Havmor Annual Report 2019-2020

HAVMOR ICE CREAM PRIVATE LIMITED
th
14 ANNUAL REPORT
st
FOR THE YEAR ENDING ON 31 MARCH, 2020
Name HAVMOR ICE CREAM PRIVATE LIMITED
Registered Office 2nd Floor, Commerce House - 4,

Beside Shell Petrol Pump,
100 Ft Road, Prahaladnagar,
Ahmedabad- 380 015 Gujarat - India
Plant Address Plot no. 185/A, phase-1,

Nr. State Bank of India, Naroda, GIDC,
Ahmedabad-382 330
Outsourcing Plants Mann Frozen Foods Private Limited, Faridabad
Board of Directors
Jung Yun Kang Chairman
Anindya Sundar Du a Managing Director
(Till 19 November 2020)
Park Byung Chan Whole Time Director
Duraiswamy Gunaseela Rajan Non-Execu ve Director
Myeongrim Choi Non-Execu ve Director
(w.e.f 4 September 2020)
Youngdong Jin Execu ve Director
(w.e.f 24 November 2020)
Chief Financial Officer Sanjay R. Patni
Company Secretary Sonam Jain
Auditors B S R & Associates LLP

Ahmedabad - 380015
Tax Advisors Ernst & Young LLP

Ahmedabad, Gujarat 380059
Bankers HDFC Bank Limited

Yes Bank Limited
Shinhan Bank
Mizuho Bank Limited
State Bank of India
Index
No ce 01 - 05
Director’s Report 06 - 17
Annexure to Director’s Report 18 - 37
Independent Auditor’s Report 38 - 46
Financial Statement 47 - 118
Map 119
NOTICE
SHORTER NOTICE is hereby given that the 14thAnnual General Mee ng of the Members of HAVMOR ICE
CREAM PRIVATE LIMITED will be held on Tuesday 24thNovember 2020 at 11.15 a.m.at the Signature room
of the registered office of the Company situated at 2 nd Floor, Commerce House - 4, Besides Shell Petrol
Pump, Anandnagar Road, Prahladnagar, Ahmedabad – 380015 to transact the following business:
ORDINARY BUSINESS:
(1) To receive, consider and adopt the Audited Financial Statements including Balance Sheet, Statement
of Profit and Loss and Cash Flow Statement for the year ended on March 31, 2020 and the Report
of the Directors and Auditors thereon.
(2) To appoint Price Waterhouse Chartered Accountants LLP (FRN 012754N/N500016) as statutory auditor
of the Company to fill the casual vacancy from the conclusion of this Annual General Mee ng un l
the conclusion of the Fi eenth Annual General Mee ng and to fix their remunera on:
“RESOLVED THAT pursuant to the provisions of Sec on 139(8) and other applicable provisions, if any,
of the Companies Act, 2013 as amended from me to me or any other law for the me being
in force (including any statutory modifica on or amendment thereto or re-enactment thereof for the
me being in force), M/s., Price Waterhouse Chartered Accountants LLP (FRN 012754N /N500016)is
be and are herebyappointed as Statutory Auditors of the Company for the period of 1 year for the
Financial Year 2020-21 to fill the casual vacancy caused by the resigna on of M/s. B S R & Associates
LLP, Chartered Accountants (Firm Registra on Number 116231W/W-100024)
RESOLVED FURTHER THAT Price Waterhouse Chartered Accountants LLP (FRN 012754N /N500016),
will hold office from the conclusion of this mee ng un l the conclusion of the 15 th Annual General
Mee ng and they shall conduct the Statutory Audit for the financial year ended 31st March, 2021
on such remunera on and reimbursement of out of pocket expenses for the purpose of audit as
may be mutually decided by them and the Company.”
SPECIAL BUSINESS:
(3) To consider and if thought fit, to pass with or without modifica on, the following resolu on as
ORDINARY RESOLUTION:
“RESOLVED THAT pursuant to provision of Sec on 161 the Companies Act, 2013 and any other
applicable provisionsof the Companies Act, 2013 (the “Act”) and the Companies (Appointment and
Qualifica on of Directors) Rules, 2014 (including any statutory modifica on(s) or re-enactment thereof
for the me being in force),Mr.Myeongrim Choi [DIN:08820793], who was appointed as an addi onal
director with effect from 4thSeptember2020 on the Board of the Company in terms of Sec on 161
of Companies Act, 2013 and who hold office upto the date of this General Mee ng, be and is hereby
appointed as a Non-Execu ve Director of the Company.”
RESOLVED FURTHER THAT the Board of Directors be and is hereby authorized to do all such acts
and take all such steps as may be necessary, proper or expedient to give effect to this resolu on.”
“RESOLVED FURTHER THAT any Director or Company Secretary or Chief Financial Officer of the
Company be and is hereby authorized to file necessary Form with the Registrar of Companies in this
regard.”
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(4) To consider and if thought fit, to pass with or without modifica on, the following resolu on as
ORDINARY RESOLUTION:
“RESOLVED THAT pursuant to provision of Sec on 161 the Companies Act, 2013, Mr. Youngdong Jin
(DIN - 08948380), who was appointed as an Addi onal Director with effect from 24th November 2020
on the Board of the Company, be and is hereby appointed as an Execu ve Director of the Company
be paid a remunera on of 1,76,330 /- p.m. with the range of Rs. 1,50,000/- p.m. to Rs. 10,00,000/
- p.m.
1. Salary: Monthly remunera on of Rs. 1,76,330 /- p.m. (Rupees One Lakh Seventy-Six Thousand
Three Hundred Thirty only) per month, subject to a range of Rs. 1,50,000 to Rs. 10,00,000/-
pm.
2. Perquisites and Benefits: Perquisites as men oned hereunder may be allowed in addi on to salary.
a) Medical Reimbursement: Expenses incurred for self and family subject to ceiling of one
month’s salary in a year or three months’ salary over a period of three years.
b) Leave Travel Concession: For self and family, once in a year in accordance with the rules
of company.
c) Personal Accident Insurance: Premium not to exceed Rs. 100,000 per annum.
d) Contribu on to Provident Fund, Superannua on fund, Annuity Fund will not be included in
computa on of the ceiling on perquisites to the extent these either singly or put together
are not taxable under The Income Tax Act. Gratuity payable should not exceed half a month
salary for each completed year of service.
e) Encashment of leave at the end of tenure will not be included in the computa on of the
ceiling of the perquisites.
f) Bonus to be paid as per policy of the company or as per Bonus Act which will be part of
CTC.
g) Provision of car including driver and petrol expenses for use on company’s business and
telephone as well as mobile and internet. Personal long-distance call and use of the car
for the private purpose shall be billed by the company to the individual appointee concerned.
RESOLVED FURTHER THAT any Director or Company Secretary or Chief Financial Officer of the Company
be and is hereby authorized to file necessary Form with the Registrar of Companies in this regard.
RESOLVED FURTHER THAT the Board of Directors be and is hereby authorized to do all such acts
and take all such steps as may be necessary, proper or expedient to give effect to this resolu on.”
NOTE:
(1) A Member en tled to a end and vote at the mee ng is en tled to appoint a proxy to a end
and vote instead of himself and the proxy need not be a member of the Company.
(2) Explanatory Statementpursuant to Sec on 102 of the Companies Act, 2013 is annexed hereto.
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(3) The Mee ng is being convened at a shorter no ce, a er obtaining the consent, in wri ng, of
more than 95% of the Members of the Company, pursuant to the provisions of Sec on 101 of
the Act.
By Order of the Board

For Havmor Ice Cream Private Limited
Date : 17/11/2020 Sonam Jain

Place : Ahmedabad Company Secretary
Membership No. : A37095
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EXPLANATORY STATEMENT IN RESPECT OF THE SPECIAL BUSINESSES PURSUANT TO
SECTION 102 OF THE COMPANIES ACT, 2013
ITEM NO.: 3 REGULARIZATION OF ADDITIONAL DIRECTOR MR.MYEONGRIM CHOI
The Board of Directors at their mee ng held on 4thSeptember2020, appointed Mr. Myeongrim Choi, [DIN:
08820793] as an Addi onal Director under Sec on 161(1) of the Companies Act, 2013 of the Company.
As per Sec on 161 of the Companies Act, 2013 Mr. Myeongrim Choi holds office upto the date of this
General Mee ng.
The Company has received requisite no ce in wri ng under Sec on 160 of the Companies Act, 2013 from
the member for proposing candidature of Mr. Myeongrim Choi to be appointed as Non-Execu ve Director
at the ensuing General Mee ng.
Mr. Myeongrim Choi bearing the:

Age – 56 years approx
Qualifica on – bachelor’s degree in industrial engineering from Kyeong Nam University, Korea
He is currently serving in Lo e Confec onery Co.Ltd, Korea as Senior Vice President
Experience terms – 30 years
Shareholding – Nil
Rela on with other Directors – N.A.
Date of First appointment in the Company – 4th September 2020
Number of mee ngs a ended – None
Directorship - Lo e Food Holding Co., Ltd
Lo e Confec onery RUS
Lo e China Investment
Lo e Confec onery (S.E.A) Pte.Ltd
Rakhat JSC
I&MMayson Company Ltd
Mr. Myeongrim Choi has consented to the proposed appointment and declared qualified. Mr. Myeongrim
Choi possesses requisite knowledge, experience, and skill for the posi on of the Director.
The Board on receipt of the said no ce from a member and subject to approval at the ensuing General
Mee ng has accorded its consent, to appoint Mr. Myeongrim Choi as a Non-Execu ve Director.
Except Mr. Myeongrim Choi, being an appointee, none of the Directors and Key Managerial Personnel
of the Company and their rela ves is concerned or interested, financial or otherwise, in the resolu on
set out at Item No. 3 of this no ce.
ITEM NO.: 4 REGULARIZATION OF ADDITIONAL DIRECTOR MR. YOUNGDONG JIN
The Board of Directors at their mee ng held on 24th November2020, appointed Mr. Youngdong Jin, [DIN:
08948380] as an Addi onal Director under Sec on 161(1) of the Companies Act, 2013 of the Company.
As per Sec on 161 of the Companies Act, 2013 Mr. Youngdong Jin holds office upto the date of this General
Mee ng.
4
The Company has received requisite no ce in wri ng under Sec on 160 of the Companies Act, 2013 from
the member for proposing candidature of Mr. Youngdong Jinto be appointed as an Execu ve Director at
the ensuing General Mee ng.
Mr. Youngdong Jin bearing the:
Age – 41 years approx

Qualifica on – Strategy, Marke ng, Procurement manager at lo e group
Experience terms – 15 years
Shareholding – Nil
Rela on with other Directors – N.A.
Date of First appointment in the Company – 24thNovember 2020
Number of mee ngs a ended – None
Directorship - None
Mr. Youngdong Jinhas consented to the proposed appointment and declared qualified. Mr. Youngdong
Jinpossesses requisite knowledge, experience, and skill for the posi on of the Director.
The Board on receipt of the said no ce from a member and subject to approval at the ensuing General
Mee ng has accorded its consent, to appoint Mr. Youngdong Jinas an Execu ve Director.
Except Mr. Youngdong Jin, being an appointee, none of the Directors and Key Managerial Personnel of
the Company and their rela ves is concerned or interested, financial or otherwise, in the resolu on set
out at Item No. 4 of this no ce.
By Order of the Board

For Havmor Ice Cream Private Limited
Date : 17/11/2020 Sonam Jain

Place : Ahmedabad Company Secretary
Membership No.: A37095
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Directors’ Report 2019 - 20
To,
THE MEMBERS
Your Directors present the 14th ANNUAL REPORT together with the Audited Financial Statements and
Auditors’ report thereon for the year ended March 31, 2020.
CORPORATE OVERVIEW:
Havmor is one of the India’s fastest growing ice cream brand. Havmor has established a name for itself
in the Ice Cream segment. Havmor has grown into a delicious facet of the daily life of a large part of
Western India. It is available through 40000 + outlets across Gujarat, Maharashtra, Rajasthan, Madhya
Pradesh, Punjab, Chandigarh, Goa, Telangana, Delhi, UP, Cha sgarh, Karnataka, Andhra Pradesh, Haryana,
Tamil Nadu and West Bengal. Havmor has more than 200 products, possibly the most extensive range
in India.
COVID PANDEMIC, EMPLOYEES SAFETY & WELL-BEING
2019-20 has been a challenging year with the COVID-19 outbreak and its terrible impact on lives and
livelihoods. The human impact of the virus and the containment efforts have resulted in supply and demand
disrup ons, resul ng in a sharper growth decelera on. The situa on remains vola le with the trajectory
of the virus undetermined, evolving hot spot geographies, the success of containment measures uncertain,
the severity and dura on of resul ng economic crisis and the extent of structural damage unknown. There
are many unknowns today and hence, the near-term outlook is extremely uncertain. We stand united
with the na on in the fight against COVID-19 as we navigate our way through these dynamic uncertain
mes together. Our focus remains on safety of our people, protec ng supply lines, serving demand,
contribu ng to the society, and op mizing cost and cash.
The following measures were put in place to protect our employees’ health and their safety a er the
pandemic:
• Special ‘Work from Home’ guidelines were dra ed offering simple ps in being highly produc ve
while working from home.
• We put in place a regular communica on channel with all employees, wherein the senior
management interacted with them on a regular basis, informing them about various health and
safety updates, developments within Havmor and our efforts to manage the COVID-related crisis.
• All managers were encouraged to maintain daily contact with their teams, not just for work but
also to enquire about their health and well-being
• Employees were also provided computer hardware and necessary IT support to ensure business
as usual even during the lockdown
• Reinforced safe behavior across our loca ons by limi ng the size of gatherings/mee ngs and
avoiding external visitors to the premises, besides asking employees to avoid in-person mee ngs
and encouraging video conference
• Temperature monitoring booth at recep on area and ensuring temperature is taken for all the
employees on their arrival and repeat the same process at regular interval.
• High contact areas like elevator bu ons, door handles, handrails, bathroom taps etc. were
sani zed at regular intervals
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• Regularly sani zed the head office and factories
• Use of face mark, face shield compulsory at Factory and office.
• Implementa on of various guidelines issued by the local authority from me to me.
• At present Company is being operated with limited staff in the office to ensure social distancing.
• Social Distance marking in the func onal area and canteen to ensure safe distance between two
employees.
E-COMMERCE
Digital was, in fact, the big playground to create deeper engagement with consumers on Social Media
and targe ng their specific needs during the lockdown. With our brand, we joined hands with various
influencers and popular Gujara celebrity to run the campaign of #Havmor Unlock Challenge post lockdown.
The Brand associated with over 150 ar sts and influencers pan-India. The campaign reached across 5 million
viewers on Instagram. The key mo ve behind this campaign was to spread happiness and posi vity among
people, replica ng what the brand has been doing for years now.
Havmor also increased visibility and scaled up presence on e-Commerce business.
Havmor has developed its online portal www.havmoronline.com to accept the orders and delivery of Ice
Cream through its own delivery channel and outsourced partner.
STATEMENT OF AFFAIRS/ FINANCIAL RESULTS:

The Financial Results of the Company for the financial year ended March 31, 2020 are as follows: -
(`. in Lakhs)
Par culars 31 March 2020 31 March 2019
Income
Revenue from opera ons 59,326.90 57,155.25
Other income 580.60 295.43
Total income 59,907.50 57,450.68
Expenses
Cost of materials consumed 29,552.98 26,436.89
Purchase of stock-in-trade 295.04 525.52
Changes in inventories of finished goods,
L semi finished goods and stock-in-trade (525.25) 95.83
Employee benefits expense 5,759.05 5,469.84
Finance costs 675.28 338.49
Deprecia on and amor sa on expense 4,480.69 3,421.91
Other expenses 15,263.82 14,296.34
Total expenses 55,501.61 50,584.82
Profit before tax 4,405.89 6,865.86
Tax expense:
Current tax 1,405.36 1,881.32
Excess provision of tax rela ng to earlier years (210.25) -
Deferred tax credit (353.11) (312.96)
842.00 1,568.36
Profit for the year 3,563.89 5,297.50
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OPERATIONS & PERFORMANCE:
While most part of FY 2019-20 progressed smoothly, the end of the financial year saw the emergence
of a global pandemic that changed the way people lived and did business, all over the globe. The world
around us changed with the emergence of the COVID-19 pandemic and the resultant lockdowns imposed
by governments across the globe to arrest its spread, leaving markets and economies in shambles. Despite
repor ng steady growth through the first 11 months of the year, our annual performance for FY 2019-
20 was severely impacted by the COVID outbreak as the na onwide lockdown brought sales to a virtual
stands ll in the second fortnight of March 2020.
During the year Company reported revenue growth for FY 2019-20. This was made possible through
heightened innova ons, expansion in distribu on and cost efficiency programs. The Company has registered
total revenue of Rs. 59,907.50 Lakh as compared to the previous year total revenue of Rs. 57,450.68 Lakh.
The Company has made profit before tax of Rs. 4,405.89 Lakh compared to previous year Rs. 6,865.87
Lakh. Company has delivered yet another year of consistent, compe ve, and profitable growth aided
by strong marke ng and trade investments. Company with a strong focus on innova on has con nued
to delight consumers with a wide range of products. The investment in television and digital media was
significantly stepped up during the year.
Havmor’s Promise to delight consumers has been the driving force behind its success. The commitment
to provide fresh, exci ng, pure, and innova ve flavors of over the highest quality con nues to be at the
core of your Company’s beliefs.
The ini a ves being taken towards introducing new flavors, establishing state-of-the-art R&D and
manufacturing facili es and increasing outreach to new markets through the strategic expansion plan based
on the principle of ‘one new market a year’ are enabling your Company to deliver on its promise of being
a most likeable Ice Cream in the market.
During the year under review due to financial crises at Vaishno Devi Food Products Private Limited, Solapur,
Maharashtra plant become non opera onal and the Company has given termina on no ce and also issued
demand no ce for recovery of advance, given to them for plant and machinery. However, the dispatched
is con nue from GIDC plant and Faridabad outsourced plant without effec ng the supply.
Due to outbreak of Recent economic condi ons have caused a significant downturn in sales, necessita ng
implemen ng strict measures of cost reduc on including but not limited to workforce reduc on in the
Company. In the prevailing adverse situa on, the Company agreed to take quick and necessary ac ons
for cost reduc ons by reducing manpower cost, by reducing head count and changing terms of employment
and reduc on in fixed salaries.
DIVIDEND:
In order to conserve the resources, Directors do not recommend any payment of dividend for the year
under review.
TRANSFER TO RESERVES:
The Company has not transferred any amount to the reserves as required under the provisions of Sec on
134(3) (j) of the Companies Act, 2013 and relevant rules made there under.
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MATERIAL CHANGES AFFECTING FINANCIAL POSITION OF THE COMPANY:
Due to outbreak of COVID-19 pandemic globally and in India On March 24, 2020, the Government of
India ordered a na onwide lockdown for 21 days which further got extended ll May 3, 2020 to prevent
community spread of COVID-19 in India resul ng in significant reduc on in economic ac vi es. Measures
were taken for preven on of this pandemic including travel bans, social distancing, and closure of non-
essen al services, resul ng in material impact on the financial posi on of the Company. Strict lockdown,
closure of sale of ice creams, interrup on in produc on, supply chain disrup on, unavailability of personnel,
closure / lockdown of produc on facili es for few months have impacted the posi on of the Company
dras cally.
Post lockdown the Company has taken quick and necessary ac ons for cost reduc ons by reducing
manpower cost, by reducing head count and changing terms of employment and reduc on in fixed salaries.
CHANGE IN SHARE CAPITAL
There is no change in share capital of the Company.
CHANGE IN THE NATURE OF BUSINESS
There is no change in the nature of the business of the Company.
However, during the year under review Company imported some Ice Cream from Lo e Confec onery Co.
Ltd, South Korea for sale in the Indian Market. Company has also started online portal for acceptance
of Ice Cream orders and delivery through own resources and / or through outsource partner.
TRANSFER OF UNCLAIMED DIVIDEND TO INVESTOR EDUCATION AND PROTECTION FUND
During the year under review, the Company did not transfer any unclaimed dividend and shares to Investors
Educa on and Protec on Fund.
DIRECTORS’ RESPONSIBILITY STATEMENT:
It is hereby stated that:
(a) In the prepara on of Ind AS Financial Statements, the applicable accoun ng standards have been
followed along with proper explana on rela ng to material departures.
(b) The Directors have selected such accoun ng policies and applied them consistently and made
judgments and es mates that are reasonable and prudent so as to give a true and fair view
of the state of affairs of the company at the end of the financial year and of the Profit of the
Company for that period.
(c) The Directors have taken proper and sufficient care for the maintenance of adequate accoun ng
records in accordance with the provisions of this Act for safeguarding the assets of the company
and for preven ng and detec ng fraud and other irregulari es.
(d) The Directors have prepared the Ind AS Financial Statement ongoing concern basis.
(e) The Directors have devised proper systems to ensure compliance with the provisions of all
applicable laws and that such systems were adequate and opera ng effec vely.
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NUMBER OF BOARD & COMMITTEE MEETINGS:
The Board of Directors, during the year 2019-2020 duly met 5 mes tabulated hereunder in respect of
which mee ngs, proper no ces were given, and signed in the Minutes Book maintained for the purpose.
Sr. Date of Board Mee ng Total no. of Directors Directors A ended

No.
1. 9th April 2019 5 5
2. 1st August 2019 5 5
3. 30th September 2019 6 6
4. 27th December 2019 6 5
5. 11th March 2020 4 4
Mee ngs of the Commi ee members during the year 2019-2020 tabulated hereunder in respect of which
mee ngs, proper no ces were given, and signed in the Minutes Book maintained for the purpose.
Type of Commi ee Date of Mee ng Total no. of Directors Directors A ended

Nomina on and
Remunera on 11th March 2020 4 4
Commi ee
CSR Commi ee 9th April 2019 3 3
REGISTRAR & TRANSFER AGENT:
During the year, no shares of Company were transferred. All the related ac vi es like transfers, and issue
of new share cer ficates were con nued to be handled by the Bigshare Services Pvt. Ltd., Ahmedabad
by our RTA.
DIRECTORS:
Appointments & Re-Appointments
• Mr. Kyunghun Kim was appointed as an Addi onal Director of the Company on 1st August 2019
to be designated as an Execu ve Director of the Company.
• Mr. Jung Yun Kang was re-designated as a Chairman in the Board Mee ng held on 11th March
2020.
• Mr. Myeongrim Choi was appointed as an Addi onal Director of the Company on 4th September
2020 to be designated as a Non-Execu ve Director of the Company.
• Mr. Youndong Jin was appointed as an Addi onal Director of the Company on 24th November
2020 to be designated as an Execu ve Director of the Company.
None of the Directors of the Company has been debarred or disqualified from being appointed or con nuing
as a Director by Ministry of Corporate Affairs / Statutory Authori es.
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Cessa ons
In the Board Mee ng held on 11th March 2020 following Directors resigned:
• Mr. Kyunghun Kim - Director

• Mr. Mang Ko Noh – Chairman & Director
Mr. Anindya Sundar Du a designated as Managing Director resigned from the company vide his resigna on
le er dated 19th November 2020
Consent from all the resigned Directors were taken and was placed before the Board in their mee ng.
KEY MANAGERIAL PERSONNEL
At present the Key Managerial Personnel of the Company are:
• Mr. Park Byung Chan (DIN - 08046421) - Whole Time Director

