Notes to the Financial Statements 

1 General Information

Mayur Uniquoters Limited (the Company), is engaged in the business of manufacturing of Coated Textile fabric. The Company is the leading manufacturer of Coated Textile fabric in India. The Company has its manufacturing units situated at village Jaitpura and Dhodsar, Jaipur (India).Knitted Fabric manufactured in Dhodsar plant is consumed as captive consumption.The products of the Company i.e.Coated Textile fabric are widely used in different segments such as Footwear, Furnishings,Automotive OEM,Automotive replacement market, and Automotive Exports.The Company is selling its products directly to OEMs and other manufacturers, wholesalers in India and is also exporting to various countries including US & UK. The equity shares of the Company are brsently listed with Bombay Stock Exchange Limited (BSE)and National Stock Exchange Limited (NSE)

2 Summary of significant accounting policies

(A) Basis of brparation:

These financial statements have been brpared in accordance with the generally accepted accounting principles in India under the historical cost convention on accrual basis. These financial statements have been brpared to comply in all material aspects with the accounting standards notified under section 133 of the Companies Act 2013,read with Rule 7 of the Companies(Accounts) Rules,2014.

All assets and liabilities have been classified as current or non-current as per the Company's normal operating cycle and other criteria set out in the Schedule III to the Companies Act,2013

(B) Tangible Assets:

Tangible assets are stated at cost which includes cost of acquisitions,installation,direct costs and borrowing cost incurred up to the date of commissioning.

(C) Intangible Assets:

Intangible assets are stated at cost which includes cost of acquisitions,installaton,direct costs and borrowing cost incurred up to the date of commissioning.

(D) Debrciation and Amortisation:

(i) Debrciation on tangible assets has been provided at the Straight Line Method on the basis of useful life of assets as brscribed in part C of Schedule II of the Companies Act,20l3. (ii) Debrciation on additions and deletion during the year has been provided on pro rata basis with reference to the date of addition and deletion. Land & Site development has not been debrciated.

(iii) Debrciation has been provided on Triple Shift Basis

- For all coating lines at Jaitpura unit.

- For knitting & process line for Textile Div. at Dhodsar unit.

Debrciation has been provided on Single Shift Basis -For coating lines at Dhodsar unit.

(iv) From the date schedule II of the Companies Act 2013 comes into effect,the carrying amount of the assets as on that date after retaining the residual value-

(a) has been debrciated over the remaining useful life of the assets as per this schedule;

(b) has been charged to statement of Profit & Loss,where the remaing useful life of an asset is Nil.

(v) Intangible assets (Computer Software) are amortised over the period of four years as per provision ofAS-26

(E) Foreign Currency Transactions:

(i) Cost of imported material is converted to Indian currency at the rates applied in Bill of Entry for custom purposes.

(ii) The expenditure in foreign currency is accounted at the rates brvailing on the date of transaction.

(iii) The export sales are accounted for at the actual rates brvailing at the time of transaction.

(iv) Exchange fluctuation arising on repayment of long term liability incurred for the purpose of acquiring fixed assets is charged to Profit & Loss Account as per the provisions of AS-ll.

(v) Balances of monetary items in foreign currency outstanding at the close of the year are converted in indian currency at the appropriate rates of exchange brvailing on the date of the balance sheet.

(vi) Exchange rate difference between the brvailing rate on the date of transaction and on the date of settlement as also on conversion of monetary items in current assets and current liabilities at the end of the year are recognized as income & expense as the case may be in Profit & Loss Account. 

 (F) Inventories:

(i) Raw material,stores,spares & maintenance items, consumable goods, work-in-process and other goods are valued at lower of landed cost and net realizable value.The cost formula used is Weighted Average Cost.(The Average has been calculated on each additional shipment is received.)

(ii) Finished goods are valued at cost or net realizable value, whichever is lower.

(iii) The cost of imported raw material includes custom duties and other direct expenditure.

(iv) The cost of finished goods comprises of raw material cost (proportionate of selling price), manufacturing expenses, payment to & provision for employees, debrciation on Plant & Machinery and factory building (as cost per liner meter on production).

(G) Revenue Recognition:

Revenue is recognized only when it can be reliably measured and it is reasonable to expect ultimate collection. Dividend income is recognized when right to receive is established. Interest income is recognized on time proportion basis taking into account the amount outstanding and rate applicable. Sales within india are exclusive of sales tax but inclusive of excise duty & net of trade discount. Cut off date for accounting export sales is based on the date of Bill of Lading. Export sales are accounted for on FOB basis.

(H) Employees Benefits:

(i) The Company has defined contribution plan for its employees' retirement benefits comprising of Provident Fund & Employees' State Insurance Fund.The Company and eligible employees make monthly contribution to the above mentioned funds at a specified percentage of the covered employees salary.The Company recognizes its contribution as expense of the year in which the liability is incurred.

(ii) The Company has defined benefit plan comprising of Gratuity Fund & Leave Encashment. The Company contributes to the Gratuity and Leave Encashment Fund managed by the Life Insurance Corporation of India under its Group Gratuity (Cash Accumulation) Scheme and Group Leave Encashment Scheme. The liability for Gratuity & Leave Encashment is determined on the basis of independent actuarial valuation done at year end. Plan assets are measured at fair value as at balance sheet date.

