You are here » Home » Companies » Company Overview » Jubilant Foodworks Ltd

Jubilant Foodworks Ltd.

BSE: 533155 Sector: Agri and agri inputs
NSE: JUBLFOOD ISIN Code: INE797F01012
BSE LIVE 15:40 | 22 Nov 1727.65 -4.30
(-0.25%)
OPEN

1732.00

HIGH

1735.00

LOW

1708.00

NSE 15:40 | 22 Nov 1726.60 -4.85
(-0.28%)
OPEN

1730.00

HIGH

1740.65

LOW

1706.80

OPEN 1732.00
PREVIOUS CLOSE 1731.95
VOLUME 20245
52-Week high 1799.00
52-Week low 761.00
P/E 102.53
Mkt Cap.(Rs cr) 11,399
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 1732.00
CLOSE 1731.95
VOLUME 20245
52-Week high 1799.00
52-Week low 761.00
P/E 102.53
Mkt Cap.(Rs cr) 11,399
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Jubilant Foodworks Ltd. (JUBLFOOD) - Auditors Report

Company auditors report

Independent Auditor's Report

To the Members of Jubilant FoodWorks Limited

Report on the Standalone Ind AS Financial Statements

We have audited the accompanying standalone Ind AS financial statements of JubilantFoodWorks Limited ("the Company") which comprise the Balance Sheet as at March31 2017 the Statement of Profit and Loss including the statement of Other ComprehensiveIncome the Cash Flow Statement and the Statement of Changes in Equity for the year thenended and a summary of significant policies and other explanatory information.

Management's Responsibility for the Financial Statements

The Company's Board of Directors is responsible for the matters stated in Section134(5) of the Companies Act 2013 ("the Act") with respect to the preparation ofthese standalone Ind AS financial statements that give a true and fair view of thefinancial position financial performance including comprehensive income cash flows andchanges in equity of the Company in accordance with accounting principles generallyaccepted in India including the Indian Accounting Standards (Ind AS) specified undersection 133 of the Act. read with Rule 7 of the Companies (Accounts) Rules 2014 and theCompanies (Indian Accounting Standards) Rules 2015 as amended. This responsibility alsoincludes maintenance of adequate accounting records in accordance with the provisions ofthe Act for safeguarding of the assets of the Company and for preventing and detectingfrauds and other irregularities; selection and application of appropriate accountingpolicies; making judgments and estimates that are reasonable and prudent; and the designimplementation and maintenance of adequate internal financial control that were operatingand completeness of the accounting records relevant to the preparation and presentationof the Ind AS financial statements that give a true and fair view and are free frommaterial misstatement whether due to fraud or error.

Auditor's Responsibility

Our responsibility is to express an opinion on these standalone Ind AS financialstatements based on our audit. We have taken into account the provisions of the Act theaccounting and auditing standards and matters which are required to be included in theaudit report under the provisions of the Act and the Rules made thereunder. We conductedour audit of the standalone Ind AS financial statements in accordance with the Standardson Auditing issued by the Institute of Chartered Accountants of India as specified underSection 143(10) of the Act. Those Standards require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetherthe financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the financial statements. The procedures selected depend on the auditor'sjudgment including the assessment of the risks of material misstatement of the standaloneInd AS financial statements whether due to fraud or error. In making those riskassessments the auditor considers internal financial control relevant to the Company'spreparation of the standalone Ind AS financial statements that give a true and fair viewin order to design audit procedures that are accounting appropriate in the circumstances.An audit also includes evaluating the appropriateness of accounting policies used and thereasonableness of the accounting estimates made by the Company's Directors as well asevaluating the overall presentation of the standalone Ind AS financial statements. Webelieve that the audit evidence we have obtained is sufficient for our audit opinion onthe standalone Ind AS financial statements.

Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the standalone Ind AS financial statements give the information required bythe Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India of the state of affairs at March 312017 its profit including other comprehensive income its cash flows and the changes inequity for the year ended on that date.

