Seshasayee Paper & Boards Ltd. — Annual Report 2021

May 8, 2021

Regd Office & Works : Pallipalayam, Namakkal District, Erode - 638 007, Tamilnadu, India, Ph : 91 - 4288 - 240221 to 240228 Fax: 91 - 4288 - 240229 email : edoff@spbltd.com Web : www.spbltd.com CIN : L21012TZ1960PLC000364

Ref: SHI S 61 94 2021 0508

National Stock Exchange of India Limited Exchange Plaza, 5 1h Floor Plot No C/1, G Block Bandra - Kurla Complex, Bandra (E) Mumbai 400 051

Stock Code : SESHAPAPER

BSE Limited Floor 25 P J Towers Dalal Street Mumbai 400 001 Stock Code : 502450

Dear Sir,

Sub: Business transacted at the Board Meeting held on 08 05 2021

In continuation of our letter No. SH/ S-6/ 74 dated 20 04 2021, we wish to state that the Board of Directors of the Company at their meeting held on 08 05 2021, through Video Conference, have transacted, among other business, the following:

1. Approval of Annual Financial Statements

The Board of Directors have approved the Audited Standalone and Consolidated Financial Statements for the financial year ended 31 03 2021.

2. Dividend

The Board of Directors has recommended payment of dividend of ~ 2.50 per Equity Share of ~ 2/- each, for the financial year 2020-21. The dividend, if approved by the Members at the Annual General Meeting to be held on July 24, 2021, will be paid on or after July 26, 2021.

3. Compliance of Regulation 33

In deference to Regulation 33 of the Listing Regulations, we sent herewith:

• (i) Audited Standalone and Consolidated Financial Results for the quarter and year ended 31 st March 2021, approved by the Board of Directors and signed by the Chairman.
• (ii) Extract of Financial Results to be published.

..2

..2..

• (iii) Auditor's Report on Annual Standalone Financial Results.
• (iv) Auditor's Report on Annual Consolidated Financial Results.
• (v) Declaration on Auditors' Report with Unmodified opinion.

4. Notice of the 61⁵¹ AGM

The Board of Directors has approved the Notice of 61 st Annual General Meeting of the Company to be held through Video Conference on Saturday, the July 24, 2021 at 11.00 AM.

5. Cut-off Date

Cut-off date for e-Voting is July 17, 2021.

The meeting commenced at 11.00 AM and concluded at 2.00 PM.

Please take the above on record.

Thanking you,

Yours faithfully Forsehayee Paper and BoardsLimited

~

(K S KASI VISWANATHAN) Managing Director

Encl:

SESHASAYEE PAPER AND BOARDS LIMITED CIN: L21012TZ1960PLC000364

Regd. Office: Pallipalayam, Namakkal District Cauvery RS PO, Erode 638 007 Ph: 04288 240221 - 228, Fax: 04288 240229 Email: investor@spbltd.com Web: www.spbltd.com

STATEMENT OF AUDITED FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED MARCH 31, 2021

											(`crores)
				Standalone					Consolidated
SI. No.	Particulars		3 months ended		Year ended			3 months ended		Year ended
		3103 2021	31 12 2020	3103 2020	3103 2021	31 03 2020	3103 2021	31 12 2020	3103 2020	3103 2021	31 03 2020
		(Audited)	(Unaudited)	(Audited)	(Audited)	(Audited)	(Audited)	(Unaudited)	(Audited)	(Audited)	(Audited)
1	Revenue from Operations
	a) Revenue from Operation	327.82	164.46	320.26	781.79	1183.98	327.89	164.52	320.33	782.06	1184.25
	b) Other Income	2.89	3.33	3.47	19.32	22.73	2.91	3.34	3.48	18.44	22.32
	Total Income	330.71	167.79	323.73	801.11	1206.71	330.80	167.86	323.81	800.50	1206.57
2	Expenses
	a) Cost of Materials consumed	136.98	88.49	144.79	459.48	600.89	136.98	88.49	144.79	459.48	600.89
	b) Purchase of Stock-in-Trade	6.32	4.84	8.96	23.97	30.48	6.32	4.84	8.96	23.97	30.48
	c) Changes in inventories of Finished Goods, Work-in-Progress and Stock-in-Trade	65.17	(-) 4.17	18.62	(-) 97.40	(-) 53.05	65.17	(-) 4.17	18.62	(-) 97.40	(-) 53.05
	d) Employee benefits expense	19.34	17.00	16.25	81.34	82.32	19.34	17.00	16.25	81.34	82.32
	e) Finance Costs	0.60	0.71	0.85	2.91	6.89	0.60	0.71	0.85	2.91	6.89
	f) Depreciation and amortization expense	9.74	9.45	7.62	37.60	35.00	9.75	9.46	7.63	37.64	35.03
	g) Cost of Power and Fuel	30.66	22.97	33.23	105.93	140.93	30.66	22.97	33.23	105.93	140.93
	h) Other expenses	35.08	21.48	33.68	100.92	115.57	35.18	21.59	33.79	101.19	115.74
	Total expenses	303.89	160.77	264.00	714.75	959.03	304.00	160.89	264.12	715.06	959.23

