Welcast Steels Ltd. - Quarterly/Annual Result Disclosures and Notes dated 31 Dec 2018

Notes:

(i) The above Un-audited Financial Results for the Quarter ended 31st Dec, 2018 have been reviewed by the Audit Committee and were taken on record by the Board of Directors in their respective meetings held on 4th February 2019.

(ii) This statement has been prepared in accordance with the Companies (Indian Accounting Standards) Rules, 2015 (IND AS) prescribed under Section 133 of the Companies Act, 2013 and other recognised accounting practices and policies to the extent applicable.

(iii) The Statutory Auditors of the Company have carried out a Limited Review of the above results as per Regulation 33 of SEBI(Listing obligation and Disclosure Requirements) Regulations 2015.

(iv) The format for above results as prescribed in SEBI's Circular CIR/CFD/CMD/15/2015 dated November 30, 2015 has been modified to comply with requirements of SEBI's Circular No CIR/CFD/FAC/62/2016 dated July 5, 2016, IND AS and Schedule III [Division II] to the Companies Act, 2013 applicable to companies that are required to comply with IND AS.

(v) Contingent liability to the extent not provided in respect of - (a) disputed Service tax Rs.116.64 lacs (b) interest on arrears of lease rent paid Rs.7.60 lacs, (c) Customs Duty Rs 868.73 Lacs on account of export obligatiion requirement on advance licence, (d) workmen illegal strike wages under dispute Rs 29.00 lacs, (e) disputed casual labour wages Rs 99.47 lacs (f) Charter of demands made by one of Labour Union, pending for disposal at Industrial Tribunal (Labour Court), Bangalore. Amount reliably not ascertainable.

(vi) Deferred tax represents estimated liability /asset in respect of timing differences of current period, provided in accordance with the mandatory accounting standard "Income Taxes"(IND AS-12).

(vii) The company manufactures and deals with a single product, Alloy steel Cast Grinding Media, Also Company's operations are solely situated in India. Hence there are no reportable segments as required by Ind-AS -108 "Operating Segments" under the Companies (Indian Accounting Standards) Rules 2015. Further sales to a single customer amounting to 10 percent or more of the company's revenue from sales of grinding media amounted to Rs 17730.99 lakhs upto Dec 2018.

(viii) AIA Engineering Limited, holding company is holding 4,77,661 equity shares aggregating to 74.85% of the share capital.

(ix) The Government of India introduced the Goods and Service Tax (GST) with effect from 1st July 2017 which subsumes excise duty and various other indirect taxes. As required under IND AS 18, revenue for the nine months ended 31st Dec 2018 are not comparable with corresponding nine months ended 31st Dec 2017 and year ended 31st March 2018.

(x) Figures for the previous reporting period have been recast in line with current year's presentation.