PVP Ventures Ltd — Interim / Quarterly Report 2021

Aug 11, 2021

WHERE YOU WANT TO BE

August 11, 2021 : i

WHERE YOU WANT TO BE
To
The BSE Limited Phiroze Jeejeebhoy Towers,	National Stock Exchange of India Limited "Exchange Plaza, Bandra Kurla Complex,
Dalal Street, Fort, Mumbai = 400 001	Mumbai Bandra (E) = 400051 Equity

Sub: Outcome of the Board Meeting and Submission of financials results

Pursuant to Regulation of 30, 33, and other applicable provisions of SEB! (Listing Ob Disclosures Requirements) Regulation, 2015, we wish to inform you that, the Board of D Company at their meeting held on August 11, 2021 have inter-alia:

• 4) Approved the Un-sudited financial results (Standalone & Consolidated) for the First i ended June 30, 2021 along with Limited Review Report thereon issued by Statutory 4
• 2) To Re-eppokn Me. Premed V. Pots es Chairmen & Managing Director (Dit OUR7#175) Company for tenure of Five (5) years from August 11, 2021 to August 10, 2026 st p of Shareholders in the ensuing Annual General Meeting
• 3) To convene 30" Annual General Meeting of the Company on Monday, S through video conference and notice of 30" Annual General Meeting of the |
• 4) The closer of Register of Members and Share Transfer Book from Thursday, to Monday, September 27, 2021 (Both the days inclusive) for the purpose of Meeting of the Company.

Kindly note the Board Meeting Commenced at 03.30 P.M and ended at 04,30 P.M.

Details of the Managing Director seeking Re-appointment

Mr. Prasad V. Potluri	ra
00179175
Indian
04/12/2007
Number of shares held in the Company Nil
		of Company
Audit Committee		Member Picturehouse Media Limited
Committee		Media Limited
Audit Committee		Member PVP Ventures Limited
Committee		Limited
Nil Ee
		Details of the Managing Director seeking Re-appointment Picturehouse Media Limited — Managing Director Name of the Committee Position Name Stakeholders Relationship Member Picturehouse Stakeholders Relationship Member PVP Ventures

PVP Ventures Limited

Registered Office: Door No. 2, 9th Floor, KRM Centre, Harrington Road, Chetpet Chennai-600031

	PVP Ventures Limited
Registered Office: Door No. 2, 9th Floor,	KRM Centre, Harrington Road, Chetpet Web: www.pvpglobal.com			Chennai-600031
Unaudited Financial Results for the Quarter ended June 30, 2021	CIN:L92191TN2000PLC044077
Statement of Standalone unaudited Financial Results	for the Quarter		ended June 30, 2021 Rs. In lakhs NDALONE - _
			50.06. 2020
oe Income			: Unaudited	_
Revenue from operations Other Income	348.22 2.19	413.65 37.63	: 170.00 4.74	1,753.10 52.08
Total Income (1)	' 350.41	451.28	174.74	1,805.18
Expenses
(a) Cost of film production expenses (b) Purchases of Stock-in-Trade	- -	- "	= "	2 7
(c) Changes in inventories of finished goods work in-progress	20.21	25.63	10.14 :	99.50
(d) Employee benefit expenses (e) Finance Cost	35.76 678.30	44.63 682.22	36.63 710.50	133.46 2,781.08
(f) Depreciation and amortization expenses (g) Others expenses	16.60 \$6.12.	3.09 77.02	19.58 26.60	70.89 195.63
Total Expenses (2) Profit/(Loss) before exceptional items and	805.99	832.59	803.45
	(455.58)	(381.31)	(628.71)	3,280.56
tax (1-2)
Exceptional items Profit before tax (3-4)	- (455.58)	(381.31) *	- (628.71)	-
Tax expense a) Current Tax	-	(263.37)	: -	-
b) Deferred Tax Income tax for earlier years c)	- :	- -	- -	- -
Net Profit for the period/year (5-6) Other Comprehensive Income	(455.58)	(117.94)	(628.71)	(1,475.38) (1,475.38)
a) (i) Items that will not be reclassified subsequently to profit and loss
Remeasurement of defined benefit obligation	-	4.38)	-	4.38
Less : Income tax expense Total Other Comprehensive Income (8)	-	4.38	:	(1,475.38) 4.38
Total Comprehensive Income (7+8) 10 Paid-up equity share capital (Face Value of Re.	(455.58) 24,505.27	(113.56) 24,505.27	(628.71) 24,505.27	(1,471.00) 24,505.27
10/- each) 11]Other Equity				33,818.58
12 Earnings per share (a) Basic (in Rs.)	(0.19)}	(0.05)	(0.26)	(0.60)

