Integrated Filing — IndAS

General information about company
Scrip Code	532686
NSE Symbol	KERNEX
MSEI Symbol	NOTLISTED
ISIN	INE202H01019
Name of company	Kernex Microsystems (India) Limited
Type of company	Main Board
Class of security	Equity
Date of start of financial year	01-Apr-2024
Date of end of financial year	31-Mar-2025
Date of board meeting when results were approved	23-May-2025
Date on which prior intimation of the meeting for considering financial results was informed to the exchange	16-May-2025
Description of presentation currency	INR (in Actuals)
Reporting Type	Quarterly
Reporting Quarter	Fourth quarter
Nature of report standalone or consolidated	Standalone
Whether results are audited or unaudited for the quarter ended	Audited
Whether results are audited or unaudited for the Year to date for current period ended/year ended	Audited
Segment Reporting	Single segment
Description of single segment	Safety Systems for Railways
Start date and time of board meeting	23-May-2025   09:00:00
End date and time of board meeting	23-May-2025   12:45:00
Whether cash flow statement is applicable on company	Yes
Type of cash flow statement	Cash Flow Indirect
Declaration of unmodified opinion or statement on impact of audit qualification	Statement on impact of audit qualification
Whether the company has any related party?	Yes
Whether the company has entered into any Related Party transaction during the selected half year for which it wants to submit disclosure?	Yes
(I) We declare that the acceptance of fixed deposits by the bans/Non-Banking Finance Company are at the terms uniformly applicable/offered to all shareholders/public	NA
(II) We declare that the scheduled commercial bank, as per RBI circular RBI/DBR/2015-16/19 dated March 03, 2016, has allowed additional interest of one per cent per annum, over and above the rate of interest mentioned in the schedule of interest rates on savings or a term deposits of banks staff and their exclusive associations as well as on deposits of Chairman, Chairman & Managing Director, Executive Director or such other Executives appointed for a fixed tenure.	NA
Whether the company is a high value debt listed entity according to regulation 15 (1A)?	No
(a) If answer to above question is Yes, whether complying with proviso to regulation 23 (9), i.e., submitting RPT disclosures on the day of results publication?
(b) If answer to above question is No, please explain the reason for not complying.
Whether the updated Related Party Transactions (RPT) Policy (in compliance with Reg. 23 of SEBI LODR) has been uploaded on the website of the Company?	Yes
Latest Date on which RPT policy is updated	2025-02-13
Indicate Company website link for updated RPT policy of the Company	https://www.kernex.in/wp-content/uploads/2019/02/Related-Party-Policy.pdf
Whether statement on deviation or variation for proceeds of public issue, rights issue, preferential issue, qualified institutions placement etc. is applicable to the company for the current quarter?	No
No. of times funds raised during the quarter
Whether the disclosure for the Default on Loans and Debt Securities is applicable to the entity?	No
THe company has not defaulted

