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Aurionpro Solutions Ltd.

BSE: 532668 Sector: IT
NSE: AURIONPRO ISIN Code: INE132H01018
BSE 00:00 | 11 Jun 158.00 -0.80
(-0.50%)
OPEN

152.60

HIGH

164.00

LOW

152.60

NSE 00:00 | 11 Jun 157.60 -2.10
(-1.31%)
OPEN

159.70

HIGH

164.00

LOW

156.70

OPEN 152.60
PREVIOUS CLOSE 158.80
VOLUME 7633
52-Week high 195.00
52-Week low 43.55
P/E 37.62
Mkt Cap.(Rs cr) 360
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 152.60
CLOSE 158.80
VOLUME 7633
52-Week high 195.00
52-Week low 43.55
P/E 37.62
Mkt Cap.(Rs cr) 360
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Aurionpro Solutions Ltd. (AURIONPRO) - Auditors Report

Company auditors report

To the Members of Aurionpro Solutions Limited

Report on the Audit of the Standalone Financial Statements Opinion

1. We have audited the accompanying standalone financial statements of AurionproSolutions Limited ("the Company") which comprise the Balance Sheet as at 31stMarch 2020 the Statement of Profit and Loss (including Other Comprehensive Income) theStatement of Changes in Equity and the Statement of Cash Flows for the year ended on thatdate and notes to the financial statements including a summary of significant accountingpolicies and other explanatory information (hereinafter referred to as "thestandalone financial statements")

Inouropinionandtothebestofourinformationandaccording to the explanations given to usthe aforesaid standalone financial statements give the information required by theCompanies Act 2013 ("the Act") in the manner so required and give a true andfair view in conformity with the Indian Accounting Standards prescribed under section 133of the Act read with the Companies (Indian Accounting Standards)

Rules 2015 as amended ("Ind AS") and other accounting principles generallyaccepted in India of the state of affairs of the Company as at 31st March2020 the profit and the total comprehensive income changes in equity and its cash flowsfor the year ended on that date.

Basis for Opinion

2. We conducted our audit in accordance with the Standards on Auditing specifiedunder section 143(10) of the Act (SAs). Our responsibilities under those Standards arefurther described in the ‘Auditor's Responsibilities for the Audit of the StandaloneFinancial Statements' section of our report. We are independent of the Company inaccordance with the Code of Ethics issued by the Institute of Chartered Accountants ofIndia (ICAI) together with the ethical requirements that are relevant to our audit of thestandalone financial statements under the provisions of the Act and the Rules madethereunder and we have fulfilled our other ethical responsibilities in accordance withthese requirements and the ICAI's Code of Ethics. We believe that the audit evidenceobtained by us is sufficient and appropriate to provide a basis for our audit opinion onthe standalone financial statements.

3. Key Audit Matters (‘KAM') are those matters that in our professionaljudgement were of most significance in our audit of the standalone financial statementsof the current audit period. These matters were addressed in the context of our audit ofthe standalone financial statements as a whole and in forming our opinion thereon and wedo not provide a separate opinion on these matters. We have determined the mattersdescribed below to be the Key Audit Matters to be communicated in our report.

Key Audit Matter Auditors' Response
Revenue from Fixed Price Contracts: Principal Audit Procedures:
Revenue from fixed price contracts where the performance obligations are satisfied over time has been recognized using the percentage of completion computed as per the input method based on the Company's estimate of contract costs. We tested the effectiveness of controls relating to recording and computing revenue and associated contract assets unearned and deferred revenue balances.
E_orts or costs expended have been used to measure progress towards completion as there is a direct relationship between input and productivity. Our audit approach consisted testing of the design and operating e_ectiveness of the internal controls and substantive testing as under:
The application of Ind AS 115 "Revenue from Contracts with Customers" involves Key judgements relating to (1) identification of distinct performance obligations (2) determination of transaction price of the said identified performance obligations (3) allocation of transaction price to the said performance obligations (4) basis for recognition of revenue over a period. Refer Notes 26 to the Standalone Financial Statements Selected samples of continuing and new contracts and tested the operating effectiveness of the internal control relating to identification of the distinct performance obligations and determination of transaction price. We performed procedures involving enquiry and observation verification of evidence in respect of operation of these controls.
Tested the IT systems' access and change management controls relating to contracts and related information used in recording and disclosing revenue in accordance with the said Ind AS.
Selected a sample of continuing and new contracts and performed certain procedures.
External Confirmations Our audit procedures included among others the following:
This matter is considered to be key audit matter given the circumstances of the year-end confirmations under COVID-19 vis- -vis non-COVID-19 scenario. Revised assessed risk and modified our audit procedures to mitigate these risks;
COVID-19 has impacted the procedure of external confirmation request to vendors and customers at the year-end and therefore external confirmation request was sent through electronic mode by the Company. Obtained a reliable assurance pertaining to transactions with confirming parties for accurate and complete process of routine and significant classes of transactions such as revenue purchases etc.;
In view of this we have performed alternative audit procedures. Selected samples and tested the effectiveness of controls related to accuracy and completeness of transactions in totality considering the frequency and regularity of transactions;
Obtained representations from the management regarding any impairment in the receivables

