TIPS MUSIC LIMITED — Interim / Quarterly Report 2021

Oct 29, 2021

October 29, 2021

To, Listing Department BSE Limited P.J Towers, Dalal Street, Fort, Mumbai – 400 001 To, Listing Department National Stock Exchange of India Limited Exchange Plaza, 5th Floor, Plot No. C/1, G Block, Bandra Kurla Complex, Bandra (E), Mumbai – 400 050

Scrip Code: 532375

Symbol: TIPSINDLTD

Subject: Outcome of the Board Meeting

Dear Sir/ Madam,

This is to inform you that a meeting of the Board of Directors of the Company was held today i.e. October 29, 2021, wherein the Board has approved the Unaudited Financial Results and Limited Review Report for the quarter ended September 30, 2021.

The Board Meeting commenced at 4:30 p.m. and concluded at 5:15 p.m.

Kindly take the same on your record.

Thanking you,

For Tips Industries Limited

PATEL BIJAL RAMJIBHAI Digitally signed by PATEL BIJAL RAMJIBHAI Date: 2021.10.29 17:21:36 +05'30'

Bijal R. Patel Company Secretary

Encl: a/a

TIPS INDUSTRIES TIMITED

statement of unaudited Financial Results for the Quarter and Half year Ended september 30, 2021

							[Rs. In Lacs except for Earning Per Share data]
		Quarter Ended			Half Year Ended		Year Ended
Sr No.	Particulars	Sept 30, 2021	June 30, 2021	Sept 30, 2020	Sept 30, 2021	Sept 30, 2020	March 31, 2021
		(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Audited)
$\mathbf{1}$	Income from operations
	a] Net sales / income from operations	9,594.71	2,812.37	1,646.72	12,407.08	3,144.32
	b] Other Income	95.98	95.77	41.10	191.75	107.52	9,053.00
	Total income from operations (net)	9,690.69	2,908.14	1,687.83	12,598.83	3,251.64	489.22
$\overline{2}$	Expenses						9,542.22
	c] Employee benefits expense	250.32	221.26	193.91	471.58	382.85
	d] Finance Cost			0.28		1.25	806.81
	e] Depreciation and Amortization Expenses	22.87	22.30	22.08	45.17	43.77	2.09 81.17
	f] Amortization of Cost of Production	5,510.27			5,510.27
	g] Other expenses	1,095.66	724.20	519.71	1,819.87	1,014.06	2,729.74
	Total expenditure	6,879.12	967.76	735.98	7,846.89	1,441.93	3,619.81
3	Profit,' (loss) from operations before extraordinary items, exceptional items and tax	2,811.57	1,940.38	951.85	4,751.95	1,809.91	5,922.41
$\overline{a}$
	Profit/ (loss) from ordinary activities before extra ordinary items and tax	2,811.57	1,940.38	951.85	4,751.95	1,809.91	5,922.41
5	Profit/ (loss) from ordinary activities before tax	2,811.57	1,940.38	951.85
6	Current tax	710.00	482.25	278.87	4,751.95	1,809.91	$5^{22.41}$
$\overline{7}$	Tax Expenses of earlier year		٠		1,192.25	528.72	1,473.91
8	Deferred tax			٠		٠	136.90
9	Net Profit / (Loss) for the period after tax	2,101.57	1,458.13	٠			(35.28)
10	Other Comprehensive income / (Expenses)	6.69	(24.73)	672.97	3,559.70	1,281.20	4,346.88
11	Total Comprehensive Income for the period	2,108.25		5.83	(18.04)	5.73	8.42
12	Other Equity		1,433.40	678.80	3,541.66	1,286.93	4,355.30
13	Paid-Up Equity Share Capital (Rs. 10/- each fully paid up)	1,296.87					8,828.90
	a) Basic & Diluted EPS before extraordinary Items (Rs.)	16.20	1,296.87 11.24	1,296.87	1,296.87	1,296.87	1,296.87
	b) Basic & Diluted EPS after extraordinary Items (Rs.)	16.20		5.19	27.45	9.42	32.72
			11.24	5.19	27.45	9.42	32.72