• Mr. Sanjay Patni - Chief Financial Officer and
• Mrs. Sonam Jain - Company Secretary.
DECLARATION OF INDEPENDENT DIRECTORS:
The provisions of Sec on 149 pertaining to the appointment of Independent Directors is not applicable
for our Company.
SECRETARIAL STANDARDS:
The Ins tute of Company Secretaries of India had revised the Secretarial Standards on Mee ngs of the
Board of Directors (SS-1) and Secretarial Standards on General Mee ngs (SS-2) with effect from October
1, 2017. The Company has devised proper systems to ensure compliance with its provisions and is in
compliance with the same.
DISCLOSURES RELATING TO SUBSIDIARIES, ASSOCIATES AND JOINT VENTURES:
The Company does not have any Subsidiary, Joint venture or Associate Company in terms of Companies
Act, 2013.
DEPOSITS:
The Company has not accepted any deposit within the meaning of Sec on 73 of the Companies Act, 2013
during the period under review. While the Company is adhering with the MCA no fica on for filing of
Form DPT-3 i.e. Return of deposits or return for disclosures of money or loan received by a Company
but not considered as deposit in terms of rule 2 (1) (c) of the Companies (Acceptance of Deposits) Rules,
2014.
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EXTRACTS OF ANNUAL RETURN:
As required by the provisions of Sec on 134(3)(a) of the Companies Act, 2013 and relevant rules made
thereunder, the extract of the annual return as provided under sub-sec on (3) of sec on 92 has been
placed on the Company’s website as Annexure I of the Annual Report www.havmor.com .
CONTRACTS OR ARRANGEMENTS WITH RELATED PARTIES:
During the year Company has related party transac on with its fellow subsidiary Company, M/s Lo e India
Corpora on Limited, Chennai, India details of which is a ached below in the Annexure II of this Board
report.
PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS U/S 186:
The Company has not advanced loan, given any guarantee and provided security and has not made any
investment under Sec on 186 of the Companies Act, 2013 during the year under review.
LOANS FROM DIRECTOR/RELATIVE OF DIRECTOR
The balances of monies accepted by the Company from Directors / rela ves of Directors at the beginning
of the year were NIL and at the close of year was NIL.
PARTICULARS OF EMPLOYEES:
Sec on 197 read with Rule 5 of The Companies (Appointment and Remunera on of Managerial Personnel)
Rules, 2014, is not applicable to Company.
POLICY ON DIRECTORS APPOINTMENT AND REMUNERATION:
The current policy is to have an appropriate mix of execu ve and Non-execu ve directors to maintain
the independence of the Board and separate its func ons of governance and management. At present,
the Board consists of 5 Directors, out of which 3 of them are execu ve directors and 2 are non-execu ve
director. The Board periodically evaluates the need for change in its composi on and size.
The Company has also made the Nomina on & Remunera on policy for the appointment, resigna on &
re rements of an employee designated as General Manager or above level.
INSURANCE:
All Insurable interests of the Company including Buildings, Plant & Machinery, Furniture & Fixtures,
Inventories, and other insurable interests are adequately insured.
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COMMITEES OF THE BOARD:
Nomina on and Remunera on Commi ee:

As per the provisions of sec on 178 of the Companies Act, 2013 read with Companies (Mee ngs of Board
and its Powers) Rules, 2014 Company has recons tuted its “Nomina on and Remunera on Commi ee
in the Board Mee ng held on 11th March, 2020 comprising of following members:
1. Mr. D.G. Rajan as Chairman

2. Mr. Anindya Sundar Du a as Member
3. Mr. Jung Yun Kang as Member
4. Mr. Park Byung Chan as Member
The Commi ee met once on 11th March 2020 during the year 2019-20.
Further, Mr. Anindya Sundar Du a resigned from the Company vide his le er dated 19th November 2020
due to which he ceased to be the member of the Commi ee. Therefore, at present the commi ee comprise
of following members:

3. Mr. Park Byung Chan as Member
The Commi ee is authorized to formulate the criteria for determining qualifica ons, posi ve a ributes
and independence of GM and above level and recommended to the Board a policy, rela ng to the
remunera on for the GM and above level.
Corporate Social Responsibility Commi ee:
As per the provisions of sec on 135 of the Companies Act, 2013 read with Companies (Corporate Social
Responsibility Policy) Rules, 2014 Company has recons tuted its Corporate Social Responsibility Commi ee
in the Board Mee ng held on 9th April 2019 comprising of following members:

3. Mr. Mang Ko Noh as Member of the Commi ee
The Commi ee met once on 9th April 2019 during the year 2019-20.
Further, Mr. Mang Ko Noh resigned from the Board on 11th March 2020 due to which he ceased to be
the member of the Commi ee. Therefore, at present the commi ee comprise of following members as
recons tuted in the mee ng of the Board of Directors of the Company held on 4th September 2020:

3. Mr. Myeongrim Choi as Member of the commi ee
Company has formulated a Corporate Social Responsibility (CSR) policy for endeavoring various CSR ac vi es
in different avenues as prescribed in the CSR Rules.
13
In addi on to the above members, Mr. Park Byung Chan, Mr. Sanjay Patni and Mr. Suresh Srinivasan were
also appointed as Co-opted members of the CSR commi ee of the Company. The Co-opted members shall
par cipate and interact with CSR Training and Corporate seminars to gain knowledge and will work and
may undertake the CSR projects in consulta on and under the direc ons of the CSR Commi ee. During
the year under review also company has given dona on to various trusts.
The details about the ini a ves taken by the Company on CSR during the year as per the Companies
(Corporate Social Responsibility Policy) Rules, 2014 have been disclosed in Annexure-III to this Report.
POLICIES AND FRAMEWORK
There are the following policies/ process notes:
a. An -fraud policy
b. Budgetary Process policy
c. Code of Conduct policy
d. Delega on of Authority policy
e. ERM policy
f. Whistle Blower policy
g. Policy for preven on of Sexual Harassment
WHISTLE BLOWER POLICY:
The provisions of Sec on 177(9) of the Companies Act, 2013 read with Rule 7 of the Companies (Mee ngs
of the Board and its Powers) Rules, 2014 is not applicable to the Company s ll the Company is having
its Whistle Blower / Vigil Mechanism policy.
Mr. Suresh Srinivasan being the Chief Human Resource Officer was appointed as Vigilance Officer to hear
the grievances of the employees with any person in the company and take steps to resolve the issues
amicably and report the same to the Managing Director or to the Chairman of the Company. The offences
of serious nature may be brought to the a en on to the Managing Director or to the Chairman of the
Company who shall a er hearing the concerned person award appropriate punishment to the offender.
Our Vigil Mechanism provides a formal mechanism for all Directors, employees and vendors to approach
the Chairman and make protec ve disclosures about the unethical behavior, actual or suspected fraud
or viola on of the Havmor Code of Conduct.
POLICY FOR PREVENTION OF SEXUAL HARASSMENT AT WORKPLACE:
As per the requirement of the Sexual Harassment of Women at Workplace (Preven on, Prohibi on &
Redressal) Act, 2013 (‘POSH Act’) and Rules made thereunder, Company has cons tuted Internal Commi ees
(IC). While maintaining the highest governance norms, the Company has appointed external member from
NGO or associa ons commi ed to the cause of woman named Ms. Telma Varghese who has worked in
this area and has the requisite experience in handling such ma ers. To build awareness in this area, the
Company has been conduc ng induc on / refresher programs in the organiza on on a con nuous basis.
14
The policy for Preven on of Sexual Harassment was implemented w.e.f. 01.07.2017 for the term of three
years:
The list of present Commi ee members of POSHA are as under:
Role Names
Presiding Officer Ms. Pooja Mulani
Commi ee Members Mr. Suresh Srinivasan
Commi ee Members Ms. Meenakshi Kapoor
NGO Ms. Telma Varghese
Havmor Internal Complaints Commi ee (HICC) has been set up to redress the complaints received regarding
sexual harassment. All employees (permanent, contractual, temporary, trainees) are covered under this
policy. No compliant has been received in this regard.
AUDITORS:
I) STATUTORY AUDITORS:
At the 12th Annual General Mee ng held on 26th September, 2018, M/s. B S R & Associates LLP,
Chartered Accountants (Firm Registra on Number 116231W/W-100024) were appointed as Statutory
Auditor of the Company from the conclusion of the ensuing annual general mee ng un l the
conclusion of the 17th annual general mee ng of the Company i.e. 2018-19 to 2022-23.
The Report given by the Auditors on the financial statement of the Company is part of this Report.
There has been no qualifica on, reserva on, adverse remark or disclaimer given by the Auditors
in their Report.
Further, M/s. B S R & Associates LLP, Chartered Accountants (Firm Registra on Number 116231W/
W-100024) has given resigna on before the expiry of their term as they have been appointed
by Lo e Confec onery Co. Ltd., Korea, our holding Company as SOX auditor, therefore, they can’t
be the statutory auditor in the Subsidiary Company. The Company has received resigna on le er
from M/s. B S R & Associates LLP, Chartered Accountants.
Also the Company has received a consent le er along with the cer ficate from the M/s. Price
Waterhouse Chartered Accountants LLP (Firm Registra on Number 012754N/ N500016), Chartered
Accountants Auditors under the provisions of the Companies Act, 2013, to be appointed at this
ensuing Annual General Mee ng un l the conclusion of 15thAnnual General Mee ng to effect
their appointment, Also, there appointment is within the prescribed limits, and they are not
disqualified for appointment and further they are independent of management.
II) SECRETARIAL AUDITOR:

The Company has voluntarily appointed M/s. G R SHAH & ASSOCIATES, Company Secretaries,
Ahmedabad, as Secretarial Auditor of the Company for the FY 2019-20 even though the Secretarial
Audit is not applicable to the Company.
Secretarial Audit Report for FY 2019-20 is annexed in Annexure-IV to this report as Form
MR -3 herewith as Annexure B to this Report. The said report does not contain any qualifica on,
reserva on, or adverse remark.
15
III) COST AUDITOR:
The provisions of Sec on 148 of the Companies Act, 2013 read with Companies (Cost Records
and Audit) Rules, 2014 is not applicable to the Company.
IV) INTERNAL AUDITOR:
M/s., Ernst & Young LLP, Chartered Accountants, Ahmedabad were appointed as internal auditor
to conduct the audit of the Accounts / Records maintained by the Company for F.Y. 2018-19
& 2019-20
DETAILS OF FRAUD REPORTING BY AUDITOR
During the year under review, there were no frauds reported by the auditors to the Board under sec on
143(12) of the Companies Act, 2013.
EXPLANATIONS OR COMMENTS BY THE BOARD ON EVERY QUALIFICATION, RESERVATION OR ADVERSE

REMARK OR DISCLAIMER MADE BY AUDITORS:
There is no adverse remarks or comments by the auditors in their report.
INTERNAL CONTROL SYSTEM:
The Company has an Internal Control System which commensurate with the size, scale and complexity
of its opera ons. The scope and authority of the Internal Audit (IA) func on is well defined. The framework
has been designed to provide reasonable assurance with respect to recording and providing reliable financial
and opera onal informa on, complying with applicable laws, safeguarding assets from unauthorized use,
execu ng transac ons with proper authoriza on and ensuring compliance with corporate policies.
The controls based on the prevailing business condi ons and processes have been tested during the year
and no reportable material weakness in the design or effec veness was observed. The framework on
Internal Financial Controls Over Financial Repor ng has been reviewed by the internal and external auditors.
The Internal Audit team monitors and evaluates the efficacy and adequacy of internal control systems
in the Company, its compliance with opera ng systems, accoun ng procedures and policies at all loca ons
of the Company. Based on the report of internal audit func on, process owners undertake correc ve
ac on(s) in their respec ve area(s) and thereby strengthen the controls. Significant audit observa ons and
correc ve ac on(s) thereon are presented to the Audit Commi ee.
RISK MANAGEMENT POLICY:
The Management regularly reviewed the risk and take appropriate steps to mi gate the risk. The company
has in place the Risk Management policy. The Company has a robust Business Risk Management (BRM)
frame work to iden fy, evaluate business risks and opportuni es. This framework seeks to create
transparency, minimize adverse impact on the business objec ves and enhance the Company’s compe ve
advantage.
INDUSTRIAL RELATIONS:
The Directors are pleased to report that the rela ons between the workmen and the management con nued
to remain cordial during the year under review.
16
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, AND FOREIGN EXCHANGE EARNING AND
OUTGO:
Being concerned about the environment in and around our industrial facili es, your Company has
maintained the Cleanliness inside the factory premises.
The informa on on conserva on of energy, technology absorp on and foreign exchange earnings and outgo
as s pulated under Sec on 134(3)(m) of the Companies Act, 2013 is given in the Annexure - V.
SIGNIFICANT & MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS OR TRIBUNALS
There are no significant material orders passed by the Regulators or Courts or Tribunal, which would impact
the going concern status of the Company and its future opera on. However, Members a en on is drawn
to the Statement on Con ngent Liabili es and Commitments in the Notes forming part of the Financial
Statement.
ACKNOWLEDGMENT:
We thank our Shareholders, customers, vendors, investors, bankers, Government and Regulatory authori es
for their con nued support during the year. We place on record our apprecia on of the contribu on made
by our employees at all levels. The enthusiasm and uns n ng efforts of the employees have enabled the
Company to remain an industry leader, inspite of being a challenging year with an outbreak of Covid-
19. The Company is trying its best to cope up with the economic impact by the uncertain pandemic.
The en re Havmor team deserves the apprecia on for their sincere efforts and determina on in this crucial
me. This has enabled the Company to provide higher levels of consumer delight through con nuous
improvement in exis ng products, and introduc on of new products.
Directors would also like to acknowledge the excellent contribu on by the Company in providing the latest
innova ons, technological improvements, and marke ng inputs in which it operates. This has enabled the
Company to provide higher levels of consumer delight through con nuous improvement in exis ng products
and introduc on of new products.
Our consistent growth was made possible by their hard work, solidarity, coopera on, and support. The
Company looks forward to further strengthening the synergies.
Date: 24.11.2020 For Havmor Ice Cream Private Limited

Place: Ahmedabad
Regd Office:
2nd Floor, Commerce Hosue-4 Jung Yun Kang Park Byung Chan
Besides Shell Petrol Pump Chairman Whole Time Director
Prahaladnagar, Ahmedabad-380015 DIN no. 08025252 DIN no. 08046421
17
Annexure - I
FORM NO. MGT 9
EXTRACT OF ANNUAL RETURN
as on financial year ended on 31st March, 2020
Pursuant to Sec on 92 (3) of the Companies Act, 2013 and rule 12(1) of the Company
(Management & Administra on) Rules, 2014.
I REGISTRATION & OTHER DETAILS:
i CIN U15200GJ2006PTC048016
ii Registra on Date 27th March, 2006
iii Name of the Company HAVMOR ICE CREAM PRIVATE LIMITED
iv Category/Sub-category of the Company Company Limited by shares / India Non
Government Company
v Address of the Registered office and 2nd Floor,Commerce House 4,Beside Shell
contact details Petrol Pump, 100Ft. Road, Prahaladnagar,
Ahmedabad - 380015
vi Whether listed company N.A.
vii Name , Address & contact details of Bigshare Services Pvt. Ltd.
the Registrar & Transfer Agent, if any. A/802, Samudra complex,
Near Klassic Gold, Girish cold drink,
C.G Road, Ahmedabad,Gujrat - 380009
Email - bssahd@bigshareonline.com
II PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY

All the business ac vi es contribu ng 10% or more of the total turnover of the company shall be
stated
Sr. No. Name & Descrip on of main NIC Code of the % to total turnover
products/services product/service of the company
1 Sale of Ice Cream 15205 98
III PARTICULARS OF HOLDING , SUBSIDIARY & ASSOCIATE COMPANIES

Sr.No. Name & Address of CIN/GLN HOLDING/ % OF APPLICABLE
the Company SUBSIDIARY/ SHARES SECTION
ASSOCIATE HELD
1 Lo ee Confec onery 110111-6536781 Holding 99.99998% 2(46)

Co. Ltd., Korea
10 Yangpyeong, RO 21-Cril,
Yeongdeungpo - Cru, Seoul
18
IV SHAREHOLDING PATTERN (Equity Share Capital Breakup as % to Total Equity)
(i) Category - wise share holding
Category of No. of Shares held at the No. of Shares held at the % change
Shareholders beginning of the year end of the year during the year
Demat Physical Total % of Demat Physical Total % of
Total Total
Shares Shares
A. Promoters
(1) Indian - - - - - - - - - -
a) Individual/HUF - - - - - - - - - -
b) Central Govt.
or
State Govt. - - - - - - - - - -
c) Bodies
Corporates - - - - - - - - - -
d) Bank/FI - - - - - - - - - -
e) Any other - - - - - - - - - -
SUB TOTAL(A) (1) - - - - - - - - - -
(2) Foreign
a) NRI-Individuals - 2 2 0.00002 - 2 2 0.00002 - -
b) Other
Individuals - - - - - - - - - -
c) Bodies Corp. - 9,999,998 9,999,998 99.99998 - 9,999,998 9,999,998 99.99998 - -
d) Banks/FI - - - - - - - - - -
e) Any other… - - - - - - - - - -
SUB TOTAL(A) (2) - 10,000,000 10,000,000 100 - 10,000,000 10,000,000 100 - -
Total Shareholding
of Promoter
(A)= (A)(1)+(A)(2) - 10,000,000 10,000,000 100 - 10,000,000 10,000,000 100 - -
B. PUBLIC
SHARE-
HOLDING
(1) Ins tu ons
a) Mutual Funds - - - - - - - - - -
b) Banks/FI - - - - - - - - - -
c) Cenntral govt - - - - - - - - - -
d) State Govt. - - - - - - - - - -
e) Venture
Capital Fund - - - - - - - - - -
19
Category of No. of Shares held at the No. of Shares held at the % change
Shareholders beginning of the year end of the year during the year
Demat Physical Total % of Demat Physical Total % of
Total Total
Shares Shares
f) Insurance
Companies - - - - - - - - - -
g) FIIS - - - - - - - - - -
h) Foreign
Venture
Capital Funds - - - - - - - - - -
i) Others(specify) - - - - - - - - - -
SUB TOTAL (B)(1): - - - - - - - - - -
(2) Non
Ins tu ons
a) Bodies
corporates - - - - - - - - - -
i) Indian - - - - - - - - - -
ii) Overseas - - - - - - - - - -
b) Individuals - - - - - - - - - -
i) Individual
share-holders
holding
nominal share
capital upto
Rs.1 lakhs - - - - - - - - - -
ii) Individuals
share-holders
holding
nominal share
capital in
excess
of Rs. 1 lakhs - - - - - - - - - -
c) Others (specify) - - - - - - - - - -
SUB TOTAL (B)(2): - - - - - - - - - -
Total Public
Shareholding(B)=
(B)(1)+(B)(2) - - - - - - - - - -
C. Shares held by
Custodian for
GDRs & ADRs - - - - - - - - - -
Grand Total
(A+B+C) - 10,000,000 10,000,000 100 - 10,000,000 10,000,000 100 - -
20
(ii) SHARE HOLDING OF PROMOTERS
Sr. Shareholders Name Shareholding at the Shareholding at the

No. beginning of the year end of the year
No. of % of total % of shares No. of % of total % of shares % change
shares shares of pledged shares shares of pledged in share
the encumbered the encumbered holding
company to total company to total during
shares shares the year
1 M/s. Lo e
Confec onery Co. Ltd. 9,999,998 99.99998 - 9,999,998 99.99998 - -
4 Mr. Jung Yun Kang 1 0.00001 - 1 0.00001 - -
7 Mr. Park Byung Chan 1 0.00001 - 1 0.00001 - -
Total 10,000,000 100 - 10,000,000 100 - -
(iii) CHANGE IN PROMOTERS’ SHAREHOLDING (SPECIFY IF THERE IS NO CHANGE)
Sr. Shareholders Name Shareholding at the Cumula ve Shareholding

No. beginning of the year during the year
No. of % of total No. of % of total
shares shares of shares shares of
the company the company
1 M/s. Lo e Confec onery Co. Ltd.
At the beginning of the year 9,999,998 99.99998 9,999,998 99.99998
Date wise increase/decrease in Share

holding during the year : No Change - - - -
during the year
At the end of the year 9,999,998 99.99998 9,999,998 99.99998
21
(iv) Shareholding Pa ern of top ten Shareholders (other than Direcors, Promoters & Holders of GDRs
& ADRs)

For Each of the Top 10 Shareholders No. of % of total No. of % of total
shares shares of shares shares of
the company the company
At the beginning of the year - - - -
Date wise increase/decrease in

Share holding during the year - - - -
At the end of the year - - - -
(v) Shareholding of Directors & KMP

For Each of the Top 10 Shareholders No. of % of total shares No. of % of total shares
shares of the company shares of the company
1 Mang Ko Noh - Director
holding during the year: - - - -
2 Anindya Sundar Du a - Director
3 Jung Yun Kang - Director
At the beginning of the year 1 0.00001 1 0.00001
At the end of the year 1 0.00001 1 0.00001
4 Park Byung Chan - Director
At the beginning of the year 1 0.00001 1.00 0.00001
Share holding
during the year: NIL - - - -
At the end of the year 1 0.00001 1 0.00001
22
For Each of the Top 10 Shareholders No. of % of total shares No. of % of total shares
shares of the company shares of the company
5 Kim Kyunghun - Director
6 Duraiswamy Gunaseela Rajan - Director
holding during the year: NIL - - - -
7 Myeongrim Choi - Director
8 Youngdong Jin - Director
9 Sanjay Rajmal Patni (CFO) - KMP
10 Sonam Jain (CS) - KMP
Share holding during the year: - - - -
23
V INDEBTEDNESS
(`. in Lakhs)
Indebtedness of the Company including interest outstanding/accrued but not due for payment
Secured Loans Unsecured Loans Deposits Total
excluding (Leased Liability) Indebtedness
deposits
Indebtness at the beginning of the
financial year
i) Principal Amount 2,613.85 3,119.91 - 5,733.76
ii) Interest due but not paid - - - -
iii) Interest accrued but not due - - - -
Total (i+ii+iii) 2,613.85 3,119.91 - 5,733.76
Change in Indebtedness during the

financial year
Addi ons - 2,960.41 - 2,960.41
Reduc on 2,613.85 - - 2,613.85
Net Change (2,613.85) 2,960.41 - 346.56
Indebtedness at the end of the

financial year
i) Principal Amount - 6,080.32 - 6,080.32
ii) Interest due but not paid - - -
iii) Interest accrued but not due - - - -
Total (i+ii+iii) - 6,080.32 - 6,080.32
24
VI REMUNERATION OF DIRECTORS AND KEY MANAGERIAL PERSONNEL
A. Remunera on to Managing Director, Whole me director and/or Manager:
(`. in Lakhs)
Sl. Par culars of Remunera on Name of the MD/WTD/Manager Total Amount

No. Jung Yun Kang - Park Byung Chan - Anindya Sundar Du a - Total
Chairman Whole Time Director Managing Director
1 Gross salary
(a) Salary as per

provisions contained in
sec on 17(1) of
the Income Tax. 1961. 22.66 33.26 146.51 202.43
(b) Value of perquisites

u/s 17(2) of the
Income tax Act, 1961 0.10 1.62 2.35 4.07
(c ) Profits in lieu of
salary under
sec on 17(3) of the
Income Tax Act, 1961 0.04 0.17 - 0.21
2 Stock op on - - - -
3 Sweat Equity - - - -
4 Commission - - - -
as % of profit - - - -
others (specify) - - - -
5 Others, please specify - - - -
Total (A) 22.81 35.05 148.86 206.72
Ceiling as per the Act
25
B. Remunera on to other directors:
(`. in Lakhs)
Sl.No. Par culars of Remunera on Name of the Directors Total Amount
1 Independent Directors D.G. Rajan
(a) Fee for a ending board commi ee mee ngs 0.40 0.40
(b) Commission - -
(c ) Others, please specify - -
Total (1) 0.40 0.40
2 Other Non Execu ve Directors Mang Ko Noh -
Non-Execu ve Chairman
(a) Fee for a ending board commi ee mee ngs - -
(b) Commission - -
(c ) Others, please specify. - -
Total (2) - -
Total (B)=(1+2) 0.40 0.40
Total Managerial Remunera on
Overall Cieling as per the Act.
C. Remunera on to Key Managerial Personnel other than MD/MANAGER/WTD

