Ipca Laboratories Ltd. — Interim / Quarterly Report 2020

Nov 7, 2019

THRU ONLINE FILING

November 7,2019

BSE Limited Phiroze Jeejeebhoy Towers 2i[h] Floor, Dalal Street Mumbai 400 023

The National Stock Exchange of India Ltd. Exchange Plaza, 5[th] Fir, Plot # C/1 G Block, Bandra-Kurla Complex, Bandra (E), Mumbai 400 051.

Dear Sirs,

1. Pursuant to Regulation 33 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements), Regulations, 2015, we enclose herewith our Standalone and Consolidated Unaudited Financial Results along with limited review report of the Company's Auditors for the 2[nd] Quarter and half year ended 30[th] September, 2019 of the financial year 2019-20, which was taken on record at the Meeting of the Board of Directors of the Company held today at Mumbai.

We are also enclosing herewith a press release issued by the Company in respect of its Q2 FY20 I H1 FY20 unaudited financial Results.

1. Pursuant to the special resolution passed by the members of the Company at the Extra Ordinary General Meeting held on 24[th] October, 2019 and subject to applicable laws, rules and regulations, circulars, notifications, clarifications, guidelines and subject to such approvals as may be required, the Board of Directors of the Company have allotted 5,00,000 convertible warrants to the members of Promoters I Promoter Group of the Company with a right to the warrant holders to apply for and be allotted 1 (one) equity share of Rs. 2/- each of the Company at a price of Rs. 955/- per share (including premium of Rs. 953/- per share), for each warrant, within a period of 18 months from the date of allotment of the said warrants.

Kindly note that the Board meeting started at 11.30 a.m. and concluded at 1.00 p.m.

Thanking you

Yours faithfully For Ipca Laboratories Limited ~

Harish P. Kamath Corporate Counsel & Company Secretary

Encl: ala

Ipea Laboratories Ltd. www.ipca.com

125, Kandivli Industrial Estate, CTS No. 328, Kandivli (West), Mumbai 400 067, India I T: +91 2262105000 F:+91 2262105005 Regd. Office: 48, Kandivli Industrial Estate, Kandivli (West), Mumbai 400 067, India I T: +91 2266474444 E: ipca@ipca.com ClN: L24239MH1949PLC007837

Ipca Laboratories Limited

Regd. Office: 48. Kandivii Industrial Estate, Kandivli (W), Mumbai 400 067

CIN : L24239MH1949PLC007837

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Tel:+91 2266474444, E-mail: investors@ipca.com Website: www.ipca.com
STATEMENT OF STANDALONE UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED SEPTEMBER 30, 2019
If Crores)
Sr. No. Particulars Quarter Ended Half Year Ended Year Ended
Sept 30, 2019 June 30, 2019 Sept 30,2018 Sept 30, 2019 Sept 30, 2018 Mar31,2019
Unaudited Unaudited Unaud~ed Unaudited Unaud~d Aud~d
I Revenue from operations 1212.56 1011.01 997.82 2223.57 1851.75 3633.15
II Other Income 14.33 19.43 13.75 33.76 27.38 54.59
III Total Income (1+11) 1226.89 1030.44 1011.57 2257.33 1879.13 3687.74
IV Expenses:
a) Cost of materials consumed 387.77 321.64 284.43 709.41 537.70 1098.02
b) Purchases of stock-in-trade 53.91 45.91 47.35 99.82 83.03 167.87
c) Changes in inventories of finished goods, (32.02) (4.98) (18.43) (37.00) (29.86) (108.14)
work-in-progress and stock-in-trade
d) Employee benefits expense 219.69 205.50 203.77 425.19 399.17 752.24
e) Finance costs 4.05 4.47 2.38 8.52 7.31 18.49
f) Depreciation and amortisation expense 45.11 42.04 43.16 87.15 87.65 171.88
g) Other expenses 321.65 247.90 307.91 569.55 574.71 1027.99
Total Expenses (IV) 1000.16 862.48 870.57 1862.64 1659.91 3130.35
V Profit before exceptional ~ems and tax (III-IV) 226.73 167.96 141.00 394.69 219.22 557.39
VI Exceptional items .
VII Profit before tax (V-VI) 226.73 167.96 141.00 394.69 219.22 557.39
VIII Tax Expense
-Current tax 32.52 36.50 30.41 69.02 46.70 119.90
-Short I (Excess) provision of earlier years (4.31) (4.99) (5.02)
-Deferred tax liability I (asset) including MAT credit (1.81) (0.59) (4.84) (2.40) (7.75) (12.40)
IX Profit for the period from continuing operations (VII-VIII) 196.02 132.05 119.74 328.07 185.26 454.91
X other Comprehensive Income
A (i) Items that will not be redassified to profit or loss.
- Actuarial gain/(Ioss) (3.61) (0.35) 0.43 (3.96) 3.27 (1.39)
(ii) Income tax relating to items that will not be reclassified 0.61 0.08 (0.09) 0.69 (0.70) 0.30
to profit or loss
8 (i) Items that will be redassified to profit or loss
- Exchange difference in translating the financial statement of
foreign operation (0.15) (0.06) 0.16 (0.21) 0.01 (0.64)
- Gain/(Ioss) on cash flow hedge (0.14) (0.69) (2.77) (0.83) (2.24) (3.41)
(ii) Income tax relating to items that will be redassified to 0.16 0.16
profit or loss
Other Comprehensive Income / (Loss) for the period net of tax (X) (3.29) (0.86) (2.27) (4.15) 0.34 (5.14)
XI Total Comprehensive Income for the period (IX+X) 192.73 131.19 117.47 323.92 185.60 449.77
XII Paid-up equity share capital (Face value of ~ 21- each) 25.27 25.27 25.27 25.27 25.27 25.27
XIII Other Equity 3389.63 2847.82 3111.39
XIV Net Worth 3414.90 2873.09 3136.66
XV Earnings per share (of ~ 2/- each) (Not annualised):
Basic(~ ) 15.51 10.45 9.48 25.96 14.86 38.01
Diluted (~) 15.51 10.45 9.48 25.96 14.86 38.01
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SIGNED FOR IDENTIFICATIO)l
BY~
G M KAPADIA & CO.
- . MUMBAI.
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: 2:

STATEMENT OF STANDALONE ASSETS AND LIABILITIES AS AT SEPTEMBER 30, 2019

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(fCrores)
Sr. No. Particulars Unaudited Audited
Sept 30, 2019 March 31, 2019
A ASSETS:
1 Non-current assets :
(a) Property, Plant and Equipment 1680.82 1706.35
(b) Capital work-in-progress 73.18 35.72
(c) Goodwill 23.61 23.61
(d) Other Intangible assets 8.72 10.14
(e) Intangible assets under development 20.25 30.24
(f) Right of use assets 19.10 -
(g) Financial Assets
(i) Investments in Subsidiary/Joint Venture/Associate 363.71 231.86
(ii) Other investments - -
(iii) Loans 121.99 116.96
(iv) Others 1.12 3.24
(h) Other non-current assets 15.46 13.87
Total Non current assets 2327.96 2171.99
2 Current assets :
(a) Inventories 1121.98 1055.55
(b) Financial Assets
(i) Investments 42.68 90.38
(ii) Trade receivables 864.67 632.06
(iii) Cash and cash equivalents 251.45 258.69
(iv) Bank Balance other than (iii) above 1.03 1.12
(v) Loans 3.47 2.12
(vi) Others 116.25 104.51
(c) Current tax assets - -
(d) Other current assets 136.17 141.12
Total Current assets 2537.70 2285.55
Total Assets 4865.66 4457.54
B EQUITY AND LIABILITIES:
Equity :
(a) Equity Share Capital 25.27 25.27
(b) Other Equity 3389.63 3111.39
Total Equity 3414.90 3136.66
Liabilities:
1 Non-current liabilities:
(a) Financial Liabilities
(i) Borrowings 104.13 133.94
(ii) Lease liability 13.94 -
(iii) Other financial liabilities - -
(b) Provisions 28.14 25.28
(c) Deferred tax liabilities (net) 143.86 146.26
(d) Other non-current liabilities 1.56 1.56
Total Non current liabilities 291.63 307.04
2 Current liabilities:
(a) Financial Liabilities
(i) Borrowings 318.28 195.86
(ii) Lease liability 4.07 -
(iii) Trade payables
- Dues of micro and small enterprises 5.71 4.34
- Dues of others 534.25 459.75
(iv) Other financial liabilities 150.66 196.91
(b) Current Tax Liabilities (net) 1.55 16.55
(c) Provisions 83.72 70.40
(d) Other current liabilities 60.89 70.03
Total Current liabilities 1159.13 1013.84
Total Eauitv and Liabilities 4865.66 4457.54
SIGNED FOR IDENTIFICATION
BY ~ .. •• , r4J't1-
-
G. M. KAPADIA & CO.
l MUMBAI. )
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: 3:

Notes:

• 1 The above financial results have been reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on November 7, 2019.The Statutory Auditors have carried out the limited review of the results.

• 2 The Board has allotted 5,00,000 convertible warrants to the members of Promoters / Promoter Group of the Company with a right to the warrant holders to apply for and be allotted 1 (one) equity share of ~ 2/- each of the Company at a price of ~ 955/(including premium of ~ 953/- per share), for each warrant, within a period of 18 months from the date of allotment of the said warrants.

• 3 The Company has only one operating segment viz. 'Pharmaceuticals'.

• 4 Figures of the previous periods have been regrouped wherever necessary.

