IFCI Ltd. — Interim / Quarterly Report 2021

Feb 12, 2021

No. IFCI/CS/2021-174

February 12, 2021

BSE Limited Department of Corporate Services Phiroze JeeJeebhoy Tower Dalal Street, Fort Mumbai - 400 001

CODE: 500106

Dear Sir/Madam,

Re: Outcome of the Board Meeting held on February 12, 2021.

Pursuant to the provisions of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we submit herewith the Un-Audited Standalone and Consolidated Financial Results of the Company for the Quarter ended December 31, 2020 along with the respective Limited Review Reports enclosed as Annexure.

Thanking You Yours faithfully For IFCI Limited

$\sim 22$

(Rupa Sarkar) Company Secretary

Encl.: As above

आई एफ सी आई लिमिटेड पंजीकृत कार्यालयः

आईएफसीआई टावर, 61 नेहरू प्लेस, नई दिल्ली - 110 019 दूरभाषः +91-11-4173 2000, 4179 2800 फैक्सः +91-11-2623 0201, 2648 8471 वेबसाइटः www.ifciltd.com सीआईएनः L74899DL1993GOI053677

1948 से राष्ट्र के विकास में

IFCI Limited

Regd. Office:

IFCI Tower, 61 Nehru Place, New Delhi - 110 019 Phone: +91-4173 2000, 4179 2800 Fax: +91-11-2623 0201, 2648 8471 Website: www.ifciltd.com CIN: L74899DL1993GOI053677

In Development of the Nation since 1948

FCI LTD.CIN: L74899DL1993GOIDS3677 ENT. LARGESULTESSECONDESSYREGD. OFFICE : IFCI TOWER61, NEHRU PLACE, NEW DELHI - 110 019WEBSITE: www.ifciltd.com

NNE

2006 A 2006 A 2007 STATEMENT OF UNAUDITED (STANDALONE) FINANCIAL RESULTS FOR THE QUARTER AND PERIOD ENDED DECEMBER 31/2020 A 2008 A 2008 A 2008 A 2008 A 2009 A 2009 A 2009 A 2009 A 2009 A 2009 A 2009 A 2009 A 2009 A 2009

