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Surya Roshni Ltd

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BSE Code : 500336 | NSE Symbol : SURYAROSNI | ISIN : INE335A01020 | Industry : Steel |


Chairman's Speech

CHAIRMAN'S MESSAGE

Enduring Legacy. Creating Value.

Dear Shareholders,

As we stand on the threshold of our golden jubilee, I reflect with immense pride and gratitude on our company's remarkable journey. This annual report, titled '50 Years of Value Creation,' encapsulates our enduring legacy and the spirit of innovation that has guided us from our humble beginnings in 1973 to our current status as a global player in the lighting and steel industry.

Over these five decades, we have built a legacy rooted in resilience and adaptability. Starting with a modest manufacturing unit and a vision to provide high-quality products, we have strategically expanded and diversified, entering new markets and segments.

Our transition to energy-efficient LED technology in the early 2010s allowed us to contribute to environmental sustainability while meeting the growing demand for greener solutions.

Our progress is attributed to the unwavering dedication of our employees, the trust of our customers, and the support of our stakeholders. As we honour our rich history, we remain focused on driving innovation and excellence, ensuring that the next 50 years are even more transformative and impactful. Together, we look forward to continuing this journey and building a legacy of growth, sustainability, and success.

From the outset, our journey has been defined by perseverance, empathy, and integrity. Starting with a single spark of ambition, we have expanded our footprint to over 50 countries, harnessed cutting edge technology to enhance lives, and achieved a turnover of Rs.7,809 crore in 2023-24. During this year, we successfully reduced debt by Rs.400 crore in 2023-24, attaining a zero-debt status. This significant achievement highlights our robust financial management and commitment to long-term sustainability. Additionally, our Lighting and Consumer Durables business reported excellent profit growth in 2023-24, reflecting our strategic investments in technology and innovation.

Driving Growth in a Resilient Landscape

As we reflect on the past year, it is essential to acknowledge the global challenges that have shaped the economic landscape. The ripple effects of supply chain disruptions, the ongoing Russia-Ukraine conflict, and surges in inflation have tested the resilience of businesses worldwide. Despite these hurdles, the global economy has shown remarkable tenacity, maintaining steady growth.

Amid these global economic uncertainties, the Indian economy is currently experiencing robust growth, demonstrating resilience and strength. With a growth rate of 8.2% in 2023-24, this marks the third consecutive year of over 7% growth, highlighting the economy's strong performance. Increased public sector investment, a resilient financial sector, and substantial consumer demand drive this impressive growth.

Initiatives such as the Skill India Mission, Start-Up India, and Stand-Up India have been pivotal in fostering greater women's participation in the workforce, further propelling the economy's growth trajectory. These programmes have not only enhanced skill development and entrepreneurship but also contributed to a more inclusive and dynamic economic landscape.

As India continues to strengthen its economic foundations and expand its global footprint, the nation's future looks promising, marked by sustained growth, innovation, and increased global prominence.

Catering to the Aspiring Indian Consumer

India's middle class is the engine driving economic expansion and consumer demand. With increasing incomes, enhanced living standards, and a growing preference for quality, this demographic presents immense opportunities for growth. Surya Roshni is perfectly positioned to cater to the evolving needs of this dynamic segment, offering an array of innovative products that align with their aspirations.

The Indian government's robust focus on infrastructure development has set the stage for unprecedented growth. From the creation of smart cities to the expansion of highways and urban renewal projects, the demand for essential materials and cutting-edge solutions is surging. Our steel and professional lighting solutions are not only fulfilling domestic demand but are also making a significant impact on the global stage. Surya Roshni is at the forefront of this transformation, contributing significantly through our high-quality steel and professional lighting solutions.

Surya Roshni's reach extends far beyond India's borders, with 30% of our revenue generated from exports. This international footprint is a testament to the global trust in our products and the efficacy of our export strategy.

Our success in international markets is a reflection of our dedication to quality, innovation, and sustainability.

Our consumer-facing business is at the heart of embracing the aspirations of the modern Indian consumer. With an extensive range of high-quality products including consumer lighting, fans, and home appliances like food preparation and cooking devices, garment care, heating appliances, and climate control solutions, we are committed to enhancing everyday lives. Our PVC pipes and fittings further reflect our dedication to innovation and reliability, ensuring we meet the evolving needs of this dynamic demographic. As we move forward, our focus remains steadfast on contributing to India's infrastructure boom, enhancing the quality of life for millions, and creating sustainable value for all our stakeholders.