Place: Mumbai, Date: November 7,2019

~'.J.'\Lj) n.JI{ JUEN l'lHLA llU.'\

~

..,

G. M. KAPADIA & CO, MUMBAL

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By Order of the Board
For Ipca Laboratories Limited
~~~~
Chairman & Managing Director
(DIN 00012691)
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IPCA LABORATORIES LIMITED

Regd. Office: 48, Kandivli Industrial Estate, Kandivli (W), Mumbai 400 067

CIN : L24239MH 1949PLC007837

Tel:+91 2266474444, E-mail: investors@ipca.com Website: www.ipca.com

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Stat ernen 0 t Sta n d a I one unau d'tIe d Cas h FIow or the Ha Ity earen de dS eptern b er 30 , 2019
Half Year Ended
September 30,2019 September 30, 2018
(~ Crores) (~ Crores)
A. Cash Flow from Operating Activities
1) Net profit before taxation and extraordinary item 394.69 219.22
Adjustments for:
Depreciation, amortisation and impairment expense 87.15 87.65
(Profit) I Loss on sale of Property, plant & equipment (5.92) 0.62
Net gain on financial asset through FVTPL 0.47 1.01
Adjustment on account of Revenue from contract with customers - 2.04
Deferred upfront fees on Borrowings 0.31 0.24
Finance Cost on Lease Liability 0.69 -
Rent of Lease Assets (2.64) -
Interest income on financial asset at amortised cost (2.82) (2.45)
Property, plant & equipment scrappedl transferred 1.03 0.26
Sundry balances written off/(back) (0.04) 1.20
Provision for doubtful debts I advances 3.88 0.07
Bad debts written off 0.13 0.11
Unwinding of Lease Rent - 2.19
Employee Stock Option forfeited - 0.01
Unrealised foreign exchange (gain) I loss 0.69 45.28
Interest income (13.22) (9.16)
Interest expense 8.21 77.92 7.07 136.14
2) Operating profit before working capital changes 472.61 355.36
Decrease I (Increase) in inventories (66.43) (47.92)
Decrease I (increase) in Trade Receivables (231.98) (182.02)
Decrease I (increase) in Other Financial assets (10.08) (0.16)
Decrease I (increase) in Other assets (0.16) 11.82
Increase I (Decrease) in Trade Payables 75.38 36.72
Increase I (Decrease) in Other Financial liabilities (22.15) (1.79)
Increase I (Decrease) in Other liabilities (9.14) (0.10)
Increase I (Decrease) in Provisions 12.91 (251.65) 9.84 (173.61)
3) Cash generated from operation 220.96 181.75
Income tax paid (net) (84.02) (31.83)
Net cash from operating activities 136.94 149.92
B, Cash Flow from Investing Activities
Purchase of Property, plant & equipment including capital
Work in progress and intangible assets (82.16) (32.44)
Investment in Preference shares of subsidiaries (23.14) (80.56)
Redemption of Preference Shares of subsidiary 5.12
Proceeds towards Business combination (108.71) -
Investment in Equity shares of Associates - (0.33)
Loan given to Associate (1.00) -
Loan given to Joint Venture (0.63) -
Proceeds from Sale of Property,Plant and Equipment 6.20 2.08
Movement in other bank balances (0.43) (0.04)
Interest received 11.90 6.95
Net cash from I (used) in investing activities (197.97) (99.22)
C, Cash Flow from Financing Activities
Issue of Share Capital - 4.57
Increase I (decrease) in short term borrowings 121.45 25.83
Proceeds from long-term borrowings 43.22 -
Repayment of long-term borrowings (103.72) (94.37)
Interest paid (8.61) (7.01)
Dividend & dividend tax paid (45.78) (15.11)
Net cash from (used in) financing activities 6.56 (86.09)
Net increase I (decrease) in cash and cash equivalents ( A + B + C ) (54.47) (35.39)
Cash and cash equivalents at beginning of year 348.43 198.60
Cash and cash equivalents at end of the period 293.96 163.21
Components of cash & cash equivalents:
Cash and cheques on hand 0.41 0.44
Balance with banks 251.04 132.18
Mutual Funds 42.68 30.06
Less: Fair value (gain) I loss on Mutual funds (0.17) 42.51 0.53 30.59
293.96 163.21
By Order of the Board
SIGNED FOR IDENTIFICATION For Ipca Laboratories limited
BY~
G M KAPADIA & CO, ~
. 'MUMBAI.
Place: Mumbai, Chairman & Managing Director
Date: November 7,2019 (DIN 00012691)
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CHARTERED ACCOUNTANTS

G. M. KAPADIA & ca. (REGISTERED)

1007, RAHEJA CHAMBERS, 213, NARIMAN POINT, MUMBAI 400 021. INDIA PHONE :(91-22) 66116611 FAX: (91-22) 66116600

Independent Auditor's Limited Review Report on Unaudited Standalone Financial Results of Ipca Laboratories Limited for the Quarter and Half year ended on September 30, 2019 pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

To, The Board of Directors Ipca Laboratories Limited Mumbai.

1. We have reviewed the statement of unaudited standalone financial results of Ipca Laboratories Limited ("the Company") for the quarter and half year ended September 30, 2019 ("the Statement") attached herewith being submitted by the Company pursuant to the requirement of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended. This Statement is the responsibility of the Company's Management and approved by the Board of Directors. Our responsibility is to issue a report on the Statements based on our review. Attention is drawn to the fact that the figures for cash flows for the corresponding half year ended September 30, 2018 as reported in the unaudited standalone financial results have been approved by the Board of Directors of the Company and is not subjected to our review process.