								(T In Crores)
						Standalone Results	えぶぶ
		Particulars	Quarter ended31/12/20(Unaudited)	Quarter ended30/09/20(Unaudited)	Quarter ended31/12/19(Unaudited)	Period ended31/12/20(Unaudited)	Period ended31/12/19(Onaudited)	Year ended31/03/20(Audited)
		Revenue from operations
	a)	Interest Income	314.13	616.96	444.53	1,274.37	1,410.31	2,144,10
	b)	Dividend Income	8.80	0.98	30.05	9,93	43.13	43.24
	c)	Rental Income	9.81	9.96	9.72	29,74	26.67	36.19
	d)	Fees and commission income	10.21	10,20	2.60	26.21	15,40	22.04
	.e)	Net gain on fair value changes	57.23	24.00	$\sim$	194.37	$\bullet$
		Total Revenua from operations	400.18	662.10	486.90	1,534.62	1.495.51	2,245,57
	D	Other Income	0,79	0.89	1.55	8.72	19.24	18.49
	Total income		400.97	662.99	488.55	1,543.34	1,514.75	2,264.06
$\overline{a}$	Expenses
	al	Finance costs	275.81	285.99	345.67	851.73	1,097.53	1,416.35
	b)	Net loss on fair value changes			(68,59)		176,94	275,50
	c)	Impairment on financial instruments	979.82	501.24	182,41	2,077,72	(305.12)	421.96
	d).'eï	Employee Benafits Expenses	16.55	19.68	21.80	58,10	76.52	143.92
	f)	Depreciation and Amortization :Others expenses	6.64	$-7.35$	7.78	21.37	23.26	30.66
	Total expenses		6.03	10,37	14.65	20.03	71.26	116.58
3.		Profit/ (loss) before exceptional and tax (1-2)	1,284.85923 R.Y(883.88)	824.63	503.723(15.17)31	3,029.00	1,140.39	2,404.97
				(161.54)		[1,485.66]	374.36	(140.91)
4	Exceptional Items				ä,
್ಲಿ ಕೆ.		Profit/ (loss) before tax (3-4)	1883.881	1161.64in italia	(15.17)	[1,485.66]	374,36	3140.91
6.	Tax expense
	a)	Income tax		$\bullet$	$\ddot{\phantom{0}}$
	ы	Taxation for earlier years			43.99		43,99	43.99
	c)	Deferred Tax (Net)	(143.71)	(89.06)	(372.64)	(376.49)	18,57	92.98
工工工		Tax expense [6{a) to 6(c)]Profit/(Jose) for the period (546) 2002 2003 2003 2003	(143.71)	(89.06)	(328.65)	(376.49)	62.56	136.97
8		Other Comprehensive Income	2008.33 (740.17) AS 6, 27 (	172.581	$\sim$ $313.48$		$(1,109.17)$ , $(1,109.17)$	$\sim$ (277.88)
	a)	Items that will not be reclassified to profit or loss-Fair value changes on FVTOCI - equity securities
		Loss on sale of FVTOCI - equity securities	5.05	(30,30)	(7.58)	25.25	(22.69)	(30.27)
		Income tax relating to items that will not be reclassified to	$\blacksquare$	$\bullet$	$\bullet$	$\tilde{\phantom{a}}$	(5.12)	15,12
		profit or loss
		Tax on Fair value changes on FVTOCI - Equity securities	(1.76)	10.59	2.65	(8.82)	(33.52)	(30.87)
		Tax on Actuarial gain/(loss) on Defined benefit obligation					$-18.65$	$-18.65$
其意如下着人		Subtotal (a) $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$ $\leq$	21 (22: 23: 23		A 46.71) A 5 A 5 A 6 A 7 4 A 5 A 6 A 7		EXAMPLE 2001 2005 2006 147 61
	b).	Items that will be reclassified to profit or loss
		-Debt securities measured at FVTOCI - net change in fair value
			15.84	(9, 30)	(9.78)	12.34	(1.54)	(10.76)
		-Debt securities measured at FVTOCI - reclassified to profit andloss
		Income tax relating to items that will be reclassified to profit or			$\ddot{\phantom{0}}$	$\overline{a}$	$\bullet$
		loss
		Tax on Fair value changes on FVTOCI - Debt securities	(5, 54)	3.50	3.26	(2.31)	1.57
		Subfotal [b]						18.72
		an ang pa	$10.30$ (10.30 $(10.80)$ )		$\frac{1}{2}$ (652) $\frac{1}{2}$ (652) $\frac{1}{2}$ (652)		10.03
in Bank		Other comprehensive income / (loss) (net of tax) of tax and the construction	125.51)		金冰湖站(1145)	26.46	☆ まえ え は 142.651	本案 29.65
		O 2 Total comprehensive income / (loss) (after tox) (7+8) 3 To 2002-2003	(98.09)		302.03	2:31.082.71	EXECUTIVE 269.15	* (117.53)
10		Paid-up equity share capital {Face Value of ₹10/- each}	1,895.99	1,895,99	1,695.99	1,895.99	1,695.99	1,695.99
11		Other equity (as per audited balance sheet as at 31st March)						2,411,78
12	periods):	Earnings per share (face value of ₹ 10 each) (not annualised for the Interim
	(a)	Basic (R)	(3,90)	(0.38)	1.85	(5.85)	1.84	(1.64)
	(b)	Diluted (*)	(3.90)	(0.38)	1.85	(5.85)	1.84	(1.64)

See accompanying notes to the financial results.

l.

J.

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IFCI LTD. CIN: L74899DI.1993GOI053677 REGD, OFFICE: IFCI TOWER 61, NEHRU PLACE, NEW DELHI - 110 019 WEBSITE: www.ifciltd.com

