DIGISPICE TECHNOLOGIES LIMITED — Interim / Quarterly Report 2020

Jun 26, 2020

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Date: June 26, 2020

BSE Limited

Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai – 400 001 Scrip Code: 517214

National Stock Exchange of India Limited

Exchange Plaza, Plot No. C/1, G Block Bandra – Kurla Complex, Bandra (E), Mumbai – 400 051

Scrip Code: DIGISPICE

Sub.: Outcome of Board Meeting pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015

Dear Sir/Madam,

A Meeting of the Board of Directors of the Company was held on 26[th] June, 2020 and the Board interalia considered and approved the following matters:

• A. Audited Financial Results for the Quarter and Financial Year ended March 31, 2020 and Auditors’ Reports thereon.

In pursuance to Regulation 33 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (hereinafter referred to as 'Regulations'), please find enclosed herewith as the following for the quarter and financial year ended March 31, 2020 (“ Annexure-A”) :

1. Audited Financial Results both consolidated as well as standalone;

2. Auditors’ Reports on the aforesaid results by M/s. Singhi & Co., Chartered Accountants, the Statutory Auditors of the Company; and

3. Declaration regarding Audit Reports with Unmodified Opinion issued by M/s. Singhi & Co., Chartered Accountants, the Statutory Auditors of the Company, on both the results, i.e. standalone as well as consolidated.

The above Audited Financial Results has been reviewed by the Audit Committee and approved by the Board of Directors of the Company in their meetings held on 25[th] June, 2020 and 26[th] June, 2020, respectively.

B. Appointment of Mr. Ravindra Sarawagi as Chief Financial Officer

The Board of Directors in its meeting held today i.e. on 26[th] June, 2020 has, on the recommendation of the Audit Committee and Nomination and Remuneration Committee, has appointed Mr. Ravindra Sarawagi as Chief Financial Officer (CFO) of the Company with immediate effect. Requisite details as required under Regulation 30 of the Regulations is given below:

Name of CFO	Reason for **Change **	Date of Appointment	Brief Profile
Mr. Ravindra Sarawagi	Appointment	26thJune, 2020	Brief profile of Mr. Ravindra Sarawagi isgiven below.

DiGiSPICE Technologies Limited

(Formerly Spice Mobility Ltd.)

CIN - L72900DL1986PLC330369

Regd. Office: 622, 6[th] Floor, DLF Tower A, Jasola District Centre, New Delhi 110025, Tel: +91 11 41251965 Corp. Office: Spice Global Knowledge Park, 19A & 19B, Sector-125, Noida- 201301, Uttar Pradesh, India - Tel: +91 120 3355131 Email ID: Complianceofficer@smobility.in I Website: www.digispice.com

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Brief profile of Mr. Ravindra Sarawagi

Mr. Ravindra Sarawagi is a fellow member of the Institute of Chartered Accountants of India and CFA, USA (Level II). He has an overall experience of more than 19 years in industries like IT Services, Publication and mobile Devices. He has been associated with the group for 9 years and has been managing various activities including financial analysis, audits, internal & regulatory reporting, accounting operations, formulation of business plans etc. He has also been actively working with the business teams in driving the Board strategy at the operating level. His last role was as Deputy CFO of the Company from 4[th] February, 2020.

• C. Authorization for intimation pursuant to Regulation 30(5) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

In suppression to the earlier authorization, the Board of Directors has authorized the following KMPs of the Company for the purpose of determining materiality of an event or information and for making disclosure to the Stock Exchanges under Listing Regulations:

S. No.	Name	Designation	Email Id of the authorized KMPs
1.	Mr. M. R. Bothra	Vice President – Corporate Affairs & Company Secretary	mr.bothra@spiceglobal.com
2.	Mr. Rohit Ahuja	Executive Director	rohit.ahuja@spiceglobal.com
3.	Mr. Ravindra Sarawagi	Chief Financial Officer	ravindra.sarawagi@digispice.com

The contact number of the KMPs is 0120 – 3355131

The said Board Meeting commenced at 11:00 and concluded at 14:25.

You are requested to kindly take the aforesaid information on record.

Thanking you.

Yours faithfully, For DiGiSPICE Technologies Limited (formerly Spice Mobility Limited)

Sd/-

M.R. Bothra Vice President – Corporate Affairs & Company Secretary

Ph. No. 0120 – 3355131

Encl.: as above

Note: In view of the Guidelines issued by the stock exchanges for submission of the documents in the wake of CoVID-19 virus pandemic, this document is being submitted without signature of the aforesaid signatory i.e. with Sd/-.

