Nitin Spinners Ltd.: A Comprehensive Overview #
About the Company #
Year of Establishment and Founding History: Nitin Spinners Ltd. was established in 1992. The company was promoted by Mr. Nitin Nohria, Mr. Dinesh Nohria, and Mr. Vinod Nohria.
Headquarters Location and Global Presence: The company’s headquarters is located in Bhilwara, Rajasthan, India. They have a significant presence in the domestic market and also export to various countries globally.
Company Vision and Mission: Vision: To be a globally recognized and respected textile company, known for its quality, innovation, and sustainability. Mission: To provide high-quality textile products to customers worldwide through continuous improvement, technological advancements, and ethical business practices.
Key Milestones in their Growth Journey:
- Early 1990s: Established initial spinning capacity.
- Expansion over the years with increased spindle capacity and addition of knitting and processing divisions.
- Strategic investments in technology and modernization of facilities.
- Focus on exports and establishing a global footprint.
Stock Exchange Listing Details and Market Capitalization: Nitin Spinners Ltd. is listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). (Market capitalization data needs to be verified from financial sources.)
Recent Financial Performance Highlights: (Recent financial performance highlights should be sourced from the latest annual reports and quarterly results. Key metrics to include are revenue, profit after tax (PAT), earnings per share (EPS), and debt-to-equity ratio).
Management Team and Leadership Structure:
- Chairman & Managing Director: Mr. Nitin Nohria
Any Notable Awards or Recognitions: (Information about awards and recognitions can be gathered from the company website, annual reports, and press releases).
Their Products #
Complete Product Portfolio with Categories:
- Yarn: Cotton Yarn, Blended Yarn (e.g., Polyester-Cotton), Grey and Dyed Yarn
- Fabric: Knitted Fabrics, Woven Fabrics
- Finished Products: Processed Fabrics
Flagship or Signature Product Lines: (Identify any specific yarn counts or fabric types that are particularly popular or high-margin.)
Manufacturing Facilities and Production Capacity: The company has multiple manufacturing facilities in Bhilwara, Rajasthan. They have a substantial capacity for spinning, knitting, and processing. Specific production capacity numbers can be found in annual reports and investor presentations.
Quality Certifications and Standards: (Nitin Spinners likely holds certifications like ISO 9001 for quality management, Oeko-Tex for textile safety, and potentially other certifications related to sustainability and environmental standards).
Any Unique Selling Propositions or Technological Advantages:
- Focus on high-quality yarn and fabric production.
- Integrated manufacturing facilities providing control over the entire value chain.
- Investment in modern technology for efficient production.
Recent Product Launches or R&D Initiatives: (Gather information from press releases, annual reports, and company presentations regarding recent product launches and any ongoing research and development activities.)
Primary Customers #
Target Industries and Sectors:
- Apparel Industry
- Home Textiles
- Industrial Textiles
Geographic Markets (domestic vs. international): Nitin Spinners serves both the domestic Indian market and international markets, with a significant export presence.
Distribution Network and Sales Channels: The company utilizes a mix of direct sales, distributors, and agents to reach its customers.
Future Outlook #
Expansion Plans or Growth Strategy: (Expansion plans and growth strategies should be obtained from the company’s official statements, investor presentations, and annual reports. These might include capacity expansions, diversification into new product lines, or geographical expansion).
Sustainability Initiatives or ESG Commitments: (Gather information on their sustainability initiatives from their website and annual reports. Common initiatives in the textile industry include water conservation, waste reduction, and use of sustainable raw materials.)
Industry Trends Affecting their Business:
- Growing demand for sustainable and eco-friendly textiles.
- Increasing automation and technology adoption in textile manufacturing.
- Fluctuations in raw material prices (cotton, polyester).
- Geopolitical factors and trade policies affecting exports.
Long-Term Vision and Strategic Goals: (The company’s long-term vision and strategic goals can be found in their annual reports and investor presentations. This may involve becoming a leading global player in the textile industry, focusing on sustainable growth, and creating value for stakeholders.)
Nitin Spinners Limited - FY23-24 Performance Overview #
Financial Performance (FY22-FY24) #
Nitin Spinners reported record revenue in FY23-24, reaching INR 2,905.65 crores, a 20.73% increase from INR 2,406.71 crores in FY22-23. Exports rose by 25.65% to INR 1,704.29 crores, comprising 58.65% of total revenue.
