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ICRA 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 Company's business activity falls within a single primary business segment viz. “Rating, research and other services”. The operating segment has been defined based on regular review by the Company's Chief Operating Decision Maker to assess the performance of the Company and to make decision about allocation of resources.

2. Effective April 1, 2018, the Company has adopted Ind AS 115 “Revenue from Contracts with Customers" using the cumulative catch-up transition method. The standard is applied retrospectively only to contracts that are not completed as at the date of initial application and being included in retained earnings as on April 1, 2018. Accordingly, the information presented for the year ended March 31, 2018 has not been restated - i.e. it is presented, as previously reported, under Ind AS 18, “Revenue”.
The impact of Ind AS 115 on these results is as under:
Decrease in opening balance of retained earnings : Rs. 104.15 lakh, net of tax
Revenue from operations decreased by Rs. 16.67 lakh in the quarter ended December 31, 2018 and increased by Rs. 120.24 lakh in the nine months ended December 31, 2018.
Profit after tax decreased by Rs. 26.82 lakh in the quarter ended December 31, 2018 and increased by Rs. 62.65 lakh in the nine months ended December 31, 2018.
Basic earnings per share: Rs. 25.37 instead of Rs. 25.64 during the quarter (Rs. 77.21 instead of Rs. 76.57 for the nine months) ended December 31, 2018 Diluted earnings per share: Rs. 25.37 instead of Rs. 25.64 during the quarter (Rs. 77.17 instead of Rs. 76.54 for the nine months) ended December 31, 2018.

3. During the period, the Company bought back 252,049 equity shares for an aggregate amount of Rs. 8,539.88 lakh at an average price of Rs. 3,388.18 per equity share. The buy back and extinguishment of the equity shares were completed on December 12, 2018 and December 13, 2018 respectively.

4. The Scheme of Amalgamation of ICRA Management Consulting Services Limited with ICRA Online Limited (both wholly owned subsidiaries of the Company) which was approved by the Board of Directors of the Company on August 9, 2018, has been filed with National Company Law Tribunal in September 2018 and is pending for approval.

5. These results have been prepared in accordance with the Ind AS notified under the Companies (Indian Accounting Standards) Rules 2015. These results have been reviewed by the Audit Committee and approved by the Board of Directors at its meetings held on January 24, 2019. The Statutory auditors of the Company have carried out limited review of the financial results and an unmodified report has been issued. The review report of the Statutory Auditor is being filed with the BSE and National Stock Exchange. For more details on standalone Unaudited financial results, visit Investors relations section of our website at www.icra.in and Financial Results under Corporates section ofwmv.bseindia.com and www.nseindia.com


Naresh Takkar
Managing Director & Group CEO