											(`crores)
				Standalone			Consolidated
SI. No.	Particulars		3 months ended			Year ended		3 months ended		Year ended
		31 03 2021	31 12 2020	31 03 2020	31 03 2021	31 03 2020	31 03 2021	31 12 2020	31 03 2020	31 03 2021	31 03 2020
		(Audited)	(Unaudited)	(Audited)	(Audited)	(Audited)	(Audited)	(Unaudited)	(Audited)	(Audited)	(Audited)
3	Profit / (Loss) from Ordinary Activities after Finance Costs but before Exceptional items	26.82	7.02	59.73	86.36	247.68	26.80	6.97	59.69	85.44	247.34
4	Share of Profit / (Loss) of Associate	--	--	--	--	--	2.19	0.17	2.51	7.07	8.52
5	Exceptional Items	--	--	--	--	--	--	--	--	--	--
6	Profit / (Loss) from Ordinary Activity Before Tax (3+4+5)	26.82	7.02	59.73	86.36	247.68	28.99	7.14	62.20	92.51	255.86
7	Tax expenses
	Current Tax Deferred Tax (Refer Note: 6)	5.45 (-) 40.08	-- 2.48	12.64 2.68	18.44 (-) 32.35	45.17 29.05	5.46 (-) 40.08	0.01 2.48	12.65 2.68	18.49 (-) 32.35	45.22 29.05
	Total Tax Expenses	(-) 34.63	2.48	15.32	(-) 13.91	74.22	(-) 34.62	2.49	15.33	(-) 13.86	74.27
8	Net Profit / (Loss) from Ordinary Activities After Tax (6-7)	61.45	4.54	44.41	100.27	173.46	63.61	4.65	46.87	106.37	181.59
9	Other Comprehensive Income (OCI)
	A (i) Items that will not be reclassified to Statement of Profit and Loss
	(a) Remeasurement benefit of the defined benefit Plans	1.62	--	(-) 1.30	1.62	(-) 1.30	1.62	--	(-) 1.30	1.62	(-) 1.30
	(b) Net Fair Value Gain on investment in Equity Instruments through OCI	3.96	28.63	(-) 22.71	41.24	(-) 10.98	3.96	28.63	(-) 22.71	41.24	(-) 10.98
	(c) Share of OCI of Associate	--	--	--	--	--	0.57	0.63	(-) 0.20	1.74	(-) 0.18
	(ii) Income Tax relating to items that will not be reclassified to Statement of Profit and Loss	(-) 0.66	(-) 2.34	1.88	(-) 3.00	0.50	(-) 0.66	(-) 2.34	1.88	(-) 3.00	0.50

											(`crores)
				Standalone					Consolidated
SI. No.	Particulars		3 months ended			Year ended		3 months ended			Year ended
		31 03 2021	31 12 2020	31 03 2020	31 03 2021	31 03 2020	31 03 2021	31 12 2020	31 03 2020	31 03 2021	31 03 2020
		(Audited)	(Unaudited)	(Audited)	(Audited)	(Audited)	(Audited)	(Unaudited)	(Audited)	(Audited)	(Audited)
	B (i) Items that will be reclassified to Statement of Profit and Loss	--	(-) 0.96	(-) 0.21	--	(-) 2.63	--	(-) 0.96	(-) 0.21	--	(-) 2.63
	(ii) Income Tax relating to items that will be reclassified to Statement of Profit and Loss	--	0.34	0.07	--	0.92	--	0.34	0.07	--	0.92
10	Total Other Comprehensive Income	4.92	25.67	(-) 22.27	39.86	(-) 13.49	5.49	26.30	(-) 22.47	41.60	(-) 13.67
11	Total Comprehensive Income for the period (8+9) (Comprising Profit and other Comprehensive income for the period)	66.37	30.21	22.14	140.13	159.97	69.10	30.95	24.40	147.97	167.92
12	Paid-up Equity Share Capital (Face value ` 2)(Refer Note 5)	12.04	12.04	12.04	12.04	12.04	12.04	12.04	12.04	12.04	12.04
13	Reserves, excluding Revaluation Reserves, as per the Audited Balance Sheet				1089.56	973.92				1130.69	1007.21
14	Earnings Per Share of ` 2 each (not annualised).(Refer Note 5)
	(a) Basic	10.20	0.75	7.37	16.65	28.80	10.56	0.77	7.78	17.66	30.15
	(b) Diluted	10.20	0.75	7.37	16.65	28.80	10.56	0.77	7.78	17.66	30.15

STATEMENT OF ASSETS AND LIABILITIES:

