You are on page 1of 39

CONTENTS

Board of Directors Directors Report Auditors Report Balance Sheet Profit and Loss Cash Flow Statement Schedule forming part of the Accounts

3 4 9 12 13 14 15

Board of Directors
Daya Krishna Goyal, Chairman Ajay Krishna Goyal, President & Managing Director Madhava Ravindra Rear Admiral (Retd.) Jagadish Janardan Baxi Major General (Retd.) Ashok Kalyan Verma Dr. Horst Eckert Premila Goyal Sanjay Krishna Goyal Sita Ram Agarwal Mohinder Pratap Gupta Harish Kumar Saraf

Bankers
State Bank of India Overseas Branch Jawahar Vyapar Bhawan 1, Tolstoy Marg New Delhi 110 001 Punjab National Bank Mid-Corporate Branch A-9, Connaught Place New Delhi 110 001 Standard Chartered Bank Wholesale Banking H-2, Connaught Place New Delhi 110 001 Export-Import Bank of India Statesman House 148, Barakhamba Road New Delhi 110 001 Axis Bank Limited Statesman House Ground Floor 148, Barakhamba Road New Delhi 110 001 ICICI Bank Limited Phelps Building 9A, Connaught Place New Delhi 110 001 Barclays Bank PLC Eros Corporate Tower Nehru Place New Delhi 110 019 Central Bank of India Parliament Street Branch Jeevan Tara Building Parliament Street Branch New Delhi 110 001 IndusInd Bank Limited Gopal Das Building 28, Barakhamba Road New Delhi 110 001 ING Vysya Bank Limited 101-107, Narain Manzil 23, Barakhamba Road New Delhi 110 001

Auditors
Anil Maheshwari & Co. Chartered Accountants G-66/2, Gautam Nagar New Delhi 110 049

Registered and Head Office


# 104-107, 1st Floor, Hemkunt Tower 98, Nehru Place, New Delhi 110 019, India Phones : +91.11.26413873-74-75 Fax : +91.11.26413876 Email : anglind@vsnl.com Website : www.angelique-india.com

Corporate Centre for IT Enabled Engineering Services


Angelique Tower, Plot No. 12, Sector 125 Noida 201 301, Dist. Gautambudh Nagar Uttar Pradesh, India Phones : +91.120.4193000

DIRECTORS' REPORT
To, The Members of Angelique International Limited Your Directors are pleased to present the Fifteenth Annual Report together with the audited accounts of the Company for the Financial Year ended 31st March, 2011. FINANCIAL RESULTS Rs. in Millions Particulars Sales and other income Profit before Depreciation, amortization and tax, exceptional and prior period items Depreciation/ amortization Profit before Tax Profit after Exceptional items and Taxes Balance brought forward Balance available for appropriation Appropriations : Profit transferred to General Reserve Dividends Tax on distributed profits Balance carried forward OPERATIONS The year, under review, has seen healthy growth of 17% in terms of revenue growth to Rs 8,903.15 million against Rs 7,621.55 Million in the previous year. Profit Before Tax, depreciation and exceptional items is Rs 853.74 million, against Rs 740.01 million during previous year. Tax outgo is Rs 278.96 million against Rs 228.07 million during previous year, Profit After Tax and exceptional items stands at Rs 524.89 million, up by 12.12%, over Rs 468.15 million in the previous year. The profitability of the Company has been under pressure during the year due to volatile foreign exchange markets and continuing weakness of the dollar coupled with rising input costs and growing competitive business environment. With the better volume driven performance your company envisages to improve margins in coming years. International Operations Africa, remains key market for your Company with international operations revenue contribution of 70% followed by South East Asia and East Asia.In terms of segments, power related activities contributed 47% of the operations revenue as compared to 54% during the previous year. Contribution from Agriculture and potable water related projects contributed 18% against 24% last year. Industrial Project sector emerged with 19% revenue contribution Domestic Operations In domestic market., your company continues its focus on completion and closure of projects undertaken during the last years. These results are envisaged to reach optimum level during the next financial year. Your Directors take this opportunity to re-endorse their belief in growth of Indian Economy and infrastructure in years to come which will provide vast opportunities for companies in EPC sector. As such with multiplicity of strategies presence in Indian market shall be focused, in selective areas, in coming years. FUTURE OUTLOOK Your Company continues with successful inroads into its chosen African Continent markets with repeat orders Year ended 31st March, 2011 8,903.15 853.74 35.85 817.89 524.89 1,048.49 1,573.38 100.00 127.57 20.82 1,324.99 Year ended 31st March, 2010 7,621.55 740.01 23.63 716.38 468.15 829.10 1,315.35 100.00 127.57 21.19 1,048.49

from markets where your Company is already present. The nature of Company's business is also undergoing shift toward higher end complex projects and long gestation projects. Your Directors are confident of transformation of your Company into a world class multi skill engineering company. The future has great potential and opportunities for your Company. Your Company is positioning itself in very advantageous place in Africa continent which is emerging to be hot spot of business opportunities in 21st Century. The development work in Africa is being supported very liberally not only by Government of India, providing opportunities to Indian companies but also by multi-lateral developmental and local specialized intermediary developmental banking institutions like African Development Bank, ECOWAS Bank for Industrial Development in Western Africa. Your Company is already experiencing positive outcome in terms of successful business acquisition from multi-lateral funding. Your Directors are also evaluating some business opportunities in Middle East too which shall be taken up with due prudence and safeguards. Your Directors are also weighing setting up/ acquiring of back end manufacturing facilities, in India, in high volume and repetitive inputs to achieve synergies of operations leading to cost efficiency, quality products and timely delivery for better customer satisfaction. Your Company has also taken steps to diversify its operations in the areas of mining for long term sustainable cash flows. Beginning is being made from Republic of Mali with initiation of steps for formation of a mining company, to be named, Dhruv Metals and Minerals (Mali) Sarl. Intial investment in this venture is proposed to be made out of internal accruals of the Company. SUBSIDIARIES Company's subsidiary in Repulbic of Mali, Societer d'Assemblage de Tracteurs SA abbreviated Mali Tracteurs SA for assembly and marketing of tractors which became operational during previous financial year, has moved on and has made cash profit of F.CFA 13.82 million (i.e Rs 1.30 million) during the financial year ended on 31-12-2010. However due to high incidence of depreciation of F.CFA 296.13 million (i.e Rs 28.03 million) there is an overall loss of F.CFA 282.31 million (i.e Rs 26.73 million). In case of other subsidiary of the Company in Singapore, Angelique International Pte Limited, any fresh activities are yet to take place and due to this a loss of US$ 45,202 (i.e Rs 2.02 million) reflecting the administrative expenses of the subsidiary, has been incurred during the year ended 31/3/2011. Annual Report of the Company's both the subsidiary companies pursuant of Section 212 of the Companies Act 1956 is attached with Balance Sheet of the Company. As reported earlier, during the year under review, Company has also taken steps for formation of another subsidiary Company, proposed to be named Dhruv Metals and Minerals (Mali) Sarl in Republic of Mali, This new subsidiary is proposed to undertake mineral exploration and mining activities in Mali. DIVIDEND Your Directors declared an interim dividend of 25% during the year, with a total cash outgo of Rs 37.19 million (consisting of divided of Rs 31.89 million and Dividend Distribution Tax of Rs 5.30 million). Your Directors are pleased to recommend a final dividend of 75% which will involve a further cash outgo of Rs 111.19 million (consisting of dividend payment of Rs 95.68 Million to shareholders and Rs 15.52 Million, by way of Dividend Distribution Tax, as per current tax provisions ). Thus, total dividend pay out during the year is Rs 127.57 million and dividend distribution tax of Rs 20.82 million. DIRECTORS Smt. Premila Goyal, Shri Sita Ram Agarwal and Dr. Horst Ekcert retire by rotation at the forthcoming Annual General Meeting. Smt Premila Goyal being eligible, offers herself for re-appointment. Your Director also place on record vote of thanks for the valuable services rendered by other two Directors Dr. Horst Eckert and Shri S R Agarwal who are retiring by rotation. BANKING ARRANGEMENTS Your Company continues to have growing support of Banks. The consortium of banks providing fund based/ non fund based financial support to Company, led by State Bank of India Overseas Branch New Delhi has been further expanded by induction of ING Vysya Bank. This along with other member banks being in addition of the lead bank State Bank of India are Central Bank of India, Punjab National Bank, Axis Bank Limited, Standard Chartered Bank, ICICI Bank Limited, IndusInd Bank Limited and Barclays Bank. The Consortium consists of a mix nationalized, large private Indian and foreign banks, reflecting growing support of the community of bankers.

