It is my privilege to welcome you all, on behalf of the Board of Directors and the Management Team of Control Print Limited, to the 28th Annual General Meeting of the Company.
The Company’s Annual Report and Audited Accounts for the year ended March 31, 2019, have been with you for some time now and with your kind permission, shall them as read.
I would like to begin by brief outline of the macroeconomic environment which prevailed in 2018-19 as it provides the proper contextual perspective for determining your Company’s performance during the year. Thereafter, I would like to present before you the highlights of your Company’s performance and the way forward for your Company.
India is projected to grow at 7.3% in 2019 and 7.5% in 2020, supported by the continued recovery of investment and robust consumption, thus remaining the fastest growing major economy of the world, according to the International Monetary Fund (IMF). Policy measures by the government to improve the investment climate and boost private consumption and investment will help India to loft economic growth in the next two fiscal years.
As you must be aware that the Government of India, under the “Make in India” initiative, has provided an environment to give a boost to the manufacturing sector and aims to take it up to 25% of the GDP from the current 17%. It also aims to increase the purchasing power of the average Indian consumer, which would further boost demand, and stimulate development, in addition to benefitting investors.
In the year gone by your Company’s all the product divisions are in growth trajectory (including the flagship CIJ division) apart from LCP division but we are confident this will turn around in the current year. Cement sector has bottomed out for the Coding & Marking industry and now there is potential of better pricing and growth.
Our new product launches of Thermal Inkjet Printer, High Resolution Printer and Thermal Transfer Over Printer received good response from the market and exponential growth expected in the coming years. We have realigned our sales team to have different verticals focussing on specific industries which will give these new products the desired impetus. We have also assigned separate managers to focus on the OEM sales and Key Customer Accounts and this is showing good result
The total income of the Company for the year ended March 31, 2019 is Rs. 17,543 Lakhs which is marginally higher by about 1.00% over that for the previous year which was Rs. 17,437 lakhs. The Total Comprehensive income stood at Rs. 3008 Lakhs in the current year against Rs. 3,170 Lakhs in the previous year, registering a decline of 5.12%.
The Board of Directors has recommended a final dividend of Rs. 3.50 per share for the year under review. In addition to the final dividend, the Company had declared and paid interim dividend of Rs. 3.00 per share, i.e. total dividend would be Rs. 6.50 per share for the year.
Your Company is committed to growing and enhancing its leadership in its business, thereby contributing to its underlined objective of maximizing of shareholders value on a long-term basis.
It has been a challenging year both in terms of revenue growth and profitability. Though it has been a flat year in terms of Revenue being the same as the previous FY, we have continued to implement our strategy and improve on it wherever necessary. The main reason for no growth in Revenue is weak industrial production in some of the industries where we have a strong presence and the decline in the Revenue of the Cement division. Though we have had a Year on Year volume growth for the consumables sales in the CIJ division (which we expected to be higher), there has been a decline in the consumables volume for the LCP division. The positive for the year and the silver lining is that the printer sales have been good with a marginal Year on Year volume growth. This will give us higher consumables sales expected in the coming years with improvement of industrial production.
We have the confidence to rise to the many challenges and to retain our market leadership position over the country and improve our competitiveness. We are committed to enhance the scale, competitiveness, efficiency and productivity of our business, benchmarked to global, world-class standards. We believe these commitments and beliefs will contribute to the successful accomplishments of all our future growth endeavours.
Before, I take up the listed items in the agenda for approval, on behalf of the Board of Directors, I would like to take this opportunity to thank you for your support that has enabled your Company to grow thus far. I would also like to thank all your Company’s loyal customers who gave us staunch backing and helped it to gain the statue it has. I express my gratitude to the Government of India, Reserve Bank of India (RBI), Securities Exchange Board of India (SEBI) and all other Statutory and Regulatory Authorities for their continued timely support and valuable guidance. The co-operation and support rendered by various State Government’s and other banking and financial institutions is also gratefully acknowledged. I would like to also express my sincere thanks to the Board of Directors of the Company who have dedicated themselves to improving the Company. Last but not the least, I would like to thank the workforce of your Company across levels, who have been dedicatedly working for better tomorrow. This enables all of us to look ahead with confidence that your Company will overcome the current challenges to emerge a leading player in the Coding and Marketing Business. With your continued support and best wishes, I am confident that we will achieve the pinnacles of success.
Yet again, I thank you for staying invested in Control Print Limited and taking time to participate in our meeting today. Your continued trust, encouragement and support are what gives us energy, enthusiasm, confidence and motivation to strive for better. I trust that I will see you next year to be able to share with you the progress that your Company will make in the ongoing financial year.
Thank you once again for your time and your continued patronage.