial year in view of tremendous demand for the Saf Caps in
the country.
AWARDS & LAURELS
Your company has bagged the " Award of Excellence" for the Seventh
consecutive year in 2009 issued by IMDA, USA ( International Metal
Decorators Association) in recognition of the excellence in quality for
printing . Each year the IMDA conducts a Quality Contest to recognize
the skillful achievements of the metal decorating industry. Entries
from around the globe are judged in eight categories with the best
entry given the Grand Award.
DIRECTORS
In accordance with the provisions of the Companies Act 1956, and
Articles of Association of the company, Mr .B.S Patil retires by
rotation at the end of this Annual General Meeting and is eligible for
re-appointment. Brief resume of the Mr B.S. Patil being re-appointed is
attached to the Notice of the ensuing Annual General Meeting.
DIRECTORS RESPONSIBILITY STATEMENT
As per the provisions of Section 217(2AA) of the Companies Act 1956,
the Directors hereby submit that:
1. The Company has followed all the applicable Accounting standards
and there is no material departure from this in the preparation of the
annual accounts.
2. The Company had selected the normal accounting policies and applied
them consistently and made judgment and estimates that are responsible
and prudent so as to give a true and fair view of the affairs of the
Company at the end of the financial year and the profit and loss
account of the Company for that period.
3. Proper and sufficient care has been taken by the Company for
maintenance of proper accounting records in accordance with the
provisions of the Companies Act, 1956 for safeguarding the assets of
the Company and for detecting frauds and irregularities.
4. The accounts of the Company are prepared on a Ãgoing concern
concept basis.
ADDITIONAL DISCLOSURES
In line with the requirements of Listing Agreements and Accounting
Standards, your company has made additional disclosures in respect of
related party transactions and segment reporting in notes to accounts
DEPOSITS
In terms of the provision of Section 58A of the Companies Act, 1956
read with the Companies (Acceptance of Deposits Rules) 1975, the
company has not accepted/renewed any fixed deposits from the public
during the year under review.
PARTICULARS OF EMPLOYEES UNDER SECTION 217(2A) OF THE COMPANIES ACT
1956
The information as per Section 217(2A) of the Companies Act, 1956 read
with the Companies (Particulars of Employee Rules) 1975 is appended as
Annexure à A of the report and forms a part of this report
INFORMATION PURSUANT TO SECTION 217(1)(e) OF THE COMPANIES ACT 1956
The information as required under Section 217(1) (e) of the Companies
Act, 1956 read with Companies (Disclosure of Particulars in the report
of the Board of Directors) Rules 1988 is enclosed as Annexure E
AUDITORS AND AUDIT REPORT
M/s Pal and Shanbhogue, Chartered Accountants, auditors of the Company
hold office as auditors until the conclusion of ensuing Annual General
Meeting and have offered for re-appointment. The necessary letter of
consent has been received from the Auditors in this regard.
REPORT ON CORPORATE GOVERNANCE
The Company is in compliance of all mandatory requirements of the Code
of Corporate Governance. A report on compliance of the code is annexed
herewith (Annexure C). Auditors Certificate on the same is also
annexed herewith.
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
The management discussion and analysis report as required is annexed as
Annexure D
ACKNOWLEDGEMENTS
The Board of Directors take this opportunity to express their
appreciation to the employees at all levels in the Company for their
dedicated service. Your Directors also thank the Bankers, Institutions,
and the customers for their unstinted support to the Company.
For and on behalf of the Board
SHETRON LIMITED
Date : 14th May, 2010 DIWAKAR S. SHETTY
Place : Bangalore Chairman
Disclaimer: This is 3rd Party content/feed, viewers are requested to use their discretion and conduct proper diligence before investing, GoodReturns does not take any liability on the genuineness and correctness of the information in this article