| STATEMENT OF UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 31st DECEMBER, 2013 | |||||||||||||
| Rs. in Crore | |||||||||||||
| Sr. No. | Particulars | Quarter ended | Nine Months ended | Year ended | |||||||||
| 31st Dec., 2013 | 30th Sept., 2013 | 31st Dec., 2012 | 31st Dec., 2013 | 31st Dec., 2012 | 31st March, 2013 | ||||||||
| Unaudited | Unaudited | Unaudited | Unaudited | Unaudited | Audited | ||||||||
| PART-I | |||||||||||||
| 1 | Gross Sales/ Income from Operations | 591.74 | 714.67 | 513.96 | 1,929.85 | 1,872.92 | 2,513.02 | ||||||
| Less : Inter Segment Transfers | 211.03 | 254.06 | 144.45 | 673.75 | 540.68 | 745.29 | |||||||
| Inter Division Transfers | 9.01 | 9.90 | 19.31 | 31.70 | 95.18 | 112.38 | |||||||
| Excise Duty | 32.74 | 40.30 | 36.75 | 108.70 | 106.12 | 143.94 | |||||||
| (a) Net Sales/ Income from Operations | 338.96 | 410.41 | 313.45 | 1,115.70 | 1,130.94 | 1,511.41 | |||||||
| (b) Other Operating Income | 16.82 | 15.36 | 24.00 | 50.73 | 62.47 | 80.38 | |||||||
| Total Income from Operations (a+b) | 355.78 | 425.77 | 337.45 | 1,166.43 | 1,193.41 |
1,591.79 |
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| 2 | Expenses | ||||||||||||
| (a) Consumption of Raw Materials | 202.98 | 211.68 | 166.14 | 594.03 | 575.86 | 773.44 | |||||||
| (b) Purchases of stock-in-trade | - | 1.14 | 2.24 | 1.40 | 6.06 | 8.21 | |||||||
| (c) Changes in inventories of finished goods, work-in-progress and stock-in-trade | (42.50) | (23.45) | (8.32) | (66.75) | (26.18) | (27.18) | |||||||
| (d) Employee benefits expense | 32.31 | 30.48 | 28.07 | 92.35 | 85.71 | 115.79 | |||||||
| (e) Depreciation & Amortisation Expense | 25.58 | 25.86 | 25.33 | 76.29 | 70.97 | 95.64 | |||||||
| (f) Other Expenses : | |||||||||||||
| (i) Energy | 78.27 | 90.76 | 75.09 | 244.34 | 243.77 | 295.60 | |||||||
| (ii)Other Direct Expenditure | 69.91 | 71.27 | 47.98 | 196.94 | 174.15 | 239.95 | |||||||
| (iii) Other Expenditure | 7.04 | 7.75 | 5.13 | 21.89 | 17.34 | 27.28 | |||||||
| Total Expenses | 373.59 | 415.49 | 341.66 | 1,160.49 | 1,147.68 | 1,528.73 | |||||||
| 3 | Profit / (Loss) from Operations before other income,finance costs | (17.81) | 10.28 | (4.21) | 5.94 | 45.73 | 63.06 | ||||||
| and exceptional items (1-2) | |||||||||||||
| 4 | Other Income | 3.27 | 4.65 | 3.40 | 12.44 | 12.53 | 20.66 | ||||||
| 5 | Profit / (Loss) from ordinary activities before finance costs and | (14.54) | 14.93 | (0.81) | 18.38 | 58.26 | 83.72 | ||||||
| exceptional items ( 3+4) | |||||||||||||
| 6 | Finance Costs | 48.66 | 44.87 | 39.62 | 133.20 | 115.51 | 152.66 | ||||||
| 7 |
Profit / (Loss) from ordinary activities after finance costs but before exceptional items and foreign exchange( Gain)/ Loss ( 5-6) |
(63.20) | (29.94) | (40.43) | (114.82) | (57.25) | (68.94) | ||||||
| 8 | Exceptional items | ||||||||||||
| a) Foreign Exchange (Gain)/ Loss | 14.69 | 11.22 | 8.73 | 32.97 | 52.83 | 63.85 | |||||||
| b) Excess Energy Cost | - | 15.66 | - | 15.66 | - | - | |||||||
| c) Others (Refer Note No. 6) | 11.38 | 3.61 | - | 19.18 | - | 7.84 | |||||||
| 9 | Profit / (Loss) from ordinary activities before tax (7- 8) | (89.27) | (60.43) | (49.16) | (182.63) | (110.08) | (140.63) | ||||||
| 10 | Tax Expenses | (0.93) | (21.64) | (13.50) | (34.36) | (30.62) | (40.92) | ||||||
