Shree Cements Ltd. — Interim / Quarterly Report 2019

Nov 18, 2019

CIN No. : L26943RJ1979PLC001935 Phone : 01462228101-6 Toll Free: 1800180600316004 Fax: 014622281171228119 E-Mail: shreebwr@shreecementltd.com Website : www.shreecement.ln

^~.,1. SHREE CEMENT LTD. 'A'Mi\ e 6 Regd. Office: "" ~'. 0Il." 8))0" e ll, ' 71&0">

BANGUR NAGAR, POST BOX NO.33, BEAWAR 305 901, RAJASTHAN, INDIA ' '6~

SCL/BWR/2019-20/ 18th November, 2019

National Stock Exchange of India Limited Listing Department Exchange Plaza, Bandra Kurla Complex Bandra (East) Mumbai 400 051 Company symbol: SHREECEM

BSE Limited Department of Corporate Services Floor 25, Phiroze Jeejeebhoy Towers Dalal Street Mumbai 400 001 Security code no.: 500387

Subject: Outcome of the meeting of the committee duly constituted by the Board of Directors of Shree Cement Limited ("Company", and such committee, the "Committee")

Dear Sir/Madam

The duly constituted Committee of the Board of Directors of the Company at its meeting held today i.e. 18th November, 2019 considered and approved the unaudited interim condensed standalone and consolidated financial statements of the Company for the six months period ended September 30, 2019 (including the comparative financial information with respect to the six months period ended September 30, 2018) read along with the notes thereto ("Unaudited Interim Condensed Financial Statements") and the review report on such Unaudited Interim Condensed Financial Statements issued by Gupta & Dua, Chartered Accountants, the statutory auditors of the Company.

The Committee has approved the filing and uploading of Unaudited Interim Condensed Financial Statements along with the review report with the stock exchanges and on the website of the Company, respectively.

The Unaudited Interim Condensed Financial Statements, along with the review report is annexed herewith.

We request you to take the above on record.

Thanking you,

I hfully E CEMENT LIMITED

Company Secretary

JAIPUR OFFICE: 58-187, Bapu Nagar, Opp. Rajasthan University, JLN Marg, Jaipur-302 015 Phone: 0141 4241200,4241204, Fax: 0141 4241219 NEW DELHI OFFICE: 122-123, Hans ~hawan, 1, Bahadurshah Zafar Marg, New Delhi 110002 Phone: 01123370828,23379218,23370776, Fax: 011 23370499 CORP. OFFICE: 21, Strand Road, Kolkata 700 001 Phone: 033-22309601-4 Fax: 033 22434226 111

GUPTA&DUA CHARTERED ACCOUNTANTS

4594A19, Daryaganj, New Delhi-ll0002 Phone-Oll-43525949,45694763 E-Mail: -mukeshdua@guptaanddua.com Website: - www.guptaanddua.com

Independent Auditors' Report on Review of Unaudited Interim Condensed Standalone Financial Statements

To the Board of Directors Shree Cement Limited

Introduction

We have reviewed the accompanying unaudited interim condensed standalone financial statements of Shree Cement Limited ("the Company") which comprise the interim condensed standalone balance sheet as at September 30, 2019, the interim condensed standalone statement of profit and loss, the interim condensed standalone statement of changes in equity and interim condensed standalone statement of cash flows for the six months ended September 30, 2019, and notes to financial statements, including a summary of significant accounting policies and other explanatory information (collectively, referred to as the "Interim Condensed Standalone Financial Statements").

Management is responsible for the preparation and presentation of the Interim Condensed Standalone Financial Statements in accordance with the Indian Accounting Standard (Ind AS) 34 "Interim Financial Reporting" specified under Section 133 of the Companies Act, 2013, as amended, read with the relevant rules issued thereunder and other accounting principles generally accepted in India and these Interim Condensed Standalone Financial Statements have been approved by a committee constituted by the Board of Directors of the Company. Our responsibility is to express a conclusion on these Interim Condensed Standalone Financial Statements based on our review.

Scope of Review

We conducted our review of the Interim Condensed Standalone Financial Statements in accordance with Standard on Review Engagements (SRE) 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity" issued by the Institute of Chartered Accountants of India. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

Conclusion

Based on our review, nothing has come to our attention that causes us to believe that the accompanying Interim Condensed Standalone Financial Statements are not prepared and presented, in all material respects, in accordance with the Ind AS 34 -Interim Financial Reporting and relevant provisions of the Companies Act, 2013, as amended, read with relevant rules issued thereunder and other accounting principles generally accepted in India including the manner in which it is to be disclosed, or that it contains any material misstatement.

For Gupta & Dua Chartered Accountants. • , ~> ~<\ Firms' Registration umber: 00384~ ~ n 1:-1.

Mukesh Dua W Partner f Membership No. 085323 UDlN: 19085323AAAADK2985 Beawar, November 18, 2019

(Rs. In Crore) Notes As at 30.09.2019 As at 31.03.2019 ASSETS Non-Current Assets 4,465.04 5 4.632.98 Property, Plant and Equipment 1,121.11 814.65 Capital Work-in-Progress 21.17 10.63 Intangible Assets Financial Assets 4,400.74 4,411 .14 Investments 51.87 57.40 Loans 22.72 34.71 Other Financial Assets 670.03 612.64 Deferred Tax Assets (Net) 128.27 110.76 Non-Current Tax Assets (Net) 395.65 Other Non-Current Assets 402.91 11,162.86 11,201.56 Current Assets 1,492.54 1,589.05 Inventories Financial Assets 796.65 32.74 Investments 823.67 732.40 Trade Receivables Cash and Cash Equivalents 26.38 35.00 278.48 272.78 Bank Balances other than Cash and Cash Equivalents
Loans 6.96
Other Financial Assets 138.11 101.45
Other Current Assets 1,218.62 1,148.80
4.711.59 3,991.69
Total Assets 15,874.45 15,193.25
EQUITY AND LIABIL.ITIES
Equity
Equity Share Capital 34.84 34.84
Other Equity 10,100.17 9,562.55
10,135.01 9,597.39
LlABIUTlES Non-Current LIabIlitIes
Financial Liabilities
Borrowings 6 1,688.11 2,309.04
Other Financial liabilities 775.28 734.19
Provisions 6.90
Other Non-Current liabilities 575.33 557.73
3,045.62 3,609.20
Current L.iabilities
Financial Liabilities
Borrowings 463.48 467.95
Trade Payables
Total Outstanding Dues of Micro Enterprises and Small Enterprises 1.89
Total Outstanding Dues of Creditors other than Micro Enterprises 403.38 448.68
and Small Enterprises
423.03 Other Financial Liabilities 1,220.97 Other Current Liabilities 568.50 621.61
Provisions 13.35
22.25 Current Tax Liabilities (Net) 22.25
2,693.82 ' ,986.66
Total Equity and L.iabilities 16.874.46 15,193.26

SHREE CEMENT L.IMITED

The accompanying notes are an integral part of the Unaudited Interim Condensed Standalone FInancial s(iements. As per our report of even date For and on behalf of the Board ~

Chart F"G,pg& ered Accountants .~~ Finn's Registration No: 003849N h.ff DIN: 00066068

Mukesh Dua Sub hash JaJoo Partner Chief Finance Officer Membership No. 085323 Place: Beawar Date: 18.11.2019

~ . ~~ Managing Director Director

Place: Kolkata Date: 18.11.2019

SHREE CEMENT LIMITED

UNAUDITED INTERIM CONDENSED STANDALONE STATEMENT OF PROFIT AND LOSS FOR THE PERIOD ENDED 30th SEPTEMBER,2019

	Note	For the period ended 30.09.2019	(Rs. in Crore) For the period ended 30.09.2018
Revenue from Operations Other Income	7	5,838.12 108.89	5,656.50 145.00
Total Income		5,947,01	5,801,50
EXPENSES
Cost of Materials Consumed Changes in Inventories of Finished Goods and		382.96	446.71
Work-in-Progress		(46.62)	(37.55)
Employee Benefits Expense		376.34	340.78
Power and Fuel		1,246.59	1,322.64
Freight and Forwarding Expenses		1,247.94	1,438.19
Finance Costs	8	139.78	117.97
Depreciation and Amortisation Expense		830.99	635.01
Other Expenses		901 .55	1,068.58
		5,079.53	5,332.33
Captive Consumption of Cement		(16.97)	(17.79)
Total Expenses		5,062.56	5,314.54
PROFIT BEFORE EXCEPTIONAL ITEMS AND TAX		884.45	486.96
Exceptional Items			178.13
PROFIT BEFORE TAX		884.45	308.83
Tax Expense
Current Tax		276.49	87.58
Tax Expense Relating to Eartier Years (Net)			(2.69)
Deferred Tax (Credit) I Charge		(64.12)	p04.87)
		212.37	(19.98)
PROFIT FOR THE PERIOD		672.08	328.81
OTHER COMPREHENSIVE INCOME
Items that will not be Reclassified to Profit or Loss- Re
measurements of the Defined Benefit Plans
Income Tax relating to Items that will not be Reclassified to Profit or Loss
Items that will be Reclassified to Profit or Loss - Cash Flow Hedge		19.26	32.15
Income Tax relating to Items that will be Reclassified to Profit or Loss		(6.73)	(11.24)
		12.53	20.91
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD (Comprising		684.61	349.72
Profit and Other Comprehensive Income for the Period)
Earnings per Equity Share of Rs. 10 each (In Rs.) (Not Annualised)	14
Cash		413.05	297.69
Basic and Diluted		192.92	94.38
The accompanying notes are an integral part of the Unaudited Interim Condensed Standalone Financial Statements.
As per our report of even date		For and on behalf of the Board
		~
For Gupta & Dua			~k
		R.	L. Gamiar
Chartered Accountants	Managing Director		Director
Firm's Registratigl)'No. (j03~49N	DIN: 00244329		DIN: 00066068

