Alps Industries Ltd. — Interim / Quarterly Report 2021

Sep 15, 2020

Alps Industries Ltd.

REGD.lCORP. OFFICE

57/2, Site-IV, Industries Area Sahibabad, Ghaziabad - 201010 Uttar Pradesh (India)

ALPS/058/SEll/2020-21	September15,2020
TheGeneral Manager	Ms. ErikaD'Sa, (RelationshipManager)
MarketOperationsDeptt.,	CorporateRelationshipDeptt.,
NationalStockExchangeof IndiaLtd.,	BombayStockExchangeLimited,
ExchangePlaza, 5thFloor,	1STFloor NewTradingRing,
Plot No. C/1,G-Block,Bandra-KurlaComplex	RotundaBuilding,P. J.Towers,
Bandra(E),Mumbai- 400051	Dalal Street,Fort,Mumbai-40000l.
Ph - 91-22-26598101- 8114	Ph-022-22728995
Fax:022-26598237/38/26598100	Fax: 022-22723121/
Email-cmlist@nse.co.in	3719/2037/2039/2041/2061
	Email-intern.erika@bseindia.com.
	corp.relationS((i2bseindia.com
SUB: INFORMATION FOR DECISIONS	TAKEN AT THE MEETING OF BOARD OF DIRECTORSHELD

ON SEPTEMBER 15, 2020.

In terms of Regulation 29, 33 & 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we wish to inform you that the meeting of Board of Directors was held on Tuesday September 15, 2020, as scheduled, which was commenced at 4:00 P.M and concluded at 4:55 P.M. In pursuant to Regulation 33 of SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015, the Board of Directors of the company has considered and approved the following matter:

1. Unaudited Financial Results for the Quarter ended on June 30, 2020 along with Modified Limited Review Reports.

The Unaudited Financial Results [or the Quarter ended June 30, 2020 along with Modified Limited Review Reports as approved by the Board are enclosed herewith as Annexure - l.

We also confirm that in terms of the Ind AS, there is only one reportable segment i.e. Textile Segment. Hence, the segment wise reporting is not applicable.

This is for your kind information please. Thanking you Yours faithfully,

& General Manger Legal Mob: 9871692058 Encl: a/a

R.K GO VIL & CO. CHARTERED ACCOUNTANTS

E-maIl: govil~(vil@gmail.com 4, Kiran Enclave, Behind Hotel Samarat, G.T. Road, Ghaziabad - 201001

Independent Auditor's Review Report on Standalone Unaudited quarterly and year to date financial results of the Company Pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

To, The Board of Directors, Alps Industries Limited 57/2, Site IV,Industrial Area, Sahibabad, Ghaziabad-20 1010 (U.P.)

We have reviewed the accompanying statement of unaudited financial results of Alps Industries Limited (ON: L51109UP1972PLC003544)for the quarter ended June 30' 2020. This statement is the responsibility of the Company's Management and has been approved by the Board of Directors. Our responsibility is to issue a report on these financial statements based on our review.

• review is limited primarily to inquiries of company personnel and analytical procedures applied to financial data and thus provide less assurance than an audit. We have not performed an audit and accordingly, we do not express an audit opinion. 1. We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 2410 "Review of Interim Financial Information Performed by the Independent Auditor of the Entity", issued by the Institute of Chartered Accountants of India. This standard requires that we plan and perform the review to obtain moderate assurance as to whether the financial statements are free of material misstatement. A
• provided by the management. We have been represented by the management that the data provided for our audit purposes is correct, complete, reliable and are directly generated by the accounting system of the Company without any further manual modifications. We bring to the attention of users that the review of the financial statements has been 2. In view of the pandemic situation of COVID-19, the Indian Government announced nation wise lockdown in March' 2020, which is still going on with relaxations & in parts of the country. In view of this situation, the entire review was carried out based on remote access of the data as

R.KGOVIL & CO. CHARTERED ACCOUNTANTS

E-mail: govilgovil@gmai1.com 4, Kiran Enclave, Behind Hotel Samarat, G.T. Road, Ghaziabad - 201001

1. Based on our review conducted as above, except for the effects/possible effects to our observation stated in Para 3 below, nothing has come to our attention that causes us to believe that the accompanying statement of unaudited financial results prepared in accordance with applicable accounting standards and other recognized accounting practices and policies has not disclosed the information required to be disclosed in terms of Regulation 33 of the SEE! (Listing Obligations and Disclosure Requirements) Regulations, 2015 including the manner in which it is to be disclosed, or that it contains any material misstatement.