							(` crores)
			Standalone			Consolidated
	Particulars	As at 31 03 2021	As at 31 03 2020	As at 01 04 2019	As at 31 03 2021	As at 31 03 2020	As at 01 04 2019
		(Audited)	(Audited)	(Audited)	(Audited)	(Audited)	(Audited)
A	ASSETS
1	Non-Current Assets
	(a) Property, Plant and Equipment	732.82	672.51	669.60	732.82	672.51	669.60
	(b) Capital Work in Progress	32.20	31.03	23.36	32.20	31.03	23.36
	(c) Other Intangible Assets	1.54	2.08	2.26	1.54	2.08	2.26
	(d) Investment Property	--	--	--	1.26	1.29	1.10
	(e) Financial Assets
	(i) Investments	125.51	84.27	95.25	152.49	103.39	106.60
	(ii) Loans	6.45	12.20	17.12	6.45	12.20	17.12
	(f) Goodwill on Consolidation	--	--	--	11.78	11.78	11.78
	(g) Other Non-Current Assets	14.78	13.57	8.99	14.78	13.57	8.99
	Sub-total - Non CurrentAssets	913.30	815.66	816.58	953.32	847.85	840.81
2	Current Assets	227.25	169.44	134.57	227.25	169.44	134.57
	(a) Inventories
	(b) Financial Assets
	(i) Trade Receivables	81.54	80.83	79.25	81.67	81.01	79.67
	(ii) Cash and cash equivalents	113.55	204.56	64.63	113.60	204.80	64.74
	(iii) Bank balances other than (ii) above	92.25	120.70	245.94	93.36	121.55	246.76
	(iv) Loans	--	--	0.62	--	--	0.62
	(v) Others	0.18	1.15	3.56	0.23	1.20	3.63
	(c) Current Tax Assets (Net)	--	0.64	--	0.01	0.65	--
	(d) Other Current Assets	47.70	21.57	52.85	47.70	21.57	52.85
	Subtotal - CurrentAssets	562.47	598.89	581.42	563.82	600.22	582.84
	TOTAL - ASSETS	1475.77	1414.55	1398.00	1517.14	1448.07	1423.65

							(` crores)
		Standalone Consolidated
	Particulars	As at 31 03 2021	As at 31 03 2020	As at 01 04 2019	As at 31 03 2021	As at 31 03 2020	As at 01 04 2019
		(Audited)	(Audited)	(Audited)	(Audited)	(Audited)	(Audited)
B	EQUITY AND LIABILITIES
1	EQUITY
	(a) Equity Share Capital	12.04	12.04	12.04	12.04	12.04	12.04
	(b) Other Equity	1089.56	973.92	843.22	1130.69	1007.21	868.66
	Subtotal – Equity	1101.60	985.96	855.26	1142.73	1019.25	880.70
2	Non-Current Liabilities
	(a) Financial Liabilities
	(i) Borrowings	3.49	6.63	51.48	3.49	6.63	51.48
	(ii) Other financial liabilities	15.78	17.21	17.00	15.78	17.21	17.00
	(b) Provisions	16.64	20.17	17.92	16.64	20.17	17.92
	(c) Deferred Tax Liabilities(Net)	119.88	149.23	121.60	119.88	149.23	121.60
	(d) Other Non-Current liabilities	1.10	2.19	3.29	1.10	2.19	3.29
	Sub-total - Non CurrentLiabilities	156.89	195.43	211.29	156.89	195.43	211.29
3	Current Liabilities
	(a) Financial Liabilities
	(i) Trade Payables
	I. Dues to Micro, Small and Medium Enterprise (MSME)	10.31	3.66	21.50	10.31	3.66	21.50
	II. Other than MSME Dues	160.59	191.33	237.02	160.61	191.34	237.04
	(ii) Other financial liabilities	28.76	26.83	62.99	28.97	27.05	63.20
	(b) Other current liabilities	10.98	5.35	5.10	10.99	5.35	5.10
	(c) Provisions	4.57	4.59	3.69	4.57	4.59	3.69
	(d) Current Tax Liabilities	2.07	1.40	1.15	2.07	1.40	1.13
	Sub-total – Current Liabilities	217.28	233.16	331.45	217.52	233.39	331.66
	TOTAL – EQUITY AND LIABILITIES	1475.77	1414.55	1398.00	1517.14	1448.07	1423.65

CASH FLOW STATEMENT:

(` crores)

		Standalone		Consolidated
	Particulars	Year ended		Year ended
		31 03 2021	31 03 2020	31 03 2021	31 03 2020
		(Audited)	(Audited)	(Audited)	(Audited)
A	CASH FLOW FROM OPERATING ACTIVITIES
	Net Profit before Tax	86.36	247.68	85.44	247.34
	Adjustments for : Add / (Less)
	Assets Discarded	1.84	0.09	1.84	0.09
	Depreciation	38.03	35.83	38.07	35.86
	Allowance for Doubtful debts	--	0.96	--	0.96
	Finance charge on lease liability	0.04	0.05	0.04	0.05
	Imputed Finance Charge on Interest Free Sales Tax Deferral Loan	0.89	1.10	0.89	1.10
	Interest and financing charges	1.98	5.74	1.98	5.74
	Interest income from Term Deposits	(-) 9.79	(-) 17.05	(-) 9.85	(-) 17.11
	Dividend Income from Investments	(-) 1.56	(-) 1.02	(-) 0.62	(-) 0.55
	Re-measurement of Defined benefit plan	1.62	(-) 1.30	1.62	(-) 1.30
	Deferred income arising from government grant	(-) 1.10	(-) 1.10	(-) 1.10	(-) 1.10
	Interest income from Lease Deposit	(-) 0.01	(-) 0.01	(-) 0.01	(-) 0.01
	Profit / Loss on sale of assets	(-) 0.22	0.03	(-) 0.22	0.03
	Operating profit before Working Capital changes	118.08	271.00	118.08	271.10
	Changes in working capital:
	(Increase) / Decrease in Inventories	(-) 57.81	(-) 34.87	(-) 57.81	(-) 34.87
	(Increase) / Decrease in Sundry Debtors	(-) 0.71	(-) 2.54	(-) 0.66	(-) 2.30
	(Increase) / Decrease in Other Assets	(-) 27.60	33.95	(-) 27.60	33.97
	Increase / (Decrease) in Liabilities and Provisions	(-) 21.96	(-) 57.03	(-) 21.95	(-) 57.03
	Income Tax paid	(-) 17.11	(-) 45.56	(-) 17.15	(-) 45.60
	NET CASH FROM OPERATING ACTIVITIES	(-) 7.11	164.95	(-) 7.09	165.27