Export-Import Bank of India for their vital role and support in realizing the Exim Bank lines of credit funded business. Credit Rating Your Directors are pleased to inform you that in respect of working capital facilities being availed by your Company from consortium of banks, rating of your company for fund based cash credit facilities has been upgraded by CRISIL to "BBB+ (Stable)" and for export related fund based and all non-fund facilities to "P2". This rating by the leading credit rating agency of the country reflects the financial strength and prudence of financial policies of the Company. CORPORATE GOVERNANCE Audit Committee The Company continues to have the Audit Committee of Directors, which comprises of Shri Ajay Krishna Goyal- President & Managing Director, as its Chairman and two independent directors Shri Sita Ram Agarwal and Rear Admiral (Retd) J.J.Baxi. This Audit Committee complies with the provisions of Section 292A of the Companies Act 1956. The audit committee has reviewed the Audit Report of statutory auditors as well recommendations of Internal auditors from time to time. Remuneration Committee The remuneration of the Whole time /Managing Director (s) is approved by Board on the recommendations of the Remuneration Committee within the overall approval of the shareholders and compliances under Schedule XIII and other applicable provisions of Companies Act 1956. Internal Audit Company has made elaborate arrangement for internal audit, by way of appointment of firms of Chartered Accountants, to ensure review of internal controls policies and procedures and adherence thereto, review and reporting of the compliance, including secretarial and company law compliances. The management duly considers and takes appropriate action on the recommendations made by internal auditors and Audit Committee of the Board of Directors. Angelique has policy of maintaining the highest standards of health , safety and environmental norms while executing projects and adherence to this policy is ensured through proper reporting mechanism. DIRECTORS RESPONSIBILITY STATEMENT Pursuant to section 217 (2AA) of the Companies Act, 1956, with regard to the audited annual accounts for the year ended 31st March, 2011, your Directors confirm ; a) That in preparation of the annual accounts for the year ended 31st March, 2011, the applicable accounting standards read with the requirements set out under Schedule VI of the Companies Act, 1956 have been followed along with proper explanation relating to departures, if any, wherever applicable.; That the Directors have selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company as at 31st March 2011 and of profit of the company for the year ended on that date; That the Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of Companies Act, 1956 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities; That the Directors had prepared the annual accounts on a 'going concern' basis.

b)

c)

d)

CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNINGS & OUTGO a) Conservation of energy In accordance with the provisions of section 217 (2) (e) of the Companies Act, 1956 read with Companies (Disclosure of Particulars in the Report of Board of Directors) Rules, 1988, there are no relevant particulars to be reported with regard to conservation of energy as the Company's energy requirements are very limited on account of the nature of its business . b) Technology absorption Your company is taking all possible steps to absorb latest efficient and green technologies with regard to

its area of operations as a part of its corporate policy of customer satisfaction. c) Foreign Exchange Earnings and Outgo Foreign Exchange earned and used: Amount (Rs in Million) Earned Used AUDITORS The statutory auditors of the Company, Anil Maheshwari and Company, Chartered Accountants, retire at the conclusion of this ensuing Annual General Meeting and are eligible for re-appointment . Company has received letters from the Auditors to the effect that their reappointment, if made, would we within the prescribed limits under Section 224 (IB) of the Company Act 1956 and that they are not disqualified for the reappointment with the meaning of Section 226 of the said Act. The auditors' observations in their Report and the "Notes to Accounts" are self-explanatory and do not call for any further explanation/comments by the Directors. Branch Auditors In respect of some of the foreign operations, to comply with the local requirements, your Company, is appointing Branch Auditors in pursuance of Section 228(3) of the Companies Act, 1956 . HUMAN RESOURCES Human resources continue to remain a priority focus area with world class working environment and suitably evolving policies to induct, train and retain talent in the company notwithstanding challenges being faced by EPC sector in this regard. Particulars of Employees As required under Section 217(2A) of the Companies Act, 1956 read with Companies (Particulars of Employees) Rules 1975, as amended upto date, is attached to this Report. ACKNOWLEDGEMENTS Your Directors, would like to express their appreciation, to all the customers particularly governments of foreign state clients including their ministries/authorities for their reposing their growing trust in your Company as a reward to Company's relentless pursuit for delivering appropriate technological solutions to its customers. Your Directors also wish to place on records their deep sense of appreciation to all the vendors and other business partners, like BHEL, Water and Power Consultants (WAPCOS) and various service providers, and all the member banks of the Banks' Consortium as well as Export-Import Bank of India, who have all supported Company in continuing with the business growth . Your Directors would like to convey appreciation for the committed services by the executive and staff of the Angelique Family. Thanks you all with best wishes. For and on behalf of the Board of Directors Sd/Daya Krishna Goyal (Chairman) 7,587.41 2,817.59

Place : New Delhi Date : July 9, 2011

8
Qualification Age (Years) 72 43 57 6,089,000 36 01-Feb-1999 8,289,846 20 01-Apr-2002 10,729,211 51 03-Jan-1996 Cimmco Limited, Chief Executive President Angelique Overseas Pvt. Ltd., Whole Time Director Cimmco International, General Manager Gross Experience Remuneration (Years) (Rs.) Date of Appointment Last Employment & Designation B.E. (Mechanical) B.E. (Textiles) B.E. (Mechanical) By order of the Board Sd/Daya Krishna Goyal (Chairman)

ANNEXURE TO DIRECTOR REPORT OF ANGELIQUE INTERNATIONAL LIMITED FOR THE FINANCIAL YEAR 2010- 11

Information as per section 217(2A) of the Companies Act, 1956 read with the Companies (Particulars of Employees) Rules, 1975 and forming part of the report of Directors for the year ended March 31, 2011

S. Name No.

Designation

1.

Mr. Daya Krishna Goyal

Chairman & Whole Time Director

2.

Mr. Ajay Krishna Goyal

President & Managing Director

3.

Mr. Mohinder Pratap Gupta

Joint President & Whole Time Director

Note: (1) All Directors have been appointed for full year. (2) Remuneration included basic salary, allowances, ex gratia bonus, company's contribution to PF and taxable value of perquisites. (3) Mr. M.P Gupta- Joint President & whole time Director is not related to any director of the Company.

Place: New Delhi Date : July 9, 2011

AUDITOR'S REPORT TO THE MEMBERS OF ANGELIQUE INTERNATIONAL LIMITED


1. We have audited the attached Balance Sheet of ANGELIQUE INTERNATIONAL LIMITED as at 31st March, 2011 and also the Profit & Loss Account and Cash Flow Statement for the year ended on that date annexed thereto. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatements. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. As required by the Companies (Auditor's Report) Order, 2003 (as amended) issued by the Central Government of India in terms of Section 227 (4A) of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the said Order. Further to our comments in the Annexure referred to above, we report that : We have obtained all the information and explanations, which to the best of our knowledge and belief were necessary for the purposes of our audit;

2.

3.

4. (i)

(ii) In our opinion, proper books of account as required by law have been kept by the Company so far as appears from our examination of the books; (iii) The Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by this report are in agreement with the books of account; (iv) In our opinion, the Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report comply with the mandatory accounting standards, to the extent applicable to the company, referred to in sub - section (3C) of Section 211 of the Companies Act, 1956; (v) On the basis of the written confirmations received from the Directors, as on 31st March, 2011, and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on 31st March, 2011 from being appointed as a Director in terms of clause (g) of sub - section (1) of Section 274 of the Companies Act, 1956; (vi) In our opinion and to the best of our information and according to the explanations given to us, the said accounts read together with the Accounting Policies and Notes on Accounts as per Schedule '25', give the information required by the Companies Act, 1956 in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India:a) b) c) in the case of Balance Sheet, of the state of affairs of the Company as at 31st March, 2011; in the case of the Profit and Loss Account of the Profit for the year ended on that date; and, in the case of Cash Flow Statement of the cash flow for the year ended on that date. For Anil Maheshwari & Co. Chartered Accountants Firm Registration No. 011558N Sd/Anil Maheshwari Partner Membership No. 071188

Place : New Delhi Date : July 09, 2011

ANNEXURE TO THE AUDITOR'S REPORT


Referred to in Paragraph 3 of our Report to even date: (i) (a) In our opinion the Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets; (b) The management has physically verified the fixed assets at reasonable intervals. In our opinion, the frequency of physical verification is reasonable having regard to the size of the Company and nature of its business. We have been informed that discrepancies noticed on such physical verification have properly been dealt with in the books; (c) The Company has not disposed off substantial part of the fixed assets during the year; (ii) (a) In our opinion, the management has conducted physical verification of inventory at reasonable intervals;

(b) In our opinion, the procedure of physical verification of the inventory followed by the management are reasonable and adequate having regard to the size of the Company and nature of its business; (c) In our opinion, the Company has maintained proper records of inventory and no material discrepancies were noticed on physical verification of inventory; (iii) (a) The Company has not granted any loans, secured or unsecured to companies, firms or other parties covered under the register maintained under Section 301 of the Companies Act, 1956; (b) The Company has granted loans to employees. In our opinion, the terms and conditions on which loans have been granted are not prima facie prejudicial to the interest of the Company; (c) The principal amount is being received regularly, no interest is being charged on loans given to employees; (d) There is no overdue amount of loan exceeding Rs. one lac. (e) The company has not taken any loans, secured or unsecured from companies, firms or other parties covered in the register maintained under Section 301 of the Companies Act, 1956; (iv) In our opinion, there are adequate internal control systems commensurate with the size of the Company and nature of its business with regard to purchase of inventory and fixed assets and for sale of goods and services. In our opinion, there is no continuing failure to correct major weakness in internal control system. (v) (a) In our opinion and according to the explanations given to us, all transactions in respect of each party that need to be entered in the register maintained under Section 301 of the Companies Act, 1956; have been so entered; (b) In our opinion and according to the information and explanations given to us, each of these transactions have been made at the prices which are reasonable having regard to the prevailing market prices at the relevant time. (vi) The Company has not accepted any deposits from the public. (vii) In our opinion, the Company has an internal audit system commensurate with the size and the nature of its business. (viii) The maintenance of cost records is not applicable to the Company as prescribed by the Central Government in terms of section 209 (1) (d) of the Companies Act, 1956. (ix) (a) In our opinion and according to the information and explanation given to us, the Company has generally been regular in depositing undisputed dues of Provident Fund, Employees' State Insurance, Income - tax, Sales tax, VAT, Wealth tax, Service tax, Custom Duty, Excise Duty, Education Cess and other statutory dues with the appropriate authorities. There are no arrears of undisputed outstanding statutory dues as at 31.03.2011 for a period of more than six months from the date they became payable.