KRM Centre, 9° Floor, Door No. 2, Harington Road, Chetpet, Chennai 600 031

Notes to the Audited Standalone Financial Results for the Quarter Ended June, 30,2021

a. The Company was authorised to issue 1950 listed, (rated, secured), redeemable Non-Convertible Debentures (the NCDs) of Rs. 10 Lakhs each for an aggregate amount of Rs.19,500 lakhs, out of which the company has issued Tranche A 386 Debentures aggregating to Rs.3,860 lakhs and Tranche B sf 829 Debentures aggregating to Rs.8,290 lakhs which were, subscribed and paid i as per the debenture trust deed dated 16th June 2017, with remaining debentures unissued.

b. Whereas the repayment dues of Tranche A Debentures aggregating to Rs.3,040.66 lakhs (out of which principal amounting to Rs.1,888.75 lakhs and. Interest amounting to Rs.1151.91 lakhs) and Tranche B Debenture aggregating to Rs.8,763.80 lakhs (out of which principal amounting to Rs.4,663.13 lakhs and Interest amounting to Rs.4,100.67 lakhs) as on 30th June 2021 are still unpaid. As per the latest letter dated 08th July 2021, the company has received extension from the Debenture holder extending the repayment of principal and interest amount which have fallen due, to be paid on or before 30" September ,2021. The debenture holders have also stipulated that, in the case of default of payment of principal repayment within the extended due date, default additional interest of 5% per annum (over and above the coupon) is to be paid on the defaulted amount from the original due date till the date of payment. However, this sum is not provided for. The © Board has requested debenture holders for waiver of interest of 5% per annum (over and above the coupon). The waiver letter is yet to be received from the debenture holders. The auditors have drawn Emphasis of matter in this regard. EIEN ) LS

KRM Centre, 9'* Floor, Door No. 2, Harington Road, Chetpet, Chennai 600 031

Notes to the Audited Standalone Financial Results for the Quarter Ended June, 30,2021

c. The company has defaulted redemption of debentures which has fallen due vr the time permitted u/s 164 (2) (b) of the companies Act, 2013

The debenture holders have agreed for a revised scheme of redemption and payment of interest and have thereby agreed to extend time of redemption and payment of interest. As per the legal advice, the Board is of the view that even though the repayment has not been made within the period contemplated in the above section, the disqualification mentioned u/s 164 (2) (b) of the Companies Act, 2013 are not applicable. The statutory auditors have drawn a qualified conclusion in this matter.

1. The company allotted 13,289 convertible or redeemable debentures of Rs.1,00,000 each convertible into preference shares and or equity shares as per scheme of amalgamation dated 25th April, 2008, sanctioned by Honourable High Court of Madras between SSI Limited and PVP Ventures Private Limited. The Debenture holder, by letter dated 4th December, 2017, has extended the conversion/redemption option, till 318 March, 2029.

Further, as per the letter dated July 08, 2021, the company has received the extension from the Debenture holder for the repayment of Interest for the period from April 2017 to March 2021 amounting to Rs. 2,901.98 lakhs till 30" September, 2021.The debenture holder has stipulated that, in the case of default of payment of interest amount within the extended due date, default additional interest of 2% per annum (over and above the coupon) is to be paid on the defaulted amount from the original due date to till the date of payment.

During the three months ended 30 June, 2021, the company has accounted finance cost of

KRM Centre, 9'* Floor, Door No. 2, Harington Road, Chetpet, Chennai 600 031

Notes to the Audited Standalone Financial Results for the Quarter Ended June, 30,2021

which principal amounting to Rs.5,000 lakhs and interest amounting to Rs.3,082.73 lakhs) to Fully Convertible Debentures.