Operating Profit (EBITDA) increased by 26.28% to INR 379.30 crores, with the EBITDA margin improving from 12.48% to 13.05%. However, Profit After Tax (PAT) declined to INR 131.52 crores. This decrease in net profitability is attributed to increased interest and depreciation costs from expansion projects. Basic Earnings Per Share (EPS) decreased to INR 23.39.
The Board recommended a dividend of INR 2.50 per equity share. Key financial ratios indicate a mixed performance: inventory and debtor turnover improved marginally, while the interest coverage ratio reduced significantly. The long-term debt-equity ratio increased, and Return on Average Net Worth declined.
Business Segment Performance #
The company’s revenue breakdown for FY23-24 is as follows:
- Yarn: Revenue increased by 26.74% to INR 2,019.76 crores, constituting 69.51% of total operating revenue.
- Fabric (Knitted & Woven): Combined fabric revenue increased by 9.51% to INR 716.67 crores, contributing 24.66% to total revenue.
- Knitted Fabrics: Includes Single Jersey, Interlock, Rib, Pique structures.
- Woven Fabrics: Includes 100% Cotton, Cotton Spandex, Poly/Cotton blends.
The completion of expansion projects positively impacted turnover. The company is focusing on increasing value-added products.
Strategic Initiatives and Progress #
- Capacity Expansion:
- Installed 94,848 Compact Spindles and 3,312 Rotors at the Hamirgarh Plant.
- Installed 32,640 Compact Spindles and 264 Airjet Spinning positions at the Bhanwaria Kalan Plant.
- Weaving and Knitting capacity expansions were completed in FY22-23.
- Total capex of INR 955 crores.
- Optimized Capacity Utilization: Focused on optimizing capacity utilization across all segments.
- Shift to Value-Added Products: Strategically transitioned to higher value-added products.
- Product Portfolio Diversification: Expanded product diversity.
- Sustainability Integration: Incorporated organic cotton, BCI cotton, and recycled fibres. 36% of raw material was sourced sustainably.
Risk Landscape and Mitigation #
Identified risks and mitigation strategies:
- Raw Material Price Volatility: Mitigation: Continuous monitoring and consistent stocking policy.
- Geopolitical Headwinds: Mitigation: Operational agility.
- Competition Risk: Mitigation: Focus on value addition, quality, customer service, diverse product portfolio, cost and production efficiencies.
- Foreign Currency Exchange Rate Risk: Mitigation: Adherence to a forex hedging policy.
- Customer Concentration Risk: Mitigation: Continuous efforts to acquire new customers.
- Reputation Risk: Mitigation: Strict quality control and meeting stakeholder expectations.
The company has a Risk Management Committee and policy.
ESG Initiatives #
Nitin Spinners demonstrates a commitment to ESG principles:
- Environmental:
- Water Conservation: Implemented Zero Liquid Discharge (ZLD)
Detailed Analysis #
Balance Sheet Analysis #
Operating Performance #
Income Statement #
## Financial Analysis of Nitin Spinners Limited for FY 2023-24
### Cash Flow Analysis (FY 2023-24, INR Lakhs)
#### Operating Cash Flow (OCF)
* Net Profit Before Tax & Exceptional Items: 18151.91
* Adjustments:
* Depreciation: 14395.49
* Interest Expenditure: 10263.38
* Loss/(Profit) on Sale of PPE: 1.33
* Actuarial (loss)/gains on Defined Benefit Obligations: 49.65
* Operating Profit Before Working Capital Changes: 42861.76
* Adjustments for Working Capital:
* (Increase) in Inventories: (10860.73)
* (Increase) in Trade Receivables: (1763.57)
* (Increase) in Other Current & Non-Current Assets: (4978.73)
* Increase in Current & Non-Current Liabilities: 5308.96
* Cash Generated from Operations: 30567.69
* Less: Taxes Paid: 6079.74
* **Net Cash from Operating Activities (OCF): 24487.95**
#### Investing Cash Flow (ICF)
* Purchase of Property, Plant & Equipment: (10701.79)
* Capital WIP including Capital Advances: (396.24)
* Receipts of Capital Subsidy: 50.00
* Sale of Property, Plant & Equipment: 41.57
* **Net Cash Used in Investing Activities (ICF): (11006.46)**
#### Financing Cash Flow (FCF)
* Proceeds from/(Repayment) of Short Term Borrowing (Net): (27835.74)
* Proceeds from Long Term Borrowings: 26476.60
