PNB Gilts Ltd — Interim / Quarterly Report 2022

Aug 10, 2021

August 10, 2021

The Manager - Listing	The Manager - Listing
National Stock Exchange of India Ltd.	BSE Limited
Exchange Plaza	Phiroze JeeJeebhoy Towers
Sandra Kurla Complex	Dalal Street,
Sandra (E), Mumbai -400051	Mumbai- 400 001
Scrip Code: PNBGILTS	Scrip Code: 532366

Subject: Outcome of the Board Meeting

Ref: Intimation pursuant to Regulation 30 read with Regulation 33 and Schedule Ill of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 ('the Listing Regulations')

Sir/ Madam,

In terms of the above referred provisions of Listing Regulations, we wish to inform you that the Board of Directors of the Company at their meeting held today i.e. August 10, 2021 commenced at 3:24 p.m. and concluded at 6: JS p.m. has, inter- alia, considered and approved the unaudited financial results of the Company for the quarter ended June 30, 2021.

Pursuant to Regulation 33 of the Listing Regulations, the copy of approved unaudited financial results of the Company for the quarter ended June 30, 2021 alongwith Limited Review Report submitted by the Statutory Auditor are enclosed herewith.

Further, in the same meeting, it was also decided to convene the 25 th Annual General Meeting of the Company through Video Conferencing (VC) on Monday, September 20, 2021 at 11.00 AM.

Kindly take the same on record and also note that the results are also being published in Newspapers and posted on the website of the Company viz. www.pnbgilts.com.

This is for your Information and records.

•,

Thanking You,

RASOOL SINGHAL & CO. CHARTERED ACCOUNTANTS

To, The Board of Directors PNB Gilts Limited 5, Sansad Marg New Delhi-110001

Introduction

We have reviewed the accompanying statement of unaudited financial results of PNB Gilts Limited (Company) for the quarter and three months ended June 30, 2021 (Statement). This statement has been prepared by the company in accordance with recognition and measurement principles laid down in Indian Accounting Standard 34 "Interim Financial Reporting" (Ind AS 34), prescribed under Section 133 of the Companies Act, 2013, and other accounting principles generally accepted in India and in compliance with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with SEBI Circular No. CIR/CFD/FAC/62/2016 dated July 5, 2016, LIST/COMP/27/2018-19 dated November 22, 2018, CIR/CFD/CMD1/44/2019 dated March 29, 2019, and CIR/CFD/CMD1 /80/2019 dated July 19, 2019 (Circular).

This statement is the responsibility of the Company's Management and has been approved by the Board of Directors in their meeting held on August 10, 2021. Our responsibility is to issue a report on this financial statement based on our review.

Scope of Review

We conducted our review of the Financial Statements 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 financial statements are 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. We have not performed an audit and accordingly, we do not express an audit opinion.

Conclusion

Based on our review conducted as above, nothing has come to our attention that causes us to believe that the accompanying statement of unaudited financial results, prepared in accordance with applicable accounting standards 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 in which it is to be disclosed, or that it contains any material misstatement.

Date: 10.08.2021 Place: Delhi

For Rasool Singhal & Co. Partner Membership No. 453555 ---------------VP"-'--:I_N-"-':'-'=2=-'1---'- L/5"""--=3_,_, 5-s;i5_A0-'25J)1

SD-29, Shastri Nagar, Ghaziabad - 201002 1003, K.M. Trade Tower, Hotel Radisson Blu, Kaushami, Ghaziabad - 201010 G-313, Sector-63, Neida - 201301 9811242760,9810041371,0120-4207878 Administrative Office : Corporate Office Head Office Contact No. Email

carasoolsinghal@gmail.com, cajitendergoel@gmail.com

PNB GIL TS LIMITED (CIN: L74899DLI996PLC077120) Regd. Office: 5, Sansad Marg, New Delhi-110001 Ph: 23325759, 23325779 Fax 23325751, 23325763 E-Mail: pnbgilts@pnbgilts.com Website: www.pnbgilts.com

