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Cyient Ltd.

BSE: 532175 Sector: IT
NSE: CYIENT ISIN Code: INE136B01020
BSE 00:00 | 16 Jul 706.85 10.55
(1.52%)
OPEN

700.00

HIGH

718.00

LOW

695.00

NSE 00:00 | 16 Jul 706.45 10.25
(1.47%)
OPEN

701.00

HIGH

713.00

LOW

695.00

OPEN 700.00
PREVIOUS CLOSE 696.30
VOLUME 17086
52-Week high 887.00
52-Week low 475.20
P/E 19.95
Mkt Cap.(Rs cr) 7,983
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 700.00
CLOSE 696.30
VOLUME 17086
52-Week high 887.00
52-Week low 475.20
P/E 19.95
Mkt Cap.(Rs cr) 7,983
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Cyient Ltd. (CYIENT) - Auditors Report

Company auditors report

TO THE MEMBERS OF CYIENT LIMITED

The accompanying abridged standalone Ind AS financial statements ofCYIENT LIMITED ("the Company") which comprise Abridged standalone Balance Sheetas at March 31 2018 Abridged standalone Statement of Profit and Loss (including OtherComprehensive Income) Abridged Cash Flow Statement and Abridged Statement of Changes inEquityforthe yearthen ended and related notes are derived from the audited standaloneInd AS financial statements of the Company for the year ended March 31 2018. We expressedan unmodified audit opinion on those standalone Ind AS financial statements in our reportdated April 192018.

The abridged standalone Ind AS financial statements do not contain allthe disclosures required by the Companies Act 2013 ("the Act") and IndianAccounting Standards (Ind AS) prescribed under Section 133 of the Act and accountingprinciples generally accepted in India which were applied in the preparation of theaudited standalone Ind AS financial statements of the Company. Reading the abridgedstandalone Ind AS financial statements therefore is not a substitute for reading theaudited standalone Ind AS financial statements of the Company.

Management's Responsibility for the Abridged Standalone Ind ASFinancial Statements

The Company's Board of Directors is responsible for the preparation ofthe abridged standalone Ind AS financial statements in accordance with the requirementsspecified under Section 136(1) read with Rule 10 of the Companies (Accounts) Rules 2014as amended based on the audited standalone Ind AS financial statements of the Company forthe year ended 31 March 2018 prepared in accordance with Indian Accounting Standardsprescribed under Section 133 of the Act and accounting principles generally accepted inIndia. This responsibility includes the design implementation and maintenance of internalcontrol relevant to the preparation and presentation of the abridged standalone Ind ASfinancial statements.

Auditor's Responsibility

Our responsibility is to express an opinion on the abridged standaloneInd AS financial statements based on our procedures conducted in accordance with Standardon Auditing (SA) 810 "Engagements to Report on Summary Financial Statements"specified under Section 143(10) of the Act. In performing those procedures the auditorconsiders internal control relevant to the Company's preparation and fair presentation ofthe abridged standalone Ind AS financial statements in order to design audit proceduresthat are appropriate in the circumstances but not for the purpose of expressing anopinion on the effectiveness of the Company's internal control.

Opinion

In our opinion and to the best of our information and explanationsgiven to us the abridged standalone Ind AS financial statements prepared in accordancewith Rule 10 of the Companies (Accounts) Rules 2014 as amended derived from the auditedstandalone Ind AS financial statements of the Company for the year ended March 31 2018prepared in accordance with the Ind AS prescribed under Section 133 of the Act andaccounting principles generally accepted in India are a fair summary of those auditedstandalone Ind AS financial statements.

For DELOITTE HASKINS & SELLS

Chartered Accountants (Firm's Registration No.008072S)

P.R. Ramesh

Partner

(Membership No. 70928)

Place : Hyderabad Date :Aprill92018

ANNEXURE "A" TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph 1(f) under 'Report on Other Legal andRegulatory Requirements' section of our report of even date)

Report on the Internal Financial Controls Over Financial Reportingunder Clause (i) of Sub-section 3 of Section 143 of the Companies Act 2013 ("theAct")

We have audited the internal financial controls over financialreporting of CYIENT LIMITED (" the Company") as of March 31 2018 in conjunctionwith our audit of the standalone Ind AS financial statements of the Company for the yearended on that date.