Information Other than the Standalone Financial Statements and Auditor's Report Thereon

4. The Company's management and Board of Directors are responsible for the otherinformation. The other information comprises the information included in the ManagementDiscussion and Analysis Director's Report including annexures to Director's ReportCorporate Governance Report and Shareholder's information but does not include thestandalone financial statements and our auditors' report thereon.

Our opinion on the standalone financial statements does not cover the other informationand we do not express any form of assurance conclusion thereon.

5. In connection with our audit of the standalone financial statements ourresponsibility is to read the other information and in doing so consider whether theother information is materially inconsistent with the standalone financial statements orour knowledge obtained during the course of our audit or otherwise appears to bematerially misstated.

If based on the work we have performed we conclude that there is a materialmisstatement of this other information we are required to report that fact. We havenothing to report in this regard.

Management's Responsibilities for the Standalone Financial Statements

6. The Company's management and Board of Directors are responsible for the mattersstated in section 134(5) of the Act with respect to the preparation of these standalonefinancial statements that give a true and fair view of the financial position financialperformance including other comprehensive income changes in equity and cash flows of theCompany in accordance with the Ind AS and other accounting principles generally acceptedin India. This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding of the assets of the Companyand for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe standalone financial statements that give a true and fair view and are free frommaterial misstatement whether due to fraud or error.

7. In preparing the standalone financial statements management and Board ofDirectors are responsible for assessing the Company's ability to continue as a goingconcern disclosing as applicable matters related to going concern and using the goingconcern basis of accounting unless management either intends to liquidate the Company orto cease operations or has no realistic alternative but to do so.

The Board of Directors is also responsible for overseeing the company's financialreporting process.

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

8. Our objectives are to obtain reasonable assurance about whether the standalonefinancial statements as a whole are free from material misstatement whether due to fraudor error and to issue an auditor's report that includes our opinion. Reasonable assuranceis a high level of assurance but is not a guarantee that an audit conducted in accordancewith SAs will always detect a material misstatement when it exists. Misstatements canarise from fraud or error and are considered material if individually or in theaggregate they could reasonably be expected to influence the economic decisions of userstaken on the basis of these standalone financial statements.

The description of the auditor's responsibilities for the audit of the financialstatements is given in "Appendix I" to this report.

Report on Other Legal and Regulatory Requirements

9. As required by the Companies (Auditor's Report) Order 2016 ("theOrder") issued by the Central Government of India in terms of sub-section (11) ofsection 143 of the Act we give in the "Annexure A" a statement on thematters specified in paragraphs 3 and 4 of the Order to the extent applicable.

10. As required by Section 143(3) of the Act based on our audit 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 purposes 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 the Statement of Profit and Loss (including Other ComprehensiveIncome) the Statement of Changes in Equity and the Statement of Cash Flow dealt with bythis Report are in agreement with the books of account.

d) In our opinion the aforesaid standalone financial statements comply with the Ind ASspecified under Section 133 of the Act.

e) On the basis of the written representations received from the directors as on 31stMarch 2020 taken on record by the Board of Directors none of the directors aredisqualified as on 31st March 2020 from being appointed as a director in termsof Section 164(2) of the Act.