ReportonOtherLegalandRegulatoryRequirements

1. As required by the Companies (Auditor's report) Order 2016 ("the Order")issued by the Central for ensuring the accuracy Government of India in terms ofsub-section (11) of section 143 of the Act we give in the Annexure 1 a statement on thematters specified in paragraphs 3 and 4 of the Order.

2 As required by section 143 (3) of the Act we report that:

(a) We have sought and obtained all the information and explanations which to the bestof our knowledge and belief were necessary for the purpose of our audit;

(b) In our opinion proper books of account as required by law have been kept by theCompany so far as it appears from our examination of those books;

(c) The Balance Sheet Statement of Profit and Loss including the Statement of OtherComprehensive Income the Cash Flow Statement and Statement of Changes in Equity dealtwith by this Report are in agreement with the books of account;

(d) In our opinion the aforesaid standalone Ind AS financial statements comply withthe Accounting Standards specified under section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014 Companies (Indian Accounting Standards) Rules 2015 asamended ;

(e) On the basis of written representations received from the Directors as on March 312017 and taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2017 from being appointed as a director in terms of section 164 (2) ofthe Act; (f) With respect to the adequacy of the internal financial controls overfinancial Company and the operatingeffectiveness of such controls refer to our separateReport in "Annexure 2" to this report; (g) With respect to the other matters tobe included in the Auditor's Report in accordance with Rule 11 of the Companies (Audit andAuditors) Rules 2014 in our opinion and to the best of our information and according tothe explanations given to us:

i. The Company has disclosed the impact of pending litigations on its financialposition in its standalone Ind AS financial statements Refer Note 30 to the standalone IndAS financial statements;

ii. The Company did not have any long-term contracts including derivative contracts forwhich there were any material foreseeable losses.

iii. There has been no delay in transferring amounts required to be transferred tothe Investor Education and Protection Fund by the Company.

iv. The Company has provided requisite disclosures in Note 42 to these financialstatements as to the holdings of Specified Bank Notes on November 8 2016 and December 302016 as well as dealings in Specified Bank Notes during the period of the from November 82016 to December 30 2016. However as stated in Note 42 to the financial statementsamounts aggregating to Rs. 148.58 lakhs as represented to us by the Management have beenreceived from transactions which are not permitted.

For S. R. Batliboi & Co. LLP

Chartered Accountants

Firm Registration Number: 301003E/E300005

Sd/-

Per Manoj Kumar Gupta

Partner

Membership No. 83906

Place: Gurugram

Date: May 29 2017

Annexure1referredtoinparagraph1under"ReportonOtherLegalandRegulatoryRequirements"section of our report of even date

Re: Jubilant FoodWorks Limited (the Company)

(i) (a) The Company has maintained proper records showing full particulars includingquantitative details and situation of the fixed assets. (b) All Fixed assets have not beenphysically verified by the management during the year but there is a regular programme ofverification our opinion is reasonable having regard to the size of the Company and thenature of its assets. No material discrepancies were noticed on such verification (c)According to the information and explanations given by the management the title deeds ofimmovable properties included in property plant and equipment/ fixed assets are held inthe name of the Company.

(ii) The management has conducted physical verification inventory at reasonableintervals during the year and no material discrepancies were noticed on such physicalverification.

(iii) (a) According to the information and explanations given to us the Company hasnot granted any loans secured or unsecured to companies firms Limited LiabilityPartnerships or other parties covered in the register maintained under section which in189 of the Companies Act 2013. Accordingly the provisions of clause 3(iii)(a) (b) and(c) of the Order are not applicable to the Company and hence not commented upon.

(iv) In our opinion and according to the information and explanations given to usthere are no loans investments guarantees and securities given in respect of whichprovisions of section 185 and 186 of the Companies Act 2013 are applicable and hence notcommented upon. (v) The Company has not accepted any deposits from the of public.