* Repayment of Long Term Borrowings: (9595.86)
* Interest Paid: (10373.77)
* Dividend Paid: (1405.50)
* **Net Cash Used in Financing Activities (FCF): (22734.27)**
#### Net Decrease in Cash & Cash Equivalents
* Net (Decrease) in Cash & Cash Equivalents: (9252.78)
* Opening Balance: 10866.99
* **Closing Balance: 1614.21**
#### Free Cash Flow (FCF to Firm)
* OCF: 24487.95 lakhs
* Capital Expenditures (Purchase of PPE + Capital WIP): 10701.79 + 396.24 = 11098.03 lakhs
* **FCF (FY24): 24487.95 - 11098.03 = 13389.92 lakhs (INR 133.90 Crores)**
Operational Metrics #
Key Performance Indicators #
Segment Performance Analysis #
Nitin Spinners Limited: Risk Assessment (FY 2023-24) #
Overall Risk Profile Summary #
Nitin Spinners Limited presents a mixed risk profile. Strong revenue growth and successful capacity expansion are offset by pressures on profitability due to increased finance and depreciation costs. Operational risks related to raw material volatility and energy costs are mitigated by strategic sourcing and efficiency measures. Financial risks are elevated due to increased debt. Compliance and governance appear robust, but emerging geopolitical and climate-related risks require ongoing monitoring.
Strategic Risks #
Market Competition and Consolidation #
- Severity: High
- Likelihood: High
- Trend: Increasing
- Mitigation Strategies:
- Focus on value-added and niche products.
- Optimizing capacity utilization.
- Expanding product diversity and geographical reach (exports to 50+ countries).
- Leveraging technology and optimizing processes.
- Strategic execution of expansion plans.
- Control Effectiveness: Moderate to High
- Potential Financial Impact: Pressure on margins, loss of market share.
Customer Concentration & Sourcing Shifts #
- Severity: Moderate
- Likelihood: Moderate
- Trend: Stable to Increasing
- Mitigation Strategies:
- Diversifying customer base.
- Building strong relationships with globally recognized textile brands.
- Expanding product portfolio.
- Control Effectiveness: Moderate
- Potential Financial Impact: Revenue volatility.
Execution of Expansion and New Product Strategy #
- Severity: Moderate
- Likelihood: Moderate
- Trend: Stable
- Mitigation Strategies:
- Successful implementation of recent capex.
- Focus on transitioning sales mix towards higher value-added products.
- R&D investment.
- Control Effectiveness: High for recent project execution. Ongoing for product strategy.
- Potential Financial Impact: Failure to realize benefits from capex, slower adoption of new products could impact ROI and profitability.
Operational Risks #
Raw Material Price Volatility & Availability (Cotton) #
- Severity: High
- Likelihood: High
- Trend: Decreasing/Stabilizing
- Mitigation Strategies:
- Strategic sourcing and stocking policy.
- Incorporation of organic cotton, BCI cotton, and recycled fibres.
- Investment in cotton research and development (CSR).
- Manufacturing facilities in proximity to raw material sourcing regions.
- Control Effectiveness: Moderate
- Potential Financial Impact: Impact on cost of materials, gross margins, and profitability.
Energy and Water Consumption Costs & Sustainability #
- Severity: Moderate
- Likelihood: High
- Trend: Stable to Increasing cost pressure, Increasing mitigation focus.
- Mitigation Strategies:
- Installation of rooftop solar plants.
- Energy-efficient equipment and energy-saving measures.
- Zero Liquid Discharge (ZLD) system, sewage water treatment plant, rainwater harvesting.
- Use of sustainable fibres.
- Capital investment on energy conservation equipment.
- Control Effectiveness: High
- Potential Financial Impact: Increased operating costs if not managed. Regulatory non-compliance risk. Reputational impact.
Technological Obsolescence & Absorption #
- Severity: Moderate
- Likelihood: Moderate
- Trend: Increasing
- Mitigation Strategies:
- Continuous investment in cutting-edge technology.
- R&D units focusing on new products and process improvement.
- Focus on technology absorption for product improvement and cost reduction.
- Control Effectiveness: Moderate to High
- Potential Financial Impact: Loss of competitive edge, lower efficiency, higher production costs if technology lags.
