- Part 3: For the preceding part double click ID:nRSV1830Ab
stations,
allied services and by a pledge over the promoter's shareholding in equity and preference capital of some of the
subsidiaries and joint operations and corporate guarantee provided by the Company.
§ The short term loans taken by the Group represents loans against deposit secured against fixed deposit of the group
companies and other unsecured inter corporate deposits.
§ Buyer's credit facility is secured against first charge on all assets of the Company and further secured by 'stand by
letter of credit' (SBLC) of group companies and by pledge of equity shares of some of the subsidiaries.
§ A number of the facilities that are due to expire at 30 September 2018 are in the process of being extended and have a
rollover clause in a number of cases.
§ Cash credit and other working capital facilities are fully secured against property, plant and equipment and other assets
on pari-passu basis with other lenders of the respective entities availing the loan facilities.
§ Redeemable preference shares are due for repayment within next 9 years.
§ Debentures are secured on the property, plant and equipment and other assets of subsidiaries that operate power stations,
allied services and by a pledge over the promoter's shareholding in equity capital of some of the subsidiaries.
12. Trade and other payables
Current
Trade payable 269,354 234,040 2,008 1,203
Other payable 227,748 278,498 - -
Interest payable 108,906 136,195 - -
606,008 648,733 2,008 1,203
Non-current
Trade payable 2,311 1,140 20,390 43,431 - -
Interest payable 17,463 20,390 - -
Other payable 37,469 43,431 - -
57,243 64,961 - -
Total 663,251 713,694 2,008 1,203
663,251
713,694
2,008
1,203
13. Segment information
The Group has adopted the "management approach" in identifying the operating segments as outlined in IFRS 8. Management has
analysed the information that the chief operating decision maker reviews and concluded on the segment disclosure.
For management purposes, the Group is organised into business units based on their services and has two reportable
operating segments as follows:
· Power generating activities and
· Project development activities
Management monitors the operating results of its business units separately for the purpose of making decisions about
resource allocation and performance assessment. Segment performance is evaluated based on operating profit or loss which in
certain respects, as explained in the table below, is measured differently from operating profit or loss in the interim
condensed Consolidated financial statements. Group financing (including finance costs and finance income) and income taxes
are managed on a Group basis and are not allocated to operating segments. There is only one geographical segment as all the
operations and business is carried out in India.
Period ended 30 September 2017 Project development activities Power generating activities Reconciling / Elimination activities Consolidated
Revenue
External customers 17 291,928 - 291,945
Inter-segment 218 - (218) -
Total revenue 235 291,928 (218) 291,945
Segment operating results (427) 108,544 - 108,117
Unallocated operating expenses, net . (28,159)
Finance costs (167,362)
Finance income 5,487
Loss before tax (81,917)
Tax income 18,426
Loss after tax (63,491)
Segment assets 9,196 4,246,252 (108) 4,255,340
Unallocated assets 358,159
Total assets 4,613,499
Segment liabilities 1,201 477,777 (108) 478,870
Unallocated liabilities 3,905,143
Total liabilities 4,384,013
Other segment information
Depreciation and amortisation 10 43,404 6 43,420
Capital expenditure 1 161,200 - 161,201
Period ended 30 September 2016 Project development activities Power generating activities Reconciling / Elimination activities Consolidated
Revenue
External customers 16 315,384 - 315,400
Inter-segment 1,326 - (1,326) -
Total revenue 1,342 315,384 (1,326) 315,400
Segment operating results 934 50,475 294 51,703
Unallocated operating expenses, net (794)
Finance costs (178,151)
Finance income 10,354
Loss before tax (116,888)
Tax income 13,315
Loss after tax (103,573)
Segment assets 9,457 4,333,236 (6,213) 4,336,480
Unallocated assets 300,174
Total assets 4,636,654
Segment liabilities 591 491,784 (6,213) 486,162
Unallocated liabilities 3,838,179
Total liabilities 4,324,341
Other segment information
Depreciation and amortisation 24 50,731 30 50,785
Capital expenditure 1 280,509 1 280,511
Notes to segment reporting:
(a) Inter-segment revenues are eliminated on consolidation.
(b) Profit / (loss) for each operating segment does not include finance income and finance costs of US $ 5,487 and
US $ 167,362 respectively (30 September 2016: US $ 10,354 and US $ 178,151 respectively).
(c) Segment assets do not include deferred tax asset of US $ 129,866 (30 September 2016: US $ 154,124), financial assets
and other investments of US $ 191,171 (30 September 2016: US $ 109,452), short-term deposits with bank and cash US $ 9,146
(30 September 2016: US $ 9,770), and corporate assets US $ 27,976 (30 September 2016: US $ 26,828).