Segment - wise Revenue, Results, Assets and Uabilities

		Quarter Ended			Half Year Ended		Year Ended
Sr No.	Particulars	Sept 30, 2021	June 30, 2021	Sept 30, 2020	Sept 30, 2021	Sept 30, 2020	March 37' 2021
$\mathcal{L}$		(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Audited)
$\mathbf{1}$	SEGMENT REVENUE
	Audio Product Sales / Income	2,911.71	2,812.37	1,646.72	5,724.08
	Film Distribution/Production Income	6,717.98	29.87		6,747.85	3,144.7	9,053.00
	Net sales/ Income from operation	9,629.70	2,842.24	1,646.72
$\overline{2}$	SEGMENT RESULTS				12,471.94	3,144.32	9,053.00
	Audio Product Sales / Income	1,967.85	2,275.04	1,297.38
	Film Distribution/Production Income	953.76	(108.22)	(35.85)	4,242.89	2,488.31	7,286.19
	Total	2,921.61	2,166.81	1,261.53	844.04	(66.03)	(371.56)
	Less:				5,086.92	2,422.28	6,914.63
	i) Interest and Finance Charges (Net)			0.28	×.
	ii) Other un-allocable expenditure net of unallocable income	110.03	226.44	309.40		1.25	2.09
	Total Profit Before Tax	2,811.58	1,940.38	951.85	334.97	611.11	990.13
$\overline{3}$	SEGMENT ASSETS				4,751.95	1,809.91	5,922.41
	Audio Products	3,107.04	2,519.22	2,403.46
	Film Distribution / Production	8,415.70	7,093.23	1,501.96	3,107.04	2,403.46	1,959.58
	Unallocable Corporate Assets	7,669.98	7,147.94	7,632.39	8,415.70	1,501.96	6,6 U 5.96
	Total	19,192.72	16,760.38	11,537.80	7,669.98	7,632.39	6,257.20
$\overline{4}$	SEGMENT LIABILITIES				19,192.72	11,537.80	14,822.74
	Audio Products	4,004.64	4,020.73	3,965.28
	Film Distribution / Production	1,714.19	1,154.14	99.06	4,004.64	3,965.28	4,128.27
	Unallocable Corporate Liabilities	65.83	26.34	416.05	1,714.19	99.06	535.12
	Total	5,784.66	5,201.21		65.83	416.05	33.58
				4,480.40	5,784.66	4,480.40	4,696.97

TIPS INDUSTRIES LTD. -_

601, Durga Chambers, 6th Floor. L king Roa , Khar (West), Murnbpi - 400 052.

