DCM Ltd. — Interim / Quarterly Report 2022

Nov 12, 2022

~ovember12,2022

BSE Limited Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai -400 001 Scrip Code: 502820

National Stock Exchange of India Ltd. Exchange Plaza, Plot no. Cl1, G Block,Bandra - Kurla Complex, Bandra (E),Mumbai - 400 051 Scrip Code: DCM

ISIN: INE498A01018

Subject: Unaudited Financial Results (Standalone and Consolidated) of Company for 2nd quarter and half year ended September 30, 2021 pursuant to Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Re-gulations, 2015.

Dear Sirs,

This is to inform you that the Board of Directors of the Company at its meeting held on November 12, 2022 (i.e. today) have inter-alia approved and taken on record the Unaudited Financial Results (Standalone and Consolidated) of the Company for the 2nd quarter and half year ended September 30, 2022. Accordingly pursuant to Regulation 33 ofSEBI(Listing Obligations and Disclosure Requirements) Regulations, 2015,as amended from time to time, following documents are enclosed herewith :-

• 1. Limited Review Reports of Statutory Auditors on the Unaudited Financial Results (Standalone and Consolidated) of the Company for the,2ndquarter and half year ended September 30, 2022;
• ii. Unaudited Financial Results (Standalone & Consolidated) for the 2nd quarter and half year ended September 30,2022.

You are requested to take the above information on record

Registered Office : Unit Nos. 2050 to 2052, 2nd Floor, Plaza II, Central Square, 20, Manchar Lal Khurana Marg, Bara IIindu Rao, Delhi - 110006. Phone: (011) 41539170 CIN: L74899DLl889PLC000004 Website: www.dcm.in Email id:.dcmltd@dcm.in Independent Auditor's Review Report on the Unaudited Quarterly Standalone Financial Results of the Company Pursuant to the Regulation 33 of the SEBI(listing Obligations and Disclosure Requirements) Regulations, 2015,

S S KOTHARI MEHTA & COMPANY CHARTERED ACCf)UNfANTS

Review Report to The Board of Directors, DeM Limited New Delhi

as amended

• 1. We have reviewed the accompanying statement of unaudited standalone financial results of oeM limited (the Company) for the quarter ended September 30, 2022 and the year to date results for the period April 01, 2022 to September 30, 2022, along with notes (the statement), attached herewith, being submitted by the Company pursuant to the requirement of Regulation 33 of the SEnI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, (the "Listing Regulations").
• 1. 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 Indian Accounting Standard "34, "Interim Financial Reporting" (Ind AS 34) prescribed under Section 133 of the Companies Act, 2013 as amended, 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.
• 1. We conducted our review of the statement in accordance with the Standard on Review Engagement (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 Statement is free of material misstatement. A review of interim financial information consists primarily of making inquiries of company personnel 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.
• 4, Based on our review conducted as above. nothing has come to our attention that causes us to believe that the accompanying statement prepared in all material respects in accordance with recognition and measurement principles laid down in the aforesaid Indian Accounting Standards (Ind-AS) specified under section 133 of the Companies Act, 2013, as amended, read with relevant rules issued thereunder and other accounting principles generally accepted in India, has not disclosed the information required to be disclosed in terms of Listing Regulation, including the manner in which itis to be disclosed, or that it contains any material misstatement.

Emphasis of matters

1. Without modifying our conclusion, we draw attention to Note 3 of the statement, during the earlier year in view of continued situation of industrial unrest Company has declared lockout at its engineering business undertaking. On the basis of legal advice Management of the Company is of the view that the present lockout is legal and justified. Therefore, the Company has not made any provision for wages pertaining to the lockout period October 22, 2019 to September 30, 2022 aggregating to Rs. 5,176 lakhs (current quarter Rs. 378 lakhs).

Piot No 68, Okhla industrial Area, Pt,dSC"III, New Delhi- 110020 Tel' +91-11-4670 B8Rg E·mall' info@sskmin.com www.sskrnin.com

S S KOTHARI MEHTA & COMPANY CHARTERED ACCOUNTANTS

Material Uncertainty on Going Concern

1. We draw attention to Note: 5 of the statement highlighting that due to recession in automotive sector and industrial unrest the Company is facing liquidity issues towards clearing of its statutory dues and vendor payments pertaining to its Engineering Division. This has significantly eroded the Company's net worth and the current liabilities exceed the current assets by Rs. 3,554 lakhs as at September 30, 2022. The Company has initiated restructuring of its Engineering Division as explained in the Note 4. The management of Company believes that with the restructuring of its Engineering Business Undertaking and infusing liquidity by focusing /managing of its remaining business undertaking/real estate operation, the Company will be able to continue its operation on a going concern basis. Accordingly, the statement of the Company has been prepared on a going concern basis. Our conclusion is not modified in respect of this matter.

For S. S. Kothari Mehta & Company Chartered Accountants Firm Registration No: 000756N

$6055K$ SPANI Sunti Wahal NEW DELHI Partner Membership No: 087294 FRIERED ACCOUNT* Place: New Delhi

Dated: November 12, 2022 UDIN: 22087294BC x x HZ2896

^r DCM LIMTED
- Regd: Office: 2050-2052, 2nd Floor, Plaza-li, Central Square, 20, Manohar Lala Khurana Marg, Bara Hindu Rao, New Delhi - 110 006
- E-mall: investors@dcm.in Phone: 011-41539170
CiN: L74899DL1889PLC000004