• 1. The value of investments in three subsidiaries (including deemed investments) net off provision for diminution thereon viz Rs 35,160.16 lakhs, wherever applicable in three subsidiary companies as at June 30,2021 is Rs 58,367.31 lakhs. Considering the market value of the assets held by the subsidiary companies and potential future cash flows that may accrue on account of their business operations the Board is of view that the carrying value of net investments (including deemed investments) does not warrant any further impairment as for now. The statutory auditors, however, have drawn qualified conclusion in this regard.
• 1. The Company has furnished a corporate guarantee to its step-down subsidiary company, PVP Capital Limited ((PVPCL'). PVPCL has not adhered to repayment schedule of principal and interest due to a bank consequent to which the bank has filed a case for recovery of the dues before the Debt Recovery Tribunal (DRT) amounting to Rs.20,908.85 lakhs (including interest accrued) as per PVPVCL's books of accounts as on 30 June,2021, The bank has taken possession of mortgaged lands of the Group Company under Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI) and issued an e-auction sale notice. There were no bidders for the aforesaid sale notice and consequently the e-auction sale proceedings have become infructuous. | PVPCL has applied for One Time Seltlement to the lender bank and confident to settle the same. However, the statutory auditors have drawn a qualified conclusion in this regard.

KRM Centre, 9" Floor, Door No. 2, Harington Road, Chetpet, Chennai 600 031

Notes to the Audited Standalone Financial Results for the Quarter Ended June, 30,2021

• 1. The company was unable to honour its obligations towards 'awaymnetit of principal and interest dues to its debenture holders, due to this, the current liabilities exceeds the current assets by Rs. 14,160.60 lakhs and the current ratio is not healthy. Further the company has obligations pertaining to operations which include unpaid creditors and statutory dues. However, the company has taken business initiatives in relation to saving cost and optimizing revenue. The company is also planning to launch residential lay out with infrastructure and amenities in 20 acres of land. Considering the current situation of real estate sector, the company is hopeful of improving operating performance and increasing sustainable cash flows. The company is confident that such cash flows which will increase its financial viability. Accordingly, notwithstanding the dependence on these material uncertain events, the group continues to prepare the consolidated financial results on a Going Concern basis. The auditors drawn emphasis of matter in this regard.
• 1. The company has furnished a corporate guarantee and hypothecated 10,00,000 nos. equity shares of Rs 10/- each held in a subsidiary company viz. Picturehouse Media Limited, Chennai. With the approval of the developer, the company had mortgaged 20 flats of Ekanta Tower-1 of North Town Project, Chennai for availing term loan from the Bank by its subsidiary company (i.e.) Safe trunk Services Private Limited, Chennai (SSPL). During the financial year 2018-2019, UCO Bank invoked the pledge on 10,00,000 nos. equity shares, out of which 9,234 shares were sold. Subsequently, during the financial year 2019-2020, out of remaining shares, 22,286 shares were sold by the bank. During the year ended 31% March, 2021, the loanee company had repaid the entire loan. The transfer of ownership of remaining shares aN ONT ~~ (9,68,480 nos.) as well as the release of flats by the lender bank is yet to-ee Fempleted.

fee \

KRM Centre, 9'" Floor, Door No. 2, Harington Road, Chetpet, Chennai 600 031

Notes to the Audited Standalone Financial Results for the Quarter Ended June, 30,2021

• 1. The above unaudited standalone financial results for the Quarter ended June 30, 2021 were reviewed & recommended by the Audit Committee and approved by the Board of Directors at the meeting held on August 11, 2021. These above results have been subjected to limited review by the statutory auditors of the company.
• 1. In the opinion of the Board, the business operations of the company are considered as single operating segment by the considering the performance as whole in the Real Estate and Allied Activities. Hence segment reporting is not applicable.
• 1. The statements have been prepared in accordance with the Companies (Accounting Standard) Rules, 2015 ('The Ind AS') prescribed under section 133 of the Companies Act, 2013.
• 10.These results are also available at the website of the company www.pvpglobal.com, www.bseindia.com and www.nseindia.com.