$\overline{a}$

STATEMENT OF UNAUDITED (CONSOLIDATED) FINANCIAL RESULTS FOR THE QUARTER AND PERIOD ENDED 31 DECEMBER, 2020

$\frac{1}{2}$

$\sim$

								(₹ In Crore)
		Particulars	Quarter ended31/12/20	Quarter ended30/09/20	Quarter ended31/12/19	Consolidated ResultsPeriod ended31/12/20	Period ended31/12/19	Year ended31/03/20
			(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Audited)
		Revenue from operations
		a) {Interest income	341.478.82	645.49	464.6730.05	1,363.62	1,476.8743.13	2,254.92
	b).C)	Dividend IncomeRental Income	9.91	25.289.88	10.41	34.3630.07	28.38	63.2128.17
	d)	Fees and commission Income	16.10	16.60	52.91	43.79	154.91	42,53
	e)	Net gain on fair value changes	58.69	25.42	0.36	199.21	4.01	×.
	f)	Sale of products (including Excise Duty)	38.66	6.52	3.91	48.72	10.50	13.84
	8)	Sale of services	137.14	118.80	84.57	347.13	224.28	471.23
		Total Revenue from operations	610.79	847,99	646.88	2,066.90	1,942.09	2,873.90
	hì	Other Income	(0.67)	11.11	40.48	18,05	104.61	31.78
		Tota! Income	610.12	859.10	687.36	2,084.95	2,046.69	2,905.68
2.		Expenses
		a) Finance costs	286.13	296.94	357.2310.10	883.6138.49	1,135.2528.98	1,451.27
	b)	Fees and commission expense	21.05	9.48	(68.59)		176.94	37.09245.92
	C)d)	Net loss on fair value changesImpairment on financial instruments	984.23	499.07	186.63	2,095.78	(277.63)	472.29
	el	Cost of materials consumed	28.33	0.05	12.77	28.41	20.33	37.35
	f)	Purchases of Stock-in-trade	5.72	6.37	3,88	15.48	10.20	13,28
	e)	Employee Benefits Expenses	60.81	63.13	71.25	191.64	205.44	326.06
	h)	Depreciation and Amortization	17.04	18.13	23.82	53.85	61,90	81.34
	Ð	Others expenses	67.82	83.53	84.74	199.54	266.92	331.36
		Total expenses	1,471.13	976.70	681.84	3,506.80	1,628.35	2,995.96
		$\sim$ 3 $\sim$ Profit/ (loss) before exceptional and tax (1-2) $\sim$ 3 $\sim$ 3 $\sim$ 3 $\sim$	(861.01)$\mathcal{L}_{\mathcal{F},\mathcal{F}}$	(117, 60)	maala5.52	(1, 421.85)	418.35Westwie.	(90.28)V.
4- 53		Exceptional itemsProfit/ (loss) before tax (3-4) and the control of the control of the control of	%2001	$\frac{1}{2}$ (3) $\frac{1}{2}$ (117,60) $\frac{1}{2}$ (13)	5.52	MARK (1,421.85) Research	418.35	3.96ي دي.(94.24)
6		Tax expensea) Income tax	3.26	8.20	1.57	12.67	3.67	3.70
	ы	Taxation for earlier years	(0.12)	0.42	43.99	0.30	43.16	44,38
		c) Deferred Tax (Net)	(146.16)	(82.92)	(375.41)	(372.21)	10.55	80.89
		Tax expense [6(a) to 6(c)]	(143.02)	(74.30)	(329.85)	(359.24)	57.38	128.97
		Profit/(loss) for the period after taxes (5-6)	3.安定时	(717.99)(43.30)	335.38생기 수 다	$\sqrt{2}$ (1,062.61)	360.971. 장사와	(223.21)22. 3
8		Share of net profit of associates and joint ventures accounted for
		using the equity method $\quad$ .
		$\vert 9 \rangle$ Profit/(loss) for the period (7+8) $\sim$ 2000 $\sim$ 2000 $\sim$ 2000 $\sim$	(717.99)$\mathcal{F}{\mathcal{A}}$ , $\mathcal{F}{\mathcal{A}}$		$(43.30)$ 335.38	(1,062.61)	360.97	(223.21)
		10 Other Comprehensive income
	a)	Items that will not be reclassified to profit or loss
		Fair value changes on FVTOCI - Equity securities	19.32	82,78$\blacksquare$	(0.05)	332.85	(222.29)	(119.94)
		-Gain/(loss) on sale of FVTOCI - Equity securitiesActuarial gain/(loss) on Defined benefit obligation-	$\qquad \qquad \blacksquare$(3.29)	(0.33)	$\blacksquare$(1.10)	(2.60)	(5.12)(3.31)	(5.12)(4.46)
		income tax relating to items that will not be reclassified to profitor loss
		Tax on Fair value changes on FVTOCI - Equity securities	(5.85)	(15.75)	(4.20)	(81.07)	9.17	(15.37)
		-Tax on Actuarial gain/(loss) on Defined benefit obligation.	$0.81,$	0,20	(0.24)	0.66	17.94	19.76
	b)	Items that will be reclassified to profit or loss
		Fair value changes on FVTOCI - Debt securities	15.84	(9.30)	(9.78)	12.34	(1.54)	(10.76)
		-Debt securities measured at FVTOCI - reclassified to profit and055			$\overline{\phantom{a}}$
		Exchange differences in translating the financial statements of aforeign operation	(0.12)	(0.30)	0.10	(0.39)	0.40	1.16
		Income tax relating to items that will be reclassified to profit orloss
		Tax on Fair value changes on FVTOCI - Debt securities	(5.54)	3.50	3.26	(2.31)	1.57	18.72
		Other comprehensive income / (loss) (net of tax)	21.17	60.80	(12.00)	259.48	(203.19)	(116.01)
		11. Total comprehensive income / (loss) (after tax) (9+10)	**** (696.82)	XXXXXX	2.1323.37.	$(803.13)$ $3.7$	1157.78	Y.(339.22)
		12 Profit for the period attributable to Equity holders of the parent	(727.12)	(58.10)	328.20	(1,087.31)	342.38	(230.44)
		Non-controlling interest	9.12	14.79	7.18	24.68	18.59	7.23
		13 Total comprehensive income for the period attributable to Equityholders of the parent	(709.59)	(37.96)	316.47	(937.82)	214,77	(310.65)
		Non-controlling Interest	12.77	55.42	6.91	134.65	(56.99)	(28.56)
		14 Pald-up equity share capital (Face Value of ₹10/- each)15 Other Equity (as per audited balance sheet as at 31st March)	1,895.99	1,895.99	1,695.99	1,895.99	1,695.99	1,695.99
		16 Earnings per share (face value of ₹ 10 each) (not annualised for the						3,553.04
		interim periods):
		$(a)$ Basic (₹)	(3.84)	(0.31)	1.94	(5.73)	2.02	(1.36)
		GARWAY(b) Diluted (₹)	(3.84)	(0.31)	1.94	(5.73)	2.02 2	(1.36)
		See accompanying notes to the financial results.

