TVS MOTORS

Sales figure for the year ended 31st March 2014

Sales ( Rupees in

Percenta

crores)

ge

Domes
tic
Export
s
Total

6595.4

79%

1783.61
8379.01

21%

Sales , Gross profit Margin , Net profit margin , net profit , Forex
Profit / Loss , FCCB outstanding ( if any ) for the last four quarters .
In Rs Cr.
Revenue
GP
GP Margin
NP
NP Margin

Dec '14
2,652.91
714.89
27%
90.18
3%

Sep '14
2,683.07
721.81
27%
94.81
4%

Jun '14
2,305.39
628.71
27%
72.32
3%

Mar '14
2,155.70
611.45
28%
52.12
2%

Geographical and currency vise segmentation of companys operations is not

available
Management comments on forex exposure
With effect from April 1, 2008, the Company has adopted the principles of
hedge accounting prescribed by Accounting Standard (AS30) - "Financial
Instruments Recognition and Measurement": Accordingly the Company
designates certain pre-shipment credit limits (PCFC) as hedging instruments
and uses foreign currency forward contracts to hedge its risks associated
with foreign currency fluctuations relating to highly probable forecast
transactions

Recognition and Measurement

These forward contracts are stated at fair value at each reporting date.
Changes in the fair value of these forward and option contracts that are
designated and effective as hedges of future cash flows are recognized
directly in Hedging Reserve Account under Reserves and Surplus, net of
applicable deferred income taxes and the ineffective portion is recognised
immediately in the Profit and Loss Statement. Amounts accumulated in
Hedging Reserve Account are transferred to Profit and Loss Statement in the
respective periods in which the forecasted transactions consummated.
Hedge accounting is discontinued when the hedging instrument expires or is
sold, terminated, or exercised, or no longer qualifies for hedge accounting.
For forecasted transactions, any cumulative gain or loss on the hedging
instrument recognised in Hedging Reserve Account is retained there until the
forecasted transaction is consummated.
If the forecasted transaction is no longer expected to take place, the net
cumulative gain or loss recognised in Hedging Reserve Account is
immediately transferred to the Profit and Loss Statement.
Hedging policy of the company ( forward/futures/options/swaps)
The Company uses forward exchange contracts and certain foreign currency
packing credit loans to hedge its exposure in foreign currency.
Derivative instruments outstanding as at 31.3.2014:

(Rs. in
Cr)
Foreign exchange
used
Foreign exchange
earned

917.95
1766.44