As per our report of even date

R. ~k L. Gamiar Director

For Gupta & Dua Chartered Accountants Firm's Registratigl)'No. (j03~49N

Dua ~

Mukesh Partner Membership No. 085323

Place: Beawar Date: 18.11.2019

~ Subhash Jajoo

Chief Finance Officer

Place: Kolkata Date: 18.11.2019

	REE CEMENT LIMITED

UNAUDITED INTERIM CONDENSED STANDALONE CASH FLOW STATEMENT FOR THE PERIOD ENDED 30^m SEPTEMBER, 2019

S H

Particulars		For the Period ended 30.09.2019	For the Period ended 30.09.2018
Cash Flow From Operating Activities íΑ
Profit Before Exceptional Items and Tax		884.45		486.96
Adjustments For :
Depreciation and Amortisation Expense	830.99		635.01
Foreign Exchange Rate Differences (Net)	(0.69)		159.91
Balances Written Back	(1.30)		(1.11)
Net Gain on Sale of Investments	(0.30)		(5.87)
Gain on Fair Value of Financial Assets through Profit or Loss	(17.91)		(14.52)
Interest Income	(77.20)		(87.19)
Dividend Income on Financial Assets Classified at Fair Value through Profit or Loss	(6.66)		(34.97)
Profit on Sale of Property, Plant and Equipment (Net) / Assets Written Off	(0.13)		8,98
Finance Costs	139.78	864,58	117.97	778.21
Operating Profit Before Working Capital Changes		1,749.03		1,265.17
Adjustments For
(Increase) / Decrease in Trade and Other Receivables	13.81		(208.61)
(Increase) / Decrease in Inventories	96.51		(181, 54)
Increase / (Decrease) in Trade & Other Payables and Provisions	204.27	314.59	(185.93)	(576.08)
Cash Generated From Operations		2,063.62		689.09
Direct Taxes Paid (Net of Refunds)		(294.00)		(116.19)
Net Cash Flow From Operating Activities		1,769.62		572.90
B. Cash Flow From Investing Activities
Purchase of Property, Plant and Equipment (Including Capital Work-in-Progress
and Advances)	(690.56)		(978.39)
Proceeds from Sale of Property, Plant and Equipment	1.91		0.66
Payments for Intangible Assets	(12, 15)		(1.58)
Payment for Acquisition of Controlling Stake in Raipur Handling and Infrastructure Private Limited			(59.00)
Proceeds from Sale/ Redemption of Bonds, Debentures and Preference Shares	40.00		441.30
(Purchases) / Proceeds of Investments in Mutual Funds (Net).	(764, 66)		2,279.12
Investment made in Subsidiary Companies	(15.00)		(2,091,81)
Investments in Bank Deposits	(170.92)		(98.14)
Maturity of Bank Deposits	147.26		96.54
Change in Earmarked Balances with Banks (Unpaid Dividend)	(0.03)		0.01
Dividend Received	12.12		45.03
Interest Received (Including Interest on Zero Coupon Bonds)	43.18		65.06
Net Cash Used in Investing Activities		(1,408.85)		(301.20)
c Cash Flow From Financing Activities
Repayment of Long Term Borrowings	(67.50)		(3.78)
Repayment of Finance Lease/ Lease Liabilities	(7.14)		(1.52)
Proceeds from Short Term Borrowings			75.00
Repayment of Short Term Borrowings	(75.00)		(479.60)
Proceeds / (Repayment) of Short Term Borrowings (Net) (upto Three months maturity).	66,54		356,83
Interest and Financial Charges Paid	(143,30)		(113.59)
Dividend and Tax Paid there on (Final)	(146.96)		(126.00)
Net Cash Flows (Used in) / From Financing Activities		(373.36)		(292.66)
Net (Decrease) / Increase in Cash and Cash Equivalents		(12.59)		(20.96)
Cash and Cash Equivalents as at the beginning of the Year		15.24		33.45
Cash and Cash Equivalents as at the end of the Period		2.66		12.49

Notes :
1 Direct Taxes paid are treated as arising from operating activities and are not bifurcated between investing and financing activities.

2 The above cash flow statement has been prepared under the indirect method set out in Ind AS 7 - Statement of Cash Flows.

3 For the purpose of Interim Condensed Cash Flow Statement, Cash and Cash Equivalents comprises the followings:

			(Rs. in Crore)
	As at 30.09.2019	As at 31.03.2019	As at 30.09.2018
Balances with Banks	25,65	34.20	37.49
Cash on Hand	0.73	0.80	0.59
	26.38	35.00	38.08
Less: Bank Overdraft	23.73	19.76	25.59
	2.66	16.24	12.49

The accompanying notes are an integral part of the Unaudited Interim Condensed Standalone Financial Statements,

As per our report of even date

For and on behalf of the Board

R. L. Gaggar

Director DIN: 00066068

For Gupta & Dua Chartered Accountants Firm's Registration No. 003849N

NCB ⊿ Mukesh Dua Partner
Membership No. 085323

Place : Beawar
Date : 18.11.2019

H. M. Bangur
Managing Director
DIN: 00244329

ъ Subhash Jajoo Chief Finance Officer

Place : Kolkata
Date : 18,11 2019

SHREE CEMENT LIMITED

UNAUDITED INTERIM CONDENSED STANDALONE STATEMENT OF CHANGES IN EQUITY FOR THE PERIOD ENDED 30^th SEPTEMBER, 2019

A. EQUITY SHARE CAPITAL

Particulars	Numbers	Rs. in Crore
Equity shares of Rs. 10 each, issued, subscribed and fully paid-up
As at 30.09.2019	34837225	34.84
As at 31.03.2019	34837225	34.84
As at 30.09,2018	34837225	34.84

B. OTHER EQUITY

For the period ended 30^th September, 2019

Particulars		Reserves and Surplus			Item of OCI	Total
	Capital	Securities	General	Retained	Effective
	Redemption	Premium	Reserve	Earnings	Portion of
	Reserve				Cash Flow
					Hedges
Opening Balance as at 01.04.2019	15.00	26.53	5,700.00	3,857.49	(36.47)	9,562.55
Profit for the periodended 30.09.2019				672.08		672.08
Other Comprehensive Income for the Period
Re-measurements of the Defined Benefit Plans (Net of Tax)
Net movement of Cash Flow Hedges (Net of Tax)					12.53	12.53
Final Dividend on Equity Shares (Note 1 below)				(121.93)		(121.93)
Tax on Final Dividend				(25.06)		(25.06)
Closing Balance as at 30.09.2019	15.00	26.53	5,700.00	4,382.58	(23.94)	10,100.17

For the Year ended 31^st March, 2019

(Rs. in Crore)

(Rs. in Crore)

Particulars		Reserves and Surplus			Item of OCI	Total
	Capital Redemption Reserve	Securities Premium	General Reserve	Retained Earnings	Effective Portion of Cash Flow Hedges
Opening Balance as at 01.04.2018	15.00	26.53	5,500.00	3.334.13	(13.67)	8,861.99
Profit for the period ended 30.09.2018				328.81		328.81
Other Comprehensive Income for the Period Re-measurements of the Defined Benefit Plans (Net of Tax)
Net movement of Cash Flow Hedges (Net of Tax)					20.91	20.91
Final Dividend on Equity Shares (Note 2 below)				(104.51)		(104.51)
Tax on Final Dividend				(21.48)		(21.48)
Closing Balance as at 30.09.2018	15.00	26.53	5,500.00	3,536,95	7.24	9,085.72
Profit for the six months ended 31,03,2019 Other Comprehensive Income for the Period				622.24		622.24
Re-measurements of the Defined Benefit Plans (Net of Tax)				3.29		3.29
Net movement of Cash Flow Hedges (Net of Tax)					(43.71)	(43.71)
Transfer to /(from) Retained Earnings			200.00	(200.00)
Interim Dividend on Equity Shares (Note 3 below)				(87.09)		(87.09)
Tax on Interim Dividend				(17.90)		(17.90)
Closing Balance as at 31.03.2019	15.00	26.53	5,700.00	3,857.49	(36.47)	9,562.55

Note 1 : Final Dividend declared at the rate of Rs. 35 per share of Rs. 10 each for FY 2018-19.

Note 2 : Final Dividend declared at the rate of Rs. 30 per share of Rs. 10 each for FY 2017-18.

Note 3 : Interim Dividend declared at the rate of Rs. 25 per share of Rs. 10 each for FY 2018-19.

SHREE CEMENT LIMITED

UNAUDITED INTERIM CONDENSED STATEMENT OF CHANGES IN EQUITY FOR THE PERIOD ENDED 30th SEPTEMBER, 2019 (Contd.)

Nature of Reserves

Capital Redemption Reserve

Capital Redemption Reserve represents the reserve created as a result of redemption of preference shares capital of the Company. The same may be applied by the Company, in paying up unissued shares of the Company to be issued to members of the Company as fully paid-up bonus shares.

Securities Premium

Securities Premium represents the amount received in excess of par value of equity shares of the Company. The same, inter-alia, may be utilized by the Company to issue fully paid-up bonus shares to its members and buying back the shares in accordance with the provisions of the Companies Act, 2013.

General Reserve

General Reserve represents the reserve created by apportionment of profit generated during the year or transfer from other reserves either voluntarily or pursuant to statutory requirements. The same is a free reserve and available for distribution.

Retained Earnings

Retained Earnings represents the undistributed profits of the Company.

Effective Portion of Cash Flow Hedges

The Company has designated certain hedging instruments as cash flow hedges and any effective portion is maintained in the said reserve. In case the hedging becomes ineffective, the amount is recognised in the Statement of Profit and Loss.

The accompanying notes are an integral part of the Unaudited Interim Condensed Standalone Financial Statements

As per our report of even date

For Gupta & Dua Chartered Accountants Firm's Registration No. 003849N

Mukesh Dua Partner Membership No. 085323

Place : Beawar Date: 18.11.2019 For and on behalf of the Board

H. M. Bangur Managing Director DIN: 00244329

Director

DIN: 00066068

Subhash Jaioo Chief Finance Officer

Place : Kolkata Date: 18.11.2019

1. Corporate Information

Shree Cement Limited ("the Company") is a public limited company domiciled in India and is incorporated under the provisions of the Companies Act applicable in India. Its shares are listed at BSE Limited and National Stock Exchange of India Limited in India. The registered office of the Company is located at Bangur Nagar, Beawar, District- Ajmer-305901 (Rajasthan) India. The Company is engaged in the manufacturing and selling of cement, cement related products and power generation and sales. It is recognized as one of the most efficient and environment friendly company in the global cement industry.

These unaudited interim condensed standalone financial statements for the period ended 30th September, 2019 are approved and adopted by a committee constituted by the Board of Directors of the Company in their meeting held on 18.11.2019.

2. Statement of Compliance

The unaudited interim condensed standalone financial statements (hereinafter referred to as "financial statements") of the Company have been prepared in accordance with Ind AS 34 - Interim Financial Reporting and the relevant provisions of the Companies Act, 2013 ("the Act") and guidelines issued by the Securities and Exchange Board of India (SEBI), as applicable.

3. Significant Accounting Policies, Judgements, Estimates and Assumptions

The same accounting policies, significant Judgements and estimates and assumptions are followed in these unaudited interim condensed financial statements as compared with the Company's annual financial statements for the year ended 31st March 2019, except new standards adopted during current period as explained in Note 4.

4. New Accounting Pronouncements

Effective 1st April, 2019 the Company has adopted Ind AS 116- "Leases". The Company has used modified retrospective approach for transitioning to Ind AS 116 with right of use asset recognized at an amount equal to the lease liability adjusted for any prepayment/accrual recognized in the balance sheet immediately before the initial application. Accordingly, comparatives for the year ended 31.03.2019 have not been retrospectively adjusted. The adoption of Ind AS 116 did not have any material impact on the results for the period ended 30.09.2019.

Ind AS 116 - Leases provides a single lessee accounting model, requiring lessees to recognize assets and liabilities for all leases unless the lease term is 12 months or less or the underlying assets has a low value. Lessors continue to classify the leases as operating or finance, with Ind AS 116's approach to lessor accounting which is substantially unchanged from its predecessor, Ind AS 17.

At inception, the right-of-use asset measured at the amount of the initial measurement of the lease liability adjusted for any lease payments made at or before the commencement date less any lease incentives received, plus any initial direct costs incurred. The right-of-use asset is subsequently measured at cost less any accumulated depreciation, accumulated impairment losses, if any.

The lease liability is measured at the present value of the lease payments that are not paid at the commencement date of the lease. The lease payments are discounted using the interest rate implicit in the lease; if that rate can be readily determined otherwise incremental borrowing rate is used to discount the lease payments. The lease liability is subsequently re-measured by increasing the carrying amount to reflect interest on the lease liability, less lease payments made.

The above approach has resulted in recognition of right of use asset of Rs. 321.42 crore as at 1st April, 2019 (including right of use asset amounting to Rs. 292.72 crore (net of amortization) recognized as finance lease asset under erstwhile lease standard as at 31.03.2019) and a lease liability of Rs. 35.72 crore (including finance lease obligation of Rs. 7.02 crore recognized under erstwhile lease standard as at 31.03.2019) as on 1st April, 2019.

The Right of use assets of Rs. 324.53 crore as on 30.09.2019 disclosed under Property, Plant and Equipment and lease liability of Rs. 37.09 crore as on 30.09.2019 disclosed under other financial liabilities.

