Dear Shareholders,
"Dharma is that which upholds and supports the world." - Mahabharata
As an organisation pivoted on values that motivate us to aspire for success beyond
profitability, we seek satisfaction in acts which truly make a difference. Along with a
thrust on running a financially sound business, we are ardently focused on upholding our
responsibility towards people, planet and the society as a whole.
We realise, sustainability is a core issue for the steel industry. Therefore, we have
adopted a strong Environment, Social and Governance (ESG) framework to consciously engage
in efforts that provide us the opportunity to create a systematic approach for ensuring
tangible outcomes. With an emphasis on developing a culture of customer obsession,
innovation and agility, we are aiming to build a future-ready organisation, attuned for
sustainable growth in the long run.
As I look back on our performance over the past year, it gives me immense confidence in
our ability to explore promising prospects in India's booming infrastructure space.
The India growth story
In recent years, India has emerged as a force to be reckoned with globally owing to its
remarkable economic growth. Led by the government's persistent emphasis on infrastructure
development, growth of the manufacturing sector, strong macroeconomic fundamentals and the
country's favourable positioning as an investment destination, the nation has been
witnessing to relentless bouts of growth and development.
On the back of these developments, we foresee the tremendous opportunities lying ahead
of us. With per capita steel consumption in India is still substantially lower than the
global average, there exists ample headroom for growth in this sector. At Shyam Metalics,
we are now geared to capitalise on the potential of this sector to sharpenour growth
trajectory. Leveraging our manufacturing and operational prowess, integrated business
model, strong financial acumen and avisionary leadership at the helm, we are poised to
ridethe India growth story.
A glimpse into our operating environment
We operatein an industry that is known for its cyclical nature. With rampant volatility
in demand and fluctuating steel price affecting numerous industry players, we aspired to
break free from the shackles of a cyclical industry and build a business that would be
profitable despite bouts of uncertainty. It has enabled us to respond to change, ramp up
our production capacity and manage costs efficiently.This proactive approach enabled us to
remain protected against the rigours of strenuous market cycles.
Moreover, our emphasis on improving product quality and the deployment of advanced
technology has optimised manufacturing processes, bolstered our innovative capacity and
helped usto rapidly adapt to evolving industry requirements and customer demands.This past
year, we have also expanded our footprint by entering new domestic and international
markets and strengthened our distribution network.
During the reporting year, the steel industry witnessed notable shifts, driven by an
increased demand for eco-friendly products, rising adoption of renewable energy and a
focus on operational efficiency. In response, we continued to undertake well-thought- out
initiatives toramp up ourproduction capacity, especiallyfor finished steel and captive
power generation. Besides, we have scaled our renewable energy capabilities and forayed
into new market segments through the introduction of colour-coated sheets and aluminium
foil products. It has not only diversified our portfolio but enabled us to retain a
competitive edge.
Acquisition of Ramsarup Industries Ltd. and investments in new facilities have also
enhanced our regional presence and operational efficiency. This move is alsoaligned with
our commitment to bolster socioeconomic development in the adjoining area - in line with
our vision to ensure sustainable growth and profitability.
Emphasis on building a sustainable business
As a responsible corporate citizen, we have adopted the triple bottom line approach to
implement innovative solutions for reducing our environmental footprint and improve our
sustainability efforts. By embracing clean energy and robust waste management practices,
we are fulfilling our duty towards the environment and contributing positively to social
well-being.
We realise the immense responsibility towards society and aspire to make a positive
contribution towards people through our CSR initiatives. For us, sustainable community
development lays the foundation for holistic and harmonious growth. We, therefore, engage
in healthcare and educational initiatives to serve underprivileged communities. We take
immense pride in sincerely serving Gaumata in one of the largest Indian breed Gaushala in
the country wherein around 60000 cows being truly nurtured as mothers by impeccably taking
care of the nutritional, health and other requirements of Gaumata. Besides, we have
renovated an Anganwadi Centre andIntegrated Child Development Service (ICDS) Centre to
create provision for early childhood development.
Strict adherence to a sound corporate governance framework has earned us the leverage
to run an ethical and value-accretive business. With an emphasis on transparent
communication, integrity and accountability, we are strengthening our foundation for
continuous growth. These efforts are also integral to fostering a conducive working
environment for our people. We believe in offering equal opportunities and creating an
inclusive and diverse work environment where every individual is valued and provided ample
room for professional development. It is these core cultural tenets that create a
differentiated identity for Shyam Metalics, empowering us to live up to our values of
integrity, ownership, collaboration and commitment.
What lies ahead of us
Our journey ahead will continue to be marked by an integrated 'ore-to-metal' approach,
with a thrust on consistent innovation, enhanced operational efficiencies and an
unyielding commitment to quality—underlying our objective of driving value creation
in the steel sector.
To accelerate our growth momentum, we will continue to upgrade our facilities, boost
productivity, streamline logistics facilities and bolster relationships with suppliers. We
are doubling down on the breadth of our product mix and improving our manufacturing
infrastructure to shape our way forward.
As we build on our core competencies, we not only aim to develop capacities for
enduring market down turns but also seek to embrace opportunities for meeting evolving
demand. We are confident that this approach will generate immense value for all our
stakeholders.
In closing, I would like to thank our Board of Directors, team members, partners and
investors for being a part of our journey so far. I look forward to your cooperation and
support as we take the leap forward to fulfil our 'dharma' and build the premises for a
sustainable business.
Best regards,
Mahabir Prasad Agarwal
Chairman