Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environment, Health, Safety and Social Responsibility
• Corporate Social Responsibility

Environmental Achievements

• Water efficiency and conservation initiatives, rainwater harvesting systems, domestic sewage treatment and recycling facilities are a part of design in all its units towards becoming zero water discharge.
• Re-certified for Occupation, Health and Safety (OHSAS) 18001:2007 from Bureau Veritas

Social Achievements

• The Company has placed a policy to treat women employees with dignity and no discrimination against them plus zero tolerance towards any sexual abuse to abide by letter and spirit requirements of the Sexual Harassment of Women at the Workplace (Prevention, Prohibition and Redressal) Act, 2013
• The amount required to be spent on CSR activities during the year under review in accordance with the provisions of Section 135 of the Act was 78.76 lacs and the Company has spent 79.10 lacs during the financial year.

Governance Achievements

• The Company is committed to maintain the highest standards of corporate governance and adheres to the corporate governance requirements set out by SEBI.
• The Company has adopted amended Code of Conduct for Prevention of Insider Trading in line with SEBI (Prohibition & Insider Trading) (Amendment) Regulation, 2018

Climate Goals & Targets

Environmental Challenges

• Headwinds blowing in automobile sector and sluggish macro-economic environment throughout the year.
• Demonetization/GST effects, pricing pressures

Mitigation Strategies

• Continuing focus on managing optimal levels of inventory, sound business performance, operating efficiencies in various segments of business and cost saving drive across the organization have helped it generating good cash flow from operations.
• Your Company was able to raise the short-term/long term funds needed for its working capital related requirements & term loans for new capital expenditure at competitive rates.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Indian Accounting Standards (Ind AS)

Certifications: OHSAS 18001:2007

Third-party Assurance: K.C. Mehta & Co., Chartered Accountants

Environmental Metrics

ESG Focus Areas

• Environment, Health, Safety and Social Responsibility
• Corporate Social Responsibility

Environmental Achievements

• Water efficiency and conservation initiatives, rainwater harvesting systems, domestic sewage treatment and recycling facilities are a part of design in all its units towards becoming zero water discharge.
• Re-certified for Occupation, Health and Safety (OHSAS) 1800:2007 from Bureau Veritas during FY 2018-19

Social Achievements

• The Company has placed a policy to treat women employees with dignity and no discrimination against them plus zero tolerance towards any sexual abuse to abide by letter and spirit requirements of the Sexual Harassment of Women at the Workplace (Prevention, Prohibition and Redressal) Act, 2013
• The Company has been proactively pursuing measures and reaching out to the communities surrounding the areas of its operations by extending support and lending a helping hand to some very credible social institutions that are committed to address social causes.

Governance Achievements

• The Company is committed to maintain the highest standards of corporate governance and adheres to the corporate governance requirements set out by SEBI.
• The Company has been practicing the principles of good corporate governance over the years and lays strong emphasis on transparency, accountability and integrity.

Climate Goals & Targets

Environmental Challenges

• Reduction in volume by around 15%
• Spread of the coronavirus pandemic is likely to result in severe contraction in global economy resulting in job losses, weak demand environment and stress in financial markets.
• The auto sector which has been going through its worst slowdown with slump in demand amid weak consumer sentiment and an uncertain regulatory environment is likely to face further head winds during the first half of the fiscal 2021 owing to adverse economic impact of Covid-19 and cost push from new emission norms.
• Economic slowdown due to the Covid-19 pandemic which has paralyzed manufacturing and trading activity has posed serious challenges for the industry in the current year.
• Continuing cost reduction demand from OEMs from whom the major portion of the future growth is expected to come.
• Increasing commodity prices and volatile forex movements.

Mitigation Strategies

• Your company has initiated cost optimisation and plant re-alignment measures to adjust to this change.
• The Company is reviewing such new businesses and appropriate measures will be taken to correct the same.

Supply Chain Management

Climate-Related Risks & Opportunities

Environmental Metrics

ESG Focus Areas

• Environment, Health, Safety and Social Responsibility
• Corporate Social Responsibility

Environmental Achievements

• Programs for improving energy efficiency and energy productivity across all operations; Rainwater harvesting, reduce usage, reuse, and recycle water; Domestic sewage treatment and recycling facilities are a part of design in all its units towards becoming zero water discharge; Creating awareness and promote sustainability amongst stakeholders.