10

(b) According to the information and explanations given to us and the records of the Company examined by us, the particulars of dues of Income tax as on March 31, 2011 which have not been deposited on account of dispute are given in Note No. 25.2.11 of Schedule '25'. (x) (xi) There are no accumulated losses in the Company as at 31.03.2011. The Company has not incurred cash losses in the financial year under report and in the immediately preceding financial year. In our opinion and according to the information and explanations given to us, the Company has not defaulted in repayment of dues to financial institutions and banks.

(xii) The Company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities. (xiii) Provisions of chit fund, nidhi, mutual benefit fund and societies are not applicable to the Company. (xiv) In our opinion, the Company is not a dealer or trader in shares, securities, debentures and other investments. (xv) In our opinion and according to the information and explanations given to us, the Company has not given any guarantee for loans taken by others from banks or financial institutions. (xvi) In our opinion and according to the information and explanations given to us, the Company has applied the term loan for the purpose for which the loan was obtained. (xvii) In our opinion and according to the information and explanations given to us, the Company has not used funds raised on short - term basis for long term investment. (xviii)The Company has not made any preferential allotment of shares to parties and companies covered in the register maintained under section 301 of the Companies Act, 1956. (xix) The Company has not issued any debentures. (xx) The Company has not raised any money during the year by public issue of shares. (xxi) On the basis of checks carried out by us and according to the information and explanations given to us, no fraud on or by the Company have been noticed or reported during the year.

For Anil Maheshwari & Co. Chartered Accountants Firm Registration No. 011558N Sd/Anil Maheshwari Partner Membership No. 071188

Place : New Delhi Date : July 09, 2011

BALANCE SHEET AS AT MARCH 31, 2011


ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED SCHEDULE SOURCES OF FUNDS Shareholders fund Share Capital Reserves and surplus Loan funds Secured loans Unsecured loans Deferred tax liability, net APPLICATION OF FUNDS Fixed assets Gross block Less: Accumulated depreciation Net block Investments Current assets, loans and advances Inventories Sundry debtors Cash and bank balances Other current assets Loans and advances Current liabilities and provisions Current liabilities Provisions Net current assets Miscellaneous expenditure (To the extent not written off or adjusted) SIGNIFICANT ACCOUNTING POLICIES AND NOTES TO ACCOUNTS 15 1 2 127,566,630 1,877,647,321 2,005,213,951 752,958,627 1,776,547 754,735,174 27,719,000 2,787,668,125 127,566,630 1,501,139,838 1,628,706,468 832,138,652 10,753,949 842,892,601 10,850,000 2,482,449,069 AS AT 31ST MARCH 2011 AS AT 31ST MARCH 2010

3 4 5

6 940,081,600 83,862,340 856,219,260 7 8 9 10 11 12 163,437,156 604,268,533 3,544,608,356 1,125,360,265 28,259,357 1,524,758,061 6,827,254,572 4,242,412,866 816,829,997 5,059,242,863 1,768,011,709 2,787,668,125 25 792,504,462 48,890,024 743,614,438 91,390,530 614,551,279 3,668,211,823 998,026,600 36,212,100 1,318,707,231 6,635,709,033 4,168,138,396 820,126,536 4,988,264,932 1,647,444,101 2,482,449,069

13 14

The schedules referred to above form an integral part of the Balance Sheet

As per our report of even date for Anil Maheshwari & Co. Chartered Accountants Sd/Anil Maheshwari Partner Membership No. 071188 Place : New Delhi Date : 09 July, 2011 Sd/Daya Krishna Goyal Chairman Sd/Ajay Krishna Goyal President and Managing Director Sd/Pankaj Goyal CFO and Company Secretary Sd/Madhava Ravindra Director

12

PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED MARCH 31, 2011
ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED SCHEDULE 31ST INCOME Sales Other income Increase/(decrease) in stock EXPENDITURE Purchases Civil construction expenses Personnel expenses Administrative expenses Selling expenses Finance expenses Depreciation Preliminary expenses written off Profit before taxation Provision for taxation Profit after taxation Exceptional and prior period items Balance in profit and loss account brought forward Amount available for appropriation APPROPRIATIONS Interim dividend on equity shares Tax on interim dividend Proposed dividend on equity shares Tax on proposed dividend Transferred to General Reserve Balance carried forward Earnings per share On profit after taxation and exceptional items Basic and diluted - Par value Rs. 10 per share SIGNIFICANT ACCOUNTING POLICIES AND NOTES TO ACCOUNTS 16 17 18 FOR THE YEAR ENDED MARCH 2011 FOR THE YEAR ENDED 31ST MARCH 2010 7,324,315,554 297,236,105 269,432,267 7,890,983,926 3,620,054,650 1,183,504,700 399,488,695 459,481,773 1,285,050,072 203,397,695 23,224,460 406,250 7,174,608,295 716,375,631 228,072,003 488,303,628 20,162,419 829,100,220 1,297,241,429 127,566,630 21,187,223 100,000,000 1,048,487,576 1,297,241,429

8,510,577,361 392,568,302 (11,051,559) 8,892,094,104 3,948,669,190 1,085,749,840 518,446,614 484,488,785 1,777,227,907 223,774,039 35,850,995 8,074,207,370 817,886,734 278,959,449 538,927,285 14,035,491 1,048,487,576 1,573,379,370 31,891,658 5,296,806 95,674,974 15,520,873 100,000,000 1,324,995,059 1,573,379,370

19 20 21 22

23 24

41.15

36.70

25

The schedules referred to above form an integral part of the Profit and Loss Account

As per our report of even date for Anil Maheshwari & Co. Chartered Accountants Sd/Anil Maheshwari Partner Membership No. 071188 Place : New Delhi Date : 09 July, 2011 Sd/Daya Krishna Goyal Chairman Sd/Ajay Krishna Goyal President and Managing Director Sd/Pankaj Goyal CFO and Company Secretary Sd/Madhava Ravindra Director

CASH FLOW STATEMENT FOR THE YEAR ENDED ON MARCH 31, 2011
ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED FOR THE YEAR ENDED MARCH 2011 817,886,734 35,850,995 2,072,880 13,076,147 (4,014,508) (40,059,824) 24,561,398 (821,930) (16,869,000) 831,682,892 (74,494,620) 10,282,746 87,846,931 855,317,949 (14,035,491) (262,090,449) 579,192,009 (151,239,903) 711,206 (100,922,773) 15,800,000 40,059,824 4,014,508 (191,577,138) (88,157,427) (24,561,398) (148,384,311) (261,103,136) 126,511,735 998,026,600 821,930 1,125,360,265 FOR THE YEAR ENDED 31ST MARCH 2010 716,375,631 23,224,460 406,250 5,469,215 15,332,603 (40,747,371) 16,540,997 21,388,873 (6,325,000) 751,665,658 (742,134,757) (295,772,483) 1,030,649,949 744,408,367 (20,162,419) (221,747,003) 502,498,945 (296,046,840) 1,003,823 (54,403,677) 13,778,770 40,747,371 (294,920,553) 2,274,077 (16,540,997) (148,753,853) (163,020,773) 44,557,619 974,857,854 (21,388,873) 998,026,600

31ST CASH FLOWS FROM OPERATING ACTIVITIES Profit before taxation Adjustments Depreciation Amortization of preliminary expenses Loss on sold/discarded fixed asset Loss on sale/diminution of investment (net) Dividend income Interest income Interest paid Exchange difference on translation of foreign currency on cash and cash equivalents Provision for deferred tax Operating cash flows before working capital changes Adjusted for: Trade and other receivables Inventories Trade payables Cash generated from operations Exceptional and prior period items Tax paid Net cash provided by operating activities CASH FLOWS FROM INVESTING ACTIVITIES Purchase of fixed assets and capital work-in-progeress Proceeds from sale of fixed assets Purchase of investments Proceeds from sale of investments Interest received Dividend received Net cash used in investing activities CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from borrowings (net of repayments) Interest paid Dividend paid (including dividend tax) Net cash provided by financing activities NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS Cash and cash equivalents at the beginning of the period Effect of exchange difference on cash and cash equivalents CASH AND CASH EQUIVALENTS AT THE END OF THE PERIOD As per our report of even date for Anil Maheshwari & Co. Chartered Accountants Sd/Anil Maheshwari Partner Membership No. 071188 Place : New Delhi Date : 09 July, 2011 Sd/Daya Krishna Goyal Chairman

Sd/Ajay Krishna Goyal President and Managing Director Sd/Pankaj Goyal CFO and Company Secretary

Sd/Madhava Ravindra Director

14

SCHEDULES FORMING PART OF THE BALANCE SHEET


ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED AS AT 31ST MARCH 2011 SCHEDULE 1 SHARE CAPITAL Authorised 15,000,000 (previous year: 15,000,000) equity shares of Rs. 10/- each Issued, subscribed and paid-up 12,756,663 (previous year: 12,756,663) equity shares of Rs. 10/- each fully paid Of the above, 8,100,900 equity shares were issued as fully paid bonus shares in 2004-05 by capitalisation of share premium reserve, general reserve and profit and loss account. AS AT 31ST MARCH 2010

