Financial Statements Guts Electro Mech 19 20

GUTS ELECTRO-MECH LIMITED
CIN: U52520TG1987PLC007245
BA�NCE SHEET ASAT MARCH 31, 2020
Amount in=(
ASSETS
Non-current assets
(a) Property, Plant and Equipment 4 77,166,468 73,851,578
(b) Capital work in progress 1,406,850
(c) Other Intangible assets 5 1,009,692 683,872
(d) Financial Assets
Other financial assets (net) 6 267,386 247,386
(e} Deferred Tax Assets 7 1,333,886 2,171,277
(f) Other non-current assets 8 4,590,791 5,215,562
84,368,223 83,576,525
Current assets
(a) Inventories 9 64,257,066 76,066,680
(b) FinandalAssets
(i) Trade receivables 10 34,308,588 47,749,893
(ii) Cash and cash equivalents 11 212,967 10,418,146
(iii) Others financial assets 12 7,646,033 2,159,693
(c) Other current assets 13 11,130,553 13,434,618
117,555,207 149,829,030
Total Assets 201,923,431 233,405,555
EQUITY AND LIABILITIES

Equity
(a) Equity Share capital 14 19,658,420 19,658,420
(b) Other Equity 15 75,046,203 29,803,334
94,704,623 49,461,754
Liabilities
Non - current liabilities
(a) Financial Liabilities
Other financial liabilities 16 40,481
(b) Provisions 17 4,609,387 3,712,990
4,649,868 3,712,990
CIN:U52520TG1987PLC007245
BALANCE SHEET AS AT MARCH 31, 2020
Amount in"
Current liabilities
(a) Financic1I Liabilities
(i} Borrowings 18 27,725,382 40,944,164
(ii) Trade payables 19 53,673,077 61,493,183
{iii) Other financial liabilities 20 1,966,473 1,444,281
(b) Other current liabilities 21 6,014,112 55,811,016
(c) Provisions 22 7,186,622 4,541,466
(d) Current Tax Liabilities (Net) 6,003,273 15,996,701
102,568,940 180,230,811
Contingent Liabilities and Commitments 23
Total equity and liabilities
========================
201,923,431 233,405,555
NOTES TO THE FINANCIAL STATEMENTS 1-46
for BRAHMAYYA& CO., for and on behalf of the Board

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Place: Hyderabad ABIE ABRAHAM

Date : May 21,2020 Director
CIN:U52520TG1987PLC007245
STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED MARCH 31, 2020
Amount in�
Revenue from Operations 24 526,504,744 602,250,247

Other Income 25 20,754,444 17,971,578
Total Income
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547,259,188 620,221,825
Expenses
Cost of materials. cosumed 26 329,918,666 396,526,673
Changes in inventories of Stock-In-Trade 27 6,565,368 (2,414,953)
Employee Benefits Expense 28 24,725,846 19,069,737
Finance Costs 29 5,883,501 6,510,503
Depreciation and amortisation expense 30 7,702,910 6,623,176
Other expenses 31 111,222,089 134,605,947
Total expenses 486,018,380 560,921,083
Profit before tax 61,240,808 59,300,742

Tax-Expenses:
a. Current Tax 16,500,000 16,000,000
b. Deferred tax liability /(Asset)
On Temporary Differences 902,162 12,186,446
Total Tax Expenses-------'----'---
17,402,162 28,186,446
Profit for the year 43,838,646 31,114,296
Other Comprehensive income 32

Items that will not be reclassified subsequently to profit or loss (257,335) 181,233
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Income tax relating to above items 64,771 (50,419)
Total Other Comprehensive Income for the Year (192,564) 130,814
Total Comprehensive Income for the Year 43,646,082 31,245,110
Earnings per Equity share- Basic and Diluted (In �) 33 22.30 15.83
NOTES TO THE flNANCIALSTATEMENTS 1-46
for and on behaif of the Board

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GUTS ELECTRO MECH LIMITED
CIN:U52520TG1987PLC007245
STATEMENT OF CASH FLOWS FOR THE YEAR ENDED MARCH 31, 2020
Amount in 1{
I. Cash flow from operating activities:

Profit before tax 61,240,808 59,300,742
Add: Other Comprehensive Income before Tax (257,335) 181,233
60,983,473 59,481,975
Adjustment for non-cash transactions:
Depreciation and amortization expenses 7,702,910 6,623,176
Interest on Lease Liability 4,498
Amortisation of prepaid lease rentals 38,125
Interest cost on de-commissioning liability 105,579 95,980
Credit Balances Written Back (3,124,859} (864,617)
Excess Provisions written back (11,754,738)
Profit on Sale of Property, Plant and Equipment (10,310)
Advances Written Off 454,136
Debit Balances Written Off 72,628 297,164
Bad debts Written Off 5,173,504 5,203,685
Provisions made during the year:
E_xpected credit loss (3,493,406) (4,633,174)
CSR 500,000
Advances 7,934,997
Inventory 775,960
Warranties 2,128,534 2,418,949
70,828,821 65,285,348
Adjustmentfor investing and financing activities:
Interest.Income: {14,176) {26,446)
lnterestpaid on borrowings (finance cost) 4,970,783 5,674,580
4,956,607 5,648,134
Adjustmentfor changes in working capital:
Decrease I (increase) in inventories 11,033,654 (913,411)
Decrease I (increase) in trade receivables 11,761,207 14,302,442
Decrease I (increase) in other current financial assets (5,558,968) (1,192,388)
D e. crease I (increase) in non current financial assets. (20,000)
Decrease/ (_increase} in other current assets 2,265,960 1,846,635
Decrease I {increase) in other non-current assets (2,525,792) (2,030,088)
(Decrease) /Increase in trade payables (4,695,247) (13,888,047)
(Decrease) /Increase in other current financial liabilities 522,192 (1,011,192)
(Decrease) /Increase in non current financial liabilities (5,787)
(Decrease) /Increase in other current liabilities (49,796,904) (13,110,789)
(Decrease) /Increase in long term provisions 790,818 414,933
(Decrease) /Increase in short term provisions 16,622 (20,583,413)
(36,212,245) (36,165,318}
Cash generated from operations 39,573,183 34,76.8,164
Less: Direct taxes paid (net of refunds) (26,493,448) (3,241,498)
Net cash flowfrom operating activities {I) 13,079,735 31,526,666
CIN: U52520TG1987PLC007245
.STATEMENT OF CASH FLOWS FOR THE YEAR ENDED MARCH 31, 2020
Amount in�
II. Cash flows from investing activities

Purchase of fixed assets, including CWIP (6,709,525) (13,586,923)
Sale offixed assets 34,746
Interest received for the year 14,176 26,446
Net cash flow from/ {used in} investing activities (II} (6,695,349) (13,525,731)
Ill. Cash flows from financing activities

Proceeds from long term borrowings (net) (1,003,405)
Interest paid for the year (3,370,783) (4,088,441)
Proceeds from Issue of Share Capital at Premium
Net cash flow (used in) financing activities {Ill} (3,370,783) (5,091,846)
IV. Net (decrease}/increase in cash and cash equivalents {I+ II+ Ill} 3,013,603 12,909,089
Cash and cash equivalents at the beginning of the year (30,526,018) (43,435,107)
V. Cash and cash equivalents at the end of the year (27,512,415) (30,526,018)
VI. Components of cash and cash equivalents:

Cash on hand 62,930 122,898
With banks:
On Current Account 150,037 10,295,248
On Cash Credit Accounts (27,725,382) (40,944,164)
Total cash and cash equivalents {Note No 11 and 18) (27,512,415) {30,526,018)
per our report of even date for and on behalf of the Board
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uate : May 21,2020 Director
Gl,JTS ELECTRO-MECH LIMITED
.CIN: U52520TG1987PLC007245
STATEMENT OF CHANGES. IN EQUITY FOR THE YEAR ENDED MARCH 31, 2020
A-, Equi\y Share Capital Ar:nount in"
i. At the begin inn lg ofthe year 19,658,420 19,658,420

ii. Changes during the year
iii. At the end of the year 19,658,420 19,658,420
B. Other Equity Ar:nount in "
,. Adjustment due to adoption of lndAS 116

Balance as at April 01, 2019 2,226,849 3,105,124 23,861,228 379;240 230,894 29,803,335

(3,214)
Other Comprehensive Income for the year (192,564) (192,564)