Financial Results Ind-AS
Particulars		3 months/ 6 months ended (dd-mm-yyyy)	Year to date figures for current period ended (dd-mm-yyyy)
A	Date of start of reporting period	01-Jan-2025	01-Apr-2024
B	Date of end of reporting period	31-Mar-2025	31-Mar-2025
C	Whether results are audited or unaudited	Audited	Audited
D	Nature of report standalone or consolidated	Standalone	Standalone
Part I	Blue color marked fields are non-mandatory. For Consolidated Results, if the company has no figures for 3 months / 6 months ended, in such case zero shall be inserted in the said column.
1	Income
	Revenue from operations	830168000	1896511000
	Other income	7374000	21802000
	Total income	837542000	1918313000
2	Expenses
(a)	Cost of materials consumed	277542000	945049000
(b)	Purchases of stock-in-trade	0	0
(c)	Changes in inventories of finished goods, work-in-progress and stock-in-trade	199624000	43363000
(d)	Employee benefit expense	63621000	184231000
(e)	Finance costs	15829000	67701000
(f)	Depreciation, depletion and amortisation expense	9292000	28278000
(f)	Other Expenses
1	Project Execution Expenses	52234000	224701000
2	Other Expenses	86275000	132363000
3	Amount Transferred to Capital Expenditure	-18676000	-41116000
	Total other expenses	119833000	315948000
	Total expenses	685741000	1584570000
3	Total profit before exceptional items and tax	151801000	333743000
4	Exceptional items	0	0
5	Total profit before tax	151801000	333743000
6	Tax expense
7	Current tax	0	0
8	Deferred tax	-173292000	-175428000
9	Total tax expenses	-173292000	-175428000
10	Net movement in regulatory deferral account balances related to profit or loss and the related deferred tax movement	0	0
11	Net Profit Loss for the period from continuing operations	325093000	509171000
12	Profit (loss) from discontinued operations before tax	0	0
13	Tax expense of discontinued operations	0	0
14	Net profit (loss) from discontinued operation after tax	0	0
15	Share of profit (loss) of associates and joint ventures accounted for using equity method	0	0
16	Total profit (loss) for period	325093000	509171000
17	Other comprehensive income net of taxes	-2015000	-2015000
18	Total Comprehensive Income for the period	323078000	507156000
19	Total profit or loss, attributable to
	Profit or loss, attributable to owners of parent
	Total profit or loss, attributable to non-controlling interests
20	Total Comprehensive income for the period attributable to
	Comprehensive income for the period attributable to owners of parent
	Total comprehensive income for the period attributable to owners of parent non-controlling interests
21	Details of equity share capital
	Paid-up equity share capital	167594000	167594000
	Face value of equity share capital	10	10
27	Details of debt securities
22	Reserves excluding revaluation reserve		1570090000
23	Earnings per share
i	Earnings per equity share for continuing operations
	Basic earnings (loss) per share from continuing operations	19.4	30.38
	Diluted earnings (loss) per share from continuing operations	19.35	30.35
ii	Earnings per equity share for discontinued operations
	Basic earnings (loss) per share from discontinued operations	0	0
	Diluted earnings (loss) per share from discontinued operations	0	0
ii	Earnings per equity share
	Basic earnings (loss) per share from continuing and discontinued operations	19.4	30.38
	Diluted earnings (loss) per share from continuing and discontinued operations	19.35	30.35
24	Debt equity ratio
25	Debt service coverage ratio
26	Interest service coverage ratio
27	Disclosure of notes on financial results		Notes to the Standalone Audited Financial Results for the quarter and year ended March 31, 2025ttttt n1.The results have been prepared in accordance with Indian Accounting Standards ('IND AS') notified under Section 133 of the Companies Act 2013, read together with the Companies (Indian Accounting standard) Rules, 2015 (Amended). These have been reviewed and recommended by the Audit Committee and approved by the Board of Directors at its meeting held on May 23, 2025.ttttt n2.The Company is engaged in the manufacture and sale of Safety Systems and Software services for railways. The Company has business operations mainly in India, Egypt and USA. The Company is a public limited Company incorporated and domiciled in India and has its registered office at Plot No.38 (part) to 41, Survey No.1/1, Hardware Park, Raviryal Village, Maheswaram Mandal, Hyderabad - 501 510. The Company has its primary listings on the BSE Limited and National Stock Exchange in India. The principal accounting policies applied in the preparation of the financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.The company operates on one reportable segement,hence segment reporting as per Ind AS 108 is not applicable. nas mentioend in other notes submitted

Remarks
Debt equity ratio
Debt service coverage ratio
Interest service coverage ratio

