Polygenta Technologies Ltd. - Quarterly/Annual Result Disclosures and Notes dated 30 Sep 2018

1) The above financial results have been taken on record by the Audit Committee and subsequently approved by the Board of Directors in its meeting held on 02nd Nov,2018.The Statutory Auditors have carried out Limited Review of the same in terms of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.



2) The Company is engaged in the business of manufacturing and selling polyester filament yarn (PFY).  All of the Company's operations are based in India and are subject to the same risks and returns.  Therefore, no separate segment disclosure is provided in terms of Ind AS -108, i.e. Operating Segment.



3) Due to sub-optimal capacity of the Plant as compared to Industry Standards, the Company continues to incur losses. The Company is evaluating various alternatives to increase the capacity. As the first step to increase the capacity, the Company has entered in to a contract for setting up facility for production of Fully Drawn Yarn (FDY), a product with better margin. FDY project is expected to start commercial operations from April-2019.



The Promoters of the Company viz. PerPETual Global Technologies Limited (‘PGTL’ ) has always been extremely supportive of the Company’s project. With such support continuing, the Company is confident that it will be able to expand its position in the market as a unique supplier of high quality yarns and textiles made from 100% post-consumer PET bottles, being recognised as a preferred supplier by many of the world’s largest apparel brands.



In its effort to support the Company, PGTL has waived interest on various ECB as under:-



Particulars of ECB Interest waived from Interest waived upto



Current ECB of Euro 10 Million Beginning of the Disbursement Upto 31Dec18



Previous ECB of USD 20 Million and Euro 4.5 Million Beginning of the Disbursement Upto 31Dec18



Assigned ECBs of Euro 15 Million from Swedfund From 1Sep16 Upto 31Dec18

International Inc (Swedfund) and Finnish Fund for

International Co-operation Limited



Considering what is stated above, the accounts are prepared based on the Principle of a Going Concern.



4) Pre-GST, the company was eligible for Mega project refund scheme from Maharashtra state government, by way of refund of sales tax and electricity duty. Post- GST, pending notification from state government for continuance of the scheme, the Company has not recognised the aforesaid benefit related to refund of GST ( earlier VAT & CST ).



5) Post the applicability of Goods and Service Tax (GST) with effect from 1st July, 2017, revenue from operations is disclosed net of GST, whereas Excise Duty formed part of other expenses in previous periods / year. Accordingly, the revenue from operations and other expenses for the current period/s are not comparable with the previous periods / year.



6) As informed to BSE earlier, an incident of cyber fraud has happened with the Company during the quarter amounting to Rs.45.41 lakhs. The Company is making all efforts to recover the loss and does not expect any material loss impact. The provision for loss, if any, arising out of this will be made as soon as reasonably determined.



7) The previous year's / period's figures have been re-grouped / re-arranged wherever necessary, to conform to the current period's presentation.
1) The above financial results have been taken on record by the Audit Committee and subsequently approved by the Board of Directors in its meeting held on 02nd Nov,2018.The Statutory Auditors have carried out Limited Review of the same in terms of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.



2) The Company is engaged in the business of manufacturing and selling polyester filament yarn (PFY).  All of the Company's operations are based in India and are subject to the same risks and returns.  Therefore, no separate segment disclosure is provided in terms of Ind AS -108, i.e. Operating Segment.



3) Due to sub-optimal capacity of the Plant as compared to Industry Standards, the Company continues to incur losses. The Company is evaluating various alternatives to increase the capacity. As the first step to increase the capacity, the Company has entered in to a contract for setting up facility for production of Fully Drawn Yarn (FDY), a product with better margin. FDY project is expected to start commercial operations from April-2019.



The Promoters of the Company viz. PerPETual Global Technologies Limited (‘PGTL’ ) has always been extremely supportive of the Company’s project. With such support continuing, the Company is confident that it will be able to expand its position in the market as a unique supplier of high quality yarns and textiles made from 100% post-consumer PET bottles, being recognised as a preferred supplier by many of the world’s largest apparel brands.



In its effort to support the Company, PGTL has waived interest on various ECB as under:-



Particulars of ECB Interest waived from Interest waived upto



Current ECB of Euro 10 Million Beginning of the Disbursement Upto 31Dec18



Previous ECB of USD 20 Million and Euro 4.5 Million Beginning of the Disbursement Upto 31Dec18



Assigned ECBs of Euro 15 Million from Swedfund From 1Sep16 Upto 31Dec18

International Inc (Swedfund) and Finnish Fund for

International Co-operation Limited



Considering what is stated above, the accounts are prepared based on the Principle of a Going Concern.



4) Pre-GST, the company was eligible for Mega project refund scheme from Maharashtra state government, by way of refund of sales tax and electricity duty. Post- GST, pending notification from state government for continuance of the scheme, the Company has not recognised the aforesaid benefit related to refund of GST ( earlier VAT & CST ).



5) Post the applicability of Goods and Service Tax (GST) with effect from 1st July, 2017, revenue from operations is disclosed net of GST, whereas Excise Duty formed part of other expenses in previous periods / year. Accordingly, the revenue from operations and other expenses for the current period/s are not comparable with the previous periods / year.



6) As informed to BSE earlier, an incident of cyber fraud has happened with the Company during the quarter amounting to Rs.45.41 lakhs. The Company is making all efforts to recover the loss and does not expect any material loss impact. The provision for loss, if any, arising out of this will be made as soon as reasonably determined.



7) The previous year's / period's figures have been re-grouped / re-arranged wherever necessary, to conform to the current period's presentation.