T +979 3038000 W www.arvind.com CIN- L79GJ93PLCoooo93 No. STATEMENT OF UNAUDITED STANDALONE FINANCIAL RESULTS FOR THE QUARTER AND NINE MONTHS ENDED 3ST DECEMBER,07 ~ In Crores except per share data] Particulars Quarter Ended Nine Monts Ended Year Ended (Refer (Refer (Refer (Refer Note Note ) Note ) Note ) ) Income from operations (a) Revenue from Operations,595.76,493.,463.97 4,70.3 4,46.95 5,958.83 (b) Other Income 7.94 3.7 9.64 60.70 73.64 99.4 Total Income 63.70 56.8 483.6 4 76.93 4 490.59 6 058.4 3 Expenses (a) Cost of materials consumed 65.5 645.8 599.83,957.86,747.0,385.33 (b) Purchase of stock-in-trade 4.09 63.37 56.64 3.55 73.97 48. (c) Changes in inventories of finished goods, work-in-progress and stock-in-trade.35 (8.50) (5.96) (9.83) (94.0) (98.63) (d) Project Expenses.90.07. 6.95 8.70.87 (e) Employee benefits expense 94.83 06.9 98.5 608.08 590.34 777.73 (f) Finance Costs 47.65 4.7 5.03 30.60 79.33.94 (g) Depreciation and amortisation expense 5.4 49.98 46.46 5.75 35.6 84.9 (h) Other Expenses 495.36 468.9 474.05 474.74 406.39 9.7 Total Expenses 543.0 458.50 375.4 4 54.70 4 47.33 5 643.43 Profit before Exceptional Items&. Tax ( ) 70.60 58.3 08.0 38.3 343.6 44.8 4 5 Add/(Less) : Exceptional Item (Refer Note 5) 0.55 (4.46) (64.8 (.9 (7.5 (80.7) Profit before tax (3+4) 60.05 53.86 56.6 6.3 7.0 34.64 6 Tax Expense : - Current Tax.44 9.07 0.0 44.90 69.50 49.54 - (Excess)/short provision of earlier years (4.90) - (4.90) - 0.6 - Deferred Tax (8..68 7.30 (6.04 3.93 65.9 Total Tax Expense 0.58.75 7.3 33.96 0.43 6.08 7 8 9 0 Net Profit for the period/year (5-6) 60.63 4. 83.94 8.35 _30.4 8.56 Other Comprehensive Income (net of tax) (a) Items that will not be classified to profit & Loss (i) Equity Instruments through Other Comprehensive Income (FVOCI) - - - - 47.44 47.44 (ii) Remeasurement of defined benefit plan 0.30 0.30-0.90.9 (iii) income tax related to items no (ii) above (0.0) (0.) (0.3) (0.4) (b) Items that will be reclassified to profit & Loss (i) Effective portion of gain or loss on cash flow hedges 8.3 (6.34) (.35) (7.08) (.35) 35.46 (ii) income tax related to items no (i) above (9.80 5.66 0.47 5.9 0.47 (.7) Other Comprehensive Income (net of tax) 8.7 0.49 0.88 0.58 46.56 7.4 Total Comprehensive Income for the period/year (7+8) 79.34 3.6 (84.8) 7.77 6.4 89.97 Paid-up Equity Share Capital ( Face Value~ 0/- per share) 58.6 58.5 58.36 58.6 58.36 58.36 Other Equity,753.4 EPS ~-(Not Annualised) -Basic.35.65 (7.} 7.05 (.8) 0.7 -Diluted.34.64 (7.) 7.04 (.8) 0.7 See accompanying notes to the Standalone Financial Resultsl_ The above unaudited standalone financial results were reviewed by the Audit Committee and have been considered and approved by the Board of Directors at their meeting held on January 3,08. The same have been subjected to Limited Review by the Statutory Auditors. Pursuant to the Scheme of Amalgamation (the Scheme) sanctioned by National Company Law Tribunal vide its order dated 4th August,07, Arvind Brands and Retail Limited, Arvind Garments Park Private Limited and Dholka Textile Park Private Limited have been merged with the Company with effect from April, 06 (the appointed date). The Scheme came into effect on 7th October,07, the day on which the order was delivered to the Registrar of the Companies, and pursuant thereto the entire business and all assets and liabilities, income and expense have been included retrospectively in the financial statements of the Company prepared under Ind AS in accordance with Ind AS 03 as the amalgamated companies are entities under common control. Accordingly, figures have been adjusted to give the effect of the scheme. 