Trident Ltd — Interim / Quarterly Report 2021

Jan 18, 2021

TRIDENT/CS/2021 January 18, 2021

The Manager	The Manager
Listing Department	Listing Department
National Stock Exchange of India Limited	BSE Limited
Exchange Plaza, Plot No. C/1, G Block	Phiroze Jeejeebhoy Towers
Bandra Kurla Complex, Bandra (E)	Dalal Street
Mumbai – 400 051	Mumbai – 400 001
Scrip Code:- TRIDENT	Scrip Code:- 521064

Dear Sir/ Madam

Sub: Outcome of the Board Meeting-Unaudited Financial Results for the Quarter & Nine Months ended on December 31, 2020

In continuation to letter no. TRIDENT/CS/2021 dated January 7, 2021 and pursuant to Regulation 30, Regulation 33 and other applicable provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we are enclosing herewith Standalone and Consolidated Unaudited Financial Results for the Quarter & Nine Months ended on December 31, 2020, as approved by the Board in its meeting held on January 18, 2021 (from 11:30 AM to 2:10 PM), alongwith Limited Review Report thereon issued by M/s S.R. Batliboi & Co. LLP, Statutory Auditors of the Company.

This is for your information & records please.

Thanking you, Yours faithfully For Trident Limited (Ramandeep Kaur) RAMANDEE P KAUR Digitally signed by RAMANDEEP KAUR DN: c=IN, o=Personal, postalCode=141001, st=PUNJAB, serialNumber=7f52efa0eb85973d728d35c6a 8c6d838aa225c14d0b87e69c37c4eab27d920 d3, cn=RAMANDEEP KAUR Date: 2021.01.18 14:19:58 +05'30'

Company Secretary ICSI Membership No.: F9160

Encl: As above

18/01/2021 TL/2021/004959

S.R. BATLIBOI & Co. LLP

Chartered Accountants

4th floor. Office 405 World Mark· 2, Asset No. 8 IGI Airport Hospitality District, Aerocity New Delhr · 110 037, India Tel : •91 I 1 4681 9500

Independent Auditor's Review Report on the Q uarterly and Year to Date Unaudited Standalone Financial Results of the Company Pursuant to t he Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended

Review Report to T he Board of Directors T rident Limited

• I. We have reviewed the accompanying statement of unaudited standalone financial results of Trident Limited (the "Company"') for the quarter ended December 31, 2020 and year to date from April 0 I. 2020 lo December 3 I , 2020 (the ·'Statement'") altached herewith, being submitted by the Company pursuant to the requirements of Regu lation 33 of the SEBI (Listing Obligations and Disc losure Requirements) Regulations, 2015. as amended (the ·'Listing Regulations'').
• 1. This Statement, wh ich is the responsibility of the Company's Management and approved by the Company·s Board or Directors, has been prepared in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34, (Ind AS 34) '·Interim Financial Reporting" prescribed under Section 133 of the Companies Act, 20 13 as amended, read with relevant ru les issued thereunder and other accounting principles generally accepted in India. Our responsibil ity is to express a conclusion on the Statement based on our rev iew.
• 1. We conducted our review of the Statement in accordance with the Standard on Review Fngagcments (SR E) 24 10. ··Review or Interim Financ ial I nlonnation 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 lo obtain moderate assurance as to whether the Statement is free of material misstatement. A review of interim financial information consists of making inquiries. primarily of persons responsible for financial and accounting matters. and apply ing analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with Standards on Auditing and consequen tly does not enable us lo obtain assurance that we wou ld become aware or all significant mailers that might be identi fied in an audit. Accordingly, we do not express an audit opinion.
• 1. Based on our review conducted as above and based on the consideration of the review report of other auditor of the Triden t Limited Employee We lfare Trust referred to in paragraph 6 be low. 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 Standards ('Incl J\S) specified under Section 133 of the Companies Act, 20 13 as amended. read with relevant rules issued thereunder and other accounting principles generally accepted in India. has not disclosed the information required to be disclosed in terms of the Listing Regulations, including the manner in which it is to be disclosed. or that it contains any material misstatement.
• 1. We draw attention to Note 4 to the standalone financial results. which describes the uncertainties and the impact or Covid-19 pandemic on the Company·s operations and results as assessed by the management. Our conclusion is not modified in respect of this matter.