PVP Ventures Limited Registered Office: Door No. 2, 9th Floor, KRM Centre, Harrington Road, Chetpet, Chennai-600031 Web: www.pvpglobal.com , Unaudited Financial Results for the Quarter ended June 30, 2021 CIN:L92191TN2000PLC044077 : : ek "Year ended:

	PVP Ventures Limited
Registered Office: Door No. 2, 9th Floor,	KRM Centre, Harrington Road, Chetpet, Chennai-600031 Web: www.pvpglobal.com
Unaudited Financial Results for the Quarter ended June 30, 2021				,
	CIN:L92191TN2000PLC044077		:
2			ek : ~ 30.06.2020	"Year ended: 31.03.2021
eee			Unaudited	Audited
Income 1 Revenue from operations	348.22	424.62	181.09	1,783.95
Other Income Total Income (1)	3.05 351.27	171.29 595.91	8.08 189.17	189.45 1,973.40
Expenses 2 (a) Cost of film production expenses	-	3.03		3.03
(b) Purchases of Stock-in-Trade (c) Changes in inventories of finished goods work}	- 20.21	- 25.64	Los : 10.14	- 99.51
in-progress and Stock-in-Trade
(d) Employee benefit expenses	46.45	55.89	52.24	180.54
(e) Finance Cost (f) Depreciation and amortization expenses	1,586.24 24.26	984.40 17.64	1,686.82 58.83	6,131.28 196.33
(g) Others expenses (h) Impairment of Financials Instruments	293.98 372.90	293.27 * 290.64	267.97 372.90	1,364.17 1,491.59
Total Expenses (2) before exceptional items and	2,344.04	1,670.51	2,448.90	9,466.45
Profit/(Loss) 3 tax (1-2)	(1,992.77)	(1,074.60)	(2,259.73)	(7,493.05)
Exceptional items 4 Profit before tax (3-4) 5	- (1,992.77)	569.08 (1,643.68)	- (2,259.73)	569.08 (8,062.13)
Tax expense 6 a) Current Tax	-	(263.37)	-	-
b) Deferred Tax c) Income tax for earlier years	< -	é -	= =	-
d) MAT Credit reversal	-	-
7 Net Profit for the period/year (5-6) Other Comprehensive Income 8	(1,992.77)	(1,380.31)	(2,259.73)	(8,062.13)
a) (i) Items that will not be reclassified subsequently to profit and loss
Remeasurement of defined benefit obligation	-	7.01	-	7.01
Less : Income tax expense Total Other Comprehensive Income (8)		7.01		7.01
Total Comprehensive Income (7+8) 9	- (1,992.77)	: (1,373.30)	: (2,259.73)	(8,055.12)
10 Paid-up equity share capital (Face Value of Re.	24,505.27	24,505.27	24,505.27 /	24,505.27
10/- each)	~			(23,978.82)
(a) Basic (in Rs.)	(0.81)	(0.56)	(0.92)	(3.29)
(b) Diluted (in Rs.)	(0.81)	(0.56)	(0.92)	(3.29)
11) Other Equity 12 Earnings per share