4. Basis for Qualified Opinion

Refer to note no. 5 to the notes on accounts, the Company has not provided for the liability towards interest & part oj principal loan, waived earlier, and impact oj retained earnings in terms oj draft rehabilitation scheme and now revoked by its consented lenders amounting to Rs. 149856.95 lakh, accordingly the loss for the quarter and loan liability would have been increased and shareholder'S fund would have been reduced to that extent.

5. Emphasis of Matters

We draw attention to the matters as given in Note No. 5 to Financial Statements in respect of preparation of financial statement on going concern basis on the expectation of the company to get the necessary resolution for restructuring/ settlement of debts and to meet its financial obligation thereof and continuation of giving effect to earlier consented scheme though now revoked.

Our conclusion is not modified in respect of this matter.

For R. K Govil & Co. FRN: 000748C Chartered A~tan"

Rajesh KU~OVi1' FCA Partner M.No.013632

Place: Ghaziabad Date : September 15' 2020 UDIN: 20013632AAAAEA7791

CHARTERED ACCOUNTANTS

E-mail: govilgovil@gmail.com 4, Kiran Enclave, Behind Hotel Samarat, G.T. Road, Ghaziabad - 201001 I

Independent Auditor's Review Report on Consolidated Unaudited quarterly and year to date financial results of the Company Pursuant to Regulation .33of the SEBI (Listing Obligations and Disclosure Reguirements) Regulations, 2015

To, The Board of Directors, Alps Industries Limited 57/2, Site IV,Industrial Area, Sahibabad, Ghaziabad-201010 (U.P.)

• 1. We have reviewed the accompanying Statement of Consolidated Unaudited Financial Results of Alps Industries Limited (CIN:L51109UP1972PLC003544)("Parent company") and its subsidiaries (Parent and its subsidiaries together referred to as "the Group") and its share of the net loss after tax for the quarter ended June 30' 2020 ("the Statement")' being submitted by the Parent pursuant to the requirement of Regulation 33 of the SEB! (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended.
• 1. This Statement which is the responsibility of the Parents Management and approved by the Parent's Board of Directors, has been prepared in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34, 'Interim Financial Reporting" (Ind AS 34), prescribed under Section 133 of the Companies Act 2013 and other accounting principles generally accepted in India. Our Responsibility is to express a conclusion on the Statement based on our review.
• on Review Engagements (SRE) 2410 "Review of Interim Financial Information Performed by the Independent Auditor of the Entity", issued by the Institute of Chartered Accountants of India. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion. 3. We conducted our review of the Statement in accordance with the Standard

We also performed procedures in accordance with the circular issued by

CHARTERED ACCOUNTANTS

E-mail: govilgovil@gmail.com 4, Kiran Enclave, Behind Hotel Sarnarat, G.T. Road, Chaziabad - 201001

Disclosure Requirements) Regulations, 2015, as amended, to the extent applicable.

4. Other Matter

In view of the pandemic situation of COVID-19, the Indian Government announced nation wise lockdown in March' 2020, which is still going on with relaxations & in parts of the country. In view of this situation, the entire review was carried out based on remote access of the data as provided by the management. We have been represented by the management that the data provided for our audit purposes is correct, complete, reliable and are directly generated by the accounting system of the Company without any further manual modifications. We bring to the attention of users that the review of the financial statements has been performed in the aforesaid conditions.

• 1. The Statement includes the results of the followingentities: a. Alps Energy Private Limited, (Subsidiary of Alps Industries Ltd.) b. Alps USAInc. (Subsidiary of AlpsIndustries Ltd.)
• 1. Based On our review conducted and procedures performed as stated in paragraph 3 above and based on the consideration of the financial statements furnished to us by the management as adopted referred to in paragraph 9 below, except for the effects/possible effects to our Observation stated in Para 7 below, nothing has come to our attention that causes us to believe that the accompanying Statement, prepared in accordance with the recognition and measurement principles laid down in the aforesaid Indian Accounting Standard and other accounting principles generally accepted in India, has not disclosed the information required to be disclosed in terms of Regulation 33 of the SEEl (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, including the manner in which it is to be disclosed, or that it contains any material misstatement.

