Onida Electronics Ltd. - Quarterly/Annual Result Disclosures and Notes dated 31 Mar 2020
Auditor and Management Disclosures and Notes for the annual results dated 31 Mar 2020
1. The above results as reviewed by the Audit Committee, have been taken on record at the meeting of the Board of Directors held on 26th June, 2020.
2. The figures for the quarter ended 31st March, 2020 and 31st March, 2019 are the balancing figures between the audited figures in respect of the full financial year and the year to date figures upto the third quarter of the financial year.
3. Exceptional items
During the year ended 31st March, 2019, the Company had sold land and building located at Noida resulting in to profit of Rs.468 lakhs which was considered as an exceptional item.
During the year ended 31st March, 2019, the Board of Directors approved discontinuation of CTV business due to non-availability of major input components and technological changes. Accordingly, a provision of Rs. 628 lakhs was made in respect of inventones for CTV business which was considered as an exceptional item
4. The spread of Covid 19 has affected the business from Mid-March 2020, which culminated into scaling down of the Company's operations, post the national lock down. The Company has taken various measures in consonance with Central and State Government advisories to contain the pandemic, which includes closing of manufacturing facilities and warehouses.
Given the uncertainty of turnaround to normalcy, post lifting of the lock down, the Company has carried out assessment of possible impact on its business operations, financial assets and its overall liquidity position, based on reasonable estimates. The Company does not forsee any significant incremental risk to the recoverability of carrying value as at 31st March, 2020 of its assets or in meeting its financial obligations over next twelve months.
Pursuant to the relaxed guidelines, the Company has now resumed its manufacturing ope ations as allowed in keeping with Government advisories. Sale activities are being resumed with warehouses becoming functional for material movement. Since the situations are continuously evolving, the impact assessed may be different from the estimates made as at the date of approval of the financial statements.
5. The Company has adopte J Ind AS 116 “Leases" effective 1st April, 2019. Application of Ind AS 116 does not have any impact on retained earnings as at 1st April, 2019 and the financial results of the Company.
6. The Company has only one primary business segment viz. Consumer Durables. There is no separately identifiable geographical segment.
7. Previous quarter / year enced figures have been regrouped wherever considered necessary.