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Annual Report of IOCL 110
Annual Report of IOCL 110
Chairman’s Desk
Corporate Social Responsibility Reserve (refer Note - 45) Capital Reserve was created through business combinations and shall be utilised as per the provisions of the Companies
From the
Act 2013.
Opening Balance - -
Add: Appropriation from Surplus 543.38 490.60
E. Insurance Reserve
Less: Utilized during the year 543.38 490.60 Insurance Reserve is created by the company with the approval of Board of Directors to mitigate risk of loss of assets
not insured with external insurance agencies. ₹ 20.00 crore is appropriated by the company every year to this reserve.
- - The reserve is utilised to mitigate actual losses by way of net appropriation in case any uninsured loss is incurred.
About IndianOil
Foreign Currency Monetary Item Translation Difference Account F. Export Profit Reserve
Opening Balance (35.78) (45.77)
Amount set aside out of profits from exports for availing income tax benefits u/s 80HHC of the Income Tax Act, 1961
Add: Foreign Currency Exchange Gain/ (Loss) on Long Term Monetary Items 6.86 (138.40) for the assessments years 1986-87 to 1988-89. Creation of reserve for claiming deduction u/s 80HHC was dispensed
from AY 1989-90 onwards. This amount shall be transferred to general reserve on completion of assessment/ disposal
Less: Amortized during the year (28.92) (148.39)
of case.
Description of Capitals
- (35.78)
G. Corporate Social Responsibility Reserve
Fair Value Through Other Comprehensive Income :
Corporate Social Responsibility (CSR) Reserve is created for meeting expenses relating to CSR activities in line with
Fair value of Equity Instruments CSR policy of the Company. During the year, an amount of ₹ 543.38 crore (2019: ₹ 490.60 crore) has been appropriated
Opening Balance 16,072.20 18,475.86 as per provisions of the Companies Act 2013. Out of total available fund for CSR (including unspent amount carried
forward from previous year, if any), an amount of ₹ 543.38 crore (2019: ₹ 490.60 crore) has been spent during the year.
Add: Fair value during the year (10,775.41) (2,403.66)
H. Foreign Currency Monetary Item Translation Difference Account
Directors’ Report
Cash Flow Hedge Reserve
instruments of other entities. The cumulative gain or loss arising on such changes are recognised through Other
Opening Balance 22.04 - Comprehensive Income (OCI) and accumulated under this reserve. This will not be re-classified to the statement of
Add: Gain/(Loss) during the year 46.01 15.68 profit and loss in subsequent periods.
Less: Transferred during the year 22.05 (6.36) J. Fair value of Debt Instruments
46.00 22.04 This reserve represents the cumulative effect of fair value fluctuations in debt investments made by the company which
Management’s
through Other Comprehensive Income (OCI) and accumulated under this reserve. This amount will be re-classified to the
TOTAL 84,587.83 99,476.47 statement of profit and loss in subsequent periods on disposal of respective instruments.
K. Cash Flow Hedge Reserve
Nature and Purpose of Reserves The cash flow hedge reserve represents the cumulative effective portion of gains or losses arising on changes in fair
value of designated portion of hedging instruments entered into for cash flow hedges. The cumulative gain or loss arising
Responsibility Report
A. Retained Earnings on such changes are recognised through Other Comprehensive Income (OCI) and accumulated under this reserve. Such
gains or losses will be reclassified to statement of profit and loss in the period in which the hedged item occurs/ affects
Business
The retained earnings comprises of general reserve and surplus which is used from time to time to transfer profits
the statement of profit and loss.
by appropriations. Retained earnings is free reserve of the Company and is used for the purposes like issuing bonus
shares, buy back of shares and other purposes (like declaring Dividend etc.) as per the approval of BOD. It includes the
re-measurement of defined benefit plan as per actuarial valuations which will not be re-classified to statement of profit
and loss in subsequent periods.
Corporate Governance
B. Bond Redemption Reserve
Report on
As per the Companies Act 2013, a Bond Redemption Reserve is required to be created for all bonds/ debentures issued
by the company at a specified percentage. This reserve is created out of appropriation of profits over the tenure of bonds
and will be transferred back to general reserve on repayment of bonds for which it is created.
C. Capital Redemption Reserve
As per the Companies Act 2013, capital redemption reserve is created when company purchases its own shares out
Financial Statements
of free reserves or securities premium. A sum equal to the nominal value of the shares so purchased is transferred to
Standalone
capital redemption reserve. Utilization of this reserve is governed by the provisions of the Companies Act 2013.