7. Basis for Qualified Opinion

consented lenders amounting to Rs. 149856.95 lakh, Refer to note no. 5 to the notes on accounts, the Company has not provided for the liability towards interest & part of principal loan, waived earlier, and

CHA RTERED ACCOUNTANTS

E-mail: govilgovil@gmail.com 4, Kiran Enclave, Behind Hotel Samarat, G.T. Road, Ghaziabad - 201001

accordingly the loss for the quarter and loan liability would have been increased and shareholder's fund would have been reduced to that extent.

8. Emphasis of Matters

We draw attention to the following matters as given in Note No. 5 to Financial Statements in respect of preparation of financial statement on going concern basis on the expectation of the company to get the necessary resolution for restructuringj settlement of debts and to meet its financial obligation thereof and continuation of giving effect to earlier consented scheme though now revoked.

Our conclusion is not modified in respect of this matter.

1. The consolidated unaudited financial results includes the interim financial results of Alps Energy Private Limited and Alps USA Inc., subsidiaries which have not been reviewed by their auditors, whose interim financial results reflect, of both the subsidiaries, total revenue of Rs. 0.25 lakh and Rs. nil, total net loss after tax of Rs. 1.40 lakh and Rs. nil respectively for the quarter ended June 30' 2020 as considered in the consolidated unaudited financial results. According to the information and explanations given to us by the Management, these interim financial results are not material to the Group.

Our conclusion is not modified in respect of this matter.

