Hikal : Results FY23Q4

Extract of audited financial results

for the quarter and year ended 31 March 2023

					(Rs in Lakhs)
Particulars		Quarter ended		Year ended
31-Mar-2331-Dec-2231-Mar-22	31-Mar-23	31-Mar-22
	Audited	Unaudited	Audited	Audited	Audited
Total income	54,567	54,271	50,262	202,844	194,761
Net Profit for the period (before tax, Exceptional and/or Extraordinary item)	4,858	3,579	2,895	10,537	21,857
Net Profit for the period before tax (after Exceptional and/or Extraordinary item)	4,858	3,579	2,895	10,537	21,857
Net Profit for the period after tax (after Exceptional and/or Extraordinary item)	3,600	2,641	2,071	7,839	16,051
Total Comprehensive Income for the period [Comprising profit for the period (after tax)	3,452	2,673	2,297	7,783	16,171
and Other Comprehensive income (after tax)]
Equity share capital	2,466	2,466	2,466	2,466	2,466
Other equity				110,881	104,332
Earnings Per Share (Face Value of Rs 2/- each) (for continuing and discontinued
operations)
- Basic	2.92	2.14	1.68	6.36	13.02
- Diluted	2.92	2.14	1.68	6.36	13.02

Note :

1 In respect of the standalone results of the Company, the amounts are as follows

			Standalone
Particulars		Quarter ended		Year ended
31-Mar-2331-Dec-22	31-Mar-22	31-Mar-23	31-Mar-22
	Audited	Unaudited	Audited	Audited	Audited
Total income	54,567	54,271	50,262	202,844	194,761
Net Profit for the period (before tax, Exceptional and/or Extraordinary item)	4,865	3,579	2,900	10,536	21,857
Net Profit for the period before tax (after Exceptional and/or Extraordinary item)	4,865	3,579	2,900	10,536	21,857
Net Profit for the period after tax (after Exceptional and/or Extraordinary item)	3,607	2,641	2,076	7,838	16,051
Earnings Per Share (Face Value of Rs 2/- each) (for continuing and discontinued
operations)
- Basic	2.93	2.14	1.68	6.36	13.02
- Diluted	2.93	2.14	1.68	6.36	13.02

1. The above is an extract of the detailed format of quarterly financial results filed with the stock exchanges under regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The full format of the financial results are available on the stock exchange websites (www.bseindia.com and www.nseindia.com) and on Company's website (www.hikal.com).
2. The figures for the previous periods have been regrouped wherever necessary to conform to the current period presentation.

For HIKAL LTD

Jai

Vishwanat

h Hiremath

Digitally signed by Jai Vishwanath Hiremath Date: 2023.05.29 14:34:25 +05'30'

Place :	Mumbai	Jai Hiremath
Date	: 29 May 2023	Executive Chairman
		DIN: 00062203
		HIKAL LTD
		Regd. Office : 717/718, Maker Chamber V, Nariman Point, Mumbai - 400 021.
		Phone : [phone] , Fax : [phone]
		CIN : L24200MH1988PTC048028, E Mail : [e-mail] , Website : www.hikal.com
		Just the right chemistry

	12th Floor, The Ruby
	29 Senapati Bapat Marg
Chartered Accountants	Dadar (West)
Mumbai - 400 028, India
	Tel: [phone]

Independent Auditor's Report on the Quarterly and Year-to-Date Audited Standalone Financial Results of the Company Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended

To

The Board of Directors of

Hikal Limited

Report on the audit of the Standalone Financial Results

Opinion

We have audited the accompanying statement of quarterly and year-to-date standalone financial results of Hikal Limited (the "Company") for the quarter ended March 31, 2023 and for the year then ended ("Statement"), attached herewith, being submitted by the Company pursuant to the requirement of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the "Listing Regulations").

In our opinion and to the best of our information and according to the explanations given to us, the Statement:

1. is presented in accordance with the requirements of the Listing Regulations in this regard; and
2. gives a true and fair view in conformity with the applicable accounting standards and other accounting principles generally accepted in India, of the net profit and other comprehensive loss and other financial information of the Company for the quarter ended March 31, 2023 and for the year ended on that date.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specified under section 143(10) of the Companies Act, 2013, as amended ("the Act"). Our responsibilities under those Standards are further described in the "Auditor's Responsibilities for the Audit of the Standalone Financial Results" section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute 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 responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence obtained by us is sufficient and appropriate to provide a basis for our opinion.

Emphasis of Matter

We draw attention to note 5 of the Statement, as regards the ongoing investigations / actions by statutory authorities in relation to alleged non-compliance with certain environmental laws and regulations, and the litigation in respect thereof, the outcome of which is presently uncertain. Our opinion is not modified in respect of aforesaid matter.

