It gives me great pleasure to welcome you all to the 30th Annual General Meeting of Accelya Kale Solutions Limited. The Directors’ report, Auditors report and audited accounts with notes thereon have been with you for some time and request your kind permission to take them as read.
In FY16, we have taken your company to new heights:
The consolidated net sales rose to 350 crores, a 13.4% growth over the previous year, and the consolidated profit reached 83 crores, a surge of 23% over FY15.
We are pleased to see gains in productivity especially in our outsourced model: our last year’s investment is paying off.
I can assure you, your company will keep investing in its systems to further reduce human interventions and as such increase the performance of its solutions.
To sustain our future growth, we signed new contracts. I will mention a few of them. A large Revenue Accounting contract for a period of 7 years with Latam, a major carrier in Latin America, a contract with SN Brussels for cost control (our Finesse offering).
And have renewed and extended the scope for SIS e-invoicing with IATA, to maintain and serve the industry wide interline billing with over 370 airlines participating in the scheme.
The implementation of these contracts has started and will fully materialize in fiscal year 2017.
Still with future growth in mind, we have continued the development of our Low Cost Carrier offering in Revenue Accounting. We now have clients such as Go Air and Vueling.
I am sure you are familiar with Go Air, may be less with Vueling, a successful low cost carrier in Europe, fast growing , and now acting as feeder to long haul carriers such as Iberia and British Airways, the flagships carriers of Spain and United Kingdom respectively.
Vueling is what we call a "hybrid" airline. It is a typical low cost, offering attractive point to point service. But to keep its growth, it is also partneering with networking carriers, especially for long haul destinations. As such it needs a sophisticated system to share its revenue with its partners.
This is exactly what Revera offers to such airlines.
So now we have a wide scope offering in Revenue Accounting, from traditional airlines to Low Cost.
Another growth initiative: to leverage the data we hold from our processing activities for existing clients, we are building our Analytics and Consulting capabilities.
This allows us to reveal to our clients hidden potential revenues in fields like Network Planning, Sales and Marketing and even Alliances or reduce cost coming from interline transactions.
Our first airline client sees great value in this approach and this gives us confidence in the potential for this new line of business.
Continuing the practice of rewarding our shareholders, we will be paying out as dividend this year, a total of Rs.45 per share, including the proposed Rs.30 per share.
I am also delighted to share that for the second year in a row your company was featured in the International Association of Outsourcing Professional (IAOP) Global Outsourcing 100 List.
FY16 was a year of transition. Neela was, at our last AGM appointed as MD.
Together with her team she did a great job and achieved excellent results.
Finally, as I step down from my current role as Chairman and Director of Accelya Kale Board, I would like to thank my colleagues for the support they have extended to me during these years. Mr. John Johnston, who currently serves as Non-Executive Director on the Board will take over as Chairman. I am confident that John brings the vision and capability to take Accelya Kale to greater heights while further strengthening synergies between Accelya Kale and Accelya Group.
Chairman, Accelya Kale Solutions Limited
Date: 5th October, 2016