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అకౌంట్స్ గమనికలుBimetal Bearings Ltd.
Mar 31, 2026
r) Provisions and Contingent liabilities (Contd...)
When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, a receivable is recognised as
an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.
i) Onerous contracts
Present obligations arising under onerous contracts are recognised and measured as provisions. An onerous contract is considered to exist
where the Company has a contract under which the unavoidable costs of meeting the obligations under the contract exceed the economic
benefits expected to be received from the contract.
s) Employee Benefits
Employee benefits include provident fund, employee state insurance, gratuity fund, super annuation fund and compensated absences.
i) Retirement benefit costs and termination benefits
Payments to defined contribution Retirement Benefit Plans are recognised as an expense when employees have rendered service entitling
them to the contributions.
For defined benefit Retirement Benefit Plans, the cost of providing benefits is determined using the projected unit credit method, with actuarial
valuations being carried out at the end of each annual reporting period. Remeasurement, comprising actuarial gains and losses, the effect of
the changes to the asset ceiling (if applicable) and the return on plan assets (excluding net interest), is reflected in the balance sheet with a
charge or credit recognised in other comprehensive income in the period in which they occur. Remeasurement recognised in other
comprehensive income is reflected immediately in retained earnings and is not reclassified to profit or loss. Past service cost is recognised in
profit or loss in the period of a plan amendment. Net interest is calculated by applying the discount rate at the beginning of the period to the net
defined benefit liability or asset.
ii) Defined benefit costs are categorised as follows:
- service cost (including current service cost, past service cost, as well as gains and losses on curtailments and settlements);
- net interest expense or income; and
- remeasurement
For defined benefit plan, 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 Statement of Profit and
Loss in the period in which they occur. The retirement benefit obligation recognised in the Balance Sheet represents the present value of the
defined benefit obligation as adjusted for unrecognised past service cost, as reduced by the fair value of scheme assets. Any asset resulting
from this calculation is limited to past service cost, plus the present value of available refunds and reductions in future contributions to the
scheme. The gratuity fund is maintained with Life Insurance Corporation of India.
The Company presents the first two components of defined benefit costs in profit or loss in the line item âEmployee benefits expenses''.
Curtailment gains and losses are accounted for as past service costs.
The retirement benefit obligation recognised in the balance sheet represents the actual deficit or surplus in the Company''s defined benefit
plan. Any surplus resulting from this calculation is limited to the present value of any economic benefits available in the form of refunds from
the plans or reductions in future contributions to the plans.
A liability for a termination benefit is recognised at the earlier of when the entity can no longer withdraw the offer of the termination benefit and
when the entity recognises any related restructuring costs.
iii) Short-term and other long-term employee benefits
A liability is recognised for benefits accruing to employees in respect of wages and salaries, annual leave and sick leave in the period the
related service is rendered at the undiscounted amount of the benefits expected to be paid in exchange for that service.
Liabilities recognised in respect of short-term employee benefits are measured at the undiscounted amount of the benefits expected to be
paid in exchange for the related service.Liabilities recognised in respect of other long-term employee benefits are measured at the present
value of the estimated future cash outflows expected to be made by the Company in respect of services provided by employees up to the
reporting date.
t) Earnings per share
Basic earnings per share is computed by dividing the profit / (loss) after tax 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 as adjusted for dividend, interest and other charges to expense or
income 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.
u) Government grants
Government grants are not recognised until there is reasonable assurance that the Company will comply with the conditions attaching to them and
that the grants will be received. Government grants are recognised in profit or loss on a systematic basis over the periods in which the Company
recognises as expenses the related costs for which the grants are intended to compensate.
Specifically, Government grants whose primary condition is that the Company should purchase, construct or otherwise acquire non-current assets
are recognised as deferred revenue in the standalone balance sheet and transferred to profit or loss on a systematic and rational basis over the
useful lives of the related assets.
Government grants that are receivable as compensation for expenses or losses already incurred or for the purpose of giving immediate financial
support to the Company with no future related costs are recognised in profit or loss in the period in which they become receivable.
v) Rounding off amounts
All amounts disclosed in the financial statements and notes have been rounded off to the nearest lakhs and decimals thereof as per the requirements
of Schedule III, unless otherwise stated.
w) 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.
x) Critical estimates and judgements
The preparation of financial statements requires the use of accounting estimates which, by definition, will seldom equal the actual results.
Management also needs to exercise judgement in applying the Company''s accounting policies.
This note provides an overview of the areas that involved a higher degree of judgement or complexity, and of items which are more likely to be
materially adjusted due to estimates and assumptions turning out to be different than those originally assessed. Detailed information about each of
these estimates and judgements is included in relevant notes together with information about the basis of calculation for each affected line item in the
financial statements.
The areas involving critical estimates or judgements are:
Revenue recognition over a period of time - Note d(i)
Estimation of defined benefit obligation - Note (s)
Estimation of current tax expense and payable - Note (e(i))
Recognition of Deferred tax asset - Note (e(ii))
Amortisation of intangible assets -Note (p)
Depreciation of Property Plant & Equipment - Note (o)
Impairment of assets - Note (g)
Provisions and Contingent liabilities - Note (r)
The estimates and judgements used in the preparation of the financial statements are continously evaluated by the company and are based on
historical experience, various other assumptions and factors (including expectations of future events) that the company believes to be reasonable
under the existing circumstances. Actual results could differ from those estimates. Any revision to accounting estimates is recognised prospectively
in current and future periods.
y) Recent accounting pronouncements
Ministry of Corporate Affairs (âMCAâ) notifies new standards or amendments to the existing standards under Companies (Indian Accounting
Standards) Rules as issued from time to time. In May 2025, MCA notified amendments to Ind AS 21 - The Effects of Changes in Foreign Exchange
Rates, applicable w.e.f. April 1,2025. The Company has reviewed the amendment and based on its evaluation has determined that it does not have
any significant impact in its financial statements.
In August 2025, MCA notified the following amendments to:
1. Ind AS 1, Presentation of Financial Statements, applicable w.e.f. April 1,2025 - The amendment relates to classification of liabilities as current
or non-current and non-current liabilities with covenants. In the context of classifying a liability as current, it removes the requirement of
existence of a right to defer settlement for at least 12 months after the reporting date and instead requires that the said right should exist on the
reporting date and have substance. The amendment also introduces guidance on classification of liabilities with covenants. The Company
has no impact of these amendments in its classification criteria of current and non-current liabilities.
2. Ind AS 7, Statement of Cash Flows and Ind AS 107, Financial Instruments:
Disclosures, applicable w.e.f. April 1,2025 - The amendment in Ind AS 7 requires to inform users of financial statements of the existence of
supplier finance arrangements and explain the nature of the arrangements, the carrying amount of liabilities and the range of payment due
dates. Ind AS 107 has been amended to add supplier finance arrangements as a factor that may cause concentration of liquidity risk. The
Company has reviewed the amendment and based on its evaluation has determined that there is no impact in its financial statements.
4. (iii) Investment property (Contd...)
a) The Company''s investment property consists of property in India. As at March 31,2026, the fair values of the properties are Land - INR
2,702.25 lakhs (PY - INR 2,702.25 lakhs) and Building - INR 647.85 lakhs (PY - INR 647.85 lakhs). These valuations are based on
valuations performed by an independent valuer. The fair value was determined based on the market guideline values.
b) The Company has no restrictions on the realisability of its investment property and no contractual obligations to either purchase,
construct or develop investment property or for repairs, maintenance and enhancements.
c) Details of the Companyâs investment property and information about the fair value hierarchy as at the end of the reporting year are as
follows:
a) No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other
sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities
(âIntermediariesâ) with the understanding whether recorded in writing or otherwise, that the Intermediary shall, directly
or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the
Company (âUltimate Beneficiariesâ) or provide any guarantee, security or the like on behalf of the Ultimate
Beneficiaries.
b) The Company has not received any fund from any person(s) or entity(ies), including foreign entities(âFunding
Partiesâ), with the understanding, whether recorded in writing or otherwise, that the Company shall, directly or
indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding
Party (âUltimate Beneficiariesâ) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
Nature and purpose of other reserves
FVOCI equity investments
The Company has elected to recognise changes in the fair value of certain investments in equity securities in other
comprehensive income. These changes are accumulated within the FVOCI equity investments reserve within equity.
The Company transfers amounts from this reserve to retained earnings when the relevant equity securities are derecognised.
* Pertains to cash credit facility availed by the company against hypothecation of inventories and trade receivables (Interest
rate @ 9.25%)
1. The Company has not been declared a wilful defaulter by any bank or financial Institution or any other lender.
2. The Company has not defaulted in repayment of loans / interests or other borrowings or in the payment of interest thereon to
any lender.
3. The Company has used the borrowings from banks for the working capital purposes.
4. The quarterly returns or statements comprising (stock statements, book debt statements and other stipulated information)
have been filed by the Company with a bank are in agreement with the unaudited books of account of the Company of the
respective quarters.
24. Provisions (contd...)
The details with respect to the composition of investments in the fair value of plan assets managed by LIC have not been disclosed in the
absence of the above said information.
The expected rate of return on assets is determined based on the assessment made at the beginning of the year on the return expected
on its existing portfolio, along with the estimated increment to the plan assets and expected yield on the respective assets in the
portfolio during the year.
These plans typically expose the group to risks such as interest rate risk, longevity risk and salary risk.
Interest Rate Risk: A decrease in the bond interest rate will increase the plan liability.
Longevity Risk: The present value of the defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan
participants both during and after their employment. An increase in the life expectancy of the plan participants will increase the plan''s liability.
Salary Risk: The present value of the defined benefit plan liability is calculated by reference to the future salaries of plan participants.
As such, an increase in the salary of the plan participants will increase the plan''s liability.
Significant actuarial assumptions for the determination of the defined obligation are discount rate, and expected salary increase.
The sensitivity analyses below have been determined based on reasonably possible changes of the respective assumptions occurring at the
end of the reporting period, while holding all other assumptions constant.
34. Segment Information
IND as 108 "Operating Segment" ("Ind AS 108") establishes standards for the public business enterprises report information about
operating segments and related disclosures about product and services, geographical areas and major customers. Based on the
management approach as defined in IND AS 108 - Operating Segments, the Chief Operating Decision Maker (CODM) evaluates
the Companyâs performance and allocates resources based on an analysis of various performance indicators by business segments.
The Company''s main business is "Sale of Engine Bearings, Bushings and thrust washers" and "Engineering and Project services" as
per reportable segment thresholds given in Ind AS 108 "Operating Segments" .