(`. in Lakhs)
Sl.No. Par culars of Remunera on Key Managerial Personnel
*Youngdong Jin Sonam Jain Sanjay Patni Total
- Execu ve Director - Company - CFO
& COO Secretary
1 Gross Salary
(a) Salary as per provisions contained
in sec on 17(1) of the
Income Tax Act, 1961. - 3.38 52.64 56.02
(b) Value of perquisites u/s 17(2) of
the Income Tax Act, 1961 - - 0.18 0.18
(c ) Profits in lieu of salary under
sec on 17(3) of the
Income Tax Act, 1961 - - - -
2 Stock Op on - - - -
3 Sweat Equity - - - -
4 Commission - - - -
as % of profit - - - -
others, specify - - - -
5 Others, please specify - - - -
Total - 3.38 52.82 56.20
* Mr. Youngdong Jin has joined as a Director on 24th November 2020, therefore remunera on has not yet been paid
to him
26
VII PENALTIES / PUNISHMENT / COMPOUNDING OF OFFENCES
(`. in Lakhs)
Type Sec on of Brief Details of Penalty/ Authority Appeall made
the Descrip on Punishment/ (RD / NCLT / if any
Companies Compounding fees Court) (give details)
Act imposed
A. COMPANY
Penalty
Punishment NONE
Compounding
B. DIRECTORS
Penalty
Punishment NONE
Compounding
C. OTHER OFFICERS IN DEFAULT
Penalty
Punishment NONE
Compounding

Place: Ahmedabad
Regd Office:
27
Annexure – II
FORM NO. AOC - 2

(Pursuant to clause (h) of sub-sec on (3) of sec on 134 of the Act and Rule 8(2) of the
Companies (Accounts) Rules, 2014.
Form for Disclosure of par culars of contracts/arrangements entered into by the company with related
par es referred to in sub sec on (1) of sec on 188 of the Companies Act, 2013 including certain arm’s
length transac on under third proviso thereto.
Details of contracts or arrangements or transac ons not at Arm’s length basis.
Sr. No. Par culars Details

(a) Name (s) of the related party & nature of rela onship N.A.
(b) Nature of contracts/arrangements/transac on N.A.
(c) Dura on of the contracts/arrangements/transac on N.A.
(d) Salient terms of the contracts or arrangements or transac on
including the value, if any N.A.
(e) Jus fica on for entering into such contracts or arrangements
or transac ons’ N.A.
(f) Date of approval by the Board N.A.
(g) Amount paid as advances, if any N.A.
(h) Date on which the special resolu on was passed in
General mee ng as required under first proviso to sec on 188 N.A.
Details of contracts or arrangements or transac ons at Arm’s length basis.
Sr. No. Par culars Details
(a) Name (s) of the related party & nature of rela onship
(b) Nature of contracts/arrangements/transac on As per
(c) Dura on of the contracts/arrangements/transac on below
(d) Salient terms of the contracts or arrangements or a achment
transac on including the value, if any
(e) Date of approval by the Board
(f) Amount paid as advances, if any
Name of Nature of Dura on of Salient Advance paid

Related Party transac on contract terms Rs.
Lo e India Purchase of Material, As per the PO & as per - Security deposit
Corpora on Rent payment and the rent agreement upto of Rs. 2 Lakhs
Ltd., Chennai Reimbursement of exp 2.3.2020

Place: Ahmedabad
Regd Office:
28
Annexure III
The Company has its CSR Policy within broad scope laid down in Schedule VII to the Act, as projects
/ programs / ac vi es, excluding ac vi es in its normal course of business.
Details of the CSR policy is available on website of the company and web link is www.havmor.com
Composi on of CSR Commi ee.
The present members in the commi ee include:
1. Mr. Jung Yun Kang,

2. Mr. D.G. Rajan,
3. Mr. Myeongrim Choi
In addi on to the above members, Mr. Park Byung Chan, Mr. Sanjay Patni and Mr. Suresh Srinivasan will
also be Co-opted members of the CSR commi ee of the Company. The Co-opted members shall par cipate
and interact with CSR Training and Corporate seminars to gain knowledge and will work and may undertake
the CSR projects in consulta on and under the direc ons of the CSR Commi ee.
Average net profit of the Company for the past three years:
The average net profits as detailed below:

(`. in Lakhs)
Par culars (Rs.)
Average net profits for last three financial years Rs. 3,398.02 Lakhs
Prescribed CSR expenditure:
Prescribed CSR expenditure is as detailed below:

(`. in Lakhs)
Par culars (Rs.)
Prescribed CSR expenditure Rs. 67.96 Lakhs
Details of CSR spent during the year:

(`. in Lakhs)
Par culars (Rs.)
(a) Total amount spent during the year Rs. 4.00 Lakhs
(b) Amount unspent if any Rs. 63.96 Lakhs
29
(c) Manner in which the amount is spent during the financial year is detailed below:
Sr. CSR Sector in Projects or Amount Amount spent Cumula ve Amount

No. project which programs: outlay on the projects expenditure spent: Direct
or the 1) Local Area (Budget) or programs upto the or through
ac vity project is or other project or sub-heads: repor ng implemen ng
iden fied covered 2) Specify programs 1) (Direct period agency*
the state wise Expenditure
and on projects
district or
where the programs
project or 2) Overheads
program
was
undertaken
1. YUVA/ Educa onal Local 4.00 Lakh 4.00 Lakh 4.00 Lakh Direct
Unstoppable charitable area
(NGO) trust
In case the Company has failed to spend the two percent of the average net profit of the last three
financial years or any part thereof, the Company shall provide the reasons for not spending the amount
in its Board Report:
Unspent amount of CSR was planned to spend on various CSR ac vi es including Educa on, Social, Health
Sector etc. The balance unspent amount of CSR is under considera on and will be spent appropriately
and judiciously.
A responsibility statement of the CSR commi ee that the implementa on and monitoring of CSR policy
is in compliance with CSR objec ves and policy of the Company:
Pursuant to the provisions of sec on 135 of the Companies Act, 2013 read with Companies Rules (Corporate
Social Responsibility Policy) Rules, 2014, CSR Commi ee members, do confirm that the implementa on
and monitoring of CSR policy, is in compliance with the CSR objec ves and policy of the Company

Place: Ahmedabad
Regd Office:
30
Annexure IV
Form No. MR-3
Secretarial Audit Report

(For the financial year ended on March 31, 2020)
[Pursuant to Sec on 204(1) of the Companies Act, 2013 and Rule No. 9 of the Companies
(Appointment and Remunera on of Managerial Personnel) Rules, 2014]
To,
The Members,
2nd Floor, Commerce House 4,
B/S Shell Petrol Pump, 100Ft. Road,
Prahaladnagar, Ahmedabad 380 015
I have conducted the Secretarial Audit of the compliance of applicable statutory provisions and
the adherence to good corporate prac ces by HAVMOR ICE CREAM PRIVATE LIMITED
(CIN: U15200GJ2006PTC048016) (hereina er called “the Company”). Secretarial Audit was conducted in
a manner that provided me a reasonable basis for evalua ng the corporate conducts/ statutory compliances
and expressing my opinion thereon.
Based on my verifica on of the books, papers, minute books, forms and returns filed and other records
maintained by the Company and also the informa on provided by the Company, its officers, agents and
authorized representa ves during the conduct of secretarial audit, I hereby report that in my opinion, the
Company has, during the audit period ended on March 31, 2020, complied with the statutory provisions
listed hereunder and also that the Company has proper Board processes and compliance mechanism in
place to the extent, in the manner and subject to the repor ng made hereina er:
I have examined the books, papers, minute books, forms and returns filed and other records (as per
Annexure A) maintained by the Company for the period ended on March 31, 2020 according to the
provisions of:
I. The Companies Act, 2013 (the Act) and the Rules made thereunder;
II. The Securi es Contracts (Regula on) Act, 1956 (‘SCRA’) and the Rules made thereunder;
III. The Depositories Act, 1996 and the Regula ons and Bye-laws framed thereunder;
IV. Foreign Exchange Management Act, 1999 and the Rules and Regula ons made thereunder to
the extent of Foreign Direct Investment, Overseas Direct Investment, and External Commercial
Borrowings;
V. The following Regula ons and Guidelines prescribed under the Securi es and Exchange Board
of India Act, 1992 (‘SEBI Act’) to the extent applicable to the Company:
(a) The Securi es and Exchange Board of India (Substan al Acquisi on of Shares and Takeovers)
Regula ons, 2011;
(b) Securi es and Exchange Board of India (Prohibi on of Insider Trading) Regula ons, 2015;
(c) The Securi es and Exchange Board of India (Share based Employee Benefits) Regula ons,
2014;
31
(d) The Securi es and Exchange Board of India (Issue of Capital and Disclosure Requirements)
Regula ons, 2018;
(e) The Securi es and Exchange Board of India (Issue and Lis ng of Debt Securi es) Regula ons,
2008;
(f) The Securi es and Exchange Board of India (Registrars to an Issue and Share Transfer Agents)
Regula ons, 1993 regarding the Companies Act and dealing with client;
(g) The Securi es and Exchange Board of India (Delis ng of Equity Shares) Regula ons, 2009;
(h) The Securi es and Exchange Board of India (Buyback of Securi es) Regula ons, 1998.
VI. I further report that having regard to the Compliance System Prevailing in the Company and on
examina on of the relevant documents and records pursuant to them of the Company has
generally comply with the provision of following laws:
• Food Safety and Standards Act, 2006, rules and regula ons therender;
It has been found that the Company being an unlisted en ty was not required to comply with the provision
of the laws indicated in para (III) to (V) above except Para (IV).
I have also examined compliance with the applicable clauses of the following:
(a) Secretarial Standards with regard to Mee ng of Board of Directors (SS-1) and General
Mee ngs (SS-2) issued by the Ins tute of Company Secretaries of India;
(b) The Lis ng Agreements entered into by the Company with BSE Limited pursuant to Securi es
and Exchange Board of India (Lis ng Obliga ons & Disclosure Requirements) Regula ons,
2015;
However, the en ty being an unlisted en ty not mandated to follow the Lis ng Agreements. Hence clause
b) is not applicable to the Company.
I further report that
The Board of Directors of the Company is duly cons tuted with proper balance of Execu ve Directors
and Non-Execu ve Directors. The changes in the composi on of the Board of Directors that took place
during the period under review were carried out in compliance with the provisions of the Act.
Adequate no ce is given to all directors to schedule the Board Mee ngs, agenda and detailed notes on
agenda were sent at least seven days in advance, and a system exists for seeking and obtaining further
informa on and clarifica ons on the agenda items before the mee ng and for meaningful par cipa on
at the mee ng.
I have relied on the representa ons made by the Company and its officers for systems and mechanisms
formed by the Company for compliance under other laws and regula ons applicable to the company.
Majority decisions were carried out unanimously and where it was not so, the dissen ng members’ views
were captured and recorded as part of the minutes.
32
I further report that there are adequate systems and processes in the company commensurate with the
size and opera ons of the company to monitor and ensure compliance with applicable laws, rules,
regula ons, and guidelines.
I further report that the compliance by the company of the direct and indirect tax laws has not been
reviewed during this audit as the same has been subject to review by statutory financial auditor and other
designated professionals.
Place: Ahmedabad For, G R Shah and Associates

Date: 27 / 08 / 2020 (Company Secretaries)
Gaurang Shah
Proprietor
COP No. 14446
UDIN: A038703B000624343
Note: This report is to be read with our le er of even date which is annexed as Annexure B and forms
an integral part of this report.
33
Annexure A
List of documents verified
1. Memorandum and Ar cles of Associa on of the Company.
2. Minutes of the mee ngs of the Board of Directors, Audit Commi ee, Nomina on and
Remunera on Commi ee, Share Transfer Commi ee, Stakeholders Rela onship Commi ee,
CSR Commi ee and Independent Directors Mee ng along with a endance register held during
the period under report.
3. Minutes of General Body mee ngs held during the period under report.
4. Statutory registers records under the Companies Act, 2013 and Rules made there under
namely:
• Register of the Directors and the Key Managerial Personnel

• Register of the Directors’ shareholding
• Register of loans, guarantees and security and acquisi on made by the Company
• Register of Members.
5. Declara ons received from the Directors of the Company in Form MBP-1 pursuant to the
provisions of Sec on 184 of the Companies Act, 2013.
6. E-Forms filed by the Company, from me-to- me, under applicable provisions of the
Companies Act, 2013 and a achments thereof during the period under report.
7. Communica ons/ Le ers issued to and acknowledgements received from the Independent
Directors for their appointment.
8. Various policies framed by the Company from me to me as required under the Companies
Act, 2013.
34
Annexure B
To,
The Members
2nd Floor, Commerce House 4,
B/S Shell Petrol Pump, 100Ft. Road,
Prahaladnagar, Ahmedabad 380 015
Our Secretarial Audit Report of even date is to be read along with this le er.
Management’s Responsibility
It is the responsibility of the management of the Company to maintain secretarial records, devise proper
systems to ensure compliance with the provisions of all applicable laws and regula ons and to ensure
that the systems are adequate and operate effec vely.
Auditor’s Responsibility
My responsibility is to express an opinion on these secretarial records, systems, standards and procedures
based on my audit.
Wherever required, I have obtained the management’s representa on about the compliance of laws, rules
and regula ons and happening of events etc.
Disclaimer
The Secretarial Audit Report is neither an assurance as to the future viability of the Company nor of the
efficacy or effec veness with which the management has conducted the affairs of the Company.
Place: Ahmedabad For, G R Shah and Associates

Date: 27 / 08 / 2020 (Company Secretaries)
Gaurang Shah
Proprietor
COP No. 14446
UDIN: A038703B000624343
35
Annexure - V
Details of Conserva on of Energy, Technology Absorp on, Foreign Exchange Earning and Outgo:
(`. in Lakhs)
Conserva on of energy-
(i) the steps taken or impact on conserva on of 1. (a) We have done agreement with
energy; external agency for Wind power
purchase and we will get approx.
Rs.24 Lacs/Year from Jan.2020.
2. (b) Memco plant we reduced our
contract demand of Electricity &
save fix charge Rs. 11000/month &
Rs. 1.32 lac/year.
3. (c) Installed Air compressor with VFD
to reduce power consump on in
Compressed Air system.
(ii) the steps taken by the company for u lizing Company is genera ng the Bio Gas from ETP
alternate sources of energy; plant and using the same in the boiler.
(iii) the capital investment on energy conserva on (a) NIL
equipment’s (b) NIL
(c) Rs. 18 lakh
Technology absorp on-
(i) the efforts made towards technology absorp on; NIL
(ii) the benefits derived like product improvement, 1. Installa on of fully auto HTST system for
cost reduc on, product development or import the Mix process area. It saves Fuel &
subs tu on increase produc vity & quality.
2. Installa on of Fully auto 4circuit CIP
system. It saves Fuel & improve micro
biological coliform result.
(iii) in case of imported technology (imported during NIL
the last three years reckoned from the beginning
of the financial year:
(a) the details of technology imported;
(b) the year of import
(c) whether the technology been fully absorbed
(d) if not fully absorbed, areas where absorp on
has not taken place, and the reasons thereof;
(iv) the expenditure incurred on Research and Company is doing con nuous in-house R&D
Development ac vi es, but the expenditure spent on such
ac vi es is insignificant.
36
Foreign Exchange Earning and Outgo:
(i) Foreign Exchange Earning Rs. 0.28 Lakhs
(ii) Foreign Exchange Outgo Rs. 504.67 Lakhs

Place: Ahmedabad
Regd Office:
37
Independent Auditors’ Report
To the Members of
Havmor Ice Cream Private Limited
Report on the Audit of the Ind AS Financial Statements
Opinion
We have audited the financial statements of Havmor Ice Cream Private Limited (“the Company”), which
comprise the Balance Sheet as at 31 March 2020, and the Statement of Profit and Loss (including other
comprehensive income), Statement of Changes in Equity and Cash Flow Statement for the year then ended,
and notes to the financial statements, including a summary of the significant accoun ng policies and other
explanatory informa on (hereina er referred to as “AS financial statements”).
In our opinion and to the best of our informa on and according to the explana ons given to us, the
aforesaid financial statements give the informa on required by the Companies Act, 2013 (“the Act”) in
the manner so required and give a true and fair view in conformity with the accoun ng principles generally
accepted in India, of the state of affairs of the Company as at 31 March 2020, and profit and other
comprehensive income, changes in equity and its cash flows for the year ended on that date.
Basis for opinion
We conducted our audit in accordance with the Standards on Audi ng (SAs) specified under sec on 143(10)
of the Act. Our responsibili es under those SAs are further described in the Auditor’s Responsibili es for
the Audit of the Ind AS Financial Statements sec on. We are independent of the Company in accordance
with the Code of Ethics issued by the Ins tute of Chartered Accountants of India together with the ethical
requirements that are relevant to our audit of the financial statements under the provisions of the Act
and the Rules thereunder, and we have fulfilled our other ethical responsibili es in accordance with these
requirements and the Code of Ethics. We believe that the audit evidence we have obtained is sufficient
and appropriate to provide a basis for our opinion.
Informa on Other than the Ind AS Financial Statements and Auditors’ Report Thereon
The Company’s management and Board of Directors are responsible for the other informa on. The other
informa on comprises the informa on included in the Company’s annual report, but does not include the
financial statements and our auditors’ report thereon.
Our opinion on the financial statements does not cover the other informa on and we do not express
any form of assurance conclusion thereon.
In connec on with our audit of the financial statements, our responsibility is to read the other informa on
and, in doing so, consider whether the other informa on is materially inconsistent with the financial
statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If,
based on the work we have performed, we conclude that there is a material misstatement of this other
informa on, we are required to report that fact. We have nothing to report in this regard.
38
Independent Auditors’ Report on financial statements (Con nued)
Management’s Responsibility for the Financial Statements
The Company’s management and Board of Directors are responsible for the ma ers stated in sec on 134(5)
of the Act with respect to the prepara on of these financial statements that give a true and fair view
of the state of affairs, profit and other comprehensive income, changes in equity and cash flows of the
Company in accordance with the accoun ng principles generally accepted in India, including the Indian
Accoun ng Standards (Ind AS) specified under sec on 133 of the Act. This responsibility also includes
maintenance of adequate accoun ng records in accordance with the provisions of the Act for safeguarding
of the assets of the Company and for preven ng and detec ng frauds and other irregulari es; selec on
and applica on of appropriate accoun ng policies; making judgments and es mates that are reasonable
and prudent; and design, implementa on and maintenance of adequate internal financial controls that
were opera ng effec vely for ensuring the accuracy and completeness of the accoun ng records, relevant
to the prepara on and presenta on of the financial statements that give a true and fair view and are
free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management and Board of Directors are responsible for assessing
the Company’s ability to con nue as a going concern, disclosing, as applicable, ma ers related to going
concern and using the going concern basis of accoun ng unless management either intends to liquidate
the Company or to cease opera ons, or has no realis c alterna ve but to do so.
Board of Directors is also responsible for overseeing the Company’s financial repor ng process.
Auditor’s Responsibili es for the Audit of the Financial Statements
Our objec ves are to obtain reasonable assurance about whether the financial statements as a whole
are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that
includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an
audit conducted in accordance with SAs will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate,
they could reasonably be expected to influence the economic decisions of users taken on the basis of
these financial statements.
As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional
skep cism throughout the audit. We also:
• Iden fy and assess the risks of material misstatement of the financial statements, whether due
to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit
evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not
detec ng a material misstatement resul ng from fraud is higher than for one resul ng from error,
as fraud may involve collusion, forgery, inten onal omissions, misrepresenta ons, or the override
of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances. Under sec on 143(3)(i) of the Act, we are
also responsible for expressing our opinion on whether the company has adequate internal
financial controls with reference to Ind AS financial statements in place and the opera ng
effec veness of such controls.
39
Auditor’s Responsibili es for the Audit of the Financial Statements (Con nued)
• Evaluate the appropriateness of accoun ng policies used and the reasonableness of accoun ng
es mates and related disclosures made by management.
• Conclude on the appropriateness of management’s use of the going concern basis of accoun ng
and, based on the audit evidence obtained, whether a material uncertainty exists related to events
or condi ons that may cast significant doubt on the Company’s ability to con nue as a going
concern. If we conclude that a material uncertainty exists, we are required to draw a en on
in our auditor’s report to the related disclosures in the financial statements or, if such disclosures
are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained
up to the date of our auditor’s report. However, future events or condi ons may cause the
Company to cease to con nue as a going concern.
• Evaluate the overall presenta on, structure and content of the financial statements, including
the disclosures, and whether the financial statements represent the underlying transac ons and
events in a manner that achieves fair presenta on.
We communicate with those charged with governance regarding, among other ma ers, the planned scope
and ming of the audit and significant audit findings, including any significant deficiencies in internal control
that we iden fy during our audit.
We also provide those charged with governance with a statement that we have complied with relevant
ethical requirements regarding independence, and to communicate with them all rela onships and other
ma ers that may reasonably be thought to bear on our independence, and where applicable, related
safeguards.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors’ Report) Order, 2016 (“the Order”) issued by the Central
Government in terms of sec on 143 (11) of the Act, we give in the “Annexure A” a statement
on the ma ers specified in paragraphs 3 and 4 of the Order, to the extent applicable.
(A) As required by Sec on 143(3) of the Act, we report that:

(a) we have sought and obtained all the informa on and explana ons which to the best
of our knowledge and belief were necessary for the purposes of our audit.
(b) proper books of account as required by law have been kept by the Company so far
as it appears from our examina on of those books.
(c) the Balance Sheet, the Statement of Profit and Loss (including other comprehensive
income), the Statement of Changes in Equity and the Cash Flow Statement dealt with
by this Report are in agreement with the books of account.
(d) in our opinion, the aforesaid financial statements comply with the Ind AS specified
under sec on 133 of the Act.
40
Report on Other Legal and Regulatory Requirements (Con nued)
(e) on the basis of the wri en representa ons received from the directors as on 31 March
2020 taken on record by the Board of Directors, none of the directors is disqualified
as on 31 March 2020 from being appointed as a director in terms of Sec on 164(2)
of the Act.
(f) with respect to the adequacy of the internal financial controls with reference to
financial statements of the Company and the opera ng effec veness of such controls,
refer to our separate Report in “Annexure B”.
(B) With respect to the other ma ers to be included in the Auditors’ Report in accordance
with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to
the best of our informa on and according to the explana ons given to us:
(i) The Company has disclosed the impact of pending li ga ons as at 31 March 2020
on its financial posi on in its financial statements - Refer Note 32(i) to the financial
statements.
(ii) The Company did not have any long-term contracts including deriva ve contracts for
which there were any material foreseeable losses.
(iii) There were no amounts which were required to be transferred to the Investor
Educa on and Protec on Fund by the Company.
(iv) The disclosures in the financial statements regarding holdings as well as dealings in
specified bank notes during the period from 8 November 2016 to 30 December 2016
have not been made in these financial statements since they do not pertain to the
financial year ended 31 March 2020.
(C) With respect to the ma er to be included in the Auditors’ Report under sec on 197(16):
In our opinion and according to the informa on and explana on given to us, the provisions
mandated under sec on 197 of the Companies Act, 2013 are not applicable to Company
as the Company is not a public company.
For B S R & Associates LLP

