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Bharat Rasayan Ltd

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BSE Code : 590021 | NSE Symbol : BHARATRAS | ISIN : INE838B01013 | Industry : Agro Chemicals |


Chairman's Speech

FROM THE DESK OF CHAIRMAN

Dear Members,

I have great pleasure in extending you all a warm welcome to our 35th Annual General Meeting of Bharat Rasayan Limited. On behalf of the Board of Directors and my colleagues, I thank you all for your kind presence here today. The Meeting is called to order.

Let me begin by wishing all of you good health and safety.

Notice of the Annual General Meeting along with Explanatory Statement with the consent of the members taken as read. The Audited Financial Statements including Balance Sheet as at 31st March, 2024, Statement of Profit and Loss and Cash Flow Statement for the year ended on that date with the consent of the members taken as read. Corporate Governance Report, Board's and Auditor's Report for the year ended 31st March, 2024 with the consent of the members taken as read.

It's a pleasure to share with you the highlights of the progress being made by the Company since we met approximately twelve months back.

INDIAN AGROCHEMICAL INDUSTRY

In agrochemicals industry, geo-political disruptions over the last 2 years have led to inventory buildup and price disruptions. This started waning with supply chain normalcy but increase in production and oversupply from China led to downward pricing pressure. Adverse climatic conditions and uneven spatial distribution of rainfall further impacted domestic agrochemical demand. In FY 2023-24, the Indian Crop protection industry has faced several headwinds such as raw material prices drop caused by global market inventory overhang, El Nino impacted erratic rainfall and resultant low reservoir water levels. The market is highly competitive with multinationals having the advantage of proprietary molecules and domestic companies leveraging low-cost generics and accessing niche molecules through partnerships. New formulation technologies supported by advancement in adjuvants is increasing effectiveness and safe handling of Crop protection products. India being a leading producer as well as consumer of Agri produce, needs to sustain Agricultural productivity to ensure food security of the growing population.

BUSINESS PERFORMANCE

Coming to the performance of your Company, in the financial year FY 2023-24 your Company continues to perform well on a sustained basis. Amid the volatile circumstances, raw material fluctuations, commodity inflation and supply disruptions, your Company achieved revenue (turnover) of '1065.53 crores and earned a Profit before Tax (PBT) of '109.42 crores and Profit after Tax (PAT) of '81.61 crores. We have thrust on R&D for developing relevant products for key markets.

The Company foresees huge untapped growth potential for India's chemical industry and strives to bank on the growth opportunities by remaining committed to maximize its return on investment and create value for its esteemed stakeholders.

AGRO ECONOMY OVERVIEW

Indian agriculture is on a growth path, with an increase in investments and private funding in the past few years. In India, Agriculture accounts for a fifth of the gross value added and more than half the population engages in agricultural and related activities. The sector is expected to grow with better momentum in the next few years.

DIVIDEND

Considering the consistent profits being made by the Company, your Directors have recommended a dividend of '1.50 (i.e. 15%) per equity share for the financial year 2023-24.

HEALTH, SAFETY AND ENVIRONMENT

Your Company continues to conduct business with a strong commitment for environment preservation, sustainable development, safe workplaces and enrichment of the quality of life of its stakeholders and the community at large by maintaining the required ISO standards Certification.

CLOSING REMARKS

As we passionately strive for a better future, we continue to set new paradigms every single day. In an unpredictable and challenging environment, agility and innovation are key to staying consistently successful. I would like to place on record my sincere appreciation to the Board of Directors. I would also like to express my gratitude to all our stakeholders for their unwavering faith, support and guidance.

Further with the consent of the members I hereby appoint M/s A.Anand & Co., Practicing Company Secretaries as the Scrutinizer for the Poll to be convened and hereby handover the mike to the Company Secretary to inform the members present about the business placed before the Meeting as per the Notice of AGM.

Thanking you all.

SAT NARAIN GUPTA

Chairman & Managing Director.