(d) Segment liabilities do not include deferred tax of US $ 28,959 (30 September 2016: US $ 37,455), current tax payable
US $ 454 (30 September 2016: US $ 1,313), interest-bearing current and non-current borrowings US $ 3,689,453 (30 September
2016: US $ 3,574,984), derivative liabilities US $ Nil (30 September 2016: US $ 28,717) and corporate liabilities US $
186,277 (30 September 2016: US $ 195,710).
(e) The Company operates in one business and geographic segment. Consequently no segment disclosures of the Company are
presented.
(f) Three customers in the power generating segment contributing revenues of US $ 265,706 accounted for 91.01% (30
September 2016: Three customers in the power generating segment contributing revenues of US $ 243,613 accounted for 77.24%
) of the total segment revenue.
14. Finance costs
Finance costs comprise:
Consolidated Company
30 September 2017 30 September 2016 30 September 2017 30 September 2016
Interest expenses on loans and borrowings 1 158,043 152,512 625 621
Other finance costs 6,409 11,047 739 860
Net loss on financial instrument at fair value through profit or loss 2 770 2,538 - -
Net loss on held -for-trading financial assets
on re-measurement 3 - - -
Foreign exchange loss, net - 10,821 - 2,375
Unwinding of discounts 2,137 1,233 - -
Total 167,362 178,151 1,364 3,856
1Borrowing cost capitalised during the period amounting to US $ 105,364 (30 September 2016: US $ 78,105).
2Net loss on financial instrument at fair value through profit or loss above relates to foreign exchange forward
contracts, currency options and interest rate swap that did not qualify for hedge accounting.
15. Finance income
The finance income comprises:
Consolidated Company
30 September 2017 30 September 2016 30 September 2017 30 September 2016
Interest income
bank deposits 1,424 3,584 - -
loans and receivables and trade receivable 952 5,684 - -
Dividend income 105 126 - -
Net gain on held for trading financial assets - -
on disposal 122 17 - -
on re-measurement - 13 - -
Unwinding of discount on security deposits 1,882 923 - -
Foreign exchange gain, net 995 - 1,840 -
Reclassification adjustment in respect of available-for- sale instrument disposed 7 7 - -
Total 5,487 10,354 1,840 -
16. Tax income / (expense)
The major components of income tax for the period ended 30 September 2017 and 30 September 2016 are:
30 September 2017 30 September 2016
Current tax 905 (373)
Deferred tax 17,521 13,688
Tax income reported in the income statement 18,426 13,315
17. Related party transactions
Name of the related party Nature of relationship
K&S Consulting Group Private Limited Group ultimate parent (GUP)
Sayi Power Energy Limited Step-up holding
Sayi Energy Ventur Limited Parent
Sitapuram Power Limited Joint operations
JR Power Gen Private Limited Joint operations
VS Lignite Power Private Limited (refer note 5) Associate (w.e.f. 29 August 2017)
Sai Wardha Power Generation Limited (refer note 5) Associate (w.e.f. 28 April 2017)
Key management personnel and their relatives (KMP):
Name of the KMP Nature of relationship
T L Sankar Chairman
S Kishore Executive Director
K A Sastry Executive Director
S R IyerS R Iyer Director
Vladimir Dlouhy Director
Abhay M Nalawade Director
Keith N Henry Director
K V Krishnamurthy Director of parent
The table below set out transactions with related parties that occurred in the normal course of trading.
Transactions
Corporate support services fees 17 - - - 16 - - - - - - - - -
Interest income 286 - - - 262 - - - - - - - - -
Interest receivable written off 5,030 - - - - - - - - - - - - -
Inter-corporate deposits and loans given 5 - - - - - - - 74 - - 53 - -
Inter-corporate deposits and loans refunded - - - - - - - - 106 - - 514 - -
Loans taken - - - - 349 5 - - 374 - - 1,802 5 -
Repayment of loan taken - 1 - - - - - - 57 1 - 29 - -
Equity-settled share based payment - - - - - - - 8 - - - - - 8
Managerial remuneration - - - 325 - - - 335 - - 158 - - 175
Balances
Interest receivable - - - - 4,384 - - - - - - - - -
Loans and inter corporate deposits receivable 1,523 801 97,904 - 1,489 776 - - 151,075 - - 149,130 - -
Loans payable 375 579 - - 616 579 - - 82,937 174 - 82,476 184 -
Trade/Other receivable - - 7,328 - 17 - - - - - -
Other payable 1,634 - - - 2,354 - - - - - - - - -
Guarantees given - - - - - - - - 413,351 - - 461,553 - -
Managerial remuneration payable - - - 87 - - - 99 - - 67 - - 79
-
413,351
-
-
461,553
-
-
Managerial remuneration payable
-
-
-
87
-
-
-
99
-
-
67
-
-
79
18. Commitments and contingencies
a. Capital commitments
As at 30 September 2017, the Group is committed to purchase property, plant and equipment for US $ 1,189,265 (31 March
2017: US $ 1,247,291).