DiGiSPICE Technologies Limited (Formerly Spice Mobility Ltd.) CIN - L72900DL1986PLC330369

Regd. Office: 622, 6[th] Floor, DLF Tower A, Jasola District Centre, New Delhi 110025, Tel: +91 11 41251965 Corp. Office: Spice Global Knowledge Park, 19A & 19B, Sector-125, Noida- 201301, Uttar Pradesh, India - Tel: +91 120 3355131 Email ID: Complianceofficer@smobility.in I Website: www.digispice.com

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DiGiSPICE Technologies Limited (formerly Spice Mobility Limited)

Regd. Office : 622, 6th Floor, DLF Tower A, Jasola Distt. Centre, New Delhi -110025 Email Id: complianceofficer@smobility.in, Website: www.digispice.com Tel: +91 11 41251965, CIN No - L72900DL1986PLC330369 Audited Consolidated Financial Results for the quarter and year ended March 31, 2020

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(Rs. In Lakhs)
STATEMENT OF CONSOLIDATED AUDITED FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED MARCH 31, 2020
Consolidated
3 months ended Year ended
31.03.2020 31.12.2019 31.03.2019 31.03.2020 31.03.2019
Sl.No. Particulars
(Audited) (Audited)
Refer Note 8 (Unaudited) Refer Note 8 (Audited) (Audited)
1 Income
Revenue from services 10,397.24 9,409.63 11,251.06 40,718.20 37,668.39
Other Income 246.75 185.82 781.22 1,166.19 1,836.65
Total Income 10,643.99 9,595.45 12,032.28 41,884.39 39,505.04
2 Expenses:
Cost of goods and services procured 4,557.51 3,023.91 3,530.11 13,671.67 8,151.39
(Increase) / Decrease in inventories of procured goods 17.65 (8.52) 17.72 (31.11) (25.81)
Cost of services rendered 3,574.29 3,511.08 3,267.90 15,049.17 12,271.60
Employee benefits expense (Refer note 3) 1,136.14 1,481.92 2,237.51 6,119.32 8,600.57
Other expenses 1,291.12 1,287.89 1,845.94 5,216.64 7,127.56
Depreciation and Amortization expense 655.57 510.02 441.31 2,061.67 1,797.07
Finance costs 91.44 118.34 81.76 422.81 262.15
Total expenses 11,323.72 9,924.64 11,422.25 42,510.17 38,184.53
3 Profit / (Loss) before exceptional items and tax (679.73) (329.19) 610.03 (625.78) 1,320.51
4 Share in Profit/ (Loss ) of Associates and Joint Venture (46.00) 13.18 (72.41) (88.87) (116.55)
5 Exceptional items
Gain on sale of a subsidiary - - - - (0.09)
Settlement of old Excise & Service tax Cases - 182.34 182.34 -
Provision for diminution in the value of non current investments 1,333.23 1,333.23 -
Provision for doubtful debts and loans and advances 4,447.61 4,447.61 -
De Recognition of related Loan Liability (1,343.88) (1,343.88) -
6 Profit /(Loss) before tax (5,162.69) (498.35) 537.62 (5,333.95) 1,204.05
7 Tax expense: 35.85 65.66 (271.88) 197.73 286.76
8 Profit /(Loss) for the year from Continuing Operations (5,198.54) (564.01) 809.50 (5,531.68) 917.29
9 Profit /(Loss) before tax from Discontinued Operations (21.50) (16.79) (12.77) (39.34) (9.15)
10 Tax expenses from Discontinued Operations - - - - -
11 Profit/(Loss) after tax from Discontinued Operations (21.50) (16.79) (12.77) (39.34) (9.15)
12 Profit/(Loss) after tax (5,220.04) (580.80) 796.73 (5,571.02) 908.14
13 Other Comprehensive Income from continuing operations
Items that will not be reclassified to Profit or Loss (103.14) - (6.93) (103.14) (6.93)
Items that will be reclassified to Profit or Loss (71.81) 172.44 (4.57) 77.87 88.58
Income Tax relating to items that will not be reclassified to Profit or Loss 28.69 - 1.68 28.69 1.68
14 Other Comprehensive Income from discontinued operations
Items that will not be reclassified to Profit or Loss - - - - -
Items that will be reclassified to Profit or Loss - - - - -
15 Total Comprehensive Income for the period/ year (Comprising Profit /(Loss) and Other (5,366.30) (408.36) 786.91 (5,567.60) 991.47
Comprehensive Income for the period/ year)
16 Profit/( Loss) for the year (5,220.04) (580.80) 796.73 (5,571.02) 908.14
Attributable to: Equity holders of the Parent (4,514.58) (565.66) 753.64 (4,928.49) 605.59
Attributable to: Non-Controlling Interests (705.47) (15.14) 43.09 (642.53) 302.55
17 Total comprehensive income for the year (5,366.30) (408.36) 786.91 (5,567.60) 991.47
Attributable to: Equity holders of the Parent (4,649.16) (445.03) 743.01 (4,959.53) 683.35
Attributable to: Non-Controlling Interests (717.14) 36.67 43.89 (608.07) 308.12
18 Paid up Equity Share Capital (Face value of Rs.3/- each) 6,055.02 6,055.02 6,054.90 6,055.02 6,054.90
19 Other Equity 16,311.92 22,417.14
20 Earnings Per Share (in Rs.) (Continuing operations) (of Rs. 3/- each) (Not Annualized)
(a) Basic (1.97) (0.24) 0.34 (2.15) 0.27
(b) Diluted (1.97) (0.24) 0.34 (2.15) 0.27
21 Earnings Per Share (in Rs.) (Discontinued operation) (of Rs. 3/- each) (Not Annualized)
(a) Basic (0.01) (0.01) (0.01) (0.02) (0.00)
(b) Diluted (0.01) (0.01) (0.01) (0.02) (0.00)
22 Earnings Per Share (in Rs.) (of Rs. 3/- each) (Not Annualized)
(a) Basic (1.98) (0.25) 0.33 (2.16) 0.27
(b) Diluted (1.98) (0.25) 0.33 (2.16) 0.27
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SEGMENTWISE REVENUE, RESULTS, ASSETS AND LIABILITIES UNDER REGULATION 33 OF SEBI (LISTING OBLIGATIONS AND DISCLOSURE REQUIREMENTS) REGULATIONS, 2015