STATEMENT OF UNAUDITED STANDALONE FINANCIAL RESULTS FOR THE QUARTER AND SIX MONTHS ENDED SEPTEMBER 30, 2022

							(Rupees in lakh)
	S. No. Particulars		For the quarter ended		Six Months ended	For the year ended
		September 30, 2022)	June 30, 2022	September 30, 2021	September 30, 2022	September 30, 2021	March 31, 2022
		Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Audited
$\mathcal{L}$	Revenue
	(a) Revenue from operations			¥,		8	110
	rollOther income (refer Note 6).	809	1.65	836	954	2.127	3.599
	Total income	809	145	837	\$54	2.135	3,709
	Expenses						$\blacktriangle$
	ran Cost of materials consumed
	(b) Changes in inventories of finished goods and work in progress						41
	(c) Employee benefits expense	88	91	45	178	88	168
	(d) Finance costs	(41)	157	-197	116	385	579
			170			396	762
	(e) Depreciation and amortization expense	157		193	327
	(f) Other expenses	106	67	$-54$	173	108	416
	otal expenses	310	485	489	795	977	1,966
$\mathbf{3}$	Profit/(Loss) before tax	499	(340)	348	159	1,158	1,743
4	Tax expense
	Current tax
	ax adjustment relating to prior periods			(35)		(35)	(35)
	Deferred tax expense.
	otal tax expense			(35)		(35)	(35)
$\overline{5}$	Profit/(Loss) for the period/ year	499	(340)	383	159	1,193	1,778
6	Other comprehensive income
	(a) illems that will not be reclassified to profit or loss
	Re-measurement (losses)/ gains of defined benefit obligations (net of	19	19	16	38	32	76.
	(ax)
	(b) Items that will be reclassified to profit or loss
	Exchange difference in translating financial statements of foreign
	coerations (net of tax)
	Total comprehensive Income/(Expense) for the period/ year	518	(323)	399	19I	1.225	1.854
$8\,$	Paid up equity share capital (Face value Rs. 10 per share).	1,868	1,868	1,868	1,868	1,868	1,868
							(526)
s	Other equity
10	Earnings/ (loss) per equity share (EPS) of Rs. 10 each
	(not annualised)
	Basic and diluted	2.67	(1.02)	2.05	0.85	6.39	9.52

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DCM LIMITED

Notes:
1. Standalone segment wise information for the quarter and six months ended September 30, 2022

							(Rupees in lakh)
	S. No. i Particulars		For the quarter ended		Six Months ended		For the year en ded
		September 30, 2022	June 30, 2022	September 30, 2021	September 30, 2022	September 30, 2021	March 31, 2022
		Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Audited
	Segment revenue
	Real Estate
	e. Grey fron Casting					$\beta$	110
	Total					昌	110
	Less : Inter segment revenues
	Net revenue from operations			学		8	310.
$\mathbf{2}$	Segment results (Profit/(Loss) before interest and
	tax from ordinary activities)
	a) Real Estate	(89)	100	545	41	1,384	1, 443.
	the Grey Iron Casting	528	(212)	(29)	316	181	C 0
	Total	469	${112}$	516	357	1,565	2,311
	Less II Finance costs	$+43.11$	367	197	116	385	579
	II) Un-allocable expenditure net of
	un-allocable income	42	74	(29)	83	22	(11)
	Profit/(Loss) before tax	498	(340)	348	158	1,158	7,743
3	Segment assets
	a) Real Estate	124		138	124	136
	b) Grey Iron Casting	4.672	5,052	5,841	4.872	5,841	5,197
	Total segment assets	4.996	5,052	5,977	4.996	5,977	5,397.
	Others un-allocated	5.344	6.309	5.287	5.344	5.287	5,726
	Terral assets	10.340	11,361	11,264	10,340	11,264	10,923
$\mathcal{L}$	Segment liabilities as Deal Family	6 188	5.141	1.880	6.188	1.860	3,416.
	bij (Sray Iran Casting)	1.929	2:435	4,086	1.929	4,086	3.106.
	Total segment hatnities.	8,117	7,576	5,946	8,117	5,846	6,522
	Others un-allocated (excluding borrowings)	386	719	785	685	785	733
	Total liabilities	8.802	8.295	6,731	8.802	6,731	7,255
							al de r control de con

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Regd. Office: 2050-2052, 2nd Floor, Plaza-II, Central Square, 20, Manohar Lala Khurana Marg, Bara Hindu Rao, New Delhi - 110 006
E-mail: investors@dcm.in Phone: 011-41539170

STATEMENT OF STANDALONE ASSETS AND LIABILITIES AS AT SEPTEMBER 30, 2022

Particulars	As at	(Rupees in lakhs)
	September 30, 2022	As at March 31, 2022
	Unaudited	Audited
ASSETS
Non-current assets
Property, plant and equipment	3,814	4,144
Cápital work-in progress
Intangible assets	6	7
Financial assets
(:) Investments	3,246	3,246
(ii) Other financial assets	180	180
Non-current tax assets (net)	408	397
Other non-current assets	748	748
Total non-current assets	8,402	8,722
Current assets
Inventories	1,058	1,059
Financial assets
(i) Trade receivables (ii) Cash and cash equivalents	14 20	14 21
(iii) Bank balances other than (ii) above	105	104
(iv) Loans	16	17
(v) Other financial assets	225	636
Other current assets	295	145
Assets held for sale	205	205
Total current assets	1,938	2,201
Total assets	10,340	10,923
EQUITY AND LIABILITIES
Equity
Equity share-capital	1,868	1,868
Other equity	(330)	(526)
Total equity	1,538	1,342
Liabilities
Non-current liabilities
Financial liabilities.
(i) Borrowings
(ii) Other financial liabilities	2,716	2,444
Provisions.	594	691
Total non- current liabilities	3,310	3,135
Current liabilities
Financial liabilities
(i) Borrowings		2,327
(ii) Trade payables
Dues to micro and small enterprises		45
Dues to others	211	725
(iii) Other financial liabilities	4,865	2,925
Other current liabilities	301	310
Provisions	115	114
Current tax liabilities (net)
Total current liabilities	5.492	6,446
Total equity and liabilities	10.340	10.923