2. This Statement has been prepared in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34, 'Interim Financial Reporting' prescribed under section 133 of the Companies Act, 2013 read with the relevant rules issued thereunder and other accounting principles generally accepted in India.

3. We conducted our review in accordance with the Standard on Review Engagements ("SRE") 2410 "Review of Interim Financial Information Performed by the Independent Auditor of the Entity", issued by the Institute of Chartered Accountants of India. This Standard requires that we plan and perform the review to obtain moderate assurance as to whether the Statement is free of material misstatement. A review is limited primarily to inquiries of company personnel and analytical procedures applied to financial data and thus provides less assurance 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. We have not performed an audit and, accordingly, we do not express an audit opinion.

MUMBAI NEW DELHI CHENNAI BENGALURU HYDERABAD JAIPUR

G. M. KAPADIA & CO.

Accounting Standards and other accounting principles generally accepted in India, has not disclosed the information required to be disclosed in terms of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, including the manner in which it is to be disclosed, or that it contains any material misstatement.

Mumbai Dated: November 07, 2019

Atul Shah Partner Membership No. 039569 UDIN: 19039569AAAAML2549

Ipea Laboratories Limited

Regd. Office: 48, Kandivli Industrial Estate, Kandivli (W), Mumbai 400 067

CIN: L24239MH1949PLC007837

Tel:+91 2266474444, E-mail: investors@ipca.com Website: www.ipca.com STATEMENT OF CONSOLIDATED UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED SEPTEMBER 3D, 2019

(l'Crores)

		Tel:+91 2266474444 E-mail: investors@ipca.com Website: www.ipca.com	Tel:+91 2266474444 E-mail: investors@ipca.com Website: www.ipca.com	Tel:+91 2266474444 E-mail: investors@ipca.com Website: www.ipca.com	Tel:+91 2266474444 E-mail: investors@ipca.com Website: www.ipca.com	Tel:+91 2266474444 E-mail: investors@ipca.com Website: www.ipca.com	Tel:+91 2266474444 E-mail: investors@ipca.com Website: www.ipca.com	Tel:+91 2266474444 E-mail: investors@ipca.com Website: www.ipca.com
		, ENT OF CONSOLIDATED UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND HALF
								(l'Crores)
Sr. No.		Particulars	Quarter Ended Sept 30, 2019 June 30, 2019	Sept 30, 2	018	Half Yea Sept 30, 2019	r Ended Sept 30, 2018	Year Ended March 31, 2019
I II III IV V VI VII VIII IX X XI XII XIII XIV XV XVI XVII	Revenue from	operations	Unaudited Unaudited 1283.90 1078.19	Unaudite 101	d 2.00	Unaudited 2362.09	Unaudited 1887.43	Audited 3773.18
	Other Income		14.80 20.34		14.76	35.14	29.08	57.6E
	Total Income Expenses: a) Cost of m b) Purchases c) Changes i work-in- d) Employee e) Finance co f) Depreciatio	(1+11) aterials consumed of stock-in-trade n inventories of finished goods, progress and stock-in-trade benefits expense sts n and amortisation expense	1298.70 1098.53: 393.86 328.91 92.82 84.87 (36.95) (7.78) 232.04 215.71 4.23 4.59 49.63 46.10	102 28 (2 21 4	6.76 6.87 47.68 1.85) 1.97 2.38 5.35	2397.23 722.77 177.69 (44.73) 447.75 8.82 95.73	1916.51 542.02 83.51 (31.36) 414.60 7.31 91.92	3830.88 1106.08 249.07 (115.42) 787.40 18.87 182.42
	g) Other expe	nses	336.27 257.76	31	3.04	594.03	585.82	1054.17
	Total Expenses Profit from o venture, exce Share of Profi equity method Profit before Exceptional it Profit before t Tax Expense -Current tax -Short / (Ex	(IV) rdinary activity before share of profit of associates &joint ptional ~ems &tax (III - IV) t I (loss) of associates & joint venture accounted by using the exceptional items and tax (V+VI) ems ax (VII - VIII) cess) provision of earlier years	1071.90 930.16 226.80 168.37	88 14	5.44 1.32	2002.06 395.17	1693.82 222.69	3282.59 548.27
			(1.37) (1.59) 225.43 186.78	( 14	0.68) 0.64	(2.96) 392.21	(0.43) 222.26	(1.81) 546.46
			225.43 166.78 33.28 37.45 0.19	14 3 (	0.64 1.18 4.31)	392.21 70.73 0.19	222.26 47.78 (4.99)	546.46 121.81 (5.44)
	-Deferred t	ax liability / (asset) including MAT credit	(1.58) (0.10)	(	4.77)	(1.68)	(7.62)	(12.13)
	Profit for the Other Compre A. (i) Items th -Actuarial (ii) Income to profit B. (i) Items th -Exchang foreign o -Gain/(Ios (ii) Income t profit or l	period from continuing operations (IX-X) hensive Income at will not be reclassified to profit or loss - gain/(loss) tax relating to items that will not be reclassified or loss at will be reclassified to profit or loss e difference in translating the financial statement of peration s) on cash flow hedge ax relating to items that will be reclassified to oss	193.54 129.43 (3.61) (0.35) 0.61 0.08 3.06 0.05 (0.14) (0.69) 0.16	11 ( (	8.54 0.43 0.09) 5.18 2.77)	322.97 (3.96) 0.69 3.11 (0.83) 016	187.09 3.27 (0.70) 8.52 (2.24) .	442.22 (1.39) 0.30 1.07 (3.41)
						.
	C. Share of O	CI from investment in associates	(0.12) (0.12)	(	0.08)	(0.24)	(0.16)	(0.40)
	Other Compre	hensive Income I (Loss) for the period, net of tax	(0.20) (0.87)		2.67	(1.07)	8.69	(3.83)
