Ar1314

001 014 016 020 022 050 052 064 076 082 128 167 176 182

CONSOLIDATED FINANCIAL HIGHLIGHTS

Sales.

Earnings.

Returns.

by business unit

all business units combined

all business units combined

CONSOLIDATED NET SALES IN RS. CRORE

IN RS. CRORE

IN PERCENTAGE POINTS

POWER SYSTEMS

EBIDTA*

RETURN ON CAPITAL EMPLOYED #

7,336

459

4.7

8,478

854

10.0

W 15.6%

W 86.1%

W 5.3

CONSUMER PRODUCTS

PBT ^

RETURN ON NET WORTH

2,593

185

(1.1)

2,847

495

7.0

W 9.8%

W 167.8%

W 8.1

INDUSTRIAL SYSTEMS

PROFIT / LOSS @

1,835

(36)

1,816

244

X (1.0%)

W 776.1%

all business units combined IN RS. CRORE 2013 2014

NET SALES AND SERVICE 12,094

*Earnings before interest, depreciation and amortisation, taxes and exceptional item. ^Profit before taxes and exceptional item.

13,481

@

W 11.5%

#

After exceptional item, minority interest & share of associates (net) Calculated excluding exceptional item.

C O N S O L I D AT E D H I G H L I G H T S

1

MAKING ELECTRICITY MORE PRODUCTIVE

MV SUBSTATION

7KLV LV &* A global electrical company in 85 countries, with 9,500 people. It has a collective experience of 100+ years, spanning the entire

MV SUBSTATION

spectrum of electricity and its applications. The journey starts from where electricity is generated: a river, the sun, the wind or a thermal plant. CG manages and tends electricity, preparing it to travel great distances, directing it intelligently to UIF FOE VTFS BOE IFMQJOH DPOWFSU JU FGmDJFOUMZ CBDL into motive power, heat or light. $( JT BNPOH UIF XPSME T MFBEJOH NBLFST PG VMUSB SOLAR PLANT DISTRIBUTED GENERATION

high voltage transformers and switchgear, a leading electricity provider in Europe to offshore

RENEWABLES DESPATCH

wind farms, and among the most trusted names in electrical equipment in the burgeoning Indian NBSLFU $( T UFDIOPMPHZ SVOT JOUFMMJHFOU HSJET

WIND POWER PLANT DISTRIBUTED GENERATION

in Latin America’s largest photovoltaic farm in Chile and smartly distributes power to the Indian hinterland. CG manages the pumps that operate on Amsterdam’s waterways, its motors grind stone for cement and chillies for dinner, its street lighting solutions save crores of rupees for the Puducherry administration in India. Wherever CG operates, JU NBLFT FMFDUSJDJUZ HFOFSBUJPO BOE DPOTVNQUJPO TNBSUFS DMFBOFS BOE NPSF FGmDJFOU 7KLV LV &*

2

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

RE N E WAB L E S

Shrinking the carbon footprint WIND SOLAR HYDRO

FROM GENERATOR TO LIGHT BULB KEY GENERATION UTILISATION TRANSMISSION

SU AUB S T SY TOMAT ST A I O E M TI N S ON

COMPANY CENTRAL DESPATCH

HV SUBSTATION

DISTRIBUTION

HV SUBSTATION

DI AUS T R SO TO I B U LU M A T I TI TIO O N ON N S

TRADITIONAL GENERATION MV SUBSTATION

MV SUBSTATION

FACTORY SECONDARY SUBSTATION

SECONDARY SUBSTATION

SECONDARY SUBSTATION

SECONDARY SUBSTATION

SECONDARY SUBSTATION

AIRPORT

SECONDARY SUBSTATION

SMART SECONDARY SUBSTATION ELECTRIC VEHICLE

FACTORY

HOUSE

EVSE CONTROL CENTER

EMS

FARM

S M A RT

G RI D

I N FR A ST RU C T U RE

U T I L I SAT I O N

Managing electricity systems

Building smarter cities

Using electricity efficiently

D I S T R I B U T I O N AU T O M AT I O N S U B S TAT I O N AU T O M AT I O N T R A N S I T AU T O M AT I O N

T H E E L E C T R I C A L H I G H WAY A D VA N C E D T& D L I G H T I N G S O LU T I O N S

CONSUMER INDUSTRIAL COMMERCIAL

3

SHRINKING THE CARBON FOOTPRINT

4

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

RE N E WAB L E S 7KH UDFH LV RQ As the world’s demand for electricity zooms even further, concerns about the environmental effects of generating it—and the standards of measuring the impact— BSF HSPXJOH BU B GBTUFS SBUF 3VMFT BSPVOE FGmDJFODZ BOE UIF adoption of renewables by suppliers are steadily developing. As a result, wind and solar are becoming mainstream, alongside the already established hydro energy. CG has been supporting this movement with creative leadership and smart solutions that connect the turbine, or the photovoltaic panel, to the grid.

Wind

3,000 MVA handled by CG solar transformers in the USA and Canada

50% of Europe’s offshore wind farms use CG transformers

42,000 MVA of wind power from over 18,000 CG wind generator transformers, worldwide

*. PZ UV[ VUS` H NSVIHSS` YLJVNUPZLK WYV]PKLY VM [YHUZMVYTLYZ [V VMMZOVYL ^PUK WSH[MVYTZ I\[ PZ HSZV H WYV]PKLY VM [\YURL` ZVS\[PVUZ MVY [OL LU[PYL LSLJ[YPJHS PUMYHZ[Y\J[\YL 0[Z THUHNLTLU[ [VVSZ JHU TVUP[VY [\YIPULZ HJYVZZ [OL WSHU[ HUK TH_PTPZL WLYMVYTHUJL IHZLK VU YLHS [PTL PUMVYTH[PVU „ ;OPZ `LHY PUUV]H[P]L *. [LJOUVSVN` KL]LSVWLK LHYSPLY MVY ,\YVWL»Z VMMZOVYL WSH[MVYTZ NH]L , 65 H SV^ ^LPNO[ SV^ THPU[LUHUJL ^H` [V JVUULJ[ P[Z ZLH ^PUK MHYTZ [V [OL UL[^VYR „ 7YVQLJ[Z PU [OL 5L[OLYSHUKZ -YHUJL .LYTHU` *HUHKH HUK [OL <:( HKK [V H NSP[[LYPUN SPZ[ VM HJOPL]LTLU[Z ^OPJO NYV^Z L]LY` `LHY

Solar *. PZ H MYVU[ Y\UULY PU \[PSP[` ZJHSL PU]LY[LY [YHUZMVYTLYZ MVY ZVSHY MHYTZ PU [OL <: HUK V[OLY WHY[Z VM 5VY[O HUK :V\[O (TLYPJH 0[Z :VSHY7(+ H ZLSM JVU[HPULK \UP[ PTTLYZLK PU ZLLK IHZLK IPVKLNYHKHISL Å\PK PZ HU PUUV]H[P]L OPNO WLYMVYTHUJL WYVK\J[ ZTHSSLY HUK SPNO[LY [OHU H JVU]LU[PVUHS Z\IZ[H[PVU HUK H[ OHSM P[Z PUZ[HSSH[PVU HUK THPU[LUHUJL JVZ[ „ 0U *. ILNHU Z\WWS`PUN PU]LY[LY [YHUZMVYTLYZ MVY H 4> PUZ[HSSH[PVU PU *HSPMVYUPH ;OPZ WYVQLJ[ PZ [V WV^LY OVTLZ „ (Z THU` HZ *. PU]LY[LY [YHUZMVYTLYZ HYL J\YYLU[S` VWLYH[PVUHS HJYVZZ 5VY[O (TLYPJH

Hydro *.»Z PUUV]H[P]L JVZ[ LMMLJ[P]L O`KYV NLULYH[VY OHZ ILLU KLZPNULK [V Ä[ PU[V H TVIPSL O`KYV JVU[HPULY *. PZ ^LSS WVZP[PVULK [V WLUL[YH[L [OL O`KYV THYRL[ PU ,\YVWL ^P[O P[Z O`KYV NLULYH[VYZ YH[LK H[ R= HUK QVPU[S` KL]LSVWLK HUK THU\MHJ[\YLK PU P[Z 0UKPH HUK /\UNHY` MHJPSP[PLZ *\YYLU[S` [OL MHJPSP[PLZ HYL L_WLJ[LK [V WYVK\JL NLULYH[VYZ H `LHY ,\YVWL»Z PUZ[HSSLK JHWHJP[` PU O`KYV PZ .> „ ;OL JVUJLU[YH[LK ZTHSS O`KYV THYRL[ PU :, (ZPH OHZ VWLULK \W ^P[O H Z[YH[LNPJ 0UKVULZPHU WYVQLJ[ 0U 0UKPH *. HSYLHK` Z\WWSPLZ [YHUZMVYTLYZ [V O`KYV WYVQLJ[Z HYV\UK [OL JV\U[Y`

5

MANAGING ENERGY SYSTEMS

6

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

SM A RT

3.75 mn smart meters ordered* worldwide * includes 2 mn installed

30,000 data concentrators are operational in the ðHOG

smart grid laboratory inaugurated in Spain

G RI D

,WҋV D FRQQHFWHG ZRUOG Where instant communication is a norm and there’s an app for everything, energy utilities can OP MPOHFS SFNBJO UIF POF TJ[F mUT BMM SJHJE NPOPMJUIT UIFZ used to be. Expect a new breed of connected devices that can sense local conditions and respond in real time, whether it’s line losses, outages or varying consumption patterns. It’s EJHJUBM BOE QVUT UIF DPOTVNFS BU UIF DFOUSF BOE $( IBT UBLFO decisive strides towards it.

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7

BUILDING SMARTER CITIES

8

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

IN FR A STRU C T U RE (OHFWULFDO LQIUDVWUXFWXUH PDNHV D FLW\ With each decade, the dependence of cities on electricity grows. Cities in developed economies demand more sophistication; for example, a smart grid to ‘fuel’ cars seems imminent. Emerging economy cities are catching up and leapfrogging older technology; so, a OFXMZ CVJMU TUSFFU JT NPSF MJLFMZ UP VTF UIF MBUFTU JO FGmDJFOU lighting. CG’s solutions address the growing complexity and scale of this infrastructure, with smart devices and systems to bridge demand and supply.

The Electrical Highway

*Frost & Sullivan Award 2014 for Competitive Strategy, Innovation & Leadership in the HV Power Transmission Market category, South East Asia DQG WKH 3DFLðF

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Advanced Transmission & Distribution

100,000 MVA Power Transformer capacity

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9

STREAMLINING EXTREME ELECTRICITY

10

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

U LT R A

H I G H

V O LTAG E

(Z LJVUVTPLZ Z^LSS ^P[O TPSSPVUZ VM UL^ JVUZ\TLYZ P[ ^PSS IL \W [V \[PSP[PLZ [V WYVK\JL WV^LY ^OLYL P[»Z JOLHWLZ[ HUK [YHUZTP[ P[ V]LY SVUN KPZ[HUJLZ [V ^OLYL P[»Z ULLKLK *. OHZ HU HTIP[PV\Z WSHU [V LZ[HISPZO HU PUKPNLUV\Z R= Z`Z[LT·[OL OPNOLZ[ YH[LK JSHZZ VM [YHUZMVYTLY HUK Z^P[JONLHY·^OPJO HUZ^LYZ [OPZ M\[\YL ULLK >P[O V\Y SLHKLYZOPW PU R= [YHUZMVYTLYZ [OPZ PZ H UL^ MLH[ ^L HYL ^VYRPUN [V^HYKZ

100th UHV transformer delivered to Power Grid Corporation of India Limited (PGCIL), in 2014

1st Indian Company to manufacture 800kV Breakers, running successfully at the Unnao substation in Uttar Pradesh, India

;OPZ L_WLYPTLU[HS R= SPUL OHZ ILLU ZL[ \W I` [OL 7V^LY .YPK *VYWVYH[PVU VM 0UKPH PU JVSSHIVYH[PVU ^P[O *. HUK V[OLY JVTWHUPLZ ;OL Z\JJLZZ VM [OPZ WPSV[ WYVQLJ[ HUK H NYHK\HS ZOPM[ [V [OPZ [LJOUVSVN` ^PSS KLTHUK H UL^ NLULYH[PVU VM LX\PWTLU[ W\ZOPUN [OL MYVU[PLYZ VM LUNPULLYPUN >L OH]L HSYLHK` Z\JJLZZM\SS` [LZ[ JOHYNLK H [YHUZMVYTLY H JHWHJP[P]L ]VS[HNL [YHUZMVYTLY *=; HUK H Z\YNL HYYLZ[LY (SVUN ^P[O M\[\YL \S[YH OPNO ]VS[HNL </= JPYJ\P[ IYLHRLYZ HUK NHZ PUZ\SH[LK Z^P[JONLHY [OLZL ^PSS IL [OL IHJRIVUL VM [OL 0UKPHU </= PUK\Z[Y`

;OL PUH\N\YH[PVU VM [OL 059 TPSSPVU </= 9LZLHYJO *LU[YL PU 5HZOPR 0UKPH PZ [OL ÄYZ[ Z[LW [V^HYKZ H ZPNUPÄJHU[ WYLZLUJL PU R= H[ [OL L_[YLTL LUK VM [OL </= YHUNL 0[ PZ VUL VM [OL ML^ Z\JO MHJPSP[PLZ [OH[ PZ LX\PWWLK ^P[O Z[H[L VM [OL HY[ PUMYHZ[Y\J[\YL PU H M[ OPNO ZWHJL TLHZ\YPUN ZX M[ PU HU HYLH [OH[ PZ MYLL MYVT LSLJ[YPJHS UVPZL ;OL YLZLHYJO JLU[YL MHJPSP[H[LZ YLSPHISL HUK LJVUVTPJ UL^ WYVK\J[ KL]LSVWTLU[ MVY [OL NSVIHS L_[YH OPNO HUK \S[YH OPNO ]VS[HNL THYRL[Z ZWHUUPUN R= [V R= WV^LY [YHUZTPZZPVU Z`Z[LTZ

11

USING ELECTRICITY EFFICIENTLY

12

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

U T I L I SAT I O N (IÀFLHQF\ LV DQ HYHU\GD\ EXVLQHVV From managing the macro—megavolts and grids—to serving the micro, in a LJUDIFO GBDUPSZ PS GBSNMBOE " GBTU VSCBOJTJOH *OEJB JT BEEJOH millions of new consumers, many of whom see quality and SFMJBCJMJUZ BT CBTJDT BOE SVUIMFTTMZ FWBMVBUF FGmDJFODZ BOE FDPOPNZ $( IBT B MBSHF QPSUGPMJP PG FOFSHZ FGmDJFOU QSPEVDUT the range is diverse and the brand enjoys trust. That’s why ‘smart solutions’ is followed by ‘strong relationships.’

Consumer *.»Z WVY[MVSPV VM LULYN` LMÄJPLU[ WYVK\J[Z PUJS\KL ¸ Z[HY¹ YH[LK K\YHISL SPNO[Z MHUZ W\TWZ HUK HWWSPHUJLZ MVY OVTLZ HUK VMÄJLZ 0[ PZ JVU[PU\HSS` PU[YVK\JPUN ZTHY[LY WYVK\J[Z SPRL Z\WLY LMÄJPLU[ 3,+ I\SIZ ^H[LY OLH[LYZ ^P[O [OL SV^LZ[ Z[HUKPUN JVZ[Z HUK WH[LU[LK [HUR KLZPNUZ THKL MYVT UHUV [LJO IHZLK TH[LYPHSZ *YVTW[VU W\TWZ HYL [OL WYLMLYYLK ^H` [V ÄSS V]LYOLHK ^H[LY [HURZ PU TPSSPVUZ VM OVTLZ ;OL 5,63( PZ 0UKPH»Z ÄYZ[ TPJYVJOPW JVU[YVSSLK TP_LY NYPUKLY LUHISPUN H U\TILY VM ZTHY[ H\[VTH[LK MLH[\YLZ „ ;OL *YVTW[VU IYHUK UV[ VUS` [HWZ SVUN LZ[HISPZOLK SV`HS[` I\[ HSZV JVU[PU\LZ [V PUUV]H[L HUK TVKLYUPZL

Industrial 4HU` VM *.»Z SHYNL YHUNL VM PUK\Z[YPHS TV[VYZ MVY OV[ K\Z[` HUK JVYYVZP]L PUK\Z[YPHS JVUKP[PVUZ TLL[ 0, HUK 0, LMÄJPLUJ` Z[HUKHYKZ HUK HYL RUV^U MVY TV]PUN SVHKZ )\[ Z[VWWPUN TV[VYZ YLSPHIS` HUK H[ [OL YPNO[ [PTL PZ HSZV JY\JPHS" [OPUR JYHULZ OVPZ[Z HUK LSL]H[VYZ ,U[LY IYHRL TV[VYZ *.»Z SH[LZ[ PZ 2PIVZO H OPNOS` LMÄJPLU[ SVUN SHZ[PUN JVVS HUK X\PL[ IYHRL TV[VY PKLHS MVY MYLX\LU[ Z[VW Z[HY[ JVUKP[PVUZ „ 0[Z IYHRL RP[ JHU IL \ZLK [V TVKPM` H SHYNL YHUNL VM *. TV[VYZ [V H IYHRL TV[VY PU Q\Z[ TPU\[LZ THRPUN P[ H JVZ[ VW[PTPZPUN PU]LZ[TLU[ 0[»Z HPTLK H[ HU 059 JYVYL THYRL[

Commercial

10 million fans sold D ðUVW E\ DQ ,QGLDQ company.

180 SKUs launched

*.»Z YHUNL VM WYVK\J[Z MVY JVTTLYJPHS W\YWVZLZ PZ ^PKL HUK KLLW 0[ OHZ NSVIHSS` YLUV^ULK TV[VYZ [OH[ \ZL UL^ LMÄJPLU[ [LJOUVSVN` LSLNHU[ S\TPUHPYLZ MVY VMÄJLZ HUK MHJ[VYPLZ HUK H YHUNL VM W\TWZ MVY MHYTZ ( UL^ ZSLLR YHUNL VM LMÄJPLU[ Z\ITLYZPISL W\TWZ OHZ ILLU THU\MHJ[\YLK PU Z[HPUSLZZ Z[LLS [V YLZPZ[ JVYYVZPVU (UV[OLY YHUNL VM W\TWZ JHU IL Z^P[JOLK VU VY VMM ^P[O H TVIPSL WOVUL ( ZO\[KV^U VY WV^LY MHPS\YL PZ JVU]L`LK [V [OL MHYTLY ]PH HU :4: HSLY[ „ *. ZLY]LZ KPZJLYUPUN J\Z[VTLYZ >OL[OLY P[»Z H SHYNL I\ZPULZZ VY HU PUKP]PK\HS MHYTLY L]LY` \ZLY KLZLY]LZ JVU]LUPLUJL LMÄJPLUJ` HUK SV^LY Y\UUPUN JVZ[Z

last year, mostly in LED EDVHG ð[WXUHV

13

CORPORATE INFORMATION

14

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

Board of Directors Chairman

Auditors

. ;OHWHY

:OHYW ;HUUHU

Vice Chairman

Solicitors

:4 ;YLOHU

*YH^MVYK )H`SL` *V

CEO and Managing Director

Bankers

3 +LTVY[PLY

<UPVU )HUR VM 0UKPH 0+)0 )HUR 3[K :[H[L )HUR VM 0UKPH 0*0*0 )HUR 3[K *VYWVYH[PVU )HUR ;OL 9V`HS )HUR VM :JV[SHUK 5= *HUHYH )HUR :[HUKHYK *OHY[LYLK )HUR )HUR VM 4HOHYHZO[YH *YLKP[ (NYPJVSL *0) @LZ )HUR 3[K

Non-Executive Directors : (W[L 6 .VZ^HTP ) /HYPOHYHU : 3HIYVV * 3L^PULY 4 7\K\TQLL : 7YHIO\ = ]VU 4HZZV^

Chief Financial Officer 4 (JOHY`H

4Y .H\[HT ;OHWHY SLM[ ^P[O 4Y 3H\YLU[ +LTVY[PLY

Company Secretary

9LNPZ[LYLK 6ɉJL

4 )OVZHSL

[O -SVVY *. /V\ZL +Y (UUPL )LZHU[ 9VHK >VYSP 4\TIHP

C O R P O R AT E I N F O R M A T I O N

15

CHAIRMAN’S LETTER

Dear Shareholder ^YP[L [OPZ SL[[LY ^P[O H NYLH[LY ZLUZL VM VW[PTPZT [OHU H `LHY HNV 0[ OHZ [V KV IV[O ^P[O L_[LYUHS MHJ[VYZ HUK THU` WVZP[P]L KL]LSVWTLU[Z YLSH[PUN [V `V\Y *VTWHU` 3L[ TL Z[HY[ ^P[O [OL MVYTLY -@ ^HZ [OL ZLJVUK Z\JJLZZP]L `LHY VM HIZVS\[L LJVUVTPJ WHPU -VY ZPTWSPJP[` 0 OH]L JOVZLU [V KLWPJ[ [OL .+7 NYV^[O YH[LZ V]LY [OL SHZ[ [^LS]L X\HY[LYZ PU [OL JOHY[ ILSV^ 0[ WHPU[Z H ZHK WPJ[\YL R ;^LS]L X\HY[LYZ LHYSPLY 0UKPH Z[PSS HJOPL]LK YLHS .+7 NYV^[O·SV^LY [OHU ILMVYL I\[ YLHZVUHISL LUV\NO ;OYLL `LHYZ SH[LY P[ OHK KYVWWLK [V ;OL HUU\HS YH[LZ VM .+7 NYV^[O OH]L ILLU T\JO ILSV^ ^OH[ [OLZL V\NO[ [V IL! PU -@ MVSSV^LK I` PU -@ HUK PU -@ R 4H[[LYZ ^LYL MHY ^VYZL PU THU\MHJ[\YPUN [OL HJ[P]P[` [OH[ JVTWYPZLZ `V\Y *VTWHU`»Z

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Q1

Q2

Q3

Q4

FY2012

16

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

Q1

Q2

Q3

FY 2013

Q4

Q1

Q2

Q3

FY 2014

4.6%

4.6%

5.2%

4.7%

4.4%

4.4%

4.6%

4.5%

5.1%

6.0%

7.5%

6.5%

Quarterly GDP Growth

Q4

0UKPH»Z ÄYZ[ ^VYSK JSHZZ H\[VTH[PVU \UP[ H[ )LUNHS\Y\

CHAIRMAN'S LETTER

17

Automation is the smart key to the power and industrial business

18

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

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.H\[HT ;OHWHY */(094(5

CHAIRMAN'S LETTER

19

EXECUTIVE COMMITTEE

20

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

STANDING (FROM LEFT TO RIGHT)

Ravi Rajagopal ,_LJ\[P]L =PJL 7YLZPKLU[ .SVIHS /LHK 3LNHS .V]LYUHUJL 9PZR

Sanjay Jorapur ,_LJ\[P]L =PJL 7YLZPKLU[ .SVIHS /LHK /\THU 9LZV\YJLZ

Jayant Kulkarni ,_LJ\[P]L =PJL 7YLZPKLU[ 7YLZPKLU[ 7V^LY )\ZPULZZ <UP[

Norberto Santiago Elustondo ,_LJ\[P]L =PJL 7YLZPKLU[ 7YLZPKLU[ (\[VTH[PVU )\ZPULZZ <UP[

Ash Gupta ,_LJ\[P]L =PJL 7YLZPKLU[ 7YLZPKLU[ *VUZ\TLY )\ZPULZZ <UP[

SITTING (FROM LEFT TO RIGHT)

Dileep Patil ,_LJ\[P]L =PJL 7YLZPKLU[ *OPLM ;LJOUVSVN` 6ɉJLY

Laurent Demortier *,6 4HUHNPUN +PYLJ[VY

Madhav Acharya ,_LJ\[P]L =PJL 7YLZPKLU[ *OPLM -PUHUJPHS 6ɉJLY *OPLM 0UMVYTH[PVU 6ɉJLY

Anil Raina ,_LJ\[P]L =PJL 7YLZPKLU[ 7YLZPKLU[ 0UK\Z[YPHS )\ZPULZZ <UP[

EXECUTIVE COMMITTEE

21

MANAGEMENT DISCUSSION & ANALYSIS

Crompton Greaves Limited (‘CG’ or the ‘the Company’) is a global enterprise providing end-to-end solutions to utilities, industries and consumers for management and application of electrical energy, in an efficient and sustainable manner. . WYV]PKLZ OPNOS` KPMMLYLU[PH[LK WYVK\J[Z HUK ZLY]PJLZ JV]LYPUN [OL LU[PYL ]HS\L JOHPU VM LSLJ[YPJHS VMMLYPUNZ MYVT \S[YH OPNO ]VS[HNL </= OPNO ]VS[HNL /= TLKP\T ]VS[HNL 4= HUK SV^ ]VS[HNL 3= ;O\Z [OL *VTWHU`»Z KP]LYZL WVY[MVSPV ILULÄ[Z JVUZ\TLYZ HJYVZZ [OL LSLJ[YPJP[` Z\WWS` SPMLJ`JSL·MYVT NLULYH[PVU [V [YHUZWVY[H[PVU [V LUK \ZLYZ 4VYLV]LY *. VMMLYZ H JVTWYLOLUZP]L Z\P[L VM H\[VTH[PVU ZVS\[PVUZ MVY LMÄJPLU[ LSLJ[YPJHS KPZ[YPI\[PVU 0[Z J\Z[VTLYZ JV]LY THQVY \[PSP[PLZ HUK PUK\Z[YPLZ HJYVZZ [OL NSVIL PU NLULYH[PVU [YHUZTPZZPVU KPZ[YPI\[PVU YLUL^HISLZ VPS HUK NHZ JLTLU[ TL[HSZ HUK TPUPUN HUK [OL [YHUZWVY[H[PVU ZLJ[VY ;OL *. *VUZ\TLY I\ZPULZZ TLL[Z [OL LSLJ[YPJHS ULLKZ VM PUKP]PK\HSZ HUK OV\ZLOVSKZ [OYV\NO H ]HYPL[` VM LUK \ZLY LSLJ[YPJHS WYVK\J[Z ZVSK \UKLY [OL IYHUK *YVTW[VU· ^OPJO OHZ ILLU H OV\ZL OVSK UHTL PU 0UKPH MVY THU` `LHYZ *. OHZ THU\MHJ[\YPUN Z`Z[LTZ ZLY]PJLZ HUK ZHSLZ MHJPSP[PLZ H[ SVJH[PVUZ ZWYLHK HJYVZZ JVU[PULU[Z 0[ KVLZ I\ZPULZZ PU JV\U[YPLZ HJYVZZ [OL ^VYSK

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22

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

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BU S I N E S S P E R F O R M A N C E F Y 2 0 1 4

UNEXECUTED ORDER BOOK

NET SALES & SERVICES

EBIDTA

Rs.9,293 crore W 1.8%

Rs.13,481 crore W 11.5%

Rs.854 crore W 86.1%

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EBIDTA (EXCLUDING OTHER INCOME)

PROFIT BEFORE INTEREST & TAX

PBT (BEFORE EXCEPTIONAL ITEM)

Rs.682 crore W 78.0%

Rs.591 crore W 131.3%

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Rs.244 crore W776.1%

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EARNINGS PER SHARE**

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M A N A G E M E N T D I S C U S S I O N & A N A LY S I S

23

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24

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

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CG’s Strategic Initiatives

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M A N A G E M E N T D I S C U S S I O N & A N A LY S I S

25

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26

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

CHART A

Net Revenues from the Key Business In Rs. crore

FY2013

8,478

Power Systems

;OL JVUZVSPKH[LK WLYMVYTHUJL VM *. 7V^LY PZ NP]LU PU ;HISL R ;OL <,6) YVZL TVKLZ[S`·I` PU -@ [V YLHJO 9Z JYVYL R 5L[ ZHSLZ VM *. 7V^LY NYL^ I` HU PTWYLZZP]L PU -@ [V 9Z JYVYL R ,)0+;( NYL^ [PTLZ·MYVT 9Z JYVYL PU -@ [V 9Z JYVYL PU -@

W15.6% POWER SYSTEMS

1,816

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X1.0%

2,847

Business Performance FY2014

CG Power: Consolidated Financial Performance

7,336

been started across India

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1,835

featuring CG’s products have

JOHUULSZ UL[^VYRZ" KLWSV` SLHU THU\MHJ[\YPUN PUP[PH[P]LZ" HUK PUJYLHZL WYVK\J[ VMMLYPUNZ PU WYLTP\T ZLNTLU[Z HZ ^LSS HZ PU RUV^SLKNL IHZLK PU[LSSPNLU[ WYVK\J[Z 6]LY UL^ YL[HPSLYZ HUK KPZ[YPI\[VYZ ^LYL HKKLK [V Z[YLUN[OLU JOHUULS [YHUZMVYTH[PVU" HUK UPUL UL^ IYHUJOLZ ^LYL VWLULK PU -@ ;OL I\ZPULZZ HSZV MVYH`LK P[Z WYLZLUJL PU [OL TVKLYU YL[HPS ZLNTLU[ ,_JS\ZP]L ZOV^YVVTZ MLH[\YPUN *.»Z WYVK\J[Z OH]L HSZV ILLU Z[HY[LK HJYVZZ 0UKPH ^OPJO HYL L_WLJ[LK [V JYLH[L HU \WTHYRL[ HUK \UJS\[[LYLK I\`PUN L_WLYPLUJL [V [OL J\Z[VTLYZ ;OL *VUZ\TLY )< ZLSSZ P[Z WYVK\J[Z \UKLY [OL ¸*YVTW[VU¹ IYHUK·^OPJO PZ H OV\ZLOVSK IYHUK ZPUJL HZZVJPH[LK MVY YLSPHIPSP[` HUK Z[HIPSP[`

2,593

Exclusive showrooms

W9.8%

FY2014

INDUSTRIAL SYSTEMS

CONSUMER PRODUCTS

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CG Power Overseas: Financial Performance ;OL ÄUHUJPHS WLYMVYTHUJL VM [OL *. 7V^LY 6]LYZLHZ PZ NP]LU PU ;HISL (Z TH` IL PUMLYYLK MYVT ;HISL ^OPSL [OL ÄUHUJPHS WLYMVYTHUJL VM *. 7V^LY 6]LYZLHZ OHZ PTWYV]LK ]PZ n ]PZ [OL WYL]PV\Z `LHY [OL I\ZPULZZ PZ Z[PSS Z[Y\NNSPUN 0U WHY[ P[ YLÅLJ[Z H KLTHUK ZP[\H[PVU HJYVZZ ,\YVWL HUK 5VY[O (TLYPJH [OH[ Z[PSS JVU[PU\LZ [V IL KPMÄJ\S[ 0[ HSZV YLÅLJ[Z WYVK\J[PVU WYVISLTZ [OH[ ZVTL \UP[Z MHJL HIYVHK ^OPJO ZOHSS ZOVY[S` IL KPZJ\ZZLK PU NYLH[LY KL[HPS

CG Power India: Financial Performance ;HISL NP]LZ [OL RL` ÄUHUJPHS WLYMVYTHUJL PUKPJH[VYZ MVY *. 7V^LY»Z 0UKPH VWLYH[PVUZ

TABLE 01

(Z ;HISL Z\NNLZ[Z ^OPSL *. 7V^LY 0UKPH OHZ OHK ZVTL KLJSPUL PU [OL \UL_LJ\[LK VYKLY IVVR HZ VU 4HYJO P[ LUQV`LK H TVKLZ[ PUJYLHZL PU UL[ ZHSLZ 0[ ULLKZ [V IL LTWOHZPZLK [OH[ PU HU LU]PYVUTLU[ VM SV^ .+7 NYV^[O HUK OHYKS` HU` PUJYLTLU[HS PUMYHZ[Y\J[\YL ZWLUKZ [OLYL OH]L ILLU ZPNUPÄJHU[ WYPJPUN WYLZZ\YLZ PU 0UKPH LZWLJPHSS` MYVT [OL SHYNLY J\Z[VTLYZ 0U Z\JO H ZP[\H[PVU PTWYV]LTLU[Z PU ZV\YJPUN HUK IL[[LY WYVK\J[P]P[` OH]L OLSWLK [OL I\ZPULZZ [V PTWYV]L ,)0+;( I` HUK ,)0; I` ;OL 96*, VM [OL I\ZPULZZ OHZ HSZV PUJYLHZLK I` IHZPZ WVPU[Z [V ·^OPJO YHURZ HTVUN [OL ]LY` ILZ[ PU [OL ^VYSK

CG Power: Key Developments in FY2014 0U [OL IHJRKYVW VM H JSLHY PTWYV]LTLU[ PU V]LYHSS WLYMVYTHUJL VM [OL *. 7V^LY :`Z[LTZ )< P[ ULLKZ [V IL Z[H[LK [OH[ ZVTL VM [OL V]LYZLHZ SVJH[PVUZ HYL Z[PSS OH]PUN WYVISLTZ -VY VUL [OL NSVIHS ; + THYRL[Z JVU[PU\LK [V YLTHPU L_[YLTLS` JVTWL[P[P]L 0[ TH` IL YLJHSSLK [OH[ Z\JO L_[YLTL JVTWL[P[P]LULZZ ILNHU PU -@ PU[LUZPÄLK PU -@ HUK

TABLE 02

JVU[PU\LK [OYV\NOV\[ -@ ^P[O WYVK\JLYZ VMMLYPUN \UOLHYK VM WYPJLZ [V IHN VYKLYZ VUS` [V RLLW ZVTL VM [OLPY JHWHJP[PLZ PU \ZL <UMVY[\UH[LS` [OPZ [YLUK OHZ JVU[PU\LK PU -@ LZWLJPHSS` HJYVZZ ,\YVWL HUK [OL <:( -VY HUV[OLY [OL I\ZPULZZ OHZ ZLLU [OL WLYZPZ[LUJL VM H [YLUK [OH[ ILNHU [^V `LHYZ HNV·^OLYL THU` J\Z[VTLYZ KLSH`LK [HRPUN WO`ZPJHS KLSP]LY` VM [OLPY LX\PWTLU[ ;OPZ PZ [Y\L PU ,\YVWL [OL 4PKKSL ,HZ[ HUK 5VY[O (MYPJH HZ ^LSS HZ PU 0UKPH (Z TLU[PVULK SHZ[ `LHY P[ \Z\HSS` PU]VS]LZ W\ZOPUN IHJR [OL KH[L VM [LZ[PUN ^OPJO [OLU ISVJRZ [OL SPULZ PU [OL MHJ[VYPLZ WYL]LU[Z [PTLS` YL]LU\L YLJVNUP[PVU SVJRZ \W ^VYRPUN JHWP[HS HUK HSS LSZL ILPUN LX\HS YLK\JLZ 96*, 7YVK\JLYZ HYL VM[LU HJX\PLZJPUN [V THQVY J\Z[VTLYZ [V THPU[HPU [OLPY SVUN [LYT YLSH[PVUZOPWZ *\Z[VTLYZ HSZV PU]VRL ºZ[VYHNL JSH\ZLZ» PU [OL JVU[YHJ[Z ^OPJO HSSV^ [OLT [V Z[VYL H [YHUZMVYTLY ^P[O [OL THU\MHJ[\YLY ^P[OV\[ [YHUZMLYYPUN YPZR VY [P[SL [OLYLI` KLSH`PUN YL]LU\L YLJVNUP[PVU HUK JHZO PUÃ…V^ ( JV\WSL VM HKKP[PVUHS WOLUVTLUH OH]L HSZV JVTL PU[V WSH` ( U\TILY VM J\Z[VTLYZ

TABLE 03

Consolidated Financial Performance of CG Power

Financial Performance CG Power Overseas

Financial Performance CG Power India

In Rs.

In Rs.

In Rs.

F Y 20 1 3

FY2 014

PERCENT

UNEXECUTED ORDER BOOK (UEOB)

8,525

8,638

crore

crore

W1.3%

NET SALES & SERVICES

7,336

8,478

crore

crore

429

crore

crore

W15.6% W1162.4%

EBIT

P E RC E NT

5,195

5,530

crore

crore

W6.4%

4,753

5,801

crore

crore

W22.0%

EBIDTA (INCLUDING OTHER INCOME)

(244)

90

crore

crore

234

crore

crore

W312.0%

CAPITAL EMPLOYED

3,382

3,899

crore

crore

W136.8%

ROCE

(352)

(60)

crore

crore

W82.9%

6.0%

W9.3 pp*

2,514

2,822

crore

crore

(14)% 7LYJLU[HNL 7VPU[Z

P E RC E N T

3,330

3,108

crore

crore

X6.7%

2,725

2,824

crore

crore

W3.6%

EBIDTA (INCLUDING OTHER INCOME)

260

296

crore

crore

W13.9%

231

259

crore

crore

W12.1%

CAPITAL EMPLOYED

W12.2%

ROCE

5V[LZ! -PN\YLZ OH]L ILLU YL NYV\WLK ^OLYL]LY ULJLZZHY` [V THRL [OLT JVTWHYHISL 7LYJLU[HNL 7VPU[Z

F Y2 0 1 4

EBIT

CAPITAL EMPLOYED

W15.3%

F Y2 0 1 3

UNEXECUTED ORDER BOOK (UEOB)

NET SALES & SERVICES

EBIT

(110)

(3.3)%

F Y2 0 1 4

NET SALES & SERVICES

EBIDTA (INCLUDING OTHER INCOME)

34

FY 2013

UNEXECUTED ORDER BOOK (UEOB)

780

852

crore

crore

W9.1%

ROCE

(2.1)%

W11.9 pp*

29.5%

30.4%

W0.9 pp*

7LYJLU[HNL 7VPU[Z

M A N A G E M E N T D I S C U S S I O N & A N A LY S I S

27

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28

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

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M A N A G E M E N T D I S C U S S I O N & A N A LY S I S

29

Z\YNL HYYLZ[VYZ \W [V R=" HUK ] ]HJ\\T PU[LYY\W[LYZ \W [V R= *. OHZ M\SS ÅLKNLK ,/= Z^P[JONLHY WSHU[Z PU 0UKPH HUK /\UNHY` ^P[O HU HZZLTISPUN WSHU[ PU )YHaPS ;OL WSHU[Z PU 0UKPH HYL HTVUN [OL ILZ[ PU JSHZZ HUK [OL I\ZPULZZ JVTTHUK H ZPNUPÄJHU[ SLHKLYZOPW WVZP[PVU PU [OL JV\U[Y` PU Z^P[JONLHY -@ OHZ ^P[ULZZLK THU` RL` Z\JJLZZLZ ZVTL VM ^OPJO HYL TLU[PVULK ILSV^ R *.»Z 0UKPH KP]PZPVU Z\JJLZZM\SS` KL]LSVWLK

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U\JSLHY HUK ZVSHY WV^LY \[PSP[PLZ MVY R= R( HUK R= R( PUKVVY ]HJ\\T JPYJ\P[ IYLHRLY =*) WHULSZ" HZ ^LSS HZ MYVT ]HYPV\Z WV^LY [YHUZTPZZPVU JVTWHUPLZ MVY R= PUKVVY =*) HUK :- 94< R 0U (MYPJH [OLYL ^LYL VYKLYZ MVY R= R( PUKVVY .0: HUK U\TLYPJHS JVTT\UPJHISL YLSH`Z ;OLYL ^LYL HSZV L_WVY[ VYKLYZ MVY R= .0: MYVT 5PNLYPH HUK 4`HUTHY" HUK R= (0: MYVT @LTLU

>VYSK JSHZZ [YHUZMVYTLY THU\MHJ[\YPUN MHJPSP[` H[ )LSNP\T

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TABLE 04

Performance of the CG Industrial Systems Business In Rs. F Y2 0 1 3

F Y2 0 1 4

P E RCE N T

UNEXECUTED ORDER BOOK (UEOB)

601

655

crore

crore

W8.9%

NET SALES

1,835

1,816

crore

crore

X1.0%

EBIDTA (INCLUDING OTHER INCOME)

251

171

crore

crore

X32.0%

EBIT

214

128

crore

crore

X40.0%

CAPITAL EMPLOYED

866

951

crore

crore

W9.8%

ROCE

24.7%

13.5%

X11.2 pp*

7LYJLU[HNL 7VPU[Z

M A N A G E M E N T D I S C U S S I O N & A N A LY S I S

33

Motors, Generators and Railway Products

TABLE 05

Performance of the CG Consumer Products Business In Rs. F Y 20 13

FY2 014

PER CENT

2,593

2,847

W9.8%

crore

crore

NET SALES

EBIDTA (INCLUDING OTHER INCOME)

287

349

crore

crore

W21.7%

EBIT

278

337

crore

crore

W21.4%

CAPITAL EMPLOYED

110

121

crore

crore

W9.8%

ROCE

252.0% 278.5% W26.5 pp* 7LYJLU[HNL 7VPU[Z

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R :OHM[ WV^LY TVUP[VY 4 ^P[O UL^ JVU[YVSZ

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CG Consumer Products :PNUPÄJHU[ VYKLYZ YLJLP]LK PU -@ ^LYL! R 3HYNL 4= TV[VY VYKLY VM 4> 7VSL MYVT .LYTHU` MVY ZJYL^ JVTWYLZZVY HWWSPJH[PVU HUK 4= TV[VYZ LHJO VM 4> 7VSL R= MVY

34

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

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In FY2014, CG became the first fan manufacturing enterprise in India to cross sales of 10 million units

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The Six Sigma drive was extended to CG plants in USA, Ireland, Indonesia, and Hungary

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CG partnered with the Hay Group in a global initiative to develop uniform grading and evaluation for all job roles that are critical to business

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M A N A G E M E N T D I S C U S S I O N & A N A LY S I S

43

CG has been proactive in promoting preventive healthcare to improve levels of health in the communities where it operates

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44

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

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TABLE 06

Standalone Performance Rs. Crore, Year Ended 31 March

Financial Performance ;OPZ ZLJ[PVU ILNPUZ ^P[O *.»Z Z[HUKHSVUL YLZ\S[Z HM[LY ^OPJO P[ TV]LZ VU [V [OL ÄUHUJPHS WLYMVYTHUJL VM [OL V]LYZLHZ LU[P[` ILMVYL ÄUHSS` [OL JVUZVSPKH[LK ÄUHUJPHSZ MVY [OL *VTWHU`

CG: Standalone Financial Performance ;OL Z[HUKHSVUL YLZ\S[Z VM *. MVY [OL `LHY LUKLK 4HYJO HUK HYL NP]LU PU Table 6 ;HISL ZOV^Z [OL RL` YH[PVZ WYVÄ[HIPSP[` HZZL[Z LMÄJPLUJ` HUK SL]LYHNL YH[PVZ VM [OL LU[P[` MVY -@ HUK -@ R .YVZZ ZHSLZ VY YL]LU\L MYVT VWLYH[PVUZ NYL^ I` [V 9Z JYVYL PU -@ 5L[ ZHSLZ HUK ZLY]PJLZ PUJYLHZLK I` [V 9Z JYVYL R 9H^ TH[LYPHS JVZ[Z HZ H ZOHYL VM UL[ ZHSLZ YLTHPULK TVYL VY SLZZ Ã…H[! PU -@ ]LYZ\Z PU -@ 0U HIZVS\[L [LYTZ [OPZ OLHK VM JVZ[ PUJYLHZLK I` ·^OPJO ^HZ IHZPZ WVPU[Z SLZZ [OHU [OL NYV^[O PU UL[ ZHSLZ R 6WLYH[PUN ,)0+;( PUJYLHZLK I` [V 9Z JYVYL PU -@ R 6WLYH[PUN 7); NYL^ I` V]LY [OL WYL]PV\Z `LHY [V 9Z JYVYL R 7(; PUJYLHZLK I` [V 9Z JYVYL R ;OL YH[PV VM VWLYH[PUN ,)0+;( [V UL[ ZHSLZ PUJYLHZLK I` IHZPZ WVPU[Z MYVT PU -@ [V PU -@ R 965> NYL^ I` IHZPZ WVPU[Z [V PU -@ ;OV\NO SLZZ [OHU ^OH[ [OL *VTWHU`»Z Z[HUKHSVUL LU[P[` \ZLK [V LHYU [OYLL `LHYZ LHYSPLY [OPZ PZ H NVVK WLYMVYTHUJL JVTWHYLK [V V[OLYZ PU [OL PUK\Z[Y` R >P[O IL[[LY WLYMVYTHUJL [OL 96*, OHZ PTWYV]LK I` IHZPZ WVPU[Z [V H[ [OL LUK VM -@ ;OPZ PZ [OL OPNOLZ[ 96*, HTVUN HSS ZPNUPÄJHU[ JVTWL[P[VYZ PU [OL ZLJ[VYZ [OH[ *. 0UKPH VWLYH[L

CG: Overseas Financial Performance ;OL JVUZVSPKH[LK ÄUHUJPHS WLYMVYTHUJL VM HSS V]LYZLHZ LU[P[PLZ PZ NP]LU PU ;HISL -VY [OL *. V]LYZLHZ LU[P[PLZ! R 9L]LU\L MYVT VWLYH[PVUZ PUJYLHZLK I` [V <: TPSSPVU )LJH\ZL VM [OL KLWYLJPH[PVU VM [OL 0UKPHU Y\WLL [OPZ NYL^ I` [V 9Z JYVYL PU -@

9L]LU\L MYVT VWLYH[PVUZ 3LZZ! L_JPZL K\[`

F Y2 0 1 3

F Y 2 01 4

5L[ :HSLZ HUK :LY]PJLZ

*VZ[ VM YH^ TH[LYPHSZ HUK JVTWVULU[Z JVUZ\TLK HUK JVUZ[Y\J[PVU TH[LYPHS

,TWSV`LL )LULÄ[Z L_WLUZL 6[OLY ,_WLUZLZ

,)0+;( L_JS\KPUN 6[OLY 0UJVTL 60

60

,)0+;( PUJS\KPUN 60

-PUHUJL *VZ[Z

+LWYLJPH[PVU HUK (TVY[PZH[PVU L_WLUZL 7); L_JS\KPUN 60

7); PUJS\KPUN 60

3LZZ! [H_ L_WLUZL *\YYLU[ ;H_

+LMLYYLK ;H_ 7(;

F Y2 0 1 3

F Y 2 01 4

TABLE 07

Standalone Performance — Key Ratios Year Ended 31 March

7YVÄ[HIPSP[` 9H[PVZ ,)0+;( L_JS\KPUN 60 5L[ :HSLZ

965>

96*, H[ `LHY LUK JHWP[HS LTWSV`LK

*HZO 96*,

,)0+;( PUJS\KPUN 60 5L[ :HSLZ 7); 5L[ :HSLZ

,7: 9Z WLY ZOHYL

*HZO ,7: 9Z WLY ZOHYL

3L]LYHNL 9H[PVZ ;V[HS +LI[ ;V ,X\P[` 0U[LYLZ[ *V]LYHNL 9H[PV (ZZL[Z ,ɉJPLUJ`

5(

5(

5L[ :HSLZ ;V .YVZZ >* [PTLZ

5L[ :HSLZ ;V 5L[ >* [PTLZ

5V[L! +\L [V I\` IHJR VM LX\P[` ZOHYLZ ,7: HUK *HZO ,7: MVY -@ PZ JHSJ\SH[LK VU ^LPNO[LK H]LYHNL U\TILY VM LX\P[` ZOHYLZ >P[O JYLKP[Z [OL PU[LYLZ[ WH` V\[ ^HZ ULNH[P]L IV[O PU -@ HUK -@ ZLL ;HISL HIV]L ;O\Z [OL PU[LYLZ[ JV]LYHNL YH[PV OHZ UV TLHUPUN

M A N A G E M E N T D I S C U S S I O N & A N A LY S I S

45

TABLE 08

Consolidated Financial Performance of the Overseas Entities Year Ended 31 March F Y2 0 1 3