Ĵ J.

IFCI LTD. ON: L74899DL/0e3001053677 .11FC1 REGD. OFFICE ;IFCi TOWER eeitvi4t-4-LRj -ze 61, NEHRU PLACE, NEW DELHI — 110 019 WEBSITEL www.ifclitd.com

Notes;

• The above financial results were reviewed by the Audit Committee at the meeting held on 12th February 2020 and approved by the Board of Directors at the meeting held on 12th Februa ry 2020. These results have been subjected to limited review by M/s M.K.Aggarwal & Co, Chartered Accountants. 1
• 2 During the period ended 91st December, 2020, the Company allotted 20 crore number of equity sharee @ Rs. 10 each to the President of India (Government of India) on May 21, 2020 against Rs. 200 crones received from 001 (Depa anent of Financial Services, Ministry of Finance) on March 23, 2020.
• 3 Impairment allowance:
• a) For the purpose of computation of Loss Given Default (LGD), till March 31, 2018, the company considered the recovery rate of accounts which got closed prior to the reporting date or continued to remain in books as non-performing accounts for-3 years or more as on the reporting data out of the accounts which silpped to non-performing categery during the period seven year preceding the reporting date. Based on the analysis of recovery from NPAs in past 10 years, It wad observed that present value of recovery in 5 years post NPA date, constituted 03.64% of present value of total recovery till reporting date. Hence as a refinement of management estimate, 5 years has been taken as deemed period of closure for LGD calculation, since June 30, 2019,
• b) The basis of determination of impairment allowance, Ianrrived at a model in accordance with the accounting policy recognizing expected credit loss :POI based on internally developed statistical models & other historical data which takes into account the ea:non -de activity and financial coed elms including macroeconomic factors ( GDP) .GDP is utilized as macroeconomic variable for the computation of Probability of Default. Since Impact of ongeing COVID-19 is unascertainable, worst case scenario by glving 15% shock on GDP Is adapted in the said model for calculation of PD as against existing ECI, on weighted 'average of base/best/worst case scenario at +(-)10% GDP and the sa rite continues to be adopted from quarter ended 30th lune, 2020. Accordingly the net impact on provisioning is Rs. 200,73 crores.
• c) As on December 31,2020, provisioning required under 031 Prudential (I RACP) Norms (including standard assets provisioning) is higher than impairment allowance under Ind AS 109 by 05.394.13 cram. As per management estimate, the difference is temporary and will be subsumed by the year end i.e. by March 31, 2021. Therefore, the company has not transferred the said a mount to impairment reserve on December 31, 2020, as required ey 031 notificatkin no "DOR (NBFC) CC. PD. No109/22,10.106/2019-20 dated March 13, 2020. However, impairment allowance(Provefon on WA's) higher of RBI norms Vs ECL has been charged to the profit and loss for the period ended December 31, 2020, Further, existing impairment reserve of 05.34.54 crores created till June 30, 2020 has not been reversed. ECL on Loan Assets is computed on portfolio basis, However during the current quarter, full impairment allowance has been made on loan accounts declared as fraud as per RBI norms. Accordingly an additional arnbunt of Its 253,25 crow was provided.
• 4 The outbreak of Coroneyirus (Covic1-19) pandemic globally and in India Is causing signifies nt disturbance In the financial Markets. On 11.03,2020 the Covid-18 outbreak was declared a global pandemic by the World Health Organeation ( WHO). It has resulted in significant disruption in global and Indian economic activities. The situation has been under close watch by the Company to ta ke prompt ostlers for continuity of business operation is optimized manner, The Company believes that going forward, the impact of this outbreak will not be significant on its business and finaneia I position.
• 5 The valuation of investments in subsidiary companies has been considered on the basis of financial state Merits of the subsidiaries for the period ended 30th September 2020, instead of 31st December 2020, There is no material impact of this on the financial statements of the company.
• 6In terms of RBI COVLD regulatory package dated 27 March 2020 and 17 April 2020, the company has maintained an additional provision of Fts.397.15 crore on standard assets as per RBI Prudential norms. The company has not categorized such accounts as Stage 3 Assets. However, similar Ea Provision has been created under Ind AS Accounting.

