Dear Members,
Your Directors have pleasure in presenting the 23rd Annual Report together with the
Audited Financial Statements of your Company for the financial year ended March 31, 2024.
FINANCIAL HIGHLIGHTS
The Company's financial performance for the financial year ended 31st March 2024 is
summarised below:
(In Lakhs)
Particulars |
FY 2023-24 |
FY 2022-23 |
Revenue from Operations |
2852.16 |
00 |
Other Income |
1.49 |
3066.68 |
Total Revenue |
2853.64 |
3066.68 |
Cost of Material Consumed |
2620.30 |
00 |
Purchase of traded goods |
00 |
00 |
Changes in Inventories of Finished goods, traded goods and WIP |
00 |
00 |
Employee Benefit Expense |
5.34 |
.22 |
Financial Costs |
100.58 |
126.85 |
Depreciation and Amortization Expense |
26.30 |
33.21 |
Other Expenses |
69.91 |
3030.40 |
Total Expenses |
2822.44 |
3190.67 |
Profit before exceptional and extraordinary items and tax |
31.20 |
-123.99 |
Exceptional Items |
00 |
00 |
Profit before Extraordinary Items and Tax |
31.20 |
-123.99 |
Extraordinary Items |
|
|
Profit Before tax |
31.20 |
-123.99 |
Add: Mat Credit Entitlement |
00 |
00 |
Tax Expense: |
|
|
(1) Current tax |
00 |
00 |
(2) Deferred tax |
-2.66 |
10.70 |
Profit/(Loss) from the period from continuing operations (A) |
28.54 |
-113.29 |
Discontinuing Operations |
00 |
00 |
Profit/(Loss) from Discontinuing Operations (B) |
00 |
00 |
Profit/(Loss) for the period (A+B) |
28.54 |
-113.29 |
Earnings Per Share |
|
|
(1) Basic |
0.15 |
-0.61 |
(2) Diluted |
0.15 |
-0.61 |
1. OVERVIEW AND STATE OF THE COMPANY'S AFFAIRS
Financial
The Company's financial performance for the financial year ended 31st March 2024 is
summarised below:
The company achieved a total revenue of Rs 2,853.64 million, primarily driven by
strong operational performance.
Cost of materials consumed remains the largest expense, accounting for Rs
2,620.30 million, reflecting efficient use of resources.
Financial costs, amounting to T100.58 million, highlight the impact of
borrowings and financing on overall profitability.
The company successfully managed its tax liabilities with a deferred tax gain of
Rs 2.66 million, contributing to a net profit of Rs 28.54 million for the period.
Operational
The Company's operational performance for the financial year ended 31st March 2024 is
summarised below:
The employee benefit expense increased to Rs 5,34,180 from Rs 21,822, reflecting
the company's investment in its workforce to drive growth and productivity.
The cost of material consumed was managed effectively at Rs 26,20,29,942,
ensuring optimal utilization of resources and cost control.
The financial costs reduced from Rs 1,26,84,990 in 2023 to Rs 1,00,58,477 in
2024, showcasing better financial management and reduced debt servicing costs.
The depreciation and amortization expense decreased from Rs 3,30,20,568 to Rs
2,63,02,56, indicating efficient asset management.
By presenting these financial and operational highlights, the company's improved
performance and strategic management can be effectively communicated to stakeholders,
showcasing a positive outlook and future potential.
2. IMPORTS
For the financial year ended 31st March 2024 company was majorly involved in importing
and trading of Aluminium Scrap mainly Tread and Taint Tabor from many countries like USA,
Israel, United Kingdom, Different parts of Europe and many other.
3. DIVIDEND
After a thorough review of the company's financial position and in light of our
strategic plans for expansion and growth, the Board of Directors has concluded that it
would be prudent to conserve resources at this juncture. Therefore, it has been decided
not to recommend a dividend for the fiscal year 2023-24.
This decision aligns with our long-term vision of strengthening the company's financial
foundation and ensuring its continued success. We believe that by reinvesting profits back
into the business, we can capitalize on growth opportunities, enhance shareholder value,
and secure a robust future for Bothra Metals and Alloys Limited.
