Hello.
Good morning everyone or I'm Madhuri Sharma company Secretary of Machinery Limited Extend a warm welcome to all the members attending the 47 annual general meeting of the company, which is being held through video conferencing. I hope this message finds you and your family's in good health.
This meeting is being conducted in compliance with the circulars issued by the Ministry of Corporate Affairs and the securities of Exchange Board of India enabling us to connect seamlessly with shareholders across various locations. On behalf of the company, I am pleased to acknowledge the presence of our chairman and managing.
Director Mr. and mr. Suba Bangera, non executive, independent director and Chairman of the stakeholders relationship committee. Miss Neha, independent Woman Director and chairperson of the nomination and remuneration committee.
And miss Raji Piesha, additional independent director who are present in the boardroom today. I'll also extend our welcome to our escape board members who have joined us through video conference.
Our managing director. Mr. Varun C Patel, non executive and non independent director, and Mr. and non executive independent director at chairman of the order Cup. We are also joined by our secretary auditors, secretary auditor and.
Who are participating from the respective locations.
Before we commence I would like to share some important instructions to ensure smooth conduct of the meeting. All members have been placed on mute by default to avoid background disturbance and for facilitating seamless procedurings. Those shareholders who have not passed their votes.
Through remote evoting may walk through the evoting facility available during the meeting and up to 15 min after conclusion of the agenda items. As the requisite forum is present and with the chairman's consent, I hear my declare the meeting to be in order. I now request mr. Mandra and our chairman and managing director to appraise the shareholders of the company's business performance for the financial year 2020 05:26.
Thank you, Margori. Good morning, ladies and gentlemen. And a very warm welcome to the 27th annual general meeting of Limited.
Thank you for being with us today. We often describe Mamata as a company with for the long term. And a year like FY 26 is when that statement.
Gets tested. It is easy to look capable when demand is plentiful. The harder question is how a business holds up when conditions change quickly for reasons outside its control. That is what FY 26 asks us. And I want to share with you candidly how we came through it. Let me be direct about our numbers 1st.
Consolidated.
Revenue fell 8 % to 230 30000000. Profitabilities fell more sharply with the margin at 8.2 % against 21.5 % a year earlier.
And profit after tax of 15.05 crow.
Almost all of these spaces to one source. Our business in the United States, our largest export market thank to close thanks to half over the year.
As a prolonged spell of tariff policy or certainty led American clients to hold back new CapEx commitments. Two more pressures arrived before that one could.
Get settled. The conflict in West Asia unsettled another set of buyers and a steep rise in Polycom prices strained our customers working capital.
Prompting some of them to defer their plans. But more telling that the decline in how the rest of the world business behave while one large market shang.
We learn, we leaned on our other geographies and product lines and recoop a good share of what United States gave up. India and our other intelligent market each ended the year larger than before.
Beyond US state firm and packaging in particular kept advancing with domestic packaging sales growing 55 %. A business that can take a shock.
Of this scale in one market, in a single year and keep its other engines turning is a business whose foundations are sound. The margin pressure came from a leader export mix.
And some non recurring costs and it should ease as our volume is written. I expect profitability to move back to his normal rate in the year ahead. If FY 26 carrying a lesson.
He confirmed that we had already taken to heart. A business should not lean too heavily on any single market or product line. This is the direction in which we are rebuilding a company whose revenue.
Risks on many markets other than few with packaging at the center of that effort, our CEO will take you through these initiatives in detail shortly. So I will only say this much the ground work late this year.
Across many geographies, new products, and our recyclable technology gives me the confidence in the direction we have set, which allows us to invest through invest through a difficult year.
Oh sorry. What allows us to invest through a difficulty here is our balance sheet. A company is only as free to invest as its balance sheet permits and our permits a great deal.
We ended the year net net free with cash reserves of 16 9.3 crores. These reserves allow us to found our, to fund our capital requirements from.
Our own resources to hold a watches for acquisition that truly fit our product and market strategy and to withstand the kind of external shops that FY 26 showed can appear without warning.
Value for us is built over the years, and it is better served by building with patients rather than by distributing in haste. We entered FY 27 with with better visibility than a year ago.