3 Post implementation of Goods and Service Tax (GST) with effect from July,07,revenue from operations is disclosed net off GST. Revenue from operations for the earlier periods included excise duty which is now subsumed in the GST.Revenue from operations for the nine months ended December 3,07 includes excise duty upto June 30,07.Accordingly, revenue from operations for the quarter and nine months ended December 3,07 are not comparable with those of previous periods presented. 4 Effective from st July 07, the Company has acquired controlling interest in the Arya Omnitalk Wireless Solutions Pvt Ltd, thus it has become the subsidiary of the Company. 5 Exceptional items represents following: Particulars Quarter Ende< Nine Mon ths Ended Year Ended (Refer (Refer (Refer (Refer Note Note ) Note } Note ) ) Retrechment Compensation 0.55 4.46.7.9 9.4 8.06 Loss on sale of Investments in Subsidiary (Refer Note ) - 6. 6. 6. Total 0.55 4.46 64.8.9 7.5 80.7
Naroda Road, 380 05,lndia CIN- L79GJ93PLCoooo93 6 During the nine months ended December 3, 07, the Company has issued unsecured listed rated redeemable non-convertible debentures amounting tot 00.00 crores in two tranches. Additional disclosure as per Regulation 5(4) of Securities and ExchanQe Board of India (ListinQ ObliQations and Disclosure ReQuirements) ReQulation 05: a) Details of previous dues and next dues for Principal and Interest for unsecured listed rated redeemable non-convertible debentures Previous Due Next Due Particulars No. PrinciPal! Interest PrincipJII Interest Series - INE034A0803 Not applicable 08-09-00 08-09-08 Amount t in Crores 50.00 4.00 Series - INE034A0803 Not applicable 08-09-0 08-09-08 Amount t in Crores 50.00 4.00 Series - INE034A08040 Not applicable 9-09-00 0-0-08 Amount t in Crores 50.00 3.89 Series - INE034A08057 Not applicable 9-09-0 0-0-08 Amount t in Crores 50.00 3.89 b) Credit Rating AA c) Asset Cover Not Applicable d) Debt Equity Ratio ( No. of times) 0.94 times e) Debt Service Coverage Ratio (No. of times). times f) Interest Service Coverage Ratio (No. of times) 3.83 times g) Net Worth (Equity + Reserves & Surplus) t 3,6.78 Crores h) Debenture Redemption Reserve t 50 Crores i) Formulae for computation of ratios are as under : i) Debt Service Coverage Ratio Earnings before Interest,Tax,Depreciation & amortisation I Interest Expenses +Principal Repayments made during the year on long term loans ii) Interest Service Coverage Ratio iii) Debt I EQuity Ratio Earnings before.interest,tax,depreciation & amortisation I Interest Expenses Total Debt I Equity 7 In the board meeting held on November 8, 07, the Board of Directors of the Company has approved a scheme of arrangement between the Company and its subsidiary companies, Arvind Fashions Limited (AFL) and The Anup Engineering Limited (Anup) as well as with Anveshan Heavy Engineering Limited (Anveshan) whereby it is proposed to demerge Branded Apparel Undertaking and Engineering undertaking of the Company to AFL and Anveshan respectively and Anup will be merged with Anveshan. Subsequently, as part of the Scheme AFL and Anup would be demerged fro.m the Group. The Scheme is subject to approval of relevant regulatory authorities. Pending aforesaid approvals, the Company has not given effect of the scheme in the financial results for the quarter and Nine Months ended December 3, 07. For Arvind Limited January 3,08 ~~~~~ Sanjay S.Lalbhai Chairman & Manaqinq Director