FY2014

RS .C RO RE

U S $ MIL L IO N

RS .C RO RE

U S $M I L L I ON

9L]LU\L MYVT VWLYH[PVUZ ,)0+;( L_JS\KPUN 6[OLY 0UJVTL 60 60 ,)0+;( PUJS\KPUN 60 -PUHUJL *VZ[ +LWYLJPH[PVU HUK HTVY[PZH[PVU L_WLUZL

7); L_JS\KPUN 60 )LMVYL ,_JLW[PVUHS P[LT

7); PUJS\KPUN 60 )LMVYL ,_JLW[PVUHS P[LT

3LZZ! L_JLW[PVUHS P[LT 7); (M[LY ,_JLW[PVUHS P[LT 3LZZ! [H_ L_WLUZL *\YYLU[ ;H_ +LMLYYLK ;H_ 7(; 4PUVYP[` 0U[LYLZ[ :OHYL VM 7YVÄ[ 3VZZ VM (ZZVJPH[L *VTWHUPLZ 7(; *HYYPLK -VY^HYK [V [OL )HSHUJL :OLL[ Exchange Rate for US$1

54.4316

60.3575

5V[L! ;OL L_JLW[PVUHS P[LT PU -@ ^HZ [OL VUL [PTL YLZ[Y\J[\YPUN HUK YPNO[ ZPaPUN JVZ[ PUJ\YYLK H[ 4LJOLSLU ]HS\LK H[ 9Z JYVYL

R 6WLYH[PUN ,)0+;( OHZ ZOV^U H TVKLZ[

R 6WLYH[PUN 7); ILMVYL L_JLW[PVUHS P[LT OHZ

JVTLIHJR·MYVT H SVZZ VM <: TPSSPVU PU -@ [V IYLHRL]LU PU -@ R ;OV\NO Z[PSS PU YLK [OL VWLYH[PUN 7); OHZ HSZV ZOV^U ZVTL PTWYV]LTLU[·MYVT H SVZZ VM <: TPSSPVU PU -@ [V H SVZZ VM <: TPSSPVU PU -@ R 3VZZLZ H[ [OL 7(; SL]LS OHZ HSZV YLK\JLK MYVT <: TPSSPVU PU -@ [V <: TPSSPVU PU -@

HSTVZ[ [YLISLK [V 9Z JYVYL PU -@ " HUK PUJYLHZLK I` [V <: TPSSPVU R 7(; ILMVYL TPUVYP[` PU[LYLZ[Z ZOHYL VM HZZVJPH[LK JVTWHUPLZ HUK L_JLW[PVUHS P[LTZ OHZ TVYL [OHU [YLISLK [V 9Z JYVYL 0U [LYTZ VM <: KVSSHYZ P[ OHZ NYV^U I` [V <: TPSSPVU

CG: Consolidated Financial Performance ;HISL NP]LZ [OL JVUZVSPKH[LK WLYMVYTHUJL VM *. ^OPSL ;HISL NP]LZ [OL RL` YH[PVZ R 5L[ ZHSLZ HUK ZLY]PJLZ! 0U Y\WLLZ P[ NYL^ I` [V 9Z JYVYL PU -@ 0U [LYTZ VM <: P[ ^HZ TVYL VY SLZZ Ã…H[ H[ <: TPSSPVU ;OPZ PZ [OL MV\Y[O Z\JJLZZP]L `LHY ^OLU *.»Z UL[ ZHSLZ HUK ZLY]PJLZ OHZ L_JLLKLK <: IPSSPVU R 6WLYH[PUN ,)0+;( OHZ PUJYLHZLK·I` PU Y\WLLZ [V 9Z JYVYL PU -@ HUK I` [V <: KVSSHYZ [V <: TPSSPVU

46

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

(Z PZ JSLHY MYVT ;HISL HSS I\[ VUL YH[PV OHZ [HRLU H KPZ[PUJ[ [\YU MVY [OL IL[[LY (UK [OL YLZPK\HS·[OL KLI[ [V LX\P[` YH[PV· OHZ THYNPUHSS` PUJYLHZLK -PUHUJPHSS` HUK VWLYH[PVUHSS` [OLYLMVYL *. PZ VU H KPZ[PUJ[ WH[O VM PTWYV]LTLU[ HS[OV\NO [OLYL PZ T\JO [V [YH]LYZL PU [OL `LHYZ HOLHK

Risk Management *YVTW[VU .YLH]LZ JVU[PU\LZ [V KLWSV` H ^LSS HY[PJ\SH[LK YPZR THUHNLTLU[ MYHTL^VYR ;OPZ PZ IHZLK \WVU H [OYLL [PLYLK HWWYVHJO LUJVTWHZZPUN P LU[LYWYPZL YPZRZ PP WYVJLZZ YPZRZ HUK PPP JVTWSPHUJL YPZRZ

At an overall level,

TABLE 09

the compass has moved

Consolidated Financial Performance

towards greater revenues

Year Ended 31 March FY 20 1 3

.YVZZ ZHSLZ HUK ZLY]PJLZ 3LZZ! L_JPZL K\[` 5L[ :HSLZ HUK :LY]PJLZ *VZ[ VM YH^ TH[LYPHSZ HUK JVTWVULU[Z JVUZ\TLK HUK JVUZ[Y\J[PVU TH[LYPHS

F Y2 0 1 4

R S. CR OR E

US$M I LLIO N

RS .C RO RE

U S $ MIL L IO N

,TWSV`LL )LULÄ[ L_WLUZL

6[OLY ,_WLUZLZ

+LWYLJPH[PVU HUK HTVY[PZH[PVU L_WLUZL

,)0+;( L_JS\KPUN 6[OLY 0UJVTL 60 60 ,)0+;( 0UJS\KPUN 60 -PUHUJL *VZ[Z

7); L_JS\KPUN 60

7); 0UJS\KPUN 60 )LMVYL ,_JLW[PVUHS 0[LT

3LZZ! ,_JLW[PVUHS 0[LT

7); HM[LY ,_JLW[PVUHS P[LT 3LZZ! [H_ L_WLUZL

*\YYLU[ ;H_

+LMLYYLK ;H_

7(; ILMVYL ,_JLW[PVUHS 0[LT 7(; HM[LY ,_JLW[PVUHS 0[LT

4PUVYP[` 0U[LYLZ[ :OHYL VM 7YVÄ[ 3VZZ VM (ZZVJPH[L *VTWHUPLZ 7(; HM[LY TPUVYP[` PU[LYLZ[ HUK ZOHYL VM HZZVJPH[L JVTWHUPLZ

Exchange Rate for US$1

,U[LYWYPZL YPZR PKLU[PÄJH[PVU HUK TP[PNH[PVU PUP[PH[P]LZ HYL THUHNLK [OYV\NO HU VU NVPUN HJ[PVU HNLUKH IL[^LLU [OL JVYWVYH[L YPZR KLWHY[TLU[ HUK LHJO VM [OL I\ZPULZZLZ HZ ^LSS HZ MVY [OL *VTWHU` HZ H ^OVSL ;OL JV]LYHNL L_[LUKZ [V HSS RL` I\ZPULZZ L_WVZ\YLZ HZ ^LSS HZ [V SVZ[ VWWVY[\UP[PLZ·IV[O PU[LYUHS HUK L_[LYUHS·[OH[ HYL PKLU[PÄLK PU JVUQ\UJ[PVU ^P[O [OL I\ZPULZZLZ (M[LY NL[[PUN H TLHZ\YL VM LHJO Z\JO LU[LYWYPZL YPZR [OL JVYWVYH[L YPZR KLWHY[TLU[ [YHJRZ [OL TP[PNH[PVU HJ[PVUZ 7YVJLZZ YPZR THUHNLTLU[ PU]VS]LZ HZZ\YHUJLZ I` [OL *VTWHU`»Z PU[LYUHS H\KP[ KLWHY[TLU[ YLNHYKPUN [OL LMMLJ[P]LULZZ VM I\ZPULZZ HUK ÄUHUJPHS JVU[YVSZ HUK WYVJLZZLZ PU HSS RL` HJ[P]P[PLZ HJYVZZ [OL ]HYPV\Z I\ZPULZZLZ

54.4316

accompanied by larger profits

60.3575

*VTWSPHUJL YPZR THUHNLTLU[ JVTWYPZLZ H KL[HPSLK TLJOHUPZT VM HZZ\YHUJLZ ^P[O YLZWLJ[ [V HKOLYLUJL VM HSS SH^Z HUK YLN\SH[PVUZ PU L]LY` JV\U[Y` ^P[O H JVTWYLOLUZP]L YLWVY[PUN WYVJLZZ [OH[ JHZJHKLZ \W^HYKZ MYVT [OL HJJV\U[HISL I\ZPULZZ SPUL L_LJ\[P]LZ [V *.»Z ÄK\JPHY` (\KP[ HUK 9PZR *VTTP[[LL (9* HUK [OLU VU [V [OL )VHYK VM +PYLJ[VYZ ;OL V\[JVTLZ VM I\ZPULZZ YL]PL^ TLL[PUNZ JVUK\J[LK I` THUHNLTLU[ HUK PU[LYUHS H\KP[ YLNHYKPUN WYVJLZZLZ HUK [OLPY JVTWSPHUJL HZ ^LSS HZ VIZLY]H[PVUZ VM [OL (9* HUK [OL )VHYK VM +PYLJ[VYZ HYL JVU[PU\V\ZS` PUJVYWVYH[LK [V JHW[\YL UL^ YPZRZ HUK \WKH[L [OL L_PZ[PUN VULZ (SS [OYLL KPTLUZPVUZ VM *.»Z 9PZR 4HUHNLTLU[ MYHTL^VYR HYL YL]PL^LK HUU\HSS` MVY [OLPY YLSL]HUJL HUK TVKPÄJH[PVUZ HZ

M A N A G E M E N T D I S C U S S I O N & A N A LY S I S

47

CG will keep pursuing expansion in new geographies and deploying

TABLE 10

Consolidated Financial Performance Year Ended 31 March

higher value-added

F Y2 0 1 3

FY2014

products and services in

7YVÄ[HIPSP[` 9H[PVZ

the electrical space

,)0+;( L_JS\KPUN 60 5L[ ZHSLZ

,)0+;( PUJS\KPUN 60 5L[ ZHSLZ

965>

96*, [LYTPUHS

*HZO 96*, [LYTPUHS

7); 5L[ ZHSLZ L_JS\KPUN L_JLW[PVUHS P[LT

7LY :OHYL 9H[PVZ ,7: *HZO ,7: 3L]LYHNL 9H[PVZ

;V[HS KLI[ [V LX\P[`

0U[LYLZ[ JV]LYHNL YH[PV

5L[ ZHSLZ [V NYVZZ ^VYRPUN JHWP[HS [PTLZ

5L[ ZHSLZ [V UL[ ^VYRPUN JHWP[HS [PTLZ

(ZZL[Z ,ɉJPLUJ` 9H[PVZ

5V[L! *HSJ\SH[LK L_JS\KPUN L_JLW[PVUHS P[LT +\L [V I\` IHJR VM LX\P[` ZOHYLZ ,7: HUK *HZO ,7: MVY -@ PZ JHSJ\SH[LK VU ^LPNO[LK H]LYHNL U\TILY VM ZOHYLZ

YLX\PYLK ;OL I\ZPULZZLZ HUK PU[LYUHS H\KP[ THRL YLN\SHY WYLZLU[H[PVUZ [V [OL (9* MVY KL[HPSLK YL]PL^ ;OL YPZR THUHNLTLU[ WYVJLZZ PUJS\KPUN P[Z [YHJRPUN HUK HKOLYLUJL PZ Z\IZ[HU[PHSS` L LUHISLK MVY NYLH[LY JVUZPZ[LUJ` HUK IL[[LY YLWVY[PUN JHWHIPSP[PLZ

Internal Controls and their Adequacy *. ILSPL]LZ [OH[ H Z[YVUN PU[LYUHS JVU[YVSZ MYHTL^VYR PZ HU LZZLU[PHS WYL YLX\PZP[L VM NYV^PUN P[Z I\ZPULZZLZ ;V [OH[ LUK P[ OHZ HU LMMLJ[P]L HUK LMÄJPLU[ PU[LYUHS JVU[YVS Z`Z[LT [V JVUK\J[ [OL H\KP[ VM ]HYPV\Z KP]PZPVUZ ZHSLZ VMÄJLZ JVYWVYH[L OLHKX\HY[LYZ HUK V]LYZLHZ VWLYH[PVUZ ;OL PU[LYUHS H\KP[ [LHT MVJ\ZLZ WYPTHYPS` VU VWLYH[PVUHS HUK Z`Z[LTZ H\KP[Z [OH[ TVUP[VY JVTWSPHUJL ^P[O KLÄULK H\[OVYP[` KLSLNH[PVU TH[YP_ VM [OL *VTWHU` (UU\HS PU[LYUHS H\KP[ WSHU JV]LYZ RL` HYLHZ VM VWLYH[PVUZ ;OPZ PZ ]L[[LK I` )VHYK SL]LS (9* ^OPJO PZ \WKH[LK L]LY` X\HY[LY·HUK VJJHZPVUHSS` IL[^LLU Z\JJLZZP]L X\HY[LYZ·VM [OL ZPNUPÄJHU[ PU[LYUHS H\KP[ VIZLY]H[PVUZ JVTWSPHUJL ^P[O Z[H[\[LZ YPZR THUHNLTLU[ HUK JVU[YVS Z`Z[LTZ ;OL (9* HZZLZZLZ [OL HKLX\HJ` HUK LMMLJ[P]LULZZ VM PUW\[Z NP]LU

48

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

I` PU[LYUHS H\KP[VY HUK Z\NNLZ[Z PTWYV]LTLU[ MVY Z[YLUN[OLUPUN PU[LYUHS JVU[YVSZ MYVT [PTL [V [PTL *.»Z PU[LYUHS JVU[YVSZ OH]L ILLU KLZPNULK [V WYV]PKL H YLHZVUHISL HZZ\YHUJL ^P[O YLNHYK [V THPU[HPUPUN VM WYVWLY PU[LYUHS JVU[YVSZ TVUP[VYPUN VM VWLYH[PVUZ WYV[LJ[PUN HZZL[Z MYVT \UH\[OVYPZLK \ZL VY SVZZLZ JVTWSPHUJLZ ^P[O YLN\SH[PVUZ MVY LUZ\YPUN YLSPHIPSP[` VM ÄUHUJPHS YLWVY[PUN ;OL *VTWHU` \ZLZ :(7 HZ P[Z RL` KH[H HUK HUHS`[PJZ [VVS·^OPJO OHZ V]LY [OL `LHYZ JVUZPKLYHIS` LUOHUJLK [OL PU[LYUHS JVU[YVS TLJOHUPZT (Z YLJVTTLUKLK I` (9* PU[LYUHS H\KP[ OHZ KL]LSVWLK HUK L_[LUKLK HU PU[LYUHSS` JVKLK 9PZR *VU[YVS -YHTL^VYR 9*- ZVM[^HYL HJYVZZ [OL *VTWHU` ;OPZ OLSWZ PU \UKLYZ[HUKPUN [OL YPZR HUK JVU[YVS LU]PYVUTLU[ MYVT [OL WLYZWLJ[P]L VM LHJO \UP[·IL P[ H KP]PZPVU VY H THYRL[PUN ZHSLZ VMÄJL ;OL (9* WLYPVKPJHSS` YL]PL^Z [OL ÄUKPUNZ VM 9*- HUK Z\NNLZ[Z PTWYV]LTLU[Z ^OLYL ULLKLK (Z TLU[PVULK PU [OL WYL]PV\Z ZLJ[PVU *. HSZV OHZ H JVTWYLOLUZP]L YPZR THUHNLTLU[ WVSPJ` ^OPJO JVUK\J[Z YPZR HZZLZZTLU[ YLWVY[Z [V [OL )VHYK SL]LS (9* HUK

ZPT\S[HULV\ZS` Z\NNLZ[Z TP[PNH[PVU WYVJLK\YL [V [OL *VTWHU`»Z THUHNLTLU[

A Summary and The Outlook ;OL V]LYHSS LSLJ[YPJHS THYRL[ PU 0UKPH HZ ^LSS HZ HIYVHK YLTHPUZ K`UHTPJ ^P[O KPMMLYLU[ YH[LZ VM NYV^[O L_WLJ[LK PU HSS [OL NLVNYHWOPLZ [OH[ *. VWLYH[LZ PU ;OL *VTWHU` OHZ H OLHS[O` VYKLY IVVR LTLYNPUN MYVT [OL VYKLYZ P[Z W\YZ\LK PU UL^ THYRL[Z VM (ZPH (MYPJH 3H[PU (TLYPJH HUK [OL 4PKKSL ,HZ[ HUK [OL UL^ VMMLYPUNZ PU [OL ZTHY[ NYPK HYLH (Z [OL V]LYHSS PUK\Z[Y` PZ NVPUN [OYV\NO JVUZVSPKH[PVU ^L TPNO[ OV^L]LY L_WLJ[ PU[LUZPÄLK JVTWL[P[PVU (Z H *VTWHU` ^L HYL W\YZ\PUN PU[LNYH[PVU HUK JVUZVSPKH[PVU VM V\Y I\ZPULZZLZ -VJ\Z YLTHPUZ VU YLK\J[PVU VM V\Y V]LYHSS JVZ[ Z[Y\J[\YL YH[PVUHSPZH[PVU VM V\Y WYVK\J[ WVY[MVSPV HUK L_[LUZPVU VM Z`ULYNPLZ HJYVZZ NLVNYHWOPLZ *. ^PSS RLLW W\YZ\PUN L_WHUZPVU PU UL^ NLVNYHWOPLZ HUK KLWSV`PUN OPNOLY ]HS\L HKKLK WYVK\J[Z HUK ZLY]PJLZ PU [OL LSLJ[YPJHS ZWHJL 7V^LY WYVK\J[Z JVU[YPI\[L [V VM *.»Z [\YUV]LY 9H[PVUHSPZH[PVU VM [OL THU\MHJ[\YPUN MVV[WYPU[ MVY [OPZ ZLNTLU[ Z[HY[LK PU -@ ;OL *VTWHU` ^PSS JVU[PU\L [V YLKLWSV` HUK VW[PTPZL P[Z HZZL[Z K\YPUN -@ [V PTWYV]L HZZL[ \[PSPZH[PVU YH[PVZ ;OL *HUHKPHU VWLYH[PVUZ OH]L \UKLYNVUL YLZ[Y\J[\YPUN PU -@ [V IHSHUJL [OL KLTHUK HUK JHWHIPSP[` TP_ ^OPSL JHWHJP[` ^HZ HKKLK PU /\UNHY` [V JYLH[L H THU\MHJ[\YPUN O\I MVY ,4,( -HJPSP[PLZ PU 0UKPH HUK :V\[O (ZPH HYL ZPT\S[HULV\ZS` TV]PUN \W [OL ]HS\L JOHPU ^P[O VMMLYPUNZ \W [V R= R= HUK .0: ( IS\LWYPU[ VM [OL THU\MHJ[\YPUN ZL[ \W PU .\QHYH[ 0UKPH ^PSS [HRL ZOHWL PU [OL ULHY M\[\YL ;OL :`Z[LTZ HUK :VS\[PVUZ I\ZPULZZ PZ L_WHUKPUN P[Z [HPSVYLK ZVS\[PVU MVY VMMZOVYL ^PUK MHYTZ LSLJ[YPJHS JVUULJ[PVUZ ^P[O YLJLU[ ^PUZ PU ,\YVWL ;OL H\[VTH[PVU I\ZPULZZ UV^ OHZ P[Z ZTHY[ NYPK VMMLYPUNZ NVPUN IL`VUK (40 [V +(: [OH[ YHUNLZ MYVT 3= Z\WLY]PZPVU [V 4= H\[VTH[PVU ;OL I\ZPULZZ ^PSS ZLL [YHJ[PVU PU ,\YVWL HUK <: HZ [OL ZTHY[ NYPK THYRL[Z PU [OLZL NLVNYHWOPLZ LU[LY PU[V H JVTTLYJPHS WOHZL >P[O [OL UL^ L_[LUKLK YHUNL VM WYVK\J[Z HUK [OL KLWSV`TLU[ VM VMMLYPUN MVY [OL ^LZ[LYU THYRL[Z *. 0UK\Z[YPHS ^PSS JVU[PU\L [V MVJ\Z VU M\Y[OLY L_WHUKPUN P[Z WYVK\J[ VMMLYPUN YHUNL ;OL WYPVYP[` ^PSS IL NLVNYHWOPJHS L_WHUZPVU PU ,\YVWL 4PKKSL ,HZ[ HUK [OL :,(7 ;OL 0UKPH THU\MHJ[\YPUN O\I ZOV\SK PTWSLTLU[ SLHU

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M A N A G E M E N T D I S C U S S I O N & A N A LY S I S

49

6WDQGDORQH

E ARN ING S

Consolidated

TEN YEARSโ HIGHLIGHTS

Year Ended 31 March, in Rs. crore

TOTAL INCOME

2180 2200

2771 4412

3695 6039

4290 7247

4940 9090

5585 9469

6356 10430

6901 11668

7624 12609

8026 14078

GROSS SALES AND SERVICE

2153 2172

2739 4346

3660 5934

4223 7181

4904 9031

5516 9376

6277 10331

6850 11615

7571 12533

7913 13907

NET SALES AND SERVICE

1973 1989

2521 4127

3368 5640

3876 6832

4611 8737

5284 9141

5951 10005

6485 11249

7135 12094

7490 13481

EBIDTA*

190 194

265 390

377 588

553 811

674 1054

927 1371

1012 1443

771 856

648 459

780 854

PBT

125 128

195 277

307 436

486 615

614 867

870 1189

927 1229

677 550

596 185

713 495

PAT **@

115 120

163 233

192 282

314 407

397 560

617 860

694 889

505 374

446 (36)

521 244

37 37

37 37

47 47

59 59

73 73

81 81

141 141

90 90

77# 77#

75 75

DIVIDEND PAY-OUT

W H AT T H E C O M PAN Y OWN E D

Year Ended 31 March, in Rs. crore

GROSS BLOCK (INCL. CAPITAL WIP)

819 825

861 1733

959 2335

1078 2733

1124 3083

1204 3099

1651 3890

1424 4558

1560 5539

1662 6429

NET BLOCK (INCL. CAPITAL WIP)

351 354

364 541

433 1087

515 1245

523 1379

567 1376

923 1941

675 2258

775 3066

823 3459

77 83

102 65

135 65

195 93

266 167

688 553

782 675

1053 786

1055 791

826 299

NET CURRENT ASSETS

295 297

331 571

414 708

361 759

570 969

620 1085

1139 1603

1552 1887

1825 1795

1829 1508

NET ASSETS EMPLOYED

723 734

797 1177

982 1860

1071 2097

1359 2515

1875 3014

2458 3875

2802 4463

3173 5176

3500 5295

INVESTMENTS

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50

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

Year Ended 31 March, in Rs. crore

BORROWINGS

315 315

250 422

270 904

88 842

54 718

27 501

13 470

TOTAL LIABILITIES

912 915

1052 1970

1317 3139

1383 3484

1570 3919

1627 3518

1712 3874

N E T WO RT H O F T H E C O M PAN Y

SHARE CAPITAL

W H AT T H E C O M PAN Y OWE D

8 1044

14 2029

31 2396

1826 5003

2163 6435

2157 7172

Year Ended 31 March, in Rs. crore

52 52

52 52

73 73

73 73

73 73

128 128

128 128

128 128

128 128

125 125

RESERVES AND SURPLUS

356 367

484 733

601 896

858 1229

1169 1758

1637 2376

2176 3146

2573 3483

2929 3433

3231 3519

SHAREHOLDERS’ FUNDS

408 419

536 785

674 969

931 1302

1242 1831

1765 2504

2304 3275

2701 3611

3057 3561

3356 3644

TANGIBLE NET WORTH ***

408 419

536 742

674 927

931 1243

1242 1783

1765 2504

2304 3275

2701 3560

3057 3393

3356 3491

R AT I O S

Year Ended 31 March

BOOK VALUE PER SHARE IN RS.

6.4 6.5

8.4 11.6

10.5 14.5

14.5 19.4

19.4 27.8

27.5 39.0

35.9 51.0

42.1 55.5

47.7 52.9

EARNINGS PER SHARE @ IN RS.

1.79 1.87

2.54 3.63

3.00 4.39

4.89 6.34

6.19 8.73

9.62 13.40

10.82 13.85

7.87 5.82

6.95 (0.56) 8.23^^ 3.86^^

CASH EARNINGS PER SHARE @ IN RS.

2.45 2.53

3.40 5.03

4.03 6.48

5.76 8.36

7.08 11.22

10.74 16.62

11.91 17.13

8.96 9.34

8.17 1.30

10.01^^ 8.67^^

CURRENT RATIO

1.49 1.5

1.41 1.37

1.39 1.32

1.28 1.29

1.38 1.3

1.39 1.36

1.70 1.48

1.88 1.46

1.87 1.39

1.88 1.28

DEBT EQUITY RATIO

0.77 0.75

0.47 0.57

0.4 0.98

0.09 0.68

0.04 0.4

0.02 0.2

0.00 0.09

0.00 0.17

0.00 0.44

0.00 0.45

EBIDTA / NET SALES IN %

9.6 9.8

10.5 9.4

11.2 10.4

14.3 11.9

14.6 12.1

17.5 15.0

17.0 14.4

11.9 7.6

9.1 3.8

10.4 6.3

28.2 28.6

30.4 31.4

28.5 30.4

33.7 32.7

32.0 31.4

35.0 34.3

30.1 27.1

18.7 10.5

14.6 (1.1)

15.5 7.0

FIXED ASSETS TURNOVER RATIO IN TIMES

5.6 5.6

6.9 7.6

7.8 5.2

7.5 5.5

8.8 6.3

9.3 6.6

6.5 5.2

9.6 5.0

9.2 3.9

9.1 3.9

NO OF PERMANENT EMPLOYEES

5256 8174

4916 7801

4912 7972

5002 8307

5094 8564

5116 8647

5214 8702

5365 8966

5575 9575

5529 9433

RETURN ON TANGIBLE NET WORTH IN %

53.0^^ 55.1^^

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TEN YEARS' HIGHLIGHTS

51

DIRECTORS’ REPORT 1

To The Members, Your Directors are pleased to present their Seventy Seventh Annual Report on the business and operations of the Company (or “CG”) and the accounts for the financial year ended 31 March 2014. The Year In Retrospect

Amalgamation

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52

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

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TABLE 01

Sales and Profit Before Interest and Tax (PB IT) In Rs. crore S AL E S

P BIT

POWER SYSTEMS (CG STAND-ALONE)

2,824

2,725

259

231

2013-2014

2012-2013

2013-2014

2012-2013

INDUSTRIAL SYSTEMS (CG STAND-ALONE)

1,489

1,499

153

213

2013-2014

2012-2013

2013-2014

2012-2013

CONSUMER PRODUCTS

2,847

2,593

337

278

2013-2014

2012-2013

2013-2014

2012-2013

POWER SYSTEMS (INCLUDING INTERNATIONAL OPERATIONS)

8,478

7,336

234

(110)

2013-2014

2012-2013

2013-2014

2012-2013

INDUSTRIAL SYSTEMS (INCLUDING INTERNATIONAL OPERATIONS)

1,816

1,835

128

214

2013-2014

2012-2013

2013-2014

2012-2013

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DIRECTORS' REPORT

53

CG was awarded the National Intellectual Property Award, 2014 in the category of ‘Top Organisation in Designs’

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Promoter Group ;OL *VTWHU` PZ H WHY[ VM [OL <:+ )PSSPVU (]HU[OH .YV\W VUL VM 0UKPH»Z SLHKPUN I\ZPULZZ JVUNSVTLYH[LZ SLK I` *OHPYTHU 4Y .H\[HT ;OHWHY >P[O H NSVIHS MVV[WYPU[ [OL (]HU[OH .YV\W VWLYH[LZ PU JV\U[YPLZ ^P[O TVYL [OHU LTWSV`LLZ ^VYSK^PKL (Z YLX\PYLK I` [OL 3PZ[PUN (NYLLTLU[ ^P[O :[VJR ,_JOHUNLZ *. WLYPVKPJHSS` KPZJSVZLZ P[Z WYVTV[LY NYV\W HUK WLYZVUZ HJ[PUN PU JVUJLY[ PU [OL ZOHYLOVSKPUN WH[[LYU HUK V[OLY ÄSPUNZ ^P[O [OL :[VJR ,_JOHUNLZ

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54

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

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During FY2014 water consumption by CG divisions has reduced by 13%, whilst the power consumption increased at a rate lesser than the operational growth of the Company

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DIRECTORS' REPORT

55

TABLE 02

Financial Highlights Rs. crore for the Year Ended 31 March 2014 and 31 March 2013

C G S T AND- AL O NE P A R T ICULA RS

2014

2013

C GIBV C O NS O L IDAT E D* @ 2014

2013

C G C O NS OL I D A TE D * * 2014

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56

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

Branch Office in Poland ;OL *VTWHU` OHZ LZ[HISPZOLK H IYHUJO VMÄJL PU 7VSHUK ;OL Z[HUK HSVUL ÄUHUJPHS Z[H[LTLU[Z VM [OL *VTWHU` PUJS\KLZ [OL ÄUHUJPHS Z[H[LTLU[Z VM P[Z 7VSHUK IYHUJO P L *YVTW[VU .YLH]LZ 3[K :(

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TABLE 03

Financial Highlights Euro million for the Year Ended 31 March 2014 and 31 March 2013

C G S T AND- AL O NE P A R T ICULA RS

2014

2013

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A

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Directors’ Responsibility Statement ;OL +PYLJ[VYZ ^V\SK SPRL [V HZZ\YL [OL 4LTILYZ [OH[ [OL ÄUHUJPHS Z[H[LTLU[Z MVY [OL `LHY \UKLY YL]PL^ JVUMVYT PU [OLPY LU[PYL[` [V [OL YLX\PYLTLU[Z VM [OL *VTWHUPLZ (J[ ;OL +PYLJ[VYZ JVUÄYT [OH[ ! R [OL (UU\HS (JJV\U[Z OH]L ILLU WYLWHYLK

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DIRECTORS' REPORT

57

TABLE 04

Financial Highlights US$ million for the Year Ended 31 March 2014 and 31 March 2013

C G S T AND- AL O NE P A R T ICULA RS A

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58

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

;YHUZMLY (NLU[ ;OL JVU[HJ[ KL[HPSZ VM +-:3 HYL TLU[PVULK PU [OL 9LWVY[ VU *VYWVYH[L .V]LYUHUJL 0U]LZ[VYZ HYL YLX\LZ[LK [V HKKYLZZ [OLPY X\LYPLZ PM HU` [V +-:3" OV^L]LY PU JHZL VM KPMÄJ\S[PLZ HZ HS^H`Z [OL` HYL ^LSJVTL [V JVU[HJ[ [OL *VTWHU`»Z 0U]LZ[VY :LY]PJLZ +LWHY[TLU[ [OL JVU[HJ[ WHY[PJ\SHYZ VM ^OPJO HYL JVU[HPULK PU [OL 9LWVY[ VU *VYWVYH[L .V]LYUHUJL

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Green Initiatives

Acknowledgements

,SLJ[YVUPJ JVWPLZ VM [OL (UU\HS 9LWVY[ HUK 5V[PJL VM [OL [O (UU\HS .LULYHS 4LL[PUN HYL ZLU[ [V HSS TLTILYZ ^OVZL LTHPS HKKYLZZLZ HYL YLNPZ[LYLK ^P[O [OL *VTWHU` +LWVZP[VY` 7HY[PJPWHU[ Z MVY JVTT\UPJH[PVU W\YWVZLZ -VY TLTILYZ ^OV OH]L UV[ YLNPZ[LYLK [OLPY LTHPS HKKYLZZLZ WO`ZPJHS JVWPLZ VM [OL 5V[PJL HUK (UU\HS 9LWVY[ HYL ZLU[ PU [OL WLYTP[[LK TVKL 4LTILYZ YLX\PYPUN WO`ZPJHS JVWPLZ JHU ZLUK H YLX\LZ[ [V [OL *VTWHU`

;OL +PYLJ[VYZ ^PZO [V JVU]L` [OLPY NYH[P[\KL HUK HWWYLJPH[PVU [V HSS VM [OL *VTWHU`»Z LTWSV`LLZ H[ HSS P[Z SVJH[PVUZ ^VYSK^PKL MVY [OLPY [YLTLUKV\Z WLYZVUHS LMMVY[Z HZ ^LSS HZ [OLPY JVSSLJ[P]L KLKPJH[PVU HUK JVU[YPI\[PVU [V [OL *VTWHU`»Z WLYMVYTHUJL ;OL +PYLJ[VYZ ^V\SK HSZV SPRL [V [OHUR [OL LTWSV`LL \UPVUZ ZOHYLOVSKLYZ J\Z[VTLYZ KLHSLYZ Z\WWSPLYZ IHURLYZ NV]LYUTLU[ HUK HSS V[OLY I\ZPULZZ HZZVJPH[LZ MVY [OLPY JVU[PU\LK Z\WWVY[ L_[LUKLK [V [OL *VTWHU` HUK [OL 4HUHNLTLU[

Complaints Relating to Sexual Harassment 0U [LYTZ VM ;OL :L_\HS /HYHZZTLU[ VM >VTLU H[ >VYRWSHJL 7YL]LU[PVU 7YVOPIP[PVU HUK 9LKYLZZHS (J[ HUK 9\SLZ P[ PZ THUKH[VY` [V YL]PL^ Z[H[\Z VM ZL_\HS OHYHZZTLU[ YLSH[LK JVTWSHPU[Z PU [OL (UU\HS 9LWVY[ ;OLYL ^LYL UV PUJPKLU[Z VM ZL_\HS OHYHZZTLU[ YLWVY[LK PU [OL *VTWHU` -VY WYV[LJ[PVU HNHPUZ[ ZL_\HS OHYHZZTLU[ *. OHZ MVYTLK HU PU[LYUHS JVTWSHPU[Z JVTTP[[LL [V ^OPJO LTWSV`LLZ JHU ^YP[L PU [OLPY JVTWSHPU[Z ;OL *VTWHU` OHZ H 7YL]LU[PVU VM :L_\HS /HYHZZTLU[ 7VSPJ` ^OPJO OHZ MVYTHSPZLK H MYLL HUK MHPY LUX\PY` WYVJLZZ MVY KLHSPUN ^P[O Z\JO PZZ\LZ ^P[O JSLHY [PTLSPULZ

6U ILOHSM VM [OL )VHYK VM +PYLJ[VYZ . ;OHWHY */(094(5 4\TIHP 4H`

)\PSKPUN OPNO WLYMVYTHUJL WV^LY [YHUZMVYTLYZ \ZLK [V TP[PNH[L LULYN` SVZZLZ HUK YLK\JL UVPZL SL]LSZ

DIRECTORS' REPORT

59

ANNEXURE TO DIRECTORS’ REPORT Information Under Section 217(1)(e) of the Companies Act, 1956

A. Conservation Of Energy

R 9LJVUKP[PVUPUN VM JHSJPUH[PVU M\YUHJL [V

(a) Energy conservation measures taken

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(c) Impact of the measures at (a) and (b) for reduction of energy consumption and consequent impact on the cost of production ;OYV\NO LMÄJPLU[ LULYN` ZH]PUN Z`Z[LTZ HUK WYVJLZZ VW[PTPZH[PVU [OLYL ^PSS IL YLK\J[PVU PU LULYN` JVUZ\TW[PVU /V^L]LY [OPZ ZH]PUN OHZ H ULNSPNPISL PTWHJ[ VU [OL JVZ[ VM NVVKZ HZ *.»Z THU\MHJ[\YPUN WYVJLZZLZ HYL UV[ LULYN` PU[LUZP]L

B. Technology Absorption Research and Development

(b) Additional investments and proposals, if any, being implemented for reduction in consumption of energy ;OL MVSSV^PUN WYVJLZZLZ HYL \UKLY PTWSLTLU[H[PVU MVY M\Y[OLY YLK\JPUN LULYN` JVUZ\TW[PVU ! R <WNYHKH[PVU VM W\TWPUN Z`Z[LT [V \ZL OPNOLY LMÄJPLUJ` LULYN` ZH]PUN ]HJ\\T W\TW R 9LWSHJLTLU[ VM > /74= 3HTW ^P[O > 4/ 3HTW [V LUHISL WV^LY ZH]PUNZ ^P[O ZHTL SPNO[ V\[W\[

60

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

1. SPECIFIC AREAS OF SIGNIFICANCE IN WHICH R&D IS CARRIED OUT BY THE COMPANY *.»Z 9 + LMMVY[Z JVU[PU\L [V MVJ\Z VU LUOHUJPUN LULYN` LMÄJPLUJ` VM P[Z WYVK\J[Z KL]LSVWPUN [LJOUVSVNPLZ [OH[ VMMLY ZTHY[ PU[LSSPNLU[ WYVK\J[Z LUOHUJPUN YHUNL VM WYVK\J[Z [V TLL[ UL^LY THYRL[ HUK YLN\SH[VY` KYP]LYZ HUK SHZ[S` [V KL]LSVW WYVK\J[Z HUK [LJOUVSVNPLZ IHZLK VU YLUL^HISL LULYNPLZ

;OL A\PKSVI :\IZ[H[PVU PU[LYJVUULJ[Z [OL 4=( VUZOVYL ^PUK MHYT [V [OL +\[JO ;LUUL; UL[^VYR

2. BENEFITS DERIVED AS A RESULT OF THE ABOVE R&D

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CG has developed a state of the art 1600kV UHV test lab at it’s Nashik premises

DIRECTORS' REPORT

61

4HYRL[ SLHKLY PU -HUZ LUQV`PUN H THYRL[ ZOHYL VM

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C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

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HUK LU]PYVUTLU[Z YLZ\S[PUN PU PUJYLHZLK Z[HUKHYKPZH[PVU HUK H\[VTH[LK KLZPNUPUN R *VSK WSH[L [LJOUVSVN` MVY JVVSPUN VM WV^LY TVK\SLZ R *H[OVKPJ LSLJ[YVKLWVZP[PVU [LJOUVSVN` MVY L_[LYUHS ÄUPZO R 9V[VY IHSHUJPUN H[ YH[LK ZWLLK [V HJOPL]L ]PIYH[PVU SL]LSZ [V 0,* Z[HUKHYKZ

R 0, 0, Z[H[VY JHZ[PUN HUK ZOHM[ THJOPUPUN

WYVJLZZ PTWYV]LTLU[Z [V HJOPL]L Z[YPUNLU[ UVYTZ R 5L^ WHPU[ Z`Z[LT * 4 KL]LSVWLK MVY JVHZ[HS HWWSPJH[PVU YLX\PYLTLU[Z R 7HPU[PUN WYVJLZZ PTWYV]LTLU[ ^P[O [OVYV\NO Z\YMHJL WYLWHYH[PVU MVSSV^LK I` WYPTLY HWWSPJH[PVU ^P[O ^L[ PU ^L[ [VW JVH[ HWWSPJH[PVU R ,U]PYVUTLU[ MYPLUKS` MVHT YLJ`JSHISL WHJRPUN R )VUKHISL ^PYL PTWSLTLU[H[PVU MVY 4 MYHTL TV[VYZ

;LJOUVSVN` *VTWL[LUJ` (JOPL]LK 0TWYV]LK RUV^ OV^ VM JVTWSL_ L_[LYUHS JVVSPUN Z`Z[LTZ VM WV^LY [YHUZMVYTLYZ HUK JVU[YVSSPUN SVZZLZ PU Z\YYV\UKPUN TL[HS Z[Y\J[\YL R ;LZ[ ZL[ \W KLZPNU HUK PUZ[HSSH[PVU MVY /7 *VU]LY[LY R /HYTVUPJ JVU[YVS PU WV^LY Z\WWSPLZ \ZLK MVY 9HPS^H` :PNUHSPUN R 0, 0, TV[VYZ ZSV[ NLVTL[Y` KLZPNUZ R 3V^ UVPZL MHU HUK MHU JV]LY KLZPNUZ R 5V]LS J\YYLU[ SPTP[H[PVU HSNVYP[OT MVY TH_PTPaPUN [OL 0.); \[PSPaH[PVU PU 3= (* KYP]LZ R 7LYTHULU[ THNUL[ Z`UJOYVUV\Z TV[VY Z\WWVY[ PU =-? R 7YVNYLZZP]L JH]P[` W\TW JVU[YVS MLH[\YL 6PS .HZ MVY =-? R )3+* TV[VY [LJOUVSVN` MVY SV^ ZWLLK HWWSPJH[PVU R *. UL^ PUZ\SH[PVU Z`Z[LT MVY TV[VYZ

4. EXPENDITURE ON R&D ;OL *VTWHU`»Z L_WLUKP[\YL VU 9 + PZ NP]LU PU ;HISL

TABLE 05

Expenditure On R&D Rs. crore for the Year Ended 31 March 2014

;LJOUVSVN` (IZVYW[PVU (KHW[H[PVU HUK 0UUV]H[PVU ,--69;: (5+ ),5,-0;: ,MMVY[Z I` [OL *VTWHU`»Z PU OV\ZL 9LZLHYJO HUK +L]LSVWTLU[ [LHT HUK UL[^VYRPUN ^P[O [OL ]HYPV\Z JVSSHIVYH[VYZ OH]L YLZ\S[LK PU PTWYV]LK KLZPNU KL]LSVWTLU[ HUK WYVK\J[PVU VM [OL *VTWHU`»Z PUKPNLUV\Z WYVK\J[Z HUK WYVJLZZLZ HUK YLSH[LK JVZ[ LMMLJ[P]LULZZ ;OPZ OHZ SLK [V PUJYLHZLK JVTWL[P[P]LULZZ HUK HJJLW[HIPSP[` PU THYRL[Z IV[O PU 0UKPH HUK HIYVHK 04769;,+ ;,*/5636.@ 5PS

C. Foreign Exchange Earnings and Outgo (a) Activities relating to exports; initiatives taken to increase exports; development of new export markets for products and services; and export plans

STAND-ALONE

*HWP[HS

9L]LU\L

;V[HS ( )

;V[HS 9 + L_WLUKP[\YL ! HZ H WLYJLU[HNL VM UL[ [\YUV]LY HZ H WLYJLU[HNL VM WYVÄ[ ILMVYL [H_

TABLE 06

Foreign Exchange Earned and Used Rs. crore TOTAL

;V[HS -VYLPNU ,_JOHUNL ,HYULK ;V[HS -VYLPNU ,_JOHUNL <ZLK

;OL *VTWHU`»Z HJ[P]P[PLZ HUK PUP[PH[P]LZ YLSH[PUN [V L_WVY[Z HYL JVU[HPULK PU [OL 4HUHNLTLU[ +PZJ\ZZPVU HUK (UHS`ZPZ 9LWVY[

(b) Total foreign exchange earned and used ;OL [V[HS MVYLPNU L_JOHUNL LHYULK HUK \ZLK I` [OL *VTWHU` PZ NP]LU PU ;HISL

0U[LSSLJ[\HS 7YVWLY[` +\YPUN -@ [^V WH[LU[Z OH]L ILLU NYHU[LK *. UV^ OHZ HJ[P]L WH[LU[Z PU P[Z WVY[MVSPV +\YPUN -@ *. OHZ HKKP[PVUHSS` ÄSLK WH[LU[ HWWSPJH[PVUZ ^OPJO HYL WLUKPUN ^P[O [OL 7H[LU[ 9LNPZ[YHY +\YPUN -@ KLZPNUZ OH]L ILLU YLNPZ[LYLK *. UV^ OHZ KLZPNUZ YLNPZ[LYLK PU P[Z WVY[MVSPV +\YPUN -@ *. OHZ ÄSLK KLZPNU HWWSPJH[PVUZ

6U ILOHSM VM [OL )VHYK VM +PYLJ[VYZ . ;OHWHY */(094(5 4\TIHP 4H`

3. THE COMPANY’S FUTURE PLAN OF ACTION IN RESPECT OF R&D ;OL *VTWHU`»Z M\[\YL 9 + LMMVY[Z ^PSS JVTWYPZL JVUZVSPKH[PUN P[Z LMMVY[Z [V^HYKZ KL]LSVWTLU[ VM PUUV]H[P]L WYVK\J[Z H[ SV^LY JVZ[ ^P[O OPNOLY LULYN` HUK V]LYHSS LMÄJPLUJPLZ 9 + ^PSS JVU[PU\L [V MVJ\Z VU KL]LSVWTLU[Z PU LULYN` LMÄJPLUJ` ZTHY[ HUK PU[LSSPNLU[ WYVK\J[Z YLUL^HISL LULYN` HUK WYVK\J[ YHUNL L_[LUZPVUZ

DIRECTORS' REPORT

63

CORPORATE GOVERNANCE

The Company’s (CG’s) Philosophy on Corporate Governance As a fiduciary of CG stakeholders’ interests, by establishing appropriate corporate governance mechanism for the Company, the Board alongwith its Committees, endeavours to strike the right balance of interest amongst various stakeholders of the Company. MMLYPUN Z\WLYPVY HUK LULYN` LMÄJPLU[ WYVK\J[Z ZVS\[PVUZ HUK ZLY]PJLZ [OH[ OLSW J\Z[VTLYZ YLK\JL LULYN` JVZ[Z HUK WYLZLY]L [OL LU]PYVUTLU[ PZ H YLÅLJ[PVU VM *.»Z JVU[PU\LK JVTTP[TLU[ [V^HYKZ JYLH[PUN IV[O ZVJPHS HUK LJVUVTPJ ]HS\L 6]LY [OL SHZ[ [^V `LHYZ *. OHZ [YHUZMVYTLK P[Z J\Z[VTLY KLSP]LY` TVKLS [V IL JSVZLY [V J\Z[VTLY ULLKZ ZLY]PUN P[Z WYVK\J[Z HUK ZVS\[PVUZ [OYV\NO P[Z 9LNPVUHS JOHUULSZ ^P[O H [\YURL` ZVS\[PVU VYPLU[LK TPUK ZL[ *. OHZ YLJLU[S` PU[YVK\JLK H RL` HJJV\U[ THUHNLTLU[ HWWYVHJO ^OPJO ^PSS M\Y[OLY Z[YLUN[OLU *.»Z PU[LYHJ[PVUZ HUK YLSH[PVUZOPWZ ^P[O P[Z J\Z[VTLYZ 9LUL^HISL LULYN` IHZLK YLSPHISL ZHML HUK LULYN` LMÄJPLU[ WYVK\J[Z HYL [OL LWPJLU[LY VM *.»Z 9 + LMMVY[Z 7YVK\J[ [LHTZ HJYVZZ [OL ^VYSK HYL [HRPUN [OL JOHSSLUNL [V KLSP]LY [OLZL [LJOUVSVNPLZ PU H JVZ[ LMMLJ[P]L THUULY [V *.»Z J\Z[VTLY JVTT\UP[` HUK [OL ZVJPL[` H[ SHYNL ;OL *VTWHU` MVSSV^Z H IHSHUJLK ZJVYLJHYK HWWYVHJO ^OLYL I\ZPULZZ LUHISLYZ Z\JO HZ ,/: Z`Z[LTZ HYL HZ YLSL]HU[ HZ ^LHS[O JYLH[PVU WYVJLZZLZ *.»Z ,/: THUHNLTLU[ Z`Z[LTZ HYL TH[\YPUN ,/: [HYNL[Z HZZPNULK [V LHJO KP]PZPVU [V YLK\JL YLZV\YJL JVUZ\TW[PVU HYL YLN\SHYS` TVUP[VYLK [OYV\NO HU ,/: ZJVYLJHYK ^OPJO PZ YL]PL^LK H[ TVU[OS` I\ZPULZZ YL]PL^ TLL[PUNZ 6]LYHSS [OL *VTWHU` \UKLYZ[HUKZ [OL YPNO[Z HUK ULLKZ VM P[Z Z[HRLOVSKLYZ HUK WYV]PKLZ YLN\SHY HUK KL[HPSLK PUMVYTH[PVU JVUJLYUPUN [OL

O

64

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

*VTWHU`»Z I\ZPULZZ HUK ÄUHUJPHS WLYMVYTHUJL [V P[Z Z[HRLOVSKLYZ ;OL *VTWHU` PU[LYHJ[Z ^P[O P[Z Z[HRLOVSKLYZ VU H YLN\SHY IHZPZ IL P[ [OYV\NO HUHS`Z[ JHSSZ HUK TLL[Z MVY PU]LZ[VYZ J\Z[VTLY ]PZP[Z JVUMLYLUJLZ L_OPIP[PVUZ VY YLN\SHY LTWSV`LL PU[LYHJ[PVUZ H[ <UP[Z ;OYV\NO [OPZ P[ PKLU[PÄLZ [OL ULLKZ HUK JVUJLYUZ VM P[Z Z[HRLOVSKLYZ 0UMVYTH[PVU KPZZLTPUH[PVU [V [OL *VTWHU`»Z Z[HRLOVSKLYZ NVLZ IL`VUK [OL Z[YPJ[ YLX\PYLTLU[Z VM [OL SH^ HUK Z[YPRLZ H IHSHUJL IL[^LLU [OL PUMVYTH[PVU ULLK VM Z[HRLOVSKLYZ HUK I\ZPULZZ JVUÄKLU[PHSP[` L_WLJ[H[PVUZ ;OL .SVIHS (\[OVYP[` 9LZWVUZPIPSP[` 4H[YP_ *. .SVIHS 9\SLZ VM 7YVJLK\YL MVY 4HUHNLTLU[ LU[YLUJOLK PU[V VWLYH[PVUZ VM [OL *VTWHU` ^VYSK^PKL JVU[PU\LZ [V HJ[ HZ H JVU[YVS MVY H JSLHY SPUL VM YLZWVUZPIPSP[` HUK KLJPZPVU THRPUN ^P[OPU [OL *VTWHU` ;OL YVI\Z[ PTWSLTLU[H[PVU VM [OL ZHTL OHZ LUHISLK *. THPU[HPU ÅL_PIPSP[` VM VWLYH[PVUZ ^OPSZ[ WYVTV[PUN THUHNLTLU[ [YHUZWHYLUJ` *.»Z *VKL VM )\ZPULZZ 7YHJ[PJLZ JVU[PU\LZ [V IL [OL ILUJOTHYR MVY I\ZPULZZ Z[HUKHYKZ [OH[ NV]LYU HSS LTWSV`LLZ VM *. IV[O PU[LYUHSS` HUK L_[LYUHSS` HJYVZZ [OL ^VYSK" WYV]PKPUN WYPUJPWSLZ PU ]HYPV\Z I\ZPULZZ ZP[\H[PVUZ [V N\PKL KLJPZPVU THRPUN HUK HJ[PVUZ ^P[O PU[LNYP[` HUK KPZJPWSPUL

The Board reviews compliance processes every quarter, internal control systems and material occurrences in areas of EHS

7YLJPZPVU TH[[LYZ H[ [OL Z[H[L VM [OL HY[ :^P[JONLHY MHJPSP[` H[ 5HZOPR 0UKPH

C O R P O R AT E G O V E R N A N C E

65

TABLE 01

Composition of the Board As on 29 May 2014 NAME

PARTICULARS

OTHER BOARD REPRESENTATIONS

DIRE C T O RS HIP S ( a )

4Y .H\[HT ;OHWHY

5VU ,_LJ\[P]L" *OHPYTHU" 7YVTV[LY

4Y :\KOPY ;YLOHU

C O MMIT T E E ME MBE RS HIP S (b )

C O M M I TTE E C HAIRMAN S H I PS ( b)

5VU ,_LJ\[P]L" =PJL *OHPYTHU

4Y 3H\YLU[ +LTVY[PLY

,_LJ\[P]L" *,6 HUK 4HUHNPUN +PYLJ[VY

4Y :OPYPZO (W[L

5VU ,_LJ\[P]L" 0UKLWLUKLU[

+Y 6TRHY .VZ^HTP

5VU ,_LJ\[P]L

4Y ) /HYPOHYHU

5VU ,_LJ\[P]L

4Y :HUQH` 3HIYVV

5VU ,_LJ\[P]L" 0UKLWLUKLU[

+Y 4YZ *VSL[[L 3L^PULY

5VU ,_LJ\[P]L" 0UKLWLUKLU[

4Y :\YLZO 7YHIO\

5VU ,_LJ\[P]L" 0UKLWLUKLU[

4Z 4LOLY 7\K\TQLL

5VU ,_LJ\[P]L" 0UKLWLUKLU[

+Y =HSLU[PU ]VU 4HZZV^

5VU ,_LJ\[P]L" 0UKLWLUKLU[

5V[LZ ! H 0UJS\KLZ VUS` 0UKPHU JVTWHUPLZ I\[ L_JS\KLZ HS[LYUH[L KPYLJ[VYZOPWZ I 6M VUS` (\KP[ *VTTP[[LLZ HUK :OHYLOVSKLYZ .YPL]HUJLZ *VTTP[[LLZ VM W\ISPJ SPTP[LK JVTWHUPLZ

CG follows balance scorecard approach. EHS systems are as important as wealth creation.