(` crores)

		Standalone		Consolidated
	Particulars	Year ended		Year ended
		31 03 2021	31 03 2020	31 03 2021	31 03 2020
		(Audited)	(Audited)	(Audited)	(Audited)
B	CASH FLOW FROM INVESTING ACTIVITIES
	Purchase of Property, Plant and Equipment	(-) 102.17	(-) 45.67	(-) 102.18	(-) 45.89
	Outflow towards "Right to Use" Assets	(-) 0.27	(-) 0.25	(-) 0.27	(-) 0.25
	Sale of Property, Plant and Equipment	1.58	0.05	1.58	0.05
	Dividend Income from Investments	1.56	1.02	1.56	1.02
	Income From SPB Equity Shares Trust	0.74	1.14	0.74	1.14
	Interest income from Term Deposits	9.79	17.05	9.85	17.11
	Income from Inter Corporate Deposit	2.58	0.10	2.58	0.10
	Inter Corporate Deposit Repayment received	4.40	0.60	4.40	0.60
	NET CASH FROM INVESTING ACTIVITIES	(-) 81.79	(-) 25.96	(-) 81.74	(-) 26.12
C	CASH FLOW FROM FINANCING ACTIVITIES
	Increase / decrease in Unsecured Loans	(-) 3.35	(-) 3.10	(-) 3.35	(-) 3.10
	Increase / Decrease of non-current borrowings	--	(-) 85.20	--	(-) 85.20
	Dividend and Dividend tax paid	(-) 25.23	(-) 30.41	(-) 25.23	(-) 30.41
	Interest and financing charges paid	(-) 1.98	(-) 5.59	(-) 1.98	(-) 5.59
	NET CASH FROM FINANCING ACTIVITIES	(-) 30.56	(-) 124.30	(-) 30.56	(-) 124.30
	Net increase in cash and cash equivalents (I)	(-) 119.46	14.69	(-) 119.39	14.85
					311.50
	Cash and cash equivalents as at the end of the period (I + II)	205.80	325.26	206.96	326.35
	Cash and cash equivalents as at the beginning of the period (ll)	325.26	310.57	326.35

Notes:

• 1. Paper is the only reportable segment of operation of the Company.
• 1. The lockdown imposed in multiple phases to contain the spread of COVID-19 pandemic, had affected the normal functioning of commercial establishments, schools, colleges and educational institutions. Slowdown in the Indian economy, coupled with poor offtake in export markets, due to the pandemic situation, had resulted in significant reduction in demand for Printing and Writing Paper, key segment in which the Company operates. Due to these factors, Company witnessed significant drop in Revenue and profits during the financial year ended March 31, 2021.
• 1. The Company has considered the possible effects that may result from the pandemic relating to COVID-19 on the carrying amounts of Property, Plant and Equipment, Investments, Inventories, Receivables and other Current Assets. The Company has performed sensitivity analysis on these current estimates and expects that the carrying amount of these assets will be recovered.
• 1. The figures for the last quarter are the balancing figures between audited figures in respect of the full financial year and the published year to date figures upto the third quarter of the current financial year.

1. Pursuant to the clarification given by FRRB of ICAI in their publication in February 2021 on the accounting treatment for Treasury Shares, the Equity Shares of the Company, held by SPB Equity Shares Trust, are now treated as Treasury Shares and the restatement has been carried out to give effect to the said accounting treatment. In accordance with Ind AS 8, 'Accounting Policies, Changes in Accounting Estimates and Errors' and Ind AS 1, 'Presentation of Financial Statements', the Company has retrospectively restated its Balance Sheet as at 31 March 2020 and 1 April 2019 (beginning of the preceding period) and Statement of Profit and Loss for the year ended 31 March 2020. The key areas of restatement are summarised below.

			Standalone			Consolidated
Item Revised	Period	As stated originally	Addition / (Deletion)	Restated Amount	% change	As stated originally	Addition / (Deletion)	Restated Amount	% change
Profit After Tax (` crores)		174.60	(1.14)	173.46	(0.65)%	182.73	(1.14)	181.59	(0.62)%
Earnings Per Share (`) – Basic and Diluted	FY 2019-20	27.68	1.12	28.80	4.05%	28.97	1.18	30.15	4.07%
Total assets (` crores) *		1427.05	(12.50)	1414.55	(0.88)%	1460.57	(12.50)	1448.07	(0.86)%
Equity Share Capital (` crores)	As at March	12.61	(0.57)	12.04	(4.52) %	12.61	(0.57)	12.04	(4.52) %
Other Equity (` crores)	31, 2020	985.85	(11.93)	973.92	(1.21) %	1019.14	(11.93)	1007.21	(1.17) %
Total Equity & Liabilities (` crores) ^		1427.05	(12.50)	1414.55	(0.88)%	1460.57	(12.50)	1448.07	(0.86)%