oc« Limited

------ -. _ Particulars	For the Period ended September 30, 2022	For the period ended September 30. 2021
Prcflli~LoSS) before taxaoon	158	1,158
Acjustments for
Depreciation and amortisation expense	327	396
(Profit) / Loss on assets sold or discarded (Net)	(4)	8
Income from sale 01nghrs In flats	(41)	(1.385)
Llajllitles no longer resurred written oack	(825)	(694)
DI''Ioerd Income	(77)	(46)
interest mccme	(7)	(2)
Finance ccsts	116	385
Remeasurement of revenue to finance income and lease receivable		2
Operating cash flow before working capital changes	(353)	(178):
Changes in assets and liabilities
(tncreasel/decease in inventories	1	2
(lnc;ease)/decrease .n trade rece.vabtes	0	3
Pl loans (lncreaselldecrease	1	1
(Increase)1 decrease in other finanCial assets	410	(118)
_ (Increase)/decrease In other aaseta	(150)	1,454
Increase/ (decrease) in trade payaoles	(480)	(1,623)
lncrease/(decrease) in provisions	(134)	9
Increase/(decrease) in financial liabilities	2,389	405
IncreaseJ(decrease) in other liabilitJes	(9)	(12)
Casr. (used in) / generated from operations	1,675 (11\	(57) (92)
Income tax paid (net of refund) Net cash (used in)/generated from operating activities (A)	~4	(~
Cash flow from investing activities
Payments towards Prope-ty, ;JIBnt and equipment (including Capital Advances)	(2)
Proceeds from disposal of Property. plant and equipment (inCluding advance received)	10	80
interest received on financia: assets measured at amortised cost	7	3
Dividend received from subsidiaries	77	46
Maturity of / (Investment in) bank deposits (net) not considered as cash and cash equivalents		48
Net cash generated from investing activities (8)	••••••,,«"".::'''r.r.~~='''=, 92	177
Cash flow from financing activities
Proceed from I~Hepayment of) Icng tern bcrrowmqs	(378)	(16) :
Changes Inworking capra: corrowmqs	(1,202) (176)	(19)
Interestpaid Net cash (used) in financing activities (e)	.vi1.75\l	(35)
	_ _===' "
Net cash flows [increase I(decrease)] during the period (A+B+C)	(1)	(7)
Cash and cash equivalents at the beginning of the period	21	28
Cash and cash equivalents at the end of the period	20	21
Components of cash and cash equivarents
Balances with scheduled barks'
- Current accounts	20	21
Cash and cash equivalents at the end of the period	20	21

!t"

This Statement has been prepared in accordance with the Companies (Indian Accounting Standards) Rules, 2015, as amended (Ind AS), prescribed under Section 133 of the Companies Act, 2013, and other recognized accounting practices and policies to the extent applicable. . 2.

In view of continued situation of industrial unrest at Engineering Business Undertaking of the Company, situated at Village Asron, District Shaheed Bhagat Singh Nagar (Punjab), the management of the Division has recommended to declare a lockout. The Board of Directors of the Company in their meeting held on October 21, 2019 has accordingly approved the declaration of lockout at its said Business Undertaking w.e.f. October 22,2019. 3.

The said lockout was opposed by the workmen of said Engineering Division before the Labour Authorities and presently the matter remained sub-judice before the labour authorities. Based on the legal advice received by the Company, the management is of the view that the present lockout is legal and justified. Therefore, the Company has not made any provision for wages pertaining to the lockout period October 22. 2019 to September 30, 2022 aggregating to Rs. 5,176 lakh out of which Rs. 378 lakh pertain to quarter ended on September 30, 2022.

1. The Board of Directors of the Company in its meeting held on November 28,2019, have approved a composite scheme of arrangement for transfer of its "Engineering Business undertaking "to its wholly owned subsidiary namely DCM Engineering Limited (formerly known as DCM Tools and Dies Limited), on a going concern basis with effect from the appointed date of October 01,2019, and restructuring of outstanding loans, debts and liabilities of said Engineering Business Undertaking. The filing of Scheme for seeking approval from Hon'ble National Company Law Tribunal (NCLT) under Section 230 - 232 of the Companies Act, 2013 remained pending awaiting in principle approval of secured lenders (Banks) due to default in payment of their dues. Pursuant to repayment of dues of all the banks as stated in note No 5 below, the Company is in process of taking necessary steps in this regard .

.Since, the aforesaid Scheme is subject to approval from concerned regulatory authorities which is considered to be substantive, the accounting effect of the above Scheme has not been considered in these standalone financial results. For revival of the Engineering Business Undertaking of the Company, it is considered necessary to induct strategic partner(s) in the said Business.

1. Due to continued situation of lockout of Engineering Business operation, the Company's net worth has significantly been reduced and the current liabilities exceed the current assets by Rs 3554 lakhs as at September 30, 2022. As a result, the Company has been facing liquidity issues towards clearing the dues of creditors/banks and other liabilities pertaining to the said Engineering Business. However, the Company has repaid the dues of all the banks under one time settlement as well as majority of the claims of other creditors out of the liquidity available from its real estate operation and/or other interim measures taken in this regard.

The Scheme of Arrangement mentioned in note 4 above was approved by Board of Directors in order to restore profitability and revive the said Engineering Business Undertaking and infuse sufficient liquidity by facilitating strategic investment and further sale/development of land parcel(s) owned by the Company and/or restructuring/settlement of outstanding loans, debts and liabilities pertaining to the Engineering Business.

The management believes that with the above restructuring of Engineering Business Undertaking under the said Scheme and infusing liquidity by focusing /managing of its remaining business undertaking/real estate operation (refer note 8 below) as well as other interim measures J,9-...:\wprovc liquidity, the Company will be able to continue its operation ,..O.ll:<1f\Qing concern basis:,/-f~ x- "";:;-~"

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Accordingly, the financial results of the Company have been prepared on a going concern basis.