Board of Directors Composition (Z VU [OL KH[L VM [OPZ 9LWVY[ [OL *VTWHU` OHZ HU LSL]LU TLTILY )VHYK VM +PYLJ[VYZ ;OL *OHPYTHU 4Y .H\[HT ;OHWHY PZ H 5VU ,_LJ\[P]L +PYLJ[VY HUK YLWYLZLU[Z [OL 7YVTV[LY .YV\W ;OL =PJL *OHPYTHU 4Y :4 ;YLOHU PZ H 5VU ,_LJ\[P]L +PYLJ[VY 4Y 3H\YLU[ +LTVY[PLY PZ [OL *,6 HUK 4HUHNPUN +PYLJ[VY :P_ V[OLY 5VU ,_LJ\[P]L +PYLJ[VYZ¶ 4Y :OPYPZO (W[L 4Y :HUQH` 3HIYVV +Y 4YZ *VSL[[L 3L^PULY 4Y :\YLZO 7YHIO\ 4Z 4LOLY 7\K\TQLL HUK +Y =HSLU[PU ]VU 4HZZV^ HYL PUKLWLUKLU[ PU [LYTZ VM *SH\ZL VM [OL 3PZ[PUN (NYLLTLU[ HUK *VTWHUPLZ (J[ ;^V V[OLY +PYLJ[VYZ¶ 4Y ) /HYPOHYHU HUK +Y 6TRHY .VZ^HTP HYL 5VU ,_LJ\[P]L +PYLJ[VYZ ;O\Z HZ H[ 4H` [OL )VHYK VM *YVTW[VU .YLH]LZ JVTWYPZLZ VM VUL ,_LJ\[P]L +PYLJ[VY HUK [LU 5VU ,_LJ\[P]L +PYLJ[VYZ VM ^OVT ZP_ HYL 0UKLWLUKLU[ +PYLJ[VYZ ;HISL NP]LZ [OL JVTWVZP[PVU VM [OL )VHYK HUK [OL U\TILY VM V\[ZPKL +PYLJ[VYZOPWZ OLSK I` LHJO 5VUL VM [OL +PYLJ[VYZ HYL YLSH[LK [V LHJO V[OLY

4HYJO ;OL *VTWHU`»Z SHZ[ (UU\HS .LULYHS 4LL[PUN ^HZ OLSK VU (\N\Z[ ;HISL NP]LZ [OL H[[LUKHUJL YLJVYK VM [OL +PYLJ[VYZ 4LL[PUNZ VM [OL )VHYK HYL WYL ZJOLK\SLK )VHYK TLL[PUNZ HYL JVU]LULK I` NP]PUN HWWYVWYPH[L UV[PJL [V [OL KPYLJ[VYZ ;OV\NO [OL TLL[PUNZ HYL \Z\HSS` OLSK H[ [OL *VTWHU`»Z 9LNPZ[LYLK 6MÄJL )VHYK TLL[PUNZ HYL YLN\SHYS` OLSK H[ H WSHU[ SVJH[PVU ^OPJO NP]LZ HU VWWVY[\UP[` [V [OL )VHYK [V PU[LYHJ[ ^P[O *.»Z ^VYRMVYJL HUK V[OLY Z[HRLOVSKLYZ ;OL )VHYK JYP[PJHSS` L]HS\H[LZ [OL *VTWHU`»Z Z[YH[LNPJ KPYLJ[PVU YPZRZ HUK VWWVY[\UP[PLZ RL` WYVQLJ[Z PU 4 ( HUK NYLLUÄLSK IYV^UÄLSK ]LU[\YLZ PU]LZ[TLU[Z ÄUHUJPHS WLYMVYTHUJL THUHNLTLU[ WVSPJPLZ HUK [OLPY LMMLJ[P]LULZZ ;OL )VHYK OHZ KLKPJH[LK TLL[PUNZ MVY YL]PL^ VM HUU\HS Z[YH[LNPJ HUK VWLYH[PUN WSHUZ JHWP[HS HSSVJH[PVU HUK HUU\HS I\KNL[Z VM I\ZPULZZLZ (KKP[PVUHSS` [OL )VHYK YL]PL^Z [OL JVTWSPHUJL WYVJLZZLZ L]LY` X\HY[LY PU[LYUHS JVU[YVS Z`Z[LTZ HUK TH[LYPHS VJJ\YYLUJLZ PU [OL HYLHZ VM ,/: ÄUHUJPHS SPHIPSP[PLZ YLN\SH[VY` JSHPTZ HUK KL]LSVWTLU[Z PU O\THU YLZV\YJLZ

Directors’ Compensation Board Meetings ;OLYL ^LYL ZL]LU )VHYK 4LL[PUNZ OLSK K\YPUN -@ ! VU (WYPS 4H` 1\UL (\N\Z[ 5V]LTILY 1HU\HY` HUK

66

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

CEO & Managing Director’s Compensation ;OL HUU\HS YLT\ULYH[PVU WHJRHNL VM 4Y 3H\YLU[ +LTVY[PLY *,6 HUK 4HUHNPUN +PYLJ[VY JVTWYPZLZ H Ä_LK ZHSHY` JVTWVULU[

,ɉJPLU[ YLSPHISL HUK \ZLY MYPLUKS` ºJVTWYLZZPUN ZVS\[PVUZ» MVY [OL 7YVJLZZ 0UK\Z[Y`

H IHZRL[ VM HSSV^HUJLZ YLPTI\YZLTLU[Z WLYMVYTHUJL SPURLK IVU\Z JVTTPZZPVU OV\ZPUN HUK V[OLY JHZO HZ ^LSS HZ UVU JHZO WLYX\PZP[LZ \Z\HSS` HWWSPJHISL [V L_WH[YPH[L HWWVPU[TLU[Z H[ [OPZ SL]LS ;OL ZOHYLOVSKLYZ H[ [OL (UU\HS .LULYHS 4LL[PUN OLSK VU 1\S` OH]L LTWV^LYLK [OL 5VTPUH[PVU HUK 9LT\ULYH[PVU *VTTP[[LL VM [OL )VHYK [V YL]PZL [OL YLT\ULYH[PVU WHJRHNL \W[V H

JLPSPUN VM VM [OL *VTWHU`»Z UL[ WYVÄ[Z HZ WLYTP[[LK I` [OL *VTWHUPLZ (J[ ( ZLY]PJL JVU[YHJ[ L_PZ[Z ^P[O 4Y 3 +LTVY[PLY ^OPJO JVU[HPUZ OPZ [LYTZ HUK JVUKP[PVUZ VM ZLY]PJL PUJS\KPUN YLT\ULYH[PVU UV[PJL WLYPVK ZL]LYHUJL JVTWLUZH[PVU L[J HZ HWWYV]LK I` [OL 5VTPUH[PVU HUK 9LT\ULYH[PVU *VTTP[[LL HUK [OL )VHYK VM +PYLJ[VYZ MYVT [PTL [V

Deployed a new methodology for review and monitoring of complex and high value contracts in Systems business in EMEA

TABLE 02

Attendance Record of the Directors For the Financial Year 2014 ATTENDANCE

N A ME

BOAR D M EETI NG S

ATTENDANCE

L AS T AGM

4Y .H\[HT ;OHWHY

@LZ

4Y :\KOPY ;YLOHU

@LZ

4Y 3H\YLU[ +LTVY[PLY

@LZ

4Y :OPYPZO (W[L

@LZ

+Y 6TRHY .VZ^HTP

@LZ

4Y ) /HYPOHYHU

@LZ

4Y :HUQH` 3HIYVV

5V

+Y 4YZ *VSL[[L 3L^PULY

5V

4Y :\YLZO 7YHIO\

@LZ

4Z 4LOLY 7\K\TQLL

@LZ

+Y =HSLU[PU ]VU 4HZZV^

5V

C O R P O R AT E G O V E R N A N C E

67

CG has transformed its customer delivery model to be closer to consumer needs by serving its products and solutions through Regional channels

[PTL ^P[OPU [OL V]LYHSS SPTP[Z HWWYV]LK I` [OL ZOHYLOVSKLYZ HZ TLU[PVULK HIV]L

Non-Executive Directors’ Compensation ;OL ZOHYLOVSKLYZ H[ [OL YK (UU\HS .LULYHS 4LL[PUN OLSK VU 1\S` HWWYV]LK WH`TLU[ VM JVTTPZZPVU [V [OL *VTWHU`»Z 5VU ,_LJ\[P]L +PYLJ[VYZ JVSSLJ[P]LS` \W[V VM UL[ WYVÄ[Z HZ WLYTP[[LK I` [OL *VTWHUPLZ (J[ ;OL )VHYK OHZ MVYT\SH[LK .\PKLSPULZ MVY HWWVY[PVUTLU[ VM JVTTPZZPVU HTVUNZ[ [OL 5VU ,_LJ\[P]L +PYLJ[VYZ ^OPJO WYV]PKLZ MVY H TPUPT\T Ä_LK WH`TLU[ MVY WHY[PJPWH[PVU H[ )VHYK 4LL[PUNZ HUK *VTTP[[LL 4LL[PUNZ HUK HSZV H ]HYPHISL JVTWVULU[ MVY JVU[YPI\[PVUZ HZ *OHPYTHU VM )VHYK *VTTP[[LLZ NYLH[LY PU]VS]LTLU[ ^P[O [OL *VTWHU`»Z PUP[PH[P]LZ HUK Z[YH[LNPJ KPYLJ[PVU HUK MVY YVSLZ HZ UVTPULL KPYLJ[VYZ VU [OL )VHYK *VTTP[[LLZ VM QVPU[ ]LU[\YLZ Z\IZPKPHYPLZ HUK HZZVJPH[L JVTWHUPLZ IHZLK VU [OLPY H[[LUKHUJL )HZLK VU [OLZL .\PKLSPULZ [OL JVTTPZZPVU WH`HISL [V 4Y . ;OHWHY PZ OPNOLY [OHU [OL V[OLY 5VU ,_LJ\[P]L +PYLJ[VYZ ;OL JVTWLUZH[PVU VM HSS +PYLJ[VYZ PZ NP]LU PU ;HISL ;OL *VTWHU` KVLZ UV[ OH]L HU` Z[VJR VW[PVU WSHUZ VY ZJOLTLZ

Directors’ Shareholding (Z VU 4HYJO 4Y ) /HYPOHYHU OLSK LX\P[` ZOHYLZ VM 9Z LHJO HUK +Y ]VU 4HZZV^ OLSK .SVIHS +LWVZP[VY` 9LJLPW[Z" UVUL VM [OL V[OLY 5VU ,_LJ\[P]L +PYLJ[VYZ OLSK HU` ZOHYLZ PU [OL *VTWHU`

Code of Conduct ;OL *VTWHU` OHZ H *VKL VM *VUK\J[ MVY +PYLJ[VYZ HUK :LUPVY 4HUHNLTLU[ [OH[ YLÃ…LJ[Z P[Z OPNO Z[HUKHYKZ VM PU[LNYP[` HUK L[OPJZ ;OL +PYLJ[VYZ HUK :LUPVY 4HUHNLTLU[ VM [OL *VTWHU` OH]L HMÄYTLK [OLPY HKOLYLUJL [V [OPZ *VKL VM *VUK\J[ HUK [V [OL HIZLUJL VM HU` HJ[\HS VY WV[LU[PHS JVUÃ…PJ[ ^P[O [OL PU[LYLZ[Z VM [OL *VTWHU` ^P[O YLMLYLUJL [V TH[LYPHS ÄUHUJPHS HUK JVTTLYJPHS [YHUZHJ[PVUZ K\YPUN -@ (Z YLX\PYLK I` *SH\ZL VM [OL 3PZ[PUN (NYLLTLU[ 4Y 3H\YLU[ +LTVY[PLY HZ [OL *VTWHU`»Z *,6 HUK 4HUHNPUN +PYLJ[VY OHZ ZPNULK HUK JVUÄYTLK HKOLYLUJL [V [OPZ *VKL VM *VUK\J[ ^OPJO PZ HUUL_LK [V [OPZ 9LWVY[

Committees of the Board Audit and Risk Committee (Z VU [OL KH[L VM [OPZ 9LWVY[ [OL (\KP[ HUK 9PZR *VTTP[[LL PZ JVTWYPZLK VM MV\Y 5VU¶,_LJ\[P]L

68

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TABLE 03

Compensation of the Board For the Financial Year 2014 (In Rs.)

N AME

SALARY

PER QUI SI TE S , ALLOWANCE S , R EI M BUR SEM EN T S

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Nomination and Remuneration Committee (Z VU [OL KH[L VM [OPZ 9LWVY[ [OL 5VTPUH[PVU HUK 9LT\ULYH[PVU *VTTP[[LL VM [OL *VTWHU` JVTWYPZLK VM [OL MVSSV^PUN [OYLL 5VU¶ ,_LJ\[P]L +PYLJ[VYZ VM ^OPJO [^V PUJS\KPUN [OL *OHPYTHU ^LYL PUKLWLUKLU[ R 4Y :HUQH` 3HIYVV *OHPYTHU 0UKLWLUKLU[

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TABLE 04

Audit and Risk Committee Meetings +Y 6 .VZ^HTP YLZPNULK HZ H 4LTILY VM [OL *VTTP[[LL ^P[O LMMLJ[ MYVT 1HU\HY` +Y 4YZ * 3L^PULY ^HZ HWWVPU[LK HZ H 4LTILY VM [OL *VTTP[[LL ^P[O LMMLJ[ MYVT 1HU\HY` +\YPUN -@ [^V 5VTPUH[PVU HUK 9LT\ULYH[PVU *VTTP[[LL 4LL[PUNZ ^LYL OLSK ! VU 1\S` HUK 1HU\HY` ;OL H[[LUKHUJL YLJVYK PZ NP]LU PU ;HISL 0U [LYTZ VM [OL YLX\PYLTLU[Z VM [OL *VTWHUPLZ (J[ HUK *SH\ZL VM [OL 3PZ[PUN (NYLLTLU[ [OL LYZ[^OPSL 9LT\ULYH[PVU *VTTP[[LL ^HZ YLJOYPZ[LULK HZ ¸5VTPUH[PVU HUK 9LT\ULYH[PVU *VTTP[[LL¹ VU 1HU\HY` HUK P[Z [LYTZ VM YLMLYLUJL ^HZ LUSHYNLK [V JV]LY HWWVPU[TLU[ VM +PYLJ[VYZ HUK :LUPVY 4HUHNLTLU[ LTWSV`LLZ PU *VYL 4HUHNLTLU[ ;LHT VUL SL]LS ILSV^ *,6 " YL]PL^PUN KPZJ\ZZPUN HUK WYV]PKPUN N\PKHUJL [V [OL THUHNLTLU[ VU [OL 29(Z MVY TLTILYZ VM [OL *VYL 4HUHNLTLU[ ;LHT" YL]PL^PUN [OL V\[JVTL VM L]HS\H[PVU WYVJLZZLZ HUK YLZ\S[PUN JVTWLUZH[PVU [V *,6 4+ HUK :LUPVY 4HUHNLTLU[" MVYT\SH[PVU VM H WLYMVYTHUJL L]HS\H[PVU TL[OVKVSVN` MVY L]HS\H[PVU VM [OL )VHYK P[Z JVTTP[[LLZ HUK PUKP]PK\HS KPYLJ[VYZ HUK L_HTPUPUN HSS THQVY HZWLJ[Z VM [OL *VTWHU`»Z /9 7YVJLZZLZ YLSH[LK [V OPYPUN [YHPUPUN WLYMVYTHUJL L]HS\H[PVU KLWSV`TLU[ TV[P]H[PVU THUHNLTLU[ KL]LSVWTLU[ [HSLU[ THUHNLTLU[ Z\JJLZZPVU WSHUUPUN PU[LYUHS JVTT\UPJH[PVU J\S[\YL I\PSKPUN HUK JVTWLUZH[PVU Z[Y\J[\YL VM [OL *VTWHU`»Z LTWSV`LLZ

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For the Financial Year 2014 DIRECTOR

STATUS

MEETINGS ATTENDED

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TABLE 05

Nomination and Remuneration Committee Meetings For the Financial Year 2014 DIRECTOR

STATUS

MEETINGS HELD

MEETINGS ATTENDED

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Details of Capital Market Non-Compliance, if any ;OL *VTWHU` OHZ JVTWSPLK ^P[O HSS YLX\PYLTLU[Z VM [OL 3PZ[PUN (NYLLTLU[ ^P[O :[VJR ,_JOHUNLZ HZ ^LSS HZ [OL YLN\SH[PVUZ HUK N\PKLSPULZ WYLZJYPILK I` :,)0 ;OLYL ^LYL UV WLUHS[PLZ VY Z[YPJ[\YLZ PTWVZLK VU

TABLE 06

Annual General Meetings Particulars FINANCIAL YEAR

LOCATION

9H]PUKYH 5H[`H 4HUKPY 4\TIHP

1\S`

W T

:^H[HU[Y`H]LLY :H]HYRHY 9HZO[YP`H :THYHR 4\TIHP

(\N\Z[

W T

:^H[HU[Y`H]LLY :H]HYRHY 9HZO[YP`H :THYHR 4\TIHP

(\N\Z[

W T

[OL *VTWHU` I` HU` 9LN\SH[VY` (\[OVYP[PLZ MVY UVU JVTWSPHUJL VU HU` TH[[LY YLSH[LK [V JHWP[HS THYRL[Z K\YPUN [OL SHZ[ [OYLL `LHYZ

DATE

V\[Z[HUKPUN JVTWSHPU[Z VY ZOHYLZ WLUKPUN [YHUZMLY HZ VU 4HYJO

TIME

WYVJLK\YLZ HUK VWLYH[PVUHS YPZRZ VM [OLZL Z\IZPKPHYPLZ HYL HSZV YL]PL^LK I` [OL (\KP[ HUK 9PZR *VTTP[[LL VM [OL )VHYK

Unclaimed Shares Stakeholders Relationship Committee ;V TLL[ [OL YLX\PYLTLU[Z VM [OL *VTWHUPLZ (J[ HUK *SH\ZL VM [OL 3PZ[PUN (NYLLTLU[ [OL :OHYLOVSKLYZ» 0U]LZ[VYZ» .YPL]HUJL *VTTP[[LL ^HZ YLUHTLK HZ :[HRLOVSKLYZ 9LSH[PVUZOPW *VTTP[[LL HUK P[Z [LYTZ VM YLMLYLUJL HSPNULK [V [OL YLX\PYLTLU[Z VM [OL *VTWHUPLZ (J[ ;OL *VTTP[[LL JVTWYPZLZ VM [OL MVSSV^PUN +PYLJ[VYZ ! R 4Y .H\[HT ;OHWHY *OHPYTHU 5VU ,_LJ\[P]L +PYLJ[VY R 4Y 3H\YLU[ +LTVY[PLY ,_LJ\[P]L +PYLJ[VY +\YPUN -@ [OL :[HRLOVSKLYZ 9LSH[PVUZOPW *VTTP[[LL TL[ VU 1HU\HY` H[ ^OPJO TLL[PUN HSS 4LTILYZ ^LYL WYLZLU[ ;OL *VTTP[[LL YL]PL^Z [OL YLKYLZZHS VM NYPL]HUJLZ VM ZLJ\YP[` OVSKLYZ VM [OL *VTWHU` PUJS\KPUN PU]LZ[VYZ» JVTWSHPU[Z YLSH[LK [V [YHUZMLYZ HUK [YHUZTPZZPVUZ HUU\HS YLWVY[Z KP]PKLUKZ HUK V[OLY ZOHYL YLSH[LK TH[[LYZ" [OL WLYPVKPJP[` HUK LMMLJ[P]LULZZ VM [OL ZOHYL [YHUZMLY WYVJLZZ YLN\SH[VY` JLY[PÄJH[PVUZ KLWVZP[VY` YLSH[LK PZZ\LZ HUK HJ[P]P[PLZ VM [OL 9LNPZ[YHY HUK ;YHUZMLY (NLU[ 0U HKKP[PVU [V H YL]PL^ I` [OPZ *VTTP[[LL [OL *VTWHU` JVU[PU\LZ P[Z L_PZ[PUN WYHJ[PJL VM YLWVY[PUN [V [OL +PYLJ[VYZ H[ LHJO )VHYK 4LL[PUN [OL U\TILY HUK JH[LNVY` VM ZOHYLOVSKLY JVTWSHPU[Z YLJLP]LK HUK [OL Z[H[\Z VM [OLPY YLZVS\[PVU ;OL *VTWHU` LUQV`Z HU L_[YLTLS` OPNO SL]LS VM PU]LZ[VY ZH[PZMHJ[PVU ^OPJO PZ YLÃ…LJ[LK PU [OL ]LY` PUZPNUPÄJHU[ U\TILY VM PU]LZ[VY JVTWSHPU[Z ;OL *VTWHU` YLJLP]LK MV\Y ZOHYLOVSKLYZ» JVTWSHPU[Z K\YPUN [OL ÄUHUJPHS `LHY \UKLY YL]PL^ ^OPJO ^LYL VM H YV\[PUL UH[\YL HUK ^LYL ZH[PZMHJ[VYPS` YLZVS]LK ;OLYL HYL UV

*SH\ZL ( VM [OL 3PZ[PUN (NYLLTLU[ ^P[O :[VJR ,_JOHUNLZ YLX\PYLZ H SPZ[LK JVTWHU` [V [YHUZMLY ZOHYLZ ^OPJO OH]L YLTHPULK \UJSHPTLK W\YZ\HU[ [V H W\ISPJ PZZ\L VY HU` V[OLY PZZ\L [V HU <UJSHPTLK :\ZWLUZL (JJV\U[ ^P[O H +LWVZP[VY` 7HY[PJPWHU[ ;OL ]V[PUN YPNO[Z ^P[O YLZWLJ[ [V [OL ZOHYLZ OLSK PU Z\JO <UJSHPTLK :\ZWLUZL (JJV\U[ HYL MYVaLU HUK M\[\YL ZOHYL HSSV[TLU[Z HYL HSZV [V IL PZZ\LK KPYLJ[S` [V Z\JO HJJV\U[ ;OPZ *SH\ZL YLX\PYLZ H *VTWHU` [V ZLUK [OYLL YLTPUKLYZ PU [OPZ YLNHYK ILMVYL [OL [YHUZMLY +\YPUN -@ ZOHYLOVSKLYZ OH]L JSHPTLK ZOHYLZ ^OPJO ^LYL [YHUZMLYYLK [V [OLPY YLZWLJ[P]L KLTH[ HJJV\U[Z

Governance of Subsidiaries ;OL Z\IZPKPHYPLZ VM [OL *VTWHU` HYL HKLX\H[LS` LTWV^LYLK [OYV\NO KLSLNH[PVU VM [OL VWLYH[PVUHS WV^LYZ [V SVJHS 4HUHNLTLU[ H[ HSS SVJH[PVUZ ;OL 4HUHNLTLU[ VM Z\IZPKPHY` JVTWHUPLZ HYL YLZWVUZPISL MVY Z[H[\[VY` JVTWSPHUJLZ OLHS[O ZHML[` JVUJLYUZ PU[LNYP[` VM HJJV\U[Z HUK HZZ\YHUJL VU PU[LYUHS JVU[YVSZ -VY LMMLJ[P]L NV]LYUHUJL [OL )VHYKZ VM Z\IZPKPHYPLZ ^LYL Z[YLUN[OLULK ^P[O 3LNHS HUK -PUHUJL [LHTZ H[ LHJO SVJH[PVU WHY[PJPWH[PUN PU [OL Z\IZPKPHY` NV]LYUHUJL YL]PL^ WYVJLZZ ;OL TH[LYPHS JVU[LU[Z VM [OL TPU\[LZ VM )VHYK 4LL[PUNZ VM HSS 0UKPHU HZ ^LSS HZ MVYLPNU Z\IZPKPHYPLZ VM [OL *VTWHU` HYL WSHJLK ILMVYL [OL )VHYK VM +PYLJ[VYZ VM [OL *VTWHU` ;OL *VTWHU` OHZ HSZV LZ[HISPZOLK H TLJOHUPZT [OYV\NO ^OPJO ÄUHUJPHS JVUJLYUZ TH[LYPHS KLMH\S[Z ZOV^ JH\ZL UV[PJLZ KHUNLYV\Z VJJ\YYLUJLZ WYVK\J[ SPHIPSP[` JSHPTZ ZPNUPÄJHU[ KL]LSVWTLU[Z PU O\THU YLZV\YJLZ THQVY ÄUHUJPHS KLJPZPVUZ HUK ZPTPSHY ZPNUPÄJHU[ HJ[PVUZ KLJPZPVUZ VM HSS Z\IZPKPHY` JVTWHUPLZ HYL YLWVY[LK [V [OL *VTWHU`»Z )VHYK VM +PYLJ[VYZ 0U HKKP[PVU [OL PU[LYUHS JVU[YVS

CEO / CFO Certification -VY -@ 4Y 3 +LTVY[PLY *,6 HUK 4HUHNPUN +PYLJ[VY HUK 4Y 4 (JOHY`H *OPLM -PUHUJPHS 6MÄJLY OH]L JLY[PÄLK [V [OL )VHYK ^P[O YLZWLJ[ [V [OL ÄUHUJPHS Z[H[LTLU[Z PU[LYUHS JVU[YVSZ HUK V[OLY TH[[LYZ HZ YLX\PYLK I` *SH\ZL VM [OL 3PZ[PUN (NYLLTLU[ ^P[O :[VJR ,_JOHUNLZ HUK [OL ZHPK *LY[PÄJH[L PZ JVU[HPULK PU [OPZ (UU\HS 9LWVY[

Auditors’ Certificate on Corporate Governance ;OL *VTWHU` OHZ VI[HPULK H JLY[PÄJH[L MYVT [OL (\KP[VYZ VM [OL *VTWHU` YLNHYKPUN JVTWSPHUJL ^P[O [OL WYV]PZPVUZ YLSH[PUN [V *VYWVYH[L .V]LYUHUJL MVY -@ HZ WYLZJYPILK I` *SH\ZL VM [OL 3PZ[PUN (NYLLTLU[ ^P[O :[VJR ,_JOHUNLZ ^OPJO PZ H[[HJOLK OLYL^P[O

Report on Corporate Governance ;OPZ *OHW[LY YLHK [VNL[OLY ^P[O [OL PUMVYTH[PVU NP]LU PU [OL JOHW[LY [P[SLK ¸(KKP[PVUHS :OHYLOVSKLY 0UMVYTH[PVU¹ JVUZ[P[\[LZ [OL *VTWSPHUJL 9LWVY[ VU *VYWVYH[L .V]LYUHUJL MVY -@

C O R P O R AT E G O V E R N A N C E

75

ADDITIONAL SHAREHOLDER INFORMATION

Annual General Meeting

Unclaimed Dividends

+H[L

Swatantryaveer Savarkar Rashtriya Smarak

+P]PKLUKZ WLY[HPUPUN [V [OL ÄUHUJPHS `LHYZ [V ^OPJO YLTHPU \UJSHPTLK MVY H WLYPVK VM ZL]LU `LHYZ ^PSS IL [YHUZMLYYLK [V [OL 0U]LZ[VY ,K\JH[PVU HUK 7YV[LJ[PVU -\UK ;V LUHISL [OL 4LTILYZ [V JSHPT [OLPY KP]PKLUK ILMVYL P[Z [YHUZMLY [V [OL HIV]L -\UK [OL WYVWVZLK KH[LZ VM [YHUZMLY HYL NP]LU ILSV^ !

[O -SVVY =LLY :H]HYRHY 4HYN :OP]HQP 7HYR +HKHY 4\TIHP

Date of Declaration of Dividend

Due Date for Transfer to the Investor Education and Protection Fund

6J[VILY 1HU\HY` 4HYJO 6J[VILY 1HU\HY` 4HYJO 6J[VILY 1HU\HY` 6J[VILY 1HU\HY` 4HYJO 6J[VILY 1HU\HY` 4HYJO 1\S` 5V]LTILY (\N\Z[ 5V]LTILY 1HU\HY`

5V]LTILY 4HYJO (WYPS 5V]LTILY -LIY\HY` (WYPS 5V]LTILY -LIY\HY` 5V]LTILY -LIY\HY` (WYPS 5V]LTILY 4HYJO (WYPS (\N\Z[ 5V]LTILY :LW[LTILY +LJLTILY -LIY\HY`

Tuesday, 5 August 2014 ;PTL

3.00 p.m =LU\L

Financial Calendar -PYZ[ 8\HY[LY 9LZ\S[Z

End July / First fortnight of August :LJVUK 8\HY[LY 9LZ\S[Z

End October / First fortnight of November ;OPYK 8\HY[LY 9LZ\S[Z

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April / May +H[LZ VM )VVR *SVZ\YL

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76

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

Audit and Risk Committee Committe focused on a carefully chose chosen review plan addressin addressing internal control processes processe

:[H[VY JVPS TV\U[PUN WYVJLZZ VU H 9V[H[PUN 4HJOPUL

A D D I T I O N A L S H A R E H O L D E R I N F O R M AT I O N

77

Registrar and Agents For Shares ;OL *VTWHU`»Z 9 ; (NLU[ PZ +H[HTH[PJZ -PUHUJPHS :LY]PJLZ 3PTP[LK +H[HTH[PJZ -PUHUJPHS :LY]PJLZ 3PTP[LK PZ H :,)0 YLNPZ[LYLK 9LNPZ[YHY HUK ;YHUZMLY (NLU[ ^OVZL JVU[HJ[ KL[HPSZ HYL !

Market Price Data The Stock Exchange, Mumbai 1ST TRADING DAY OF THE MONTH

M ONTH

HIGHE S T O F T HE MO NT H (RS .)

L O W E S T O F T HE MO NT H (RS .) C L O S ING ( RS .)

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Dematerialisation of Shares (Z VU 4HYJO VM [OL [V[HS ZOHYLZ VM [OL *VTWHU` ^LYL KLTH[LYPHSPZLK JVTWHYLK ^P[O SHZ[ `LHY

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Stock Codes ):, 4\TIHP

500093 5H[PVUHS :[VJR ,_JOHUNL

CROMPGREAV .+9

5090318 0:05

INE067A01029 (NSDL & CDSL) *VYWVYH[L 0KLU[PÄJH[PVU 5\TILY

L99999MH1937PLC002641

Listing Details ;OL *VTWHU`»Z ZOHYLZ HYL SPZ[LK HUK [YHKLK VU [OL 4\TIHP HUK 5H[PVUHS :[VJR ,_JOHUNLZ ;OL *VTWHU`»Z .+9Z HYL SPZ[LK VU [OL 3VUKVU :[VJR ,_JOHUNL ;OL KL[HPSZ VM [OL :[VJR ,_JOHUNLZ VU ^OPJO [OL *VTWHU`»Z ZOHYLZ HYL SPZ[LK HYL !

The Stock Exchange, Mumbai

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C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

5V]LTILY

Global Depository Receipts (GDRs)

78

SENSEX

:OHYL 7YPJL

:LUZL_

National Stock Exchange of India Ltd ,_JOHUNL 7SHaH )HUKYH 2\YSH *VTWSL_ )HUKYH , 4\TIHP ;OL *VTWHU`»Z WH`TLU[ VM SPZ[PUN MLLZ PZ \W [V KH[L

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Time WT [V WT 4VUKH`Z [V -YPKH`Z Tel Fax Email ZOPYPZO H[OHSLRHY'JNNSVIHS JVT

Share performance vs BSE Sensex Crompton Greaves Share Price and BSE Sensex = 100 on 1 April 2013

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Chairman’s and Vice-Chairman’s Office

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:OHYL 7YPJL ):, :LUZL_

Remuneration Committee 4(9*/

(7903

Distribution Of Shareholding

Financial Results

As on 31 March 2014 NO OF SHARES

NO OF SHAREHOLDERS

% OF SHAREHOLDERS

¶

¶

¶

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¶

¶

¶ HUK HIV]L

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Categories of Shareholders

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Whistle Blower Policy ;OL *VTWHU` OHZ H KLKPJH[LK LTHPS PK HKKYLZZLK [V [OL *,6 HUK 4HUHNPUN +PYLJ[VY MVY LUHISPUN LTWSV`LLZ [V YLWYLZLU[ JVUJLYUZ HIV\[ \UL[OPJHS WYHJ[PJLZ MYH\K VY ]PVSH[PVU VM [OL *VTWHU`»Z *VKL VM )\ZPULZZ 7YHJ[PJLZ ;OPZ TLKP\T WYV]PKLZ Z\MÄJPLU[ ZHMLN\HYKZ HNHPUZ[ ]PJ[PTPZH[PVU VM LTWSV`LLZ ^OV YLWVY[ Z\JO TH[[LYZ

As on 31 March 2014

6U ILOHSM VM [OL )VHYK VM +PYLJ[VYZ CATEGORY

NO OF SHARES OF RS. 2/- EACH

% OF SHAREHOLDERS

7YVTV[LYZ

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A D D I T I O N A L S H A R E H O L D E R I N F O R M AT I O N

79

CEO & CFO’S Certificate on Corporate Governance

Auditor’s Certificate on Corporate Governance

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A D D I T I O N A L S H A R E H O L D E R I N F O R M AT I O N

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STAND-ALONE FINANCIALS

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C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

INDEPENDENT AUDITORS’ REPORT

TO THE MEMBERS OF CROMPTON GREAVES LIMITED

Report on the Financial Statements

Opinion

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SHARP & TANNAN CHARTERED ACCOUNTANTS

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Milind P. Phadke PARTNER 4LTILYZOPW 5V

FI NA N C I A L S

83

ANNEXURE TO THE INDEPENDENT AUDITORS’ REPORT

(REFERRED TO IN PARAGRAPH 1 OF OUR REPORT OF EVEN DATE)

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84

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

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ANNEXURE TO THE INDEPENDENT AUDITORS’ REPORT

(Contd.)

_ ;OL *VTWHU` OHZ UV HJJ\T\SH[LK SVZZLZ HZ H[ Z[ 4HYJO HUK P[ OHZ UV[ PUJ\YYLK HU` JHZO SVZZLZ PU [OL ÄUHUJPHS `LHY LUKLK VU [OH[ KH[L HUK PU [OL PTTLKPH[LS` WYLJLKPUN ÄUHUJPHS `LHY _P (JJVYKPUN [V [OL PUMVYTH[PVU HUK L_WSHUH[PVUZ NP]LU [V \Z [OL *VTWHU` OHZ UV[ KLMH\S[LK PU [OL YLWH`TLU[ VM K\LZ [V HU` ÄUHUJPHS PUZ[P[\[PVUZ VY IHURZ HZ H[ [OL IHSHUJL ZOLL[ KH[L ;OL *VTWHU` OHZ UV[ PZZ\LK HU` KLILU[\YLZ _PP (JJVYKPUN [V [OL PUMVYTH[PVU HUK L_WSHUH[PVUZ NP]LU [V \Z [OL *VTWHU` OHZ UV[ NYHU[LK HU` SVHUZ HUK HK]HUJLZ VU [OL IHZPZ VM ZLJ\YP[` I` ^H` VM WSLKNL VM ZOHYLZ KLILU[\YLZ HUK V[OLY ZLJ\YP[PLZ (JJVYKPUNS` [OL *SH\ZL _PP VM [OL 6YKLY PZ UV[ HWWSPJHISL [V [OL *VTWHU` _PPP ;OL WYV]PZPVUZ VM HU` ZWLJPHS Z[H[\[L HWWSPJHISL [V JOP[ M\UK UPKOP T\[\HS ILULÄ[ M\UK ZVJPL[PLZ HYL UV[ HWWSPJHISL [V [OL *VTWHU` _P] 0U V\Y VWPUPVU HUK HJJVYKPUN [V [OL PUMVYTH[PVU HUK L_WSHUH[PVUZ NP]LU [V \Z [OL *VTWHU` PZ UV[ KLHSPUN PU VY [YHKPUN PU ZLJ\YP[PLZ ;OL *VTWHU` OHZ PU]LZ[LK Z\YWS\Z M\UK PU T\[\HS M\UKZ (JJVYKPUN [V [OL PUMVYTH[PVU HUK L_WSHUH[PVUZ NP]LU [V \Z WYVWLY YLJVYKZ OH]L ILLU THKL VM [OL [YHUZHJ[PVUZ HUK JVU[YHJ[Z HUK [PTLS` LU[YPLZ OH]L ILLU THKL [OLYLPU ;OL PU]LZ[TLU[Z PU T\[\HS M\UKZ OH]L ILLU OLSK I` [OL *VTWHU` PU P[Z V^U UHTL

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SHARP & TANNAN

_] 0U V\Y VWPUPVU HUK HJJVYKPUN [V [OL PUMVYTH[PVU HUK L_WSHUH[PVUZ NP]LU [V \Z [OL [LYTZ HUK JVUKP[PVUZ VM N\HYHU[LL NP]LU I` [OL *VTWHU` MVY SVHUZ [HRLU I` V[OLYZ MYVT IHURZ VY ÄUHUJPHS PUZ[P[\[PVUZ HYL UV[ prima facie WYLQ\KPJPHS [V [OL PU[LYLZ[Z VM [OL *VTWHU` _]P 0U V\Y VWPUPVU HUK HJJVYKPUN [V [OL PUMVYTH[PVU HUK L_WSHUH[PVUZ NP]LU [V \Z [OL [LYT SVHUZ OH]L ILLU HWWSPLK MVY [OL W\YWVZLZ MVY ^OPJO [OL` ^LYL VI[HPULK

CHARTERED ACCOUNTANTS -PYT»Z 9LNPZ[YH[PVU 5V

>

I` [OL OHUK VM

4\TIHP [O 4H`

Milind P. Phadke PARTNER 4LTILYZOPW 5V

FI NA N C I A L S

85

` JYVYL

BALANCE SHEET

AS AT 31ST MARCH, 2014

5V[L 5V

(Z H[

(Z H[

125.35 3230.72

EQUITY AND LIABILITIES 1.

SHAREHOLDERS’ FUNDS: H :OHYL JHWP[HS I 9LZLY]LZ HUK Z\YWS\Z

3356.07 2.

NON-CURRENT LIABILITIES: H 3VUN [LYT IVYYV^PUNZ I +LMLYYLK [H_ SPHIPSP[PLZ UL[ J 6[OLY SVUN [LYT SPHIPSP[PLZ K 3VUN [LYT WYV]PZPVUZ

0.54 73.59 28.03 41.91

144.07

3.

CURRENT LIABILITIES: H :OVY[ [LYT IVYYV^PUNZ I ;YHKL WH`HISLZ J 6[OLY J\YYLU[ SPHIPSP[PLZ K :OVY[ [LYT WYV]PZPVUZ

29.99 1563.07 362.95 130.30

TOTAL

2086.31

5586.45

ASSETS 1.

NON-CURRENT ASSETS: H -P_LK HZZL[Z P ;HUNPISL HZZL[Z PP 0U[HUNPISL HZZL[Z PPP *HWP[HS ^VYR PU WYVNYLZZ P] 0U[HUNPISL HZZL[Z \UKLY KL]LSVWTLU[ I 5VU J\YYLU[ PU]LZ[TLU[Z J 3VUN [LYT SVHUZ HUK HK]HUJLZ

674.51 80.39 42.42 25.31 805.71

42.67

1671.01

2.

CURRENT ASSETS: H *\YYLU[ PU]LZ[TLU[Z I 0U]LU[VYPLZ J ;YHKL YLJLP]HISLZ K *HZO HUK IHUR IHSHUJLZ L :OVY[ [LYT SVHUZ HUK HK]HUJLZ M 6[OLY J\YYLU[ HZZL[Z

TOTAL CONTINGENT LIABILITIES AND COMMITMENTS SIGNIFICANT ACCOUNTING POLICIES

20.63 557.78 1907.92 442.80 919.22

67.09

3915.44

5586.45

9MJ FHHTRUFS^NSL STYJX KTWR FS NSYJLWFQ UFWY TK ÁSFSHNFQ XYFYJRJSYX

(Z WLY V\Y YLWVY[ H[[HJOLK SHARP & TANNAN

Madhav Acharya

Laurent Demortier

CHARTERED ACCOUNTANTS

CHIEF FINANCIAL OFFICER

CEO & MANAGING DIRECTOR

Milind P. Phadke

Minal Bhosale

Gautam Thapar

PARTNER

COMPANY SECRETARY

CHAIRMAN

-PYT»Z 9LNPZ[YH[PVU 5V

>

I` [OL OHUK VM

4LTILYZOPW 5V 4\TIHP [O 4H`

86

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

4\TIHP [O 4H`

` JYVYL

STATEMENT OF PROFIT AND LOSS

FOR THE YEAR ENDED 31ST MARCH, 2014

5V[L 5V

INCOME: :HSLZ HUK ZLY]PJLZ

7912.49

Less: ,_JPZL K\[`

422.92

9L]LU\L MYVT VWLYH[PVUZ

7489.57

6[OLY PUJVTL

175.72

7665.29

TOTAL REVENUE

EXPENSES: *VZ[ VM YH^ TH[LYPHSZ HUK JVTWVULU[Z JVUZ\TLK HUK JVUZ[Y\J[PVU TH[LYPHSZ

3617.52

7\YJOHZLZ VM Z[VJR PU [YHKL

1993.21

*OHUNLZ PU PU]LU[VYPLZ VM ÄUPZOLK NVVKZ ^VYR PU WYVNYLZZ HUK Z[VJR PU [YHKL

(12.77)

,TWSV`LL ILULÄ[Z L_WLUZL

476.36

-PUHUJL JVZ[Z

39.76

+LWYLJPH[PVU HUK HTVY[PZH[PVU L_WLUZL

89.35

6[OLY L_WLUZLZ

749.41

TOTAL EXPENSES PROFIT BEFORE TAX

6952.84

712.45

TAX EXPENSE: 167.60

*\YYLU[ [H_ +LMLYYLK [H_

PROFIT FOR THE YEAR ,HYUPUNZ WLY ZOHYL IHZPJ HUK KPS\[LK `

23.76

191.36

521.09

8.23

-HJL ]HS\L VM LX\P[` ZOHYL VM ` LHJO SIGNIFICANT ACCOUNTING POLICIES

9MJ FHHTRUFS^NSL STYJX KTWR FS NSYJLWFQ UFWY TK ÁSFSHNFQ XYFYJRJSYX

(Z WLY V\Y YLWVY[ H[[HJOLK SHARP & TANNAN

Madhav Acharya

Laurent Demortier

CHARTERED ACCOUNTANTS

CHIEF FINANCIAL OFFICER

CEO & MANAGING DIRECTOR

Milind P. Phadke

Minal Bhosale

Gautam Thapar

PARTNER

COMPANY SECRETARY

CHAIRMAN

-PYT»Z 9LNPZ[YH[PVU 5V

>

I` [OL OHUK VM

4LTILYZOPW 5V 4\TIHP [O 4H`

4\TIHP [O 4H`

FI NA N C I A L S

87

` JYVYL

CASH FLOW STATEMENT

FOR THE YEAR ENDED 31ST MARCH, 2014

712.45

89.35

[A] CASH FLOWS FROM OPERATING ACTIVITIES 5WTÁY GJKTWJ YF]JX (KQ\Z[TLU[Z MVY! +LWYLJPH[PVU HUK HTVY[PZH[PVU L_WLUZL (SSV^HUJL MVY KV\I[M\S KLI[Z HUK HK]HUJLZ

22.63

0U[LYLZ[ L_WLUZLZ

39.76

(61.78)

0U[LYLZ[ PUJVTL 0UJVTL MYVT PU]LZ[TLU[Z UL[ 7YVÄ[ VU ZHSL VM PU]LZ[TLU[Z UL[

(0.25)

(10.86)

<UYLHSPZLK L_JOHUNL NHPU SVZZ UL[

(53.58)

7YVÄ[ 3VZZ VU ZHSL VM Ä_LK HZZL[Z UL[

(17.50)

7.77

4UJWFYNSL UWTÁY GJKTWJ \TWPNSL HFUNYFQ HMFSLJX

720.22

(309.60)

(KQ\Z[TLU[Z MVY! 0UJYLHZL +LJYLHZL PU [YHKL HUK V[OLY YLJLP]HISLZ 0UJYLHZL +LJYLHZL PU PU]LU[VYPLZ 0UJYLHZL +LJYLHZL PU [YHKL HUK V[OLY WH`HISLZ 0UJYLHZL +LJYLHZL PU WYV]PZPVUZ

*HZO \ZLK PU MYVT VWLYH[PVUZ +PYLJ[ [H_LZ WHPK UL[ VM YLM\UKZ Net cash (used in) / from operating activities

[A]

(9.28)

(10.09)

15.41

(313.56)

406.66

(189.60)

217.06

20.87

[B] CASH FLOWS FROM INVESTING ACTIVITIES &II .SÂT\X KWTR NS[JXYNSL FHYN[NYNJX :HSL VM Ä_LK HZZL[Z :HSL VM PU]LZ[TLU[Z UL[ 0U[LYLZ[ YLJLP]LK 0UJVTL YLJLP]LK MYVT PU]LZ[TLU[Z

490.71

61.80

0.25

573.63

(125.50)

Less: 4ZYÂT\X KWTR NS[JXYNSL FHYN[NYNJX 7\YJOHZL VM Ä_LK HZZL[Z (KKP[PVUZ VU HJJV\U[ VM HJX\PZP[PVU VM I\ZPULZZ 0U]LZ[TLU[ PU Z\IZPKPHYPLZ

Net Cash (used in) / from investing activities

88

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

[B]

(14.79)

(251.15)

(391.44)

182.19

` JYVYL

CASH FLOW STATEMENT

FOR THE YEAR ENDED 31ST MARCH, 2013 (Contd.)

