MANAGEMENT DISCUSSION AND ANALYSIS REPORT Industry Structure and developments The Central Statistics Office (CSO) has recently undertaken a revision in National Accounts aggregates by shifting to the new base of 2011-12 from the earlier base of 2004-05. As per the new (2011-12) series, the growth rate of gross domestic product (GDP) at (2011-12) market prices is estimated at 7.4 percent in 2014-15 (Advance Estimates). The growth of gross value added (GVA) at (2011-12) basic prices for agriculture and allied sectors, industrial sector and services sector has been estimated at 1.1 per cent, 5.9 per cent and 10.6 per cent respectively in 2014-15,as compared to 3.7 per cent, 4.5 per cent and 9.1 per cent respectively in 2013-14. The growth of GVA at (2011-12) basic prices for the first, second and third quarters of 2014-15 is estimated at 7.0 per cent, 7.8 per cent and 7.5 per cent respectively, compared to 7.2 per cent,7.5 per cent and 6.6 per cent respectively during the corresponding quarters of the brvious year. Indian markets have performed excellent amongst the major World indices. In 2014-15 the Indian Securities markets with benchmark indices BSE Sensex and Nifty recorded a growth of over 29% (Sensex up by 29.9 per cent and Nifty up by 31.4 percent) till 31st December, 2014. (as compared to levels on December 31, 2013). Indian markets reached historic high levels on 28th November 2014 when Sensex closed at 28,693.99 while Nifty closed at 8,588.25. Onelife Capital Advisors Limited offers fees based Financial Planning services to various clients that enable to priorities financial needs, goals and aspirations to achieve the same. This is part of conscious strategy to provide value added services to wider set of clients including the mass affluent. Among the selective world indices, Shanghai Composite Index registered highest percentage change of 52.9 percent during the calendar year 2014. Sensex and Nifty meanwhile, observed a percentage change of 29.9 and 31.4 percent respectively. The total net FII flows during 2014-15 stood at US $ 42.7 billion. FPIs net investment in the Indian markets has been to the tune of US$ 42.7 billion in the calendar year 2014 (January, 2014- December 31, 2014) as compared to the US$ 12.13 billion in the entire year of 2013. On the global front, the qualitative and quantitative easing of Japan had a positive impact on Indian markets in anticipation of surge in liquidity. Furthermore, OECD has revealed that India's economy will accelerate in 2015/16.OECD has raised India's growth outlook to 6.6% in 2015/16, up from its last forecast of 5.7% growth in May also had an positive interbrtation among investors. Opportunities and Threats Due to recession all over the world, the Indian economy, though not affected substantially, has suffered and the opportunities have become limited in all sphere of business. The capital/financial market has suffered a lot. This did not discourage the Board of Directors of your Company who are constantly looking for an opportunity to expand the business of the Company. Your Company being in financial services sector is facing a very stiff competition from its competitors. However, the Company is trying its level best to achieve the same level of competence to meet the challenges thrown in this sector. Segment-wise or product-wise performance The Company is primarily into Advisory Services. Accordingly, the Company is a single business segment company. Outlook, Risks and Concerns Our actual results could differ materially from those anticipated in these statements as a result of certain factors. This section lists our outlook, risks and concerns: • Our revenues and expenses are difficult to brdict and can vary significantly from period to period, which could cause our share price to decline. • The economic environment, pricing brssures could negatively impact our revenues and operating results. • Our increasing work with government agencies may expose us to additional risks. • Compliance with new and changing corporate governance and public disclosure requirements adds uncertainty to our compliance policies and increases our costs of compliance. • We may be subject to litigations which if adversely determined could harm our business and operating results. • In the event that the Government of India changes its tax policies in a manner that is adverse to us, out tax expense may materially increase, reducing our profitability. • Terrorist attacks or a war could adversely affect the Indian economy, results of operations and financial condition. • Changes in the policies of government of India or political instability could delay the further liberalization ofthe Indian economy and adversely affect economic conditions in India generally which could impact our business and prospects. Internal Control Systems and Adequacy The Internal Control System facilitates the effectiveness and efficiency of company operations and helps ensure the reliability of financial information and compliance with laws and regulations. In particular, the accounting control system is an important element of the Internal Control System as it helps ensure that the Company is not exposed to excessive financial risks and that financial internal and external reporting is reliable. Onelife has robust internal audit and control systems. They are responsible for independently evaluating the adequacy of internal controls and provide assurance that operations and business units adhere to internal policies, processes and procedures as well as regulatory and legal requirements. Internal audit team defines and review scope, coordinates and conducts risk based Internal audits with quarterly frequency across Onelife through their audit firm. Existing audit procedures are reviewed periodically to enhance effectiveness, usefulness and timeliness. The Internal control procedures include proper authorization and adherence to authorization matrix, segregation of roles and responsibilities, physically verification, checks and balances and brventive checks on Compliance risk and overseeing of periodical financials etc. Internal audit entails risk assessment and detailed verification of processes, adequacy of maintenance of accounting records, documentation and supporting, authorizations, review of internal controls, compliance with management policies and laid down procedures, compliance with applicable accounting standards etc and to verify adherence with applicable statutes, rules, regulation, byelaws, and circulars of the relevant statutory and regulatory authorities. Financial Performance with respect to operational performance of the Company During the financial year 2014-15 our company's profit after tax was Rs 10.38 Lakhs as compared to Rs 0.49 Lakhs in corresponding period of last year. Material Developments in Human Resources/ Industrial relations front, including number of people employed. Onelife firmly believes that growth of core and fringe stakeholders' will foster its growth opportunities. Onelife aims to develop the potential of every individual associated with the Company as a part of its business goal. Respecting the experienced and mentoring the young talent has been the bedrock for Onelife's successful growth. We believe that our human capital is our greatest strength and is the driver of growth, efficiency and productivity. Constant efforts are made to create a working environment that encourages initiative, provides challenges and opportunities and recognizes the performance and potential of employees. The Company's performance on the Industrial Relations front continues to be quite satisfactory. 11 number of people were employed during the year under review. Subsidiaries Onelife Gas Energy & Infrastructure Limited The main object of the Company is procurement, purchase, exploration, storage, suppliers, distributors, sellers and dealers in natural gas and its derivatives including LPG, CNG, PROPANE and any conventional and non- conventional type of energy. Goodyield Farming Limited & Good Yield Fertilisers and Pesticides Private Limited These Companies are the step down subsidiaries of our Company. It is mainly involved in the field of agriculture and related activities. |