4. FUTURE PROSPECTUS
Bothra Metals and Alloys Limited stands at the threshold of a new chapter, having
recently navigated a successful settlement with the National Company Law Tribunal (NCLT)
and emerged with a green chit. This milestone not only signifies the resolution of past
challenges but also marks the beginning of a transformative journey for a company with a
rich legacy in the manufacturing of Aluminium Extrusion Profiles, Billets, and Ingots, as
well as the import and trading of Metal Scrap. With its financial foundations now stronger
than ever, Bothra Metals and Alloys Limited is poised to quickly regain its footing and
chart a course for accelerated growth.
Market penetration and expansion are key objectives, with Bothra Metals and Alloys
Limited focusing on increasing its presence in existing markets while exploring new
territories to fuel business growth. Sustainability and innovation are integral to the
company's ethos, with plans to further reduce its environmental impact and explore green
initiatives within the aluminum production process.
Financial stability and strategic growth are at the forefront, with Bothra Metals and
Alloys Limited well-positioned to consider acquisitions, partnerships, and investments
that align with its long-term goals. The company invites investors to be part of this
exciting journey, offering a unique opportunity to invest in a revitalized and
forward-thinking enterprise within the metals industry.
As Bothra Metals and Alloys Limited embarks on this path of transformation, it aims to
solidify its position as a leading global player in aluminum manufacturing and trading.
With a clear vision, a robust financial foundation, and a dedicated team, the company is
set to achieve significant milestones in the coming years. We extend an invitation to
investors to join us in building a stronger, more sustainable, and more profitable future
for Bothra Metals and Alloys Limited.
5. HEALTH, SAFETY & ENVIRONMENT
At Bothra Metals and Alloys Limited, we are convinced that our prosperity is closely
linked to our dedication to environmental sustainability, the well-being and safety of our
employees, and fulfilling our social obligations. In this Annual Report for 2022-23, we
aim to underscore our persistent endeavors and successes in these critical domains.
Preserving the Environment
At Bothra Metals and Alloys Limited, safeguarding and conserving the environment is a
core principle. We are unwavering in our efforts to minimize our ecological footprint and
actively promote sustainable practices throughout all our operations. Our dedication to
environmental responsibility is evident in every aspect of our activities, ensuring we
contribute positively to the planet.
Well-being and Security
The health and safety of our staff, contractors, and the communities around us are our
utmost priorities. We are devoted to maintaining a secure and healthy workspace for all
our stakeholders. We stay alert to ensure the welfare of everyone connected with our
company.
Corporate Citizenship
We hold the belief that corporate responsibility extends beyond our business
activities. Bothra Metals and Alloys Limited is deeply involved with the communities where
we conduct our operations, aiming to create a positive difference. We take pride in our
contributions to the social progress of the areas we are present in, and we remain
dedicated to advancing these initiatives.
Future Perspectives
As we progress, we acknowledge that our duty to the environment, health, safety, and
society is an enduring path. We are committed to consistently enhancing our performance in
these fields and setting more ambitious goals for our achievements. By embedding
sustainable practices into our business approaches, nurturing a safety-first culture, and
addressing the social requirements of our communities, we aim to generate lasting value
for our stakeholders.
6. INDUSTRY OUTLOOK
International
In the international arena, the metals and alloys industry has experienced a complex
set of challenges and opportunities over the past year. The global economic landscape has
been marked by fluctuating demand, driven by factors such as changes in consumer
behaviour, technological advancements, and the recovery from the global pandemic. Emerging
markets have shown significant potential for growth, particularly in sectors like
automotive, construction, and renewable energy, which are key consumers of aluminum
products.
The international focus on sustainability and the push towards a low-carbon economy
have also influenced the industry. There is a growing demand for lightweight, durable, and
recyclable materials like aluminum, which can contribute to reducing carbon emissions.
This has led to an increase in investment in innovative production technologies and
recycling processes.
Geopolitical tensions and trade policies have introduced elements of uncertainty,
affecting raw material prices and supply chains. Despite these challenges, Bothra Metals
and Alloys Limited remains optimistic about the international market's potential. We are
committed to expanding our global footprint, exploring new markets, and forging strategic
partnerships to capitalize on emerging opportunities.
Domestic
The domestic industry outlook for metals and alloys in Bharat has been characterized by
a robust recovery and promising growth prospects. The Bharatn economy's resilience and the
government's focus on infrastructure development, urbanization, and the Make in Bharat
initiative have created a favorable environment for the industry.
The domestic market for aluminum products, in particular, has seen a surge in demand
due to increased construction activities, growth in the automotive sector, and the
expansion of consumer durables manufacturing. The government's push for renewable energy
and the adoption of energy-efficient solutions have further boosted the demand for
aluminum.