[C] CASH FLOWS FROM FINANCING ACTIVITIES &II .SÂT\X KWTR ÁSFSHNSL FHYN[NYNJX 7YVJLLKZ MYVT ZOVY[ [LYT IVYYV^PUNZ UL[

17.06

17.06

(133.54)

Less: 4ZYÂT\X KWTR ÁSFSHNSL FHYN[NYNJX )\` IHJR VM ZOHYLZ

(0.24)

+P]PKLUKZ WHPK

(75.86)

(KKP[PVUHS [H_ VU KP]PKLUK

(12.90)

9LWH`TLU[Z VM SVUN [LYT IVYYV^PUNZ

(39.76)

(262.30)

(245.24)

NET INCREASE / (DECREASE) IN CASH AND BANK BALANCES (A+B+C)

154.01

(FXM FSI GFSP GFQFSHJX FY GJLNSSNSL TK YMJ ^JFW

288.79

(FXM FSI GFSP GFQFSHJX FY JSI TK YMJ ^JFW

442.80

0U[LYLZ[ WHPK

[C]

(FXM ZXJI NS KWTR ÁSFSHNSL FHYN[NYNJX

9LMLY 5V[L infra Notes: ;OL JHZO ÅV^ Z[H[LTLU[ OHZ ILLU WYLWHYLK \UKLY [OL PUKPYLJ[ TL[OVK HZ ZL[ V\[ PU (JJV\U[PUN :[HUKHYK (: *HZO -SV^ :[H[LTLU[Z HZ ZWLJPÄLK PU [OL *VTWHUPLZ (JJV\U[PUN :[HUKHYKZ 9\SLZ (KKP[PVUZ [V Ä_LK HZZL[Z PUJS\KL TV]LTLU[Z VM JHWP[HS ^VYR PU WYVNYLZZ K\YPUN [OL `LHY *HZO HUK JHZO LX\P]HSLU[Z H[ [OL LUK VM [OL `LHY YLWYLZLU[ JHZO HUK IHUR IHSHUJLZ HUK PUJS\KL \UYLHSPZLK SVZZ VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL VU HJJV\U[ VM [YHUZSH[PVU VM MVYLPNU J\YYLUJ` IHUR IHSHUJLZ -PN\YLZ MVY [OL WYL]PV\Z `LHY OH]L ILLU YLNYV\WLK ^OLYL]LY ULJLZZHY`

(Z WLY V\Y YLWVY[ H[[HJOLK SHARP & TANNAN

Madhav Acharya

Laurent Demortier

CHARTERED ACCOUNTANTS

CHIEF FINANCIAL OFFICER

CEO & MANAGING DIRECTOR

Milind P. Phadke

Minal Bhosale

Gautam Thapar

PARTNER

COMPANY SECRETARY

CHAIRMAN

-PYT»Z 9LNPZ[YH[PVU 5V

>

I` [OL OHUK VM

4LTILYZOPW 5V 4\TIHP [O 4H`

4\TIHP [O 4H`

FI NA N C I A L S

89

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS

1. SIGNIFICANT ACCOUNTING POLICIES

'FXNX TK UWJUFWFYNTS FSI UWJXJSYFYNTS TK ÁSFSHNFQ XYFYJRJSYX

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2.

Use of estimates:

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+N]JI &XXJYX H -P_LK HZZL[Z HYL Z[H[LK H[ VYPNPUHS JVZ[ UL[ VM [H_ K\[` JYLKP[ H]HPSLK PM HU` L_JLW[ MVY SHUK HUK I\PSKPUN HJX\PYLK WYPVY [V [O 1\UL ^OPJO HYL Z[H[LK H[ YL]HS\LK JVZ[ HZ H[ [OH[ KH[L IHZLK VU [OL YLWVY[ VM [LJOUPJHS L_WLY[ SLZZ HJJ\T\SH[LK KLWYLJPH[PVU HUK HTVY[PZH[PVU :\IZLX\LU[ \WNYHKH[PVUZ LUOHUJLTLU[Z ^OPJO YLZ\S[Z PU HU PUJYLHZL PU [OL M\[\YL ILULÄ[Z MYVT Z\JO HZZL[Z IL`VUK [OL WYL]PV\ZS` HZZLZZLK Z[HUKHYK VM WLYMVYTHUJL HYL HSZV JHWP[HSPZLK 4HJOPULY` ZWHYLZ ^OPJO JHU IL \ZLK VUS` PU JVUULJ[PVU ^P[O HU P[LT VM [HUNPISL HZZL[Z HUK ^OVZL \ZL PZ UV[ VM YLN\SHY UH[\YL HYL ^YP[[LU VMM V]LY [OL LZ[PTH[LK \ZLM\S SPML VM [OL YLSL]HU[ HZZL[ I (KTPUPZ[YH[P]L HUK V[OLY NLULYHS V]LYOLHKZ [OH[ HYL ZWLJPÄJHSS` H[[YPI\[HISL [V JVUZ[Y\J[PVU VY HJX\PZP[PVU VM Ä_LK HZZL[Z VY IYPUNPUN [OL Ä_LK HZZL[Z [V ^VYRPUN JVUKP[PVU HYL HSSVJH[LK HUK JHWP[HSPZLK HZ H WHY[ VM Ä_LK HZZL[Z J 7YL VWLYH[P]L L_WLUZLZ PUJS\KPUN PU[LYLZ[ VU IVYYV^PUNZ \W[V [OL KH[L VM JVTTLYJPHS VWLYH[PVUZ HYL [YLH[LK HZ WHY[ VM WYVQLJ[ JVZ[ HUK JHWP[HSPZLK K 0U[LYUHSS` THU\MHJ[\YLK Ä_LK HZZL[Z HYL JHWP[HSPZLK H[ MHJ[VY` JVZ[ PUJS\KPUN L_JPZL K\[` ^OLYL HWWSPJHISL L *HWP[HS ^VYR PU WYVNYLZZ PUJS\KLZ JVZ[ VM Ä_LK HZZL[Z \UKLY PUZ[HSSH[PVU \UKLY KL]LSVWTLU[ HZ H[ [OL IHSHUJL ZOLL[ KH[L M

*HWP[HS L_WLUKP[\YL VU [HUNPISL HZZL[Z MVY YLZLHYJO HUK KL]LSVWTLU[ PZ JSHZZPÄLK \UKLY Ä_LK HZZL[Z HUK PZ KLWYLJPH[LK VU [OL ZHTL IHZPZ HZ V[OLY Ä_LK HZZL[Z

N -P_LK HZZL[Z HYL LSPTPUH[LK MYVT ÄUHUJPHS Z[H[LTLU[Z LP[OLY VU KPZWVZHS VY ^OLU YL[PYLK MYVT HJ[P]L \ZL 3VZZLZ HYPZPUN PU JHZL VM YL[PYLTLU[ VM HZZL[Z HUK NHPUZ VY SVZZLZ HYPZPUN MYVT KPZWVZHS VM Ä_LK HZZL[Z HYL YLJVNUPZLK PU [OL Z[H[LTLU[ VM WYVÄ[ HUK SVZZ PU [OL `LHY VM VJJ\YYLUJL 4.

Impairment of assets:

(Z H[ LHJO IHSHUJL ZOLL[ KH[L [OL JHYY`PUN HTV\U[Z VM HZZL[Z PUJS\KPUN NVVK^PSS HYPZPUN VU HJX\PZP[PVU HYL [LZ[LK MVY PTWHPYTLU[ ZV HZ [V KL[LYTPUL! H [OL WYV]PZPVU MVY PTWHPYTLU[ SVZZ PM HU`" HUK I [OL YL]LYZHS VM PTWHPYTLU[ SVZZ YLJVNUPZLK PU WYL]PV\Z WLYPVKZ PM HU` 0TWHPYTLU[ SVZZ PZ YLJVNUPZLK ^OLU [OL JHYY`PUN HTV\U[ VM HU HZZL[ L_JLLKZ P[Z YLJV]LYHISL HTV\U[ 9LJV]LYHISL HTV\U[ PZ KL[LYTPULK! H 0U [OL JHZL VM HU PUKP]PK\HS HZZL[ H[ [OL OPNOLY VM [OL UL[ ZLSSPUN WYPJL HUK [OL ]HS\L PU \ZL" HUK I 0U [OL JHZL VM JHZO H NLULYH[PUN \UP[ H NYV\W VM HZZL[Z [OH[ NLULYH[LZ PKLU[PÄLK PUKLWLUKLU[ JHZO ÅV^Z H[ [OL OPNOLY VM [OL JHZO NLULYH[PUN \UP[»Z UL[ ZLSSPUN WYPJL HUK [OL ]HS\L PU \ZL

90

=HS\L PU \ZL PZ KL[LYTPULK HZ [OL WYLZLU[ ]HS\L VM LZ[PTH[LK M\[\YL JHZO ÅV^Z MYVT [OL JVU[PU\PUN \ZL VM HU HZZL[ HUK MYVT P[Z KPZWVZHS H[ [OL LUK VM P[Z \ZLM\S SPML

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

1. SIGNIFICANT ACCOUNTING POLICIES (Contd.)

.SYFSLNGQJ FXXJYX FSI FRTWYNXFYNTS

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+L]LSVWTLU[ JVZ[!

+L]LSVWTLU[ L_WLUKP[\YL VU UL^ WYVK\J[ PZ JHWP[HSPZLK HZ PU[HUNPISL HZZL[ PM HSS VM [OL MVSSV^PUN JHU IL KLTVUZ[YH[LK P [OL [LJOUPJHS MLHZPIPSP[` VM JVTWSL[PUN [OL PU[HUNPISL HZZL[ ZV [OH[ P[ ^PSS IL H]HPSHISL MVY \ZL VY ZHSL" PP [OL *VTWHU` OHZ PU[LU[PVU [V JVTWSL[L [OL KL]LSVWTLU[ VM PU[HUNPISL HZZL[ HUK \ZL VY ZLSS P[" PPP [OL *VTWHU` OHZ HIPSP[` [V \ZL VY ZLSS [OL PU[HUNPISL HZZL[" P] [OL THUULY PU ^OPJO [OL WYVIHISL M\[\YL LJVUVTPJ ILULÄ[ ^PSS IL NLULYH[LK PUJS\KPUN [OL L_PZ[LUJL VM H THYRL[ MVY V\[W\[ VM [OL PU[HUNPISL HZZL[ VY [OL PU[HUNPISL HZZL[ P[ZLSM VY PM P[ PZ [V IL \ZLK PU[LYUHSS` [OL \ZLM\SULZZ VM [OL PU[HUNPISL HZZL[" ] [OL H]HPSHIPSP[` VM HKLX\H[L [LJOUPJHS ÄUHUJPHS HUK V[OLY YLZV\YJLZ [V JVTWSL[L [OL KL]LSVWTLU[ HUK [V \ZL VY ZLSS [OL PU[HUNPISL HZZL[" HUK ]P [OL *VTWHU` OHZ HIPSP[` [V TLHZ\YL [OL L_WLUKP[\YL H[[YPI\[HISL [V [OL PU[HUNPISL HZZL[ K\YPUN [OL KL]LSVWTLU[ YLSPHIS`

+L]LSVWTLU[ JVZ[Z VU [OL PU[HUNPISL HZZL[Z M\SÄSSPUN [OL JYP[LYPH HYL HTVY[PZLK V]LY H WLYPVK VM Ä]L `LHYZ V[OLY^PZL HYL L_WLUZLK PU [OL WLYPVK PU ^OPJO [OL` HYL PUJ\YYLK

6.

Investments:

Long-term investments:

3VUN [LYT PU]LZ[TLU[Z HYL JHYYPLK H[ JVZ[ /V^L]LY WYV]PZPVU MVY KPTPU\[PVU PZ THKL [V YLJVNUPZL H KLJSPUL PU [OL WLYTHULU[ UH[\YL PU [OL ]HS\L VM PU]LZ[TLU[Z

Current investments:

0U]LZ[TLU[Z [OH[ HYL YLHKPS` YLHSPZHISL HUK HYL PU[LUKLK [V IL OLSK MVY UV[ TVYL [OHU VUL `LHY MYVT [OL KH[L VU ^OPJO Z\JO PU]LZ[TLU[Z HYL THKL HYL JSHZZPÄLK HZ J\YYLU[ PU]LZ[TLU[Z HUK HYL JHYYPLK H[ JVZ[ VY MHPY ]HS\L ^OPJOL]LY PZ SV^LY ;OL JVTWHYPZVU VM JVZ[ HUK JHYY`PUN HTV\U[ PZ KVUL ZLWHYH[LS` MVY LHJO JH[LNVY` VM PU]LZ[TLU[Z IHZLK VU [OL THYRL[ ]HS\L VM [OL PU]LZ[TLU[Z

7.

Inventories: H 9H^ TH[LYPHSZ WHJRPUN TH[LYPHSZ JVUZ[Y\J[PVU TH[LYPHSZ Z[VYLZ HUK ZWHYLZ

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([ SV^LY VM JVZ[ VU ^LPNO[LK H]LYHNL IHZPZ HUK UL[ YLHSPZHISL ]HS\L

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J -PUPZOLK NVVKZ ¶ 4HU\MHJ[\YPUN

! ([ SV^LY VM JVZ[ VM TH[LYPHSZ WS\Z HWWYVWYPH[L WYVK\J[PVU V]LYOLHKZ PUJS\KPUN L_JPZL K\[` WHPK WH`HISL VU Z\JO NVVKZ HUK UL[ YLHSPZHISL ]HS\L

K -PUPZOLK NVVKZ ¶ ;YHKPUN

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([ SV^LY VM JVZ[ VU ^LPNO[LK H]LYHNL IHZPZ HUK UL[ YLHSPZHISL ]HS\L

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8.

Cash and cash equivalents: H *HZO JVTWYPZLZ JHZO VU OHUK HUK KLTHUK KLWVZP[Z ^P[O IHURZ I *HZO LX\P]HSLU[Z HYL ZOVY[ [LYT OPNOS` SPX\PK PU]LZ[TLU[Z [OH[ HYL YLHKPS` JVU]LY[PISL PU[V RUV^U HTV\U[Z VM JHZO HUK ^OPJO HYL Z\IQLJ[ [V PUZPNUPÄJHU[ YPZR VM JOHUNLZ PU ]HS\L

9.

Foreign currency transaction and foreign operations: H ;OL YLWVY[PUN J\YYLUJ` PZ 0UKPHU 9\WLL I -VYLPNU J\YYLUJ` [YHUZHJ[PVUZ HYL YLJVYKLK VU PUP[PHS YLJVNUP[PVU PU [OL YLWVY[PUN J\YYLUJ` \ZPUN [OL L_JOHUNL YH[L H[ [OL KH[L VM [OL [YHUZHJ[PVU ([ LHJO IHSHUJL ZOLL[ KH[L MVYLPNU J\YYLUJ` TVUL[HY` P[LTZ HYL YLJVYKLK \ZPUN [OL JSVZPUN L_JOHUNL YH[L ,_JOHUNL KPMMLYLUJLZ [OH[ HYPZL VU ZL[[SLTLU[ VM TVUL[HY` P[LTZ VY VU YLWVY[PUN H[ LHJO IHSHUJL ZOLL[ KH[L VM [OL *VTWHU`»Z TVUL[HY` P[LTZ H[ [OL JSVZPUN YH[L HYL YLJVNUPZLK HZ PUJVTL VY L_WLUZLZ PU [OL WLYPVK PU ^OPJO [OL` HYPZL 5VU TVUL[HY` P[LTZ ^OPJO HYL JHYYPLK H[ OPZ[VYPJHS JVZ[ KLUVTPUH[LK PU H MVYLPNU J\YYLUJ` HYL YLWVY[LK \ZPUN [OL L_JOHUNL YH[L H[ [OL KH[L VM [OL [YHUZHJ[PVU J -PUHUJPHS Z[H[LTLU[Z VM MVYLPNU VWLYH[PVUZ HYL [YLH[LK HZ PU[LNYHS VWLYH[PVUZ HUK [YHUZSH[LK HZ PU [OL ZHTL THUULY HZ MVYLPNU J\YYLUJ` [YHUZHJ[PVUZ HZ KLZJYPILK HIV]L ,_JOHUNL KPMMLYLUJLZ HYPZPUN VU Z\JO JVU]LYZPVUZ HYL YLJVNUPZLK PU [OL Z[H[LTLU[ VM WYVÄ[ VY SVZZ PU [OL WLYPVK PU ^OPJO [OL` HYPZL FI NA N C I A L S

91

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

1. SIGNIFICANT ACCOUNTING POLICIES (Contd.)

10. Derivative contracts: H +LYP]H[P]L JVU[YHJ[Z LU[LYLK PU[V [V OLKNL MVYLPNU J\YYLUJ` WYPJL YPZRZ VU \UL_LJ\[LK ÄYT JVTTP[TLU[Z HUK OPNOS` WYVIHISL MVYLJHZ[ [YHUZHJ[PVUZ HYL YLJVNUPZLK PU [OL ÄUHUJPHS Z[H[LTLU[Z H[ MHPY ]HS\L HZ VU [OL IHSHUJL ZOLL[ KH[L ;OL NHPUZ VY SVZZLZ HYPZPUN V\[ VM MHPY ]HS\H[PVU VM KLYP]H[P]L JVU[YHJ[Z HYL YLJVNUPZLK PU [OL Z[H[LTLU[ VM WYVÄ[ HUK SVZZ VY IHSHUJL ZOLL[ HZ [OL JHZL TH` IL HM[LY HWWS`PUN [OL [LZ[ VM OLKNL LMMLJ[P]LULZZ ;OL NHPUZ VY SVZZLZ HYL YLJVNUPZLK HZ OLKNL YLZLY]L PU [OL IHSHUJL ZOLL[ ^OLU [OL OLKNL PZ LMMLJ[P]L HUK ^OLYL [OL OLKNL PZ PULMMLJ[P]L [OL ZHTL PZ YLJVNUPZLK PU [OL Z[H[LTLU[ VM WYVÄ[ HUK SVZZ I ;OL WYLTP\T VY KPZJV\U[ VU MVY^HYK JVU[YHJ[Z PZ HTVY[PZLK HZ L_WLUZL VY PUJVTL V]LY [OL WLYPVK VM [OL JVU[YHJ[ J .HPUZ HUK SVZZLZ VU YVSS V]LY VY JHUJLSSH[PVU VM KLYP]H[P]L JVU[YHJ[Z ^OPJO X\HSPM` HZ LMMLJ[P]L OLKNL HYL YLJVNUPZLK PU [OL Z[H[LTLU[ VM WYVÄ[ HUK SVZZ PU [OL ZHTL WLYPVK PU ^OPJO [OL OLKNLK P[LT PZ HJJV\U[LK 11. Revenue recognition: (a) Sale of goods: 9L]LU\L MYVT ZHSL VM NVVKZ PZ YLJVNUPZLK ^OLU HSS [OL ZPNUPÄJHU[ YPZRZ HUK YL^HYKZ VM V^ULYZOPW HYL [YHUZMLYYLK [V [OL I\`LY HZ WLY [OL [LYTZ VM JVU[YHJ[Z HUK UV ZPNUPÄJHU[ \UJLY[HPU[` L_PZ[Z YLNHYKPUN [OL HTV\U[ VM [OL JVUZPKLYH[PVU [OH[ ^PSS IL KLYP]LK MYVT ZHSL VM [OL NVVKZ 0[ HSZV PUJS\KLZ L_JPZL K\[` HUK WYPJL ]HYPH[PVU IHZLK VU [OL JVU[YHJ[\HS HNYLLTLU[Z HUK L_JS\KLZ ]HS\L HKKLK [H_ ZHSLZ [H_ IYVRLYHNL HUK JVTTPZZPVU G 8FQJ TK XJW[NHJX :LY]PJL PUJVTL PZ YLJVNUPZLK HZ WLY [OL [LYTZ VM [OL JVU[YHJ[Z ^P[O [OL J\Z[VTLYZ VU WYVWVY[PVUH[L JVTWSL[PVU TL[OVK (c) Revenue from contracts: 9L]LU\L MYVT JVU[YHJ[Z PZ YLJVNUPZLK I` HWWS`PUN WLYJLU[HNL VM JVTWSL[PVU TL[OVK HM[LY WYV]PKPUN MVY MVYLZLLHISL SVZZLZ PM HU` 7LYJLU[HNL VM JVTWSL[PVU PZ KL[LYTPULK HZ H WYVWVY[PVU VM [OL JVZ[Z PUJ\YYLK \W[V [OL YLWVY[PUN KH[L [V [OL [V[HS LZ[PTH[LK JVZ[ [V JVTWSL[L -VYLZLLHISL SVZZ PM HU` VU [OL JVU[YHJ[Z PZ YLJVNUPZLK HZ HU L_WLUZL PU [OL WLYPVK PU ^OPJO P[ PZ MVYLZLLU PYYLZWLJ[P]L VM [OL Z[HNL VM JVTWSL[PVU VM [OL JVU[YHJ[ >OPSL KL[LYTPUPUN [OL HTV\U[ VM MVYLZLLHISL SVZZ HSS LSLTLU[Z VM JVZ[Z HUK YLSH[LK PUJPKLU[HS PUJVTL UV[ PUJS\KLK PU JVU[YHJ[ YL]LU\L PZ [HRLU PU[V JVUZPKLYH[PVU *VU[YHJ[ PZ YLÅLJ[LK H[ JVZ[ [PSS Z\JO [PTL [OL V\[JVTL VM [OL JVU[YHJ[ JHUUV[ IL HZJLY[HPULK YLSPHIS` HUK H[ YLHSPZHISL ]HS\L [OLYLHM[LY *SHPTZ HYL HJJV\U[LK HZ PUJVTL HJJLW[HUJL I` J\Z[VTLY I 7J[JSZJ KWTR UT\JW INXYWNGZYNTS GZXNSJXX 9L]LU\L MYVT WV^LY KPZ[YPI\[PVU I\ZPULZZ PZ HJJV\U[LK VU [OL IHZPZ VM IPSSPUNZ [V [OL J\Z[VTLYZ HUK PUJS\KLZ \UIPSSLK YL]LU\LZ HJJY\LK \W[V [OL LUK VM HJJV\U[PUN `LHY *\Z[VTLYZ HYL IPSSLK HZ WLY [OL [HYPMM YH[LZ PZZ\LK I` ,SLJ[YPJP[` 9LN\SH[VY` *VTTPZZPVU 0U[LYLZ[ PZ HJJV\U[LK VU HJJY\HS IHZPZ VU V]LYK\L IPSSZ (e) Interest income: 0U[LYLZ[ PUJVTL VU KLWVZP[Z ZLJ\YP[PLZ HUK SVHUZ PZ YLJVNUPZLK H[ [OL HNYLLK YH[L VU [PTL WYVWVY[PVUH[L IHZPZ (f) Dividend income: +P]PKLUK PUJVTL PZ HJJV\U[LK MVY ^OLU [OL YPNO[ [V YLJLP]L [OL KP]PKLUK PZ LZ[HISPZOLK (g) Lease income: 3LHZL HNYLLTLU[Z ^OLYL [OL YPZRZ HUK YL^HYKZ PUJPKLU[HS [V [OL V^ULYZOPW VM HU HZZL[ Z\IZ[HU[PHSS` ]LZ[ ^P[O [OL SLZZVY HYL YLJVNUPZLK HZ VWLYH[PUN SLHZLZ 3LHZL YLU[HSZ HYL YLJVNUPZLK VU Z[YHPNO[ SPUL IHZPZ HZ WLY [OL [LYTZ VM [OL HNYLLTLU[Z PU [OL Z[H[LTLU[ VM WYVÄ[ HUK SVZZ *RUQT^JJ GJSJÁYX F 8MTWY YJWR JRUQT^JJ GJSJÁYX (SS LTWSV`LL ILULÄ[Z WH`HISL ^OVSS` ^P[OPU [^LS]L TVU[OZ VM YLUKLYPUN ZLY]PJL HYL JSHZZPÄLK HZ ZOVY[ [LYT LTWSV`LL ILULÄ[Z )LULÄ[Z Z\JO HZ ZHSHYPLZ ^HNLZ ZOVY[ [LYT JVTWLUZH[LK HIZLUJLZ WLYMVYTHUJL PUJLU[P]LZ L[J HUK [OL L_WLJ[LK JVZ[ VM IVU\Z L_ NYH[PH HYL YLJVNUPZLK K\YPUN [OL WLYPVK PU ^OPJO [OL LTWSV`LL YLUKLYZ YLSH[LK ZLY]PJL G 5TXY JRUQT^RJSY GJSJÁYX )JÁSJI HTSYWNGZYNTS UQFSX *VTWHU`»Z JVU[YPI\[PVUZ WHPK WH`HISL K\YPUN [OL `LHY [V VMÄJLY»Z Z\WLYHUU\H[PVU M\UK LTWSV`LL Z[H[L PUZ\YHUJL ZJOLTL HUK SHIV\Y ^LSMHYL M\UK HYL YLJVNUPZLK K\YPUN [OL WLYPVK )JÁSJI GJSJÁY UQFSX -VY KLÄULK ILULÄ[ ZJOLTLZ PU [OL MVYT VM NYH[\P[` M\UK WYV]PKLU[ M\UK HUK WVZ[ YL[PYLTLU[ TLKPJHS ILULÄ[Z [OL JVZ[ VM WYV]PKPUN ILULÄ[Z PZ KL[LYTPULK \ZPUN [OL 7YVQLJ[LK <UP[ *YLKP[ 4L[OVK ^P[O HJ[\HYPHS ]HS\H[PVUZ ILPUN JHYYPLK V\[ H[ LHJO IHSHUJL ZOLL[ KH[L ^OPJO YLJVNUPZLZ LHJO WLYPVK VM ZLY]PJL HZ NP]PUN YPZL [V HKKP[PVUHS \UP[ VM LTWSV`LL ILULÄ[ LU[P[SLTLU[ HUK TLHZ\YLZ LHJO \UP[ ZLWHYH[LS` [V I\PSK \W [OL ÄUHS VISPNH[PVU ;OL VISPNH[PVU PZ TLHZ\YLK H[ [OL WYLZLU[ ]HS\L VM [OL LZ[PTH[LK M\[\YL JHZO ÅV^Z ;OL KPZJV\U[PUN YH[L \ZLK MVY KL[LYTPUPUN [OL WYLZLU[ ]HS\L VM [OL VISPNH[PVU \UKLY KLÄULK ILULÄ[ WSHUZ PZ IHZLK VU [OL THYRL[ `PLSKZ VU NV]LYUTLU[ ZLJ\YP[PLZ HZ H[ [OL IHSHUJL ZOLL[ KH[L OH]PUN TH[\YP[` WLYPVKZ HWWYV_PTH[LS` [V [OL [LYTZ VM YLSH[LK VISPNH[PVUZ ;OL *VTWHU` THRLZ JVU[YPI\[PVU [V^HYKZ WYV]PKLU[ M\UK PU Z\IZ[HUJL H KLÄULK JVU[YPI\[PVU YL[PYLTLU[ WSHU ;OL WYV]PKLU[ M\UK PZ HKTPUPZ[LYLK I` [OL [Y\Z[LLZ ;OL 9\SLZ VM [OL *VTWHU`»Z 7YV]PKLU[ -\UK HKTPUPZ[LYLK I` H [Y\Z[ YLX\PYL [OH[ PM [OL )VHYK VM ;Y\Z[LLZ HYL \UHISL [V WH` PU[LYLZ[ H[ [OL YH[L KLJSHYLK I` [OL .V]LYUTLU[ \UKLY 7HYH VM [OL ,TWSV`LLZ» 7YV]PKLU[ -\UK :JOLTL MVY [OL YLHZVU [OH[ [OL YL[\YU VU PU]LZ[TLU[ PZ SLZZ MVY HU` V[OLY YLHZVU [OLU [OL KLÄJPLUJ` ZOHSS IL THKL NVVK I` [OL *VTWHU` THRPUN PU[LYLZ[ ZOVY[MHSS HZ H KLÄULK ILULÄ[ WSHU /H]PUN YLNHYK [V [OL HZZL[Z VM [OL -\UK HUK YL[\YU VU PU]LZ[TLU[Z [OL *VTWHU` KVLZ UV[ L_WLJ[ HU` KLÄJPLUJ` PU [OL MVYLZLLHISL M\[\YL HUK OLUJL SPHIPSP[` PZ YLZ[YPJ[LK [V^HYKZ [OL TVU[OS` JVU[YPI\[PVUZ VUS` (J[\HYPHS NHPUZ SVZZLZ HYL YLJVNUPZLK PU M\SS PU [OL Z[H[LTLU[ VM WYVÄ[ HUK SVZZ MVY [OL WLYPVK PU ^OPJO [OL` VJJ\Y 7HZ[ ZLY]PJL JVZ[ PZ YLJVNUPZLK PTTLKPH[LS` [V [OL L_[LU[ [OH[ [OL ILULÄ[Z HYL HSYLHK` ]LZ[LK HUK V[OLY^PZL PZ HTVY[PZLK VU H Z[YHPNO[ SPUL IHZPZ V]LY [OL H]LYHNL WLYPVK \U[PS [OL ILULÄ[Z ILJVTL ]LZ[LK ;OL YL[PYLTLU[ ILULÄ[ VISPNH[PVUZ YLJVNUPZLK PU [OL IHSHUJL ZOLL[ YLWYLZLU[Z [OH[ WYLZLU[ ]HS\L VM [OL KLÄULK ILULÄ[ VISPNH[PVU HZ HKQ\Z[LK MVY \UYLJVNUPZLK WHZ[ ZLY]PJL JVZ[ HUK HZ YLK\JLK I` [OL MHPY ]HS\L VM [OL ZJOLTL VM HZZL[Z H 1TSL YJWR JRUQT^JJ GJSJÁYX *VTWLUZH[LK HIZLUJLZ ^OPJO HYL UV[ L_WLJ[LK [V VJJ\Y ^P[OPU [^LS]L TVU[OZ HM[LY [OL LUK VM [OL WLYPVK PU ^OPJO [OL LTWSV`LL YLUKLYZ [OL YLSH[LK ZLY]PJLZ HYL YLJVNUPZLK HZ H SPHIPSP[` H[ [OL WYLZLU[ ]HS\L VM [OL KLÄULK ILULÄ[ VISPNH[PVU H[ [OL IHSHUJL ZOLL[ KH[L I 9JWRNSFYNTS GJSJÁYX ;LYTPUH[PVU ILULÄ[Z HYL YLJVNUPZLK HZ HU L_WLUZL PU [OL WLYPVK PU ^OPJO [OL` HYL PUJ\YYLK

92

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

1. SIGNIFICANT ACCOUNTING POLICIES (Contd.)

13. Depreciation: F 4\SJI FXXJYX (1) Revalued assets: +LWYLJPH[PVU VU YL]HS\LK HZZL[ PZ WYV]PKLK VU Z[YHPNO[ SPUL TL[OVK VU [OL ]HS\LZ HUK H[ [OL YH[LZ ZWLJPÄLK PU :JOLK\SL ?0= [V [OL *VTWHUPLZ (J[ ;OL KPMMLYLUJL IL[^LLU KLWYLJPH[PVU WYV]PKLK VU YL]HS\LK HTV\U[ HUK VU OPZ[VYPJHS JVZ[ PZ YLJV\WLK V\[ VM YL]HS\H[PVU YLZLY]L (2) Assets carried at historical cost: +LWYLJPH[PVU VU [OL Ä_LK HZZL[Z JHYYPLK H[ OPZ[VYPJHS JVZ[ WYV]PKLK H[ [OL YH[LZ HUK PU [OL THUULY ZWLJPÄLK PU :JOLK\SL ?0= [V [OL *VTWHUPLZ (J[ VU ^YP[[LU KV^U ]HS\L TL[OVK V[OLY [OHU VU I\PSKPUNZ HUK WSHU[ HUK LX\PWTLU[Z ^OPJO HYL KLWYLJPH[LK VU H Z[YHPNO[ SPUL TL[OVK -P_LK HZZL[Z ^OPJO HYL HKKLK KPZWVZLK VMM K\YPUN [OL `LHY KLWYLJPH[PVU PZ WYV]PKLK VU WYV YH[H IHZPZ ^P[O YLMLYLUJL [V [OL TVU[O VM HKKP[PVU KLSL[PVU G 1JFXJI FXXJYX 3LHZLOVSK SHUKZ HYL HTVY[PZLK V]LY [OL WLYPVK VM SLHZL )\PSKPUNZ JVUZ[Y\J[LK VU SLHZLOVSK SHUKZ HYL KLWYLJPH[LK H[ UVYTHS YH[L HZ WYLZJYPILK PU :JOLK\SL ?0= [V [OL *VTWHUPLZ (J[ ^OLYL [OL SLHZL WLYPVK PZ IL`VUK [OL SPML VM [OL I\PSKPUN 0U V[OLY JHZLZ I\PSKPUNZ JVUZ[Y\J[LK VU SLHZLOVSK SHUKZ HYL HTVY[PZLK V]LY [OL WYPTHY` SLHZL WLYPVK VM [OL SHUKZ 'TWWT\NSL HTXYX H )VYYV^PUN JVZ[Z [OH[ HYL H[[YPI\[HISL [V [OL HJX\PZP[PVU JVUZ[Y\J[PVU VY WYVK\J[PVU VM H X\HSPM`PUN HZZL[ HYL JHWP[HSPZLK HZ H WHY[ VM [OL JVZ[ VM Z\JO HZZL[ [PSS Z\JO [PTL [OL HZZL[ PZ YLHK` MVY P[Z PU[LUKLK \ZL VY ZHSL ( X\HSPM`PUN HZZL[ PZ HU HZZL[ [OH[ ULJLZZHYPS` YLX\PYLZ H Z\IZ[HU[PHS WLYPVK VM [PTL NLULYHSS` V]LY [^LS]L TVU[OZ [V NL[ YLHK` MVY P[Z PU[LUKLK \ZL VY ZHSL I (SS V[OLY IVYYV^PUN JVZ[Z HYL YLJVNUPZLK HZ L_WLUZL PU [OL WLYPVK PU ^OPJO [OL` HYL PUJ\YYLK 15. Segment accounting: (a) Segment accounting policies: :LNTLU[ HJJV\U[PUN WVSPJPLZ HYL PU SPUL ^P[O [OL HJJV\U[PUN WVSPJPLZ VM [OL *VTWHU` ;OL JVTWHU` PKLU[PÄLZ WYPTHY` I\ZPULZZ ZLNTLU[ IHZLK VU [OL KPMMLYLU[ YPZRZ HUK YL[\YUZ [OL VYNHUPZH[PVU Z[Y\J[\YL HUK [OL PU[LYUHS YLWVY[PUN Z`Z[LTZ :LJVUKHY` ZLNTLU[Z HYL PKLU[PÄLK VU [OL IHZPZ VM NLVNYHWO` PU ^OPJO ZHSLZ OH]L ILLU LMMLJ[LK 0U HKKP[PVU [OL MVSSV^PUN ZWLJPÄJ HJJV\U[PUN WVSPJPLZ OH]L ILLU MVSSV^LK MVY ZLNTLU[ YLWVY[PUN! :LNTLU[ YL]LU\L PUJS\KLZ ZHSLZ HUK V[OLY PUJVTL KPYLJ[S` PKLU[PÄHISL ^P[O HSSVJHISL [V [OL ZLNTLU[ PUJS\KPUN PU[LY ZLNTLU[ YL]LU\L ,_WLUZLZ [OH[ HYL KPYLJ[S` PKLU[PÄHISL ^P[O HSSVJHISL [V ZLNTLU[Z HYL JVUZPKLYLK MVY KL[LYTPUPUN [OL ZLNTLU[ YLZ\S[ ,_WLUZLZ ^OPJO YLSH[L [V [OL *VTWHU` HZ H ^OVSL HUK UV[ HSSVJHISL [V ZLNTLU[Z HYL PUJS\KLK \UKLY \UHSSVJHISL L_WLUKP[\YL 0UJVTL ^OPJO YLSH[LZ [V [OL *VTWHU` HZ H ^OVSL HUK UV[ HSSVJHISL [V ZLNTLU[Z PZ PUJS\KLK PU \UHSSVJHISL PUJVTL :LNTLU[ YLZ\S[ PUJS\KLZ THYNPUZ VU PU[LY ZLNTLU[ HUK ZHSLZ ^OPJO HYL YLK\JLK PU HYYP]PUN H[ [OL WYVÄ[ ILMVYL [H_ VM [OL *VTWHU` :LNTLU[ HZZL[Z HUK SPHIPSP[PLZ PUJS\KL [OVZL KPYLJ[S` PKLU[PÄHISL ^P[O [OL YLZWLJ[P]L ZLNTLU[Z <UHSSVJHISL HZZL[Z HUK SPHIPSP[PLZ YLWYLZLU[ [OL HZZL[Z HUK SPHIPSP[PLZ [OH[ YLSH[L [V [OL *VTWHU` HZ H ^OVSL HUK UV[ HSSVJHISL [V HU` ZLNTLU[ G .SYJW XJLRJSY YWFSXKJW UWNHNSL :LNTLU[ YL]LU\L YLZ\S[PUN MYVT [YHUZHJ[PVUZ ^P[O V[OLY I\ZPULZZ ZLNTLU[Z PZ HJJV\U[LK VU [OL IHZPZ VM [YHUZMLY WYPJL HNYLLK IL[^LLU [OL ZLNTLU[Z :\JO [YHUZMLY WYPJLZ HYL LP[OLY KL[LYTPULK [V `PLSK H KLZPYLK THYNPU VY HNYLLK VU H ULNV[PH[LK IHZPZ 16. Earnings per share )HZPJ LHYUPUNZ WLY ZOHYL PZ JHSJ\SH[LK I` KP]PKPUN [OL UL[ WYVÄ[ MVY [OL WLYPVK H[[YPI\[HISL [V LX\P[` ZOHYLOVSKLYZ I` [OL ^LPNO[LK H]LYHNL U\TILY VM LX\P[` ZOHYLZ V\[Z[HUKPUN K\YPUN [OL WLYPVK 9F]JX TS NSHTRJ H ;H_ VU PUJVTL MVY [OL J\YYLU[ WLYPVK PZ KL[LYTPULK VU [OL IHZPZ VU LZ[PTH[LK [H_HISL PUJVTL HUK [H_ JYLKP[Z JVTW\[LK PU HJJVYKHUJL ^P[O [OL WYV]PZPVUZ VM [OL 0UJVTL ;H_ (J[ HUK IHZLK VU [OL L_WLJ[LK V\[JVTL VM HZZLZZTLU[Z HWWLHSZ I +LMLYYLK [H_ PZ YLJVNUPZLK VU [PTPUN KPMMLYLUJLZ IL[^LLU [OL HJJV\U[PUN PUJVTL HUK [OL [H_HISL PUJVTL MVY [OL `LHY HUK X\HU[PÄLK \ZPUN [OL [H_ YH[LZ HUK [H_ SH^Z LUHJ[LK VY Z\IZ[HU[P]LS` LUHJ[LK HZ VU [OL IHSHUJL ZOLL[ KH[L J +LMLYYLK [H_ HZZL[Z YLSH[PUN [V \UHIZVYILK KLWYLJPH[PVU I\ZPULZZ SVZZLZ HYL YLJVNUPZLK HUK JHYYPLK MVY^HYK [V [OL L_[LU[ [OLYL PZ ]PY[\HS JLY[HPU[` [OH[ Z\MÄJPLU[ M\[\YL [H_HISL PUJVTL ^PSS IL H]HPSHISL HNHPUZ[ ^OPJO Z\JO KLMLYYLK [H_ HZZL[Z JHU IL YLHSPZLK K 6[OLY KLMLYYLK [H_ HZZL[Z HYL YLJVNUPZLK HUK JHYYPLK MVY^HYK [V [OL L_[LU[ [OH[ [OLYL PZ H YLHZVUHISL JLY[HPU[` [OH[ Z\MÄJPLU[ M\[\YL [H_HISL PUJVTL ^PSS IL H]HPSHISL HNHPUZ[ ^OPJO Z\JO KLMLYYLK [H_ HZZL[Z JHU IL YLHSPZLK 5WT[NXNTSX (TSYNSLJSY QNFGNQNYNJX (TSYNSLJSY FXXJYX FSI (TRRNYRJSYX H 7YV]PZPVUZ HYL YLJVNUPZLK MVY SPHIPSP[PLZ [OH[ JHU IL TLHZ\YLK VUS` I` \ZPUN H Z\IZ[HU[PHS KLNYLL VM LZ[PTH[PVU PM! 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FI NA N C I A L S

93

` JYVYL

NOTES

2.

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

361.00

125.35

125.35

0.00

125.35

SHARE CAPITAL Authorised: ,X\P[` :OHYLZ VM ` LHJO Issued b9LMLY UV[L H ILSV^d! ,X\P[` :OHYLZ VM ` LHJO 7YL]PV\Z `LHY ,X\P[` :OHYLZ VM ` LHJO 8ZGXHWNGJI FSI UFNI ZU b9LMLY UV[L H ILSV^d! ,X\P[` :OHYLZ VM ` LHJO 7YL]PV\Z `LHY ,X\P[` :OHYLZ VM ` LHJO Forfeited shares: (TV\U[ WHPK \W VU ,X\P[` :OHYLZ VM ` LHJO (TV\U[ WHPK \W `

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)HSHUJL H[ [OL ILNPUUPUN VM [OL `LHY Less: :OHYLZ IV\NO[ IHJR )HSHUJL H[ [OL LUK VM [OL `LHY

:\IZJYPILK HUK WHPK \W

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(Z H[

(Z H[

No. of Shares

` crore

5V VM :OHYLZ

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641533836

128.30

14745394

2.95

626788442

125.35

(Z H[

(Z H[

No. of Shares

` crore

5V VM :OHYLZ

` JYVYL

641491536

128.30

14745394

2.95

626746142

125.35

;OL *VTWHU` OHZ UV[ PZZ\LK HU` LX\P[` ZOHYLZ K\YPUN [OL J\YYLU[ HUK PU [OL WYL]PV\Z `LHY G 9JWRX WNLMYX FYYFHMJI YT JVZNY^ XMFWJX

;OL *VTWHU` OHZ VUL JSHZZ VM ZOHYL JHWP[HS P L LX\P[` ZOHYLZ OH]PUN MHJL ]HS\L VM ` WLY ZOHYL ,HJO OVSKLY VM LX\P[` ZOHYL PZ LU[P[SLK [V VUL ]V[L WLY ZOHYL

+\YPUN [OL `LHY [OL *VTWHU` OHZ KLJSHYLK HUK WHPK PU[LYPT KP]PKLUK VM ` WLY ZOHYL ;OL )VHYK VM +PYLJ[VYZ OH]L YLJVTTLUKLK H ÄUHS KP]PKLUK VM ` WLY ZOHYL Z\IQLJ[ [V HWWYV]HS VM ZOHYLOVSKLYZ H[ [OL LUZ\PUN (UU\HS .LULYHS 4LL[PUN

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(c) Details of shareholders holding more than 5 % shares in the Company: (Z H[

(Z H[

% No. of Shares

94

(]HU[OH /VSKPUNZ 3PTP[LK

/+-* ;Y\Z[LL *VTWHU` 3PTP[LK /+-* ,X\P[` -\UK

/+-* ;Y\Z[LL *VTWHU` 3PTP[LK

3PML 0UZ\YHUJL *VYWVYH[PVU VM 0UKPH

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

5V VM :OHYLZ

40.84

255937034

9.30

58269500

-

-

5.24

32842674

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

(d) There are no shares reserved for issue under options and contracts / commitments for the sale of shares / disinvestment. J &LLWJLFYJ SZRGJW TK GTSZX XMFWJX NXXZJI IZWNSL YMJ UJWNTI TK Ă [J ^JFWX NRRJINFYJQ^ UWJHJINSL YMJ WJUTWYNSL IFYJ

:OHYLZ PZZ\LK HZ M\SS` WHPK \W IVU\Z ZOHYLZ

(Z H[

(Z H[

No. of Shares

5V VM :OHYLZ

274924944

(Z H[

(Z H[

No. of Shares

5V VM :OHYLZ

14745394

K &LLWJLFYJ SZRGJW TK XMFWJX GTZLMY GFHP IZWNSL YMJ UJWNTI TK Ă [J ^JFWX NRRJINFYJQ^ UWJHJINSL YMJ WJUTWYNSL IFYJ

:OHYLZ IV\NO[ IHJR L &LLWJLFYJ SZRGJW TK XMFWJX NXXZJI FX ,)7X (Z H[ % No. of Shares ;OL )HUR VM 5L^ @VYR

0.22

1383534

(Z H[

5V VM :OHYLZ

FI NA N C I A L S

95

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

(Z H[ 3.

