BASF India 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 results for the quarter and nine months ended December 31, 2018 have been reviewed by the Audit Committee and thereafter approved by the Board of Directors at its meeting held on January 23, 2019. The above results have been subjected to limited review by the statutory auditors of the Company.
2. Exceptional items includes following: (For Table, kindly refer Corporate Announcements on www.bseindia.com.)
3. As per Indian Accounting Standard 115/ Indian Accounting Standard 18 on Revenue and Schedule III of the Companies Act, 2013, Revenue from Operations for the period ended after June 30, 2017 does not include Goods and Service Tax (GST), however Revenue from Operations upto the period ended June 30, 2017 included Excise Duty. Accordingly, the figures are not strictly comparable. The following additional information is being provided to facilitate such understanding: (For Table, kindly refer Corporate Announcements on www.bseindia.com.)
4. Effective April 1, 2018, the Company has adopted Indian Accounting Standard 115 - 'Revenue from Contracts with Customers’ with modified retrospective approach. Adoption of this standard did not have any material impact on the financial results of the Company.
5. Finance cost includes interest on income tax, interest and other costs incurred on short and long term borrowings, effects from fair valuation of derivatives relating to financing activities and exchange differences arising from foreign currency borrowings to the extent that they are regarded as an adjustment to interest costs.
6. Tax expense includes provision for current income tax, tax expense for previous periods, minimum alternate tax and deferred tax charge/ (credit) including minimum alternate tax credit (based on estimated average effective annual income tax rale, considering lax allowances).
7. Pursuant to the global agreement between BASF SE (Germany) and Solcnis (USA), the Board of directors of the Company had approved, in their meeting held on May 3, 2018, the proposal to transfer the paper wet-end and water chemicals business of the Company to Solcnis in India, subject to such approvals, as may be necessary. The sales from the paper wet-end and water chemicals business is approximately Rs. 1,400 million p.a. and it forms part of the Performance products segment. The transaction is anticipated to close by the end of financial year 2018-19. The financial effects of this proposed transfer have not been considered in the above financial results.
8. The Company has announced Voluntary Retirement Scheme on January 17, 2019 for certain permanent workmen at Thane plant, This being a non-adjusting event as per Indian Accounting Standard 10 on 'Events after the Reporting Period’, the financial effects of this proposed scheme have not been considered in the above financial results. The scheme is estimated to close on January 31, 2019, therefore die financial effects of this proposed scheme cannot be measured at this point of time.
9. Previous period figures have been regrouped/ reclassified, wherever necessary to conform to current period classification.