Bothra Metals and Alloys Limited is well- positioned to leverage these domestic trends.
We are investing in capacity expansion, enhancing our product portfolio, and strengthening
our distribution network to meet the burgeoning demand. Our commitment to quality,
innovation, and customer service ensures that we remain a preferred partner for our
clients in the dynamic Bharatn market.
As we navigate the evolving industry landscape, Bothra Metals and Alloys Limited
remains dedicated to maintaining its leadership position through strategic initiatives and
a customer-centric approach. By prioritizing innovation and efficiency, we are committed
to delivering sustainable growth and value to our stakeholders in both international and
domestic markets. Our confidence lies in our ability to adapt and thrive, ensuring that we
meet the needs of our customers while fostering long-term relationships. This approach
guarantees continued success and reinforces our standing as a leader in the industry.
7. INTERNAL CONTROL SYSTEM AND ADEQUACY
Company ensures the presence of effective internal control systems across all
operational domains. It utilizes the services of Internal & external auditors
periodically, alongside in-house expertise and resources. The company consistently
enhances these systems to align with the most advanced practices in the field.
The reports and discrepancies identified are frequently deliberated upon with the
management and committee members, with appropriate action taken whenever required. An
independent audit committee appointed by the board assesses the sufficiency of the
internal control measures in place.
8. CONVERSATION OF ENERGY, TECHNOLOGY, ABSORPTION, FOREIGN EXCHANGE EARNINGS AND OUTGO.
As required under provisions of Section 134 of the Companies Act, 2013 and read with
Rule 8(3) of Companies (Accounts) Rules, 2014 details relating to conservations of Energy,
and Foreign Exchange Earnings and Outgo are given below:
Kala-amb (Himachal Pradesh)
Power and Fuel Consumption
Conservation Of Energy |
FY 2023-24 |
FY 2022-23 |
Electricity Purchased |
|
|
Quantity (In Units) |
Nil |
Nil |
Total Amount in (In Lakhs) |
Nil |
Nil |
Rate/Unit (Rs) |
Nil |
Nil |
Furnace Oil & Other Fuel |
|
|
Quantity (In Ltr.) |
Nil |
Nil |
Total Amount (In Lakhs) |
Nil |
Nil |
Rate/ Litre (Rs) |
Nil |
Nil |
# The plant is not in production
Consumption Per Unit of Production
Particulars |
FY 2023-24 |
FY 2022-23 |
Electricity Purchased |
|
|
Total Amount (In Lakhs) |
Nil |
Nil |
Production at Kala-Amb (In Kgs.) |
Nil |
Nil |
Rate/Kgs |
Nil |
Nil |
Furnace Oil & Other Fuel |
|
|
Total Amount (In Lakhs) |
Nil |
Nil |
Production at Kala-Amb (In Kgs) |
Nil |
Nil |
Rate/kgs(Rs) |
Nil |
Nil |
# The plant is not in production Sangli (Maharashtra)
Power and Fuel Consumption
Conservation Of Energy |
FY 2023-24 |
FY 2022-23 |
Electricity Purchased |
|
|
Quantity (In Units) |
Nil |
Nil |
Total Amount in (In Lakhs) |
Nil |
Nil |
Rate/Unit (Rs) |
Nil |
Nil |
Furnace Oil & Other Fuel |
|
|
Quantity (In Ltr.) |
Nil |
Nil |
Total Amount (In Lakhs) |
Nil |
Nil |
Rate/ Litre (Rs) |
Nil |
Nil |
# The plant is not in production
Consumption Per Unit of Production
Particulars |
FY 2023-24 |
FY 2022-23 |
Electricity Purchased |
|
|
Total Amount (In Lakhs) |
Nil |
Nil |
Production at Kala-Amb (In Kgs.) |
Nil |
Nil |
Rate/Kgs |
Nil |
Nil |
Furnace Oil & Other Fuel |
|
|
Total Amount (In Lakhs) |
Nil |
Nil |
Production at Kala-Amb (In Kgs) |
Nil |
Nil |
Rate/kgs(Rs) |
Nil |
Nil |
9. TECHNOLOGY ABSORPTION, RESEARCH & DEVELOPMENT
As required under provisions of Section 134 of the Companies Act, 2013 and read with
Rule 8(3) of Companies (Accounts) Rules, 2014 details relating to conservations of Energy,
and Foreign Exchange Earnings and Outgo are given below:
10. FOREIGN EXCHANGE INFLOW & OUTFLOW
For the Fiscal Year 2023-24 the flow of forex transaction is as fo low:
Particulars |
FY 2023-24 |
FY 2022-23 |
Foreign Exchange Inflows |
INR 41,13,814 |
Nil |
Foreign Exchange Outflows |
INR 24,70,73,051 |
Nil |
Actual Received/(Paid) |
INR 24,29,59,237 |
Nil |
11. SHARE CAPITAL
As of 31st March 2024, the Paid-Up Equity Share Capital stood at Rs. 18.52 Crores.