Additional Investment by Parent Company 1,600,000 1,600;000
II. Balance as at March 31, 2020 3,826,849 46,943,770 23,861,228 379,240 38,330 75,046;203
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CIN:U52520TG1987PLC007245
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2020
1. Corporate information:
GUTS Electro-Mech Limited (the 'Company') was originally incorporated as a Private Limited company
on 06th March 1987 under the Companies Act, 1956 and subsequently converted into a public limited
company on 30th October 1992.Later on, the Company has become a subsidiary ofV-Guard Industries
Limited with effect from August 31,2017. At present the Company is engaged in the business of
manufacture of circuit breakers, relays, electronic and electromechanical items.
2. Basis of Preparation:
These Financial Statements have been prepared in accordance with the accounting principles
generally accepted in India including Indian Accounting Standards (Ind AS) prescribed under the
Section 133 of the Companies Act, 2013 read with rule 3 of the Companies (Indian Accounting
Standards) Rules, 2015 as amended and relevant provisions of the Companies Act, 2013
Accordingly, the Company has prepared these Financial Statements which comprise the Balance
Sheet as at 31 March, 2020, the Statement of Profit and Loss , the Statement of Cash Flows and the
Statement of Changes in Equity for the year ended as on that date, and accounting policies and other
explanatory information (together hereinafter referred to as financial statements.
The financial statements have been prepared on historical cost basis, except for financial instruments
which have been measured at fair value at the end of each reporting period, as required by relevant
Ind AS and as explained in the accounting policies mentioned below.
These financial statements were approved by the Board of Directors and authorised for Issuance in
their meeting held on May 21, 2020.
3. Significant Accounting policies:
a) Significant accounting estimates, assumptions, and judgements:
The preparation of Company's financial statements requires management to make accounting
estimates, assumptions and judgements that affect the reported amounts of revenues,
expenses, assets and liabilities and the accompanying disclosures of contingencies at the end of
the reporting period. Uncertainty about these assumptions and estimates could result in
outcomes that require a material adjustment to the carrying amounts of assets or liabilities in
future periods.
Estimates and Assumptions:
i. Impairment of non-current assets:
Impairment exists when the carrying value of an asset or cash generating unit exceeds its
recoverable amount, which is the higher of its fair value less costs of disposal and its value
in use. The fair value less costs of disposal is calculated based on available data from
binding sales transactions, conducted at arm's length, for similar assets or observable
market prices less incremental costs for disposing of the asset. The value in use calculation
is based on a Discounted Cash Flow ("DCF") model. The value in use is sensitive to the
discount rate (generally weighted average cost of capital) used for the DCF model as well
as the expected future cash-inflows and the growth rate used for exploration p11rposes.
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CIN:U52520TG1987PLC007245
ii. Defined Benefit Plans:

The present value of the gratuity obligation is determined using actuarial valuation. An
actuarial valuation involves making various assumptions that may differ from actual
developments in the future. These include the determination of the discount rate, rate of
increment in salaries and mortality rates. Due to complexities involved in the valuation and
its long-term nature, a defined benefit obligation is highly sensitive to changes in these
assumptions. All the assumptions are reviewed at each reporting date.
iii. Fair Value measurement of financial instruments:
When the fair values of financial assets and financial liabilities on reporting date cannot be
measured based on quoted prices in active markets, their fair value is measured using
valuation techniques i.e., the DCF model. The inputs to these models are taken from
observable markets.
iv. Contingencies:
Management judgement is required for estimating the possible inflow/outflow of
.resources, if any, in respect of contingencies/claims/litigations against the company/by the
company as it is not possible to predict the outcome of pending matters with accuracy.
v. Property, Plant and Equipment:
Based on evaluations done by technical assessment team, the management has adopted
the useful life and residual value of its Property, Plant and Equipment. Management
believes that the assigned useful lives and residual value are reasonable.
vi. Income Taxes:
Management judgment is required for the calculation of provision for income taxes and
deferred tax assets/liabilities. The Company reviews at each balance sheet date the
carrying amount of deferred tax assets/liabilities. The factors used in estimates may differ
from actual outcome which could lead to significant adjustment to the amounts reported
in the financial statements.
vii. Life -Time Expected Credit Loss on Trade and Other Receivables:
Trade and other receivables are stated at net of trade payable to the respective party
where there is a written understanding between the Company and the particular
customer/vendor. Trade Receivables and Other Receivables do not carry any interest and
are stated at their transaction value as reduced by life-time expected credit losses
("LTECL"). Management has evaluated LTECL for receivables as follows:
Particulars Up to 180 180-365 365-730 730-1095 1095-1460 Beyond

Days Days Days Days Days 1460 Days
Expected loss
0.00 50.00 75.00 100.00 100.00 Write off
Rate(%)
CIN:U52520TG1987PLC007245
b) Current Vs Non-current classifications

The Company presents assets and liabilities in the balance sheet based on current/ non-current
classification.
An asset is treated as current when it satisfies any of the following criteria:
i. Expected to be realised or intended to be sold or consumed in normal operating cycle;
ii. Held primarily for the purpose of trading;
iii. Expected to be realised within twelve months after the reporting period, or
iv. Cash or cash equivalent unless restricted from being exchanged or used to settle a liability
for at least twelve months after the reporting period.
All other assets are classified as non-current assets.
A liability is classified as current when it satisfies any of the following criteria:

i. Expected to settle the liability in normal operating cycle;
ii. Held primarily for the purpose of trading;
iii. Due to be settled within twelve months after the reporting period, or
iv. There is no unconditional right to defer the settlement of the liability for at least twelve
months after the reporting period
All other liabilities are classified as non-current.
Deferred tax assets and liabilities are classified as non-current assets and liabilities.
The operating cycle is the time between the acquisition of assets for processing and their
realisation in cash and cash equivalents. However, a period of 12 months is considered as
ultimate operating cycle.
c) Property, Plant and Equipment:

Property, Plant and Equipment are stated at cost net of input credits, less accumulated
depreciation and impairment losses, if any. Cost comprises the purchase price and any
attributable cost of bringing the asset to its working condition for its intended use. Borrowing
costs relating to acquisition of property, plant and equipment which take substantial period of
time to get ready for its intended use are also included to the extent they relate to the period till
such assets are ready to be put to use.
The company adopted cost model as its accounting policy, in recognition of the property, Plant
and Equipment and recognises the transaction value as the cost.
Subsequent expenditure is capitalised to the asset's carrying amount only when it is probable
that future economic benefits associated with the expenditure will flow to the company and the
cost of the item can be measured reliably. All other repairs and maintenance costs are expensed
when incurred.
Capital work in progress includes cost of property, plant and equipment under installation/under
development as at the balance sheet date.
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CIN: U52520TG1987PLC007245
An item of Property, Plant and Equipment is derecognised upon disposal or when no future
economic benefits are expected from its use. Any gain or loss arising on derecognition of the
asset (calculated as the difference between the net disposal proceeds and the carrying amount
of the asset) is recognised in the Statement of Profit and Loss. Property, Plant and Equipment
which are found to be not usable or retired from active use or when no further benefits are
expected from their use are removed from the books of account and the carrying value if any is
charged to Statement of Profit and Loss.
Assets costing five thousand rupees or less are fully depreciated in the year of purchase.
Depreciation on Property, Plant and Equipment is provided based on the useful lives of the assets
as estimated by the Management, which are in line with Schedule II to the Companies Act, 2013
Estimated useful life of the assets are as follows:
Method of Useful life considered
Type of the Asset
Depreciation (Years)
Buildings SLM 30- 60
Plant and Equipment SLM 15
Furniture and Fittings SLM 10
Vehicles SLM 8
Tools and Equipment SLM 10
Computers SLM 3-6
Electrical Installations and Equipment SLM 10
Lab Equipment SLM 10
Right of use asset SLM 90
d} Impairment of non-financial assets:

i. The carrying amounts of assets are reviewed at each balance sheet date if there is any
indication of impairment based on internal/external factors. An impairment loss is
recognized wherever the carrying amount of an asset exceeds its recoverable amount. The
recoverable amount is the greater of the asset's net selling price and value in use. In
assessing value in use, the estimated future cash flows are discounted to their present value
at the weighted average cost of capital. After impairment, depreciation is provided on the
revised carrying amount of the asset over its remaining useful life.
ii. Reversal of impairment losses recognised in prior years is recorded when there is an
indication that the impairment losses recognised for the asset no longer exists or have
decreased. The reversal is limited so that the carrying amount of the asset does not exceed
its recoverable amount, nor exceed the carrying amount that would have been determined,
net of depreciation, had no impairment loss been recognised for the asset in prior years.
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CIN:U52520TG1987PLC007245
e) Leases:
The determination of whether an agreement is (or contains) a lease is based on the substance of
the arrangement at the inception of the lease. The arrangement is, or contains, a lease if
fulfilment of the arrangement is dependent on the use of a specific asset or assets and the
arrangement conveys a right to use the asset or assets, even if that right is not explicitly specified
in an arrangement.
Classification on inception of lease:
a. Operating lease:
Leases where the lessor effectively retains substantially all the risks and benefits of
ownership of the leased item, are classified as operating leases.
b. Finance Lease:
A lease is classified as a financial lease where the lessor transfers substantially all the risks
and rewards incidental to the ownership of the leased item.
The company has applied Ind AS 116 using the modified retrospective approach and
therefore the comparative information has not been restated and continues to be reported
under Ind AS 17.
Accounting of Operating leases:
a. Where the Company is the lessee:
The company has elected not to recognise right-of-use assets and lease liabilities
for short- term and Cancellable leases having a lease term up to 36 months. The
company recognises the lease payments associated with these leases as an expense
on a straight-line basis over the lease term. In case the escalation in operating lease
payments are in line with the expected general inflation rate then the lease payments are
charged to statement of profit and loss instead of straight-line method.
b. where the Company is the lessor:
Lease income is recognised in the Statement of Profit and Loss on a straight-line basis over
the lease term. Initial direct costs such as legal costs, brokerage costs, etc., are added to
the carrying amount of the leased asset and recognised as an expense over the lease term.
f) Inventories:
i. Raw Materials, Stores and Spares and Consumables are stated at lower of Cost and Net
realizable value. However, materials and other items held for use in the production of
inventories are not written down below cost in which they will be incorporated and
expected to be sold at or above cost. Cost is determined on FIFO basis.
ii. Work-in-progress and finished goods are stated at the lower of cost and net realizable value.
iii. Cost includes direct materials, labour and a proportion of manufacturing overheads based
on actual production. Cost is determined on FIFO basis.
iv. Net realizable value is the estimated selling price in the ordinary course of business, less
estimated costs of completion and estimated costs necessary to make the sale.'°"'
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CIN:U52520TG1987PLC007245
g) Revenue recognition:
Revenue from contracts with customers includes Sale of Goods and Services and is recognised
when control of goods or services are transferred to the customer at an amount that reflects the
consideration entitled in exchange for those goods or services.
Revenue is measured at the fair value of consideration received or receivable and is recognized
when the control in all respects, over the Goods or Services is transferred to and accepted by
the customer and the company has not retained any significant risks of ownership and future
obligations with respect to such Goods or Services. Specifically, the following basis is adopted for
various sources of income:
The Company does not expect to have any contracts where the period between the transfer of
the promised goods or services to the customer and payment by the customer exceeds one year.
As a consequence, it does not adjust any of the transaction prices for the time value of money.
i. Sale of goods: Revenue is recognised when the significant risks and rewards of ownership
of the goods have passed to the buyer and is disclosed net off discounts, taxes collected and
returns.
ii. Interest: Interest Income is recognised on a time proportion basis taking into account the
amount outstanding and the rate applicable.
iii. Export Incentives: Export benefits in the form of Merchandise Exports from India are
recognised as and when the amounts are sanctioned by DGFT.
h) Government Grants and Subsidies:
Government grants and subsidies are recognised where there is reasonable assurance that the
grant/subsidy will be received, and all attached conditions will be complied with.
Government grants relating to income are deferred and recognised in the profit or loss over the
period necessary to match them with the costs that they are intended to compensate and
presented within other income.
Government grants relating to the purchase of property, plant and equipment are included in
non-current liabilities as deferred income and are credited to profit or loss on a straight-line basis
over the expected lives of the related assets and presented within other income.
i) Foreign Currency Transactions:
i. Functional and Reporting Currency: The Company's functional and reporting currency is
Indian National Rupee.
ii. Initial Recognition: Foreign currency transactions are recorded in the reporting currency,
by applying to the foreign currency amounts the exchange rate between the reporting
currency and the foreign currency on the date of the transaction.
iii. Conversion on reporting date: Foreign currency monetary items are reported at the closing
rate. Foreign currency non-monetary items are reported at historical cost.
iv. Exchange Differences: Exchange difference arising on the settlement of monetary items or
on reporting monetary items of company at rates different from those at which they were
initially recorded during the year or reported in previous financial statements are
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CIN:U52520TG1987PLC007245
j) Borrowing Costs:
Borrowing costs directly attributable to the acquisition, construction or production of an asset
that necessarily takes a substantial period of time to get ready for its intended use or sale are
capitalised as part of the cost of the asset. All other borrowing costs are expensed in the period
in which they occur. Borrowing costs consist of interest and other costs that an entity incurs in
connection with the borrowing of funds. Borrowing cost also includes exchange differences to
the extent regarded as an adjustment to the borrowing costs.
k) Retirement and other employee benefits:
i. Employer's contribution to Provident Fund/Employee State Insurance which is in the nature
of defined contribution scheme is expensed off when the contributions to the respective
funds are due. There are no other obligations other than the contribution payable to these
funds.
ii. The company operates a gratuity plan which is in the nature of defined benefit obligation.
The company's liability is provided based on independent actuarial valuation on projected
unit credit method made at the end of each financial year as per the requirements of Ind AS
19 on "Employee Benefits".
iii. Gratuity liability is considered as post-employment benefit expense as per Ind AS -19.
Accordingly, Actuarial gain/(loss} on re-measurement of present value of defined benefit
obligation and actual return on plan assets excluding net interest is recognised under other
comprehensive income for the year.
iv. Accumulated leaves, which are expected to be utilised within the next twelve months, are
treated as short-term employee benefits. The Company measures the expected cost of such
absences as the additional amount that it expects to pay as a result of the unused
entitlement that has accumulated at the reporting date.
v. The Company treats accumulated leaves expected to be carried forward beyond twelve
months, as long-term employee benefit for measurement purposes. Such long-term
compensated absences are provided for based on the actuarial valuation using the
projected unit credit method at the year-end. Actuarial gains/losses are immediately taken
to the statement of profit and loss and are not deferred.
I} Earnings Per Share:
Basic earnings per share are calculated by dividing the profit for the period attributable to equity
shareholders by the weighted average number of equity shares outstanding during the period.
For the purpose of calculating diluted earnings per share, the profit for the period attributable to
equity shareholders and the weighted average number of shares outstanding during the period
are adjusted for the effects of all dilutive potential equity shares.
CIN:U52520TG1987PLC007245
m) Provisions:
Provisions are recognised when there is a present legal or constructive obligation that can be
estimated reliably, as a result of a past event, when it is probable that an outflow of resources
embodying economic benefits will be required to settle the obligation and a reliable estimate can
be made of the amount of the obligation. Provisions are not recognised for future operating
losses.
Any reimbursement that the Company can be virtually certain to collect from a third party with
respect to the obligation is recognised as a separate asset. However, this asset may not exceed
the amount of the related provisions.
Provisions are reviewed at each reporting date and adjusted to reflect the current best estimate.
If it is no longer probable that an outflow of economic resources will be required to settle the
obligation, the provisions are reversed. Where the effect of the time of money is material,
provisions are discounted using a current pre-tax rate that reflects, where appropriate, the risks
specific to the liability. When discounting is used, the increase in the provisions due to the
passage of time is recognised as a finance cost.
n) Contingencies:
Where it is not probable that an inflow or an outflow of economic resources will be required, or
the amount cannot be estimated reliably, the asset or the obligation is not recognised in the
statement of balance sheet and is disclosed as a contingent asset or contingent liability. Possible
outcomes on obligations/rights, whose existence will only be confirmed by the occurrence or
non-occurrence of one or more future events are also disclosed as contingent assets or
contingent liabilities.
o) Decommissioning Liability:
Decommissioning costs are provided at the present value of expected costs to settle the
obligation using estimated cash flows and are recognised as part of the cost of the particular
asset. The cash flows are discounted at a current pre-tax rate that reflects the risks specific to the
decommissioning liability. The unwinding of the discount is expensed as incurred and recognised
in the statement of profit and loss as a finance cost. The estimated future costs of
decommissioning are reviewed annually and adjusted as appropriate. Changes in the estimated
future costs or in the discount rate applied are added to or deducted from the cost of the asset.
p) Taxes on Income:
Tax expense comprises of current and deferred tax. Current income tax is measured at the
amount expected to be paid to the tax authorities in accordance with the Income Tax Act, 1961.
Current tax includes taxes to be paid on the profit earned during the year and for the prior
periods.
Deferred income taxes are provided based on the balance sheet approach considering the
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temporary differences between the tax bases of assets and liabilities and their carrying amounts
for financial reporting purposes at the reporting date.
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Deferred tax is measured based on the tax rates and the tax laws enacted or substantively
enacted at the balance sheet date. Deferred tax assets are recognised only to the extent that
there is reasonable certainty that sufficient future taxable income will be available against which
such deferred tax assets can be realised. In situations where the company has unabsorbed
depreciation or carry forward tax losses, all deferred tax assets are recognised only if it is
probable that they can be utilised against future taxable profits.
The carrying amount of deferred tax assets are reviewed at each balance sheet date. The
company write-off the carrying amount of a deferred tax asset to the extent that it is no longer
probable that sufficient future taxable income will be available against which deferred tax asset
can be realized. Any such write-off is reversed to the extent that it becomes reasonably certain
that sufficient future taxable income will be available.
Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right exists to set
off current tax assets against current tax liabilities and the deferred taxes relate to the same
taxable entity and the same taxation authority.
q) Prior period items:
In case prior period adjustments are material in nature, the company prepares the restated
financial statement as required under Ind AS 8 - "Accounting Policies, Changes in Accounting
Estimates and Errors". In case of immaterial items, such adjustments are shown under respective
items in the Statement of Profit and Loss.
r) Cash and cash equivalents:
Cash and cash equivalents include cash on hand and at bank, deposits held at call with banks,
other short-term highly liquid investment with original maturities of three months or less that
are readily convertible to a known amount of cash which are subject to an insignificant risk of
changes in value and are held for meeting short-term cash commitments.
For the purpose of the statement of cash flows, cash and cash equivalents consist of cash and
short-term deposits, as defined above, net of outstanding bank overdrafts as they are considered
an integral part of the Company's cash management.
s) Segment Reporting:
Operating segments are reported in a manner consistent with the internal reporting provided to
the Executive Management/Chief operating decision maker ("CODM").
t) Financial instruments:
A financial instrument is any contract that gives rise to a financial asset of one entity and a
financial liability or equity instrument of another entity.
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Financial Assets:
a. Initial recognition and measurement:
All financial assets are recognised initially at fair value plus, in the case of financial assets
not recorded at fair value through profit or loss, transaction costs that are attributable to
the acquisition of the financial asset. Transaction costs of financial assets carried at fair
value through profit or loss are expensed in statement of profit or loss. Purchases or sales
of financial assets that require delivery of assets within a time frame established by
regulation or convention in the market place (regular way trades) are recognised on the
trade date, i.e., the date that the company commits to purchase or sell the asset.
b. Subsequent measurement:
For the purpose of subsequent measurement, financial assets are classified in to following
categories
a. Debt instruments at amortised cost
b. Debt Instruments at fair value through profit and loss (FVTPL)
c. Equity instruments at fair value through profit and loss (FVTPL)
a. Debts Instruments at amortised cost:
A 'Debt Instrument' is measured at the amortised cost if both the following
conditions are met:
i. The asset is held within a business model whose objective is to hold assets
for collecting contractual cash flows, and
ii. Contractual terms of the asset give rise on specified dates to cash flows that
are solely payments of principal and interest (SPPI) on the principal amount
outstanding.
After initial measurement, such financial assets are subsequently measured at
amortised cost using the effective interest rate (EIR) method.
Amortised cost is calculated by taking into account any discount or premium on
acquisition and fees or costs that are an integral part of EIR. The EIR amortisation
is included in other income in the profit or loss. The losses arising from
impairment are recognised in the profit or loss.
b. Debt Instruments at Fair value through profit and loss (FVTPL):
As per the Ind AS 101 and Ind AS 109, the Company is permitted to designate the
previously recognised financial asset at initial recognition irrevocably at fair value
through profit and loss on the basis of fact and circumstances that exists on the
date of transition to Ind AS. Debt instruments included within the FVTPL category
are measured at fair value with all changes recognised in the statement of Profit
and Loss.
CIN:U52520TG1987PLC007245
c. Equity instruments at fair value through profit and loss (FVTPL):

