5Paisa Capital 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 above financial results have been reviewed by the Audit Committee and approved by the Board at its meeting held on January 16, 2019.

2. The above results have been subjected to limited review by the Statutory Auditors and the Auditors have issued an unmodified report.

3. The Company is engaged only in the business of securities broking and distribution of financial products primarily through internet and mobile applications. Accordingly, there is no separate reportable segment in accordance with Accounting Standard 17 on 'Segment Reporting' as prescribed under Section 133 of the Companies Act, 2013.

4. Key data relating to Consolidated information of 5paisa Capital Limited is as under:

(Rs. in Lakhs)

Particulars Quarter ended December 31, 2018

(Unaudited) Quarter ended September 30, 2018

(Unaudited) Quarter ended December 31, 2017

(Unaudited) Nine Months ended December 31, 2018

(Unaudited) Nine Months ended December 31, 2017

(Unaudited) Year ended March 31, 2018


Revenue from operations 1,898.69 1,277.40 535.51 4,083.21 1,178.08 1,965.17

Profit /(loss) for the period/year (354.67) (704.61) (671.18) (1,622.47) (1,837.22) (2,529.85)

Earnings per Share

a) Basic (in Rs.) (2.78) (5.53) (5.27) (12.74) (14.42) (19.86)

b) Diluted (in Rs.) (2.78) (5.53) (5.27) (12.74) (14.42) (19.86)

5. The Board at its Meetings held on July 17, 2018 and September 12, 2018 approved the proposal of issue of equity shares by way of a Rights Issue (“Issue”) to the existing shareholders of the Company in the ratio of 1 equity share of Rs 10 each for every 1 equity share of Rs 10 each held in the Company at a premium of Rs 70 per share i.e. issue price of Rs 80 each aggregating to Rs 101.91 Cr. in accordance with the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009, as amended, and the record date for determining the entitlement will be announced in due course, subject to receipt of relevant approvals from regulatory authorities, as may be required. Further, the Company has filed the Draft Letter of Offer with SEBI, NSE and BSE on September 17, 2018. The Company has received the in-principle approval from NSE, BSE and is awaiting the observation letter from SEBI.

6. The Company has incorporated a wholly owned subsidiary namely 5paisa Insurance Brokers Limited (“5paisa Insurance”) for carrying out the business of Insurance Broking and has infused Rs 5,00,000/- towards equity share capital. 5paisa Insurance has not yet commenced the operations.

7. The accounting policies adopted in the preparation of financial results are consistent with those followed in the previous period/year unless otherwise stated.

8. The figures for the quarter ended December 31, 2018 and December 31, 2017 are the balancing figures between unaudited figures in respect of the nine month ended December 31, 2018 and December 31, 2017 and the unaudited figures of half-year ended September 30, 2018 and September 30, 2017 respectively. The figures for the quarter ended September 30, 2018 are the balancing figure between unaudited figures in respect of half year ended September 30, 2018 and unaudited figures in respect of quarter ended June 30, 2018.

9. The Standalone unaudited financial results for the quarter and nine months ended December 31, 2018, as submitted to Stock Exchanges are also available on our website

10. Previous periods figures have been regrouped / rearranged wherever necessary.