Statement of Unaudited financial results for the Quarter ended 30th June, 2021

		(Rs. In lacs)
		3 months ended	Year ended
S.No.	Particulars	30-06-2021	31-03-2021	30-06-2020	31-03-2021
		(Reviewed)	(Audited)	(Reviewed)	(Audited)
	Revenue from operations
	Interest income	20,729.74	17,071.85	21,090.85	77,883.38
	Dividend income	-	1.00	-	1.98
	Rental income	2.10	2.10	3.00	9.60
	Fees and commission income	737.07	1,330.80	167.37	2,046.96
	Net gain on securities (Realised
(I)	& Unrealised)Total revenue from operations	-21,468.91	-	27,884.20	25,255.85
			18,405.75	49,145.42	1,05, 197.77
(II)	Other income	73.08	7.82	7.28	29.62
(Ill)	Total income (I+ll)	21,541.99	18,413.57	49,152.70	1,05,227.40
	Expenses
	Finance costs	10,979.92	8,657 68	10,329.48	39,481.15
	Fees and commission expense	284.27	244.30	261.01	1,193.65
	Net loss on securities (Realised
	& Unrealised)	3,505.94	9,187.41	-	-
	Employees benefit expense	309.16	361.70	236.04	1,251.11
	Depreciation, amortization and
	imnairment	26.50	55.93	35.03	189.23
	Other expenses	300.12	214.40	248.38	804.95
(IV)	Total expenses	15,405.91	18,721.42	11,109.94	42,920.08
(V)	Profit/(loss) before exceptionalitems and tax (III-IV)	6,136.08	(307.85)	38,042.76	62,307.32
	•,
(VI)	Exceptional items	(1,106.94)	(872.62)	-	(872.62)
(VII)	Profit/(loss) before tax (V-VI)	5,029.14	(1,180.47)	38,042.76	61,434.70
	Tax expense/( credit):
	( l) Current tax	1,853.88	2,103.53	6,848.87	16,257.91
	(2) Earlier year taxes	0.10	398.70	-	398.70
	(3) Deferred tax	(813.98)	(2,269.03)	2,755.00	(633.59)
(VIII)	Total Tax expenses	1,040.00	233.20	9,603.87	16,023.02
	Profit/ Loss for the period (VII-
(IX)	Vilt\	3,989.14	(1,413.67)	28,438.89	45,41 J.68
(X)	Other comprehensive income
	A.(i) Items that will not bereclassified 10 orofit or loss
	-Remcasurements of defined
	benefit plan	(89.15)	6.66	(38.48)	(35.40)
	(ii) Income tax relating to items
	that will not be reclassified to
	orofit or loss	22.44	(1.68)	9.68	8.91
	Subtotal (A)	(66.71)	4.98	(28.80)	(26.49)
	B (i) Items that will be reclassified(specify items and amounts) to profit
	or loss	-	-	-	-

	(ii) Income tax relating to items thatwill be reclassified to profit or loss
		-	-	-	-
	Subtotal (8)	-	-	-	-
	Other comprehensive incomeIIA+B)	(66.71)	4.98	(28.80)	(26.49)
(XI)	Total comprehensive income forthe period (comprising profit/(loss) and other comprehensiveincome for the period) (XIII+XfV)	3,922.43	(1,408.69)	28,410.09	45,385.19
(XII)	Earnings per share•
	Basic (Rs.)	2.22	(0.79)
	Diluted (Rs.)	2.22	(0.79)	15.8015.80	25.2325.23

"Earnings per share for three months ended are not annualised.

NOTES

1. The above financial results of the Company have been prepared in accordance with Ind AS notified under the Companies (Indian Accounting Standards) rules, 2015 as amended by the Companies (Indian Accounting Standards), Rules, 2016, prescribed under Section 133 of the Companies Act 2013 ('the Act') read with relevant rules issued thereunder and the other accounting principles generally accepted in India. Any application guidance/ clarifications/ directions issued by the RBI or other regulators are implemented as and when they are issued/ applicable.