PVP Ventures Limited, Chennai Quarter ended 30th June 2021

		PVP Ventures Limited, Chennai
		Quarter ended 30th June 2021
			Consolidated Segment Results for the Quarter Ended 30th June, 2021
					(Rs. in Lakhs)
Sl No			Quarter Ended Quarter Ended Quarter Ended		Year Ended'
	PARTENERS	30.06.2021 Unaudited	31.03.2021 Unaudited	30.06.2020 Unaudited	31.03.2021 Audited
	1 Segment Revenue
	Real Estate Movie Related Activities	350.41 -	451.28 133.67	174.74 8.34	1,805.18 138.80
	Locker Services	-	10.96	-	29.42
	Unallocable Income Total	0.86 351.27	595.91	6.09 189.17	- 1,973.40
	Less: Intersegment revenue Net sales/Income from Operations	" 351.27	595.91	189.17	: 1,973.40
	2 Segment Profit/(Loss) before finance and tax Real Estate	211.05	293.29	80.82	1,272.25
	Movie Related Activities	(400.92)	(273.82)	(400.76)	(1,498.13)
	Locker Services Unallocable Expenditure	(0.08) (216.58)	303.06 (412.73)	(252.96)	(81.37) (1,054.52)
	Segment Profit/(Loss) before finance and tax	(406.53)	(90.20)	(572.90)	(1,361.77)
	Less: Finance cost Total Loss before exceptional items	1,586.24 (1,992.77)	984.40 (1,074.60)	1,686.82 (2,259.72)	6,131.28 (7,493.05)
	Exceptional items Total Loss before tax	- (1,992.77)	569.08 (1,643.68)	(2,259.72)	569.08 (8,062.13)
	3 Segment Assets
	Real Estate Movie Related Activities	1,19,962.48 14,794.26	1,19,910.46 15,100.85	1,17,834.72 12,151.28	1,19,910.46 15,100.85
	Locker Services Unallocable Assets	- 12,452.76	- 12,656.76	- 18,820.76	- 12,656.76
	Eliminations	(91,351.85)	(91,084.62)	(88,708.47)	(91,084.62)
	Total	55,857.65	56,583.45	60,098.29	56,583.45
	4 Segment Liabilities
	Real Estate Movie Related Activities	32,662.90 34,133.70	32,147.14 33,132.41	31,665.51 29,046.55	32,147.14 33,132.41
	Locker Services	55.63	55.59		55.59
	Unallocable Assets Eliminations Total	2,225.55 (2,779.19) 66,298.59	2,481.58 (2,785.12) 65,031.60	3,189.82 (1,382.39) 62,519.49	2,481.58 (2,785.12) 65,031.60

NOTES TO CONSOLIDATED UNAUDITED FINANCIAL RESULTS

• a. The Parent Company was authorised to issue 1950 listed, (rated, secured), redeemable Non-Convertible Debentures (the NCDs) of Rs. 10 Lakhs each for an aggregate amount of Rs.19,500 lakhs, out of which the holding company. has issued Tranche A 386 Debentures aggregating to Rs.3,860 lakhs and Tranche B of 829 Debentures aggregating to Rs.8,290 lakhs which were, subscribed and paid up as per the debenture trust deed dated 16th June, 2017, with remaining debentures unissued.
• b. Whereas the repayment dues of Tranche A Debentures aggregating to Rs. 3,040.66 lakhs (out of which principal amounting to Rs.1,888.75 lakhs and Interest amounting to Rs. 1,151.91 lakhs) and Tranche B Debentures aggregating to Rs. 8,763.80 lakhs (out of which principal amounting to Rs. 4,663.13 lakhs and Interest amounting to Rs. 4,100.67 lakhs) as on June 30, 2021 are still unpaid. As per the letter dated 8" July, 2021, the holding company has received extension from the Debenture holders extending the repayment of principal and interest amount which have fallen due, on or before 30!" September, 2021. The debenture holder have also stipulated that, in the case of default of payment of principal repayment within the extended due date, default additional interest of 5% per annum (over and above the coupon) is to be paid on the defaulted amount from the original due date till the date of payment. However, this sum is not provided for. The Board has requested debenture holders for waiver of interest of 5% per annum (over and above the coupon). The waiver letter is yet to be.received from the debenture holders. The auditors have drawn Emphasis of matter in this regard.

Page 1 of 10

NOTES TO CONSOLIDATED UNAUDITED FINANCIAL RESULTS

c. The company has defaulted the redemption of debentures which has fallen due beyond the time permitted under section 164(2)(b) of the Companies Act, 2013.

However, as per the legal advice, Board of the Parent company is of the view that even though the repayment has not been made within the period contemplated in the above cited section, as the debenture holders have agreed for a revised scheme of redemption and payment of interest and have thereby agreed to extend time of redemption and payment of interest, the disqualification mentioned u/s. 164(2)(b) of the Companies Act, 2013 are not applicable. The statutory auditors have, however, drawn a qualified conclusion in this matter.