1 Segment Revenue (Net): Digital Technology Services (DiGiSPICE) Financial Technology Services (Spice Money) Less : Intra Segment Revenue Revenue from Operations 2 Segment Results -Profit/ (Loss) before tax and Interest: a Digital Technology Services (DiGiSPICE) b Financial Technology Services (Spice Money) Less: Finance costs Less : Other unallocable (expense) net of unallocable income Total Profit/ (Loss) before Tax Exceptional items Profit /(Loss) from Continuing Operations Profit/(Loss) from Discontinued Operation Profit/(Loss) before tax including Discontinued Operation 3 Segment Assets: Digital Technology Services (DiGiSPICE) Financial Technology Services (Spice Money) Discontinued Operation Unallocated Total 4 Segment Liabilities: Digital Technology Services (DiGiSPICE) Financial Technology Services (Spice Money) Discontinued Operation Unallocated Total Sl.No. Particulars

31.03.2020 31.12.2019 31.03.2019 31.03.2020 31.03.2019 (Audited) Refer Note 8 (Unaudited) (Audited) Refer Note 8 (Audited) (Audited) 3,056.11 3,543.88 6,310.38 15,694.72 23,749.27 7,341.13 5,865.75 4,942.04 25,023.48 14,006.42 - (1.36) - (87.30) 10,397.24 9,409.63 11,251.06 40,718.20 37,668.39 0.01 0.01 - - (89.45) 178.57 564.26 861.42 2,382.08 (71.48) (8.53) 20.59 79.40 (629.01) (91.44) (118.34) (81.76) (422.81) (262.15) (473.35) (367.71) 34.53 (1,232.66) (286.87) (725.72) (316.01) 537.62 (714.65) 1,204.05 (4,436.97) (182.34) - (4,619.30) - (5,162.69) (498.35) 537.62 (5,333.95) 917.29 (21.50) (16.79) (12.77) (39.34) (9.15) (5,184.19) (515.14) 524.85 (5,373.29) 908.14 - 0.01 (0.01) - 11,790.66 17,193.41 18,919.18 11,790.66 18,919.18 7,145.04 8,340.74 10,017.28 7,145.04 10,017.28 527.43 536.67 519.81 527.43 519.81 22,337.60 23,941.11 23,403.34 22,337.60 23,403.34 41,800.73 50,011.93 52,859.61 41,800.73 52,859.61 7,582.86 8,184.14 8,927.75 7,582.86 8,927.75 6,952.77 6,681.92 6,596.18 6,952.77 6,596.18 356.58 360.27 659.23 356.58 659.23 3,640.59 5,977.68 6,698.98 3,640.59 6,698.98 18,532.80 21,204.00 22,882.14 18,532.80 22,882.14 (Rs. In Lakhs) Consolidated 3 months ended Year ended

Notes :

1 The above results were reviewed by the Audit Committee and approved by the Board of Directors in their meetings held on 25th June 2020 and 26th June 2020 respectively. The results have been subjected to audit by the statutory auditors. The financial results are in accordance with the Indian Accounting Standards (''IND AS'') as prescribed under Section 133 of Companies Act, 2013 read with relevant rules made thereunder.

2 The Consolidated Financial results for the quarter and year ended on March 31, 2020 represents consolidated results of the Company, its Subsidiaries, Joint Venture and Associates.