Further, in terms of the interim order dated September 03 2020 passed by the Honble Supreme Court of India in the writ pathless GaJendra Sharma Vs Union Of India & Others, 53 borrowal accounts were not declared as NPA till 31 August 2020, shall not be declared NPA, till further orders. Based on the same, the company has not classified any account as N PA which was not NPA es or August 31, 2020 and has not categorized such accounts as stage 3.

7 Stockholding Corporation of India Ltd. (SHCIL) had during the year 2000-01 undertaken a transaction of 024.45 crore with a client through the Calcutta Stock Exchange (COD) under the 'Cash en Payout' scheme for the sale of 7,20,000 equity shares of D.S4 industries Limited. The said transaction was confirmed by CSE based on which post-dated cheques were issued. The cheques were stopped for payment before their due data by the Company as the underlying trade transaction was contended to lea non-bonafide and disallowed by CSE. A Bank, which had granted financial assistance against the said cheques, Issued a notice of demand against the Company under Section 138 of the Negotiabie Instrument Act, 1881, The Bank also filed an application In the Debt P,ecovery Tribunal (DRT) for recovery of the amount alengwith compound Interest from the Company and the client. The Company disputed the claim of the Ba nit, The Bank's application to the DAT was dismissed and only the client sass held liable. The Bank and the client had filed an appeal in the Debt Recovery Appellate Tribunal (DRAT) against the order of DRT. The appeals ware allowed vide the DRAT order dated September 23, 2011, which stated that the amount would carry compound interest from 1st August 2001 @ 19% p.a. with quarterly rests till realisation and the Bank was entitled to realize the sum from both the client and the Company. Tire Company filed a Revision Application in High Court, Calcutta on November 30, 2011 which was admitted but no interim relief was granted. Hence, the Company filed a Special Leave Petition (SIP) lathe Supreme Court for stay of the High Court Order for not granting interim relief of staying the DRAT order, the Order of the DRAT and the recovery certificate and notice of demand issued by Presiding Officer and recovery officer of DOT respectively. The Supreme Court vide its order dated April 23, 2012 granted stay on the recovery proceedings and requested the Calcutta High Court to dispose off the Revision Application within a period of four months and the Company to deposit 030.00 crore with the Calcutta High Court Registry within a period of 4 weeks from the date of order by way of a short term deposit in a nationalised bank. Accordingly, the Company had deposited the money with the Calcutta High Court, Registry. The revision applicatien was dismissed. The Company filed Spada! Leave Petition (SIP) in the Supreme Court in May 2015. The Supreme Cowl vide its order dated May 14, 2015 stayed the operation of the execution proceedings and the Company to deposit with the Registrar, Supreme Court of India, a fixed deposit receipt in the name of the Company end endorsed in favour of the Registra ran a mount of not less than e 30.00 crore. Accordingly, the Company made the deposit. The amount of 0 60.00 creme, deposited by the Company in the High Court (0 30.00 crore) and Supreme Court (0 30.00 crore) Is shown under the heading "Long Term Loans end Advances" under the sub heading "Security and other deposits" In the Statement of Balance Sheet. The hank was granted liberty to withdraw 030.00 cram along with interest that had been lying ax deposit before the High Court of Kolkata which is subject to final decision in the SLP. Accordingly, an amount of 0 38.04 crore was released to the Bank. Further icy an order dated October 12, 2015, the Supreme Court directed the bank to withdraw an additional amount of e 15,00 crone along with accrued interest from the money deposited with the Supreme Court. Accordingly, an amount of 015,45 crore was released to the Bank, The Special Leave petition has been converted into a Civil Appeal on February 08, 2017 and the matter Is listed in the Supreme Court for final disposal, The matter is appearing regularly and was last taken up for hearing in February 2021