S.R. BATLIBOI & Co. LLP

Chartered Accountants

1. The accompanying Statement of unaudited standalone financial results include the financial results of Trident Limited Employee Welfare Trust whose financia l results and other financial information reflect total assets of Rs. 751.0 million as at December 31, 2020 and total revenues of Rs. Nil and Rs. Nil, total net loss after tax of Rs. Nil and Rs. Nil and total comprehensive loss of Rs. Nil and Rs. Nil for the quarter ended December 31, 2020 and year to date from April 0 I, 2020 to December 31, 2020 respectively, as considered in the Statement which has been reviewed by the auditor of Trident Limited Employee Welfare Trust.

The report of such auditor on financial results and other financial information of Trident Limited Employee Welfare Trust have been furnished to us, and our conclusion on the Statement, in so far as it relates to the amounts and disclosures included in respect of' Trident Limited Employee Welfare Trust is based solely on the report of such auditor. Our conclusion on the Statement is not modified in respect of the above matter.

For S.R. BATLIBOI & Co. LLP Chartered Accountants ICAI Firm registration number: 30 I 003E/E300005

Partner Membership No.: 87921

Place: New Delhi Oate: .January 18, 2021

S.R. BATL1Bo1 & Co. LLP 4th~ 1001, Olf1ce 405

World Mark - 2, Asset No. 8 Chartered Accountant s !GI Airport Hospitality District, Aeroc1ty New Delhi - 110 037, India Tel : +9 L 11 4681 9500

Independent Auditor's Review Report on the Quarterly and Year to Date Unaudited Consolidated Financial Results of the Company Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosu re Requirements) Regulations, 2015, as amended

Review Report to The Board of Directors Trident Limited

• I. We have reviewed the accompanying Statement of Unaudited Consolidated Financial Results of Trident Limited (the "'I lolding Company .. ) nnd its subsidiaries (the Holding Company and its subsidiaries together referred to as ·'the Group'') and its associates for the quarter ended December 31. 2020 and year to date from April 0 I. 2020 to December 31. 2020 (the ·'Statement'") auached herewith. being submitted by the Holding Company pursuant lo the requirements of Regu lation 33 or the SEBI (Listing Obligations and Disclosure Requirements) Regulations. 2015. as amended (the ''Listing Regulations'")_
• 1. This Statement. which is the responsib ility of the I lolding Company's Management and approved by the I folding Company's Board of Directors, has been prepared in accordance w ith the recognition and measurement principles laid down in Indian Account ing Standard 34. (Ind AS 34) ''Interim Financial Reporting" prescribed under Section 133 of the Companies Act, 20 13 as amended. read with re levant rules issued thereunder and other accounting principles generally accepted in India. Our responsibility is to express a conc lusion on the Statement based on our review.
• 1. We conducted our review of the Statement in accordance with the Standard on Review Engagements (SRE) 241 tJ. ·'Rev iew of Interim Financial In formation Performed by the I nclependenl Auditor of the Entity" issued by the Institute of Chartered Accountants of India. Th is standard requires that we plan and perform the review to obtain moderilte assurnnce as to whether the Statement is free of material 111 issrntement. A rev iew of in1eri111 financial information consists of 111ak ing inquiries, primarily of persons respons ible for Jinancial and accounting mailers, and applying analytical and other review procedures. /\ review is substantially less in scope thnn an audit conducted in accordance with Standards on Auditing and consequently docs not enable us to obtain assurance that we wou ld become aware of all significant matters that might be identified in an audit. /\ccordingly, we do not express an audit opinion.

We also performed procedures in accordance with the Circular No. CIR/CFD/CMDl /44120 19 dated March 29, 2019 issued by the Securi ties and Exchange Board of India under Regu lation 33(8) or the L isting Regulations. to the extent applicable.

• S.No. Name of Subsidiaries/Associates Relationship I. Trident G lobal Corp Limited Subsidiary 2. Trident Europe Limited Subsidiary 3. Lotus I lometextiles Limited (formerly known as Lotus Tc:-.park Associate Limited) (cease to be Associate w.e.fOctober 16, 2020) 4. Trident Global Inc. US/\ (wrillen off) Associate
• 1. The Statement includes the results of the following entities:

1. Based on our review conducted and procedures perrormed as stated in paragraph 3 above and based on the consideration of the review reports of other auditors referred to in paragraph 7 below. nothing has come to our allcntion that causes us to believe that the accompanying Statement. prepared in accordance with recognition and measurement principles laid down in the aforesaid Indian Accounting Standards(" Ind /\S") specilicd under Sect ion 133 of the Companies Act. 2013, as amended. read with relevant rules issued thereunder :md other accounting. principles general!) accepted in India. has not disclosed the information required to be disclosed in ter111s of the Listing Regulations. including the manner in which it is 10 be disc losed. or that it contains any material misstatement.

