To the Members,
The Directors present the Annual Report of Odyssey Technologies Limited ("the Company" or "Odyssey") along with the Audited Financial Statements for the financial year ended 31st March, 2024.
FINANCIAL RESULTS
PERFORMANCE REVIEW
The Company's revenue from operations for the year under review is Rs.2633.17 lakhs as compared to
Rs.2,419.30 lakhs in the previous year. The Profit after Tax is at Rs.444.78 lakhs as compared to Rs.436.61 lakhs in the previous year.
The net profit generated during the year has been transferred to Retained Earnings under Reserves & Surplus. The closing balance of retained earnings of the company for the financial year 2023-24 is Rs.1909.99 lakhs.
DIVIDEND
The Directors have not recommended any Dividend on equity shares of the company for the year ended 31st March, 2024.
DIRECTORS' RESPONSIBILITY STATEMENT
Pursuant to Section 134 (3) (c) of the Companies Act, 2013 ["the Act"], the Directors of the Company, to the best of their knowledge and ability, confirm that: a. in the preparation of the annual accounts for the year ended 31st March, 2024, the applicable accounting standards have been followed and there are no material departures; b. they have selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company as at 31st March, 2024 and of the profit of the Company for the year ended on that date; c. they have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities; d. they have prepared the annual accounts of the
Company on a going concern basis; e. they have laid financialcontrols todown internal be followed by the Company and that such internal financial controls are adequate and are operating effectively; and f. they have devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems are adequate and operating effectively.
Based on the framework of internal financial controls and compliance systems established and maintained by the Company, the work performed by the internal, statutory and secretarial auditors including audit of internal financial controls over financial reporting by the statutory auditors and reviews performed by the management and the audit committee, the Board of Directors is of the opinion that the
Company's internal financial effective during the financial year 2023-24
DIRECTORS & KEY MANAGERIAL PERSONNEL Directors
The shareholders of the Company at their 33rd Annual General Meeting of the Company ["AGM"] held on 14th June 2023 had accorded approval for the re-appointment of Mr. B. Robert Raja (DIN : 00754202), Chairman and Managing Director of the Company ["CMD"] and Mr. B. Antony Raja (DIN : 00754523), Whole-time Director ["WTD"] for a period of three years with effect from1st April 2023 up to 31st March 2026, liable to retire by rotation, by passing Special Resolutions pursuant to the provisions of the Act and the Rules made thereunder. Pursuant to recommendation of the Nomination and Remuneration Committee, the Board had, on October 30, 2023, approved the appointment of Mr. Alagappan Chandramouli (DIN:02299091) and Mr.S.Sendamarai Kannan (DIN:09123907) as Additional Directors in the capacity of Independent Directors for a term of 5 years with effect from October 30, 2023 to October 29, 2028, subject to approval of the shareholders of the Company. The said appointments were approved by shareholders of the Company vide special resolution dated December 11, 2023, passed through postal ballot by e-voting.
Mr. G.Rajasekaran and Mr. Kurilla Srinivas Rao retired as Independent Directors from the Board of the Company with effect from the closing hours of March 31, 2024. The Board places on record its gratitude and appreciation for the contributions made by both Directors to the growth of the Company over the years.
Pursuant to the provisions of Section 152 of the Companies Act, 2013 and Articles of Association of the Company, Mr. B. Antony Raja (DIN : 00754523), Director of the Company retires by rotation at the ensuing Annual General Meeting and being eligible, offers himself for re-appointment. A resolution seeking shareholders'from approval for his re-appointment forms part of the Notice. The Company has received declarations from all the Independent Directors of the Company under Section
149 (7) of the Companies Act, 2013 confirming that they meet the criteria of independence as prescribed both under Section 149 (6) of the Companies Act, 2013 and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 ["SEBI Listing Regulations"]. were adequate and
Key Managerial Personnel
Pursuant to the provisions of Section 203 of the Act read with Rule 8 of Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, Key Managerial Personnel of the Company as on 31st March 2024 are Mr. B.Robert Raja- Chairman and Managing Director, Mr. B.Antony Raja, Whole-time Director & Chief Financial
Officer and Ms B. Purnima- Company Secretary. There has been no change in the Key Managerial Personnel during the year.
SHARE CAPITAL
The paid-up Capital of the Company was increased to Rs.1580.71 lakhs through share allotments made against exercise of Options (28,300 equity shares) under Odyssey Technologies Limited –Employee Stock Option Scheme (ESOP-2019), comprising of 158,07,075 equity shares at a face value of Rs.10/- each as on March 31, 2024.