(vi) To the best of our knowledge and as explained the Central Government has notspecified maintenance of cost records under sub-section (1) of section 148 of theCompanies Act 2013 for the products of the Company.

(vii) (a) The Company is regular in depositing with appropriate authorities undisputedstatutory dues including provident fund employees' state insurance income-taxsales-tax service tax customs duty excise duty value added tax cess and othermaterial statutory dues applicable to it. (b) According to the information andexplanations given to us no undisputed amounts payable in respect of provident fundemployees' state insurance income-tax service tax sales-tax duty of custom duty ofexcise value added tax cess and other material statutory dues were outstanding at theyear end for a period of more than six months from the date they became payable.

(c) According to the records of the Company the dues outstanding of income-taxsales-tax service tax duty of custom duty of excise value added tax and cess onaccount of any dispute are as follows:

Name of the statute Nature of dues Amount ( Rs. in Lakhs) Period to which the amount relates Forum where dispute is pending
Haryana Value Added Tax Act 2003 VAT on Service Tax 45.31 2013-2014 Haryana Tax Tribunal Chandigarh
Rajasthan Value Added Tax Act 2003 VAT on Service Tax 12.85 2013-2014 Appellate Authority-II Commercial Tax Jaipur
Income Tax Act 1961 Disallowance of expenses 20.85 2006-07 to 2011-2012 Income Tax Appellate Tribunal
Income Tax Act 1961 Disallowance of Leasehold Improvements 1944.08 2012-13 to 2013-2014 Commissioner of Income Tax (Appeals)
Income Tax Act 1961 Transfer Pricing Additions 1420.97 2012-13 and 2013-14 Commissioner of Income Tax (Appeals)

(viii) Based on our audit procedure and as per the information and explanations givenby the management we are of the opinion that the Company has no dues to any financialinstitution bank or debenture holders at any time during the year. Accordingly theprovisions of this clause are not applicable to the Company and hence not commented on.

(ix) According to the information and explanations given by the management the Companyhas not raised any money way of initial public offer / further public offer / debtinstruments and term loans hence reporting under clause (ix) is not applicable to theCompany and hence not commented upon. (x) Based upon the audit procedures performed forthe purpose of reporting the true and fair view of the financial statements and accordingto the information and explanations given by the management we report that no fraud bythe Company or no material fraud on the Company by the officers and employees of theCompany has been noticed or reported during the year.

(xi) According to the information and explanations given by the management themanagerial remuneration has been paid / provided in accordance with the requisiteapprovals mandated by the provisions of section 197 read with Schedule V to the CompaniesAct 2013.

(xii) In our opinion the Company is not a Nidhi company. Therefore the provisions ofclause 3(xii) of the order are not applicable to the Company and hence not commented upon.

(xiii) According to the information and explanations given by the managementtransactions with the related parties are in compliance with section 177 and 188 ofCompanies Act 2013 where applicable and the details have been disclosed in the notes tothe financial statements as required by the applicable accounting standards. (xiv)According to the information and explanations given to us and on an overall examination ofthe balance sheet the company has not made any preferential allotment or privateplacement of shares or fully or partly convertible debentures during the year under reviewand hence reporting requirements under clause 3(xiv) are not applicable to the companyand not commented upon. (xv) According to the information and explanations given by themanagement the Company has not entered into any non-cash transactions with Directors orpersons connected with him as referred to in section 192 of Companies Act 2013.

(xvi) According to the information and explanations given to us the provisions ofsection 45-IA of the Reserve Bank of India Act 1934 are not applicable to the Company.

For S. R. Batliboi & Co. LLP

Chartered Accountants

Firm Registration Number: 301003E/E300005

Sd/-

Per Manoj Kumar Gupta

Partner

Membership No. 83906

Place: Gurugram

Date: May 29 2017

Annexure 2 to the Independent Auditor's Report of even date on the Standalone FinancialStatements of Jubilant FoodWorks Limted

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of JubilantFoodWorks Limited ("the Company") as of March 31 2017 in conjunction with ouraudit of the standalone financial statements of the Company for the year ended on thatdate.