5. Property, Plant and Equipment

(Rs. in Crore)

Particulars			GROSS BLOCK						DEPRECIATION/AMORTISATION		Net
	Opening as at 01.04.19	Transfer out to Right of use Assets	Addition during the Period	Deduction / Adjustments during the period	As at 30.09.19	Opening as at 01.04.19	Transfer out to Right of use Assets	Addition during the period	Deduction / Adjustments during the period	Up to 30.09.19	Block As at 30.09.19
Freehold land	1,009.30	×	87.63		1,096.93	5.75	۰	1.27		7.02	1,089.91
Lease hold land	314.63	(314.63)				21.91	(21.91)
Right of Use Assets (refer note 4)	28.70	314.63	12.01	Section	355.34		21.91	8.90	۰	30.81	324.53
Buildings	889.61	×	45.84		935.45	358.98		76.77		435.75	499.70
Plant and Equipment	6,437.69		809.93	13.18	7,234.44	3,850.24	۰	729.81	12.99	4,567.06	2,667.38
Railway Siding	37.59	×			37.59	15.56	۰	2.54	×.	18.10	19.49
Furniture and Fixtures	37.41	×	2.93	0.04	40.30	30.21		2.98	0.04	33.15	7.15
Office Equipment	51.24		7.71	0.32	58.63	42.33		5.52	0.31	47.54	11.09
Vehicles	35.69	-	6.38	4.57	37.50	23.14	۰	5.15	4.52	23.77	13.73
Total	8,841.86		972.43	18.11	9,796.18	4,348.12	۰	832.94	17.86	5,163.20	4,632.98

6. Borrowings

(Rs. in Crore)

Particulars	Non-Current Portion		Current Maturities
	As at 30.09.2019	As at 31.03.2019	As at 30,09,2019	As at 31.03.2019
Secured
External Commercial Borrowings	1688.11	2255.48	608.09
Indian Rupee Term Loans from Banks		48.00		19.50
Finance Lease Obligation		5.56		1.46
	1688.11	2309.04	608.09	20.96
Amount disclosed under the head "Other Current Financial Liabilities"			(608.09)	(20.96)
	1688.11	2309.04

7. Revenue from operations

		(Rs. in Crore)
Particulars	For period ended 30.09.2019	For period ended 30.09.2018
Sale of Products
Cement	5274.73	4986.70
Clinker	142.49	132.10
Power Sales	327.17	380.00
	5744.39	5498.80
Other Operating Revenue	93.73	157.70
	5838.12	5656.50

8. Finance Costs

(Rs. in Crare) Particulars For period ended For period ended 30.09.2019 30.09.2018 Interest Expenses 142.19 120.12 Interest expenses on lease liabilities 1.49 - Bank and Finance Charges 0.57 0.31 Unwinding of Discount on Provision 0.27 0.25 Exchange Differences Regarded as an Adjustment to Borrowing Cost - 47.81 144.52 168.49 . Less: Interest Capitalised 4.74 50.52 139.78 117.97

9. Contingent Uabilities (Claims/Demands not Acknowledged as Debt)

• a. Custom duty (including interest) Rs. 65.72 crore (As at 31.03.2019 Rs. 64.52 crore)
• b. (i) Competition Commission of India (CCI), vide its order dated 31't August, 2016 imposed a penalty of Rs. 397.51 crore on the Company for alleged violation of Competition Act. The Company has appealed against the said order and Competition Appellate Tribunal (COM PAT), vide its order dated 7th November, 2016, granted stay on CCI order subject to deposition of 10% of penalty amount and levy of interest of 12% p.a. on balance amount if the appeal is ultimately dismissed. The Company has complied with the order and the matter is now being heard at National Company Law Appellate Tribunal (NCLAT).

(ii) In another matter, CCI vide its order dated 19th January, 2017 imposed a penalty of Rs. 18.44 crore on the Company in connection with an enquiry in respect of a cement supply tender of Government of Haryana. The Company has filed an appeal before COMPAT (now NCLAT) against the above order.

Based on the Company's own assessment and advice given by its legal counsels, the Company has a strong case in both the above appeals and thus pending final disposal of the appeals, the matters have been disclosed as contingent liability.

c. The Divisional Bench of the Hon'ble Rajasthan High Court vide Judgement dated 6th December, 2016 has allowed the appeal filed by Commercial Taxes Department/ Finance Department of the Govt. of Rajasthan against earlier favorable order of single member bench of the Hon'ble Rajasthan High Court in the matter

of incentives granted under Rajasthan Investment Promotion Scheme-2003 to the Company for capital investment made in cement plants in the State of Rajasthan.

Vide the above Judgement of the Hon'ble High Court, the Company's entitlement towards Capital Subsidy for the entitled period stands revised from "up to 75% of Sales Tax I VAT" to "up to 50% of Sales Taxi VAT". The Company has filed Special Leave Petition before the Hon'ble Supreme Court against the above judgment which is admitted for deciding on merits. The Commercial Taxes Department had issued notices seeking reply for recovering differential subsidy, the said notices are challenged by the Company before Rajasthan High Court and High Court has stayed further proceedings by department against us.

Based on the legal opinion, it has a good case before the Hon'ble Supreme Court. Accordingly, no provision has been made for differential subsidy ( i.e. difference of 75% and 50%) amounting to Rs. 73.08 crore received and Rs. 282.30 crore not received though accounted for.

10. Commitments

• a. Estimated amount of contracts remaining to be executed on capital account (net of advances) Rs. 445.44 crore (As at 31.03.2019 Rs. 529.85 crore).
• b. Uncalled liability on partly paid up equity shares of Rs. 6.90 crore (As at 31.03.2019 Rs. 21.90 crore).

11. Segment Reporting

The Company has two reportable segments, namely Cement and Power. Revenue, Results and other information:

		,						-- (Rs in Crore)
I		For the period ended 30.09.2019	For the period ended 30.09.2018
I Particulars	-cement' TPower		Inter- Segment Eliminations	I Total J	Cement*	Power	Inter- Segment ----- Eliminations	"'-'"/' Total I
r External Sales	5510.95 .-	327.17 1 -	-'I	5838.12	- 5276.50	- 380.00	-	- 5656.50
Inter Segment Revenue 1	-	557.00 ;	(557.00)'	-	-	572.89	(572.89)-1	-
._- Total Revenue	-.- 5510.95 -	-- 884.17	(557.00t	-'- 5838.12	5276.50	952.89	(57	89I l_ 5656:~ _
Results		-				-
, Segment Results (Profit ! Before Exceptional Items, Finance Costs and Tax)	628.67	291.49 --f-----	-	----f-- 920.16 --	83.54 --	378.84 --	- 1----	I 462.38
I' Add: Un-allocated Income			- /--	- 104.07	--	I-- -		- 142.55 I
ss: Exceptional Items		.-	--	-				--- _- 178.13 I
; Less: Finance Costs			~-=t:	139.78				- I 117.97
Profit Before Tax				884.45 i				308.83
I Less: Tax Expense	-			212.37				I (19.98)
Profit After Tax	. -.L,	----.~-~-,		672.08	--1			328.81 ,--

-_			As at 30.09.2019	, As at 31.03.2019
Particulars --.-	Cement·	Power	! Inter- I Segment Eliminations '	I Total I	Cement·	I Power I	Inter- Segment Eliminations	Total * .--.-
Segment Assets	8493.39	910.60	9 I -. ------	---- 9403.99	----s2.9S t	980.99	-	9633.97 -
Un-allocated Assets	.-- --	-	'	-- ; 6470.46				5559.28 -
• Total Assets		.--t-		I 15874.45		-		115193.25
f Segment Liabilities	2009.99 I		~~1	2153.43	1882.49	-- 146.61	- I	2029.10- --
Un-allocated Liabilities I and Provisions		143.44 I		3586.01	,			I 3566.76
_ I Total Liabilities		J.		5739.44 1		I	-- -	-- 5595.86

product.

12. Related Party Disclosure (As per Ind AS 24- Related Party Disclosures)

Relationships:

(a) Parties where control exists:

Sr. No.	Name of the Related Party			% Shareholding and Voting Power
		of Business	at As 30.09.2019	at As 30.09.2018
(i)	ltd Shree Global Pte. (Direct Subsidiary Company) -liquidated w.e.f. 11.03.2019	Singapore	-	100%
(Ii)	Shree Global FZE (Direct Subsidiary Company) w.e.f 07.05.2018	UAE	100%	100%
(iii)	Shree International Holding Ltd. (Indirect Subsidiary Company) w.e.f. 28.06.2018	UAE	100%	100%
(iv)	Shree Enterprises Management Ltd. (Indirect Subsidiary Company) w.e.f. 19.06.2018	UAE	100% ( Beneficially Owned)	100% (Beneficially Owned)
(v)	Union Cement Company PJSC (Indirect Subsidiary Company) w.e.f. 11.07.2018	UAE	97.65%	97.61%
(vi)	Union Cement Norcem Company Limited l.l.c. (Indirect Subsidiary Company) w.e.f 11.07.2018	UAE	60%	60%
(vii)	Raipur Handling and Infrastructure Private Limited (Direct Subsidiary Company) w.e.f 14.05.2018	India	100%	100%

(b) Enterprises over which Key Management Personnel (KMP) are able to exercise control/significant influence with whom there were transactions during the period:

• (i) The Kamla Company Limited
• (ii) Shree Capital Services Ltd.
• (iii) Aqua Infra Project Limited
• (Iv) Alfa Buildhome Pvt. Ltd.
• (v) Rajasthan Forum (vi) The Bengal
• (vii) Sant Parmanand Hospital

• (viii) N.B.I. Industrial Finance Company Limited

• (ix) Rajesh Vanijya Private limited

• (x) Didwana Investment Co. ltd
• (xi) Ragini Finance limited
• (xii) Western India Commercial Co. Ltd
• (xiii) Mannakrishna Investment Pvt. Ltd
• (xiv) Digvijay Finlease limited
• (xv) Asish Creations Private limited
• (xvi) Didu Investments Pvt. ltd
• (xvii) The Venktesh Company limited
• (xviii) Newa Investments Private limited
• (xix) Karmayog Properties Private limited

(e) Key Management Personnel:

• (i) Shri H.M. Bangur Managing Director
• (ii) Shri Prashant Bangur Joint Managing Director
• (iii) Shri P.N. Chhangani Whole Time Director (w.e.f. 30.07.2018)
• (d) Relatives to Key Management Personnel:
• (i) Shri B.G. Bangur Father of Shri H.M. Bangur

Ie) Post-Employment Benefit Plan Trust:

• (i) Shree Cement Staff Provident Fund
• (ii) Shree Cement Employees Group Gratuity Scheme
• (iii) Shree Cement Ltd., Superannuation Scheme

Disclosure of Related Party Transactions:

(a) Details of transactions with related parties:

		IRs in Crore)
Particulars	For the period ended 30.09.2019	For the period ended 30.09.2018
Equity contribution
Subsidiaries	15.00	2091.81
Sale of GoodS/Material
Subsidiaries	7.98	46.05
Entities controlled/ influenced by KMP	0.03	0.01
Services Given
Subsidiaries	0.02	-
Services Received
Subsidiaries	0.64	0.86
Entities controlled/ influenced by KMP	0.46	0.83
Payment of office rent
Entities controlled/ influenced by KMP	1.48	1.38
Purchase of spare

---

Entities controlled/ influenced by KMP	-	0.01
Contributions towards social activities
Entities controlled/ influenced by KMP	0.83	0.32
Reimbursement towards purchase of equity shares of a subsidiary
Entities controlled/ influenced by KMP	-	59.00
Reimbursement of expenses
Entities controlled/ influenced by KMP	-	0.15

(b) Details of balances with related parties

(Rs. in crore)
Particulars	As at 30.09.2019	As at 31.03.2019	As at 30.09.2018
Security deposit receivable
Entities controlled/ influenced by KMP	0.63	0.63	0.63

(c) Key Management Personnel:

: Particulars	- For the period ended 30.09.2019	For the period ended 30.09.2018
I Short Term Benet.s	37.99 ._-	32.73
~ __ Post - Employm~t Benefi	2.06 --	1.58 r------·----
t _ Total	40.05	__ 34.31

pertaining to key management personnel are not included above.

(d) Relatives to Key Management Personnel:

	~ --;----:---:---.--::. --'--	(Rs. in crore)
fi ----r Particulars	For the period ended 30.09.2019	For the period ended 30.09.2018 I
'- Director Commission, Sitting Fee and Reimburs'e-m en- t- o-f ____ I Expenses	--+--- 0.24 ----~------- ----~-----	0.22

(e) Information on transactions with post-employment benefit plans

(Rs. in crore)
--- ---- -- -- -	For the period ended 30.09.2019 _-- -.- --	For the period ended __ 0_- 30.09.2018 - _
I Contribution (including related insurance premium) paid/ payable	24.41	24.15

All the related party transactions are made in the normal course of business and on terms equivalent to those that prevail in arm's length transactions. The Company has not recorded any loss allowances for receivables relating to related parties.

13. Disclosure related to Fair Value of Financial Instruments

Set out below is a comparison by class of the carrying amounts and fair value of the Company's financial instruments:

Fair Value
487.90 487.90
0.01 0.01
22.72 22.72
1797.67 1829.33
61.52 61.52
732.40 732.40
307.78 307.78
101.44 101.44
3511.44 3543.10
0.94 0.94
134.30 134.30
1754.90 1754.90
554.14 543.66
19.50 19.50
1.46 1.46
467.95 467.95
450.79 450.79 1001.02 1001.02
4385.00 4374.52

Fair Value Techniques:

The fair value of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The following methods and assumptions were used to estimate the fair values:

• a) Fair value of cash and short term deposits, trade receivables, trade payables, current loans, other current financial assets, short term borrowings and other current financial liabilities approximate to their carrying amount largely due to the short term maturities of these instruments.
• b) Long term fixed rate and variable rate receivables / borrowings are evaluated by the Company based on parameters such as interest rate, specific country risk factors, credit risk and other risk characteristics. Fair value of variable interest rate borrowings approximates their carrying values. For fixed interest rate borrowings, fair value is determined by using Discounted Cash Flow (DCF) method using discount rate that reflects the issuer's borrowings rate. Risk of non- performance for the Company is considered to be insignificant in valuation.
• c) The fair value of derivatives are estimated by using pricing models, where the inputs to those models are based on readily observable market parameters basis contractual terms, period to maturity and market parameters such as interest rates, foreign exchange rates and volatility. These models do not contain a high level of subjectivity as the valuation techniques used do not require significant judgement and inputs thereto are readily observable from actively quoted market prices. Management has evaluated the credit and non-performance risks associated with its derivatives counterparties and believe them to be insignificant and not warranting a credit adjustment.
• d) The fair values of mutual funds are at published Net Asset Value (NAV).

Fair Value Hierarchy

Quoted prices / published Net Asset Value (NAV) in an active markets (Levell): This level of hierarchy includes financial assets that are measured by reference to quoted prices (unadjusted) in active markets for identical assets or liabilities and financial instruments like mutual funds for which NAV is published by mutual funds. This category consists mutual fund investments.

Valuation techniques with observable inputs (Level 2): This level of hierarchy includes financial assets and liabilities measured using inputs other than quoted prices included within Levell that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (I.e., derived from prices).

Valuation techniques with significant unobservable inputs (Level 3): This level of hierarchy includes financial assets and liabilities measured using inputs that are not based on observable market data (i.e., unobservable inputs). Fair values are determined in whole or in part, using a valuation model based on assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data.

The following table provides the fair value measurement hierarchy of the Company's financial asset and financial liabilities grouped into Levell to Level 3 as described below:

Assets and Liabilities Measured at Fair Value (Accounted)

				(Rs. In Crore)
Particulars		As at 30.09.2019
	Level 1	Level 2	Level 3	Total
Financial Assets Measured at Fair Value
Investments
Mutual funds	1038.04			1038.04
Preference Shares		192.72		192.72
Derivatives not Designated as Hedges		0.11		0.11
Derivatives Designated as Hedges		55.42		55.42
Financial Liabilities Measured at Fair Value
Derivatives not Designated as Hedges		0.85		0.85
Derivatives Designated as Hedges		107.23		107.23

				(RS. In Crore)
Particulars	As at 31.03.2019
	Level 1	Level 2	Level 3	Total
Financial Assets Measured at Fair Value
Investments
Mutual funds	261.85			261.85
Preference Shares		226.05		226.05
Derivatives not Designated as Hedges		0.01		0.01
Derivatives Designated as Hedges		22.72		22.72
Financial Liabilities Measured at Fair Value
Derivatives not Designated as Hedges		0.94		0.94
Derivatives Designated as Hedges		134.30		134.30

Fair Value of Assets and Liabilities Classified at Amortized Cost

(only disclosed)

				(Rs. in Crore)
Particulars		As at 30.09.2019
	Level 1	Level 2	Level 3	Total
Financial Assets
Investments in Bonds and Debentures	۰	1884.82		1884.82
Loans	۰	64.36		64.36
Other Financial Assets		116.75		116.75
Financial Liabilities
Non-Current Borrowings at Fixed Rate		468.27		468.27
Other Financial Liabilities	۰	1280.08		1280.08

				(Rs. in Crore)
Particulars		As at 31.03.2019
	Level 1	Level 2	Level 3	Total
Financial Assets
Investments in Bonds and Debentures		1829.33		1829.33
Loans		61.52		61.52
Other Financial Assets		101.44		101.44
Financial Liabilities
Non-Current Borrowings at Fixed Rate		543.66		543.66
Other Financial Liabilities		1001.02		1001.02

During the period ended 30.09.2019 and year ended 31.03.2019, there were no transfers between Level 1 and level 2 fair value measurements and no transfer into and out of Level 3 fair value measurements. There is no transaction/balance under level 3.

The fair values of the financial assets and financial liabilities included in the level 2 categories above have been determined in accordance with generally accepted pricing models based on a discounted cash flow analysis, with the most significant inputs being the discount rate that reflects the credit risk of counterparties. Following table describes the valuation techniques used and key inputs to valuation for level 2 of the fair value hierarchy as at 30.09.2019 and 31.03.2019, respectively:

Particulars	Fair Value Hierarchy	Valuation Techniques	Inputs Used	Quantitative Information about Significant Unobservable Inputs
Financial Assets
in Investments Preference Shares	Level 2	Market valuation techniques	Prevailing yield to discount future cash flows
Derivative Financial Instruments -Designated as Hedging Instrument Currency Cross and Interest Rate Swaps	Level 2	Market valuation. techniques	Prevailing/forward foreign currency exchange & interest rates in market to discount future cash flows
Financial Derivative Instruments -not Designated as Hedging Instrument Forward Contracts	Level 2	Market valuation techniques	Forward foreign currency exchange rates, interest rates to discount future cash flows
Financial Liabilities

Particulars	Inputs Used Valuation Fair Techniques Value Hierarchy		Quantitative Information about Significant Unobservable Inputs
Derivative Financial Instruments -Designated as Hedging Instrument Currency Cross and Interest Rate Swaps	Level 2	Market valuation techniques	Prevailing/forward foreign currency exchange & interest rates in market to discount future cash flows
Financial Derivative Instruments -not Designated as Hedging Instrument Forward Contracts	Level 2	Market valuation techniques	Forward foreign currency exchange rates, interest rates to discount future cash flows

Fair Value of Assets and Liabilities classified at Amortized Cost (only disclosed)

Particulars	Fair Value Hierarchy	Valuation technique	Inputs used
Financial Assets
Investments in Bonds and Debentures	Level 2	Market valuation techniques	Prevailing yield to discount future cash flows
Other Financial Assets - Non Current	Level 2	Discounted Cash Flow	Prevailing interest rates to discount future cash flows
Financial Liabilities
Non-Current Borrowings at Fixed Rate	Level 2	Discounted Cash Flow	Prevailing interest rates in market to discount future payouts
Other Financial Liabilities - Non Current	Level 2	Discounted Cash Flow	Prevailing interest rates to discount future cash flows

14. Earnings Per Share (EPS)

A. Basic and Diluted EPS:

Particulars		For the period ended 30.09.2019	For the period ended 30.09.2018
Profit or Loss attributable to ordinary Equity shareholders	Rs. in crore	672.08	328.81
Equity Share Capital	Rs. in crore	34.84	34.84
Weighted average number of equity shares outstanding (Face value of Rs.10/- per share)	Nos.	3,48,37,225	3,48,37,225
Earnings Per Share - Basic and Diluted (Not Annualised)	Rs.	192.92	94.38

B. Cash EPS : (Profit for the period + Depreciation and Amortisation Expense +Deferred Tax+ Exceptional Items)/ Weighted average number of equity shares outstanding

1. Previous period figures have been regrouped and rearranged wherever necessary.

Signature to Note 1 to 15

As per our report of even 'date

For and on behalf ofthe Board

ifrf~J

H. M. Bangur Managing Director DIN: 00244329

~~ ~~, R. L.Gaggr,lr Director

DIN: 00066068

Chartered Accountants Firm's Registration No. 003849N

FRN No, • 1 003e49N' M k h D I DELHI oJ) U es ua I. Partner ,-,

Membership No. 085323

Place: Beawar Date: 18.11.2019

For Gupta & Dua

Subhash Jajoo Chief Finance Officer

Place: Kolkata Date: 18.11.2019

GUPTA&DUA CHARTERED ACCOUNTANTS

4594A19, Daryaganj, New Delhi-ll0002 Phone-Oll-43525949,45694763 E-Mail: -mukeshdua@guptaanddua.com Website: - www.guptaanddua.com

Independent Auditors' Report on Review of Unaudited Interim Condensed Consolidated Financial Statements

To the Board of Directors Shree Cement Limited

Introduction

We have reviewed the accompanying unaudited interim condensed consolidated financial statements of Shree Cement Limited ("the Parent") and its subsidiaries (the Parent and its subsidiaries together referred to as "the Group") which comprise the interim condensed consolidated balance sheet as at September 30, 2019, the interim condensed consolidated statement of profit and loss, the interim condensed consolidated statement of changes in equity and interim condensed consolidated statement of cash flows for the six months ended September 30, 2019, and notes to financial statements, including a summary of significant accounting policies and other explanatory information (collectively, referred to as the "Interim Condensed Consolidated Financial Statements").

The Parent's management is responsible for the preparation and presentation of these Interim Condensed Consolidated Financial Statements in accordance with the Indian Accounting Standard (Ind AS) 34 "Interim Financial Reporting" specified under Section 133 of the Companies Act, 2013, as amended, read with the relevant rules issued thereunder and other accounting principles generally accepted in India and these Interim Condensed Consolidated Financial Statements have been approved by a committee constituted by the Board of Directors of the Parent. Our responsibility is to express a conclusion on these Interim Condensed Consolidated Financial Statements based on our review.

Scope of Review

We conducted our review of the Interim Condensed Consolidated Financial Statements in accordance with Standard on Review Engagements (SRE) 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity" issued by the Institute of Chartered Accountants of India. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.

The Interim Condensed Consolidated Financial Statements includes financial information offollowing entities:

• Shree Cement Limited (Parent)
• Subsidiaries
• i) Shree Global FZE
• ii) Shree International Holding Ltd.
• iii) Shree Enterprises Management Ltd.
• iv) Union Cement Company (PJSC)
• v) Union Cement Norcem Company Limited LLC
• vi) Raipur Handling and Infrastructure Private Limited

We did not review the interim condensed consolidated financial information of five foreign subsidiaries viz. Shree Global FZE, Shree International Holding Ltd., Shree Enterprises Management Ltd., Union Cement Company (PJSC) and Union Cement Norcem Company Limited LLC included in the Interim Condensed Consolidated Financial Statements, whose interim financial information reflect total assets of Rs.2530.09 Crore as at September 30, 2019 and total revenue of Rs.467.81 Crore, total net profit after tax of Rs.24.99 crore, total comprehensive income of Rs. 74.02 crore, and cash flows of Rs.4.34 crore for the period ended on September 30, 2019 as considered in the Interim Condensed Consolidated Financial Statements. The interim condensed consolidated financial statements of such foreign subsidiaries have been reviewed by other auditors whose reports have been furnished to us by the management and our conclusion on the Interim Condensed Consolidated Financial Statements is in so far as it relates to the amounts and disclosures included in respect of these subsidiaries, is based solely on the reports of the other auditors and the procedures performed by us as stated above.

These five foreign subsidiaries are located outside India whose interim condensed consolidated financial statements have been prepared in accordance with accounting principles generally accepted in their respective countries and which have been reviewed by other auditors under generally accepted auditing standards applicable in their respective countries. The Parent's management has converted these interim condensed consolidated financial statements of such subsidiaries outside India from accounting principles generally accepted in their respective countries to accounting principles generally accepted in India. We have reviewed these conversion adjustments made by the Parent's management.

The Interim Condensed Consolidated Financial Statements include unaudited interim condensed financial statements and other unaudited financial information in respect of one subsidiary, Raipur Handling and Infrastructure Private Limited, which have not been reviewed by its auditors, whose interim financial statements reflect Group's share of total assets of Rs. 31.44 crore as at September 30, 2019 and total revenues of Rs. 1.95 crore, total net profit after tax of Rs. 0.49 crore and total comprehensive income ofRs. 0.49 crore and total cash flows ofRs. 1.32 crore for the six months ended on September 30,2019. These unaudited interim condensed financial statements and other unaudited financial information have been approved and furnished to us by the Parent's Management and our conclusion on these Interim Condensed Consolidated Financial Statements, in so far as it relates to the affairs of this subsidiary, is based solely on such unaudited interim condensed financial statements and other unaudited financial information. According to the information and explanations given to us by the Parent's Management, these unaudited interim condensed financial statements are not material to the Group. Our conclusion on the Statement is not modified in respect of the above matter.

Conclusion

Based on our review and necessary procedures performed by us, nothing has come to our attention that causes us to believe that the accompanying Interim Condensed Consolidated Financial Statements are not prepared and presented, in all material respects, in accordance with the Ind AS 34- Interim Financial Reporting and relevant provisions of the Companies Act, 2013, as amended, read with relevant rules issued thereunder and other accounting principles generally accepted in India including the manner in which it is to be disclosed, or that it contains any material misstatement.

Partner Membership No. 085323 UDIN: 19085323AAAADL7662 Beawar, November 18, 2019

SHREE CEMENT LIMITED UNAUDITED INTERIM CONDENSED CONSOLIDATED BALANCE SHEET AS AT 30th SEPTEMBER, 2019

			(RS. In Crore)
		As at	As at
ASSETS	Notes	30.09.2019	31.03.2019
Non-Current Assets
Property. Plant and Equipment	6	6,37086	6.135.16
Capital Worll-in-Progress		855.04	1,12945
I ntangible Assets		55.66	46.49
Financial Assets
Investments		2,227.49	2,25289
Loans		56.66	5313
Other Financial Assets		39.95	27.85
Deferred Tax Assets (Net) Non-Current Tax Assets (Nel)		670.03	612.64
Other Non-Current Assets		126.56 433.61	111.01 405.21
		10,64030	10,773,83
Current Assets
Inventories		1,811.46	1,870.31
Financial Assets
Investments		796.65	32.74
Trade Receivables		1,091 .34	1,023.71
Cash and Cash Equivalents		14176	142.20
Bank Balances other than Cash and Cash Equivalents		30328	297.09
Loans Other Financial Assets		7.14 144.41	980 106.75
Other Current Assets		1,176.09	1,236.62
		5,472.13	4,719.22
	Total Assets	16,312.43	15,493.05
EQUITY AND LIABILITIES Equity
Equity Share Capital		3464	34.84
Other Equity		10,239.43	9,635.91
Total Equity Attributable to Owners of the Company		10,274.27	9,670.75
Non Controlling Interest	Total Equity	62.96 10,33723	62.48 9,733,23
LIABILITIES
Non-Current liabilities Financial Liabilities
Borrowtngs	7	1,666.11	2,309.04
Other Financial Liabilities		642.83	734.20
Deferred Tax Liabilities (Net)		023	0.25
Provisions		3244	32.02
Other Non-Current Liabilities		575.33	557.73
		3.13894	3,633.24
Current Liablllttes Financial Liabilities
Borrowtngs		47072	472.67
Trade Payables
Total Outstanding Dues of Micro Enterprises and Small Enterprises		1.89	2.11
Total Outstanding Dues of Creditors other than Micro Enterprises and Small Enterprises		493.60	536.08
Other Financial Liabilities Other Current Liabilities		1,257.36 571 .51	46252 624.98
Provisions		18.93	5.97
Current Tax Liabilities (Net)		22.25	22.25
		2,836.26	2,126.58
	Total Equity and liabilities	~ 16,312.43	151 493.05
The accompanying noles are an integral part of the Unaudited Interim Condensed Consolidated Financial Statements.
As per our report of even date		For and~n behalf of the oard~
ForGupta&Dua
Chartered Accountants " ,

As per our report of even date For and~n behalf of the oard~ Chartered ForGupta&Dua Fi~''''''':l, ~9N Managing H .•. ",'" Director . R Director l:'::;; Dua . "" ~ Subhash JaJoo

Mukesh Partner Membership No. 065323· Chief Finance Officer

Place; Beawar Date: 1611 .2019 r DIN; 00244329 DIN; 00066068

Place; Kolkata Date: 18.11.2019

SHREE CEMENT LIMITED

UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENT OF PROFIT AND LOSS FOR THE PERIOD ENDED 30th SEPTEMBER, 2019

			(Rs. in Crore)
	Notes	For the Period ended 30.09.2019	For the Period ended 30.09.2018
Revenue from Operations	8	6.307.24	5,925.54
Other Income		11059	145.28
Total Income		6,417.83	6,070.82
EXPENSES Cost of Materials Consumed Purchases of Stock in Trade		459.92 20,80	494-47
Changes in Inventories of Finished Goods and
Wor1<-in-Progress		(61.49)	(44.72)
Employee Benefits Expense		437.11	36965
Powar and Fuel		1,424.27	1,450.28
Freight and Forwarding Expenses		1,272.93	1,451.20
Finance Costs	9	142.13	118.11
Depreciation and Amortisation Expense		883.10	659.71
Other Expenses		947.89	1,088.58
Captive Consumption of Cement		5,52666 (16.97)	5,58728 (17.78)
Total Expenses		5,509,69	5,569.50
PROFIT BEFORE EXCEPTIONAL ITEMS AND TAX		908.14	501.32
Exceptional Items PROFIT BEFORE TAX		908.14	178,13 323.19
Tax Expense
Current Tax		276.70	87.84
Tax Expense Relating to Earlier Years (Net)			(2.69)
Deferred Tax (Credit) I Charge		(64.14)	(104.89)
PROFIT FOR THE PERIOD		212.56 695.58	{HI.941 343.13
Profit Attributable to:
Owners of the Company		690.29	339.78
Non Controlling Interest		5.29	3.35
OTHER COMPREHENSIVE INCOME Items that will not be Reclassified to Profit or Loss- Re-measurements of the Defined Benefit Plans
Income Tax relating to Items that will not be Reclassified to Profit or Loss
Items that will be Reclassified to Profit or Loss - Cash Flow Hedge and Exchange Differences on
Translation of Foreign Operation		68.29 (6.73)	147.54 (11 ,24)
Income Tax relating to Items that will be Reclassified to Profit or Loss		61.56	136.30
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD (Comprising Profit and Other Comprehensive Income for the Period)		757.14	479.43
Other Comprehensive Income Attributable to:
Owners of the Company		60,17	132.70
Non Controlling Interest		1.39	3.60
		61 .56	136.30
Total Comprehensive Income Attributable to:
Owners of the Company		750.46	472.48
Non Controlling Interest		6.68	6.95
		75714	479.43
Earnings per Equity Share 01 RI. 10 •• ch (In Rs.) (Not Annuallsed)	16
Cash		432.89	307.77
Basic and Diluled		198.14	97.53

The accompanying notes are an integral part of the Unaudited Interim Condensed Consolidated Financial Statements.

As per our report 01 even date For Gupta & Dua Chartered Accountants Firm's Registration No. 003849N

Mukesh Dua I

~--- -.

Partner Membership No. 085323

Place :Beawar Date: 18 11 .2019

~A~halfol l::O:tc ~ /' ;, . ngur ~ggar Managing Director Director fv.O;;:~\ DIN: 00244329 DIN: 00066068 ~ Chief Finance Officer

Place: Kolkata Date :18.112019

---

Particulars		For the period ended 30.09.2019		For the Period ended 30.09.2018
À	Cash Flow From Operating Activities
	Profit Defore Exceptional Items and Tax		908.14		501 32
	Adjustments For:
	Depreciation and Amortisation Expense	883.10		659.71
	Foreign Exchange Rate Differences (Net)	(0.69)		159.91
	Balances Written Back	(1,30)		(111)
	Net Gain on Sale of Investments	(D.30)		(5.87)
	Gain on Fair Value of Financial Assets through Profit or Loss	(17.91)		(14.54)
	Interest Income	(78.91)		(87, 45)
	Dividend Income on Financial Assets Classified at Fair Value through Profil or Loss	(B.66)		(34.97)
	Profit on Sale of Properly, Plant and Equipment (Nel) / Assets Written Off	(0.13)		6.98
	Finance Costs	142.13	91733	118.11	802.77
	Operating Profit Before Working Capital Changes		1,825.47		1,304.09
	Adjustments For
	(Increase) / Decreese in Trade and Other Receivables	33.72		(26493)
	(Increase) / Decrease in Inventories	6533		(254.66)
	Increase / (Decrease) in Trade & Other Payables and Provisions	202.01	301.06	(122 68)	(642.27)
	Cash Generated From Operations		2,126.53		661.82
	Direct Taxes Paid (Net of Refunds)		(294.26)		(116.19)
	Net Cash Flow From Operating Activities		1,832.27		545.63
n	Cash Flow From Investing Activities
	Purchase of Property, Plant and Equipments (Including Capital Work-in-Progress			(993.08)
	and Advances)	(759.81)
	Proceeds from Sale of Property, Piant and Equipment	1.91		0.66 (1.58)
	Payments for Intangible Assets	(12.17)
	Payment for Acquisition of Controlling Stake in Subsidiarias (net of cash and cash equivalents acquired)			(2,008,10)
	Proceeds from Sale/ Redemption of Bonds, Debentures and Preference Shares	40.00		441.30
	(Purchases) / Proceeds of Investments in Mutual Funds (Nel)	(764.66)		2,280.05
	Investments in Bank Deposits.	(170.92)		(120.08)
	Maturity of Bank Deposits	147 26		96,54
	Change in Earmerked Balances with Banks (Unpaid Dividend)	(0.03)		0.01
	Dividend Received	12.12		45.03
	Interest Received (Including Interest on Zero Coupon Bonds)	44.93		65.25
	Net Cash Used In Investing Activities		(1,461.37)		(194.90)
c.	Cash Flow From Financing Activities
	Acquisition of Additional Stake in Subsidiary Company from Non Controlling Interest	(D.84)		×
	Repayment of Long Term Borrowings	(67, 50)		(3.78)
	Payment of Finance Lease / Lease Liabilities	(7.14)		(1.52)
	Proceeds from Short Term Borrowings			75,00
	Repayment of Short Term Borrowings	(75.00)		(479.60)
	Proceeds / (Repayment) of Short Term Borrowings (Net) (upto Three months maturity)	66.54		356,83
	Interest and Financial Charges Paid	(143.96)		(113.72)
	Dividend and Tax Paid there on (interim and Final)	(152.27)		(126, 00)
	Net Cash (Used In) / From Financing Activities		(380.17)		292.79
	Net (Decrease) / Increase In Cash and Cash Equivalents		(9.27)		57.94
	Cash and Cash Equivalents as at the beginning of the Year		117.72		33.52
	Add: Effect of exchange rate on consolidation of Foreign Subsidiaries		2.34		6.30
	Cash and Cash Equivalents as at the end of the Period		110.79		97.76

SHREE CEMENT LIMITED
UNAUDITED INTERIM CONDENSED CONSOLIDATED CASH FLOW STATEMENT FOR THE PERIOD ENDED 30th SEPTEMBER, 2019

Notes :
The check Taxes paid are treated as arising from operating activities and are not bifurcated between investing and financing activities
The above cash flow statement has been prepared under the indirect method set

			(Rs in Crore)
	As at 30.09.2019	As at 31.03.2019	As at 30.09.2018
Balances with Banks	31 26	41.65	41.06
Cash on Hand	0.64	0.91	082
Call Deposits with Banks	0.50	1.58.	42.93
Fixed Deposits with Banks Having Original Maturity upto 3 Months	109 16	98.06	38.53
	141.76	142 20	123 34
Less: Bank Overdraft	30.97	24.48	25.58
	110.79	117.72	87.76

The accompanying notes are an integral part of the Unaudited Intenrn Condensed Consolidated Financial Statements

As per our report of even date
For Gupta & Dua
Charlered Accountants
Firm's Registration No. 003849N р Mukesh Dua
Perincr
Membership No. 085323 Á

_Ra v H. M. Bangur
Managing Director
DIN: 00244329 ł z

For and on behalf of the Board

R I. Gaggar Director
DIN: 00066068

è ٠

Ò

Shash Jajoo
Chief Finance Officer Place : Kolkaia
Date : 18.11.2019

Place , Beawar
Date : 18.11.2019

SHREE CEMENT LIMITED
UNAUDITED INTERNI CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE PERIOD ENDED 30th SEPTEMBER, 2019

A. EQUITY SHARE CAPITAL

Particulars	Numbers	Rs. in Crore
Equity shares of Rs. 10 each, issued, authoritied and fully paid-up
As at 30.09.2019	34837225	34 BA
As at 31,03,2019	34837225	34.84
As at 30.09.2018	34837225	34.BA

B. OTHER EQUITY

For the period ended Joth September, 2019.											(FCS. IT) CITOTO)
					Attributable to Owners of the Company					Attributable to	Total Other
				Reserves and Surplus				Rems of OCI		Non Controlling	Equity
Particulars	Capital Redemption Reserve	Capital Reserve	Securities Premium	Statutory Reserve	General Reserve	Retained Earnings	Foreign Currency Translation Reserve	Effective Portion of Cash Flow Hedges	Total Other Equity Attributable to Owners of the Company	Interest
Opening Balance as at 01.04.2019	15.00	10.84	26.53	5.20	5,700.00	3,907.93	6.88	(38.47)	9,635.91	62.48	9,698.39
Profit for the period ended 30.09.2019						590.29			690.29	5.29	695.58
Other Comprehensive Income for the Period
Re-measurements of the Defined Benefit Plans (Net of Tax)
Net movement of Cash Flow Hedges (Net of Tax)								12.53	12.53		12.53
Exchange Differences on Translation of Foreign Operation							47 84		47.64	1.39	49.03
Acquisition of Additional Stake in Subsidiary Company from Non Controlling Interest						0.05			0.05	(0.89)	(0.84)
Final Dividend on Equity Shares (Note 1 below)						(121.93)			(121.93)		(121.93)
Tax on Final Dividend						(25.06)			(25.06)		(25.06)
Interim Dividend on Equity Shares (Note 4 below)										(5.31)	(5.31)
Closing Balance as at 30.09.2019	15,00	10.84	26.53	5.20	5,700.00	4,451.28	54.52	(23.94)	10,239.43	62.96	10,302.39

mark and

For the Wage of the Miller Street, 1998

FOL THE TEST SHORD JI MAPER, 2019					Attributable to Owners of the Company					Atiributable to	(Alan ata Antara) Total Other
			Reserves and Surplus					hems of OCI		Non Controlling	Equity
Particulars	Capital Redemption Reserve	Capital Reserve	Securities Premium	Statutory Reserve	General Reserve	Retained Earnings	Foreign Currency Translation Reserve	Effective Portion of Cash Flow Hodges	Total Other Equity of eldatudritiA Owners of the Company	Interest
Opening Balance as at 01.04.2018	15.00		26.53		5,500.00	3,333.95	0.01	(13,67)	2,861.82		8.861.82
Profit for the period ended 30.09.2018.						339,78			339.78	3.35	343.13
Other Comprehensive Income for the period
Re-measurements of the Defined Benefit Plans (Net of Tax)						$\sim$
Net movement of Cash Flow Hedges (Net of Tax)								20.91	20.91		20.91
Exchange Differences on Translation of Foreign Operation							111.79		111.79	3.60	115.39
On Account of Business Combination		10.84							10.54	63.60	74.44
Final Dividend on Equity Shares (Note 2 below)						(104.51)			(104.51)		(104.51)
Tax on Final Dividend						(21.48)			(21.48)		(21.48)
Closing Balance as at 30.09.2018	15.00	10.84	26.63		5,500.00	3,547.74	111,80	7.24	9,219.15	70.65	9,289.70
Profit for the six months ended 31.03.2019						666.61			666.61	5.31	671.92
Other Comprehensive Income for the period
Re-measurements of the Defined Benefit Plans (Net of Tax).						177			3.77	0.01	3.78
Net movement of Cash Flow Hedges (Net of Tax)								(43.71)	(43.71)		(43.71)
Exchange Differences on Translation of Forwign Operation							(104.92)		(104.92)	(3.52)	(108.44)
Transfer to /(from) Retained Earnings				5.20	200.00	(205, 20)
Interim Dividend on Equity Shares (Note 3 and 4 below).						(87.09)			(87.09)	(9.87)	(96.96)
Tax on Interim Dividend						(17.90)			(17.90)		(17.90)
Closing Balance as at 31.03.2019	15.00	10.84	26.53	5.20	5,700.00	3,907.93	6.88	(38.47)	9,635.91	52.48	0,606.30

Note 1 : Final Dividend declared at the rate of Ra. 35 per share of Rs. 10 each for FY 2018-19.
Note 2 : Final Dividend declared at the rate of Ra. 30 per share of Rs. 10 each for FY 2017-18.
Note 3 : Interim Dividend decl

SHREE CEMENT LIMITED

UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE PERIOD ENDED 30th SEPTEMBER, 2019 (Contd.,

Nature of Reserves

Capital Redemption Reserve

Capital Redemption Reserve represents the reserve created as a result of redemption of preference shares capital of the Company. The same may be applied by the Company, in paying up unissued shares of the Company to be issued to members of the Company as fully paid-up bonus shares.

Capital Reserve

Company's Capital Reserve is on account of acquisition of controlling stake in Union Cement Company (PJSC) (UCC) and Raipur Handling and Infrastructure Private Limited(RHIPL).

Securities Premium

Securities Premium represents the amount received in excess of par value of equity shares of the Company. The same, inter-alia, may be utilized by the Company to issue fully paid-up bonus shares to its members and buying back the shares in accordance with the provisions of the Companies Act. 2013.

Statutory Reserve

According to the articles of association of Union Cement Company (PJSC) (Subsidiary Company) and the requirements of the U.A.E. Federal Law No. (2) of 2015, 10% of the profit for each year is transferred to the statutory reserve . The transfer to statutory reserve may be suspended when it reaches 50% of the paid-up share capital. Statutory reserve is not available for distribution except as stipulated by the Law.

General Reserve

General Reserve represents the reserve created by apportionment of profit generated during the year or transfer from other reserves either voluntarily or pursuant to statutory requirements. The same is a free reserve and available for distribution.

Retained Earnings

Relained Eamings represents the undistributed profits of the Company.

Foreign Currency Translation Reserve

The exchange differences arising from the translation of financial statements of foreign operations with functional currency other than Indian rupees is recognised in the foreign currency translation reserve.

Effective Portion of Cash Flow Hedges

The Company has designated certain hedging instruments as cash flow hedges and any effective portion is maintained in the said reserve. In case the hedging becomes ineffective, the amount is recognised to the Statement of Profit and Loss.

The accompanying notes are an integral part of the Unaudited Interim Condensed Consolidated Financial Statements.

As per our report of even date For Gupta & Dua Chartered Accountants

Mukesh Dua \ Partner ~, Membership No. 085323

Place: Beawar Date: 18.11.2019 oard ~

RLGag~ Director DIN: 00066068

~ Subhash JaJoo

Chief Finance Officer

Place: Kolkata Date : 18.11.2019

1. Corporate Information

Shree Cement Limited (the Holding Company) is a public limited company domiciled in India and is incorporated under the provisions of the Companies Act applicable in India. Its shares are listed at BSE Limited and National Stock Exchange of India Limited in India. The registered office of the Company is located at Bangur Nagar, Beawar, District- Ajmer-305901 (Rajasthan) India.

The Consolidated Financial Statements comprise financial statements of Shree Cement Limited ("the Holding Company") and its subsidiaries together referred to as "the Company" or "the Group".

The Company is engaged in the manufacturing and selling of cement, cement related products and power generation and sales. It is recognized as one of the most efficient and environment friendly Company in the global cement industry.

These unaudited interim condensed consolidated financial statements for the period ended 30th September, 2019 are approved and adopted by a committee constituted by the Board of Directors of the Company in their meeting held on 18.11.2019.

2. Statement of Compliance

These interim condensed consolidated financial statements (hereinafter referred to as "financial statements" in the interim condensed consolidated financial statements) of the Company have been prepared in accordance with Ind AS 34- Interim Financial Reporting and the relevant provisions of the Companies Act, 2013 ("the Act") and guidelines issued by the Securities and Exchange Board of India (SEBI), as applicable.

3. Principles of Consolidation:

The subsidiaries considered in the preparation of these ,Condensed Consolidated Financial Statements are:

Sr.	Name of the Subsidiary Company	Country of		% Shareholding and Voting Power
No.		Incorporation	As at 30.09.2019	As at 31.03.2019
1	Shree Global Pte. Ltd. (liquidated w.e.f. 11.03.2019)	Singapore	-	-
2	Shree Global FZE (w.e.f. 07.05.2018)	UAE	100%	100%
3 --	Shree International Holding Ltd. (w.e.f.28.06.2018)	UAE	100%	100%
t- 4	Shree Enterprises Management Ltd. (w.e.f. 19.06.2018)	UAE	100% (Beneficially Owned)	100% (Beneficially Owned)
5	Union Cement Company (PJSC) w.eJ. (11.07.2018)	UAE	97.65%	97.61%
6	Union Cement Norcem Company Limited L.L.c. (w.e.f. 11.07.2018)	UAE	60%	60%
I 7 L	Raipur Handling and Infrastructure Private Limited (w.e.f. 14.05.2018)	India !	100%	100% -

6. Property, Plant and Equipment

(Rs. in crore)

Particulars				GROSS BLOCK					DEPRECIATION / AMORTIZATION				Net
	Opening at as 01.04.19	Transfer out to Right of use Assets	Effect of Foreign Currency Translation	Addition during the period	Deduction Adjustments the during period	at As 30.09.19	Opening as at 01.04.19	Transfer out to Right of use Assets	Effect of Foreign Currency Translation	For the period	Deduction / Adjustments the during period	Up to 30.09.19	Block As at 30.09.19
Tangible Assets:
Freehold land	1011.26			87.63		1098.89	5.75			1.27		7.02	1091.87
Leasehold land	314.63	(314.63)	÷	۰	٠	×.	21.91	(21.91)	÷			٠
Right of Use Assets (Refer Note 5)	95.67	314.63	1.46	12.01		423.77	۰	21.91		9.24	٠	31.15	392.62
Buildings	952.75		1.37	45.84		999.96	360.30	۰	0.03	77.36	×	437.69	562.27
Plant and Equipment	8088.05		36.24	823.10	13.18	8934.21	3920.91		2.03	777.18	12.99	4687.13	4247.08
Railway Siding	63.02			÷	$\overline{\phantom{a}}$	63.02	18.54		$\blacksquare$	4.23		22.77	40.25
Furniture and Fixtures	38.57		0.02	2.93	0.04	41.48	30.31	÷	$\overline{a}$	3.10	0.04	33.37	8.11
Office Equipment	53.62		0.07	9.04	0.32	62.41	42.93	۰	0.02	5.91	0.31	48.55	13.86
Vehicles	37.68		0.04	6.38	4.57	39.53	23.77	۰	0.02	5.46	4.52	24.73	14.80
Total	10655.25		39.20	986.93	18.11	11663.27	4424.42		2.10	883.75	17.86	5292.41	6370.86

7. Borrowings

(Rs. in crore)

Particulars	Non-Current Portion		Current Maturities
	As at 30.09.2019	As at 31.03.2019	As at 30.09.2019	As at 31.03.2019
Secured
External Commercial Borrowings	1688.11	2255.48	608.09
Indian Rupee Term Loans from Banks		48.00		19.50
Finance Lease Obligation		5.56		1.46
	1688.11	2309.04	608.09	20.96
Amount disclosed under the head "Other Current Financial Liabilities"			(608.09)	(20.96)
	1688.11	2309.04

4. Significant Accounting Policies, Judgements, Estimates and Assumptions

The same accounting policies, significant accounting judgments and estimates and assumptions are followed in these unaudited interim condensed consolidated financial statements as compared with the Company's annual financial statements for the year ended 31st March 2019, except for the new standards adopted during the current period as explained in Note 5

5. New Accounting Pronouncements

Effective 1st April, 2019 the Company has adopted Ind AS 116- "leases". The Company has used modified retrospective approach for transitioning to Ind AS 116 with right of use asset recognized at an amount equal to the lease liability adjusted for any prepayment/accrual recognized in the balance sheet immediately before the initial application. Accordingly, comparatives for the year ended 31.03.2019 have not been retrospectively adjusted. The adoption of Ind AS 116 did not have any material impact on the results for the six months ended 30.09.2019.

Ind AS 116 Leases provides a single lessee accounting model, requiring lessees to recognise assets and liabilities for all leases unless the lease term is 12 months or less or the underlying asset has a low value. Lessors continue to classify leases as operating or finance, with Ind AS 116's approach to lessor accounting which is substantially unchanged from its predecessor, Ind AS 17.

The right-of-use asset measured at inception at the amount of the initial measurement of the lease liability adjusted for any lease payments made at or before the commencement date less any lease incentives received, plus any initial direct costs incurred. The right-of-use assets is subsequently measured at cost less any accumulated depreciation, accumulated impairment losses, if any.

The lease liability is measured at the present value of the lease payments that are not paid at the commencement date of the lease. The lease payments are discounted using the interest rate implicit in the lease, if that rate can be readily determined otherwise incremental borrowing rate is used to discount the lease payments. The lease liability is subsequently remeasured by increasing the carrying amount to reflect interest on the lease liability, less lease payments made.

The above approach has resulted in recognition of right of use asset of Rs. 388.39 crore as at 1st April, 2019 (including right of use asset amounting to Rs. 292.72 crore (net of amortization) recognized as finance lease asset under erstwhile lease standard as at 31.03.2019) and a lease liability of Rs. 102.69 crore (including finance lease obligation of Rs. 7.02 crare recognized under erstwhile lease standard as at 31.03.2019) as on 1st April, 2019.

The Right of use assets of Rs. 392.62 crore as on 30.09.2019 disclosed under Property, Plant and Equipment and lease liability of Rs. 107.23 crore as on 30.09.19 disclosed under other financial liabilities.

Revenue from Operations		(Rs. in crore)
Particulars	For the period I ended 30.09.19	For the period -- ended 30.09.18
Sale of Products and Services
--- Sale of Products	5884.13	5386.58
-- Power Sales	327.17	380.00
- Services	- 1.31	- 0.64
	- 6212.61	5767.22
Other Operating Revenue	94.63	158.32
- -	------ 6307.24 - -	5925.54

9. Finance Costs (Rs. in crore)

Particulars	For the period ended 30.09.19	For the period ended 30.09.18
Interest Expenses	142.30	120.13
- Bank and Finance Charges	1.12	0.44
-- Interest expenses on lease liabilities	3.18	-
-- Unwinding of Discount on Provision	0.27	- 0.25
Exchange Differences Regarded as an Adjustment to Borrowing Cost	-	-- 47.81
-	146.87	168.63
less: Interest Capitalised	4.74	50.52
-	142.13	118.11

10. Contingent liabilities (Claims/Demands not Acknowledged as Debt)

• a. Custom duty (including interest) Rs. 65.72 crore (As at 31.03.2019 Rs. 64.52 crore)
• b. Service Tax and Education Cess (including interest) Rs. 1.11 crore (as at 31.03.2019 Rs. 0.82 crore)
• c. (i) Competition Commission of India (CCI), vide its order dated 315t August, 2016 imposed a penalty of Rs. 397.51 crore on the Company for alleged violation of Competition Act. The Company has appealed against the said order and Competition Appellate Tribunal (COM PAT), vide its order dated ih November, 2016, granted stay on CCI order subject to deposition of 10% of penalty amount and levy of interest of 12% p.a. on balance amount if the appeal is ultimately dismissed. The Company has complied with the order and the matter is now being heard at National Company law Appellate Tribunal (NClAT).

(ii) In another matter, CCI vide its order dated 19th January, 2017 imposed a penalty of Rs. 18.44 crore on the Company in connection with an enquiry in respect of a cement supply tender of

Government of Haryana. The Company has filed an appeal before COMPAT (now NCLAT) against the above order.

Based on the Company's own assessment and advice given by its legal counsels, the Company has a strong case in both the above appeals and thus pending final disposal of the appeals, the matters have been disclosed as contingent liability.

d. The Divisional Bench of Hon'ble Rajasthan High Court vide Judgement dated 6th December, 2016 has allowed the appeal filed by Commercial Taxes Department I Finance Department of the Govt. of Rajasthan against earlier favorable order of single member bench of Hon'ble Rajasthan High Court in the matter of incentives granted under Rajasthan Investment Promotion Scheme-2003 to the Company for capital investment made in cement plants in the State of Rajasthan.

Vide the above Judgement of Hon'ble High Court, the Company's entitlement towards Capital Subsidy for the entitled period stands revised from "up to 75% of Sales Tax I VAT" to "up to 50% of Sales Taxi VAT". The Company has filed Special Leave Petition before the Hon'ble Supreme Court against the above judgment which is admitted for deciding on merits. The Commercial Taxes Department had issued notices seeking reply for recovering differential subsidy, the said notices are challenged by the Company before Rajasthan High Court and High Court has stayed further proceedings by department against us.

Based on the legal opinion, it has a good case before Hon'ble Supreme Court. Accordingly, no provision has been made for differential subsidy ( i.e. difference of 75% and 50%) amounting to Rs. 73.08 crore received and Rs. 282.30 crore not received though accounted for.

1. Estimated amount of contracts remaining to be executed on capital account (net of advances) Rs. 594.39 crore (As at 31.03.2019 Rs. 711.12 crore).

12. Segment Reporting

The Company has two reportable segments, namely Cement and Power. Revenue, Results and other information:

						---		(Rs. in Crore)
			For the period ended 30.09.2019				For the period ended 30.09',2018	I
Particulars	Cement*	Power -- -- ,	Inter- Segment Eliminations	Total -I---'	Cement*	Power	Inter- Segment Eliminatio ns	Total
External Sales	5980.07 ,,	327.17	----" -	6307.24	5545.54	380.00	-	5925.54
Inter Segment Revenue	-	557.00	(557.00)	-	-	572.89	(572.89)	-
Total Revenue	5980.07	884.17	(557.00t	6307.24	5545.54	952.89	(572.89)	5925.54
Results					---
i Segment Results (Profit " . before Exceptional I Items, Finance Costs and Tax)	01 653.	291.49 1		-I 944.50 o.	97.75	378.84	-	- - 476.59
i Add: Un-allocated Income			I	I 105.77		-	I	142.84

			For the period ended 30.09.2019				For the period ended 30.09.2018
Particulars	Cement*	Power	Inter- Segment Eliminations	Total	Cement*	Power	Inter- Segment Eliminatio ns	Total
Less: Exceptional Items								178.13
Less: Finance Costs				142.13				118.11
Profit Before Tax				908.14				323.19
Less: Tax Expenses				212.56				(19.94)
Profit After Tax				695.58				343.13

$D - in general$

								(0.5, 0.00)
			As at 30.09.2019				As at 31.03.2019
Particulars	Cement*	Power	Inter- Segment Eliminations	Total	Cement*	Power	Inter- Segment Eliminatio ns	Total
Segment Assets	10963.87	910.60	×	11874.47	10978.97	980.99	٠	11959.96
Un-allocated Assets				4437.96				3533.09
Total Assets				16312.43				15493.05
Segment Liabilities	2143.80	143.44		2287.24	2019.48	146.61	٠	2166.09
Un-allocated Liabilities and Provisions				3687.96				3593.73
Total Liabilities				5975.20				5759.82

*the figures of cement segment includes those of Autoclaved Aerated Concrete (AAC) Block business being a cementitious product.

There are no revenues from transactions with a single external customer amounting to 10% or more of the Company's total revenue during the current and previous period.

13. Related party Disclosure (As per Ind AS 24- Related Party Disclosures)

Relationships:

• $(a)$ Enterprises over which Key Management Personnel (KMP) are able to exercise control /significant influence with whom there were transactions during the period:
• $(i)$ The Kamla Company Limited
• $(ii)$ Shree Capital Services Ltd.
• $(iii)$ Aqua Infra Project Limited
• $(iv)$ Alfa Buildhome Pvt. Ltd.
• $(v)$ Rajasthan Forum
• $(vi)$ The Bengal
• $(vii)$ Sant Parmanand Hospital
• $(viii)$ N.B.I. Industrial Finance Company Limited
• $(ix)$ Rajesh Vanijya Private Limited
• $(x)$ Didwana Investment Co. Ltd
• $(x_i)$ Ragini Finance Limited

• $(xii)$ Western India Commercial Co. Ltd

• (xiii) Mannakrishna Investment Pvt. Ltd

• (xiv) Digvijay Finlease Limited
• (xv) Asish Creations Private Limited
• (xvi) Didu Investments Pvt. Ltd
• (xvii) The Venktesh Company Limited
• (xviii) Newa Investments Private Limited
• (xix) Karmayog Properties Private Limited

(b) Key Management Personnel:

• (i) Shri H.M. Bangur Managing Director
• (ii) Shri Prashant Bangur Joint Managing Director
• (iii) Shri P.N. Chhangani Whole Time Director (w.e.f. 30.07.2018)

(c) Relatives to Key Management Personnel: (i) Shri B.G. Bangur Father of Shri H.M. Bangur

(d) Post Employment Benefit Plan Trust:

(i) Shree Cement Staff Provident Fund

• (ii) Shree Cement Employees Group Gratuity Scheme
• (iii) Shree Cement Ltd., Superannuation Scheme

Disclosure of Related Party Transactions:

(a) Details of transactions with related parties		(Rs. in Crore)
Particulars	For the period ended 30.09.19	For the period ended 30.09.18
Sale of Goods/Material
- Entities controlled/ influenced by KMP	0.03	0.01
Services Received
- Entities controlled/ influenced by KMP	0.46	0.83
Payment of office rent
- Entities controlled/ influenced by KMP	1.48	1.38
Purchase of spares
- Entities controlled/ influenced by KMP	-	0.01
Contributions towards social activities
- Entities controlled/ influenced by KMP	0.83	0.32
Reimbursement Towards Purchase of equity shares of a subsidiary
- Entities controlled/ influenced by KM P	-	59.00
Reimbursement of Expenses

Particulars	For the period ended 30.09.19	For the period ended 30.09.18
- Entities controlled/ influenced by KMP	-	0.15

(b) Details of balances with related parties

(Rs. in crore) Particulars As at As at As at 30.09.2019 31.03.2019 30.09.2018 Security deposit receivable - Entities controlledl influenced by KMP 0.63 0.63 0.63

(c) Key Management Personnel:

		(Rs. in crore)
f----------------- Particulars	-- For the period ended 30.09.19 -	For the period ended 30.09.18
Short Term Benefits	37.99	32.73
Post - Employment Benefits*	2.06	1.58
Total	40.05	34.31

*As the liability for gratuity are provided on actuarial basis for the Company as a whole, amounts accrued pertaining to key management personnel are not included above.