Throughout the year under review, the company did not issue any shares with differential
voting rights, nor did it grant stock options or sweat equity shares.
12. STEPS IN MANUFACTURING AND PROCUREMENT
At Bothra Metals and Alloys Limited, we are committed to continuously enhancing our
operational efficiencies and exploring new avenues for business growth. As part of our
strategic initiatives, we have undertaken several steps in manufacturing and procurement
to drive excellence in our operations. We place great emphasis on optimizing our
manufacturing processes to improve overall productivity and yield. By leveraging advanced
technologies and adopting best practices, we strive to enhance the efficiency of our
manufacturing operations, minimize waste, and maximize output. Quality is at the core of
our manufacturing operations. We adhere to stringent quality control measures to deliver
products that meet the highest industry standards. Efficient procurement and supply chain
management are critical for our success. We work closely with our suppliers to establish
strong partnerships and ensure a reliable supply of raw materials.
13. MAJOR EXPANSION PLAN
Bothra Metals and Alloys Limited is pleased to unveil its ambitious expansion plan,
capitalizing on the promising trends in the Bharatn and international markets for metal
scrap and aluminium extrusion profiles. In light of the remarkable growth in these
sectors, the company is strategically poised to embark on a significant expansion journey.
Recognizing the enormous potential of the metal scrap industry, we plan to leverage our
network in the metal industry to meet the escalating demand for metal scrap both
domestically and internationally. The metal scrap industry has witnessed substantial
growth, with a global market size estimated to reach $406.16 billion by 2027, driven by
increasing industrialization, infrastructure development, and the growing focus on
sustainable practices. Furthermore, we are excited to announce our intention to establish
a new manufacturing facility dedicated to aluminium extrusion profiles. Equipped with
state-of-the-art technology and modern machinery, this facility will enable us to produce
high-quality aluminium profiles that meet the stringent requirements of various
industries. The global aluminium extrusion market is experiencing significant growth, with
a projected CAGR of 4.9% from 2021 to 2028. Our expansion plan combines the utilization of
our existing manufacturing unit and the establishment of a new state-of-the-art aluminium
extrusion profile unit. This strategic move positions us to capitalize on the growing
market demand, expand our customer base, and create value for our stakeholders. Through
continuous innovation, implementation of best practices, and a customer-centric approach,
we are confident in our ability to thrive in the dynamic metal industry.
14. AUDIT COMMITTEE
The Audit Committee of the Board of Directors of the company comprises Mrs. Lubdha
Porwal as Chairman, Mr. Sunderlal Bothra, and Mr. Aditya Sukharam Saran as members. The
Company Secretary acts as Secretary of the Committee. The Statutory Auditor, The Cost
Auditor, and the Chief Financial Officer are permanent invitees to the meeting. The
details of all related party transactions, if any, are placed before the Audit Committee.
During the Year there were no instances where the board has not accepted the
recommendation of the Audit Committee. The Audit Committee has also been responsible for
monitoring and reviewing risk management assessment and minimization procedures,
implementing and monitoring the risk management plan and identifying, reviewing, and
mitigating all elements of risks to which the Company may be exposed.
16. NOMINATION AND REMUNERATION COMMITTEE
A Nomination and Remuneration Committee was constituted which comprises Mr. Aditya
Sukharam Saran as chairman Mr. Sunderlal Bothra, and Mrs. Lubdha Porwal as members of the
Committees. The Company Secretary acts as the Secretary of the Committee. The Company has
delegated the responsibility for share transfer and other routine share maintenance work
to the Company Secretary and M/s Link Intime Bharat Pvt. Ltd., The Registrar and Share
Transfer Agent of the Company. All requests for dematerialization and rematerialization of
shares, transfer or transmission of shares and other share maintenance matters are
completed within 10 days of receipt of valid and complete documents. Minutes of the
committee meeting are circulated to all Directors and discussed at the Board Meeting.