Management's Responsibility for Internal Financial Controls

The Company's Management is responsible for establishing and maintaining internalfinancial controls based on the internal controloverfinancialreportingcriteriaestablishedby the transactions and dispositions of the theCompany considering the essential components of internal control stated in the GuidanceNote on Audit of Internal Financial Controls Over Financial Reporting issued by theInstitute of Chartered Accountants of India. These responsibilities include the designimplementation and maintenance of adequate internal financial controls that were operatingeffectively ensuring the orderly and efficient conduct of its business includingadherence to the Company's policies the safeguarding of its assets the prevention anddetection of frauds and errors the accuracy and completeness of the accounting recordsand the timely preparation of reliable financial information required under the CompaniesAct 2013.

Auditor's Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting based on our audit. We conducted our audit in accordancewith the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting(the "Guidance Note") and the Standards on Auditing as specified under section143(10) of the Companies Act 2013 to the extent applicable to an audit of internalfinancial controls both applicable to an audit of Internal Financial Controls and bothissued by the Institute of Chartered Accountants of India. Those Standards and theGuidance Note require that we comply with ethical requirements and plan and perform theaudit to obtain reasonable assurance about whether adequate internal financial controlsover financial reporting was established and maintained and if such controls operatedeffectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls system over financial effectiveness. Our audit of internalfinancial controls over financial reporting included obtaining an understanding ofinternal financial controls over financial reporting assessing the risk that a materialweakness exists and testing and evaluating the design and operating internal controlbased on the assessed risk. The procedures selected depend on the auditor's judgementincluding the assessment of the risks of material misstatement of the financialstatements whether due to fraud or error. We believe that the audit evidence we haveobtained is sufficient opinion on the internal financial controls system over financialreporting.

Meaning of Internal Financial Controls Over Financial Reporting

A Company's internal financial control over financial reporting is a process designedto provide reasonable assurance regarding the reliability of financial reporting and thepreparation of financial statements for external purposes in accordance with generallyaccepted accounting principles. A Company's internal financial control over financialreporting includes those policies and procedures that (1) pertain to the maintenance ofrecords that in reasonable detail accurately and fairly reflect assets of the Company;(2) provide reasonable assurance that transactions are recorded as necessary to permitpreparation of financial statements in accordance with generally accepted accountingprinciples and that receipts and expenditures of the company are being made only inaccordance with authorisations of management and directors of the company; and (3) providereasonable assurance regarding prevention or timely detection of unauthorised acquisitionuse or disposition of the company's assets that could have a material effect on thefinancial statements.

Inherent Limitations of Internal Financial Controls Over Financial Reporting

Because of the inherent limitations of internal financial controls over financialreporting including the possibility of collusion or improper management override ofcontrols material misstatements due to error or fraud may occur and not be detected.Also projections of any evaluation of the internal financial controls over financialreporting to future periods are subject to the risk that the internal financial controlover financial reporting may become inadequate because of change in conditions or thatthe degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion the Company has in all material respects an adequate internalfinancial controls system over financial reporting and such internal financial controlsover financial reporting were operating effectively as at March 31 2017 based on theinternal control over financial reporting criteria established by the Company consideringthe essential components of internal control stated in the Guidance Note on Audit ofInternal Financial Controls Over Financial Reporting issued by the Institute of CharteredAccountants of India.

For S. R. Batliboi & Co. LLP

Chartered Accountants

Firm Registration Number: 301003E/E300005

Sd/-

Per Manoj Kumar Gupta

Partner

Membership No. 83906 and appropriate to provide a basis for our audit

Place: Gurugram

Date: May 29 2017