(Z H[

RESERVES AND SURPLUS Capital reserve

19.12

Capital redemption reserve: (Z WLY SHZ[ IHSHUJL ZOLL[ (KK! 6U HJJV\U[ VM )\` IHJR

10.00

2.95

12.95

Securities premium account 151.84

(133.54)

(Z WLY SHZ[ IHSHUJL ZOLL[ Less: <[PSPZLK MVY )\` IHJR

18.30

Revaluation reserve: (Z WLY SHZ[ IHSHUJL ZOLL[

13.82

Less: ;YHUZMLYYLK [V :[H[LTLU[ VM WYVÄ[ HUK SVZZ b9LMLY UV[L H ILSV^d

(0.20)

13.62

General reserve: 363.39

(Z WLY SHZ[ IHSHUJL ZOLL[

52.50

(KK! ;YHUZMLYYLK MYVT :[H[LTLU[ VM WYVÄ[ HUK SVZZ b9LMLY UV[L I ILSV^d

415.89

'FQFSHJ NS 8YFYJRJSY TK UWTÁY FSI QTXX 2370.38

521.09

2891.47

52.50

2838.97

Z[ 0U[LYPT KP]PKLUK

25.19

UK 0U[LYPT KP]PKLUK

25.07

7YVWVZLK KP]PKLUK

25.07

(KKP[PVUHS [H_ VU KP]PKLUK

12.80

(Z WLY SHZ[ IHSHUJL ZOLL[ (KK! 7YVÄ[ MVY [OL `LHY 5WTÁY F[FNQFGQJ KTW FUUWTUWNFYNTS ;YHUZMLY [V .LULYHS YLZLY]L b9LMLY UV[L I ILSV^d 5WTÁY F[FNQFGQJ KTW INXYWNGZYNTS

2750.84

3230.72

Notes: H +LWYLJPH[PVU VU YL]HS\LK HTV\U[ VM Ä_LK HZZL[Z YLJV\WLK MYVT 9L]HS\H[PVU YLZLY]L ` JYVYL I ;YHUZMLY [V .LULYHS 9LZLY]L YLWYLZLU[Z [YHUZMLYYLK MYVT :[H[LTLU[ VM WYVÄ[ HUK SVZZ PU JVTWSPHUJL ^P[O WYV]PZPVUZ VM [OL *VTWHUPLZ ;YHUZMLY VM 7YVÄ[Z [V 9LZLY]LZ 9\SLZ YLHK ^P[O :LJ[PVU ( 9\SL P] VM *VTWHUPLZ (J[

96

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

` JYVYL

NOTES

4.

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

0.54

0.54

LONG-TERM BORROWINGS Unsecured loans 0U[LYLZ[ MYLL ZHSLZ [H_ KLMLYYHS SVHUZ MYVT :[H[L .V]LYUTLU[ 9LMLY UV[L ILSV^

Note: ;OL *VTWHU` OHZ VW[LK MVY [OL KLMLYYHS :JOLTL VM ZHSLZ [H_ ^OPJO PZ WH`HISL HZ WLY [OL :JOLTL MYHTLK I` :[H[L .V]LYTLU[

(Z H[ 5.

(Z H[

DEFERRED TAX Deferred YF] assets

Deferred YF] QNFGNQNYNJX

+LMLYYLK [H_ HZZL[Z

+LMLYYLK [H_ SPHIPSP[PLZ

113.90

+PMMLYLUJL IL[^LLU IVVR HUK [H_ KLWYLJPH[PVU

,_WLUZLZ HSSV^HISL MVY [H_ W\YWVZLZ ^OLU WHPK VU WH`TLU[ VM ;+:

16.56

6[OLY P[LTZ NP]PUN YPZL [V [PTPUN KPMMLYLUJLZ

35.31

11.56

51.87

125.46

5L[ KLMLYYLK [H_ SPHIPSP[`

73.59

+LMLYYLK [H_ SPHIPSP[` HZZL[ JOHYNLK [V :[H[LTLU[ VM WYVÄ[ HUK SVZZ

23.76

(Z H[

6.

(Z H[

OTHER LONG-TERM LIABILITIES 4YMJW UF^FGQJX +LWVZP[Z

7.

(Z H[

(Z H[

LONG-TERM PROVISIONS ,TWSV`LL ILULÄ[Z 9LMLY UV[L infra

8.

28.03 28.03

41.91

41.91

(Z H[

(Z H[

29.99

29.99

SHORT-TERM BORROWINGS Secured loans Working capital demand loan -YVT IHUR 9LMLY UV[L ILSV^

Note: >VYRPUN JHWP[HS KLTHUK SVHU MYVT IHUR PZ ZLJ\YLK I` O`WV[OLJH[PVU VM PU]LU[VYPLZ IVVR KLI[Z HUK [YHKL YLJLP]HISLZ IV[O WYLZLU[ HUK M\[\YL

FI NA N C I A L S

97

` JYVYL

NOTES

9.

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

209.83

54.55

1179.59

TRADE PAYABLES (JJLW[HUJLZ +\L [V TPJYV HUK ZTHSS LU[LYWYPZLZ 9LMLY UV[L ILSV^ +\L [V V[OLY [OHU TPJYV HUK ZTHSS LU[LYWYPZLZ +\L [V Z\IZPKPHYPLZ

83.95

+\L [V HZZVJPH[LZ

35.15

1563.07

Note: ;OL *VTWHU` OHZ HTV\U[Z K\L [V Z\WWSPLYZ \UKLY ;OL 4PJYV :THSS HUK 4LKP\T ,U[LYWYPZLZ +L]LSVWTLU[ (J[ 4:4,+ (J[ HZ H[ Z[ 4HYJO ;OL KPZJSVZ\YL W\YZ\HU[ [V [OL ZHPK (J[ PZ HZ \UKLY!

H 7YPUJPWHS HTV\U[ K\L [V Z\WWSPLYZ \UKLY 4:4,+ (J[ I 0U[LYLZ[ HJJY\LK HUK K\L [V Z\WWSPLYZ \UKLY 4:4,+ (J[ VU [OL HIV]L HTV\U[ \UWHPK J 7H`TLU[ THKL [V Z\WWSPLYZ V[OLY [OHU PU[LYLZ[ IL`VUK [OL HWWVPU[LK KH` K\YPUN [OL `LHY

54.55

0.19

150.04

K 0U[LYLZ[ WHPK [V Z\WWSPLYZ \UKLY 4:4,+ (J[ V[OLY [OHU :LJ[PVU

0.00

L 0U[LYLZ[ WHPK [V Z\WWSPLYZ \UKLY 4:4,+ (J[ :LJ[PVU

0.10

M 0U[LYLZ[ K\L HUK WH`HISL [V^HYKZ Z\WWSPLYZ \UKLY 4:4,+ (J[ MVY WH`TLU[Z HSYLHK` THKL

0.14

N 0U[LYLZ[ HJJY\LK HUK YLTHPUPUN \UWHPK H[ [OL LUK VM LHJO VM [OL `LHY [V Z\WWSPLYZ \UKLY 4:4,+ (J[

0.05

;OL PUMVYTH[PVU OHZ ILLU NP]LU PU YLZWLJ[ VM Z\JO ]LUKVYZ [V [OL L_[LU[ [OL` JV\SK IL PKLU[PÄLK HZ TPJYV HUK ZTHSS LU[LYWYPZLZ VU [OL IHZPZ VM PUMVYTH[PVU H]HPSHISL ^P[O [OL *VTWHU`

98

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

10. OTHER CURRENT LIABILITIES Current maturities: 1TSL YJWR GTWWT\NSLX 0U[LYLZ[ MYLL ZHSLZ [H_ KLMLYYHS SVHUZ MYVT :[H[L .V]LYUTLU[ (K]HUJLZ MYVT J\Z[VTLYZ

0.35

249.38

Investor Education and Protection Fund: b9LMLY UV[L ILSV^d <UJSHPTLK KP]PKLUK <UJSHPTLK TH[\YLK Ä_LK KLWVZP[Z

1.91

-

1.91

+\L [V KPYLJ[VYZ

12.85

+\L [V J\Z[VTLYZ JVUZ[Y\J[PVU HUK WYVQLJ[ YLSH[LK HJ[P]P[`

19.61

3.47

Due to related parties: +\L [V Z\IZPKPHYPLZ 4YMJW UF^FGQJX :LJ\YP[` KLWVZP[Z

2.01

:[H[\[VY` K\LZ

31.68

,TWSV`LL K\LZ

10.30

6[OLYZ

31.39

75.38

362.95

Note: ;OLYL HYL UV HTV\U[Z K\L HUK V\[Z[HUKPUN [V IL JYLKP[LK [V [OL 0U]LZ[VY ,K\JH[PVU HUK 7YV[LJ[PVU -\UK HZ H[ Z[ 4HYJO (Z H[

(Z H[

-

11. SHORT-TERM PROVISIONS ;H_LZ UL[ VM HK]HUJL [H_

25.07

(KKP[PVUHS [H_ VU KP]PKLUK

4.26

,TWSV`LL ILULÄ[Z 9LMLY UV[L infra

4.75

96.22

130.30

7YVWVZLK KP]PKLUK

6[OLYZ WYV]PZPVUZ 9LMLY UV[L ILSV^

FI NA N C I A L S

99

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

Note: )NXHQTXZWJX FX WJVZNWJI G^ &HHTZSYNSL 8YFSIFWI &8 5WT[NXNTSX (TSYNSLJSY 1NFGNQNYNJX FSI (TSYNSLJSY &XXJYX (1) Movement in provisions:

>HYYHU[PLZ

5H[\YL VM WYV]PZPVUZ

,_JPZL K\[` *\Z[VTZ K\[` :LY]PJL [H_

:HSLZ [H_ =(;

*HYY`PUN HTV\U[ H[ [OL ILNPUUPUN VM [OL `LHY

49.35

19.10

8.76

(KKP[PVUHS WYV]PZPVU THKL K\YPUN [OL `LHY

20.07

3.94

2.89

7.39

-

-

(TV\U[Z \ZLK K\YPUN [OL `LHY

<U\ZLK HTV\U[Z YL]LYZLK K\YPUN [OL `LHY

10.90

0.45

0.33

*HYY`PUN HTV\U[ H[ [OL LUK VM [OL `LHY

51.13

22.59

11.32

5H[\YL VM WYV]PZPVUZ

3PX\PKH[LK KHTHNLZ

6[OLY SP[PNH[PVU JSHPTZ

*HYY`PUN HTV\U[ H[ [OL ILNPUUPUN VM [OL `LHY

4.62

4.37

(KKP[PVUHS WYV]PZPVU THKL K\YPUN [OL `LHY

;V[HS

86.20

2.00

0.19

29.09

(TV\U[Z \ZLK K\YPUN [OL `LHY

-

-

7.39

<U\ZLK HTV\U[Z YL]LYZLK K\YPUN [OL `LHY

-

-

11.68

6.62

4.56

96.22

*HYY`PUN HTV\U[ H[ [OL LUK VM [OL `LHY

(KKP[PVUHS WYV]PZPVU THKL K\YPUN [OL `LHY HUK YL]LYZHS VM \U\ZLK HTV\U[ HYL PUJS\KLK PU [OL YLZWLJ[P]L OLHK VM HJJV\U[Z (2) Nature of provisions: H 7YVK\J[ ^HYYHU[PLZ! ;OL *VTWHU` NP]LZ ^HYYHU[PLZ VU JLY[HPU WYVK\J[Z HUK ZLY]PJLZ PU [OL UH[\YL VM YLWHPYZ YLWSHJLTLU[ ^OPJO MHPS [V WLYMVYT ZH[PZMHJ[VYPS` K\YPUN [OL ^HYYHU[` WLYPVK 7YV]PZPVU THKL YLWYLZLU[Z [OL HTV\U[ VM [OL L_WLJ[LK JVZ[ VM TLL[PUN Z\JO VISPNH[PVU VU HJJV\U[ VM YLJ[PÄJH[PVU YLWSHJLTLU[ ;OL [PTPUN VM V\[ÅV^Z PZ L_WLJ[LK [V IL ^P[OPU H WLYPVK VM [^V `LHYZ I 7YV]PZPVU MVY ZHSLZ [H_ =(; YLWYLZLU[Z SPHIPSP[` VU HJJV\U[ VM UVU JVSSLJ[PVU VM KLJSHYH[PVU MVYTZ HUK V[OLY SLNHS TH[[LYZ ^OPJO HYL PU HWWLHS \UKLY [OL (J[ 9\SLZ J 7YV]PZPVU MVY L_JPZL K\[` J\Z[VTZ K\[` ZLY]PJL [H_ YLWYLZLU[Z [OL KPMMLYLU[PHS K\[` SPHIPSP[` [OH[ PZ L_WLJ[LK [V TH[LYPHSPZL PU YLZWLJ[ VM TH[[LYZ PU HWWLHS K 7YV]PZPVU MVY SPX\PKH[LK KHTHNLZ OHZ ILLU THKL VU JVU[YHJ[Z MVY ^OPJO KLSP]LY` KH[LZ HYL L_JLLKLK HUK JVTW\[LK PU YLHZVUHISL HUK WY\KLU[ THUULY L 7YV]PZPVU MVY SP[PNH[PVU YLSH[LK VISPNH[PVUZ YLWYLZLU[Z SPHIPSP[PLZ [OH[ HYL L_WLJ[LK [V TH[LYPHSPZL PU YLZWLJ[ VM TH[[LYZ PU HWWLHS

100

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

FI NA N C I A L S

101

)\PSKPUNZ

14.79

105.94 1445.14

*VTTLYJPHS YPNO[Z

9LZLHYJO HUK KL]LSVWTLU[

8ZG YTYFQ NN

Total (i+ii)

7YL]PV\Z `LHY

938.16 63.59 52.21 14.28

48.23

784.65

89.55

23.09

66.46

-VY [OL `LHY

(JX\PZP[PVU VM *VTWHJ[ -SVYVZJLU[ 3HTWZ I\ZPULZZ VM 2HYTH 0UK\Z[YPLZ PU[LNYH[LK ^ L M Z[ 1\UL

J (KKP[PVUZ K\YPUN [OL `LHY PUJS\KL ` JYVYL" 7YL]PV\Z `LHY ` JYVYL YLSH[PUN [V YLZLHYJO HUK KL]LSVWTLU[

839.51

72.86

13.52

23.28

15.47

20.59

766.65

1.31

7.61

39.74

40.27

574.31

100.26

3.15

-

<W [V

I *VZ[ VM 3HUK PUJS\KL ` JYVYL" 7YL]PV\Z `LHY ` JYVYL HUK )\PSKPUNZ PUJS\KL ` JYVYL" 7YL]PV\Z `LHY ` JYVYL HKKLK VU YL]HS\H[PVU VU [O 1\UL

34.69

-

34.69

+LK\J[PVUZ

PP PU JV VWLYH[P]L ZVJPL[` ` JYVYL" 7YL]PV\Z `LHY ` JYVYL WLUKPUN MVY HSSV[TLU[ VM ZOHYLZ

1594.41

49.77

43.52

153.25

37.91

734.88

23.59

1441.16

17.40 333.96

4.86

<W[V

16.70

(Z H[

P PU ]HYPV\Z JV VWLYH[P]L ZVJPL[PLZ HUK HWHY[TLU[Z! ` JYVYL" 7YL]PV\Z `LHY ` JYVYL PUJS\KPUN ZOHYLZ VM ` LHJO HUK ZOHYLZ VM ` LHJO

38.06

-

38.06

+LK\J[PVUZ

172.54

47.31

125.23

(KKP[PVUZ

+LWYLJPH[PVU (TVY[PZH[PVU

H *VZ[ =HS\H[PVU VM )\PSKPUNZ PUJS\KLZ V^ULYZOPW HJJVTTVKH[PVU!

Notes:

*VTW\[LY ZVM[^HYL

;LJOUPJHS RUV^ OV^

NN .SYFSLNGQJ &XXJYX

8ZG YTYFQ N

14.79

6MÄJL LX\PWTLU[Z

=LOPJSLZ

-\YUP[\YL HUK Ä_[\YLZ

(JX\PZP[PVU

1339.20

7SHU[ HUK LX\PWTLU[Z

4\SJI FXXJYX QJFXJI TZY

3LHZLOVSK SHUK

)\PSKPUNZ

-YLLOVSK SHUK

4\SJI FXXJYX

N 9FSLNGQJ FXXJYX

(Z H[

.YVZZ ISVJR *VZ[ =HS\H[PVU

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

12. FIXED ASSETS

NOTES

80.39

34.71

20.24

8.12

17.32

674.51

3.55

6.67

12.47

23.32

363.85

233.70

14.25

16.70

(Z H[

56.17

604.32

(Z H[

5L[ ISVJR

` JYVYL

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

0.44

0.44

13. NON-CURRENT INVESTMENTS Quoted investments 0U]LZ[TLU[ PU .V]LYUTLU[ VY [Y\Z[ ZLJ\YP[PLZ Unquoted investments Investments in equity instruments :\IZPKPHY` JVTWHUPLZ

559.64

(ZZVJPH[L JVTWHUPLZ

227.60

8.01

6[OLYZ .S[JXYRJSY NS IJGJSYZWJX :\IZPKPHY` JVTWHUPLZ

9.92

6[OLYZ

0.05

0.05

805.27

805.71

Others

Notes: Quoted investments )VVR ]HS\L

0.44

4HYRL[ ]HS\L

0.44

805.27

Unquoted investments )VVR ]HS\L

9LMLY HJJV\U[PUN WVSPJ` UV[L VU ]HS\H[PVU VM PU]LZ[TLU[Z XZUWF

102

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

-HJL ]HS\L WLY \UP[ PU ` \USLZZ V[OLY^PZL ZWLJPMPLK

5V VM ZOHYLZ \UP[Z (Z H[

(Z H[

(Z H[

39000

0.44

0.44

1600000

0.74

,<9

480000

352.48

<:+

42134142

194.34

10000000

10.02

*. 770 (KOLZP]L 7YVK\J[Z 3PTP[LK

2005520

2.01

*. 7V^LY :VS\[PVUZ 3PTP[LK

50000

13. NON-CURRENT INVESTMENTS (Contd.) Details of investments: A)

Quoted investments Government and trust securities

*LU[YHS .V]LYUTLU[ :LJ\YP[PLZ

.60 VM ` LHJO

b+PT\UP[PVU PU ]HS\L WYV]PKLK K\YPUN [OL `LHY ` JYVYL" 7YL]PV\Z `LHY ` JYVYLd

Total (A)

B)

Unquoted investments Investments in equity instruments .S[JXYRJSY NS XZGXNINFW^ HTRUFSNJX Fully paid equity shares *. ,ULYN` 4HUHNLTLU[ 3PTP[LK *. 0U[LYUH[PVUHS ) = ZOHYLZ HJX\PYLK K\YPUN [OL `LHY *YVTW[VU .YLH]LZ /VSKPUNZ 4H\YP[P\Z 3PTP[LK

*. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK

0.05 559.64

Investment in associate companies Fully paid equity shares *. 3\J` :^P[JONLHY 3PTP[LK 7V^LY ,X\PWTLU[ 3PTP[LK *HYYPLK H[ UVTPUHS ]HS\L VM ` (]HU[OH 7V^LY 0UMYHZ[Y\J[\YL 3PTP[LK

599993

0.60

<:+

20600

0.00

213300228

227.00

227.60

Others

800000

8.00

+PUL[[L ,_JS\ZP]L *S\I 7YP]H[L 3PTP[LK

500

0.01

9HKPHU[ ,SLJ[YVUPJZ 3PTP[LK *HYYPLK H[ UVTPUHS ]HS\L VM `

190000

(]HU[OH /VSKPUNZ 3PTP[LK

6W[PVUHSS` *VU]LY[PISL ALYV *V\WVU 5VU THYRL[HISL [YHUZMLYHISL +LILU[\YLZ

0.00

8.01

.S[JXYRJSYX NS IJGJSYZWJX .S[JXYRJSYX NS XZGXNINFW^ HTRUFS^ *. ,ULYN` 4HUHNLTLU[ 3PTP[LK

9918000

9.92

5000

0.05

9.97

0.05

<UZLJ\YLK 0YYLKLLTHISL 5VU JVU]LY[PISL +LILU[\YLZ VM ` LHJO Others +PUL[[L ,_JS\ZP]L *S\I 7YP]H[L 3PTP[LK <UZLJ\YLK 0YYLKLLTHISL 5VU JVU]LY[PISL +LILU[\YLZ VM ` LHJO

Other investments <;0 )HSHUJLK -\UK +P]PKLUK 7SHU 7H`V\[

55909

0.05

Total (B)

805.27

Total (A+B)

805.71

FI NA N C I A L S

103

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

14. LONG-TERM LOANS AND ADVANCES :SXJHZWJI HTSXNIJWJI LTTI ZSQJXX TYMJW\NXJ XYFYJI *HWP[HS HK]HUJLZ

29.88

+LWVZP[Z

12.79

42.67

(Z H[

(Z H[

15. CURRENT INVESTMENTS Quoted investments 0.77

0U]LZ[TLU[Z PU LX\P[` PUZ[Y\TLU[Z 0U]LZ[TLU[Z PU T\[\HS M\UKZ Notes: Quoted investments )VVR ]HS\L 4HYRL[ ]HS\L 9LMLY HJJV\U[PUN WVSPJ` UV[L VU ]HS\H[PVU VM PU]LZ[TLU[Z XZUWF

Details of investments: Investments in equity instruments 5PJJV *VYWVYH[PVU 3PTP[LK 0+)0 )HUR 3PTP[LK 1*; ,SLJ[YVUPJZ 3PTP[LK b+PT\UP[PVU PU ]HS\L WYV]PKLK K\YPUN [OL `LHY ` JYVYL" 7YL]PV\Z `LHY ` JYVYL d Investments in mutual funds *HUHYH 9VILJV ;YLHZ\Y` (K]HU[HNL -\UK 9LN\SHY +HPS` +P]PKLUK :\UKHYHT <S[YH :OVY[ ;LYT -\UK 9LN\SHY +HPS` +P]PKLUK 9L PU]LZ[TLU[ ) ++ )PYSH :\U 3PML *HZO 7S\Z +HPS` +P]PKLUK 9LN\SHY 7SHU 9LPU]LZ[TLU[ 9LSPNHYL <S[YH :OVY[ ;LYT -\UK 0UZ[P[\[PVUHS +HPS` +P]PKLUK )HYVKH 7PVULLY 3PX\PK -\UK 7SHU ( +HPS` +P]PKLUK 9L PU]LZ[TLU[ <;0 -SVH[PUN 9H[L -\UK :OVY[ ;LYT 7SHU 9LN\SHY 7SHU +HPS` +P]PKLUK 9LPU]LZ[TLU[ /+-* -SVH[PUN 9H[L 0UJVTL -\UK :OVY[ ;LYT 7SHU >OVSLZHSL 6W[PVU +P]PKLUK 9LPU]LZ[TLU[ 7YPUJPWHS 0UJVTL -\UK :OVY[ ;LYT 7SHU 9LN\SHY 7SHU +P]PKLUK 6W[PVU 4VU[OS` 9LPU]LZ[TLU[ 05- 2 *9 0*0*0 7Y\KLU[PHS <S[YH :OVY[ ;LYT 9LN\SHY 7SHU +HPS` +P]PKLUK 4VYNHU :[HUSL` (J[P]L )VUK -\UK 9LN\SHY 8\HY[LYS` +P]PKLUK 7LLYSLZZ <S[YH :OVY[ ;LYT -\UK :\WLY 0UZ[P[\[PVUHS +HPS` +P]PKLUK 9LPU]LZ[TLU[ )57 7HYPIHZ -SL_P +LI[ -\UK +HPS` +P]PKLUK 3++9 <UPVU 2)* 3PX\PK -\UK +HPS` +P]PKLUK 9LPU]LZ[TLU[

104

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

19.86

20.63

20.63 20.72

-HJL ]HS\L WLY \UP[ PU ` \USLZZ V[OLY^PZL ZWLJPMPLK

5V VM ZOHYLZ \UP[Z (Z H[

(Z H[

(Z H[

330390 127720 250000

0.02 0.74 0.01

0.77

19.86 -

16197471 69914716 1597230 50135 299879 56069 4982999 12740705 69561715 16869735 69751551 50703044 699930

19.86

20.63

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

16. INVENTORIES 9H^ TH[LYPHSZ (KK! .VVKZ PU [YHUZP[

165.54

>VYR PU WYVNYLZZ THU\MHJ[\YPUN -PUPZOLK NVVKZ THU\MHJ[\YPUN (KK! ,_JPZL K\[` VU ÄUPZOLK NVVKZ

54.12

219.66

205.25

59.47

5.17

64.64

63.07

4.38

0.78 557.78

:[VJR PU [YHKL :[VYLZ ZWHYLZ HUK WHJRPUN TH[LYPHSZ 3VVZL [VVSZ

5V[L! 9LMLY HJJV\U[PUN WVSPJ` UV[L VU ]HS\H[PVU VM PU]LU[VYPLZ XZUWF

(Z H[

(Z H[

17. TRADE RECEIVABLES Unsecured )JGYX T[JWIZJ KTW XN] RTSYMX *VUZPKLYLK NVVK *VUZPKLYLK KV\I[M\S Less: (SSV^HUJL MVY KV\I[M\S KLI[Z

232.61

95.48

328.09

95.48

232.61

4YMJW IJGYX *VUZPKLYLK NVVK

1675.31

1907.92

(Z H[

(Z H[

18. CASH AND BANK BALANCES Cash and cash equivalents: 'FQFSHJX \NYM GFSPX b9LMLY UV[L H ILSV^d 6U J\YYLU[ HJJV\U[Z 6U KLWVZP[ HJJV\U[Z b^P[O SLZZ [OHU TVU[OZ TH[\YP[` 9LMLY UV[L I ILSV^d

437.15

3.60

440.75 *HZO VU OHUK

0.13

440.88

4YMJW GFQFSHJX *FWRFWPJI GFQFSHJX \NYM GFSPX b9LMLY UV[L J ILSV^d <UWHPK KP]PKLUKZ

1.91

<UWHPK TH[\YLK Ä_LK KLWVZP[Z HUK PU[LYLZ[ HJJY\LK [OLYLVU

0.01

1.92

Other 6U KLWVZP[ HJJV\U[Z ^P[O TVYL [OHU TVU[OZ TH[\YP[`

-

1.92 442.80

Notes: H ;OLYL HYL UV IHSHUJLZ ^P[O IHURZ OLSK HZ THYNPU TVUL` VY ZLJ\YP[` HNHPUZ[ [OL IVYYV^PUNZ N\HYHU[LLZ HUK V[OLY JVTTP[TLU[Z I +LWVZP[Z VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL HYL \UKLY SPLU ^P[O IHURZ J ;OLYL HYL UV HTV\U[Z K\L HUK V\[Z[HUKPUN [V IL JYLKP[LK [V [OL 0U]LZ[VY ,K\JH[PVU HUK 7YV[LJ[PVU -\UK HZ H[ Z[ 4HYJO

FI NA N C I A L S

105

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

19. SHORT-TERM LOANS AND ADVANCES :SXJHZWJI HTSXNIJWJI LTTI ZSQJXX TYMJW\NXJ XYFYJI Security deposits: *VUZPKLYLK NVVK *VUZPKLYLK KV\I[M\S Less: (SSV^HUJL MVY IHK HUK KV\I[M\S HK]HUJLZ

36.97

1.20

38.17

1.20

36.97

Loans and advances to related parties: :\IZPKPHYPLZ (ZZVJPH[LZ 6[OLY YLSH[LK WHY[`

655.33

-

11.20

666.53

&I[FSHJX WJHT[JWFGQJ NS HFXM TW NS PNSI TW KTW [FQZJ YT GJ WJHJN[JI *VUZPKLYLK NVVK *VUZPKLYLK KV\I[M\S

142.12

2.77

144.89 Less: (SSV^HUJL MVY IHK HUK KV\I[M\S HK]HUJLZ

2.77

142.12

)HSHUJLZ ^P[O L_JPZL J\Z[VTZ ZLY]PJL [H_ HUK ]HS\L HKKLK [H_ L[J

73.60

919.22

(Z H[

(Z H[

20. OTHER CURRENT ASSETS 0U[LYLZ[ HJJY\LK VU PU]LZ[TLU[Z HUK KLWVZP[Z 6[OLY YLJLP]HISLZ

106

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

0.05

67.04

67.09

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

21. REVENUE FROM OPERATIONS :HSL VM WYVK\J[Z :HSL VM ZLY]PJLZ

7870.97

41.52

7912.49

Less: ,_JPZL K\[`

422.92

7489.57

Note: :HSLZ =HS\L

:HSLZ =HS\L

1826.24

DISCLOSURE OF SALE OF PRODUCTS P

;YHUZMVYTLYZ 9LHJ[VYZ HUK (JJLZZVYPLZ [OLYLVM

PP

:^P[JONLHYZ *VU[YVS ,X\PWTLU[Z HUK (JJLZZVYPLZ [OLYLVM

857.36

PPP

;YHJ[PVU ,SLJ[YVUPJ 0UK\Z[YPHS +YP]LZ HUK :*(+(

189.74

1298.21

579.01

44.60

1284.77

P] ,SLJ[YPJ 4V[VYZ (S[LYUH[VYZ HUK +YP]LZ 7HULSZ ]

7V^LY KYP]LU 7\TWZ

]P ,SLJ[YPJ :[LLS :[HTWPUN HUK 3HTPUH[LZ ]PP ,SLJ[YPJ -HUZ =LU[PSH[PVU HUK 7VSS\[PVU *VU[YVS :`Z[LTZ ]PPP ,SLJ[YPJ 3HTWZ

900.95

P_ (WWSPHUJLZ

181.72

708.37

7870.97

61.78

:\IZPKPHYPLZ

0.20

6[OLYZ

0.05

.HPU VU ZHSL VM PU]LZ[TLU[Z UL[

10.86

,_JOHUNL NHPU UL[

43.31

_

6[OLYZ

22. OTHER INCOME 0U[LYLZ[ PUJVTL Dividend income:

4YMJW STS TUJWFYNSL NSHTRJ SJY TK J]UJSXJX 0UJVTL MYVT SLHZL VM WYLTPZLZ I\ZPULZZ ZLY]PJL JLU[LYZ

19.38

4PZJLSSHULV\Z PUJVTL

40.14

175.72

FI NA N C I A L S

107

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

23. COST OF RAW MATERIALS AND COMPONENTS CONSUMED AND CONSTRUCTION MATERIALS 6WLUPUN Z[VJR (KK! 7\YJOHZLZ Less: *SVZPUN Z[VJR Less: :JYHW ZHSLZ

223.77 3476.56 219.66 3480.67 82.46

(KK! :\I JVU[YHJ[PUN JOHYNLZ

3398.21 219.31

3617.52

Note:

DISCLOSURE OF RAW MATERIALS AND COMPONENTS CONSUMED AND CONSTRUCTION MATERIALS P -LYYV\Z TH[LYPHSZ PP 5VU MLYYV\Z TH[LYPHSZ PPP *OLTPJHSZ 6PSZ HUK 7HPU[Z P] >PYLZ 7PWLZ ;\ILZ HUK *HISLZ ] *VTWVULU[Z ]P 6[OLYZ

595.07 775.24 176.44 25.44 1271.47 637.01

3480.67

24. PURCHASES OF STOCK-IN-TRADE 7\YJOHZLZ VM Z[VJR PU [YHKL

1993.21

1993.21

355.51 461.70 497.96 138.31 539.73

1993.21

Note:

DETAILS OF PURCHASES OF STOCK-IN-TRADE P PP PPP P] ]

7V^LY KYP]LU 7\TWZ ,SLJ[YPJ -HUZ =LU[PSH[PVU *VU[YVS :`Z[LTZ HUK 7VSS\[PVU *VU[YVS :`Z[LTZ ,SLJ[YPJ 3HTWZ (WWSPHUJLZ 6[OLYZ

25. CHANGES IN INVENTORIES OF FINISHED GOODS, WORK-IN-PROGRESS AND STOCK-IN-TRADE (MFSLJX NS NS[JSYTWNJX TK ÁSNXMJI LTTIX FSI \TWP NS UWTLWJXX Closing stock -PUPZOLK NVVKZ >VYR PU WYVNYLZZ Opening stock -PUPZOLK NVVKZ >VYR PU WYVNYLZZ

64.64 205.25 269.89

68.94 173.40 242.34

(27.55)

Changes in inventories of stock-in-trade: Closing stock :[VJR PU [YHKL Opening stock :[VJR PU [YHKL

63.07

77.85

14.78 (12.77)

108

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

416.13

21.25

26. EMPLOYEE BENEFITS EXPENSE :HSHYPLZ ^HNLZ HUK IVU\Z *VU[YPI\[PVU [V WYV]PKLU[ HUK V[OLY M\UKZ 7VZ[ YL[PYLTLU[ TLKPJHS ILULÄ[Z :[HMM ^LSMHYL L_WLUZLZ

9.66

29.32

476.36

39.76

27. FINANCE COSTS 0U[LYLZ[ VU SVHUZ 3VZZ VU MVYLPNU J\YYLUJ` [YHUZHJ[PVUZ HUK [YHUZSH[PVU

-

39.76

89.55

28. DEPRECIATION AND AMORTISATION EXPENSE +LWYLJPH[PVU HUK HTVY[PZH[PVU L_WLUZL

0.20

89.35

*VUZ\TW[PVU VM Z[VYLZ HUK ZWHYLZ

46.74

7V^LY HUK M\LS

49.32

9LU[

12.42

Less: 9LJV\WTLU[ MYVT YL]HS\H[PVU YLZLY]L b9LMLY UV[L H XZUWFd

29. OTHER EXPENSES

9LWHPYZ [V I\PSKPUNZ

8.30

9LWHPYZ [V THJOPULY`

31.53

9.79

0UZ\YHUJL

42.23

157.88

7HJRPUN TH[LYPHSZ

86.95

(M[LY ZHSLZ ZLY]PJLZ PUJS\KPUN ^HYYHU[PLZ

47.33

9H[LZ HUK [H_LZ -YLPNO[ HUK MVY^HYKPUN

:HSLZ WYVTV[PVU 4PZJLSSHULV\Z L_WLUZLZ 9LMLY UV[L ILSV^

76.55

180.37

749.41

Note:

MISCELLANEOUS EXPENSES INCLUDES THE FOLLOWING: P

PP

(\KP[VYZ YLT\ULYH[PVU L_JS\KPUN ZLY]PJL [H_ (\KP[ MLLZ

0.78

;H_ H\KP[ MLLZ

0.14

*LY[PÄJH[PVU ^VYR

0.35

6[OLY ZLY]PJLZ

0.18

,_WLUZLZ YLPTI\YZLK

0.32

1.77

+VUH[PVU [V WVSP[PJHS WHY[` º)OHYH[P`H 1HUH[H 7HY[`» ` JYVYL

FI NA N C I A L S

109

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

30. CONTINGENT LIABILITIES AND COMMITMENTS &

(TSYNSLJSY 1NFGNQNYNJX

[V [OL L_[LU[ UV[ WYV]PKLK MVY

H *SHPTZ HNHPUZ[ [OL *VTWHU` UV[ HJRUV^SLKNLK HZ KLI[Z I :HSLZ [H_ =(; SPHIPSP[` [OH[ TH` HYPZL PU YLZWLJ[ VM TH[[LYZ PU HWWLHS J ,_JPZL K\[` J\Z[VTZ K\[` ZLY]PJL [H_ SPHIPSP[` [OH[ TH` HYPZL PU YLZWLJ[ VM TH[[LYZ PU HWWLHS K 0UJVTL [H_ SPHIPSP[` [OH[ TH` HYPZL PU YLZWLJ[ VM TH[[LYZ PU HWWLHS WYLMLYYLK I` [OL KLWHY[TLU[ L .\HYHU[LLZ ZLJ\YP[PLZ NP]LU VU ILOHSM VM Z\IZPKPHY` JVTWHUPLZ M B

)PSSZ KPZJV\U[LK

110

4.50

4.26

1456.45

91.52

94.29

Commitments: ,Z[PTH[LK HTV\U[ VM JVU[YHJ[Z YLTHPUPUN [V IL L_LJ\[LK VU JHWP[HS HJJV\U[ HUK UV[ WYV]PKLK MVY UL[ VM HK]HUJLZ

9.18 15.97

0[ PZ UV[ WYHJ[PJHISL [V LZ[PTH[L [OL [PTPUN VM JHZO V\[Ã…V^Z PM HU` PU YLZWLJ[ VM TH[[LYZ H[ H [V K HIV]L WLUKPUN YLZVS\[PVU VM [OL HYIP[YH[PVU HWWLSSH[L WYVJLLKPUNZ

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

31. ;OL )VHYK VM +PYLJ[VYZ OH]L HWWYV]LK [OL :JOLTL VM (THSNHTH[PVU VM *. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK HUK *. ,ULYN` 4HUHNLTLU[ 3PTP[LK ^OVSS` V^ULK Z\IZPKPHYPLZ ^P[O [OL *VTWHU` VU [O 1HU\HY` ;OL HTHSNHTH[PVU ^PSS IL LMMLJ[P]L MYVT Z[ (WYPS Z\IQLJ[ [V YLJLPW[ VM HSS YLN\SH[VY` HWWYV]HSZ

H 9H^ TH[LYPHSZ JVUZ\TLK

5.28

I ,TWSV`LL ILULÄ[Z L_WLUZL

4.58

J 6[OLY L_WLUZLZ

0.10

H 9H^ TH[LYPHSZ

686.90

I ;YHKPUN NVVKZ

143.78

32. *]UJSXJX HFUNYFQNXJI IZWNSL YMJ ^JFW

33. ;FQZJ TK NRUTWYX TS ( . + GFXNX

6.79

11.20

H ;LJOUPJHS RUV^ OV^ MLLZ

4.74

I 7YVMLZZPVUHS JOHYNLZ

1.39

J 0U[LYLZ[

2.04

53.80

J :WHYL WHY[Z K *HWP[HS NVVKZ 34. *]UJSINYZWJ NS KTWJNLS HZWWJSH^

K *VTTPZZPVU [YH]LSSPUN HUK V[OLYZ 35. Remittance in foreign currency on account of dividend: -PUHS KP]PKLUK MVY `LHY LUKLK Z[ 4HYJO H 5\TILY VM UVU YLZPKLU[ ZOHYLOVSKLYZ I 5\TILY VM ZOHYLZ OLSK J (TV\U[ VM KP]PKLUK

247 19088147 0.76

Z[ 0U[LYPT KP]PKLUK MVY `LHY LUKPUN Z[ 4HYJO H 5\TILY VM UVU YLZPKLU[ ZOHYLOVSKLYZ I 5\TILY VM ZOHYLZ OLSK J (TV\U[ VM KP]PKLUK

247 19059897 0.76

UK 0U[LYPT KP]PKLUK MVY `LHY LUKPUN Z[ 4HYJO H 5\TILY VM UVU YLZPKLU[ ZOHYLOVSKLYZ I 5\TILY VM ZOHYLZ OLSK J (TV\U[ VM KP]PKLUK

246

18422387

0.74

902.16

36. *FWSNSLX NS KTWJNLS J]HMFSLJ H ,_WVY[ VM NVVKZ VU - 6 ) IHZPZ PUJS\KPUN KLLTLK L_WVY[Z ` JYVYL" 7YL]PV\Z `LHY ` JYVYL

8.76

J 0U[LYLZ[

29.65

K 6[OLYZ

50.19

I :LY]PJL PUJVTL

FI NA N C I A L S

111

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

-

37. EXPENDITURE ON RESEARCH AND DEVELOPMENT F (FUNYFQ J]UJSINYZWJ )\PSKPUN 7SHU[ HUK LX\PWTLU[Z

12.75

-\YUP[\YL HUK Ä_[\YLZ

0.50

=LOPJSLZ

0.27

0U[HUNPISL HZZL[Z

3.00

*HWP[HS ^VYR PU WYVNYLZZ

1.25

0U[HUNPISL HZZL[Z \UKLY KL]LSVWTLU[

16.42

8ZG YTYFQ F

34.19

G 7J[JSZJ J]UJSINYZWJ 9H^ TH[LYPHSZ JVUZ\TLK ,TWSV`LL ILULÄ[Z L_WLUZL +LWYLJPH[PVU HUK HTVY[PZH[PVU L_WLUZL

0.93

29.01

8.21

6[OLY L_WLUZLZ! *VUZ\TW[PVU VM Z[VYLZ HUK ZWHYLZ

2.64

7V^LY HUK M\LS

0.81

9LU[

0.27

9LWHPYZ [V I\PSKPUNZ

0.49

9LWHPYZ [V THJOPULY`

1.91

0UZ\YHUJL

0.36

9H[LZ HUK [H_LZ

0.24

4PZJLSSHULV\Z L_WLUZLZ

7.39

8ZG YTYFQ G

52.26

9TYFQ F G

86.45

38. CONSUMPTION OF RAW MATERIALS, AND COMPONENT CONSUMED AND CONSTRUCTION MATERIALS Percentage of total Consumption

` crore

7LYJLU[HNL VM [V[HS *VUZ\TW[PVU

` JYVYL

9H^ TH[LYPHSZ HUK JVUZ[Y\J[PVU TH[LYPHSZ! 0TWVY[LK

18.29

636.73

0UKPNLUV\Z

81.71

2843.94

100.00

3480.67

:WHYL WHY[Z! 5.79

2.66

94.21

43.30

100.00

45.96

100.00

0.78

100.00

0.78

300.10

1894.50

0TWVY[LK 0UKPNLUV\Z 3VVZL [VVSZ! 0UKPNLUV\Z

39. DISCLOSURES UNDER ACCOUNTING STANDARD (AS) 7 CONSTRUCTION CONTRACTS H *VU[YHJ[ YL]LU\L YLJVNUPZLK MVY [OL ÄUHUJPHS `LHY I (NNYLNH[L HTV\U[ VM JVU[YHJ[ JVZ[Z PUJ\YYLK HUK YLJVNUPZLK WYVÄ[Z SLZZ YLJVNUPZLK SVZZLZ MVY HSS JVU[YHJ[Z PU WYVNYLZZ \W [V [OL YLWVY[PUN KH[L J (TV\U[ VM J\Z[VTLY HK]HUJLZ V\[Z[HUKPUN MVY JVU[YHJ[Z PU WYVNYLZZ HZ H[ YLWVY[PUN KH[L K 9L[LU[PVU HTV\U[ K\L MYVT J\Z[VTLY MVY JVU[YHJ[ PU WYVNYLZZ HZ H[ [OL YLWVY[PUN KH[L

112

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

59.50

131.44

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

40. DISCLOSURES AS REQUIRED BY ACCOUNTING STANDARD (AS) 15 EMPLOYEE BENEFITS H +LÄULK JVU[YPI\[PVU WSHUZ B9LMLY HJJV\U[PUN WVSPJ` UV[L I XZUWFD (TV\U[ VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL PZ YLJVNUPZLK HZ HU L_WLUZL HUK PUJS\KLK PU ,TWSV`LL ILULÄ[Z L_WLUZL HZ \UKLY [OL MVSSV^PUN KLÄULK JVU[YPI\[PVU WSHUZ! 9LMLY UV[L XZUWF

12.04

'JSJKNYX (TSYWNGZYNTS YT 7YV]PKLU[ M\UK :\WLYHUU\H[PVU M\UK

4.47

,TWSV`LL Z[H[L PUZ\YHUJL ZJOLTL

0.58

0.02 17.11

3HIV\Y ^LSMHYL ZJOLTL Total I +LÄULK )LULÄ[ 7SHUZ b9LMLY HJJV\U[PUN WVSPJ` UV[L I XZUWFd HZ WLY (J[\HYPHS =HS\H[PVU HYL HZ \UKLY! .YH[\P[`

I

(MFSLJ NS UWJXJSY [FQZJ TK IJÁSJI GJSJÁY TGQNLFYNTS during the year

7YLZLU[ ]HS\L VM KLÄULK ILULÄ[ VISPNH[PVU H[ [OL ILNPUUPUN VM [OL `LHY

7VZ[ 9L[PYLTLU[ 4LKPJHS )LULMP[Z

3LH]L ,UJHZOTLU[

-\UKLK

-\UKLK

5VUM\UKLK

5VUM\UKLK

(Nonfunded)

(Nonfunded)

52.36

24.80

16.47

0U[LYLZ[ JVZ[

4.19

1.99

1.36

*\YYLU[ ZLY]PJL JVZ[

3.27

1.86

0.66

7HZ[ ZLY]PJL JVZ[

-

-

-

3PHIPSP[` [YHUZMLY MYVT V[OLY *VTWHU`

0.04

0.03

-

)LULÄ[Z WHPK

(6.02)

(3.87)

(5.62)

1.87

1.34

7.64

55.71

26.15

20.51

52.36

-

-

4.55

-

-

4.18

3.87

5.62

(6.02)

(3.87)

(5.62)

0.64

-

-

55.71

-

-

(1.34)

(7.64)

4.55

-

-

0.64

-

-

5.19

-

-

(55.71)

(26.15)

(20.51)

55.71

-

-

(26.15)

(20.51)

(J[\HYPHS NHPUZ SVZZLZ

7YLZLU[ =HS\L VM KLÄULK ILULÄ[ VISPNH[PVU H[ [OL LUK VM [OL `LHY

II

Change in fair value of plan assets during the year

-HPY ]HS\L VM WSHU HZZL[Z H[ [OL ILNPUUPUN VM [OL `LHY

,_WLJ[LK YL[\YU VU WSHU HZZL[Z

*VU[YPI\[PVUZ

)LULÄ[Z WHPK MYVT [OL M\UK

(J[\HYPHS NHPU SVZZ

-HPY ]HS\L VM WSHU HZZL[Z H[ [OL LUK VM [OL `LHY

;V[HS HJ[\HYPHS NHPU SVZZ [V IL YLJVNUPZLK

(1.23)

III

Actual return on plan assets

,_WLJ[LK YL[\YU VU WSHU HZZL[Z

(J[\HYPHS NHPU SVZZ

(J[\HS YL[\YU VU WSHU HZZL[Z

IV

3JY FXXJY QNFGNQNY^ WJHTLSNXJI NS YMJ GFQFSHJ XMJJY

7YLZLU[ =HS\L VM KLÄULK ILULÄ[ VISPNH[PVU H[ [OL LUK VM [OL `LHY

-HPY ]HS\L VM WSHU HZZL[Z H[ [OL LUK VM [OL `LHY

(TV\U[ YLJVNUPZLK PU [OL IHSHUJL ZOLL[

-

5L[ SPHIPSP[` HZZL[ *\YYLU[

-

(3.48)

(1.27)

5L[ SPHIPSP[` HZZL[ 5VU J\YYLU[

-

(22.67)

(19.24)

V

*]UJSXJX WJHTLSNXJI NS YMJ XYFYJRJSY TK UWTÁY FSI QTXX for the year

*\YYLU[ ZLY]PJL JVZ[

3.27

1.86

0.66

0U[LYLZ[ JVZ[

4.19

1.99

1.36

,_WLJ[LK YL[\YU VU WSHU HZZL[Z

(4.55)

-

-

(J[\HYPHS NHPUZ SVZZLZ

1.23

1.34

7.64

;V[HS L_WLUZLZ HZ WLY HJ[\HYPHS ]HS\H[PVU

4.14

5.19

9.66

6W[PVUHS WH`TLU[

-

-

-

;V[HS L_WLUZLZ PUJS\KLK PU LTWSV`LL ILULÄ[Z L_WLUZL

4.14

5.19

9.66

FI NA N C I A L S

113

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

40. DISCLOSURES AS REQUIRED BY ACCOUNTING STANDARD (AS) 15 EMPLOYEE BENEFITS (Contd.) .YH[\P[`

7VZ[ 9L[PYLTLU[ 4LKPJHS )LULMP[Z

3LH]L ,UJHZOTLU[

-\UKLK

-\UKLK

5VUM\UKLK

5VUM\UKLK

(Nonfunded)

(Nonfunded)

VI

Balance sheet reconciliation

6WLUPUN UL[ SPHIPSP[`

-

24.80

16.47

,_WLUZLZ HZ HIV]L

4.14

5.19

9.66

,TWSV`LY Z JVU[YPI\[PVU

(4.18)

(3.87)

(5.62)

3PHIPSP[` [YHUZMLY MYVT V[OLY JVTWHU`

0.04

0.03

-

(TV\U[ YLJVNUPZLK PU [OL IHSHUJL ZOLL[

-

26.15

20.51

100%

-

-

-

-

-

0.15

-

-

(0.13)

-

-

1.93

-

-

(1.58)

(6.17)

(1.47)

(9.76)

0.64

-

-

VII The major categories of plan assets as a percentage of total Insurer managed funds VIII Effect of one percent point change in the assumed RJINHFQ NSÂFYNTS WFYJ 0UJYLHZL KLJYLHZL VU HNNYLNH[L ZLY]PJL HUK PU[LYLZ[ JVZ[ VM 7VZ[ 9L[PYLTLU[ 4LKPJHS )LULÄ[Z P

6UL WLYJLU[HNL WVPU[ PUJYLHZL PU KPZJV\U[ YH[L

PP 6UL WLYJLU[HNL WVPU[ KLJYLHZL PU KPZJV\U[ YH[L 0UJYLHZL KLJYLHZL VU WYLZLU[ ]HS\L VM KLÄULK ILULÄ[Z VISPNH[PVU H[ [OL LUK VM [OL `LHY P

6UL WLYJLU[HNL WVPU[ PUJYLHZL PU 4LKPJHS 0UÃ…H[PVU YH[L

PP 6UL WLYJLU[HNL WVPU[ KLJYLHZL PU 4LKPJHS 0UÃ…H[PVU YH[L IX

*]UJWNJSHJ &IOZXYRJSY 6U WSHU SPHIPSP[PLZ NHPU SVZZ 6U WSHU HZZL[Z NHPU SVZZ

X

Actuarial assumptions

+PZJV\U[ YH[L

9.41% p.a.