The amounts released to the Bank is subject to the final decision in the matter. In view of the nature of dispute, the amount of contingent liability has not been ascertained. Pending final adjudIcation of the matter by the Honourable Supreme Court and also In view of the legal opinion obtained by SKIL, la the opinion of SHCIL management no provision Is required to he made in the statement of Profit and Loss for nine months ended December 2020,

8 in case of Stock Holding Corporation of India Ltd (SHCIL), there were certain unreconciled items amounting to Rs 3.50 Cr grouped In trade receivable as on 31st March 2019. On further investigation it has been revealed that one of the employee of the company had fraudulently made payments to the non-clients amounting to Rs 2.94 Cr (net after recovery) from client bank accounts. The company has flied a First Information Report to the Rabale police station, Company can determine the amount of fraudulent payments to prior accounting periods however it cannot determine the amount of period specific losses required under IN DAS 8, as amounts recoverable from the employee and that from the Insurance claim is not fully determinable at this stage. Therefore it falls under the exception to I ndAS which stales that if the quantum of Loss cannot be ascertained clearly during the current period the accounting effects can be taken prospectively. The company on a conservative assessment, has provided for the entire recoverable of Rs 2.94 cr from the employee in the profit & loss account for the period ended Slat December 2020. Also the company had appointed an outside agency to prepare the bank reconciliation of the said bank account from FY 2014-15 to FY 2010-19. Rectification entries have been passed on receipt of revised bank reconciliation statement in the current financial statements.

The company has appointed a forensic auditor to conduct detailed analysts of the fraud, The final report has been on submitted by Forensic Auditor Based on report management believes that there is unlikely of any further material financial impact of the name on the financial stetements. The company has flied an insurance claim to National insurance Company limited for the matter as stated above,

• 9 Os all the secured bonds and debentures issued by the Company and outstanding as on 31st December 2020, 100% security cover hes been maintained against principal and interest, by way of floating charge on receivables of the Company and/or Government Securities owned by the Company,
• 10 in the context of reporting business/geographical segment as required by ind AS 100- "Operating Segments", the Company operations comprise of only one business segment of financing. Hence, there Is no reportable segment as purled AS 103.
• 11 Tha figures for the previous quarter/period have been regrouped / rearranged wherever necessary to conform to the current period presentation.

Place: New Delhi Date: 12 February 2021

alimfkilf )FC) Tower 65 , 43W 5.4 -,rr 61, Nehru Piece 94' 1'4R-fie/ 9 ea Ne %Mem ebt

Tele: 011-47517171, 27355151 M.: 9899997699. 9810064176 Email: atul@mkac.in Website: www.mkac.in

Independent Auditor's Review Report on Unaudited Standalone Financial Results of IFCI Limited for the Quarter and Nine Months Ended 31stDecember 2020 pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 as amended

To, The Board of Directors of IFCI Limited

• 1. We have reviewed the accompanying statement of unaudited standalone financial results of IFCI Limited ('The Company') for the quarter and olne months ended 31 December, 2020 (the "statement") attached herewith, being submitted by the company pursuant to the requirements of Regulation 33 of the SEBI (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 has been approved by the Board of Directors, of the Company, has been prepared in accordance with the recognition and measurement principles laid down in Indian Accounting standards ('Ind AS 34'), " Interim Hinancial Reporting", prescribed under section 133 of the Companies Act, 2013, as amended read with relevant rules issued there under, as applicable and other accounting principles generally accepted in lidia. Our responsibility is to issue a report on these financial statements based on our review
• 1. We conducted our review 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 Financial Statements are free from material misstatement. A review is limited primarily to inquiries of company personnel and analytical procedures applied to financial data and thus provide less assurance than an

audit. We have not performed an audit and accordingly, we do not express an audit opinion.

