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Uniroyal Industries Ltd.

BSE: 521226 Sector: Industrials
NSE: N.A. ISIN Code: INE980D01019
BSE 13:48 | 19 Mar 10.75 0.49
(4.78%)
OPEN

10.75

HIGH

10.75

LOW

10.75

NSE 05:30 | 01 Jan Uniroyal Industries Ltd
OPEN 10.75
PREVIOUS CLOSE 10.26
VOLUME 100
52-Week high 12.93
52-Week low 8.56
P/E 9.27
Mkt Cap.(Rs cr) 9
Buy Price 9.81
Buy Qty 200.00
Sell Price 9.81
Sell Qty 250.00
OPEN 10.75
CLOSE 10.26
VOLUME 100
52-Week high 12.93
52-Week low 8.56
P/E 9.27
Mkt Cap.(Rs cr) 9
Buy Price 9.81
Buy Qty 200.00
Sell Price 9.81
Sell Qty 250.00

Uniroyal Industries Ltd. (UNIROYALIND) - Auditors Report

Company auditors report

INDEPENDENT AUDITOR'S REPORT

To the Members of

Uniroyal Industries Limited

REPORT ON THE STANDALONE IND-AS FINANCIAL STATEMENTS

We have audited the accompanying standalone IND-AS financial statements of UniroyalIndustries Limited ("the Company") which comprise the Balance Sheet as at 31stMarch 2018 the statement of Profit and Loss Other Comprehensive Income the Statementof Changes in Equity & the Cash Flow Statement for the year then ended and a summaryof significant accounting policies and other explanatory information. (hereinafterreferred to as "standalone Ind AS financial statements").

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 Companies Act 2013 ("the Act") with respect to the preparation& presentation of these standalone INS-AS financial statements that give a true andfair view of the financial position financial performance including other comprehensiveincome changes in equity and cash flows of the Company in accordance with the accountingprinciples generally accepted in India including the Indian Accounting Standards (IND-AS)prescribed under Section 133 of the Act read with Rule 7 of the Companies (Accounts)Rules 2014. This responsibility also includes maintenance of adequate accounting recordsin accordance with the provisions of the Act for safeguarding 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 financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

In preparing the financial statements management is responsible for assessing theCompany’s ability to continue as a going concern disclosing as applicable mattersrelated to going concern and using the going concern basis of accounting unless managementeither intends to liquidate the Company or to cease operations or has no realisticalternative but to do so.

AUDITORS’ RESPONSIBILITY

Our responsibility is to express an opinion on these standalone IND-AS financialstatements based on our audit.

In conducting 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 there under.

We conducted our audit of the standalone Ind AS financial statements in accordance withthe Standards on Auditing specified under Section 143(10) of the Act. Those Standardsrequire that we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether the standalone IND-AS financial statements are freefrom material misstatements.

An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the standalone IND-AS financial statements. The procedures selected dependon the auditor’s judgment including the assessment of the risks of materialmisstatement of the standalone IND-AS financial statements whether due to fraud or error.In making those risk assessments the auditor considers internal financial controlrelevant to the Company’s preparation of the standalone IND-AS financial statementsthat give a true and fair view in order to design audit procedures that are appropriate inthe circumstances. An audit also includes evaluating the appropriateness of accountingpolicies used and the reasonableness of the accounting estimates made by theCompany’s directors as well as evaluating the overall presentation of the standaloneIND-AS financial statements.

We are also responsible to conclude on the appropriateness of management’s use ofthe going concern basis of accounting and based on the audit evidence obtained whether amaterial uncertainty exists related to events or conditions that may cast significantdoubt on the entity’s ability to continue as a going concern. If we conclude that amaterial uncertainty exists we are required to draw attention in the auditor’sreport to the related disclosures in the financial statements or if such disclosures areinadequate to modify the opinion. Our conclusions are based on the audit evidenceobtained up to the date of the auditor’s report. However future events or conditionsmay cause an entity to cease to continue as a going concern.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the standalone IND-AS financial statements.

