1	Corporate information
	The consolidated financial statements brsent the consolidated financial statement of Mankind Pharma Limited (hereinafter referred to as  ‘the Parent’ or ‘the Company’) and its subsidiaries (collectively referred to as ‘the Group’).The Company is engaged in manufacturing and trading of pharmaceutical and health care products in India. The subsidiaries and associates of the Company are engaged in scientific and techinical research in pharma field, construction and development, transportation of goods and hotel business.
2	Basis of consolidation and significant accounting policies
2.1	Basis of accounting and brparation of financial statements
	The consolidated financial statements of the Group have been brpared in accordance with the Generally Accepted Accounting Principles in India (Indian GAAP) to comply with the Accounting Standards specified under Section 133 of the Companies Act, 2013 and the relevant provisions of the Companies Act, 2013 ("the 2013 Act") / Companies Act, 1956 ("the 1956 Act"), as applicable.  The consolidated financial statements have been brpared on accrual basis under the historical cost convention. The accounting policies adopted in the brparation of the financial statements are consistent with those followed in the brvious year.
2.2	Principles of consolidation
	The consolidated financial statements relate to Mankind Pharma Limited (the 'Company'), its subsidiary entities  and the Group's share of profit / loss in its associates. The consolidated financial statements have been brpared on the following basis:
(i)	The financial statements of the subsidiaries and associates used in the consolidation are drawn upto the same reporting date as that of the Company i.e. 31 March, 2016.
(ii)	The financial statements of the Company and its subsidiary entities have been combined on a line-by-line basis by adding together the book values of like items of assets, liabilities, income and expenses, after eliminating intragroup balances, intra-group transactions and resulting unrealised profits or losses, unless cost cannot be recovered in accordance with Accounting Standard (AS) 21-"Consolidated Financial Statements".
(iii)	The consolidated financial statements include the share of profit / loss of the associate entities which have been accounted for using equity method as per AS 23 Accounting for Investments in Associates in Consolidated Financial Statements. Accordingly, the share of profit/ loss of each of the associate entity ( the loss being restricted to the cost of investment) has been added to / deducted from the cost of investments.
(iv)	The excess of cost to the Group of its investments in the subsidiary entities over its share of equity of the subsidiary entity , at the dates on which the investments in the subsidiary entities were made, is recognised as 'Goodwill' being an asset in the consolidated financial statements and is tested for impairment on annual basis. On the other hand, where the share of equity in the subsidiary entity as on the date of investment is in excess of cost of investments of the Group, it is recognised as 'Capital Reserve' and shown under the head 'Reserves & Surplus', in the consolidated financial statements. The 'Goodwill' / 'Capital Reserve' is determined separately for each subsidiary entity and such amounts are not set off among different entities.
(v)	Minority Interest in the net assets of the consolidated subsidiaries consist of the amount of equity attributable to the minority shareholders at the date on which investments in the subsidiary companies were made and further movements in their share in the equity, subsequent to the dates of investments. Net profit / loss for the year of the subsidiaries attributable to minority interest is identified and adjusted against the profit after tax of the Group in order to arrive at the income attributable to shareholders of the Company.
(vi)	The difference between the cost of investment in the associate and the share of net assets at the time of acquisition of shares in the associate is identified in the consolidated financial statements as Goodwill or Capital reserve as the case may be.
(vii)	The consolidated financial statements have been brpared using uniform accounting policies for like transactions and other events in similar circumstances and are brsented to the extent possible, in the same manner as the Company’s separate financial statements.
(viii)	Goodwill arising on consolidation is not amortised but tested for impairment.