	Total Compre Profit for the Owners Non-con Other Compre Owners Non-con Total Compreh Owners Nan-con Paid-up equity Other Equity Net Worth Earning per eq Basic(~ )	hensive Income for the period (XI + XII) year attributable to : of the parent trolling interest - profit / (loss) hensive Income for the year attributable to : of the parent trolling interest - profit / (loss) ensive Income for the year attributable to: of the parent trolling interest - profit / (loss) share capital (Face value of f' 2/- each) uity share ( off 2/. each) (Not annuarised):	193.34 128.56 193.07 129.63	12 11	1.21 8.54	321.90 322.70	195.78 187.09	438.39 444.83
			0.47 (0.20)			0.27		(2.61)
			193.54 129.43 (0.27) (1.12)	11 2	8.54 .67	322.97 (1.39)	187.09 8.69	442.22 (3.08)
			0.07 0.25			0.32	-	(0.75)
			(0.20) (0.87) 192.80 128.51	2 121	.67 .21	(1.07) 321.31	8.69 195.78	(3.83) 441.75
			0.54 0.05			0.59	.	(3.36)
			193.34 128.56 25.27 25.27 - . 15.32 10.24	12 2	1.21 5.27 9.38	321.90 25.27 3372.75 3398.02 25.56	195.78 25.27 2851.62 2876.89 14.81	438.39 25.27 3097.12 3122.39 35.01
	Diluted (~)	15.32 10.24 ~l~NED FOR IDENTIFICATION ~ - G. M. KAPADIA & CO. MUMBAI.			9.38	25.56	14.81	35.01

: 2:

STATEMENT OF CONSOLIDATED ASSETS AND LIABILITIES AS AT SEPTEMBER 30, 2019

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(fCrores)
Sr. No. Particulars Unaudited Audited
SeDt 30 2019 March 31 2019
A ASSETS:
1 Non-current assets:
(a) Property, Plant and Equipment 1798.58 1746.47
(b) Capital work-in-progress 73.18 36.09
(c) Goodwill on consolidation 38.31 23.59
(d) Goodwill on acquisition 23.61 23.61
(e) Other Intangible assets 147.91 146.71
(f) Intangible assets under development 20.25 30.24
(g) Right of use assets 19.10 -
(h) Investment accounted for using the equity method 26.85 30.05
(i) Financial Assets
(i) Investments - -
(ii) Loans 122.16 117.01
(iii) Others 1.26 3.24
0) Deferred tax assets (net) 1.89 1.84
(k) Other non-current assets 15.67 14.07
Total Non-Current Assets 2288.77 2172.92
2 Current assets:
(a) Inventories 1160.79 1072.50
(b) Financial Assets
(i) Investments 42.68 90.38
(ii) Trade receivables 918.83 681.51
(iii) Cash and cash equivalents 290.88 281.18
(iv) Bank Balance other than (iii) above 1.03 1.12
(v) Loans 4.33 2.57
(vi) Others 115.99 105.13
(c) Current tax assets 0.42 -
(d) Other current assets 139.32 143.36
Total Current Assets 2674.27 2377.75
Total Assets 4963.04 4550.67
B EQUITY AND LIABILITIES:
Equity:
(a) Equity Share Capital 25.27 25.27
(b) Other Equity 3372.75 3097.12
Equity attributable to shareholders of the Holding Company 3398.02 3122.39
Non controlling interest 16.13 15.54
Total Equity 3414.15 3137.93
Liabilities:
1 Non-current liabilities:
(a) Financial Liabilities
(i) Borrowings 121.85 140.85
(ii) Lease liability 13.94 -
(iii) Other financial liabilities - -
(b) Provisions 28.27 25.28
(c) Deferred tax liabilities (net) 145.21 147.55
(d) Other non-current liabilities 1.56 1.56
Total Non-Current Liabilities 310.83 315.24
2 Current liabilities:
(a) Financial Liabilities
(i) Borrowings 318.28 209.69
(ii) Trade payables :
Dues of micro and small enterprises 5.71 4.34
Dues of others 595.41 519.98
(iii) Lease liability 4.07 -
(iv) Other financial liabilities 164.79 197.59
(b) Current Tax Liabilities (net) 2.39 18.35
(c) Provisions 85.84 70.40
(d) Other current liabilities 61.57 77.15
Total Current Liabilities 1238.06 1097.50
Total Eauitv and Liabilities 4963.04 4550.67
rSI()~ED FOR IDENTIFICATIO~
B I ~ .•. e -- ••.•..•..
~#
l G. M. KAP~IA & CO. l;~~"JV
MUMBAI. j ~ -"It", •
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:3:

Notes:

• 1 The above financial results have been reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on November 07, 2019.The Statutory Auditors have carried out the limited review of the results for the quarter ended Sept 3D, 2019 only. The financial results and other financial information for the quarter and half year ended Sept 3D, 2018 have not been subjected to limited review/audit. However, the management has exercised due diligence to ensure that such financial results provide a true and fair view of its affairs.

• 2 The Board has allotted 5,00,000 convertible warrants to the members of Promoters / Promoter Group of the Company with a right to the warrant holders to apply for and be allotted 1 (one) equity share of ~ 2/- each of the Company at a price oH 955/(including premium oH 953/- per share), for each warrant, within a period of 18 months from the date of allotment of the said warrants.

• 3 The Group has only one operating segment viz, 'Pharmaceuticals', 4 Figures of the previous periods have been regrouped wherever necessary,

SJ(J~"Ll) FUR IDENTIF[CATIO~ BY Place: Mumbai, ~ Date: November 07,2019 G. M. KAPADIA & CO. MUMBAI.

Ipea Laboratories Limited

Regd. Office: 48, Kandivli Industrial Estate, Kandivli 0N), Mumbai 400 067

CIN : L24239MH1949PLC007837

Tel:+91 2266474444, E-mail: investors@ipca.com Website: www.ipca.com Statement of Consolidated Unaudited Cash Flow for the Half Year ended September 30,2019

	CIN : L24239MH1949PLC007837 Tel:+91 2266474444, E-mail: investors@ipca.com Website: www.ipca.com	CIN : L24239MH1949PLC007837 Tel:+91 2266474444, E-mail: investors@ipca.com Website: www.ipca.com	CIN : L24239MH1949PLC007837 Tel:+91 2266474444, E-mail: investors@ipca.com Website: www.ipca.com	CIN : L24239MH1949PLC007837 Tel:+91 2266474444, E-mail: investors@ipca.com Website: www.ipca.com	CIN : L24239MH1949PLC007837 Tel:+91 2266474444, E-mail: investors@ipca.com Website: www.ipca.com	CIN : L24239MH1949PLC007837 Tel:+91 2266474444, E-mail: investors@ipca.com Website: www.ipca.com