150,000,000

150,000,000

127,566,630

127,566,630

127,566,630

127,566,630

SCHEDULE 2 RESERVES & SURPLUS General reserve Balance at the beginning of the year Add : Transferred from profit and loss account

433,376,000 100,000,000 533,376,000 19,276,262

333,376,000 100,000,000 433,376,000 19,276,262

Share premium account Profit and loss account Balance in profit and loss account

1,324,995,059 1,877,647,321

1,048,487,576 1,501,139,838

Schedules to Balance Sheet (Continued)


ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED AS AT 31ST MARCH 2011 SCHEDULE 3 SECURED LOANS From banks Term loan from State Bank of India (Secured by way of first charge on the office premises at Noida, second charge on the current assets of the company and personal guarantee of four directors of the company including the managing director) (Repayable within one year - Rs. Nil; Previous year 55,600,000) Working capital facilities (Under consortium of State Bank of India, Central Bank of India, Axis Bank Limited, ICICI Bank Limited, IndusInd Bank Limited, Standard Chartered Bank, Barclays Bank PLC, Punjab National Bank and ING Vysya Bank Limited, and are secured by way of pari-passu first charge on stock of finished goods, book debts, all other current assets and movable fixed assets of the company, both present and future (excluding specifically hypothecated vehicles) and pari-passu first charge on the immovable fixed assets of the company situated in India, excluding Noida property which is under second pari-passu charge, both present and future, and personal guarantees of four directors of the company including the managing director) Packing credit accounts Cash credit accounts (incl. Working Capital Demand Loan) Overdraft against fixed deposits Bills discounted Vehicle loans From ICICI Bank Limited From HDFC Bank Limited From Kotak Mahindra Prime Limited 196,692,485 110,379,963 30,123,770 409,498,846 746,695,064 21,722 6,241,841 6,263,563 752,958,627 137,306,035 40,052,356 30,612,137 420,121,384 628,091,912 377,048 355,998 8,913,694 9,646,740 832,138,652 AS AT 31ST MARCH 2010

194,400,000

SCHEDULE 4 UNSECURED LOANS Short term loan from banks Temporary overdraft in current account

1,776,547 1,776,547

10,753,949 10,753,949

16

Schedules to Balance Sheet (Continued)


ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED AS AT 31ST MARCH 2011 SCHEDULE 5 DEFERRED TAX - NET Deferred tax liabilities On fiscal allowances on fixed assets Deferred tax assets On employees seperation and retirement AS AT 31ST MARCH 2010

34,385,759 6,666,827 27,718,932 27,719,000

18,491,990 7,641,525 10,850,465 10,850,000

SCHEDULE 6 FIXED ASSETS


GROSS BLOCK Description Tangible Assets : Land - Freehold Land - Leasehold Office Premises Plant And Machinery* Furniture And Fixtures Office Equipments Computers Air Conditioners Vehicles Intangible Assets : Softwares Total Previous Year 11,596,502 792,504,462 506,585,596 2,119,592 151,239,903 466,895,444 13,716,094 4,713,928 48,890,024 29,320,500 2,099,297 37,666,532 23,224,460 37,666,532 1,815,537 35,850,995 2,694,216 3,654,936 6,813,225 6,902,869 6,882,574 743,614,438 477,265,096 3,662,765 940,081,600 180,976,578 792,504,462 83,862,340 856,219,260 48,890,024 743,614,438 3,434,699 163,012,500 297,761,591 160,380,831 29,762,182 23,401,716 20,747,527 2,819,944 79,586,970 6,801,379 92,124,730 4,079,475 4,099,333 4,236,391 680,770 37,098,233 3,434,699 2,262,897 11,476,998 2,384,216 1,666,817 8,332,047 103,299 17,949,822 1,897,913 6,195,146 11,514,181 2,103,277 1,343,665 3,420,266 141,694 8,951,093 40,000 2,015,296 20,660 153,000 145,750 319,510 3,434,699 3,434,699 163,012,500 295,498,694 148,903,833 27,377,966 21,734,899 12,415,480 2,716,645 61,637,148 - 163,012,500 40,000 304,522,970 1,484,900 251,020,661 109,910 899,791 196,765 33,731,747 26,601,258 24,787,153 3,500,714 1,897,913 161,114,587 8,418,043 296,104,927 20,975,883 230,044,778 4,466,833 2,857,482 11,606,563 244,993 26,581,405 29,264,914 23,743,776 13,180,590 3,255,721 89,172,399 as at 01/04/2010 additions deletions/ as at adjustments 31/03/2011 as at 01/04/2010 DEPRECIATION for the year NET BLOCK as at 31/03/2010 deletions/ as at as at adjustments 31/03/2011 31/03/2011

931,399 115,753,804

Depreciation for the year Less : Adjustments in Plant and machinery for assets in branch office Charged to Profit and Loss Account * Plant and machinery includes Rs. 17,701,369 (Previous year - Nil) in transit.

Schedules to Balance Sheet (Continued)


ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED AS AT 31ST MARCH 2011 SCHEDULE 7 INVESTMENTS Long term at cost, unless otherwise specified UNQUOTED INVESTMENTS Non-trade (a) In Equity Shares fully paid-up In Subsidiary Companies 12,000 (previous year: 12,000) ordinary shares of Singapore $ 1 each of Angelique International Pte. Ltd., Singapore 51,000 (previous year: nil) ordinary shares of FCFA 10,000 each of Socit dAssemblage de Tracteurs SA, Mali Less : Diminution in value of investment Share Application Money - Dhruv Minerals & Metals Sarl., Mali In Others 175,022 (previous year: 175,022) equity shares of Rs. 10/- each of ACL Wireless Limited, India (b) In Preference Shares fully paid up 1,500,000 (previous year: 1,500,000) non-cumulative redeemable preference shares of Rs. 10/- each of Spanind Designs Pvt. Ltd., India (c) In Debentures Nil (previous year: 150,000) non-convertible redeemable debentures of Rs. 100/- each of Spanind Designs Pvt. Ltd., India CURRENT INVESTMENTS In Mutual Fund - at cost 600 (previous year: 1,400) units of Crayon Capital Art Fund - Scheme 1 200,000 (previous year: 200,000) units of Tata Indo-Global Infrastructure Fund 100,000 (previous year: 100,000 ) units of Axis Equity Fund 100,000 (previous year: 100,000 ) units of Principal Mutual Fund 5,073,859.055 (previous year: nil) units of SBI Ultra Short Term Fund - Institutional Plan - Daily Dividend 4,581,433.529 (previous year: nil) units of SBI Magnum Income Fund - FRSPB - Weekly Dividend Less : Diminution in value of current investment 338,371 338,371 AS AT 31ST MARCH 2010

51,903,677

51,903,677

34,682,740 17,220,937 111,625

21,052,131 30,851,546 -

25,153,255

25,153,255

15,000,000

15,000,000

15,000,000

57,824,188

86,343,172

600,000 2,000,000 1,000,000 1,500,000 50,769,034 50,042,114 105,911,148 298,180 105,612,968 163,437,156

1,400,000 2,000,000 1,000,000 1,500,000 5,900,000 852,642 5,047,358 91,390,530

During the year, the following current investments were purchased and sold: (1) 1,492,510.5819 Units of SBI Magnum Insta Cash Fund - Daily Dividend Option, at cost of Rs. 25,000,000 (2) 19,988,007.196 Units of SBI-SHF Ultra Short Term Fund, Institutional Plan - Daily Dividend Option, at cost of Rs. 220,000,000.

18

Schedules to Balance Sheet (Continued)


ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED AS AT 31ST MARCH 2011 SCHEDULE 8 INVENTORIES As taken, valued and certified by the management Finished goods Consumables and spares Work in progress AS AT 31ST MARCH 2010

249,561,473 27,109,029 327,598,031 604,268,533

240,324,915 26,340,216 347,886,148 614,551,279

SCHEDULE 9 SUNDRY DEBTORS Unsecured, considered good Debts outstanding for a period exceeding six months From Subsidiary From Others Other Debts From Subsidiary From Others

35,043,614 767,410,339 49,485,553 2,692,668,850 3,544,608,356

52,681,749 686,135,723 39,163,298 2,890,231,053 3,668,211,823

SCHEDULE 10 CASH AND BANK BALANCES Cash and cheques in hand Balances with scheduled banks In current accounts In EEFC current accounts In deposit accounts In margin money accounts Balances with non-scheduled banks outside India In current accounts 6,446,388 26,473,071 273,427,265 176,869,562 559,609,871 82,534,108 1,125,360,265 1,686,915 31,529,904 293,754,024 178,847,927 460,180,463 32,027,367 998,026,600

SCHEDULE 11 OTHER CURRENT ASSETS Unsecured, considered good Security deposits Deposits with Government, public bodies and others Interest accrued

20,710,723 4,109,510 3,439,124 28,259,357

23,956,705 1,200,000 11,055,395 36,212,100

SCHEDULE 12 LOANS AND ADVANCES Unsecured, considered good Advances to suppliers Advances recoverable in cash or in kind or for value to be received Advances with Government and public bodies Export incentives receivable Other advances Advances Tax Advances with subsidiaries

280,477,137 479,159,971

226,771,055 367,574,632

120,410,870 644,488,696 221,387 1,524,758,061

114,526,864 397,605 609,437,075 1,318,707,231

Schedules to Balance Sheet (Continued)


ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED AS AT 31ST MARCH 2011 SCHEDULE 13 CURRENT LIABILITIES Sundry creditors Micro, small and medium enterprises (Refer note 25.2.12) Others Advances from customers Other liabilities AS AT 31ST MARCH 2010

8,252,392 1,447,472,376 1,996,852,170 789,835,928 4,242,412,866

1,824,226,360 1,377,483,523 966,428,513 4,168,138,396

SCHEDULE 14 PROVISIONS Taxation Wealth Tax Fringe benefit tax Employees benefit Proposed dividend Tax on proposed dividend

682,500,000 670,661 9,200,000 13,263,489 95,674,974 15,520,873 816,829,997

637,500,000 16,283,166 17,589,517 127,566,630 21,187,223 820,126,536

SCHEDULE 15 MISCELLANEOUS EXPENDITURE To the extent not written-off or adjusted Preliminary expenses Less: Written-off during the year

406,250 406,250 -

20

Schedules to Profit & Loss Account


ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED FOR THE YEAR ENDED MARCH 2011 FOR THE YEAR ENDED 31ST MARCH 2010

31ST SCHEDULE 16 SALES From projects and goods From services

7,124,223,636 1,386,353,725 8,510,577,361

6,346,270,652 978,044,902 7,324,315,554

SCHEDULE 17 OTHER INCOME Miscellaneous income Interest on deposits Dividend income Insurance claim received Export incentives Balances written-back (net) Exchange Fluctuation - net SCHEDULE 18 VARIATION IN STOCK Closing Finished goods Finished goods - in transit Work in progress Opening Finished goods Work in progress Variation in stock [Increase/(Decrease)] SCHEDULE 19 PERSONNEL EXPENSES Salary and perquisites Directors' remuneration Contribution to employees' welfare funds Staff welfare expenses SCHEDULE 20 ADMINISTRATIVE EXPENSES Travelling and conveyance expenses Communication expenses Rent, rates and taxes Legal and professional expenses Repair and maintenance expenses Vehicle running and maintenance expenses Water and electricity expenses Printing and stationery expenses Insurance expenses Miscellaneous expenses Auditors' remuneration Balances written-off (net) Donation Loss on sold/discarded fixed assets Loss on sale of investments

2,118,861 40,059,824 4,014,508 8,576,233 245,320,565 71,675,769 20,802,542 392,568,302

9,889,345 40,747,371 1,134,801 223,793,223 21,671,365 297,236,105

235,847,704 13,713,769 327,598,031 240,324,915 347,886,148

577,159,504

240,324,915 347,886,148 132,214,657 186,564,139

588,211,063

588,211,063 (11,051,559)

318,778,796 269,432,267

433,254,949 24,526,614 21,832,884 38,832,167 518,446,614

342,703,418 17,771,242 19,527,468 19,486,567 399,488,695

197,525,459 18,915,659 136,511,419 17,541,220 23,683,383 19,119,208 18,822,917 9,267,621 3,976,623 25,645,249 1,448,909 9,958,238 2,072,880 484,488,785

122,391,369 18,018,132 85,970,762 73,334,657 21,092,584 42,529,802 12,146,931 6,785,637 1,987,192 45,702,706 917,000 17,502,269 5,612,287 5,469,215 21,230 459,481,773

Schedules to Profit & Loss Account (Continued)


ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED FOR THE YEAR ENDED MARCH 2011 FOR THE YEAR ENDED 31ST MARCH 2010

31ST SCHEDULE 21 SELLING EXPENSES Advertisement and publicity expenses Clearing and forwarding expenses Inland freight outwards Air/sea freight on sales Commission/discount on sales Project consultancy charges Delegation expenses Documentation expenses Inspection expenses Installation and commissioning expenses ECGC premium charges Marine insurance expenses Sales promotion expenses Sample expenses Miscellaneous selling expenses

1,509,792 150,890,638 52,166,678 353,597,899 460,105,826 143,732,803 8,110,237 55,683,488 14,304,519 121,230,018 5,140,954 30,386,114 334,599,220 45,769,721 1,777,227,907

2,032,429 76,600,331 40,952,813 205,606,554 474,008,123 51,198,958 27,211,765 13,373,626 15,285,325 115,145,453 6,132,962 13,594,820 225,833,073 17,765 18,056,075 1,285,050,072

SCHEDULE 22 FINANCE EXPENSES Interest to banks Interest to others Bank charges

90,135,682 3,490,456 130,147,901 223,774,039

65,260,945 10,832,469 127,304,281 203,397,695

SCHEDULE 23 PROVISION FOR TAXATION Income tax for the year Current tax Wealth tax Deferred tax Taxes for earlier years (net) 265,000,000 670,661 16,869,000 (3,580,212) 278,959,449 230,000,000 6,325,000 (8,252,997) 228,072,003

SCHEDULE 24 EXCEPTIONAL AND PRIOR PERIOD ITEMS Service tax and interest thereon for earlier years Prior period items Purchases Civil construction expenses Administrative expenses Selling expenses Diminution in value of current investments 781,128 107,565 70,651 13,076,147 14,035,491 4,815,150 (511,408) 529,339 17,965 15,311,373 20,162,419

22

Schedules to Financial Statements for the year ended March 31, 2011
SCHEDULE 25 SIGNIFICANT ACCOUNTING POLICIES AND NOTES ON ACCOUNTS 25.1 25.1.1 Significant accounting policies Basis of preparation of financial statements The financial statements are prepared in accordance with Generally Accepted Accounting Principles (GAAP) under the historical cost convention on the accrual basis. GAAP comprises mandatory accounting standards as specified in the Companies (Accounting Standards) Rules, 2006, and the provisions of the Companies Act, 1956. Use of estimates The preparation of the financial statements in conformity with GAAP requires Management to make estimates and assumptions that affect the reported balances of assets and liabilities and disclosures relating to contingent assets and liabilities as at the date of the financial statements and reported amounts of income and expenses during the period. Examples of such estimates include provisions for doubtful debts, future obligations under employee retirement benefit plans, income taxes, post-sales customer support and the useful lives of fixed assets and intangible assets. Fixed assets Fixed assets are stated at cost net of taxes, less accumulated depreciation. All costs are capitalized until fixed assets are ready for use. Depreciation Depreciation on fixed assets is provided on the straight line method at the rates and in the manner prescribed in Schedule XIV to the Companies Act, 1956. Depreciation for fixed assets purchased/sold during the year has been provided on pro-rata basis. Leasehold land is amortised over the unexpired lease period. Impairment of assets The Company on an annual basis tests the carrying amount of assets for impairment so as to determine 25.1.6 the provision required for impairment loss, if any. the reversal, if any, required of impairment loss recognised in previous periods.

25.1.2

25.1.3

25.1.4

25.1.5

Investments Current investments are carried at lower of cost or fair value. Cost of overseas investments comprises the Indian Rupee value of the consideration paid for the investment. Long-term investments are carried at cost. Provision for diminution is made if the decline is other than temporary in nature. Revenue recognition Revenue is recognized to the extent that it can be reliably measured and is probable that the economic benefits will flow to the Company. The revenue in respect of export sales of products is recognized when the significant risks and rewards of title of the goods are transferred to the customers as per Inco terms. The revenue in respect of export of services is recognized when the services are rendered and bills for services raised. The revenue in respect of contracts for supplies, erection and installation is recognized when the supplies have been effected, however in cases where erection and installation is pending, attributable expenses to be incurred for erection and installation are provided for on best estimate basis. Liquidated damages for delay in completion of projects/contracts in terms of the agreement are provided for in the accounts. The revenue in respect of other contracts is recognized on the basis of work completed as per terms and conditions of respective agreements. Inter-branch transfers are not included in export sales. In work-sharing Joint Venture agreements, revenue, expenses, assets and liabilities are accounted for in the accounts to the extent work is executed by the Company. The revenue in respect of export incentives, i.e., DEPB, Duty Drawback and Focus Market Scheme is recognized on post-export basis at estimated realisable value to the Company. Interest is recognized using the time-proportion method, based on rates implicit in the transaction.

2 5.1.7

25.1.8

Inventories Closing Stock of finished goods are stated at cost or net realizable value whichever is lower. Project and construction related work-in-progress are stated at cost. Consumables are valued at cost. Cost is arrived at on FIFO basis.

Schedules to Financial Statements for the year ended March 31, 2011 (Continued)
25.1.9 Foreign currency transactions Revenue from overseas customers and collections deposited in foreign currency bank accounts are recorded at the exchange rate as of the date of the respective transaction. Expenditure in foreign currency is accounted for at the exchange rate prevalent when such expenditure is incurred. The exchange differences arising on foreign currency transactions are recognized as income or expense in the period in which they arise. Fixed assets purchased at overseas offices are recorded at cost, based on the exchange rate as of the date of purchase. The charge for depreciation is determined as per the Companys accounting policy. Monetary items that are denominated in foreign currency are translated at the exchange rate prevalent at the date of the balance sheet. The resulting difference is also recorded in the profit and loss account. Any profit or loss arising on cancellation of a forward contract is recognised as income or expense for the year. 25.1.10 Retirement benefits to employees 25.1.10.a. Gratuity The gratuity liability in respect of the eligible employees of the Company is provided on the basis of actuarial valuations and is covered under a policy taken with Kotak Mahindra Old Mutual Life Insurance Ltd. and LIC of India. Premium paid for the policy is charged to profit and loss account. Leave encashment Leave encashment liability is provided on the basis of actuarial valuation and is charged to profit and loss account. Provident fund and Employees state insurance fund Contribution to Provident fund and Employees state insurance fund is made in accordance with the provisions of the respective Acts and is charged to profit and loss account.