(ix)	Following subsidiaries and associates have been considered in the brparation of the consolidated financial statements:
	Name of the entity	Relationship	Country of Incorporation	Ownership held by	% of Holding  and voting power either directly or indirectly through subsidiary as at
			31 March, 2016	31 March, 2015
	Lifestar Pharma Private Limited	Subsidiary	India	Company	85%	85%
	Magnet Labs Private Limited	Subsidiary	India	Company	92%	92%
	Prolijune Lifesciences Private Limited	Subsidiary	India	Company	100%	100%
	Broadway Hospitality Services Private Limited	Subsidiary	India	Company	100%	100%
	Shree Jee Laboratary Private Limited	Subsidiary	India	Company	100%	100%
	Pavi Buildwell Private Limited	Subsidiary	India	Company	100%	100%
	Appian Associates Infrastructure Private Limited	Subsidiary	India	Company	100%	100%
	Mithras Translogic Private Limited	Subsidiary	India	Company	100%	100%
	Medipack Innovations Private Limited	Subsidiary*	India	Company	51%	42.46%
	Mankind Specialities	Subsidiary	India	Company	98%	98%
	Superba Developers	Subsidiary	India	Company	60.00%	-
	Lifestar Pharma LLC	Subsidiary	USA	Company	100%	-
	Mankind Pharma Pte limited	Subsidiary	Singapore	Company	100%	-
	Jaspack Industries Private Limited	Subsidiary	India	Company	100%	-
	Mahananda Spa and Resorts Private limited	Subsidiary	India	Company	100%	-
	Gyan Infrastructure Company Private Limited	Subsidiary	India	Company	100%	-
	Packtime Inovations Private Limited	Subsidiary	India	Jaspack Industries Private Limited	90%	-
	Akasia Magnum Hospitality Private Limited	Subsidiary **	India	-	-	100%
	ANM Pharma Private Limited	Associate	India	Company	34%	34%
	Superba Buildwell	Associate	India	Company	50%	50%
	Om Sai Pharma Pack	Associate	India	Company	40%	40%
	Penta Latex	Associate	India	Company	23%	23%
*	Associate Company in the brvious year
**	Not considered in consolidation in brvious year as considered held for sale
2.3	Use of estimates
	The brparation  of the consolidated financial statements in conformity with  Indian GAAP  requires the Management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) and the reported income and expenses during the year.  The Management believes that the estimates used in brparation of the consolidated financial statements are prudent and reasonable.  Future results could differ due to these estimates and the differences between the actual results and the estimates are recognised in the periods in which the results are known / materialise.
2.4	Inventories
	Inventories are valued at the lower of cost (on moving weighted average basis) and the net realisable value after providing for obsolescence and other losses, where considered necessary. Cost includes all charges in bringing the goods to their brsent location and condition. Work-in-progress and finished goods include appropriate proportion of overheads and, where applicable, excise duty.
2.5	Cash and cash equivalents (for purposes of Cash Flow Statement)
	Cash comprises cash on hand and demand deposits with banks. Cash equivalents are short-term balances (with an original maturity of three months or less from the date of acquisition), highly liquid investments that are readily convertible into known amounts of cash and which are subject to insignificant risk of changes in value.
2.6	Cash flow statement
	Cash flows are reported using the indirect method, whereby profit before extraordinary items and tax is adjusted for the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from operating, investing and financing activities of the Company are segregated based on the available information.
2.7	Debrciation and amortisation
	Debrciation on tangible fixed assets has been provided on the written down value method as per the useful life brscribed in Schedule II to the Companies Act, 2013.
	Accordingly the useful life of assets considered is as follows :
	Particulars                                       Estimated                                                         useful life
	Factory Buildings                                       60 years
	Buildings-Other than Factory Buildings        30 years
	Plant and equipment                                 15 Years
	Furniture and Fixtures                               10 Years
	Computers                                                3 Years
	Office Equipment                                       5 Years
	Vehicles                                                    8 Years
	Intangible assets are amortised over their estimated useful life on straight line method as follows:
	Trademarks             - 10 years
	Computer Software  - 3 years
	The estimated useful life of the intangible assets and the amortisation period are reviewed at the end of each financial year and the amortisation period is revised to reflect the changed pattern, if any.
2.8	Revenue recognition
	Sale of goods
	Sales are recognised, net of returns and trade discounts, on transfer of significant risks and rewards of ownership to the buyer, which generally coincides with the delivery of goods to customers. Sales include excise duty but exclude sales tax and value added tax.
	Income from services
	Revenues from services are recognised when services are rendered and related costs are incurred.
2.9	Other income
	Interest income is accounted on accrual basis. Dividend income is accounted for when the right to receive it is established.