* Change is in Financial Assets – Loans

^ Change is in Total Equity

• 1. Considering the advantages, the company plans to opt for the reduced tax rate of 25.17 % (including surcharge and Cess) under section 115BAA of the Income Tax Act from the FY 2021-22. Accordingly, the deferred tax assets and liabilities, as on March 31, 2021, have been measured at the effective income tax rate of 25.17%, which is expected to be applied to the period when the asset is realised or the liability is settled, based on tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period. The restatement, at effective tax rate of 25.17%, involved a reversal of Net Deferred Tax Liability Rs.43.67 crores and the Deferred Tax Expense for Q4/FY 2020-21 is net of the aforesaid amount.
• 1. The above results were reviewed by the Audit Committee of the Board and approved by the Board of Directors at the respective meetings held on May 7, 2021 and May 8, 2021
• 1. The Board of Directors has recommended a dividend of Rs.2.50 per Equity Share of Rs. 2 each for the financial year 2020-21.

(By Order of the Board) For Seshasayee Paper and Boards Limited

Place: Erode Date : May 08, 2021

N GOPALARATNAM Chairman

This is the Statement of Audited Annual Financial Results referred to in our Standalone and Consolidated Audit Reports dated May 08, 2021.

For Maharaj N R Suresh and Co. LLP Firm Registration No. 001931S/S000020

N R Jayadevan Membership No. 023838 Partner Chartered Accountants

For R Subramanian and Company LLP Firm Registration No. 004137S/S200041

N Krishnamurthy Membership No. 019339 Partner Chartered Accountants

Place : Chennai Date : May 08, 2021 Gopalaratna m Natarajan

serialNumber=6cdb2a776857ca31d22535e8ecd5902f4dd80f 0b74c777b3fc26306b8bbc45ab, cn=Gopalaratnam Natarajan Date: 2021.05.08 12:32:15 +05'30'

NARASIMHA RAMAMURTHY JAYADEVAN

Digitally signed by NARASIMHA RAMAMURTHY JAYADEVAN Date: 2021.05.08 12:48:04 +05'30' N Krishnamurthy Digitally signed by N Krishnamurthy Date: 2021.05.08 12:57:03 +05'30'

SESHASAYEE PAPER AND BOARDS LIMITED CIN: L21012TZ1960PLC000364

Regd. Office: Pallipalayam, Namakkal District Cauvery RS PO, Erode 638 007 Ph: 04288 240221 - 228, Fax: 04288 240229 Email: investor@spbltd.com Web: www.spbltd.com

EXTRACT OF STATEMENT OF AUDITED FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED MARCH 31, 2021

											(` crores)
				Standalone				Consolidated
SI. No.	Particulars		3 months ended			Year ended		3 months ended	Year ended
		31 03 2021	31 12 2020	31 03 2020	31 03 2021	31 03 2020	31 03 2021	31 12 2020	31 03 2020	31 03 2021	31 03 2020
		(Audited)	(Unaudited)	(Audited))	(Audited)	(Audited)	(Audited)	(Unaudited)	(Audited)	(Audited)	(Audited)
1	Total Income from Operations	330.71	167.79	323.73	801.11	1206.71	330.80	167.86	323.81	800.50	1206.57
2	Net Profit for the period (before Tax and Exceptional Items)	26.82	7.02	59.73	86.36	247.68	28.99	7.14	62.20	92.51	255.86
3	Exceptional Items	--	--	--	--	--	--	--	--	--	--
4	Net Profit for the period (before Tax and after Exceptional Items)	26.82	7.02	59.73	86.36	247.68	28.99	7.14	62.20	92.51	255.86
5	Net Profit for the period (after Tax and Exceptional Items) (Refer Note: 7)	61.45	4.54	44.41	100.27	173.46	63.61	4.65	46.87	106.37	181.59
6	Total Comprehensive Income for the period (Comprising Profit and Other Comprehensive Income for the period)	66.37	30.21	22.14	140.13	159.97	69.10	30.95	24.40	147.97	167.92
7	Paid-up Equity Share Capital (Face 2)(Refer Note 6) value `	12.04	12.04	12.04	12.04	12.04	12.04	12.04	12.04	12.04	12.04
8	Reserves, excluding Revaluation Reserves, as per the Audited Balance Sheet				1089.56	973.92				1130.69	1007.21
9	Earnings Per Share of ` 2 each (not annualised).(Refer Note 6)
	(a) Basic	10.20	0.75	7.37	16.65	28.80	10.56	0.77	7.78	17.66	30.15
	(b) Diluted	10.20	0.75	7.37	16.65	28.80	10.56	0.77	7.78	17.66	30.15

Notes:

1. The above is an extract of the detailed format of Quarterly / Annual Audited Financial Results filed with the Stock Exchanges under Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The full format of the Quarterly / Annual Audited Financial Results are available on the Website of Stock Exchanges (www.bseindia.com and www.nseindia.com) and on Company's Website (www.spbltd.com).