The accounting policy adopted for Segment reporting are in line with accounting policy of the Company with following additional
policies for segment reporting.
a) Revenue and Expenses have been identified to a Segment on the basis of relationship to operating activities of the Segment.
Revenue and Expenses which relate to entity as a whole and are not allocable to a Segment on reasonable basis have been
disclosed as unallocable.
b) Segment Assets and Segment Liabilities represents Assets and Liabilities in respective segments. Investments, tax related assets
and liabilities, other assets and liabilities that cannot be allocated to a segment on reasonable basis have been disclosed as
"unallocable".
35. Fair value measurements - (Contd.)
Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments,
traded bonds and mutual funds that have quoted price. The fair value of all equity instruments (including bonds) which are
traded in the stock exchanges is valued using the closing price as at the reporting period. The mutual funds are valued using the
closing NAV.
Level 2: The fair value of financial instruments that are not traded in an active market (for example, over-the-counter derivatives)
is determined using valuation techniques which maximise the use of observable market data and rely as little as possible
on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is
included in level 2.
Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This
is the case for unlisted equity securities included in level 3.
There are no transfers between levels 1,2 and 3 during the year.
The Companyâs policy is to recognise transfers into and transfers out of fair value hierarchy levels as at the end of the reporting
period.
(ii) Valuation technique used to determine fair value
Specific valuation techniques used to value financial instruments include:
- the use of quoted market prices or dealer quotes for similar instruments.
- the fair value of forward foreign exchange contracts is determined using forward exchange rates at the balance
sheet date.
- the fair value of certain financial instruments have been determined based on the buy back offer made by the
originator of the instrument.
- the fair value of the remaining financial instruments is determined using discounted cash flow analysis.
All of the resulting fair value estimates are included in level 2 except for unlisted equity securities where the fair values have been
determined based on present values and the discount rates used were adjusted for counterparty or own credit risk.
(iii) Valuation processes
The Company performs the valuations of financial assets and liabilities required for financial reporting purposes, including
level 3 fair values
The main level 3 inputs for unlisted equity securities used by the Company are derived and evaluated as follows:
- Discount rates are determined using a capital asset pricing model to calculate a post tax rate that reflects current
market assessments of the time value of money and the risk specific to the asset.
- Risk adjustments specific to the counterparties
- Earnings growth factor for unlisted equity securities are estimated based on market information for similar types of
companies.
Changes in level 2 and 3 fair values are analysed at the end of each reporting period during the quarterly valuation discussion. As
part of this discussion the team presents a report that explains the reason for the fair value movements.
The carrying amounts of trade receivables, trade payables, cash and cash equivalents and other current financial assets and
liabilities are considered to be the same as their fair values, due to their short-term nature.
The fair values for bonds and debentures, intercorporate deposits, security deposits and other deposits were calculated
based on cash flows discounted using the current interest rate as at the respective reporting date for a similar instrument.
They are classified as level 3 fair values in the fair value hierarchy due to the inclusion of unobservable inputs including
counterparty credit risk.
For financial assets and liabilities that are measured at fair value, the carrying amounts are equal to the fair values.
The Companyâs risk management is carried out by the Chief Financial Officer under policies approved by the Board of Directors. The
Chief Financial officer identifies, evaluates and hedges financial risks in close co-operation with the companyâs operating units. The
board provides written principles for overall risk management, as well as policies covering specific areas, such as foreign exchange
risk, credit risk, use of derivative financial instruments and non-derivative financial instruments, and investment of excess liquidity.
A) Credit risk
Credit risk arises from cash and cash equivalents, investments carried at amortised cost and deposits with banks and financial
institutions, as well as credit exposures to customers including outstanding receivables.
i) Credit risk management
Credit risk is managed on a Company basis. For banks and financial institutions, only high rated banks/institutions are accepted.
For other financial assets, the Company assesses and manages credit risk based on internal credit rating system. The finance
function consists of a separate team who assess and maintain an internal credit rating system. Internal credit rating is performed
on a group basis for each class of financial instruments with different characteristics. The company assigns the following credit
ratings to each class of financial assets based on the assumptions, inputs and factors specific to the class of financial assets.
C1 : High-quality assets, negligible credit risk
C2 : Doubtful assets, credit-impaired
The Company considers the probability of default upon initial recognition of asset and whether there has been a significant
increase in credit risk on an ongoing basis throughout each reporting period. To assess whether there is a significant increase in
credit risk the Company compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at
the date of initial recognition. It considers available reasonable and supportive forward-looking information. Especially the
following indicators are included -
- Internal credit rating
- External credit rating (as far as available)
- Actual or expected significant adverse changes in business, financial or economic conditions that are expected to cause a
significant change to the borrowerâs ability to meet its obligations
- Actual or expected significant changes in the operating results of the borrower
- Significant increase in credit risk on other financial instruments of the same borrower
- Significant changes in the value of the collateral supporting the obligation or in the quality of third-party guarantees or credit
enhancements.
- Significant changes in the expected performance and behavior of the borrower, including changes in the payment status of
borrowers in the company and changes in the operating results of the borrower.
Macroeconomic information (such as regulatory changes, market interest rate or growth rates) is incorporated as part of the
internal rating model.
41. Events after the reporting period
The Board of Directors have recommended dividend of INR 13.50 per fully paid up equity share of INR 10 each INR 516.38 lakhs for the
financial year 2025-26 which is based on relevant share capital as on March 31,2026, subject to the approval of the shareholders at the
ensuing annual general meeting of the company. The actual dividend amount will be dependent on the relevant share capital
outstanding as on the record date / book closure.
42. Earnings per share
For the purpose of computing the earnings per share, the net profit after tax has been used as the numerator and the weighted
average number of shares outstanding has been considered, as the denominator.
46. Relationship with struck off companies
As at March 31,2026
During the year there was no transaction with struck off company
As at March 31,2025
During the year there was no transaction with struck off company
47. Additional Regulatory Information
i The Company do not have any Benami property, where any proceeding has been initiated or pending against the Company for
holding any Benami property.
ii The Company do not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period.
iii The Company have not traded or invested in Crypto currency or Virtual Currency during the financial year.
iv No schemes of arrangements have been applied or approved by the Competent Authority in terms of section 230 to 237 of the
Companies Act, 2013.
v The Company has complied with the number of layers prescribed under clause (87) of section 2 of the Act read with the Companies
(Restriction on number of Layers) Rules, 2017.
vi The title deeds of all immovable properties, (other than immovable properties where the Company is the lessee and the lease
agreements are duly executed in favour of the Company) disclosed in the financial statements included in property, plant and
equipment and capital work-in-progress are held in the name of the Company as at the balance sheet date.
vii The Company have no such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as
income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant
provisions of the Income Tax Act, 1961.
50. The Company has used MS Dynamics , an accounting software system for maintaining its books of account for the year ended
31st March, 2026 which has a feature of recording audit trail (edit log) facility and the same has operated throughout the year for all
relevant transactions recorded in the software system. Further, there were no instances of audit trail feature being tampered with,
Additionally , the audit trail that was enabled and operated for the year ended March 31,2025, has been preserved by the Company as
per the statutory requirements for record retention.
51. The Standalone financial statements were authorised for issuance by the Board of Directors in the meeting held on May 27, 2026.
The position of Company Secretary fell vacant on March 01, 2026 and the Company is yet to appoint one. Accordingly, these
Standalone financial statements have not been authenticated by a Company Secretary.
Mar 31, 2025
a) No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities (âIntermediariesâ) with the understanding whether recorded in writing or otherwise, that the Intermediary shall, directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (âUltimate Beneficiariesâ) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
b) The Company has not received any fund from any person(s) or entity(ies), including foreign entities(âFunding Partiesâ), with the understanding, whether recorded in writing or otherwise, that the Company shall, directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (âUltimate Beneficiariesâ) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
ii) Terms and rights attached to equity shares
The Company has only one class of equity shares having a par value of INR 10 per share. Each shareholder is entitled to one vote per share. The dividend proposed by the Board of Directors is subject to the approval of the shareholder in the ensuing Annual General Meeting, except in the case of interim dividend. In the event of liquidation of the company, the holders of the equity shares will be entitled to receive any of the remaining assets of the company, after distribution of all preferential amount. The distribution will be in proportion to the number of equity shares held by the shareholders.
Nature and purpose of other reserves FVOCI equity investments
The Company has elected to recognise changes in the fair value of certain investments in equity securities in other comprehensive income. These changes are accumulated within the FVOCI equity investments reserve within equity. The Company transfers amounts from this reserve to retained earnings when the relevant equity securities are derecognised.
* Pertains to cash credit facility availed by the company against hypothecation of inventories and trade receivables (Interest rate @ 9.25%)
1. The Company has not been declared a wilful defaulter by any bank or financial Institution or any other lender.
2. The Company has not defaulted in repayment of loans / interests or other borrowings or in the payment of interest thereon to any lender.
3. The Company has used the borrowings from banks for the working capital purposes.
4. Returns or statements of current assets filed by the Company with banks, as required, are in agreement with unaudited books of accounts for respective quarters.
* The details with respect to the composition of investments in the fair value of plan assets managed by LIC have not been disclosed in the absence of the above said information.
The expected rate of return on assets is determined based on the assessment made at the beginning of the year on the return expected on its existing portfolio, along with the estimated increment to the plan assets and expected yield on the respective assets in the portfolio during the year.
These plans typically expose the group to risks such as interest rate risk, longevity risk and salary risk.
Interest Rate Risk: A decrease in the bond interest rate will increase the plan liability.
Longevity Risk: The present value of the defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan participants both during and after their employment. An increase in the life expectancy of the plan participants will increase the plan''s liability.
Salary Risk: The present value of the defined benefit plan liability is calculated by reference to the future salaries of plan participants. As such, an increase in the salary of the plan participants will increase the plan''s liability.
Significant actuarial assumptions for the determination of the defined obligation are discount rate, and expected salary increase. The sensitivity analyses below have been determined based on reasonably possible changes of the respective assumptions occurring at the end of the reporting period, while holding all other assumptions constant.
i) Fair value hierarchy
This section explains the judgements and estimates made in determining the fair values of the financial instruments that are (a) recognised and measured at fair value and (b) measured at amortised cost and for which fair values are disclosed in the financial statements. To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its financial instruments into the three levels prescribed under the accounting standard. An explanation of each level follows underneath the table.
Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments, traded bonds and mutual funds that have quoted price. The fair value of all equity instruments (including bonds) which are traded in the stock exchanges is valued using the closing price as at the reporting period. The mutual funds are valued using the closing NAV.
