VALSON INDUSTRIES LIMITED
ANNUAL REPORT 2003-2004
CHAIRMAN'S REPORT
CHAIRMAN SPEECH
Dear Members,
It gives me great pleasure to welcome you all to the 20TH Annual General
Meeting of Valson Industries Limited.
During the year 2003-2004, Your Company has achieved its targeted turnover
and overall performance has been satisfactory. At the backdrop of tough
market conditions, transport strike during the month of May 2003 and
anomaly in excise duty structure, your Directors are pleased to report that
the cash earnings per share has increased from Rs. 6.48 to Rs. 6.58.
Earnings per share (EPS - Diluted) has been maintained at Rs. 2.92 as
compared to previous year's Rs. 2.96 despite the critical business
environment for the entire industry.
The Board of Directors confidently feels that with suitable changes in the
excise structure and supportive demand from the domestic and export market,
the overall performance will improve. The recent Budget seems to have
accorded textiles the attention it deserves in view of its dominant role in
the Indian economy.
We are confident that your Company will be able to capitalise the
opportunities available and will ensure sustained growth in the years to
come. Your Company has endeavored to make its presence felt in the export
market and we are happy to inform you that in order to get the feel of
export market the Company has taken the first step by selling goods to a
merchant exporter. Your Management is very confident that the small step
will go a long way in raising the export to a substantial level.
Indian textile sector contributes significantly to the industrial output,
in the excise revenue to the Government, in the GDP growth, in employment
and in the foreign, exchange earnings. We believe that our efforts and
progress achieved through this efforts would make us a responsible
organisation in the textile world.
Your Company's efforts and actions have been towards increasing the
shareholders wealth. The Board of
Directors of the Company is pleased to recommend payment of dividend for
the 10" consecutive year. The Board recommended to maintain the dividend to
its equity shareholders at 25%.
On behalf of the Board and on my behalf I thank every shareholder and
customer of the Company for their co-operation and support. I also
appreciate the valuable services rendered by the staff at all levels.
Mr. Nanakchand D. Mutreja
Chairman