Management's Responsibilities for the Standalone Financial Results

The Statement has been prepared on the basis of the standalone annual financial statements. The Board of Directors of the Company is responsible for the preparation and presentation of the Statement that gives a true and fair view of the net profit and other comprehensive loss of the Company and other financial information in accordance with the applicable accounting standards prescribed under Section 133 of the Act, read with relevant rules issued thereunder and other accounting principles generally accepted in India, and in compliance with Regulation 33 of the Listing Regulations. This responsibility also includes maintenance of adequate accounting records in

S R B C & CO LLP, a Limited Liability Partnership with LLP Identity No. AAB-4318

Regd. Office : 22, Camac Street, Block 'B', 3rd Floor, Kolkata-700 016

Chartered Accountants

accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and the design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the Statement that gives a true and fair view and is free from material misstatement, whether due to fraud or error.

In preparing the Statement, the Board of Directors is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting, unless the Board of Directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The Board of Directors is also responsible for overseeing the Company's financial reporting process.

Auditor's Responsibilities for the Audit of the Standalone Financial Results

Our objectives are to obtain reasonable assurance about whether the Statement as a whole, is 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 the Statement.

As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the Statement, 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 detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, 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 Section 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 financial statements in place and the operating effectiveness of such controls.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Board of Directors.
• Conclude on the appropriateness of the Board of Directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial results 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 conditions may cause the Company to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the Statement, including the disclosures, and whether the Statement represents the underlying transactions and events in a manner that achieves fair presentation.

Page 2 of 3

Chartered Accountants

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify 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 relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

Other Matter

The Statement includes the results for the quarter ended March 31, 2023 being the balancing figures between the audited figures in respect of the full financial year ended March 31, 2023 and the published unaudited year-to-date figures up to the third quarter of the current financial year, which were subjected to a limited review by us, as required under the Listing Regulations.

For S R B C & CO LLP

Chartered Accountants

ICAI Firm Registration Number: 324982E/E300003

VINAYAK SHRIRAM PUJARE

Digitally signed by VINAYAK SHRIRAM PUJARE

DN: cn=VINAYAK SHRIRAM PUJARE, c=IN, o=Personal, email =[e-mail]

Date: 2023.05.29 15:25:41 +05'30'

per Vinayak Pujare Partner

Membership No.: 101143

UDIN: 23101143BGYWNA1265

Place of Signature: Mumbai

Date: May 29, 2023

Page 3 of 3

Statement of audited standalone financial results for the quarter and year ended 31 March 2023

		Rs. In Lakhs (Except for earning per share)
			Standalone
		Quarter ended		Year ended
Particulars	31-Mar-23	31-Dec-22	31-Mar-22	31-Mar-23	31-Mar-22
	Audited	Unaudited	Audited	Audited	Audited
	(Refer note 4)		(Refer note 4)
Income
Revenue from operations
Sale of products and services	53,790	53,845	50,095	200,470	192,603
Other operating revenue	739	175	140	1,833	1,669
Total revenue from operations	54,529	54,020	50,235	202,303	194,272
Other income	38	251	27	541	489
Total income	54,567	54,271	50,262	202,844	194,761
Expenses
Cost of materials consumed	27,769	29,320	27,345	112,159	103,221
Changes in inventories of finished goods and work-in-progress	205	(995)	412	(1,456)	(3,582)
Employee benefits expense	5,715	6,300	5,315	22,040	20,135
Finance costs	1,298	1,303	808	4,810	3,121
Depreciation and amortisation expenses	2,683	2,827	2,423	10,901	9,567
Other expenses	12,032	11,937	11,059	43,854	40,442
Total expenses	49,702	50,692	47,362	192,308	172,904
Profit before tax	4,865	3,579	2,900	10,536	21,857
Tax expense:
-Current tax	1,470	1,043	780	3,048	5,965
-Deferred tax	(212)	(105)	44	(350)	(159)
Total tax expense	1,258	938	824	2,698	5,806
Profit for the period	3,607	2,641	2,076	7,838	16,051
Other comprehensive income (OCI)
Items that will not be reclassified to statement of profit and loss	(200)	44	305	(76)	162
	52	(12)	(79)	20	(42)
Income tax relating to item that will not be reclassified to statement of profit and loss
Other comprehensive income/(loss) for the period (net of income tax)	(148)	32	226	(56)	120
Total comprehensive income	3,459	2,673	2,302	7,782	16,171
Paid-up equity share capital (Face value of Rs 2/- each)	2,466	2,466	2,466	2,466	2,466
Other equity				110,881	104,335
Earnings per share (Face Value of Rs 2/- each) (Not annualised for quarters)
- Basic	2.93	2.14	1.68	6.36	13.02
- Diluted	2.93	2.14	1.68	6.36	13.02