CIN- L79GJ93PLCoooo93 No SEGMENTWISE REVENUE, RESULTS,SEGMENT ASSETS AND LIABILITIES STANDALONE) FOR THE QUARTER AND NINE MONTHS ENDED DECEMBER 3, 07 fin Crores Particulars Quarter Ended Nine Monts Ended Year Ended (Refer (Refer (Refer (Refer Note Note ) Note ) Note ) ) Segment Revenue (Net Sales Income from Operations) (a) Textiles,506.97,409.69,39.4 4,449.57 4,3.9 5,659.85 (b) Branded Apparels 7.98 5.78 0.30 4.80 9.98 44.6 (c) Arvind Internet.8.85.68 5.33.85 5.56 (d) Engineering 4.37 0.80 5.30 0.05 (e) Others 74.53 65.97 6.66 0.07 7.90 5.66 Total,595.67,494.09,464.78 4,704.07 4,49.65 5,96.73 Less : Inter Segment Sales (0.09 0.98 0.8.84.70.90 Net Sales Income from Operations,595.76,493.,463.97 4,70.3 4,46.95 5,958.83 Segment Results (Profit and (Loss) before Interest a. Tax) (a) Textiles 7.53 5.43 5.03 54.0 643.00 795.53 (b) Branded Apparels (7.5) (6.34) (5.57) (.4) (7.5) (39.4) (c) Arvind Internet (.3) (4.0) (6.34) (4.) (6.9) (80.45) (d) Engineering 0.54 0.06 0.50 (0.03) (e) Others (.54) (8.64) (5.3) (5.0) (43.7) (60.) Total 3.79 3.3 67.99 398.87 59.85 65.4 Less: (a) Interest and Finance Charges (Net) 47.65 4.7 5.03 30.60 79.33.94 (b) Other Unallocable expenditure (net of un-allocable income) 4.09 7.73 73.58 5.96 68.5 58.84 Profit Before Tax 60.05 53.86 (56.6) 6,3 7.0 34.64 3 4 Segment Assets (a) Textiles 3,999.43 4,037.5 3,683.33 3,999.43 3,683.33 3,854.38 (b) Branded Apparels 496.06 509.69 40. 496.06 40. 50.38 (c) Arvind Internet 6.48 65.8 46.75 6.48 46.75 67.93 (d) Engineering 40.59.3 40.59 7.4 (e) Others 48.75 437.00 377.05 48.75 377.05 4.6 (f) Unallocable,0.8,949.85,84.48,0.8,84.48,93.84 Total Segment Assets 7,08.49 7,00.54 6,89.83 7,08.49 6,89.83 6,55.83 Segment Liabilities (a) Textiles 655.69 689.84 655.8 655.69 655.8 689.98 (b) Branded Apparels 4.85 0.77.6 4.85.6 38.98 (c) Arvind Internet 6.08 7.4 3.08 6.08 3.08. (d) Engineering 0.76 3.90 0.76 0.07 (e) Others 88.47 84.6 7.04 88.47 7.04 73.5 (f) Unallocable 0.60.85 8.8 0.60 8.8.4 Total Segment Uabilities 976.45,09.03 94.7 976.45 94.7,037.07 I Considering the nature of the Company's business and operations, as well as based on reviews performed by Chief operating decision maker ~garding resource allocation and performance management, the Company has reorganized its operating segments and has classified Engineeririg and Branded Apparels as separate operating segment with effect from st April,07,in addition to earlier reported segments.after considering the above reorganization, the Company has identified following as reportable segments in accordance with the requirements of Ind AS 08-"' Operating Segmentsu. Clauification of Reportable Segments : Textiles : Fabrics, Garments and Fabric Retail. Branded Apparels : Branded Garments,accessorles and manufacturing & selling of customised clothing. Manufactring and selling of branded accessories is reclassified and considered as branded apparels segment w.e.f. July,07. 3 Arvind Internet : E-commerce 4 Engineering : Engineering s Others : Technical Textiles, Agriculture Produce, EPABX and One to Many Radio, Water Treatment, other including newly commenced business. II The figures of the previous periods have been regrouped/restated wherever necessary,to make them comparable with the figures for the current period on account of reorganisation of its operating segments. For Arvind Umited January 3,08 ~ ~s.l;;l ~... ~ Sanjay S.La bhai Chairman & Managing Director
. CIN- L79GJ93PLCoooo93 ~ In Crores except per share data] (a) Revenue from Operations (b) Other Income Total Income Expenses (a) Cost of materials consumed 68.3 (b) Purchase of stock-in-trade 537. (c) Changes in inventories of finished goods, work-in-progress and stock-in-trade 99.94 (d) Project Expenses.90 (e) Employee benefits expense 30.47 (f) Finance Costs 67.08 (g) Depreciation and amortisation expense 93.33 (h) Other Expenses Total Expenses 69. 65.3,5.0,839.9,548. 756.53 47.86,69.09,49.08,0.47 (68.70) (6.79) (78.00) (330.40) (363.06).07. 