Andhra Cement Ltd. — Interim / Quarterly Report 2024

Oct 19, 2023

it ii Subsidiary of SAGAR CEMENTS LIMITED ANDHRA CEMENTS LIMITED .f -I

Ref. ACL.SE:2023

19[th ] October, 2023

The Manager Listing Department National Stock Exchange of India Ltd Exchange Plaza, C-1, G-Block Bandra-Kurla Complex, Bandra (E), Mumbai - 400051 NSE Symbol: ACL	The Manager Listing Department BSE Limited 25thFloor, New Trading Ring, P J Towers, Dalal Street, Fort Mumbai - 400 001 BSE ScripCode - 532141

Dear Sirs,

Re: Un-audited Financial Results for the 2[nd ] Quarter ended 30[th ] September, 2023

We are pleased to inform you that the Board of Directors of the Company at its meeting held today i.e 19[th ] October, 2023, (Commenced at 11.00 am and Concluded at 3.00 pm} considered and approved the Un-audited Financial Results for the 2[nd ] quarter / half year ended 30[t][h ] September, 2023.

Copies of Financial Results along with Auditors Limited Review Report under Reg, 33 (3) (d) of SEBI (LODR) Regulations, 2015 is attached herewith for your kind information and records.

Thanking you,

Yours truly,

For ANDHRA CEMENTS LTD � G. TIRUPATI RAO COMPANY SECRETARY

Encl; As Above

Regd. Office & Worl<s : Durga Cement Works, Durgapuram, Srinagar Post, Dachepalli Manda!, Palnadu District, AP_ 522414. Phone: +91 8649-257441 / 42 I Fax: +91 8649-257428 Vizag Unit: Visakha Cement Works, Parlupalem Village, Durganagar Post, Yisakhapacnam - 530029, AP. Corporate Office: Plot No. I I 1, Road No. I O,Jubilee Hills, Hyderabad - 500033,Telangana, India. Phone: +91-40-23351571, 23356572 Fax : +91-40-23356573

Website: www.andhracements.com I E-mail: investorcell@andhracements.com I CIN: L26942APl936PLC002379 I GSTIN: 37 AABCA9263 D2ZQ

ANIJ:lRA CEMENTS LIMITED CIN No: L26942Arl936rLC002379

Durga Cement Works, Durga(luram, Srinagar rost, Dachepalli Manda[(] , ralnadu District, Andhra rradesh - 522 414, Phone: +91 8649 257441 Fax: +91 8649 257428, Email: invcstorcell@andhracements.com, Website: www.andhracements.com