| 11 | Net Profit / (Loss) from ordinary activities after tax (9-10) | (88.34) | (38.79) | (35.66) | (148.27) | (79.46) | (99.71) | ||||||
| 12 | Extraordinary items | - | - | - | - | - | - | ||||||
| 13 | Net Profit / (Loss) for the period after tax (11-12) | (88.34) | (38.79) | (35.66) | (148.27) | (79.46) | (99.71) | ||||||
| 14 | Paid-up Equity Share Capital (Face Value of Rs.5/- per share) | 73.25 | 73.25 | 73.25 | 73.25 | 73.25 | 73.25 | ||||||
| 15 | Reserves excluding Revaluation Reserves as per | - | - | - | - | - | 416.57 | ||||||
| Balance Sheet of previous accounting year. | |||||||||||||
| 16 | Earnings per share before extraordinary items | ||||||||||||
| Basic & Diluted Earnings per share of Rs.5/- each (Rs) ( not annualised) | (6.03) | (2.65) | (2.43) | (10.12) | (5.42) | (6.81) | |||||||
| 17 | Earnings per share after extraordinary items | ||||||||||||
| Basic & Diluted Earnings per share of Rs.5/- each (Rs) ( not annualised) | (6.03) | (2.65) | (2.43) | (10.12) | (5.42) | (6.81) | |||||||
| PART-II | |||||||||||||
| A | SELECT INFORMATION FOR THE QUARTER ENDED 31st DECEMBER, 2013 | ||||||||||||
| PARTICULARS OF SHAREHOLDING | |||||||||||||
| 1 | Public Shareholding | ||||||||||||
| Number of Shares | 70130612 | 70130712 | 70794009 | 70130612 | 70794009 | 70150712 | |||||||
| Percentage of Shareholding | 47.87% | 47.87% | 48.32% | 47.87% | 48.32% | 47.88% | |||||||
| 2 | Promoters and promoter group shareholding | ||||||||||||
| (a) Pledged / Encumbered | |||||||||||||
| Number of Shares | NIL | NIL | NIL | NIL | NIL | NIL | |||||||
| Percentage of Shares ( as a % of the total shareholding of promoter | - | - | - | - | - | - | |||||||
| and promoter group ) | |||||||||||||
| Percentage of Shares ( as a % of the total share capital of the company ) | - | - | - | - | - | - | |||||||
| (b) Non - Encumbered | |||||||||||||
| Number of Shares | 76370771 | 76370671 | 75707374 | 76370771 | 75707374 | 76350671 | |||||||
| Percentage of Shares ( as a % of the total shareholding of promoter | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | 100.00% | |||||||
| and promoter group ) | |||||||||||||
| Percentage of Shares ( as a % of the total share capital of the company ) | 52.13% | 52.13% | 51.68% | 52.13% | 51.68% | 52.12% | |||||||
| B | INVESTOR COMPLAINTS | ||||||||||||
| Pending at the beginning of the quarter | NIL | ||||||||||||
| Received during the quarter | 2 | ||||||||||||
| Disposed of during the quarter | 2 | ||||||||||||
| Remaining unresolved at the end of the quarter | NIL | ||||||||||||
| NOTES ON UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED 31st DECEMBER, 2013 | |||||||||||||
| 1 | The Company had adopted the Hedge Accounting policy and principles set out in Accounting Standard (AS) 30 Financial Instruments: Recognition and Measurement. During the quarter ended 31st December, 2013, the Company has carried Exchange Gain of Rs 13.28 Crore to Hedge Reserve Account and charged Exchange Loss of Rs 6.68 Crore to Statement of Profit and Loss from Hedge Reserve Account. Balance in Hedge Reserve Accounts as on 31st December, 2013 is Rs. 70.65 Crore. | ||||||||||||
