Asi Industries Ltd

Dear Shareholders,

The global macroeconomic and financial landscape is undergoing unrivalled instability, with the advent of Novel Coronavirus as the biggest threat to economic growth since the financial crisis of 2008. While being excluded from lockdown, the mining & quarrying sector experienced some pressure in production.

It has been a challenging year for ASI Industries Limited due to economic and operational headwinds. Regular market activities were interrupted due to steps taken to mitigate the effects of a pandemic. The plant and office were shut down post lockdown announcement. After the lockdown was lifted most of the operations have resumed to earlier levels.

Your Company managed to overcome external challenges and deliver satisfactory performance in Fiscal 2020. During this fiscal year, consolidated revenue was impacted by countrywide lockdown due to Covid-19. However, EBITDA margin showed significant improvement and increased to 22% which is almost a 186-bps improvement over the last fiscal year. Revenue from stone stood at Rs 16,267 lakhs, while wind power generated Rs 84 lakhs in fiscal year 2020. Trading business reported revenues worth Rs 4,401 lakhs as against Rs 4,285 lakhs during last year. Consolidated profit for this fiscal year increased by 40% to Rs 3,140 lakhs as against previous year's profit of Rs 2,246 lakhs. Net Profit increased due to the share of profit from associate Company Stone Masters (India) Private Limited.

We are extremely glad to inform you that we have successfully completed engineered Stone project at Jaipur and waiting for improvement in the global situation to start accepting orders. This project at Mahindra World City, Jaipur, Rajasthan has a capacity of 6.50 million sq. ft. on approximately 7 acres of land. There are around only 50 units globally, that use this patented technology from Bretonstone, Italy and the ASI unit is the third of its kind in India. The most popular application is indoor flooring and walls while the quartz-based product is primarily used as an alternative to laminate or granite in the kitchen countertops. It is also suitable for heavy commercial traffic flooring. It is the fastest growing market segment in the surface industry. We believe that this new asset will take the Company to the next level of growth.

To summarize, 2019-2020 has been a challenging year to your Company. Despite growing uncertainties underlying the global economy, the Company was able to deliver and succeed in all capacities.

As I Close, I would like to take this opportunity to thank all our employees, investors, customers, banks, vendors, and all other stakeholders for their constant support.

I look forward to your continued support and best wishes.

ASI Industries Ltd is one of the leading stone mining Company in the world and the only listed player in its field in India. Ever since its' establishment in the pre-independence era in 1945, we have been successfully providing our customers with high quality Kota stone products. Our stone mining quarry, largest in the world, is spread across 10 square kms at Ramganjmandi, Rajasthan; the home of impeccable and finest quality Kota stone. Over 12 million square meters of immaculate Kota stone are produced every year in our quarries. Al Rawasi Rocks and Aggregates L.L.C operates as a subsidiary of ASI Industries Ltd. The Company has been a pioneer in the production and manufacturing of diversified range of superior quality limestone.

The Company is diversifying its business by investing into the Engineered Stone business using patented Italian technology. There are only around 50 units globally, that use this patented technology from Bretonstone, Italy and the ASI unit is the third of its kind to set up in India.

Through our ground breaking innovations such as the uniting cutting-edge technology progression and the state-of-art diamond tool units, we have frequently gained ground within the stone mining industry for over seven decades now and counting. With the adoption of advanced mining techniques, ASI has helped revolutionize the Indian stone industry and has set a benchmark which is unparalleled by anyone in the industry. Powered with the latest as well the best technologies and a dedicated, hardworking and skilled work force, we focus on delivering to our customers the finest and refined products which are at par with the global standards. With a relentless commitment towards quality and fineness, we strive to keep up with the changing technological trends and adapt accordingly. Through years of persistence and unwavering dedication, ASI has paved the way for building a global standard for the stone mining industry and will continue to march ahead with the same focus and avidity.

Financial Snapshot on Consolidated Basis

(Rs In Lacs)