| The Members,
G. G. AUTOMOTIVE GEARS LIMITED
The Directors have great pleasure in presenting their 40th Annual
Report along with the Audited Balance Sheet and Profit and Loss Account
for the year ended 31st March 2014.
FINANCIAL RESULTS
The financial Results are briefly indicated below:
Particulars 2013-2014 2012-2013
(Rs.) (Rs.)
Gross Sales and Other Income 25,96,96,960 30,21,55,703
Gross Profit 2,93,86,978 4,53,09,478
Less: Depreciation 2,00,97,518 1,96,99,380
and amortization expenses
Less: Extra-ordinary and exceptional
items 5,000 8,97,555
Less: Provision for Taxation 31,70,573 57,38,084
Profit after Tax 61,13,887 1,89,74,459
Appropriations
General Reserves - -
Profit and Loss Account - -
Balance brought forward from
previous year 4,25,44,882 2,35,70,423
Balance carried forward to Balance Sheet 4,86,58,769 4,25,44,882
FINANCIAL OPERATIONS
During the year your Company has reported a total turnover of
Rs.25,96,96,960/- (Rupees Twenty Five Crores Ninety Six Lakhs Ninety
Six Thousand Nine Hundred and Sixty Only). However the total
expenditure incurred by the Company during the year under review
amounted to Rs.25,04,07,500/- (Rupees Twenty Five Crores Four Lakhs
Seven Thousand Five Hundred Only).
During the year, due to sluggish and adverse market trend your Company
has reported a reduced amount of net profit of Rs. 61,13,887/- (Rupees
Sixty One Lakhs Thirteen Thousand Eight Hundred and Eighty Seven Only)
as compared to net profit of Rs. 1,89,74,459/- (Rupees One Crore Eighty
Nine Lakhs Seventy Four Thousand Four Hundred and Fifty Nine) in
previous year.
DIVIDEND
Your Directors do not recommend dividend for the year 31st March, 2014
with a view to conserve the resource.
DEPOSITS
The Company has not accepted any deposits from public within the
meaning of section 58A and 58AA of the Companies Act, 1956 and the
rules made there under during the year under review.
DIRECTORS
During the year Mr. Kennedy Gajra, Director, retiring by rotation as
per the provisions of Articles of Association of the Company at the
ensuing Annual General Meeting and being eligible, offer himself for
re-appointment.
SUBSIDIARIES
Since the Company has no subsidiaries, provision of section 212 of the
Companies Act, 1956 do not apply to the Company.
DIRECTOR'S RESPONSIBILITY STATEMENT
As required under section 217 (2AA) of the Companies Act, 1956 the
Board of Directors hereby confirms:
I. That in the preparation of the Annual Accounts, the applicable
accounting standards have been followed along with proper explanation
relating to material departures;
II. That the Directors have 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 of the Company for that period;
III. That the Directors have taken proper and sufficient care for the
maintenances of adequate accounting records in accordance with the
provision of this Act for safeguarding the assets of the Company and
for preventing and detecting fraud and other irregularities;
IV. That the Directors have prepared the Annual accounts on a going
concern basis.
CORPORATE GOVERNANCE
The Board is pleased to inform that the Company has complied with the
mandatory requirements of the Corporate Governance as detailed in
Clause 49 of the Listing Agreement.
A separate statement on Management Discussion and Analysis and
Corporate Governance is enclosed as a part of the Annual Report along
with the certificate of the Statutory Auditors, Shah Gandhi & Company,
Chartered Accountants confirming compliance of the code of Corporate
Governance.
AUDITORS
M/s. Shah Gandhi & Co., Chartered Accountants, the Auditors of the
Company, retires at the conclusion of the forthcoming Annual General
Meeting and are eligible for re-appointment. You are requested to
appoint Auditors for the current financial year and to fix their
remuneration.
AUDITORS' REPORT
The notes to Auditors Report are self explanatory and hence no
explanation is required from the Board as such.
COST AUDITORS.
In accordance with the order received from the Central Government, the
Company has appointed M/s Mihir Turakhia & Associates, Cost
Accountants, as Cost Auditors for the financial year ending March 31,
2014.
SECRETARIAL AUDIT.
In pursuance of section 204 of the Companies Act, 2013, the Company has
appointed M/s. HS Associates, Company Secretaries for auditing the
secretarial and related records of the Company.
CONSERVATION OF ENERGY, TECHNOLOGICAL ABSORPTION & FOREIGN EXCHANGE
Statement giving the particulars relating to conservation of energy,
technology absorption & foreign exchange earnings & outgo, as required
under the Companies (Disclosure of Particulars in the Report of Board
of Directors) Rule, 1988 is attached as Annexure A.
PARTICULARS OF EMPLOYEES
There are no employees in the Company, who if employed throughout the
financial year, were in receipt of remuneration, whose particulars if
so employed, are required to be included in the report of the Directors
in accordance with the provisions of section 217(2A) of the Companies
Act, 1956 read with the Companies (Particulars of Employees) Amendment
Rules 2011.
ACKNOWLEDGEMENTS
Your Directors take this opportunity to express their gratitude for the
assistance and continued co-operation extended by Banks, Government
authorities, clients, and suppliers. The Directors are pleased to
record their sincere appreciation for the devotion and sense of
commitment shown by the employees at all levels and acknowledges their
contribution towards sustained progress and performance of your
Company.
By Order of the Board
For, G.G. AUTOMOTIVE GEARS LIMITED,
Ram S Gajra (02092248)
Chairman and Managing Director Place: Mumbai.
Date: 25th July, 2014.
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