Notes:
1	fhe above financial results have been reviewed by the Audit Committee and approved by the Board of Directors at ther€ 'espective meeting held on October 29, ZO2l are subjected to Limited Review by Statutory Auditors. The review report has oeer 'iled with stock exchange and is available on the Company's website.
z	fax expenses have been provided based on marginal tax rate applicable to the company. The provision for tax (including deferred :ax) will be accounted at the year end based on financial results for the entire vear.
3	:inancial results for all the periods presented have been prepared in accordance with recognition and measurement principles 01 nd AS notified under the Companies (lndian Accounting Standards) Rule, 2015 as amended from time to time.
	The Company operates in two segments i.e. Audio/Video Products and Film Production/ Distribution Rights.
5	:onsidering the nature of business carried on by the company whereby revenues do not necessarily accrue evenly over the year, :he results of the quarter may not be representative of the result for the year. As such, the result of the current quarter is not :omparable with the result of corresponding quarter.
6	rhe Code on Social Security, 2020 ("Code") relating to employees benefits during employment and post-employment benefitl 'eceived Presidential assent in September 2020. The Code has been published in the Gazette of India. However, the date on whict :he Code will come into effect has not bden notified and the final rules/ interpretation have not yet been issued. The Company wil lssess the impact of the Code when it comes into effect and will record any related impact in the period the Code becomer rffective.
	l'he Board of Directors of the Company at its meeting held on May !O, 2ozl has considered and approved to restructure the rusiness of the Company by way of a Scheme of Arrangement and Demerger {"Scheme") whereby the Film Business Undertaking "Film Division") of Tips Industries Limited ("Demerged Company'') will be demerged into the "Tips Films Limited "Company as a toing concern basis with effect from the Appointed Date of April 1, 2021. The said Scheme would be subject to requisite approvals )f the National Company Law Tribunal, BSE Limited, National Stock Exchange oftndia Limited, Securities and Exchange Board ol ndia and other statutory / regulatory authorities, including those from the shareholders and/or creditors of the Demerged :ompany. Pending necessary regulatory approvals and other compliances, no adjustments have been made in the books oJ rccount and accompanying results,
8	lowards the end of the financial vear 2020-2027, the znd wave of CoVID-19 pandemic caused operational disturbances even )efore the lockdown. The Company was able to reorganise its operations to remain functional as well as comply with the lockdown 'egulations' However, the lockdown induced dcciine in econonric activity has led to diminlshed revenues, posed challenges in :ollections of contracted revenues and impeded contract renewals. The Company is bracing for a challenging year ahead. Based )n the current indications of future economic conditions, the management expects to recover carrying amounts of Non-Current lnd Current Assets. This assessment and the outcome of the pandemic as regards the aforesaid matters is highly dependent on :ircumstances / developments as they evolve in the subsequent periods.
9	Pursuant to provisions of Sections 68, 69 and 70(1) and all other applicable provisions, if any, of the Companies Act, 2013 and the provisions of Securities and Exchange Board of India (Buy Back of Securities) Regulations, 2018, the Company has bought back 13,50,000 (Thirteen Lakhs Fifty Thousand) fully paid-up equity shares of the Company of face value of Rs. 10/- (Rupees Ten only) each, from all the equity shareholders/beneficial owners of the company who holds Equity Shares as on the record date i.e. Friday, April 03, 2020, on a proportionate basis, through the tender offer route, at a price of Rs. 140/- (Rupees One Hundred and Forty only) per Equity Share for an aggregate amount of up to Rs. 18,90,00,000/- (Rupees Eighteen crores Ninety Lakhs only) excluding fhe Transaction Cost. The equity shares bought back were extinguished on June 26, ZOZO.
10	fhe Previous period's / Year's figures have been regrouped / rearranged wherever necessary tomake it comparable with th€ rurrent period.
Place : Mumbai	I KUMAR S TAURANI
	Date : October 29,2021 Chairman & Manasins Director

TIPS INDUSTRIES LTD.

601 , Durga Chambers, 6th Floor, Linking Road, Khar (West), Mumb,ai - 400 052.

Tips lndustries Limited Statement of Assets & Liabilities as at September 30,2OZ:-