STATEMENT OF UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND SIX MONTHS ENDED SEPTEMBER 30, 2023

				(� in lakhs except per share data and unless otherwise stated)	(� in lakhs except per share data and unless otherwise stated)	(� in lakhs except per share data and unless otherwise stated)	(� in lakhs except per share data and unless otherwise stated)	(� in lakhs except per share data and unless otherwise stated)	(� in lakhs except per share data and unless otherwise stated)	(� in lakhs except per share data and unless otherwise stated)	(� in lakhs except per share data and unless otherwise stated)	(� in lakhs except per share data and unless otherwise stated)
SI. No.		rarticulars	September 30, 2023	Quarter ended			Six months ended			Year ended
					June 30, 2023	September 30, 2022	Septem her 30, 2023	Se(ltember 30, 2022		March 31, 2023
			/Unaudited)		/Unaudited)	/Unaudited)	/Unaudited)	/Unaudited)		(Audited)
I		Income
		(a) Revenue from operations	6,515		I 320	~~-~~	7 835	~~-~~				~~-~~
		(b) Other income	25		36	28	61	42				48
		Total income	6 540		1 356	28	7 896	42				48
2		Exnenses										~~-~~
		(a) Cost of materials consumed	1.031		**707 **	~~-~~	1.738	~~-~~
		(b) Changes in inventories of finished goods and work-in- I progess	(2,240)		(5)	-	(2,245)	-				33
		(c) Employee benefits expense	314		280	151	594	343				744
		(d) Finance costs	1.879		1.414 4 289		3 293	8,426				1,567
		( e) Deoreciation and amortisation expense	1,303		I 287 1,168		2 590	2 33 I				4 679
		If Power and fuel exoenses	4 919		476	31	5395	67				105
		fo) Freight and forwarding exoense	921		288	~~-~~	I 209	~~-~~				~~-~~
		(h) Other exoenses	795		671	212	I 466	371				1.713
		Total expenses	8 922		5 118	5 851	14 040	I I 538				8 841
3 4		Loss before exceptional items and tax ( - 2)	(2 382)		/3 762)	(5 823)	_16_144)	(1 496)				/8 793)
		Exceptional items (Refer note SA and 58)	1 479		~~-~~	~~-~~	1 479	~~-~~				97 163
5	I	/Loss)/ nroft befre tax (3 + 4)	(903)		(3 762)	(5 823)	(4665)	(I) 496)				88 370
6		Tax cxncnsc
		(a) Current tax	~~-~~		~~-~~	~~-~~	~~-~~	~~-~~				~~-~~
		(b) Deferred tax	/805)		/1 296)	~~-~~	12,101) ~~-~~					(6,592)
		Total tax expense	(805)		**/1296) **	~~-~~	(2 101 ~~-~~					/6 592)
7		Net (loss)/ proft for the period/ year(5- 6)	(98) (2 466) _(5_823)				(2 564) (11 496)					94 962
8		Other Comnrehensive Income
		Ii) Remeasurements gain on defned beneft olans	~~-~~ -		~~-~~ ~~-~~		~~-~~	~~-~~				~~-~~
		(ii) Income tax relating to items that will not be reclassifed to proft or loss			- -		-	-				-
		Total Other Comprehensive Income	~~-~~		~~-~~ ~~-~~		~~-~~	~~-~~				~~-~~
9		Total Comorehensive (loss)/ Income (7+8)	(98)		/2 466) (5823)		/2 564)	( 496)				94 962
10
	I	Paid up equity share capital (Face value of� 10 per share) /Refer note 4)										9,217
11		Other eauitv										26,307
12		Earings oer share of { IO each
	l	(a) Basic /in�)	(0.11		(2.68)	(1.98)	(2.78 (3.92)					34.82
		(bl Diluted /in{)	(0.11)		(2.68)	(1.98)	(2.78) (3.92)					34.82
			/*)		/*)	/*)	/) ~~/~~~~)~~

(") - Not Annuahsed

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Balance Sheet	Balance Sheet	Balance Sheet
Particulars	As at September 30, (Unaudited)	As at March 31, 2023 (Audited)
ASSETS Non-current assets (a) Property, plant and equipment (b) Capital work-in-progress (c) Right of use assets ( d) Intangible assets (i) Other Intangible assets (e) Financial assets (i) Other fnancial assets (f) Deferred tax assets (net) (g) Other non-current assets Total Non-current assets (1) Current assets (a) Inventories (b) Financial assets (i) Trade receivables (ii) Cash and cash eQuivalents (iii) Bank balances other than Cash and cash equivalents (iv) Other financial assets ( c) Other current assets ( d) Income tax assets (net) Total Current assets (2) Asset held for sale (3)(Refr note 6) TOTAL ASSETS (1+2+3) EQUITY AND LIABILITIES Equity (a) Equity share capital (b) Other equity Total Equity (1) Liabilities Non-current liabilities (a) Financial liabilities (i) Borrowings (ia) Lease liabilities (ii) Other financial liabilities (b) Provisions Total Non-current liabilities (2) Current liabilities (a) Financial liabilities (i) Borrowings (ia) Lease liabilities (ii) Trade payables (a) total outstanding dues of micro enterprises and small enterprises (b) total outstanding dues of creditors other than micro enterprises and small enterprises (iii) Other fnancial liabilities (b) Provisions (c) Other current liabilities Total Current liabilities (3) TOTAL EQUITY AND LIABILITIES (1+2+3)	71,255 8,594 20 2 905 8,693 980 90,449 6,603 5,448 527 927 246 1,024- 14,775 900 73,816 2,630 - - 17 6,592 1,367 84,422 517 - 4.370 926 8 632 5 6,458 -
	1,06,124 9,217 24,462 33,679 90,880 9,217 26,307 35,524
	60,552 7 4 127 60,690 52,490- - 159 52,649
	3,749 15 92 7,214 147 68 470 11,755 1,06,124 - - 5 285 2,190 68 159 2,707 90,880

