AFFLUENCE

During the year under review, the production of cotton yarn is 39.26 Lakh Kgs as against 37.92 Lakhs Kgs in the preceding year.  The Sales Turnover increased to Rs.13141.45 Lakh as against Rs. 10537.30 Lakh in the previous period.   The Sales turnover includes Total Export Sales of Rs.7970.27 Lakh as against Rs.3346.08 Lakh in the previous year.  During the year the export turnover of traded goods increased to Rs.3122.93 Lakh from                Rs. 1204.47 Lakh.    During the year the green energy generated was 69.58 Lakh units (net) of wind electricity as against 77.26 Lakh units in the previous year.   By captive consumption, the Wind Electricity contributed for reduction in power cost, and contributed to the profits of the textile mill.  Hence the overall performance of the Company should be considered as Satisfactory.    

1.      (A) CONSERVATION OF ENERGY:   Efforts are being taken to reduce power consumption.  Energy efficient motors are being installed in place of conventional motors.  No capital Investment is contemplated for the present in view of sluggish market condition    

(B) TECHNOLOGY ABSORPTION:   A sum of Rs.20,820/= has been paid as membership subscription to South Indian Textile Research Association that is undertaking Research and Development in the field of textiles on behalf of its members. Production and quality norms have been established in the past and further Research and Development programs are being undertaken by SITRA.  Total expenditure in Research and Development as percentage of income is negligible.     

1.      FOREIGN EXCHANGE EARNINGS AND OUTGO:   31st March 2019    31st March 2018            EARNED Rs. In Lacs Rs. In Lacs Total Foreign exchange earned:-     F.O.B. Value of Exports of Finished and Traded goods 7998.54 3268.50       USED     Remittance in Foreign exchange:-     Purchase of Capital goods, Spares, Commission on Exports and interest on foreign currency loan 1039.40 1848.38    

Pursuant to the provisions of Section 134(3) (c) of the Companies Act, 2013, your Directors confirm: a)      that in the preparation of annual accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures; b)      that your 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 as at  the end of the financial year and of the Profit of the Company for that period; c)      that your Directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013 for safeguarding the Assets of the Company and for preventing and detecting fraud and other irregularities; d)     that your Directors had prepared the annual accounts on a going concern basis. e)      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. f)       The directors had devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.