Level 2: The fair value of financial instruments that are not traded in an active market (for example, over-the-counter derivatives) is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2.
Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This is the case for unlisted equity securities included in level 3. There are no transfers between levels 1,2 and 3 during the year.
The companyâs policy is to recognise transfers into and transfers out of fair value hierarchy levels as at the end of the reporting period.
(ii) Valuation technique used to determine fair value
Specific valuation techniques used to value financial instruments include:
- the use of quoted market prices or dealer quotes for similar instruments
- the fair value of forward foreign exchange contracts is determined using forward exchange rates at the balance sheet date.
- the fair value of certain financial instruments have been determined based on the buy back offer made by the originator of the instrument
- the fair value of the remaining financial instruments is determined using discounted cash flow analysis.
All of the resulting fair value estimates are included in level 2 except for unlisted equity securities where the fair values have been determined based on present values and the discount rates used were adjusted for counterparty or own credit risk.
(iii) Valuation processes
The company performs the valuations of financial assets and liabilities required for financial reporting purposes, including level 3 fair values
The main level 3 inputs for unlisted equity securities used by the Company are derived and evaluated as follows:
- Discount rates are determined using a capital asset pricing model to calculate a post tax rate that reflects current market assessments of the time value of money and the risk specific to the asset.
- Risk adjustments specific to the counterparties
- Earnings growth factor for unlisted equity securities are estimated based on market information for similar types of companies.
Changes in level 2 and 3 fair values are analysed at the end of each reporting period during the quarterly valuation discussion. As part of this discussion the team presents a report that explains the reason for the fair value movements.
The carrying amounts of trade receivables, trade payables, cash and cash equivalents and other current financial assets and liabilities are considered to be the same as their fair values, due to their short-term nature.
The fair values for bonds and debentures, intercorporate deposits, security deposits and other deposits were calculated based on cash flows discounted using the current interest rate as at the respective reporting date for a similar instrument. They are classified as level 3 fair values in the fair value hierarchy due to the inclusion of unobservable inputs including counterparty credit risk.
For financial assets and liabilities that are measured at fair value, the carrying amounts are equal to the fair values.
The Companyâs activities expose it to market risk, liquidity risk and credit risk.
This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and the impact of hedge accounting in the financial statements.
The Companyâs risk management is carried out by the Chief Financial Officer under policies approved by the Board of Directors. The Chief Financial officer identifies, evaluates and hedges financial risks in close co-operation with the companyâs operating units. The board provides written principles for overall risk management, as well as policies covering specific areas, such as foreign exchange risk, credit risk, use of derivative financial instruments and non-derivative financial instruments and investment of excess liquidity.
A) Credit risk
Credit risk arises from cash and cash equivalents, investments carried at amortised cost and deposits with banks and financial institutions, as well as credit exposures to customers including outstanding receivables.
i) Credit risk management
Credit risk is managed on a Company basis. For banks and financial institutions, only high rated banks/institutions are accepted.
For other financial assets, the Company assesses and manages credit risk based on internal credit rating system. The finance function consists of a separate team who assess and maintain an internal credit rating system. Internal credit rating is performed on a group basis for each class of financial instruments with different characteristics. The company assigns the following credit ratings to each class of financial assets based on the assumptions, inputs and factors specific to the class of financial assets.
C1 : High-quality assets, negligible credit risk
C2 : Doubtful assets, credit-impaired
The Company considers the probability of default upon initial recognition of asset and whether there has been a significant increase in credit risk on an ongoing basis throughout each reporting period. To assess whether there is a significant increase in credit risk the Company compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Especially the following indicators are included:- Internal credit rating
- External credit rating (as far as available)
- Actual or expected significant adverse changes in business, financial or economic conditions that are expected to cause a significant change to the borrowerâs ability to meet its obligations
- Actual or expected significant changes in the operating results of the borrower
- Significant increase in credit risk on other financial instruments of the same borrower
- Significant changes in the value of the collateral supporting the obligation or in the quality of third-party guarantees or credit enhancements
- Significant changes in the expected performance and behaviour of the borrower, including changes in the payment status of borrowers in the company and changes in the operating results of the borrower.
Macroeconomic information (such as regulatory changes, market interest rate or growth rates) is incorporated as part of the internal rating model.
For the Year ended March 31, 2024 to March 31, 2025:
(a) Expected credit loss for loans, security deposits and investments
The estimated gross carrying amount at default is Nil (March 31, 2024: Nil) for investments and loans and deposits. Consequently there are no expected credit loss recognised for these financial assets.
(b) Expected credit loss for trade receivables under simplified approach
Customer credit risk is managed by the Company based on the Company''s established policy, procedures and control relating to customer credit risk management. Credit quality of a customer is assessed based on an internal credit rating system. Outstanding customer receivables are regularly monitored and assessed for its recoverability. An impairment analysis is performed at each reporting date on an individual basis for major clients. In addition, a large number of minor receivables are grouped into homogenous groups and assessed for impairment collectively. The maximum exposure to credit risk at the reporting date is the carrying value of each class of financial assets disclosed in Note 11. The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers have sufficient capacity to meet the obligations and the risk of default is negligible.
Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding through an adequate amount of committed credit facilities to meet obligations when due and to close out market positions. Due to the dynamic nature of the underlying business, Company treasury maintains flexibility in funding by maintaining availability under committed credit lines. Management monitors rolling forecasts of the Companyâs liquidity position (comprising the undrawn borrowing facilities below) and cash and cash equivalents on the basis of expected cash flows.
On the basis of the financial ratios, ageing and expected dates of realisation of financial assets and payment of financial liabilities, other information accompanying the financial statements and future plans of the Board of Directors and Management, no material uncertainty exists as on the date of the approval of the financial statements indicating that Comapany is not capable of meeting its liabilities existing at the date of balance sheet as and when they fall due within a period of one year from the balance sheet date.
C) Market risk
i) Foreign currency risk
The Company operates internationally and is exposed to foreign exchange risk arising from foreign currency transactions, primarily with respect to the USD, EUR, GBP and JPY. Foreign exchange risk arises from future commercial transactions and recognised assets and liabilities denominated in a currency that is not the companyâs functional currency (INR). The risk is measured through a forecast of highly probable foreign currency cash flows. The Company''s exposure to foreign currency risk at the end of the reporting period expressed in INR lakhs, are as follows:
ii) Price risk
The Company''s exposure to equity securities and mutual fund price risk arises from investments held by the Company and classified in the balance sheet either as fair value through OCI or at fair value through profit or loss.
To manage its price risk arising from investments in equity securities and mutual fund, the group diversifies its portfolio. Diversification of the portfolio is done in accordance with the limits set by the company. The majority of the Company''s equity investments are publicly traded and are included in the NSE Nifty 50 index.
Sensitivity
The table below summarises the impact of increases/decreases of the index on the Company''s equity and profit for the period. The analysis is based on the assumption that the equity index had increased by 5% or decreased by 5% with all other variables held constant and that all the Company''s equity instruments moved in line with the index.
Mar 31, 2019
1. General Information
Bimetal Bearings Limited (âthe Companyâ or âBBLâ) is engaged in manufacturing of Engine Bearings, Bushings, Thrust Washers, Alloy Powder and Bimetallic Strips. The Company has manufacturing plants at Coimbatore, Hosur, Chennai (Sembiam and Thoraipakkam). The Company is a public listed company and listed on The Bombay Stock Exchange.
The standalone financial statements were approved for issue by the Board of Directors on May 30,2019.
Amounts recognised in profit or loss
Write-downs of inventories to net realisable value amounted to INR 67.54 lakhs (March 31, 2018 - INR 81.63 lakhs). These were recognised as an expense during the year and included in âthe changes in inventories of finished goods, work-in-progress and stock-in-tradeâ in statement of profit and loss.
(ii) Terms and rights attached to equity shares
The Company has only one class of equity shares having a par value of INR 10 per share. Each shareholder is entitled to one vote per share. The dividend proposed by the Board of Directors is subject to the approval of the shareholder in the ensuing Annual General Meeting, except in the case of interim dividend. In the event of liquidation of the company, the holders of the equity shares will be entitled to receive any of the remaining assets of the company, after distribution of all preferential amount. The distribution will be in proportion to the number of equity shares held by the shareholders.
Nature and purpose of other reserves FVTOCI equity investments
The Company has elected to recognise changes in the fair value of certain investments in equity securities in other comprehensive income. These changes are accumulated within the FVTOCI equity investments reserve within equity. The Company transfers amounts from this reserve to retained earnings when the relevant equity securities are derecognised.
*The details with respect to the composition of investments in the fair value of plan assets managed by LIC have not been disclosed in the absence of the above said information.
The expected rate of return on assets is determined based on the assessment made at the beginning of the year on the return expected on its existing portfolio, along with the estimated increment to the plan assets and expected yield on the respective assets in the portfolio during the year.
These plans typically expose the Company to risks such as interest rate risk, longevity risk and salary risk.
Interest Rate Risk: A decrease in the bond interest rate will increase the plan liability.
Longevity Risk: The present value of the defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan participants both during and after their employment. An increase in the life expectancy of the plan participants will increase the planâs liability.
Salary Risk: The present value of the defined benefit plan liability is calculated by reference to the future salaries of plan participants. As such, an increase in the salary of the plan participants will increase the planâs liability.
Significant actuarial assumptions for the determination of the defined obligation are discount rate, and expected salary increase. The sensitivity analysis below have been determined based on reasonably possible changes of the respective assumptions occurring at the end of the reporting period, while holding all other assumptions constant.
The sensitivity analysis presented above may not be representative of the actual change in the defined benefit obligation as it is unlikely that the change in assumptions would occur in isolation of one another as some of the assumptions may be correlated. There was no change in the methods and assumptions used in preparing the sensitivity analysis from prior years.
(i) Fair value hierarchy
This section explains the judgements and estimates made in determining the fair values of the financial instruments that are (a) recognised and measured at fair value and (b) measured at amortised cost and for which fair values are disclosed in the financial statements. To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its financial instruments into the three levels prescribed under the accounting standard. An explanation of each level follows underneath the table.
Level 1:
Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments, traded bonds and mutual funds that have quoted price. The fair value of all equity instruments (including bonds) which are traded in the stock exchanges is valued using the closing price as at the reporting period. The mutual funds are valued using the closing NAV.
Level 2:
The fair value of financial instruments that are not traded in an active market (for example, over-the-counter derivatives) is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2.
Level 3:
If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This is the case for unlisted equity securities included in level 3.