Management's Responsibility for Internal Financial Controls

The Company's management is responsible for establishing andmaintaining internal financial controls based on the internal control over financialreporting criteria established by the Company considering the essential components ofinternal control stated in the Guidance Note on Audit of Internal Financial Controls OverFinancial Reporting issued by the Institute of Chartered Accountants of India. Theseresponsibilities include the design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the orderly and efficientconduct of its business including adherence to respective company's policies thesafeguarding of its assets the prevention and detection of frauds and errors theaccuracy and completeness of the accounting records and the timely preparation ofreliable financial information as required under the Companies Act 2013.

Auditor's Responsibility

Our responsibility is to express an opinion on the Company's internalfinancial controls over financial reporting of the Company based on our audit. Weconducted our audit in accordance with the Guidance Note on Audit of Internal FinancialControls Over Financial Reporting (the "Guidance Note") issued by the Instituteof Chartered Accountants of India and the Standards on Auditing prescribed under Section143(10) of the Companies Act 2013 to the extent applicable to an audit of internalfinancial controls. Those Standards and the Guidance Note require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether adequate internal financial controls over financial reporting was established andmaintained and if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence aboutthe adequacy of the 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 judgement 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 andappropriate to provide a basis for our audit opinion on the Company's internal financialcontrols system overfinancial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

A company's internal financial control overfinancial reporting 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 overfinancial reporting includes those policies and procedures that (1) pertain to themaintenance of records that in reasonable detail accurately and fairly reflect thetransactions and dispositions of the assets of the company; (2) 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 authorisations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorised acquisition use or disposition of thecompany's assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls Over FinancialReporting

Because of the inherent limitations of internal financial controls overfinancial reporting including the possibility of collusion or improper managementoverride of controls material misstatements due to error or fraud may occur and not bedetected. Also projections of any evaluation of the internal financial controls overfinancial reporting 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 information and according to theexplanations given to us 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 2018 based on thecriteria for internal financial control over financial reporting established by therespective Company considering the essential components of internal control stated in theGuidance Note on Audit of Internal Financial Controls Over Financial Reporting issued bythe Institute of Chartered Accountants of India.

For DELOITTE HASKINS & SELLS

Chartered Accountants (Firm's Registration No.008072S)

P.R. Ramesh

Partner

(Membership No. 70928)

Place : Hyderabad Date :Aprill92018

ANNEXURE B TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph 2 under 'Report on Other Legal and RegulatoryRequirements' section of our report of even date)

i. (a) The Company has maintained proper records showing fullparticulars including quantitative details and situation of property plantand equipment.

(b) Some of the property plantand equipmentwere physically verifiedduring theyear by the Management in accordance with a programme of verification which inour opinion provides for physical verification of all the property plant and equipment atreasonable intervals.

(c) According to the information and explanations given to us and therecords examined by us and based on the examination of the registered sale deed /conveyance deed provided to us we report that the title deeds comprising all theimmovable properties of land which are freehold are held in the name of the Company as atthe balance sheet date except the following:

Particulars of freehold land

Gross Block as at

31.03.2018 (' in million)

Net Block as at

31.03.2018 (' in million)

Remarks

Freehold land located at Nanakramguda Village admeasuring 10 acres.

4

4

Pending completion of legal formalities relating to conveyance.

In respect of immovable properties of land that have been taken onlease and disclosed as property plant and equipment in the financial statements thelease agreements are in the name of the Company where the Company is the lessee in theagreement. In case of one leasehold land the Company is yet to receive the title which ispending completion of legal formalities relating to conveyance.

ii. The Company does not have any inventory and hence reporting underclause (ii) of the Order is not applicable.

iii. According to the information and explanations given to us theCompany has granted loans unsecured to companies covered in the register maintainedunder section 189 of the Companies Act 2013 in respectofwhich:

(a) The terms and conditions of the grant of such loans are in ouropinion prima facie not prejudicial to the Company's interest.