Chartered Accountants
Firm’s Registra on No. 116231W/W-100024
Jeyur Shah
Partner
Place: Ahmedabad Membership No. 045754
Date: 24th November 2020 ICAI UDIN: ________________________
41
Annexure A to the Independent Auditors’ Report - 31 March 2020
(Referred to in paragraph 1 under ‘Report on Other Legal and Regulatory Requirements’ sec on of our
report of even date)
(i) (a) The Company has maintained proper records showing full par culars including quan ta ve
details and situa on of fixed assets (“Property, plant and equipment”). However, details with
respect to loca on needs to be updated.
(b) The Company has a regular programme of physical verifica on of its fixed assets (“Property,
plant and equipment”) by which all items of fixed assets (“Property, plant and equipment”)
are verified once in three years. In our opinion, this periodicity of physical verifica on is
reasonable having regard to the size of the Company and the nature of its assets. The Company
has carried out physical verifica on of all the assets during the year except for the certain Deep
freezers and Push carts (gross block: Rs 9065.82 lakhs and net block: Rs 3874.98 lakhs) which
have not been physically verified by the management during previous three years. We are
informed that the Company is in the process of reconciling the records with the books in
accordance with the physical verifica on report. Accordingly, if any discrepancies found will be
dealt with appropriately in the books of accounts on comple on of such reconcilia on. Further,
any discrepancies on physical verifica on of remaining Deep Freezers and Push carts, will be
accounted for on their subsequent verifica on.
(c) According to the informa on and explana ons given to us and on the basis of our examina on
of the records of the Company, the tle deeds of immovable proper es are held in the name
of the Company except in respect of building (gross block: Rs 23.63 lakhs and net block: Rs
19.33 lakhs) which are in the erstwhile name of the Company.
(ii) The inventory, except material in transit, has been physically verified by the management during the
year. In our opinion, the frequency of such verifica on is reasonable. The discrepancies no ced on
verifica on between the physical stocks and the book records were not material and have been
properly dealt with in the books of account.
(iii) According to informa on and explana ons given to us, the Company has not granted any loans,
secured or unsecured, to companies, firms, Limited Liability Partnerships or other par es covered
in the register required to be maintained under Sec on 189 of the Companies Act, 2013 (“the Act”)
and accordingly paragraph 3 (iii) (a), (b) and (c) of the Order are not applicable to the Company.
(iv) In our opinion and according to the informa on and explana ons given to us, the Company has
not given any loan, made any investment, given any guarantee, or provided any security under Sec on
185 and 186 of the Act. Accordingly paragraph 3 (iv) of the Order is not applicable to the Company.
(v) In our opinion and according to the informa on and explana ons given to us, the Company has
not accepted deposits from public in accordance with the provisions of Sec ons 73 to 76 or any
other relevant provisions of the Act and the rules framed thereunder. Accordingly, paragraph 3 (v)
of the Order is not applicable to the Company.
(vi) The Central Government has not prescribed the maintenance of cost records Sec on 148(1) of the
Act for any of the products manufactured by the Company. Accordingly, paragraph 3(vi) of the Order
is not applicable.
42
Annexure A to the Independent Auditors’ Report – 31 March 2020 (Con nued)
(vii) (a) According to the informa on and explana ons given to us and on the basis of our examina on
of the records of the Company, amounts deducted/accrued in the books of account in respect
of undisputed statutory dues including, Provident fund, Income tax, duty of customs, Goods
and Service tax, Employees state insurance contribu on, Professional tax, Cess and other
material statutory dues have generally been regularly deposited during the year by the Company
with the appropriate authori es though there have been few delays in case of Tax deducted
at Source.
According to the informa on and explana ons given to us, no undisputed amounts payable
in respect of Professional tax, Employee state insurance contribu on, Service tax, Customs duty,
duty of excise, Income tax, Sales tax, Value added tax, Cess and other material statutory dues
were in arrears as at 3l March 2020 for a period of more than six months from the date they
became payable.
Further, pending clarity on the ma er as explained in Note 32 to the Ind AS financial statements
in respect of Provident Fund, the Company is currently unable to determine the extent of arrears
of such provident fund due as at 31 March 2020 outstanding for a period of more than six
months from the date they become payable.
(b) According to the informa on and explana ons given to us, there are no dues of Income-tax,
Sales-tax, Service tax, duty of customs, duty of excise, Goods and Service tax and Value added
tax which have not been deposited with the appropriate authori es on account of any dispute
except the following:
(`. in Lakhs)
Name of the Nature of dues Amount Amount Period to Forum where

statute demanded under which the dispute
(Rs. in lakhs) dispute not amount is pending
deposited relates
(Rs. in lakhs)
Rajasthan VAT Demand in respect 44.00 44.00 Year Dy. Commissioner
Act, 2003 of reversal of input 2009-10 to Appeals,
tax credit 2012-13 Jaipur
Telangana VAT Value Added Tax 38.50 38.50 Year The Appellate
Act, 2005 2015-16 to Deputy
2017-18 Commissioner
Income tax Income tax 206.44 206.44 AY 2017-18 Commissioner of

Act,1961 Income Tax
(Appeals)
(viii) In our opinion and according to the informa on and explana ons given to us, the Company
has not defaulted in repayment of dues to its bankers. The Company does not have any loans
or borrowings from financial ins tu ons and Government or dues to debenture holders.
43
Annexure A to the Independent Auditors’ Report – 31 March 2020 (Con nued)
(ix) The Company did not raise any money by way of ini al public offer or further public offer (including
debt instruments) or term loans. Accordingly, repor ng under paragraph 3(ix) of the Order is not
applicable to the Company.
(x) During the course of our examina on of the books and records of the Company, carried out in
accordance with the generally accepted audi ng prac ces in India, and according to the informa on
and explana ons given to us, we have neither come across any instance of fraud by the Company
or on the Company by its officers or employees, no ced or reported during the year, nor have we
been informed of any such case by the management.
(xi) The provisions of Sec on 197 of the Act read with Schedule V to the Act are not applicable to the
Company since the Company is not a public company as defined under Sec on 2(71) of the Act.
Accordingly, provisions of clause 3(xi) of the Order are not applicable the Company.
(xii) In our opinion and according to the informa on and explana ons given to us, the Company is not
a Nidhi company as prescribed under Sec on 406 of the Act. Accordingly, paragraph 3(xii) of the
Order is not applicable.
(xiii) According to the informa on and explana ons given to us and based on our examina on of the
records of the Company, transac ons with the related par es are in compliance with Sec ons 188
of the Act where applicable and details of such transac ons have been disclosed in the financial
statements as required by the applicable accoun ng standards. Sec on 177 of the Act is not applicable
to the Company.
(xiv) According to the informa on and explana ons given to us and based on our examina on of the
records of the Company, the Company has not made any preferen al allotment or private placement
of shares or fully or partly conver ble debentures during the year. Accordingly, paragraph 3 (xiv)
of the Order is not applicable to the Company.
(xv) According to the informa on and explana ons given to us and based on our examina on of the
records of the Company, the Company has not entered into non-cash transac ons, within the meaning
of Sec on 192 of the Act, with directors or persons connected with him. Accordingly, paragraph 3(xv)
of the Order is not applicable.
(xvi) According to the informa on and explana ons given to us, the Company is not required to be
registered under Sec on 45-IA of the Reserve Bank of India Act, 1934. Accordingly, paragraph 3(xvi)
of the Order is not applicable.
Firm’s registra on number: 116231W/W-100024
Jeyur Shah
Partner
Place : Ahmedabad Membership No. 045754
Date: 24th November 2020 ICAI UDIN: _____________________
44
Annexure B to the Independent Auditors’ report on the financial statements of
Havmor Ice Cream Private Limited for the year ended 31 March 2020
Report on the internal financial controls with reference to the aforesaid financial statements under Clause
(i) of Sub-sec on 3 of Sec on 143 of the Companies Act, 2013
(Referred to in paragraph 1(A)(f) under ‘Report on Other Legal and Regulatory Requirements’ sec on of
our report of even date)
Opinion
We have audited the internal financial controls with reference to financial statements of Havmor Ice Cream
Private Limited (Formerly, Havmor Ice Cream Limited) (“the Company”) as of 31 March 2020 in conjunc on
with our audit of the financial statements of the Company for the year ended on that date.
In our opinion, the Company has, in all material respects, adequate internal financial controls with reference
to financial statements and such internal financial controls were opera ng effec vely as at 31 March 2020,
based on the internal financial controls with reference to financial statements criteria established by the
Company considering the essen al components of internal control stated in the Guidance Note on Audit
of Internal Financial Controls Over Financial Repor ng issued by the Ins tute of Chartered Accountants
of India (the “Guidance Note”).
Management’s Responsibility for Internal Financial Controls
The Company’s management and the Board of Directors are responsible for establishing and maintaining
internal financial controls based on the internal financial controls with reference to financial statements
criteria established by the Company considering the essen al components of internal control stated in
the Guidance Note. These responsibili es include the design, implementa on and maintenance of adequate
internal financial controls that were opera ng effec vely for ensuring the orderly and efficient conduct
of its business, including adherence to company’s policies, the safeguarding of its assets, the preven on
and detec on of frauds and errors, the accuracy and completeness of the accoun ng records, and the
mely prepara on of reliable financial informa on, as required under the Companies Act, 2013 (hereina er
referred to as “the Act”).
Auditors’ Responsibility
Our responsibility is to express an opinion on the Company’s internal financial controls with reference
to financial statements based on our audit. We conducted our audit in accordance with the Guidance
Note and the Standards on Audi ng, prescribed under sec on 143(10) of the Act, to the extent applicable
to an audit of internal financial controls with reference to financial statements. Those Standards and the
Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether adequate internal financial controls with reference to financial
statements were established and maintained and whether such controls operated effec vely in all material
respects.
45
Annexure B to the Independent Auditors’ Report – 31 March 2020 (Con nued)
Meaning of Internal Financial controls with Reference to Financial Statements
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal
financial controls with reference to financial statements and their opera ng effec veness. Our audit of
internal financial controls with reference to financial statements included obtaining an understanding of
such internal financial controls, assessing the risk that a material weakness exists, and tes ng and evalua ng
the design and opera ng effec veness of internal control based on the assessed risk. The procedures
selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement
of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our opinion on the Company’s internal financial controls with reference to financial statements.
A company’s internal financial controls with reference to financial statements is a process designed to
provide reasonable assurance regarding the reliability of financial repor ng and the prepara on of financial
statements for external purposes in accordance with generally accepted accoun ng principles. A company’s
internal financial controls with reference to financial statements include those policies and procedures that
(1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the
transac ons and disposi ons of the assets of the company; (2) provide reasonable assurance that
transac ons are recorded as necessary to permit prepara on of financial statements in accordance with
generally accepted accoun ng principles, and that receipts and expenditures of the company are being
made only in accordance with authorisa ons of management and directors of the company; and (3) provide
reasonable assurance regarding preven on or mely detec on of unauthorised acquisi on, use, or
disposi on of the company’s assets that could have a material effect on the financial statements.
Inherent Limita ons of Internal Financial controls with Reference to Financial Statements
Because of the inherent limita ons of internal financial controls with reference to financial statements,
including the possibility of collusion or improper management override of controls, material misstatements
due to error or fraud may occur and not be detected. Also, projec ons of any evalua on of the internal
financial controls with reference to financial statements to future periods are subject to the risk that the
internal financial controls with reference to financial statements may become inadequate because of
changes in condi ons, or that the degree of compliance with the policies or procedures may deteriorate.

Firm’s registra on number: 116231W/W-100024
Jeyur Shah
Partner
Place : Ahmedabad Membership No. 045754
Date: 24th November 2020 ICAI UDIN: ___________________
46
Financial Statements
Balance Sheet
as at 31st March 2020
(`. in Lakhs)
Par culars Note 31 March 2020 31 March 2019
Assets
Non-current assets
(a) Property, plant and equipment 4 12,881.66 15,334.23
(b) Right of use assets 5 6,104.31 -
(c) Capital work-in-progress 6 223.76 382.20
(d) Goodwill 7 421.40
(e) Other intangible assets 8 370.35 201.63
(f) Intangible assets under development 8.52 122.20
(g) Financial assets
(i) Loans 9 293.57 307.18
(ii) Other financial assets 10 0.18 -
(h) Current tax assets (Net) 55.70 48.83 -
(i) Deferred tax assets (Net) 20 22.73 -
(j) Other non-current assets 11 327.35 975.27
20,709.53 17,371.54
Current assets
(a) Inventories 12 6,893.55 8,075.84
(b) Financial assets
(i) Trade receivables 13 1,090.33 1,332.71
(ii) Cash and cash equivalents 14A 4,952.11 2,128.32
(iii) Other bank balances 14B 47.28 164.64
(iv) Loans 9 98.78 59.45
(c) Other current assets 11 721.53 681.87
13,803.58 12,442.83
Total assets 34,513.11 29,814.37
Equity and liabili es

Equity
(a) Equity share capital 15 1,000.00 1,000.00
(b) Other equity 16 16,501.62 12,975.22
17,501.62 13,975.22
Liabili es
Non-current liabili es
(a) Financial liabili es
(i) Borrowings 17 5,107.98 2,833.28
(b) Provisions 19 144.11 70.92
(c) Deferred tax liabili es (Net) 20 - 342.99
(d) Other non-current liabili es 21 33.27 68.10
5,285.36 3,315.29
47
(`. in Lakhs)
Current liabili es
(a) Financial liabili es
(i) Borrowings 17 - 2,613.85
(ii) Trade payables - total outstanding dues of 22
(a) micro enterprises and small enterprises 370.14 245.98
(b) creditors other than micro enterprises
and small enterprises 2,484.97 2,545.37
(iii) Other financial liabili es 18 8,221.69 6,013.98
(b) Other current liabili es 21 394.78 783.44
(c) Provisions 19 252.30 196.72
(d) Current tax liabili es (net) 23 2.25 124.52
11,726.13 12,523.86
17,011.49 15,839.15
Total equity and liabili es 34,513.11 29,814.37
Significant accoun ng policies 3
The notes referred above are an integral part of these financial statements.
As per our report of even date a ached
For B S R & Associates LLP For and on behalf of the Board of Directors of
Chartered Accountants Havmor Ice Cream Private Limited
Firm’s Registra on No: 116231W/W-100024 CIN : U15200GJ2006PTC048016
Jeyur Shah Jung Yun Kang Park Byung Chan

Partner Chairman Whole Time Director
Membership No: 045754 DIN: 08025252 DIN: 08046421
Sanjay R. Patni Sonam Jain

Chief Financial Officer Company Secretary
Ahmedabad ICAI Memb. No. 073330 ICSI Memb. No.: A37095
24th November 2020 Ahmedabad,
24th November 2020
48
Statements of Profit and Loss
for the year ended 31st March 2020
(`. in Lakhs)
Income
Revenue from opera ons 24 59,326.90 57,155.25
Other income 25 580.60 295.43
Total income 59,907.50 57,450.68
Expenses
Cost of materials consumed 26 29,552.98 26,436.89
Purchase of stock-in-trade 295.04 525.52
Changes in inventories of finished goods, semi
finished goods and stock-in-trade 27 (525.25) 95.83
Employee benefits expense 28 5,759.05 5,469.84
Finance costs 29 675.28 338.49
Deprecia on and amor sa on expense 30 4,480.69 3,421.91
Other expenses 31 15,263.82 14,296.34
Total expenses 55,501.61 50,584.82
Tax expense:
Current tax 20 1,405.36 1,881.32
Excess provision of tax rela ng to earlier years (210.25) -
Deferred tax credit 20 (353.11) (312.96)
842.00 1,568.36
Profit for the year 3,563.89 5,297.50
Other comprehensive income

Items that will not be reclassified subsequently
to profit or loss
Re-measurements of defined benefit plan 16 (50.10) (28.49)
Income tax rela ng to above 16 12.61 9.96
Other comprehensive income for the year, net of tax (37.49) (18.53)
Total comprehensive income for the year 3,526.40 5,278.97
Earnings per share (Face Value Rs. 10) 35

Basic and Diluted (Rs.) 35.64 52.97
Significant accoun ng policies 3
49


24th November 2020
50
Statements of Changes in Equity
(`. in Lakhs)
[A] Equity share capital Note Number of shares Amount
Issued, Subscribed and Paid up capital 15

Equity shares of Rs. 10/- each fully paid up
Balance as at 1 April 2018 10,000,000 1,000.00

Changes in equity share capital during the year - -
Balance as at 31 March 2019 10,000,000 1,000.00
Changes in equity share capital during the year - -
Balance as at 31 March 2020 10,000,000 1,000.00
(`. in Lakhs)
[B] Other equity Reserves and surplus Total
General reserve Retained earnings
Balance as at 1 April 2018 73.47 7,622.78 7,696.25

Total comprehensive income for the year ended
31 March 2019
Profit for the year - 5,297.50 5,297.50
Items of other comprehensive income for
the year , net of taxes
Re-measurements of defined benefit plans - (18.53) (18.53)
Total comprehensive income for the year - 5,278.97 5,278.97
Balance at 31 March 2019 73.47 12,901.75 12,975.22
31 March 2020
Items of other comprehensive income for
the year, net of taxes
Balance at 31 March 2020 73.47 16,428.15 16,501.62
General reserve:
General reserve is created from me to me by way of transfer profits from retained earnings for appropria on
purposes. General reserve is created by a transfer from one component of equity to another and is not an
item of other comprehensive income.
Retained earnings :
The amount that can be distributed by the Company as dividends to its equity shareholders out of accumulated
reserves is determined considering the requirements of the Companies Act, 2013. Thus, the closing balance
amounts reported above are not distributable in en rety.
51


24th November 2020
52
Cash Flow Statement
(`. in Lakhs)

Cash flows from opera ng ac vi es
Adjustments for :
Deprecia on and amor sa on expense 4,480.69 3,421.91
Finance costs 675.28 338.49
Provision for expected credit loss 393.22 14.42
Interest income (565.25) (248.36)
Profit on sale of property, plant and equipment (Net) - (22.45)
Loss on sale of property, plant and equipment (Net) 33.82 -
Loss on re rement of property, plant and equipment 54.88 -
Liabili es no longer payable wri en back (10.07) (2.83)
Unrealised foreign exchange loss (net) 20.03 -
9,488.49 10,367.04
Working capital adjustments :
Increase/ (decrease) in trade payables 63.76 (6.25)
Increase in financial and other liabili es 458.91 1,022.54
Increase in provisions 78.67 47.94
(Increase) / decrease in trade receivables 208.24 (187.76)
(Increase) / decrease in inventories 1,182.29 (1,216.75)
(Increase) in loans (19.02) (119.23)
(Increase) in other assets (503.90) (8.21)
Cash generated from opera ons 10,957.44 9,899.32
Income taxes paid (Net) (1,324.25) (1,591.25)
Net cash generated from opera ng ac vi es (A) 9,633.19 8,308.07
Cash flows from inves ng ac vi es

Payments for purchase of items of property, plant and
equipment and other intangible assets (3,288.24) (4,858.76)
Proceeds from sale of items of property, plant and
equipment and other intangible assets 69.74 57.30
Proceeds from redemp on /(payments for purchase)
of term deposits (net) 108.11 (102.60)
Interest received 567.40 232.72
Net cash (used in) inves ng ac vi es (B) (2,542.99) (4,671.34)
53
(`. in Lakhs)
Cash flows from financing ac vi es
Repayment of non-current borrowings - (1,799.56)
Repayment of current borrowings (net) (2,600.00) (300.00)
Repayment of finance lease liability (977.28) (336.53)
Interest paid (689.13) (328.94)
Net cash (used in) financing ac vi es (C) (4,266.41) (2,765.03)
Net increase in cash and cash equivalents (A + B + C) 2,823.79 871.70

Cash and cash equivalents at the beginning of the year 2,128.32 1,256.62
Cash and cash equivalents at the end of the year 4,952.11 2,128.32
Notes :
1. The above Cash flow statement has been prepared under the “Indirect Method” set out in Indian Accoun ng
Standard 7 - Statement of Cash Flows. (`. in Lakhs)
As at As at
31 March 2020 31 March 2019
2. Cash and cash equivalents include:
Cash on Hand 11.12 18.21
Balances with banks:
In current accounts 204.99 308.20
Demand Deposit (Less than 3 months maturity) 4,736.00 1,801.91
4,952.11 2,128.32
3. Reconcilia on of movements of cash flows arising from financing ac vi es (`. in Lakhs)

Liabili es Total
Non-current Current
borrowings borrowings
Balance as at 1 April 2018 3,150.45 2,904.30 6,054.75
Cash Flow from financing ac vi es
Repayment of borrowings (1,799.56) (300.00) (2,099.56)
Repayment of finance lease liability (336.53) - (336.53)
Interest paid (293.43) (35.51) (328.94)
Total cash flow from financing ac vi es (2,429.52) (335.51) (2,765.03)
Liability related other changes 2,105.55 - 2,105.55
Interest expense 293.43 45.06 338.49
Balance as at 31 March 2019 3,119.91 2,613.85 5,733.76
Repayment of borrowings - (2,600.00) (2,600.00)
Repayment of finance lease liability (977.28) - (977.28)
Interest paid (654.37) (34.76) (689.13)
Total cash flow from financing ac vi es (1,631.65) (2,634.76) (4,266.41)
Liability related other changes 2,965.35 972.34 3,937.69
Interest expense 654.37 20.91 675.28
Balance as at 31 March 2020 5,107.98 972.34 6,080.32
54


24th November 2020
55
Accoun ng Policies
(Notes to the Ind AS Financial Statements for the years ended 31st March)
1. Repor ng en ty
Havmor Ice Cream Private Limited (Formerly, Havmor Ice Cream Limited) (‘the Company’) is a privately
held limited Company domiciled in India, with its registered office situated at 2 nd floor, Commerce
House 4, besides shell petrol pump, Prahladnagar Anandnagar road, Ahmedabad-380051. The Company
has been incorporated under the provisions of the Companies Act, 1956 (earlier Act of 2013). The
Company manufactures various flavors of ice creams sold in different forms of consumer packs like
bulk packs, party packs, family packs, sundaes, cups, cones, candies, bars, roll cut slices, etc.
With effect from 18 September 2018, on conversion of public limited company to private limited
company, the name of the Company has been changed from Havmor Ice Cream Limited to Havmor
Ice Cream Private Limited.
2. Basis of prepara on
(a) Statement of compliance
These financial statements have been prepared in accordance with Indian Accoun ng Standards
(Ind AS) as per the Companies (Indian Accoun ng Standards) Rules, 2015 no fied under Sec on
133 of Companies Act, 2013, (the ‘Act’) and other relevant provisions of the Act.
The financial statements were authorized for issue by the Company’s Board of Directors on 4
September 2020.
Details of the Company’s accoun ng policies are included in Note 3.
(b) Func onal and presenta on currency
These financial statements are presented in Indian Rupees (Rs.), which is also the Company’s
func onal currency. All amounts have been rounded-off to the nearest lakhs, unless otherwise
indicated.
(c) Basis of measurement
The Financial statements have been prepared on the historical cost basis except for the following
items:
Items Measurement basis
Net defined benefit (asset)/ liability Fair value of plan assets less present value of
defined benefit obliga ons
56
Notes to the Ind AS Financial (Con nued)
for the years ended 31st March 2020
2. Basis of prepara on (Con nued)

(d) Use of es mates and judgments
In preparing these financial statements, management has made judgments, es mates and
assump ons that affect the applica on of accoun ng policies and the reported amounts of assets,
liabili es, income and expenses. Actual results may differ from these es mates.
Es mates and underlying assump ons are reviewed on an ongoing basis. Revisions to accoun ng
es mates are recognised prospec vely.
Assump ons and es ma on uncertain es
Informa on about assump ons and es ma on uncertain es that have a significant risk of resul ng
in a material adjustment within the next financial year are included in the following notes:
Note 4, 5 and 8 Es mates of useful lives and residual value of Property, plant and
equipment and other intangible assets along with assessment of whether
an arrangement contains an element of lease
Note 13 Allowance for doub ul debts / expected credit losses
Note 20 Current / Deferred tax expense and recogni on of MAT Credit and
evalua on of recoverability of deferred tax assets
Note 36 Measurement of employee defined benefit obliga ons; key actuarial
assump ons
Note 19 Provisions and con ngencies
(e) Measurement of fair values

