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ANNUAL REPORT 2018 - 2019
NOTES FORMING PART OF THE CONSOLIDATED
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2019
The exposure of the company’s borrowing to interest rate changes at the end of the reporting period are as follows ( ` in lakhs)
Particulars As at 31st As at 31st
March,201 9 March,201 8
Long term fixed borrowing 3539.57 2329.51
Short term fixed borrowing - 176.21
Short term floating borrowing 4,332.41 2,920.40
7871.98 5426.12

Impact on Interest Expenses for the year on 1% change in Interest rate
Particulars As at 31st As at 31st
March,201 9 March,201 8
1% Increase in interest rates
Impact on P&L (Profit increased / (decreased) by) (43.32 ) ( 29.20)
1% Decrease in interest rates
Impact on P&L (Profit increased / (decreased) by) 43.32 29.20

CommodityPriceRisk
The main raw materials which the Company procures are to a great extent linked to the movement of crude prices
directly or indirectly.The pricing policy of the Company final product is structured in such a way that any change in
price of raw materials is passed on to the customers in the final product however,with a time lag which mitigates the
rawmaterialpricerisk.

Liquidityrisk
LiquidityRiskariseswhenthecompanyisunabletomeetitsshorttermfinancialobligationsasandwhentheyfalldue.
The company maintains adequate liquidity in the system so as to meet its all financial liabilities timely.In addition to
this,thecompany’soverallfinancialpositionisverystrongsoastomeetanyeventualityofliquiditytightness.

Maturity patterns of financial liabilities
Particulars As at 31st March,2019
Total With in 1 year above 1 year
Borrowings 7871.98 4637.95 3234.03
Trade Payables 7239.75 7239.75 0.00
Other financial liabilities 408.78 408.78 0.00

Total 15520.51 12286.48 3234.03

Financial Instruments
Fair value measurement hierarchy
The fair value of financial instruments as below have been classified into three categories depending on the inputs
usedinthevaluationtechnique.Thehierarchygivesthehighestprioritytoquotedpricesinactivemarketsforidentical
assetsorliabilities(Level1measurements)andlowestprioritytounobservableinputs(Level3measurements).
Thecategoriesusedareasfollows
Level1: Quotedprices(unadjusted)inactivemarketsforidenticalassetsorliabilities;
Level 2 : Inputs other than the quoted prices included within Level 1 that are observable for the asset or liability,either
directlyorindirectly.
Level3: Inputswhicharenotbasedonobservablemarketdata
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CONSOLIDATED NOTES TO THE ACCOUNTS