Powering India's Infrastructure Growth

The Indian steel tubes and pipes market is poised for substantial growth, driven by robust demand across key sectors like oil & gas, water transportation, and construction.

At Surya Roshni Limited, we are strategically positioned in the steel tubes and pipes market to capitalise on opportunities. Our extensive portfolio of high-quality steel pipes and tubes caters to the evolving needs of India's infrastructure modernisation efforts. We play a critical role in supporting sustainable water management initiatives through our GI pipes, aligning with national programmes like the Jal Jeevan Mission and Atal Bhujal Yojana. In the oil & gas sector, our specialised products, including API and 3LPE coated pipes, meet vital transportation requirements, complementing India's push towards energy security and net-zero emissions.

Moreover, our professional lighting solutions are pivotal in shaping India's infrastructure growth, bringing functionality to every project. From illuminating bustling roadways and industrial spaces to enhancing the beauty of landscapes and facades, our lights not only ensure safety and efficiency but also elevate the aesthetic appeal of infrastructure.

Additionally, our commitment to quality and reliability positions us favourably amidst the market's shift towards organised players, enhancing our competitiveness and market leadership. Our proactive approach to adopting advanced technologies and sustainable practices ensures that we remain at the forefront of industry advancements, ready to meet the increasing demands and contribute to India's growth story.

Embracing Environmental Stewardship

We are committed to reducing our carbon footprint and minimising waste generation across our manufacturing facilities. By transitioning key processes to natural gas and implementing energy efficient technologies such as gas-based generators, solar panels and VFD installations, we are pioneering green practices in our industry and thus strengthening ESG norms. Our rigorous waste management protocols and sustainable packaging initiatives further exemplify our commitment to environmental sustainability.

At every level of our operations, from management to plant activities, our teams are dedicated to implementing environmental best practices. Guided by our environmental experts, we continuously monitor and improve our energy, water, waste management, and air pollution control measures. This collaborative approach ensures that sustainability remains ingrained in our operational DNA.

Advancing through Innovation and Commitment

Looking ahead, our outlook remains robust and forward thinking. In the steel tubes and pipes market, we are poised to capitalise on growing demand across key sectors such as oil & gas, water transportation, infrastructure and exports. Our commitment to quality, innovation, and environmental stewardship positions us as a leader in meeting India's evolving infrastructure needs. With strategic expansions and enhanced capabilities, we are confident in our ability to deliver sustainable value to our stakeholders.

Nurturing Talent

We foster a workplace culture that nurtures diversity, respects individual rights, and promotes equal opportunities for all. By investing in training and development, we empower our employees to achieve personal and professional growth, thereby strengthening our collective capabilities.

The well-being and safety of our workforce are paramount. Through comprehensive safety measures and regular audits, we ensure a secure working environment where our employees thrive. High levels of engagement and motivation drive our workforce initiatives, fostering an environment where innovation and excellence flourish.

Spreading Community Impact

Beyond our operational footprint, we are dedicated to positively impacting the communities we serve through our CSR arm, the Surya Foundation. Our initiatives in health, education, and skill development are tailored to meet evolving community needs, guided by ongoing engagement with diverse stakeholders. Projects such as personality development camps, tree plantation drives, and Swachhata Abhiyaan (cleanliness campaigns) are integral to our mission of fostering a brighter future for all.

Our efforts also include practical training and support through Silai Kendras (sewing centres), beekeeping and dairy farming workshops, and sports tournaments. These activities address immediate needs while promoting sustainable development and community well-being. By investing in these diverse initiatives, we aim to make a meaningful difference and contribute to a thriving, inclusive society for future generations.

Note of Gratitude

On behalf of the entire Board members, I would like to express my heartfelt gratitude to all our valued stakeholders. Your partnership, insights, and strong support have been crucial to our success. Together, we have achieved significant milestones and overcome challenges with resilience and determination. We sincerely appreciate your trust and remain committed to upholding the highest standards of integrity, transparency, and sustainability.

As we enter the next phase of our journey, we eagerly anticipate continuing our collaboration and creating shared value for years to come.

Best Wishes,

Jai Prakash Agarwal

Chairman.