Fair value is the price that would be received to sell an asset or paid to transfer a liability in
an orderly transac on between market par cipants at the measurement date. The fair value
measurement is based on the presump on that the transac on to sell the asset or transfer the
liability takes place either:
(i) In the principal market for the asset or liability, or
(ii) In the absence of a principal market, in the most advantageous market for the asset or
liability.
The fair value of an asset or a liability is measured using the assump ons that market par cipants
would use when pricing the asset or liability, assuming that market par cipants act in their best
economic interest.
The Company uses valua on techniques that are appropriate in the circumstances and for which
sufficient data are available to measure fair value, maximizing the use of relevant observable
inputs and minimizing the use of unobservable inputs.
57
2. Basis of prepara on (Con nued)

(e) Measurement of fair values (Con nued)
Fair values are categorized into different levels in a fair value hierarchy based on the inputs used
in the valua on techniques as follows:
• Level 1: quoted prices (unadjusted) in ac ve markets for iden cal assets or liabili es.
• Level 2: inputs other than quoted prices included in Level 1 that are observable for the asset
or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).
• Level 3: inputs for the asset or liability that are not based on observable market data
(unobservable inputs).
Further informa on about the assump ons made in measuring fair values is included in the
following notes:
Note 36 Employee benefits

Note 38 Financial instruments
(f) Opera ng cycle

All the assets and liabili es have been classified as current or non-current as per the Company’s
normal opera ng cycle and other criteria set out in the Schedule III to the Companies Act, 2013.
Based on the nature of the products and the me between the acquisi on of assets for processing
and their realiza on in cash and cash equivalents, the Company has ascertained its opera ng
cycle as 12 months for the purpose of current and non-current classifica on of assets and liabili es.
3. Significant accoun ng polices
(a) Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one en ty and a
financial liability or equity instrument of another en ty.
(i) Recogni on and ini al measurement
A financial asset is recognised in the balance sheet when the Company becomes party to
the contractual provisions of the instrument. At ini al recogni on, the Company measures
a financial asset at its fair value plus or minus, in the case of a financial asset not at fair
value through profit or loss, transac on costs that are directly a ributable to the acquisi on
or issue of the financial asset. These includes trade and other receivables, loans, cash and
cash equivalents and bank balances.
Financial liabili es are classified, at ini al recogni on, as financial liabili es measured at
fair value through profit or loss and financial liabili es measured at amor zed cost as
appropriate.
58
3. Significant accoun ng polices (Con nued)

(a) Financial instruments (Con nued)
All financial liabili es are recognised ini ally at fair value and, in case of loans and borrowings
and payables, net of directly a ributable transac on costs.
The Company’s financial liabili es include trade and other payables and loan and borrowings
including bank overdra s.
(ii) Classifica on and subsequent measurement
Financial assets: classifica on
On ini al recogni on, a financial asset is classified as measured at
• Amor zed cost;

• FVTPL (fair value through profit or loss); and
• FVOCI (fair value through other comprehensive income).
Financial assets are not reclassified subsequent to their ini al recogni on, except if and
in the period the Company changes its business model for managing financial assets.
A financial asset is measured at amor zed cost if it meets both of the following condi ons
and is not designated as at FVTPL:
• the asset is held within a business model whose objec ve is to hold assets to collect
contractual cash flows; and
• the contractual terms of the financial asset give rise on specified dates to cash flows
that are solely payments of principal and interest (SPPI) on the principal amount
outstanding.
A financial asset is measured at fair value through other comprehensive income if both
of the following condi ons are met:
• The financial asset is held within a business model whose objec ve is achieved by both
collec ng the contractual cash flows and selling financial assets; and
• The asset’s contractual cash flows represent SPPI.
On ini al recogni on of an equity investment that is not held for trading, the Company
may irrevocably elect to present subsequent changes in the investment’s fair value in Other
Comprehensive Income (OCI) (designated as FVOCI – equity investment). This elec on is
made on an investment-by-investment basis.
59

All financial assets not classified as measured at amor zed cost or FVOCI as described above
are measured at FVTPL. On ini al recogni on, the Company may irrevocably designate a
financial asset that otherwise meets the requirements to be measured at amor zed cost
or at FVOCI as at FVTPL if doing so eliminates or significantly reduces an accoun ng mismatch
that would otherwise arise.
At present, the Company does not have any financial asset accounted at FVTPL or FVOCI.
Financial assets: Business model assessment
The Company makes an assessment of the objec ve of the business model in which a
financial asset is held at a por olio level because this best reflects the way the business
is managed and informa on is provided to management. The informa on considered
includes:
• the stated policies and objec ves for the por olio and the opera on of those policies
in prac ce. These include whether management’s strategy focuses on earning contractual
interest income, maintaining a par cular interest rate profile, matching the dura on of
the financial assets to the dura on of any related liabili es or expected cash ou lows
or realizing cash flows through the sale of the assets;
• how the performance of the por olio is evaluated and reported to the Company’s
management;
• the risks that affect the performance of the business model (and the financial assets
held within that business model) and how those risks are managed;
• how managers of the business are compensated – e.g. whether compensa on is based
on the fair value of the assets managed or the contractual cash flows collected; and
• the frequency, volume and ming of sales of financial assets in prior periods, the reasons
for such sales and expecta ons about future sales ac vity.
Transfers of financial assets to third par es in transac ons that do not qualify for
derecogni on are not considered sales for this purpose, consistent with the Company’s
con nuing recogni on of the assets.
Assessment whether contractual cash flows are solely payments of principal and interest
For the purposes of this assessment, ‘principal’ is defined as the fair value of the financial
asset on ini al recogni on. ‘Interest’ is defined as considera on for the me value of money
and for the credit risk associated with the principal amount outstanding during a par cular
period of me and for other basic lending risks and costs (e.g. liquidity risk and administra ve
costs), as well as a profit margin.
60

Financial assets: Business model assessment (Con nued)
In assessing whether the contractual cash flows are solely payments of principal and interest,
the Company considers the contractual terms of the instrument. This includes assessing
whether the financial asset contains a contractual term that could change the ming or
amount of contractual cash flows such that it would not meet this condi on. In making
this assessment, the Company considers:
• con ngent events that would change the amount or ming of cash flows;
• terms that may adjust the contractual coupon rate, including variable interest rate
features;
• prepayment and extension features; and
• terms that limit the Company’s claim to cash flows from specified assets (e.g. non
recourse features).
A prepayment feature is consistent with the solely payments of principal and interest
criterion if the prepayment amount substan ally represents unpaid amounts of principal
and interest on the principal amount outstanding, which may include reasonable addi onal
compensa on for early termina on of the contract. Addi onally, for a financial asset acquired
at a significant discount or premium to its contractual paramount, a feature that permits
or requires prepayment at an amount that substan ally represents the contractual par
amount plus accrued (but unpaid) contractual interest (which may also include reasonable
addi onal compensa on for early termina on) is treated as consistent with this criterion
if the fair value of the prepayment feature is insignificant at ini al recogni on.
Financial assets: Subsequent measurement and gains and losses
Financial assets These assets are subsequently measured at fair value. Net gains and
at FVTPL losses, including any interest or dividend income, are recognised in
profit or loss.
Financial assets These assets are subsequently measured at amor zed cost using
at amor zed cost the effec ve interest method. The amor zed cost is reduced by
impairment losses. Interest income, foreign exchange gains and
losses and impairment are recognised in profit or loss. Any gain or
loss on derecogni on is recognised in profit or loss.
61

Financial assets: Subsequent measurement and gains and losses (Con nued)
Financial liabili es are classified as measured at amor zed cost or FVTPL. A financial liability
is classified as at FVTPL if it is classified as held-for-trading, or it is a deriva ve or it is
designated as such on ini al recogni on. Financial liabili es at FVTPL are measured at fair
value and net gains and losses, including any interest expense, are recognised in profit or
loss. Other financial liabili es are subsequently measured at amor zed cost using the
effec ve interest method. Interest expense and foreign exchange gains and losses are
recognised in profit or loss. Any gain or loss on derecogni on is also recognised in profit
or loss.
(iii) Derecogni on
Financial assets
The Company derecognizes a financial asset when the contractual rights to the cash flows
from the financial asset expire, or it transfers the rights to receive the contractual cash
flows in a transac on in which substan ally all of the risks and rewards of ownership of
the financial asset are transferred or in which the Company neither transfers nor retains
substan ally all of the risks and rewards of ownership and does not retain control of the
financial asset.
If the Company enters into transac ons whereby it transfers assets recognised on its Balance
Sheet but retains either all or substan ally all of the risks and rewards of the transferred
assets, the transferred assets are not derecognized.
Financial liabili es
The Company derecognizes a financial liability when its contractual obliga ons are discharged
or cancelled, or expire.
The Company also derecognizes a financial liability when its terms are modified and the
cash flows under the modified terms are substan ally different. In this case, a new financial
liability based on the modified terms is recognised at fair value. The difference between
the carrying amount of the financial liability ex nguished and the new financial liability with
modified terms is recognised in profit or loss.
(iv) Offse ng
Financial assets and financial liabili es are offset and the net amount presented in the
Balance Sheet when, and only when, the Company currently has a legally enforceable right
to set off the amounts and it intends either to se le them on a net basis or to realize
the asset and se le the liability simultaneously.
62
(b) Property, plant and equipment
(i) Recogni on and measurement
Items of property, plant and equipment (including capital spares mee ng the defini on of
property, plant and equipment) are measured at cost, which includes capitalized borrowing
costs, less accumulated deprecia on and accumulated impairment losses, if any.
Cost of an item of property, plant and equipment comprises its purchase price, including
import du es and non-refundable purchase taxes, any directly a ributable cost of bringing
the item to its working condi on for its intended use and es mated costs of dismantling
and removing the item and restoring the site on which it is located but a er deduc ng
trade discounts and rebates.
The cost of a self-constructed item of property, plant and equipment comprises the cost
of materials and direct labour, any other costs directly a ributable to bringing the item
to working condi on for its intended use, and es mated costs of dismantling and removing
the item and restoring the site on which it is located.
If significant parts of an item of property, plant and equipment have different useful lives,
then they are accounted for as separate items (major components) of property, plant and
equipment.
Any gain or loss on disposal of an item of property, plant and equipment is recognised
in profit or loss.
(ii) Subsequent expenditure
Subsequent expenditure is capitalized only if it is probable that the future economic benefits
associated with the expenditure will flow to the Company.
(iii) Deprecia on
Deprecia on is provided on a pro rata basis on the straight line method over the useful
life of the assets based on technical evalua on done by management’s expert which are
different than those prescribed by Schedule II of the Companies Act, 2013, in order to reflect
the actual usage of assets. An item of PPE obtained under finance lease is depreciated
over the shorter of the lease term and its useful life.
The useful life, residual value and the deprecia on method are reviewed at least at each
financial year end. If the expecta on differs from previous es mates, the changes are
accounted for prospec vely as a change in accoun ng es mate.
63

(b) Property, plant and equipment (Con nued)
(iii) Deprecia on (Con nued)
The es mated useful lives of items of property, plant and equipment are as follows:
Class of assets Management es mate of useful life

Buildings (Freehold) 30 to 50 years
Plant and machinery (Freehold) 5 to 10 years
Office equipment 5 years
Furniture and fixtures 4 years
Vehicles 4 to 5 years
Computers 3 years
The useful life of following class of property, plant and equipment is based on internal
technical reassessment from 1 January 2018:
Descrip on of the asset Es mated life

Office building 50
Furniture 4
Plant and machineries 10
Cars 4
Leasehold land is amor zed over the period of lease.
All directly a ributable expenditure during the project construc on period are accumulated
and shown as capital work-in-progress un l the assets are ready for use.
(iv) Derecogni on
The carrying amount of an item of property, plant and equipment is derecognized on disposal
or when no future economic benefits are expected from its use or disposal. The
consequen al gain or loss is measured as the difference between the net disposal proceeds
and the carrying amount of the item and is recognised in the Statement of Profit and Loss.
(b) Capital work in progress
Cost of assets not ready for intended use, as on Balance Sheet date is shown as capital work
in progress. Advances given towards acquisi on of property, plant and equipment outstanding
at each Balance Sheet date are disclosed as other non-current assets.
64
(d) Intangible assets
(i) Recogni on and measurement
Intangible assets including those acquired by the Company are ini ally measured at cost.
Such intangible assets are subsequently measured at cost less accumulated amor za on
and any accumulated impairment losses.
(ii) Subsequent expenditure
Subsequent expenditure is capitalized only when it increases the future economic benefits
embodied in the specific asset to which it relates. All other expenditure is recognised in
profit or loss as incurred.
(iii) Amor za on
Intangible assets are amor zed over their es mated useful life as follows:
Asset Management es mate of useful life

Patent and trademark 10 years
So ware 5 years
The useful life of computer so ware have been reassessed from 1 January 2018 as 5 years
from 10 years.
Amor za on method, useful lives and residual values are reviewed at the end of each
financial year and adjusted if appropriate.
(iv) Derecogni on
The carrying amount of an intangible asset is derecognized on disposal or when no future
economic benefits are expected from its use or disposal. The gain or loss arising from the
Derecogni on of an intangible asset is measured as the difference between the net disposal
proceeds and the carrying amount of the intangible asset and is recognised in the Statement
of Profit and Loss when the asset is derecognized.
(e) Goodwill
Goodwill represents the cost of the acquired businesses in excess of the fair value of iden fiable
tangible and intangible net assets purchased. Goodwill is not amor sed; however it is tested
annually for impairment and carried at cost less accumulated impairment losses, if any.
65
(f) Foreign currency
Ini al recogni on
Ini al recogni on of foreign currency transac ons are recorded by applying to the foreign currency
amount at the exchange rate between the repor ng currency and the foreign currency at the
date of the transac on.
Subsequent recogni on
As at the repor ng date, non-monetary items which are carried in terms of historical cost
denominated in a foreign currency are reported using the exchange rate at the date of the
transac on. All non-monetary items which are carried at fair value or other similar valua on
denominated in a foreign currency are reported using the exchange rates that existed when the
values were determined.
Exchange differences on restatement of all monetary items are recognised in the Statement of
Profit and Loss.
(f) Inventories
Inventories which comprise raw materials, packing material, semi-finished goods, finished goods,
stock-in-trade and Store, spares and consumables are carried at the lower of cost and net realizable
value.
Cost of inventories comprises all costs of purchase, costs of conversion and other costs incurred
in bringing the inventories to their present loca on and condi on.
For determining cost, weighted average cost method is used. Cost of raw materials comprises
cost of purchases. The cost of finished goods and work in progress includes raw materials, direct
labour, other direct costs and appropriate por on of variable and fixed overhead expenditure
computed on normal capacity.
(h) Impairment
(i) Impairment of financial instruments

The Company recognizes loss allowances for expected credit losses on financial assets
measured at amor zed cost.
At each repor ng date, the Company assesses whether financial assets carried at amor zed
cost are credit-impaired. A financial asset is ‘credit-impaired’ when one or more events that
have a detrimental impact on the es mated future cash flows of the financial asset have
occurred.
66

(h) Impairment (Con nued)
Evidence that a financial asset is credit-impaired includes the following observable data:
• significant financial difficulty of the borrower or issuer;
• a breach of contract such as a default or being past due for 90 days or more;
• the restructuring of a loan or advance by the Company on terms that the Company
would not consider otherwise;
• it is probable that the borrower will enter bankruptcy or other financial re-organisa on.
The Company measures loss allowances at an amount equal to life me expected credit
losses, except for bank balances for which credit risk (i.e. the risk of default occurring over
the expected life of the financial instrument) has not increased significantly since ini al
recogni on, which are measured as 12 month expected credit losses.
The Company follows ‘simplified approach’ for recogni on of impairment loss allowance
on trade receivables or contract revenue receivables. Under the simplified approach, the
Company is not required to track changes in credit risk. Rather, it recognizes impairment
loss allowance based on life me ECLs together with appropriate management es mates for
credit loss at each repor ng date, right from its ini al recogni on.
The Company uses a provision matrix to determine impairment loss allowance of trade
receivables. The provision matrix is based on its historically observed default rates over the
expected life of the trade receivable and is adjusted for forward looking es mates. At every
repor ng date, the historical observed default rates are updated and changes in the forward-
looking es mates are analyzed.
Presenta on of allowance for expected credit losses in the Balance Sheet
Loss allowances for financial assets measured at amor zed cost are deducted from the gross
carrying amount of the assets.
(ii) Impairment of non-financial assets
Non-financial assets of the Company, other than inventories and deferred tax assets, are
reviewed at each repor ng date to determine whether there is any indica on of impairment.
If any such indica on exists, then the asset’s recoverable amount is es mated.
For impairment tes ng, assets that do not generate independent cash inflows are grouped
together into cash-genera ng units (CGUs). Each CGU represents the smallest group of assets
that generates cash inflows that are largely independent of the cash inflows of other assets
or CGUs.
67

(h) Impairment (Con nued)
The recoverable amount of a CGU (or an individual asset) is the higher of its value in use
and its fair value less costs to sell. Value in use is based on the es mated future cash flows,
discounted to their present value using a pre-tax discount rate that reflects current market
assessments of the me value of money and the risks specific to the CGU (or the asset).
The Company’s corporate assets (e.g., central office building for providing support to various
CGUs) do not generate independent cash inflows. To determine impairment of a corporate
asset, recoverable amount is determined for the CGUs to which the corporate asset belongs.
An impairment loss is recognised if the carrying amount of an asset or CGU exceeds its
es mated recoverable amount. Impairment losses are recognised in the Statement of Profit
and Loss. Impairment loss recognised in respect of a CGU is allocated first to reduce the
carrying amount of any goodwill allocated to the CGU, and then to reduce the carrying
amounts of the other assets of the CGU (or group of CGUs) on a pro rata basis.
In respect of other assets for which impairment loss has been recognised in prior periods,
the Company reviews at each repor ng date whether there is any indica on that the loss
has decreased or no longer exists. An impairment loss is reversed if there has been a change
in the es mates used to determine the recoverable amount. Such a reversal is made only
to the extent that the asset’s carrying amount does not exceed the carrying amount that
would have been determined, net of deprecia on or amor za on, if no impairment loss
had been recognised.
(iii) Goodwill:
Goodwill is tested for impairment, at least annually and whenever circumstances indicate
that it may be impaired. For the purpose of impairment tes ng, the Goodwill is allocated
to a CGU or group of CGUs, which are expected to benefit from the synergies arising from
the business combina on in which the said Goodwill arose. If the es mated recoverable
amount of the CGU including the Goodwill is less than its carrying amount, the impairment
loss is allocated first to reduce the carrying amount of any goodwill allocated to the CGU
and then to the other assets of the CGU on a pro-rata basis of the carrying amount of
each asset in the unit.
(i) Employee benefits
(i) Short-term employee benefits
Short-term employee benefit obliga ons are measured on an undiscounted basis and are
expensed as the related service is provided. A liability is recognised for the amount expected
to be paid, if the Company has a present legal or construc ve obliga on to pay this amount
as a result of past service provided by the employee, and the amount of obliga on can
be es mated reliably.
68

(i) Employee benefits (Con nued)
(ii) Defined contribu on plans

The Company has defined contribu on plans for post-employment benefits namely Provident
Fund. Under the Provident Fund Plan, the Company contributes to a Government administered
provident fund on behalf of its employees and has no further obliga on beyond making
its contribu on.
The Company’s contribu ons to the above funds are charged to Statement of Profit and
Loss every year.
(iii) Defined benefit plans
A defined benefit plan is a post-employment benefit plan other than a defined contribu on
plan. The Company’s net obliga on in respect of defined benefit plans is calculated separately
for each plan by es ma ng the amount of future benefit that employees have earned in
the current and prior periods, discoun ng that amount and deduc ng the fair value of any
plan assets.
The calcula on of defined benefit obliga on is performed annually by a qualified actuary
using the projected unit credit method. When the calcula on results in a poten al asset
for the Company, the recognised asset is limited to the present value of economic benefits
available in the form of any future refunds from the plan or reduc ons in future contribu ons
to the plan (‘the asset ceiling’). In order to calculate the present value of economic benefits,
considera on is given to any minimum funding requirements.
Re-measurements of the net defined benefit liability (asset), which comprise actuarial gains
and losses, the return on plan assets (excluding interest) and the effect of the asset ceiling
(if any, excluding interest), are recognised in OCI. The Company determines the net interest
expense (income) on the net defined benefit liability (asset) for the period by applying the
discount rate used to measure the defined benefit obliga on at the beginning of the annual
period to the then-net defined benefit liability (asset), taking into account any changes in
the net defined benefit liability (asset) during the period as a result of contribu ons and
benefit payments. Net interest expense and other expenses related to defined benefit plans
are recognised in profit or loss.
When the benefits of a plan are changed or when a plan is curtailed, the resul ng change
in benefit that relates to past service (‘past service cost’ or ‘past service gain’) or the gain
or loss on curtailment is recognised immediately in profit or loss. The Company recognizes
gains and losses on the se lement of a defined benefit plan when the se lement occurs.
69

(i) Employee benefits (Con nued)
(iv) Other long-term employee benefits
The Company’s net obliga on in respect of long-term employee benefits other than post-
employment benefits such as sick leave and leave encashment is the amount of future
benefit that employees have earned in return for their service in the current and prior
periods; that benefit is discounted to determine its present value, and the fair value of
any related assets is deducted. The obliga on is measured on the basis of an annual
independent actuarial valua on using the projected unit credit method. Re-measurements
gains or losses are recognised in profit or loss in the period in which they arise.
(j) Provisions and con ngencies (other than for employee benefits)
A provision is recognised if, as a result of a past event, the Company has a present legal or
construc ve obliga on that can be es mated reliably, and it is probable that an ou low of
economic benefits will be required to se le the obliga on. Provisions are determined by
discoun ng the expected future cash flows (represen ng the best es mate of the expenditure
required to se le the present obliga on at the Balance Sheet date) at a pre-tax rate that reflects
current market assessments of the me value of money and the risks specific to the liability.
The unwinding of the discount is recognised as finance cost. Expected future opera ng losses
are not provided for.
Con ngencies
Disclosure for a con ngent liability is made when there is a possible obliga on or a present
obliga on that may, but probably will not require an ou low of resources embodying economic
benefits or the amount of such obliga on cannot be measured reliably. When there is a possible
obliga on or a present obliga on in respect of which likelihood of ou low of resources embodying
economic benefits is remote, no provision or disclosure is made.
Con ngent asset

Con ngent assets are not recognized in Financial statements. However, the same is disclosed,
where an inflow of economic benefit is probable.
(k) Revenue
Revenue from contracts with customers is recognised when control of the goods or services are
transferred to the customer. The Company assesses promises in the contract to iden fy separate
performance obliga ons to which a por on of transac on price is allocated.
70

