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Camex Ltd.

BSE: 524440 Sector: Industrials
NSE: N.A. ISIN Code: INE198C01010
BSE 00:00 | 05 Jul 26.25 -0.90
(-3.31%)
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27.35

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27.35

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NSE 05:30 | 01 Jan Camex Ltd
OPEN 27.35
PREVIOUS CLOSE 27.15
VOLUME 1289
52-Week high 41.00
52-Week low 21.00
P/E 13.89
Mkt Cap.(Rs cr) 27
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 27.35
CLOSE 27.15
VOLUME 1289
52-Week high 41.00
52-Week low 21.00
P/E 13.89
Mkt Cap.(Rs cr) 27
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Camex Ltd. (CAMEX) - Auditors Report

Company auditors report

To

The Members of

CAMEX LIMITED

CIN - L17100GJ1989PLC013041

Ahmedabad

Report on the Audit of the Standalone Financial Statements Opinion

We have audited the standalone financial statements of CAMEX LIMITED ("theCompany") which comprise the Balance Sheet as at March including Other ComprehensiveIncome Statement of Changes in Equity and the Cash 312021andtheStatementofProfit FlowStatement for the year then ended and notes to the Standalone Financial Statementsincluding a summary of Significant Accounting Policies and other Explanatory Information.

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone financial statements give the information requiredby the Companies Act 2013 as amended ("the Act") in the manner so required andgive a true and fair view in conformity with the Indian Accounting Standards prescribedundersection133 of the Act read with the Companies (Indian Accounting Standards) Rules2015 as amended ("Ind AS") and other accounting principles generally acceptedin India of the state of affairs of the Company as at March 31 2021 and profit changesin equity and its cash flows for the year ended on that date.

Basis for Opinion

We conducted our audit of the Standalone Financial Statements in accordance with theStandards on Auditing (SAs) as specified section143(10) of the Act. Our responsibilitiesunder those Standards are further described in the Auditor’s Responsibilities for theAudit of the Standalone Financial Statements section of our report. We are independent ofthe Company in accordance with the Code of Ethics issued by the Institute of CharteredAccountants of India together with the ethical requirements that are relevant to our auditof the standalone financial statements under the provisions of the Act and the Rulesthereunder and we have fulfilled our other ethical responsibilities in accordance withthese requirements and the Code of Ethics. We believe that the audit evidence we haveobtained is sufficient and appropriate to provide a basis for our opinion on theStandalone Financial Statements.

Information other than Financial Statements and Auditor’s Report Thereon

The company’s Board of Directors are responsible for the preparation andpresentation of the other information. The other information comprises the informationincluded in the Management Discussion and Analysis Board’s Report including theAnnexure to the Board’s Report Share Holder’s Information etc. but does notinclude the standalone financial statement and auditor’s report thereon. Our opinionon the standalone financial statements does not cover the other information and we do notexpress any form of assurance conclusion thereon.

In connection with our audit of the standalone financial statements our responsibilityis to read other information and in doing so consider whether the other information ismaterially inconsistent with the standalone financial statements or our knowledge obtainedduring the course of our audit or otherwise appears to be materially misstated. If basedon the work we have performed we conclude that there is material misstatement of thisinformation we are required to report that fact. We have nothing to report in thisregard.

Emphasis of Matter

We draw your attention to the Note No. 38 to the standalone financial statements whichexplains the management’s assessment of the financial impact dueto Covid-19 pandemicand restrictions related it. Our opinion is not modified in respect of this matter.

Key Audit Matters

Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the standalone financial statements of the current period.These matters were addressed in the context of our audit of the standalone financialstatements as a whole and in forming our opinion thereon and we do not provide aseparate opinion on these matters. For each matter below our description of how our auditaddressed the matter is provided in that context.