• 1. We draw attention to Note 4 to the consolidated financial resu Its, which describes the uncertainties and the impact of Covid-19 pandemic on the Group's operations and results as assessed by the management. Our conclusion is not modified in respect of this matter.
• 1. The accompanying Statement of unaudited consolidated financial results includes the financial results of Trident Limited Employee Welfare Trust whose financial results and other financial information reflect total assets of Rs. 751.0 million as at December 31, 2020 and total revenues of Rs. Nil and Rs. Nil, total net loss after tax of Rs. Nil and Rs. Nil and total comprehensive loss of Rs. Nil and Rs. Nil for the quarter ended December 31, 2020 and year to date from April 0 I, 2020 to December 3 I. 2020 respectively, as considered in the Statement which has been reviewed by the auditor of Trident Limited Employee Welfare Trust. The Statement also includes the unaudited financial results and other unaudited financial information. in respect of 2 subsidiaries, whose unaudited financial results reflect total assets of Rs. 217.5 million as at December 31 . 2020 and total revenues of Rs. 439.2 million and Rs. 1,294.0 million and, total net profit after tax of Rs. 20.8 million and Rs. 75.1 million, total comprehensive income of Rs. 20.8 million and Rs. 75.1 million, for the qua1ter ended December 31. 2020 and year to date from April 0 I. 2020 to December 31 , 2020 respectively. as considered in the Statement which have been reviewed by their respective independent auditors. The Statement also include Group·s share of net profit of Rs. Nil and Rs. 5.9 million and Group's share of total comprehensive income of Rs. Nil and Rs. 5.9 million for the quarter ended December 31 , 2020 and for the period from April 0 I, 2020 to December 31 , 2020 respectively, as considered in the Statement, in respect of I associate, whose financial results have been reviewed by their independent auditors. The independent auditor's reports on financial results of these entities have been furnished to us by the Management and our conclusion on the Statement, in so far as it relates to the amounts and disclosures in respect of Trident Limited Employee Welfare Trust, subsidiaries and associate is based solely on the report of such auditors and procedures performed by us as stated in paragraph 3 above.

Our conclusion on the Statement in respect of matters stated in para 7 is not modified with respect to our reliance on the work done and the reports of the other auditors.

For S.R. BATLIBOI & Co. LLP Chartered Accountants ICAI Firm registration number: 301003E/E300005