f) With respect to the existence of the internal financial controls with reference tofinancial statements of the Company and the operating effectiveness of such controlsrefer to our separate Report in "Annexure B". Our report expresses anunmodified opinion on the existence of internal financial control with reference tofinancial statements and its operating effectiveness on the company.

g) In our opinion and to the best of our information and according to the explanationsgiven to us the remuneration paid by the company to its directors during the year is inaccordance with the provisions of section 197 of the Act.

h) With respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 as amended inour opinion and to the best of our information and according to the explanations given tous:

i. The Company did not have any pending litigations which have impact on its financialposition in its standalone 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 to theInvestor Education and Protection Fund by the Company except for Rs.2350/- pertaining tofinancial year 2011-12 is yet to be transferred to IEPF. The Company has initiatednecessary procedure in this regard for completion of the same.

For CHOKSHI & CHOKSHI LLP
Chartered Accountants
FRN: 101872W/W100045
Vineet Saxena
(Partner)
Membership No: 100770
UDIN: 20100770AAAAEP8515
Place : Navi Mumbai
Date : 29th June 2020

APPENDIX – I: THE FURTHER DESCRIPTION OF THE AUDITOR'S RESPONSIBILITIES FOR THEAUDIT OF THE STANDALONE FINANCIAL STATEMENTS

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

Identify and assess the risks of material misstatement of the standalone financialstatements whether due to fraud or error design and perform audit procedures responsiveto those risks and obtain audit evidence that is sufficient and appropriate to provide abasis for our opinion. The risk of not detecting a material misstatement resulting fromfraud is higher than for one resulting from error as fraud may involve collusionforgery intentional omissions misrepresentations or the override of internal control.

Obtain an understanding of internal control relevant to the audit in order todesign audit procedures that are appropriate in the circumstances. Under section 143(3)(i) of the Companies Act 2013 we are also responsible for expressing our opinion onwhether the company has internal financial controls system with reference to financialstatements in place and the operating effectiveness of such controls.

Evaluate the appropriateness of accounting policies used and the reasonableness ofaccounting estimates and related disclosures made by management.

Conclude on the appropriateness of management's use of the going concern basis ofaccounting and based on the audit evidence obtained whether a material uncertaintyexists related to events or conditions that may cast significant doubt on the Company'sability to continue as a going concern. If we conclude that a material uncertainty existswe are required to draw attention in our auditors' report to the related disclosures inthe standalone financial statements or if such disclosures are inadequate to modify ouropinion. Our conclusions are based on the audit evidence obtained up to the date of ourauditor's report. However future events or conditions may cause the Company to cease tocontinue as a going concern.

Evaluate the overall presentation structure and content of the standalonefinancial statements including the disclosures and whether the standalone financialstatements represent the underlying transactions and events in a manner that achieves fairpresentation.

We communicate with those charged with governance regarding among other matters theplanned scope and timing of the audit and significant audit findings including anysignificant de_ciencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have compliedwith relevant ethical requirements regarding independence and to communicate with themall relationships and other matters that may reasonably be thought to bear on ourindependence and where applicable related safeguards.

From the matters communicated with those charged with governance we determine thosematters that were of most significance in the audit of the standalone financial statementsof the current period and are therefore the key audit matters. We describe these mattersin our auditors' report unless law or regulation precludes public disclosure about thematter or when in extremely rare circumstances we determine that a matter should not becommunicated in our report because the adverse consequences of doing so would reasonablybe expected to outweigh the public interest benefits of such communication.

(Referred to in paragraph 9 under ‘Report on Other Legal and RegulatoryRequirements' section of our report to the members of Aurionpro Solutions Limited of evendate.) i. In respect of its fixed assets:

(a) the Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.

(b) As explained to us the fixed assets were physically verified during the year bythe management in accordance with a regular programme of verification which in ouropinion provides for the physical verification of all the fixed assets at reasonableintervals. According to the information and explanations given to us no materialdiscrepancies were noticed on such verification.