• 1. Other income includes income from transfer of right in residential flats of amount Rs.(S8.S0) lakh for the quarter ended September 30, 2022 (Quarter ended June 30, 2022- Rs. 100 lakh) and Liabilities / Provision no longer required written back of amount Rs. 781 lakh for the quarter ended September 30, 2022 (Quarter ended June 30. 2022- Rs.44 lakh)
• 1. The Company had received certain recovery notices/petitions from the creditors and the bankers who have provided working capital/terms loan facilities to the Engineering Division of the Company. Pursuant to repayment of dues to allthe banks as well as majority of the claims of other creditors mentioned in note. 5 above, most of these recovery notices/ petitions have been withdrawn or are in the process of withdrawal. Further, the banking operation of the Company which was discontinued by the Bankers in view of notification of RBI restricting opening/operation of current account by customers who have availed Cash Credit / Overdraft facilities, have also become regular
• R. The Company is in process for development of its 68.35 acres of land in the revenue state of Village Bir Hisar, Scctor-23, Hisar, Haryana. The Company has signed ajoint development agreement in this regard with a party which is subject to fulfilment of certain terms and conditions by the said party and regulatory approvals. The Company has received a license on November 10, 2022 under Regulation of Urban Area Act, 1975 for setting up of affordable residential plotted colony under Deen Dayal Jan Awas Yojana-2016 on the area admeasuring 67.275 acres of said land.
• 1. The Company has reviewed the deferred tax asset/deferred tax liabilities on deductible/taxable temporary differences between tax base of asset and liabilities and their carrying amount for financial reporting purposes at each reporting date. However, due to continue situation of uncertainty of sufficient taxable profit to recover the accumulated losses and unused tax credits taxable profits in future years, deferred tax asset have not been considered in the financial results.
• 1. The figures for the previous periods have been regrouped i rearranged wherever necessary.
• 1. The above results have been reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on November 12, 2022. The limited review report of the statutory auditors is being filed with the BSE Ltd and National Stock Exchange of India Ltd. For more details ⁰¹¹ the standalone results, visit Company's website www.dcm.in and Financial Results under Corporates section of www.nseindia.corn and www.bseindia.com.

Place: ;--Jew Delhi Date: November 12. 2022 DIN: 00272930

For and on behalf of the noan~t{f.'6ir·~~Jors /'":,1 ^~ 'it } ",,, -: ,; i.

',Jitcndra Tuli Managing Director

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Independent Auditors' Review Report on the Unaudited Quarterly Consolidated Financia! Results of the Company Pursuant to the Regulation 33 of the SEBI(listing Obligations and Disclosure Requirements) Regulations, 2015, as amended

S 5 KOTHARI MEHTA

CHARTERED ACCOUNTANTS

==:» COMPANY

Review Report to The Board of Directors DeM Limited New Delhi

1. We have reviewed the accompanying statement of unaudited consolidated financial results of DeM limited (the 'Holding Company' or 'Company'), its subsidiaries (the Holding and its Subsidiaries together referred as 'the Group') and joint venture (including its subsidiary companies together referred to as "Jointly controlled entities") for the quarter ended September 30, 2022 and the year to date results for the period April 01, 2022 to September 30, 2022, along with notes (the 'Statement'), attached herewith being submitted by the Holding Company pursuant to the requirements of Regulation 33 of the SEBI(Listing Obligations and Disclosure Requirements) Regulations, 2015 as amended (the "listing Regulations").

2. This Statement, which is the responsibility of the Holding Company's Management and approved by the Holding Company'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 as amended (the Act), read with relevant rules issued thereunder and other accounting principles generally accepted in India. Our responsibility is to express a concfusion 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. This standard required that we plan and perform the review to obtain moderate assurance as to whether the Statement is free of material misstatement. 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.

We also performed procedures in accordance with the circular no. CIR/CFD/CMDI/44/2019 dated March 29, 2019, issued by the SEBIunder Regulation 33 (8) of the SEBI(Listing Obligation and Discfosure Requirements) Regulations, 2015, as amended, to the extent applicable.

Page 1 of 4

Plot No, 68, Okhla Industrial Area, Phase-in. New Delhi-1i0020 T,,-j- "91_1~-46Tl8888 E-maii: ;n[o@sskmin.com www.sskrnln.com

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S S KOTHARI MEHTA & COMPANY C'-iARTERED ACCOUNTANTS

4. The Statement includes results of the following entities:

• a. Subsidiaries
• 1 OeM Landmark EstatesLimited (formerly known as oeM Textiles Limited)
• 2 DeM Infinity Realtors Limited (formerly known as OCMData SystemsLimited)
• 3 OeM Infotech Limited (formerly known as oeM Reality Investment & Consulting Limited)
• 4 oeM Engineering limited (formerly known as oeM Tools and Dies limited)
• 5 OeM Realty and Infrastructure Limited
• 6 DCM Engineering Products EducationalSociety

b. Jointly controlled entity and its subsidiaries

• 1. Purearth Infrastructure Limited, Joint Venture (jointly controlled entity)
• 1. Kalptru Reality Private Limited (subsidiary of jointly controlled entity)
• 1. Kamayani Facility Management Private Limited (subsidiary of jointly controlled entity)
• 1. Vighanharta EstatesPrivate limited(subsidiary of jointly controlled entity)

• Basedon our review conducted and procedure performed as per para 3 above and upon considerations of reports of other auditors read with para 8 below and management certified financial information, nothing further has come to our attention that causesus to believe that the accompanying Statement, prepared in accordance with recognition and measurement principles laid down in the applicable Indian Accounting Standards i.e. 'Ind AS' prescribed under Section 133of the Act, read with relevant Rulesissuedthereunder and other recognized accounting principles generally accepted in India, has not disclosed the information required to be disclosed in terms of the Listing Regulation, including the manner in which it is to be disclosed, or that it contains any material misstatement.