~ .. ~

Partner Membership No.: 87921

Place: New Delhi Date: January 18, 2021

Trident Limited

//TRIDENTGROUP
Being different is normal

STATEMENT OF UNAUDITED FINANCIAL RESULTS FOR THE QUARTER AND PERIOD ENDED DECEMBER 31, 2020

										Consolidated			(INR In Million)
		StandaloneQuarter Ended			Period EndedYear Ended			Quarter Ended			Period Ended		Year Ended
Sr	Particulars	December	September	December	December	December	March	December	September	December	December	December	March
No		31, 2020	30, 2020	31, 2019	31, 2020	31, 2019	31, 2020	31, 2020	30, 2020	31, 2019	31, 2020	31, 2019	31, 2020
		3 MonthsUnaudited	3 MonthsUnaudited	3 MonthsUnaudited	9 MonthsUnaudited	9 MonthsUnaudited	12 MonthsAudited	3 MonthsUnaudited	3 MonthsUnaudited	3 MonthsUnaudited	9 MonthsUnaudited	9 MonthsUnaudited	12 MonthsAudited
1	Revenue from operations (Refer Note 8)	12,899.3	11,714.4	10,817.1	31,693.0	37,089.7	46,994.6	13,031.5	11,739.8	10,824.3	31,856.7	37,364.5	47,276.7
$\overline{\partial}$	Other income	50.012,949.3	29.9	96.9	133.9	177.237,266.9	244.9	50.9	33.211,773.0	85.1	138.7	139.1	202.4
$\overline{\phantom{a}}$	Total Income (1+2)		11,744.3	10,914.0	31,826.9		47,239.5	13,082.4		10,909.4	31,995.4	37,503.6	47,479.1
$\Delta$	Expenses
	a) Cost of raw materials consumed	5,749.5	5,396.8	5,001.5	14,136.3	17,119.2	21,772.5	5,747.1	5,396.8	5,001.5	14,133.9	17,119.2	21,772.5
	b) Purchase of stock-in-trade	132.8	69.1		201.9			142.0	75.5	1.8	218.2	17.3	17.7
	c) Changes in inventories of finished goods, processwaste, work-in-progress and stock in trade	(92.1)	(365.3)	166.2	(280.3)	(97.1)	(358.6)	(38.0)	(430.8)	184.0	(293.3)	(34.1)	(291.9)
	d) Employee benefits expenses	1,636.3	1,471.4	1,453.6	4,093.1	4,432.8	5,831.3	1,647.6	1,481.5	1,467.8	4,122.7	4,473.4	5,886.8
	e) Finance costs	132.1	123.0	234.4	486.1	830.3	1,108.0	132.4	123.1	235.2	486.5	831.4	1,108.8
	f) Depreciation and amortisation expense	829.6	831.0	822.4	2,484.7	2,517.6	3,333.0	830.5	831.9	822.2	2,487.3	2,520.6	3,336.9
	g) Forex (gain)/loss (including MTM)	(26.9)	9.4	(39.2)	31.0	(82.7)	(191.9)	(25.3)	8.0	(39.0)	31.2	(82.4)	(191.6)
	h) Other expenses	3,118.3	2,893.4	2,794.9	7,756.9	8,761.3	11,533.1	3,141.0	2,904.3	2,791.9	7,790.3	8,837.8	11,593.7
	Total expenses	11,479.6	10,428.8	10,433.8	28,909.7	33,481.4	43,027.4	11,577.3	10,390.3	10,465.4	28,976.8	33,683.2	43,232.9
5	Profit before exceptional item and tax (3-4)	1,469.7	1,315.5	480.2	2,917.2	3,785.5	4,212.1	1,505.3	1,382.7	444.0	3,018.6	3,820.4	4,246.2
6	Exceptional (income)/expense (Refer Note 7)	(570.4)			(570.4)			14.2			14.2
$\tau$	Profit before share of profit of associates and tax (5-	2,040.1	1,315.5	480.2	3,487.6	3,785.5	4,212.1	1,490.9	1,382.7	444.0	3,004.4	3,820.4	4,246.2
	8 Share of Profit/(loss) of associates								4.4	(19.5)	5.9	(45.9)	(35.8)
$\cdot$	Net Profit before taxes (7+8)	2,040.1	1,315.5	480.2	3,487.6	3,785.5	4,212.1	1,490.9	1,387.1	424.5	3,010.3	3,774.5	4,210.4
šū	Tax expenses
	Current tax	538.8	4240	154.3	1,0079	1,132	1,300.6	464.2	443.0	143.9	952.6	1,145.8	1,317.1
	Deterred tax charge/(credit)	(96.3)	(110.9)	(94.6)	(221.3)	(371.1)	(508.0)	(94.8)	(112.8)	[94.2]	(221.7)	(368.5)	(505.2)
	Deferred tax adjustments related to earlier years			1.5		1.5	1.5			1.5		1.5	1.5
11	Net profit after tax (9-10)	1,597.6	1,002.4	419.0	2,701.0	3,022.4	3,418.0	1,121.5	1,056.9	373.3	2,279.4	2,995.7	3,397.0
$12^{1}$	Other Comprehensive Income/(expense) net of taxes
	Items that will not be reclassified to profit or loss
	Remeasurement gain/floss) of the defined benefit						(13.5)						(13.5)
	Share of Other Comprehensive Income of associates
	(net of tax)											0.5	0.5
	(coss)/Gain on fair variation of equity investmentsthrough other comprehensive income		90.6	(9.5)	348.0	(290)	(6.0)		90.6	(9.5)	348.0	(29.0)	(6.0)
	income tax related to items that will not be
	reclassified toprofit or loss		(10.4)	2.2	(39.8)	10.9	12.0		(10.4)	2.2	(39.8)	10.9	12.0
	- Items that will be reclassified to profit or loss
	Net movement in effective portion of cash flow	165.4	235.4	(12.3)	643.4	(218.3)	(663.3)	165.4	235.4	(12.3)	643.4	(218.3)	(663.3)
	hedge reserveExchange differences in translating the financial
	statements of a foreign operation							0.4	0.3	0.5	0.6	1.1	1.2
	- Income tax related to items that may be reclassifiedto profit or loss	(41.6)	(59.2)	7.5	(161.9)	75.7	189.5	(41.6)	(59.2)	7.5	(161.9)	75.7	189.5
13	Total Comprehensive Income (11+12)	1,721.4	1,258.8	406.9	3,490.7	2,861.7	2,936.7	1,245.	1,313.6	361.7	3,069.	2,836.6	2,917.4
14	Paid-up equity share capital (Face value of INR 1/-	5,096.0	5,096.0	5,096.0	5,096.0	5,096.0	5,096.0	5,096.0	4,979.4	4,979.4	5,096.0	4,979.4	4,979.4
	each) *
15	Other equity as per balance sheet						24,573.0						25,234.6
16	Earnings per share (EPS) face value (of INR 1/- each)(not annualised) (Refer Note 6)
	- Basic (INR)	0.32	0.20	0.08	0.53	0.59	0.67	0.22	0.21	0.07	0.46	0.60	0.68
	Diluted (INR)	0.32	0.20	0.08	0.53	0.59	0.67	0.22	0.21	0.07	0.46	0.60	0.68