(b) The schedule of repayment of principal and payment of interest hasbeen stipulated and repayments or receipts of principal amounts and interest have beenregular as per stipulations.

(c) There is no overdue amount remaining outstanding as at theyear-end.

iv. In our opinion and according to the information and explanationsgiven to us the Company has complied with the provisions of Sections 185 and 186 of theCompanies Act 2013 in respect of grant of loans making investments and providingguarantees and securities as applicable.

v. According to the information and explanations given to us theCompany has not accepted any deposit during the year and does not have any outstandingunclaimed deposits as at March 31 2018 and therefore reporting under clause (v) of theOrder is not applicable.

vi. Having regard to the nature of the Company's business / activitiesreporting under clause (vi) of the Order is not applicable.

vii. According to the information and explanations given to us inrespect of statutory dues:

(a) The Company has been regular in depositing undisputed statutorydues including Provident Fund Employees' State Insurance Income-tax Goods &Services Tax Sales Tax Service Tax Customs Duty Value Added Tax cess and othermaterial statutory dues applicable to it to the appropriate authorities. Excise duty isnot applicable to the Company.

(b) There were no undisputed amounts payable in respect of ProvidentFund Employees' State Insurance Income-tax Goods & Services Tax Sales Tax ServiceTax Customs Duty Value Added Tax cess and other material statutory dues

in arrears as at March 31 2018 fora period of more than six monthsfrom the date they became payable. Excise duty is not applicable to the Company.

(c) Details of dues of Sales Tax Service Tax and Value Added Taxwhich have not been deposited as on March 312018 on account of disputes are given below:

Name of Statute

Nature of Dues

Forum where Dispute is Pending

Period to which the Amount Relates

Amount Unpaid (' in millions)

Central Sales Tax Act 1956

Sales Tax

Sales Tax Appellate Tribunal

2004-05 to 2009-10 & 2012-13

8

Andhra Pradesh Value Added Tax Act 2005

Value Added Tax

Sales Tax Appellate Tribunal

2005-06 to 2009-10

2

Finance Act 1994

Service Tax

Central Excise and Service Tax Appellate Tribunal

2006-07 to 201011 & 2013-14 to 2015-16

130

There are no dues of Income-tax and Customs Duty as on March 31 2018on account of disputes. Excise duty is not applicable to the Company.

viii. The Company has not taken any loans or borrowings from financialinstitutions banks and government or issued any debentures. Hence reporting under clause(viii) of the Order is not applicable to the Company.

ix. The Company has not raised moneys by way of initial public offer orfurther public offer (including debt instruments) or term loans and hence reporting underclause (ix) of the Order is not applicable.

x. To the best of our knowledge and according to the information andexplanations given to us no fraud by the Company and no fraud on the Company by itsofficers or employees has been noticed or reported during the year.

xi. In our opinion and according to the information and explanationsgiven to us the Company has provided managerial remuneration in accordance with therequisite approvals mandated by the provisions of section 197 read with Schedule V to theCompanies Act 2013.

xii. The Company is not a Nidhi Company and hence reporting underclause (xii) of the Order is not applicable.

xiii. In our opinion and according to the information and explanationsgiven to us the Company is in compliance with Section 177 and 188 of the Companies Act2013 where applicable for all transactions with the related parties and the details ofrelated party transactions have been disclosed in the financial statements as required bythe applicable accounting standards.

xiv. During the year the Company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures andhence reporting under clause (xiv) of the Order is not applicable to the Company.

xv. In our opinion and according to the information and explanationsgiven to us during the year the Company has not entered into any non-cash transactionswith its directors or persons connected with him and hence provisions of section 192 ofthe Companies Act 2013 are not applicable.

xvi. The Company is notrequired to be registered under section 45-IAofthe Reserve Bankoflndia Act 1934. For DELOITTE HASKINS & SELLS

Chartered Accountants

(Firm's Registration No.008072S)

P.R. Ramesh

Partner

(Membership No. 70928)

Place : Hyderabad Date :Aprill92018