GRAVITY (INDIA) Share price

The Company was incorporated on March 13 1987 as a PrivateLimited Company under the name and style of Gravity SilkMills Private Limited. The Company was subsequentlyconverted into a Public Limited Company on September 281994 in terms of the special resolution passed on 31-08-94under the name and style of Gravity Silk Mills Limited andwas registered with the Registrar of CompaniesMaharashtra at Mumbai.The Company started its manufacturing activities in MasatSilvassa Union Territory of Dadra and Nagar Haveli in theyear 1989 by setting up a project for the manufacture ofgrey fabrics for suiting and shirting. From time to timethe Company has also taken power looms on hire to augmentits production.However the Company sold off a part of its plant andmachinery from its unit in Masat booking a profit on thesales. The Company now proposes to utilise the existinginfrastructure in Masat for its yarn project. The weavingproject of the Company is proposed to be re-located invillage Khutali.The Company at present is engaged into the trading ofsynthetic fabrics only.The audited financial performance of the Company for thepast five years is given below: (Rs. in lacs)----------------------------------------------------------------Year ended 1994- 1993- 1992- 1991- 1990-March 31 95 94 93 92 91-----------------------------------------------------------------Total Sales 224.99 294.81 211.58 200.69 181.87PBIDT 33.82 31.00 26.22 19.92 30.51Interest 15.34 19.41 16.60 12.44 9.86Depreciation 3.97 3.08 2.61 2.51 2.38Profit before tax 14.51 8.51 7.01 4.97 18.27Tax 2.50 1.93 00.00 00.00 00.00Profit after tax 12.01 6.58 7.01 4.97 18.27Equity Share Capital 100.00 30.07 29.72 18.13 18.13Reserves and Surplus 0.07 30.23 26.63 21.35 17.56Net Worth 100.07 60.30 56.35 39.48 35.69Earning Per Share (Rs.) 1.20 2.19 2.38 2.74 10.07Book Value (Rs.) 10.08 20.05 18.96 21.77 19.68Dividend (%) 12.00 10.00 8.00 6.00 --------------------------------------------------------------------The profits of the company dipped for the year 1991-92 onaccount of increase in the cost of raw materials factorywages processing costs remuneration to the Directorsinterest paid to the financial institutions and rejectionof goods etc. For the year 1992-93 the Company suffereddue to accumulation of stocks primarily on account ofcommunal disturbances in Mumbai during the end of 1992 andthe first quarter of 1993 which increased the interestburden on the Company. However the Company was able toregister improvement in sales during the year 1993-94leading to increase in profits over the past years. During1994-95 the Company sold part if its machineries at aprofit of Rs. 7.80 Lacs. However excluding this amountthe Company registered a marginal decrease in profit overthe previous year. This was primarily due to the sale ofmachineries and the dampened market conditions.The Company has issued bonus shares to the extent of641590 equity shares of Rs. 10/- each aggregating Rs.6415900/- on 9.04.94 out of free reserves to the extentof Rs. 2980019/- capital reserves to the extent of Rs.41600/- and revaluation reserves to the extent of Rs.3394281/-.