ODYSSEY TECHNOLOGIES LIMITED – EMPLOYEE STOCK OPTION SCHEME, 2019 (ESOP-2019)
The Company had instituted ESOP-2019 with the aim of motivating, incentivizing, and rewarding the employees. The Nomination and Remuneration Committee administers these plans. The stock option plans are in compliance with the Securities and Exchange Board of India (Share Based
Employee Benefits and Sweat Equity) Regulations, 2021, as amended ("Employee Benefits Regulations") and there have been no material changes to these plans during the financial year. Disclosures on the details of the plan, details of options granted etc., as required under the Employee
Benefits Regulations, are available on the Company's website at https://www.odysseytec.com/pdf/ESOP_ Disclosure_FY_2023_24.pdf. No employee was issued stock options during the year equal to or exceeding 1% of the issued capital of the Company at the time of grant.
TheCertificate Auditor of the Company as required under SEBI (Share Based Employee Benefits and
Sweat Equity) Regulations, 2021 and any amendments thereto, with regard to ESOP-2019 is available at https:// www.odysseytec.com/pdf/ESOP_Certificate_FY_2023_24.pdf
CORPORATE SOCIAL RESPONSIBILITY
In compliance with Section 135 of the Companies Act, 2013 read with CSR Rules, the Company has, during the year, spent two percent of the average net profits of the Company during the three preceding financial years in accordance with the CSR Policy and the Annual Action Plan approved by the Board of Directors. Since the amount to be spent by the company under sub-section
(5) does not exceed fifty lakh rupees, the requirement under Section 135 (1) for constitution of the Corporate Social Responsibility Committee is not applicable and the functions of such Committee provided under this section is being discharged by the Board of Directors in compliance with applicable Rules and Regulations. Annual Report on CSR activities as required under the Companies (Corporate Social Responsibility Policy) Rules, 2014, as amended ("CSR Rules") is annexed as Annexure-V and forms an integral part of this Report. The CSR Policy of the Company is available on the website of the Company at https://www.odysseytec.com/Documents/OtherDocs/ Corporate_Social_Resposibility_Policy.pdf
BOARD MEETINGS
The Board of Directors met four times during the financial year 2023-24. The meetings were held on May 8, 2023, July 28, 2023, October 30, 2023 and January 29, 2024. In order to transact urgent business, approval of the Board/ Committees were taken by passing resolutions through circulation pursuant to Section 175 of the Companies Act, 2013, which were noted at the subsequent meeting of the Board /Committees, as the case may be.
Further details regarding meetings of the Board and Committees are furnished in the Corporate Governance Report, which forms part of the Annual Report.
BOARD EVALUATION
The Board of Directors has carried out an annual evaluation of its own performance, Board Committees and individual Directors pursuant to the provisions of the Companies Act, 2013 and corporate governance requirements as prescribed by SEBI Listing Regulations.
The performance of the Board was evaluated by the Board seeking inputs from all directors on the basis of criteria such as adequacy of the composition of the Board and its Committees, Board culture, effectiveness of board processes and performance of specific duties, obligations and governance. The performance of the Committees was evaluated by the Board on the basis of criteria such as composition of committees, effectiveness of committee meetings, etc,. The individual Directors were evaluated on parameters such as level of engagement and contribution of the individual director to the Board and committee meetings, independence of judgment, etc,.
In a separate meeting of the independent directors held on January 29, 2024, performance of the non-independent directors and Board as a whole was reviewed and performance of Chairman of the Company was reviewed after taking into account views of Executive Director. Performance evaluation of independent directors was done by the entire Board, excluding the independent director being evaluated.
POLICY ON DIRECTORS' APPOINTMENT & REMUNERATION
The Company's policy on directors' appointment and remuneration and other matters provided in Section 178(3) of the Act has been disclosed in the Corporate Governance Report, which is a part of this report. The updated Policy is also available on the website of the Company at http://www.odysseytec.com/Documents/ OtherDocs/Nomination_&_Remuneration_Policy.pdf
INTERNAL FINANCIAL CONTROL SYSTEMS AND THEIR ADEQUACY
The Company has in place adequate internal financial controls with reference to the financial statements. During the year, such controls were evaluated and no reportable deficiencyin the design or operation of such controls were observed.
AUDIT COMMITTEE
The details pertaining to composition of Audit Committee are included in the Corporate Governance Report, which forms a part of the Annual Report. During the year under review, all the recommendations made by the Audit Committee were accepted by the Board.
AUDITORS Statutory Auditor
Pursuant to the provisions of Sections 139, 142 of the Act read with Companies (Audit & Auditors) Rules, 2014,
M/s Sekar & Co., Chartered Accountants, Chennai (Firm Registration No.016269S) were appointed as the Statutory Auditors of the Company by the shareholders for a term of five consecutive years, from the conclusion of the 32nd
Annual General Meeting (AGM) of the Company till the conclusion of the 37th Annual General Meeting to be held in the year 2027, subject to ratification of their appointment at every AGM, if so required under the Act. The requirement to place the matter relating to appointment of auditors for ratification by Members at every AGM has been done away with pursuant to the Companies (Amendment) Act, 2017, effective from May 7, 2018. Accordingly, no resolution is being proposed for ratification of appointment of statutory auditors at the ensuing AGM.