2.10	Fixed Assets
	Fixed assets are carried at cost less accumulated debrciation / amortisation and impairment losses, if any. The cost of fixed assets comprises its purchase price net of any trade discounts and rebates, any import duties and other taxes (other than those subsequently recoverable from the tax authorities), any directly attributable expenditure on making the asset ready for its intended use, other incidental expenses and interest on borrowings attributable to acquisition of qualifying fixed assets up to the date the asset is ready for its intended use. Subsequent expenditure on fixed assets after its purchase / completion is capitalised only if such expenditure results in an increase in the future benefits from such asset beyond its brviously assessed standard of performance.
	Capital work-in-progress:
	Projects under which tangible fixed assets are not yet ready for their intended use are carried at cost, comprising direct cost, related incidental expenses and attributable interest.
2.11	Foreign currency transactions and translations
	Initial recognition
	Transactions in foreign currencies entered into by the Company are accounted at the exchange rates brvailing on the date of the transaction or at rates that closely approximate the rate at the date of the transaction.
	Measurement of foreign currency items at the Balance Sheet date
	Foreign currency monetary items (other than derivative contracts) of the Company, outstanding at the balance sheet date are restated at the year-end rates. Non-monetary items of the Company are carried at historical cost.
	Treatment of exchange differences
	Exchange differences arising on settlement/restatement of foreign currency monetary assets and liabilities of the Company are recognised as income or expense in the Consolidated Statement of Profit and Loss.
2.12	Investments
	Long-term investments (excluding investment properties), are carried individually at cost less provision for diminution, other than temporary, in the value of such investments. Current investments are carried individually, at the lower of cost and fair value. Cost of investments include acquisition charges such as brokerage, fees and duties.
	Investment properties are carried individually at cost less accumulated debrciation and impairment, if any. Investment properties are capitalised and debrciated (where applicable) in accordance with the policy stated for Fixed assets. Impairment of investment property is determined in accordance with the policy stated for Impairment of Assets.
2.13	Employee benefits
	Employee benefits include Provident Fund, Employee State Insurance Scheme, Gratuity Fund and Compensated Absences.
	Defined contribution plans
	The Company's contribution to provident fund and employee state insurance scheme are considered as defined contribution plans and are charged as an expense based on the amount of contribution required to be made and when services are rendered by the employees.
	Defined benefit plans
	For defined benefit plans in the form of gratuity fund the cost of providing benefits is determined using the Projected Unit Credit method, with actuarial valuations being carried out at each balance sheet date. Actuarial gains and losses are recognised in the Consolidated Statement of Profit and Loss in the period in which they occur. Past service cost is recognised immediately to the extent that the benefits are already vested and otherwise is amortised on a straight-line basis over the average period until the benefits become vested. The retirement benefit obligation recognised in the Consolidated Balance Sheet rebrsents the brsent value of the defined benefit obligation as adjusted for unrecognised past service cost,  as reduced by the fair value of scheme assets.
	Short-term employee benefits
	The undiscounted amount of short-term employee benefits expected to be paid in exchange for the services rendered by employees are recognised during the year when the employees render the service. These benefits include performance incentive and compensated absences which are expected to occur within twelve months after the end of the period in which the employee renders the related service. The cost of short-term compensated absences is accounted as under : (a) in case of accumulated compensated absences, when employees render the services that increase their entitlement of       future compensated absences; and (b) in case of non-accumulating compensated absences, when the absences occur.
	Long-term employee benefits
	Compensated absences which are not expected to occur within twelve months after the end of the period in which the employee renders the related service are recognised as a liability at the brsent value of the defined benefit obligation as at the balance sheet date on the basis of acturial valuation.
2.14	Leases
	Lease arrangements where the risks and rewards incidental to ownership of an asset substantially vest with the lessor are recognised as operating leases. Lease rentals under operating leases are recognised in the Consolidated Statement of Profit and Loss on a straight-line basis over the lease term.
