Amal Ltd 2015-16

Amal Ltd | Annual Report 2015-16 Dear Members, The Board of Directors (Board) presents the Annual Report of Amal Ltd together with the audited statement of accounts for the year ended March 31, 2016. 01. Financial results ( ` 000) 2015-16 2014-15 Revenue from operations 2,31,958 1,88,227 Other income 644 2,128 Total revenue 2,32,602 1,90,355 Profit | (Loss) from operations before tax and exceptional items 37,189 (6,271) Exceptional items: income | (expense) - 503 Profit | (Loss) for the year after exceptional items 37,189 (5,768) Tax adjustments - - Profit | (Loss) after tax 37,189 (5,768) Balance brought forward (4,34,189) (4,28,421) Balance carried forward (3,97,000) (4,34,189) 02. Financial performance During 2015-16, net sales increased by 23% from ` 1,882 lakhs to ` 2,320 lakhs. The Company reported a profit of ` 372 lakhs in 2015-16 against a loss of ` 63 lakhs in 2014-15 from operations. 03. Dividend The Board regrets its inability to recommend dividend due to carried forward losses. 04. BIFR status Revised Draft Rehabilitation Scheme (DRS) submitted by the Company through IDBI Bank Ltd (Operating Agency) to the Board for Industrial and Financial Reconstruction (BIFR) was sanctioned by it as Modified Sanctioned Scheme (MS-13) on July 01, 2013. The Company has initiated actions as per MS-13. The Board has approved the proposed merger of the Company with Atul Ltd. A share swap ratio of 1 Equity share of face value of ` 10 each fully paid up of Atul Ltd for every 50 Equity shares of the face value of ` 10 each fully paid up of Amal Ltd has been approved at its meeting held on December 05, 2014 subject to BIFR and other statutory approvals. The appointed date of the proposed Scheme is April 01, 2014. The Company has submitted the Modified Draft Rehabilitation Scheme (MDRS) covering the proposed merger to the BIFR through the Operating Agency on March 31, 2016 for obtaining their approval. Upon approval of the Scheme by the BIFR, effect of the Scheme will be given in the books of account. 05. Conservation of energy, technology absorption, foreign exchange earnings and outgo This is given at page number 07. 06. Insurance The Company has taken adequate insurance to cover the risks to its employees, property, plant and equipment, buildings and other assets and third parties. 07. Risk Management The Management at various levels takes accountability for risk identification, appropriateness of risk analysis, and timeliness as well as adequacy of risk mitigation decisions at both individual and aggregate levels. It is also responsible for the implementation, tracking and reporting of defined mitigation plans, including periodic reporting to the Audit Committee and the Board. Directors’ Report