6.95 8.70.87 38.66 87.98 960.73 837.33,096.6 6.95 67.64 90.45 9.89 88.4 83.3 73.35 6.97 4.37 97.08 Profit before Share of Profit of Joint Ventures 8r. Exceptional Items Share of profit of Joint Ventures accounted for using Equity Method Profit before Exception Items and tax (3-4) Add/{Less) : Exceptional Item (Refer Note 8) Profit before tax (5+6) Expense : - Current Tax - (Excess)/short provision of earlier years - Deferred Tax Net Profit for the period/year (7-8) Other Comprehensive Income (net of tax) (a) Items that will not be classified to profit & Loss (i) Equity Instruments through Other Comprehensive Income (FVOCI) (ii) Remeasurement of defined benefit plan 0.44 (iii) Share of Other Comprehensive Income of Joint Venture accounted for using Equity method (net of tax) (iv) Income tax related to above items (0.5) (b) Items that will be reclassified to profit & Loss (i) Effective portion of gain or loss on cash fiow hedges (ii) Exchange differences on translation of foreign operations (iii) Income tax related to above items Other Comprehensive Income (net of tax).87 47.45.04 0.6 (0.08) (0.36) (0.) Total Comprehensive Income (9+0) Net profit for the period/year to: Equityholders of the Parent 79.00 Non Controlling Interest 0.09 Other Comprehensive Income for the period/year to: Equityholders of the Parent 9.65 Non Controlling Interest 0. Comprehensive Income for the period/year to: Equityholders of the Parent 88.65 Non Controlling Interest 0.3 Equity Share Capital ( Face Value f 0/- per share) 58.6 Equity f-(not Annuallsed) -Basic 3.06 -Diluted 3.05 00.50. 34.63 (0.6).93 6. (0.79) 6.90 45.9 64.9 0.08 0.53 0.0 56.0 74.83 07.40 67.3 379.54.59 (.4).46 6.3 58.5 58.36 58.6 58.36 58.36 3,308.6.40.84 7.75 8.64.4.40.83 7.74 8.63.4
CIN- L79GJ93PLCooo093 J\fVIOD The Company has intimated the Stock Exchange to publish only unaudited Consolidated Financial Results and hence, the unaudited standalone financial results have not been published. However, the unaudited standalone financia l results for the quarter and nine months ended December 3, 07 is available on Company's website (www.arvind.com). The above unaudited consolidated financial results were reviewed by the Audit Committee and have been considered and approved by the Board of Directors at their meeting held on January 3,08. The same have been subjected to Limited Review by the Statutory Auditors. 3 Both the consolidated and standalone financial results have been submitted to the Bombay Stock Exchange Limited (BSE) and National stock Exchange of India Limited (NSE) where the equity shares of the Company are listed. 4 Effective from st April 07, in accordance with the amendment in the contractual terms, the Group has consolidated Tommy Hilfiger Arvind Fashions Private Limited and Calvin Klein Arvind Fashion Private Limited as subsidiaries.the said entities were equity accounted as Joint venture in the consolidated financial statements till 3st March 07. To this extent,the current period numbers for the quarter and nine months ended December 3, 07 are not comparable with the previous periods. 5 Effective from st July 07, the Company has acquired the controlling interest in the Arya Omnitalk Wireless Solutions Pvt Ltd., thus it became the subsidiary of the Company. The said entity was equity accounted as Joint venture in the consolidated financial statements till 30th June,07. To this extent,the current period numbers for the quarter and nine months ended December 3, 07 are not comparable with the previous periods. 