OPINION

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone IND-AS financial statements give the informationrequired by the Act in the manner so required and give a true and fair view in conformitywith the accounting principles generally accepted in India including IND-AS of thefinancial position of the company as at 31st

March 2018 and its profit including other comprehensive income the changes in equityand its cash flows for the year ended on that date.

REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS

1. As required by Companies (Auditor’s Report) Order 2016 ("the Order")issued by the Central Government of India in terms of section 143 (11) of the Act we givein the Annexure "A" a statement on the matters specified in paragraphs 3 & 4of 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 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 Cash Flow Statement dealt with by thisReport are in agreement with the books of account.

d) In our opinion the aforesaid standalone IND-AS financial statements comply with theAccounting Standards (IND-AS) specified under Section 133 of the Act read with Rule 7 ofthe Companies (Accounts) Rules 2014;

e) On the basis of the written representations received from the directors as on 31stMarch 2018 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2018 from being appointed as a director in terms ofSection 164 (2) of the Act.

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"; and

g) 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 given to us:

i. The Company does not have any pending litigations which would impact its financialposition.

ii. The Company does not have any long-term contracts including derivative contractsfor which there were any material foreseeable losses; and

iii. There were no amounts which were required to be transferred to the InvestorEducation and Protection Fund by the Company during the year.

A G P R S & Associates
Chartered Accountants
Firm's Regn. No. 006943N
sd-
Place : Panchkula Atul Seth
Dated : 30 May 2018 Partner
Membership No. 084241

ANNEXURE "A"

Referred to in paragraph 1 of our report of even date:

(i) a) The company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets..

b) The company has a regular programme of physical verification of its fixed assets bywhich all fixed assets are verified in a phased manner over a period of two years. In ouropinion this periodicity of physical verification is reasonable having regard to the sizeof the Company and the nature of its assets.

c) According to the information & explanations given to us and on the basis of ourexamination of the records of the company the title deeds of immovable properties areheld in the name of the Company.

(ii) The stock of Finished Goods Stores Spare Parts and Raw Material lying in thefactory (other than stock in transit) have been Physically verified by the managementduring and at the year-end. In our opinion and according to information and explanationsgiven to us the frequency of physical verification is reasonable. The discrepanciesnoticed on verification between the physical stock and the book records were not material& have been properly dealt with in books of accounts.

(iii) The company has not granted any loans secured or unsecured to companies firmsLimited Liability Partnerships or other parties covered in the register maintained underSection 189 of the Companies Act 2013(" the Act").Accordingly paragraphs 3(iii) (a) (iii) (b) & (iii) (c) of the Order are not applicable to the Company.

(iv) In our opinion and according to the information & explanations given to usthe Company has not granted any loan made any investment or provided any guarantees orsecurity to the parties covered under Section 185 and 186 of the Act. Accordinglyparagraph 3 (iv) of the Order is not applicable to the Company.

(v) In our opinion and according to information and explanations given to us theCompany has not accepted deposits as per directives issued by the Reserve Bank of Indiaand provisions of Sections 73 to 76 or any other relevant provisions of the Act and therules framed thereunder. Accordingly paragraph 3 (v) of the Order is not applicable tothe Company.

(vi) In our opinion and according to information and explanations given to us CentralGovernment has not prescribed maintenance of cost records under sub section (1) of section148 of the Companies Act 2013 for any of the products manufactured by the Company.

(vii) a) According to information & explanations given to us and on the basis ofour examination of the records of the Company amounts deducted /accrued in the books ofaccounts in respect of undisputed statutory dues including provident fund employees stateinsurance income tax sales tax service tax duty of customs duty of excise valueadded tax cess and other statutory dues have been generally regularly deposited duringthe year by the Company with the appropriate authorities.

According to information & explanations given to us no undisputed amounts payablein respect of provident fund employees state insurance income tax sales tax servicetax duty of customs duty of excise value added tax cess and other statutory dues werein arrears as at 31 March 2018 for more than six months from the date they became payable.

b) In our opinion and according to information and explanations given to us there areno dues of Income tax or Sales tax or Service tax Professional tax Customs duty Exciseduty and Value added tax or cess which have not been deposited with the appropriateauthorities on account of any dispute.