Supply Chain Disruptions #
- Severity: Moderate
- Likelihood: Moderate
- Trend: Increasing
- Mitigation Strategies:
- Diversified sourcing where possible.
- Proximity of manufacturing to raw material sources for some inputs.
- Strong relationships with business associates.
- Control Effectiveness: Moderate
- Potential Financial Impact: Increased logistics costs, production delays, impact on meeting customer delivery timelines.
Financial Risks #
Debt Burden and Servicing Capacity #
- Severity: High
- Likelihood: High
- Trend: Increasing
- Mitigation Strategies:
- Optimizing capacity utilization to generate cash flows for debt servicing.
- Focus on higher-margin products.
- Maintaining relationships with a consortium of bankers.
- Control Effectiveness: Moderate
- Potential Financial Impact: Increased finance costs, strain on profitability, potential difficulty in meeting debt obligations.
Strategic Direction #
Strategic and Management Analysis #
Long-term Strategic Goals and Progress #
Nitin Spinners aims to be a globally renowned, integrated textile manufacturer, emphasizing innovation, agility, and sustainable growth. Key strategic pillars include a customer-centric approach, portfolio expansion towards value-added products, and increasing global market penetration (currently in over 50 countries).
Progress in FY24:
- Successfully completed significant capacity expansion projects totaling INR 859.53 crores, enhancing production capabilities in yarn, weaving, and knitting. The total capex for FY24 was INR 955 crores, executed as per designated timelines.
- Revenue from operations grew by 20.73% to INR 2,905.65 crores, driven by increased capacity and a strategic shift towards higher value-added products.
- Exports increased by 25.65% to INR 1,704.29 crores, constituting 58.65% of total revenue, indicating successful market expansion.
- Incorporated sustainable materials like organic cotton and recycled fibers, aligning with global trends and company’s sustainability goals (36% of raw material from sustainable sources).
Competitive Advantages and Market Positioning #
Nitin Spinners leverages several competitive advantages:
- Vertical Integration: Operations span from cotton yarn (Open End, Ring Spun,
ESG Analysis of Nitin Spinners Limited #
Environmental Metrics and Targets #
Energy Consumption & Renewable Energy #
- Total energy consumption in FY24 was 1,752,590 GJ (FY23: 1,410,242 GJ). Renewable sources contributed 65,353 GJ (3.73% of total), a 13.9% increase from 57,380 GJ in FY23.
- The company has an installed rooftop solar power capacity of 18.8 MW (AC), generating 164 lakh KWH in FY24. An additional 10.40 MW was installed in FY24.
- Energy intensity per rupee of turnover was 603.18 GJ/Crore (FY23: 585.96 GJ/Crore).
- Capital investment in energy conservation equipment in FY24 was ₹5830.90 lakhs.
- Future Target: Increase renewable power capacity to reduce carbon footprint.
Water Management #
- Total water consumption in FY24 was 497,785 KL (FY23: 333,050 KL). Water intensity was 171.29 KL/Crores of turnover (FY23: 138.38 KL/Crores).
- Implemented a Zero Liquid Discharge (ZLD) system, treating 5.35 lac KL of water in FY24. 98% of water is recycled at the fabric plant.
- Sewage Water Treatment Plant (STP) capacity: 490 KLD.
- Rainwater harvesting systems are in place.
- Future Target: Continuous improvement in water management aiming for zero waste to landfill.
Waste Management & Sustainable Materials #
- Achieves zero waste to landfill operations. 10% of production waste is recycled in-house; the balance is sold for other industrial uses.
- Use of sustainable raw materials (Organic Cotton, BCI Cotton, Recycled Cotton Fiber, Recycled Polyester Fiber) constituted 36% in FY24.
- Future Target: Expansion of sustainable sourcing practices.
Emissions #
- Air emissions (NOx, SOx, PM) are monitored; specific values for FY24 are 45.3 mg/Nm³, 32.7 mg/Nm³, and 38.2 mg/Nm³ respectively (BRSR data).
- GHG emissions (Scope 1 & 2) assessment was carried out by sustainability consultants.
Regulatory Compliance #
- Compliant with Water (Prevention and Control of Pollution) Act, Air (Prevention and Control of Pollution) Act, and Environment Protection Act.
- Facilities are identified as designated consumers (DCs) under the PAT Scheme, and targets have been achieved.