2.15	Earnings per share
	Basic earnings per share is computed by dividing the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) by the weighted average number of equity shares outstanding during the year. Diluted earnings per share is computed by dividing  the profit / (loss) after tax (including the post tax effect of extraordinary items, if any) as adjusted for dividend, interest and other charges to expense or income (net of any attributable taxes) relating to the dilutive potential equity shares, by the weighted average number of equity shares considered for deriving basic earnings per share and the weighted average number of equity shares which could have been issued on the conversion of all dilutive potential equity shares. Potential equity shares are deemed to be dilutive only if their conversion to equity shares would decrease the net profit per share from continuing ordinary operations. Potential dilutive equity shares are deemed to be converted as at the beginning of the period, unless they have been issued at a later date. Dilutive potential equity shares are determined independently for each period brsented. The number of equity shares and potentially dilutive equity shares are adjusted for share splits / reverse share splits and bonus shares, as appropriate.
2.16	Taxes on income
	Current tax is the amount of tax payable on the taxable income for the year as determined in accordance with the applicable tax rates and the provisions of the Income Tax Act, 1961 and other applicable tax laws. Minimum Alternate Tax (MAT) paid in accordance with  the tax laws, which gives future economic benefits in the form of adjustment to future income tax liability, is considered as an asset if there is convincing evidence that the Company will pay normal income tax. Accordingly, MAT is recognised as an asset in the Balance Sheet when it is highly probable that future economic benefit associated with it will flow to the Company.
	Deferred tax is recognised on timing differences, being the differences between the taxable income and the accounting income that originate in one period and are capable of reversal in one or more subsequent periods.  Deferred tax is measured using the tax rates and the tax laws enacted or substantively enacted as at the reporting date.   Deferred tax liabilities are recognised for all timing differences. Deferred tax assets are recognised for timing differences of items other than unabsorbed debrciation and carry forward losses only to the extent that reasonable certainty exists that sufficient future taxable income will be available against which these can be realised. However, if there are unabsorbed debrciation and carry forward of losses and items relating to capital losses, deferred tax assets are recognised only if there is virtual certainty supported by convincing evidence that there will be sufficient future taxable income available to realise the assets. Deferred tax assets and liabilities are offset if such items relate to taxes on income levied by the same governing tax laws and the Company has a legally enforceable right for such set off. Deferred tax assets are reviewed at each balance sheet date for their realisability.
	Current and deferred tax relating to items directly recognised in reserves are recognised in reserves and not in the  Consolidated Statement of Profit and Loss.
2.17	Research and development expenses
	Revenue expenditure pertaining to research is charged to the Consolidated Statement of Profit and Loss. Development costs of products are also charged to the Consolidated Statement of Profit and Loss unless a product’s technical feasibility has been established, in which case such expenditure is capitalised. The amount capitalised comprises expenditure that can be directly attributed or allocated on a reasonable and consistent basis to creating, producing and making the asset ready for its intended use. Fixed assets utilised for research and development are capitalised and debrciated in accordance with the policies stated for Fixed Assets.
2.18	Impairment of assets
	The carrying values of assets / cash generating units at each balance sheet date are reviewed for impairment if any indication of  impairment exists. If the carrying amount of the assets exceed the estimated recoverable amount, an impairment is recognised for such excess amount. The impairment loss is recognised as an expense in the Consolidated Statement of Profit and Loss. The recoverable amount is the greater of the net selling price and their value in use. Value in use is arrived at by discounting the future cash flows to their brsent value based on an appropriate discount factor. When there is indication that an impairment loss recognised for an asset in earlier accounting periods no longer exists or may have decreased, such reversal of impairment loss is recognised in the Consolidated Statement of Profit and Loss, to the extent the amount was brviously charged to the Consolidated Statement of Profit and Loss.
2.19	Provisions and contingencies
	A provision is recognised when the Company has a brsent obligation as a result of past events and it is probable that an outflow of resources will be required to settle the obligation in respect of which a reliable estimate can be made. Provisions (excluding retirement benefits) are not discounted to their brsent value and are determined based on the best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best estimates. Contingent liabilities are disclosed in the Notes. Contingent assets are not recognised in the financial statements.
2.20	Insurance claims
	Insurance claims are accounted for on the basis of claims admitted / expected to be admitted and to the extent that  the amount recoverable can be measured reliably and it is reasonable to expect ultimate collection.
2.21	Operating Cycle
	Based on the nature of products / activities of the Company and the normal time between acquisition of assets and their realisation in cash or cash equivalents, the Company has determined its operating cycle as 12 months for the purpose of classification of its assets and liabilities as current and non-current.