3 Employee benefit expense for the current quarter and for the year includes Rs. (113.10) Lakhs and INR 53.85 Lakhs (Previous quarter - Rs. 38.70 Lakhs, previous year – Rs 669.44 Lakhs) being the provision for fair value of Options granted under Employee Stock Option Plans of the Company and a Subsidiary recognised in accordance with the provisions of IND AS 102.

a) The Exceptional items for the year amounting to Rs 182.34 lakhs comprises of settlement of old liabilities pertaining to central excise and service tax matter under the scheme Sabka Vishwas Legacy Dispute Resolution Scheme, 2019.

b)The Company and its subsidiaries reviewed the entire portfolio of its receivables and its investments and, on a conservative basis, have made a provision of Rs 4,447.61 Lakhs, including Rs 3607.79 lakhs of receivable due from a customer under a long term contract the payment of which was linked to certain milestones and fund raise of the customer , impairment of Rs. 1333.23 Lakhs of investment (net of FCTR income of Rs 24.66 lakhs) and derecongnition of loan liability of Rs.1343.88 Lakhs (net of FCTR loss of Rs 24.85 lakhs) in the quarter ended 31st March 2020. Since 4 this provision has mainly arisen due to inordinate delays, business uncertainties and stress over cash-flows of our customers accelerated by the spread of Covid 19 pandemic all over the world, this has been shown as Exceptional item”.

Except as disclosed above, the management believes that there may not be significant impact of Covid-19 pandemic on the financial position and performance of the Company, in the long-term. The Company estimates to recover the carrying amount of all its assets including receivables and loans in the ordinary course of business based on information available on current economic conditions. These estimates may change and be affected by the severity and duration of pandemic. The Company is continuously monitoring any material change in future economic conditions.

5 Effective April 1, 2019, the Group adopted Ind AS 116 "Leases". applied to all lease contracts existing on April 1. 2019. The effect of this adoption is not material on the profit for the period and earnings per share.

6 The paid up equity share capital of the Company is Rs. 6,837.06 Lakhs. However, taking a conservative interpretation of "Ind AS 32", the paid up equity share capital had been reduced by Rs. 782.04 Lakhs (31 Dec 2019 - Rs. 782.04 Lakhs) being the face value of 26,067,843 (31 Dec 2019 - 26,067,843) equity shares of Rs. 3/- each held by two trusts viz. Independent Non Promoter Trust and Independent Non Promoter (Spice Employee Benefit) Trust .

• 7 Tax expense includes provisions for current income taxes, deferred taxes, foreign taxes and income tax adjustments for earlier years.

• 8 The figures for the Quarter are the balance figures between audited figures for the full financial and published year to date figures up to the third quarter of the relevant financial year.

• 9 Previous period’s figures have been regrouped and/or recasted, wherever considered necessary to conform to the current period presentation.

By order of the Board

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DiGiSPICE Technologies Limited (formerly Spice Mobility Limited) Rohit Ahuja Executive Director

Dated : 26-Jun-20 Place : Delhi

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Statement of Assets And Liabilities

(Rs. In Lakhs)

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S.No. Particulars Consolidated
As at As at
31.03.2020 31.03.2019
(Audited) (Audited)
A Assets
1 Non Current assets
(a) Property, plant and equipment 3,594.70 4,332.51
(b) Capital work in progress 85.92 130.01
(c) Right of Use Assets 505.75
(d) Investment property 1,576.14 1,676.53
(e) Goodwill 5,152.05 5,139.03
(f) Other intangible assets 1,582.03 1,528.50
(g) Intangible assets under development 273.57 251.33
(h) Investment in an associates and a joint venture 592.77 665.13
(i) Financial assets
(i) Investments 5.00 1,323.31
(ii) Loans 388.33 421.58
(iii) Other financial assets 13.17 55.15
(j) Deferred tax assets 2,874.37 2,368.11
(k) Other non current assets 71.79 134.58
(l) Non current tax assets 5,890.01 5,782.40
Total Non-Current Assets 22,605.60 23,808.17
2 Current Assets
(a) Inventories 62.45 31.34
(b) Financial assets
(i) Investments - 239.30
(ii) Trade receivables 4,633.99 7,391.47
(iii) Cash and cash equivalent 4,942.54 3,489.34
(iv) Bank balance other than (iii) above 3,239.50 3,373.57
(v) Loans 21.18 193.25
(vi) Other financial assets 3,782.46 12,069.43
(c) Current Tax assets (Net) 633.28 -
(c) Other current assets 1,352.30 1,743.93
(d) Assets of a discontinued business 527.43 519.81
Total Current Assets 19,195.13 29,051.44
Total Assets 41,800.73 52,859.61
B EQUITY AND LIABILITIES
1 Equity
(a) Equity share capital 6,055.02 6,054.90
(b) Other equity 16,311.92 22,417.14
Equity attributable to holders of the parent 22,366.94 28,472.04
Non controlling interests 900.99 1,505.44
Total Equity 23,267.93 29,977.47
2 Non Current Liabilities
(a) Financial liabilities
(i) Borrowing - 1,277.85
(ii) Lease liability 64.92
(iii) Other financial liabilities 68.46 43.83
(b) Provisions 813.91 679.10
(c) Other liabilities 20.25 27.56
Total Non-Current Liabilities 967.54 2,028.34
3 Current Liabilities
(a) Financial liabilities
(i) Borrowing 2,516.55 4,454.19
(ii) Trade and other payables
- total outstanding dues of micro and small enterprises 18.58 3.64
- total outstanding dues of creditors other than micro and samll enterprises 6,810.75 7,619.02
(iii) Lease liability 58.91
(iii) Other financial liabilities 772.22 1,224.14
(b) Other liabilities 6,415.54 6,329.21
(c) Provisions 117.99 139.80
(d) Current tax liabilities (Net) 498.14 424.57
(e) Liabilities of a discontinued business 356.58 659.23
Total Current Liabilities 17,565.26 20,853.80
Total EQUITY AND LIABILITIES 41,800.73 52,859.61
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DiGiSPICE Technologies Limited (Formerly known as Spice Mobility Limited) Consolidated Cash flows statement for the year ended 31 March 2020