Social Responsibility Programs #
CSR Expenditure #
- FY24 CSR obligation: ₹522.21 lakhs (calculated as 2% of average net profit of ₹2623.36 lakhs, less ₹2.46 lakhs set-off).
- Amount spent in FY24: ₹237.31 lakhs (₹4.40 lakhs on ongoing projects, ₹232.91 lakhs on other projects).
- Unspent amount for ongoing school construction: ₹284.90 lakhs, transferred to ‘Nitin Spinners Limited - Unspent CSR Account 2023-24’.
Key CSR Initiatives Undertaken #
- Promoting education: Construction of Women’s Hostel in Bhilwara, classrooms in a school, hostel for higher studies, education for differently-abled children, vocational training for underprivileged students.
- Rural Development: Construction of roads, drainage, and water harvesting systems.
- Healthcare: Contribution
Nitin Spinners Limited Financial Analysis (FY 2023-24) #
Company Overview #
Nitin Spinners Limited, established in 1992, is an Indian textile manufacturer specializing in cotton yarn, blended yarn, knitted fabrics, and finished woven fabrics. The company exports to over 50 countries. Operations are vertically integrated, encompassing spinning, knitting, and weaving. Key strategic pillars include a customer-centric approach, innovation, portfolio expansion, and integrated solutions, with an emphasis on sustainability.
Financial Performance Analysis (FY 2023-24 vs FY 2022-23) #
Revenue Growth #
Revenue from operations reached INR 2,905.65 crores, a 20.73% increase from INR 2,406.71 crores. This growth was driven by the implementation of expansion projects.
- Yarn segment revenue increased by 26.74% to INR 2,019.76 crores (69.51% of total revenue).
- Fabric segment revenue grew by 9.51% to INR 716.67 crores (24.66% of total revenue).
Export Performance #
Exports surged by 25.65% to INR 1,704.29 crores, constituting 58.65% of total revenue.
Profitability #
- EBITDA (Operating Profit): Increased by 26.28% to INR 379.30 crores / INR 377.05 crores. The EBITDA margin improved marginally from 12.48% to 13.05% / 13.04%.
- Profit After Tax (PAT): Declined to INR 131.52 crores from INR 164.81 crores due to increased interest costs (INR 120.35 crores vs INR 43.84 crores YoY) and depreciation charges (INR 127.43 crores vs INR 91.72 crores YoY). The Net Profit Margin decreased from 6.85% to 4.53%.
Dividend #
The Board recommended a final dividend of INR 2.50 per equity share (25%), with a total outflow of INR 14.06 crores.
Key Financial Ratios (FY24 vs FY23) #
- Debt-Equity Ratio: Increased from 0.64 to 0.83.
- Interest Coverage Ratio: Declined from 7.85 to 4.15 times.
- Return on Average Equity: Decreased from 17.31% to 12.09%.
- Current Ratio: Marginally improved by 3% to 1.21.
- Inventory Turnover Ratio: Marginally improved by 3% to 5.28 times.
- Trade Receivables Turnover Ratio: Marginally improved by 3% to 8.76 times.
Net Worth #
Increased to INR 1146.33 crores as of March 31, 2024.
Net Fixed Assets #
Increased significantly to INR 1912.69 crores.
Operational Highlights & Strategic Initiatives #
Capacity Expansion #
Implemented and commenced commercial production from expansion projects totaling INR 859.53 crores, installing 94,848 compact spindles and 3,312 rotors at Hamirgarh, and 32,640 compact spindles and 264 Airjet spinning positions at Bhanwaria Kalan. Overall capex achieved was INR 955 crores.
Capacity Utilization #
Optimized across all segments.
Financial Analysis of Nitin Spinners Limited (FY23-24) #
Audit and Regulatory Analysis #
Auditor’s Opinion and Qualifications #
The Independent Auditors, M/s Kalani & Co., Chartered Accountants, issued an unmodified opinion on the financial statements for the year ended March 31, 2024. They confirmed that the financial statements give a true and fair view in conformity with Indian Accounting Standards (Ind AS) and the Companies Act, 2013. There were no qualifications, reservations, or adverse remarks in the auditors’ report on the standalone financial statements.
The Secretarial Audit Report, issued by M/s V. M. & Associates, Company Secretaries, and the Cost Audit Report by M/s. Vivek Laddha & Associates, Cost Accountants, also contained no qualifications, reservations, or adverse remarks.
