Polygenta Technologies Ltd. - Quarterly/Annual Result Disclosures and Notes dated 31 Mar 2018
Auditor and Management Disclosures and Notes for the quarterly results dated 31 Mar 2018
1) The above financial results have been taken on record by the Audit Committee and subsequently adopted by the Board of Directors in its meeting held on 28th May 2018.The statutory auditors of the Company have audited the financial results for the year ended 31st March 2018. The figures for the quarter ended 31st March 2018 and 31st March 2017 as reported in these financial results are the balancing figures between audited figures in respect of the full financial year and the published year to date unaudited figures up to the end of the third quarter of the relevant financial year.
2) 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 regulation 33 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015. Beginning April 1, 2017, the Company adopted Ind AS with a transition date April 1, 2016 and accordingly, restated results for the quarter and year ended March 31, 2017.
The reconciliation of net profit reported in accordance with Indian GAAP to total comprehensive income in accordance with Ind AS is given below :
Particulars Quarter Ended Year Ended Equity Reconciliation as at
31 MAR 17 31 MAR 17 31 MAR 17
Audited Audited
Net profit / (loss) as per previous Indian GAAP after tax (1086.78) (2614.55) (6292.21)
Add : - Actuarial Gain/Loss on defined benefit plans 11.78 11.78 -
Net profit before Other Comprehensive Income (1228.26) (2754.58) 24160.03
3) 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.
4) 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. 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 30Sep18
Previous ECB of USD 20 Million and Euro 4.5 Million Beginning of the Disbursement Upto 30Jun18
Assigned ECBs of Euro 15 Million from Swedfund From 1Sep16 Upto 30Jun18
International Inc (Swedfund) and Finnish Fund for
International Co-operation Limited
In addition to this, the Company has also received "Letter of Support" from PGTL for Financial, Technical & Administrative Support for the forthcoming twelve months.
The management has performed impairment test and is of the view that there is no impairment in the value of Fixed Assets. However, during the quarter, the entire Capital Work in Progress of Rs 1,629.36 lacs has been impaired and shown in exceptional items.
Considering what is stated above, the accounts are prepared based on the Principle of a Going Concern.
5) "Instrument entirely equity in nature" includes External Commercial Borrowings (including outstanding interest thereon) from Promoters, which were classified as Long Term Borrowings up to 31st March, 2017. Though so classified under Indian Accounting Standards (Ind AS), the nature of the ECB remains as Long Term Outside Borrowings and does not belong to the equity shareholders.
6) 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 schemes, the Company has not recognised the aforesaid benefit related to refund of GST ( earlier VAT & CST ) during FY 2018.
7) 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 quarter and year ended 31st March, 2018 are not comparable with the previous periods/ year presented in the results.
8) All figures of financials has been rounded off to nearest Lacs rupees.