VST Industries Ltd. - Quarterly/Annual Result Disclosures and Notes dated 31 Dec 2018

Auditor and Management Disclosures and Notes for the quarterly results dated 31 Dec 2018

1. The above mentioned results were reviewed by the Audit Committee at its meeting held on 23rd January, 2019 and approved by the Board of Directors at its meeting held on 24th January, 2019.

2. With implementation of Goods & Services tax (GST) with effect from 1st July, 2017, your Company's main product is now subjected to GST and Compensation Cess in addition to Central Excise (currently only National Calamity Contingent Fund). Due to such restructuring of indirect taxes, the figures for 'Gross Sales' (net of GST and Compensation Cess Collected on behalf of Government) and 'Excise duty' for nine months ended 31st December, 2018 are not comparable with the previous periods.

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 read with relevant rules issued there under and in terms of Regulation 33 of the SEBI (Listing Obligations and 'Disclosure Requirements) Regulations, 2015 and SEBI circular dated 5th July, 2016.

4. Limited Review of the above mentioned results as per Regulation 33 of the SEBI ( Listing Obligations and Disclosure Requirements) Regulations, 2015 has been carried out by the Statutory Auditors, who have issued an unqualified review report.

5. The Company has a single operating segment viz. “tobacco and related products”, and accordingly, reviews business performance at an overall Company level. Therefore, the disclosure as per Ind AS 108 - 'Operating Segments' is not applicable.

6. To facilitate comparison, figures of previous periods have been re-arranged, where necessary.