Key Audit Matters (KAMs) highlighted by the statutory auditors were:
- Valuation of Inventories (20.76% of Total Assets).
- Recoverability of Trade Receivables (11.83% of Total Assets).
- Revenue Recognition.
The auditors detailed procedures undertaken to address these KAMs, including inventory counts, control evaluations, analysis of aging reports, and testing of revenue transactions.
Key Accounting Policies #
The financial statements were prepared on a going concern basis using the accrual basis of accounting under the historical cost convention, except for certain financial assets and liabilities measured at fair value, in compliance with Ind AS.
Key accounting policies include:
- Property, Plant & Equipment (PPE): Measured at cost less accumulated depreciation and impairment. Depreciation is on a straight-line method over useful lives specified in Schedule II of the Companies Act, 2013, or 13 years (triple shift) for specific plant & machinery after a 5% residual value.
- Intangible Assets: Recognized at cost, amortized on a straight-line basis (e.g., computer software over five years).
- Inventories: Valued at the lower of cost (purchase, conversion, and other bringing-to-location costs) and net realizable value.
- Revenue Recognition (Ind AS 115): Recognized upon transfer of control of goods or services to customers, reflecting the consideration expected. Export sales are recognized on a shipment basis.
- Borrowing Costs: Directly attributable costs for qualifying assets are capitalized. Other borrowing costs are expensed.
- Employee Benefits: Defined contribution plans (e.g., Provident Fund) are expensed. Defined benefit plans (e.g., Gratuity) are actuarially valued using the Projected Unit Credit Method, with actuarial gains/losses on gratuity recognized in OCI.
- Income Taxes: Current tax is based on taxable income. Deferred tax is recognized using the balance sheet method for temporary differences, measured at expected tax rates. MAT credit is recognized as a DTA when convincing evidence of future normal income tax payment exists.
- Financial Instruments (Ind AS 109): Initially recognized at fair value. Trade receivables are subject to an Expected Credit Loss (ECL) model (simplified approach, lifetime ECLs). Derivatives (forward contracts) are used for hedging interest rate, exchange rate, and commodity price risks, accounted for as cash flow hedges or fair value hedges.
- Leases (Ind AS 116): Right-of-Use (ROU) assets and corresponding lease liabilities are recognized for leases, except short-term and low-value leases.
There were no material changes in accounting policies during the financial year 2023-24. The policies have been applied consistently.
Internal Control Effectiveness #
Management is responsible for establishing and maintaining adequate internal financial controls. The Board’s Report states that the company has laid down internal financial controls, including a risk-based framework, and maintains adequate and effective systems commensurate with its size and complexity. The Audit Committee reviewed and expressed satisfaction with the adequacy and effectiveness of these controls.
The Independent Auditors opined that the Company has, in all material respects, an adequate internal financial control system over financial reporting and such controls were operating effectively as at March 31, 2024. No significant deficiencies in design or operation were reported.
Regulatory Compliance Status #
The Board’s Report, Corporate Governance Report, and Secretarial Audit Report affirm compliance with applicable statutory provisions, regulations, and guidelines.
- The company confirmed compliance with the Companies Act, 2013, SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and other applicable SEBI regulations.
- Secretarial Standards issued by ICSI were complied with.
- No penalties or strictures were imposed by Stock Exchanges, SEBI, or other statutory authorities on capital market-related matters in the last three years.
- Compliance with the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 was confirmed, with no complaints received.
- The Business Responsibility and Sustainability Report (BRSR) details adherence to National Guidelines on Responsible Business Conduct (NGRBC). No fines or penalties for non-compliance with these principles were reported.
- Statutory dues were generally deposited regularly, with certain disputed tax matters disclosed.
- All charges or satisfactions with the ROC were filed in time.
Legal Proceedings and Their Potential Impact #
Note 30 to the Financial Statements discloses contingent liabilities not provided for:
- Disputed Liabilities:
- Central Excise (Excise duty & Penalty): ₹84.52 Lacs (Amount not deposited) - Pending at High Court, Jodhpur.
- Customs (Redemption Fine): ₹10.00 Lacs (Amount not deposited) - Pending at CESTAT, Ahmedabad.
- Service Tax (Service Tax, Interest & Penalty): ₹37