2. 1. Paper is the only reportable segment of operation of the Company.
3. 1. The lockdown imposed in multiple phases to contain the spread of COVID-19 pandemic, had affected the normal functioning of commercial establishments, schools, colleges and educational institutions. Slowdown in the Indian economy, coupled with poor offtake in export markets, due to the pandemic situation, had resulted in significant reduction in demand for Printing and Writing Paper, key segment in which the Company operates. Due to these factors, Company witnessed significant drop in Revenue and profits during the financial year ended March 31, 2021.
4. 1. The Company has considered the possible effects that may result from the pandemic relating to COVID-19 on the carrying amounts of Property, Plant and Equipment, Investments, Inventories, Receivables and other Current Assets. The Company has performed sensitivity analysis on these current estimates and expects that the carrying amount of these assets will be recovered.
5. 1. The figures for the last quarter are the balancing figures between audited figures in respect of the full financial year and the published year to date figures upto the third quarter of the current financial year.
6. 1. Pursuant to the clarification given by FRRB of ICAI in their publication in February 2021 on the accounting treatment for Treasury Shares, the Equity Shares of the Company, held by SPB Equity Shares Trust, are now treated as Treasury Shares and the restatement has been carried out to give effect to the said accounting treatment. In accordance with Ind AS 8, 'Accounting Policies, Changes in Accounting Estimates and Errors' and Ind AS 1, 'Presentation of Financial Statements', the Company has retrospectively restated its Balance Sheet as at 31 March 2020 and 1 April 2019 (beginning of the preceding period) and Statement of Profit and Loss for the year ended 31 March 2020. The key areas of restatement are summarised below.

			Standalone			Consolidated
Item Revised	Period	As stated originally	Addition / (Deletion)	Restated Amount	% change	As stated originally	Addition / (Deletion)	Restated Amount	% change
Profit After Tax (` crores)		174.60	(1.14)	173.46	(0.65)%	182.73	(1.14)	181.59	(0.62)%
Earnings Per Share (`) – Basic and Diluted	FY 2019-20	27.68	1.12	28.80	4.05%	28.97	1.18	30.15	4.07%
Total assets (` crores) *		1427.05	(12.50)	1414.55	(0.88)%	1460.57	(12.50)	1448.07	(0.86)%
Equity Share Capital (` crores)	As at March	12.61	(0.57)	12.04	(4.52) %	12.61	(0.57)	12.04	(4.52) %
Other Equity (` crores)	31, 2020	985.85	(11.93)	973.92	(1.21) %	1019.14	(11.93)	1007.21	(1.17) %
Total Equity & Liabilities (` crores) ^		1427.05	(12.50)	1414.55	(0.88)%	1460.57	(12.50)	1448.07	(0.86)%

* Change is in Financial Assets – Loans

^ Change is in Total Equity

1. Considering the advantages, the company plans to opt for the reduced tax rate of 25.17 % (including surcharge and Cess) under section 115BAA of the Income Tax Act from the FY 2021-22. Accordingly, the deferred tax assets and liabilities, as on March 31, 2021, have been measured at the effective income tax rate of 25.17%, which is expected to be applied to the period when the asset is realised or the liability is settled, based on tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period. The restatement, at effective tax rate of 25.17%, involved a reversal of Net Deferred Tax Liability Rs.43.67 crores and the Deferred Tax Expense for Q4/FY 2020-21 is net of the aforesaid amount.

2. The above results were reviewed by the Audit Committee of the Board and approved by the Board of Directors at the respective meetings held on May 7, 2021 and May 8, 2021

3. The Board of Directors has recommended a dividend of Rs.2.50 per Equity Share of Rs. 2 each for the financial year 2020-21.

(By Order of the Board) For Seshasayee Paper and Boards Limited

Place: Erode Date : May 08, 2021

Chairman

Gopalaratna m Natarajan

M/S MAHARAJ N R SURESH AND CO LLP M/S R SUBRAMANIAN AND COMPANY LLP

Chartered Accountants Chartered Accountants

Independent Auditors' Report

To The Board of Directors Seshasayee Paper and Boards Limited Erode 638 007

Report on the audit of the Standalone Financial Results

Opinion

We have audited the accompanying Standalone financial results of Seshasayee Paper and Boards Limited ("the Company") for the quarter ended 31st March 2021 and for the year ended 31st March 2021, 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 ("Listing Regulations").

In our opinion and to the best of our information and according to the explanations given to us, these standalone financial results :

• (i) are presented in accordance with the requirements of Regulation 33 of the Listing Regulations in this regard; and
• (ii) give a true and fair view in conformity with the recognition and measurement principles laid down in the applicable accounting standards and other accounting principles generally accepted in India, of the net profit and other comprehensive income and other financial information for the Quarter ended March 31, 2021 as well as for the year to date results for the period from April 1, 2020 to March 31, 2021.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing ("SAs") specified under Section 143(10) of the Companies Act, 2013 ("the Act"). Our responsibilities under those Standards are further described in the "Auditor's Responsibilities for the Audit of the Standalone Financial Results" section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India together with the ethical requirements that are relevant to our audit of the financial results under the provisions of the Companies Act, 2013 and the Rules thereunder, and we have fulfilled our ethical responsibilities in accordance with these requirements and the

Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Emphasis of Matter

a) Attention is invited to note no 1B (1.2) (g) of the financial statements which is extracted below :

"The Company has considered the possible effects that may result from the Covid-19 pandemic on the carrying amounts of Property, Plant and Equipment, Investments, Inventories, receivables and other current assets. In developing the assumptions relating to the possible future uncertainties in the global economic conditions because of this pandemic, the Company, as at the date of approval of these financial results has used internal and external sources on the expected future performance of the Company. The Company has performed sensitivity analysis on the assumptions used and based on current estimates, expects the carrying amount of these assets will be recovered".