There are no transfers between levels 1 and 2 during the year. During the year ended March 31, 2018, the Company transferred an unquoted equity investment from level 3 to level 2 as there was an observable market data available in the form of a buy back offer.
The companyâs policy is to recognise transfers into and transfers out of fair value hierarchy levels as at the end of the reporting period.
(ii) Valuation technique used to determine fair value
Specific valuation techniques used to value financial instruments include:
- the use of quoted market prices or dealer quotes for similar instruments.
- the fair value of forward foreign exchange contracts is determined using forward exchange rates at the balance sheet date.
- the fair value of certain financial instruments have been determined based on the buy back offer made by the originator of the instrument.
- the fair value of the remaining financial instruments is determined using discounted cash flow analysis.
All of the resulting fair value estimates are included in level 2 except for unlisted equity securities where the fair values have been determined based on present values and the discount rates used were adjusted for counter party or own credit risk.
(iii) Valuation processes
The company performs the valuations of financial assets and liabilities required for financial reporting purposes, including level 3 fair values The main level 3 inputs for unlisted equity securities used by the Company are derived and evaluated as follows:
- Discount rates are determined using a capital asset pricing model to calculate a post tax rate that reflects current market assessments of the time value of money and the risk specific to the asset.
- Risk adjustments specific to the counter parties.
- Earnings growth factor for unlisted equity securities are estimated based on market information for similar types of companies.
Changes in level 2 and 3 fair values are analysed at the end of each reporting period during the quarterly valuation discussion. As part of this discussion the team presents a report that explains the reason for the fair value movements.
The carrying amounts of trade receivables, trade payables, cash and cash equivalents and other current financial assets and liabilities are considered to be the same as their fair values, due to their short-term nature.
The fair values for bonds and debentures, intercorporate deposits, security deposits and other deposits were calculated based on cash flows discounted using the current interest rate as at the respective reporting date for a similar instrument. They are classified as level 3 fair values in the fair value hierarchy due to the inclusion of unobservable inputs including counter party credit risk.
For financial assets and liabilities that are measured at fair value, the carrying amounts are equal to the fair values.
2. Financial risk management
The Companyâs activities expose it to market risk, liquidity risk and credit risk.
This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and the impact of hedge accounting in the financial statements
The Companyâs risk management is carried out by the Chief Financial Officer under policies approved by the Board of Directors. The Chief Financial officer identifies, evaluates and hedges financial risks in close co-operation with the companyâs operating units. The board provides written principles for overall risk management, as well as policies covering specific areas, such as foreign exchange risk, credit risk, use of derivative financial instruments and non-derivative financial instruments, and investment of excess liquidity.
(A) Credit risk
Credit risk arises from cash and cash equivalents, investments carried at amortised cost and deposits with banks and financial institutions, as well as credit exposures to customers including outstanding receivables.
(i) Credit risk management
Credit risk is managed on a Company basis. For banks and financial institutions, only high rated banks/institutions are accepted.
For other financial assets, the Company assesses and manages credit risk based on internal credit rating system. The finance function consists of a separate team who assess and maintain an internal credit rating system. Internal credit rating is performed on a group basis for each class of financial instruments with different characteristics. The company assigns the following credit ratings to each class of financial assets based on the assumptions, inputs and factors specific to the class of financial assets.
A1 : High-quality assets, negligible credit risk
A2 : Doubtful assets, credit-impaired
The Company considers the probability of default upon initial recognition of asset and whether there has been a significant increase in credit risk on an ongoing basis throughout each reporting period. To assess whether there is a significant increase in credit risk the Company compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Especially the following indicators are included -
- Internal credit rating
- External credit rating (as far as available)
- Actual or expected significant adverse changes in business, financial or economic conditions that are expected to cause a significant change to the borrowerâs ability to meet its obligations
- Actual or expected significant changes in the operating results of the borrower
- Significant increase in credit risk on other financial instruments of the same borrower
- Significant changes in the value of the collateral supporting the obligation or in the quality of third-party guarantees or credit enhancements
- Significant changes in the expected performance and behaviour of the borrower, including changes in the payment status of borrowers in the company and changes in the operating results of the borrower.
Macroeconomic information (such as regulatory changes, market interest rate or growth rates) is incorporated as part of the internal rating model.
For the Year ended March 31, 2018 to March 31, 2019:
(a) Expected credit loss for loans, security deposits and investments
The estimated gross carrying amount at default is Nil (March 31, 2018: Nil) for investments and loans and deposits. Consequently there are no expected credit loss recognised for these financial assets.
(b) Expected credit loss for trade receivables under simplified approach
Customer credit risk is managed by the Company based on the Companyâs established policy, procedures and control relating to customer credit risk management. Credit quality of a customer is assessed based on an internal credit rating system. Outstanding customer receivables are regularly monitored and assessed for its recoverability. An impairment analysis is performed at each reporting date on an individual basis for major clients. In addition, a large number of minor receivables are grouped into homogenous groups and assessed for impairment collectively. The maximum exposure to credit risk at the reporting date is the carrying value of each class of financial assets disclosed in Note 11. The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers have sufficient capacity to meet the obligations and the risk of default is negligible.
(B) Liquidity risk
Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding through an adequate amount of committed credit facilities to meet obligations when due and to close out market positions. Due to the dynamic nature of the underlying business, Company treasury maintains flexibility in funding by maintaining availability under committed credit lines. Management monitors rolling forecasts of the Companyâs liquidity position (comprising the undrawn borrowing facilities below) and cash and cash equivalents on the basis of expected cash flows.
(ii) Maturities of financial liabilities
The tables below analyses the companyâs financial liabilities into relevant maturity groupings based on their contractual maturities for all non-derivative financial liabilities.
The amounts disclosed in the table are the contractual undiscounted cash flows. Balances due within 12 months equal their carrying balances as the impact of discounting is not significant.
(C) Market risk
(i) Foreign currency risk
The Company operates internationally and is exposed to foreign exchange risk arising from foreign currency transactions, primarily with respect to the USD, EUR, GBP and JPY. Foreign exchange risk arises from future commercial transactions and recognised assets and liabilities denominated in a currency that is not the companyâs functional currency (INR). The risk is measured through a forecast of highly probable foreign currency cash flows. The Companyâs exposure to foreign currency risk at the end of the reporting period expressed in INR lakhs, are as follows:
(ii) Price risk
The Companyâs exposure to equity securities and mutual fund price risk arises from investments held by the Company and classified in the balance sheet either as fair value through OCI or at fair value through profit or loss.
To manage its price risk arising from investments in equity securities and mutual fund, the group diversifies its portfolio. Diversification of the portfolio is done in accordance with the limits set by the company. The majority of the Companyâs equity investments are publicly traded and are included in the NSE Nifty 50 index.
Sensitivity
The table below summarises the impact of increases/decreases of the index on the Companyâs equity and profit for the period. The analysis is based on the assumption that the equity index had increased by 5% or decreased by 5% with all other variables held constant, and that all the Companyâs equity instruments moved in line with the index.
Profit for the period would increase/decrease as a result of gains/losses on mutual fund classified as at fair value through profit or loss. Other components of equity would increase/decrease as a result of gains/losses on equity securities classified as fair value through other comprehensive income.
3. Events after the reporting period
The Board of Directors have recommended dividend of INR 10 per fully paid up equity share of INR 10 each INR 461.14 lakhs, including INR 78.64 lakhs dividend distribution tax for the financial year 2018-19, which is based on relevant share capital as on March 31, 2019. The actual dividend amount will be dependent on the relevant share capital outstanding as on the record date / book closure.
4. Earnings per share
For the purpose of computing the earnings per share, the net profit after tax has been used as the numerator and the weighted average number of shares outstanding has been considered as the denominator.
5. The Company has following investment in joint venture and associate :
Mar 31, 2018
1. General Information
Bimetal Bearings Limited ("the Company" or "BBL") is engaged in manufacturing of Engine Bearings, Bushings, Thrust Washers, Alloy Powder and Bimetallic Strips. The Company has manufacturing plants at Coimbatore, Hosur, Chennai (Sembiam and Thoraipakkam). The Company is a public listed company and listed on The Bombay Stock Exchange.
(ii) Terms and rights attached to equity shares
The Company has only one class of equity shares having a par value of INR 10 per share. Each shareholder is entitled to one vote per share. The dividend proposed by the Board of Directors is subject to the approval of the shareholder in the ensuing Annual General Meeting. In the event of liquidation, the equity shareholders are eligible to receive remaining assets of the company in proportion to their shareholding.
Nature and purpose of other reserves FVOCI equity investments
The Company has elected to recognise changes in the fair value of certain investments in equity securities in other comprehensive income. These changes are accumulated within the FVOCI equity investments reserve within equity. The Company transfers amounts from this reserve to retained earnings when the relevant equity securities are derecognised.
The details with respect to the composition of investments in the fair value of plan assets managed by LIC have not been disclosed in the absence of the above said information.
The expected rate of return on assets is determined based on the assessment made at the beginning of the year on the return expected on its existing portfolio, along with the estimated increment to the plan assets and expected yield on the respective assets in the portfolio during the year.
These plans typically expose the Company to risks such as interest rate risk, longevity risk and salary risk.
Interest Rate Risk: A decrease in the bond interest rate will increase the plan liability.
Longevity Risk: The present value of the defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan participants both during and after their employment. An increase in the life expectancy of the plan participants will increase the plan''s liability.
Salary Risk: The present value of the defined benefit plan liability is calculated by reference to the future salaries of plan participants. As such, an increase in the salary of the plan participants will increase the plan''s liability.
Significant actuarial assumptions for the determination of the defined obligation are discount rate, and expected salary increase. The sensitivity analyses below have been determined based on reasonably possible changes of the respective assumptions occurring at the end of the reporting period, while holding all other assumptions constant.
2. Exceptional items
Exceptional items comprises of the following -
(i) During the last year the Company''s factories located at Sembiam and Thoraipakkam were affected by Vardah cyclone. The loss arising from the same including the related insurance settlement have been disclosed as an exceptional item. Previous year exceptional items pertain to loss incurred (net of insurance settlement) on account of damage arising from flood to the Company''s fixed asset and stock located at Sembiam and Thoraipakkam factories.
(i) Fair value hierarchy
This section explains the judgements and estimates made in determining the fair values of the financial instruments that are (a) recognised and measured at fair value and (b) measured at amortised cost and for which fair values are disclosed in the financial statements. To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its financial instruments into the three levels prescribed under the accounting standard. An explanation of each level follows underneath the table.