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(Amount in Rs. Lakhs)
For the year ended For the year ended
31 March 2020 31 March 2019
CASH FLOWS FROM / (USED IN) OPERATING ACTIVITIES
Profit/(loss) before tax from continuing operations (5,333.96) 1,204.07
Profit/(loss) before tax from discontinued operations (39.34) (9.15)
Profit/(Loss) before tax (5,373.30) 1,194.92
Adjustments for :
Exceptional items
Provision for diminution in the value of non current investments 1,333.23 -
Provision for doubtful debts and loans and advances 4,447.61 -
De Recognition of related Loan Liability (1,343.88) -
Gain on sale of a subsidiary - (0.09)
Net Loss on foreign currency transactions and translations (34.12) 145.45
Share of loss of associates and a joint venture 88.87 116.53
Depreciation and amortisation expense 2,061.67 1,797.07
(Profit)/Loss on disposal of plant, property and equipment's (net) 23.71 5.07
Interest income (662.09) (685.97)
Rental Income on investment property net of directly attributable expense 93.16 (20.15)
Fair value gain on financial instruments at fair value through profit or loss - (14.30)
Profit on sale of investment in an associates - (110.44)
Net loss/(gain) on sale of current investments in mutual fund units 1.21 1.93
Unclaimed balances written back (net) (29.52) (190.60)
Gain on Deemed Loss of Control recognised in statement of profit and - (561.09)
Interest expense 422.81 262.15
Employee ESOP Compensation 53.84 669.44
Provision for doubtful investments 0.50 152.88
Provision for Loss Allowances 112.10 209.96
Irrecoverable balances written off 115.61 468.25
Operating profit/(loss) before working capital changes 1,311.41 3,441.01
Movements in working capital:
(Increase)/Decrease in inventories (31.11) (25.81)
(increase)/Decrease in trade receivables 1,229.48 (4,318.79)
(Increase)/Decrease in other receivables 5,791.78 (6,348.28)
Increase/(Decrease) in trade payables (1,064.17) 2,660.47
Increase in other payable (360.58) 3,467.25
(Decrease) in provisions 59.01 (537.98)
Cash (used in)/from operations 6,935.82 (1,662.13)
Direct taxes paid (net of refunds) (1,190.31) (1,685.42)
Net cash (used in) operating activities 5,745.51 (3,347.55)
CASH FLOWS FROM / (USED IN) INVESTING ACTIVITIES
Purchase of plant, property and equipment's (including capital work in (977.45) (986.54)
progress and capital advances)
Purchase/development of intangible assets (660.61) (459.32)
(Including intangible assets under development)
Proceeds from disposal of plant, property and equipment's and intangible assets 80.11 150.94
Proceeds from sale of investment in an associate company - 123.00
Sale of current investments 238.09 265.85
Purchase of current investments - (225.00)
Proceeds from sale of subsidiary - 625.01
Receipt from Employee benefit trust against loan repayment - 20.01
Interest received 509.79 689.35
Rental income (93.16) 20.15
Fixed deposits refunded/(created) by banks (net) 164.35 (352.35)
Net cash (used in)/from investing activities (738.88) (128.90)
CASH FLOW FROM / (USED IN) FINANCING ACTIVITIES
Proceeds/(repayment) from current borrowings (1,081.55) 325.03
Dividend Paid (1,150.04) -
Repayment of Lease Liability (53.46) -
Interest paid (422.78) (262.15)
Net cash from/(used in) financing activities (2,707.83) 62.88
Net Increase/(decrease) in cash and cash equivalents (A + B + C) 2,298.80 (3,413.57)
Net cash acquired on acquisition/(disposal) of subsidiary - (269.64)
Cash and cash equivalents at the beginning of the year 1,106.52 4,789.73
Cash and cash equivalents at the end of the year 3,405.32 1,106.52
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DiGiSPICE Technologies Limited (formerly Spice Mobility Limited) Regd. Office : 622, 6th Floor, DLF Tower A Jasola Distt. Centre, New Delhi -110025