Our order book closed the year at 89.6 growth, 34 % higher than last year. Our order backlog of that strength tells us that underlying demand is strong.
Our immediate task is to win back the ground we lost in the United States, where the easing of cariff is making conditions friendlier. Growth in the coming year will be led by the packaging.
Supporting by recovering as across our other lines with profitability in moving back to steady state levels. And beyond the com coming year, our director is clear. By the end of decade I Expecta to be laid by packaging.
Far less reliant on any single country with recyclable ready technology contributing in arnest as environmental lawns take greater precedent. Please.
Allow me to also touch on something more recent. Since I would rather you hear it from me on 24th of July, we had close to 20 " of rain in about 8 h in Ambas region.
Where our factory is located and some of that water made its way into our factory floor and office. Our team got to work as soon as the rain stopped on 26th and our factory was running normally again within four days.
I mentioned it mainly to place on my record. My thanks to our team, everyone who took in long hours round the clock to get us back our feet that quickly. Before I close, there is one more matter that I must speak about.
Pre Approvale will be retiring as chief's executive officer from 1st October this year. Mr. Karly has been with Mamada for more than 41 years.
Very few people give that much of their working life to one company and fewer still leave it far stronger than they found it. He has led our management through some demanding years.
Several projects that define today, helped build the brand we now carry into the market around the world on behalf of the board and on my own. I thank for his stewardship.
And I'm glad he will continue his association with the company in a mentorship and advisory role. Taking over as executive from who has been president at May 25.
He brings over 28 years of experience in capital those equipment and engineering companies, promise roles, roles at tolerandom, and Domino printing.
He has spent his past past year working closely with mr. Karnell and our team. So this is a planned and smooth handover. I have every confidence he will carry out our priorities forward.
And I ask you to extending the same support we have always given us. Including, I thank you our shareholders for the trust you place in us and every member of the family.
For the result they showed in the year that asks a great view of them. Our strategy is intact and our conviction is undealed. Thank you very much. Thank you very much for sharing the insightful news.
The machinery has over the years grown through the vision dedication and collective efforts of the people who have been closely associated with the company and have contributed towards remarkable journey. This AGM also marks a significant moment as our chief executive Mr..
Moves towards his retirement from the position. I would now like to invite Mr. to share his thoughts with the members reflect on the company's journey and achievements and speak about the road ahead. Good morning, everyone.
Our chairman has taken you through the year and how we navigated it. So let me pick up from where we left off and talk about what we are building for the years ahead. Let me start with our markets.
Our converting machines are amongst the top five brands in the world and already reached more than 80 countries. So there is little room left to biden that footprint. Packaging machinery, however, is a completely different story.
Packaging leads us to new territories and it carries our newest technology with it. During the year, we booked our 1st rest of the world row packaging order from a customer in South Africa.
Which is scheduled for delivery in Q2 FY 27. In Europe, our partnership with Carpetier opens a path for packaging business packaging machinery business over the next few years.
The CIS and Russia region, we have set up a branch office along with a hundred year old local distributor establishing local credents. In Southeast Asia channel partners are in place for new market.
And Australia is another market where we are preparing for. Step by step, these moves are building into a company whose revenue rest on many market rather than few.
Packaging six at the center of how we need to grow and not just geographically. We are steadily by bidening the product range as well. A highlight of the year was a multi machine order.
For our vertical form field seal machine lines from one of India's west non snack and knocking brands. There is a clear sign that customers are taking up our packaging range well beyond the HFFS lines.
On which our reputation was built. We are also moving into secondary packaging automation, which takes us further along the value chain and into much larger addressable markets. Of all of our segments, packaging addresses the brown.
Opportunity worldwide and holds the most room to compound. Our aim is to keep this business growing at 30 to 40 % each year for foreseeable futures. Let me also say a word on rectangle. Our fully recyclable monomoterial films which addresses a problem that has.
Long constrained the industry. Recyclable films have until now asked brands to trade sustainability against cost. It closes much of that gap.
And we have built the ecosystem around it with a dedicated nine year coincision line and compatible packaging and converting lines which were launched at last India 2026.
And it has since received full recyclability certification in the European Union with US certification awaited. I do want to set expectations correctly here. A format of this.