(k) Revenue (Con nued)
Revenue from the sale of products is recognised at the point in me when control is transferred
to the customer i.e. generally on the delivery of the goods. Revenue from franchise arrangement
where the franchisee obtains a “right to access” the Company’s intellectual property rights is
recognised over the access period i.e. period of franchise agreement.
Revenue for sale of services is recognised when the services are rendered and there are no
uncertain es involved to its ul mate realiza on.
Revenue is measured based on the transac on price, which is the considera on, adjusted for
customer discounts and incen ves, if any, as specified in the contract with the customer. In
determining the transac on price, the Company es mates the variable considera on to the extent
that it is highly probable that a significant reversal in the amount of cumula ve revenue recognised
will not occur when the uncertainty associated with the variable considera on is subsequently
resolved.
When the level of discount varies with increases in levels of revenue transac ons, the Company
recognizes the liability based on its es mate of the customer’s future purchases. If it is probable
that the criteria for the discount will not be met, or if the amount thereof cannot be es mated
reliably, then discount is not recognised un l the payment is probable and the amount can be
es mated reliably. The Company recognizes changes in the es mated amount of obliga ons for
discounts in the period in which the change occurs.
Contract balances
Contract assets
A contract asset is the right to considera on in exchange for goods or services transferred to
the customer e.g. unbilled revenue. If the Company performs by transferring goods or services
to a customer before the customer pays considera on or before payment is due, a contract asset
i.e. unbilled revenue is recognised for the earned considera on that is condi onal. The contract
assets are transferred to receivables when the rights become uncondi onal. This usually occurs
when the Company issues an invoice to the Customer.
Trade receivables
A receivable represents the Company’s right to an amount of considera on that is uncondi onal
i.e. only the passage of me is required before payment of considera on is due.
Contract liabili es
A contract liability is the obliga on to transfer goods or services to a customer for which the
Company has received considera on (or an amount of considera on is due) from the customer.
Contract liabili es are recognised as revenue when the Company performs under the contract.
71
(l) Government grants
Government grants are recognised where there is reasonable assurance that the grant will be
received and all a ached condi ons will be complied with. When the grant relates to revenue,
it is recognised in the Statement of Profit and Loss on a systema c basis over the periods to
which they relate. When the grant relates to an asset, its value is deducted from the gross carrying
amount of the asset which it relates to and the asset is shown net of the value of the grant.
(m) Leases
(a) The accoun ng policy pursuant to adop on of Ind AS 116 applicable for the year ended
March 31, 2020 is as follows:
Company as a lessee:
Ind AS 116 Leases replaces exis ng lease accoun ng guidance i.e. Ind AS 17 Leases. Effec ve
from 1st April, 2019, the Company adopted Ind AS 116 – Leases and applied the standard
to all lease contracts exis ng as on 1st April, 2019 using the modified retrospec ve method
on the date of ini al applica on i.e. 1st April, 2019. At incep on of a contract, the Company
assesses whether a contract is, or contains, a lease. A contract is, or contains, a lease if
the contract conveys the right to control the use of an iden fied asset for a period of me
in exchange for considera on. It sets out principles for the recogni on, measurement,
presenta on and disclosure of leases and requires lessees to account for all leases, except
short-term leases and leases for low-value items, under a single on-balance sheet lease
accoun ng model. A lessee recognises a right-of-use asset represen ng its right to use the
underlying asset and a lease liability represen ng its obliga on to make lease payments.
Lease term is a non-cancellable period together with periods covered by an op on to extend

the lease if the Company is reasonably certain to exercise that op on; and periods covered
by an op on to terminate the lease if the Company is reasonably certain not to exercise
that op on.
The Company recognizes a right-of-use asset and a lease liability at the lease commencement
date. The right-of-use asset is ini ally measured at cost, which comprises the ini al amount
of the lease liability adjusted for any lease payments made at or before the commencement
date, plus any ini al direct costs incurred and an es mate of costs to dismantle and remove
the underlying asset or to restore the site on which it is located, less any lease incen ves
received. Certain lease arrangements include the op on to extend or terminate the lease
before the end of the lease term.
72

(m) Leases (Con nued)
The right-of-use asset is subsequently depreciated using the straight-line method from the
commencement date to the earlier of the end of the useful life of the right-of-use asset
or the end of the lease term. The es mated useful lives of right-of-use assets are determined
on the same basis as those of property, plant and equipment. In addi on, the right-of-use
asset is periodically reduced by impairment losses, if any, and adjusted for certain re-
measurements of the lease liability.
The lease liability is ini ally measured at the present value of the lease payments that are
not paid at the commencement date, discounted using incremental borrowing rate. For
leases with reasonably similar characteris cs, the Company, on a lease by lease basis, may
adopt either the incremental borrowing rate specific to the lease or the incremental
borrowing rate for the por olio as a whole.
Lease payments included in the measurement of the lease liability comprises of fixed
payments, including in-substance fixed payments, amounts expected to be payable under
a residual value guarantee and the exercise price under a purchase op on that the Company
is reasonably certain to exercise, lease payments in an op onal renewal period if the
Company is reasonably certain to exercise an extension op on.
The lease liability is subsequently remeasured at amor zed cost using the effec ve interest
method. It is remeasured when there is a change in future lease payments arising from
a change in an index or rate, if there is a change in the Company’s es mate of the amount
expected to be payable under a residual value guarantee, or if Company changes its
assessment of whether it will exercise a purchase, extension or termina on op on.
When the lease liability is remeasured in this way, a corresponding adjustment is made
to the carrying amount of the right-of-use asset or is recorded in profit or loss if the carrying
amount of the right-of-use asset has been reduced to zero.
Lease liability and the right of use asset have been separately presented in the balance
sheet and lease payments have been classified as financing ac vi es.
The Company has elected not to recognize right-of-use assets and lease liabili es for short
term leases that have a lease term of less than or equal to 12 months with no purchase
op on and assets with low value leases. The Company recognizes the lease payments
associated with these leases as an expense in statement of profit and loss over the lease
term. The related cash flows are classified as opera ng ac vi es.
73

(m) Leases (Con nued)
Company as a lessor:
Leases for which the Company is a lessor is classified as a finance or opera ng lease.
Whenever the terms of the lease transfer substan ally all the risks and rewards of ownership
to the lessee, the contract is classified as a finance lease. All other leases are classified
as opera ng leases. Lease income from opera ng leases where the Company is a lessor
is recognised as income on a straight-line basis over the lease term. The respec ve leased
assets are included in the Balance Sheet based on their nature.
Transi on to New Standards
Effec ve April 1, 2019, the Company has adopted Indian Accoun ng Standard (Ind AS) 116
“Leases” upon which Right of Use (ROU) assets are recognised on April 1, 2019 for leases
previously classified as an opera ng lease. ROU assets are measured at an amount equal
to the lease liability, adjusted by the amount of prepaid or accrued lease payments
recognised in the balance sheet as at March 31, 2019.
On transi on, for leases classified as opera ng leases under Ind AS 17, the lease liabili es
are measured at the present value of the remaining lease payments, discounted at the
weighted average incremental borrowing rate of 8.33%.
(b) The accoun ng policy as per Ind AS 17 – Leases applicable for the compara ve year ended
March 31, 2019 is as follows:
Company as a lessee:
Leases in which a significant por on of the risks and rewards of ownership are not transferred
to the Company as lessee are classified as opera ng leases. Payments made under opera ng
leases (net of any incen ves received from the lessor) are charged to profit or loss on a
straight-line basis over the period of the lease unless the payments are structured to increase
in line with expected general infla on to compensate expected infla onary cost increases
for the lessor.
Company as a lessor:
Lease income from opera ng leases where the Company is a lessor is recognised as income
on a straight-line basis over the lease term unless the receipts are structured to increase
in line with expected general infla on to compensate for the expected infla onary cost
increases. The respec ve leased assets are included in the Balance Sheet based on their
nature.
74
(n) Recogni on of interest income or expense

Interest income or expense is recognised using the effec ve interest method.
The ‘effec ve interest rate’ is the rate that exactly discounts es mated future cash payments
or receipts through the expected life of the financial instrument to:
• the gross carrying amount of the financial asset; or
• the amor zed cost of the financial liability.
(o) Income tax

Income tax comprises of current and deferred tax. It is recognised in the Statement of Profit
and Loss except to the extent that it relates to an item recognised directly in equity or in OCI.
(i) Current tax
Current tax comprises of the expected tax payable or receivable on the taxable income or
loss for the year and any adjustment to the tax payable or receivable in respect of previous
years. The amount of current tax reflects the best es mate of the tax amount expected to
be paid or received a er considering the uncertainty, if any, related to income taxes. It is
measured using tax rates (and tax laws) enacted or substan vely enacted by the repor ng
date.
Current tax assets and current tax liabili es are offset only if there is a legally enforceable
right to set off the recognised amounts, and it is intended to realize the asset and se le
the liability on a net basis or simultaneously.
For units which enjoy tax holiday benefit, deferred tax assets and liabili es have been provided
for the tax consequences of those temporary differences between the carrying values of assets
and liabili es and their respec ve tax bases that reverse a er the tax holiday ends.
(ii) Deferred tax

Deferred tax is recognised in respect of temporary differences between the carrying amounts
of assets and liabili es for financial repor ng purposes and the corresponding amounts used
for taxa on purposes. Deferred tax is also recognised in respect of carried forward tax losses
and tax credits.
Minimum Alternate Tax (MAT) eligible for set-off in subsequent years (as per tax laws), is
recognised as an asset by way of credit to the Statement of Profit and Loss only if there
is convincing evidence that sufficient taxable profit will be available against which the unused
tax losses or unused tax credits can be u lised by the Company. At each Balance Sheet date,
the carrying amount of deferred tax in rela on to MAT Credit En tlement receivable is
reviewed to reassess realiza on.
75

(o) Income tax (Con nued)
Deferred tax assets are recognised to the extent that it is probable that future taxable profits
will be available against which they can be used. The existence of unused tax losses is strong
evidence that future taxable profit may not be available. Therefore, in case of a history of
recent losses, the Company recognizes a deferred tax asset only to the extent that it has
sufficient taxable temporary differences or there is convincing other evidence that sufficient
taxable profit will be available against which such deferred tax asset can be realized. Deferred
tax assets are reviewed at each repor ng date and are recognised/ reduced to the extent
that it is probable/ no longer probable respec vely that the related tax benefit will be realized.
Deferred tax is measured at the tax rates that are expected to apply to the period when
the asset is realized or the liability is se led, based on the laws that have been enacted
or substan vely enacted by the repor ng date.
The measurement of deferred tax reflects the tax consequences that would follow from the
manner in which the Company expects, at the repor ng date, to recover or se le the carrying
amount of its assets and liabili es.
Deferred tax assets and liabili es are offset if there is a legally enforceable right to offset
current tax liabili es and assets, and they relate to income taxes levied by the same tax
authority on the same taxable en ty, or on different tax en es, but they intend to se le
current tax liabili es and assets on a net basis or their tax assets and liabili es will be realized
simultaneously.
(iii) Presenta on of current and deferred tax:
Current and deferred tax are recognised as income or an expense in the Statement of Profit
and Loss, except when they relate to items that are recognised in OCI, in which case, the
current and deferred tax income/expense are recognised in OCI.
(p) Borrowing cost

Borrowing costs are interest and other costs incurred in connec on with the borrowing of funds.
Borrowing costs directly a ributable to acquisi on or construc on of an asset which necessarily
take a substan al period of me to get ready for their intended use are capitalized as part of
the cost of that asset. Other borrowing costs are recognised as an expense in the Statement
of Profit and Loss in the period in which they are incurred.
(q) Earnings per share

Basic EPS is computed by dividing net profit a er taxes for the year by weighted average number
of equity shares outstanding during the financial year, adjusted for bonus share elements in equity
shares issued during the year and excluding treasure shares, if any.
76

(q) Earnings per share (Con nued)
Diluted earnings per share adjusts the figures used in the determina on of basic earnings per
share to take into account the a er income tax effect of interest and other financing costs
associated with dilu ve poten al equity shares and the weighted average number of addi onal
equity shares that would have been outstanding assuming the conversion of all dilu ve poten al
equity shares.
(r) Segments repor ng
Opera ng segments are reported in a manner consistent with the internal repor ng provided
to the Chief Opera ng Decision Maker (CODM) of the Company. The CODM is responsible for
alloca ng resources and assessing performance of the opera ng segments of the Company.
(s) Cash and cash equivalents
Cash and Cash equivalents for the purpose of Cash Flow Statement comprise of cash, dra s and
cheques in hand, bank balances, unencumbered demand deposits with banks where the original
maturity is three months or less. Bank overdra s that are repayable on demand and form an
integral part of the Company’s cash management are included as a component of cash and cash
equivalent for the purpose of Cash Flow Statement.
Adjus ng events (that provides evidence of condi on that existed at the Balance Sheet date)
occurring a er the Balance Sheet date are recognized in the Financial statements. Material non
adjus ng events (that are induc ve of condi ons that arose subsequent to the Balance Sheet
date) occurring a er the Balance Sheet date that represents material change and commitment
affec ng the financial posi on are disclosed in the Directors’ Report.
77
4.
(`. in Lakhs)
Leasehold Building Plant and Machinery Office Furniture Vehicles Compu- Total
Equipment and ters
Fixture
Land Leasehold Freehold Leasehold Freehold
Note (i) Note (ii) Note (ii) Note (iv)
below below below below
Gross Block (At cost)

Balance as at 1 April 2018 130.22 424.80 1,423.04 1,018.57 11,034.50 177.78 286.82 946.61 155.58 15,597.92
Addi ons - - - 1,994.20 3,015.25 101.29 135.47 333.25 64.92 5,644.38
Deduc ons - - - - (20.94) (7.69) (2.01) (31.90) (7.78) (70.32)

Adjustments [ Notes (iii) below] - - 65.37 - - - - - - 65.37
A. Reconcilia on of carrying amount
Balance as at 31 March 2019 130.22 424.80 1,488.41 3,012.77 14,028.81 271.38 420.28 1,247.96 212.72 21,237.35
Balance as at 1 April 2019 130.22 424.80 1,488.41 3,012.77 14,028.81 271.38 420.28 1,247.96 212.72 21,237.35
Notes to the financial statements (Con nued)
Addi ons - - - - 3,602.57 51.53 54.24 225.94 110.89 4,045.17

Property, plant and equipment (Con nued)
Deduc ons - - (0.11) - (285.65) (5.27) (1.61) (34.22) (15.33) (342.19)

Adjustment on account of
adop on of Ind AS 116 [Note 34] (130.22) (424.80) - (3,012.77) - - - - - (3,567.79)
78
Balance as at 31 March 2020 - - 1,488.30 - 17,345.73 317.64 472.91 1,439.68 308.28 21,372.54
Accumulated deprecia on
Balance as at 1 April 2018 2.33 42.48 55.35 101.86 1,963.53 52.01 102.35 192.58 70.91 2,583.40
Deprecia on for the year 2.33 42.48 56.04 272.79 2,457.55 57.18 172.87 235.37 56.43 3,353.04
Deduc ons - - - - (10.18) (2.52) (0.76) (22.34) (3.92) (39.72)
Adjustments [ Notes (iii) below] - - 6.40 - - - - - - 6.40
Balance as at 31 March 2019 4.66 84.96 117.79 374.65 4,410.90 106.67 274.46 405.61 123.42 5,903.12
Balance as at 1 April 2019 4.66 84.96 117.79 374.65 4,410.90 106.67 274.46 405.61 123.42 5,903.12
Deprecia on for the year - - 59.34 2,724.45 65.05 66.06 273.23 65.58 3,253.71
Deduc ons - - (0.02) - (167.85) (4.05) (1.09) (19.92) (8.75) (201.68)
Adjustment on account of
adop on of Ind AS 116 [Note 34] (4.66) (84.96) - (374.65) - - - - - (464.27)
Balance as at 31 March 2020 - - 177.11 - 6,967.50 167.67 339.43 658.92 180.25 8,490.88
Carrying amounts (net)
Balance as at 31 March 2019 125.56 339.84 1,370.62 2,638.12 9,617.91 164.71 145.82 842.35 89.30 15,334.23
Balance as at 31 March 2020 - - 1,311.19 - 10,378.23 149.97 133.48 780.76 128.03 12,881.66
4. Property, plant and equipment (Con nued)

Note :
(i) The land is obtained on finance lease and the lease term in respect of the same is 99 years.
(ii) The Company entered into an arrangement whereby the supplier built a plant (including building),
which will be used to manufacture ice cream products for the Company under a take or pay agreement
for the contracted period of 10 years. Based on requirements of Ind AS 17, Leases read with Appendix
C to the Standard, the arrangement has been assessed to contain a finance lease. Consequently, the
underlying assets have been capitalised (details provided in a table below) with a corresponding
financial liability represen ng the discounted value of minimum lease rentals.
The Company has adopted Ind AS 116 “Leases” with effect from April 1, 2019 i.e. date of transi on
with modified retrospec ve approach. In respect of leases that were classified as finance leases
applying Ind AS 17, an amount of Rs 3103.52 Lacs has been reclassified from property, plant and
equipment to right-of-use lease assets.(details provided in Note 34).
(iii) During the year 2018-19, the Company has transferred the block of Investment property to Property,
plant and equipment as the building previously leased for rental earnings is now used for business
purposes.
(iv) Vehicles block includes 3 motor cars which were registered in the name of erstwhile Directors having
aggregate gross carrying value Rs. 180.13 lakhs and net carrying value of Rs. 79.88 lakhs as at 31
March 2018. During the previous year, the said vehicles have been sold to respec ve directors.
B. Commitments
For capital commitments made by the Company as at Balance sheet date, see Note 32.
79
5. Right of use assets

A. Reconcilia on of carrying amount (`. in Lakhs)
Leasehold Building Plant and Total
Land Machinery
Balance as at 1 April 2019 - - -
Transi on impact of Ind AS 116 [Note 34] 3,776.90 117.88 3,894.78
Addi ons - 1,607.43 1,607.43
Transferred from property, plant and
equipment [Note 34] 130.22 424.80 3,012.77 3,567.79
Transferred from prepaid expense 22.89 - 22.89
(Deduc ons) / Adjustments 438.33 (2,043.04) (1,604.71)
Balance as at 31 March 2020 130.22 4,662.92 2,695.04 7,488.18
Accumulated deprecia on
Balance as at 1 April 2019 - - - -
Deprecia on for the year 2.33 622.25 485.92 1,110.50
Transferred from property, plant and equipment 4.66 84.96 374.65 464.27
(Deduc ons) / Adjustments 37.31 (228.21) (190.90)
Balance as at 31 March 2020 6.99 744.52 632.36 1,383.87

Balance as at 31 March 2020 123.23 3,918.40 2,062.68 6,104.31
6. Capital work-in-progress
Reconcilia on of carrying amount (`. in Lakhs)
Amount
Cost (gross carrying amount)
Balance as at 1 April 2018 149.88
Addi ons 5,751.41
Assets capitalised during the year (5,519.09)
Balance as at 31 March 2019 382.20
Balance as at 1 April 2019 382.20
Addi ons 4,348.08
Assets capitalised during the year (4,506.52)
80
7. Goodwill
Goodwill
Balance as at 1 April 2018 -
Addi ons -
Deduc ons -
Balance as at 31 March 2019 -
Balance as at 1 April 2019 -
Addi ons 421.40
Deduc ons -
Note : The transac on to acquire the parlour business of M/s Havmor Restaurants Private Limited on a slump
sale and going concern basis was consummated through a Business Transfer Agreement (‘BTA’) on February
10, 2020.
The considera on of Rs 500.97 lacs is towards property, plant and equipment, other assets and net working
capital.Iden fiable assets acquired and liabili es recognised on the date of acquisi on are based on their fair
values as presented below :
(`. in Lakhs)
Par culars Amount
Property, plant and Equipment 80.77
Inventory 21.58
Fixed Deposits 12.87
Deposits 14.83
Pe y Cash Balance 1.38
Accounts Payable (51.86)
Total iden fiable net assetsat fair value 79.57
The resultant goodwill amounts to Rs.421.40 lacs. Goodwill paid reflects the premium for gaining immediate
entry to parlour market.
81
8. Other Intangible assets

Patents and So ware Total
trademark
Balance as at 1 April 2018 5.72 261.79 267.51
Addi ons - 107.03 107.03
Deduc ons - (7.45) (7.45)
Balance as at 31 March 2019 5.72 361.37 367.09
Addi ons - 302.91 302.91
Deduc ons - (20.62) (20.62)
Accumulated amor sa on
Deprecia on for the year 0.77 64.80 65.57
Deduc ons - (3.20) (3.20)
Deprecia on for the year 0.67 115.81 116.48
Deduc ons - (2.91) (2.91)

82
9. Loans*
(Unsecured considered good) (`. in Lakhs)
Non-current
Loans and advances to employees 2.75 6.27
Security deposits to vendors 290.82 300.91
293.57 307.18
Current
Loans and advances to employees 30.30 52.39
Security deposits to vendors 54.72 -
Interest accrued on deposits 13.76 7.06
98.78 59.45
Total 392.35 366.63
* No loans are credit impaired and there is no significant increase in credit risk of loans.
10. Other financial assets # (`. in Lakhs)

Non-current
Fixed deposits with banks having maturity more than
12 months from the repor ng date * 0.18 -
0.18 -
Total 0.18 -
* Pledged with bank as security against non fund based facili es obtained from Bankers.
83
11. Other assets (`. in Lakhs)

Non-current
Prepaid expenses 0.68 26.51
Capital advances 168.31 747.80
Balance with government authori es 158.36 27.37
Others - 173.59
Total [A] 327.35 975.27
Current
Prepaid expenses 92.32 83.64
Total [B] 92.32 83.64
Advances to vendors
Unsecured, considered good 629.21 598.23
Unsecured, considered doub ul 359.08 -
Total 988.29 598.23
Less : Provision for doub ul advances (359.08) -
Total [C] 629.21 598.23
Total [D = B+C] 721.53 681.87
Total [A+D] 1048.88 1,657.14
12 Inventories
(measured at lower of cost and net realisable value) (`. in Lakhs)
Raw materials 4,255.56 5,936.94
Packing materials 507.91 573.59
Semi finished goods 248.51 264.23
Finished goods 1,455.53 946.36
Stock-in-trade 31.80 -
Stores, spares and consumables 394.24 354.72
Total 6,893.55 8,075.84
Notes:
Carrying amount of inventories (included above) pledged as securi es for borrowings (refer note 17).
84
13. Trade receivables (`. in Lakhs)

Unsecured, considered good 1,090.33 1,332.71

Unsecured, considered doub ul 130.41 96.27
1,220.74 1,428.98
Less: Provision for expected credit losses 39 (130.41) (96.27)
Total 1,090.33 1,332.71
Notes:
(i) The Company’s exposure to credit risk and loss allowances related to trade receivables are disclosed
in Note 39.
(ii) Trade Receivables are pledged against borrowings (refer note 17).
14 Cash and other bank balances (`. in Lakhs)

[A] Cash and cash equivalents
Cash on Hand 11.12 18.21
Balance with banks:
In current accounts 204.99 308.20
Fixed deposit with original maturity of less than 3 months 4,736.00 1,801.91
Total 4,952.11 2,128.32
[B] Other bank balances

Fixed deposits with remaining maturity less than 12 Months* 47.28 164.64
Total 47.28 164.64
* Pledged with bank as security against non fund based facili es obtained from Bankers.
85
15. Equity share capital (`. in Lakhs)

Authorised Share capital
10,000,000 (31 March 2019: 10,000,000)
equity shares of Rs. 10 each 1,000.00 1,000.00
Issued, Subscribed and Paid up capital
10,000,000 (31 March 2019: 10,000,000)
equity shares of Rs. 10 each 1,000.00 1,000.00
All issued shares are fully paid up.
Reconcilia on of share outstanding at the beginning and at the end of the year (`. in Lakhs)
Numbers Amount Numbers Amount
At the beginning and at the end of the year 10,000,000 1,000.00 10,000,000 1,000.00
Rights, preferences and restric ons a ached to equity shares