1. The holding company allotted 13,289 convertible or redeemable debentures of Rs.1,00,000 each convertible into preference shares and / or equity shares as per scheme. of amalgamation dated 25th April, 2008, sanctioned by Honourable High Court of Judicature at Madras between SSI Limited and PVP Ventures Private Limited. The Debenture holder, by letter dated 4th December, 2017, has extended the conversion/redemption option, till 31% March, 2029.

Further, as per the letter dated July 07, 2021, the holding company has received extension from the Debenture holder for the repayment of Interest for the period from April 2017 to March 2021 amounting to Rs. 2,901.98 lakhs till the 30° September, 2021.The debenture holder has stipulated that, in the case of default of payment of interest amount within the extended due date, default additional interest of 2% per annum (over and above the coupon) is to be paid on the defaulted amount from the original due date to till the date of payment. Zz {i jptea findce cost of During the three months ended 30" June, 2021, the company has acc

Page 2 of 10

NOTES TO CONSOLIDATED UNAUDITED FINANCIAL RESULTS

Rs.180.75 lakhs. As on 30" June, 2021, the outstanding payable is Rs.8,082.73 lakhs (out of which principal amounting to Rs.5,000 lakhs and interest amounting to Rs.3,082.73 lakhs) to | Fully Convertible Debentures.

• a. The Holding Company has furnished a corporate guarantee to its step-down siibsidiany company. PVP Capital Limited ('PVPCL'). PVPCL has not adhered to repayment schedule of principal and interest due to a bank consequent to which the bank has filed a case before the Debt Recovery Tribunal (DRT) for recovery of the dues amounting to Rs. 20,908.85 lakhs (including interest accrued) as per PVPCL's books of accounts as . on June 30, 2021.The bank has taken symbolic possession of secured, immovable property of the Group Company under Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (SARFAESI) and issued an eauction sale notice. There were no bidders for the aforesaid sale notice and consequently the e-auction sale proceedings have become infructuous. PVPCL has applied for One Time Settlement to the lender bank and confident to settle the same. The statutory auditors have, however, drawn qualified conclusion in this regard.
• b. PVPCL has not maintained the mandatory amount of Net Owned Fund of Rs.200 Lakhs. The Subsidiary's inability to meets its financial statements, non-payment of statutory dues and in absence of visual cash flows, doubts are cast on the ability of the subsidiary to continue as a going concern to achieve its future business plans. The Board of PVPCL is of the view that the going concern is not affected. The statutory auditors of PVPCL have, however, furnished a qualified report.

NOTES TO CONSOLIDATED UNAUDITED FINANCIAL RESULTS

1. The company has furnished a corporate guarantee and hypothecated 10,00,000 nos. equity shares of Rs 10/- each held in a subsidiary company viz. Picturehouse Media Limited, Chennai. With the approval of the developer, the company had mortgaged 20 flats of Ekanta Tower-1 of North Town Project, Chennai for availing term loan from the Bank by its subsidiary company (i.¢.) Safe trunk Services Private Limited, Chennai (SSPL). During the financial year 2018-2019, UCO Bank invoked the pledge on 10,00,000 nos. equity shares, out of which 9,234 shares were sold. Subsequently, during the financial year 2019-2020, out of remaining shares, 22,286 shares were sold by the bank. During the year ended 31% March, 2021, the loanee company had repaid the entire loan. The transfer of ownership of remaining shares (9,68,480 nos.) as well as the release of flats by the lender bank is yet to be completed.

In relation to unaudited consolidated financial results of Picturehouse Media Limited, Chennai ("PHML")

• . Advances made for film production (including interest accrued of Rs. 1,324.37 lakhs) by the company viz. PHML is aggregating to Rs.3,895.28 lakhs. The Board is confident of realising the value at which they are carried notwithstanding the long period of outstanding. The Board does not foresee any erosion in carrying value. The auditors have, however, drawn qualified conclusion in this regard.
• Expenditure on films under production amounting to Rs. 5,039.20 lakhs mainly comprise of payments to artistes and co-producers the company is evaluating options for optimal utilization of these payments in production and release of films. Accordingly, the company is confident of realising the entire value of 'expenditure on films under production'. The

NOTES TO CONSOLIDATED UNAUDITED FINANCIAL RESULTS

management does not foresee any erosion in carrying value. The auditors have drawn qualified conclusion in this regard.

