Pidilite Industries Ltd. - Quarterly/Annual Result Disclosures and Notes dated 30 Sep 2020
Auditor and Management Disclosures and Notes for the quarterly results dated 30 Sep 2020
1. Right of Use Assets of Rs.100.36 Cr included in Property, Plant and Equipment.
2. Income-Tax Assets (net) of Rs.86.94 Cr.included in Other Non Current Assets.
3. Non Current Lease Liabilities of Rs.45.77 Cr included in Other Non Current Financial Liabilities.
4. Current Lease Liabilities of Rs.20.70 Cr included in Other Current Financial Liabilities.
1. The above results have been reviewed by the Audit Committee and approved by the Board of Directors at their respective meetings held on 4th November 2020.
2. The Statutory Auditors have carried out a "Limited Review" of the above financials results for the quarter ended 30th September 2020.
3. The financial results of the Company have been prepared in accordance with Indian Accounting Standards ("Ind AS") notified under Section 133 of the Companies Act, 2013 ('Act') read with Companies (Indian Accounting Standards) Rules, 2015, as amended.
4. Exceptional items represent - i) diminution / impairment in value of investment in a subsidiary of Rs.0.45 Crores for the quarter and six months ended 30th September 2020 and Rs.4.09 Crores for the year ended 31st March 2020. ii) impairment loss on fair value of "Assets held for Sale " of Rs.22.24 Crores for the quarter and six months ended 30th September 2019 and Rs.55.19 Crores for the year ended 31st March 2020 pertaining to Synthetic Elastomer Project.
5. The outbreak of COVID 19 pandemic and consequent lockdown has impacted the regular business operations.The results for the quarter are therefore not comparable with those for the previous periods. The Company has assessed the impact of pandemic on its financial results/position based on the internal and external information available up to the date of approval of these financial results and expects to recover the carrying value of its assets. The Company continues to monitor the economic effects of the pandemic while taking steps to improve its execution efficiencies and the financial outcome.
6. The Company granted options for 265490 equity shares on 4th November 2020 of face value of Re. 1/- each under Employee Stock Option Plan - 2016 to the employees of the Company.
7. During the quarter, the Company has alloted 4900 equity shares of face value of Re. 1/- each under Employee Slock Option Plan - 2016 to the employees of the Company, to whom the options were granted.
8. The Board of Directors at its meeting held on 28th October 2020, approved a definitive agreement with Huntsman Group (USA) to acquire 100% stake in one of the subsidiary in India namely Huntsman Advanced Materials Solutions Private Limited (HAMSPL) for a cash consideration of approximately Rs. 2,100 Crores, excluding customary working capital and other adjustments. Huntsman Group is a leading global producer of differentiated organic chemical products. HAMSPL manufactures and sells Adhesives, Sealants and other products under well-known brands such as Araldite, Araldite Karpenter and Araseal.
The Company has completed the acquisition of 100% stake in HAMSPL on 3rd November 2020, thus HAMSPL has become a subsidiary of the Company.
9. During the previous year quarter ended 30th September 2019, the Company had elected to exercise the option permitted under section 115BAA of the Income Tax Act, 1961 as introduced by the Taxation Laws (Amendment) Ordinance 2019 which was subsequently converted into an act. Accordingly, the Company had re-measured its Deferred Tax Liabilities as at 31st March 2019 and the full impact of this was recognised in statement of Profit and Loss in September 2019.
10. Previous periods' figures are regrouped to make them comparable with those of current period, wherever applicable.