| 2 | The Company has exercised the option as per Para 46 A inserted in the Accounting Standard ( AS-11) for treatment of exchange difference on long term monetary liabilities, other than covered under the Hedge accounting . Accordingly during the quarter ended 31st December, 2013, Exchange Gain capitalized is Rs. 4.92 Crore and Exchange Gain recognized in Foreign Currency Monetary Item Translation Difference Account (FCMITDA) is Rs. 0.59 Crore and Exchange Loss of Rs. 0.41Crore transferred to Statement of Profit and Loss from FCMITDA. Balance in FCMITDA as on 31st December, 2013 is Rs. 11.21 Crore. | ||||||||||||
| 3 | Based on the advice on treatment of Amalgamation Reserve created in terms of the Scheme of Arrangement, sanctioned by the Hon'ble High Court, Bombay, the Company has adjusted depreciation of Rs.1.67 Crore and Rs.5.05 Crore during current quarter and nine months ended 31st December, 2013 respectively against the Amalgamation Reserve. | ||||||||||||
| 4 | The Company has invested Rs.48.43 Crore in its subsidiary ISMT Enterprises, Luxembourg, which in turn holds 100 % investment in Structo Hydraulics AB, Sweden (SHAB). The company has given a corporate guarantee of Rs 18.57 Crores (USD 3 Million) for loan availed by SHAB. The net recoverable on account of supplies by the company to SHAB is Rs. 41.67 Crore. While SHAB had cash loss in the previous year and the net worth of SHAB is eroded. The management is of the opinion that the investment made in ISMT Enterprises group is strategic and as a forward integration in the value chain of core business of the company and the diminution is temporary in nature, as such no provision for the same is considered necessary. | ||||||||||||
| 5 | Upon petition filed by the Company regarding non implementation of Energy Banking Agreement (EBA) dated 7th May, 2010, Maharashtra Electricity Regulatory Commission (MERC) had passed an interim order dated 13th May,2013 inter alia restoring the banking. This order was challenged by Maharashtra State Electricity Distribution Company Limited (MSEDCL) on grounds of jurisdiction before the Appellate Tribunal for Electricity after being turned down by High Court at Bombay, which the Tribunal had remanded back to MERC after setting aside the above order. MERC has now passed an order dated 3rd December,2013, confirming that they have jurisdiction to stipulate banking. Based on Legal advice, the Company, pending final disposal of the petition, has continued to accrue Banking Credit as per EBA of Rs.5.67 Crore and Rs.15.06 Crore during current quarter and nine months ended 31st December, 2013 respectively (Cumulative up to 31st December, 2013 Rs. 45.00 Crore) representing excess energy charges paid to MSEDCL on account of non availability of banking facility. | ||||||||||||
| 6 | Exceptional Item - Others include Legal and other expenses incurred in international arbitration and write off insurance claim not received. |
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| 7 | The comparative figures are regrouped and reclassified to meet the current quarter's classification. |
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| The above results were reviewed by the Audit committee and have been taken on record by the Board of Directors at their meeting held on 11th February, 2014. |
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| For ISMT Limited | |||||||||||||
| Place : Pune | Rajiv Goel | ||||||||||||
| Date : 11th February, 2014 | Chief Financial Officer | ||||||||||||