Dear Shareholders,
We are pleased to present the 24th Annual Report of Dhanuka Commercial Limited, the
"Company" on the activity and business update we will overcome the challenges
& emerge triumphant once again in the very near future. I thank you for your esteemed
presence, continued trust and unwavering support extended to the Company all these years.
Before coming to the Company performance I would like to dwell on the developments in
the Indian economy and the finance sector during the financial year 2017-18.
Investment slowdowns have a pronounced effect on GDP, while the relationship between
saving rate trends and GDP was unclear. The Survey, thus, argued for "urgent
prioritisation of investment revival to arrest more lasting growth impacts". The
Survey acknowledged the government's response to this slowdown in the form of an increase
in public investment since 2015-16 and policies targeted to resolve the twin balance-sheet
(TBS) challenge.
In order to attain the resolvement of TBS challenge, Ministry of Corporate Affairs
exercise of Weeding Out Shell Companies was driven which is the challenging step taken by
the Government with a view that it would not only help in checking the menace of black
money but would also promote ease of doing business & enhancing investors' confidence
in the country. It has been decided that in case the Director or authorized signatory of
any "struck off" Company tries to unauthorizedly siphon-off money from its bank
account, he/she may attract severe recursions from the authorities.
Later on the similar drive was taken up by Financial Investigation Unit - INDIA and
Reserve Bank of India wherein the NBFC's were challenged. They have come up with the list
of 9500 NBFC who are not in the compliance with the prudential norms of Prevention of
Money Laundering Act / Alternate Money Laundering policies. You all would be glad to know
that your Company is well compliant of all these prudential norms and moreover the
trainings were also departed to the employees of the Company in order to spread awareness
on the Prevention of Money Laundering policies.
Also the NBFCs catering, especially to corporate sector and investing in the capital
market were badly affected due to increase in NPAs, slowdown in credit off take and
Capital Market fluctuations whereas NBFCs financing the retail loans or mix of Corporate
and retail loans showed a bit growth in their performance.
This brings me to this year's financial results. The financial year 2017-18 happens to
be a tough year. We able to maintain our position with respect to the gross revenue from
operations ended at INR 1.27 Cr., an increase of 35% from the previous year. The Company
has incurred net loss of Rs. 24.35 Lakh as compared to last year's loss after tax of Rs.
10.15 Lakh which is affirmation that we are in the tough times and we shall overcome this
time with all the efforts being made by your Company to further strengthen its
operational, financial performance with the developing strategies while working in the
capital markets.
We continue to retain our customers and at the same time having new associations and we
feel honored and very humbled for these, as they reflect the ongoing trust of our
customers to whom we dedicate our daily work. Lastly, I would like to express our
gratitude to all our stakeholders, to our customers, regulatory authorities for their
continued trust and patronage, to our employees and teams, who work with passion and focus
to support our customers.
Finally, on behalf of all of us at DCL, we thank you for being a partner on our journey
into the future. We believe this is the beginning of a journey and "miles to go
before I Sleep"
Sincerely yours,
Sd/-
SANJEEV MITTAL
Chairman (ED & CFO)