Statement of cash fows for the six months ended September 30, 2023	Statement of cash fows for the six months ended September 30, 2023			(tin lakhs)	(tin lakhs)
		Six months ended	Six months ended
	Particulars	September 30, 2023	September	30, 2022
		(Unaudited)	(Unaudited)
A	Cash fow from operating activities
	Loss before tax	(4,665)		(11,496)
	Adjustments fr
	Depreciation and amortization expense	2,590	2,331
	Finance costs	3,293	8,426
	Interest income	(49)	(42)
	Exceptional income (Refer note 5A)	(1,479)
	Unrealised gain on freign currency transactions and translation	(6)
		4,349		10,715
	Operating proft before working capital changes	(316)			(781)
	Changes in working capital
	Adjustments for (increase)/decrease in operating assets:
	Trade receivables	(5,448)	5
	Inventories	(6,086)	2
	Other fnancial assets	(456)	(48)
	Other assets	(428)	31
		(12,418)			(10)
	Adjustments fr increase/(decrease) in operating liabilities:
	Trade payables	7,022	543
	Other fnancial liabilities	(566)	10,703
	Provisions	(32)	(102)
	Other liabilities	311	336
		6,735		11,480
	Cash generated from operating activities	(5,999)		10,689
	Less: Income tax paid
	Net cash generated from operating activities	(5,999)		10,689
B	Cash flow from investing activities
	Capital expenditure on property, plant and equipment including capital advances	(7,402)
	Deposits not considered as cash and cash equivalents
	- Placed		(1,903)
	- Matured
	Proceeds fom disposal of plant and equipment	820
	Interest received	19	42
	Net cash used in investing activities	(6,563)		(1,861)
C	Cash flow from financing activities
	Proceeds from non-current borrowings	8,964
	Repayment of non-current borrowings	(2)
	Proceeds from current borrowings (net)	2,849
	Repayment of lease liabilities	(7)
	Finance costs	(3,085)	(8,426)
	Net cash generated from financing activities	8,719		**(8,426) **
	Net increase in cash and cash equivalent (A+B+C)	(3,843)			402
	Cash and cash equivalent at the beginning of the period	4,370			I
	Cash and cash equivalent at the end of the period	527			403

Notes:

• I The above financial results of Andhra Cements Limiled ("the Company") as reviewed by the Audit Committee have been approved by the Board of Directors at its meeting held on October 19, 2023. The Statutory auditors of the Company have issued an unmodified conclusion in respect of the limited review of the the quarter and six months ended September 30, 2023.

• 2 The Company is engaged in manufacture and sale of "cement and cement related products" which constitutes a single reportable business segment as per [nd AS 108 - 'Operating Segments'.

• The financial results of the Company have been prepared in accordance with the lndian Accounting Standards as prescribed under section 133 of the Companies Act, 2013 ("the Act") read with relevant rules issued thereunder ('Ind AS') and other accounting principles generally accepted in India and guidelines issued by the Securities and Exchange Board of India ("SEBI").

• 4 The implementation of the Approved Resolution Plan commenced on February 17, 2023, the entire process was completed within the prescribed timeline of 30 days as mentioned in the approved Resolution Plan. Pursuant to the implementation of resolution plan, Erstwhile promoter fully paid up equity shares of 20, 17,41.) 7 I has been cancelled and the public shareholding have been reduced from 9, 17,79, 121 shares to 45,88,956 oft 10 each (i.e., reduced to 5%) of the reconstituted paid up equity share capital of the Company. The Board of Directors of the Company at its meeting held on March 23, 2023 approved allotment of 8,75,63,533 fully paid equity shares t 10/- each to Sagar Cements Limited with a premium oft 26.80 per share, aggregating tot 32,223 lakhs, representing 95% of the eauitv share capital of the Conmanv.