b. Guarantees
· The Company has guaranteed to unrelated parties for the loans and non-fund based facilities availed by subsidiaries
for US $ 213,933 (31 March 2017: US $ 217,952) and
· The Group guaranteed the performance of the joint operations under the power delivery agreements to unrelated
parties. No liability is expected to arise.
c. Legal and other claim
As a part of the environment and activities of the Group, the Group is exposed to a number of litigation and claim matters
which may significantly impact receivables or payables. No significant developments have occurred in respect of these
matters during the period except as disclosed in note 8.
19. Financial Instruments
Carrying amounts versus fair values
The fair values of financial assets and financial liabilities, together with the carrying amounts in the Consolidated
statement of financial position are as follows:
Non-current financial assets
Trade and other receivables 2,995 2,995 2,717 2,717
Equity securities - available-for-sale 17,894 17,894 17,970 17,970
Loans and receivables 85,785 85,785 35,915 35,915
Derivative assets - - 40,297 40,297
Non-current bank deposits 12,636 12,636 9,079 9,079
Total non-current 119,310 119,310 105,978 105,978
Current financial assets
Trade and other receivables 587,252 587,252 457,018 457,018
Equity securities - held for trading 122 122 141 141
Debt securities - held for trading 5,236 5,236 5,269 5,269
Loans and receivables 148,306 148,306 152,846 152,846
Cash and short-term deposits 103,336 103,336 105,079 105,079
Total current 844,252 844,252 720,353 720,353
Total 963,562 963,562 826,331 826,331
Non-current financial liabilities
Trade and other payables 57,243 57,243 64,961 64,961
Loans and borrowings 3,103,413 3,103,413 3,267,005 3,267,005
Interest rate swaps - - 1,775 1,775
Option premium payable - - 12,040 12,040
Total non-current 3,160,656 3,160,656 3,345,781 3,345,781
Current financial liabilities
Trade and other payables 606,008 606,008 648,733 648,733
Loans and borrowings 586,040 586,040 598,827 598,827
Foreign exchange forward contract - - 388 388
Option premium payable - - 7,248 7,248
Total current 1,192,048 1,192,048 1,255,196 1,255,196
Total 4,352,704 4,352,704 4,600,977 4,600,977
1,192,048
1,192,048
1,255,196
1,255,196
Total
4,352,704
4,352,704
4,600,977
4,600,977
The fair values of financial assets and financial liabilities, together with the carrying amounts in the Company statement
of financial position are as follows:
Non-current financial assets
Loans and receivables to subsidiaries 151,075 151,075 147,002 147,002
Total non-current 151,075 151,075 147,002 147,002
Current financial assets
Loans and receivables 87 87 87 87
Cash and short-term deposits 468 468 969 969
Total current 555 555 1,056 1,056
Total 151,630 151,630 148,058 148,058
Current financial liabilities
Trade and other payables 2,008 2,008 1,203 1,203
Loans and borrowings 119,237 119,237 118,921 118,921
Total current 121,245 121,245 120,124 120,124
119,237
119,237
118,921
118,921
Total current
121,245
121,245
120,124
120,124
Fair value hierarchy
The table below analyses recurring fair value measurements for financial assets and financial liabilities. These fair value
measurements are categorised in to different levels in the fair value hierarchy based on the inputs to valuation techniques
used. The different levels are defined as follows.
• Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities.
• Level 2: inputs other than quoted prices that is observable for the asset or liability, either directly or indirectly.
• Level 3: valuation techniques that include inputs for the asset or liability that are not based on observable market data
(unobservable inputs).
30 September 2017 Level 1 Level 2 Level 3 Total
Financial assets measured at fair value
Equity securities - available-for-sale 421 - 17,473 17,894
Equity securities - held for trading 122 - - 122
Debt securities-held for trading 5,236 - - 5,236
Total 5,779 - 17,473 23,252
The Group recognises transfers between levels of the fair value hierarchy as of the end of the reporting period during
which the transfer has occurred. During the period ended 30 September 2017, there were no transfers between Level 1 and
Level 2 fair value measurements.
Reconciliation of Level 3 fair value measurements of financial assets:
30 September 2017 Available-for-sale Total
Unquoted equities
Opening balance 17,474 17,474
Total gains or losses:
- in income statement - -
- in other comprehensive income
change in fair value of available for sale financial asset 113 113
foreign currency translation difference (114) (114)
Settlements - -
Transfers into level 3 - -
Closing balance 17,473 17,473
Total gains or losses for the period shown above, relates to available for sale securities held at the end of the reporting
period.
This information is provided by RNS
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