1. Based on our review conducted as above, nothing has come to our attention that causes us to believe that the accompanying Statement of unaudited interim financial results together with the notes there on prepared in accordance with applicable Indian Accounting Standards specified under Section 133 of the Companies Act, 2013, as amended, read with rules issued there under and other recognized accounting practices and policies, has not disclosed the information required to be disclosed in terms of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) regulations, 2015, including the manner which it is to be disclosed, or that it contains any material misstatement.

Emphasis of Matter

• 1. We draw attention to Note No. $3(0)$ of financial results regarding compliance of RBI circular no. *DOR (NBFC) CC-PD-No.109/22 10:106/2019-20*.
• 1. We draw attend on to Note No 3(c) with regard to full provisioning on fraud accounts. Thus, an amount of Rs. 253.25 Crores has been additionally provided for, during this quarter. Accordingly, the impairment allowance has increased to this extent.
• 1. We draw attention to Note No. 4 of the financial results regarding the entity's impact of COVID-19 pandemic on its financial results.
• We draw attention to Note No. 5 where the valuation of the investments in 4. subsidiary companies has been considered on the basis of limited review of financial statement for the quarter ended 30th September 2020.
• 1. We draw attention to Note No. 6 where the company's bottowers has availed moratorium and the Accounts has been kept as standard in terms of RBI Circular No. DOR.No.BP.BC.72/21.04.048/2019.20 and the same has not been categotized as Stage 3 Assets. The company has maintained a provision of Rs.

$=$ Tele: 011-47517171, 27355151 M.: 9899997699, 9810064176 Email: atul@mkac.ln Website: www.mkac.in

$-0.003$

397.15 crores on these assets in addition to general provision maintained on the Standard Asset as per RBI Prudential norms.

Our Opinion is not modified in respect of these matters.

For M K Aggarwal & Co. Chartered Accountants Fum Registration No: 001411N ATUL AGGARWAL CA Atul Aggarwal Parmer Membership No. 099374 UDIN: 21099374AAAAACA4212

Place: New Dolhi Date: - 12th February 2021

لأفاد والإيجاب

= Tele : 011-47517171, 27355151 M.: 9899997699, 9810064176 Emall : atul@mkac.in Website: www.mkac.in

Independent Auditor's Review Report on Unaudited Consolidated Financial Results of the Company for the Quarter and Nine Months Ended 31stDecember 2020, pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 as amended

To, The Board of Directors of IFCI Limited

• 1. We have reviewed the accompanying Statement of Consolidated Unandited Financial Results of IFCI LTD ("the Parent") and its subsidiaries the Parent and its subsidiaries rogether referred to as "the Group"), and its share of the net profit/(loss) after tax and total comprehensive income/loss for the quarter and Nine Months ended 31.12.2020 (the "statement"), being submitted by the Parent pursuant to the requirement of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the "Listing Regulations35).
• 1. This statement, which is the responsibility of the Parent's Management and approved by the Parent's Board of Directors, has been propared in accordance. with the recognition and measurement principles laid down in Indian Accounting standards (Ind AS 34) "Interim Financial Reporting", prescribed under section 133 of the Companies Act, 2013, as amended read with relevant rules issued thereunder, as applicable and other accounting principles generally accepted in India. Our responsibility is to issue a report on these financial statements based on our review.
• We conducted our review of the Statement in accordance with the Standard on 3. Review Engagements (SRE) 2410 Review of Interim Financial Information performed by the Independent Auditor of the Entity", issued by the Institute of Chartered Accountants of India. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and consequently does not entity as to obtain assurance that wewould become aware of all significant markets that awards be identified image wait: Accordingly, we do not express an audicopied ा|}हरू प्लेस|||8%ru PlaC

1. We also performed procedures in accordance with the circular issued by the SEBI under Regulation 33 (8) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, to the extent applicable.