Statement of	onsolidated Unaudited Cash Flow for	the Half Year ended Se		ptember 30,2019
		Setember302019		Half Y	ear Ended
A. Cash Flow from Operating Acti 1) Net profit before taxation Adjustments for: Depreciation, amortisation (Profit) / Loss on sale of P Share of profits/(Ioss) from Net gain on financial asset Adjustment on account of Deferred upfront fees on B Finance Cost on Lease Lia Rent of Lease Assets Interest income on financia Property. plant & equipmen Sundry balances written of Provision for doubtful debts Bad debts written off Unwinding of Lease Rent Employee Stock Option for Unrealised foreign exchang Interest income Interest expense 2) Operating profit before w Decrease / (Increase) in in Decrease / (increase) in Tr Decrease / (increase) in Ot Decrease / (increase) in Ot Increase / (Decrease) in Tr Increase / (Decrease) in Ot Increase / (Decrease) in Ot Increase / (Decrease) in Pr 3) Cash generated from oper Income tax paid (net) Net cash from operating a B. Cash Flow from Investing Activiti Purchase of Property. plant Work in progress,intangible Investment in Others Proceeds towards Business Investment in Equity shares Loan given to Associate Loan given to Joint Venture Proceeds from Sale of Prop Movement in other bank bal Interest received Net cash from / (used) in i C. Cash Flow from Financing Activiti Issue of Share Capital Increase / (decrease) in shor Proceeds from long-term bor Repayment of long-term borr Interest paid Dividend & dividend tax paid Net cash from (used in) fina Net increase / (decrease) in cash Cash and cash equivalents at beginn Movement due to Business combina Cash and cash equivalents at end Components of cash & cash equival Cash and cheques on hand Balance with banks Mutual Funds Less: Fair value (gain) /Ioss on Mut	vities and extraordinary item and impairment expense roperty, plant & equipment investment in associates through FVTPL Revenue from contract with customers orrowings bility l asset at amortised cost t scrapped/transferred f/(back) / advances fieted e (gain) /Ioss orking capitai changes ventOries ade Receivables her Financial assets her assets ade Payables her Financialliabililies her liabilities ovisions ation ctivities es & equipment including capital assets combination of Associates ertY,Plant and Equipment ances nvesting activities es t term borrowings rowings owings ncing activities and cash equivalents ( A + B + C ) ing of year tion of the period ents: ual funds	p , (~ Crores) 95.73 (5.87) 2.96 0.47 - 0.31 0.69 (2.64) (2.82) 1.03 (0.07) 3.81 0.13 - - 0.60 (13.38)	3	92.21	September 30, (~ Crores) 91.92 0.61 0.43 1.01 2.04 0.24 - - (2.45) 0.26 1.20 0.07 0.11 2.19 0.01 53.63 (928)	018 222.26
		8.46 (77.94) (215.46) (2.98) (0.13) 62.75 28.68 (15.69)	8 48	9.41 1.62	. 7.07 (49.88) (181.50) 0.48 13.18 32.86 (0.75) (1.39)	149.06 371.32
		12.62 (93.09) - (108.71) - (1.00) (0.63) 6.30 (0.43)	(208 27	.15) 3.47	9.84 (43.28) (7.25) - (0.34) - - 2.10 (0.04)	(177.16) 19416
			(87 18 (185. (38.4 (37.8 370.	.35) 6.12 50) 6) 4) 92		. (33.84) 160.32 (41.87) I (86.09l! 32.36 218.15
		12.06 - 103.37 53.97 (103.72) (46.30) (45.78) 42.68			6.94 4.57 25.83 - (94.37) (7.01) (15.11) 30.06
			0.	31		-
			333.3 0. 290.	9 45 43		250.51 0.49 219.43
		(0.17)	42.5	1	0.53	30.59
Place: Mumbai, Date : November 7, 2019 ~I~I\ED FOR IDENTIFICATION ~~"-- G. M. KAPADIA & CO MUMBAI. .	D FOR IDENTIFICATION ~~"		333.3			250.51

G. M. KAPADIA & co. (REGISTERED)

CHARTERED ACCOUNTANTS

1007, RAHEJA CHAMBERS, 213, NARIMAN POINT, MUMBAI 400 021. INDIA

PHONE: (91-22) 6611 6611 FAX: (91-22) 66116600

Independent Auditor's Limited Review Report on Unaudited Consolidated Financial Results for the quarter and half year ended on September 30, 2019 of Ipca Laboratories Limited pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

To, The Board of Directors, Ipca Laboratories Limited, Mumbai

1. We have reviewed the statement of unaudited consolidated financial results of Ipca Laboratories Limited ("the Parent") and its subsidiaries (the Parent and its subsidiaries together referred to as "the Group"), and its share of the net profit/(loss) after tax and total comprehensive income / (loss) of its associates and joint venture for the quarter and half year ended September 30, 2019 ("the Statement") attached herewith being submitted by the Parent pursuant to the requirement of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended. This Statement is the responsibility of the Company's Management and approved by the Parent's Board of Directors. Our responsibility is to issue a report on the Statement based on our review. Attention is drawn to the fact that the consolidated figures for the quarter and half year ended September 2018, as reported in these financial results have been approved by the Parent's Board of Directors, but have not been subjected to revIew.

2. This Statement has been prepared in accordance with the recognition and measurement principles laid Jown in Indian Accounting Standard 34 "Interim Financial Reporting", prescribed under section 133 of the Companies Act, 2013, and other accounting principles generally accepted in India.

