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Annual Report ( 2018 What is ? It’s more than just a groundbreaking technology, or another innovation in a long line of game changers. It is the ultimate representation to what length is ready to go, to bring the best technology and provide ultimate care and protection to the consumers. We keep inovating and improving our products to ensure that those who put their trust in us are treated with ultimate care and safeguarded from anything that can disrupt their pursuit of happiness in life. It is this focus on an individual’s needs, the personal touch that makes us different, that drives us. We don’t just make great products, we also create new innovations for our consumers. To enrich lives, to keep those we care about safe, and to ensure nothing stands in the way of growth – this is what represents. Beyond just being a marvel of technology, it is a philosophy that drives us to always keep pushing what it means to truly care for those important to you. Introducing , a technology that protects your home furnishing against dust mites that cause skin allergies and breathing disorders. All products come treated with . 50 YEARS OF EXPERIENCE IN SHAPING THE INDUSTRY Sheela Foam has a strong presence in India and Australia. the flagship brand of the Company, constantly innovates and develops products for that one beautiful thing: ultimate comfort. 1 Annual Report 2018-19 Sheela Foam Limited CORPORATE SNAPSHOT Sheela Foam Limited is India’s top player in the mattress and foam products industry. The Company enjoys strong brand awareness, a vast product portfolio, and presence in India and Australia. With 50 years of experience, the Company has robust capabilities of quality manufacturing and technological innovation. , a patented technology that now all products come with, is the latest in a line of many such innovations. This is complemented by an extensive pan India distribution and sales channel. Supported by a highly qualified and professional management, the Company has well- integrated operations and economies of scale. It is also the first mattress and home comfort products company in India to be listed on the stock exchanges. Overview • Incorporated in 1971 • It is the flagship company of the Rs. 2141 Crores of Sheela Group • The group companies include: Sheela Foam Ltd and Joyce Foam, Australia (A 100% subsidiary of Sheela Foam) • is the flagship brand of the group • It is an ISO 9001 Certified Company Vision and Mission • We will continue the legacy of being recognised as a leader in premium comfort products • We will always reinforce our core values of integrity, reliability, pro-activity and transparency • Every customer will be served with a smile • We will remain committed to society 2 Key Strengths • Strong Brand Name: the flagship brand of the Company for mattresses and home comfort accessories, has a strong presence in the market and a high recall among consumers. Our products have a reputation of being highly durable and of superior quality • R&D: A dedicated team of engineers and scientists always strive to improve on existing products with the introduction of technology like in them or create new innovative products. They also ensure quality control • Pan-India presence: The Company has a wide distribution network of more than 110 exclusive distributors, more than 4,900 multi brand outlets and more than 4,193 exclusive retail dealers • Customer-centricity:A dedicated customer care team for: • Prompt and quality after-sales service • Informing customers about new technologies like , Comfort Cell, My Mattress and others • Helping them choose products based on their specific needs • Promoting the SLEEPEDIA initiative, which raises awareness on quality sleep for good health and psychological well-being • Multi-location manufacturing presence: There are 10 manufacturing units across India. Five units are located in the North, two units in the West, two in the South and one in the Eastern regions of India • Intellectual capital: The Company has a team of highly qualified professionals and top management who tirelessly work to maintain quality and enhance customer satisfaction • International presence (exports) in 25 countries Canada Netherlands Czech Republic Spain USA Greece Turkey Kuwait Bahrain Saudi Arabia UAE Bangladesh Taiwan Oman Thailand Vietnam Sri Lanka 3 Colombia Maldives Malaysia Brazil Mauritius Australia South Africa Argentina Product Portfolio Mattress Line Home Comfort Line Technical Foam Line • My Mattress • Furniture Cushions • Automotive Foams • Spring Range • Pillows • Reticulated Foams • Technology Range • Bedsheets • Ultra Violet Stable Foams • Custom Cell Range • Comforters/Blankets • Silentech Foams • Back Support Range • Mattress Protectors • Flexi PUF Range • Sofa-cum-Beds • Showroom Range • Economy