(c) In our opinion and according to information and explanations given to us and onthe basis of an examination of records of the Company the title deeds of immoveableproperties are held in the name of Company. In respect of immoveable properties taken onlease and disclosed as property plant and equipment in the standalone financialstatements the lease agreements are in the name of the Company where the Company is thelessee in the agreement.

ii. The inventory except goods-in-transit and stocks lying with third parties havebeen physically verified by the management during the year. In our opinion the frequencyof such verification is reasonable. For stocks lying with third parties at the year endwritten confirmations have been obtained. There is no discrepancy noticed on verificationbetween the physical stocks and book records.

iii. In our opinion and according to the information and explanations given to us theCompany has granted unsecured loans to 3 bodies corporate covered in the registermaintained under Section 189 of the Companies Act 2013 In respect of which:

a) The terms and conditions of the grant of such loans are in our opinion primafacie not prejudicial to the Company's interest.

b) The schedule of repayment of principal and payment of interest has been stipulatedand repayments of principal amounts and interest have been regular as per stipulations

c) There is no overdue amount remaining outstanding as at the year end.

iv. In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of Section 185 and 186 of the Act with respectto loans making investments providing guarantees and securities as applicable.

v. In our opinion and according to the information and explanations given to us theCompany has not accepted any public deposits as per the directives issued by the ReserveBank of India in accordance with the provision of Sections 73 to 76 or any other relevantprovision of the Act and rules framed there-under. Accordingly paragraph 3(v) of theOrder is not applicable to the Company.

vi. According to the information and explanations given to us by management theCentral Government has not prescribed the maintenance of cost records under Section 148(1) of the act for any of the goods sold and service/activities rendered by the Company.Accordingly paragraph 3(vi) of the Order is not applicable to the Company.

vii. (a) In our opinion and according to the information and explanations given to usthe Company has generally been regular in depositing applicable undisputed statutory duesincluding provident fund employees' state insurance income tax goods and service taxwealth tax service tax custom duty duty of excise value added tax cess and any otherstatutory dues to the appropriate authorities during the year except that in certaininstances there have been delays. The following balances remained in arrears as at thelast day of the financial year for a period exceeding six months from the date they becomedue -

Name of the Statue Nature of Dues Amount (`) Period to which the amount relates Due Date Date of Payment Remarks if any
Goods and Service Tax (GST) GST input credit Reversal and Interest on GST 3510986 2018-2020 Various Due Dates* Nil Nil

*GST due date – 20th of the subsequent months.

(b) According to the records of the Company and representation made available to us bythe Company there are no dues of income tax or goods and service tax or wealth tax orservice tax or duty of customs or duty of excise or value added tax which have not beendeposited on account of any dispute.

viii. In our opinion and according to the information and explanations given to us theCompany has not defaulted during the year in repayment of loans or borrowings to financialinstitutions and banks. The RBI vide circular dated 27th March 2020 had giventhe option of moratorium for repayment of term loan which has been exercised by theCompany. The Company did not have any loans or borrowings from government and has notissued any debentures.

ix. In our opinion and according to the information and explanation given to us theterm loans taken by the Company have been applied for the purpose for which they wereraised. The Company has not raised money by way of initial public offer or further publicoffer (including debt instruments) during the year.

x. According to the information and explanations given to us and to the best of ourknowledge no material fraud by the Company or on the Company by its officers or employeeshas been noticed or reported during the year.

xi. Managerial Remuneration has been paid or provided in accordance with the requisiteapprovals mandated by the provisions of section 197 read with Schedule V to the CompaniesAct 2013.

xii. According to information and explanations given to us the Company is not a NidhiCompany as prescribed under Section 406 of the Act. Accordingly paragraph 3(xii) of theOrder is not applicable to the Company.

xiii. According to information and explanations given to us all transactions with therelated parties are in compliance with Sections 177 and 188 of the Act where applicableand the details of such transactions have been disclosed in the standalone financialstatements as required by the applicable accounting standards.

xiv. The Company has not made any preferential allotment or private placement of sharesor fully or partly convertible debentures during the year under review and hence reportingunder paragraph 3 (xiv) of the Order is not applicable to the Company.

xv. According to information and explanations given to us the Company has not enteredinto any non-cash transactions with directors or persons connected with him and henceclause 3(xv) of the Order is not applicable to the Company.

xvi. The Company is not required to be registered under Section 45-IA of the ReserveBank of India Act 1934.