(d) Relatives to Key Management Personnel:

		(Rs in crore)
Particulars	For the period ended 30.09.19	For the period ended 30.09.18
Director Commission, Sitting Fee and Reimbursement of Expenses	0.24	0.22

(e) Information on transactions with post-employment benefit plans

----		(Rs. in crare)
Particulars	For the period ended 30.09.19	For the period ended 30.09.18
Contribution (including related insurance premium) paid/payable	24.41	24.15

All the related party transactions are made in the normal course of business and on terms equivalent to those that prevail in arm's length transactions. The Company has not recorded any loss allowances for receivables relating to related parties.

14. Disclosure Related to Fair Value of Financial Instruments

Set out below is a comparison by class of the carrying amounts and fair value of the Company's financial instruments: $(Re \text{ in } C$

		As at 31.03.2019
Carrying Value	Fair Value	Carrying Value	Fair Value
Financial Assets Classified at Fair Value Through Profit or Loss
1230.82	1230.82	487.96	487.96
0.11	0.11	0.01	0.01
55.42	55.42	22.72	22.72
1793.32	1884.82	1797.67	1829.33
65.80	65.80	62.93	62.93
1091.34	1091.34	1023.71	1023.71
445.04	445.04	439.29	439.29
128.83	128.29	111.87	111.87
4810.68	4901.64	3946.16	3977.82
			0.94
			134.30
			1754.90
			543.66
			19.50
			1.46
			472.67
			538.19
			1040.52 4506.14
	0.85 107.23 1211.44 476.67 608.09 470.72 495.49 1384.02 4754.51	Financial Liabilities Classified at Fair Value Through Profit or Loss 0.85 107.23 1211.44 468.27 608.09 470.72 495.49 1384.02 4746.11	As at 30.09.2019 0.94 134.30 1754.90 554.14 19.50 1.46 472.67 538.19 1040.52 4516.62

Fair Value Techniques:

The fair value of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The following methods and assumptions were used to estimate the fair values:

• a) Fair value of cash and short term deposits, trade receivables, trade payables, current loans, other current financial assets, short term borrowings and other current financial liabilities approximate to their carrying amount largely due to the short term maturities of these instruments.
• b) Long term fixed rate and variable rate receivables / borrowings are evaluated by the Company based on parameters such as interest rate, specific country risk factors, credit risk and other risk characteristics. Fair value of variable interest rate borrowings approximates their carrying values. For fixed interest rate borrowings, fair value is determined by using Discounted Cash Flow (DCF) method using discount rate that reflects the issuer's borrowings rate. Risk of nonperformance for the Company is considered to be insignificant in valuation.
• c) The fair value of derivatives are estimated by using pricing models, where the inputs to those models are based on readily observable market parameters basis contractual terms, period to maturity and market parameters such as interest rates, foreign exchange rates and volatility. These models do not contain a high level of subjectivity as the valuation techniques used do not require significant judgement and inputs thereto are readily observable from actively quoted market prices. Management has evaluated the credit and non-performance risks associated with its derivatives counterparties and believe them to be insignificant and not warranting a credit adjustment.
• d) The fair values of mutual funds are at published Net Asset Value (NAV).

Fair Value Hierarchy

Quoted prices / published Net Asset Value (NAV) in an active markets (Levell): This level of hierarchy includes financial assets that are measured by reference to quoted prices (unadjusted) in active markets for identical assets or liabilities and financial instruments like mutual funds for which NAV is published by mutual funds. This category consists mutual fund investments.

Valuation techniques with observable inputs (Level 2): This level of hierarchy includes financial assets and liabilities, measured using inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (Le., as prices) or indirectly (Le., derived from prices).

Valuation techniques with significant unobservable inputs (Level 3): This level of hierarchy includes financial assets and liabilities measured using inputs that are not based on observable market data (Le., unobservable inputs). Fair values are determined in whole or in part, using a valuation model based on assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data.

The following table provides the fair value measurement hierarchy of the Company's financial asset and liabilities grouped into Levell to Level 3 as described below:

Assets and Liabilities Measured at Fair Value (Accounted)

Particulars	As at 30.09.2019
	Level 1	Level 2	Level 3 -	_! Total
Financial Assets Measured at Fair Value ---
Investments
""' Mutual funds	1038.10	-	-I	1038.10
Preference Shares	-	192.72	-	192.72
Derivatives not Designated as Hedges	-	0.11	-	0.11
Derivatives Designated as Hedges	-	55.42	-	55.42
- Financial liabilities Measured at Fair Value
Derivatives not Desi&na~ed as Hedges	-	0.85	-	0.85
Derivatives Designated as Hedges	-	107.23	-	-- 107.23

			(Rs. in Crore)
Particulars	As at 31.03.2019
	Level 1	Level 2	Level 3	Total
Financial Assets Measured at Fair Value
Investments --
Mutual funds	---_. 261.91	-	-	261.91
Preference Shares -	-	226.05	-	226.05
Derivatives not Designated as Hedges	-	0.01	-	0.01
, Deriva~iv~s Designated as ~e~ges	-	22.72	-	22.72
Financial Liabilities Measured at Fair Value
1--' Derivatives not Designated as He~ges	-	0.94	-	0.94 f
Derivatives Designated as Hedges	-	134.30	-	134.30

Fair Value of Assets and Liabilities Classified at Amortized Cost (only disclosed)

(Rs in Crore)

				,,---,-"
Particulars	As at 30.09.2019
---	I Levell	Leve~1 Level 3		Total
Financial Assets			I
-- Investments in Bonds and Debentures -	-	1884.82 i	-	1884.82
Loans -	-	65.80	-	65.80
Other Financial Assets	-	128.29	-	'" 128.29
-" Financial Liabilities		"
Non-Current Borrowings at Fixed Rate	-	468.27	- -	468.27
Other Financial Liabilities	-	1384.02	-	1384.02

Particulars	-- As at 31.03.2019
._---------	- Level 1	Level 2	Level 3 -	Total
Financial Assets
Investments in Bonds and Debentures	-	1829.33	-	1829.33
Loans	-- -	62.93	-	62.93
"--,, Other Financial Assets	-	111.87	-	111.87 I
Financial Liabilities		--
n-Current Borrowings at Fixed Rate -_ .	-	543.66	e-._- -	543.66
-- Other Financial Liabilities	-	1040.52	-	1040.52

1 and level 2 fair value measurements and no transfer into and out of Level 3 fair value measurements. There is no transaction/balance under level 3.

The fair values of the financial assets and financial liabilities included in the level 2 categories above have been determined in accordance with generally accepted pricing models based on a discounted cash flow analysis, with the most significant inputs being the discount rate that reflects the credit risk of counterparties. Following table describes the valuation techniques used and key inputs to valuation for level 2 of the fair value hierarchy as at 30.09.2019 and 31.03.2019, respectively:

Particulars	Fair Value Hierarchv	Valuation Techniques	- Inputs Used	Quantitative Information about Significant Unobservable Inputs
Financial Assets
Investments in Preference Shares	Level 2	Market valuation techniques	Prevailing yield to discount future cash flows	-
Derivative Financial - Instruments Designated as Hedging Instrument Currency Cross and Interest Rate Swaps	Level 2	Market valuation techniques -	Prevailing/forward foreign currency exchange & interest rates in market to discount future cash flows ,	-
Financial I Derivative Instruments -not Designated as Hedging Instrument Forward Contracts	Level 2 1	Market	Forward foreign currency	-

Particulars I --	Fair Value Hierarchy ._----	Valuation Techniques ~ ---	Inputs Used -	Quantitative Information about Significant Unobservable Inputs
-		valuation techniques	exchange rates, interest rates to discount future cash flows
Financial liabilities		- - ~		~
Derivative Financial - Instruments Designated as Hedging Instrument Currency and Cross Interest Rate Swaps	Level 2	Market valuation techniques	Prevailing/forward foreign currency exchange & interest rates in market to discount future cash flows	-
Derivative Financial Instruments -not Designated as Hedging Instrument Forward Contracts	Level 2	Market valuation techniques ___ 0_-	Forward foreign currency exchange rates, interest rates to discount future cash flows	-

Fair Value of Assets and Liabilities classified at Amortized Cost (only disclosed)

.~ Particulars -- --	Fair Value Hierarchy	Valuation technique	- Inputs used
Financial Assets
Investments in Bonds and Debentures	Level 2	Market valuation techniques	Prevailing yield to discount future cash flows .,,.-.
Other Financial Assets - Non Current ---	Level 2	Discounted Cash Flow	rates to Prevailing interest discount future cash flows -
Financial Liabilities		-
Non-Current Borrowings at Fixed Rate	Level 2	Discounted Cash Flow . market	in Prevailing interest rates future to discount i i payouts
- Other Financial liabilities Non Current	Level 2	Discounted 'Cash Flow	to Prevailing interest rates . __ ._--- discount future cash flows

• 1. Earnings Per Share (EPS)
• A. Basic and Diluted EPS:

Particulars	--	For the period ended 30.09.19 f-- -	-- Forthe period ended 30.09.18
Profit or loss attributable to the Owners of the ------ Company	Rs. in crore	690.29	339.78 I
- Equity Share Capital	- Rs. in crore	34.84	- 34.84
Weighted average number of equity shares ~ value of Rs.10/-. .Pe!:shar~) __ outstanding (F	Nos.	3,48,37,225	3,48,37,225
Earnings Per Share - Basic and Diluted (Not . Annualised )	- Rs .	- 198.14	- 97.53

• B. Cash EPS : (Profit for the period attributable to the Owners of the Company + Depreciation and Amortisation Expense (Net of Rs. 1.18 crore (Rs. 0.55 crore for period ended 30.09.18) of Non-Controlling Interest)+Deferred Tax+ Exceptional Items)/ Weighted average number of equity shares outstanding.
• 1. The Company had acquired majority stake in Union Cement Company (UCC) Pro JSC, a United Arab Emirates (UAE) based Company on 11th July, 2018 through its Wholly Owned subsidiaries. The Company had also acquired 100% equity stake in Raipur Handling and Infrastructure Pvt. ltd. (RHIPL) on 14th May, 2018. Financial Results for Half year ended 30th September, 2018 includes results of RHIPl from 14th May, 2018 and UCC from 11th July, 2018 whereas results for Half year ended 30th September 2019, includes results of these Companies for entire Half Year. Hence, results for Half year ended 30th September, 2019 are not comparable with the results of Half year ended 30th September, 2018.
• 1. Previous period figures have been regrouped and rearranged wherever necessary.

Signature to Note 1 to 17

For and on behalf of the Board

H. M. Bangur Managing Director DIN: 00244329

R LGaggar Director DIN: 00066068

-iY

Subhash Jajoo Chief Finance Officer

Place: Kolkata Date: 18.11.2019

As per our report of even date

Place: Beawar Date: 18.11.2019