See accompanying note to the Financial results

* Reduced by effective number of own shares at par value held through an associate company for consolidated financial results except for quarter and period ended December 31, 2020.

(unigan

Trident Limited

/// TRIDENTGROUP
Being different is normal

SEGMENT WISE REVENUE, RESULTS, SEGMENT ASSETS AND SEGMENT LIABILITIES

									IINR in Millions
		Standalone						Consolidated
		December	Quarter Ended	December	Period Ended		Year EndedMarch	December	Quarter Ended	December	Period Ended		Year Ended
Sr.No.	Particulars	31, 2020	September30, 2020	31, 2019	December31, 2020	December31, 2019	31, 2020	31, 2020	September30, 2020	31, 2019	December31, 2020	December31, 2019	March31, 2020
		3 Months	3 Months	3 Months	9 Months	9 Months	12 Months	3 Months	3 Months	3 Months	9 Months	9 Months	12 MonthsAudited
		Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Audited	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited
$1^{\circ}$	Segment Revenue
	a) Textiles (Refer Note 8)	11,077.7	9.907.6	8,494.4	26,842.3	30,009.1	37,776.0	11,209.9	9,933.0	8,501.6	27,006.0	30,283.8	38,058.1
					4.856.4				1,809.3				9,225.4
	b) Paper & chemicalsTotal	1,824.112,901.8	1,809.311,716.9	2,325.310,819.7	31,698.7	7,085.337,094.4	9,225.447,001.4	1,824.113,034.0	11,742.3	2,325.310,826.9	4,856.431,862.4	7,085.337,369.1	47,283.5
		2.5		2.6	5.7						5.7		6.8
	Less Inter segment revenue		2.5			4.6	6.8	2.5	2.5	2.6		4.6
	Revenue from operations	12,899.3	11,714.4	10,817.1	31,693.0	37,089.7	46,994.6	13,031.5	11,739.8	10,824.3	31,856.7	37,364.5	47,276.7
$\overline{2}$	Segment results
	Profit before tax, finance costs and other unallocableexpenditure net off unallocable income from eachsegment
	a) Textiles	1,445.0	1,149.3	134.8	2,725.5	2,687.0	3,017.6	1,480.6	1,217.0	111.2	2,827.0	2,761.1	3,095.0
	b) Paper & chemicals	389.2	489.4	704.0	1,215.4	2,522.2	3,100.0	389.2	489.4	704.0	1,215.4	2,522.2	3,100.0
	Total	1,834.2	1,638.7	838.8	3,940.9	5,209.2	6,117.6	1,869.8	1,706.4	815.2	4,042.4	5,283.3	6,195.0
	Less:
	a) Finance costs	132.1	123.0	234.4	486.1	830.3	1,108.0	132.4	123.1	235.2	486.5	831.4	1,108.8
	b) Other un-allocable expenditure net off un-allocableincome	232.5	200.2	124.2	537.6	593.4	797.5	232.4	200.6	136.0	537.3	631.5	840.0
	c) Exceptional (income)/expense (Refer Note 7)	(570.4)	$\sim$	$\bar{a}$	(570.4)	o.	$\sim$	14.2	×		14.2	C.
	Profit before tax	2,040.1	1,315.5	480.2	3,487.6	3,785.5	4,212.1	1,490.9	1,382.7	444.0	3,004.4	3,820.4	4,246.2
$\overline{3}$	Segment Assets
	a) Textiles	42,903.0	40,624.7	45,818.7	42,903.0	45,818.7	44,726.0	43,059.5	40,792.4	45,951.5	43,059.5	45,951.5	44,822.0
	b) Paper & chemicals	5,483.0	5,146.2	5,354.2	5,483.0	5,354.2	5,271.2	5,483.0	5,146.2	5,354.2	5,483.0	5,354.2	5,271.2
	ci Unallocated	4,164.9	4,5150	7,051.9	4,164.9	7.0519	7,186.3	4,139.6	5,006.2	7,505.7	4,139.6	7,505.7	7,671.6
	Total Assets	52,550.9	50,285.9	58,224.8	52,550.9	58,224.8	57,183.5	52,682.1	50,944.8	58,811.4	52,682.1	58,811.4	57,764.8
A	Segment Liabilities *
	a) Textiles	4,679.9	3,622.9	2,705.1	4,679.9	2,705.1	2,917.5	4,692.5	3,675.0	2,777.7	4,692.5	2,777.7	2,951.6
	b) Paper & chemicals	995.4	883.0	7773	995.4	777.3	908.8	995.4	883.0	777.3	995.4	777.3	908.8
	Li Unatiocated	3,866.4	4.095.8	4,350.1	3.866.4	4.350.1	4,1139	3,876.2	4,103.1	4,350.6	3.876.2	4,350.6	4,116.1
	Total Liabilities	9,541.7	B,601.7	7,832.5	9,541.7	7,832.5	7,940.2	9,564.1	8,661.1	7,905.6	9,564.1	7,905.6	7,976.5