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. 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

~PAD/-1~ n audit. Accordingly, we do not express an audit opinion.

~. ('I . 0 ~ MUMBAI :.

o ..!:? ~ ~~ ~" "'/. &red AccO-V

MUMBAI NEW DELHI CHENNAI BEN-GALURU HYDERABAD JAIPUR

G. M. KAPADIA & CO.

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.

2. The Statement includes the standalone financial results, of the following entities:

he Sta	tement includes the standalone financial results, of the following entities:
Sr.	Name of the Entities
No.
	Subsidiaries
1	Ipca Pharma Nigeria Limited, Nigeria
2	Ipca Pharmaceuticals Limited, SA. de CV, Mexico
"	Ipca Laboratories (U.K.) Limited, UK
,)
4	Ipca Pharmaceuticals Inc. USA
5	Ipca Pharma (Australia) Pty Limited, Australia
6	Tonira Exports Limited, India
7	Ramdev Chemical Private Limited, India
	Step-down Subsidiaries
8	Onyx Scientific Limited, UK
9	Ipca Pharma (NZ) Pty Limited, New Zealand.
10	Pisgah Labs Inc., USA
11	Bayshore Pharmaceuticals LLC, USA
	Joint Venture
12	Avik Pharmaceuticals Limited, India
	Associates
13	Trophic Wellness Private Limited, India
14	Krebs Biochemicals & Industries Limited, India

1. Based on our review conducted and procedures performed as stated in paragraph 3 above and based on the consideration of the review reports of the other auditors referred to in paragraph 7 below, nothing has come to our attention that causes us to believe that the accompanying Statement, prepared in accordance with the recognition and measurement principles laid down in the aforesaid Indian Accounting Standard and other accounting principles generally accepted in India, has not disclosed the information required to be disclosed in terms of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, including the manner in which it is to be disclosed, or that it contains any material misstatement.

2. We did not review the unaudited standalone financial results of one associate included in the Statement in which the Group's share of net loss after tax is ~ 2.73 crores and ~ 5.15 crores and total comprehensive loss of ~ 2.85 crores and ~ 5.39 crores for the quarter and half year ended September 30, 2019, respectively, as considered in the Statement. This unaudited standalone financial result of this associate has been reviewed by other auditor whose report has been furnished to us by the Management and our conclusion on the ~PADI.-1 tatement, in sofar as it relates to the amounts and disclosures included in respect of this ~. ~ ciate, is based solely on the report of the other auditor and the procedures performed c::i * 9 * MUMBAI

(i ~ ~ ~ :r/, "U"""""" , <::-" '0<::- (fred_ AeeoY>

G. M. KAPADIA & CO.

by us as stated in paragraph 4 above. Our conclusion on the Statement is not modified in respect of the above matter.

1. The Statement includes the standalone financial results of eleven subsidiaries which have not been reviewed / audited by their auditors, whose standalone financial results reflect total assets of { 635.77 crores as at September 30, 2019 and total revenues of { 83.53 crores and { 153.87 crores, total net profit/Closs) after tax of { 0.62 crores and { (0.37) crores, total comprehensive profit of { 7.39 crores and { 4.64 crores, for the quarter and half year ended September 30, 2019, respectively and cash inflows (net) of { 16.63 crores for the half year ended September 30, 2019, as considered in the Statement. The Statement also includes the Group's share of net profit after tax of { 1.36 crores and { 2.19 crores and total comprehensive profit of { 1.36 crores and { 2.19 crores for the quarter and half year ended September 30, 2019, respectively, as considered in the Statement, in respect of one associate and one joint venture based on their standalone financial results which have not been reviewed / audited by their auditors.

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

For G. M. KAPADIA & CO. Chartered Accountants Registration No. 104767W

Mumbai Dated: November 07, 2019

Atul Shah Partner Membership No. 039569 UDIN: 19039569AAAAMM3827

PRESS RELEASE

Ipca Laboratories Q2 FY20 Financial Results

Mumbai, November 7, 2019: Ipca Laboratories Limited today announced its unaudited consolidated financial results for the second quarter and half year ended 30[th] September, 2019.

Key Financials of Q2 FY20

• Standalone total Income up 21% at Rs. 1226.89 crores.

• Consolidated total Income up 26% at Rs. 1298.70 creres.

• Indian formulations income up 16% at Rs.543.21 creres.

• Exports Income up 27% at Rs.588.03 crores.

• Standalone EBITDA margin (before forex (gain)/Ioss) @ 22.69% in 02 FY20 as against @ 21.46% in 02 FY19

• Consolidated EBITDA margin @ 21.79% in 02 FY20 as against @ 21.37% in 02 FY19

• Standalone Net Profit at Rs. 196.02 crares up 64%.

• Consolidated Net Profit at Rs. 193.54 crores up 63%

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|||||||||||
|---|---|---|---|---|---|---|---|---|---|
|Standalone|Q2|FY20|at|a|glance|(Rs.|Crores)|
|Particulars|Q2|FY20|Q2|FY19|Growth|
|Total|Income|1226.89|1011.57|21%|
|Export|Income|588.03|462.00|27%|
|EBITDA|before|Forex|(gain)|/|loss|278.37|217.08|28%|
|Forex|(gain)|/|loss|2.48|30.54|-|
|Finance|Cost|4.05|2.38|70%|
|Depreciation|and|Amortisation|45.11|43.16|5%|