Email Id: complianceofficer@smobility.in, Website: www.digispice.com Tel: +91 11 41251965, CIN No - L72900DL1986PLC330369

Audited Standalone Financial Results for the quarter and year ended March 31, 2020

(Rs. In Lakhs)

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STATEMENT OF STANDALONE AUDITED FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED MARCH 31, 2020
Sl.No. Particulars Standalone
3 months ended Year ended
31.03.2020 31.12.2019 31.03.2019 31.03.2020 31.03.2019
(Audited) Refer (Audited)
Note 9 (Unaudited) Refer Note 9 (Audited) (Audited)
1 Income
Revenue from services 2,434.12 2,697.79 4,773.16 12,129.93 15,663.95
Other Income 379.96 195.62 792.36 1,067.25 1,562.42
Total Income 2,814.08 2,893.41 5,565.52 13,197.18 17,226.37
2 Expenses:
Cost of goods and services procured 146.90 - 1,199.06 146.90 1,389.50
(Increase) / Decrease in inventories of procured goods - - - - -
Cost of services rendered 1,503.76 1,440.85 1,658.07 7,138.22 6,585.02
Employee benefits expense (Refer note 2) 637.61 866.28 1,292.54 3,486.10 4,969.72
Other expenses 644.18 570.53 772.15 2,534.63 3,153.31
Depreciation and Amortization expense 278.78 219.86 225.86 918.30 894.13
Finance costs 49.32 72.00 56.24 249.27 186.08
Total expenses 3,260.55 3,169.52 5,203.92 14,473.42 17,177.76
3 Profit / (Loss) before exceptional items and tax (446.47) (276.11) 361.60 (1,276.24) 48.61
4 Exceptional items
- Provision made/(reversed) for doubtful loans, debts and advances of subsidiary Companies 913.62 - 36.02 913.62 (170.82)
-Settlement of old Excise & Service tax Cases - 182.34 - 182.34 -
- Provision made/(reversed) for impairment in the value of long term investments 5,000.64 - 5,000.64 -
- Provision made/(reversed) for doubtful loans and debts and advances 690.09 - 690.09 -
5 Profit /(Loss) before tax (7,050.82) (458.45) 325.58 (8,062.93) 219.43
6 Tax expense: (27.68) (89.02) (601.50) (184.01) (577.46)
7 Profit/(Loss) after tax (7,023.14) (369.43) 927.08 (7,878.92) 796.89
8 Other Comprehensive Income
Items that will not be reclassified to Profit or Loss (38.51) - (4.35) (38.51) (4.35)
Items that will be reclassified to Profit or Loss 10.71 - - 10.71 -
Income Tax relating to items that will not be reclassified to Profit or Loss - - 0.96 - 0.96
9 Total Comprehensive Income for the period/ year (Comprising Profit /(Loss) and Other (7,050.94) (369.43) 923.69 (7,906.72) 793.50
Comprehensive Income for the period/ year)
10 Paid up Equity Share Capital (Face value of Rs.3/- each) 6,055.02 6,055.02 6,054.90 6,055.02 6,054.90
11 Other Equity 16,176.89 25,224.33
12 Earnings Per Share (in Rs.) (of Rs. 3/- each) (Not Annualized)
(a) Basic (3.08) (0.16) 0.41 (3.46) 0.35
(b) Diluted (3.08) (0.16) 0.41 (3.46) 0.35
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Notes :

1 The above results were reviewed by the Audit Committee and approved by the Board of Directors in their meetings held on 25th June 2020 and 26th June 2020 respectively. The results have been subjected to audit by the statutory auditors. The financial results are in accordance with the Indian Accounting Standards (''IND AS'') as prescribed under Section 133 of Companies Act, 2013 read with relevant rules made thereunder.

2 Employee benefit expense for the current quarter and the year includes Rs. (74.01) Lakhs and INR 26.94 Lakhsfor fair value of Options granted under Employee Stock Option Plan-2018 of the Company recognised in accordance with the provisions of IND AS 102.( Previous quarter- Rs. 10.34 Lakhs, previous year- Rs. 298.52 Lakhs) being the provision

3 Effectiveearnings per share. April 1, 2019, the Company adopted Ind AS 116 "Leases". applied to all lease contracts existing on April 1. 2019. The effect of this adoption is not material on the profit for the period and

• 4 The Exceptional items for the year include as below a) Rs 182.34 lakhs comprises of settlement of old liabilities pertaining to central excise and service tax matter under the scheme Sabka Vishwas Legacy Dispute Resolution Scheme, 2019 ,

b)Impairment provision of Rs 5,000.64 lakhs related to Investments in S Global Services Pte. Ltd (Rs 5000 lakhs) and S Mobility (HK) Limited (INR 0.64 lakhs) being the difference in carrying amount and recoverable value.