For CHOKSHI & CHOKSHI LLP
Chartered Accountants
FRN: 101872W/W100045
Vineet Saxena
(Partner)
Membership No: 100770
UDIN: 20100770AAAAEP8515
Place : Navi Mumbai
Date : 29th June 2020

Annexure B to Independent Auditor's Report

(Referred to in paragraph 10(f) under ‘Report on Other Legal and RegulatoryRequirements' section of our report to the members of Aurionpro Solutions Limited of evendate.)

Report on the Internal Financial Controls with reference to financial statements underClause (i) of Sub-section 3 of Section 143 of the Companies Act 2013 (‘the Act')

We have audited the internal financial controls with reference to financial statementsof Aurionpro Solutions Limited (‘the Company') as of 31st March 2020 inconjunction with our audit of the standalone financial statements of the Company for theyear ended on that date.

Management's Responsibility for Internal Financial Controls

The Company's management and Board of Directors are responsible for establishing andmaintaining internal financial controls based on the internal control with reference tofinancial statements criteria established by the Company considering the essentialcomponents of internal control stated in the Guidance Note on Audit of Internal FinancialControls over Financial Reporting (‘the Guidance Note') issued by the Institute ofChartered Accountants of India (‘the ICAI'). These responsibilities include thedesign implementation and maintenance of internal financial controls that were operatingeffectively for ensuring the orderly and efficient conduct of its business includingadherence to 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 as required under theCompanies Act 2013.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols with reference to financial statements based on our audit. We conducted our auditin accordance with the Guidance Note issued by ICAI and the Standards on Auditingprescribed under section 143(10) of the Companies Act 2013 to the extent applicable toan audit of internal financial controls. Those Standards and the Guidance Note requirethat we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether internal financial controls with reference to financialstatements was established and maintained and if such controls operated effectively in allmaterial respects.

Our audit involves performing procedures to obtain audit evidence about the existenceof the internal financial controls with reference to financial statements and theiroperating effectiveness. Our audit of internal financial controls with reference tofinancial statements included obtaining an understanding of internal financial controlswith reference to financial statements assessing the risk that a material weaknessexists and testing and evaluating the design and operating effectiveness of internalcontrol based on the assessed risk. The procedures selected depend on the auditor'sjudgment including the assessment of the risks of material misstatement of the financialstatements whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Company's internal financial controls systemwith reference to financial statements.

Meaning of Internal Financial Controls with reference to Financial Statements

A company's internal financial control with reference to financial statements is aprocess designed to provide reasonable assurance regarding the reliability of financialreporting and the preparation of financial statements for external purposes in accordancewith generally accepted accounting principles. A company's internal financial control withreference to financial statements includes those policies and procedures that-i. pertainto the maintenance of records that in reasonable detail accurately and fairly reflectthe transactions and dispositions of the assets of the company; ii. provide reasonableassurance that transactions are recorded as necessary to permit preparation of financialstatements in accordance with generally accepted accounting principles and that receiptsand expenditures of the company are being made only in accordance with authorizations ofmanagement and directors of the company; and iii. provide reasonable assurance regardingprevention or timely detection of unauthorized acquisition use or disposition of thecompany's assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls with reference to FinancialStatements Because of the inherent limitations of internal financial controls withreference to financial statements including the possibility of collusion or impropermanagement override of controls material misstatements due to error or fraud may occurand not be detected. Also projections of any evaluation of the internal financialcontrols with reference to financial statements to future periods are subject to the riskthat the internal financial control with reference to financial statements may becomeinadequate because of changes in conditions or that the degree of compliance with thepolicies or procedures may deteriorate.

Opinion

In our opinion to the best of our information and according to the explanations givento us the Company has in all material respects an existence of internal financialcontrols system with reference to financial statements and its operating effectiveness asat 31st March 2020 based on the internal financial control with reference tofinancial statements criteria established by the Company considering the essentialcomponents of internal control stated in the Guidance Note on Audit of Internal FinancialControls Over Financial Reporting issued by the ICAI.

For CHOKSHI & CHOKSHI LLP
Chartered Accountants
FRN: 101872W/W100045
Vineet Saxena
(Partner)
Membership No: 100770
UDIN: 20100770AAAAEP8515
Place : Navi Mumbai
Date : 29th June 2020