Statement of Asset and Liabilities
Particulars		Year ended (dd-mm-yyyy)
Date of start of reporting period		01-Apr-2024
Date of end of reporting period		31-Mar-2025
Whether results are audited or unaudited		Audited
Nature of report standalone or consolidated		Standalone
	Assets
1	Non-current assets
	Property, plant and equipment	249863000
	Capital work-in-progress	0
	Investment property	0
	Goodwill	0
	Other intangible assets	28000
	Intangible assets under development	70296000
	Biological assets other than bearer plants	0
	Investments accounted for using equity method	0
	Non-current financial assets
	Non-current investments	128397000
	Trade receivables, non-current	0
	Loans, non-current	57589000
	Other non-current financial assets	2077000
	Total non-current financial assets	188063000
	Deferred tax assets (net)	176866000
	Other non-current assets	0
	Total non-current assets	685116000
2	Current assets
	Inventories	517982000
	Current financial asset
	Current investments	0
	Trade receivables, current	190079000
	Cash and cash equivalents	146993000
	Bank balance other than cash and cash equivalents	190512000
	Loans, current	0
	Other current financial assets	81503000
	Total current financial assets	609087000
	Current tax assets (net)	52166000
	Other current assets	587800000
	Total current assets	1767035000
3	Non-current assets classified as held for sale	0
4	Regulatory deferral account debit balances and related deferred tax Assets	0
	Total assets	2452151000
	Equity and liabilities
1	Equity
	Equity attributable to owners of parent
	Equity share capital	167594000
	Other equity	1570090000
	Total equity attributable to owners of parent	1737684000
	Non controlling interest
	Total equity	1737684000
2	Liabilities
	Non-current liabilities
	Non-current financial liabilities
	Borrowings, non-current	2778000
	Trade payables, non-current
	(A) Total outstanding dues of micro enterprises and small enterprises	0
	(B) Total outstanding dues of creditors other than micro enterprises and small enterprises	0
	Total Trade payable	0
	Other non-current financial liabilities	0
	Total non-current financial liabilities	2778000
	Provisions, non-current	42303000
	Deferred tax liabilities (net)	0
	Deferred government grants, Non-current	0
	Other non-current liabilities	0
	Total non-current liabilities	45081000
	Current liabilities
	Current financial liabilities
	Borrowings, current	396260000
	Trade payables, current
	(A) Total outstanding dues of micro enterprises and small enterprises	5023000
	(B) Total outstanding dues of creditors other than micro enterprises and small enterprises	151422000
	Total Trade payable	156445000
	Other current financial liabilities	51030000
	Total current financial liabilities	603735000
	Other current liabilities	63638000
	Provisions, current	2013000
	Current tax liabilities (Net)	0
	Deferred government grants, Current	0
	Total current liabilities	669386000
3	Liabilities directly associated with assets in disposal group classified as held for sale	0
4	Regulatory deferral account credit balances and related deferred tax liability	0
	Total liabilities	714467000
	Total equity and liabilites	2452151000
	Disclosure of notes on assets and liabilities

Format for Reporting Segmenet wise Revenue, Results and Capital Employed along with the company results
Particulars		3 months/ 6 month ended (dd-mm-yyyy)	Year to date figures for current period ended (dd-mm-yyyy)
Date of start of reporting period		01-Jan-2025	01-Apr-2024
Date of end of reporting period		31-Mar-2025	31-Mar-2025
Whether accounts are audited or unaudited		Audited	Audited
Nature of report standalone or consolidated		Standalone	Standalone
1	Segment Revenue (Income)
	(net sale/income from each segment should be disclosed)
	Total Segment Revenue
	Less: Inter segment revenue
	Revenue from operations
2	Segment Result
	Profit (+) / Loss (-) before tax and interest from each segment
	Total Profit before tax
	i. Finance cost
	ii. Other Unallocable Expenditure net off Unallocable income
	Profit before tax
3	(Segment Asset - Segment Liabilities)
	Segment Asset
	Total Segment Asset
	Un-allocable Assets	null	null
	Net Segment Asset	null	null
4	Segment Liabilities
	Segment Liabilities
	Total Segment Liabilities
	Un-allocable Liabilities	null	null
	Net Segment Liabilities	null	null
	Disclosure of notes on segments

Other Comprehensive Income
Particulars		3 months/ 6 months ended (dd-mm-yyyy)	Year to date figures for current period ended (dd-mm-yyyy)
A	Date of start of reporting period	01-Jan-2025	01-Apr-2024
B	Date of end of reporting period	31-Mar-2025	31-Mar-2025
C	Whether results are audited or unaudited	Audited	Audited
D	Nature of report standalone or consolidated	Standalone	Standalone
	Other comprehensive income [Abstract]
1	Amount of items that will not be reclassified to profit and loss
1	i.Remeasurement gains/(losses) of the defined benefit plans	-2693000	-2693000
2	ii.Income tax effect on the above	678000	678000
	Total Amount of items that will not be reclassified to profit and loss	-2015000	-2015000
2	Income tax relating to items that will not be reclassified to profit or loss	0	0
3	Amount of items that will be reclassified to profit and loss
	Total Amount of items that will be reclassified to profit and loss
4	Income tax relating to items that will be reclassified to profit or loss	0	0
5	Total Other comprehensive income	-2015000	-2015000