c) The Company reviewed the entire portfolio of its receivables and loans and, on a conservative basis, have made a provision of Rs 1603.71 lakhs out of which Rs 690.09 lakhs relates to other receivables and Rs 913.62 Lakhs for receivables and loans from subsidiary companies in the quarter ended 31st March 2020. Since this provision has mainly arisen due to inordinate delays, business uncertainties and stress over cash-flows of our customers//subsidiaries accelerated by the spread of Covid 19 pandemic all over the world, this has been shown as Exceptional item”.

Except as disclosed above, the management believes that there may not be significant impact of Covid-19 pandemic on the financial position and performance of the Company, in the long-term. The Company estimates to recover the carrying amount of all its assets including receivables and loans in the ordinary course of business based on information available on current economic conditions. These estimates may change and be affected by the severity and duration of pandemic. The Company is continuously monitoring any material change in future economic conditions.

• 5 The Company's business activities fall within a single operating segment viz. " Digital Technology Services (Digi Spice)" and accordingly, the disclosure requirement of Indian Accounting Standard (Ind AS-108) 'Operating Segments ' prescribed under Section 133 of the Companies Act, 2013 read with the relevant Rules issued thereunder is not applicable.

The paid up equity share capital of the Company is Rs. 6,837.06 Lakhs. However, taking a conservative interpretation of "Ind AS 32", the paid up equity share capital had been reduced by Rs. 782.04

• 6 Lakhs (31 Dec 2019 - Rs. 782.04 Lakhs) being the face value of 26,067,843 (31 Dec 2019 - 26,067,843) equity shares of Rs. 3/- each held by two trusts viz. Independent Non Promoter Trust and Independent Non Promoter (Spice Employee Benefit) Trust .

• 7 Tax expense includes provisions for current income taxes, deferred taxes, foreign taxes and income tax adjustments for earlier years.

• 8 Previous period’s figures have been regrouped and/or recasted, wherever considered necessary to conform to the current period presentation.

• 9 The figures for the Quarter are the balance figures between audited figures for the full financial and published year to date figures up to the third quarter of the relevant financial year.

Dated : 26-Jun-20 Place : Delhi

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By order of the Board
DiGiSPICE Technologies Limited
(formerly Spice Mobility Limited)
Rohit Ahuja
Executive Director
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13

Statement of Assets And Liabilities

(Rs. In Lakhs)

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S.No. Particulars Standalone
As at As at
31.03.2020 31.03.2019
(Audited) (Audited)
A Assets
1 Non Current assets
(a) Property, plant and equipment 1,055.83 1,774.22
(b) Right of Use Assets 122.78 -
(c) Investment property 1,576.15 1,676.53
(d) Other intangible assets 531.25 515.15
(e) Intangible assets under development - 4.50
(f) Financial assets
(i) Investments 8,329.28 13,347.83
(ii) Loans 470.42 4,294.03
(iii) Other financial assets 13.17 55.15
Employee benefits expense (Refer note 2) 1,622.53 1,238.46
(i) Other non current assets 68.31 134.73
(j) Non current tax assets 4,378.23 3,372.96
Total Non-Current Assets 18,167.95 26,413.56
2 Current Assets
(a) Financial assets
(i) Investments - 239.30
(ii) Trade receivables 4,443.09 6,767.77
(iii) Cash and cash equivalent 843.69 1,128.46
(iv) Bank balance other than (iii) above 1,799.64 2,353.37
(v) Loans 2,885.80 105.48
(vi) Other financial assets 2,182.12 2,989.06
(b) Other current assets 322.09 892.21
Total Current Assets 12,476.43 14,475.65
Total Assets 30,644.38 40,889.21
B EQUITY AND LIABILITIES
1 Equity
(a) Equity share capital 6,055.02 6,054.90
(b) Other equity 16,176.89 25,224.33
Total Equity 22,231.91 31,279.23
2 Non Current Liabilities
(a) Financial liabilities
(i) Other financial liabilities 68.46 43.83
(b) Provisions 585.81 494.21
(c) Other liabilities - 16.72
Total Non-Current Liabilities 654.27 554.76
3 Current Liabilities
(a) Financial liabilities
(i) Borrowings 1,436.53 2,376.14
(ii) Trade and other payables
- total outstanding dues of micro and small enterprises 18.58 3.64
- total outstanding dues of creditors other than micro and small enterprises 5,469.00 5,424.93
(iii) Other financial liabilities 522.29 772.22
(b) Other liabilities 112.05 249.18
(c) Provisions 199.75 229.11
Total Current Liabilities 7,758.20 9,055.22
Total EQUITY AND LIABILITIES 30,644.38 40,889.21
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DiGiSPICE Technologies Limited (formerly Spice Mobility Limited)