Notes

• 1. These standalone and consolidated financial results have been prepared in accordance with the Indian Accounting Standards ("Ind AS") as prescribed under Section 133 of the Companies Act, 2013 read with relevant rules issued thereunder.
• 1. The above standalone and consolidated financial results have been reviewed by the Audit Committee and approved by the Board of Directors in their respective meetings held on January 18, 2021 and have been reviewed by the Statutory Auditors of the Company.
• 1. During the Quarter ended December 31, 2020, the Company has issued 1,250 Senior, Secured, Rated, Listed, Redeemable, Non-Convertible Debentures (NCDs) of the face value of INR 10,00,000/- each aggregating to Rs 1,250 million, at par on Private Placement basis at the rate of 6.83% per annum, payable semi-annually from the deemed date of allotment. These NCDs are listed on BSE Ltd and shall be redeemed at par in four equal instalments at the end of 15th, 27th, 36th and 48th months from the deemed date of allotment. These NCDs shall have asset cover of more than 1.25 times of outstanding amount of NCDs, all the times.

India Ratings and Research (Ind-Ra} has assigned a rating of 'IND AA- 1 with a Positive Outlook to the said NCDs of the Company. These NCDs shall be secured by way of first ranking pari-passu charge by way of mortgage (to be shared between the Debentures Trustee and Existing Lenders) on the immovable properties, first ranking pari-passu charge by way of hypothecation (to be shared between the Debentures Trustee and Existing Lenders) on the movable fixed assets, second ranking pari-passu charge by way of hypothecation (to be shared between the Debentures Trustee and the Existing Lenders) on the current Assets (excluding the Movable Fixed Assets) of the Company.