S. No.	Name of the Entity	Relationship
تي ا	IFCI Limited	Parent Company
$\tilde{2}$	IFCI Financial Services Ltd. (IFIN)	Subsidiaries
$3^-$	IFCI Venture Capital Funds Ltd, (IVCF)	Subsidiaries.
科.	IPCI Infrastructure Development Etd. (IIDL)	Subsidiaries
$\overline{5}$	IFCI Factors Ltd. (IFL)	Subsidiaries
Ö.	MPCON Ltd.	Subsidiaries
Ï.	Stock Holding Corporation of India Ltd.	Subsidianes
$,	IfIN Commodities Ltd. (indirect controlthrough IFIN)	Step-downsubsidiaries
ģ.	IFIN Credit Ltd. (indirect control through IFIN)	Step-downsubsidiaries
$10 -$	IFIN Securities Finance Limited(indirectcontrol through IHIN)	Step-downsubsidiaries
11.	IIDL Realions Pvt. Ltd. (indirect control throughIIDL)	Step-downsubsidiarles
12.	SHCIL Bervices Ltd. (Indirect control throughSHCIL)	Step-downsubsidiaries.
13.	Stockholding Document Management ServicesLimited (indirect control through SHCIL)	Step-downsubsidiaries
14.	Stockholding Securities IFSC Limited (indirectcontrol through SHCIL)	Step-downsubsidiaries

1. The consolidated financial results includes the results of the following entities:

2. Based on our review conducted and procedures performed as stated in paragraph 3 above and based on consideration of the review reports of other auditors referred to in paragraph 7 below, nothing has come to our attention that causes as to believe that the accompanying statement of unaudited financial results prepared In accordance with the Indian Accounting Standards as specified u/s 133 of the Companies Act, 2013, as amended read with relevant rules issued there under and other recognized accounting practices hild policies, has not disclosed the Information required to be disclosed in regulation 33 of the SEB Ulsting Obligations and DisclosurER regulations, 2015 acludine

the manner which it is to be disclosed, or that it contains any material misstatement:

1. We did not review the unaudited financial results of six subsidiaries and seven step-down subsidiaries included in the consolidated unaudited financial results, whose financial results reflect total income of Rs. $209.15$ crotes & Rs. 541.61 crores, total net profit/loss after tax of Rs. 22.18 crores & Rs. 46.56 crores and total comprehensive income (net of tax) of Rs. 29.76 crores & Rs. 279.58 crores for the quarter & nine months ended 31.12.2020 respectively, as considered suitably in the consolidated unaudited financial results. These unaudited financial results have been reviewed by other Auditors whose report has been furnished to us by the Management and our conclusion on the Statement, in so far as it relates to the atmounts and disclosures included in respect of this subsidiary, is based solely on the report of the other auditors and the procedures performed by us as stated in paragraph.3 above. According to the information and explanations given to us by the management, these interim financial results are not material to the Group.

Emphasis of Matter

• 1. We draw attention to Note No. 3(c) of financial results regarding compliance of RBI circular no. "DOR (NBPC):CCPD No.109/22.10.106/2019-20".
• 1. We draw attention to Note No 3(c) with regard to full provisioning on fraud accounts. Thus, an amount of Rs. 253-25 Crores has been additionally provided for, during this quarter. Accordingly, the impairment allowance has increased to this extent.
• $3.$ We draw attention to Note No. 4 of the financial results regarding the entity's impact of COVID-19 pandemic on its financial results.
• 1. We draw attention to Note $N_0$ , 5 where the valuation of the investments in subsidiary companies has been considered on the basis of limited review of financial statement for the quarter ended 30th September 2020.
• 1. We draw attention to Note No. 6 where the employers borrowers has availed to the moratoriam and the Accounts has been kept kin terms of RBI ts stand. To:

Tele: 011-47517171, 27355151 M.: 9899997699, 9810064176 Emall: atul@mkac.in Website: www.mkac.in

Circular No. DOR.No.BP.BC.72/21.04.048/2019-20 and the same has not been categorized as Stage 3 Assets. The company has maintained a provision of Rs.397.15 crores on these assets in addition to general provision maintained on the Standard Asset as per RBI Prudential norms.

1. We draw attention to Note No. 7 of the Financial Results related to outcome of continuing lingation of Stock Holding Corporation of India Limited with a Bank, pending adjudication of the matter by the Honorable Supreme Court. As per the legal opinion obtained by the Management of Stock Holding Corporation of India Limited, no provision has been recognized in the Statement of Profit and Loss,

Our Opinion is not modified in respect of these matters.

For M K Aggarwal & Co. Chartered Accountants Firm Registration No. 001411N ATUL AGGARWAI CA Attil Aggarwal Parmer Membership No. 099374 UDIN:21099374AAAAACB1824

Place: - New Delhi Date: 12th February 2021