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companylogoGoodricke Group Ltd

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BSE Code : 500166 | NSE Symbol : GOODRICKE | ISIN : INE300A01016 | Industry : Tea |


Chairman's Speech

GOODRICKE GROUP LIMITED

It gives me great pleasure to present the Goodricke Group Limited Annual Report for 2024-25. It has again been a very challenging year for the Company and the whole tea industry in general, but against this backdrop the turnaround in the performance of the Company against the results of 2023-24, is quite remarkable. This is testament to the leadership of our Interim Managing Director and CEO, Mr Arun Singh, who so very ably supported by an excellent and enthusiastic senior leadership team, has laid strong foundations for the future success of this wonderful company.

Constantly changing conditions, be they climatic or commercial, regulatory or demographic, continue to test the fortitude and resilience of our team, but on my visits it is so pleasing to see their innovative and collaborative adaptations to these evolving challenges; one example of this is the continued and growing development and use of bio-formulations as part of an integrated pest management strategy on the tea gardens. This is not just as a result of the more stringent regulatory environment in which we operate, but also a real concern for the quality of our product as well as the desire to preserve the long term health of the land, the local environment and water supply. Reliance on predictable and evenly distributed rainfall has been lost to history, but in response your Company has been expanding its existing water bodies as well as creating new ones to build more sustainable sources for irrigation. Such schemes have the added benefit of improving the micro-climate and supporting wildlife.

The decision to divest of any of the Company's assets, and especially a tea garden, is always going to be an extremely difficult one, particularly when one considers the lives that will be affected. However, this will only be done where we cannot foresee a positive future for Goodricke as owner, and in the knowledge that the proceeds of sale of such gardens will have a positive effect on profitability, reduce borrowings and interest costs, and allow us to reinvest in our business and in our people.

As to the future - as was announced to the Bombay Stock Exchange on 30th April 2025, Mr Shaibal Dutt will succeed Mr Singh effective 6th September 2025.MrDutthasbeenemployedbytheCompanyforalmost31years,having spent 16 years on the tea gardens, 8 years in the branded tea division before returning to the bulk tea operations as a Visiting Agent. The appointment followed a comprehensive internal and external selection process which highlighted the talent and commitment existing within our ranks, and during which Mr Dutt communicated a real desire and passion to see Goodricke succeed, for the benefit of all its stakeholders. The Company has some truly wonderful tea estates and gardens and the one thing that we have in abundance is land, and with support from Government we can utilise areas not suitable for tea by diversifying into other crops and activities. I have seen for myself the various test and learn projects being undertaken, which includes alternative crops of garlic, turmeric, ginger and mushrooms as well as dairy the ultimate objective being to scale up the most successful projects to commercial production. We have also been exploring the opportunities that exist in hospitality, using our world-class tea gardens and estates as a base to offer guests a truly exclusive and memorable experience. This will be done in a phased way, and we look forward to sharing this with you as our plans develop.

I will leave my last comment to the importance that we place on the wellbeing of all our employees, regardless of the role that they have in the organisation. The opportunity to meet colleagues in all areas of our business is so very important and I continue to learn a great deal from these conversations, most recently with a Mothers Club on one of our gardens in Assam, which was particularly impactful and has informed my thinking since.

I remain confident in our path forward and am grateful to our employees, customers, and shareholders for their ongoing trust and support.

Stephen Charles Buckland

Non-Executive Chairman

   

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