on Quarterly and Annual Financial Results of the Company Pursuant to the Regulation 33of the SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015
To the Board of Directors of Miven Machine Tools Limited
Report on the Audit of the Financial Results
1. We have audited the accompanying standalone quarterly and annual statement ofFinancial Results of Miven Machine Tools Limited (the company) for the quarter and yearended 31st March 2021 attached herewith being submitted by the company pursuant to therequirement of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements)Regulations 2015 as amended ("Listing Regulations").
2. In our opinion and to the best of our information and according to the explanationsgiven to us these standalone financial results:
i. are presented in accordance with the requirements of Regulation 33 of the ListingRegulations in this regard; and
ii. give a true and fair view in conformity with the recognition and measurementprinciples laid down in the applicable accounting standards and other accountingprinciples generally accepted in India of the net profit and other comprehensive incomeand other financial information for the year ended 31st March 2021
Basis for Opinion
3. We conducted our audit in accordance with the Standards on Auditing (SAs) specifiedunder section 143(10) of the Companies Act 2013 (the Act). Our responsibilities underthose Standards are further described in the Auditor's Responsibilities for the Audit ofthe Standalone Financial Results section of our report. We are independent of the Companyin accordance with the Code of Ethics issued by the Institute of Chartered Accountants ofIndia together with the ethical requirements that are relevant to our audit of thefinancial results under the provisions of the Companies Act 2013 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.
Material Uncertainty Related to Going Concern
4. We draw attention to Note 4 in the financial results which indicates that as atMarch 31 2021 the Company's current liabilities exceeded its total assets by Rs. 1054.68Lakhs. The events or conditions along with other matters as set forth in Note 4 indicatethat a material uncertainty exists that may cast significant doubt on the Company'sability to continue as a going concern. Our opinion is not modified in respect of thismatter.
Emphasis of Matter
5. We draw attention to Note 5 to the accompanying annual financial results whichdescribes management's assessment of uncertainty relating to the effects of the COVID-19pandemic on the Company's operations. Our opinion is not modified in respect of thismatter.
6. We draw attention to Note 6 to the accompanying annual financial results aboutcustomer advances outstanding for more than one year as at the balance sheet date. Ouropinion is not modified in respect of this matter for the reasons indicated therein.
Responsibilities of Management and Those Charged with Governance for theStatement
7. These quarterly financial results as well as the annual standalone financial resultshave been prepared on the basis of annual financial statements. The Company's Board ofDirectors are responsible for the preparation of these financial results that give a trueand fair view of the net profit/loss and other comprehensive income and other financialinformation in accordance with the recognition and measurement principles laid down inIndian Accounting Standard 34 'Interim Financial Reporting' prescribed under Section 133of the Act read with relevant rules issued thereunder and other accounting principlesgenerally accepted in India and in compliance with Regulation 33 of the ListingRegulations. This responsibility also includes maintenance of adequate accounting recordsin accordance 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 results that give a true and fair view and are free from materialmisstatement whether due to fraud or error.
8. In preparing the standalone financial results the Board of Directors areresponsible for assessing the Company's ability to continue as a going concerndisclosing as applicable matters related to going concern and using the going concernbasis of accounting unless the Board of Directors either intends to liquidate the Companyor to cease operations or has no realistic alternative but to do so.
9. The Board of Directors are also responsible for overseeing the Company's financialreporting process.
Auditor's Responsibilities for the Audit of the Statement
10. Our objectives are to obtain reasonable assurance about whether the Statement as awhole is free from material misstatement whether due to fraud or error and to issue anauditor's report that includes our opinion. Reasonable assurance is a high level ofassurance but is not a guarantee that an audit conducted in accordance with Standards onAuditing specified under Section 143(10) of the Act will always detect a materialmisstatement when it exists. Misstatements can arise from fraud or error and areconsidered material if individually or in the aggregate they could reasonably beexpected to influence the economic decisions of users taken on the basis of thisStatement.
11. As part of an audit in accordance with the Standards on Auditing we exerciseprofessional judgment and maintain professional scepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the standalonefinancial results whether due to fraud or error design and perform audit proceduresresponsive to those risks and obtain audit evidence that is sufficient and appropriate toprovide a basis for our opinion. The risk of not detecting a material misstatementresulting from fraud is higher than for one resulting from error as fraud may involvecollusion forgery intentional omissions misrepresentations or the override of internalcontrol.
Obtain an understanding of internal control relevant to the audit in order todesign audit procedures that are appropriate in the circumstances but not for the purposeof expressing an opinion on the effectiveness of the company's internal control.
Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimates and related disclosures made by the Board of Directors.
Conclude on the appropriateness of the Board of Directors' use of the goingconcern basis of accounting and based on the audit evidence obtained whether a materialuncertainty exists 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 financial results or if such disclosures are inadequate tomodify our opinion. Our conclusions are based on the audit evidence obtained up to thedate of our auditor's report. However future events or conditions may cause the Companyto cease to continue as a going concern.
Evaluate the overall presentation structure and content of the standalonefinancial results including the disclosures and whether the financial results representthe underlying transactions and events in a manner that achieves fair presentation.
12. We communicate with those charged with governance regarding among other mattersthe planned scope and timing of the audit and significant audit findings including anysignificant deficiencies in internal control that we identify during our audit.
13. We also provide those charged with governance with a statement that we havecomplied with relevant ethical requirements regarding independence and to communicatewith them all relationships and other matters that may reasonably be thought to bear onour independence and where applicable related safeguards.
14. The Statement includes the financial results for the quarter ended 31 March 2021being the balancing figures between the audited figures in respect of the full financialyear and the published unaudited year-to-date figures up to the third quarter of thecurrent financial year which were subjected to limited review by us and not subjected toany audit. Our report on the Statement is not modified in respect of this matter.