Standalone Statement of Cash Flows :

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For the Year ended For the Year ended
March 31,2020 March 31,2019
(Audited) (Audited)
CASH FLOWS FROM / (USED IN) OPERATING ACTIVITIES
Profit/(Loss) before tax (8,062.93) 219.43
Adjustments for :
Exceptional items
Fair value loss in the value of non current investments 5,000.64 -
Provision for bank liability payout of a subsidiary - 160.00
Provision for doubtful debts and loans and advances/(written back) 1,603.71 (330.82)
Depreciation and amortisation expense 918.30 894.13
(Profit)/Loss on disposal of property, plant and equipment (net) 19.89 4.22
Employee ESOP Compensation 26.94 298.52
Interest income (382.33) (344.98)
Fair value gain on mutual fund investments - (14.30)
Net gain on sale of non-current investments in mutual fund units 1.21 -
Unclaimed balances written back (net) (29.52) (63.95)
Rental Income/(Expense) on investment property (93.15) (20.15)
Interest expense 249.27 186.08
Asset written off 4.50 -
Provision for doubtful investments 0.50 0.00
Provision for Loss Allowances 102.52 209.96
Irrecoverable balances written off 17.65 -
Operating (loss) before working capital changes (622.80) 1,198.14
Movements in working capital:
(Increase)/Decrease in trade receivables 758.46 (2,962.94)
(Increase)/Decrease in other receivables 1,390.97 (982.71)
(Decrease) in trade payables 89.60 2,684.37
Increase/(Decrease) in other payable (378.94) 190.17
(Decrease) in current provisions 34.44 32.06
Cash (used in) operations 1,271.73 159.09
Direct taxes paid (net of refunds) (1,042.32) (1,273.85)
Net cash (used in) operating activities 229.41 (1,114.76)
CASH FLOWS FROM / (USED IN) INVESTING ACTIVITIES
Purchase of property, plant and equipment
(37.56) (184.58)
(including capital work in progress and capital advances)
Purchase/development of intangible assets
(227.77) (71.92)
(Including intangible assets under development)
Proceeds from disposal of property, plant and equipment 7.03 11.57
Investment in subsidiaries - (90.25)
Sale of investments in subsidiaries and associates - 123.00
Purchase/(Proceeds) from sale of current- investments 238.09 (225.00)
Proceeds from sale of non-current investments - 34.96
Provision for liability payout of step down subsidiary company paid during - (600.00)
the year
Loans given to bodies corporate (300.00) -
Loans repaid by bodies corporate 150.06 53.58
Change in receivable from subsidiary company 1,073.17 1,408.38
Receipt from Employee benefit trust against loan repayment - 20.01
Rental Income/(Expense) on investment property 93.15 20.15
Interest received 244.55 341.26
Fixed deposits refunded/(created) by banks (net) 584.02 (644.03)
Net cash from investing activities 1,824.74 197.13
CASH FLOW FROM / (USED IN) FINANCING ACTIVITIES
Proceeds/(repayment) from current borrowings (1,093.89) 322.55
Dividend Paid (1,150.04) -
Interest paid (249.27) (186.08)
Net cash from financing activities (2,493.20) 136.47
Net Increase/(decrease) in cash and cash equivalents (A + B + C) (439.05) (781.16)
Cash and cash equivalents at the beginning of the year 742.74 1,523.90
Cash and cash equivalents at the end of the year 303.69 742.74
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Date: June 26, 2020

Sub.: Declaration pursuant to Regulation 33 (3)(d) of the SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015

In compliance of the provisions of Regulation 33(3)(d) of the SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015, we hereby declare that M/s Singhi & Co, Chartered Accountants (Firm Registration No. 302049E), Statutory Auditors of the Company, have issued Audit Reports with Unmodified Opinion on the Annual Audited Financial Results (both Standalone as well as Consolidated) of the Company for the financial year ended on 31[st] March, 2020.

Thanking you.

Yours faithfully,

For DiGiSPICE Technologies Limited (formerly Spice Mobility Limited)

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Rohit Ahuja (Executive Director) Ph. No. 0120 – 3355131

Ravindra Sarawagi (Chief Financial Officer) Ph. No. 0120 – 3355131

Regd. Office: 622, 6[th] Floor, DLF Tower A, Jasola District Centre, New Delhi 110025, Tel: +91 11 41251965 Corp. Office: Spice Global Knowledge Park, 19A & 19B, Sector-125, Noida- 201301, Uttar Pradesh, India - Tel: +91 120 3355131 Email ID: Complianceofficer@smobility.in I Website: www.digispice.com

DiGiSPICE Technologies Limited (Formerly Spice Mobility Ltd.) CIN - L72900DL1986PLC330369

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