Equity instruments in the scope of Ind AS 109 are measured at fair value. The
classification is made on initial recognition and is irrevocable. Subsequent
changes in the fair values at each reporting date are recognised in the Statement
of Profit and Loss.
c. Derecognition:
A financial asset or where applicable, a part of a financial asset is primarily
derecognised when:
a. The rights to receive cash flows from the asset have expired, or
b. The company has transferred its rights to receive cash flows from the asset or has
assumed an obligation to pay the received cash flows in full without material
delay to a third party under a 'pass-through' arrangement; and either (a) the
Company has transferred substantially all the risks and rewards of the asset, or
(b) the company has neither transferred nor retained substantially all the risks
and rewards of the asset but has transferred control of the asset.
When the company has transferred its rights to receive cash flows from an asset or
has entered into a pass-through arrangement, it evaluates, if and to what extent it has
retained the risks and rewards of ownership. When it has neither transferred nor
retained substantially all of the risks and rewards of the asset, nor transferred control
of the asset, the company continues to recognise the transferred asset to the extent
of the company's continuing involvement. In that case, the company also recognises
an associated liability. The transferred asset and the associated liability are measured
on a basis that reflects the rights and obligations that the company has retained.
d. Impairment of financial assets:

In accordance with Ind AS 109, the Company applies expected credit loss (ECL) model
for measurement and recognition of impairment loss on the financial instruments.
Expected credit loss is the difference between all contractual cash flows that are due
to the company in accordance with the contract and all the cash flows that the entity
expects to receive.
The management uses a provision matrix to determine the impairment loss on the
portfolio of trade and other receivables. Provision matrix is based on its historically
observed expected credit loss rates over the expected life of the trade receivables and
is adjusted for forward looking estimates.
Expected credit loss allowance or reversal recognised during the period is recognised
as income or expense, as the case may be, in the statement of profit and loss. In case
of balance sheet, it is shown as an adjustment from the specific financial asset.
CIN: U52520TG1987PLC007245
NOTES TO THE FINANCIAL STATEMENTS FOR THE VEAR ENDED MARCH 31, 2020
Financial liabilities:
a. Initial recognition and measurement:
At initial recognition, all financial liabilities are recognised at fair value and in the case
of loans, borrowings and payables, net of directly attributable transaction costs.
b. Subsequent measurement:
i. Financial liabilities at fair value through profit or loss
Financial liabilities at fair value through profit or loss include financial liabilities
held for trading and financial liabilities designated upon initial recognition as at
fair value through profit or loss. Gain or losses on liabilities held for trading are
recognised in the profit or loss. The company doesn't designate any financial
liability at fair value through profit or loss.
ii. Financial liabilities at amortised cost:
Amortised cost, in case of financial liabilities with maturity more than one year,
is calculated by discounting the future cash flows with effective interest rate. The
effective interest rate amortisation is included as finance costs in the statement
of profit and loss. Financial liability with maturity of less than one year is shown
at transaction value.
c. Derecognition:
A financial liability is derecognised when the obligation under the liability is discharged
or cancelled or expires. The difference between the carrying amount of a financial
liability that has been extinguished or transferred to another party and the
consideration paid, including any non-cash assets transferred or liabilities assumed, is
recognised in profit or loss as other income or finance costs.
Reclassification:
The Company determines classification of financial assets and liabilities on initial
recognition. After initial recognition, no reclassification is made for financial assets which
are equity instruments and financial liabilities. If the Company reclassifies financial assets, it
applies the reclassification prospectively from the reclassification date which is the first day
of the immediately next reporting period following the change in business model. The
Company does not restate any previously recognised gains, losses (including impairment
gains or losses) or interest.
t) Fair Value Measurement:
The Company measures financial instruments at fair value at each balance sheet date.
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an
orderly transaction between market participants at the measurement date. The fair value
measurement is based on the presumption that the transaction to sell the asset or transfer the
liability takes place either
• in the principal market for such asset or liability, or
• in the absence of a principal market, in the most advantageo �=t which is
ible to the company.
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CIN:U52520TG1987PLC007245
The fair value of an asset or a liability is measured using the assumptions that market participants
would use when pricing the asset or liability, assuming that market participants act in their
economic best interest.
A fair value measurement of a non-financial asset takes into account a market participant's ability
to generate economic benefits by using the asset in its highest and best use or by selling it to
another market participant that would use the asset in its highest and best use.
The company uses valuation techniques that are appropriate in the circumstances and for which
sufficient data are available to measure fair value, maximising the use of relevant observable
inputs and minimising the use of unobservable inputs.
All assets and liabilities for which fair value is measured or disclosed in the financial statements
are categorized within the fair value hierarchy, described as follows, based on the lowest level
input that is significant to the fair value measurement as a whole:
a. Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or
liabilities.
b. Level 2 -Valuation techniques for which the lowest level input that is significant to the fair
value measurements is directly or indirectly observable.
c. Level 3 -Valuation techniques for which the lowest level input that is significant to the fair
value measurement is unobservable.
For assets and liabilities that are recognised in the financial statements on recurring basis, the
Company determines whether transfers have occurred between levels in the hierarchy by re
assessing the categorization (based on the lowest level input that is significant to the fair value
measurement as a whole) at the end of each reporting period.
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CIN: US2520TG1987PLC007245
NOTES TO THE FINANCIAL STATErJ1ENTS FOR THE YEAR ENDED MARCH 31, 2020
4 PROPERTY, PLANT ANO EQUIPMENT
01 Land 335,175 - - 335,175 - - - - 335,175 335,175

02 Buildings 18,985,205 379,768 - 19,364,973 4,945,864 648,203 5,594,067 13,770,906 14,039,341
03 Plant and Equipment • 73,000,982 3,756,735 76,757,717 25,988,864 4,675,077 - 30,663,941 46,093,776 47,012,118
04 Electrical Fittings 1,420,138 - - 1,420,138 333,543 113,739 447,282 972,856 1,086,595
05 Office Equipment• 4,122,304 280,212 - 4,402,516 2,247,312 521,161 2,768,473 1,634,043 1,874,992
06 Tools and Equipments• 9,896,830 2,747,098 12,643,928 4,121,366 963,098 - 5,084,464 7,559,464 5,775,464
07 Data Processing equipment• 2,655,223 287,110 - 2,942,333 1,405,933 192,422 - 1,598,355 1,343,978 1,249,290
08 Furniture and fixtures 2,169,090 253,394 2,422,484 645,592 288,685 - 934,277 1,488,206 1,523,498
09 Vehicles 1,476,221 - - 1,476,221 521,116 175,661 - 696,777 779,444 955,105
10 Right of use asset 3,227,244 3,227,244 - 38,625 38,625 3,188,619
Grand Total 114,061,168 10,931,562 - 124,992,730 40,209,590 7,616,672 - 47,826,262 11,1s6,46a I 73,851,578
Previous year I 102,s32,ss_! I 11,4sa,s04 1 40,000 I 114,os1,161 1 33,629,574 J s,s9s,sao I 1s,s64 I 40,209,sgo I 13,ss1,s1a I 69,002,989
01 Intangible assets 711,468 412,058 1,123,526 27,596 86,238 113,834 1,009,692 683,872
Grand Total 711,468 412,058 1,123,526 27,596 86,238 113,834 1,009,692 683,872
Previous year 711,468 711,468 27,596 27,596 683,872
Given on Lease as at with Job Workers as at

Include the following (Gross Value)
31.03.2020 31.03.2019 31.03.2020 31.03.2019
Plant and Equipment 6,395,939 5,855,151 10,004,723 10,718,933
Office Equipment 89,370 89,370 4,590 4,590
Tools and Equipments 1,125,513 815,463 1,416,277 904,877
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Data Processing equipment 132,764 132,764
Furniture and fixtures 80,450 14,850 13,000 13,000
TOTAL 7,824,036 6,907,598 11,438,590 11,641,400
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Amount in '1!
6 Other Non Current Financial Assets:

Security Deposits 267,386 247,386
Total 267,386 247,386
7 Deferred Taxes:
Net deferred tax recognised in Balance Sheet
Fair value of financial assets/liabilities 1,391,090 2,509,415
Accelerated depreciation (6,200,807) (5,623,679)
Other disallowances 6,143,603 5,285,541
Total 1,333,886 2,171,277
Movement in Deferred Taxes