Emphasisof Matter

1. Without qualifying our conclusion, we draw attention to Note 3 to the accompanying statement, during the earlier year in view of continued situation of industrial unrest, Holding Company has declared lockout at its engineering business undertaking. On the basisof legal advice, Management of the Holding Company is of the view that the present lockout is legal and justified 'and therefore, the Holding Company has not made any provision for wages pertaining to the lockout period from October 22, 2019 to September 30, 2022 aggregating to Rs.5,176 lakhs (current quarter 378 lakhs).

Page 2 of 4

Material Uncertainty on Going Concern

1. We draw attention to Note 5 to the accompanying consolidated statements, highlighting that due to recession in automotive sector and industrial unrest the Company is facing liquidity issues towards clearing of Its statutory dues, vendor payments and borrowings pertaining to its Engineering Division. This has significantly eroded the Group's and jointly controlled entity net worth and the current liabilities exceed the current assets by Rs. 1,287 lakhs as at September 30, 2022. The Holding Company has initiated restructuring of its Engineering Division as explained in the said note. The management of Holding Company believes that with the restructuring of its Engineering BusinessUndertaking along with the debt pertaining to said undertaking and infusing liquidity by focusing /managing of its remaining business undertaking/real estate operation, the Group and its Jointly controlled entities will be able to continue its operation on a going concern basis. Accordingly, the financial statements of the Company have been prepared on a going concern basis. Our conclusion is not modified in respect of this matter.

8. Other Matters

• a) We did not review the unaudited quarterly financial results of 4 subsidiaries (including. step down subsidiaries). whose reviewed quarterly standalone financial results reflect total asset of Rs. 159.10 lakhs as at September.30, 2022; total revenue of Rs. Nil and Rs. Nil, loss after tax of Rs.1 lakh and Rs. 1 lakh, total comprehensive loss of Rs. 1 lakh and Rs. 1 lakh for the quarter ended September 30, 2022, and the year to date results for the period April 01, 2022 to September 30, 2022, respectively, as considered in this statement. An independent auditor's review report on interim financial result of these subsidiaries has been furnished to us by the management and our conclusion on the statement, in so far as it relates to the amounts and disclosures in respect of these subsidiaries is based solely on the report of such auditors and procedures performed by us as stated in paragraph 3 above.
• b} We did not review the unaudited consolidated financial results of 1subsidiary, whose reviewed quarterly standalone financial results reflect total asset of Rs.121akhs as at September 30,2022; total revenue of Rs. Nil and Rs.Nil, loss after tax of Rs.Nil and Rs.Nil, total comprehensive loss of Rs.Nil and Rs. Nil for the quarter ended September 30, 2022, and the year to date results for the period April 01, 2022 to September 30, 2022, respectively, as considered in this statement. Our report, to the extent it concerns this subsidiary on the unaudited quarterly consolidated financial results is based solely on the management certified results. This subsidiary is not material to the Group.
• c) We did not review the unaudited consolidated financial results of one Joint venture entity, wherein Group's, share of profit including other comprehensive profit of Rs. 29 lakh and Rs. 83 lakh for the quarter ended september 30, 2022 and the year to date results for the period April 01, 2022 to September 30. 2022. An independent auditor's report on interim financial result of this joint venture has been furnished to us by the management and our conclusion on the statement, in so far as it relates to the amounts and disclosures in respect of this joint venture is based solely on the report of such auditors and procedures performed by us as stated in paragraph 3 above.

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S S KOTHARI MEHTA & COMPANY-"'-' CHARTERED ACCOUNTANTS

to the amounts and disclosures in respect of this joint venture is based solely on the report of such auditors and procedures performed by us as stated in paragraph 3 above.

d) We did not review the unaudited consolidated financial results of 3 subsidiaries of the jointly controlled entity, wherein Group's, share of profit including other comprehensive loss of Rs.0 lakh and Rs.0 lakh for the Quarter and and the year to date results for the period April 01, 2022 to September 30,2022., as considered in the statements. Our report, to the extent it concerns these entities on the unaudited quarterly consolidated financial results is based solely on the management certified results. These 3 subsidiaries of the jointly venture are not material to the Group.

Our conclusion on the Statement is not modified in respect of above matters .

. For S. S. Kothari Mehta & Company Chartered Accountants Firm Registration No: 000756N

~~/ SunilWahal

Place: New Delhi Dated: November 12, 2022 UDIN: 2,2oe,-=12!3L,!3C)i.yai SIb""

Page 4 of4

$\overline{f}$

$\overline{a}$

"
DCM LIMITED
Regd. Office: 2050-2052, 2nd Floor, Plaza-#, Central Square, 20. Manohar Lala Khurana Marg, Bara Hindu Rao, New Delhi - 110 006
E-mail: investors@ddcm.in Phone: 011-41539170
CiN: L74899DL.1889PLC000004