Range Awards & Accolades • Most Trusted Mattress Brand Award In India - Reader's Digest most trusted brand award 2018 trophy This award is decided through a Research Survey done amongst the 1.3 million readers of The Reader's Digest Magazine. was declared as the Gold Winner in the Mattress category • Economic Times Best Brand 2019 - In the Sleep & Comfort Brand Category. got shortlisted, after independent consumer research & shortlist done by the famous AC Nielsen research agency for the Economic Times • Business Standard Star SME of the Year 2017-18 • Computer Society of India ‘Best CIO of the Year – 2018’ for IT Innovation & Excellence • Data Quest ‘Digital Leader 2018’. This award is based on the ability to transform enterprise computing to the next orbit • IDC Insights Award 2018 has been awarded in the category of Excellence in Revenue Generation. This award honors Business & IT Leaders, who successfully executed an IT Implementation that 4 brought tangible results for the business Annual Report 2018-19 Sheela Foam Limited ENSURING A HEALTHY FUTURE Sleepwell-Innovations presents neem Your protection from skin allergies and breathing problems Neem Fresche is a technology that protects your home furnishing against dust mites that cause skin problems and breathing disorders. All Sleepwell products come treated with Neem Fresche. Protects against dust mites, Effective even after skin and breathing disorders multiple years and washes Certified by U.S. Environmental Environment friendly Protection Agency 5 The power of Neem Fresche, exclusively available in all Sleepwell Products Mattresses | Bedsheets | Pillows | Comforters | Blankets | Mattress Protectors Annual Report 2018-19 Sheela Foam Limited We at Sheela Foam, in our five decades of experience as the leader in the mattress industry, have always worked towards introducing new and innovative technologies for our valued consumers in order to give them not only the most comfortable sleeping experience possible but also to ensure their Health and Hygiene. This dedication to providing state-of-the-art sleep solutions has helped us stay ahead of the competition and closer to our consumers over the years. Our extensive and widespread presence in the mattress and comfort products industry is courtesy of our very high brand recall and a reputation for unmatched innovation. , launched in 1994, today stands as a prominent brand that has fully earned consumer trust and delivers on its brand promise of premium quality and customisation of products. products are developed through research and innovation at par with the highest international standards. With technological advancement and constant upgradation in the quality of products, has now successfully come up with , the most significant technological innovations in the mattress and home furnishing industry. This revolutionary technology brings together the best of nature and science to provide every product with a lasting resistance to dust mites and other allergens that cause skin problems and breathing disorder. The other path-breaking and innovative technology developed by is ‘Zero Turn’, which ensures that mattresses do not require periodic turning to avoid sagging. Use of breathable visco-elastic –‘Responsive Memory Foam’ memory foam that reduces stress ensures correct sleep posture and improves blood circulation. Customised mattresses to suit an individual’s body structure, weight and pressure distribution are also provided – it is as if the mattress was made for that individual only. Building on customer satisfaction and trust, has become a highly reliable brand, renowned for product quality and innovation in the industry. With the launch of , 6 we are ENSURING A HEALTHY FUTURE for our consumers. Annual Report 2018-19 Sheela Foam Limited Chairman’s Message Dear Shareholders, It gives me immense pleasure to present the FY 2018-19 Annual Report of the Company. The last financial year witnessed an industrial slowdown due to a fall in consumer demand. Pre-election uncertainty has also affected the market. Despite the slowdown and uncertain business environment, our Company has managed to post growth. We are considered as the leading Manufacturer & Consumer Brand of Mattress and Home Comfort Productsin our industry. Our constant efforts in product and process innovation helps us differentiate from our competition. The demand for our products is constantly growing and to cater to the same, we are planning to invest into new capacities as well as expansion of the existing capacity is also under consideration. The health of our consumer is a Financial performance: priority for the Company. To Future Strategy: The TDI price during the year was address this, the Company has volatile and unpredictable which introduced Neem-Fresche,
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