17. VIGIL MECHANISM/WHISTLE BLOWER POLICY
In compliance with provisions of Section 177(9) of the Companies Act, 2013 and Clause
49 of the Listing Agreement, the Company has framed a Whistle Blower Policy/Vigil
Mechanism to report concerns about the Company's working or any violation of its policies
18. BOARD EVALUATION
Under the provisions of the Companies Act, 2013 and Clause 49 of the Listing Agreement,
In the preparation of the annual accounts for the financial year ended 31st March 2024,
the applicable accounting standards have been followed; Appropriate accounting policies
have been selected and applied 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 profit and loss of the company for the
period. Proper and sufficient care has been taken for the maintenance of adequate
accounting records following the provisions of the Companies Act, 2013 for safeguarding
the assets of the company and for preventing and detecting frauds and other
irregularities. The annual accounts have been prepared on a going-concern basis. Internal
financial controls laid down by the Directors have been followed by the company and such
internal financial controls are adequate and are operating effectively. A proper system to
ensure compliance with the provision of all applicable laws was in place and was adequate
and operating effectively. The board has carried out an annual performance evaluation of
its performance, the directors' individual as well as the evaluation of the working of its
Audit, Nomination, and Remuneration Committees.
19. RISK MANAGEMENT
Risk Management is the process of identification, assessment, and prioritization of
risks followed by coordinated efforts to minimize, monitor and mitigate/control the
probability and/or impact of unfortunate events or to maximize the realization of
opportunities. The Company has laid a comprehensive Risk Assessment and Minimization
Procedure, which is reviewed by the Audit Committee and approved by the Board from time to
time. These procedures are reviewed to ensure that executive management controls risks
through means of a properly defined framework.
20. EXTRACTS OF ANNUAL REPORT
The details forming part of the extracts of the Annual Return in Form MGT-9 as required
under section 92 of the Companies Act, 2013, is marked as Annexure "A" which is
annexed hereto and forms part of the Board Report.
21. DECLARATION BY INDEPENDENT DIRECTOR
Mr. Aditya Sukharam Saran and Mrs. Lubdha Porwal are Independent Directors on the Board
of the Company. The company has received declarations from all Independent Directors of
the company confirming that they meet the criteria of Independence as prescribed both
under the Companies Act, 2013 and Clause 49 of the Listing Agreement.
22. SECRETARIAL AUDITORS
Pursuant to the provisions of Section 204 of the Companies Act, 2013 and Companies
(Appointment and Remuneration of Managerial Personnel) Rules, 2014 the company has
appointed M/s Vinesh K Shah & Associates practising Company Secretaries to undertake
the Secretarial Audit of the Company. The Secretarial Audit Report for the financial year
ended 31st March 2024 is annexed herewith.
23. DIRECTOR'S RESPONSIBILITY STATEMENT
According to Section 134(3)(c) of the Companies Act, 2013, the Directors to the best of
their knowledge and belief confirm that :
In the preparation of the annual accounts for the financial year ended 31st
March 2024, the applicable accounting standards have been followed;
Appropriate accounting policies have been selected and applied consistently and
judgments and estimates that are reasonable and prudent 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 the period.
Proper and sufficient care has been taken for the maintenance of adequate
accounting records by the provisions of the Companies Act, 2013 for safeguarding the
assets of the company and for preventing and detecting frauds and other irregularities.
The annual accounts have been prepared on a going-concern basis.
Internal financial controls laid down by the Directors have been followed by the
company and such internal financial controls are adequate and are operating effectively.
A proper system to ensure compliance with the provision of all applicable laws
was in place and was adequate and operating effectively.
24. ACKNOWLEDGEMENT
Your Directors record their deep appreciation for the encouragement, assistance and
cooperation received from members, government authorities, banks and customers. They also
thank them for the trust reposed in the Management and wish to thank all employees for
their commitment and contributions.
For Bothra Metals & Alloys Ltd. |
sd/- |
Sunderlal Bothra |
Managing Director |
DIN:00737982 |
For Bothra Metals & Alloys Ltd. |
sd/- |
Kishanlal Bothra |
Director |
DIN:00738027 |
Place: Mumbai |
Date: 20th August 2024 |
|