STATEMENT OF UNAUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER AND SIX MONTHS ENDED SEPTEMBER 30, 2022

	For the quarter ended S. No. Particulars				Six Months ended		For the year ended
		September 30, 2022	June 30, 2022	September 30, 2021	September 30, 2022	September 30, 2021	March 31, 2022
		Unaudited	Unasidited	Unaudited	Unaudited	Unaudited	Audited
	Revenue	1,771	1,788	1,669	3,559		6.977
	(a) Revenue from operations (b) Other income (refer Note 6)	795	205	586	1.000	3,258 2.209	3.736
	Total income	2,666	1,993	2,555	4,559	5,467	10,715
$\mathbf{Z}$	Expenses (a) Cost of materials consumed
(b)	Changes in inventories of finished goods and work in progress						41
(c)	Employee benefits expense	1,017	1,007	1,014	2,024	1,957	3,885
	(c) Finance costs	(40)	160	200	120	391	590
	(e) Depreciation and amortization expense	175	186	206	361	422	614
	(f) Other expenses	706	709	573	1,415	1,092	2,687
	Total expenses	1.858	2,062	1,993	3,920	3,862	8,017
							2,698
$\mathbf{3}$	Profit/(Loss) before tax and share of Profit/(Loss) of equity accounted investee	708	(69)	562	639	1,606
$\frac{\sigma}{\sigma_{\rm B}}$	Share of Profit/(Loss) of equity accounted investee	29	54	243	83	339	517
5	Profit/(Loss) before tax	737	(15)	805	722	1,944	3,215
$\mathfrak{g}$
	Tax experise Current tax	64	59	46	123	102	231
	Fax adjustment relating to crior periods			(35)		(35)	(34)
	Deferred tax expense.	$\circ$ 66	(2) 57	(2) 9	123	(5) 62	198
	Total tax expense
	Profiles surfer the periodlyear	673	(72)	796	599	1,881	3.017
	Other comprehensive income
(a)	terns that will not be reclassified to profit or loss
	Re measurement (losses)/ gains of defined benefit obligations (net of tax)	20	19	17	39	33	83
	(b) literns that will be reclassified to profit or loss Eschange difference in translating financial statements of foreign operations (net of tax)
	(c) Share in other comprehensive income/lexpense) of joint venture (net of tax)						Ŧ
33	Total comprehensive income(Expense) for the Persod:Year	691	(53)	813	638	1.914	3,101
10	Paid up equity share capital (Face value Rs 10 per shares)	1.668	1.868	1,868	1,868	1868	1,668
11	Other equity						(674)
12	Earnings/ (loss) per equity share (EPS) of Rs. 10 each (not annualised)
	Basic and dik-ted	3.59	(0.39)	4.26	3.23	10.07	16.15

$\ddot{\phantom{a}}$

1

DCM LIMITED

Notes:
1. Consolidated segment wise information for the quarter and six months ended September 30, 2022

							(Rupees in Lakh)
	S. No. Particulars		For the quarter ended		Six Months ended		For the year ended
		September 30, 2022	June 30, 2022	September 30, 2021	September 30, 2022	September 30, 2021	March 31, 2022
		Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Audited
	Segment revenue
	a) IT Services	1,771	1,788	1,668	3,559	3,250	6,867
	v) Real Estate
	c) Grey Iron Casting			1		$\mathbf{\hat{B}}$	110
	d) Others
	Total	1,771	1,788	1,669	3,559	3,258	6,977
	Less : Inter segment revenues	1,771	1,788
	Net revenue from operations			1,669	3,559	3.258	6,977
$\overline{2}$	Segment results (Profit/(loss) before tax and
	Interest from ordinary activities)
	a) IT Services	224	214	168	438	372	829
	b) Real Estate	(59)	100	629	41	1,481	1,539
C)	Grey Iron Casting	528	(212)	(29)	316	181	868
	d) Others			(1)		(1)	(2)
	Total	693	102	767	795	2,033	3,234
	Less : I) Finance costs	(40)	160	200	120	391	590
	: II) Un-allocable expenditure net of
	Un-allocable income	26	11	4	37	37	(54)
	Share of Profit /(loss) of equity accounted	29	54	243	83	339	517
	investee
	Profil/Hoss) before tax	736	${15}$	806	721	1.944	3,215
3	Segment assets
	a) IT Services	3,234	3,190	2,545	3,234	2,545	2,949
$\delta$	Real Estate	117		129	117	129
C	Grey Iron Casting	4,872	5,052	5,841	4,872	5,841	5,197
d	Others	19	13	34	19	34	13
	Total segment assets	8,242	8,255	8,549	8,242	8,549	8,159
	Others un-allocated	3.273	4,168	2,898	3,273	2,898	3,530
	Total assets	11,515	12,423	11,447	11,515	11,447	11,689
	Segment liabilities
	a) if Services	881	982	931	881	931	954
	b) Real Estate	6.188	5.141	1,860	6.188	1,560	3.416
	c1 Grey Iron Casting	1,929	2,435	4,086	1,929	4.086	3,106
	c) Others	10	10	23	10	23	10
	Total segment liabilities	9,008	8,568	6,900	9.008	6,900	7,486
	Others un-allocated (excluding borrowings)	676	670	721	676	721	682
	Total liabilities	9,684	9,238	7,621	9,684	7,621	8.168

$\ddot{\phantom{0}}$

$\leftarrow$

Regd. Office: 2050·2052, 2nd Floor, Plaz a-ll, Central Square, 20, Manohar Lala Khurana Marg, Bara Hindu Rao, New Delhi - 110006 Evmait: investors@dcm.in Phone: 011-41539170

STATEMENT	AND
OF AUDITED	LIABILITIES
CONSOLIDATED	AS AT SEPTEMBER
ASSETS	30,2022

		in Lakh) (Rupees
rrticulars	As at	As at
	30, 2022 September	Ma rch 31, 2022
1--. . • • .•.•.•. ._•.	-t	:U:::::n:::a:::u:::d~it.:::.e:::d1 :A.::u:.:;d::;it::::e=-td
I~~~~-~~rent assets
ipropeny plan: and equipment	3.918	4,227
Caprta! work-rn progress IRighl to use assets
i Intangible assets	71	57 7
t~Inanclal assets	6
(i) Investmenls	1,183	1,099
(Ii) Other financial assets	207	252.
Deterred lax assets (net)	56	56
INon-current tax assets (net)	408	397
!Other non-current asset.s	748	743
!Total non-current assets	6,597	6,838
iCurrent-assets
[inventories	1,058	: 1,059
:Financial assets
I (I) Trade receivables •	1,287	1,537
(Ii) Cash and cash equivalents	717	828
i (ill) Bank balances other than (Ii) above	794	521
(IV) Loans	22	19
(v) Other financial assets	448	476
IOther current assets	388	205
[Assets held for sate	205	205
'Total current assets	4,919 11,516	4,851
IEQUITY AND LIABILITIES [Equity
	1,868	1,868
equity	(37) 1,831	(674)
		1,194
liabilities
liabilities
1 Equity share capital :Other equity lTotal ILiabilities Non-current , Financial l(i) Borrowmqs
	29	32
liabilities	: 2,717	2.444
	7JJ r----~--·----J=--,--:-:47::-:9+-------·-·-3-,J-O-O	824
non- current liabilities
I (ia) Lease liabilities ,(ii) Other financial j Provrsions lTotal Icurrent liabilities
Financial liabilities
(i) Borrowings		2,327
(ia) lease Liabilities	54	39
(ii) Trade payables
Tota! outstanding dues of micro enterprises and small enterprises Total cutstanc.nq dues of creditors other than micro enterprises and small enterprises	46~1	56 1,095
	I
(ili) Other hnanciat liatnlities	5,1111	3,083
Other current liabilities	393	391
Provisions	156	155
Current tax liabilities (net) Totat current tiabilities	26 6,206	38 ·----7;195