Our opinion on the Financial Statements is not modified in respect of the above matters.

Management's Responsibilities for the Standalone Financial Results

These quarterly financial results as well as the year to date standalone financial results have been prepared on the basis of interim financial statements. The Company's Board of Directors are responsible for the preparation of these financial results that give a true and fair view of the net profit and other comprehensive income and other financial information in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34, "Interim Financial Reporting" prescribed under Section 133 of the Act read with relevant rules issued thereunder and other accounting principles generally accepted in India and in compliance with Regulation 33 of the Listing Regulations. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the standalone financial results that give a true and fair view and are free from material misstatement, whether due to fraud or error.

In preparing the standalone financial results, the Board of Directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as

applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The Board of Directors are also responsible for overseeing the Company's financial reporting process.

Auditor's Responsibilities for the Standalone Financial Results

Our objectives are to obtain reasonable assurance about whether the standalone financial results as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these standalone financial results.

As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the standalone financial results, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
• Obtain an understanding of internal controls relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Board of Directors.
• Conclude on the appropriateness of the Board of Directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the standalone financial results

or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern.

Evaluate the overall presentation, structure and content of the standalone financial results, including the disclosures, and whether the financial results represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

Other Matter

The figures of the last quarter are the balancing figures between the audited figures in respect of the full financial year and the published year to date figures up to the third quarter of the current financial year.

MAHARAJ N R SURESH AND CO LLP R SUBRAMANIAN & COMPANY LLP

Firm Regn. No. 001931S/S000020 Firm Regn. No. 004137S/S200041

NARASIMHA RAMAMURTHY JAYADEVAN Digitally signed by NARASIMHA RAMAMURTHY JAYADEVAN Date: 2021.05.08 12:45:06 +05'30'

N R Jayadevan Membership No. 023838 Partner Chartered Accountants UDIN: 21023838AAAAAC1047

N Krishnamurthy Digitally signed by N Krishnamurthy Date: 2021.05.08 12:55:25 +05'30'

N Krishnamurthy Membership No. 019339 Partner Chartered Accountants UDIN: 21019339AAAAFT8356

Place : Chennai Date : May 8, 2021

M/S MAHARAJ N R SURESH AND CO LLP M/S R SUBRAMANIAN AND COMPANY LLP

Chartered Accountants Chartered Accountants

Independent Auditors' Report

To The Board of Directors Seshasayee Paper and Boards Limited Erode 638 007

Report on the audit of the Consolidated Financial Results

Opinion

We have audited the accompanying Consolidated financial results of Seshasayee Paper and Boards Limited ("the Holding Company") and its Subsidiary, (the Holding Company and its Subsidiary together referred to as "the Group"), and its Associate, for the quarter ended March 31, 2021 and for the year ended March 31, 2021, attached herewith, being submitted by the Holding Company pursuant to the requirement of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended ("Listing Regulations").

In our opinion and to the best of our information and according to the explanations given to us, and based on the consideration of the reports of the other auditors on separate financial statements / financial information of the Subsidiary and the Associate, the Statement:

• a. includes the results of the following entities:
• Esvi International (Engineers & Exporters) Limited [Wholly owned subsidiary];
• Ponni Sugars (Erode) Limited [Associate];
• b. is presented in accordance with the requirements of Regulation 33 of the Listing Regulations, as amended; and
• c. gives a true and fair view, in conformity with the applicable accounting standards, and other accounting principles generally accepted in India, of consolidated total comprehensive income (comprising of net profit and other comprehensive income) and other financial information of the Group for the quarter ended March 31, 2021 and for the period from April 1, 2020 to March 31, 2021.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing ("SAs") specified under Section 143(10) of the Companies Act, 2013 ("the Act"). Our responsibilities under those Standards are further described in the "Auditor's Responsibilities for the Audit of the Consolidated Financial Results" section of our report. We are independent of the Group and its Associate in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India together with the ethical requirements that are relevant to our audit of the financial results under the provisions of the Companies Act, 2013 and the Rules made thereunder, and we have fulfilled our ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence obtained by us and other auditors in terms of their reports referred to in "Other Matters" paragraph below, is sufficient and appropriate to provide a basis for our opinion.

Emphasis of Matter

a) Attention is invited to note no 1B (1.2) (g) of the Consolidated financial statements which is extracted below:

"The Company has considered the possible effects that may result from the COVID-19 pandemic on the carrying amounts of Property, Plant and Equipment, Investments, Inventories, receivables and other current assets. In developing the assumptions relating to the possible future uncertainties in the global economic conditions because of this pandemic, the Company, as at the date of approval of these financial results has used internal and external sources on the expected future performance of the Company. The Company has performed sensitivity analysis on the assumptions used and based on current estimates, expects the carrying amount of these assets will be recovered."

Our opinion on the Consolidated Financial Statements is not modified in respect of the above matters.

Management's Responsibilities for the Consolidated Financial Results

These quarterly financial results as well as the year to date consolidated financial results have been prepared on the basis of interim financial statements.