Key Audit Matters How the Matter was addressed in our Audit
1 Revenue Recognition: - The Company follows the revenue recognition policy as stated in the standalone financial statement (Refer Note No. 3.5 to the significant accounting policies of standalone financial statement). Our audit procedures to assess the appropriateness of revenue recognized included the following;
Revenue by the Company is recognized when the control of the underlying products has been transferred to customer along with the satisfaction of the Company’s performance obligation under a contract with customer. Our audit procedures considering the significant risk of misstatement related to revenue recognition included amongst other:
The Company focuses on revenue as a key performance measure which could create an incentive for revenue to be recognized before completion of the performance obligation. There is a significant risk of misstatement due to risk related to inappropriate recognitionof the revenue and hence was determined to be a key audit matter. - Obtaining an understanding of an assessing the design implementation and operating key internal controls over the revenue recognition process.
- Examination of end to ensure revenue recognition is made in correct period.
- Testinga sample of contracts from various revenue streams by agreeing information back to contracts and proof of delivery as appropriate and ensure revenue recognition policy is in accordance with principles of Ind AS 115.
Our testing as described above showed that revenue has been recorded in accordance with the terms of underlying contracts and accounting policy in this area.
2 Inventory: - - We understood and tested the design and operating effectiveness of controls as established by the management in determination of net realizable value of inventory.
The carrying value of inventory as at March 31 2021 is ` 157227453. The inventory is valued at the lower of cost and net realizable value. - Assessing the appropriateness of Company’s accounting policy
We considered the value of inventory as a key audit matter given the relative size of its statements and significant judgment involved in the consideration of factors in determination of selling prices such as fluctuation of raw materials prices in the market and in determination of net realizable value. (Refer Note No. 3.7 to the significant accounting policies of standalone financial statement). for valuation of stock-in-trade and compliance of the policy with balanceinthe financial the requirements of the prevailing Indian accounting standards.
- We considered various factors including the actual selling price prevailing around and subsequent to the year-end.
- Compared the cost of the finished goods with the estimated net realizable value and checked if the finished goods were recorded at net realizable value where the cost was higher than the net realizable value.
Based on the above procedures performed the management’s determination of the net realizable value of the inventory as at the year end and comparison with cost for valuation of inventory is considered to be reasonable.
3 Carrying Value of Trade Receivables: - - We assessed a sample of trade receivables and advances.
The collectability of the Company’s trade receivables and the valuation of allowance for impairment of trade receivables and provision for bad and doubtful debt require the Industry Company has extended an additional credit period however this adverse impact is temporary in nature and Industry will recover in the short run as per the management estimates .As per the current assessment of the situation based on the Internal and external information available up to the date of approval of these financial results by the Board of Directors the Company believes that the Impact of Covid-19 on its business assets internal financial controls profitability and liquidity both present and future would be limited and there is no indication of any material impact on the carrying value. Management uses this information to determine whether a provision for transaction impairment is required either for a specific for a customer’s balance overall. Accordingly it has been determined as a key audit matter. - We assessed the ageing of trade receivables and advances the customer’s historical payment patterns and whether any post year-end payments have been received up to the date of completing our audit procedures.
- We also discussed with the management regarding any disputes between the parties involved attempts by management to recover the amounts outstanding and on the credit status of significant counter parties wherever available. In assessing the appropriateness of the overall provision for impairment we considered the management’sapplicationof policy for recognizing provisions.
We assessed the Company’s provisioning policy and comparing the Company’s provisioning against historical collection data Considered the completeness and accuracy of the disclosures.

Management’s Responsibility for the Standalone Financial Statements

The Company’s Board of Directors is responsible for the matters stated in section134(5) of the Act with respect to the preparation of these standalone financial statementsthat give a true and fair view of the financial positionfinancial performance includingother comprehensive income changes in equity and cash flows of the Company in accordancewith the Ind AS and other accounting principles generally accepted in India.

This responsibility also includes maintenance of adequate records in accordance withthe provisions of the act for safeguarding of the assets of the company and for preventingand detecting fraud and other irregularities; selection and application of appropriateaccounting policies; making judgments and estimates that are reasonable and prudent; anddesign implementation and maintenance of adequate internal financial controls that wereoperating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the standalone financialstatements that give a true and fair view and are free from material misstatement whetherdue to fraud or error.

The Board of Directors are responsible for assessing the Company’s ability tocontinue as going concern disclosing as applicable matters related to going concern andusing the going concern basis of accounting unless the Board of Directors either intend toliquidate the Company or to cease operations or has no realistic alternative but to doso.