l

I

DCM Limited

Consolidated cash flow statement for the period ended September 30, 2022

	For the period ended	(Rupees In lakh) For the oenod ended
	September 30, 2022	September 3D, 2021
Cash flow from operating activities
Profit before taxation - Continued operations
Adjustments for.	721	1,944
Depreciation and amortisation expense
(Profit) I Loss on assets sold or discarded (Net)	361	422
Income from sale of rights in flats	(6)	8
Liabihties no longer required written back	(41)	(1,481)
trterest income	(835)	(694)
Finance costs	(25)	(13)
Remeasuremenl of revenue lo.Iinance income and lease receivable	120	391
Share of Profit in jointly controlled entity		2
	(83)	(339)
Operating cash flow before working capital changes	212	240
Changes in assets and liabilities
(Increase)/decrease in inventories
in trade receivables (tncrcasel/decrease	1	2
(!ncre3~e)/decre()se In loans ana aovances	249	(77)
(increase)! decrease in other financial assets	(2)
(lncrc:asej/declease ITlother assets	339	(424)
Increasel (0ecredse) ill trade f.,li.1yatJles	(188)	1,451
Increase/(decrease) inprovisions	(605)	(1,587)
in financial liabilities tncrease/rdecrease)	(130)	22
Increase/(decrease) in other liabilities	2,217	377
	2	(12)
Cash ger.erated from operations	2,095	(8)
Income tax (paid)lreceived (net of refund)	(146)	(148)
Net cash (used) in / generated from operating activities (A)	1,949	(156)
Casn flow from investing activities
Payments towards Property, plant and equipment (including Capital Advances)	(29)	(3)
Proceeds from disposal of Property, plant and equipment (including advance received)	12	80
Interest received on financial assets measured at amortised cost	15	13
Maturity of I (Investment in) bank deposits (net) not considered as cash and cash equivalents	(272)	(107)
Net cash (used) in investing activities (8)	(274)	, (17)
.<:;.ash "ow from financing activities
Repayment at borrowings	(378)	(16)
Changes in working capital borrowings	(1,203)
Payment towards lease liability	(25)
Interest paid	(180)	(16)
		(25)
Net cash (used) in financing activities (C)
Net cash flows [increasel(decrease)] during the period (A+B+C)	(111)	(230)
Cash and cash equivalents at the beginning of the period	828	427
Cash and cash equivalents at the end of the period	717	197
Components of cash and cash equivalents
Cash on hand
Balances with scheduled banks:
- Current accounts	421	176
- Deposit accounts	295	20
Cash and cash equivalents at the end of the period

..~.............•........................................•.........••.•..................................................••.........•...... _..•.........-...•-..•....---•.~---------

• 1. This Statement has been prepared in accordance with the Companies (Indian Accounting Standards) Rules, 2015, as amended (Ind AS), prescribed under Section 133 of the Companies Act, 2013, and other recognized accounting practices and policies to the extent applicable.
• 1. In view of continued situation of industrial unrest at Engineering Business Division of the Holding Company, situated at Village Asron, District Shaheed Bhagat Singh Nagar (Punjab), the management of the Division has recommended to declare a lockout. The Board of Directors of the Holding Company in their meeting held on October 21, 2019 has accordingly approved the declaration of lockout at its said Engineering Business Undertaking w.e.f. October 22, 2019.

The said lockout was opposed by the workmen of said Engineering Division before the Labour Authorities and presently the matter remained sub-judice before the labour authorities. Based on the legal advice received by the Holding Company, the management of the Holding Company is of the view that the present lockout is legal and justified. Therefore, the Holding Company has not made any provision for wages pertaining to the lockout period October 22, 2019 to September 30, 2022 aggregating to Rs. 5,176 lakhs out of which Rs. 378 lakhs pertain to quarter ended on September 30, 2022.

4 The Board of Directors of the Holding Company in its meeting held on November 28, 2019, have approved a composite scheme of arrangement for transfer of its "Engineering Business undertaking" to its wholly owned subsidiary namely DCM Engineering Limited (formerly knO'WTIas DCM Tools and Dies Limited), on a going concern basis with effect from the appointed date of October 01, 2019 and restructuring of outstanding loans, debts and liabilities of the said Engineering Business Undertaking. The filing of Scheme for seeking approval from Hon'ble National Company Law Tribunal (NCL T) under Section 230 - 232 of the Companies Act, 2013 remained pending awaiting in principle approval of secured lenders (Banks) due to default in payment of their dues. Pursuant to repayment of dues of all the banks as stated in note No 5 below. the Company is in process of taking necessary steps in this regard.

Since. the aforesaid Scheme is subject to approval from concerned regulatory authorities which is considered to be substanrive,che accounting effect of the above Scheme has not been considered in these consolidated financial results. For revival of the Engineering Business Undertaking of the Group, it is considered . necessary to induct strategic panner(s) in the said Business.