Level 1:
Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments, traded bonds and mutual funds that have quoted price. The fair value of all equity instruments (including bonds) which are traded in the stock exchanges is valued using the closing price as at the reporting period. The mutual funds are valued using the closing NAV.
Level 2:
The fair value of financial instruments that are not traded in an active market (for example, traded bonds, over-the-counter derivatives) is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2.
Level 3:
If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This is the case for unlisted equity securities included in level 3.
There are no transfers between levels 1 and 2 during the year.
During the year ended March 31, 2018, the Company transferred an unquoted equity investment from level 3 to level 2 as there was an observable market data available in the form of a buy back offer.
The company''s policy is to recognise transfers into and transfers out of fair value hierarchy levels as at the end of the reporting period.
(ii) Valuation technique used to determine fair value
Specific valuation techniques used to value financial instruments include:
- the use of quoted market prices or dealer quotes for similar instruments.
- the fair value of forward foreign exchange contracts is determined using forward exchange rates at the balance sheet date.
- the fair value of certain financial instruments have been determined based on the buy back offer made by the originator of the instrument.
- the fair value of the remaining financial instruments is determined using discounted cash flow analysis.
All of the resulting fair value estimates are included in level 2 except for unlisted equity securities where the fair values have been determined based on present values and the discount rates used were adjusted for counter party or own credit risk.
(iii) Valuation processes
The company performs the valuations of financial assets and liabilities required for financial reporting purposes, including level 3 fair values.
The main level 3 inputs for unlisted equity securities used by the Company are derived and evaluated as follows:
- Discount rates are determined using a capital asset pricing model to calculate a post tax rate that reflects current market assessments of the time value of money and the risk specific to the asset.
- Risk adjustments specific to the counter parties.
- Earnings growth factor for unlisted equity securities are estimated based on market information for similar types of companies.
Changes in level 2 and 3 fair values are analysed at the end of each reporting period during the quarterly valuation discussion. As part of this discussion the team presents a report that explains the reason for the fair value movements.
The carrying amounts of trade receivables, trade payables, cash and cash equivalents and other current financial assets and liabilities are considered to be the same as their fair values, due to their short-term nature.
The fair values for bonds and debentures, intercorporate deposits, security deposits and other deposits were calculated based on cash flows discounted using the current interest rate as at the respective reporting date for a similar instrument. They are classified as level 3 fair values in the fair value hierarchy due to the inclusion of unobservable inputs including counter party credit risk.
For financial assets and liabilities that are measured at fair value, the carrying amounts are equal to the fair values.
3. Financial risk management
The Company''s activities expose it to market risk, liquidity risk and credit risk.
This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and the impact of hedge accounting in the financial statements
The Company''s risk management is carried out by the Chief Financial Officer under policies approved by the Board of Directors. The Chief Financial officer identifies, evaluates and hedges financial risks in close co-operation with the company''s operating units. The board provides written principles for overall risk management, as well as policies covering specific areas, such as foreign exchange risk, credit risk, use of derivative financial instruments and nonderivative financial instruments, and investment of excess liquidity.
(A) Credit risk
Credit risk arises from cash and cash equivalents, investments carried at amortised cost and deposits with banks and financial institutions, as well as credit exposures to customers including outstanding receivables.
(i) Credit risk management
Credit risk is managed on a Company basis. For banks and financial institutions, only high rated banks/institutions are accepted.
For other financial assets, the Company assesses and manages credit risk based on internal credit rating system. The finance function consists of a separate team who assess and maintain an internal credit rating system. Internal credit rating is performed on a group basis for each class of financial instruments with different characteristics. The company assigns the following credit ratings to each class of financial assets based on the assumptions, inputs and factors specific to the class of financial assets.
C1 : High-quality assets, negligible credit risk
C2 : Doubtful assets, credit-impaired
The Company considers the probability of default upon initial recognition of asset and whether there has been a significant increase in credit risk on an ongoing basis throughout each reporting period. To assess whether there is a significant increase in credit risk the Company compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forward-looking information. Especially the following indicators are included -
- Internal credit rating
- External credit rating (as far as available)
- Actual or expected significant adverse changes in business, financial or economic conditions that are expected to cause a significant change to the borrower''s ability to meet its obligations
- Actual or expected significant changes in the operating results of the borrower
- Significant increase in credit risk on other financial instruments of the same borrower
- Significant changes in the value of the collateral supporting the obligation or in the quality of third-party guarantees or credit enhancements
- Significant changes in the expected performance and behaviour of the borrower, including changes in the payment status of borrowers in the company and changes in the operating results of the borrower.
Macroeconomic information (such as regulatory changes, market interest rate or growth rates) is incorporated as part of the internal rating model.
For the Year ended March 31, 2017 to March 31, 2018:
(a) Expected credit loss for loans, security deposits and investments
The estimated gross carrying amount at default is Nil (March 31, 2017: Nil) for investments and loans and deposits. Consequently there are no expected credit loss recognised for these financial assets.
(b) Expected credit loss for trade receivables under simplified approach
Customer credit risk is managed by the Company based on the Company''s established policy, procedures and control relating to customer credit risk management. Credit quality of a customer is assessed based on an internal credit rating system. Outstanding customer receivables are regularly monitored and assessed for its recoverability. An impairment analysis is performed at each reporting date on an individual basis for major clients. In addition, a large number of minor receivables are grouped into homogenous groups and assessed for impairment collectively. The maximum exposure to credit risk at the reporting date is the carrying value of each class of financial assets disclosed in Note 11. The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers has sufficient capacity to meet the obligations and the risk of default is negligible.
(B) Liquidity risk
Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding through an adequate amount of committed credit facilities to meet obligations when due and to close out market positions. Due to the dynamic nature of the underlying business, Company treasury maintains flexibility in funding by maintaining availability under committed credit lines. Management monitors rolling forecasts of the Company''s liquidity position (comprising the undrawn borrowing facilities below) and cash and cash equivalents on the basis of expected cash flows.
(ii) Maturities of financial liabilities
The tables below analyses the company''s financial liabilities into relevant maturity groupings based on their contractual maturities for all no-nderivative financial liabilities.
The amounts disclosed in the table are the contractual undiscounted cash flows. Balances due within 12 months equal their carrying balances as the impact of discounting is not significant.
(C) Market risk
(i) Foreign currency risk
The Company operates internationally and is exposed to foreign exchange risk arising from foreign currency transactions, primarily with respect to the USD, EUR, GBP and JPY. Foreign exchange risk arises from future commercial transactions and recognised assets and liabilities denominated in a currency that is not the company''s functional currency (INR). The risk is measured through a forecast of highly probable foreign currency cash flows. The Company''s exposure to foreign currency risk at the end of the reporting period expressed in INR lakhs, are as follows:
(ii) Price risk
The Company''s exposure to equity securities and mutual fund price risk arises from investments held by the Company and classified in the balance sheet either as fair value through OCI or at fair value through profit or loss.
To manage its price risk arising from investments in equity securities and mutual fund, the group diversifies its portfolio. Diversification of the portfolio is done in accordance with the limits set by the company. The majority of the Company''s equity investments are publicly traded and are included in the NSE Nifty 50 index.
Sensitivity
The table below summarises the impact of increases/decreases of the index on the Company''s equity and profit for the period. The analysis is based on the assumption that the equity index had increased by 5% or decreased by 5% with all other variables held constant, and that all the Company''s equity instruments moved in line with the index.
Notes:
i. There is no allowance account for impaired receivables in relation to any outstanding balances, and no expense has been recognised in respect of impaired receivables due from related parties.
ii. Related party relationship is as identified by the Company on the basis of information available with the Company and relied upon by the Auditors.
iii. No amount is/has been written off or written back during the year in respect of debts due from or to related party.
iv. The above transactions are compiled from the date these parties became related and do not include reimbursement of expenses which are accounted in the natural head of accounts.
(c) Terms and conditions
Transactions relating to dividends, subscriptions for new equity shares were on the same terms and conditions that applied to other shareholders.
4. Events after the reporting period
The Board of Directors have recommended dividend of INR 9 per fully paid up equity share of INR 10 each, aggregating INR 344.25 lakhs and INR 71.02 Lakhs dividend distribution tax for the financial year 2017-18, which is based on relevant share capital as on March 31, 2018. The actual dividend amount will be dependent on the relevant share capital outstanding as on the record date / book closure.
5. Earnings per share
For the purpose of computing the earnings per share, the net profit after tax has been used as the numerator and the weighted average number of shares outstanding has been considered as the denominator.
6. Segment Reporting
As per Ind AS 108 - âOperating Segmentâ, segment information has been provided under the notes to Consolidated Financial Statements.
6.1 Operating lease As Lessor:
The company has entered into operating lease arrangements for certain surplus facilities. The lease is cancellable and are usually renewable by mutual consent on mutually agreeable terms. Lease income recognised in the Statement of Profit and Loss.
As Lessee:
The company has entered into operating lease arrangements for premises like (factories, sales depots and godowns etc.,). These leasing arrangements are cancellable and are usually renewable by mutual consent on mutually agreeable terms. Lease payments recognised in the Statement of Profit & Loss.
6.2 The Standalone Financial Statements of the company for the year ended March 31, 2017, were audited by the Price Waterhouse Chartered Accountants LLP, the Predecessor Auditor.
7. Previous year''s figures have been regrouped / reclassified wherever necessary to correspond with the current year''s classification / disclosure.
Mar 31, 2017
Level 1:
Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments, traded bonds and mutual funds that have quoted price. The fair value of all equity instruments (including bonds) which are traded in the stock exchanges is valued using the closing price as at the reporting period. The mutual funds are valued using the closing NAV.
Level 2:
The fair value of financial instruments that are not traded in an active market (for example, traded bonds, over-the-counter derivatives) is determined using valuation techniques which maximize the use of observable market data and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2.
Level 3:
If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This is the case for unlisted equity securities included in level 3.
There are no transfers between levels 1 and 2 during the year.
During the year ended March 31, 2017, the Company transferred an unquoted equity investment from level 3 to level 2 as there was an observable market data available in the form of a buyback offer.
The company s policy is to recognize transfers into and transfers out of fair value hierarchy levels as at the end of the reporting period.
1. Valuation technique used to determine fair value
Specific valuation techniques used to value financial instruments include: the use of quoted market prices or dealer quotes for similar instruments the fair value of forward foreign exchange contracts is determined using forward exchange rates at the balance sheet date. the fair value of certain financial instruments have been determined based on the buyback offer made by the originator of the instrument. the fair value of the remaining financial instruments is determined using discounted cash flow analysis.