Deferred tax asset/(liability) - Profit and loss (902,162) (12,186,446)
Deferred tax asset/(liability) - OCI 64,771 (50,419)
Total (837,391) (12,236,865)
8 Other Non Current Assets:

Prepaid Lease Rentals 3,147,349
Prepaid Expenses 2,667,153
Capital advances 1,923,638 1,872,936
Equipment in transit 195,277
Total 4,590,791 5,215,562
9 Inventories:
Raw Materials at cost * 36,597,622 44,089,378
Raw Materials in Transit at cost 1,393,350
Work in Progress at cost** 17,882,851 24,958,730
Finished Goods at cost 6,781,178 6,525,598
Stock of Scrap at Realisable Value*** 747,905 492,974
MEIS duty scrips 1,630,120
Provision for non moving Inventory (775,960)
Total 64,257,066 76,066,680
* includes with Job Workers 11,449,901 9,221,701

** includes with Job Workers 3,575,402 4,932,284
***includes with Job Workers 138,316 271,247
CIN: U52520TG1987PLC007245
10 Trade Receivables:
Considered Good
Due from Related Parties 83,25,267
Due from Others 2,54,91,222 4,69,83,755
3,38,16,489 4,69,83,755
With Significant Increase in Credit Risk
Due from Others 18,04,363 26,57,135
Less: Expected Credit Loss on above 13,12,264 18,90,997
4,92,099 7,66,138
Credit Impaired
Due from Others 42,14,513 71,29,186
Less: Expected Credit Loss on above 42,14,513 71,29,186
Total 3,43,08,588 4,77,49,893
11 Cash and cash equivalents:

Balances with banks
Current Accounts 1,50,037 1,02,95,247
Cash on Hand 62,930 1,22,898
Total 2,12,967 1,04,18,146
12 Other financial assets - Current:

Staff Advances 83,998 5,000
Other Receivables 75,61,035 21,53,693
Total 76,46,033 21,59,693
13 Other Current Assets:

Advance for Purchases and Expenses 1,27,75,012 1,24,16,130
Less: Provision for Doubtful Advance (79,34,997) (79,34,997)
Balance with Statutory Authorities 62,08,906 59,47,697
Prepaid Expenses 81,632 29,67,664
Prepaid Lease Rentals 38,125
Total 1,11,30,553 1,34,34,618
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CIN:U52520TG1987PLC007245
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Note
Particulars
. - As at' flfl As at
No. March 31, 2020, �arch 31, 2019
14 Equity Share Capital:

A. Authorised Share Capital:
2,000,000 EquityShares of" 10/- each 20,000,000 20,000,000
20,000,000 20,000,000
8. Issued, Subscribed and Fully Paid up share capital:

1,965,842 EquityShares of" 10/- each 19,658,420 19,658,420
Total 19,658,420
19,658,420
=======a============
C. Reconciliation of the shares outstanding at the beginning and at the end of year:
In no. of Shares
At the beginning and at the end of the Year 1,965,842 1,965,842
1,965,842 1,965,842
In value of Shares
At the beginning and at the end of the Year 19,658,420 19,658,420
19,658,420 19,658,420
D. Rights attached ta the Equity Shares:

The company has only one class of equity shares having a face value of " 10/- per share with one vote per
each share. The company declares and pays dividends in Indian rupees. The dividend proposed by the Board
of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.
In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining
assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to
the number of equity shares held by the shareholders.
E. Shares held by Holding Company:

V-Guard Industries Limited -in numbers 1,454,723 1,454,723
F. Details of Shareholders holding more than 5% shares in the company:

Equity Shares:
a. RB VS Arun Kumar -in numbers 511,119 511,119

- In percentage 26.00 26.00
c. V-Guard Industries Limited -in numbers 1,454,723 1,454,723

- In percentage 74.00 74.00
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CIN:U52520TG1987PLC007245
Amount in�
15 Other Equity:
Additional Investment from the Parent Company 3,826,849 2,226,849
Capital Reserve (Industrial Subsidy)

At the beginning and at end of the Year 379,240 379,240
Securities Premium
At the beginning and at end of the Year 23,861,228 23,861,228
Surplus in Statement of Profit and Loss

At the beginning of the Year 3,105,124 (28,009,173)
Adjustment due to adoption of lndAS 116 (3,214)
At the end of the Year 46,940,556 3,105,123
Other Comprehensive Income

On acturial Gain/(loss) on post employment benefits
At the beginning of the Year 230,894 100,080
Profit transferred from the statement of Profit and loss (192,564) 130,814
At the end of the Year 38,330 230,894
Total
=======::::::::=
75,046,203
=== =======
29,803,334
16 Other financial liabilities - Non Current:

Lease Liability 40,481
Total
=====::::::====
40,481
====
17 Provisions - Non Current:
Provision for employee benefits
Provision for compensated absences 556,224 339,807
Provision for Gratuity (refer Note:36) 2,891,803 2,317,402
Other Provisions
De-commissioning liability 1,161,360 1,055,781
Total
===========================
4,609,387 3,712,990
18 Borrowings - Current:
(Secured from Banks)
Loans repayable on demand
from ICICI Bank Limited - Cash Credit (refer Note:34) 27,725,382 40,944,164
Total
==============
27,725,382
============
40,944,164
19 Trade Payables - Current:(refer Note:35)

For Supplies and Services
Related Parties 1,347,033 277,489
Others 52,326,044 61,215,693
Total 53,673,077 61,493,183
========================
CIN:U52520TG1987PLC007245
Amount in'(
20 Other financial liabilities - Current:

Salaries and Wages payable
Others 1,116,478 574,761
Related Parties 376,521 182,345
Lease liability 4,500
Other liabilities:
Dues to others 450,974 687,175
Due to Related Parties 18,000
Total 1,966,473 1,444,281
21 Other current liabilities:

Advance from Customers
from related parties 51,456,731
Statutory Liabilities
Service Tax Payable 66,796 66,796
GST payable 5,300,161 3,612,468
Withholding Taxes Payable 431,782 468,985
Other Statutory Dues 215,373 206,036
Total 6,014,112 55,811,016
22 Provisions - Current:
Provision for employee benefits
Provision for Compensated absences 62,609 85,869
Provision for Gratuity (refer Note:36) 241,380 201,498
Other provisions
Provision for Warranties 6,382,633 4,254,099
CSR Provision 500,000
Total 7,186,622 4,541,466
23 Commitments and Contingent liabilities:
i.Capital commitments(Net of advances)

Estimated amount of contracts remaining to be
executed on capital account and not provided for 433,648 402,574
ii.Commitments
Export obligation against imports 16,479,094
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24 Revenue from Operations:

Sale of Products
Finished Goods 505,488,675 573,012,862
Other Operating Income
Packing and Insurance Charges recovered 304,500
Sale of Scrap 18,995,476 28,932,885
Export Incentives 2,020,593
Total 526,504,744 602,250,247
25 Other Income:
Interest Income Others 14,176 26,446
Other Non-operating Income (Net of Expenses)
Profit on Sale of Inventory 1,640,229 382,448
Government incentives -budgetary support 1,098,843
Income from sale of Trademark 10,000,000
Equipment hire charges 210,000 156,000
Excess Provisions Written Back 11,754,738
Expected Credit loss on trade receivables written back 3,493,406 4,633,174
Credit Balances no longer payable Written Back 3,124,859 864,617
Profit on Sale of Assets 10,310
Miscellaneous Receipts 1,172,931 143,845
Total 20,754,444 17,971,578
26 Cost of Material Consumed:

Inventory at the beginning of the year 44,089,378 45,566,768
Add : Purchases 325,000,430 397,501,716
369,089,808 443,068,484
Less: Cost of inventory sold as such 2,573,520 2,452,433
Less: Inventory at the end of the year 36,597,622 44,089,378
Total 329,918,666 396,526,673
27 Changes in inventories of Stock-In-Trade:

Inventory at the beginning of the Year
Finished Goods 6,525,598 3,899,902
Work in Progress 24,958,730 24,425,270
Scrap 492,974 1,237,177
31,977,302 29,562,349
Finished Goods 6,781,178 6,525,598
Work in Progress 17,882,851 24,958,730
Scrap 747,905 492,974
25,411,934 31,977,302
Total 6,565,368 {2,414,953}
28 Employee Benefits Expense:

Salaries, Wages and Bonus 21,789,749 16,115,288
Contribution to Provident and Other Funds 1,396,944 1,494,736
Staff Welfare Expenses 888,224 869,755
Gratuity 650,929 589,958
Total 24,725,846 19,069,737
29 Finance Costs
Interest on borrowings 3,370,783 4,074,580
Bank Charges and Commission 802,641 739,943
1ss1on 1,600,000 1,600,000
-commissioning liability 105,579 95,980
\'
ase liability 4,498
Total 5,883,501 6,510,503
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CIN:U52520TG1987PLC007245
Amount in 'I:
30 Depreciation and amortisation expense:

Depreciation on Property ,Plant and Equipment 7,616,672 6,595,580
Amortisation of Intangible Assets 86,238 27,596
Total
=================�;,;,;;�
7,702,910 6,595,580
31 Other expenses:
Power and Fuel 2,084,996 1,971,704
Contract Labour Charges 15,096,324 14,641,606
Job work Charges 61,587,538 68,996,193
Home work Charges 185,194 1,059,151
Stores Consumption 2,566,211 1,360,172
Rental expenditure
Rents acrrued 4,500
Amorisation of Prepaid Lease Rentals 38,125
Repairs and maintenance
Machinary 1,182,975 880,090
Building 1,026,423 967,861
Other Assets 1,874,983 926,362
Payments to Auditors
as auditors 215,000 200,000
Certification Fee 200,000 45,000
Provisions for:
Warranties 2,128,534 2,418,949
Doubtful advances 7,934,997
CSR activity 500,000
Non - moving Inventory 775,960
Written off of:
Advances 454,136
Debit Balances 72,628 297,164
Bad debts 5,173,504 5,203,685
Rates and Taxes 3,150,927 8,342,408
Loss on Foreign Exchange Fluctuations (Net) 3,730,969 3,450,734
Others
Freight and Transportation 2,180,930 2,486,417
Insurance 361,653 381,079
Travelling and Conveyance 472,266 554,734
Legal and professional charges 1,869,651 4,430,400
Penalties 1,268,400 2,892,728
Miscellaneous expenses 3,517,024 4,667,750
Total 111,222,089
==========================
134,605,947
32 Other comprehensive income:

Acturial Gain/(Losses) on employee benefit Expense for the Year (257,335) 181,233
Deferred Taxes on above 64,771 (50,419)
Total
==========================
{192,564) 130,814
33 Earnings Per Equity Share:

Profit for the Year attributable to equity share holders in INR 43,838,646 31,114,296
Weighted average number of equity shares of 'I: 10/-each 1,965,842 1,965,842
Earnings per equity share {Basic and Diluted)= (a/b) 22.30 15.83
CIN:U52520TG1987PLC007245
34. Secured loans from Banks:

FROM ICICI BANK LIMITED:
Cash Credit amounting to � 5.00 crores and Term Loan amounting to � 3.00 crores (yet to be drawn) is
secured by:
Primary Security:
First and exclusive charge on entire current assets of the Company includes raw materials, goods in
process, semi-finished goods, consumable stores and spares and such other movables including book
debts, bills, together with movable properties such as receivables, movable plant and machinery, spares,
tools and accessories both present and future of the Company premises at 163 C/164 E, I O A Phase II,
Cherlapally, Hyderabad- 500051 and Plot No.2, Sector 3A, SIDCUL, Haridwar, Uttaranchal.
Collateral Security:
Corporate Guarantee executed by the parent company Viz., M/s. V-Guard Industries Limited
Interest and Repayment Terms:
• Cash Credit carries interest@ MCLR+0.70% per annum and is repayable on demand.
• Term Loan carries interest@ MCLR+0.65% per annum with monthly resting and shall be repaid in
16 equal quarterly instalments after the initial moratorium of one year from the date of
disbursement till the final maturity date.
• The present MCLR is 8.15%
35. Disclosure of Trade Payables under Current Liabilities is based on the information available with the
Company regarding the status of the suppliers as defined under the "Micro, Small and Medium Enterprises
Development Act, 2006" and relied upon by the Auditors. The details of total outstanding dues to Micro
and Small Enterprises as per Micro, Small and Medium Enterprise Development Act, 2006 are as follows:
PARTICULARS (Amount in �)
31.03.2020 31.03.2019
The principal amount and the interest due thereon (to be shown separately)
2,262,856 907,711
remaining unpaid to any supplier as at the end of each accounting year
The amount of interest paid by the buyer in terms of Section 16, of the Micro,
Small and Medium Enterprise Development Act, 2006 along with the amounts
Nil Nil
of the payment made to the supplier beyond the appointed day each
accounting year
The amount of interest due and payable for the period of delay in making
payment (which have been paid but beyond the appointed day during the
Nil Nil
year) but without adding the interest specified under Micro, Small and
Medium Enterprise Development Act, 2006.
The amount of interest accrued and remaining unpaid at the end of each
Nil Nil
accounting year; and
The amount of further interest remaining due and payable even in the
succeeding years, until such date when the interest dues as above are actually
paid to the small enterprise for the purpose of disallowance as a deductible Nil Nil
expenditure under Section 23 of the Micro, Small and Medium Enterprise
Development Act, 2006.
CIN: US2520TG1987PLC007245
36. Movements in Provisions:

Amount in�
For the year ended For the year ended
Particulars
March 31, 2020 March 31, 2019
Gratuity: (Refer Note: 38 also)
At the beginning of the year 2,518,900 2,476,882
Charge for the year 869,214 408,725
Released during the year (254,931) (366,707}
At the end of the year 3,133,183 2,518,900
Compensated Absences:
At the beginning of the year 425676 397,912
Charge for the year 233,995 88,156
Released during the year (40,838) (60,392)
At the end of the year 618,833 425,676
Warranties:
At the beginning of the year 4,254,099 1,835,150
Charge for the year 2,128,534 2,418,949
Released during the year -- --
At the end of the year 6,382,633 4,254,099
CSR Obligation:
At the beginning of the year -- --
Charge for the year 500,000 --
Released during the year -- --
At the end of the year 500,000 --
37. Retirement and other Benefit Obligations: Amount in�
Particulars
March 31, 2020 March 31, 2019
A. Defined Contribution Plan (Expenses)
Contribution to Provident Fund 1,092,720 1,087,299
Contribution to Employee State Insurance 260,380 361,831
B. Post - employment Defined Benefit Plan (Gratuity) Amount in�

Particulars
March 31, 2020 March 31, 2019
1. Movement in Obligation
Present Value of Obligation at the beginning of year 2,518,900 2,476,882
Current Service Cost 467,984 406,477
Interest Cost 182,945 183,482
Benefits Paid � {254,931) {366,707)
Gain)/Loss on Obligatio� �, , ,,. 218,285 (181,234}
'lt\ . -+- --'-I
lue of Obligation at /' t-----3- ,- 1- 3 3
- ,- 1- 8- 3 ----2,-5-1 8- - 9, 0- O
CIN:U52520TG1987PLC007245

2. Expenses recognised in Profit and Loss Statement:
March 31, 2019 March 31, 2019
Current Service Cost 467,984 406,476
Net Interest Cost 182,945 183,482
Expense for the year 650,929 589,959
3. Recognised in Other Comprehensive Income:

Actuarial {Gain) /loss for the year 218,285 {181,234)
Total Expenditure recognised 218,285 (181,234)
4. Actuarial Assumptions for estimating Company's Defined Benefit Obligation:

a. Attrition Rate PS: 0 to 40: 9.60 % PS: 0 to 40: 9.60 %
b. Discount Rate 6.81% 7.65%
C. Expected Rate of Increase in Salary 8.60% 8.60%
d. Expected Rate of return on Plan Assets NA NA
e. Mortality Rate IALM (2006-08) Ult. IALM (2006-08) Ult.
f. Expected Average remaining working lives of
23.48 25.45
employees (years)
5. Sensitivity Analysis Amount in�

Sensitivity Change Effect on obligations
Discount Rate +1% {271,835) (191,294)
-1% 234,975 221,732
I
Salary Escalation Rate +1% 243,491 230,145
-1% (283,874) (202,183)
The above sensitivity analysis is based on a change in an assumption while holding all other
assumptions constant. In practice, this is unlikely to occur and changes in some of the assumptions
may be correlated. When calculating the sensitivity of the defined benefit obligation to significant
actuarial assumptions the same method (projected unit credit method) has been applied as when
calculating the defined benefit obligation recognised within the Balance Sheet.
6. Expected Payout - Gratuity

Expected payments -1st Year 241,380 201,498
Expected payments - 2nd Year 421,556 217,717
Expected payments - 3rd Year 239,266 377,544
Expected payments - 4th Year 239,544 205,590
Expected payments -5th Year 236,340 203,951
Expected payments -6th year to 10th Year 1,424,808 1,135,896
CIN:U52520TG1987PLC007245
8. Other Information:
i. Plan Assets:
At present the company has not invested any amount in plan assets.
ii. Present value of defined benefit obligation:

Present value of the defined benefit obligation is calculated by using Projected Unit Credit
method {PUC Method). Under the PUC method a "projected accrued benefit" is calculated at
the beginning of the year and again at the end of the year for each benefit that will accrue for
all active members of the Plan. The "projected accrued benefit" is based on the Plan's accrual
formula and upon service as of the beginning or end of the year but using a member's final
compensation projected to the age at which the employee is assumed to leave active service.
The Plan Liability is the actuarial present value of the "projected accrued benefits" as of the
beginning of the year for active members.
iii. Expected average remaining service Vs. Average Remaining Future Service:
The average remaining service can be arithmetically arrived by deducting current age from
normal retirement age whereas the expected average remaining future service is arrived
actuarially by applying multiple decrements to the average remaining future service namely
mortality and withdrawals. Thus, the expected average remaining service is always less than
the average remaining future service.
iv. Current and Non- Current Liability:
The total of current and non-current liability must be equal with the total of PVO (Present
value obligation) at the end of the period plus short-term compensated liability if any. It has
been classified in terms of "Schedule Ill of the Companies Act 2013.
Accordingly, below is the Current and Non-Current classification of Gratuity and Compensated
Absences:
Amount in�
As at As at
Particulars
March 31, 2020 March 31, 2019
Gratuity: -
a. Current Portion 241,380 201,498
b. Non-current portion 2,891,803 2,317,402
Com{!_ensated Absences: -
a. Current Portion 62,609 85,869
b. Non-current portion 556,224 339,807
v. The rate of escalation in compensation considered in the above valuation is estimated taking
into account inflation, seniority, promotion and other relevant factors and the above
information is as certified by an actuary.
38. Income tax expense and Deferred Taxes Amount in�

Particulars
March 31, 2020 March 31, 2019
Income Tax Expense: �
�_;°'0-1, -,
a. Current Tax \•,. 16,500,000 16,000,000
ax (arising on temp · , 2,834,630 12,236,865
xpense for the 19,334,630 28,236,865
CIN:U52520TG1987PLC007245
Amount in�
Particulars For the year ended For the year ended
March 31, 2020 March 31, 2019
Effective Tax Reconciliation:
a. Net Profit/{Loss) before taxes 60,983,564 59,481,975
b. Tax rate applicable to the company as per normal
25.17% 27.82%
provisions
C. Tax expense on net profit (c = a*b) 15,349,563 16,547,885
d. lncrease/{decrease) in tax expenses on account of:
i. Accelerated Depreciation {320,394) {817,647)
ii. Expenses not allowed under income tax 3,314,242 3,637,731
iii. Expenses that are allowed under payment basis 481,605 29,641
iv. Other allowances {5,394,662) {4,553,970)
V. Income charged under other heads 2,288,000 --
vi. Other adjustments 781,646 338,713
Total lncrease/(decrease) in tax expenses {d) 1,150,437 (547,885)
e. Tax as per normal provision under Income tax (c + d) 16,500,000 16,000,000
Deferred Taxes: - For the year ended For the year ended
March 31, 2020 March 31, 2019
As on the reporting date:
a. On OCI Component
-Actuarial Gain/(Losses) on Defined Benefit Plans 64,771 (50,419)
b. Other than OCI component
-Difference in WDV of fixed assets (6,200,807) (5,623, 679)
-Fair Value of Financial Assets/liabilities 1,391,090 2,509,415
-Other disallowances 4,081,593 5,335,960
c. Total for the year {663,353) 2,171,277
Expense/(lncome) Recognised for the year ended:

a. Deferred tax liability/{asset) recognised in statement of
profit and loss: 2,899,401 12,186,446
b. Deferred tax recognised in Other Comprehensive Income (64,771) 50,419
c. Deferred tax recognised in Total Comprehensive Income 2,834,630 12,236,865
o
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CIN:U52520TG1987PLC007245
39. Fair Value of financial instruments:

Amount in�
As at As at
Particulars
March 31, 2020 March 31, 2019
Financial Assets:
At Amortised Cost
Employee Staff Advance 83,998 5,000
Car!'.Ying Value
The management assessed that cash and cash equivalents, trade receivables, trade payables and other
current assets/liabilities approximate their carrying amount largely due to the short-term maturities of
these instruments.
The fair value of the financials assets and liabilities is reported at the amount at which the instrument could
be exchanged in a current transaction between willing parties other than in a forced or liquidation sale.
Fair value of interest free loans given to employees and security deposits have been calculated by
discounting future cashflows using rates currently available for debt on similar terms, credit risk and
remaining maturities.
Description of significant observable inputs to valuation:
a. Interest free employee staff advance:
Since all the Employee advances are current in nature the carrying value is assumed to be the fair
value of such advances.
b. Interest free Security Deposits (assets):
All the non-current Security Deposits are with no repayment terms. Hence the carrying value is
assumed to be the fair value of such Deposits.
40. Fair Value hierarchy:
The following table provide the fair value measurement hierarchy of the company's assets and liabilities.
Quantitative disclosures of fair value measurement hierarchy for assets as at March 31, 2020:
Amount in�
Fair Value measurement using
Particulars Total Quoted prices in Significant
active markets observable inputs
Financial Assets measured at Amortised Cost:
�..
(, -� Jl
o
K.·-> 1
�
�
fl0 YcJera'o • .,1\ ' r<
\� .:.._,-/
CIN: U52520TG1987PLC007245
Quantitative disclosures fair value measurement hierarchy for assets as at March 31, 2019:
Amount in"
Fair Value measurement using
Particulars Total Quoted prices in Significant
active markets observable inputs
Financial Assets measured at Amortised Cost:
Security Deposits 248,386 -- 248,386
Employee Staff Advance 5,000 -- 5,000
41. Segment Information:

The executive management of company monitors the operating results of its business as a single unit for
the purpose of resource allocation and performance assessment which is "Manufacture of Electronic and
Electromechanical Items". Hence segment information is not applicable.
Entity Wide Disclosures: Amount in"
For the year ended For the year ended March
Revenue from external customers
March 31, 2020 31, 2019
India 425,953,015 478,920,427
Outside India 79,535,660 94,092,435
Total 505,488,675 573,012,862
Revenue from one customer amounts to 319,069,899 307,344,953
As at As at
Non-Current Operating Assets
March 31, 2020 March 31, 2019
India 82,766,951 81,157,862
Outside India -- --
Total 82,766,951 81,157,862
for Non-Current Operating assets, financial instruments, deferred tax assets, post-employment benefit
assets have been excluded.
42. The details of the transactions with related parties to be disclosed as required by Indian Accounting
Standard - 24 are as follows.
Names of the Related parties and description of relationship:
i) Key Management Personnel : Mr. RBVS Arun Kumar : Managing Director
: Mr. A. Jacob Kuruvilla : Director (up to 31.03.2020)
: Dr. George Sleeba : Director (up to 31.03.2020)
: Mr. V. R�>'v\chandran : Director (w.e.f 01.04.2020)
: Mr. Abie Abraham : Director (w.e.f 01.04.2020)
ii) Parent Company : M/s. V-Guard Industries Limited
: M/s. Sri Vidyahitha (Proprietary Concern of wife of the
iii) Other Related Parties
Managing Director)
\< -;� ..,� '-.. ,l;

..
.... ...
• /
CIN:U52520TG1987PLC007245
Transactions with Related Parties:

Amount in a(
Particulars 31.03.2020 31.03.2019
i) Key Management Personnel
Mr. RBVS Arun Kumar
Remuneration 3,725,364 3,444,976
Mr. A Jacob Kuruvilla
Sitting Fee 50,000 40,000
Dr. George Sleeba
Sitting Fee 50,000 40,000
ii) Parent Company
M/s. V-Guard Industries Limited
Sale of Goods (net of returns) 319,069,899 325,966,053
Advances received (net) 51,456,731
Deputed Employees Service Cost 4,716,212
Guarantee Commission Paid 1,600,000 1,600,000
iii) Other Related Parties

M/s. Sri Vidyahitha
Equipment Lease earned 210,000 156,000
Services Availed (Job work) 32,294,846 32,613,297
Year end Balances {due from/ (due to )}

1. Mr. RBVS Arun Kumar (376,521) {182,345)
2. Mr. A. Jacob Kuruvilla (9,000)
3. Dr. George Sleeba {9,000)
4. M/s. V-Guard Industries Limited 8,325,267 (51,456,731)
5. M/s. Sri Vidyahitha (1,347,033) {277,489)
43. Financial Risk Management objectives and policies:

The company is exposed to financial risks arising from its operations and the use of financial instruments.
The key financial risks include market risk, credit risk and liquidity risk. The company's risk management
policies focus on the unpredictability of financial risks and seek guidelines, where appropriate, to minimize
the potential adverse impact of such risks. There has been no change to the company's exposure to these
financial risks or the manner in which it manages and measures the risks.
The following sections provide the details regarding the Company's exposure to the financial risks associated
with financial instruments held in the ordinary course of business and the objectives policies and processes
for the management of these risks.
The Company's principal financial liabilities comprise loans and borrowings, trade and other payables. The
main purpose of these financial liabilities is to finance and support the Company's operations. The
Company's principal financial assets include trade and other receivables and cash and cash equivalents are
ii,g�
derived from its operations .-,!;;-=- �
The company is exposed to market risk, credit risk and liquidit '#he<.t"&'!:l12,a q/s management oversees
_
�a�Y.;.;;Y:::.:i,� mitigation of the risks. The Company's financial risk activi leJ'1 re governe �j-appropriate policies and
le ures and that financial risks are identified, measured a��· ; pn 51 acco\��1nce with the Company's
�
co po,; � � and risk objectives. The management
* (;.!.,,,-- thj�e isks, which are summarized below.
/ boar
�
, e��t'. d agrees p9l_jfies for managing each of
/:. 1
, ·: ,.
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CIN:U52520TG1987PLC007245
i. Market Risk:
Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate
because of changes in market prices. Market prices comprise three types of risk: currency rate risk
interest rate risk and other price risks such as equity risk. Financial instruments affected by market risk
include loans and advances deposits investments in debt securities mutual funds and other equity
funds.
a. Interest rate risk:
Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will
fluctuate because of changes in market interest rates. The Company's exposure to the risk of
changes in market interest rates relates primarily to the Company's long-term debt obligations
with floating interest rates, loans and advances given by the company and Cash and Cash
equivalents.
The Company manages its interest rate risk by having a balanced portfolio of fixed and variable
rate loans and borrowings. As there are no long-term borrowings, the interest rate risk and the
company's policy to manage its interest cost does not arise and interest rate sensitivity analysis is
not provided.
b. Foreign Currency Risk:
Currency risk is the risk that the value of a financial instrument will fluctuate due to changes in
foreign exchange rates. Currency risk arises when transactions are denominated in foreign
currencies.
The Company has transactional currency exposures arising from sales/purchases made that are
denominated in a currency other than the functional currency. The foreign currencies in which
these transactions are denominated are mainly in US Dollars($). The Company's trade receivable
and trade payable balances at the end of the reporting period have similar exposures.
The following table demonstrates the sensitivity in the USD to the Indian Rupee with all other
variables held constant. The impact on the company's profit before tax due to changes in the fair
value of monetary assets is given below:
Amount in�
Change For the year ended For the year ended
Particulars
in Rate March 31, 2020 March 31, 2019
USD +5.00 % 135,272 {855,182)
-5.00 % {135,272) 855,182
c. Other price risk:

Other price risk is the risk that the fair value or future cash flows of the Company's financial
instruments will fluctuate because of changes in market prices (other than those arising from
interest rate risk or currency risk) whether those changes are caused by factors specific to the
individual financial instrument or its issuer or by factors affecting all similar financial instruments
traded in the market.
The company based on working capital requirement keeps its liquid funds in current accounts.
The company doesn't have any significant other price risk.
'*
�C',yF."R I
-,......: --
••
CIN: U52520TG1987PLC007245
ii. Credit risk:

Credit risk is the risk of loss that may arise on outstanding financial instruments when a counterparty
default on its obligations. The Company's exposure to credit risk arises primarily from trade and other
receivables. For other financial assets (including investment securities cash and short-term deposit)
the Company minimise credit risk by dealing exclusively with high credit rating counterparties. The
Company's objective is to seek continual revenue growth while minimising losses incurred due to
increased credit risk exposure. The Company trades only with recognised and creditworthy third
parties. It is the Company's policy that all customers who wish to trade on credit terms are subject to
credit verification procedures.
In addition, receivable balances are monitored on an ongoing basis with the result that the Company's
exposure to bad debts is not significant.
a. Exposure to credit risk:
At the end of the reporting period the Company's maximum exposure to credit risk is represented
by the carrying amount of each class of financial assets recognised in the statement of financial
position. No other financial assets carry a significant exposure to credit risk.
b. Credit risk concentration profile:
At the end of the reporting period there were no significant concentrations of credit risk. The
maximum exposures to credit risk in relation to each class of recognised financial assets is
represented by the carrying amount of each financial assets as indicated in the balance sheet.
c. Financial assets that are neither past due nor impaired:
Trade and other receivables that are neither past due nor impaired are creditworthy debtors with
good payment record with the Company. Cash and short-term deposits investment securities that
are neither past due nor impaired are placed with or entered with reputable banks financial
institutions or companies with high credit ratings and no history of default.
d. Financial assets that are either past due or impaired:
Trade receivables that are past due or impaired at the end of the reporting period for which
lifetime expected credit loss has been provided by the company according to its policy. These are
shown in the balance sheet at carrying value less impairment/expected credit loss (information
provided in Note No. 10).
iii. Liquidity risk:
The risk that an entity will encounter difficulty in meeting obligations associated with financial liabilities
that are settled by delivering cash or another financial asset.
The company ensures that it has sufficient cash on demand to meet expected operational demands
including the servicing of financial obligations; this excludes the potential impact of extreme
circumstances that cannot reasonably be predicted.
The table below summarises the maturity profile of the Company's financial liabilities based on
contractual undiscounted payments.
Amount in�
Particulars On demand < 12 months 1 to 5 years Total
Year ended 31 March, 2020
Borrowings - Current 27,725,382 -- -- 27,725,382
Trade Payables -- 53,732,383 -- 53,732,383
Other financial liabilities -- 1,970,973 -- 1,970,973
Year ended 31 March, 2019

--
-��
Borrowings - Current 40,944,164 '�
7- �-1__
' r 40,944,164
�ayables -- 61,493,183 -:I f\ Y<
.�--I.
�, y 61,493,183
tll,andal liabilities -- 1,444,281, '-._i V"
1,444,281
I�*�
-::,r )�* III () -:;;"
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CIN:U52520TG1987PLC007245
Excessive Risk Concentration:

Concentrations arise when a number of counterparties are engaged in similar business activities or
activities in the same geographical region or have economic features that would cause their ability to
meet contractual obligations to be similarly affected by changes in economic, political or other
conditions. Concentrations indicate the relative sensitivity of the company's performance to
developments affecting a particular industry.
In order to avoid excessive concentrations of risk, the Company's policies and procedures include
specific guidelines to focus on the maintenance of a diversified portfolio. Identified concentrations of
credit risks are controlled and managed accordingly.
44. Capital Management:
Capital includes equity attributable to the equity holders of the parent. The primary objective of the capital
management is to ensure that it maintain an efficient capital structure and healthy capital ratios in order to
support its business and maximise shareholder's value.
The company manages its capital structure and make adjustments to it in light of changes in economic
conditions and the requirements of the financial covenants. The Company monitors capital using a gearing
ratio, which is, debt divided by total capital plus debt. The Company's policy is to keep the gearing ratio at
an optimal level to ensure that the debt related covenants are complied with.
Amount in"
As at As at
Particulars
March 31, 2020 March 31, 2019
Total Borrowings# 27,725,382 40,944,164
Net Debt 27,725,382 40,944,164
Equity 19,658,420 19,658,420

Other Equity 73,048,964 29,803,334
Total Equity 92,707,384 49,461,754
Gearing ratio 23.02% 45.29%
# Total Borrowings include Long Term borrowings, short term maturities of long-term borrowings and
working capital loans like Cash Credit and Buyers Credit.
No changes were made in the objectives, policies, or processes for managing capital during the years ended
31 March 2020 and 31 March 2019.
45. Lease Disclosure:
Operating Lease:
The company has applied Ind AS 116 using the modified retrospective approach, under which the
cumulative effect of initial application is recognized in retained earnings at 1st April 2019. Right of use
assets(net) of Rs. 3,227,244/- and lease liabilities of Rs. 44,983/- have been recognised as on 1 April 2019 by
de-recognising the Prepaid lease rentals amounting to Rs. 3,185,474/-.
Maturity Analysis of Lease Liabilities (Undiscounted):
As at As at
Maturity Analysis
March 31, 2020 March 31, 2019
Less Than One Year 4,500 4,500
One to Five Years 18,000 18,000
369,000 373,500
46. Foreign Currency Exposure:

As at March 31, 2020 As at March 31, 2019
"
Particulars Foreign Amount in Foreign
"
Amount in
Currency Currency
Exposure in USD ($)
Receivables:
a Export of goods 165,427 12,470,852 255,547 17,676,502
b Advance to Suppliers 153,254 10,285,936 155,924 10,442,926
Payables:
a Import of Goods 154,806 11,318,938 517,493 35,627,324
Exposure in Chinese Yuan {CNY}

Receivables:
a. Advance to Suppliers -- -- 3,621 39,100
Payables:
a Import of Goods 2,391 25,452 -- --
for and on behalf of the Board

per our report of even date
for Brahmayya & Co.
Chartered Accountants
Firm's Regn. Number:000513S
R.B.V.S ARUN KUMAR

Managing Director
P.C.CHANDRAMOULI
Place: Hyderabad Partner ABIE ABRAHAM
Date: May 21,2020 Membership Number:025211 Director

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GUTS ELECTRO-MECH LIMITED

Total Assets 201,923,431 233,405,555

EQUITY AND LIABILITIES

for BRAHMAYYA& CO., for and on behalf of the Board

Place: Hyderabad ABIE ABRAHAM

Revenue from Operations 24 526,504,744 602,250,247

Profit before tax 61,240,808 59,300,742

Other Comprehensive income 32

Total Comprehensive Income for the Year 43,646,082 31,245,110

NOTES TO THE flNANCIALSTATEMENTS 1-46

for and on behaif of the Board

R.B.V.S ARUN KUMAR

Place: Hyderabad ABIE ABRAHAM

I. Cash flow from operating activities:

II. Cash flows from investing activities

Ill. Cash flows from financing activities

VI. Components of cash and cash equivalents:

Place: Hyderabad ABIE ABRAHAM

A-, Equi\y Share Capital Ar:nount in"

i. At the begin inn lg ofthe year 19,658,420 19,658,420

B. Other Equity Ar:nount in "

,. Adjustment due to adoption of lndAS 116

Profit for the year 43,838,646 43,838,646

Other Comprehensive Income for the year (192,564) (192,564)

:: and on b h of the Board

ii. Defined Benefit Plans:

Particulars Up to 180 180-365 365-730 730-1095 1095-1460 Beyond

b) Current Vs Non-current classifications

A liability is classified as current when it satisfies any of the following criteria:

c) Property, Plant and Equipment:

d} Impairment of non-financial assets:

c. Equity instruments at fair value through profit and loss (FVTPL):

d. Impairment of financial assets:

4 PROPERTY, PLANT ANO EQUIPMENT

01 Land 335,175 - - 335,175 - - - - 335,175 335,175

Given on Lease as at with Job Workers as at

6 Other Non Current Financial Assets:

Movement in Deferred Taxes

8 Other Non Current Assets:

* includes with Job Workers 11,449,901 9,221,701

Total 3,43,08,588 4,77,49,893

11 Cash and cash equivalents:

12 Other financial assets - Current:

13 Other Current Assets:

14 Equity Share Capital:

8. Issued, Subscribed and Fully Paid up share capital:

D. Rights attached ta the Equity Shares:

E. Shares held by Holding Company:

F. Details of Shareholders holding more than 5% shares in the company:

a. RB VS Arun Kumar -in numbers 511,119 511,119

c. V-Guard Industries Limited -in numbers 1,454,723 1,454,723

Capital Reserve (Industrial Subsidy)

Surplus in Statement of Profit and Loss

Other Comprehensive Income

16 Other financial liabilities - Non Current:

19 Trade Payables - Current:(refer Note:35)

20 Other financial liabilities - Current:

21 Other current liabilities:

23 Commitments and Contingent liabilities: