Tera Software Ltd. — Interim / Quarterly Report 2022

Aug 13, 2021

TERA SOFTWARE LIMITED

8-2-293t82tN1107, Plot No, 1107, Road No, 55, Jubilee Hills, Hyderabad-SO0 033, Telangand, lNDlA.

Date: l3-08-202t

BSE Limited	National Stock Exchange oitnaiu firnitra
P.J. Towers	Exchange Plaza, Bandar Kurla Complex
Dalal Street, Mumbai - 400001	Bandra (E ), Mumbai - 400051
Scrip: 533982	pymDor: 'I'ITRASOFT

Dear Sir/I\4adam,

Sub: Outcome of Board Meetins

The Board of Directors at its meeting held today, i.e. Friday, l3th Augus t,2021:

• l' considered and approved the Un Audited Financial Results of the company for the lst Quarter ended 30th June, 202r alongwith Limited Review Report. "2' Appointed Sri T. Sivarama Prasad, Independent Director as a member of Audit
• Committee.

In terms of Regulation 33 of SEBI (Listing obligations and Disclosure Requirements) Regulations,2015, a copy of the said Results and Limited Review Report issued by IWs. Mullapudi & co., chartered Accountants, is enclosed herewith.

Kindly take the above information on your record.

Yours faithfully, For Tera Softivare Limited

Ch. -J^.tE- Mallikarjuna Company Secretary Memb.No.47545

CIN : L72200TG1994PLC01 8391

TERA SOFTWARE LIMITED CIN L72200TG1994PLC018391

#8-2-293/82/A/1107, Plot no 1107, Road no 55, Jubilee Hills, Hyderabad-33.STATEMENT OF STANDALONE UNAUDITED RESULTS FOR THE QUARTER ENDED 30th JUNE, 2021

	Rupees in lakhs
			Corresponding
	3 months	Preceding 3	3 Months ended	Figures for the
PARTICULARS	ended	months ended	in the previous	year ended
			year
	30.06.2021	31.03.2021	30.06.2020	31.03.2021
	Unaudited	Audited	Unaudited	Audited
1. Income from Operations
(a) Net Sales /Income from operations (net of excise
duty)	2,390.03	4,793.31	1,483.87	15,589.06
(b) Other operating Income	72.80	175.58	101.49	483.17
Total Income from Operations (net)	2,462.83	4,968.89	1,585.36	16,072.23
2. Expenses
Purchases
Changes in inventories of finished goods, work-in-		55.00		55.40
progress and stock in trade
		18.25	33.46	132.90
Technical & Operation expense	1,899.97	4,029.70	665.72	12,389.16
Employee benefit expense	317.66	331.39	750.10	2,178.54
Depreciation & amortisation expense	14.18	14.18	16.48	60.46
Other Expenses	72.25	127.66	148.29	575.08
Total Expenses	2,304.06	4,576.18	1,614.05	15,391.54
3. Profit/(Loss) from operations before other
income, finance costs and Exceptional Items (1-2)
	158.77	392.71	(28.69)	680.69
4. Other Income	77.41	71.61	74.64	321.31
5. Profit/(Loss) from ordinary activities before
finance costs but before Exceptional Items $(3^{\dagger}4)$
6. Finance costs	236.18	464.32	45.95	1,002.00
7. Profit/(Loss) from ordinary activities after finance	311.48	196.76	203.87	849.28
costs but before Exceptional Items (5 + _6)
	(75.30)	267.56	(157.92)	152.72
8. Exceptional Items
9. Profit/(Loss) from ordinary activities before tax
$(7^{\degree} 8)$	(75.30)	267.56	(157.92)	152.72
10. Tax expense
1) Current Tax	0.74	107.60		116.83
2) Tax Expenses relating to Earlier years
3) Deferred Tax	(5.56)	(12.49)	(34.18)
11. Profit/(Loss) from ordinary activities after tax				(48.41)
$(9^{\circ}10)$
12. Extraordinary items (net of tax Rs expense _	(70.48)	172.45	(123.74)	84.30
Lakhs)
13. Net Profit/(Loss) before Other comprehensive
income $(11^{\texttt{-}}.12)$	(70.48)	172.45	(123.74)	84.30
14. Other Comprehensive Income
Add: (i) Items that will be reclassified to profit or
loss '		(97.39)		(97.39)
Less: (ii) Income Tax relating to items that will be
reclassified to profit or loss		(24.51)
13. Net Profit/(Loss) for the period (13 + -14)	(70.48)			(24.51)
14. Paid up Equity Share Capital (Face Value Rs 10/-)		99.57	$-123.74$	11.42
Reserves (excluding Revaluation Reserve as per the	1,251.19	1,251.19	1,251.19	1,251.19
Balance Sheet of previous accounting year)
	9,543.25	9,613.73	9,507.37	9,613.73
Earning Per equity share (for continuing
operations):
$(1)$ Basic	(0.56)	1.38	(0.99)	0.67
(2) Diluted	NAR-(0.56)	1.38	(0.99)
				0.67

TERA SOFTWARE LIMITED CIN L72200TG1994PLC018391 #8-2-293/82/A/1107, Plot no 1107, Road no 55, Jubilee Hills, Hyderabad-33. SEGMENT WISE REVENUE AND RESULTS

				Rupees in Lakhs
				Corresponding
SI.		3 months	Preceding 3	3 Months ended	Figures for
No.	PARTICULARS	ended	months ended	in the previous	the yearended
				year
		30.06.2021	31.03.2021	30.06.2020	31.03.2021
$\mathbf{1}$	Segment Revenue	Unaudited	Audited	Unaudited	Audited
	a) Integrated Solutions Division
	b) Technical Division		57.75		58.20
	c) Projects Division	301.50	279.67	603.78	1,699.09
	Net sales/Income from operations	2,161.33	4,631.47	981.58	14,314.94
	Segment Results [Profit / (Loss) before Tax and	2,462.83	4,968.89	1,585.36	16,072.23
2	Interest from each Segment]
	a) Integrated Solutions Division
	b) Technical Division	(7.61)	(62.43)	(12.80)	(129.81)
	c) Projects Division	27.65	30.85	74.87	195.61
	Total	309.78	649.27	142.34	1,368.20
		329.82	617.69	204.41	1,434.00
	Less: i) Interest Expenses	311.48	196.76	203.87	849.28
	ii) Un-allocable expenditure (Net)Add: Interest and Other Income	171.05	224.98	233.10	753.31
		77.41	71.61	74.64	321.31
	Total Profit/(Loss) Before Tax	(75.30)	267.56	(157.92)	152.72
	Segment Assets
	Integrated Solutions Division	567.39	553.72	705.87	553.72
	Technical Division	382.94	725.06	1,365.51	725.06
	Projects Division	22,010.40	22,834.93	19,692.18	22,834.93
	Unallocable	5,995.40	5,713.87	5,953.48	5,713.87
	Total	28,956.13	29,827.58	27,717.04	29,827.58
	Segment Liabilities
	Integrated Solutions Division	883.74	862.77	833.22	862.77
	Technical Division	841.29	808.99	1,203.26	808.99
	Projects Division	9,089.49	9,821.74	8,667.13	9,821.74
	Unallocable	18,141.61	18,334.08	17,013.43	18,334.08
	Total	28,956.13	29,827.58	27,717.04	29,827.58
	(Segment Assets - Liabilities)
	Integrated Solutions Division	(316.35)	(309.05)	(127.35)
	Technical Division	(458.35)	(83.93)	162.25	(309.05)
	Projects Division	12,920.91	13,013.19	11,025.05	(83.93)
	Unallocable	(12, 146.21)	(12,620.21)	(11,059.95)	13,013.19
	Total				(12,620.21)

Notes:

1 The above financial results for the quarter ended 30TH JUNE, 2021 have been reviewed by the Audit Committee and were approved by the Board of Directors of the Company at the meeting held on 13TH AUGUST, 2021

2 This statement is as per regulation 33 of the SEBI (Listing obligationsand disclosure Requirements) Regulations, 2015. These financials results of the Company were prepared in accordance with the Indian Accounting Standards prescribed under section 133 of the Companies Act, 2013 ("the act") read with relevant rules issued there under ("Ind AS") and other accounting principles generally acceprted in India and guidelines issued by the Securities and Exchange Boardof India

3 Bank guarantee invoked by "Andhra Pradesh State Fibernet limited" of Rs.4.28 Crores. The said action was challenged by the company before the division bench of Andhra Pradesh High Court, Amaravathi, which is pending. Based on the legal opinion given by the counsel, the company has not made any provision in its books of accounts.

• 40rders lssued by GST Department Best ludgment affim'pt o#.* ffi tr&laq* #rr er sf Department - Andhra Pradesh for the period fune Z0.3S to S&wgr $ffi} *ffiWend. reM r demand of Rs 3.6 Crores including interest of Rs .0733 Crcillss. Ary|f,il# *l*p*wxgdrom*npry requesting for extension of time for filing the returns and payrna{{f,tilttr**$,f;i$"s|rcfl!1i&1#fttgrltfl$Lara ealizcd, on 5th August 2U2l High Court of Andhra Pradesh directed the (fifDsEres& t$ryl[{& on er br{or* 15,gg30il1 againrt writ petitions filed by the company for the period from fune Z0Z0 ta Febtuary 2821.
• 5 Oiders Issued by Appellate Deputy Commissioner (CT), Tirupathi: The order restricts the input availed by the company to /570 of the input claimed treating the service being executed as a Works contract instead of the supply and services contracts separately (APSFL Project). A demand of Rs.21,45,089/- has been raised by the department including a penaliy of Rs.4,29,018, The company decided to challenge the proceedings before the Appellate Tribunal.
• 6 Orders Issued by Deputy Commissioner (CT) Guntur Division: The orders restricts the input availed by the company toTSo/o of the input claimed treating the work being executed as a Works contract instead of the supply and services contracts separately (AP Civil Supplies Project). A demand of Rs.6,96,746l- has been raised by the department. The company decided to challenge the above order before the Appellate Tribunal.
• 7 The Company has considered possible effects that may result from Covid-19 in preparation of these financial results including recoverability of its assets. In developing the assumptions relating to future uncertainities in the economic conditions due to Covid-19 it has, at the date of approval of these results considered releveant internal and external sources of information and expects that the carrying amount of these assets are recoverable. The impact of Covid -19 may be different from that estimated as at the date of approval of these financial results.
• 8 Corresponding quarter/year to date,/Year figures heve been re-grouped /re-classified wherever necessary to confirm to the classification of the current period.

Place: Hyderabad

MULLAPUDI & Co., CHARTERED ACCOUNTANTS

Flat No 1A, Rama Apartments, Plot No 84, Srinagar Colony, Hyderabad - 500073

Tel: 040-2373 5095, 94920 63246 E-mail: ca.mullapudi@gmail.com

LIMITED REVIEW REPORT

Limited Review Report on Unaudited Quarterly Financial Results Under Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

To the Board of Directors of Tera Software Limited

We have reviewed the accompanying statement of unaudited standalone financial results of M/s Tera Software Limited, for the quarter ended 30th June 2021 being submitted by the Company pursuant to the requirements of regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulation, 2015 (as amended) including relevant circulars issued by the SEBI from time to time.

This Statement, which is the responsibility of the Company's Management and approved by the 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 ('the Act'), and other accounting principles generally accepted in India. Our responsibility is to express a conclusion on the Statement based on our review.

We conducted our review of the Statement in accordance with the Standard on Review Engagement (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 the Standards on Auditing specified under section 143(10) of the Act, 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.

$PUDI_d$

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 the recognition and measurement principles laid down in Ind AS 34, prescribed under Section 133 of the Act, 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.

For Mullapudi & Co., Chartered Accountaints FRN.006707S

Hyderabad Krishña á٥

Aco Partner M.No.226476 UDIN: 21226476AAAADV3726

Place: Hyderabad Date: 13.08.2021