The Notes on financial statements referred to in the
Auditors' Report are self-explanatory and do not call for any further comments. The Auditors' Report does not contain any qualification, reservation or adverse remark.
Secretarial Auditor
Pursuant to the provisions of Section 204 of the Companies Act, 2013 read with Rule 9 of Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, the Board had appointed M/s. B. Ravi & Associates, Practising Company Secretaries as Secretarial Auditor to conduct Secretarial Audit for the financial year 2023-24. The Secretarial Audit Report for the financial year ended
March 31, 2024 is annexed herewith as Annexure-I to this Report. The Secretarial Audit Report does not contain any qualification, reservation or adverse remark.
RISK MANAGEMENT
The Board of Directors has developed and implemented a Risk Management Policy for the company. The Board is responsible for reviewing the risk management plan and ensuring its effectiveness. The Audit Committee additionally overviews the financial risks and controls. The
Risk Management Policy is available on the website of the Company at http://www.odysseytec.com/Documents/ OtherDocs/Risk_Management_Policy.pdf
PARTICULARS OF LOANS, GUARANTEES AND INVESTMENTS
The Company has not made, given or provided any loans or investment or guarantee or security to any person or body corporate under the provisions of Section 186 of the Companies Act, 2013.
TRANSACTIONS WITH RELATED PARTIES
Information on transactions with related parties pursuant to Section 134 (3) (h) of the Act read with Rule 8 (2) of the Companies (Accounts) Rules, 2014 in Form AOC-2 is annexed herewith as Annexure-II to this Report.
EXTRACT OF ANNUAL RETURN
Pursuant to Section 92 (3) read with Section 134 (3) (a) of the Companies Act, 2013, the Annual Return in Form MGT-7 shall be placed on the website of the company at www.odysseytec.com/index.php/investors after the conclusion of the 34th Annual General Meeting.
PARTICULARS OF EMPLOYEES
The information required under Section 197 (12) of the Companies Act, 2013 read with Rule 5 (1) of Companies (Appointment & Remuneration of Managerial Personnel), Rules, 2014 is annexed herewith as Annexure-III to this Report. Pursuant to Rule 5(2) of Companies (Appointment
& Remuneration of Managerial Personnel) Rules, 2014, there are no employees drawing remuneration in excess of eight lakh and fifty thousand rupees per month or one crore and two lakh rupees per year during the year under review.
CORPORATE GOVERNANCE
As required under Schedule V (C) of SEBI Listing Regulations, a detailed report on Corporate governance with auditors'certificatethereon and Management
Discussion and Analysis Report are attached and forms part of this report.
SECRETARIAL STANDARDS
The Company complies with all the applicable mandatory Secretarial Standards issued by the Institute of Company Secretaries of India.
DISCLOSURE AS REQUIRED UNDER SECTION 22 OF SEXUAL HARASSMENT OF WOMEN AT WORKPLACE (PREVENTION, PROHIBITION AND REDRESSAL) ACT, 2013
The Company has formulated a Policy for Prevention of Sexual Harassment at Workplace pursuant to the requirements of the Sexual Harassment at Workplace (Prevention, Prohibition and Redressal) Act, 2013 read with relevant Rules made thereunder. Accordingly, Internal
14 Odyssey Technologies Limited
Complaints Committee ["ICC"] has been constituted for redressal of any sexual harassment complaint. The following is the summary of the complaints during the financial year 2023-24:-
DEPOSITS FROM PUBLIC
The Company has not accepted any deposits from public and as such, no amount on account of principal or interest on deposits from public was outstanding as on the date of the balance sheet.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND OUTGO
The information relating to conservation of energy, technology absorption and foreign exchange earnings and outflow as required to be disclosed under Section
134 (m) of the Companies Act, 2013 read with Rule 8(3) of Companies (Accounts) Rules, 2014 is annexed herewith as Annexure-IV to this Report.
STATE OF COMPANY'S AFFAIRS
Management Discussion and Analysis Report for the year under review, as stipulated in Regulation 34 (2) (e) of SEBI Listing Regulations is given as a separate part of the annual report. It contains a detailed write up and explanation about the performance of the company.
MATERIAL CHANGES & COMMITMENTS
There have been no material changes and commitments affecting the financial position of the Company which have occurred between 31st March 2024 and 3rd May 2024.
SIGNIFICANT & MATERIAL ORDERS PASSED BY REGULATORS OR COURTS
During the Financial Year 2023-24, no order has been passed by any regulatory authorities or Courts impacting the going concern status and Company's operations in future.
ACKNOWLEDGEMENT
Your directors express their grateful appreciation for the assistance and cooperation received from the Banks, Government Authorities, Corporate Professionals, Customers, Vendors and Shareholders during the year under review, in aiding the smooth flow of operations.
Continued dedication and sense of commitment shown by the employees at all levels during the year deserve special mention.