Cash flow statement, indirect
Particulars				Year ended (dd-mm-yyyy)
A	Date of start of reporting period			2024-04-01
B	Date of end of reporting period			2025-03-31
C	Whether results are audited or unaudited			Audited
D	Nature of report standalone or consolidated			Standalone
Part I	Blue color marked fields are non-mandatory.
	Statement of cash flows
	Cash flows from used in operating activities
	Profit before tax			333743000
	Adjustments for reconcile profit (loss)
	Adjustments for finance costs			0
	Adjustments for decrease (increase) in inventories			188968000
	Adjustments for decrease (increase) in trade receivables, current			-144354000
	Adjustments for decrease (increase) in trade receivables, non-current			0
	Adjustments for decrease (increase) in other current assets			-328417000
	Adjustments for decrease (increase) in other non-current assets			0
	Adjustments for other financial assets, non-current			0
	Adjustments for other financial assets, current			-85798000
	Adjustments for other bank balances			-39181000
	Adjustments for increase (decrease) in trade payables, current			-41419000
	Adjustments for increase (decrease) in trade payables, non-current			0
	Adjustments for increase (decrease) in other current liabilities			7876000
	Adjustments for increase (decrease) in other non-current liabilities			0
	Adjustments for depreciation and amortisation expense			28278000
	Adjustments for impairment loss reversal of impairment loss recognised in profit or loss			0
	Adjustments for provisions, current			-865000
	Adjustments for provisions, non-current			0
	Adjustments for other financial liabilities, current			49733000
	Adjustments for other financial liabilities, non-current			0
	Adjustments for unrealised foreign exchange losses gains			1097000
	Adjustments for dividend income			0
	Adjustments for interest income			-8806000
	Adjustments for share-based payments			12657000
	Adjustments for fair value losses (gains)			0
	Adjustments for undistributed profits of associates			0
	Other adjustments for which cash effects are investing or financing cash flow			0
	Other adjustments to reconcile profit (loss)			0
	Other adjustments for non-cash items			58015000
	Share of profit and loss from partnership firm or association of persons or limited liability partnerships			0
	Total adjustments for reconcile profit (loss)			-284604000
	Net cash flows from (used in) operations			49139000
	Dividends received			0
	Interest paid			-67701000
	Interest received			-8806000
	Income taxes paid (refund)			0
	Other inflows (outflows) of cash			16000
	Net cash flows from (used in) operating activities			108050000
	Cash flows from used in investing activities
	Cash flows from losing control of subsidiaries or other businesses			0
	Cash flows used in obtaining control of subsidiaries or other businesses			0
	Other cash receipts from sales of equity or debt instruments of other entities			0
	Other cash payments to acquire equity or debt instruments of other entities			0
	Other cash receipts from sales of interests in joint ventures			0
	Other cash payments to acquire interests in joint ventures			0
	Cash receipts from share of profits of partnership firm or association of persons or limited liability partnerships			0
	Cash payment for investment in partnership firm or association of persons or limited liability partnerships			0
	Proceeds from sales of property, plant and equipment			25000
	Purchase of property, plant and equipment			41312000
	Proceeds from sales of investment property			0
	Purchase of investment property			0
	Proceeds from sales of intangible assets			0
	Purchase of intangible assets			0
	Proceeds from sales of intangible assets under development			0
	Purchase of intangible assets under development			47157000
	Proceeds from sales of goodwill			0
	Purchase of goodwill			0
	Proceeds from biological assets other than bearer plants			0
	Purchase of biological assets other than bearer plants			0
	Proceeds from government grants			0
	Proceeds from sales of other long-term assets			0
	Purchase of other long-term assets			0
	Cash advances and loans made to other parties			0
	Cash receipts from repayment of advances and loans made to other parties			0
	Cash payments for future contracts, forward contracts, option contracts and swap contracts			0
	Cash receipts from future contracts, forward contracts, option contracts and swap contracts			0
	Dividends received			0
	Interest received			0
	Income taxes paid (refund)			0
	Other inflows (outflows) of cash			0
	Net cash flows from (used in) investing activities	-88444000
	Cash flows from used in financing activities
	Proceeds from changes in ownership interests in subsidiaries			0
	Payments from changes in ownership interests in subsidiaries			0
	Proceeds from issuing shares			0
	Proceeds from issuing other equity instruments			0
	Payments to acquire or redeem entity's shares			0
	Payments of other equity instruments			0
	Proceeds from exercise of stock options			0
	Proceeds from issuing debentures notes bonds etc			0
	Proceeds from borrowings			155079000
	Repayments of borrowings			-1529000
	Payments of lease liabilities			0
	Dividends paid			0
	Interest paid			67701000
	Income taxes paid (refund)			0
	Other inflows (outflows) of cash			0
	Net cash flows from (used in) financing activities			88907000
	Net increase (decrease) in cash and cash equivalents before effect of exchange rate changes			108513000
	Effect of exchange rate changes on cash and cash equivalents
	Effect of exchange rate changes on cash and cash equivalents			0
	Net increase (decrease) in cash and cash equivalents			108513000
	Cash and cash equivalents cash flow statement at beginning of period			38481000
	Cash and cash equivalents cash flow statement at end of period			146994000

