FINANCIAL CONDITION OVERVIEW
The financial statements have been prepared in compliance with the requirements of the Companies Act and the generally adopted Indian Accounting Principles (GAAP) and the Accounting Standards notified by the Companies (Accounting Standard) Rules, 2006.
1) Share Capital
The issued, subscribed and paid up capital as at March 31, 2016 stood at Rs. 1,371.96 lakhs. There was no fresh infusion of capital during the year.
2) Reserves and Surplus
Reserves and surplus stood at Rs. 12,382 lakhs as against Rs. 11,494 lakhs in the previous year.
3) Fixed Assets
Gross block of Fixed Assets is Rs. 11,087.89 lakhs which comprises of Plant & Machinery, Furniture & Fixtures, Vehicle and Buildings of Rs. 8,901.63 lakhs & Computer Equipment’s of Rs. 2,186.26 lakhs.
Inventories amounted to Rs. 28,092 lakhs as at 31stMarch 2016 as against Rs. 28,869 lakhs as at the previous year end. The decrease is on account of reduction in gold ornaments quantity.
5) Trade Receivables
Trade Receivables amounted to Rs. 26.90 lakhs as at 31st March 2016 as against Rs. 30.35 lakhs as at 31st March 2015.
6) Cash and Cash Equivalents
Cash and bank balances with banks amounts to Rs. 940 lakhs as against Rs. 573 lakhs in the previous year. The increase is on account of margin money kept for gold metal loan facilities.
7) Short Term Loans and Advances and Other Current Assets
Short term Loans and advances amounted to Rs. 941 lakhs as against Rs. 1,029 lakhs in the previous year. Loans and Advances includes advances paid for raw material and pre-paid insurance, advance to expense, advance payment of taxes and other advances.
8) Current Liabilities & Provisions
Current liabilities excluding provisions amounting to Rs. 20,483 lakhs includes secured loan from banks, and Trade creditors for raw materials and creditors for advertising and promotion spends, packing materials, advance received from customers and creditors for capital purchases. Provisions amounted to Rs. 165 lakhs including provision for dividend, and dividend distribution tax thereon.
9) Working Capital
The Company has a Working Capital (including cash and bank balances) of Rs. 9,351 lakhs as at 31st March 2016 as against Rs. 6,977 lakhs as at 31st March 2015. The increase in working capital is due to internal accruals and increased long term sources.
10) Debt Equity Ratio
Your Company has got Average Net Debt Equity ratio of 1.08 as at 31.3.2016 as against 1.05 as at 31.03.2015.