W H

9.41% p.a.

W H

9.41% p.a.

W H

9H[L VM YL[\YU VU WSHU HZZL[Z

8.70% p.a.

W H

-

-

:HSHY` LZJHSH[PVU

6.00% p.a.

W H

6.00% p.a.

W H

-

4VY[HSP[` WYL YL[PYLTLU[ YH[L

30* 30* Indian Assured Lives <S[PTH[L ;HISL Mortality <S[PTH[L ;HISL (2006-08) Ultimate

-

4VY[HSP[` WVZ[ YL[PYLTLU[ YH[L

-

-

4LKPJHS WYLTP\T PUÃ…H[PVU YH[L

-

-

Indian Assured Lives Mortality (2006-08) Ultimate

30* Indian Assured Lives Mortality <S[PTH[L ;HISL (2006-08) Ultimate 4.00 % p.a.

W H

J ;OL *VTWHU` THRLZ JVU[YPI\[PVU [V^HYKZ Z\WLYHUU\H[PVU M\UK HZ H KLÄULK JVU[YPI\[PVU YL[PYLTLU[ ILULÄ[ WSHU MVY X\HSPM`PUN LTWSV`LLZ ;V M\UK [OL ILULÄ[Z [OL *VTWHU` PZ YLX\PYLK [V JVU[YPI\[L H ZWLJPÄLK WLYJLU[HNL VM ZHSHY` [V [OL YLZWLJ[P]L ;Y\Z[Z ^OPJO HKTPUPZ[LY [OL YL[PYLTLU[ ILULÄ[ ZJOLTLZ K ;OL *VTWHU` THRLZ HUU\HS JVU[YPI\[PVUZ [V [OL *YVTW[VU .YLH]LZ 3PTP[LK .YH[\P[` ;Y\Z[ ^OPJO PZ M\UKLK KLÄULK ILULÄ[ WSHU MVY X\HSPM`PUN LTWSV`LLZ ;OL :JOLTL WYV]PKLZ MVY S\TW Z\T WH`TLU[ [V ]LZ[LK LTWSV`LLZ H[ YL[PYLTLU[ KLH[O ^OPSL PU LTWSV`TLU[ VY VU [LYTPUH[PVU VM LTWSV`TLU[ HZ WLY [OL *VTWHU`»Z .YH[\P[` :JOLTL =LZ[PUN VJJ\YZ \WVU JVTWSL[PVU VM Ä]L `LHYZ VM ZLY]PJL L ;OL *VTWHU` WYV]PKLZ WVZ[ YL[PYLTLU[ TLKPJHS ILULÄ[Z [V X\HSPM`PUN LTWSV`LLZ M ;OL HJ[\HYPHS ]HS\H[PVU VM WSHU HZZL[Z HUK [OL WYLZLU[ ]HS\L VM [OL KLÄULK ILULÄ[ VISPNH[PVU ^LYL JHYYPLK V\[ H[ Z[ 4HYJO ;OL WYLZLU[ ]HS\L VM [OL KLÄULK ILULÄ[ VISPNH[PVU HUK [OL YLSH[LK J\YYLU[ ZLY]PJL JVZ[ HUK WHZ[ ZLY]PJL JVZ[ ^LYL TLHZ\YLK \ZPUN [OL 7YVQLJ[LK <UP[ *YLKP[ 4L[OVK N +PZJV\U[ YH[L PZ IHZLK VU [OL WYL]HPSPUN THYRL[ `PLSKZ VM 0UKPHU .V]LYUTLU[ ZLJ\YP[PLZ HZ H[ [OL IHSHUJL ZOLL[ KH[L MVY [OL LZ[PTH[LK [LYT VM [OL VISPNH[PVUZ O ,_WLJ[LK YH[L VM YL[\YU VU [OL WSHU HZZL[Z PZ IHZLK VU [OL H]LYHNL SVUN [LYT YH[L VM YL[\YU L_WLJ[LK VU PU]LZ[TLU[Z VM [OL -\UK K\YPUN [OL LZ[PTH[LK [LYT VM [OL VISPNH[PVUZ P

1 14

;OL ZHSHY` LZJHSH[PVU YH[L PZ HYYP]LK HM[LY [HRPUN PU[V JVUZPKLYH[PVU [OL ZLUPVYP[` [OL WYVTV[PVU HUK V[OLY YLSL]HU[ MHJ[VYZ Z\JO HZ KLTHUK HUK Z\WWS` PU LTWSV`TLU[ THYRL[

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

41. DISCLOSURES AS REQUIRED BY ACCOUNTING STANDARD (AS) 17 SEGMENT REPORTING I

Primary Segments (Business Segments)

7HY[PJ\SHYZ

,SPTPUH[PVUZ Unallocable Expenditure / Assets*

;V[HS

7V^LY :`Z[LTZ

*VUZ\TLY 7YVK\J[Z

0UK\Z[YPHS :`Z[LTZ

6[OLYZ

2818.71

2845.71

1440.45

384.70

-

7489.57

4.82

1.34

48.49

-

(54.65)

-

2823.53

2847.05

1488.94

384.70

(54.65)

7489.57

258.52

337.46

152.87

1.88

-

Revenue ,_[LYUHS ZHSLZ UL[ VM L_JPZL K\[` 0U[LY ZLNTLU[ ZHSLZ Total :LNTLU[ YLZ\S[Z Less: -PUHUJL JVZ[Z

750.73 (22.02)

Less: 6[OLY \UHSSVJHISL L_WLUKP[\YL UL[ VM \UHSSVJHISL PUJVTL

60.30 712.45

7YVÄ[ ILMVYL [H_ ;H_ L_WLUZL

191.36

7YVÄ[ HM[LY [H_

521.09

Capital Employed: :LNTLU[ HZZL[Z

1875.96

628.01

682.77

216.13

2183.58

5586.45

:LNTLU[ SPHIPSP[PLZ

1024.31

506.85

286.01

26.77

281.97

2125.91

851.65

121.16

396.76

189.36

1901.61

3460.54

*HWP[HS L_WLUKP[\YL

54.11

28.65

23.44

15.31

18.78

140.29

+LWYLJPH[PVU HUK HTVY[PZH[PVU L_WLUZL

37.45

10.30

26.10

1.22

14.28

89.35

7.92

4.71

9.94

0.06

-

22.63

6[OLYZ

,SPTPUH[PVUZ Unallocable Expenditure / Assets*

;V[HS

Net Assets

5VU JHZO L_WLUZLZ V[OLY [OHU KLWYLJPH[PVU

7HY[PJ\SHYZ

7V^LY :`Z[LTZ

*VUZ\TLY 7YVK\J[Z

0UK\Z[YPHS :`Z[LTZ

Revenue ,_[LYUHS ZHSLZ UL[ VM L_JPZL K\[` 0U[LY ZLNTLU[ ZHSLZ Total :LNTLU[ YLZ\S[Z

Less: -PUHUJL JVZ[Z

Less: 6[OLY \UHSSVJHISL L_WLUKP[\YL UL[ VM \UHSSVJHISL PUJVTL

7YVÄ[ ILMVYL [H_

;H_ L_WLUZL

7YVÄ[ HM[LY [H_

Capital Employed: :LNTLU[ HZZL[Z

*HWP[HS L_WLUKP[\YL

+LWYLJPH[PVU HUK HTVY[PZH[PVU L_WLUZL

:LNTLU[ SPHIPSP[PLZ Net Assets

5VU JHZO L_WLUZLZ V[OLY [OHU KLWYLJPH[PVU

<UHSSVJHISL HZZL[Z JVTWYPZL HZZL[Z HUK SPHIPSP[PLZ ^OPJO JHUUV[ IL HSSVJH[LK [V [OL ZLNTLU[Z ;H_ JYLKP[ HZZL[Z SPHIPSP[PLZ HYL UV[ JVUZPKLYLK PU JHWP[HS LTWSV`LK

FI NA N C I A L S

115

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

41. DISCLOSURES AS REQUIRED BY ACCOUNTING STANDARD (AS) 17 SEGMENT REPORTING (Contd.) II

Secondary Segments (Geographical Segments) F 8JLRJSY WJ[JSZJ G^ QTHFYNTS TK HZXYTRJWX

6584.28

(ZPH

348.45

(MYPJH

230.15

Sales and service revenue: +VTLZ[PJ 6]LYZLHZ!

5VY[O (TLYPJH

33.55

:V\[O (TLYPJH

225.84

59.09

8.21

7489.57

(Z H[

(Z H[

+VTLZ[PJ

4283.51

6]LYZLHZ

1302.94

Total

5586.45

(Z H[

(Z H[

,\YVWL (\Z[YHSPH Total G 9MJ HFWW^NSL FRTZSY TK XJLRJSY FXXJYX G^ QTHFYNTS TK FXXJYX

... :SFQQTHFGQJ &XXJYX 1NFGNQNYNJX J]HQZIJ

1NFGNQNYNJX 3VUN [LYT IVYYV^PUNZ

0.54

+LMLYYLK [H_ SPHIPSP[PLZ

73.59

:OVY[ [LYT IVYYV^PUNZ

29.99

*\YYLU[ TH[\YP[PLZ VM SVUN [LYT IVYYV^PUNZ

0.35 104.47

Total

.; 8JLRJSY .IJSYNÁHFYNTS 7JUTWYFGQJ 8JLRJSY FSI IJÁSNYNTS TK JFHM 7JUTWYFGQJ 8JLRJSY H 7YPTHY` ZLNTLU[! 0U [OL VWPUPVU VM [OL THUHNLTLU[ [OL I\ZPULZZ ZLNTLU[ JVTWYPZLZ [OL MVSSV^PUN ! P

7V^LY :`Z[LTZ

! ;YHUZMVYTLY :^P[JONLHY ;\YURL` 7YVQLJ[Z HUK 7V^LY :*(+( :\WLY]PZVY` JVU[YVS HUK KH[H HJX\PZP[PVU Z`Z[LTZ

PP *VUZ\TLY 7YVK\J[Z

! -HUZ (WWSPHUJLZ 3\TPUHPYLZ 3PNO[ :V\YJLZ HUK 7\TWZ

PPP 0UK\Z[YPHS :`Z[LTZ

! ,SLJ[YPJ 4V[VYZ (S[LYUH[VYZ +YP]LZ ;YHJ[PVU ,SLJ[YVUPJZ HUK :*(+(

P] 6[OLY

! 7V^LY +PZ[YPI\[PVU

I 7YPTHY` :LJVUKHY` ZLNTLU[ YLWVY[PUN MVYTH[! P

;OL YPZR YL[\YU WYVÄSL VM [OL *VTWHU`»Z I\ZPULZZ PZ KL[LYTPULK WYLKVTPUHU[S` I` [OL UH[\YL VM P[Z WYVK\J[Z HUK ZLY]PJLZ (JJVYKPUNS` [OL I\ZPULZZ ZLNTLU[ JVUZ[P[\[LZ [OL WYPTHY` ZLNTLU[ MVY KPZJSVZ\YL VM ZLNTLU[ PUMVYTH[PVU

PP 0U YLZWLJ[ VM ZLJVUKHY` ZLNTLU[ PUMVYTH[PVU [OL THUHNLTLU[ OHZ PKLU[PÄLK P[Z NLVNYHWOPJHS ZLNTLU[Z HZ H +VTLZ[PJ HUK I 6]LYZLHZ ;OL ZLJVUKHY` ZLNTLU[ PUMVYTH[PVU OHZ ILLU KPZJSVZLK HJJVYKPUNS` J :LNTLU[ PKLU[PÄJH[PVU!

)\ZPULZZ ZLNTLU[Z OH]L ILLU PKLU[PÄLK VU [OL IHZPZ VM [OL UH[\YL VM WYVK\J[Z ZLY]PJLZ [OL YPZR YL[\YU WYVÄSL VM PUKP]PK\HS I\ZPULZZLZ [OL VYNHUPaH[PVUHS Z[Y\J[\YL HUK [OL PU[LYUHS YLWVY[PUN Z`Z[LT VM [OL *VTWHU`

K 9LWVY[HISL ZLNTLU[Z!

9LWVY[HISL ZLNTLU[Z OH]L ILLU PKLU[PÄLK HZ WLY [OL X\HU[P[H[P]L JYP[LYPH ZWLJPÄLK PU [OL (JJV\U[PUN :[HUKHYK

L :LNTLU[ YL]LU\L HUK YLZ\S[Z!

;OL L_WLUZLZ HUK PUJVTLZ ^OPJO HYL UV[ KPYLJ[S` H[[YPI\[HISL [V HU` I\ZPULZZ ZLNTLU[ HYL ZOV^U HZ \UHSSVJHISL L_WLUKP[\YL UL[ VM \UHSSVJH[LK PUJVTL

M :LNTLU[ HZZL[Z HUK SPHIPSP[PLZ!

:LNTLU[ HZZL[Z PUJS\KL HSS VWLYH[PUN HZZL[Z \ZLK I` [OL I\ZPULZZ ZLNTLU[ HUK THPUS` JVUZPZ[ VM Ä_LK HZZL[Z [YHKL YLJLP]HISLZ HUK PU]LU[VYPLZ :LNTLU[ SPHIPSP[PLZ WYPTHYPS` PUJS\KL [YHKL WH`HISLZ HUK V[OLY SPHIPSP[PLZ *VTTVU HZZL[Z HUK SPHIPSP[PLZ ^OPJO JHUUV[ IL HSSVJH[LK [V HU` VM [OL ZLNTLU[Z HYL ZOV^U HZ H WHY[ VM \UHSSVJHISL HZZL[Z SPHIPSP[PLZ

N 0U[LY ZLNTLU[ [YHUZMLY!

116

0U[LY ZLNTLU[ WYPJLZ HYL UVYTHSS` ULNV[PH[LK HTVUNZ[ ZLNTLU[Z ^P[O YLMLYLUJL [V [OL JVZ[Z THYRL[ WYPJL HUK I\ZPULZZ YPZRZ 7YVÄ[ VY SVZZ VU PU[LY ZLNTLU[ [YHUZMLYZ HYL LSPTPUH[LK H[ [OL *VTWHU` SL]LS

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

42. DISCLOSURES AS REQUIRED BY ACCOUNTING STANDARD (AS) 18 RELATED PARTY DISCLOSURES :Y 5V 5HTL VM [OL 9LSH[LK 7HY[` N

9LSH[PVUZOPW

;YHUZHJ[PVUZ LU[LYLK K\YPUN [OL `LHY @LZ 5V

1NXY TK WJQFYJI UFWYNJX T[JW \MNHM HTSYWTQ J]NXYX

8ZGXNINFWNJX

*. ,ULYN` 4HUHNLTLU[ 3PTP[LK

>OVSS` V^ULK :\IZPKPHY`

5V

*. 770 (KOLZP]L 7YVK\J[Z 3PTP[LK

:\IZPKPHY` VM [OL *VTWHU`

@LZ

*. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK

>OVSS` V^ULK :\IZPKPHY`

@LZ

*. 7V^LY :VS\[PVUZ 3PTP[LK

>OVSS` V^ULK Z\IZPKPHY`

@LZ

*. 0U[LYUH[PVUHS ) =

:\IZPKPHY` VM [OL *VTWHU`

@LZ

*. /VSKPUNZ )LSNP\T 5 =

>OVSS` V^ULK Z\IZPKPHY` VM *. 0U[LYUH[PVUHS ) =

@LZ

*. 7V^LY :`Z[LTZ )LSNP\T 5 =

:\IZPKPHY` VM *. /VSKPUNZ )LSNP\T 5 =

@LZ

*. 7V^LY :`Z[LTZ 0YLSHUK 3PTP[LK

>OVSS` V^ULK Z\IZPKPHY` VM *. 7V^LY :`Z[LTZ )LSNP\T 5 =

@LZ

*. :HSLZ 5L[^VYRZ -YHUJL :(

:\IZPKPHY` VM *. 7V^LY :`Z[LTZ )LSNP\T 5 =

@LZ

*. 7V^LY :`Z[LTZ <:( 0UJ TLYNLK ^P[O *. 7V^LY <:( 0UJ ^ L M Z[ 1\S` *. :HSLZ 5L[^VYRZ (TLYPJHZ 0UJ TLYNLK ^P[O *. 7V^LY <:( 0UJ ^ L M Z[ 1\S` *. 7V^LY :`Z[LTZ *HUHKH 0UJ

>OVSS` V^ULK Z\IZPKPHY` VM *. 7V^LY :`Z[LTZ )LSNP\T 5 =

@LZ

>OVSS` V^ULK Z\IZPKPHY` VM *. /VSKPUNZ )LSNP\T 5 =

@LZ

>OVSS` V^ULK Z\IZPKPHY` VM *. 7V^LY :`Z[LTZ )LSNP\T 5 =

5V

*. :LY]PJL :`Z[LTZ *\YHJHV 5 = SPX\PKH[LK ^ L M [O :LW[LTILY 7; *. 7V^LY :`Z[LTZ 0UKVULZPH

:\IZPKPHY` VM *. 0U[LYUH[PVUHS ) =

5V

:\IZPKPHY` VM *. 7V^LY :`Z[LTZ )LSNP\T 5 =

@LZ

*. /VSKPUNZ /\UNHY` 2M[

:\IZPKPHY` VM *. /VSKPUNZ )LSNP\T 5 =

5V

*. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[

>OVSS` V^ULK Z\IZPKPHY` VM *. 7V^LY :`Z[LTZ )LSNP\T 5 =

@LZ

*. 7V^LY /VSKPUNZ 0YLSHUK 3PTP[LK

>OVSS` V^ULK Z\IZPKPHY` VM *. 0U[LYUH[PVUHS ) =

5V

4PJYVZVS 3PTP[LK

>OVSS` V^ULK Z\IZPKPHY` VM *. 7V^LY :`Z[LTZ 0YLSHUK 3PTP[LK

5V

:\IZPKPHY` VM *. 7V^LY :`Z[LTZ )LSNP\T 5 =

@LZ

=PZLYNL 3PTP[LK SPX\PKH[LK ^ L M [O -LIY\HY` *. :LY]PJL :`Z[LTZ -YHUJL :(:

:\IZPKPHY` VM *. 7V^LY /VSKPUNZ 0YLSHUK 3PTP[LK

5V

>OVSS` V^ULK Z\IZPKPHY` VM *. 0U[LYUH[PVUHS ) =

5V

*. 7V^LY <:( 0UJ MVYTLYS` *. 7V^LY :VS\[PVUZ <:( 0UJ *. /VSKPUNZ .LYTHU` .TI/ SPX\PKH[LK ^ L M [O 5V]LTILY *. 7V^LY :VS\[PVUZ <2 3PTP[LK

:\IZPKPHY` VM *. 7V^LY :`Z[LTZ )LSNP\T 5 =

5V

>OVSS` V^ULK Z\IZPKPHY` VM *. 0U[LYUH[PVUHS ) =

5V

>OVSS` V^ULK Z\IZPKPHY` VM *. (\[VTH[PVU :`Z[LTZ <2 3PTP[LK

5V

*. /VSKPUNZ <:( 0UJ TLYNLK ^P[O *. 7V^LY <:( 0UJ ^ L M Z[ 1\S` *. 7V^LY *V\U[` 33*

>OVSS` V^ULK Z\IZPKPHY` VM *. 7V^LY :`Z[LTZ )LSNP\T 5 =

5V

>OVSS` V^ULK Z\IZPKPHY` VM *. 7V^LY <:( 0UJ

5V

*. 7V^LY :`Z[LTZ )YHaPS 3;+(

>OVSS` V^ULK Z\IZPKPHY` VM *. 7V^LY :`Z[LTZ )LSNP\T 5 =

@LZ

*. 7V^LY :VS\[PVUZ :H\KP (YHIPH 3[K

:\IZPKPHY` VM *. /VSKPUNZ )LSNP\T 5 =

5V

>OVSS` V^ULK Z\IZPKPHY` VM *. /VSKPUNZ )LSNP\T 5 =

5V

*. (\[VTH[PVU :`Z[LTZ <2 3PTP[LK

*. :HSLZ 5L[^VYRZ :PUNHWVYL 7;, 3PTP[LK SPX\PKH[LK ^ L M [O 6J[VILY *YVTW[VU .YLH]LZ /VSKPUNZ 4H\YP[P\Z 3PTP[LK

>OVSS` V^ULK Z\IZPKPHY`

5V

*. 0U[LYUH[PVUHS /VSKPUNZ :PUNHWVYL 7;, 3PTP[LK

>OVSS` V^ULK Z\IZPKPHY` VM *YVTW[VU .YLH]LZ /VSKPUNZ 4H\YP[P\Z 3PTP[LK

5V

*. 0UK\Z[YPHS /VSKPUNZ :^LKLU ()

>OVSS` V^ULK Z\IZPKPHY` VM *. 0U[LYUH[PVUHS ) =

5V

*YVTW[VU .YLH]LZ /VSKPUNZ :^LKLU () TLYNLK ^P[O *. +YP]LZ HUK (\[VTH[PVU :^LKLU () ^ L M [O -LIY\HY` *. +YP]LZ HUK (\[VTH[PVU :^LKLU ()

>OVSS` V^ULK Z\IZPKPHY` VM *. 0UK\Z[YPHS /VSKPUNZ :^LKLU ()

5V

>OVSS` V^ULK Z\IZPKPHY` VM *. 0UK\Z[YPHS /VSKPUNZ :^LKLU ()

@LZ

*. +YP]LZ HUK (\[VTH[PVU 5L[OLYSHUKZ ) =

>OVSS` V^ULK Z\IZPKPHY` VM *. 0U[LYUH[PVUHS ) =

@LZ

*. +YP]LZ HUK (\[VTH[PVUZ .LYTHU` .TI/

>OVSS` V^ULK Z\IZPKPHY` VM *. 0U[LYUH[PVUHS ) =

@LZ

,TV[YVU 3H[PU (TLYPJH 0UJ

>OVSS` V^ULK Z\IZPKPHY` VM *. +YP]LZ HUK (\[VTH[PVU :^LKLU ()

5V

*. (\[VTH[PVU :VS\[PVUZ <:( 0UJ TLYNLK ^P[O *. 7V^LY <:( 0UJ ^ L M Z[ 1\S` A0= (WSPJHJPVULZ ` ;LJUVSVNPH : 3

>OVSS` V^ULK Z\IZPKPHY` VM *. /VSKPUN <:( 0UJ

5V

>OVSS` V^ULK Z\IZPKPHY` VM *. 0U[LYUH[PVUHS ) =

5V

A0= 4L[LYPUN :VS\[PVUZ : 3

>OVSS` V^ULK Z\IZPKPHY` VM A0= (WSPJHJPVULZ ` ;LJUVSVNPH : 3

@LZ

A0= .YPK (\[VTH[PVU : 3

>OVSS` V^ULK Z\IZPKPHY` VM A0= (WSPJHJPVULZ ` ;LJUVSVNPH : 3

5V

A0= *VTT\UPJH[PVUZ : (

>OVSS` V^ULK Z\IZPKPHY` VM A0= (WSPJHJPVULZ ` ;LJUVSVNPH : 3

@LZ

A0= <:( 0UJ

>OVSS` V^ULK Z\IZPKPHY` VM A0= (WSPJHJPVULZ ` ;LJUVSVNPH : 3

5V

A0= +V )YHaPS 3;+(

:\IZPKPHY` VM A0= (WSPJHJPVULZ ` ;LJUVSVNPH : 3

5V

A0= 0 + :THY[ ,ULYN` 5L[^VYRZ

:\IZPKPHY` VM A0= 4L[LYPUN :VS\[PVUZ : 3

5V

*. 4PKKSL ,HZ[ -A, PUJVYWVYH[LK VU [O (WYPS *YVTW[VU .YLH]LZ :HSLZ 5L[^VYR 4HSH`ZPH :+5 )/+ PUJVYWVYH[LK VU [O :LW[LTILY

>OVSS` V^ULK Z\IZPKPHY` VM *. 0U[LYUH[PVUHS ) =

5V

>OVSS` V^ULK Z\IZPKPHY` VM *. 0U[LYUH[PVUHS /VSKPUNZ :PUNHWVYL 7;, 3PTP[LK

5V FI NA N C I A L S

117

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

42. DISCLOSURES AS REQUIRED BY ACCOUNTING STANDARD (AS) 18 RELATED PARTY DISCLOSURES (Contd.) NN 1NXY TK WJQFYJI UFWYNJX \NYM \MTR YWFSXFHYNTSX \JWJ HFWWNJI TZY IZWNSL YMJ ^JFW FSI IJXHWNUYNTS TK WJQFYNTSXMNU Associate:

*. 3\J` :^P[JONLHY 3PTP[LK

Key Management Personnel:

.H\[HT ;OHWHY *OHPYTHU HUK 7YVTV[LY +PYLJ[VY

3H\YLU[ +LTVY[PLY *,6 4HUHNPUN +PYLJ[VY

4YMJW WJQFYJI UFWYNJX NS \MNHM INWJHYTWX FWJ NSYJWJXYJI

)HSSHYW\Y 0UK\Z[YPLZ 3PTP[LK

:VSHYPZ *OLT;LJO 0UK\Z[YPLZ 3PTP[LK

)03; .YHWOPJ 7HWLY 7YVK\J[Z 3PTP[LK

(]HU[OH /VSKPUNZ 3PTP[LK

:HSPLU[ )\ZPULZZ :VS\[PVUZ 3PTP[LK

(]HU[OH 9LHS[` 3PTP[LK

2VYIH >LZ[ 7V^LY *VTWHU` 3PTP[LK

:HIHO -VYLZ[ 0UK\Z[YPLZ :KU )OK 4HSHUW\Y *HW[P]L 7V^LY 3PTP[LK

*VYLSSH 0U]LZ[TLU[Z 3PTP[LK 3\Z[YL 0U[LYUH[PVUHS 3PTP[LK =HY\U 7YHRHZOHU 7YP]H[L 3PTP[LK 1OHI\H 7V^LY 3PTP[LK

118

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

42. DISCLOSURES AS REQUIRED BY ACCOUNTING STANDARD (AS) 18 RELATED PARTY DISCLOSURES (Contd.) NNN 9MJ KTQQT\NSL YWFSXFHYNTSX \JWJ HFWWNJI TZY \NYM YMJ WJQFYJI UFWYNJX NS YMJ TWINSFW^ HTZWXJ TK GZXNSJXX :Y 5V 5H[\YL VM [YHUZHJ[PVU YLSH[PVUZOPW 1 Purchase of goods and services 8ZGXNINFWNJX *. 770 (KOLZP]L 7YVK\J[Z 3PTP[LK *. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK *. /VSKPUNZ )LSNP\T 5 = *. 7V^LY :`Z[LTZ )LSNP\T 5 = *. 7V^LY :`Z[LT 0YLSHUK 3PTP[LK *. 7V^LY :`Z[LTZ <:( 0UJ *. :HSLZ 5L[^VYRZ (TLYPJHZ 0UJ *. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[ *. (\[VTH[PVU :`Z[LTZ <2 3PTP[LK *. +YP]LZ HUK (\[VTH[PVU :^LKLU () *. +YP]LZ (\[VTH[PVU .LYTHU` .TI/ A0= 4L[LYPUN :VS\[PVUZ : 3 A0= *VTT\UPJH[PVUZ : ( Associate *. 3\J` :^P[JONLHY 3PTP[LK Other Related Parties )HSSHYW\Y 0UK\Z[YPLZ 3PTP[LK )03; .YHWOPJ 7HWLY 7YVK\J[Z 3PTP[LK Total 2

3

4

Sales of goods and services 8ZGXNINFWNJX *. 770 (KOLZP]L 7YVK\J[Z 3PTP[LK *. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK *. /VSKPUNZ )LSNP\T 5 = *. 7V^LY :`Z[LTZ )LSNP\T 5 = *. :HSLZ 5L[^VYRZ -YHUJL :( *. 7V^LY :`Z[LTZ <:( 0UJ *. :HSLZ 5L[^VYRZ (TLYPJHZ 0UJ 7; *. 7V^LY :`Z[LTZ 0UKVULZPH *. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[ *. (\[VTH[PVU :`Z[LTZ <2 3PTP[LK *. 7V^LY :`Z[LTZ )YHaPS 3;+( *. +YP]LZ (\[VTH[PVU :^LKLU () *. +YP]LZ (\[VTH[PVU 5L[OLYSHUKZ ) = *. +YP]LZ HUK (\[VTH[PVUZ .LYTHU` .TI/ Associates *. 3\J` :^P[JONLHY 3PTP[LK (]HU[OH 7V^LY 0UMYHZ[Y\J[\YL 3PTP[LK Other Related Parties )HSSHYW\Y 0UK\Z[YPLZ 3PTP[LK :VSHYPZ *OLT;LJO 0UK\Z[YPLZ 3PTP[LK )03; .YHWOPJ 7HWLY 7YVK\J[Z 3PTP[LK (]HU[OH /VSKPUNZ 3PTP[LK 2VYIH >LZ[ 7V^LY *VTWHU` 3PTP[LK :HIHO -VYLZ[ 0UK\Z[YPLZ :KU )OK 1OHI\H 7V^LY 3PTP[LK Total 8FQJ TK KN]JI FXXJYX 8ZGXNINFW^ *. 7V^LY :`Z[LTZ )LSNP\T 5 = Other Related Party (]HU[OH /VSKPUNZ 3PTP[LK Total

3.35 15.81 0.07 0.17 0.04 10.49 5.08 0.02 0.84

113.87

0.09 0.47

150.30

0.16 4.18 3.38 0.69 0.06 78.38 1.80 20.56 0.31 17.43 0.25 0.37 8.88

10.40 -

0.60 0.13 0.63 0.01 9.12 0.37 5.14 162.85

-

-

-

5ZWHMFXJ TK KN]JI FXXJYX 8ZGXNINFWNJX

Total

*. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK

0.11

*. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[

0.03

0.14

FI NA N C I A L S

119

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

42. DISCLOSURES AS REQUIRED BY ACCOUNTING STANDARD (AS) 18 RELATED PARTY DISCLOSURES (Contd.) NNN 9MJ KTQQT\NSL YWFSXFHYNTSX \JWJ HFWWNJI TZY \NYM YMJ WJQFYJI UFWYNJX NS YMJ TWINSFW^ HTZWXJ TK GZXNSJXX (TSYI :Y 5V 5H[\YL VM [YHUZHJ[PVU YLSH[PVUZOPW 5 8ZGXHWNUYNTS YT JVZNY^ XMFWJX 8ZGXNINFWNJX *. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK *. 0U[LYUH[PVUHS ) = Total 6

251.15

251.15

.SYJWJXY J]UJSXJX 8ZGXNINFWNJX *. 770 (KOLZP]L 7YVK\J[Z 3PTP[LK

0.33

*. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[

-

0.36

0.69

0.20

0.20

Associate *. 3\J` :^P[JONLHY 3PTP[LK Total 7

Dividend received 8ZGXNINFW^ *. 770 (KOLZP]L 7YVK\J[Z 3PTP[LK Total

8

Bank charges recovered 8ZGXNINFW^ 50.09

50.09

0.34

)HSSHYW\Y 0UK\Z[YPLZ 3PTP[LK

0.85

:VSHYPZ *OLT;LJO 0UK\Z[YPLZ 3PTP[LK

0.30

)03; .YHWOPJ 7HWLY 7YVK\J[Z 3PTP[LK

1.12

2.61

0.42 3.96 29.65

*. 0U[LYUH[PVUHS ) = Total 9

Rental income 8ZGXNINFW^ *. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK Other Related Parties

Total 10 Interest income 8ZGXNINFWNJX *. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK *. 7V^LY :VS\[PVUZ 3PTP[LK *. 0U[LYUH[PVUHS ) = Other Related Party

0.83

34.86

.H\[HT ;OHWHY

5.21

3H\YLU[ +LTVY[PLY

8.79

14.00

4HSHUW\Y *HW[P]L 7V^LY 3PTP[LK Total 11 Payment of salaries, commission and perquisites Key Management PersonneS

Total 12 Dividend paid Other Related Parties

30.71

(]HU[OH 9LHS[` 3PTP[LK

0.00

*VYLSSH 0U]LZ[TLU[Z 3PTP[LK

0.87

3\Z[YL 0U[LYUH[PVUHS 3PTP[LK

0.52

=HY\U 7YHRHZOHU 7YP]H[L 3PTP[LK

0.00

32.10

(]HU[OH /VSKPUNZ 3PTP[LK

Total 120

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

42. DISCLOSURES AS REQUIRED BY ACCOUNTING STANDARD (AS) 18 RELATED PARTY DISCLOSURES (Contd.) NNN 9MJ KTQQT\NSL YWFSXFHYNTSX \JWJ HFWWNJI TZY \NYM YMJ WJQFYJI UFWYNJX NS YMJ TWINSFW^ HTZWXJ TK GZXNSJXX (TSYI :Y 5V 5H[\YL VM [YHUZHJ[PVU YLSH[PVUZOPW

13 Commission paid 8ZGXNINFW^ *. :HSLZ 5L[^VYRZ (TLYPJHZ 0UJ Total

1.44

1.44

14 Rent paid Other Related Party 2.04

2.04

*. /VSKPUNZ )LSNP\T 5 =

-

*. 7V^LY :`Z[LTZ )LSNP\T 5 =

-

*. :HSLZ 5L[^VYRZ (TLYPJHZ 0UJ

0.15

7; *. 7V^LY :`Z[LTZ 0UKVULZPH

-

(]HU[OH 9LHS[` 3PTP[LK Total 15 4YMJW J]UJSXJX 8ZGXNINFWNJX

*. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[ *. +YP]LZ HUK (\[VTH[PVU :^LKLU ()

0.15

-

Other Related Parties 67.64

:HSPLU[ )\ZPULZZ :VS\[PVUZ 3PTP[LK

1.13

(]HU[OH 9LHS[` 3PTP[LK

0.47

(]HU[OH /VSKPUNZ 3PTP[LK

(]HU[OH ;LJOUVSVNPLZ 3PTP[LK Total

-

69.54

16 7JHT[JW^ J]UJSXJX 8ZGXNINFW^ *. 0U[LYUH[PVUHS ) = Total

29.21

29.21

FI NA N C I A L S

121

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

42. DISCLOSURES AS REQUIRED BY ACCOUNTING STANDARD (AS) 18 RELATED PARTY DISCLOSURES (Contd.) iv) Amount due to / from related parties :Y 5V 5H[\YL VM [YHUZHJ[PVU YLSH[PVUZOPW 1

(Z H[

(Z H[

&HHTZSYX UF^FGQJ 8ZGXNINFWNJX *. 770 (KOLZP]L 7YVK\J[Z 3PTP[LK

0.75

*. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK

8.84

*. /VSKPUNZ )LSNP\T 5 =

0.03

*. 7V^LY :`Z[LTZ )LSNP\T 5 =

0.15

*. 7V^LY :`Z[LT <:( 0UJ

0.19

*. :HSLZ 5L[^VYRZ (TLYPJHZ 0UJ

3.85

7; *. 7V^LY :`Z[LTZ 0UKVULZPH

-

*. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[

21.59

*. (\[VTH[PVU :`Z[LTZ <2 3PTP[LK

1.79

*. :LY]PJL :`Z[LTZ -YHUJL :(:

0.03

45.76

*. +YP]LZ HUK (\[VTH[PVU :^LKLU ()

A0= 4L[LYPUN :VS\[PVUZ : 3

0.02

A0= *VTT\UPJH[PVU : (

0.95

35.15

)HSSHYW\Y 0UK\Z[YPLZ 3PTP[LK

0.00

(]HU[OH /VSKPUNZ 3PTP[LK

0.09

:HSPLU[ )\ZPULZZ :VS\[PVUZ 3PTP[LK

0.20

119.39

1.10

-

*. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK

0.16

*. /VSKPUNZ )LSNP\T 5 =

4.17

*. 7V^LY :`Z[LTZ )LSNP\T 5 =

0.53

*. 7V^LY :`Z[LT 0YLSHUK 3PTP[LK

0.00

*. :HSLZ 5L[^VYRZ -YHUJL :(

0.34

*. 7V^LY :`Z[LTZ <:( 0UJ

0.11

Associate *. 3\J` :^P[JONLHY 3PTP[LK Other Related Parties

Total 2

&HHTZSYX WJHJN[FGQJ 8ZGXNINFWNJX *. ,ULYN` 4HUHNLTLU[ 3PTP[LK *. 770 (KOLZP]L 7YVK\J[Z 3PTP[LK

20.63

*. 7V^LY :`Z[LTZ *HUHKH 0UJ

0.03

7; *. 7V^LY :`Z[LTZ 0UKVULZPH

0.09

*. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[

9.96

*. (\[VTH[PVU :`Z[LTZ <2 3PTP[LK

0.09

10.60

*. +YP]LZ HUK (\[VTH[PVU :^LKLU ()

0.24

*. +YP]LZ (\[VTH[PVU 5L[OLYSHUKZ ) =

0.35

*. +YP]LZ (\[VTH[PVU .LYTHU` .TI/

2.74

*. 3\J` :^P[JONLHY 3PTP[LK

2.60

(]HU[OH 7V^LY 0UMYHZ[Y\J[\YL 3PTP[LK

0.00

)HSSHYW\Y 0UK\Z[YPLZ 3PTP[LK

0.38

:VSHYPZ *OLT;LJO 0UK\Z[YPLZ 3PTP[LK

0.17

)03; .YHWOPJ 7HWLY 7YVK\J[Z 3PTP[LK

1.99

(]HU[OH /VSKPUNZ 3PTP[LK

0.00

10.48

*. :HSLZ 5L[^VYRZ (TLYPJHZ 0UJ

*. 7V^LY :`Z[LTZ )YHaPS 3;+(

Associates

Other Related Parties

2VYIH >LZ[ 7V^LY *VTWHU` 3PTP[LK

122

:HIHO -VYLZ[ 0UK\Z[YPLZ :KU )OK

0.17

1OHI\H 7V^LY 3PTP[LK

8.34

75.27

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

42. DISCLOSURES AS REQUIRED BY ACCOUNTING STANDARD (AS) 18 RELATED PARTY DISCLOSURES (Contd.) iv) Amount due to / from related parties (Contd.) :Y 5V 5H[\YL VM [YHUZHJ[PVU YLSH[PVUZOPW 3 1TFSX FSI FI[FSHJX WJHJN[FGQJ

(Z H[

(Z H[

8ZGXNINFWNJX *. ,ULYN` 4HUHNLTLU[ 3PTP[LK

0.08

*. 770 (KOLZP]L 7YVK\J[Z 3PTP[LK

0.02

11.83

*. 7V^LY :VS\[PVUZ 3PTP[LK

110.44

*. 0U[LYUH[PVUHS ) =

528.70

*. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK

*. /VSKPUNZ )LSNP\T 5 =

0.05

*. 7V^LY :`Z[LTZ )LSNP\T 5 =

4.00

*. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[

0.02

*. +YP]LZ HUK (\[VTH[PVU :^LKLU ()

0.19

-

Associate *. 3\J` :^P[JONLHY 3PTP[LK Other Related Party 11.20

666.53

*. ,ULYN` 4HUHNLTLU[ 3PTP[LK

0.02

*. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK

1.38

*. 7V^LY :`Z[LTZ <:( 0UJ

0.08

*. :HSLZ 5L[^VYRZ (TLYPJHZ 0UJ

1.77

7; *. 7V^LY :`Z[LTZ 0UKVULZPH

0.20

*. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[

0.01

*. +YP]LZ HUK (\[VTH[PVU :^LKLU ()

0.01

-

:VSHYPZ *OLT;LJO 0UK\Z[YPLZ 3PTP[LK

0.13

2VYIH >LZ[ 7V^LY *VTWHU` 3PTP[LK

3.54

7.14

4HSHUW\Y *HW[P]L 7V^LY 3PTP[LK Total 4

1TFSX FSI FI[FSHJX UF^FGQJ 8ZGXNINFWNJX

A0= (WSPJHJPVULZ ` ;LJUVSVNPH : 3 Other Related Parties

Total 5

)N[NIJSI UF^FGQJ Other Related Parties 10.24

(]HU[OH 9LHS[` 3PTP[LK

0.00

*VYLSSH 0U]LZ[TLU[Z 3PTP[LK

0.29

3\Z[YL 0U[LYUH[PVUHS 3PTP[LK

0.17

=HY\U 7YHRHZOHU 7YP]H[L 3PTP[LK

0.00

10.70

5.21

5.46 10.67

,ZWFSYJJX LN[JS TS GJMFQK TK XZGXNINFWNJX *. 0U[LYUH[PVUHS ) =

1151.67

*. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[

304.78

1456.45

(]HU[OH /VSKPUNZ 3PTP[LK

Total 6

Due to Key Management Personnel .H\[HT ;OHWHY 3H\YLU[ +LTVY[PLY Total

7

Total 5V[L ! 5V HTV\U[Z OH]L ILLU ^YP[[LU VMM VY ^YP[[LU IHJR K\YPUN [OL `LHY

43 H ;OL *VTWHU` OHZ UV[ LU[LYLK PU[V HU` ÄUHUJL SLHZL HZ ZWLJPÄLK PU (JJV\U[PUN :[HUKHYK (: 3LHZLZ ;OL *VTWHU` OHZ OV^L]LY [HRLU ]HYPV\Z YLZPKLU[PHS JVTTLYJPHS WYLTPZLZ HUK WSHU[ HUK LX\PWTLU[Z \UKLY JHUJLSSHISL VWLYH[PUN SLHZL ;OLZL SLHZL HNYLLTLU[Z HYL UVYTHSS` YLUL^LK VU L_WPY` ^OLYL]LY YLX\PYLK

I ;OLYL HYL UV L_JLW[PVUHS YLZ[YPJ[P]L JV]LUHU[Z PU [OL SLHZL HNYLLTLU[Z FI NA N C I A L S

123

` JYVYL

NOTES

ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

44. DISCLOSURE AS REQUIRED BY ACCOUNTING STANDARD (AS) 20 EARNINGS PER SHARE 7HY[PJ\SHYZ

521.09

5VZ

633254604

` ZOHYL `

2.00

8.23

(Z H[

(Z H[

>LPNO[LK H]LYHNL U\TILY VM LX\P[` ZOHYLZ V\[Z[HUKPUN -HJL ]HS\L VM LX\P[` ZOHYL >LPNO[LK H]LYHNL LHYUPUNZ WLY ZOHYL IHZPJ HUK KPS\[LK

` JYVYL

7YVÄ[ MVY [OL `LHY

45. FOREIGN CURRENCY TRANSACTIONS, FORWARD CONTRACTS AND DERIVATIVES :Y 5V *H[LNVY` VM +LYP]H[P]L 0UZ[Y\TLU[Z

;OL WHY[PJ\SHYZ VM KLYP]H[P]L JVU[YHJ[Z LU[LYLK PU[V MVY OLKNPUN W\YWVZLZ V\[Z[HUKPUN HZ H[ Z[ 4HYJO HYL HZ \UKLY!

1

For hedging foreign currency risks: H -VY^HYK JVU[YHJ[Z MVY YLJLP]HISLZ PUJS\KPUN ÄYT JVTTP[TLU[Z 34.00

<:+ TPSSPVU

0.03

,<9 TPSSPVU

0.04

.)7 TPSSPVU

0.04

42.50

<:+ TPSSPVU I -VY^HYK JVU[YHJ[Z MVY WH`HISLZ PUJS\KPUN ÄYT JVTTP[TLU[Z

J -VY^HYK JVU[YHJ[Z MVY SVHU ,<9 TPSSPVU 2

5FWYNHZQFWX TK ZSMJILJI KTWJNLS HZWWJSH^ J]UTXZWJ FX FY YMJ GFQFSHJ XMJJY IFYJ ` crore

` JYVYL

H ;YHKL WH`HISLZ

171.04

I 3VHUZ HUK V[OLY YLJLP]HISL

179.09

J

)HUR IHSHUJL PU J\YYLU[ HJJV\U[Z HUK [LYT KLWVZP[ HJJV\U[Z

K 0U]LZ[TLU[Z PU V]LYZLHZ Z\IZPKPHYPLZ

14.11

546.82

46. PARTICULARS IN RESPECT OF LOANS AND ADVANCES IN THE NATURE OF LOANS AS REQUIRED BY THE CLAUSE 32 OF LISTING AGREEMENT Balance as at 5HTL VM [OL *VTWHU`

2F]NRZR TZYXYFSINSL IZWNSL

(a) 1TFSX FSI FI[FSHJX NS YMJ SFYZWJ TK QTFSX LN[JS YT XZGXNINFWNJX *. ,ULYN` 4HUHNLTLU[ 3PTP[LK

0.08

0.08

*. 770 (KOLZP]L 7YVK\J[Z 3PTP[LK

0.02

0.02

11.83

14.16

*. 7V^LY :VS\[PVUZ 3PTP[LK

110.44

110.44

*. 0U[LYUH[PVUHS ) =

528.70

625.67

*. A0= 7V^LY (\[VTH[PVU :VS\[PVUZ 3PTP[LK

*. /VSKPUNZ )LSNP\T 5 =

0.05

*. 7V^LY :`Z[LTZ )LSNP\T 5 =

4.00

*. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[

0.02

0.02

-

-

0.19

0.19

-

0.00

*YVTW[VU .YLH]LZ /VSKPUNZ 4H\YP[P\Z 3PTP[LK *. +YP]LZ HUK (\[VTH[PVU :^LKLU ()

0.05 4.05

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0.08

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0.02

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0.02

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0.19

0.19

-

0.00

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124

11.83 528.70

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0.05 4.05

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ACCOMPANYING TO THE FINANCIAL STATEMENTS (Contd.)