The Holding Company's Board of Directors are responsible for the preparation and presentation of these consolidated financial results that give a true and fair view of the net profit and other comprehensive income and other financial information of the Group including its Associate, in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34, "Interim Financial Reporting" prescribed under Section 133 of the Act read with relevant rules issued thereunder and other accounting principles generally accepted in India and in compliance with Regulation 33 of the Listing Regulations.

The respective Board of Directors of the Companies included in the Group and of its Associate are responsible for maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Group and its Associate, and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and

estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the consolidated financial results that give a true and fair view and are free from material misstatement, whether due to fraud or error, which have been used for the purpose of preparation of consolidated financial results by the Directors of the Holding Company, as aforesaid.

In preparing the consolidated financial results, the respective Board of Directors of the companies included in the Group and of its Associate, are responsible for assessing the ability of the Group to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the respective Board of Directors either intends to liquidate the Group or to cease operations, or has no realistic alternative but to do so.

The respective Board of Directors of the companies included in the Group and of its Associate, are responsible for overseeing the Company's financial reporting process of the Group and of its Associate.

Auditor's Responsibilities for Audit of the Consolidated Financial Results

Our objectives are to obtain reasonable assurance about whether the consolidated financial results as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial results.

As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the consolidated financial results, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal controls relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Board of Directors.

• Conclude on the appropriateness of the Board of Directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the ability of the Group and its Associate, to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the consolidated financial results or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Group and its Associate to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the consolidated financial results, including the disclosures, and whether the financial results represent the underlying transactions and events in a manner that achieves fair presentation.
• Obtain sufficient appropriate audit evidence regarding the financial results/ financial information of the entities within the Group and its Associate to express an opinion on the consolidated financial results. We are responsible for the direction, supervision and performance of the audit of financial information of such entities included in the consolidated financial results of which we are the independent auditors. For the other entities included in the consolidated financial results, which have been audited by other auditors, such other auditors remain responsible for the direction, supervision and performance of the audits carried out by them. We remain solely responsible for our audit opinion.

We communicate with those charged with governance of the Holding Company and such other entities included in the consolidated financial results of which we are the independent auditors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

We also performed procedures in accordance with the Circular issued by the SEBI under Regulation 33(8) of the Listing Regulations, as amended, to the extent applicable.

Other Matters

The financial results of the wholly owned Subsidiary included in the consolidated financial results, whose financial results reflect total assets of 2.67 crores as at March 31, 2021 and total revenues of 0.09 crores and 0.34 crores, total net profit after tax of (-) 0.03 crores and (-) 0.03 crores and total comprehensive income of (-) 0.03 crores and (-) 0.03 crores, for the quarter ended March 31, 2021 and for the year ended March 31, 2021, respectively, and Cash flow (net) of 0.06 crores for the year ended March 31, 2021 respectively, as considered in the consolidated financial results have been audited by one of us.

The consolidated financial results also include the Group's share of net profit after tax of 2.19 crores and 7.07 crores and other comprehensive income of 0.57 crores and 1.74 crores for the quarter ended March 31, 2021 and for the year ended March 31, 2021, respectively, as considered in the consolidated financial statements, in respect of the Associate, whose financial statements / financial information / financial results have not been audited by us. The independent auditor's report on financial results of the Associate has been furnished to us and our opinion on the consolidated financial results, in so far as it relates to the amounts and disclosures included, is based solely on the report of such auditors and the procedures performed by us are stated in the paragraph above.

Our opinion on the consolidated financial results is not modified in respect of the above matters with respect to our reliance on the work done and the report of the other auditors and the financial results certified by the Board of Directors.

The financial results include the results for the quarter ended March 31, 2021 being the balancing figure between the audited figures in respect of the full financial year and the published unaudited year to date figures up to the third quarter of the current financial year which were subject to limited review by us.

MAHARAJ N R SURESH AND CO LLP R SUBRAMANIAN & COMPANY LLP

NARASIMHA RAMAMURTHY JAYADEVAN

Digitally signed by NARASIMHA RAMAMURTHY JAYADEVAN Date: 2021.05.08 12:46:18 +05'30'

N R Jayadevan Membership No. 023838 Partner Chartered Accountants UDIN: 21023838AAAAAD5260

Place : Chennai

Date : May 8, 2021

Firm Regn. No. 001931S/S000020 Firm Regn. No. 004137S/S200041

N Krishnamurthy Digitally signed by N Krishnamurthy Date: 2021.05.08 12:56:15 +05'30'

N Krishnamurthy Membership No. 019339 Partner Chartered Accountants UDIN: 21019339AAAAFU3972

Regd Office & Works : Pallipalayam, Namakkal District, Erode - 638 007, Tamilnadu, India, Ph : 91 - 4288 - 240221 to 240228 Fax: 91 - 4288 - 240229 email : edoff@spbltd.com Web : www.spbltd.com CIN : L21012TZ1960PLC000364

DECLARATION

[Pursuant to Regulation 33(3)(d) of the

SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015]

It is hereby declared and confirmed that the Auditor's Report of Annual Financial Results of the Company is with unmodified opinion.

This declaration is furnished in deference to the proviso to Clause (d) of Sub-Regulation(3) of Regulation 33 of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015.

For Seshasayee Paper and Boards Limited

1---\ ~

(K S KASI VISWANATHAN) Managing Director

Place: Erode Date: May 08, 2021