44th Annual General Meeting of Gujarat Narmada Valley Fertilizers & Chemicals Ltd. held on Tuesday the 29th September, 2020 at 3.00 PM through Video Conferencing from the Registered Office of the Company held at Bharuch.

44th Annual General Meeting of GNFC was held through digital platform of 2-way Video Conferencing on 29th September 2020 at 3.00 PM from Bharuch as permitted by the Government, due to ongoing Covid-19 pandemic situation.

Addressing the Shareholders, Shri Pankaj Joshi, IAS Managing Director of the Company, who chaired the Meeting apprised the Shareholders interalia about the Global and Indian Economic Scenario in which the Company operated during the F.Y. 2019-20. He stated that inspite of overall challenging business environment and outbreak of unprecedented Covid-19 pandemic towards the end of F.Y. 2019-20, the Company was able to achieve satisfactory operational, marketing and financial performance during the year under review. GNFC established total 123 nos. of new records, out of which 98 and 25 records were in production and sales/dispatch respectively. Almost all Plants operated at more than 100% capacity utilization level. As a result, ever highest yearly production was achieved in Ammonia, Formic Acid, Acetic Acid, Weak Nitric Acid- I &II, TDI-I and Urea including Technical Grade Urea.

While sharing the financial performance, he mentioned that GNFC posted Profit Before Tax of Rs. 425 crore and Profit After Tax Rs. 499 crore and the Board of Directors of the Company has recommended dividend @ Rs. 5/- per share (i.e. @ 50%) for approval of the Shareholders. This announcement reflects sustained and stable return on investment to the Shareholders, which was welcomed by the Shareholders present at the Meeting.

Referring to the Marketing performance of the Company, he informed that the Chemical segment has contributed positively to the profitability of the Company despite the challenging competitive business environment. Fertilizer segment also performed reasonably well during the F.Y. 2019-20. He added that GNFC’s IT division (n) Code Solutions also registered sales turnover of Rs. 75 crore and profit of Rs. 20 crores, across its all business segments.

Shri Pankaj Joshi, IAS, appraised the Members that the Company is continuously looking for growth opportunities in the areas having synergy with its existing business operations and has initiated actions for implementation of various Projects / Revamping Schemes. Towards this direction, the Company has undertaken implementation of Ammonia Plant revamp project, Formic Acid capacity enhancement project, Concentrated Nitric Acid-IV project, Solar Power Project, and Neem Project etc.

On CSR front, he said that the Company has contributed by supporting the State Government and Community at large during the Covid-19 crises by supplying Hand Sanitizers, Food Kits etc. as a part of its CSR Activities. The Company has also contributed Rs.10 Crores to the “Chief Minister’s Relief Fund”, Gujarat to fight against outbreak of Covid-19 pandemic in Gujarat. The Employees of the Company have also contributed their one day salary for this noble cause.

He also informed the Members about the outlook for the current year with regard to Company’s business performance in view of ongoing impact of Covid-19 pandemic. The Members were informed that the Company’s operational and financial performance have been severely impacted and the demand for the Company’s products and services, especially the industrial product is adversely affected during the first quarter of F.Y. 2020-21. He expressed his confidence that although uncertainties are prevailing due to Covid-19 Pandemic, demand for the Company’s Products and Services has increased in-view of easing of lockdowns across the Country and the same is expected to further improve with rising economic activities in phased manner.
While appreciating the concerted efforts put in by employees at all levels for the Company’s sustained performance during the F.Y. 2019-20, he expressed deep sense of gratitude, on his behalf and on behalf of Board of Directors.

Before concluding his address, he expressed his sincere gratitude for the unstinted support received from Government of India and Government of Gujarat and also conveyed his sincere thanks to Regulatory Authorities and other Stake holders for extending their valuable support to the Company. He also thanked the Board of Directors for their continued support and guidance. Finally, he extended special thanks to the valued Shareholders for the faith and confidence reposed by them in the Company.

Press Release :: 44th AGM GNFC 2020: View PDF file