The Board of Directors are responsible for overseeing the financial reporting processof the Company.

Auditor’s Responsibilities for the Audit of the Financial Statements

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. Reasonableassurance is a high level of assurance but is not a guarantee that an audit conducted inaccordance with SAs will always detect a material misstatement when it exists.Misstatements can arise from fraud or error and are considered material if individuallyor in the aggregate they could reasonably be expected to influence the economic decisionsof users taken on the basis of these standalone financial statements. As a part of anaudit in accordance with SAs we exercise professional judgment and maintain professionalskepticism We also:

(a) Identify and assess the risks of material misstatement of the financial statementswhether due to fraud or error design and perform audit procedures responsive to thoserisks and obtain audit evidence that is sufficient and appropriate to provide a basis forour opinion. The risk of not detecting a material misstatement resulting from fraud ishigher than for one resulting from error as fraud may involve collusion forgeryintentional omissions misrepresentations or the override of internal control.

(b) 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 on whetherthe company has adequate internal financial controls system in place and the operatingeffectiveness of such controls.

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

(d) Conclude 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 thecompany’s ability to continue as a going concern. If we conclude that a materialuncertainty exists we are required to draw attention in our auditor’s report to therelated disclosures in the standalone financial statements or if such disclosures areinadequate to modify our opinion. Our conclusions are based on the audit evidenceobtained up to the date of our auditor’s report. However future events or conditionsmay cause the company to cease to continue as a going concern.

(e) Evaluate the overall presentation structure and content of the standalonefinancial statements including the disclosures and whether the financial statementsrepresent the underlying transactions and events in a manner that achieves fairpresentation. Materiality is the magnitude of misstatements in the standalone financialstatements that individually or in aggregate makes it probable that the economicdecisions of a reasonably knowledgeable user of the standalone financial statements may beinfluenced. We consider quantitative materiality and qualitative factors in

(i) planning the scope of our audit work and in evaluating the results of our work; and

(ii) to evaluate the effect of any identified misstatements in the standalone financialstatements.

We communicate with those charged with governance regarding among other matters theplanned scope and timing of the audit and significant audit findings including anysignificant deficiencies in internal control that we identify during our audit. We alsoprovide those charged with governance with a statement that we have complied with relevantethical requirements regarding independence and to communicate with them allrelationships 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 auditor’s report unless law or regulation precludes public disclosure aboutthe matter or when in extremely rare circumstances we determine that a matter should notbe communicated in our report because the adverse consequences of doing so wouldreasonably be expected to outweigh the public interest benefits of such communication.

Report on Other Legal and Regulatory Requirements

As required by the Companies (Auditor’s Report) Order 2016 ("theOrder") issued by the Central Government of India in terms of subsection (11) ofsection 143 of the Companies Act 2013 we give in the" Annexure - A" astatement on the matters specified in paragraphs 3 and 4 of the Order to the extentapplicable.

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 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 Statement of Changes in Equity and the Cash Flow Statement dealt with by thisReport are in agreement with the relevant books of account.

(d) In our opinion the aforesaid standalone financial statements comply with theAccounting Standards specified under Section 133 of the Act read with Companies (IndianAccounting Standards) Rules 2015 as amended;

(e) On the basis of the written representations received from the directors as on March31 2021 taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2021 from being appointed as a director in terms of Section 164(2) of theAct.

(f) With respect to the adequacy of the internal financial controls over financialreporting of the Company and the operating effectiveness of such controls refer to ourseparate Report in "Annexure - B". Our report expresses an unmodifiedopinion on the over financial adequacy and operating reporting. effectiveness ofthe Company’s internal financial

(g) In our opinion the managerial remuneration for the year ended March 31 2021 hasbeen paid / provided by the Company to its directors in accordance with the provisions ofSection 197 read with Schedule V to 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 in our opinionand to the best of our information and according to the explanations ould impact itsfinancial position; w

(i) The Company does not have any pending litigations which

(ii) The Company did not have any long-term contracts including derivative contractsfor which there were any material foreseeable losses.