1. As on June 30, 2021, the consolidated financial results of Picturehouse Media Limited, Chennai has a negative net worth of Rs. 21,861.29 Lakhs. Even though the group is incurring continuous losses and negative net worth, the group has succeeded to a larger extent, in reducing the operating cost. This is entirely aligned with the Group's long-range plan, which encompasses a continued development of the Group's revenue generating activities in order to absorb the losses carried forward and generate profit over a period of time. Further, the lenders have extended their confidence by advancing finance and extending the time period of repayment. There is no intention to liquidate and the Company has. got future projects to improve its Revenue. The Group has paid advance amounts to the artists and technicians for the future movies production which is displayed under Inventory. Further, the Group intends to strategically merge with its parent company which will create positive synergy in future. The consolidated financial results have been prepared on a going concern basis based on cumulative input of the available movie projects in pipe line and risk mitigating factors that are given effect to. The sietutery auditors of Picturehouse Media Limited, however, have drawn qualified conclusion in this regard.

In relation to unaudited financial results of PVP Capital Limited, Chennai (PVPCL)

1. PVP Capital Limited (PVPCL) has made a loan of Rs. 15,381.04 lakhs to various film producers. Due to significant delay in completing the films, the Company's customers did not service the interest and loan repayment. Consequently, the company has made a cumulative Ms provision of Rs.14,262.35 lakhs for the expected credit loss. PVPCL's Board-is-of the opinion

NOTES TO CONSOLIDATED UNAUDITED FINANCIAL RESULTS .

that no impairment is required to be made to the carrying value as it is confident of recovery 'from the borrowers. The statutory auditors of the company, however, has drawn a qualified conclusion in this regard.

In relation to unaudited financial results of PVP Global Ventures Private Limited, Chennai

• g) PVP Global Ventures Private Limited has advanced a sum of Rs. 13,756.75 Lakhs towards acquisition of land and other rights for its proposed power project(s). In terms of the arrangements, the recipients are required to facilitate sequisitien of certain areas of land parcels within 48 months towards which these advances are paid off. The long duration of outstanding of these advances and other factors like low probability of availability of a large area of land indicate the existence of uncertainty on the eventual realisability of these advances. However, this year Rs. 1951 .36 lakhs has been provided for Expected Credit Loss. . The financial impact if any due to non-realisability is not ascertainable at this stage. The statutory auditors of the said subsidiary have drawn a qualified conclusion in this regard.
• 1. The Enforcement Directorate had provisionally attached the land measuring. 28 Acres and 8 Guntas of the Group in connection with the redemption of the investments in Mahalakshmi Energy Ventures Private Limited by the Group. The said attachment order has been confirmed by the Adjudicating Authority of the Enforcement Directorate. The Company has filed an appeal against the said Order. Based on the expert advice, the Company is confident of succeeding before the appellate authority.
• 1. Arete Real Estate Developers Private Limited and Expressions Real Estate Private Limited subsidiaries of PVP Global Ventures Private Limited, have deposited title deeds of land as ^a(2

NOTES TO CONSOLIDATED UNAUDITED FINANCIAL RESULTS

security against the SEBI's penalty order. Further, PVP Global Ventures Private Limited has made provisions, for the penalty of Rs. 1500 lakhs and disputed interest of Rs. 645.53 lakhs. The company paid Rs. 255 lakhs towards penalty during the quarter under review.

1. The Company had issued 707, Zero Percent Compulsory Convertible Debentures of Rs.1,00,000/- each ("CCDs") to Platex Limited, the ultimate holding company. These CCDs are mandatorily convertible into equity shares of the Company either upon occurrence of a trigger event (which is defined to include public offering, takeover or merger etc. of the Company) or in case of non-occurrence of a Trigger Event, at any time during the period between Five (5) years to Ten (10) years from the date of issuance of the CCDs i.e. between June 16, 2014 and June 16, 2019. The Debentures should have been issued by June 16, 2019. |

Platex Limited, the debenture holder, requested to continue and not to convert the CCDs as per the agreement and further requested to extend the term by conversion of another next five years in view of expecting perpetual returns on investments vide letter dated May 15, 2019.Therefore, the company has extended the conversion period till June 16, 2024.