All of the resulting fair value estimates are included in level 2 except for unlisted equity securities where the fair values have been determined based on present values and the discount rates used were adjusted for counterparty or own credit risk.
2. Valuation processes
The company performs the valuations of financial assets and liabilities required for financial reporting purposes, including level 3 fair values
The main level 3 inputs for unlisted equity securities used by the Company are derived and evaluated as follows:
Discount rates are determined using a capital asset pricing model to calculate a post tax rate that reflects current market assessments of the time value of money and the risk specific to the asset.
Risk adjustments specific to the counterparties.
Earnings growth factor for unlisted equity securities are estimated based on market information for similar types of companies.
Changes in level 2 and 3 fair values are analyzed at the end of each reporting period during the quarterly valuation discussion. As part of this discussion the team presents a report that explains the reason for the fair value movements.
3. Credit risk
Credit risk arises from cash and cash equivalents, investments carried at amortized cost and deposits with banks and financial institutions, as well as credit exposures to customers including outstanding receivables.
4. Credit risk management
Credit risk is managed on a Company basis. For banks and financial institutions, only high rated banks/institutions are accepted.
For other financial assets, the Company assesses and manages credit risk based on internal credit rating system. The finance function consists of a separate team who assess and maintain an internal credit rating system. Internal credit rating is performed on a group basis for each class of financial instruments with different characteristics. The company assigns the following credit ratings to each class of financial assets based on the assumptions, inputs and factors specific to the class of financial assets.
5 : High-quality assets, negligible credit risk
6 : Doubtful assets, credit-impaired
The Company considers the probability of default upon initial recognition of asset and whether there has been a significant increase in credit risk on an ongoing basis throughout each reporting period. To assess whether there is a significant increase in credit risk the Company compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forwarding-looking information. Especially the following indicators are included Internal credit rating
External credit rating (as far as available)
Actual or expected significant adverse changes in business, financial or economic conditions that are expected to cause a significant change to the borrower s ability to meet its obligations
Actual or expected significant changes in the operating results of the borrower Significant increase in credit risk on other financial instruments of the same borrower
7. Transition to Ind AS
These are the Company s first financial statements prepared in accordance with Ind AS.
The accounting policies set out in Note 1 have been applied in preparing the financial statements for the year ended March 31, 2017, the comparative information presented in these financial statements for the year ended March 31, 2016 and in the preparation of an opening Ind AS balance sheet at April 1, 2015 (the Company s date of transition). In preparing its opening Ind AS balance sheet, the Company has adjusted the amounts reported previously in financial statements prepared in accordance with the accounting standards notified under Companies (Accounting Standards) Rules, 2006 (as amended) and other relevant provisions of the Act (previous GAAP or Indian GAAP).
An explanation of how the transition from previous GAAP to Ind AS has affected the Company s financial position, financial performance and cash flows is set out in the following tables and notes.
8. Exemptions and exceptions availed
Set out below are the applicable Ind AS 101 optional exemptions and mandatory exceptions applied in the transition from previous GAAP to Ind AS.
9. Ind AS optional exemptions A.1.1 Deemed cost
Ind AS 101 permits a first-time adopter to elect to continue with the carrying value for all of its property, plant and equipment as recognized in the financial statements as at the date of transition to Ind AS, measured as per the previous GAAP and use that as its deemed cost as at the date of transition after making necessary adjustments for de-commissioning liabilities. This exemption can also be used for intangible assets covered by Ind AS 38 Intangible Assets and investment property covered by Ind AS 40 Investment Properties.
Accordingly, the Company has elected to measure all of its property, plant and equipment and intangible assets at their previous GAAP carrying value.
10. Designation of previously recognized financial instruments
Ind AS 101 allows an entity to designate investments in equity instruments at FVOCI on the basis of the facts and circumstances at the date of transition to Ind AS. The Company has elected to apply this exemption for its investment in equity investments.
11. Leases
Appendix C to Ind AS 17 requires an entity to assess whether a contract or arrangement contains a lease. In accordance with Ind AS 17, this assessment should be carried out at the inception of the contract or arrangement. Ind AS 101 provides an option to make this assessment on the basis of facts and circumstances existing at the date of transition to Ind AS, except where the effect is expected to be not material. The Company has elected to apply this exemption for such contracts/arrangements.
12. Investments in joint ventures and associates
If a first-time adopter measures investments in subsidiary, joint venture or associate at cost in accordance with Ind AS 27, Ind AS 101 allows the entity to measure such investments at one of the following amounts in its separate opening Ind AS Balance Sheet (a) Cost determined in accordance with Ind AS 27; or (b) Deemed cost.
The deemed cost of such an investment shall be its:
13. fair value at the entity s date of transition to Ind ASs in its separate financial statements; or
14. previous GAAP carrying amount at that date.
. The above options can be selected each investment wise. Accordingly, the Company has elected to measure all investments in its joint venture and associate at their previous GAAP carrying value.
15. Ind AS mandatory exceptions A.2.1 Estimates
An entity s estimates in accordance with Ind ASs at the date of transition to Ind AS shall be consistent with estimates made for the same date in accordance with previous GAAP (after adjustments to reflect any difference in accounting policies), unless there is objective evidence that those estimates were in error. Ind AS estimates as at 1 April 2015 are consistent with the estimates as at the same date made in conformity with previous GAAP. The Company made estimates for following items in accordance with Ind AS at the date of transition as these were not required under previous GAAP:
Investment in equity instruments carried at FVPL or FVOCI;
Investment in debt instruments carried at FVPL; and Derivative transactions carried at FVPL.
16. Classification and measurement of financial assets
Ind AS 101 requires an entity to assess classification and measurement of financial assets (investment in debt instruments) on the basis of the facts and circumstances that exist at the date of transition to Ind AS.
17. Impairment of financial assets
Ind AS 101 provides that if at the date of transition the determination of increase in credit risk since initial recognition is difficult, loss allowance to be provided at an amount equal to lifetime expected credit losses at each reporting date until de-recognition.
18. Notes to first-time adoption:
19. Fair valuation of investments
Under the previous GAAP, investments in equity instruments and mutual funds were classified as long-term investments or current investments based on the intended holding period and reliability. Long-term investments were carried at cost less provision for other than temporary decline in the value of such investments. Current investments were carried at lower of cost and fair value. Under Ind AS, these investments (other than investments in associates and joint ventures) are required to be measured at fair value. The resulting fair value changes of these investments (other than equity instruments designated as at FVOCI) have been recognized in retained earnings as at the date of transition and subsequently in the profit or loss for the year ended March 31, 2016. This increased the retained earnings by INR 68.20 lakhs as at March 31, 2016 (April 1, 2015 - INR 127.82 lakhs). Fair value changes with respect to investments in equity instruments designated as at FVOCI have been recognized in FVOCI Equity investments reserve as at the date of transition and subsequently in the other comprehensive income for the year ended March 31, 2016. This increased other reserves by INR 1,338.64 lakhs as at March 31, 2016 (April 1, 2015 - INR 1389.16 lakhs).
Consequent to the above, the total equity as at March 31, 2016 increased by INR 1,406.84 lakhs (April 1, 2015 - INR 1,516.98 lakhs) and profit and other comprehensive income for the year ended March 31, 2016 decreased by INR 59.62 lakhs (represented by reduction in other income by INR 42.12 lakhs and increase in other expenses by INR 17.50 lakhs) and INR 50.52 lakhs, respectively.
Consequent to the above reversals there has been an decrease in cost of materials consumed amounting to INR 5.26 lakhs representing the change in excise duty between closing and opening stock with a corresponding increase in excise duty expenses for the year ended March 31, 2016. There is no impact on the total equity and profit.
Under the previous GAAP, revenue from sale of products was presented exclusive of excise duty. Under Ind AS, revenue from sale of products is presented inclusive of excise duty. The excise duty paid is presented on the face of the statement of profit and loss as part of expenses. This change has resulted in an increase in total revenue and total expenses for the year ended March 31, 2016 by INR 1583.96 lakhs. There is no impact on the total equity and profit.
Under the previous GAAP, discounts in the nature of cash and volume discount were presented as items of expense in the statement of profit and loss account. However under Ind AS revenue is to be recognized at the fair value of consideration received or receviable after considering such discounts. Consequently, revenue from operations for the year ended March 31, 2016 has decreased by INR 237.93 lakhs with a corresponding decrease in other expenses. There is no impact on the total equity and profit.
20. Forward Contracts not designated as hedging instruments
Under the previous GAAP, the Company applied the requirements of Accounting Standard 11 The effects of changes in foreign exchange rates to account for forward exchange contract for hedging foreign exchange risk related to recognized trade payables and trade receivables. At the inception of the contract, the forward premium was separated and amortized as expense over the tenure of the contract. The underlying trade payables, trade receivables and the forward contract were restated at the closing spot exchange rate.
Under Ind AS, derivatives which are not designated as hedging instruments are fair valued with resulting changes being recognized in Statement of profit and loss. The above transition resulted in a net gain of INR 3.09 lakhs for the year ended March 31, 2016. Consequently, other financial assets as at March 31, 2016 has increased by INR 9.62 lakhs (April 1, 2015 - INR 6.53 lakhs).
21. Proposed Dividend
Under the previous GAAP, dividends proposed by the Board of Directors after the balance sheet date but before the approval of the financial statements were considered as adjusting events. Accordingly, provision for proposed dividend was recognized as a liability. Under Ind AS, such dividends are recognized when the same is approved by the shareholders in the general meeting. Accordingly, the liability for proposed dividend (including dividend distribution tax) of INR 345.28 lakhs as at March 31, 2016 (April 1, 2015 INR 345.28 lakhs) included under provisions has been reversed with corresponding adjustment to retained earnings. Consequently the amount approved by the shareholders amounting to INR 345.28 lakhs for the period 2014-15 has been recognized in the year ended March 31, 2016.
22. Re-measurements of post-employment benefit obligations
Under Ind AS, re-measurements i.e. actuarial gains and losses and the return on plan assets, excluding amounts included in the net interest expense on the net defined benefit liability are recognized in other comprehensive income instead of profit or loss. Under the previous GAAP, these re-measurements were forming part of the profit or loss for the year. As a result of this change, the profit for the year ended March 31, 2016 increased by INR 30.61 lakhs. There is no impact on the total equity as at March 31, 2016.
23. Deferred tax
Deferred tax has been recognized on the adjustments made on transition to Ind AS.
24. Retained earnings
Retained earnings as at April 1, 2015 has been adjusted consequent to the above Ind AS transition adjustments.