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

For P. M. Nahata & Co.
Chartered Accountants
Firm Reg. No. 127484W
CA Pankaj Nahata
Partner
Place : Ahmedabad Membership No. 115636
Date : June 5 2021 UDIN: - 21115636AAAAAO5326

Annexure - ‘A’

Annexure to the Independent Auditors’ Report of even date on the StandaloneFinancial Statements of CAMEX LIMITED

The Annexure referred to in paragraph 1 under the heading "Report on other legaland regulatory requirements" of our report of even date

(i) (a) The Company has maintained proper records showing full particulars includingquantitativedetailsandsituation fixed assets. of

(b) The fixed assets have been physically verified during the year by the Management inaccordance with programme of physical verification which in our opinion provides forphysical verification of all fixed assets at a reasonable interval having regard to sizeof the Company and nature of fixed assets. According to the Information and explanationgiven to us no material discrepancies were noticed on such verification.

(c) Based upon the audit procedure performed and according to the records of thecompany title deeds of all the immovable properties are in the name of company.

(ii) The Inventories of Raw Materials Work-in-Progress Finished Goods Stores andSpares have been physically verified by the management. In our opinion the frequency ofverification is reasonable. On the basis of our examination of the records of theinventory we are of opinion that the discrepancies noticed on verification betweenphysical stock and book records were not material and have been properly dealt with thebooks of account.

(iii) According to the information and explanations given to us the Company hasgranted unsecured loans to one company covered in the register maintained under Section189 of the Act 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 re-payment of principle and interest has not been expresslystipulated and the same has to be considered as mutual agreed upon and in the absence ofsuch schedule we are unable to comment on the re-payment of principle amount.

c) As no re-payment schedule is expressly agreed upon there is no overdue principaland interest amount.

The Company has not granted any loans secured or unsecured to firms LimitedLiability Partnerships register maintained under Section 189 of the Act.

(iv) In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of Sections 185 and 186 of the Act in respect ofgrant of loans making investments and providing guarantees and securities

(v) According to the information and explanations given to us the Company has notaccepted deposits from the public within the meaning of Sections 73 to 76 of the Act andthe rules framed there under. Accordingly the reporting requirements of paragraph 3 (v)of the Order is not applicable to the Company.

(vi) The Company has maintained the cost records as prescribed by the CentralGovernment under section 148(1) of the Act and we are of the opinion that prima faciethe prescribed cost records have been maintained by the company. However we have not madedetailed examination of the cost records with a view to determine whether they areaccurate or complete.

(vii) According to the information and explanations given to us in respect ofstatutory dues:

(a) On the basis of our examination of the records of the company in respect ofundisputed statutory dues of Goods and Service Tax Custom Duty Income Tax ProvidentFund Employees’ State Insurance Professional Tax Cess and other material statutorydues have been regularly deposited during the year by the company with the appropriateauthorities.

(b) There were no undisputed amounts payable in respect of Goods and Service TaxCustom Duty Income Tax Provident Fund Employees’ State Insurance ProfessionalTax Cess and other material statutory dues were in arrears as at March 31 2021 for aperiod of more than six months from the date they became payable.

(c) There are no material dues of Central Excise Service Tax Sales Tax Goods andService Tax Custom Duty Income Tax Provident Fund Employees’ State InsuranceProfessional Tax which have not been deposited with the appropriate authorities of anydispute.

(viii) Based on our audit procedure and information and explanation given by themanagement we are of the opinion that the company has not defaulted in repayment of loansto the banks. Further the company has not borrowed or raised any money from debenturesholders during the year.

(ix) The Company has not raised any moneys by way of initial public offer or furtherpublic offer (including debt instruments) or term loans. Accordingly the provisions ofclause 3(ix) of the order are not applicable to the company.

(x) Based upon the audit procedures performed for the purpose of reporting the true andfair view of the standalone financial statements and as per the information andexplanations given by the Management we report that no material fraud on or by theCompany has been noticed or reported during the year.

(xi) According to the information and explanations given to us and based on ourexamination of the records of the company the company has paid/provided for managerialremuneration in accordance with the requisite approvals mandated by the provisions ofsection 197 read with schedule V to the Act.

(xii) In our opinion the Company is not a Chit Fund or a Nidhi/Mutual BenefitFund/Society. Therefore the provisions of Clause 3(xii) of the Order are not applicableto the Company.