The Company has only one class of equity shares having a par value of Rs. 10/- per share. Each holder
of equity shares is en tled to one vote per share. In the event of liquida on of the Company, the holders
of equity shares will be en tled to receive remaining assets of the Company, a er distribu on of all
preferen al amounts. The distribu on will be in propor on to the number of equity shares held by the
shareholders.
Details of shares held by the Holding Company (`. in Lakhs)

% holding Amount % holding Amount
99,99,998 shares (31 March 2019 : 99,99,998)
held by Lo e Confec onery Co. Ltd.,
Korea and two shares held by their Nominees 99.99% 1,000.00 99.99% 1,000.00
Details of Share holders holding more than 5% of Shares (`. in Lakhs)

Name of shareholder 31 March 2020 31 March 2019
No. of Shares % holding No. of Shares % holding
Lo e Confec onery Co. Ltd., Korea 9,999,998 99.99% 9,999,998 99.99%
Aggregate number of shares issued for considera on other than cash during the period of five years
immediately preceding the repor ng date
There are no shares allo ed either as fully paid up by way of bonus shares or under any contract without
payment received in cash during 5 years immediately preceding 31 March 2020.
86
16. Other equity (`. in Lakhs)
Par culars Reserves and surplus

General Retained Total
reserve earnings
Balance as at 1 April 2018 73.47 7,622.78 7,696.25
31 March 2019
Items of other comprehensive income for the year,
net of taxes
Balance at 31 March 2019 73.47 12,901.75 12,975.22
31 March 2020
Items of other comprehensive income for the year,
net of taxes
Balance at 31 March 2020 73.47 16,428.15 16,501.62
Analysis of Accumulated OCI (`. in Lakhs)

Remeasurement of
Defined Benefit Liability *
Balance as at 1 April 2018 (2.93)
Re-measurements of defined benefit plans (28.49)
Income tax effect 9.96
Balance as at 31 March 2019 (21.46)
Re-measurements of defined benefit plans (50.10)
Income tax effect 12.61
Balance as at 31 March 2020 (58.95)
* transferred to retained earnings
87
17. Borrowings
[A] Non-current borrowings (`. in Lakhs)
Non-current Current* Non-current Current*
Unsecured
Lease Liability (Refer note 34) 5,107.98 972.34 2,833.28 286.63
Total 5,107.98 972.34 2,833.28 286.63
* Refer “Other current financial liabili es”.
[B] Current borrowings (`. in Lakhs)

Secured loans from banks
Working capital demand loan (Refer note below) - 2,613.85
Total - 2,613.85
Note :
Short term secured borrowings from banks are secured by first charge on hypotheca on of stocks, book
debts, fixed deposits and all other movables, both present and future and further secured by first charge
by way of mortgage on all immovable proper es. These charges are ranking pari passu among working
capital lenders. Working capital demand loan is repayable on demand. The rate of interest is 9.60% p.a.
18. Other financial liabili es (`. in Lakhs)

Current
Current maturi es of lease liability 17A 972.34 286.63
Deposits from customer and others 4,962.11 3,964.96
Security deposit from vendors 1.00 1.00
Capital creditors 41 1,659.57 1,009.90
Employee benefits payable 350.98 321.56
Discount payable 275.69 429.93
Total 8,221.69 6,013.98
88
19. Provisions (`. in Lakhs)

Non-current
Provision for employee benefits 36
Provision for leave en tlement 40.40 35.61
Provision for gratuity 103.71 35.31
144.11 70.92
Current
Provision for employee benefits 36
Provision for leave en tlement 211.57 155.99
Provision for con ngencies (Refer note below) 40.73 40.73
252.30 196.72
Total 396.41 267.64
Note :
Movement in provision for con ngencies : (`. in Lakhs)
As at beginning of the year 40.73 42.59
Addi ons during the year - -
Provision wri en back during the year - (1.86)
As at end of the year 40.73 40.73
Provision for con ngencies represents es mates made for probable liabili es arising out of pending
assessment or disputes / li ga ons with various regulatory authori es. The ming of the ou low with
regard to the said ma er depends on the exhaus on of remedies available to the Company under relevant
laws and hence the Company is not able to reasonably ascertain the ming of the ou low.
89
20. Deferred tax liabili es / (assets) (net) (`. in Lakhs)

Deferred tax liabili es:
Difference between WDV of property, plant and equipment,
investment property and intangible assets as per books and
income tax 274.10 558.30
Financial asset measured at amor sed cost - 9.33
Deferred tax assets:
Expenses allowable for tax purpose on payment basis 101.77 95.63
Financial asset measured at amor sed cost - 10.20
Deferred revenue 26.10 35.57
Allowance for doub ul debts 123.19 33.64
Others 45.77 49.60
Total (22.73) 342.99
(i) Movements in deferred tax liabili es / (assets) (net) (`. in Lakhs)

Balance Recognised Recognised Others Balance
Par culars as at in in as at
1 April 2019 profit or loss OCI 31 March 2020
Deferred tax liability
Difference between WDV of
property, plant and equipment,
investment property and
intangible assets as per books
and income tax 558.30 (284.20) - - 274.10
Financial asset measured at
amor sed cost 9.33 (9.33) - - -
Deferred tax assets
Expenses allowable for tax
purpose on payment basis 95.63 (6.47) 12.61 - 101.77
amor sed cost 10.20 (10.20) - - -
Minimum Alternate Tax (MAT)
credit en tlement - - - - -
Deferred revenue 35.57 (9.47) - - 26.10
Allowance for doub ul debts 33.64 89.55 - - 123.19
Others 49.60 (3.83) - - 45.77
Total 342.99 (353.11) (12.61) - (22.73)
90
20 Deferred tax liabili es / (assets) (net) (Con nued) (`. in Lakhs)
Balance Recognised Recognised Others Balance

Par culars as at in in as at
1 April 2018 profit or loss OCI 31 March 2019
Deferred tax liability
Difference between WDV of property,

plant and equipment, investment
property and intangible assets as
per books and income tax 769.25 (210.95) - - 558.30

amor sed cost 7.14 2.19 - - 9.33
Deferred tax assets
Expenses allowable for tax purpose on

payment basis 30.09 55.58 9.96 - 95.63
Financial asset measured at amor sed

cost 7.43 2.77 - - 10.20
Minimum Alternate Tax (MAT) credit

en tlement 263.23 - - (263.23) -
Deferred revenue 26.69 8.88 - - 35.57
Allowance for doub ul debts 28.33 5.31 - - 33.64
Others 17.94 31.66 - - 49.60
Total 402.68 (312.96) (9.96) 263.23 342.99
The details of MAT credit available and recognised along with their expiry details are as below:
(`. in Lakhs)
MAT credit Expiry MAT credit Expiry
available assessment year available assessment year
AY 2016-17 - - 135.31 AY 2031-32
AY 2017-18 - - 127.92 AY 2032-33
91
20 Deferred tax liabili es / (assets) (net) (Con nued)
(ii) Reconcilia on of tax expenses and the accoun ng profit mul plied by India’s statutory tax rate:
(`. in Lakhs)
Tax using the Company’s statutory tax rate of 34.944% 1,539.59 2,399.21
Effect of
Non deduc ble expenses 38.00 3.64
Tax holiday incen ve (574.96) (793.48)
Change in tax rate (19.09) 4.17
Excess provisions of earlier years (210.25) -
Others 68.71 (45.18)
Tax expense at effec ve tax rate of 19.11 % (2018-19 - 22.843%) 842.00 1,568.36
(iii) Income tax expense recognised in Statement of Profit and Loss

(`. in Lakhs)
Current tax
Current tax on profit for the year 1,405.36 1,881.32
Short provision of tax rela ng to earlier years (210.25) -
Deferred tax
A ributable to origina on and reversal of temporary
differences [refer note 18(i) above] (353.11) (312.96)
842.00 1,568.36
(iv) Income tax expense recognised in other comprehensive income

(`. in Lakhs)
Deferred tax [refer note 18(i) above]
Deferred tax benefit on remeasurements of defined benefit plan 12.61 9.96
12.61 9.96
92
21. Other liabili es (`. in Lakhs)

Non-current
33.27 68.10
Current
Customer advances 55.84 129.25
Statutory liability 122.95 484.45
394.78 783.44
Total 428.05 851.54
22. Trade payables (`. in Lakhs)

Total outstanding dues of
Micro enterprises and small enterprises 41 370.14 245.98
Creditors other than micro enterprises and small
enterprises 2,484.97 2,545.37
Total 2,855.11 2,791.35
The Company’s exposure to currency and liquidity risks related to trade payables is disclosed in Note 39.
23. Current tax liability (Net) (`. in Lakhs)

Provision for taxa on (Net of advance tax) 2.25 124.52
Total 2.25 124.52
24. Revenue from opera ons (`. in Lakhs)

Revenue from contract with customers
Sale of finished goods 58,940.67 56,147.46
Sale of traded goods 142.28 698.55
Sale of services (Net) 111.02 160.95
Other opera ng revenue
Opera ng Income-Sale of Scrap 79.86 86.47
Others 53.07 61.82
59,326.90 57,155.25
93
25. Other income (`. in Lakhs)

Interest income:
on deposits with banks 484.01 227.46
from others 81.24 20.90
Rent income 5.28 21.79
Profit on sale of property, plant and equipment (Net) - 22.45
Liabili es no longer payable wri en back 10.07 2.83
580.60 295.43
26. Cost of materials consumed (`. in Lakhs)
Raw material consumed
Inventory of materials at the beginning of the year 5,936.94 4,763.16
Add: Purchases during the year 24,392.84 23,925.39
Less: Inventory of materials at the end of the year 12 4,255.56 5,936.94
26,074.22 22,751.61
Packing material consumed
Inventory of materials at the beginning of the year 573.59 485.29
Add: Purchases during the year 3,413.08 3,773.58
Less: Inventory of materials at the end of the year 12 507.91 573.59
3,478.76 3,685.28
Total 29,552.98 26,436.89
27. Changes in inventories of finished goods, semi finished goods and stock-in-trade (`. in Lakhs)
Inventory at the beginning of the year
Finished goods 946.36 883.57
Stock-in-trade - 105.87
1,210.59 1,306.42
Inventory at the end of the year 12
Finished goods 1,455.53 946.36
Stock-in-trade 31.80 -
1,735.84 1,210.59
Total (525.25) 95.83
94
28. Employee benefits expense (`. in Lakhs)

Salaries, wages and bonus 5,385.52 5,066.14
Contribu on to gratuity, provident and other funds 36 304.46 295.33
Staff welfare expenses 69.07 108.37
5,759.05 5,469.84
29. Finance costs (`. in Lakhs)

Interest on borrowings 20.91 84.59
Interest on lease liability 632.77 229.50
Interest to others 13.12 7.06
Other borrowing costs 8.48 17.34
675.28 338.49
30. Deprecia on and amor sa on expense (`. in Lakhs)

Deprecia on on property, plant and equipment 4 3,253.71 3,353.04
Amor sa on on right of use assets 5 1,110.50 -
Deprecia on on investment property - 3.30
Amor sa on on intangible assets 8 116.48 65.57
4,480.69 3,421.91
95
31. Other expenses (`. in Lakhs)

Consump on of stores, spares and consumables 400.95 481.36
Power and fuel 1,438.22 1,312.43
Rent 34 273.53 383.13
Repairs - Buildings 12.97 40.72
- Plant & Machinery 258.63 127.86
- Others 694.33 440.98
Rates and taxes 37.77 22.24
Insurance 91.30 83.22
Travelling expense 821.16 708.75
Contract labour charges 1,454.15 1,513.36
Freight and handling expenses 3,397.61 3,275.33
Adver sement expenses 3,432.71 2,983.59
Selling and distribu on expenses 1,721.33 2,002.30
Legal and professional fees 304.39 362.43
Prin ng, sta onery and communica ons expenses 91.87 87.69
Dona on expenses 0.56 -
Auditors’ remunera on (refer note (i) below) 17.40 17.16
Provision for expected credit loss 39 393.22 14.42
Director Si ng Fees 2.80 3.60
Expenditure towards Corporate Social Responsibility
(refer note (ii) below) 4.00 4.00
Loss on sale of property, plant and equipment (Net) 33.82 -
Loss on Re rement of property, plant and equipment 54.88 -
Loss on foreign currency transac on and transla on (Net) 22.15 0.89
Miscellaneous expenses 304.07 430.88
15,263.82 14,296.34
96
31. Other expenses (Con nued)
Note :
(i) Payment to Statutory Auditors (`. in Lakhs)
Payment to auditors (exclusive of goods and service tax)
- as auditor
- Statutory audit 10.00 10.00
- Tax audit 1.00 1.00
- Other services 6.12 6.00
- Reimbursement of expenses 0.28 0.16
Total 17.40 17.16
(ii) Expenditure towards Corporate Social Responsibility (CSR) ac vi es (`. in Lakhs)

A. Gross amount required to be spent by the Company 67.96 34.45
B. Amount spent during the year (in cash)
(i) Construc on/acquisi on of any asset - -
(ii) On purposes other than (i) above 4.00 4.00
C. Related party transac ons in rela on to corporate social
responsibility - -
D. Provision movement during the year:
Opening provision - -
Addi on during the year - -
U lised during the year - -
Closing provision - -
32. Con ngent liabili es and Commitments
(i) Con ngent liabili es (`. in Lakhs)

Claims against the Company not acknowledged as debts:
- Income tax ma ers in dispute 240.10 34.11
- Labour law ma ers in dispute 6.56 5.22
- Disputed demand of Rajasthan Commercial Tax Department (VAT) 44.00 44.00
- Disputed demand of Telangana Commercial Tax Department (VAT) 38.50 -
329.17 83.33
97
32. Con ngent liabili es and Commitments (Con nued)
Notes
(i) Pending resolu on of the respec ve proceedings, it is not prac cable for the Company to es mate
the mings of cash ou lows, if any, in respect of the above as it is determinable only on receipt
of judgments/decisions pending with various forums/authori es. The Company has reviewed all its
pending li ga ons and proceedings and has adequately provided for where provisions are required
and disclosed as con ngent liabili es where applicable, in its Ind AS Financial Statements. The Company
does not expect the outcome of these proceedings to have a materially adverse effect on its financial
posi on.
(ii) The Honourable Supreme Court of India vide its order dated 28th February, 2019 held that ‘Basic
Wages’ for the contribu on towards Provident Fund (PF) should only exclude [in addi on to specific
exclusions under Sec on 2(b)(ii) of the Employees Provident Fund Act, 1952]:
(a) amounts that are payable to the employee for undertaking work beyond the normal work which
he/she is otherwise required to put in and
(b) allowances which are either variable or linked to any incen ve for produc on resul ng in greater
output by an employee and that the allowances are not paid across the board to all employees
in a par cular category or were being paid especially to those who avail the opportunity.
Further, the proposed Social Security Code, 2019, when promulgated, would subsume labour laws
including Employees’ Provident Funds and Miscellaneous Provisions Act and amend the defini on of
wages on which the organisa on and its employees are to contribute towards Provident Fund. The
Company believes that there will be no significant impact on its contribu ons to Provident Fund due
to the proposed amendments. Addi onally, there is uncertainty and ambiguity in interpre ng and
giving effect to the guidelines of Hon. Supreme Court vide its ruling in February 2019, in rela on
to the scope of compensa on on which the organisa on and its employees are to contribute towards
Provident Fund. The Company will evaluate its posi on and act, as clarity emerges.
(ii) Capital commitments (`. in Lakhs)

Es mated amount of contracts remaining to be executed on
capital account and not provided for (net of advances) 868.13 990.18
98
33. Segment repor ng
A. Basis for segmenta on

In accordance with the requirements of Ind AS 108, Segment Repor ng, the Company primarily
operates in the segment of manufacturing and sale of Ice cream and related products. The
Managing Director of the Company allocate resources and assess the performance of the Company,
thus are the Chief Opera ng Decision Maker (CODM). The CODM monitors the opera ng results
of the business as a single segment, hence no separate segment needs to be disclosed.
B. Informa on about geographical areas
As the Company operates in India only, hence no separate geographical segment is disclosed.
C. Informa on about major customers
None of the customers account for more than 10% of the revenue of the Company.
34. Leases
Transi on to Ind AS 116, Leases

Ministry of Corporate Affairs (“MCA”) through Companies (Indian Accoun ng Standards) Amendment
Rules, 2019 and Companies (Indian Accoun ng Standards) Second Amendment Rules, has no fied the
Ind AS 116 Leases which replaces the exis ng lease standard, Ind AS 17 Leases, and other
interpreta ons. Ind AS 116 sets out the principles for the recogni on, measurement, presenta on
and disclosure of leases for both lessees and lessors.
Effec ve 1 April 2019, the Company adopted Ind AS 116 – Leases and applied the standard to all
lease contracts exis ng on 1 April 2019 using the modified retrospec ve method. The Company
recorded the lease liability at the present value of the lease payments discounted at the incremental
borrowing rate at the date of ini al applica on and right of use asset at an amount equal to the
lease liability adjusted for any prepayments/accruals recognised in the balance sheet as on 31 March
2019. There is no impact on retained earnings as on 1st April 2019.
This has resulted in recognizing a right of use lease assets (an amount equal to lease liability, adjusted
by pre-paid accrued rent) of Rs 3103.52 Lacs as at 1st April 2019.
The Company has elected below prac cal expedients on transi on to Ind AS 116:
1. Applied a single discount rate to a por olio of leases with reasonably similar characteris cs.
2. Applied the exemp on not to recognise right of use assets and lease liabili es with less than
12 months of lease term on the date of ini al applica on.
3. Excluded the ini al direct costs from the measurement of right of use asset at the date of ini al
applica on.
99
34. Leases (Con nued)
4. Elected not to reassess whether a contract is, or contains a lease at the date of ini al applica on.
Instead, for contracts entered into before the transi on date, the Company relied on its assessment
made applying Ind AS 17 Leases.
A contract is, or contains, a lease if the contract conveys the right to control the use of an iden fied
assets for a period of me in exchange for considera on.
Ind AS 116 introduces a single, on-balance sheet lease accoun ng model for lessees. The Company
has adopted Ind AS 116, effec ve annual repor ng period beginning 1 April 2019 and applied the
standards to its leases, prospec vely, applying the standards on ini al applica on without making any
adjustment to opening balance of retained earnings.
The Company has elected not to apply the requirements of Ind AS 116 to short term leases of all
the assets that have a lease term of twelve months or less and leases for which the underlying asset
is of low value. The lease payments associated with these leases are recognized as an expense on
a straight line basis over the lease term.
The weighted average incremental borrowing rate applied to lease liabili es as at 1 April 2019 is 10%.
(i) Maturity Analysis of Lease Liabili es (`. in Lakhs)
Par culars 31 March 2020

Maturity Analysis - Undiscounted
Less than one year 631.06
One to five years 4,148.49
More than five years 2,871.39
(`. in Lakhs)
Lease liabili es included in Balance Sheet 31 March 2020

- Current 972.34
- Non-current 5,107.98
(ii) Movement of Lease Liability (`. in Lakhs)
Par culars 31 March 2020

Balance as at April 1, 2019 8,645.01
Finance costs incurred during the year -107.67
Payment of lease liabili es -1,000.37
Cancella on of lease -1,456.64
Balance as at March 31, 2020 6,080.32
100
35. Earnings per share (`. in Lakhs)

Face value per equity share (in Rs.) 10.00 10.00
(a) Profit for the year a ributable to equity shareholders 3,563.89 5,297.50
(b) Number of equity shares at the beginning and
end of the year 10,000,000 10,000,000
(c) Weighted average number of equity shares for
calcula ng basic and diluted earnings per share 10,000,000 10,000,000
Earnings per share (in Rs.) :
- Basic and Diluted earnings per share (a/c) 35.64 52.97
36. Employee benefits
A. Defined contribu on plan

The Company makes defined contribu on to provident and pension fund, employee state insurance
scheme and super annua on fund.
Amount recognised as expense in the Statement of Profit and Loss (`. in Lakhs)
Employer’s contribu on to Provident fund and pension scheme 184.52 165.39
Employer’s contribu on to Employees state insurance scheme 44.63 62.81
Employer’s contribu on to super annua on fund - 9.84
229.15 238.04
B. Defined Benefit plan

(i) Gratuity
The Company has defined benefit plans for Gratuity to eligible employees. Valua on in respect of
gratuity has been carried out by an independent actuary, as at Balance sheet date. The Plan Assets
are administered by Life Insurance Corpora on of India (“LIC”) and Aditya Birla Sun Life Insurance
Company Limited as per Investment Pa ern s pulated for Pension and Group Schemes Fund by
Insurance Regulatory and Development Authority regula ons.
The following tables set out the funded status of the gratuity plans and the amounts recognised in
the Company’s financial statements :
101
36. Employee benefits (Con nued)

(B) Defined Benefit plan (Con nued)
(i) Gratuity (Con nued) (`. in Lakhs)

Reconcilia on of Opening and Closing Balances of defined
benefit obliga on
Benefit obliga ons at the beginning 411.46 333.34
Current service cost 72.72 61.25
Past service cost - -
Interest cost 30.10 26.15
Benefits paid (26.74) (25.80)
Net actuarial loss / (gain) recognised 61.07 16.52
Benefit obliga ons at the end 548.61 411.46
Reconcilia on of Opening and Closing Balances of the Fair
value of plan assets
Fair value of plan assets at the beginning 376.15 383.81
Expected return on plan assets 27.52 30.11
Contribu ons by the employer 57.00 -
Benefit paid (26.74) (25.80)
Actuarial gain/(loss) on plan assets 10.97 (11.97)
Plan assets at the end of the Year 444.90 376.15
Reconcilia on of fair value of assets and obliga on
Fair value of plan assets as at the end of the year 548.61 411.46
Present value of obliga on as at the end of the year 444.90 376.15
(Liability) recognised in balance sheet (103.71) (35.31)
Current -
Non-current (103.71) (35.31)

Expense recognised in profit or loss
Current service cost 72.72 61.25
Past service cost - -
Interest cost 30.10 26.15
Expected return on plan assets (27.52) (30.11)
75.30 57.29
Remeasurements recognised in other comprehensive income
Due to change in financial assump ons 25.76 24.69
Due to change in demographic assump ons 0.01 (4.57)
Due to experience adjustments 35.30 (3.60)
Return on plan assets excluding amounts included in interest income (10.97) 11.97
50.10 28.49
102

(i) Gratuity (Con nued)
The expected rate of return on assets is based on the expecta on of the average long term rate
of return on investment of the fund, during the es mated term of obliga on.
The obliga ons are measured at the present value of es mated future cash flows by using a discount
rate that is determined with reference to the market yields at the Balance Sheet date on Government
Bonds which is consistent with the es mated terms of the obliga on.
(`. in Lakhs)
Expected contribu on during the next financial year 181.68 -
Average outstanding term of the obliga ons (Years) 6.00 -
Funds managed by insurer 100% 100%
The es mates of future salary increases, considered in actuarial valua on, take into account infla on,
seniority, promo on and other relevant factors, such as supply and demand and the employment
market.
(`. in Lakhs)
Actuarial assump ons
[A] Financial assump ons
Discount Rate (per annum) 6.45% 7.30%
Expected rate of return on plan assets 6.45% 7.30%
Salary growth rate 7.00% 7.00%
[B] Demographic assump ons
Withdrawal rates 13.00% 13.00%
Mortality IALM (2012-14) IALM (2006-08)
Ul mate Ul mate
Sensi vity analysis
Reasonably possible changes at the repor ng date to one of the relevant actuarial assump ons holding
other assump ons constant, would have affected the defined benefit obliga on / asset by the amount
shown below:
(`. in Lakhs)
Increase Decrease Increase Decrease
Discount rate (1% movement) 518.58 581.96 389.77 435.46
Salary growth rate (1% movement) 580.44 519.34 434.53 390.11
A ri on rate (0.50% movement) 535.40 566.37 406.74 415.19
103