(viii) In our opinion and according to the information and explanations given to usthe Company has not defaulted in repayment of dues to its bankers or to its financialinstitutions or debenture holders. The Company does not have loans or borrowings fromgovernment.

(ix) In our opinion and according to the information and explanations given to us theCompany did not raise any money by way of public issue / follow-on-offer (including debtinstruments) during the Year. However term loans raised have been applied for the purposesfor which they have been raised.

(x) According to information and explanations given to us no material fraud by thecompany or any fraud on the company by its officers/ employees has been noticed orreported during the course of our audit.

(xi) In our opinion and according to information & explanations given to usmanagerial remuneration has been paid/ provided in accordance with the requisite approvalsmandated by the provisions of Section 197 Read with schedule V to the Companies Act.

(xii) In our opinion and according to information & explanations given to us theCompany is not a Nidhi Company. Accordingly paragraph 3(xii) of the Order is notapplicable to the Company.

(xiii) According to information & explanations given to us and based on ourexamination of the records of the Company transactions with the related parties are incompliance with sections 177 & 188 of the Act where applicable and details of suchtransactions have been disclosed in the financial statements IND-AS as required by theAccounting Standards.

(xiv) According to information & explanations given to us and based on theexaminations of our 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 paragraph 3 (xiv) of the Order is not applicable to the Company.

(xv) According to information & explanations given to us and based on theexaminations of our records of the Company the Company has not entered into any non cashtransactions with directors or persons connected with them. Accordingly paragraph 3 (xv)of the Order is not applicable to the Company.

(xvi) According to information & explanations given to us the Company is notrequired to be registered under Section 45-IA of the Reserve Bank of India Act 1934.Accordingly paragraph 3 (xvi) of the Order is not applicable to the Company.

A G P R S & Associates
Chartered Accountants
Firm's Regn. No. 006943N
sd-
Place : Panchkula Atul Seth
Dated : 30 May 2018 Partner
Membership No. 084241

Annexure B to the Auditors’ Report

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 UniroyalIndustries Ltd. (‘the Company’) as of 31 March 2018 in conjunction with ouraudit of the standalone IND-AS financial statements of the Company for the year ended onthat 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 the internal controlstated in the Guidance Note on Audit of Internal Financial Controls over FinancialReporting issued by the Institute of Chartered Accountants of India (‘ICAI’).These responsibilities include the design implementation and maintenance of adequateinternal financial controls that were operating effectively for ensuring the orderly andefficient conduct of its business including adherence to 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 internal financialcontrols over the financial reporting based on our audit. We conducted our audit inaccordance with the Guidance Note on Audit of Internal Financial Controls over theFinancial Reporting (the "Guidance Note") and the Standards on Auditing issuedby ICAI and deemed to be prescribed under section 143(10) of the Companies Act 2013 tothe extent applicable to an audit of internal financial controls both applicable for toan audit of Internal Financial Controls and both issued by the Institute of CharteredAccountants of India. Those Standards and the Guidance Note require that we comply withthe ethical requirements and plan and perform the audit to obtain reasonable assuranceabout 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 the 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 and appropriate toprovide a basis for our audit opinion on the Company’s internal financial controlssystem over the financial reporting.

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 the financialreporting and the preparation of financial statements for the external purposes inaccordance with generally accepted accounting principles. A company’s internalfinancial controls over financial reporting includes those policies and procedures that

(1) Pertains 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 receipt and expenditures of the company are being made only inaccordance with authorisations 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 on the 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 misstatement due to error or fraud may occur and not be detected. Alsoprojections of any evaluation of the internal financial controls over financial reportingto future periods are subject to the risk that the internal financial control overfinancial 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 the Company has in all material aspects an adequate internalfinancial controls system over financial reporting and such internal financial controlsover financial reporting were operating effectively as at 31 March 2018 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.

A G P R S & Associates
Chartered Accountants
Firm's Regn. No. 006943N
sd-
Place : Panchkula Atul Seth
Dated : 30 May 2018 Partner
Membership No. 502358