2. These results have been reviewed by the Audit Committee and subsequently approved by the Board of Directors at its meeting held on August 10, 2021.

3. In compliance with Regulation 33 of the Securities and Exchange Board of India ('SEBI') (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended from time to time, the statutory auditors of the Company, Rasool Singha! & Co. have carried out the Limited review of the interim financial results as per 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.

4. The interim financial results have been prepared as per the format prescribed in Division Ill of Schedule Ill of the Companies Act, 2013 vide Ministry of Corporate Affair (MCA) Notification dated October 11, 2018.

5. There is no separate reportable segment for the Company as per Ind AS 108-0perating Segments.

6.Taxation Laws (Amendment) Ordinance 2019, dated September 20, 2019 provides an option to domestic companies to pay income tax at a concessional rate. The Company has elected to apply the concessional tax rate since FY 2019-20 and the taxes have been computed accordingly.

1. In compliance with the SEBI circular no. SEBI/HO/DDHS/CIR/P/2019/115 dated October 22, 2019 read with circular no. SEBI/HO/DDHS/CIR/P/2019/167 dated December 24, 2019, the Company is required to submit to the Stock Exchange its financial results for the quarter ended June 30, 2021.

2. The financial results have been prepared in accordance with the recognition and measurement principles laid down in IND AS 34-lnterim Financial Reporting prescribed under Section 133 of the Companies Act, 2013 read with relevant Rules issued thereunder and other accounting principles generally accepted in India.

3. Figures of the previous period have been regrouped, wherever considered necessary in order to make them comparable with those of the current period.

1. The figures for the quarter ended March 31, 2021 are the balancing figures between audited figures in respect of the

year ended March 31, 2021 and the published year to date figures upto the nine months ended December 31, 2020.

1. The company neither has any adverse financial impact due to COVID-19 nor it anticipates any impact on its liquidity position or on its ability to continue as a going concern.

2. No Commercial Papers were issued during the quarter ended 30th June 2021.

13.As per RBI Master Direction for standalone Primary Dealers dated August 30, 2016, the valuation of the securities portfolio shall be done on prices declared by FIMMDA using last 15 days market prices with a minimum trade quantum of Rs. 5 crore in a day. Further in absence of market trading in required volume in last 15 days, value of securities are calculated based on inputs received from FIMMDA related to tenure spread/ credit spread matrix over and above the G· sec par curve and accordingly it has been done.

1. Other Income includes an amount of Rs. 67.64 lacs pertaining to interest on Income Tax refunds.

2. Exceptional items comprise the following:

Particulars	Quarter ended Year ended	30th June, 2021 31st March, 2021
i) Provision ofl.A. on 9.60% SREI Equipment Finance Limited (#1)	(56.25)	(226.22)
ii) Provision for Investment in 9.60% SREI Equipment Finance Limited	{1,040.66)	(740.25)
iii) Underwriting fee pertaining to prior years (July 17 to March 2020)		93.88
iv) Extra TDS booked in 2019-20, reversed		(0.03)
v) Prior period expenses (#3)	(10.03)
Total	{1,106.94)	{872.62)

#I and #2

Company holds 9.60% SREI EQUIPMENT FINANCE LTD DB 25-05-2028 security. Due to downgrading in the rating of the debenture, the same has been fully provided for in the books along with its interest accrued, the details of which are as follows:

Year	Face Value	Book Value		Market value Valuation Impact Provision of	9.60% SREI Eqpt I.A. on 9.60%Fin Ltd-Investment	(Rs. In Lacs)Provision ofSREI Eqpt FinLtd
As onMarch 31,2021	2,350.00	2,327.84	740.25	1,587.59	740.25	226.22
As on June30,2021	2,350.00	2,327.84	1,780.91	546.93	1,780.91	282.47

#3

Certain expenses pertaining to the previous years which could not be provided for during the last year, have been booked in the current year and shown under exceptional items.

Date: August 10, 2021

For & on behalf of Board For Rasool Singha! & -~ ?;.~!;_'-'::! ... ,( Place: New Delhi Partner