EID Parry (India) Ltd. - Quarterly/Annual Result Disclosures and Notes dated 30 Sep 2021

1. The above Financial Results were reviewed and recommended by the Audit Committee and approved by the Board of Directors at their respective meetings held on November 08, 2021. The Statutory auditors have carried out a limited review of these financial results.

2. Exceptional items for the six months ended September 30, 2020 and year ended March 31, 2021 include the following:

a) Rs. 362.81 Crores gain on sale of 58,50,000 number of equity shares representing 2% stake in its subsidiary, Coromandel International Limited at Rs. 629.19 per share aggregating to a value of Rs. 368 Crores in the quarter ended June 30, 2020.

b) Rs. 464.44 Crores gain on sale of 58,50,000 number of equity shares representing 2% stake in its subsidiary, Coromandel International Limited at Rs. 800.7 aggregating to a value of Rs. 468 Crores in the quarter ended December 31, 2020.

c) Consequent to the closure/transfer of units, the Company had charged Rs. 96.28 Crores to the profit and loss account (representing Rs. 68.57 Crores of impairment charges and Rs. 27.71 Crores towards dismantling/ transportation expenses) for the year ended March 31, 2021. Of the said amount, Rs. 83.32 Crores (representing Rs. 65.53 Crores of impairment charges and Rs. 17.79 Crores towards dismantling/transportation expenses) was charged to profit and loss account during the quarter ended December 31, 2020 and Rs. 12.96 Crores (representing Rs. 3.04 Crores of impairment charges and Rs. 9.92 Crores towards dismantling/ transportation expenses) was charged to profit and loss account during the quarter ended March 31, 2021.

d) The Company has impaired Goodwill of Rs. 14.52 Crores relating to Ramdurg factory based on evaluation of the recoverability, being a leased plant, during the quarter ended December 31, 2020.

e) The Company has impaired Rs. 1.28 Crores relating to fixed assets of its Lycopene facility in Pune during the quarter and year ended March 31, 2021.

3. Consequent to the Company's decision to move to the new tax regime under section 115BAA of the Income Tax Act, 1961, the Company has remeasured its deferred tax balance and has written off the unutilised Minimum Alternate Tax credit. On account of this change, the charge to the statement of profit and loss for the six months ended September 30, 2020 and year ended March 31, 2021 is Rs. 88.90 Crores.

4. Pursuant to the exercise of stock options by certain employees, the Company has allotted 1,89,973 equity shares during the quarter and six months ended September 30, 2021 (quarter and six months ended September 30, 2020: Nil) each at the respective exercise price.

5. The Board of Directors at its meeting held on November 08, 2021 have approved an interim dividend of Rs. 5.50 per equity share (550% on face value of Re. 1 each).

6. The Code on Social Security, 2020 ("Code") relating to employee benefits during employment and post-employment benefits received Presidential assent in September 2020. The Code has been published in the Gazette of India. However, the date on which the Code will come into effect has not been notified. The Company will assess the impact of the Code when it comes into effect and will record any related impact in the period the Code becomes effective.

7. Subsequent Event:

The Board of Directors at their meeting held on October 04, 2021 have approved an investment of Rs.19 Crore in the share capital of the Joint Venture Company, Algavista Greentech Private Limited.

8. The spread of COVID 19 has severely impacted businesses around the globe. Due to outbreak of coronavirus global pandemic, Government of India, implemented a Pan India lockdown from March 2020 with certain relaxations and exceptions. The Company's significant business is sugar and it has been identified as an essential service. The Company's factory was operating during the lockdown except for few days in the initial lock down period and was able to complete the crushing of sugarcane as per the schedule with slight delay. The Company has made detailed assessment of its liquidity position including the ability of the Company to continue as going concern. The Company has sanctioned credit facilities which can be used as and when necessary and has the ability to repay the debts as and when it falls due. Management believes that it has taken into account all the possible impact of events arising from COVID 19 pandemic in the preparation of the standalone financial results for the quarter and six months ended September 30, 2021, which are not significant.

9. Due to the seasonal nature of the business, figures for the current and previous quarters are not comparable.

10. Figures for the comparative periods have been regrouped wherever necessary in conformity with present classification.