(xiii) According to the information and explanation given to us and on the basis of ourexamination of the records of the Company all the transactions with related parties arein compliance with Section 177 and 188 of have been disclosed in the Standalone FinancialStatements as required by the applicable accounting standards.

(xiv) According to the information and explanations given to us and based on ourexamination of the records of the company the Company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year Accordingly reporting requirement of paragraph 3(xiv) of the Order are notapplicable to the Company.

(xv) In our opinion and according to the information and explanations given to us theCompany has not entered into any non-cash transactions with directors or persons connectedwith him. Accordingly reporting requirement of paragraph 3(xv) of the order is notapplicable to the Company.

(xvi) According to the information given and as explained to us the company is notrequired to be registered under section 45-IA of the Reserve Bank of India Act 1934.

For P. M. Nahata & Co.
Chartered Accountants
Firm Reg. No. 127484W
CA Pankaj Nahata
Partner
Place : Ahmedabad Membership No. 115636
Date : June 5 2021 UDIN: - 21115636AAAAAO5326

"Annexure B" to the Independent Auditor’s Report of even date on theStandalone Financial Statements of CAMEX LIMITED

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 controlsoverfinancialreportingof CAMEX LIMITED("the Company") (CIN-L17100GJ1989PLC013041) as of March 31 2021 inconjunctionwith 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 is responsible for establishing and maintaining internalfinancial controls based on the internal control over financial reporting criteriaestablished by the Company considering the essential components of internal control statedin the Guidance Note on Audit of Internal Financial Controls Over Financial Reportingissued by the Institute of Chartered Accountants of India (ICAI). These responsibilitiesinclude the design implementation and maintenance of adequate internal financial controlsthat were operating for ensuring the orderly and efficient conduct of its businessincluding adherence to company’s policies the safeguarding of its assets theprevention and detection of frauds and errors the accuracy and completeness of theaccounting records and the timely preparation of reliable financial information asrequired under the Act.

Auditors’ 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 issued by the ICAI anddeemed to be prescribed under Section 143(10) of the Act to the extent applicable to anaudit of internal financial controls both applicable to an audit of Internal FinancialControls and both issued by the ICAI. Those Standards and the Guidance Note require thatwe comply with ethical requirements and plan and perform the audit to obtain reasonableassurance about whether adequate internal financial controls over financial reporting wasestablished and maintained and if such controls operated effectively in all materialrespects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls system over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reporting includedobtaining an understanding of internal financial controls over financial reportingassessing the risk that a material weakness exists and testing and evaluating the designand operating effectiveness of internal control based on the assessed risk. The proceduresselected depend on the auditor’s judgment including the assessment of the risks ofmaterial misstatement of the financial statements 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 controlssystem over financial reporting with reference to these Standalone Financial Statements.

Meaning of Internal Financial Controls Over Financial Reporting

A company’s internal financial control over financial reporting is a processdesigned to provide reasonable assurance regarding the reliability of financial reportingand the preparation of financial statements for external purposes in accordance withgenerally accepted accounting principles. A company’s internal financial control overfinancial reporting includes those policies and procedures that

(1) pertain to the maintenance of records that in reasonable detail accurately andfairly reflect the transactions and dispositions of the 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 authorizations of management and directors of the company; and

(3) provide reasonable assurance regarding prevention or timely detection ofunauthorized acquisition use or disposition of the company’s assets that could havea material effect financial 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 changes in conditions or thatthe degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion to the best of our informationand according to the explanations givento us the Company has in all material respects an adequate internal financial controlssystem over financial reporting and such internal financial controls over financialreporting with reference to these Standalone Financial Statements were operatingeffectively as at March 31st 2021 based on the internal control over financial reportingcriteria established by the Company considering the essential components of internalcontrol stated in the Guidance Note on Audit of Internal Financial Controls Over FinancialReporting issued by the Institute of Chartered Accountants of India.

For P. M. Nahata & Co.
Chartered Accountants
Firm Reg. No. 127484W
CA Pankaj Nahata
Partner
Place : Ahmedabad Membership No. 115636
Date : June 5 2021 UDIN: - 21115636AAAAAO5326

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