(i) Gratuity (Con nued)
The sensi vity analyses presented above may not be representa ve of the actual change in the defined
benefit obliga on as it is unlikely that the change in assump ons would occur in isola on of one
another as some of the assump ons may be correlated. Furthermore, in presen ng the above
sensi vity analysis, the present value of the defined benefit obliga on has been calculated using the
projected unit credit method at the end of the repor ng period, which is the same as that applied
in calcula ng the defined benefit obliga on liability recognised in the Balance Sheet.
(ii) Other long term employee benefits

Leave benefits
The Company has defined benefit plans for leave encashment and compensated absences to eligible
employees. Valua on in respect of leave encashment and compensated absences have been carried out
by an independent actuary, as at Balance sheet date. The Plan Assets are administered by Life Insurance
Corpora on of India (“LIC”) and Aditya Birla Sun Life Insurance Company Limited as per Investment Pa ern
s pulated for Pension and Group Schemes Fund by Insurance Regulatory and Development Authority
regula ons.
Amount of Rs. 91.81 lakhs (31 March 2018: Rs. 83.55 lakhs) towards leave benefits is recognised as an
expense and included in “Employee benefits expense” in the Statement of Profit and Loss.
Actuarial assump ons
[A] Financial assump ons
Discount Rate (per annum) 6.45% 7.30%
Expected rate of return on plan assets 6.45% 7.30%
Salary growth rate 7.00% 7.00%
[B] Demographic assump ons
Withdrawal rates 13.00% 13.00%
Mortality IALM (2012-14) IALM (2006-08)
Ul mate Ul mate
Leave availment rate 0% 0%
104
37. Related party transac ons

A. List of related par es
(i) Holding Company
Lo e Confec onery Co. Ltd., Korea (W.e.f 16 December 2017)
(ii) Fellow subsidiaries with whom the Company had transac ons during the year
Lo e India Corpora on Limited
(iii) Key management personnel
Mr. Jung Yung Kang Managing Director (W.e.f. 16 December 2017 to 16 October 2018)
Mr. Jung Yung Kang Execu ve Director & COO (W.e.f 16 October 2018 to 11 March 2020)
Mr. Jung Yung Kang Chairman & Execu ve Director (W.e.f 11 March 2020 to ll date)
Mr. Park Byung Chan Whole Time Director (W.e.f 8 January 2018 to ll date)
Mr. Mang Ko Noh Chairman & Non Execu ve Director (W.e.f 16 December 2017 to 11 March 2020)
Mr. Anindya Sundar Du a Managing Director (W.e.f 16 October 2018 to ll date)
Mr. D.G. Rajan Independent Director (W.e.f 16 December 2017 to 18 Sept 2018)
Mr. D.G. Rajan Non Execu ve Director (W.e.f 19 Sept 2018 to ll date)
Mr. Kim Kyunghun Director (W.e.f 1 August 2019 to 11 March 2020)
B. Transac ons with related par es (`. in Lakhs)

Nature of Transac on 31 March 2020 31 March 2019
Lo e Confec onery Co. Ltd., Korea
Sale of products (including GST) 0.14 -
Purchase of materials 21.17 -
Management consultancy charges 100.00 -
Royalty for brand usage 14.44 -
Training charges 0.03 -
Courier charges for material sold 0.20 -
Lo e India Corpora on Limited
Purchase of materials (including taxes) - 101.60
Rent expense (including taxes) 2.40 2.14

Reimbursement of expenses paid - 53.92
105
37. Related party transac ons (Con nued)
C. Compensa on to Key managerial personnel (`. in Lakhs)

Short term employee benefits # 222.35 217.94
Director Si ng Fees 2.80 3.60
# Key Managerial Personnel who are under the employment of the Company are en tled to post
employment benefits and other long term employee benefits recognised as per Ind AS 19, Employee
Benefits in the financial statements. As these employee benefits are lump sum amounts provided on the
basis of actuarial valua on, the same is not included above.
D. Balances with related par es (`. in Lakhs)
31 March 2020 31 March 2019

Rent deposit receivable
Lo e India Corpora on Limited 2.00 2.00
Trade payables
Lo e India Corpora on Limited 0.55 34.08
Lo e Confec onery Co. Ltd., Korea 103.00 -
E. Terms and condi ons
The terms and condi ons of the transac ons with related par es were no more favourable than those
available, or those which might reasonably be expected to be available, in respect of similar transac ons
with unrelated en es on an arm’s length basis. All outstanding balances are unsecured.
106
Notes to the financial statements (con nued)
for the year ended 31 March 2020
38. Fair Value Measurements
A. Financial instruments by category and their fair value
As at 31st March 2020 (`. in Lakhs)
Par culars Carrying amount Fair value

FVTPL FVOCI Amor sed Total Level 1 - Level 2 - Level 3 - Total
Cost Quoted price Significant Significant
in ac ve observable unobservable
markets inputs inputs
Financial assets
Loans - - 392.35 392.35 - - - -
Trade receivables - - 1,090.33 1,090.33 - - - -
Cash and cash
equivalents - - 4,952.11 4,952.11 - - - -
Other bank
balances - - 47.28 47.28 - - - -
Other financial
assets - - 0.18 0.18 - - - -
Total financial
assets - - 6,482.25 6,482.25 - - - -
Borrowings
(Including current
maturi es) - - 6,080.32 6,080.32 - - - -
Trade payables - - 2,855.11 2,855.11 - - - -
Other financial
liabili es - - 7,249.35 7,249.35 - - - -
Total financial
liabili es - - 16,184.78 16,184.78 - - - -
107
38. Fair Value Measurements (con nued)

A. Financial instruments by category and their fair value (con nued)
As at 31st March 2019 (`. in Lakhs)
Par culars Carrying amount Fair value

FVTPL FVOCI Amor sed Total Level 1 - Level 2 - Level 3 - Total
Cost Quoted price Significant Significant
in ac ve observable unobservable
markets inputs inputs
Financial assets
Loans - - 366.63 366.63 - - - -
Trade receivables - - 1,332.71 1,332.71 - - - -
Cash and
cash equivalents - - 2,128.32 2,128.32 - - - -
Other bank
balances - - 164.64 164.64 - - - -
Other financial
assets - - -....... -....... - - - -
Total financial
assets - - 3,992.30 3,992.30 - - - -
Borrowings
(Including current
maturi es) - - 5,733.76 5,733.76 - - - -
Trade payables - - 2,791.35 2,791.35 - - - -
Other financial
liabili es - - 5,727.35 5,727.35 - - - -
Total financial
liabili es - - 14,252.46 14,252.46 - - - -
# Fair value of financial assets and liabili es measured at amor sed cost is not materially different from the amor sed
cost. Further, impact of me value of money is not significant for the financial instruments classified as current.
Accordingly, the fair value has not been disclosed separately.
108
38. Fair Value Measurements (con nued)
B. Measurement of fair values
Types of inputs for determining fair value are as under:
Level 1 : Level 1 hierarchy includes financial instruments measured using quoted prices.
Level 2 : The fair value of financial instruments that are not traded in an ac ve market (for example,
traded bonds, over-the counter deriva ves) is determined using valua on techniques which
maximise the use of observable market data and rely as li le as possible on en ty-specific
es mates. If all significant inputs required to fair value an instrument are observable, the
instrument is included in level 2.
Level 3 : These instruments are valued based on significant unobservable inputs whereby future
cash flows are discounted using appropriate discount rate.
Transfers between Levels 1 and 2
There have been no transfers between Level 1 and Level 2 during the repor ng periods
Level 3 fair values

Transfer out of Level 3
There were no movement in level 3 in either direc ons during the financial year ending on 31 March
2020 and 31 March 2019.
39 Financial instruments risk management objec ves and policies
The Company has in place a well-defined risk management policy. The management regularly reviews
the risk and take appropriate steps to mi gate the risk. The Company has a robust Business Risk
Management (BRM) frame work to iden fy, evaluate business risks and opportuni es. This framework
seeks to create transparency, minimize adverse impact on the business objec ves and enhance the
Company’s compe ve advantage. The Company has exposure to the following risks arising from
financial instruments:
• Credit risk ;
• Liquidity risk ; and
• Market risk
109
39 Financial instruments risk management objec ves and policies (con nued)
(i) Credit risk
Credit risk is the risk that a customer or counterparty to a financial instrument will fail to perform
or fail to pay amounts due causing financial loss to the Company. The poten al ac vi es where credit
risks may arise include from cash and cash equivalents, security deposits or other deposits, loans
and advances to employees and customer receivables. The maximum credit exposure associated with
financial assets is equal to the carrying amount. Details of the credit risk specific to the Company
along with relevant mi ga on procedures adopted have been enumerated below:
Trade and other receivables
The Company’s exposure to credit Risk is the exposure that Company has on account of goods supplied
to a contractual counterparty or counterpar es, whether with collateral or otherwise for which the
contracted considera on is yet to be received. All receivables are reviewed and assessed for default
on a quarterly basis.
The Company provides for allowance for impairment that represents its es mate of expected losses
in respect of trade and other receivables. The Company has used a prac cal expedient by compu ng
the expected credit loss allowance for trade receivables based on a provision matrix.
Age of receivables (`. in Lakhs)

Not Due 670.81 783.56
0-3 Months 388.31 463.22
3-6 Months 11.64 95.89
6-9 Months 46.06 33.78
9-12 Months 16.01 3.44
> 1 year 87.91 49.09
1,220.74 1,428.98
Generally credit period is 7 Days to 90 Days. The above receivables which are past due but not impaired
are assessed on case-to-case basis. Management is of the view that these financial assets are not
impaired as there has not been any adverse change in credit quality and are envisaged as recoverable
based on the historical payment behaviour and extensive analysis of customer credit risk, including
underlying customers’ credit ra ngs, if they are available. Consequently, no addi onal provision has
been created on account of expected credit loss on the receivables. There are no other classes of
financial assets that are past due but not impaired. The provision for impairment of trade receivables,
movement of which has been provided below, is not significant / material. The concentra on of credit
risk is low due to fact that the customer base is large and unrelated.
110
(i) Credit risk (con nued)
Movements in Expected Credit Loss allowance (`. in Lakhs)

Balance at the beginning of the year 96.27 81.85
Movements in allowance 34.14 14.42
Closing balance 130.41 96.27
The maximum exposure to credit risk for financial assets by geographic region was as follows:
(`. in Lakhs)
India 1,090.33 1,332.71
1,090.33 1,332.71
Other financial assets
Other financial assets includes cash and cash equivalents, security deposits or other deposits, loans
and advances to employees etc.
• Cash and cash equivalents and Bank deposits are placed with banks having good reputa on and
past track record with adequate credit ra ng.
• Loan and advances to employees are unsecured in nature. Based on historical ternds, the
management does not forsee any credit risk.
• The Company has given security deposits to various government authori es and other par es.
Based on historical ternds, the management does not forsee any credit risk.
(ii) Liquidity risk
Liquidity risk is the risk that the Company will encounter difficulty in mee ng the obliga ons associated
with its financial liabili es that are proposed to be se led by delivering cash or other financial asset.
The Company’s financial planning has ensured, as far as possible, that there is sufficient liquidity to
meet the liabili es whenever due, under both normal and stressed condi ons, without incurring
unacceptable losses or risking damage to the Company’s reputa on. The Company has prac ced
financial diligence and syndicated adequate liquidity in all business scenarios.
111
(ii) Liquidity risk (con nued)
Financing arrangement
The Company had access to the following undrawn borrowing facili es at the end of the repor ng
period:
(`. in Lakhs)
Floa ng rate
Expiring within one year
(bank overdra and other facili es) 5,000.00 4,400.00
Total 5,000.00 4,400.00
Further, the Company has also ed-up addi onal sources of liquidity to meet the liabili es during
the respec ve annual years which has ensured that the Company has a clean track record with no
adverse events pertaining to liquidity risk.
Exposure to liquidity risk

The following are the remaining contractual maturi es of financial liabili es at the repor ng date.
The amounts are gross and undiscounted, and include es mated interest payments and exclude the
impact of ne ng agreements.
(`. in Lakhs)
Carrying Contractual cash flows

st
As at 31 March 2020 amount Total Less than More than
12 months 12 months
Non-deriva ve financial liabili es
Borrowings 6,080.32 6,080.32 972.34 5,107.98
Trade payables 2,855.11 2,855.11 2,855.11 -
Other financial liabili es 7,249.35 7,249.35 7,249.35 -
Total 16,184.78 16,184.78 11,076.80 5,107.98
112
(ii) Liquidity risk (con nued)
(`. in Lakhs)
Carrying Contractual cash flows
st
As at 31 March 2019 amount Total Less than More than
12 months 12 months
Non-deriva ve financial liabili es
Borrowings 5,733.76 5,733.76 286.63 5,447.13
Trade payables 2,791.35 2,791.35 2,791.35 -
Other financial liabili es 5,727.35 5,727.35 5,727.35 -
Total 14,252.46 14,252.46 8,805.33 5,447.13
(iii) Market risk

Market risk is the risk that changes in market prices – such as foreign exchange rates, interest rates
and equity prices – will affect the Company’s income or the value of its holdings of financial
instruments. Price risk is not applicable to the Company.
Currency risk
Transac ons executed in foreign exchnage are not material and hence, the currency risk is
insignificant.
Interest rate risk
Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value
interest rate risk is the risk of changes in fair values of fixed interest bearing investments because
of fluctua ons in the interest rates. Cash flow interest rate risk is the risk that the future cash flows
of floa ng interest bearing investments will fluctuate because of fluctua ons in the interest rates.
The Company’s por olio of borrowings comprises only floa ng rate loans which are monitored
con nuously in the light of market condi ons. The below carrying amount exclude the oblga on under
finance lease and working capital demand loan.
113
(iii) Market risk (con nued)
(`. in Lakhs)
Fixed-rate instruments 31 March 2020 31 March 2019
Financial assets 4,783.46 1,966.55
Financial liabili es - -
Variable-rate instruments
Financial assets - -
Financial liabili es - -
Sensi vity analysis

Profit or loss is sensi ve to higher/lower interest expense from borrowings as a result of change in
interest rates. The following table demonstrates the sensi vity of floa ng rate financial instruments
to a reasonably possible change in interest rates. The risk es mates provided assume a parallel shi
of 50 basis points interest rate across all yield curves. This calcula on also assumes that the change
occurs at the balance sheet date and has been calculated based on risk exposures outstanding as
at that date. The year end balances are not necessarily representa ve of the average debt outstanding
during the period.
Sensi vity analysis (`. in Lakhs)
Par culars Impact on profit before tax

31 March 2020 31 March 2019
Interest rate
- increase by 50 basis points - -
- decrease by 50 basis points - -
40. Capital management

The Company defines capital as total equity including issued equity share capital and all other equity
reserves of the Company (which is the Company’s net asset value). The primary objec ve of the
Company’s financial framework is to support the pursuit of value growth for shareholders, while
ensuring a secure financial base.
The Company monitors capital using a ra o of ‘adjusted net debt’ to ‘adjusted equity’. For this purpose,
adjusted net debt is defined as total liabili es, comprising interest-bearing loans and borrowings and
obliga ons under finance leases, less cash and cash equivalents. Adjusted equity comprises all
components of equity.
114
40. Capital management (con nued)
The Company’s adjusted net debt to equity ra o was as follows : (`. in Lakhs)

Total borrowings 17 6,080.32 5,733.76
Less: cash and bank balances 14 4,999.39 2,292.96
Adjusted net debt 1,080.93 3,440.80
Equity share capital 1,000.00 1,000.00
Other equity 16,501.62 12,975.22
Total equity 17,501.62 13,975.22
Adjusted net debt to adjusted equity ra o 0.06 0.25
41 Details of Dues to Micro, Small & Medium Enterprises as defined under MSMED Act, 2006
(`. in Lakhs)
Trade Capital Trade Capital
payables creditors payables creditors
The principal amount remaining unpaid to any supplier
at the end of each accoun ng year; 350.09 124.19 225.93 95.95
The interest due thereon remaining unpaid to any
supplier at the end of each accoun ng year; 20.05 - 20.05 -
The amount of interest paid by the buyer in terms of
sec on 16 of the Micro, Small and Medium Enterprises
Development Act, 2006 (27 of 2006), along with
the amount of the payment made to the supplier
beyond the appointed day during each accoun ng year; 5,224.38 156.74 1,415.07 -
The amount of interest due and payable for the period
of delay in making payment (which has been paid but
beyond the appointed day during the year) but without
adding the interest specified under the Micro, Small and
Medium Enterprises Development Act, 2006; - - 5.70 -
The amount of interest accrued and remaining unpaid at
the end of each accoun ng year; and 20.05 - 20.05 -
The amount of further interest remaining due and payable
even in the succeeding years, un l such date when the
interest dues above are actually paid to the small
enterprise, for the purpose of disallowance of a deduc ble
expenditure under sec on 23 of the Micro, Small and
Medium Enterprises Development Act, 2006. - - - -
115
41. Details of Dues to Micro, Small & Medium Enterprises as defined under MSMED Act, 2006 (con nued)
The disclosure in respect of the amount payable to enterprises which have provided goods and services
to the Company and which qualify under the defini on of micro and small enterprises, as defined
under Micro, Small and Medium Enterprises Development Act, 2006 has been made in the Financial
statement as at the repor ng date based on the informa on received and available with the Company.
On the basis of such informa on, no interest is payable to any micro, small and medium enterprises.
42. Impact of COVID – 19
The outbreak of Coronavirus (COVID-19) pandemic globally and in India is causing significant
disturbance and slowdown of economic ac vity. COVID-19 is significantly impac ng business opera on
of the companies, by way of interrup on in produc on, supply chain disrup on, unavailability of
personnel, closure / lock down of produc on facili es etc. On 24th March 2020, the Government
of India ordered a na onwide lockdown for 21 days which further got extended on me to me
and it is extended ll 31st May 2020 to prevent community spread of COVID-19 in India resul ng
in significant reduc on in economic ac vi es.
The Company is closely monitoring the impact of the pandemic on all aspects of its business, including
how it will impact its customers, employees, vendors and business partners. The management has
exercised due care, in concluding on significant accoun ng judgements and es mates, inter-alia,
recoverability of receivables, assessment for impairment of assets, intangible assets, inventory, based
on the informa on available to date, both internal and external, while preparing the financial
statements as of and for the year ended 31st March, 2020. The impact of the global health pandemic
may be different from the es mated as at the date of approval of these financial statements and
the Company will con nue to closely monitor any material changes to future economic condi ons.
The Company believe that the factors considered are reasonable under the current circumstances.
43. Disclosures under Ind AS 115, Revenue from contracts with customers
(i) Reconcilia on the amount of revenue recognised in the Statement of Profit and Loss with the
contracted price:
(`. in Lakhs)
Revenue as per contracted price 62,133.01 58,977.83
Adjustments
Discounts (2,806.11) (1,822.58)
Revenue from contract with customers 59,326.90 57,155.25
116
43. Disclosures under Ind AS 115, Revenue from contracts with customers (con nued)
(ii) Contract balances

The following table provides informa on about receivables, contract assets and contract liabili es
from the contracts with customers.
(`. in Lakhs)
Trade receivables 1,090.33 1,332.71
Contract liabili es - deferred revenue /
customer advances
Non-current 33.27 68.10
Current 271.83 298.99
The contract assets primarily relate to the Company’s right to considera on for work completed
but not billed at the repor ng date. The contract assets are transferred to receivables when the
rights become uncondi onal. This usually occurs when the Company issues an invoice to the
Customer. The contract liabili es primarily relate to the advance considera on received from the
customers. Revenue recognised that was included in the contract liability balance at the beginning
of the period are Rs. 307.89 lakhs for the year ended 31 March 2020 (31 March 2019: Rs. 249.90
lakhs).
(iii) Disaggrega on of revenue
The management is of the view that above informa on and the segment informa on as reported
under Note 33 Segment repor ng is sufficient to meet the disclosure objec ve with respect to
disaggrega on of revenue based on products and services under Ind AS 115, Revenue from
contract with Customers. Accordingly, no seperate disclosure is provided.
117
44. Previous year compara ves
Previous year figures have been regrouped / reclassified, where necessary, to conform to this year’s
classifica on.
As per our report of even date a ached.


24th November 2020
118
MAP

Havmor Annual Report 2019-2020

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Havmor Annual Report 2019-2020

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HAVMOR ICE CREAM PRIVATE LIMITED

Registered Oﬃce 2nd Floor, Commerce House - 4,

Plant Address Plot no. 185/A, phase-1,

Outsourcing Plants Mann Frozen Foods Private Limited, Faridabad

Chief Financial Oﬃcer Sanjay R. Patni

Company Secretary Sonam Jain

Auditors B S R & Associates LLP

Tax Advisors Ernst & Young LLP

Bankers HDFC Bank Limited

Annexure to Director’s Report 18 - 37

Independent Auditor’s Report 38 - 46

Financial Statement 47 - 118

By Order of the Board

Date : 17/11/2020 Sonam Jain

ITEM NO.: 3 REGULARIZATION OF ADDITIONAL DIRECTOR MR.MYEONGRIM CHOI

Mr. Myeongrim Choi bearing the:

ITEM NO.: 4 REGULARIZATION OF ADDITIONAL DIRECTOR MR. YOUNGDONG JIN

Mr. Youngdong Jin bearing the:

Age – 41 years approx

By Order of the Board

Date : 17/11/2020 Sonam Jain

COVID PANDEMIC, EMPLOYEES SAFETY & WELL-BEING

Havmor also increased visibility and scaled up presence on e-Commerce business.

STATEMENT OF AFFAIRS/ FINANCIAL RESULTS:

CHANGE IN SHARE CAPITAL

There is no change in share capital of the Company.

CHANGE IN THE NATURE OF BUSINESS

There is no change in the nature of the business of the Company.

TRANSFER OF UNCLAIMED DIVIDEND TO INVESTOR EDUCATION AND PROTECTION FUND

DIRECTORS’ RESPONSIBILITY STATEMENT:

It is hereby stated that:

Sr. Date of Board Mee ng Total no. of Directors Directors A ended

Type of Commi ee Date of Mee ng Total no. of Directors Directors A ended

REGISTRAR & TRANSFER AGENT:

Appointments & Re-Appointments

• Mr. Kyunghun Kim - Director

KEY MANAGERIAL PERSONNEL

At present the Key Managerial Personnel of the Company are:

• Mr. Park Byung Chan (DIN - 08046421) - Whole Time Director

DECLARATION OF INDEPENDENT DIRECTORS:

DISCLOSURES RELATING TO SUBSIDIARIES, ASSOCIATES AND JOINT VENTURES:

CONTRACTS OR ARRANGEMENTS WITH RELATED PARTIES:

PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS U/S 186:

LOANS FROM DIRECTOR/RELATIVE OF DIRECTOR

POLICY ON DIRECTORS APPOINTMENT AND REMUNERATION:

Nomina on and Remunera on Commi ee:

1. Mr. D.G. Rajan as Chairman

1. Mr. D.G. Rajan as Chairman

Corporate Social Responsibility Commi ee:

1. Mr. D.G. Rajan as Chairman

1. Mr. D.G. Rajan as Chairman

POLICIES AND FRAMEWORK

There are the following policies/ process notes:

WHISTLE BLOWER POLICY:

POLICY FOR PREVENTION OF SEXUAL HARASSMENT AT WORKPLACE:

II) SECRETARIAL AUDITOR:

DETAILS OF FRAUD REPORTING BY AUDITOR

EXPLANATIONS OR COMMENTS BY THE BOARD ON EVERY QUALIFICATION, RESERVATION OR ADVERSE

There is no adverse remarks or comments by the auditors in their report.

INTERNAL CONTROL SYSTEM:

RISK MANAGEMENT POLICY:

SIGNIFICANT & MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS OR TRIBUNALS