		lKs. In Lacs,
	September 30,	March 31,2021
Particulars	2021 (Unuditedl	(Auditedl
IASSETS
I Non-current assets
l(a) Prooertv, plant and equipment	x.93.36	204.O7
l(b) Investment Property	t,239.62	1,253.96
l(cl Financial Assets I '
(i) Investments	1,829.56	1,804.05
1ii; toans a Deposits	18.96	18.96
(iii) other financial assets	13.88	L3.57
l(d) Other non-current assets	644.OI	449.05
lTotal Non-current assets I	3,939.39	t,74t.66
I
lCurrent assets l(al Financialssets
1i1 rraUe receivables
(ii) Cash and cash equivalents	4,7L7.2L	1,s07.06
I (iii! Bank balances other than (iii) above	2,643.58	3,110.92
(iv) Other financial assets	3,200.87	237.55
(c)Current Tax (Net)	539.52	s27.79
(d) Other Current Assets	3t3.2t 3,686.41	104.38
Total current assets	15,100.90	5.591.98
Total Assets	19,040.29	11,079.08 L4,822,74
EQUIW AND IIABILITIES
Equlty
(a) Equity Share Capital	r,296.87	r,296.87
(blOther equity	12.111.19	8,828.90
Total Equity	13,408.06	L0,t25.77
tiabilities
Non-current liabilities
(a) Financial Liabllities
(i) Borrowings
(ii) Other Financial Liabilities
(b) Deferred Tax Liability	zss.s+	235.54
(c)Employee Benefit Obligations	20.88	25.65
(d)Other Non-Cunent Liabitities	3.344.84	3,598.22
Total non-current liabilities	3,601.26	3,859.41
Current liabillties
(a) Financial Liabilities
(i) Trade payables
(a) Total outstanding dues of micro enterprises and small entrprises
(bl Total outstanding dues of creditors other than micro enterorises and small enterorises	1,808.8s	627.43
(ii) Other financial liabilites	31.78	29.89
(b) Employee Benefit Obligations	21.30	L.ao
(c) Other Current Liabilities	169.04	178.98
Total current liabilities	2,030.97	837.s6
Total Liabilities	5.632.23	4,696.97
Total Equity and tiabilities	19,040.29	L4,822.74

TIPS INDUSTRIES LTD.

601, Durga Chambers, Sth Floor, Linking Road, Khar (West), Mumb,ai - 400 052.

tn

TIPS INDUSTRIES tIMtTED

CASH FLOW STATEMENT Particulars FOR THE HALF YEAR ENDED SEPTEMBER 30, 2021

	For the half	For the year
	year ended	ended March
	Sept 31,2021	31,2027
	Unudited	Audited
Cash flow from operating activities
Profit/(loss) before tax	4,75L.95
Adjustments		5,922.4L
Depreciation and amortisation	45.r7
Finance Cost	0.00	81.L7
Profit on Sale of Investment		2.09
Fair Value Gain on Mutual Funds at FWpL	(36.s6)	(1.4s)
Provision for/ (write back of) doubtful debts and advances	(s.e4)	(4s.2s) (2.e6)
Bad Debts & Advances Written Off
(Profit)/Loss on sale of property, plant and Equipment		27.99
Non-cash expenses adjustment for Gratuity		(3.s0)
Interest income	(18.04)	II,25
Operating Profit before Working Capital changes	182 ?21	(117.6s)
Working capital adjustments	4,653.96	5,874.02
(lncrease)/ Decrease in trade and other receivables
Increase / (Decrease) in Bank Deposits and other Deposits (Current)	(3,210.1s)	279.27
Increase / (Decrease) in Other Financial Assets (Current)	(2,963.32) (12.43)	(201.s1)
Inc:'ease / (Decrease) in Other Current Assets		5.55
Increase / (Decrease) in roans and advances and other assets (Non current)	1,905.s7	(4,701.36)
Increase / (Decrease) in Other Financial Assets (Non Current)	(0.31)	(s.71)
lr rcrease / (Decrease) in Other Non Current Assets	(194.e6)	(0.71)
Increase/ (Decrease) in Employess Benefit Obligations (Current)		218.51
Increase/ (Decrease) in Employess Benefit Obligations (Non_Current)	20.04	0.06
Increase/ (Decrease) in Other Liabilities (Non-Current)	(4.77) (2s3.38)	(2.33)
Increase/ (Decrease) in Other Liabilities (Current)	(e.e4)	3,598.22
Increase/ (Decrease) in trade payables		I43.07
Increase/ (Decrease) in trade and other payables	1,187.36 ] 1.89	204.53 (0.01)
Cash generated from operations	t,llg,47	5,411.19
Direct Taxes Paid (Net of Refund)	(1,401.09)	(1.288.0s
Net cash flows from operating activities	(281.5?)	4,123.t4
Cash flow from investing activities
Acquisition of Property, plant and Equipments
Proceeds from sale of property, plant and Equipments	(20.13)	(76.00)
Redemption of Mutual Fund	48t.46	?cn
Investment in Mutual Fund	(470.00)	254.s3 (1,449.s3)
Interest Received	82.32	117.65
Net cish flows from investing activities	73.6s I	(1.149.8st
Cash flow from financing activities
Interest Paid
Buyback of shares		(2.0s)
Tax on Buyback of shares		(1,890.00) (182.80)
Dividend paid (including tax on dividend)	(2s9.371	(194.s3)
Net cash flows from financing activities	(2se.37)l	12,458.4O)
.i
Net increase / (decrease) in cash and cash equivalents	(467.34)l	s14.8e
Cash and cash equivalents at the beginning of the year	3,110.92	2,s96.03