6 Pursuant to the Scheme of Amalgamation (the Scheme) sanctioned by National Company Law Tribunal vide its order dated 4th August,07, Arvind Brands and Retail Limited, Arvind Garments Park Private Limited and Dholka Textile Park Private Limited have been merged with the Company with effect from April, 06 (the appointed date). The Scheme came into effect on 7th October,07, the day on which the order was delivered to the Registrar of the Companies, and pursuant thereto the entire business and all assets and liabilities, income and expense have been included retrospectively in the financial statements of the Company prepared under Ind AS in accordance with Ind AS 03 as the amalgamated companies are entities under common control Accordingly, reported figures for the previous year/periods are restated to the extent of current tax and deferred tax and its consequential impact on Profit and Equity. 7 Post implementation of Goods and Service Tax (GST) with effect from July,07,revenue from operations is disclosed net off GST. Revenue from operations for the earlier periods included excise duty which is now subsumed in the GST.Revenue from operations for the nine months ended Dec.ember 3,07 includes excise duty upto June 30,07.Accordingly, revenue from operations for the quarter and nine months ended December 3,07 are not comparable with those of previous periods presented. 8 Exceptional Item represents Retrenchment Compensation paid to workers retired under Voluntary Retirement Scheme. 9 Details of non-convertible debentures are as under : Arvind Limited : During the nine months ended December 3,07, the Company has issued unsecured listed rated redeemable non-convertible debentures amounting to~ 00.00 crores in two tranches. Additional disclosure as per Regulation 5(4) of Securities and Exchange Board of India (Listinq Oblioations and Disclosure Requirements) Reoulation 05: a) Details of previous dues and next dues for Principal and Interest for unsecured listed rated redeemable non-convertible debentures No. Particulars Previous Due Next Due Princijlall Interest Principal Interest Series - INE034A0803 Not applicable 08-09-00 08-09-08 50.00 4.00 Series - INE034A0803 Not applicable 08-09-0 08-09-08 50.00 4.00 Series - INE034A08040 Not applicable 9-09-00 0-0-08 50.00 3.89 Series - INE034A08057 Not applicable 9-09-0 0-0-08 50.00 3.89 b) Credit Rating AA c) d) e) Asset Cover Debt Equity Ratio ( No. of times) Debt Service Coverage Ratio (No. of times) Interest Service Coverage Ratio (No. of times) Not Applicable 0.95 times.7 times 3.69 times ~ 3,70.70 Crores ~50 Crores
CIN- L79GJ93PLCoooog3 J\rVIOD i) Formulae for computation of ratios are as under : Earnings before Interest,Tax,Depreciation & amortisation I i) Debt Service Coverage Ratio Interest Expenses + Principal Repayments made during the year on long term loans ii) Interest Service Coverage Ratio iii) Debt I Equity Ratio Earnings before Interest,Tax,Depreciation & amortisation I Interest Expenses!Total Debt I Equity 0 In the board meeting held on November 8, 07, the Board of Directors of the Company has approved a scheme of arrangement between the Company and its subsidiary companies, Arvind Fashions limited (AFL) and The Anup Engineering Limited (Anup) as well as with Anveshan Heavy Engineering Limited (Anveshan) whereby it is proposed to demerge Branded Apparel Undertaking and Engineering undertaking of the Company to AFL and Anveshan respectively and Anup will be merged with Anveshan. Subsequently, as part of the Scheme AFL and Anup would be demerged from the Group. The Scheme is subject to approval of relevant regulatory authorities. Pending aforesaid approvals, the Company has not given effect of the scheme in the financial results for the quarter and Nine Months ended December 3, 07. Standalone Information : Particulars Quarter Ended Nine Months Ended Year Ended (Refer Note 4 (Refer {Refer (Refer Note (Refer (Refer and 5) Note 4 and Note 6) 4 and 5) Note 6) Note 6) 5_ Revenue,595.76,493.,463.97 4,70.3 4,46.95 5,958.83 Profit before Tax 60.05 53.86 (56.6) 6.3 7.0 34.64 Profit after Tax 60.63 4. (83.94) 8.35 (30.4) 8.56 Other Comprehensive Income (net of tax) 8.7 (0.49) (0.88) {0.58) 46.56 7.4 Total Comorehensive Income after tax 79.34 3.6 (84.8J 7.77 6.4 89.97 For Arvind Limited January 3,08 t~~ Sanjay S.Lalbhai Chairman & Managing Director