25.1.10.b.

25.1.10.c.

25.1.11

Taxes on income Current tax is provided on the basis of profit for the year after considering applicable tax rates and laws. Deferred tax is provided on timing difference between tax and accounting treatments that originate in one period and are expected to be reversed or settled in subsequent periods. Deferred Tax Assets and Liabilities are measured using the enacted or substantially enacted tax rate for continuing operations. Deferred Tax Assets are recognised only if there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax asset can be realised.

25.1.12

Earnings per share In determining earnings per share, the Company considers the net profit after tax and includes the post tax effect of any extra-ordinary / exceptional item. The number of shares used in computing basic earnings per share is the weighted average number of shares outstanding during the period. The number of shares used in computing diluted earnings per share comprises the weighted average shares considered for deriving basic earnings per share, as adjusted for the effects of all dilutive potential equity shares. Cash flow statement Cash flows are reported using the indirect method as set out in the Accounting Standard (AS-3) on Cash Flow Statements issued by the Institute of Chartered Accountants of India, whereby net profit before tax is adjusted for the effects of transactions of a non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from regular revenue generating, investing and financing activities of the Company are segregated. Cash and cash equivalents at the beginning and end of the year represent cash and bank balances only.

25.1.13

25.1.14

Borrowing cost Borrowing costs include interest, fees and other charges incurred in connection with the borrowing of funds and is considered as revenue expenditure for the year in which it is incurred except for borrowing cost attributed to the acquisitions/improvement of qualifying capital asset and incurred till the commencement of commercial use of the asset and which is capitalized as cost of that asset. Contingencies and provisions A provision is recognised when the company has a present obligation as a result of past event and it is probable that an outflow of resources embodying economic benefit will be required to settle the obligation in respect of which a reliable estimate can be made. Provisions are not discounted to their present value and are determined based on the best estimate of the expenditure required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best estimate. A contingent liability is disclosed, unless the possibility of an outflow of resources embodying the economic benefit is remote. Contingent liabilities are disclosed after careful evaluation of the facts and legal aspects of matter involved.

25.1.15

24

Schedules to Financial Statements for the year ended March 31, 2011
ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED 25.2 25.2.1 Notes on accounts Capital commitments and contingent liabilities PARTICULARS Estimated amount of unexecuted capital contracts (net of advances and deposits) Bank guarantees outstanding (net of margin money) Letter of credits outstanding (net of margin money) Claims against the Company not acknowledged as debts In respect of Income tax for A. Y. 2002-03 In respect of Income tax for A. Y. 2003-04 In respect of Income tax for A. Y. 2004-05 In respect of Income tax for A. Y. 2005-06 In respect of Income tax for A. Y. 2007-08 In respect of Income tax for A. Y. 2008-09 In respect of Sales tax for F. Y. 2002-03 In respect of Sales tax for F. Y. 2003-04 Forward contracts outstanding In US $ Equivalent approximate in Rs. Options outstanding Range barrier options in US $ Equivalent approximate in Rs. AS AT 31ST MARCH 2011 134,574,087 3,383,571,743 787,904,017 5,907,977 5,687,664 2,006,609 448,678 141,036,989 409,352 94,679 5,250,000 234,412,500 FOR THE YEAR ENDED 31ST MARCH 2011 25.2.2 Managerial remuneration Paid/payable to Managing Director/Whole-time Directors : Salary Contribution to provident and other funds Allowances Other perquisites AS AT 31ST MARCH 2010 2,297,437,027 928,926,358 5,907,977 5,687,664 2,006,609 448,678 2,455,438 409,352 94,679 19,000,000 857,660,000 10,000,000 451,400,000 FOR THE YEAR ENDED 31ST MARCH 2010

18,639,600 1,490,400 3,358,607 1,619,450 25,108,057

14,680,800 1,172,160 1,657,882 260,400 17,771,242

25.2.3 25.2.4

Directors travelling Travelling and conveyance include Directors travelling of Rs. 19,216,935 (Previous year - Rs. 18,993,800). Foreign office advance Foreign office advance represents foreign exchange equivalent approximate to Rs. 15,136,345 (Previous year Rs. 9,859,301). Tax deducted at source Tax deducted at source on interest earned Rs. 4,405,144 (Previous year - Rs. 4,161,690). Auditors remuneration Statutory audit fee Tax audit fee Branch audit fee Certification charges Other services

25.2.5 25.2.6

300,000 100,000 290,909 708,000 50,000 1,448,909

300,000 100,000 442,000 75,000 917,000

25.2.7

Export Incentives The sale includes sale of DEPB and other export promotional licences amounting to Rs. 222,051,516 (Previous year - Rs. 129,256,216). Export incentive receivable include a sum of Rs. 4,905,109 (Previous year - Rs. 9,161,803) being the estimated realisable value of entitlement held as at the close of the year and yet to be sold or utilised. During the year, export entitlement of Focus Market Scheme (FMS) has been provided on accrual basis. In earlier years, FMS was being recognised on cash basis due to uncertainty of its availability.

Schedules to Financial Statements for the year ended March 31, 2011 (Continued)
ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED 25.2.8 Advances with Government and public bodies Advances with Government and public bodies include Rs. Nil (Previous year - Rs. 1,675,790) deposited with Sales Tax Authorities under protest. The appeal has been settled during the year and relevant expense booked. Earnings per share The basic and diluted earnings per share of Rs. 41.15 (Previous year - Rs. 36.70) has been calculated by dividing the net profit for the year ended 31st March, 2011, attributable to equity shareholders by the weighted average number of 12,756,663 (Previous year - 12,756,663) equity shares outstanding during the said financial year. Foreign exchange fluctuation Foreign exchange fluctuation includes loss of Rs. 7,915,814 (Previous year - gain of Rs. 55,582,895) booked on cancellation/ maturity of forward/derivative contracts. Disputed statutory dues The statement of disputed statutory dues not paid is given below: Nature of Statute Income Tax Act, 1961 Income Tax Act, 1961 Income Tax Act, 1961 Income Tax Act, 1961 Income Tax Act, 1961 25.2.12 Nature of dues Income Tax Income Tax Income Tax Income Tax Amount (Rs.) 5,907,977 5,687,664 2,006,609 448,678 Period Assessment Year 2002-2003 Assessment Year 2003-2004 Assessment Year 2004-2005 Assessment Year 2005-2006 Assessment Year 2008-2009 Forum where dispute is pending Rectification of the Order of ITAT is pending with Assessing Officer Rectification of the Order of ITAT is pending with Assessing Officer Rectification of the Order of ITAT is pending with Assessing Officer Rectification of the Order of CIT (Appeals) is pending with Assessing Officer Commissioner of Income Tax (Appeals), New Delhi

25.2.9

25.2.10

25.2.11

Income Tax

141,036,989

Dues to small-scale industrial undertakings and dues to micro enterprises and small enterprises On the basis of intimations received from suppliers regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006, there is no Micro, Small and Medium Enterprise to whom amounts are due for more than 45 days. The information was received from few suppliers only, the company is making efforts to get the information from other suppliers also.

25.2.13

Related party disclosure The disclosures with related parties as described in the Accounting Standard - 18 issued by the Institute of Chartered Accountants of India, are given below: a. b. (i) Sr. No. 1. 2. 3 4 5 6 7 8 9 10 11 12 13 14 15 16 The related parties where control exists are the subsidiaries and joint ventures. There are no other parties over which the Company has control. Related parties where control exists or where significant influence exists and with whom transactions have taken place during the year. List of related parties where control exists and related parties with whom transactions have taken place and relationships: Name of the related party Angelique International Pte. Ltd., Singapore Socit dAssemblage de Tracteurs SA, Mali Dhruv Minerals and Metals Sarl., Mali (under formation) Salma Dam Joint Venture AILLCJV Mr. Daya Krishna Goyal Mr. Ajay Krishna Goyal Mr. Mohinder Pratap Gupta Mrs. Premila Goyal Mr. Sanjay Krishna Goyal Mr. Madhava Ravindra Rear Admiral (Retd.) Jagadish Janardan Baxi Major General (Retd.) Ashok Kalyan Verma Mr. Sita Ram Agarwal Dr. Horst Eckert Mr. Harish Kumar Saraf Relationship Subsidiary Joint Venture Key Management Personnel represented on the Board Non-Executive and Independent Directors on the Board

26

Schedules to Financial Statements for the year ended March 31, 2011
ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED (ii) Transaction during the year with related parties PARTICULARS 31ST Capital transactions (i) Investment in Equity Shares Socit dAssemblage de Tracteurs SA (ii) Share Application Money Dhruv Minerals & Metals Sarl., Mali (iii) Provision for decline in the value of long term investment Socit dAssemblage de Tracteurs SA, Mali Revenue transactions (i) Sale of material Angelique International Pte. Ltd. Socit dAssemblage de Tracteurs SA Salma Dam Joint Venture AILLCJV (ii) Dividend received Angelique International Pte. Ltd., Singapore (iii) Key Management Personnel Remuneration Mr. Daya Krishna Goyal Mr. Ajay Krishna Goyal Mr. Mohinder Pratap Gupta (iv) Other Directors Sitting Fees Mrs. Premila Goyal Mr. Sanjay Krishna Goyal Mr. Madhava Ravindra Rear Admiral (Retd.) Jagadish Janardan Baxi Major General (Retd.) Ashok Kalyan Verma Mr. Sita Ram Agarwal Dr. Horst Eckert Mr. Harish Kumar Saraf (v) Guarantee given on behalf of joint ventures Advance Payment Bank Guarantee AILLCJV Performance Bank Guarantee Salma Dam Joint Venture AILLCJV FOR THE YEAR ENDED MARCH 2011 FOR THE YEAR ENDED 31ST MARCH 2010