46. PARTICULARS IN RESPECT OF LOANS AND ADVANCES IN THE NATURE OF LOANS AS REQUIRED BY THE CLAUSE 32 OF LISTING AGREEMENT (Contd.) Balance as at

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0.08

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0.02

0.02

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7.85

10.18

117.63

118.81

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0.05

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4.00

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SHARP & TANNAN

Madhav Acharya

Laurent Demortier

CHARTERED ACCOUNTANTS

CHIEF FINANCIAL OFFICER

CEO & MANAGING DIRECTOR

Milind P. Phadke

Minal Bhosale

Gautam Thapar

PARTNER

COMPANY SECRETARY

CHAIRMAN

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STATEMENT UNDER SECTION 212 OF THE COMPANIES ACT, 1956

Laurent Demortier CEO & MANAGING DIRECTOR

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Current year share of UWTÁY TW QTXX

-VYLPNU HZZVJPH[LZ

-\Y[OLY ^L KPK UV[ H\KP[ [OL ÄUHUJPHS Z[H[LTLU[Z VM 0UKPHU HZZVJPH[L ^OVZL ÄUHUJPHS Z[H[LTLU[Z OH]L ILLU JLY[PÄLK I` THUHNLTLU[ HUK OH]L ILLU M\YUPZOLK [V \Z HUK PUZVMHY HZ P[ YLSH[LZ [V [OL HTV\U[Z PUJS\KLK PU YLZWLJ[ VM [OL ZHPK HZZVJPH[L PZ IHZLK ZVSLS` VU [OLZL JLY[PÄLK ÄUHUJPHS Z[H[LTLU[Z ;OL KL[HPSZ VM UL[ JHYY`PUN JVZ[ VM PU]LZ[TLU[ HUK J\YYLU[ `LHY ZOHYL VM WYVÄ[ PU YLZWLJ[ VM [OL HZZVJPH[L [V [OL L_[LU[ [V ^OPJO [OL` HYL YLÅLJ[LK PU [OL JVUZVSPKH[LK ÄUHUJPHS Z[H[LTLU[Z HYL NP]LU ILSV^! (JWYNÁJI G^ RFSFLJRJSY ` JYVYL

0UKPHU HZZVJPH[L

Net carrying cost of investment

Current year share of UWTÁY

:PUJL [OL ÄUHUJPHS Z[H[LTLU[Z VM [OL HZZVJPH[L ^LYL JVTWPSLK I` THUHNLTLU[ VM [OVZL JVTWHUPLZ HUK ^LYL UV[ H\KP[LK HU` HKQ\Z[TLU[Z [V [OLPY IHSHUJLZ JV\SK OH]L JVUZLX\LU[PHS LMMLJ[Z VU [OL JVUZVSPKH[LK ÄUHUJPHS Z[H[LTLU[Z /V^L]LY [OL ZPaL VM [OL HZZVJPH[L PU [OL JVUZVSPKH[LK WVZP[PVU PZ UV[ ZPNUPÄJHU[ PU YLSH[P]L [LYTZ 6\Y VWPUPVU PZ UV[ X\HSPÄLK PU YLZWLJ[ VM [OLZL TH[[LYZ

SHARP & TANNAN CHARTERED ACCOUNTANTS -PYT»Z 9LNPZ[YH[PVU 5V

>

I` [OL OHUK VM

4\TIHP [O 4H`

Milind P. Phadke PARTNER 4LTILYZOPW 5V

FI NA N C I A L S

129

` JYVYL

CONSOLIDATED BALANCE SHEET

AS AT 31ST MARCH, 2014

5V[L 5V

(Z H[

(Z H[

125.35 3519.21

EQUITY AND LIABILITIES 1.

SHAREHOLDERS’ FUNDS: H :OHYL JHWP[HS I 9LZLY]LZ HUK Z\YWS\Z

2.

MINORITY INTEREST

3.

NON-CURRENT LIABILITIES: H 3VUN [LYT IVYYV^PUNZ I +LMLYYLK [H_ SPHIPSP[PLZ J 6[OLY SVUN [LYT SPHIPSP[PLZ K 3VUN [LYT WYV]PZPVUZ

3644.56 11.75

1632.25 187.83 86.48 73.11

1979.67

4.

CURRENT LIABILITIES: H :OVY[ [LYT IVYYV^PUNZ I ;YHKL WH`HISLZ J 6[OLY J\YYLU[ SPHIPSP[PLZ K :OVY[ [LYT WYV]PZPVUZ

560.77 2773.73 1712.04 333.33

5379.87 11015.85

TOTAL

ASSETS 1.

NON-CURRENT ASSETS: H -P_LK HZZL[Z P ;HUNPISL HZZL[Z

1571.17

PP 0U[HUNPISL HZZL[Z

510.79

91.54

126.83

PPP *HWP[HS ^VYR PU WYVNYLZZ P] 0U[HUNPISL HZZL[Z \UKLY KL]LSVWTLU[

1158.81

278.00

J +LMLYYLK [H_ HZZL[Z

341.00

K 3VUN [LYT SVHUZ HUK HK]HUJLZ

49.89

] .VVK^PSS VU JVUZVSPKH[PVU

I 5VU J\YYLU[ PU]LZ[TLU[Z

4128.03

2.

CURRENT ASSETS: H *\YYLU[ PU]LZ[TLU[Z

20.89

I 0U]LU[VYPLZ

1671.39

J ;YHKL YLJLP]HISLZ

3591.25

K *HZO HUK IHUR IHSHUJLZ

814.95

L :OVY[ [LYT SVHUZ HUK HK]HUJLZ

495.57

M 6[OLY J\YYLU[ HZZL[Z

293.77

TOTAL CONTINGENT LIABILITIES AND COMMITMENTS

SIGNIFICANT ACCOUNTING POLICIES 9MJ FHHTRUFS^NSL STYJX KTWR FS NSYJLWFQ UFWY TK HTSXTQNIFYJI ÁSFSHNFQ XYFYJRJSYX

6887.82

11015.85

(Z WLY V\Y YLWVY[ H[[HJOLK SHARP & TANNAN

Madhav Acharya

Laurent Demortier

CHARTERED ACCOUNTANTS

CHIEF FINANCIAL OFFICER

CEO & MANAGING DIRECTOR

Milind P. Phadke

Minal Bhosale

Gautam Thapar

PARTNER

COMPANY SECRETARY

CHAIRMAN

-PYT»Z 9LNPZ[YH[PVU 5V

>

I` [OL OHUK VM

4LTILYZOPW 5V 4\TIHP [O 4H`

130

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

4\TIHP [O 4H`

` JYVYL

CONSOLIDATED STATEMENT OF PROFIT AND LOSS

FOR THE YEAR ENDED 31ST MARCH, 2014

5V[L 5V

INCOME: 13906.87

:HSLZ HUK ZLY]PJLZ Less: ,_JPZL K\[`

426.29

9L]LU\L MYVT VWLYH[PVUZ

13480.58

6[OLY PUJVTL

211.51

13692.09

TOTAL REVENUE

EXPENSES: *VZ[ VM YH^ TH[LYPHSZ HUK JVTWVULU[Z JVUZ\TLK HUK JVUZ[Y\J[PVU TH[LYPHSZ

7193.12

7\YJOHZLZ VM Z[VJR PU [YHKL

1993.21

*OHUNLZ PU PU]LU[VYPLZ VM ÄUPZOLK NVVKZ ^VYR PU WYVNYLZZ HUK Z[VJR PU [YHKL

(51.07)

,TWSV`LL ILULÄ[Z L_WLUZL

1952.06

-PUHUJL JVZ[Z

136.62

+LWYLJPH[PVU HUK HTVY[PZH[PVU L_WLUZL

262.14

6[OLY L_WLUZLZ

1711.29

TOTAL EXPENSES

13197.37

PROFIT BEFORE EXCEPTIONAL ITEM AND TAX

-

494.72

,_JLW[PVUHS P[LT PROFIT BEFORE TAX

494.72

TAX EXPENSE: *\YYLU[ [H_ +LMLYYLK [H_

PROFIT / (LOSS) AFTER TAX

193.52

42.53

236.05

258.67

0.68

(15.02)

244.33

3.86

4PUVYP[` PU[LYLZ[ PU SVZZ :OHYL VM WYVÄ[ SVZZ VM HZZVJPH[L JVTWHUPLZ UL[ PROFIT / (LOSS) FOR THE YEAR ,HYUPUNZ WLY ZOHYL IHZPJ HUK KPS\[LK `

-HJL ]HS\L VM LX\P[` ZOHYL VM ` LHJO SIGNIFICANT ACCOUNTING POLICIES

9MJ FHHTRUFS^NSL STYJX KTWR FS NSYJLWFQ UFWY TK HTSXTQNIFYJI ÁSFSHNFQ XYFYJRJSYX (Z WLY V\Y YLWVY[ H[[HJOLK SHARP & TANNAN

Madhav Acharya

Laurent Demortier

CHARTERED ACCOUNTANTS

CHIEF FINANCIAL OFFICER

CEO & MANAGING DIRECTOR

Milind P. Phadke

Minal Bhosale

Gautam Thapar

PARTNER

COMPANY SECRETARY

CHAIRMAN

-PYT»Z 9LNPZ[YH[PVU 5V

>

I` [OL OHUK VM

4LTILYZOPW 5V 4\TIHP [O 4H`

4\TIHP [O 4H`

FI NA N C I A L S

131

` JYVYL

CONSOLIDATED CASH FLOW STATEMENT

FOR THE YEAR ENDED 31ST MARCH, 2014

494.72

262.14

14.74

[A] CASH FLOWS FROM OPERATING ACTIVITIES 5WTÁY GJKTWJ YF]JX (KQ\Z[TLU[Z MVY! +LWYLJPH[PVU HUK HTVY[PZH[PVU L_WLUZL (SSV^HUJL MVY KV\I[M\S KLI[Z HUK HK]HUJLZ 0U[LYLZ[ L_WLUZLZ

136.62

0U[LYLZ[ PUJVTL

(39.96)

(0.05)

7YVÄ[ VU ZHSL VM PU]LZ[TLU[Z UL[

(10.86)

<UYLHSPZLK L_JOHUNL NHPU SVZZ UL[

(55.61)

39.12

0UJVTL MYVT PU]LZ[TLU[Z UL[

<UYLHSPZLK L_JOHUNL NHPU VU JVUZVSPKH[PVU UL[ 7YVÄ[ SVZZ VU ZHSL VM Ä_LK HZZL[Z UL[

4UJWFYNSL UWTÁY GJKTWJ \TWPNSL HFUNYFQ HMFSLJX

(14.56)

331.58

826.30

(KQ\Z[TLU[Z MVY! (634.00)

0UJYLHZL +LJYLHZL PU PU]LU[VYPLZ

(34.67)

0UJYLHZL +LJYLHZL PU [YHKL HUK V[OLY WH`HISLZ

382.94

34.43

0UJYLHZL +LJYLHZL PU [YHKL HUK V[OLY YLJLP]HISLZ

0UJYLHZL +LJYLHZL PU WYV]PZPVUZ

(251.30)

*HZO \ZLK PU MYVT VWLYH[PVUZ

575.00

+PYLJ[ [H_LZ WHPK UL[ VM YLM\UKZ

(241.11)

4PUVYP[` PU[LYLZ[ PU SVZZ :OHYL VM WYVÄ[ SVZZ VM HZZVJPH[L JVTWHUPLZ UL[ Net cash (used in) / from operating activities

[A]

0.68

(15.02)

319.55

19.48

[B] CASH FLOWS FROM INVESTING ACTIVITIES &II .SÂT\X KWTR NS[JXYNSL FHYN[NYNJX :HSL VM Ä_LK HZZL[Z

-

487.74

-

39.97

0.05

15.02

562.26

7\YJOHZL VM Ä_LK HZZL[Z

(281.48)

<UYLHSPZLK MVYLPNU L_JOHUNL SVZZ VU JVUZVSPKH[PVU UL[

(363.80)

(14.79)

<UYLHSPZLK MVYLPNU L_JOHUNL NHPU VU JVUZVSPKH[PVU UL[ :HSL VM PU]LZ[TLU[Z UL[ *HZO HUK JHZO LX\P]HSLU[Z HJX\PYLK W\YZ\HU[ [V HJX\PZP[PVU VM Z\IZPKPHYPLZ 0U[LYLZ[ YLJLP]LK 0UJVTL YLJLP]LK MYVT PU]LZ[TLU[Z UL[ *OHUNLZ PU PU]LZ[TLU[ PU HZZVJPH[L JVTWHUPLZ UL[

Less: 4ZYÂT\ KWTR NS[JXYNSL FHYN[NYNJX

(KKP[PVU VU HJJV\U[ VM HJX\PZP[PVU (JX\PZP[PVU VM Z\IZPKPHYPLZ HUK HZZVJPH[LZ

Net Cash (used in ) / from investing activities

132

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

[B]

-

(660.07)

(97.81)

` JYVYL

CONSOLIDATED CASH FLOW STATEMENT

FOR THE YEAR ENDED 31ST MARCH, 2014 (Contd.)

[C] CASH FLOWS FROM FINANCING ACTIVITIES &II .SÂT\X KWTR ÁSFSHNSL FHYN[NYNJX 4.65

<UYLHSPZLK MVYLPNU L_JOHUNL SVZZ VU JVUZVSPKH[PVU UL[

339.24

7YVJLLKZ MYVT ZOVY[ [LYT IVYYV^PUNZ UL[

264.30

608.19

7YVJLLKZ MYVT SVUN [LYT IVYYV^PUNZ

Less: 4ZYÂT\X KWTR ÁSFSHNSL FHYN[NYNJX )\` IHJR VM ZOHYLZ

(133.54)

-

(241.55)

9LWH`TLU[Z VM ZOVY[ [LYT IVYYV^PUNZ UL[ 9LWH`TLU[Z VM SVUN [LYT IVYYV^PUNZ +P]PKLUKZ WHPK

(75.88)

(KKP[PVUHS [H_ VU KP]PKLUK

(12.96)

(133.65)

(0.76)

(598.34)

9.85

231.59

0U[LYLZ[ WHPK *OHUNLZ PU TPUVYP[` PU[LYLZ[

3JY HFXM ZXJI NS KWTR ÁSFSHNSL FHYN[NYNJX

@(B

NET INCREASE / (DECREASE) IN CASH AND BANK BALANCES (A+B+C)

(FXM FSI GFSP GFQFSHJX FY GJLNSSNSL TK YMJ ^JFW

583.36

(FXM FSI GFSP GFQFSHJX FY JSI TK YMJ ^JFW

814.95

9LMLY 5V[L infra

Notes:

;OL JVUZVSPKH[LK JHZO ÅV^ Z[H[LTLU[ OHZ ILLU WYLWHYLK \UKLY [OL PUKPYLJ[ TL[OVK HZ ZL[ V\[ PU (JJV\U[PUN :[HUKHYK (: *HZO -SV^ :[H[LTLU[Z HZ ZWLJPÄLK PU [OL *VTWHUPLZ (JJV\U[PUN :[HUKHYKZ 9\SLZ

(KKP[PVUZ [V Ä_LK HZZL[Z PUJS\KL TV]LTLU[Z VM JHWP[HS ^VYR PU WYVNYLZZ K\YPUN [OL `LHY

*HZO HUK IHUR IHSHUJLZ H[ [OL LUK VM [OL `LHY YLWYLZLU[ JHZO HUK IHUR IHSHUJLZ HUK PUJS\KL \UYLHSPZLK NHPU VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL VU HJJV\U[ VM [YHUZSH[PVU VM MVYLPNU J\YYLUJ` IHUR IHSHUJLZ

-PN\YLZ MVY [OL WYL]PV\Z `LHY OH]L ILLU YLNYV\WLK ^OLYL]LY ULJLZZHY`

(Z WLY V\Y YLWVY[ H[[HJOLK SHARP & TANNAN

Madhav Acharya

Laurent Demortier

CHARTERED ACCOUNTANTS

CHIEF FINANCIAL OFFICER

CEO & MANAGING DIRECTOR

Milind P. Phadke

Minal Bhosale

Gautam Thapar

PARTNER

COMPANY SECRETARY

CHAIRMAN

-PYT»Z 9LNPZ[YH[PVU 5V

>

I` [OL OHUK VM

4LTILYZOPW 5V 4\TIHP ! [O 4H`

4\TIHP ! [O 4H`

FI NA N C I A L S

133

NOTES

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS

1. SIGNIFICANT ACCOUNTING POLICIES

'FXNX TK UWJUFWFYNTS FSI UWJXJSYFYNTS TK ÁSFSHNFQ XYFYJRJSYX

;OL JVUZVSPKH[LK ÄUHUJPHS Z[H[LTLU[Z YLSH[L [V *YVTW[VU .YLH]LZ 3PTP[LK [OL 7HYLU[ *VTWHU` P[Z Z\IZPKPHY` JVTWHUPLZ HUK HZZVJPH[LZ ;OL 7HYLU[ *VTWHU` ^P[O P[Z Z\IZPKPHYPLZ HUK HZZVJPH[LZ JVUZ[P[\[L [OL .YV\W H ;OL ÄUHUJPHS Z[H[LTLU[Z VM [OL .YV\W OH]L ILLU WYLWHYLK PU HJJVYKHUJL ^P[O [OL .LULYHSS` (JJLW[LK (JJV\U[PUN 7YPUJPWSLZ PU 0UKPH 0UKPHU .((7 \UKLY [OL OPZ[VYPJHS JVZ[ JVU]LU[PVU L_JLW[ MVY [OL YL]HS\H[PVU VM JLY[HPU Ä_LK HZZL[Z VU HJJY\HS IHZPZ ;OL ÄUHUJPHS Z[H[LTLU[Z VM [OL *VTWHU` OH]L ILLU WYLWHYLK [V JVTWS` ^P[O [OL (JJV\U[PUN :[HUKHYKZ UV[PÄLK \UKLY [OL *VTWHUPLZ (JJV\U[PUN :[HUKHYKZ 9\SLZ HZ HTLUKLK HUK [OL YLSL]HU[ WYV]PZPVUZ VM [OL *VTWHUPLZ (J[ -\Y[OLY [OL N\PKHUJL UV[LZ HUUV\UJLTLU[Z PZZ\LK I` [OL 0UZ[P[\[L VM *OHY[LYLK (JJV\U[HU[Z VM 0UKPH 0*(0 HYL HSZV JVUZPKLYLK ^OLYL]LY HWWSPJHISL L_JLW[ [V [OL L_[LU[ ^OLYL JVTWSPHUJL ^P[O V[OLY Z[H[\[VY` IVKPLZ ]Pa :,)0 N\PKLSPULZ V]LYYPKL [OL ZHTL YLX\PYPUN H KPMMLYLU[ [YLH[TLU[ *LY[HPU LZJHSH[PVU HUK V[OLY JSHPTZ HYL HJJV\U[LK MVY PU [LYTZ VM JVU[YHJ[Z ^P[O [OL J\Z[VTLYZ HKTP[[LK I` [OL HWWYVWYPH[L H\[OVYP[PLZ I ;OL ÄUHUJPHS Z[H[LTLU[Z VM [OL Z\IZPKPHY` JVTWHUPLZ \ZLK PU [OL JVUZVSPKH[PVU HYL KYH^U \W[V [OL ZHTL YLWVY[PUN KH[L HZ [OH[ VM [OL 7HYLU[ *VTWHU` P L `LHY LUKLK Z[ 4HYJO L_JLW[ HZ Z[H[LK PU 5V[L J J ;OL ÄUHUJPHS Z[H[LTLU[Z VM HSS 0UKPHU Z\IZPKPHYPLZ HUK HZZVJPH[LZ HYL WYLWHYLK PU JVTWSPHUJL ^P[O [OL (JJV\U[PUN :[HUKHYKZ ZWLJPÄLK PU [OL *VTWHUPLZ (JJV\U[PUN :[HUKHYKZ 9\SLZ HZ HTLUKLK HUK V[OLY WYV]PZPVUZ VM [OL *VTWHUPLZ (J[ HUK [OVZL VM [OL MVYLPNU Z\IZPKPHYPLZ HUK HZZVJPH[LZ OH]L ILLU WYLWHYLK PU JVTWSPHUJL ^P[O [OL SVJHS SH^Z HUK HWWSPJHISL HJJV\U[PUN Z[HUKHYKZ ;OL HJJV\U[PUN WVSPJPLZ HKVW[LK PU [OL WYLWHYH[PVU VM [OL ÄUHUJPHS Z[H[LTLU[Z HYL JVUZPZ[LU[ ^P[O [OVZL MVSSV^LK PU [OL WYL]PV\Z `LHY

2.

Use of estimates:

;OL WYLWHYH[PVU VM ÄUHUJPHS Z[H[LTLU[Z PU JVUMVYTP[` ^P[O .((7 YLX\PYLZ [OL THUHNLTLU[ [V THRL LZ[PTH[LZ HUK HZZ\TW[PVUZ [OH[ HMMLJ[ [OL YLWVY[LK HTV\U[Z VM HZZL[Z SPHIPSP[PLZ YL]LU\L HUK L_WLUZLZ HUK KPZJSVZ\YL VM JVU[PUNLU[ SPHIPSP[PLZ HUK HZZL[Z ;OL LZ[PTH[LZ HUK HZZ\TW[PVUZ \ZLK PU [OL HJJVTWHU`PUN ÄUHUJPHS Z[H[LTLU[Z HYL IHZLK \WVU THUHNLTLU[»Z L]HS\H[PVU VM [OL YLSL]HU[ MHJ[Z HUK JPYJ\TZ[HUJLZ HZ VM [OL KH[L VM [OL ÄUHUJPHS Z[H[LTLU[Z ;OL L_HTWSLZ VM Z\JO LZ[PTH[LZ PUJS\KL [OL \ZLM\S SPML VM [HUNPISL HUK PU[HUNPISL Ä_LK HZZL[Z HSSV^HUJLZ MVY KV\I[M\S KLI[Z HK]HUJLZ M\[\YL VISPNH[PVUZ PU YLZWLJ[ VM YL[PYLTLU[ ILULÄ[ WSHUZ L[J (J[\HS YLZ\S[Z TH` KPMMLY MYVT [OL LZ[PTH[LZ HUK HZZ\TW[PVUZ HUK PU Z\JO JHZL [OL KPMMLYLUJL PZ YLJVNUPZLK PU [OL WLYPVK PU ^OPJO [OL YLZ\S[Z HYL RUV^U

3.

Principles of consolidation: H ;OL ÄUHUJPHS Z[H[LTLU[Z VM [OL 7HYLU[ *VTWHU` HUK P[Z Z\IZPKPHYPLZ OH]L ILLU JVUZVSPKH[LK VU H SPUL I` SPUL IHZPZ I` HKKPUN [VNL[OLY [OL IVVR ]HS\LZ VM SPRL P[LTZ VM HZZL[Z SPHIPSP[PLZ PUJVTLZ HUK L_WLUZLZ HM[LY LSPTPUH[PUN PU[YH NYV\W IHSHUJLZ PU[YH NYV\W [YHUZHJ[PVUZ HUK \UYLHSPZLK WYVÄ[Z YLZ\S[PUN [OLYL MYVT HUK HYL WYLZLU[LK [V [OL L_[LU[ WVZZPISL PU [OL ZHTL THUULY HZ [OL *VTWHU`»Z PUKLWLUKLU[ ÄUHUJPHS Z[H[LTLU[Z I ;OL ÄUHUJPHS Z[H[LTLU[Z VM [OL 7HYLU[ *VTWHU` HUK P[Z Z\IZPKPHYPLZ OH]L ILLU JVUZVSPKH[LK \ZPUN \UPMVYT HJJV\U[PUN WVSPJPLZ MVY SPRL [YHUZHJ[PVUZ HUK V[OLY L]LU[Z PU ZPTPSHY JPYJ\TZ[HUJLZ J ;OL L_JLZZ VM JVZ[ [V [OL 7HYLU[ *VTWHU` VM P[Z PU]LZ[TLU[ PU LHJO VM [OL Z\IZPKPHYPLZ V]LY P[Z ZOHYL VM LX\P[` PU [OL YLZWLJ[P]L Z\IZPKPHY` VU [OL HJX\PZP[PVU KH[L PZ YLJVNUPZLK PU [OL JVUZVSPKH[LK ÄUHUJPHS Z[H[LTLU[Z HZ ºNVVK^PSS VU JVUZVSPKH[PVU» HUK JHYYPLK PU [OL IHSHUJL ZOLL[ HZ HU HZZL[ >OLYL [OL ZOHYL VM LX\P[` PU [OL Z\IZPKPHY` JVTWHUPLZ HZ VU [OL KH[L VM PU]LZ[TLU[ PZ PU L_JLZZ VM JVZ[ VM PU]LZ[TLU[ VM [OL JVTWHU` P[ PZ YLJVNUPZLK HZ ºJHWP[HS YLZLY]L» HUK ZOV^U \UKLY [OL OLHK 9LZLY]LZ HUK :\YWS\Z PU [OL JVUZVSPKH[LK ÄUHUJPHS Z[H[LTLU[Z K 4PUVYP[` PU[LYLZ[ PU [OL UL[ HZZL[Z VM JVUZVSPKH[LK Z\IZPKPHYPLZ JVUZPZ[Z VM [OL HTV\U[ VM LX\P[` H[[YPI\[HISL [V [OL TPUVYP[` ZOHYLOVSKLYZ H[ [OL KH[LZ VU ^OPJO PU]LZ[TLU[Z HYL THKL I` [OL JVTWHU` PU [OL Z\IZPKPHY` JVTWHUPLZ HUK M\Y[OLY TV]LTLU[Z PU [OLPY ZOHYL PU [OL LX\P[` Z\IZLX\LU[ [V [OL KH[LZ VM PU]LZ[TLU[Z L 0U]LZ[TLU[Z PU HZZVJPH[L JVTWHUPLZ OH]L ILLU HJJV\U[LK \UKLY [OL LX\P[` TL[OVK HZ WLY (JJV\U[PUN :[HUKHYK (: (JJV\U[PUN MVY 0U]LZ[TLU[Z PU (ZZVJPH[LZ PU *VUZVSPKH[LK -PUHUJPHS :[H[LTLU[Z <UKLY [OL LX\P[` TL[OVK VM HJJV\U[PUN [OL PU]LZ[TLU[ PZ PUP[PHSS` YLJVYKLK H[ JVZ[ PKLU[PM`PUN HU` NVVK^PSS JHWP[HS YLZLY]L HYPZPUN H[ [OL [PTL VM HJX\PZP[PVU ;OL JHYY`PUN HTV\U[ VM PU]LZ[TLU[ PZ HKQ\Z[LK [OLYLHM[LY MVY [OL WVZ[ HJX\PZP[PVU JOHUNL PU [OL PU]LZ[VY»Z ZOHYL VM UL[ HZZL[Z VM [OL PU]LZ[LL ;OL JVUZVSPKH[LK Z[H[LTLU[ VM WYVÄ[ HUK SVZZ YLÅLJ[Z [OL PU]LZ[VY»Z ZOHYL VM [OL YLZ\S[Z VM [OL VWLYH[PVUZ VM [OL PU]LZ[LL

+N]JI &XXJYX H -P_LK HZZL[Z HYL Z[H[LK H[ VYPNPUHS JVZ[ UL[ VM [H_ K\[` JYLKP[ H]HPSLK SLZZ HJJ\T\SH[LK KLWYLJPH[PVU HUK HTVY[PZH[PVU :\IZLX\LU[ \WNYHKH[PVUZ LUOHUJLTLU[Z ^OPJO YLZ\S[Z PU HU PUJYLHZL PU [OL M\[\YL ILULÄ[Z MYVT Z\JO HZZL[Z IL`VUK [OL WYL]PV\ZS` HZZLZZLK Z[HUKHYK VM WLYMVYTHUJL HYL HSZV JHWP[HSPZLK 4HJOPULY` ZWHYLZ ^OPJO JHU IL \ZLK VUS` PU JVUULJ[PVU ^P[O HU P[LT VM [HUNPISL HZZL[Z HUK ^OVZL \ZL PZ UV[ VM YLN\SHY UH[\YL HYL ^YP[[LU VMM V]LY [OL LZ[PTH[LK \ZLM\S SPML VM [OL YLSL]HU[ HZZL[ I (KTPUPZ[YH[P]L HUK V[OLY NLULYHS V]LYOLHKZ [OH[ HYL ZWLJPÄJHSS` H[[YPI\[HISL [V JVUZ[Y\J[PVU VY HJX\PZP[PVU VM Ä_LK HZZL[Z VY IYPUNPUN [OL Ä_LK HZZL[Z [V ^VYRPUN JVUKP[PVU HYL HSSVJH[LK HUK JHWP[HSPZLK HZ H WHY[ VM Ä_LK HZZL[Z J 7YL VWLYH[P]L L_WLUZLZ PUJS\KPUN PU[LYLZ[ VU IVYYV^PUNZ \W[V [OL KH[L VM JVTTLYJPHS VWLYH[PVUZ HYL [YLH[LK HZ WHY[ VM WYVQLJ[ JVZ[ HUK JHWP[HSPZLK K 0U[LYUHSS` THU\MHJ[\YLK Ä_LK HZZL[Z HYL JHWP[HSPZLK H[ MHJ[VY` JVZ[ PUJS\KPUN L_JPZL K\[` ^OLYL HWWSPJHISL L *HWP[HS ^VYR PU WYVNYLZZ PUJS\KLZ JVZ[ VM Ä_LK HZZL[Z \UKLY PUZ[HSSH[PVU \UKLY KL]LSVWTLU[ HZ H[ [OL IHSHUJL ZOLL[ KH[L M

*HWP[HS L_WLUKP[\YL VU [HUNPISL HZZL[Z MVY YLZLHYJO HUK KL]LSVWTLU[ PZ JSHZZPÄLK \UKLY Ä_LK HZZL[Z HUK PZ KLWYLJPH[LK VU [OL ZHTL IHZPZ HZ V[OLY Ä_LK HZZL[Z

N -P_LK HZZL[Z HYL LSPTPUH[LK MYVT ÄUHUJPHS Z[H[LTLU[ LP[OLY VU KPZWVZHS VY ^OLU YL[PYLK MYVT HJ[P]L \ZL 3VZZLZ HYPZPUN PU JHZL VM YL[PYLTLU[ VM HZZL[Z HUK NHPUZ VY SVZZLZ HYPZPUN MYVT KPZWVZHS VM Ä_LK HZZL[Z HYL YLJVNUPZLK PU [OL Z[H[LTLU[ VM WYVÄ[ HUK SVZZ PU [OL `LHY VM VJJ\YYLUJL

134

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

NOTES

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS (Contd.)

1. SIGNIFICANT ACCOUNTING POLICIES (Contd.)

5.

Impairment of assets:

(Z H[ LHJO IHSHUJL ZOLL[ KH[L [OL JHYY`PUN HTV\U[ VM HZZL[Z PZ [LZ[LK MVY PTWHPYTLU[ ZV HZ [V KL[LYTPUL! H [OL WYV]PZPVU MVY PTWHPYTLU[ SVZZ PM HU`" HUK I [OL YL]LYZHS VM PTWHPYTLU[ SVZZ YLJVNUPZLK PU WYL]PV\Z WLYPVKZ PM HU` .VVK^PSS HYPZPUN VU JVUZVSPKH[PVU PZ UV[ HTVY[PaLK I\[ [LZ[LK MVY PTWHPYTLU[ HUU\HSS` 0TWHPYTLU[ SVZZ PZ YLJVNUPZLK ^OLU [OL JHYY`PUN HTV\U[ VM HU HZZL[ L_JLLKZ P[Z YLJV]LYHISL HTV\U[ 9LJV]LYHISL HTV\U[ PZ KL[LYTPULK! H 0U [OL JHZL VM HU PUKP]PK\HS HZZL[ H[ [OL OPNOLY VM [OL UL[ ZLSSPUN WYPJL HUK [OL ]HS\L PU \ZL" HUK I 0U [OL JHZL VM JHZO NLULYH[PUN \UP[ H NYV\W VM HZZL[Z [OH[ NLULYH[LZ PKLU[PÄLK PUKLWLUKLU[ JHZO Ã…V^Z H[ [OL OPNOLY VM [OL JHZO NLULYH[PUN \UP[»Z UL[ ZLSSPUN WYPJL HUK [OL ]HS\L PU \ZL

=HS\L PU \ZL PZ KL[LYTPULK HZ [OL WYLZLU[ ]HS\L VM LZ[PTH[LK M\[\YL JHZO Ã…V^Z MYVT [OL JVU[PU\PUN \ZL VM HU HZZL[ HUK MYVT P[Z KPZWVZHS H[ [OL LUK VM P[Z \ZLM\S SPML

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+L]LSVWTLU[ L_WLUKP[\YL VU UL^ WYVK\J[ PZ JHWP[HSPZLK HZ PU[HUNPISL HZZL[ PM HSS VM [OL MVSSV^PUN JHU IL KLTVUZ[YH[LK P

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PP [OL *VTWHU` OHZ PU[LU[PVU [V JVTWSL[L [OL KL]LSVWTLU[ VM PU[HUNPISL HZZL[ HUK \ZL VY ZLSS P[" PPP [OL *VTWHU` OHZ HIPSP[` [V \ZL VY ZLSS [OL PU[HUNPISL HZZL[" P] [OL THUULY PU ^OPJO [OL WYVIHISL M\[\YL LJVUVTPJ ILULÄ[ ^PSS IL NLULYH[LK PUJS\KPUN [OL L_PZ[LUJL VM H THYRL[ MVY V\[W\[ VM [OL PU[HUNPISL HZZL[ VY [OL PU[HUNPISL HZZL[ P[ZLSM VY PM P[ PZ [V IL \ZLK PU[LYUHSS` [OL \ZLM\SULZZ VM [OL PU[HUNPISL HZZL[" ] [OL H]HPSHIPSP[` VM HKLX\H[L [LJOUPJHS ÄUHUJPHS HUK V[OLY YLZV\YJLZ [V JVTWSL[L [OL KL]LSVWTLU[ HUK [V \ZL VY ZLSS [OL PU[HUNPISL HZZL[" HUK ]P [OL *VTWHU` OHZ HIPSP[` [V TLHZ\YL [OL L_WLUKP[\YL H[[YPI\[HISL [V [OL PU[HUNPISL HZZL[ K\YPUN [OL KL]LSVWTLU[ YLSPHIS`

+L]LSVWTLU[ JVZ[Z VU [OL 0U[HUNPISL HZZL[Z M\SÄSSPUN [OL JYP[LYPH HYL HTVY[PZLK V]LY H WLYPVK VM [OYLL [V [LU `LHYZ IHZLK VU L_WLJ[LK M\[\YL ILULÄ[Z V[OLY^PZL HYL L_WLUZLK PU [OL WLYPVK PU ^OPJO [OL` HYL PUJ\YYLK

7.

Investments:

Long-term investments:

3VUN [LYT PU]LZ[TLU[Z HYL JHYYPLK H[ JVZ[ /V^L]LY WYV]PZPVU MVY KPTPU\[PVU PZ THKL [V YLJVNUPZL H KLJSPUL PU [OL WLYTHULU[ UH[\YL PU [OL ]HS\L VM PU]LZ[TLU[Z

Current investments:

0U]LZ[TLU[Z [OH[ HYL YLHKPS` YLHSPZHISL HUK HYL PU[LUKLK [V IL OLSK MVY UV[ TVYL [OHU VUL `LHY MYVT [OL KH[L VU ^OPJO Z\JO PU]LZ[TLU[Z HYL THKL HYL JSHZZPÄLK HZ J\YYLU[ PU]LZ[TLU[Z HUK HYL JHYYPLK H[ JVZ[ VY MHPY ]HS\L ^OPJOL]LY PZ SV^LY ;OL JVTWHYPZVU VM JVZ[ HUK JHYY`PUN HTV\U[ PZ KVUL ZLWHYH[LS` MVY LHJO JH[LNVY` VM PU]LZ[TLU[Z IHZLK VU [OL THYRL[ ]HS\L VM [OL PU]LZ[TLU[Z

FI NA N C I A L S

135

NOTES

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS (Contd.)

1. SIGNIFICANT ACCOUNTING POLICIES (Contd.)

8.

Inventories: H 9H^ TH[LYPHSZ WHJRPUN TH[LYPHSZ JVUZ[Y\J[PVU TH[LYPHSZ Z[VYLZ HUK ZWHYLZ

! ([ SV^LY VM JVZ[ VU ^LPNO[LK H]LYHNL IHZPZ HUK UL[ YLHSPZHISL ]HS\L

I >VYR PU WYVNYLZZ ¶ 4HU\MHJ[\YPUN

! ([ SV^LY VM JVZ[ VM TH[LYPHS WS\Z HWWYVWYPH[L WYVK\J[PVU V]LYOLHKZ HUK UL[ YLHSPZHISL ]HS\L

J -PUPZOLK NVVKZ ¶ 4HU\MHJ[\YPUN

! ([ SV^LY VM JVZ[ VM TH[LYPHSZ WS\Z HWWYVWYPH[L WYVK\J[PVU V]LYOLHKZ PUJS\KPUN L_JPZL K\[` WHPK WH`HISL VU Z\JO NVVKZ HUK UL[ YLHSPZHISL ]HS\L

K -PUPZOLK NVVKZ ¶ ;YHKPUN

! ([ SV^LY VM JVZ[ VU ^LPNO[LK H]LYHNL IHZPZ HUK UL[ YLHSPZHISL ]HS\L

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9.

Cash and cash equivalents: H *HZO JVTWYPZLZ JHZO VU OHUK HUK KLTHUK KLWVZP[Z ^P[O IHURZ I *HZO LX\P]HSLU[Z HYL ZOVY[ [LYT OPNOS` SPX\PK PU]LZ[TLU[Z [OH[ HYL YLHKPS` JVU]LY[PISL PU[V RUV^U HTV\U[Z VM JHZO HUK ^OPJO HYL Z\IQLJ[ [V PUZPNUPÄJHU[ YPZR VM JOHUNLZ PU ]HS\L

10. Foreign currency transaction and foreign operation: H ;OL YLWVY[PUN J\YYLUJ` PZ 0UKPHU 9\WLL I -VYLPNU J\YYLUJ` [YHUZHJ[PVUZ HYL YLJVYKLK VU PUP[PHS YLJVNUP[PVU PU [OL YLWVY[PUN J\YYLUJ` \ZPUN [OL L_JOHUNL YH[L H[ [OL KH[L VM [OL [YHUZHJ[PVU ([ LHJO IHSHUJL ZOLL[ KH[L MVYLPNU J\YYLUJ` TVUL[HY` P[LTZ HYL YLWVY[LK \ZPUN [OL JSVZPUN L_JOHUNL YH[L ,_JOHUNL KPMMLYLUJLZ [OH[ HYPZL VU ZL[[SLTLU[ VM TVUL[HY` P[LTZ VY VU YLWVY[PUN H[ LHJO IHSHUJL ZOLL[ KH[L VM [OL *VTWHU`»Z TVUL[HY` P[LTZ H[ [OL JSVZPUN YH[L HYL YLJVNUPZLK HZ PUJVTL VY L_WLUZLZ PU [OL WLYPVK PU ^OPJO [OL` HYPZL 5VU TVUL[HY` P[LTZ ^OPJO HYL JHYYPLK H[ OPZ[VYPJHS JVZ[ KLUVTPUH[LK PU H MVYLPNU J\YYLUJ` HYL YLWVY[LK \ZPUN [OL L_JOHUNL YH[L H[ [OL KH[L VM [OL [YHUZHJ[PVU J -PUHUJPHS Z[H[LTLU[Z VM MVYLPNU VWLYH[PVUZ [OVZL HYL [YLH[LK HZ PU[LNYHS VWLYH[PVUZ HUK [YHUZSH[LK PU [OL ZHTL THUULY HZ MVYLPNU J\YYLUJ` [YHUZHJ[PVUZ HZ KLZJYPILK HIV]L ,_JOHUNL KPMMLYLUJLZ HYPZPUN VU Z\JO [YHUZSH[PVUZ HYL YLJVNUPaLK HZ PUJVTL VY L_WLUZLZ VM [OL WLYPVK PU ^OPJO [OL` HYPZL K -PUHUJPHS Z[H[LTLU[Z VM MVYLPNU Z\IZPKPHYPLZ [OVZL HYL [YLH[LK HZ UVU PU[LNYHS VWLYH[PVUZ [OLPY ÄUHUJPHS Z[H[LTLU[Z HYL [YHUZSH[LK H[ [OL MVSSV^PUN L_JOHUNL YH[LZ! :OHYL JHWP[HS

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136

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

NOTES

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS (Contd.)

1. SIGNIFICANT ACCOUNTING POLICIES (Contd.)

12. Revenue Recognition: (a) Sale of goods:

9L]LU\L MYVT ZHSL VM NVVKZ PZ YLJVNUPZLK ^OLU HSS [OL ZPNUPÄJHU[ YPZRZ HUK YL^HYKZ VM V^ULYZOPW HYL [YHUZMLYYLK [V [OL I\`LY HZ WLY [OL [LYTZ VM JVU[YHJ[Z HUK UV ZPNUPÄJHU[ \UJLY[HPU[` L_PZ[Z YLNHYKPUN [OL HTV\U[ VM [OL JVUZPKLYH[PVU [OH[ ^PSS IL KLYP]LK MYVT ZHSL VM [OL NVVKZ 0[ HSZV PUJS\KLZ L_JPZL K\[` HUK WYPJL ]HYPH[PVU IHZLK VU [OL JVU[YHJ[\HS HNYLLTLU[Z HUK L_JS\KLZ ]HS\L HKKLK [H_ ZHSLZ [H_ IYVRLYHNL HUK JVTTPZZPVU

G 8FQJ TK XJW[NHJX

:LY]PJL PUJVTL PZ YLJVNUPZLK HZ WLY [OL [LYTZ VM [OL JVU[YHJ[Z ^P[O [OL J\Z[VTLYZ VU WYVWVY[PVUH[L JVTWSL[PVU TL[OVK

(c) Revenue from contracts:

9L]LU\L MYVT JVU[YHJ[Z PZ YLJVNUPZLK I` HWWS`PUN WLYJLU[HNL VM JVTWSL[PVU TL[OVK HM[LY WYV]PKPUN MVY MVYLZLLHISL SVZZLZ PM HU` 7LYJLU[HNL VM JVTWSL[PVU PZ KL[LYTPULK HZ H WYVWVY[PVU VM [OL JVZ[Z PUJ\YYLK \W[V [OL YLWVY[PUN KH[L [V [OL [V[HS LZ[PTH[LK JVZ[ [V JVTWSL[L -VYLZLLHISL SVZZ PM HU` VU [OL JVU[YHJ[Z PZ YLJVNUPZLK HZ HU L_WLUZL PU [OL WLYPVK PU ^OPJO P[ PZ MVYLZLLU PYYLZWLJ[P]L VM [OL Z[HNL VM JVTWSL[PVU VM [OL JVU[YHJ[ >OPSL KL[LYTPUPUN [OL HTV\U[ VM MVYLZLLHISL SVZZ HSS LSLTLU[Z VM JVZ[Z HUK YLSH[LK PUJPKLU[HS PUJVTL UV[ PUJS\KLK PU JVU[YHJ[ YL]LU\L PZ [HRLU PU[V JVUZPKLYH[PVU *VU[YHJ[ PZ YLÅLJ[LK H[ JVZ[ [PSS Z\JO [PTL [OL V\[JVTL VM [OL JVU[YHJ[ JHUUV[ IL HZJLY[HPULK YLSPHIS` HUK H[ YLHSPZHISL ]HS\L [OLYLHM[LY *SHPTZ HYL HJJV\U[LK HZ PUJVTL PU [OL `LHY VM HJJLW[HUJL I` J\Z[VTLY

I 7J[JSZJX KWTR UT\JW INXYWNGZYNTS GZXNSJXX

9L]LU\L MYVT WV^LY KPZ[YPI\[PVU I\ZPULZZ PZ HJJV\U[LK VU [OL IHZPZ VM IPSSPUNZ [V [OL J\Z[VTLYZ HUK PUJS\KLZ \UIPSSLK YL]LU\LZ HJJY\LK \W[V [OL LUK VM HJJV\U[PUN `LHY *\Z[VTLYZ HYL IPSSLK HZ WLY [OL [HYPMM YH[LZ PZZ\LK I` ,SLJ[YPJP[` 9LN\SH[VY` *VTTPZZPVU 0U[LYLZ[ PZ HJJV\U[LK VU HJJY\HS IHZPZ VU V]LYK\L IPSSZ

(e) Interest income:

0U[LYLZ[ PUJVTL VU KLWVZP[Z ZLJ\YP[PLZ HUK SVHUZ PZ YLJVNUPZLK H[ [OL HNYLLK YH[L VU [PTL WYVWVY[PVUH[L IHZPZ

(f)

Dividend income:

+P]PKLUK PUJVTL PZ HJJV\U[LK MVY ^OLU [OL YPNO[ [V YLJLP]L [OL ZHTL PZ LZ[HISPZOLK

(g) Lease income:

3LHZL HNYLLTLU[Z ^OLYL [OL YPZRZ HUK YL^HYKZ PUJPKLU[HS [V [OL V^ULYZOPW VM HU HZZL[ Z\IZ[HU[PHSS` ]LZ[ ^P[O [OL SLZZVY HYL YLJVNUPZLK HZ VWLYH[PUN SLHZLZ 3LHZL YLU[HSZ HYL YLJVNUPZLK VU Z[YHPNO[ SPUL IHZPZ HZ WLY [OL [LYTZ VM [OL HNYLLTLU[Z PU [OL Z[H[LTLU[ VM WYVÄ[ HUK SVZZ

*RUQT^JJ GJSJÁYX

,TWSV`LL ILULÄ[Z PUJS\KPUN JVU[YPI\[PVUZ [V^HYKZ ZVJPHS ZLJ\YP[` HUK YL[PYLTLU[ ILULÄ[ ZJOLTLZ HYL HJJV\U[LK MVY IHZLK VU [OL YLN\SH[VY` MYHTL^VYR PU [OL YLZWLJ[P]L JV\U[YPLZ HUK LTWSV`TLU[ Y\SLZ JVU[YHJ[Z HWWSPJHISL [V [OL ZWLJPÄJ JVTWHUPLZ

14. Depreciation: (a) Indian companies 4\SJI FXXJYX (a) Revalued assets

+LWYLJPH[PVU VU YL]HS\LK I\PSKPUN VM 7HYLU[ *VTWHU` PZ WYV]PKLK VU Z[YHPNO[ SPUL TL[OVK VU [OL ]HS\LZ HUK H[ [OL YH[LZ ZWLJPÄLK PU :JOLK\SL ?0= [V [OL *VTWHUPLZ (J[ ;OL KPMMLYLUJL IL[^LLU KLWYLJPH[PVU WYV]PKLK VU YL]HS\LK HTV\U[ HUK VU OPZ[VYPJHS JVZ[ PZ YLJV\WLK V\[ VM YL]HS\H[PVU YLZLY]L

G &XXJYX HFWWNJI FY MNXYTWNHFQ HTXY

+LWYLJPH[PVU VU [OL Ä_LK HZZL[Z JHYYPLK H[ OPZ[VYPJHS JVZ[ PZ WYV]PKLK H[ [OL YH[LZ HUK PU [OL THUULY ZWLJPÄLK PU :JOLK\SL ?0= [V [OL *VTWHUPLZ (J[ VU ^YP[[LU KV^U ]HS\L TL[OVK V[OLY [OHU VU I\PSKPUNZ HUK WSHU[ HUK LX\PWTLU[Z ^OPJO HYL KLWYLJPH[LK VU Z[YHPNO[ SPUL TL[OVK

(2) Leased assets H 3LHZLOVSK SHUKZ HYL HTVY[PZLK V]LY [OL WLYPVK VM SLHZL I )\PSKPUNZ JVUZ[Y\J[LK VU SLHZLOVSK SHUK HYL KLWYLJPH[LK H[ UVYTHS YH[L HZ WYLZJYPILK PU :JOLK\SL ?0= [V [OL *VTWHUPLZ (J[ ^OLYL [OL SLHZL WLYPVK VM SHUK PZ IL`VUK [OL SPML VM [OL I\PSKPUN J 0U V[OLY JHZLZ I\PSKPUNZ JVUZ[Y\J[LK VU SLHZLOVSK SHUKZ HYL HTVY[PZLK V]LY [OL WYPTHY` SLHZL WLYPVK VM [OL SHUKZ G +TWJNLS HTRUFSNJX H +LWYLJPH[PVU VU Ä_LK HZZL[Z OHZ ILLU WYV]PKLK H[ [OL YH[LZ YLX\PYLK WLYTPZZPISL I` [OL .((7Z VM [OL YLZWLJ[P]L JV\U[YPLZ /V^L]LY [OL KLWYLJPH[PVU YH[LZ HYL OPNOLY [OHU [OL YH[LZ ZWLJPÄLK PU [OL :JOLK\SL ?0= [V [OL *VTWHUPLZ (J[ I =LOPJSLZ HJX\PYLK VU ÄUHUJL SLHZLZ HYL KLWYLJPH[LK V]LY [OL WLYPVK VM SLHZL HNYLLTLU[ VY [OL \ZLM\S SPML ^OPJOL]LY PZ ZOVY[LY 'TWWT\NSL HTXYX H )VYYV^PUN JVZ[Z [OH[ HYL H[[YPI\[HISL [V [OL HJX\PZP[PVU JVUZ[Y\J[PVU VY WYVK\J[PVU VM H X\HSPM`PUN HZZL[ HYL JHWP[HSPZLK HZ H WHY[ VM [OL JVZ[ VM Z\JO HZZL[ [PSS Z\JO [PTL [OL HZZL[ PZ YLHK` MVY P[Z PU[LUKLK \ZL VY ZHSL ( X\HSPM`PUN HZZL[ PZ HU HZZL[ [OH[ ULJLZZHYPS` YLX\PYLZ H Z\IZ[HU[PHS WLYPVK VM [PTL NLULYHSS` V]LY [^LS]L TVU[OZ [V NL[ YLHK` MVY P[Z PU[LUKLK \ZL VY ZHSL I (SS V[OLY IVYYV^PUN JVZ[Z HYL YLJVNUPZLK HZ L_WLUZL PU [OL WLYPVK PU ^OPJO [OL` HYL PUJ\YYLK

FI NA N C I A L S

137

NOTES

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS (Contd.)