1. Due to continued situation of lockout of Engineering Business operation, the Group's net worth has significantly been reduced and the current liabilities exceed the current assets by Rs 1287 lakhs as at September 30. 2022. As a result, the Holding Company has been facing liquidity issues towards cJearing the dues of creditors/banks and other liabilities pertaining to the said Engineering Business. However, the Holding Company has repaid the dues of all the banks under one time settlement as well as majority of the claims of other creditors out of the liquidity available from its real estate operation and/or other interim measures taken in this regard.

The Scheme of Arrangement mentioned in note 4 above was approved by Board of Directors in order to restore profitability and revive the said Engineering Business Undertaking and infuse sufficient Ii quidity by facilitating strategic investment and further sale/development of land parcel(s) owned by the Holding Company andlor restructuringisettlement of outstanding loans, debts and liabilities pertaini ng to the Engineering Business.

The management believes that 'with the above restructuring of Engineering Business Undertaking under the said Scheme and infusing liquidity by focusing Imanaging of its remaining business undertaking/real estate operation (refer note 8 below) as well as other interim measures to improve liquidity, the Compa ny will be able to continue its operation on a going concern basis.

Accordingly, the financial results of the Company have been prepared on a going concern basis .

..·1-.

• 1. Other income includes income from transfer of right in residential flats of amount Rs.(58.50) lakh for the quarter ended September 30, 2022 (Quarter ended June 30, 2022- Rs.. 100 lakh) and Liabilities / Provision no longer required wri tten back of amount Rs. 781 lakh for the quarter ended September 30, 2022 (Quarter ended June 30, 2022- Rs.44 lakh),
• 1. The Holding Company had received certain recovery notices/petitions from the creditors and the bankers who have provided working capital/terms loan facilities to the Engineering Division of the Company. Pursuant to repayment of dues to all the banks as well as majority of the claims of other creditors mentioned in note. 5 above, most of these recovery notices/ petitions have been withdrawn or are in the process of withdrawal. Further, the banking operation of the Holding Company which was discontinued by the Bankers in view of notification of RBI restricting opening/operation of current account by customers who have availed Cash Credit I Overdraft facilities, have also become regular.
• 1. The Holding Company is in process for development of its 68.35 acres ofland in the revenue state of Village Bir HisCJ[,Sector-23, Hisar, Haryana, The Company has signed a joint development agreement in this regard with 3 party which is subject to fulfilment of certain terms and conditions by the said party and regulatory approvals. The Holding Company has received a license on November 10, 2022 under Regulation of Urban Area Act, 1975 for setting up of affordable residential plotted colony under Deen Dayal Jan Awas Yojana-2016 on the area admeasuring 67.275 acres of said land.
• 1. The Holding Company has reviewed the deferred tax asset/deferred tax liabilities on. deductible/taxable temporary differences between tax base of asset and liabilities and their carrying amount for financial reporting purposes ill each reporting date. However, due to continue situation of uncertainty of sufficient taxable profit to recover the accumulated losses and unused tax credits taxable profits in future years related to holding Company, deferred tax asset have not been considered in the financial results.
• 1. The audited standalone financial results are available on the Holding Company's website www.dcm.in, The particulars in respect of Holding Company's standalone results are as under:

(Rs, in lakh)

_.. I.~

, Particulars		Quarter ended		Six Months ended	Year ended
1 I--'~'"----	r September dQJ022	.June 30, I 2022 i	September 30.2021	September 30.2022	September' I "larch 30.2021	31, 2022
I Revenue from ooerations	i -:-j	-	1		8	no
Profit/(Joss) before tax .-- -. ,~ _	4~.?J	"-·"(~~I	348	159	1,158	1,743
- Profit~(I~~~"after tax	- 499 __ ._--"	(340)	383	159	1,193	1,778
I Total comprehensive income	518	(321)	399	197	1,225	1,854
Profit before interest, ~ deE!:.£S.l:!ti on_l!~.~t.~~ig.mJ2.I~	615 I	(13)	738	602	1,939	3,084
I c~5~_px~f!ti.n2~~L_1	656	(170)	576	486	1.589 I	I 2,540

The unaudited consolidated financial results for the quarter and half year ended September 30, 2022 and September 2021, unaudited consolidated results for the quarter ended June 30, 2022, and audited consolidated financial results for the year ended March 31, 2022 have been prepared by the Group in accordance with the requirements of Ind AS 110 "Consolidated Financial Statements", Ind AS 111 "Joint Arranzements" andlnd AS 28 "Investments in Associates-end Joint Ventures", as specified under ^o / , • i~~::'7-,'.~_ .·~: Section 133 of the Companies Act, 2013, read with the Companies (Indian Accounting Standards) Rules, 2015 and on the basis of the separate audited financial results of the Parent Company, its subsidiaries, its trust and jointly controlled entity and subsidiaries of the jointly controlled entity.

The audited financial results of 6 subsidiaries namely DCM Infotech Limited (Formerly known as DCM Realty Investment & Consulting Limited), DCM Infinity Realtors Limited (Formerly known as DCM Data Systems Limited), DCM Landmark Estates Limited (Formerly known as DCM Textiles Limited), DCM Engineering Limited (Formerly known as DCM Tools & Dies Limited), DCM Realty and Infrastructure Limited and DCM Engineering Products Education Society (a trust treated as subsidiary for consolidation purpose) have been consolidated. Financial statements of 5 out of above 6 have been reviewed by their respective statutory auditors.

• II. The figures for the previous periods have been regrouped / rearranged wherever necessary,
• 1. The above results have been reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on November 12, 2022. The limited review report of the statutory auditors is being filed: with the BSE Ltd and National Stock Exchange of India Ltd. For more details on the consolidated results, visit Company's website www.dcm.inandFinanciaIResultsunderCorporatessectionofww\v.nseindia.com and www.bseindia.com,

.For and on behalf ofthe Board.of Dfrectors " -:;h ':<,'.:,:. ^~

Place: New Delhi. Date: November 12, 2022 Jitendra Tuli

t... ',. ~. ;. , ',.•- " . .~<,

Managing Director DIN: 00272930