Time all six places gradually. Brands take a few quarters to qualify and meaningful volumes follow only once few early adopters come in. Till then we will keep refining the technology.
Behind all this, since the way we compete, we have never competed on price and we do not intend to. We compete on technology, on build quality and output gains our customer gates from what they spend.
Our intellectual property is the core foundation of this. This year, the cross selling technology at heart of several of our machines already patented in India and United States was granted European patent in January 2026.
That takes us to five patents at home and abroad with three more under filing. We also took our engineering to some of the largest stages globally. At Day Trade Fair Insuldog, we unveiled the Vega 5000 SM.
A machine built to handle single material films at high speed and accuracy. And we also made our maintain appearance at in Japan. The foremost packaging exhibition in the world.
When we presented our complete packaging range and began the conversations that will open Europe to us. So the road road ahead for us is clear. Row packaging into new markets and new product lines.
Winback United States as conditions ease and tech rected forward as brands qualified. I thank you for your support and my colleagues across Mantha for the effort behind everything that I have described today.
Thank you very much. Thank you. Thank you sir. Near shareholders, the register of directors and key managerial personnel and their register of contracts or arrangements in which directors are interested.
As are required to be kept under section 1701 and 1809 of companies at 2013 are available to the members for inspection throughout the meeting in electronic. Since the notice and director's report have already been circulated, I propose to take.
Keep them as red. Further there are NO qualifications observations or comments in the auditor's report which are required to be read at the meeting. With your kind permission, I propose to take the auditor's report including the off as red. Since the meeting is being conducted through video conferencing and members are provided.
The facility to pass their vote on the proposed resolution as set out in the notice of the 47th annual general meeting only through remote team facility, the resolutions will not be proposed and seconded in the meeting. We have received certain queries from shareholders. We thank the shareholders for their interests and engagement. The company should respond to the respective shareholders separately through email.
A few members have registered themselves as speakers for this AGM. I will now invite them one by one to share their comments on queries. I kindly request each speaker to restrict their remarks to two to 3 min so that we can accommodate everyone's participation.
We will end able to respond to as many questions as possible after all the speakers have shared their views. Now I request the moderator to please unmute the speaker shareholders in order.
The request number one mr. Manjeet Singh, who joined? Mr.
Is not present in this meeting.
Okay, request speakerholder number two.
Oh, mr. Surroget is not present in this meeting ma'am.
Hello? Am I audible? Can you hear me?
Yes yes.
Good morning, all of you respected chairman. 1st thankful to our company secretary.
So I'm thankful to you and your entire report is nicely prepared. All corporate government all parameters. So I don't have much with because I have full faith on board and there were game I have already sent my question and sir give the beautiful information speech in my regarding all question and answering. So I don't have much question. Still, I have a few questions sir, as a speaker, as a speaker, I have asked what is the market share? We have domestic as well in interns to market. My second query, what was the profit signing ratio of coming financial year? And which products is most profitable.
People in interns to market, so I wish good luck and right feature for coming financial and coming festival. So at the time of festival, please remember speaker shareholder as same as your employees and your family members. Sir, please provide the speaker number next meeting so please ask to secretary department accommodation to secretary team to accommodate with the shareholders sir. Thank you to speak. Thank you sir.
Thank you. Thank you. Request speaker shareholder number four to join.
Mr. Jaya Barthi is not present in this meeting ma'am.
Or request shareholder number five to join.
Mr. Userla is not present in this meeting ma'am.
I request to the queries raised by the good afternoon, Mr. we will respond to your queries through email because you asked for the breakup of certain figures.
Which are not immediately handy. So our company secretary will communicate to you at a later date. Thank you. Before we conclude, I would like to inform the members that mr. Nicolen when practicing company secretary has been appointed.
To oversee evoting process in a fair and transparent manner. The e voting facility will remain open for the next 15 min for those who are yet to pass their votes. The combined results of remote evoting and evoting during the GM will be uploaded on the company's website and will also be submitted to the stock exchanges in our.
Accordance with the companies at 2030 and the listing regulations. On behalf of the board and management, I extend my sincere gratitude to our chairman and to all the members for their valuable participation cooperation and continued trust in. Thank you.