INDUSTRIES

601, Durga chambers, 6th Floor, Linking Road, Khar (west), Mumb,ai - 400 052.

r,

TIPS INDUSTRIES LIMITED

.t

cAsH FLow STATEMENT FoR TllE HAIF YEAR ENDED SEPTEMBER 30, 2021 Cash anl cash equivalents at the end of the year

Reconciliation of Cash and Gash equivalents with the Balance Cash and Cash Equivalents as per Balance Sheet In lurrent Account In Fixed Deposit Cash on Hand Cash and Cash equivalents as restated as at the year end

tn
3,110.92
252.35
2,850.40
8.I7
3,110.92

TIPS INDUSTRIES LTD.

601, Durga Chambers, 6th Floor, Linking Road, Khar (West), Mumbai - 400 052.

SSPA & ASSOCIATES

Chartered Accountonts lst Floor, tt Arjun", Plot No. 6 A, V. P. Road, Andheri (W), Mumbai - 400 058.INDIA. Tel. :91 (22)2670 4376 et (22) 2670 3682 Fax :91 (22)26703916 Website: www.sspa.in

Limited Review Report

Review Report, To the Board of Directors of Tips lndustries Limited

fr '/

1,. We have reviewed the accompanying statement of unaudited financial results ('the Statement') of Tips lndustries Limited (hereafter referred as 'the Company') for the quarter ended September 30,2021. attached herewith, being submitted by the Company pursuant to the requirements of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations,2O'J.5, as amended ('Listing Regulations').

This Statement, which is the responsibility of the Company's Management and has been approved by the Board of Directors in their meeting held on October 29,2027 and has been prepared in accordance with the recognition and measurement principles laid down in lndian Accounting Standard 34, (lnd AS 34) "lnterim Financial Reporting" prescribed under Section L33 of the Companies Act, 2013, as amended, read with relevant rules issued thereunder and other accounting principles generally accepted in lndia, read with the Circular. Our responsibility is to issue a report on these Statements based on our review.

• 1. We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 2410, 'Review of lnterim Financial lnformation Performed by the lndependent Auditor of the Entity', issued by the lnstitute of Chartered Accountants of lndia. This standard requires that we plan and perform the review to obtain moderate assurance as to whether the financial results are free of material misstatement. A review is limited primarily to inquiries of company personnel and analytical procedures, 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.
• 1. Attention is invited to note no.2 regording provision for tdx (including deferred tdx) which will be finolized ot the year end.
• 1. Based on our review conducted as above, except as stated in poro 3 obove, nothing has come to our attention that causes us to believe that the accompanying Statement, prepared in accordance with the 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, 201-5 including the manner in which it is to be disclosed, or that it contains any material misstatement.

SSPA & ASSOCIATES Chartered Accountants

1. We draw attention to Note No.8 to the statement which explains the extent to which COVID-19 pandemic will impact the operations and financial results of the Company.

Due to COVID-19 pandemic and the lockdown and other restrictions imposed by the Government and local administration, the audit processes were carried out based on the remote access to the extent available/feasible and necessary records made available by the Management through digital medium.

Our report is not modified in respect of the above matters.

MUMBAI

Firm Registration No.131069W ]Z"= -s. Ve-q

For SSPA & Associates Chartered Accountants

Parag S Ved Pa rtner Membership No: 102432 uDlN : 2llOlq 92 AAAAcH 3b20

Mumbai October 29,202L