25. Other comprehensive income
Under Ind AS, all items of income and expense recognized in a period should be included in profit or loss for the period, unless a standard requires or permits otherwise. Items of income and expense that are not recognized in profit or loss but are shown in the statement of profit and loss as other comprehensive income includes re-measurements of defined benefit plans and fair value gains or (losses) on FVOCI equity instruments. The concept of other comprehensive income did not exist under previous GAAP.
Mar 31, 2016
(b) Rights, preferences and restrictions attached to share
The Company has one class of Equity share having a par value of Rs. 10 per share. Each share holder is eligible for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholder in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.
Notes:
(i) Cost of Buildings includes
(a) Rs.7,45,837 (Previous year Rs.7,45,837) representing cost of HIG and MIG flats at Hosur acquired in earlier years pending execution of conveyance
(b) Rs.23,12,756 (Previous year Rs.23,12,756) representing cost of an apartment
(c) Rs.64,63,728 (Previous year Rs.64,63,728) being cost of buildings on leasehold land
(ii) Plant and Machinery, Equipment etc. were revalued as on March 31,1991
(iii) Refer Note 2.3
(iv) Figures in brackets represent previous year figures
1. Segment Reporting
The Company has considered business segment as the primary segment.
The business activities reflected in the financial statements comprise of manufacture and sale of Bearings, bushings and thrust washers. Accordingly, there is no other reportable primary business segment as per Accounting Standard 17 (Segment Reporting).
The Company has considered geographical segment as the secondary segment, based on the location of the customers.
2. Investment in IPL Green Power Limited
The Company holds investment in IPL Green power limited for generation of clean energy by means of Bio gas. The Company has applied to the Tamil Nadu Electricity Board and Tamil Nadu pollution control board for the requisite approval which is pending.
3. Previous year figures
The previous year figures have been reclassified wherever necessary to conform to this year s classification.
Mar 31, 2014
1. General information
Bimetal Bearings Limited ("The Company" or "BBL") is manufacturing
Engine Bearings, Bushings, Thrust Washers, Alloy Powder and Bimetallic
Strips. The Company has manufacturing plants at Coimbatore, Hosur,
Chennai (Sembium and Thoraipakkam). The company is a public listed
company and listed on The Bombay Stock Exchange, The Madras Stock
Exchange and The National Stock Exchange.
As at
31 March 2014 31 March 2013
2. Contingent liabilities
Claim against the company not
acknowledged as debt:
Income tax matters 3,18,97,244 3,07,15,057
Sales tax matters 8,88,618 8,88,618
Excise duty matters -- 93,347
Claims by workmen pending before
labour court 6,65,029 --
3. Related party disclosures
(a) Name of the related parties and nature of relationship
(i) Where control exists
Holding Company Amalgamations Private Limited
(ii) Other related parties
with whom transactions have taken place
during the year Joint Venture BBL Daido Private Limited
Fellow Subsidiaries
Simpson & Company Limited
Addison & Company Limited
Amco Batteries Limited
Amalgamations Repco Limited
Associated Printers ( Madras )
Private Limited George Oakes
Limited Higginbothams Private Limited India
Pistons Limited IP Pins &
Liners Limited
L. M. Van Moppes Diamond Tools India Private
Limited Shardlow India Limited
Simpson & General Finance Company Limited
Speed-A-Way Private Limited
Sri Rama Vilas Service Limited
Stanes Amalgamated Estates Limited
T.Stanes & Company Limited Tractors and
Farm Equipment Limited
The Madras Advertising Company Private Limited
Wheel & Precision Forgings
India Limited Wallace Cartwright & Company Limited
Key Management Personnel Mr A Krishnamoorthy,
Chairman & Managing
Director
Mr. N.P. Mani, Whole Time Director*.
Mr. S. Narayanan,
Whole Time
Director**.
* Key management personnel
upto October 31, 2012 **
Key management
personnel w.e.f.
November 01, 2012
4. Previous year figures
The previous year figures have been reclassified wherever
necessary to conform to this year''s classification.
Mar 31, 2013
1. General information
, Bimetal Bearings Limited ("The Company" or "BBL" is manufacturing
Engine Bearings, Bushings, Thrust Washers, Alloy Powder and Bimetallic
Strips. The Company has manufacturing plants at Coimbatore, Hosur,
Sembium (Chennai) and Thoraipakkam. The company is a public listed
company and listed on The Bombay Stock Exchange, The Madras Stock
Exchange and The National Stock Exchange.
As at
31, March
2013 31, March 2012
2. Contingent liabilities
Claim against the company
not acknowledged as debt:
Income tax matters 3,07,15,057 1,11,84,632
Sales tax matters 8,88,618 21,44,951
Excise duty matters 93,347 5,12,255
3. Segment Reporting
The Company has considered business segment as the primary segment.
The business activities reflected in the financial statements comprise
of manufacture and sale of bearings, bushings and thrust washers.
Accordingly, there is no other reportable primary business segment as
per Accounting Standard 17 (Segment Reporting)
The Company has considered geographical segment as the secondary
segment, based on the location of the customers.
4. Related party disclosures
(a) Name of the related parties and nature of relationship (i) Where
control exists Holding Company Amalgamations Private Limited
(ii) Other related parties with whom transactions have taken place
during the year Joint Venture BBL Daido Private Limited
Fellow Subsidiaries Simpson & Company Limited
Addison & Company Limited Amco Batteries Limited Amalgamations Repco
Limited Associated Printers ( Madras ) Private Limited George Oakes
Limited Higginbothams Private Limited India Pistons Limited IP Pins &
Liners Limited
L. M. Van Moppes Diamond Tools India Private Limited Shardlow India
Limited
Simpson & General Finance Company Limited Speed-A-Way Private Limited
Sri Rama Vilas Service Limited Stanes Amalgamated Estates Limited
T.Stanes & Company Limited Tractors and Farm Equipment Limited The
Madras Advertising Company Private Limited Wheel & Precision Forgings
India Limited Wallace Cartwright & Company Limited
Key Management Personnel Mr A Krishnamoorthy, Chairman & Managing
Director
Mr. N.P. Mani, Whole Time Director*. Mr. S. Narayanan, Whole Time
Director**.
* Key management personnel upto October 31, 2012 ** Key management
personnel w.e.f. November 01, 2012
5 Previous year figures
The previous year figures have been reclassified wherever necessary to
conform to this year''s classification.
Mar 31, 2012
1. General Information
Bimetal Bearings Limited ("The Company" or "BBL") is manufacturing
Engine Bearings, Bushings, Thrust Washers, Alloy Powder and Bimetallic
Strips. The Company has manufacturing plants at Coimbatore, Hosur,
Sembium (Chennai) and Thoraipakkam. The Company is a public limited
company and its shares are listed in Bombay Stock Exchange Limited and
Madras Stock Exchange Limited.
(a) Rights, Preferences and Restrictions attached to shares
The company has one class of Equity Shares having a face value of Rs.
101- per share. Each share holders is eligible for one vote per share
held. The dividend proposed by the Board of Directors is subject to the
approval of the shareholder in the ensuing Annual General Meeting,
except in case of interim dividend.
2. Contingent Liabilities
Claim against the Company not acknowledged as debt:
Income tax matters 1,11,84,632 61,22,556
Sales tax matters 21,44,951 21,44,951
Excise duty matters 5,12,255 -
Outstanding bank
guarantees 15,17,841 41,20,971
(a) Defined benefit plan Gratuity:
The Company operates a gratuity plan through the "Bimetal Bearings
Limited Employees Gratuity Fund". Every employee is entitled to a
benefit equivalent to fifteen days salary last drawn for each completed
year of service in line with the Payment of Gratuity Act, 1972. The
same is payable at the time of separation from the Company or
retirement, whichever is earlier. The benefits vest after five years of
continuous service.
3. Segment Reporting
The Company has considered business segment as the primary segment.
The business activities reflected in the financial statements comprise
of manufacture and sale of bearings, bushings and thrust washers.
Accordingly, there is no other reportable primary business segment as
per Accounting Standard 17 (Segment Reporting)
4. Previous year figures
The financial statements for the year ended March 31,2011 had been
prepared as per the then applicable, pre-revised Schedule VI to the
Companies Act, 1956. Consequent to the notification of Revised Schedule
VI under the Companies Act, 1956, the financial statements for the year
ended March 31, 2012 are prepared as per Revised Schedule VI.
Accordingly, the previous year figures have also been reclassified to
conform to this year's classification. The adoption of Revised
Schedule VI for previous year figures does not impact recognition and
measurement principles followed for preparation of financial
statements.
Mar 31, 2011
1. Employee Benefits
(a) Short Term
Short term employee benefits are recognized as expense as per the
Companys Scheme based on expected obligation.
(b) Post Retirement
Post Retirement Benefits comprise of Provident Fund, Gratuity and
Superannuation which are accounted as follows: (i) Provident Fund
This is a defined contribution plan and contributions made to the fund,
in accordance with the applicable rules/statutes, are charged to
revenue. The Company has no further obligations for future provident
fund benefits other than the contributions made to the fund. (ii)
Gratuity
This is a defined benefit plan. Contributions are made to the fund
administered by Life Insurance Corporation of India (LIC). Gratuity
liability is charged to the Profit and Loss account based on actuarial
valuation using Projected Unit Credit Method. Actuarial Gains and
Losses comprising of experience adjustments and the effects of changes
in actuarial assumptions, are recognized immediately in the Profit and
Loss account as income or expense.
(iii) Superannuation
This is a defined contribution plan and contributions in accordance
with the companys scheme are made to the fund administered by LIC and
charged to Profit and Loss account. The Company has no further
obligations for future superannuation fund benefits other than the
contributions made to the fund.
(c) Termination Benefits
Termination benefits represent compensation towards Voluntary
Retirement Scheme which is expensed as incurred.
(d) Long Term
Long Term employee benefits represent compensated absences which is
provided for based on actuarial valuation using Projected Unit Credit
Method.
1.2. Leases
Lease rental in operating lease arrangements are charged to expense in
accordance with the terms of the agreement.
1.3. Taxation
Provision for current tax is made based on the liability computed in
accordance with the relevant tax rates and tax laws. Provision for
deferred tax is made for timing differences arising between the taxable
income and accounting income computed at the tax rates enacted or
substantially enacted by the Balance sheet date. Deferred Tax assets
are recognised only if there is a virtual certainty that they will be
realised and are reviewed for the appropriateness of their respective
carrying values at each balance sheet date.