• Post implementation of the resolution plan, the Monitoring Committee was dissolved on March 17, 2023 and the Board of Directors took charge for managing the affairs of the company and to maintain the Company as a going concern.

• 5A Exceptional item in the financial results represents impairment reversal recorded during the quarter and six months ended September 30, 2023, based on remeasurement of certain assets at fair value as per the agreement entered by the Company.

• 58 Exceptional Income on account of gains recognised in accordance with the approved Resolution Plan comprises of:

tin lakhs	tin lakhs
Particulars	For the year ended March 31, 2023
Extinguishment of dues towards secured fnancial creditors	58,462
Liabilities of capital�oos extin�uishment	8,120
Statutorremittances wrtten back	1,973
Other current andnon-current liabilities written back	34,317
Total income{Al	1,02,872
Other current andnon-current assets wrttenoff	I 000
Provision fr impairment in Propery, plant&equipment	4,709
Total cxncnse 18)	5,709
Net eainIA -Bl	97,163

• Asset held for sale represents Cement Mill I and Cement Mill U along with its auxiliary equipments. These assets arc classified as asset held for sale based on sale agreement executed by the Company, pending clearance of the above-mentioned assets from site by the identified buyer. Asset held for sale is classified at lower of cost or nel realizable value.

The financial results of the Company for the quarter ended September 30, 2022, and half year ended September 30, 2022 were reviewed by the predecessor auditors (M/s Dass Gupta & Associates, Chartered Accountants), who have expressed an unmodified review conclusion. The financial results of the Company for the year ended March 31, 2023 were audited by the predecessor auditors (Mis Dass Gupta & Associates, Chartered Accountants), who have expressed an unmodified opinion.

Place: Hyderabad Date: October 19, 2023

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For Andhra Cements Limited
���.�and Reddy
(Managing Director)
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Chartered Accountants KRB Towers, Plot No.1 to 4 & 4A 1 ", 2'' & 3'' Floor Jubilee Enclave, Madhapur Hyderabad - 500 081 Telangana, India

Deloitte Haskins & Sells

Tel: +91407125 3600 Fax: +91 40 7125 3601

INDEPENDENT AUDITOR'S REVIEW REPORT ON REVIEW OF INTERIM FINANCIAL RESULTS

TO THE BOARD OF DIRECTORS OF ANDHRA CEMENTS LIMITED

1. We have reviewed the accompanying Statement of Unaudited Financial Results of ANDHRA CEMENTS LIMITED (the "Company"), for the quarter and six months ended September 30, 2023 (the "Statement"), being submitted by the Company pursuant to the requirement of Regulation 33 of. the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended.

2. This Statement, which is the responsibility of the Company's Management and approved by the Company's Board of Directors, has been prepared in accordance with the recognition and measurement principles laid down in the Indian Accounting Standard 34 "Interim Financial Reporting" ("Ind AS 34"), prescribed under Section 133 of the Companies Act, 2013 read with relevant rules issued thereunder and other accounting principles generally accepted in India. Our responsibility is to express a conclusion on the Statement based on our review.

3. 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 (ICAI). A review of interim financial information consists of making inquiries, primarily of the Company's personnel responsible for finac,cial 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 specified under section 143(10) of the Companies Act, 2013 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.

4. Based on our review conducted as stated in paragraph 3 above, 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 SEBI (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.

For Deloitte Haskins & Sells Chartered Accountants (Firm's Registration No. 0080725) ' ' • \ ·I['· ] .[.-][· ] ..

C Manish Muralidhar

(Partner) (Membership No. 213649)

Place: Hyderabad Date: October 19, 2023 UDIN: 23213649BGVCCX3276