1. SIGNIFICANT ACCOUNTING POLICIES (Contd.)

16. Segment accounting: (a) Segment accounting policies

:LNTLU[ HJJV\U[PUN WVSPJPLZ HYL PU SPUL ^P[O [OL HJJV\U[PUN WVSPJPLZ VM [OL *VTWHU` ;OL JVTWHU` PKLU[PÄLZ WYPTHY` I\ZPULZZ ZLNTLU[ IHZLK VU [OL KPMMLYLU[ YPZRZ HUK YL[\YUZ [OL VYNHUPZH[PVU Z[Y\J[\YL HUK [OL PU[LYUHS YLWVY[PUN Z`Z[LTZ :LJVUKHY` ZLNTLU[Z HYL PKLU[PÄLK VU [OL IHZPZ VM NLVNYHWO` PU ^OPJO ZHSLZ OH]L ILLU LMMLJ[LK 0U HKKP[PVU [OL MVSSV^PUN ZWLJPÄJ HJJV\U[PUN WVSPJPLZ OH]L ILLU MVSSV^LK MVY ZLNTLU[ YLWVY[PUN! :LNTLU[ YL]LU\L PUJS\KLZ ZHSLZ HUK V[OLY PUJVTL KPYLJ[S` PKLU[PÄHISL ^P[O HSSVJHISL [V [OL ZLNTLU[ PUJS\KPUN PU[LY ZLNTLU[ YL]LU\L ,_WLUZLZ [OH[ HYL KPYLJ[S` PKLU[PÄHISL ^P[O HSSVJHISL [V ZLNTLU[Z HYL JVUZPKLYLK MVY KL[LYTPUPUN [OL ZLNTLU[ YLZ\S[ ,_WLUZLZ ^OPJO YLSH[L [V [OL *VTWHU` HZ H ^OVSL HUK UV[ HSSVJHISL [V ZLNTLU[Z HYL PUJS\KLK \UKLY \UHSSVJHISL L_WLUKP[\YL 0UJVTL ^OPJO YLSH[LZ [V [OL *VTWHU` HZ H ^OVSL HUK UV[ HSSVJHISL [V ZLNTLU[Z PZ PUJS\KLK PU \UHSSVJHISL PUJVTL :LNTLU[ YLZ\S[ PUJS\KLZ THYNPUZ VU PU[LY ZLNTLU[ HUK ZHSLZ ^OPJO HYL YLK\JLK PU HYYP]PUN H[ [OL WYVÄ[ ILMVYL [H_ VM [OL *VTWHU` :LNTLU[ HZZL[Z HUK SPHIPSP[PLZ PUJS\KL [OVZL KPYLJ[S` PKLU[PÄHISL ^P[O [OL YLZWLJ[P]L ZLNTLU[Z <UHSSVJHISL HZZL[Z HUK SPHIPSP[PLZ YLWYLZLU[ [OL HZZL[Z HUK SPHIPSP[PLZ [OH[ YLSH[L [V [OL *VTWHU` HZ H ^OVSL HUK UV[ HSSVJHISL [V HU` ZLNTLU[

G .SYJW XJLRJSY YWFSXKJW UWNHNSL

:LNTLU[ YL]LU\L YLZ\S[PUN MYVT [YHUZHJ[PVUZ ^P[O V[OLY I\ZPULZZ ZLNTLU[Z PZ HJJV\U[LK VU [OL IHZPZ VM [YHUZMLY WYPJL HNYLLK IL[^LLU [OL ZLNTLU[Z :\JO [YHUZMLY WYPJLZ HYL LP[OLY KL[LYTPULK [V `PLSK H KLZPYLK THYNPU VY HNYLLK VU H ULNV[PH[LK IHZPZ

17. Leases: H (ZZL[Z HJX\PYLK \UKLY SLHZLZ ^OLYL [OL .YV\W OHZ Z\IZ[HU[PHSS` HSS [OL YPZRZ HUK YL^HYKZ VM V^ULYZOPW HYL JSHZZPÄLK HZ ÄUHUJL SLHZLZ :\JO HZZL[Z HYL JHWP[HSPZLK H[ [OL PUJLW[PVU VM [OL SLHZL H[ [OL SV^LY VM [OL MHPY ]HS\L HUK [OL WYLZLU[ ]HS\L VM TPUPT\T SLHZL WH`TLU[Z HUK [OL SPHIPSP[` PZ JYLH[LK MVY HU LX\P]HSLU[ HTV\U[ ,HJO SLHZL YLU[HS WHPK PZ HSSVJH[LK IL[^LLU [OL SPHIPSP[` HUK [OL PU[LYLZ[ JVZ[ ZV HZ [V VI[HPU H JVUZ[HU[ WLYPVKPJ YH[L VM PU[LYLZ[ VU [OL V\[Z[HUKPUN SPHIPSP[` MVY LHJO WLYPVK I (ZZL[Z HJX\PYLK VU SLHZLZ ^OLYL H ZPNUPÄJHU[ WVY[PVU VM [OL YPZRZ HUK YL^HYKZ VM V^ULYZOPW HYL YL[HPULK I` SLZZVY HYL JSHZZPÄLK HZ VWLYH[PUN SLHZLZ 3LHZL YLU[HSZ HYL JOHYNLK [V [OL Z[H[LTLU[ VM WYVÄ[ HUK SVZZ VU HJJY\HS IHZPZ 18. Earnings per share:

)HZPJ LHYUPUNZ WLY ZOHYL PZ JHSJ\SH[LK I` KP]PKPUN [OL UL[ WYVÄ[ MVY [OL WLYPVK H[[YPI\[HISL [V LX\P[` ZOHYLOVSKLYZ I` [OL ^LPNO[LK H]LYHNL U\TILY VM LX\P[` ZOHYLZ V\[Z[HUKPUN K\YPUN [OL WLYPVK

9F]JX TS NSHTRJ H ;H_ VU PUJVTL MVY [OL J\YYLU[ WLYPVK PZ KL[LYTPULK VU [OL IHZPZ VU LZ[PTH[LK [H_HISL PUJVTL HUK [H_ JYLKP[Z JVTW\[LK PU HJJVYKHUJL ^P[O [OL WYV]PZPVUZ VM [OL YLSL]HU[ [H_ SH^Z HUK IHZLK VU [OL L_WLJ[LK V\[JVTL VM HZZLZZTLU[Z HWWLHSZ I +LMLYYLK [H_ PZ YLJVNUPZLK VU [PTPUN KPMMLYLUJLZ IL[^LLU [OL HJJV\U[PUN PUJVTL HUK [OL [H_HISL PUJVTL MVY [OL `LHY HUK X\HU[PÄLK \ZPUN [OL [H_ YH[LZ HUK [H_ SH^Z LUHJ[LK VY Z\IZ[HU[P]LS` LUHJ[LK HZ VU [OL IHSHUJL ZOLL[ KH[L J +LMLYYLK [H_ HZZL[Z YLSH[PUN [V \UHIZVYILK KLWYLJPH[PVU I\ZPULZZ SVZZLZ HYL YLJVNUPZLK HUK JHYYPLK MVY^HYK [V [OL L_[LU[ [OLYL PZ ]PY[\HS JLY[HPU[` [OH[ Z\MÄJPLU[ M\[\YL [H_HISL PUJVTL ^PSS IL H]HPSHISL HNHPUZ[ ^OPJO Z\JO KLMLYYLK [H_ HZZL[Z JHU IL YLHSPZLK K 6[OLY KLMLYYLK [H_ HZZL[Z HYL YLJVNUPZLK HUK JHYYPLK MVY^HYK [V [OL L_[LU[ [OH[ [OLYL PZ H YLHZVUHISL JLY[HPU[` [OH[ Z\MÄJPLU[ M\[\YL [H_HISL PUJVTL ^PSS IL H]HPSHISL HNHPUZ[ ^OPJO Z\JO KLMLYYLK [H_ HZZL[Z JHU IL YLHSPZLK L ;OL IYLHR \W VM [OL THQVY JVTWVULU[Z VM [OL KLMLYYLK [H_ HZZL[Z HUK SPHIPSP[PLZ HZ H[ IHSHUJL ZOLL[ KH[L OHZ ILLU HYYP]LK H[ HM[LY ZL[[PUN VMM KLMLYYLK [H_ HZZL[Z HUK SPHIPSP[PLZ ^OLYL [OL YLZWLJ[P]L JVTWHUPLZ OH]L H SLNHSS` LUMVYJLHISL YPNO[ [V ZL[ VMM HZZL[Z HNHPUZ[ SPHIPSP[PLZ HUK ^OLYL Z\JO HZZL[Z HUK SPHIPSP[PLZ YLSH[L [V [H_LZ VU PUJVTL SL]PLK I` [OL ZHTL NV]LYUPUN [H_H[PVU SH^Z 5WT[NXNTSX (TSYNSLJSY QNFGNQNYNJX (TSYNSLJSY FXXJYX FSI (TRRNYRJSYX H 7YV]PZPVUZ HYL YLJVNUPZLK MVY SPHIPSP[PLZ [OH[ JHU IL TLHZ\YLK VUS` I` \ZPUN H Z\IZ[HU[PHS KLNYLL VM LZ[PTH[PVU PM! [OL *VTWHU` OHZ H WYLZLU[ VISPNH[PVU HZ H YLZ\S[ VM H WHZ[ L]LU[" H WYVIHISL V\[ÅV^ VM YLZV\YJLZ PZ L_WLJ[LK [V ZL[[SL [OL VISPNH[PVU" HUK [OL HTV\U[ VM [OL VISPNH[PVU JHU IL YLSPHIS` LZ[PTH[LK I 9LPTI\YZLTLU[ I` HUV[OLY WHY[` L_WLJ[LK PU YLZWLJ[ VM L_WLUKP[\YL YLX\PYLK [V ZL[[SL H WYV]PZPVU PZ YLJVNUPZLK ^OLU P[ PZ ]PY[\HSS` JLY[HPU [OH[ YLPTI\YZLTLU[ ^PSS IL YLJLP]LK PM VISPNH[PVU PZ ZL[[SLK J *VU[PUNLU[ SPHIPSP[` PZ KPZJSVZLK PU [OL JHZL VM! H WYLZLU[ VISPNH[PVU HYPZPUN MYVT WHZ[ L]LU[Z ^OLU P[ PZ UV[ WYVIHISL [OH[ HU V\[ÅV^ VM YLZV\YZLZ ^PSS IL YLX\PYLK [V ZL[[SL [OL VISPNH[PVU" H WYLZLU[ VISPNH[PVU HYPZPUN MYVT WHZ[ L]LU[Z ^OLU UV YLSPHISL LZ[PTH[L PZ WVZZPISL" H WVZZPISL VISPNH[PVU HYPZPUN MYVT WHZ[ L]LU[Z \USLZZ [OL WYVIHIPSP[` VM V\[ÅV^ VM YLZV\YJLZ PZ YLTV[L K *VU[PUNLU[ HZZL[Z HYL ULP[OLY YLJVNUPZLK UVY KPZJSVZLK L *VTTP[TLU[Z PUJS\KL [OL HTV\U[ VM W\YJOHZL VYKLY UL[ VM HK]HUJLZ PZZ\LK [V WHY[PLZ MVY JVTWSL[PVU VM HZZL[Z M

138

7YV]PZPVUZ JVU[PUNLU[ SPHIPSP[PLZ JVU[PUNLU[ HZZL[Z HUK JVTTP[TLU[Z HYL YL]PL^LK H[ LHJO IHSHUJL ZOLL[ KH[L

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

NOTES

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS (Contd.)

1. SIGNIFICANT ACCOUNTING POLICIES (Contd.)

,T[JWSRJSY LWFSYX XZGXNI^ H *HWP[HS NYHU[Z PU JHZL VM KLWYLJPHISL HZZL[Z" [OL JVZ[ VM [OL HZZL[ PZ ZOV^U H[ NYVZZ ]HS\L HUK NYHU[ [OLYLVU PZ [YLH[LK HZ JHWP[HS NYHU[ ^OPJO PZ YLJVNUPZLK HZ PUJVTL PU [OL Z[H[LTLU[ VM WYVÄ[ HUK SVZZ V]LY [OL WLYPVK HUK PU WYVWVY[PVU PU ^OPJO KLWYLJPH[PVU PZ JOHYNLK I 9L]LU\L NYHU[Z HYL YLJVNUPZLK PU [OL Z[H[LTLU[ VM WYVÄ[ HUK SVZZ PU [OL ZHTL WLYPVK HZ [OL YLSH[LK JVZ[ ^OPJO [OL` HYL PU[LUKLK [V JVTWLUZH[L HYL HJJV\U[LK MVY *]YWFTWINSFW^ FSI J]HJUYNTSFQ NYJRX

0UJVTL VY L_WLUZLZ [OH[ HYPZL MYVT L]LU[Z VY [YHUZHJ[PVUZ [OH[ HYL JSLHYS` KPZ[PUJ[ MYVT VYKPUHY` HJ[P]P[PLZ VM [OL JVTWHU` HYL JSHZZPÄLK HZ L_[YHVYKPUHY` P[LTZ :WLJPÄJ KPZJSVZ\YLZ VM Z\JO L]LU[Z [YHUZHJ[PVUZ HYL THKL PU [OL ÄUHUJPHS Z[H[LTLU[Z :PTPSHYS` HU` L_[LYUHS L]LU[ IL`VUK [OL JVU[YVS VM [OL JVTWHU` ZPNUPÄJHU[S` PTWHJ[PUN PUJVTL VY L_WLUZLZ PZ HSZV [YLH[LK HZ L_[YHVYKPUHY` P[LT HUK KPZJSVZLK HZ Z\JO *LY[HPU VJJHZPVUZ [OL ZPaL [`WL VY PUJPKLUJL VM HU P[LT VM PUJVTL VY L_WLUZL WLY[HPUPUN [V [OL VYKPUHY` HJ[P]P[PLZ VM [OL JVTWHU` PZ Z\JO [OH[ P[Z KPZJSVZ\YL PTWYV]LZ [OL \UKLYZ[HUKPUN VM [OL WLYMVYTHUJL VM [OL JVTWHU` Z\JO PUJVTL VY L_WLUZL PZ JSHZZPÄLK HZ HU L_JLW[PVUHS P[LT HUK HJJVYKPUNS` KPZJSVZLK PU [OL UV[LZ HJJVTWHU`PUN [V [OL ÄUHUJPHS Z[H[LTLU[Z

FI NA N C I A L S

139

` JYVYL

NOTES

2.

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

361.00

125.35

125.35

0.00

125.35

SHARE CAPITAL Authorised: ,X\P[` :OHYLZ VM ` LHJO Issued b9LMLY UV[L H ILSV^d! ,X\P[` :OHYLZ VM ` LHJO 7YL]PV\Z `LHY ,X\P[` :OHYLZ VM ` LHJO 8ZGXHWNGJI FSI UFNI ZU b9LMLY UV[L H ILSV^d! ,X\P[` :OHYLZ VM ` LHJO 7YL]PV\Z `LHY ,X\P[` :OHYLZ VM ` LHJO Forfeited shares: (TV\U[ WHPK \W VU ,X\P[` :OHYLZ VM ` LHJO (TV\U[ WHPK \W `

Notes: F 7JHTSHNQNFYNTS TK YMJ SZRGJW TK YMJ XMFWJX TZYXYFSINSL FY YMJ GJLNSSNSL FSI FY YMJ JSI TK YMJ ^JFW 9LMLY UV[L infra ! 0ZZ\LK ZOHYL JHWP[HS

)HSHUJL H[ [OL ILNPUUPUN VM [OL `LHY Less: :OHYLZ IV\NO[ IHJR )HSHUJL H[ [OL LUK VM [OL `LHY

:\IZJYPILK HUK WHPK \W

)HSHUJL H[ [OL ILNPUUPUN VM [OL `LHY Less: :OHYLZ IV\NO[ IHJR )HSHUJL H[ [OL LUK VM [OL `LHY

(Z H[

(Z H[

No. of Shares

` crore

5V VM :OHYLZ

` JYVYL

641533836

128.30

14745394

2.95

626788442

125.35

(Z H[

(Z H[

No. of Shares

` crore

5V VM :OHYLZ

` JYVYL

641491536

128.30

14745394

2.95

626746142

125.35

;OL *VTWHU` OHZ UV[ PZZ\LK HU` LX\P[` ZOHYLZ K\YPUN [OL J\YYLU[ HUK PU [OL WYL]PV\Z `LHY G 9JWRX WNLMYX FYYFHMJI YT JVZNY^ XMFWJX

;OL *VTWHU` OHZ VUS` JSHZZ VM ZOHYL JHWP[HS P L LX\P[` ZOHYLZ OH]PUN MHJL ]HS\L VM ` WLY ZOHYL ,HJO OVSKLY VM LX\P[` ZOHYL PZ LU[P[SLK [V VUL ]V[L WLY ZOHYL

+\YPUN [OL `LHY [OL *VTWHU` OHZ KLJSHYLK HUK WHPK PU[LYPT KP]PKLUK VM ` WLY ZOHYL ;OL )VHYK VM +PYLJ[VYZ OH]L YLJVTTLUKLK H ÄUHS KP]PKLUK VM ` WLY ZOHYL Z\IQLJ[ [V HWWYV]HS VM ZOHYLOVSKLYZ H[ [OL LUZ\PUN (UU\HS .LULYHS 4LL[PUN

0U [OL L]LU[ VM SPX\KH[PVU [OL LX\P[` ZOHYLOVSKLYZ HYL LSPNPISL [V YLJLP]L [OL YLTHPUPUN HZZL[Z VM [OL *VTWHU` HM[LY KPZ[YPI\[PVU VM HSS WYLMLYLU[PHS HTV\U[Z PU WYVWVY[PVU [V [OLPY ZOHYLOVSKPUN

(c) Details of shareholders holding more than 5 % shares in the Company: (Z H[

(Z H[

% No. of Shares

14 0

(]HU[OH /VSKPUNZ 3PTP[LK

/+-* ;Y\Z[LL *VTWHU` 3PTP[LK /+-* ,X\P[` -\UK

/+-* ;Y\Z[LL *VTWHU` 3PTP[LK

3PML 0UZ\YHUJL *VYWVYH[PVU VM 0UKPH

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

5V VM :OHYLZ

40.84

255937034

9.30

58269500

-

-

5.24

32842674

NOTES

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS (Contd.)

(d) There are no shares reserved for issue under options and contracts / commitments for the sale of shares / disinvestment. J &LLWJLFYJ SZRGJW TK GTSZX XMFWJX NXXZJI IZWNSL YMJ UJWNTI TK Ă [J ^JFWX NRRJINFYJQ^ UWJHJINSL YMJ WJUTWYNSL IFYJ

:OHYLZ PZZ\LK HZ M\SS` WHPK \W IVU\Z ZOHYLZ

(Z H[

(Z H[

No. of Shares

5V VM :OHYLZ

274924944

(Z H[

(Z H[

No. of Shares

5V VM :OHYLZ

14745394

K &LLWJLFYJ SZRGJW TK XMFWJX GTZLMY GFHP IZWNSL YMJ UJWNTI TK Ă [J ^JFWX NRRJINFYJQ^ UWJHJINSL YMJ WJUTWYNSL IFYJ

:OHYLZ IV\NO[ IHJR L &LLWJLFYJ SZRGJW TK XMFWJX NXXZJI FX ,)7X (Z H[ % No. of Shares ;OL )HUR VM 5L^ @VYR

0.22

1383534

(Z H[

5V VM :OHYLZ

FI NA N C I A L S

14 1

` JYVYL

NOTES

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS (Contd.)

(Z H[ 3.

(Z H[

RESERVES AND SURPLUS Capital reserve on consolidation (Z WLY SHZ[ IHSHUJL ZOLL[

158.10

19.12

Capital reserve (Z WLY SHZ[ IHSHUJL ZOLL[ Capital redemption reserve: (Z WLY SHZ[ IHSHUJL ZOLL[ (KK! 6U HJJV\U[ VM )\` IHJR

10.00

2.95

12.95

Securities premium account: (Z WLY SHZ[ IHSHUJL ZOLL[ Less: <[PSPZLK MVY )\` IHJR

151.84

(133.54)

18.30

Revaluation reserve: (Z WLY SHZ[ IHSHUJL ZOLL[ (KK ! (KKP[PVU K\YPUN [OL `LHY Less: ;YHUZMLYYLK [V :[H[LTLU[ VM WYVĂ„[ HUK SVZZ b9LMLY UV[L H ILSV^d

30.93

-

(1.03)

29.90

Statutory reserve: (Z WLY SHZ[ IHSHUJL ZOLL[ b9LMLY UV[L I ILSV^d (KKP[PVU KLK\J[PVU K\YPUN [OL `LHY

63.02

2.44

65.46

Government grant: (Z WLY SHZ[ IHSHUJL ZOLL[ (KKP[PVU KLK\J[PVU K\YPUN [OL `LHY

0.10

-

0.10

Foreign currency translation reserve: (Z WLY SHZ[ IHSHUJL ZOLL[ (KKP[PVU KLK\J[PVU K\YPUN [OL `LHY

139.29

60.34

199.63

Hedge reserve: (Z WLY SHZ[ IHSHUJL ZOLL[ (KKP[PVU KLK\J[PVU K\YPUN [OL `LHY b9LMLY UV[L J ILSV^d

(4.15)

1.13

(3.02)

'FQFSHJ NS 8YFYJRJSY TK UWTĂ Y FSI QTXX (Z WLY SHZ[ IHSHUJL ZOLL[ (KK! 7YVĂ„[ SVZZ MVY [OL `LHY Less: ;YHUZMLYYLK [V Z[H[\[VY` YLZLY]L b9LMLY UV[L I ILSV^d

2864.97

244.33

(2.44)

3106.86

Z[ 0U[LYPT KP]PKLUK

25.19

UK 0U[LYPT KP]PKLUK

25.07

7YVWVZLK KP]PKLUK

25.07

(KKP[PVUHS [H_ VU KP]PKLUK

12.86

5WTĂ Y F[FNQFGQJ KTW INXYWNGZYNTS

3018.67

3519.21

Notes: H +LWYLJPH[PVU VU YL]HS\LK HTV\U[ VM Ă„_LK HZZL[Z YLJV\WLK MYVT 9L]HS\H[PVU YLZLY]L ` JYVYL b(SZV YLMLY UV[L H infrad I :[H[\[VY` YLZLY]L YLWYLZLU[Z WYVĂ„[Z ZL[ HZPKL HZ WLY [OL SVJHS Z[H[\[VY` YLX\PYLTLU[ VM V]LYZLHZ Z\IZPKPHYPLZ HUK [OL ZHTL PZ UV[ H]HPSHISL MVY KPZ[YPI\[PVU J /LKNL YLZLY]L YLWYLZLU[Z UL[ THYR [V THYRL[ SVZZ VU MVY^HYK JVU[YHJ[Z VWLU HZ H[ [OL LUK VM [OL Ă„UHUJPHS `LHY MVY ^OPJO [OL OLKNLK [YHUZHJ[PVU OH]L UV[ VJJ\YYLK

14 2

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

` JYVYL

NOTES

4.

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

9.48

MINORITY INTEREST 6WLUPUN IHSHUJL

-

:OHYL VM WYVÄ[ SVZZ MVY [OL `LHY

(0.68)

+P]PKLUK [V TPUVYP[` ZOHYLOVSKLYZ

(0.08)

3.03

11.75

(Z H[

(Z H[

1554.16

20.76

53.27

0U[LYLZ[ MYLL ZHSLZ [H_ KLMLYYHS SVHUZ MYVT :[H[L .V]LYUTLU[ b9LMLY UV[L K ILSV^d

0.54

3LHZL ÄUHUJL b9LMLY UV[L L ILSV^d

3.52

1632.25

(KKP[PVU +LSL[PVU K\YPUN [OL `LHY

;YHUZSH[PVU HKQ\Z[TLU[ *SVZPUN IHSHUJL

5.

LONG-TERM BORROWINGS Secured loans Term loans -YVT IHURZ b9LMLY UV[L H ILSV^d -YVT ÄUHUJPHS 0UZ[P[\[PVUZ b9LMLY UV[L I ILSV^d Bonds b9LMLY UV[L J ILSV^d Unsecured loans

F 9JWR QTFSX KWTR GFSPX P

;OL SVUN [LYT SVHU VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL PZ ZLJ\YLK I` ^H` VM Ä_LK HUK ÅVH[PUN JOHYNL VU HSS HZZL[Z VM *. 7V^LY :`Z[LTZ 0YLSHUK 3PTP[LK ;OPZ SVHU PZ YLWH`HISL PU LPNO[` LX\HS X\HY[LYS` PUZ[HSSTLU[Z MYVT [OL KYH^KV^U PU -LIY\HY`

PP ;OL SVUN [LYT SVHU VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL PZ ZLJ\YLK I` ^H` VM Ä_LK HUK ÅVH[PUN JOHYNL VU HSS HZZL[Z VM *. 7V^LY <:( 0UJ SVJH[LK H[ 4PZZV\YP HUK 5L^ 1LYZL` ;OPZ SVHU PZ YLWH`HISL PU [LU LX\HS OHSM `LHYS` PUZ[HSSTLU[Z MYVT KYH^KV^U PU 1\UL PPP ;OL SVUN [LYT SVHU VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL PZ ZLJ\YLK I` ^H` VM Ä_LK HUK ÅVH[PUN JOHYNL VU HSS HZZL[Z VM *. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[ 9LWH`TLU[ VM [OL SVHU ^PSS JVTTLUJL MYVT +LJLTILY HUK ^PSS IL YLWH`HISL PU MV\Y LX\HS HUU\HS PUZ[HSSTLU[Z P] ;OL SVUN [LYT SVHU VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL PZ ZLJ\YLK I` ^H` VM Ä_LK HUK ÅVH[PUN JOHYNL VU HSS HZZL[Z VM *. ,SLJ[YPJ :`Z[LTZ /\UNHY` AY[ HUK PZ HSZV N\HYHU[LLK I` [OL 7HYLU[ *VTWHU` ;OPZ SVHU ^PSS IL WH`HISL I` H ZPUNSL PUZ[HSSTLU[ PU :LW[LTILY ] ;OL SVUN [LYT SVHU VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL PZ ZLJ\YLK I` ÄYZ[ YHURPUN WSLHNL V]LY VM [OL ZOHYLZ VM *YVTW[VU .YLH]LZ /VSKPUNZ :^LKLU () OLSK I` *. 0UK\Z[YPHS /VSKPUNZ () HUK TVY[NHNL VM Ä_LK HZZL[Z VM *. +YP]LZ HUK (\[VTH[PVU .YV\W :^LKLU ;OPZ SVHU PZ YLWH`HISL PU Ä]L LX\HS HUU\HS PUZ[HSSTLU[Z MYVT +LJLTILY ]P ;OL .YV\W OHZ H]HPSLK ]HYPV\Z M\UK IHZLK MHJPSP[PLZ MYVT [OL JVUZVY[P\T [V TLL[ P[Z ^VYRPUN JHWP[HS YLX\PYLTLU[Z ;OLZL MHJPSP[PLZ HYL ZLJ\YLK I` ^H` VM TVY[NHNL VU I\PSKPUN WSHU[ HUK THJOPULY` HUK O`WV[OLJH[PVU JOHYNL VU PU]LU[VYPLZ HUK [YHKL YLJLP]HISLZ VM *. 7V^LY :`Z[LTZ )LSNP\T 5 = HUK *. /VSKPUNZ )LSNP\T 5 = ;OLZL MHJPSP[PLZ HSZV PUJS\KL SVUN [LYT SVHU VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL ;OPZ SVUN [LYT SVHU PZ YL WH`HISL PU MV\Y LX\HS `LHYS` PUZ[HSSTLU[Z MYVT KYH^KV^U PU 4H` ]PP ;OL SVUN [LYT SVHU VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL PZ ZLJ\YLK I` WSLKNL V]LY ZOHYLZ VM A0= .YV\W TVY[NHNL VM Ä_LK HZZL[Z SVJH[LK H[ :WHPU HUK N\HYHU[LLK I` [OL 7HYLU[ *VTWHU` ;OPZ SVHU PZ YLWH`HISL PU \ULX\HS HUU\HS HUK OHSM `LHYS` PUZ[HSSTLU[Z MYVT 1HU\HY` ]PPP ;OL SVUN [LYT SVHU VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL PZ ZLJ\YLK I` ÄYZ[ WYPVYP[` VU HSS HJJV\U[Z YLJLP]HISLZ VM [OL *. 7V^LY :`Z[LTZ <:( 0UJ SVJH[LK H[ 4PZZV\YP HUK H SPLU ZLUPVY PU WYPVYP[` [V HSS SPLUZ V[OLY [OHU SPLUZ NYHU[LK PU MH]V\Y VM SLHZLK LX\PWTLU[Z G 9JWR QTFSX KWTR YMJ ÁSFSHNFQ NSXYNYZYNTS HTSXNXYX YMJ KTQQT\NSL

:VM[ SVHUZ VM ` JYVYL 7YL]PV\Z `LHY ` JYVYL MYVT .V]LYUTLU[ 4PUPZ[Y` VM :WHPU ^OPJO HYL YLWH`HISL PU WLYPVKPJHS PUZ[HSSTLU[Z MYVT [OL `LHY [V

H 'TWWT\NSLX G^ \F^ 'TSIX P

)<03+ 4PZZV\YP 9L]LU\L )VUKZ :LYPLZ ^P[O PU[LYLZ[ WH`HISL ZLTP HUU\HS H[ H Ä_LK YH[L HUK WYPUJPWHS WH`TLU[Z YHUNPUN MYVT ` JYVYL [V ` JYVYL [OYV\NO TH[\YP[` VU Z[ +LJLTILY

PP 0UK\Z[YPHS +L]LSVWTLU[ 9L]LU\L )VUKZ :LYPLZ ^P[O PU[LYLZ[ WH`HISL TVU[OS` H[ [OL ^LLRS` HKQ\Z[LK 30)69 YH[L HUK HUU\HS WYPUJPWHS WH`TLU[ YHUNPUN MYVT ` JYVYL [V ` JYVYL [OYV\NO TH[\YP[` PU +LJLTILY PPP 0UK\Z[YPHS +L]LSVWTLU[ 9L]LU\L )VUKZ :LYPLZ ^P[O PU[LYLZ[ WH`HISL TVU[OS` H[ [OL ^LLRS` HKQ\Z[LK 30)69 YH[L HUK HUU\HS WYPUJPWHS WH`TLU[Z YHUNPUN MYVT ` JYVYL [V ` JYVYL [OYV\NO TH[\YP[` PU +LJLTILY P] 0UK\Z[YPHS +L]LSVWTLU[ 9L]LU\L )VUKZ :LYPLZ ^P[O PU[LYLZ[ WH`HISL TVU[OS` H[ [OL ^LLRS` HKQ\Z[LK 30)69 YH[L HUK HUU\HS WYPUJPWHS WH`TLU[ YHUNPUN MYVT ` JYVYL [V ` JYVYL [OYV\NO TH[\YP[` PU 1\UL I 9MJ (TRUFS^ MFX TUYJI KTW YMJ IJKJWWFQ XHMJRJ TK XFQJX YF] \MNHM NX UF^FGQJ FX UJW YMJ XHMJRJ KWFRJI G^ 8YFYJ ,T[JWSRJSY

FI NA N C I A L S

14 3

` JYVYL

NOTES

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS (Contd.)

(e) Finance lease:

-PUHUJL SLHZL VISPNH[PVUZ HYL YLWH`HISL PU LX\H[LK TVU[OS` PUZ[HSSTLU[Z

;OL HZZL[Z HJX\PYLK VU ÄUHUJL SLHZL THPUS` JVTWYPZL WSHU[Z HUK LX\PWTLU[Z ;OL SLHZL OHZ H WYPTHY` WLYPVK ^OPJO PZ Ä_LK HUK UVU JHUJLSSHISL ;OL .YV\W OHZ HU VW[PVU [V YLUL^ [OL SLHZL MVY H ZLJVUKHY` WLYPVK

;OL TPUPT\T SLHZL YLU[HSZ HZ H[ Z[ 4HYJO HUK [OL WYLZLU[ ]HS\L HZ H[ Z[ 4HYJO VM TPUPT\T SLHZL WH`TLU[Z PU YLZWLJ[ VM HZZL[Z HJX\PYLK \UKLY ÄUHUJL SLHZLZ HYL HZ MVSSV^Z! 7YLZLU[ ]HS\L VM TPUPT\T SLHZL WH`TLU[Z

4PUPT\T SLHZL WH`TLU[Z

+\L ^P[OPU VUL `LHY

2.51

2.03

+\L VUL [V Ä]L `LHYZ

4.54

3.52

Total

7.05

5.55

Less: -\[\YL ÄUHUJL JOHYNLZ

1.50

7YLZLU[ ]HS\L VM TPUPT\T SLHZL WH`HISL

5.55

(Z H[ 6.

(Z H[

DEFERRED TAX Deferred YF] assets

Deferred YF] QNFGNQNYNJX

,_WLUZLZ HSSV^HISL MVY [H_ W\YWVZLZ ^OLU WHPK VU WH`TLU[ VM [H_ ;+: <UHIZVYILK JHYYPLK MVY^HYK [H_ SVZZLZ KLWYLJPH[PVU 6[OLY P[LTZ NP]PUN YPZL [V [PTPUN KPMMLYLUJLZ 5L[ KLMLYYLK [H_ SPHIPSP[LZ HZZL[ +LMLYYLK [H_ HZZL[Z VU HJX\PZP[PVU VM Z\IZPKPHYPLZ ,MMLJ[ VM [YHUZSH[PVU NHPU SVZZ

+LMLYYLK [H_ HZZL[Z

167.68

+PMMLYLUJL IL[^LLU IVVR HUK [H_ KLWYLJPH[PVU 62.57

+LMLYYLK [H_ SPHIPSP[PLZ

210.40

68.03

20.15

341.00

187.83

153.17

-

27.61

42.53

5L[ HZZL[ SPHIPSP[` JYLKP[LK JOHYNLK [V :[H[LTLU[ VM WYVÄ[ HUK SVZZ 27.61 5L[ PUJYLTLU[HS HZZL[Z SPHIPSP[PLZ

42.53

14.92

(Z H[ 7.

(Z H[

OTHER LONG-TERM LIABILITIES 4YMJW UF^FGQJX +LWVZP[Z

28.12

6[OLYZ

58.36

86.48

+\L [V LYZ[^OPSL ZOHYLOVSKLYZ VM HJX\PYLK Z\IZPKPHYPLZ

-

86.48

(Z H[ 8.

LONG-TERM PROVISIONS ,TWSV`LLZ ILULÄ[Z 9LMLY UV[L ILSV^

14 4

(Z H[

;OL .YV\W OHZ YLJVNUPZLK SPHIPSP[PLZ [V^HYKZ ,TWSV`LL ILULÄ[Z HZ WLY [OL HWWSPJHISL .((7 PU [OL JV\U[Y` VM KVTPJPSL

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

73.11

73.11

` JYVYL

NOTES

9.

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

338.91

57.34

SHORT-TERM BORROWINGS Secured loans Term loans -YVT IHURZ 9LMLY UV[L ILSV^ Working capital demand loan -YVT IHURZ 9LMLY UV[L ILSV^ Unsecured loans -YVT IHURZ

164.52

560.77

Note :

;OL .YV\W OHZ H]HPSLK ]HYPV\Z ZOVY[ [LYT IVYYV^PUNZ HUK ^VYRPUN JHWP[HS KLTHUK SVHU ;OLZL SVHUZ HYL ZLJ\YLK I` O`WV[OLJH[PVU VM PU]LU[VYPLZ IVVR KLI[Z HUK [YHKL YLJLP]HISLZ IV[O WYLZLU[ HUK M\[\YL (Z H[

(Z H[

(JJLW[HUJLZ

346.66

+\L [V V[OLYZ

2389.66

10. TRADE PAYABLES

Due to related parties: (ZZVJPH[LZ

(Z H[

37.41

2773.73

(Z H[

11. OTHER CURRENT LIABILITIES Current maturities: 1TSL YJWR GTWWT\NSLX -YVT IHURZ b9LMLY UV[L H XZUWFd -YVT ÄUHUJPHS PUZ[P[\[PVUZ b9LMLY UV[L I HUK UV[L XZUWFd

195.98

4.61

200.59

0U[LYLZ[ MYLL KLMLYYHS SVHUZ MYVT :[H[L .V]LYUTLU[ b9LMLY UV[L K XZUWFd

0.35

3LHZL ÄUHUJL b9LMLY UV[L L XZUWFd

2.03

0U[LYLZ[ HJJY\LK I\[ UV[ K\L VU IVYYV^PUNZ

7.23

945.64

(K]HUJLZ MYVT J\Z[VTLYZ Investor Education and Protection Fund: <UJSHPTLK KP]PKLUK <UJSHPTLK TH[\YLK Ä_LK KLWVZP[Z

1.94

-

+\L [V KPYLJ[VYZ +\L [V J\Z[VTLYZ JVUZ[Y\J[PVU HUK WYVQLJ[ YLSH[LK HJ[P]P[`

1.94

12.85

125.82

4YMJW UF^FGQJX +\L [V LYZ[^OPSL ZOHYLOVSKLYZ :LJ\YP[` KLWVZP[Z

44.74

2.01

:[H[\[VY` K\LZ

70.97

,TWSV`LL K\LZ

154.24

6[OLYZ

143.63

415.59

1712.04

FI NA N C I A L S

14 5

` JYVYL

NOTES

ACCOMPANYING TO THE CONSOLIDATED FINANCIAL STATEMENTS (Contd.)

(Z H[

(Z H[

12. SHORT-TERM PROVISIONS -

25.07

(KKP[PVUHS [H_ VU KP]PKLUK

4.26

,TWSV`LL ILULÄ[Z

4.77

;H_LZ UL[ VM HK]HUJL [H_ 7YVWVZLK KP]PKLUK

6[OLYZ WYV]PZPVUZ 9LMLY UV[L ILSV^

299.23

333.33

)NXHQTXZWJX FX WJVZNWJI G^ &HHTZSYNSL 8YFSIFWI &8 5WT[NXNTSX (TSYNSLJSY 1NFGNQNYNJX FSI (TSYNSLJSY &XXJYX (1) Movement in provisions: >HYYHU[PLZ 5H[\YL VM WYV]PZPVUZ *HYY`PUN HTV\U[ H[ [OL ILNPUUPUN VM [OL `LHY (KKP[PVU VU HJX\PZP[PVU VM Z\IZPKPHYPLZ K\YPUN [OL `LHY (KKP[PVUHS WYV]PZPVU THKL K\YPUN [OL `LHY

,_JPZL K\[` *\Z[VTZ K\[` :LY]PJL [H_

:HSLZ [H_ =(;

81.17

19.10

8.76

-

-

-

54.97

3.94

2.89

(TV\U[Z \ZLK K\YPUN [OL `LHY

21.94

-

-

<U\ZLK HTV\U[Z YL]LYZLK K\YPUN [OL `LHY

23.01

0.45

0.33

;YHUZSH[PVU HKQ\Z[TLU[ *HYY`PUN HTV\U[ H[ [OL LUK VM [OL `LHY

4.34

-

-

95.53

22.59

11.32

3PX\PKH[LK KHTHNLZ 5H[\YL VM WYV]PZPVUZ

6[OLY SP[PNH[PVU JSHPTZ

,U]PYVUTLU[HS VISPNH[PVUZ

76.32

48.98

16.99

-

-

-

(KKP[PVUHS WYV]PZPVU THKL K\YPUN [OL `LHY

19.13

13.33

-

(TV\U[Z \ZLK K\YPUN [OL `LHY

*HYY`PUN HTV\U[ H[ [OL ILNPUUPUN VM [OL `LHY (KKP[PVU VU HJX\PZP[PVU VM Z\IZPKPHYPLZ K\YPUN [OL `LHY

34.25

-

0.72

<U\ZLK HTV\U[Z YL]LYZLK K\YPUN [OL `LHY

7.33

-

-

;YHUZSH[PVU HKQ\Z[TLU[

9.33

8.08

3.11

63.20

70.39

19.38

14.39

265.71

-

-

21.67

115.93

*HYY`PUN HTV\U[ H[ [OL LUK VM [OL `LHY

6ULYV\Z JVU[YHJ[Z 5H[\YL VM WYV]PZPVUZ *HYY`PUN HTV\U[ H[ [OL ILNPUUPUN VM [OL `LHY (KKP[PVU VU HJX\PZP[PVU VM Z\IZPKPHYPLZ K\YPUN [OL `LHY (KKP[PVUHS WYV]PZPVU THKL K\YPUN [OL `LHY

(TV\U[Z \ZLK K\YPUN [OL `LHY <U\ZLK HTV\U[Z YL]LYZLK K\YPUN [OL `LHY

;YHUZSH[PVU HKQ\Z[TLU[ *HYY`PUN HTV\U[ H[ [OL LUK VM [OL `LHY

0.69 19.53 0.98 16.82

;V[HS

57.60

50.65

25.84

299.23

(KKP[PVUHS WYV]PZPVU THKL K\YPUN [OL `LHY HUK YL]LYZHS VM \U\ZLK HTV\U[ HYL PUJS\KLK PU [OL YLZWLJ[P]L OLHK VM HJJV\U[Z (2) Nature of provisions: H 7YVK\J[ ^HYYHU[PLZ! ;OL *VTWHU` NP]LZ ^HYYHU[PLZ VU JLY[HPU WYVK\J[Z HUK ZLY]PJLZ PU [OL UH[\YL VM YLWHPYZ YLWSHJLTLU[ ^OPJO MHPS [V WLYMVYT ZH[PZMHJ[VYPS` K\YPUN [OL ^HYYHU[` WLYPVK 7YV]PZPVU THKL YLWYLZLU[Z [OL HTV\U[ VM [OL L_WLJ[LK JVZ[ VM TLL[PUN Z\JO VISPNH[PVU VU HJJV\U[ VM YLJ[PÄJH[PVU YLWSHJLTLU[ ;OL [PTPUN VM V\[ÅV^Z PZ L_WLJ[LK [V IL ^P[OPU H WLYPVK VM [^V `LHYZ I 7YV]PZPVU MVY ZHSLZ [H_ =(; YLWYLZLU[Z SPHIPSP[` VU HJJV\U[ VM UVU JVSSLJ[PVU VM KLJSHYH[PVU MVYTZ HUK V[OLY SLNHS TH[[LYZ ^OPJO HYL PU HWWLHS \UKLY [OL (J[ 9\SLZ J 7YV]PZPVU MVY L_JPZL K\[` J\Z[VTZ K\[` ZLY]PJL [H_ YLWYLZLU[Z [OL KPMMLYLU[PHS K\[` SPHIPSP[` [OH[ PZ L_WLJ[LK [V TH[LYPHSPZL PU YLZWLJ[ VM TH[[LYZ PU HWWLHS K 7YV]PZPVU MVY SPX\PKH[LK KHTHNLZ OHZ ILLU THKL VU JVU[YHJ[Z MVY ^OPJO KLSP]LY` KH[LZ HYL L_JLLKLK HUK JVTW\[LK PU YLHZVUHISL HUK WY\KLU[ THUULY L 7YV]PZPVU MVY SP[PNH[PVU YLSH[LK VISPNH[PVUZ YLWYLZLU[Z SPHIPSP[PLZ [OH[ HYL L_WLJ[LK [V TH[LYPHSPZL PU YLZWLJ[ VM TH[[LYZ PU HWWLHS M 7YV]PZPVU MVY LU]PYVUTLU[HS VISPNH[PVUZ YLWYLZLU[Z SPHIPSP[PLZ [V^HYKZ [OL JVZ[Z L_WLJ[LK [V IL PUJ\YYLK [V [YLH[ JVU[HTPUH[LK ZVPS LMÅ\LU[Z H[ P[Z THU\MHJ[\YPUN SVJH[PVUZ ^OLYL]LY YLX\PYLK I` SVJHS SH^ N 7YV]PZPVU MVY VULYV\Z JVU[YHJ[Z OH]L ILLU THKL VU JVU[YHJ[Z ^OLU P[ PZ WYVIHISL [OH[ [OL LZ[PTH[LK JVZ[ ^PSS L_JLLK [OL [V[HS JVU[YHJ[ YL]LU\L

14 6

C R O M P T O N G R E AV E S L I M I T E D 2 0 1 4

FI NA N C I A L S

14 7

-\YUP[\YL HUK Ä_[\YLZ

6MÄJL LX\PWTLU[Z

-

-

-

294.39

74.36

220.03

46.03

-

46.03

416.24

140.93

275.31

127.90 129.13 45.90

43.52 316.05 353.90

4764.44

(JX\PZP[PVU VM *VTWHJ[ -SVYVZJLU[ 3HTWZ I\ZPULZZ VM 2HYTH 0UK\Z[YPLZ PU[LNYH[LK ^ L M Z[ 1\UL

2229.19

341.67

66.16

1020.20

240.57

1887.52

2121.73

1167.20

4.86

17.55

20.92

3744.24

+LWYLJPH[PVU (TVY[PZH[PVU

5L[ ISVJR

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-

-

-

263.17

98.66

164.51

41.11

-

41.11

231.23

69.08

162.15

2682.48

509.41

86.99

190.95

23.28

30.23

177.96

2173.07

16.59

1.31

31.78

100.10

91.50

1380.88

547.64

3.27

-

510.79

266.91

125.10

20.24

35.93

62.61

1571.17

4.33

3.55

14.12

29.03

36.40

740.85

619.56

14.28

109.05

463.24

1392.62

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109.05

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14.79

804.91

4085.05

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14.79

3280.14

(KKP[PVUZ

;YHUZSH[PVU (Z H[ +LK\J[PVUZ HKQ\Z[TLU[Z

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(JX\PZP[PVU 9L]HS\H[PVU

*VTW\[LY ZVM[^HYL