1.4. Earnings / Loss per share
The earnings / loss considered in ascertaining the Companys Earnings /
(Loss) per Share (EPS) comprises of the Net Profit / (loss) after Tax.
The number of shares used in computing Basic EPS is the weighted
average number of shares outstanding during the year. The number of
shares used in computing Diluted EPS comprises of weighted average
shares considered for deriving Basic EPS, and also the weighted average
number of equity shares which could have been issued on the conversion
of all dilutive potential equity shares. Dilutive potential equity
shares are deemed converted as of the beginning of the year, unless
they have been issued at a later date.
1.5. Cash and Cash equivalents consist of all the cash balances
including Time Deposits with an original maturity of three months are
less.
2. Earnings Per Share Year ended Year ended
March 31,2011 March 31,2010
Profit after Tax as
per Profit and Loss Account
(A) Rs. 913,93,626 8,93,91,271
Number of equity shares
outstanding (B) 38,25,000 38,25,000
Earnings Per Share (A)/(B) Rs. 23.89 23.37
3. Segment Reporting
The Company has considered business segment as the primary segment.
The business activities reflected in the financial statements comprise
of manufacture and sale of Bearings, Bushings and Thrust Washers.
Accordingly, there is no other reportable primary business segment as
per Accounting Standard 17 (Segment Reporting)
The Company has considered geographical segment as the secondary
segment, based on the location of the customers.
Information about the secondary geographical segments
4. Related party disclosures
(a) List of related parties where
control exists
Ultimate Holding Company Amalgamations Private Limited *
Fellow Subsidiaries Simpson & Company Limited *
Addison & Company Limited *
Addisons Paints & Chemicals Limited
Amco Batteries Limited
Amalgamations Repco Limited *
Associated Printers(Madras)
Private Limited *
Associated Publishers (Madras)
Private Limited
BBL Daido Private Limited*
George Oakes Limited *
Higginbothams Private Limited *
India Pistons Limited *
IP Pins and Liners Limited*
IP Rings Limited
IPL Engine Components
Private Limited
L M Van Moppes Diamond Tools
India Private Limited *
Shardlow India Limited *
Simpson and General Finance
Company Limited *
Southern Tree Farms Limited
Speed-A-Way Private Limited *
Sri Rama Vilas Service Limited *
Stanes Agencies Limited
Stanes Amalgamated Estates Limited
Stanes Motors (South India) Limited
Stanes Motor Parts Limited
T.Stanes & Company Limited*
Tractors and Farm Equipment Limited
TAFE Access Limited
TAFE USA Inc
TAFE International Traktor
Ve Tarim Ekipmani
Sanayi Ve Ticaret Limited,Sirketi
TAFE Reach Limited
TAFE Motors and Tractors Limited
TAL Precision Parts Limited
Alpump Limited
The Madras Advertising Company
Private Limited *
Wheel and Precision Forgings
India Limited *
W J Groom and Company Limited
Wallace Cartvyright and
Company Limited *
Key Management Personnel Mr A Krishnamoorthy, Chairman
& Managing Director
Mr. N.P. Mani,
Whole Time Director.
Relatives of Key
Management Personnel Mrs Krishnamoorthy - Wife
Mr A Sivasailam - Brother
(till 12.01.2011)
* Represents related parties with whom the Company had transactions
during the year.
5. Previous years figures have been regrouped wherever necessary to
conform to the current years presentation.
Mar 31, 2010
1. Contingent Liabilities:-
Income Tax Liability 47,04,468
Sales Tax Liability 21,44,951 21,44,951
2. Segment Reporting
The Company has considered business segment as the primary segment.
The business activities reflected in the financial statements comprise
of manufacture and sale of Bearings, Bushings and Thrust Washers.
Accordingly, there is no other reportable primary business segment as
per Accounting Standard 17 (Segment Reporting).
The Company has considered geographical segment as the secondary
segment, based on the location of the customers.
* The Companys operating facilities are located in India.
2. Related party disclosures
(a) List of related parties where control exists
Ultimate Holding Company Amalgamations Private Limited *
Fellow Subsidiaries Simpson and Company Limited *
Addison and Company Limited *
Addisons Paints and
Chemicals Limited
Amco Batteries Limited *
Amalgamations Repco Limited *
Associated
Printers (Madras) Private
Limited *
Associated Publishers (Madras)
Private Limited BBL Daido
Private Limited*
George Oakes Limited *
Higginbothams Private Limited *
India Pistons Limited *
IP Pins and Liners Limited*
IP Rings Limited
L M Van Moppes Diamond Tools
India Private Limited *
Shardlow India
Limited *
Simpson and General Finance
Company Limited *
Southern Tree Farms
Limited Speed-A-Way Private
Limited *
Sri Rama Vilas Service
Limited *
Stanes Agencies Limited
Stanes Amalgamated Estates
Limited *
Stanes Motors (South India)
Limited
Stanes Motor Parts
Limited
T.Stanes &
Company Limited*
Tractors and Farm Equipment
Limited TAFE
Access Limited
TAFE USA Inc TAFE Reach
Limited
TAFE Motors and Tractors
Limited
TAL Precision Parts Limited
Alpump Limited
The Madras Advertising Company
Private Limited *
Wheel and Precision
Forgings India Limited *
W J Groom and Company Limited
Wallace Cartwright and Company
Limited *
TAFE International LLC
Key Management Personnel Mr A Krishnamoorthy,
Chairman & Managing
Director
Mr. N.P. Mani,
Whole Time Director.
Relatives of Key Management Personnel Mrs Krishnamoorthy - Wife
Mr A Sivasailam - Brother
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మరింత సమాచారం Bimetal Bearings Ltd.
-
Bimetal Bearings Ltd. కంపెనీ వివరాలు
- కంపెనీ ప్రొఫైల్
- కంపెనీ చరిత్ర
- నిర్వహణ బృందం
- క్యాపిటల్ స్ట్రక్చర్
- ప్రొడక్ట్ మిక్స్
- బ్యాంకర్/ఆడిటర్/రిజిస్ట్రార్
-
కంపెనీ చరిత్ర
- బిఎస్ఇ ధర చరిత్ర
- ఎన్ఎస్ఇ ధర చరిత్ర
-
Bimetal Bearings Ltd. ముఖ్య ఆర్థిక నిష్పత్తులు
- నిష్పత్తులు
-
Bimetal Bearings Ltd. ఫలితాలు
- క్వార్టర్లీ ఫలితాలు
- హాఫ్ ఇయర్లీ ఫలితాలు
- 9నెలల ఫలితాలు
- వార్షిక ఫలితాలు
-
Bimetal Bearings Ltd. ఆర్థిక డేటా
- ఆడిట్ ఫలితాలు
- క్యాష్ ఫ్లో
- బ్యాలెన్స్ షీట్
-
Bimetal Bearings Ltd. నివేదికలు
- అకౌంటింగ్ విధానాలు
- ఆడిటర్స్ నివేదిక
- డైరక్టర్స్ నివేదిక
- ఖాతాకు గమనికలు
-
Bimetal Bearings Ltd. కార్పొరేట్ ప్రకటనలు
- బుక్ క్లోజర్
- డివిడెండ్
- బోర్డు సమావేశాలు
-
నిఫ్టీ 24,100 దాటేసింది: ఐటీ షేర్ల జోరుతో మార్కెట్ రికవరీ, ఇన్వెస్టర్లలో కొత్త ఉత్సాహం! -
ఒక్క రోజే 18 శాతం పెరిగిన స్టాక్.. కారణం అదేనా..! -
ఈ ఐటీ కంపెనీ షేర్లు సెకన్ల వ్యవధిలో కుప్పకూలాయి.. రూ. 18 వేల కోట్ల మార్కెట్ క్యాప్.. ఒక్క హెచ్చరికతో తలకిందులు -
స్టాక్ మార్కెట్ క్లోజింగ్ బెల్.. నష్టాల్లో ముగిసిన సెన్సెక్స్, నిఫ్టీ.. ఈ కంపెనీల షేర్లలో అమ్మకాల వెల్లువ.. -
Multibagger Stock: ఆరు నెలల్లో 250 శాతం లాభాన్ని ఇచ్చిన స్టాక్ ఇదే..! -
ఉదయం ఊపు సాయంత్రానికి తుస్సు .. 55 నిమిషాల్లో మారిపోయిన స్టాక్ మార్కెట్ మొత్తం కథ.. -
స్టాక్ మార్కెట్ అప్డేట్.. ఆటో షేర్ల జోరుతో మార్కెట్లో బుల్స్ హవా.. దూసుకుపోతున్న సూచీలు.. -
Stock Market Closing: లాభాల్లో ముగిసిన స్టాక్ మార్కెట్లు.. రాణించిన ఐటీ, బ్యాంక్ షేర్లు..! -
మార్కెట్ క్రాష్ అయినా తగ్గని క్రేజ్.. కేవలం ఐదు రూపాయల లోపు ఉన్న ఈ స్టాక్ పై ఓ కన్నేసి ఉంచండి! -
స్టాక్ మార్కెట్ క్లోజింగ్ బెల్..దలాల్ స్ట్రీట్లో రక్తపాతం..ఇన్వెస్టర్లను నిలువునా ముంచిన షేర్లు ఇవే.. -
ఇన్వెస్టర్లకు బిగ్ అలర్ట్.. స్టాక్ మార్కెట్లో ఈ కంపెనీల షేర్లు కుప్పకూలాయి.. ఎంత భారీగా పతనం అంటే.. -
ఊపు తగ్గిన స్టాక్ మార్కెట్.. గ్లోబల్ సంకేతాల మధ్య ఫ్లాట్గా ట్రేడవుతున్న సూచీలు.. -
స్టాక్ మార్కెట్ క్లోజింగ్ బెల్.. సెన్సెక్స్ 420 పాయింట్లు జంప్.. సిప్లా, డాక్టర్ రెడ్డీస్, ఇన్ఫోసిస్ మెరుపులు. -
స్టాక్ మార్కెట్ జోష్.. సెన్సెక్స్ 400 పాయింట్లు జంప్.. ఐటీ, ఆయిల్ & గ్యాస్ షేర్ల ర్యాలీ.. -
సోమవారం స్టాక్ మార్కెట్ను డిసైడ్ చేసేవి ఇవే.. నిఫ్టీ ర్యాలీపై ఇన్వెస్టర్ల కోటి ఆశలు.. -
స్టాక్ మార్కెట్ కుప్పకూలింది.. ఇన్వెస్టర్ల కొంపలు ముంచిన ఐటీ షేర్లు.. తీవ్ర నష్టాల్లో సూచీలు..
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