For R. K Govil & Co. FRN:000748C Chartered Accountants

RajeSh~~ (Partner) M.No.013632

Place: Ghaziabad Date : September 15, 2020 UDIN: 20013632AAAAEA7791

		XIV	IIIX										$\cong$	$\mathbbm{N}$	$\times$			$\overline{\mathbf{x}}$	$\vert \leq$	$\leq$	$\leq$												$\leq$	$\overline{a}$	$\equiv$	$=$	-
					Owners			Owners			Owners	Attributable to:				$\widehat{a}$	(e)	Tax expense		Exceptional items			$\odot$	$\Xi$	$\widehat{\Xi}$	$\boxed{3}$	$\begin{pmatrix} 1 \ 1 \end{pmatrix}$	$\epsilon)$	$\boxed{\mathsf{p}}$	$\boxed{c}$	$\widehat{\sigma}$	$\left( \frac{1}{2} \right)$	Expenditure		$\widehat{\sigma}$	$\epsilon$	Revenue
per share (in Rs.)	Basic and Diluted earnings	Earnings per share (face value of Rupee 10/- each) (not annualised)	Paid up equity share capital (face value of Re. 10/-each)	Non Controlling Interest		Other comprehensive income for the period attributable to:	Non Controlling Interest		Profit for the period attributable to:	Non Controlling Interest			Total comprehensive income (X+XI)	Other comprehensive income	(Loss)/Profit after tax (VIII-IX)	Deferred tax	Current tax		(Loss)/Profit before tax (VI- VII)		(Loss)/Profit before exceptional items and tax (IV-V)	Total Expenses	Other expenses	Impairement of Assets	Depreciation & Amortisation expenses	Finance cost	Employee Benefit expense	& stock in tradeChanges in Inventories of finished goods, Work in progress	Goods and service Tax(GST)	Excise Duty	Purchase of stock-in-trade	Cost of Material consumed		Total Revenue (II+ III)	Other income	Income from operations					Particulars
(4.44)			3,911.41					(1, 735, 11)			(1,735.11)		(1, 735.11)		(1, 735, 11)				(1, 735, 11)		(1, 735, 11)	4,386.42	709.34		207.90	1,505.04	444.48	(68.87)				1,588.53		2,651.31	26.19	2,625.12		Unaudited	30.06.2020	(Standalone)		3 months ended
(4.44)			3,911.41				(0.42)	(1, 736.09)		(0.42)	(1, 736.09)		(1,736.51)		(1,736.51)				(1,736.51)		(1,736.51)	4,388.07	709.81		209.07	1,505.05	444.48	(68.87)		$\mathbf{I}$		1,588.53		2,651.56	26.44	2,625.12		Unaudited	30.06.2020	(Consolidated)		3 months ended
(15.84			3,911.41					(6, 192.66)			(6, 192.66)		(6, 192.66)		(6, 192.66)				(6, 192.66)	(123.84)	(6,068.82)	12,886.44	1,839.31	4,665.81	96.85	1,466.71	1,040.30	(245.94)				4,023.4C		6,817.62	387.02	6,430.60		Audited (Refer to NoteNo. 2)	31.03.2020	(Standalone)	months ended	Preceding 3
(13.07)			3,911.41				(27.36)	(5,903.65)		(27.36)	(5,903.65)		(5, 931.01)		(5, 931.01)		85.43		(5, 845.58)	(123.84)	(5,721.74)	12,539.60	1,491.31	4,665.81	98.01	1,466.71	1,040.30	(245.94)				4,023.40		6,817.86	387.26	6,430.60		Audited (Refer to Note No.$\overline{c}$	31.03.2020	(Consolidated)	ended	Preceding 3 months	UNDER REGULATION 33 OF THE SEBI(LISTING OBLIGATIONS AND DISCLOSURE REQUIREMENTS) REGULATIONS, 2015	Ph.: 0120-4161716, Email Id.:ajaygupta@alpsindustries.com, investorgrievance@alpsindustries.comRegistered Office : 57/2, Site-IV Industrial Area, Sahibabad, Ghaziabad-201010 U.P.INDIA
(11.68)			3,911.41					(4,567.44)			(4,567.44)		(4,567.44)		(4, 567.44)				(4,567.44)	(2, 541.53)	(2,025.91)	11,296.48	1,951.35		684.97	1,415.84	1,222.27	34.46				5,987.59		9,270.57	126.61	9,143.96		Unaudited	30.06.2019	(Standalone)	months ended in theprevious year	Corresponding 3		'STANDALONE AND CONSOLIDATED UNAUDITED FINANCIAL RESULTS FOR THE QUARTER ENDED ON 30TH JUNE 2020
(11.68)			3,911.41				(0.50)	(4,568.58)		(0.50)	(4,568.58)		(4,569.08)		(4, 569.08)				(4,569.08)	(2, 541.53)	(2,027.55)	11,298.12	1,951.81		686.16	1,415.83	1,222.27	34.46				5,987.59		9,270.57	126.61	9,143.96		Unaudited	30.06.2019	(Consolidated)	months ended in theprevious year	Corresponding 3
(29.43)			3,911.41		$\mathbf{r}$			(11,509.58)			(11,509.58)		(11,509.58)		(11,509.58)				(11,509.58)	995.61	(12, 505.19)	44,699.22	8,161.86	4,665.81	1,481.82	5,753.17	4,655.93	100.87				19,879.76		32,194.03	873.85	31,320.18		Audited	31.03.2020	(Standalone)	Year ended	Financial year	(Rs. in Lakh)
(28.77)			3,911.41				(28.76)	(11, 223.81)		(28.76)	(11, 223.81)		(11, 252.57)		(11, 252.57)		85.43		(11, 167.14)	995.61	(12, 162.75)	44,357.07	7,815.01	4,665.81	1,486.52	5,753.17	4,655.93	100.87				19,879.76		32,194.32	874.14	31,320.18		Audited	31.03.2020	(Consolidated)	Year ended	Financial year