|Tax|Expense|30.71|21.26|44%|
|Net|Profit|after|tax|196.02|119.74|64%|
|Earnings|per|share|of|Rs. 2/-|each|(Rs.)|15.51|9.48|64%|

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Consolidated Q2 FY20 at a glance

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|||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
|Consolidated|Q2|FY20|at|a|glance|(Rs.|Crores)|
|Particulars|Q2|FY20'|Q2|FY19|Growth|
|Consolidated|Total|Income|1298.70|1026.76|26%|
|Consolidated|EBITDA|before|Forex|(gain)|/|loss|282.99|219.38|29%|
|Share|of|(profit)|/|loss|of|associates|& joint|venture|1.37|0.68|101%|
|Forex|(gain)|/|loss|2.33|30.33|
|Finance|Cost|4.23|2.38|78%|
|Depreciation|and|Amortisation|49.63|45.35|9%|
|Tax|Expense|31.89|22.10|44%|
|Consolidated|Net|Profit|after|tax|193.54|118.54|63%|
|Consolidated|Earnings|per|share|of|Rs.2/-|each|(Rs.)|15.32|9.38|63%|

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Ipea Laboratories Ltd. www.ipca.com

ndivli Industrial Estate, CTS No. 328, Kandivli (West), Mumbai 400 067, India I T: +91 226210 5000 F:+91 2262105005 Regd. Office: 48, Kandivli Industrial Estate, Kandivli (West), Mumbai 400 067, India I T: +91 2266474444 E:ipca@ipi:a.com ON: L24239MH1949PLC007837

:2:

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Q2 FY20 Revenue break-up (Rs. Crores)
Particulars Q2 FY20 Q2 FY19 Growth
Formulations
Domestic 543.21 468.62 16%
Exports
Branded 100.20 83.24 20%
Institutional 61.46 43.80 40%
Generics 179.17 161.23 11%
Total Formulations 884.04 756.89 17%
APls
Domestic 67.17 51.42 31%
Exports 247.20 173.73 42%
Total APls 314.37 225.15 40%
Other Operating Income 14.15 15.78 -10%
Standalone Revenue from Operations 1212.56 997.82 22%
Revenue from Operations - Subsidiaries 71.34 14.18 403%
Consolidated Revenue from Operations 1283.90 1012.00 27%
Other Income 14.80 14.76 -
Consolidated Total Income 1298.70 1026.76 26%
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Key Financials of Hl FY20

• Standalone Total Income up 20% at Rs.2257.33 crores.

• Consolidated Total Income up 25% at Rs.2397.23 crores.

• Indian formulations income up 15% at Rs.996.02 crores.

• Exports Income up 26% at Rs. 1065.48 crores.

• Standalone EBITDA margin (before forex (gain) / loss) @ 21.42% in H1 FY20 as against @ 19.66%H1 FY19

• Consolidated EBITDA margin @ 20.56% in H1 FY20 as against @ 19.68% H1 FY19

• Standalone Net Profit at Rs.328.07 crores up 77%.

• Consolidated Net Profit at Rs. 322.97 crores up 73%

Standalone Hl FY20 at a glance	(Rs. Crores)
Hl FY19 Hl FY20 Particulars	Growth
1879.13 2257.33 Total Income	20%
843.73 1065.48 Export Income	26%
369.50 483.57 EBITDA before Forex (gain) / loss	31%
55.32 7.31 (6.79) 8.52 Forex (gain) / loss Finance Cost	17%
87.65 33.96 185.26 14.66 87.15 66.62 328.07 25.96 Depreciation and Amortisation Tax Expense Net Profit after tax arnings per share of Rs.2/- each (Rs.)	-1%

'E'S

(. 3 125, Kandivli Industrial Estate, CTS No. 328, Kandivli (West), Mumbai 400 067, India I T: +91 2262105000 F: +91 2262105005 -. Regd. Office: 48, Kandivli Industrial Estate, Kandivli (West), Mumbai 400 067, India I T: +91 2266474444 E: ipca@ipca.com ON: L24239MH 1949PLC007837

:3:

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Consolidated H1 FY20 at a glance (Rs. Crores)
Particulars H1 FY20 H1 FY19 Growth
Consolidated Total Income 2397.23 1916.51 25%
Consolidted EBITDA before Forex (gain) / loss 492.92 377.14 31%
Share of (profit) / loss of associates &joint venture 2.96 0.43 588%
Forex (gain) / loss (6.80) 55.22 -
Finance Cost 8.82 7.31 21%
Depreciation and Amortisation 95.73 91.92 4%
Tax Expense 69.24 35.17 96%
Consolidated Net Profit after tax 322.97 187.09 73%
Consolidated Earnings per share of Rs.2/- each (Rs.) 25.56 14.81 73%
H1 FY20 Revenue break-up (Rs. Crores)
Particulars H1 FY20 H1 FY19 Growth
Formulations
Domestic 996.02 869.56 15%
Exports
Branded 191.83 161.77 19%
Institutional 88.78 85.28 4%
Generics 305.04 265.22 15%
Total Formulations 1581.67 1381.83 14%
APls
Domestic 132.87 111.44 19%
Exports 479.83 331.46 45%
Total APls 612.70 442.90 38%
Other Operating Income 29.20 27.02 8%
Standalone Revenue from Operations 2223.57 1851.75 20%
Revenue from Operations - Subsidiaries 138.52 35.68 288%
Consolidated Revenue from Operations 2362.09 1887.43 25%
Other Income 35.14 29.08 21%
Consolidated Total Income 2397.23 1916.51 25%
About Ipca Laboratories:
----- End of picture text -----

Ipca is a pharmaceutical company with a strong thrust on exports which now account for 47% of Company's income. Ipca is vertically integrated and produces finished dosage forms and active pharmaceutical ingredients.

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~"-'kt),\es ()~;:, ro
~ . 0 ~ ~
Premdiand Godha .P~ co •.
Chairman & Managing Direct / 1}
----- End of picture text -----

End: Unaudited Standalone and Consolidated Financial Results

Contact Information:

Harish P. Kamath, Corporate Counsel & Company Secretary at harish.kamath@ipca.com or on +91-22- 621 0 6050

Ipca Laboratories Ltd. www.ipca.com 125, Kandivli Industrial Estate, CTS No. 328, Kandivli (West), Mumbai 400 067, India I T: +91 2262105000 F:+91 2262105005 Regd. Office: 48, Kandivli Industrial Estate, Kandivli (West), Mumbai 400 067, India I T: +91 2266474444 E:ipca@ipca.com CIN: L24239MH 1949PLC007837