Audit qualification
Sr.	Details of Audit Qualification	Type of Audit Qualification	Frequency of qualification	For Audit Qualification(s) where the impact is quantified by the auditor	For Audit Qualification(s) where the impact is not quantified by the auditor
				Management's Views	(i) Management's estimation on the impact of audit qualification	(ii) If management is unable to estimate the impact, reasons for the same	Auditors' Comments on (i) or (ii) above
1	Textual Information(1)	Qualified opinion	Repetitive	Textual Information(2)	Textual Information(3)	Textual Information(4)	Textual Information(5)
2	Textual Information(6)	Qualified opinion	Repetitive	Textual Information(7)	Textual Information(8)	Textual Information(9)	Textual Information(10)

Text Block
Textual Information(1)	a.tThe Company has a Wholly owned subsidiarynamely Avant-Garde Infosystems Inc in USA which is presently supporting the business of the Company by identifying the sources, negotiating for and procuring electronic components from outside India. The subsidiary in the past, was involved in the trading of goods. n nb.tAs per the latest unaudited financials of the subsidiary available as on 31st March 2025, the accumulated loss of the company for the period ended 31st March 2025 is USD 1.894 million (the equivalent Indian Rupees being Rs. 1,617.841akhs as per prevailing exchange rate), Which is exceeding the cost of investment made USD 1.822 million (1,275.97 lakhs (at Cost)). As a result, the carrying amount of the investment in the equity of subsidiary in the books of account of the Company amounting to Rs. 1,275.97 lakhs (at Cost) stands impaired fully. Ind AS 36, requires the company to provide for impairment in respect of diminution in the value of investments by charging the amount of impairment to the Profit & Loss Account n
Textual Information(2)	1.The management is of the view that AGI functions as a strategic cost centre contributing to procurement efficiencies and overall operational synergies to the group as a whole, and therefore, its recoverable value cannot be assessed independently and it shall be assessed at group level cash generating unit (CGU). The groups cashflows have been significantly improved during the year 2024-25. Therefore, the management is of the view that the value in use of the CGU at group level exceeds the total net assets of the CGU at group level. Hence no provision in respective of impairment under Ind AS 36 is required to be provided.
Textual Information(3)	NA
Textual Information(4)	NA
Textual Information(5)	NA
Textual Information(6)	c.tThe Company besides making an investment of Rs. 8.00 lakhs in KERNEX TCAS JV - a controlled entity(subsidiary) formed to execute a railway safety project, in which the Company has 80% share in the profits and losses. The Company has also provided the long-term advance of Rs. 575.89 lakhs (Including interest amount). As per the latest audited financials of KERNEX TCAS JV as on 31st March 2025, the JV has total assets of Rs 718.55 lakhs and outside liabilities (other than the advance due to the company) is Rs. 442.94 lakhs. Thus, the net assets available amounting to Rs 275.61 lakhs are not sufficient to recover the advance given to KERNEX TCAS JV which is Rs. 575.89 lakhs (Including interest amount)as on 31st March 2025. Accordingly in our opinion the same investments and the advance are subject to impairment in standalone financial statements to the extent of Rs 308.28 lakhs. n nSince the Company has not impaired the cost of investments in the equity of subsidiary and the advance granted to KERNEX TCAS JV to an extent of Rs. 1,584.25 lakhs (Rs. 1,275.97 lakhs on account of diminution in the value of the investment in equity of the wholly owned subsidiary & Rs. 308.28 lakhs on account of insufficient funds available in KERNEX TCAS JV), the profit and other Comprehensive Income for the year ended and quarter ended are overstated by the said amount. The Other Equity in the balance sheet for the year ended is overstated by Rs.1,584.25 lakhs. n
Textual Information(7)	2.Regarding the Kernex TCAS JV, the management believes that the reported losses are temporary and attributable to project execution cycles. The ongoing projects under the JV are expected to generate sufficient future economic benefits and recover the invested amounts. Accordingly, no provision for impairment has been considered necessary at this stage.
Textual Information(8)	NA
Textual Information(9)	NA
Textual Information(10)	NA