(I) Borrowing Costs:

General and specific borrowing costs directly attributable to the acquisition construction or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use or sale, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use or sale. All other borrowing cost are recognized in statement of Profit and Loss in the period in which they are incurred.

(J) Taxation:

Income tax provision comprises current tax and deferred tax charge or credit. Provision for current tax is made on the assessable income at the tax rate applicable to the relevant assessment year. The deferred tax asset and liability is calculated by applying tax rate and tax laws that have been enacted or substantively enacted by the balance sheet date. Deferred tax assets arising mainly on account of unabsorbed debrciation under tax laws are recognized, only if there is a virtual certainty of its realization, supported by convincing evidence. Deferred tax assets on account of other timing differences are recognised,only to the extent there is a reasonable certainty of its realization. At each balance sheet date, the carrying amount of deferred assets is reviewed to reassure realization.

(K) Impairment:

The carrying amount of assets are reviewed at each balance sheet date if there is any indication of impairment based on internal as well as external factors. An impairment loss will be recognized wherever the carrying amount of an assets exceeds its estimated recoverable amount. The recoverable amount is greater of the assets net selling price and value in use. In assessing the value in use, the estimated future cash flows are discounted to the brsent value at the weighted average cost of capital. After impairment, debrciation is provided on the revised carrying amount of the assets over the remaining useful life. Previously recognized impairment loss is further provided or reversed depending on changes in circumstances.

(L) Provisions, Contingent Liabilities and Contingent Assets:

The Company recognizes a provision where there is a brsent obligation as a result of a past event that probably requires an outflow of resources and a reliable estimate can be made of the amount of the obligation. A disclosure for a contingent liability is made when there is a possible obligation or a brsent obligation that may, but probably will not, require an outflow of resources. Where there is a possible obligation or a brsent obligation that the likelihood of outflow of resources is remote, no provision or disclosure is made. Contingent assets are neither recognized nor disclosed.Provisions,contingent liabilities and contingent assets are reviewed at each balance sheet date.

(M) Lease Transaction:

For assets taken on operating lease,lease rentals payable are charged to revenue.

(N) Investments:

Investments are valued at cost, provision for diminution in the value of long term investments is made,only if such decline is other than temporary.

(O) Use of Estimates:

The brparation of financial statements requires estimates and assumptions to be made that affect the reported amount of assets and liabilities on the date of financial statements and the reported amount of revenues and expenses during the reporting period.Difference between the actual results and estimates are recognized in the period in which the results are known/materialized.

(P) Cash and Cash Equivalents:

In the cash flow statement, cash and cash equivalents includes cash in hand, demand deposits with banks, other short-term highly liquid investments with original maturities of three months or less.

(Q) Research and Development:

All revenue expenses pertaining to research and development are charged to profit and loss account in the year in which they are incurred and expenditure of capital nature is capitalized as fixed assets, and debrciated as per the Company's policy. 

3. In the opinion of the management and to the best of their knowledge and belief the value of realization of advances and other current assets in the ordinary course of business will not be less than the amount at which they are stated in the Balance Sheet.

4 The company is engaged in production of Coated Textile Fabric hence there is no reportable business segment and the company has no activity outside india except export of Coated Textile Fabric manufactured in India. Thereby no geographical segment and no segment wise information is reported.

5 Leases

As a Lessee

Finance/Operating Lease

There is no finance/operating lease taken by the Company during the year.

6 There are no Micro, Small and Medium Enterprises, to whom the company owes dues, which are outstanding for more than 45 days at the balance sheet date. This information as required to be disclosed under the Micro, Small & Medium Enterprises Development Act, 2006 has been determined to the extent such parties have been identified on the basis of information available with the Company.

7 The Company reassessed the useful life of the fixed assets as per part C of Schedule II of The Companies Act ,2013. This has resulted in a higher debrciation amounting to Rs.29l.56 Lacs for the year ended 3lst March,20l5.

8 The Company has changed the cost formula used for stock valuation from FIFO (First in First out) method to Weighted Average Method.This has resulted in a higher stock valuation amounting to Rs.17.41 Lacs for the year ended 3lst March,20l5.

9 Balance of Sundry Debtors, Sundry Creditors and Advances are subject to confirmation.

10 The Company did not have convertible ,partly convertible debentures as on 3lst March,20l5

11 Figure in brackets denotes figures for pervious year ended on 31.03.14

52 Figures for brvious year are regrouped and rearranged wherever considered necessary.

For and on behalf of the Board

As per our report of even date

For MADHUKAR GARG & COMPANY

Chartered Accountants

FRN 000866C 

Sd/- MANISH SURI

(Partner)

M.No.74998

Sd/- S.K.PODDAR (Chairman & Managing Director & CEO) (DIN : 00022395) 

Sd/- ARUN KUMAR BAGARIA (Executive Director) (DIN : 00373862)

Sd/- MANAV PODDAR (Executive Director) (DIN : 00022407)

Sd/- P.S. JANGID (Chief Financial Officer)

Sd/- NIKHIL SAXENA (Company Secretary) M.No.: ACS19327

Place : Jaitpura (Jaipur)

Date : 12th May, 2015