• 1. The Company's/Group's operations, revenue and consequently profit during the nine months period ended December 31, 2020 were impacted due to Covid-19. The Company/Group has made detailed assessment of its liquidity position for the balance period of the current year and the recoverability of carrying value of its assets comprising property, plant and equipment, intangible assets, right of use assets, investments, inventory and trade receivables. Based on current indicators of future economic conditions, the Company/Group expects to recover the carrying amount of these assets. The impact of the pandemic in the subsequent period is highly dependent on the situations as they evolve and hence may be different from that estimated as at the date of approval of these standalone and consolidated financial results.
• 1. The Indian Parliament has approved the Code on Social Security, 2020 which would impact the contributions by the Company towards Provident Fund and Gratuity. The Ministry of Labour and Employment has released draft rules for the Code on Social Security, 2020 on November 13, 2020 and has invited suggestions from stakeholders which are under active consideration by the Ministry. The Company and its Indian subsidiary will assess the impact and its evaluation once the subject rules are notified and will give appropriate impact in its financial statements in the period in which, the said code becomes effective including the related rules framed thereunder to determine the financial impact are published.
• 1. The Board of Directors and the Shareholders of the Company have approved a Scheme called as "Trident Limited Employee Stock Purchase Scheme - 202011 11Scheme") in their meeting held on May 16, 2020 and July 9, 2020 respectively. This scheme is effective from July 9, 2020. Pursuant to the Scheme, the Company has, during the current quarter constituted Trident Limited Employees Welfare Trust ('Trust') to acquire, hold and allocate/transfer equity shares of the Company to eligible employees from time to time on the terms and conditions specified under the Scheme. However, no offer has been made to eligible employees under the Scheme till December 31, 2020. The said trust has purchased, during the current quarter, Company's equity shares aggregated to 100,000,000 equity shares from the secondary open market. The financial results of the Trust have been included in the standalone and consolidated financial results of the Company in accordance with the requirements of Ind AS and cost of such treasury shares has been presented as a deduction in Other Equity. Such number ofequity shares have been reduced while computing basic and diluted earnings per share for the quarter and nine months period ended December 31, 2020.

• 7 The Company has, during the current quarter, sold its entire stake in equity shares of Lotus Hometextiles Limited ('LTL' or "Associate") including Company's equity shares held by subsidiary of Associate for Rs. 1,120.4 million and consequently, L TL has ceased to be an Associate of the Company w.e.f. October 16, 2020. The accounting treatment of the same in the books of accounts has been done as per the Ind AS 28 "Investments in Associates and Join t Ventures".

  • a) In its Standalone financial statement of Profit and Loss, the profit on account of the sa le of said investment at Rs 487.4 million (net of tax of Rs 83 0 million), calculated as the difference between the net disposal proceeds and th e carrying amount of the investment, which is the same as cost of acqu1sit1on on initial recognition ;
  • b) In its Consolidated financial statements, the Company has allocated net disposal proceeds between Investment in associate and treasury shares based on their respective fair value. The Company has recognised :
    • gain on sale of treasury shares of Rs . 389.7 million (net of tax of Rs 83 .0 million). calculated as the differe nce between allocated value of net disposal proceeds towards treasury shares and the carrying amount of the treasury shares, directly in equity.
    • the loss on sale of above investment at Rs. 14.3 million, calculated as the difference between allocated net disposal proceeds and the carrying amount of the said investment which is determined based on cost of acqu isition on initial recognition and subsequently adjusted.

The Company has presented above profit or loss on the sale of sa id investment, as an exceptional Item in the result s for the quarter and nine months period ended December 31, 2020.

• 8 In view of Ministry of Textiles, Government of India's Gazette Notification number CG-DL-E-15012020-215423 dated January 14, 2020, the Company had, during the quarter and nine months period ended December 31, 2019 rever sed the Merchandise Export from India Scheme (MEIS) benefit of Rs. 486.8 million and Rs 531 6 million for the period from M arch 07 . 2019 to September 30, 2019 in the standalone financial results and co nso lidated financ'1al results respect ively and had shown the same as an exceptional item in the results for the quarter and nine months period ended December 31, 2019. However, to make the results comparable with the annual resu lts for the year ended March 3 1. 2020. the sa me was reduced from the amount of revenue from operations
• 9 Income Ta)( expense of the current quarter and nine months period ended December 31, 2020 are not comparable with the income tax expense of the corresponding quarter/period of previous year since the Company and one of its subs1d1ary Company had adopted the option permitted under Section l l SBAA of the Income Tax Act, 1961 wit h effect from the quarter ended September 30, 2019 where the Impact of such change was recognized over the nine months period ending March 31, 2020 since the Company and its subsidiary is using effective tax rate for full financial yea r

By Order of the Board of Directors For Tride nt Limited

(Deepak Nanda)

DIN 00403335

Managing Director

Date :January 18, 2021