111,625 13,630,609

51,903,677 21,052,131

108,790,035 41,141,315 273,824,634 423,755,984 3,195,986

91,241,404 119,383,188 54,115,848 101,283,873 366,024,313 -

10,729,211 8,289,846 6,089,000 25,108,057

7,776,082 6,133,200 3,861,960 17,771,242

40,000 40,000 30,000 30,000 20,000 40,000 20,000 20,000 240,000

40,000 20,000 30,000 30,000 30,000 30,000 10,000 190,000

33,960,655 15,181,000 33,960,655 83,102,310

42,223,340 42,223,340

The related party relationship is as identified by the Company and relied upon by the Auditors. Details of amounts due from or due to and maximum dues from related parties: (i) Due from related parties: Loans and advances Socit dAssemblage de Tracteurs SA, Mali Dhruv Minerals & Metals Sarl., Mali Salma Dam Joint Venture

197,473 23,914 8,791,485 9,012,872

176,000 8,094,383 8,270,383

Schedules to Financial Statements for the year ended March 31, 2011 (Continued)
ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED Details of amounts due from or due to and maximum dues from related parties: (Contd.) PARTICULARS 31ST Sundry debtors Angelique International Pte. Ltd., Singapore Socit dAssemblage de Tracteurs SA, Mali Salma Dam Joint Venture AILLCJV FOR THE YEAR ENDED MARCH 2011 84,529,167 110,599,140 107,092,464 302,220,771 FOR THE YEAR ENDED 31ST MARCH 2010 27,084,000 64,761,047 132,972,782 249,557,622 474,375,451

(i) Due to related parties: Advances from Customer Salma Dam Joint Venture AILLCJV

8,754,383 5,747,718 14,502,101 9,209,022 198,620,395

11,665,462 32,541,737 44,207,199 8,270,383 149,478,740

Maximum balances of loans and advances Maximum balances of guarantees outstanding 25.2.14

Inventories Stock of finished goods and consumables and spares at the end of the year is lying with third parties and at different project sites, and also includes stock-in-transit of Rs. 21,661,213 (Previous year - Rs. 129,038,293). Work in progress includes material lying at different project sites of the Company and also includes expenses incurred on civil works, construction and erection materials, etc. Sundry debtors Sundry debtors include Rs. 342,191,297 (Previous year - Rs. 65,414,933) against supply of material payable after erection of said material and Rs. 543,879,447 (Previous year - Rs. 309,202,903) retention amount payable after project completion/warranty period. Financial and derivative instruments Foreign currency exposure in terms of debtors, creditors, advances received from debtors, advances paid to suppliers and any other liability that are not hedged by derivative instruments as on 31st March, 2011 amount to Rs. 551,537,988 (Previous year - Rs. 967,055,483). Cash and bank balances Details of balances as on balance sheet dates with non-scheduled banks : BALANCES WITH NON-SCHEDULED BANKS In current accounts Bank Atlantique, Abidjan, Cote DIvoire Bank Atlantique, Bamako, Mali Bank Nacionale de Guinea Equitorial, Malabo, Equitorial Guinea BDM, Sikasso, Mali Banque Commerciale du Rwanda S. A., Rwanda Banque Internationale Pour LAfrique au Congo, D R Congo Banque Malienne de Solidarite, Mali Banque Pour Le Commerce, Vientiane, Lao PDR Canadian Bank PLC, Phnom Penh, Cambodia Commercial Bank of Ethiopia, Addis Ababa, Ethiopia Diamond Bank, Benin Eco Bank Ghana Limited, Accra, Ghana Eco Bank, Senegal Eco Bank, Togo Fidelity Bank Ltd., Ghana AS AT 31ST MARCH 2011 46,946 9,355,161 312,510 1,907,715 13,094,824 2,080,452 957,171 982,457 10,112 16,263,890 3,142,709 2,232,470 10,577,261 677,992 AS AT 31ST MARCH 2010 2,368,902 1,182,778 2,070,837 4,302,257 19,190 87,927 550,628 886,456 4,609,509 1,049,260 73,148 6,091,524 -

25.2.15

25.2.16

25.2.17

28

Schedules to Financial Statements for the year ended March 31, 2011 (Continued)
ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED BALANCES WITH NON-SCHEDULED BANKS In current accounts Fina Bank, Rwanda Financial Bank, NDjamena, Tchad First International Bank Guinea S. A., Guinea Conakry Kabul Bank, Kabul, Afghanistan Maiwand Bank, Afghanistan Millenium Bim Lenine, Maputo, Mozambique Myanma Foreign Trade Bank, Yangon, Myanmar National Bank of Abu Dhabi, Khartoum, Sudan National Bank of Yemen, Yemen Raw Bank Sarl, Kinshasa, Congo D. R. SG Bank EN, Malabo, Equitorial Guinea Sierra Leone Commercial Bank, Sierra Leone Soni Bank, Niamey, Niger AS AT 31ST MARCH 2011 5,783,686 486,861 435,411 24,682 228,162 253,028 88,136 174,749 1,354,056 622,750 3,467,553 7,973,338 26 82,534,108 AS AT 31ST MARCH 2010 1,771,061 28,008 19,453 1,152,491 219,900 4,195 1,351,762 586,813 1,132,056 2,469,187 25 32,027,367

Details of maximum balances during the period with non-scheduled banks : PARTICULARS 31ST In current accounts Bank Atlantique, Abidjan, Cote DIvoire Bank Atlantique, Bamako, Mali Bank Nacionale de Guinea Equitorial, Malabo, Equitorial Guinea BDM, Sikasso, Mali Banque Commerciale du Rwanda S. A., Rwanda Banque Internationale Pour LAfrique au Congo, D R Congo Banque Malienne de Solidarite, Mali Banque Pour Le Commerce, Vientiane, Lao PDR Canadian Bank PLC, Phnom Penh, Cambodia Commercial Bank of Ethiopia, Addis Ababa, Ethiopia Diamond Bank, Benin Eco Bank Ghana Limited, Accra, Ghana Eco Bank, Senegal Eco Bank, Togo Fidelity Bank Ltd., Ghana Fina Bank, Rwanda Financial Bank, NDjamena, Tchad First International Bank Guinea S. A., Guinea Conakry Kabul Bank, Kabul, Afghanistan Maiwand Bank, Afghanistan Millenium Bin Lenine, Maputo, Mozambique Myanma Foreign Trade Bank, Yangon, Myanmar National Bank of Abu Dhabi, Khartoum, Sudan National Bank of Yemen, Yemen Raw Bank Sarl, Kinshasa, Congo D. R. SG Bank EN, Malabo, Equitorial Guinea Sierra Leone Commercial Bank, Sierra Leone Soni Bank, Niamey, Niger FOR THE YEAR ENDED MARCH 2011 2,157,927 38,381,125 12,117,293 5,503,449 4,611,430 3,358,490 6,665,564 3,902,369 1,620,106 121,618,739 3,029,934 1,286,981 6,066,302 32,313,247 5,950,098 11,518,953 2,350,706 7,044,852 5,627,093 5,627,093 8,610,070 2,322,577 1,656,270 2,820,444 9,278,057 82,804,568 31,852,622 420,096,359 FOR THE YEAR ENDED 31ST MARCH 2010 4,408,860 26,073,967 6,144,235 2,166,942 19,023,412 560,834 100,300 15,307,632 1,955,108 15,236,077 7,785,841 11,955,657 10,511,512 2,403,829 1,209,422 8,066,088 6,972,827 2,093,247 2,032,704 1,380,600 17,109,131 163,189,740 3,889,509 1,158,713 330,736,187

Schedules to Financial Statements for the year ended March 31, 2011 (Continued)
ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED 25.2.18 Retirement benefit plans

