Simplex Infrastructures Ltd. - Quarterly/Annual Result Disclosures and Notes dated 31 Mar 2021

1. Certification of unbilled revenue by customers and acceptance of final bills by customers often takes significant period of time and varies from project to project. At this stage, based on discussions with concerned customers, the management believes that unbilled revenue of Rs.31,661 lakhs (31st March, 2020: Rs. 22,482 lakhs) as on 31st March, 2021 will be billed and realised in due course.



2.Trade receivables aggregating Rs.12,926 lakhs (31st March, 2020: Rs.13,242 lakhs) as on 31st March, 2021 from customers in respect of various project sites are outstanding for a long period of time. At this stage, based on discussions and communications with customers, the management believes the above balances are good and recoverable.



Inventories aggregating Rs.1,862 lakhs (31st March, 2020: Rs. 2,079 lakhs) as on 31st March, 2021 pertaining to certain completed project sites are readily usable.



Retention monies due from customers are receivable only after clearance of final bill by customers and after expiry of defect liability period after execution of contracts. In the opinion of the management, such retention amounts aggregating Rs. 3,704 lakhs (31st March, 2020: Rs. 4,502 lakhs) of certain completed contracts as on 31st March, 2021 are good and recoverable.



3. Loans and Advances Rs.8,022 lakhs as on 31st March, 2021 (31st March, 2020: Rs.13,860 lakhs) for which the Company is in active pursuit and confident of recovery/settlement of such advances within a reasonable period of time.



Note no. 4 is Assets and Liabilities statement, note no 5 is Cash Flow statement and note no.6 is Regulation52(4)



7. Other Comprehensive Income that will be reclassified to profit or loss represents Exchange (Loss) / Gain on translation of foreign operations.



8. The Company is in discussion with its customers on the impact of Goods and Services Tax on the contract terms and conditions for certain contracts and necessary adjustments were made on completion of such discussions.



9. These results have been prepared in accordance with Ind AS, notified under Section 133 of the Companies Act, 2013 read together with the Companies (Indian Accounting Standard) Rules, 2015 as amended.



10 Due to lockdown as declared by Central and State Governments on account of outbreak of Covid-19, time to time, the Company temporarily suspended its operations in all its working sites/offices which has an adverse impact on the normal business operations of the Company for the year ended 31st March, 2021. The Company has also taken various cost cutting measures and also made assessment of carrying value of its Assets. Based on such assessment no adjustment is required in these Financial Results at this stage.



11. The Company has incurred net loss of Rs.46,097 lakhs for the year ended 31st March, 2021 (Rs. 31,747 lakhs for the year ended 31st March, 2020) as also there was default in payment of financial debts, to its bankers and others amounting to Rs. 225,229 lakhs as on 31st March, 2021 (31st March, 2020: Rs. 90,842 lakhs). The Company is in the process of finalising a resolution plan with its lenders having underlying strength of the Company’s healthy order book position and future growth outlook. The Company is confident of improving the credit profile including time bound realization of its assets, arbitration claims, etc. which would result in meeting its obligation in due course of time. Accordingly, the Management considers it appropriate to prepare these financial results on going concern basis.



12. The Non-convertible debentures issued by the Company are rated CARE D (Single D).



13. The Company continues to maintain approximately 100% asset cover for the Non-convertible debentures issued by it.



14. The above results, after review by the Audit Committee, have been approved and taken on record by the Board of Directors at its meeting held on 30th June, 2021. The Statutory Auditors of the Company have carried out an Audit of the results for the quarter and year ended 31st March, 2021 in terms of Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.



15. The figures for the previous period's relating to results have been regrouped / rearranged wherever necessary to conform to current period.