MANAGEMENT DISCUSSION & ANALYSIS

A. Industry Structure and Development:

As you are aware, your Company has been engaged in the manufacture of Extrusion Machinery (for Pipe and Blown Film Extrusion) and Injection Moulding Machinery. In-spite of renewed optimism and rising expectations with the new government coming to power, the growth in capital goods industry has not been really significant.

This has to be viewed realistically, as it takes time for the impact of the changes, policies and decisions to reach the business entity levels. Quite a good number of initiatives have been taken and various policies focused on industrial growth have been announced. The "Make in India" slogan is going to decide the future of manufacturing industries in our country.

With these positive sentiments, your company looks optimistically to a better future in the coming year(s). Looking at fundamentals of plastic consumption in our country (about 8 kg per person compared to global average of around 32 kg / person), there is a huge scope for growth of plastic processing machinery manufacturers.

Notwithstanding the above constraints, your Company put in efforts and continued its journey of extending the customer base, entering new markets, enhancing the product range and successfully participated in Plastindia - 2015 exhibition held in February'15 at Gandhinagar (Ahmedabad), wherein it launched a battery of new products. In Injection Molding business, the "First Two-Platen machines in smaller tonnage" (550 Tons and 350 Tons), the first "All Electric Machine"and in Extrusion the "First Hybrid Flat Drip Irrigation line"(in collaboration with THE Machines of Switzerland) were launched. Also during the show, the "First Seven Layer Blown Film Line"was successfully launched. The new series of extruders launched at the Plastindia exhibition (without Gear boxes) has become the new rage.

Our Speed series of Extruders continues to be the game changer and have been successful and well received by the market. Our focus on providing Value Added solutions to our customers continues with renewed vigor and enthusiasm. The company has initiated various activities to address the entire "Life Cycle management" of its products including "Retrofitting", "Reconditioning" and other support activities.

B. Opportunities and threats:

Your Company diligently continues its analysis, identifies various opportunities and is exploring to tap potential business by collaborating with reliable partners worldwide. The Automobile and Agriculture sectors would still continue to provide opportunities and we are working closely with our collaborators to tap the same. Having successfully proven few of the new products that were launched recently, we are now exploring options of selling them in the developed and developing nations supported by our partners. Your company has already planned to showcase the first small tonnage Two-Platen machine (350 tons) developed indigenously by Windsor at the "Plast 2015" exhibition in Milano, Italy.

Threats from import of low cost machinery are continuing. To combat this, your company is rigorously working on re-engineering, cost reduction, product and process improvements. This is a continuous activity and needs to be sustained with full vigor.

C. Product wise Performance:

D. Outlook:

Considering the opportunities, threats and strengths of your Company, management expects to increase the market share through new product launches, expanding its geographical coverage in more and more region(s). The management is of the view that future prospects and growth of your Company will depend on the overall economic scenario. However, all necessary activities have been initiated which would give us the lead in future.

F. Risks and Concerns:

Political instability in the country is a major concern for your Company. The Global Economic recession, Technology obsolescence & growing competition especially from Far East countries, anti-plastic campaign and Government Regulations are major risks for the Company which may adversely affect its business as well as margins in future.

G. Internal Control Systems and their Adequacy:

The Company has adequate systems of Internal Controls commensurate with its size and operations to ensure orderly and efficient conduct of business. These controls ensure safeguarding of assets, reduction and detection of fraud and error, adequacy and completeness of the accounting records and timely brparation of reliable financial information. The Company has appointed an external firm of Chartered Accountants to supplement efficient Internal  Audit.

H. Financial Performance with respect to Operational Performance:

i. The Sales and other income of the company for the year ended March 31, 2015 were Rs. 235.75 Croresas compared to Rs. 244.43 Crores in the brvious year.

ii. The Company on a continuous basis sets up policies to exercise cost control and cost reduction programme.

iii. The company has achieved profit after tax Rs.789.32 Lac.

I. Development in Human Resources/ Industrial Relations front, including number of people:

Manufacturing activities in Thane factory continue to remain closed. The manufacturing activities at the Vatva and Chhatral factories have been in operation for the entire year. Human resources and industrial relations have been conducive and cordial for the entire period at the Vatva and Chhatral Factories. At the end of the year employee strength of the company is 526 employees (brvious year 537 employees).