Ta: PVP Global Ventures Private Limited holds investments of Rs.13,096.99 lakhs in Jagati Publications Limited. The transfer of share certificates for the said investments in the name of the Company is still pending. Since, the original certificates are seized by Central Board of Investigation (CBI) during search operation in connection with quid pro quo case relating to investments in Jagati Publications Limited by the group, the same couldn't be delivered along with the share transfer form. The CBI has not furnished any report on its findings nor has it returned the original share certificates.

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NOTES TO CONSOLIDATED UNAUDITED FINANCIAL RESULTS

Due to the ongoing case filed by CBI, the Honourable High Court of Telangana is monitoring the day-to-day operations of the Investee Company and transfer of shares of the Investee Company has kept in abeyance until the final Order is issued. In the back drop of these facts, the valuation of the equity shares of Jagati Publication has been done by the Company by considering the profitability of the Investee Company and the general rate of return on equity by other listed publishing companies after being adjusted for factors affecting the Investee © Company. Based on the available information, Board has estimated the provision of Rs.12,766.27 lakhs as at June 30, 2021.

1. The Company continues to hold 10,90,235 equity shares of PVP Ventures Limited, its holding company, as these shares were acquired before the Company became its subsidiary. However, in terms of the provisions of section 19(1)(c) of the Act, the Company does not have any rights to vote at meetings of PVP Ventures Limited or any class of members thereof over these shares. The trading in shares of PVP Ventures Limited is under suspension with effect from April 09, 2019 by the stock exchanges for default in payment of penalty for nonappointment of woman director. The company's shares are trading from 22™ July 2021.

General notes to unaudited consolidated financial results

1. The Group was unable to honour its obligations towards repayment of principal and interest dues to its debenture holders and bank, further the company has obligations pertaining to operations includes unpaid creditors and statutory dues and incurring continuous losses. However, the group has taken various initiatives in relation to saving cost nd optimizing revenue. Further, the group is planning to launch residential lay out with infrastructure and amenities in 20 acres of land by considering the current situation of real estate sector. fh ory \,

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NOTES TO CONSOLIDATED UNAUDITED FINANCIAL RESULTS

Therefore, the group is confident of meeting of all the obligations by way of time bound monetisation of it assets and receipts of saiious claims, which resultant into improving operating performance and sustainable cash flows. Accordingly, notwithstanding the dependence on these material uncertain events, the group continues to prepare the consolidated financial results on a Going Concern basis. The statutory auditors of the parent company have drawn emphasis of matter in this regard.

• 1. The spread of COVID-19 has impacted global economic activity as has been witnessed in several countries. There have been severe disruptions in businesses in India during the lockdown period. The group has assessed recoverability and carrying value of assets comprising property, plant and equipment, trade receivables, inventory, loans and advances and investments at the balance sheet date. Based on the assessment by the Board, the net carrying values of the said assets will be recovered at values stated and there is no change in its ability to continue as going concern. The Group evaluated the internal controls with reference to financial results were found to be operating effectively given that there has been no such controls due to factors caused by COVID-19 situation. The auditors drawn emphasis of matter in this regard.
• 1. Appeals have been filed and are pending adjudication in regard to various income tax disputes, demands aggregating to Rs.1 ,893.13 lakhs. The company has been advised that it has a good case to support its stand hence does not warrant any provision in this regard. The auditors drawn emphasis of matter in this regard.

NOTES TO CONSOLIDATED UNAUDITED FINANCIAL RESULTS ©

• 1. The above unaudited consolidated financial results for the quarter ended June 30, 2021 were reviewed by the Audit Committee and approved by the Board of Directors at the meeting held on held on August 11, 2021. These above results have been subjected to limited review by the statutory auditors of the company.
• 19, The statements have been prepared in accordance with the Companies (Accounting Standard) Rules, 2015 ('The Ind AS') prescribed under section 133 of the Companies Act, 2013.
• 1. These results are also available at the website of the company www.pvpglobal.com, www.bseindia.com and www.nseindia.com.