CIN- L 79GJ93PLCoooo93 Sr No 3 4 SEGMENTWISE REVENUE, RESULTS,SEGMENT ASSETS AND LIABILITIES CONSOLIDATED FOR THE QUARTER AND NINE MONTHS ENDED DECEMBER 3, 07 fin Crores Particulars Quarter Ended Nine Monts Ended Year Ended (Refer Note 4 (Refer Note 4 (Refer Note (Refer Note 4 (Refer Note (Refer Note and 5) and 5) 6) and 5) 6) 6) Segment Revenue (Net Sales I Income from Operations) (a) Textiles,534.43,437.63,40.34 4,59.44 4,54.8 5,74.0 (b) Branded Apparels 957.64,03.4 774.74,776.74,098.8,938.55 (c) Arvind Internet.8.85.68 5.33.85 5.56 (d) Engineering 68.56 47.9 43.5 39.7 5.36 79.40 (e) Others 54.4 3.95 4.78 400.09 350.98 480.43 Total,76.59,65.3,346.69 7,85.3 6,8.8 9,38.4 Less : Inter Segment Sales 0.84.67.3 4.07 5.0 8.60 Net Sales I Income from Operations,705.75,68.46,335.46 7,809.4 6,770.7 9,35.54 Segment Results (Profit before Interest&. Tax) (a) Textiles 73.56 53.65 0.06 5.6 67.8 78.80 (b) Branded Apparels 9. 38.00 4.8 53.03 5.38 9.65 (c) Arvind Internet (.3) (4.0) (6.35) (4.3) (6.37) (80.53) (d) Engineering 0.9 0. 5.36 4.95 30.88 44.87 (e) Others (4.4) (7.70) (4.6) (4.94) (6.64) (8.4) Total 87.33 69.96 89.63 505.07 574.53 738.55 Less: (a) Interest and Finance Charges (Net) 67.08 6.95 67.64 90.45 9.89 88.4 (b) Other Unallocable expenditure (net of un-allocable income) 9.95 9.86 0.83 65.89 34.88 30.40 Profit Before Tax 90.30 88.5 0.6 48.73 309.76 49.74 Segment Assets (a) Textiles 4,68.04 4,63.04 3,836.46 4,68.04 3,836.46 4,05.76 (b) Branded Apparels 3,8.95 3,57.78,673.76 3,8.95,673.76,33.75 (c) Arvlnd Internet 6.36 65.5 46.78 6.36 46.78 68.7 (d) Engineering 6.03 84.6 63.96 6.03 63.96 70.06 (e) Others 835.99 89.66 657.4 835.99 657.4 7.99 (f) Unallocable,39.8,38.80,55.9,39.8,55.9,45.85 Total Segment Assets 9,840.55 9,89.04 8,634.0 9,840.55 8,634.0 8,76.68 Segment Liabilities (a) Textiles 687.4 75.3 673.86 687.4 673.86 707.96 (b) Branded Apparels,0.58,84.06,5.3,0.58,5.3 934.5 (c) Arvind Internet 5.8 4.50 4.9 5.8 4.9 0.03 (d) Engineering 5.08 46.98 6.96 5.08 6.96 46.55 (e) Others 84.88 89.7 46.00 84.88 46.00 30.50 (f) Unallocable 83.85 90.5 76.03 83.85 76.03 3.35 Total Segment Liabilities,33.98,430.9,88.07,33.98,88.07,04.64 I Considering the nature of the Company's business and operations, as well as based on reviews performed by Chief operating decision maker regarding resource allocation and performance management, the Company has reorganized its operating segments and has classified Engineering as separate operating segment with effect from st Apri,07,in addition to earlier reported segments,ln addition to earlier reported segments.after considering the above reorganization, the Company has identified following as reportable segments in accordance with the requirements of Jnd AS 08 - Operating Segments. Classification of Business Segments : Textiles : Fabrics, Garments and Fabric Retail. Branded Apparels : Branded Garments,accessories and manufacturing & selling of customised clothing. Manufactring and selling of branded accessories is reclassified and considered as branded apparels segment w.e.f. July,07. 3 Arvlnd Internet : E-commerce 4 Engineering : Engineering 5 Others: Technical Textiles, Agriculture Produce, EPABX and One to Many Radio,Water Treatment, Others including newly commenced business. II The figures of the previous quarters/period have been regrouped/restated wherever necessary,to make them comparable with the figures for the current period. For Arvlnd Limited January 3,08 ~C.<.-t -... ~~ Sanjay S.Lalbhal Chairman & Managing Director