SoftTech Engineers Limited — Regulatory Filings 2023

Nov 10, 2023

Date: November 07,2023

To,

National Stock Exchange of India Limited	BSE Limited
"Exchange Plaza", C-1, Block – G	Floor 25, Phiroze Jeejeebhoy Towers
Bandra – Kurla Complex	Dalal Street,
Bandra (East), Mumbai – 400051	Mumbai – 400001
Symbol: SOFTTECH	Scrip Code: 543470

Dear Sir/ Madam,

Subject: Unaudited Standalone and Consolidated Financial Results of the Company for the Quarter and Half Year ended September 30, 2023

Dear Sir/Ma'am,

Pursuant to Regulations 30 and 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 ("Listing Regulations"), we would like to intimate that the Board of Directors of SoftTech Engineers Limited ("the Company") at their meeting held today, i.e., Tuesday, November 07, 2023 have considered and approved the Unaudited Standalone and Consolidated Financial Results for the quarter and half year ended September 30, 2023.

Accordingly, we are submitting herewith the Unaudited Standalone and Consolidated Financial Results for the quarter and half year ended September 30, 2023 along with the Limited Review Report thereon issued by our Statutory Auditors. The intimation along with the aforesaid Financial Results and Limited Review Report are also uploaded on the Company's website at www.softtech-engr.com.

Kindly take the same on record.

Thanking You,

Yours faithfully

FOR SOFTTECH ENGINEERS LIMITED

SHALAKA SATISH KHANDELWAL Digitally signed by SHALAKA SATISH KHANDELWAL Date: 2023.11.07 15:05:46 +05'30'

SHALAKA KHANDELWAL COMPANY SECRETARY

SoftTech Engineers Limited

Resistered otlce: sotrecnc[*:::'J'^iJi;ttrTi;i'J?, prot No. B,c,D, 'r-Baner,

Opp. Royal Enfield Showroom, Baner Road, Pune:411045.

Website: www.softtech-engr.com, Email: enquiries@softtech-engr.com, Telephone: +91 (20)6718371'l

STATEMENT OF UNAUDITED STANDALONE FINANCIAL RESULTS FOR THE QUARTER AND HALF YEAR ENDED 30 SEPTEMBER 2023

						(Rs. In lakhs)
	Quarter Ended			Half Year Ended	Year Ended
Particulars	September 30	June 30 2023	September 30	September 30	September 30	March 31 2023
	2023		2022	2023	2022
	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Audited
Income
Revenue from operations	1,870.42	1,881.109	1,717.921	3.751.532	2.931.786	6,534.085
Other income	53.85	56.701	49.423	110.546	94.561	170.684
Total Income	1,924.27	1,937.810	1,767.344	3,862.079	3,026.348	6,704.769
Expenses
Purchase of stock-in-trade	251.93	321.445	229.022	573.378	345.674	883.859
Employee benefit expenses	480.23	447.110	408.835	927.340	786.455	1.619.388
Finance cost	119.69	120.063	92.646	239.754	164.579	391.773
Depreciation and amortization expenses	340.72	327.205	254.172	667.922	505.149	1.045.575
Other expenses	474.71	575,790	549.734	1.050.502 3,458.89	883.256 2,685.11	1,903.324 5,843.92
Total Expenses	1,667.28	1,791.60	1,534.41
Profit before tax	256.99	146.206	232.940	403.192	341.240	860.850
Tax expense
Current Tax	124.96	64.356	77.316	189.316	114.408	269.721
Deferred Tax	(56.31)	(29.666)	(18.661)	(85.980)	(28.712)	(11.799)
Short/(Excess) provision for previous years						23.111
Total tax expense	68.65	34.69	58.66	103.34	85.70	281.03
-
Profit after tax [A]	188.34	111.52	174.28	299.85	255.54	579.82
Other comprehensive income
Items that will not be reclassified to profit or loss
Remeasurements of post employment benefit obligations	(11.06)		6.876	(11.061)	12.601	(22.122)
Remeasurements of investment classified as FVTOCI						86.857
Income tax relating to these items	2.78		(1.730)	2.784	(3.171)	(14.236)
Other comprehensive income for the year, net of tax [B]	(8.28)	٠	5.15	(8.28)	9.43	50.50
Total comprehensive income for the year [A+B]	180.06	111.52	179.43	291.58	264.97	630.32
Earnings per share of face value Rs. 10/- per share
Basic earnings per share	1.74	1.03	1.72	2.77	2.52	5.53
Diluted earnings per share	1.68	1.00	1.72	2.68	2.52	5.48

Vijay Gupta Chairman and Managing Director DIN: 1653314 Place : Pune Date : 7th November 2023

in'

. SoftTech Engineers Limited

CIN: 1301 07PN1996P1C016718

Registered Office: SoftTech Towers, S.No. 1i1tu7 I 15 16 17, Plot No. B,C,D, 1-Baner,

Opp. Royal Enfield Showroom, Baner Road, Pune: 411045.

Website: www.softtech-engr.com, Email: enquiries@softtech-engr.com, Telephone: +91 (20) 67183711

,A' .inla AND
Particulars	As at	As at
	September 30 2023	March 31 2023
ASSETS
Non-current assets
Property, plant and equipment	3t t.z3	401.86
Right-of-use assets	761.96	823.17
Other intangible assets	2,472.71	3,040.99
lntangible assets under development	1,219.30	505.04
Financial assets
lnvestments	1,116.02	846.67
Other financial assets	1,392.42	,401.69
lncome tax assets (net)	160.60	292.35
Deferred tax assets (net)	184.06	95.29
Other non-current assets	1.8'!	36.14
Total non-current assets	7,686.11	7,443.19
Current assets
Financial assets
lnvestments "	636.45	869.00
Trade receivables	2,687.15	2,608.49
Cash and cash equivalents	1,257.08	62.06
Contract assets	6,555.48	5,546.90
Other financial assets	163.28	193.80
Other current assets	76.00	169.57
Total current assets	11,375.44	9,449.83
Total assets	19,061.55	'16,893.01
EQUITYAND LIABILITIES Equity
Equity share capital	1,015.60	1,015.60
lnstruments entirely equity in nature	828.90	828.90
Other equity	11,214.55	9,072.97
'iotalEquity	13,059.05	10,917.47
LIABILITIES Non-current liabilities
Financial Liabilities
Borrowings	447.61	880.99
Lease liabilities	702.72	722.62
Provisions	tJ/.J/	117.03
Total non-current liabilities	1,287.70	1,720.65
Current Liabilities
Financial Liabilities Bonowings	3,1 39.23	3,1 1 7.35
Lease liabilities	67.07	82.31
Trade payables
Total outstanding dues of micro and small enterprises	190.21	76.63
Total outstanding dues of creditors other tharf tnicro and
small enterprises	672.51	500.71
Other financial tiabilities	294.75	233.67
Other curreni liabilities	150.60	113.94
Provisions Current tax liabilities (net)	77.51	71.95
Total current liabilities	122.93 4,714.81	58.33 4,254.89
Total liabilities	6,002.51	975.54
Total equity and liabilities	19,061 .55	16,893.01

\%,#t

---- Vijay Gupta Chairman and Managing Director DIN: 1653314 Place: Pune Date : 7th November 2023

SoftTech Engineers Limited CIN: L30107PN1996PLC016718

Registered Office: SoftTech Towers, S.No. 1l1An 81516 17, Plot No. B,C,D, 1-Baner,

Opp. Royal Enfield Showroom, Baner Road, Pune: 41 1 045. Website: vvww.softtech-engr.com, Email: enquiries@softtech-engr.com, Telephone: +91 (20) 67183711

Standalone Statement of Cash flows forthe period ended 30 September 2023 (Rs. ln lakhs)

Particulars	Half Year Ended	Half Year Ended
	Unaudited	Unaudited
	30 September 2023	30 September 2022
Cash flow from operating activities
Net profit before tax	403.1 9	341.24
Adjustments for
Depreciation and amortisation expense	667.92	505.15
Provision for doubtful debts net of reversal/ debit balances written off	134.79	16.30
Changes In fair value of financial assets at fair value through profit or loss	(12.14)	3.50
Gain on sale of investment	(15.22)
Unwinding of discount on security deposits	(1.78)	(2.43)
Dividend and interest income classifled as investing cash flows	(3e.8s)	(38.07)
Finance cost	239.75	164.57
Net exchange differences	(3 50\	n5.14\
Cash qenerated from operations before workinq capital chanqes	1,373.15	975.1 3
Change in operating assets and liabilities
(lncrease)/Decrease in trade receivables lncrease/(Decreas€) in trade payables	(214.33)	(41e.e8)
(lncrease)/Decrease in contract assets	285.37 (1,008 58)	192.12
(lncrease)/Decrease in other current asset	93.57	(16e.4e)
(lncrease)/Decrease in other financial assets	25.86	0.32 (2e.8s)
lncrease/(Decrease) in other non current assets		(280.86)
lncrease/(Decrease) in other f inancial liabilities	59.97	136.52
lncrease/(Deirease) in provisions	14.83	21.50
lncrease/(Decrease) in other current liabilities	36.67	2.75
Cash generated from operations	700.85	429.17
lncome taxes oaid	7.03	(1 23.96)
Net cash generated from operatinq activities	707.88	304.21
Cash flows from investing activities
Payments for property, plant and equipment	(5s se)	(12.77)
Payments for intangibles development costs	(6e5.78)	(801.45)
Purchase of long term investment '- lnvestment in mutual funds	(264.e7)	(250 s8)
	(610.00)
Sale of mutual funds lnterest income	869.91	553.41
lnvestment in fixed deposits with banks
Net cash (used in) investinq activities	52.82 (700.86)	(1 30.00) (541.39)
Cash flows from financing activities
Proceeds from issues of shares/warrants	1,875 00
Proceeds from long term borrowings		agi qz
Repayment of long term borrowings	(614.34)	(1 99 44)
Net change in short term borrowings	202.84
Lease payments	(72.6e)	(6e 80)
Utilisation of securities premium for warrants issue	(25.00)
lnterest paid	(177.80\	(151 .62)
Net cash generated from financinq activities	1,188.01	276.56
Net increase/ (decrease) in cash and cash equivalents	1,195.03	(60.62)
Cash and cash equivalents at the beginning of the financial year	62.06	63.08
Cash and cash equivalents at the end of the year (Refer note 1 1	1,257.08	2.46

Vijay Gupta Chairman and Managing Director DIN:1653314 Place: Pune Date : 7th November 2023

I SoftTech Engineers Limited CIN: 130107PN1996P1C016718

Registered Otfice: SoftTech Towers, S.No. thAn A 15.16 17, plot No. B,C,D, 1_Baner,

Opp. Royal Enfield Showroom, Baner Road, pune: 41 1045.

Website: www.softtech-engr.com, Email: enquiries@softtech-engr.com, Telephone: +91 (20) 67189711

STATEMENT OF UNAUDITED CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER AND HALF-YEAR ENDED 30 SEPTEMBER 2023

						Rs. ln lakhs)
Particulars		Quarter Ended		Half Year Ended		Year Ended
	September 30	June 30 2023	September 30	September 30	September 30	March31 2023
	2023		2022	2023	2022
	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Audited
lncome
Revenue from operations	1,912.05	1 ,881.1 1	1,717.92	3,793.1 6	2,931.79	6,540.48
Other income	47.51	56.70	29.32	104.21	74.45	142.97
Total lncome	1,959.56	1,937.81	1,747.24	3,897.37	3,006.24	6,683.45
Expenses
Purchase of stock-in-trade	2s1.93	321.44	229.02	573.38	345.67	883.86
Employess benefit expenses	527.16	485.44	411.73	1 ,012.60	793.12	1,670.79
Finance cost	1 19.69	120.06	92.84	239.75	1 65.1 6	392.56
Depreciation and amortization expenses	340.92	327.40	254.31	668.32	505.41	1,046.20
Other expenses Total Expenses	553.04	598.43	561.89	1 ,151 .47	902.61	2,047.50
Profit before tax	I ,792.7 4	1,852.77	1,549.79	3,645.52	2,711.57	6,040.90
Tax expense	166.82	85.04	197.45	251.85	294.27	642.55
Current Tax	124.96
Deferred Tax	(s6.31)	04.JO (2e.67)	77.32	1 89.31	114.41	269.72
Shoru(Excess) provision for previous years			(18 66)	(8s.e8)	(28.71\	(1 1.80)
Total tax expense	68.65	34.69	58.65	103.33		23.11
Profit afte. tax [Al	98.1 7	50.35	138.79	148.52	85.70 208.57	281.03
						361.52
Other comprehensive income
Item that will be reclassified suhsequently to. profit or loss
Exchange differences on translation of foreign operations	(0.80)	(2.33)	(6.6e)	(3.14)	(7.30)	(1 3.s7)
Item that will not be reclassified to profit or loss
Remeasurements of post-employment benefit obligations	(1 1.06)		6.87	(1 1 06)	12.60	(22.12)
Remeasurements of investment classified as FVTOCI						86.86
lncome tax relating to these items	2.78		rl 73\	2.78	(3.17\	(1 A
Other comprehensive income for the year, net of tax IBI	(9.08	(2.33)	(1.55)	11.42	2.13	'A\ 36.93
Total comprehensive income for the year [A+B]	89.09	48.01	137.25	1 37.1 0	210.70	398.45
Profit for the year aftributable to:
-Owners of the Company	1 05.1 0	55.14	1 56.1 0	160.24	226.98	200 7a
-Non controlling interests	(6.93)	(4.80)	(17 31)	(11 .72)	(18.41"	(38.24)
Other comprehensive income (net of tax) attributable to: -Owners of the Company
-Non controlling interests	(8.1 e)	(2.28)	2.78	(10.47)	6.46	42.43
Total comprehensive income for the year attributable to:	(0 8e)	(0 06)	(4.32)	(0.es)	(4.33)	(5.50)
-Owners ofthe Company	96.9 1	52.86	1 58.88	149.77
-Non controllino interests	(7 e2\	(4.85)	(21.63)	(1) 67\	(22.74'	442.19 (43.74\
Earnings per share of face value Rs. 10/- per share
Basic earnings per share	0.97	0.51	1.54	1.48	2.24	J.O I
Diluted earninos Der share	0.94	0.49	1.54	1.43	2.24

W

Vijay Gupta Chairman and Managing Director DIN : 1653314 Place: Pune Date: 7 November 2023

SoftTech Engineers Limited

CIN: 1301 07PN1996P1C01671 8

Registered Office: SoftTech Towers, S.No. 1/1A/7 815'1617, Plot No. B,C,D, 1-Baner,

Opp. Royal Enfield Showroom, Baner Road, Pune: 411045.

Website: www.softtech-engr.com, Email: enquiries@softtech-engr.com, Telephone: +91 (20) 67183711

CONSOLIDATED STATEMENT OF ASSETS AND LIABILITIES (Rs. ln Lakhs)

Particulars	Notes	As at Sept 30 2023	As at March 31 2023
ASSETS
Non-current assets
Property plant and equipment	3	378.62	403.25
Right-of-use assets	4 (a)	761.96	823.17
Other intangible assets	3 (a)	2,472.71	3,040.s9
lntangible assets under development	3 (b)	1,219.30	505.04
Financial assets
lnvestments	A	428.97	303.22
Other financial assets	b	1,397.08	1,405.09
lncome tax assets (net)	7	160.60	292.35
Deferred tax assets (net)	21(b)	'184.06	95.29
Other non-current assets	8	1.81	36.14
Total non-current assets		7,005.11	5,904.54
Current assets
Financial assets
lnvestments	9	636.45	869.00
Trade receivables	10	2,729.03	2,615.20
Cash and cash equivalents Contract assets 1	11	1,298.17	85.88
	12	6,555.49	5,546.90
Other financial assets	13	52.15	92.20
Other current assets	14	76.00	169.86
Total current assets		11,347.29	9,379.04
Total assets		18,352.40	16,283.58
EQUITY AND LIABILITIES Equity
Equity share capital lnstruments entirely equity in nature	15 (A) 15 (B)	1 ,015.60	1 ,015.60
Other equity	15(C)	828.90 10,521 .76	828.90
Total equity attributable to owners of the Company.		12,366.26	8,522.01 10,366.51
Non controlling interest		(86.48)	f3.80'
Total equity		12,279.78	10,292.72
LIABILITIES
Non-current liabilities
Financial Liabilities
Borrowings	16 (a)	448.41	880.99
Lease liabilities	4 (b)	702.72	722.62
Other financial liabilities
Provisions	'18	137.37	117.03
Total non-current liabilities		1,288.50	1,720.65
Current Liabilities
Financial Liabilities
Borrowings	16 (b)	3,141 .37	3,123.19
Lease liabilities	4 (b)	67.08	82.31
Trade payablgs	17
Total outstanding dues of micro enterprises and small enterprises		190.21	76.63
Total outstanding dues of creditors other ihan micro enterprises and
small enterprises		733.43	509.98
Other financial liabilities	19	299.08	233.67
Other cunent liabilities	20	152.51	114.'t5
Provisions	18	77.51	71.95
Current tax liabilities (net) Total current liabilities		122.93	58.33
ij Total liabilities		4,784.12 6,072.62	4,270.21 5,990.86
Total equity & liabilities		18,352.40	16,283.58

Vijay Gupta Chairman and Managing D.irector DIN:1653314 Place: Pune Date: 7 November 2023

SoftTech Engineers Limited CIN: L30'107PN1996P1C016718

Registered Office: SoftTech Towers, S.No. 1t1NZ B 15 j6 17, ptot No. B,C,D, 1-Baner,

Opp. Royal Enfield Showroom, Baner Road, Pune: 41 1045.

Website: www.softech-engr.com, Email: enquiries@softtech-engr.com, Telephone: +91 (20) 67183711

consolidated Statement of cash flows forthe period ended 30 september 2023 (Rs. ln Lakhs)

Particulars	Half Year ended
	Unaudited	Half Year ended Unaudited
	30 September 2023	30 September 2022
Cash flow from operating activities
Net profit before tax	251.85	294.27
Adjustments for
Depreciation and amortisation expense	668.32	505.41
Provision for doubtful debts net of reversal/ debit balances written off Changes in fair value of financial assets at fair value through profit or	134.79	16.30
loss	(12.14)	350
Gain on sale of investment	(15.22)
Unwinding of discount on security deposits	(1.78)	(2.43)
Dividend and interest income classified as investing cash fiows	(3e 85)	(38.07)
Foreign currency translation reserve		7.30
Finance cost	239.75	1 65.1 6
Net exchange differences	(3 50)	5.01
Cash qenerated fromrperations before workino caoital chanoes	't,222.22	956.45
Change in operating assets and liabilities
(lncrease)/ Decrease in trade receivables	(251.07)	(419.85)
lncrease/ (Decrease) in trade payables	335.46	'18'1 .05
(lncrease)/Decrease in contract assets	(1,008 59)	(1 6e.4e)
(lncrease)/ D'ecrease in other current asset	93.86	(251.06)
(lncrease)/ Decrease in other financial assets	34.1 3	(18.e1)
lncrease/(Decrease) in other non current assets		(30.e6)
lncreasei (Decrease) in other financial liabilities lncrease/(Decrease) in provisions	64.29	IJ/,IJ
lncrease/(Decrease) in other current liabilities	14.83	21.50 '1.59
)ash generated from operations	38 37 577.82
lncome taxes paid	7.03	407.47 (1 23.96)
Net cash qenerated from operatinq activities	584.85	253.52
Clash flows from investing activities
Payments for property, plant and equipment	(55.e8)	(13.37)
Payments for intangibles development costs	(6e5.77)	(801.45)
Purchase of long term investments	(121.37)	(21e._72)
lnvestment in mutual funds	(610.04)
Sale of mutual funds	869.91	553.41
lnterest income lnvestment in fixed deposits with banks	2.75
\et cash (used in) investing activities	52.82 (ss7.68)	(1 30.00) (61 1.13
Cash flows from financing activities
Proceeds from issues of shares	1,875.00
Proceeds from borrowings		683.07
Repayment of borrowings	(619.37)	(1es
Net change in short term borrowings	204.97	_44)
Lease payments	(72.68)	(6e 80)
Utilisation. of securities premium for warrants issue	(25.00)
lnterest p6id	(177.80)	(152.21\
Net cash generated from financinq activities	1,185.'.t2	261.62
Net increase in cash and cash equivalents
Cash and cash equivalents at the beginning of the financial year	1,212.29	(65.se)
Cash and cash equivalents at end of the year (refer note 1	85.88 1,298.17	75.03
		9.04

Wij

VUay Gupta Chairman and Managing Director DIN : 1653314 Place: Pune Date: 7 Noiember ²⁰²³ SoftGch

Notes to the Statement of Standalone and Consolidated Unaudited Financial Results for the Quarter and Half year ended 30 September 2023

• 1. The above financial results (Standalone and Consolidated) of SoftTech Engineers Limited (the "Company" or "Holding Company"), its subsidiaries (collectively referred to as "the Group"), were reviewed by the Audit Committee, approved and adopted by the Board of Directors at its meeting held on 7 November 2023.
• The quarterly and half yearly financial results have been subjected to Limited Review by the Statutory Auditors. 2.
• The Company has prepared the financial results as per lndian Accounting Standards (lnd AS) specified under section 133 of the Act read with the Companies (lndian Accounting Standards) Rules, 2015 as amended and in terms of Regulation 33 of the SEBI (Listing Obligation and Disclosure Requirements) Regulation 2015 as amended. 3.
• The Code_gn Social Security, 2020 ('Code') relating to employee benefits during employment and post- employment benefits received Presidential assent in September 2020. The Code has been published in the Gazette of lndia. However, the date on which the Code will come into effect has not been notified. The Group will assess the impact of the Code when it comes into effect and will record any related impact in the period the Code becomes effective. 4.
• The Company operates in a single segment i.e information technology and software services in accordance with lnd AS 108 "Operating Segment". 5.

For SoftTech Engineers Limited

Vijay Gupta Chairman and Managing Director DIN: 1653314 Place: Pune Date: 7 November 2023

LLPIN: AAT-9949 Dr. Pai Marg, Baner, Pune – 45 Tel (O): 020 – 27290771/1772/1773 Email: pgb@pgbhagwatca.com Web: www.pgbhagwatca.com

Independent Auditors' Review Report

on the unaudited quarter and half-year ended standalone financial results of SoftTech Engineers Limited Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

To, The Board of Directors SoftTech Engineers Limited (SEL) SoftTech Towers, S. No. 1/1A/7 8 15 16 17, Plot No. B, C, D, Baner, Baner Road, Pune- 411045

• 1. We have reviewed the accompanying Statement of Unaudited Standalone Financial Results of SoftTech Engineers Limited ("SEL" or "the Company") for the quarter and half year ended September 30, 2023 ("the Statement") being submitted by the Company pursuant to the requirement of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended ("Listing Regulations").
• 1. This Statement, which is the responsibility of the Company's Management and approved by the Company's Board of Directors, has been prepared in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34 "Interim Financial Reporting" ("Ind AS 34"), prescribed under Section 133 of the Companies Act, 2013, and other accounting principles generally accepted in India. Our responsibility is to express a conclusion on the Statement based on our review.
• 1. We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 2410 "Review of Interim Financial Information Performed by the Independent Auditor of the Entity", issued by the Institute of Chartered Accountants of India. This standard requires that we plan and perform the review to obtain moderate assurance as to whether the Statement is free of material misstatement. A review is limited primarily to inquiries of company personnel and analytical procedure applied to financial data and thus provides less assurance than an audit. We have not performed an audit and accordingly, we do not express an audit opinion.

Offices at: Mumbai | Kolhapur | Belagavi | Hubballi | Dharwad | Bengaluru

P G BHAGWAT LLP Chartered Accountants LLPIN: AAT-9949

1. Based on our review conducted as above, nothing has come to our attention that causes us to believe that the accompanying Statement prepared in accordance with applicable accounting standards and other recognized accounting practices and policies has not disclosed the information required to be disclosed in terms of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 including the manner in which it is to be disclosed, or that it contains any material misstatement.

For P G BHAGWAT LLP Chartered Accountants Firm's Registration Number: 101118W/W100682

Abhijeet Bhagwat Partner Membership Number: 136835 UDIN: 23136835BGXPSO4507

Pune November 7, 2023

LLPIN: AAT-9949 Dr. Pai Marg, Baner, Pune – 45 Tel (O): 020 – 27290771/1772/1773 Email: pgb@pgbhagwatca.com Web: www.pgbhagwatca.com

Independent Auditor's Review Report

on the unaudited quarter and half-year ended consolidated financial results of SoftTech Engineers Limited Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

To, The Board of Directors SoftTech Engineers Limited (SEL) SoftTech Towers, S. No. 1/1A/7 8 15 16 17, Plot No. B, C, D, Baner, Baner Road, Pune- 411045

• 1. We have reviewed the accompanying Statement of Unaudited Consolidated Financial Results of SoftTech Engineers Limited ("SEL" / "the Holding Company"), and its Subsidiaries (Holding Company and its Subsidiaries together referred to as "the Group") for the quarter and half-year ended September 30, 2023 ("the Statement"), being submitted by the Holding Company pursuant to the requirement of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended ("Listing Regulations").
• 1. This Statement, which is the responsibility of the Holding Company's Management and has been approved by the Holding Company's Board of Directors, has been prepared in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34 "Interim Financial Reporting" ("Ind AS 34"), prescribed under Section 133 of the Companies Act, 2013, and other accounting principles generally accepted in India. Our responsibility is to express a conclusion on the Statement based on our review.
• 1. We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 2410 "Review of Interim Financial Information Performed by the Independent Auditor of the Entity", issued by the Institute of Chartered Accountants of India. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion.
• 1. We also performed procedures in accordance with the circular issued by the SEBI under Regulation 33 (8) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, to the extent applicable.
• 1. The Statement includes the results of the following entities:
• a. SoftTech Engineers Inc. (Subsidiary Company)
• b. SoftTech Finland Oy (Subsidiary Company)
• c. SoftTech Government Solutions Inc. (Step Down Subsidiary Company)
• d. AmpliNxt Private Limited (Subsidiary Company)
• e. SoftTech Digital Pte Ltd (Subsidiary Company)
• f. SoftTech Digital Software LLC (Step Down Subsidiary Company)
• 1. Based on our review conducted and procedures performed as stated in paragraph 3 above, nothing has come to our attention that causes us to believe that the accompanying Statement, prepared in accordance with the recognition and measurement principles laid down in the aforesaid Indian Accounting Standard and other accounting principles generally accepted in India, has not disclosed the information required to be disclosed in terms of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, including the manner in which it is to be disclosed, or that it contains any material misstatement.
• 1. The Statement includes the financial results/information of five subsidiaries which have not been reviewed by us, whose financial results reflects total revenues of ₹ Nil, total assets of ₹ 1,424.55 lakhs, net cash inflow of ₹10.49 lakhs and net (loss) after tax of ₹ (67.41 lakhs) for the half year ended September 30, 2023. The financial results/financial information of these subsidiaries are Management drawn. According to the information and explanations given to us by the Management and in our opinion, these interim financial information/results are not material to the Group.

Our conclusion is not modified in respect of this matter with respect to our reliance on the financial information certified by the management.

For P G BHAGWAT LLP Chartered Accountants Firm's Registration Number: 101118W/W100682

Abhijeet Bhagwat Partner Membership Number: 136835 UDIN: 23136835BGXPSP2834 Pune November 7, 2023