-:NOTES:-

• 1. The Unaudited Financial Results for the Quarter ended on June 30' 2020 have been reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on September 15' 2020.
• 1. The figures of 4th quarter of FY 2019-20 are balancing figures between audited figures in respect of full financial year and published year-to-date up to third quarter of the financial year ended on March 31 2020.
• 1. In terms of the Ind AS, there is only one reportable segment i.e. Textile Segment. Hence the segment wise reporting is not applicable.
• 1. Company has submitted with Bombay Stock Exchange Limited an application dated 9.6.2016 for Voluntary Delisting of its 39114100 Equity Shares from their platform which is still pending with them. The company has also filled the Writ Petition before Allahabad High Court for necessary directions in this regard which is pending adjudication.
• is under active consideration with them. Management of the Company For Alps Industries Ltd. with lenders which 5. During earlier year, the lenders having more than 83% of then secured debts of the Company revoked their consent to the DRS/settlement scheme interalia containing the restructuring of the debts of the Company, circulated by erstwhile Hori'ble BIFR, , which was partly implemented. The Company objected to the said revocation of consent being unjustified and beyond terms of the scheme and further submitted an offer for settlement. M/s Edelweiss Assets Reconstruction Company Ltd., (presently holding more than 98% of the total secured debt of the Company) (EARC)in order to recover its dues from the Company has also filed an Original Application before Debts Recovery Tribunal, Lucknow Bench, which is pending adjudication. In addition to above EARC had under the provisions of SARFAESIauctioned certain properties of company and Lenders having first pari passu charge over these assets have adjusted their dues with the realization made therefrom. EARC has also taken over the symbolic possession of 3 properties Viz. Leasehold Land, Building and Plant & Machineries lying at Plot nos. A-2 & A-3, Loni Road, Industrial Area, Ghaziabad (UP)and Leasehold Land & Building lying at lA, Sec.-10, lIE, SIDCUL,Haridwar under section 13(4) of the SARFAESI Act and issued a sale notice under Rule 8(6) and Rule 6(2) of the Security Interest (Enforcement) Rules, 2002. The adjustments as may arise on account of further action of lenders, if any, shall be made in the books of account in the year upon receipt of information from them. The Company once again submitted a revised settlement/restructuring proposal

t8c.pdcop N:12iVJat) Managing Directqr C»: --,

expects to get the revised settlement/restructuring proposal approved from lenders and accordingly, the Company would be meeting its revised financial obligations. Accordingly, the financial statements of the Company for the quarter ended on June 30, 2020 have been prepared on going concern assumption basis and continue with the earlier consented restructuring scheme. The impact, arising upon approval of the revised settlement/restructuring proposal, will be given effect in the financial statements of the year of final settlement with lenders.

Hence, no provision considered necessary m these accounts towards interest on entire secured loans & part of principal secured loan, waived earlier, and impact on retained earnmgs thereon totaling to Rs. 149856.95 Lakh as per provisions of earlier consented scheme, which the Company continues to give effect till the time revised settlement/restructuring proposal is finally approved by its lenders.

• 1. Due to announcement of nationwide lockdown by the Central Government of India in March' 20 which is still continued with some relaxations & in parts of the country, in view of the pandemic situation of COVID-19, the performance of the company has been impacted adversely during the quarter under review. However in view of the continuation of Covid-19 pandemic situation, the impact on the future business and assets & liabilities of the company could not be assessed presently.
• 1. In their audit report dated 31.07.2020 on the financial statements of the company for the Financial year ended on March 31, 2020, the auditors have given the followingqualification:

"Refer to note no. 38 to the notes on accounts, the Company has not provided for its liability towards interest & part of principal loan, waived earlier, and impact oj retained earnings in terms of draft rehabilitation scheme and now revoked by its consented lenders amounting to Rs. 146966.65 lakh, accordingly the loss for the year and loan liability would have been increased and shareholder's fund would have been reduced to that extent. "

would have been higher by Rs. 149856.95Iakh. For Alps Industries Ltd. In case, company would have considered this as liability, its standalone net loss for the quarter ending on 30.06.2020 would have been amount to Rs. 151592.06 lakh, (Consolidated net loss Rs. 151593.46 lakh for the quarter) as against already stated standalone net loss of Rs. 1735.11 lakh for the quarter (Consolidated net loss Rs. 1736.51 lakh for the quarter) and the accumulated loss and loan liabilities at the end of the quarter ended on June 30, 2020

(San deep Ag::1!wa:) Managing Director G--

The management's view is detailed in para 5 above. The impact, if any, of the revised settlement/restructuring which is under active consideration with lenders, will be given effect in the financial statements of the year of final settlement with them.

1. The figures for the previous quarter/year have been regrouped, re-casted and rearranged, wherever considered necessary.

DATE : SEPTEMBER 15 2020 PLACE: GHAZIABAD

BYfoRf{JfNdJ~H~~D

1 (Sandeep Ag:-n'i2l) (SANDB~_~WMJ) MANAGING DIRECTOR DIN: 00139439 c,