Social Achievements

• The physical and emotional well being of employees continues to be a top priority for the Company, with several initiatives to support employees and their families during the pandemic.
• Industrial relations and work atmosphere remained cordial throughout the year with sustained communication and engagement with workforce through various forums.

Governance Achievements

• The Company has been practicing the principles of good corporate governance over the years and lays strong emphasis on transparency, accountability and integrity.
• The Company is committed to maintain the highest standards of corporate governance and adheres to the corporate governance requirements set out by SEBI.

Climate Goals & Targets

Environmental Challenges

• The financial year 2020-21 was a highly disruptive and challenging year wherein the auto industry and the entire global economy faced unprecedented times owing to the Covid-19 pandemic.
• During the 1st quarter of the year, your Company had to temporarily suspend operations at its plants and other locations as per the directives of the Government, keeping in mind the paramount need of safety of the employees.
• Covid-19 has impacted all stakeholders in the value chain who had experienced both short and medium term impact. This includes shortage of raw material, shifting of production to other countries, liquidity crunch to delays in availability of models, deferred launches and shrinkage in consumer demand.

Mitigation Strategies

• The Company endeavored to adapt to the changing business needs and continued its growth momentum.
• The Board and the Management will continue to closely monitor the situation as it evolves and do the best to take all necessary measures, in the interests of all stakeholders of the Company.
• The Company is taking all necessary measures in terms of mitigating the impact of challenges being resilient in order to sail through the current situation. It is focused on controlling the fixed costs, maintaining liquidity and closely monitoring the supply chain to ensure that the manufacturing facility operate smoothly.

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Indian Accounting Standards (Ind AS)

Certifications: OHSAS 18001:2007 (validity extended to September 30, 2021)

Environmental Metrics

ESG Focus Areas

• Environment, Health, Safety and Social Responsibility
• Corporate Social Responsibility (CSR)

Environmental Achievements

• Programs for improving energy efficiency and productivity across all operations; Rainwater harvesting, reduce usage, reuse and recycle water; Domestic sewage treatment and recycling facilities are a part of design in all its units towards becoming zero water discharge; Creating awareness and promote sustainability amongst stakeholders.
• Certified for Occupation, Health and Safety (OHSAS) ISO 45001:2018 from Bureau Veritas

Social Achievements

• The physical and emotional well being of employees continues to be a top priority for the Company, with several initiatives to support employees and their families during the pandemic.
• Industrial relations have remained cordial throughout the year in the Company at its all units.
• The Company has spent ₹62.00 Lakhs as against the amount required to be spent on CSR activities during the year under review in accordance with the provisions of Section 135 of the Act of ₹56.46 Lakhs.

Governance Achievements

• The Company is committed to maintain the highest standards of corporate governance and adheres to the corporate governance requirements set out by SEBI.
• Annual evaluation of the performance of the Board, its Committees and of Individual Directors forms part of Corporate Governance Report.
• All related party transactions are placed before the Audit Committee for its approval.

Climate Goals & Targets

Environmental Challenges

• FY 2021-22 started on a weak note, with the second wave of the COVID-19 pandemic impacting sentiment and supply chain disruptions, which pushed up inflation.
• Shortage of semiconductors, supply chain uncertainties, high logistics cost, rising commodity prices and lowering in demand post the festive season.
• Increase in global oil prices and commodities due to the Russia-Ukraine war is expected to have some impact on the demand in the automotive industry for some time.

Mitigation Strategies

• Strong commitments from the Government and the apex bank to maintain the status quo on interest rates while maintaining enough liquidity aided the revival and seem to have set in motion a multi-year earnings growth cycle.
• Your Company focused on optimizing investments and ensuring business continuity to enhance market share across various platforms.
• The Indian automobile industry worked hard to indigenise parts, control costs, invest in new technologies and expand exports to keep the value chain running.

Supply Chain Management

Climate-Related Risks & Opportunities