25.2.18.a. Defined contribution plans Companys contribution paid/payable to provident fund, employees state insurance and labour welfare fund are charged to profit and loss account. There is no other obligation other than the contribution payable to the respective authorities. 25.2.18.b. Defined benefit plans The Company makes annual contributions to the Employees Group Gratuity Assurance Scheme of Kotak Mahindra Old Mutual Life Insurance Ltd., and the Life Insurance Corporation of India, a funded defined benefit plan for qualifying employees. The scheme provides for lump sum payment to vested employees at retirement, death while in employment or on termination of employment of an amount equivalent to 15 days basic salary, payable for each completed year of service or part thereof in excess of six months. Vesting occurs on completion of five years of service. The present value of the defined benefit obligation and the related current service cost were measured using the Projected Unit Credit Method, with actuarial valuations being carried out at each balance sheet date. The obligation for leave encashment is recognised in the same manner as gratuity. The folowing tables summarize the components of net benefit expense recognised in the profit and loss account and the funded status and amounts recognised in the balance sheet for the respective plans. FOR THE YEAR ENDED 31ST MARCH 2011 Gratuity Leave Encashment (Funded) (Unfunded) (a) Reconciliation of opening and closing balances of Defined Benefit Obligation : Defined benefit obligation at the beginning of the year Current Service Cost Interest Cost Actuarial (Gain)/Loss Benefits Paid Defined benefit obligation at year end Reconciliation of opening and closing balances of fair value of plan assets : Fair value of plan assets at the beginning of the year Expected return on plan assets Actuarial Gain/(Loss) Employer Contribution Benefits paid Fair value of plan assets at year end Reconciliation of fair value of assets and obligations : Fair value of plan assets as at 31st March Present value of obligation as at 31st March Net assets/(liability) recognised in Balance Sheet Expenses recognised during the year : Current Service Cost Interest Cost Expected return on plan assets Actuarial (Gain)/Loss Expenses recognised in P & L A/c. Investment details : Insurer managed funds (including interest) Others 19,722,741 4,829,503 1,577,819 673,517 (608,192) 26,195,388 12,526,769 2,318,004 1,002,142 5,424,342 (14,228,469) 7,042,788 17,633,270 4,584,096 1,410,662 (3,322,479) (582,808) 19,722,741 11,899,491 3,360,482 951,959 (1,673,279) (2,011,884) 12,526,769 FOR THE YEAR ENDED 31ST MARCH 2010 Gratuity Leave Encashment (Funded) (Unfunded)

(b)

23,803,641 1,904,291 32,672 3,338,782 (608,192) 28,471,194

17,021,914 1,588,555 (2,280) 5,778,260 (582,808) 23,803,641

(c)

28,471,194 26,195,388 2,275,806 4,829,503 1,577,819 (1,904,291) 640,846 5,143,877 28,471,194 -

7,042,788 (7,042,788) 2,318,004 1,002,142 5,424,342 8,744,488 -

23,803,641 19,722,741 4,080,900 4,584,096 1,410,662 (1,588,555) (3,320,199) 1,086,004 23,803,641 -

12,526,769 (12,526,769) 3,360,482 951,959 (1,673,279) 2,639,162 -

(d)

(e)

30

Schedules to Financial Statements for the year ended March 31, 2011 (Continued)
ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED FOR THE YEAR ENDED 31ST MARCH 2011 Gratuity Leave Encashment (Funded) (Unfunded) (f) Actuarial assumptions : Mortality Table (LIC) Discount rate (per annum) Expected rate of return on plan assets (per annum) Rate of escalation in salary (per annum) 25.2.19 1994-96 (Ultimate) 8.00% 8.00% 6.00% 1994-96 (Modified) 8.00% 0.00% 6.00% FOR THE YEAR ENDED 31ST MARCH 2010 Gratuity Leave Encashment (Funded) (Unfunded) 1994-96 (Ultimate) 8.00% 9.25% 5.00% 1994-96 (Modified) 8.00% 0.00% 6.00%

Subsidiary During the year, subsidiary of the company, viz., Socit dAssemblage de Tracteurs SA, Mali, has incurred losses. The company has recognised proportionate loss amounting to Rs. 13,630,609 (Previous year - Rs. 14,458,731) as determined in the audited accounts for the period ended 31st December, 2010, by way of diminution in the value of companys investment in the said subsidiary. Employee benefit plans During the year, 2,300 (Previous year - 15,100) Share Appreciation Rights granted to employees in the year 2003-2004, were redeemed by the employees. Segment information The accounting principle used in preparation of the financial statements are consistently applied in all segments and are set out in the note on significant accounting policies. The Companys business activity is centered around international and domestic turnkey projects and export of goods and equipments. The turnover in respect of international and domestic projects and geographical segment is as under : in Indian Rupees (millions) BUSINESS SEGMENT GEOGRAPHICAL FOR THE FOR THE SEGMENT YEAR ENDED YEAR ENDED 31ST MARCH 2011 31ST MARCH 2010 Export Export - Project Engineering, - Procurement and Construction - Equipments and Other Products African countries Asian countries African countries Asian countries American countries India India 5,328.69 1,211.21 342.74 652.57 351.38 322.48 301.51 8,510.58 3,374.99 1,489.42 1,008.62 268.64 55.30 401.91 725.43 7,324.31

25.2.20

25.2.21

Domestic - Projects Others Total 25.2.22

General In the opinion of the Board of Directors, all known Liabilities have been provided for and to the best of their knowledge and belief, the value on realisation of Current Assets, Loans and Advances in the ordinary course of business will not be less than the amount at which they are stated in the Balance Sheet. Balances of debtors, creditors and other parties are subject to confirmation. Previous years figures have been regrouped/rearranged wherever considered necessary. The figures in brackets indicate deductions.

Schedules to Financial Statements for the year ended March 31, 2011 (Continued)
25.2.23 Quantitative details Additional information pursuant to the provisions of paragraphs 3 and 4 of Part II of Schedule VI to the Companies Act, 1956. PARTICULARS UNIT FOR THE YEAR ENDED 31ST MARCH 2011 Quantity Amount FOR THE YEAR ENDED 31ST MARCH 2010 Quantity Amount

Opening Stock, Purchases, Sales and Closing Stock 1 Opening Stock - Finished Goods Projects and Engineering Goods N. A. Equipments N. A. Other Products N. A. 2 Purchases Projects and Engineering Goods Equipments Soya Bean Meal Other Products Sales Projects and Engineering Goods Equipments Soya Bean Meal Other Products Closing Stock - Finished Goods Projects and Engineering Goods Equipments Other Products

NIL NIL NIL

234,019,915 5,485,000 820,000

NIL NIL NIL

121,246,847 10,967,810 -

N. A. N. A. M. T. N. A.

NIL 2,395,306,202 NIL 396,192,826 38,020.925 705,911,948 NIL 451,258,214

NIL 2,083,718,770 NIL 599,464,161 11,250.000 211,230,000 NIL 725,641,719

N. A. N. A. M. T. N. A.

NIL 6,862,370,361 NIL 406,201,736 38,020.925 686,793,597 NIL 555,211,667

NIL 5,266,324,936 NIL 1,113,132,213 11,250.000 205,439,401 NIL 739,419,004

N. A. N. A. N. A.

NIL NIL NIL

137,453,655 108,350,992 -

NIL NIL NIL

234,019,915 5,485,000 820,000

Note : Quantities are given wherever applicable. 25.2.24 Imports (valued on the cost, insurance and freight basis) PARTICULARS 31ST Trading goods Consumables and others Capital goods FOR THE YEAR ENDED MARCH 2011 377,909,561 61,989,988 34,302,346 474,201,895 FOR THE YEAR ENDED 31ST MARCH 2010 218,058,072 54,326,158 46,799,740 319,183,970

32

Schedules to Financial Statements for the year ended March 31, 2011 (Continued)
25.2.25 Activity in foreign currency FOR THE YEAR ENDED MARCH 2011 FOR THE YEAR ENDED 31ST MARCH 2010 6,067,646,979 -

31ST Earnings in foreign currency F.O.B. value of direct exports Other Income Expenditure in foreign currency Travel expenses (including visa charges) Installation and service charges Interest and bank charges Commission on export sale Project consultancy expenses Civil construction expenses Other expenses

7,560,020,502 27,389,008

47,680,303 27,581,582 458,329,409 383,922,428 1,114,621,580 312,657,696

44,774,555 149,938,819 29,686,292 468,973,879 51,198,958 1,021,177,012 414,326,100

As per our report of even date for Anil Maheshwari & Co. Chartered Accountants Sd/Anil Maheshwari Partner Membership No. 071188 Place : New Delhi Date : 09 July, 2011 Sd/Daya Krishna Goyal Chairman Sd/Ajay Krishna Goyal President and Managing Director Sd/Pankaj Goyal CFO and Company Secretary Sd/Madhava Ravindra Director

BALANCE SHEET ABSTRACT AND COMPANYS GENERAL BUSINESS PROFILE


ALL AMOUNTS IN INDIAN RUPEES EXCEPT SHARE DATA AND WHERE OTHERWISE STATED

Registration details Registration No.: State Code: Balance Sheet Date: U18109DL1996PLC075132 55 31.03.2011

Capital raised during the year (Amount in Rs. thousands) Public Issue: Rights Issue: Bonus Issue: Private Placement: NIL NIL NIL NIL

Position of Mobilisation and Deployment of Funds (Amount in Rs. thousands) Total Liabilities: Total Assets: Sources of Funds: Paid-up Capital: Reserves and Surplus: Secured Loans: Unsecured Loans: Other Liabilities: Application of Funds: Net Fixed Assets: Investments: Net Current Assets: Miscellaneous Expenditure: 856219 163437 1768012 NIL 127567 1877647 752959 1776 27719 7846911 7846911

Performance of the Company (Amount in Rs. thousands) Turnover: Total Expenditure: Profit Before Tax: Profit After Tax: Earning Per Share in Rs. Dividend Rate % 8510577 7692690 817887 524892 41.15 100

Generic Names of Principal Products/Services of the Company Item Code No.: (ITC Code) Product Description:
Sd/Daya Krishna Goyal Chairman Sd/Ajay Krishna Goyal President and Managing Director Sd/Pankaj Goyal CFO and Company Secretary

N.A. N.A.
Sd/Madhava Ravindra Director

Place : New Delhi Date : 09 July, 2011

34

Notes

Notes