5001842022-01-012022-03-315001842022-03-315001842021-03-315001842021-04-012022-03-315001842022-01-012022-03-31in-bse-fin:OtherExpenses1Member5001842021-04-012022-03-31in-bse-fin:OtherExpenses1Member5001842022-01-012022-03-31in-bse-fin:ReportableSegments1Member5001842022-01-012022-03-31in-bse-fin:ReportableSegments2Member5001842021-04-012022-03-31in-bse-fin:ReportableSegments1Member5001842021-04-012022-03-31in-bse-fin:ReportableSegments2Member5001842022-01-012022-03-31in-bse-fin:ReportableSegments1Member5001842022-01-012022-03-31in-bse-fin:ReportableSegments2Member5001842021-04-012022-03-31in-bse-fin:ReportableSegments1Member5001842021-04-012022-03-31in-bse-fin:ReportableSegments2Member5001842022-01-012022-03-31in-bse-fin:ReportableSegments1Member5001842022-03-31in-bse-fin:ReportableSegments1Member5001842022-01-012022-03-31in-bse-fin:ReportableSegments2Member5001842022-03-31in-bse-fin:ReportableSegments2Member5001842022-01-012022-03-31in-bse-fin:ReportableSegments1Member5001842022-03-31in-bse-fin:ReportableSegments1Member5001842022-01-012022-03-31in-bse-fin:ReportableSegments2Member5001842022-03-31in-bse-fin:ReportableSegments2Member5001842022-01-012022-03-31ItemsThatWillNotBeReclassifiedToProfitAndLoss15001842022-01-012022-03-31ItemsThatWillNotBeReclassifiedToProfitAndLoss25001842021-04-012022-03-31ItemsThatWillNotBeReclassifiedToProfitAndLoss15001842021-04-012022-03-31ItemsThatWillNotBeReclassifiedToProfitAndLoss25001842022-01-012022-03-31ItemsThatWillBeReclassifiedToProfitAndLoss15001842021-04-012022-03-31ItemsThatWillBeReclassifiedToProfitAndLoss1iso4217:INRiso4217:INRxbrli:shares500184HSCLNAINE019C01026Himadri Speciality Chemical LtdEquity2021-04-012022-03-312022-07-212022-07-14INRCroresYearlyMulti segment2022-07-2113:00:002022-07-2120:00:00trueCash Flow IndirectDeclaration of unmodified opinion2022-01-012022-03-31AuditedConsolidated833790000018900000835680000067340000000-9000002067000001108000001330000009612000008144800000212000000-246500000-34500000473000008800000561000000-906000000000-90600000352000000261400000-73100000-17500000279600000-18200000419000000118257400000-0.17-0.1700-0.17-0.17Exceptional Items Represents impairment of Property, plant and equipment of step down subsidiary in China. <BR> <BR> (2) The above audited consolidated financial results have been reviewed by the Audit Committee and approved by the Board of Directors in their respective meetings held on 21 July 2022. <BR> <BR> (3) Other expenses includes foreign exchange fluctuation loss (net) of Rs 6.07 crores for the quarter ended 31 March 2022, Re 0.76 crore for the quarter ended 31 March 2021 and Rs 6.81 crores for the year ended 31 March 2022, and other income includes foreign exchange fluctuation gain (net) of Rs 2.57 crores for the quarter ended 31 December 2021 and Rs 5.21 crores for the year ended 31 March 2021, on consolidated basis. <BR> <BR> (4) Based on the guiding principles given in Ind AS 108 on 'Operating Segments', the Group's business activity falls within two operating segments, namely: <BR> (a) Carbon materials and chemicals, and <BR> (b) Power <BR> <BR> (5) The consolidated financial results are prepared in accordance with the principles and procedures for the preparation and presentation of consolidated financial results as set out in Ind AS 110 'Consolidated Financial Statements' notified by Ministry of Corporate Affairs. The consolidated financial results of Himadri Speciality Chemical Limited (the Holding Company or the Parent), include its subsidiaries, namely AAT Global Limited and Shandong Dawn Himadri Chemical Industry Limited (the Holding Company or the Parent and its subsidiaries together referred to as the 'Group'), combined on a line-by-line basis by adding together the book values of like items of asset and liabilities, income and expenses eliminating intra-group balances and transactions and resulting unrealised gains/ (losses). The consolidated financial results are prepared applying uniform accounting policies on all material items. <BR> (6) The Nomination and Remuneration Committee of the Holding Company at its meeting held on 21 April 2022, has allotted 374,372 equity shares of Re 1 each to the option grantees pursuant to exercise of options under the Holding Company’s “Himadri Employee Stock Option Plan 2016”. As a result of such allotment, the paid up equity share capital of the Holding Company has increased from 418,965,278 equity shares to 419,339,650 equity shares of face value of Re 1 each. The above does not have an impact on the financial results as at and for the year ended 31 March 2022. <BR> <BR> (7) The consolidated figures for the three months ended 31 March 2022 and the corresponding three months ended 31 March 2021 in the previous year as reported in these consolidated financial results are the balancing figures between audited figures in respect of the full financial year and the published year to date consolidated figures up to the end of the nine months of the relevant financial year. Also the cosolidated figures up to the third quarter had only been reviewed and not subjected to audit. <BR> <BR> (8) The Board of Directors of the Holding Company at its meeting held on 14 July 2022 has considered and approved issue upto 72,550,000 (Seven Crores Twenty Five Lakhs Fifty Thousand) warrants each convertible into, or exchangeable for, 1 (one) fully paid up equity share of the Holding Company, having a face value of INR 1/- (Rupee one only) within the period of 18 (eighteen) months in accordance with the applicable laws (“Warrants”) at a price of Rs 70.00/- (Rupees Seventy only) each (including the warrant subscription price and the warrant exercise price) aggregating upto Rs 5,078,500,000 (Rupees Five Hundred Seven Crores Eighty Five Lakhs Only) to the Promoter/ Promoter Group of the Holding Company and certain identified non-promoter persons / entity by way of preferential issue subject to necessary approval of the members of the Holding Company and other regulatory authorities, as may be applicable. The above does not have an impact on the financial results as at and for the year ended 31 March 2022. <BR> <BR> (9) The Group has considered the possible risk that may result from the pandemic relating to COVID-19 and expects to recover the carrying amount to all its assets including inventories, receivable, investments and other financial and non-financial assets in the ordinary course of business based on the internal and external information available upto the date of approval of these consolidated financial results. The Group is continuously monitoring for any material changes in future economic conditions. <BR> <BR> <BR> (10) The Board of Directors of the Holding Company has recommended a dividend at the rate of Re 0.20 per equity share of Re 1 each (i.e. 20% of face value of equity share) aggregating to Rs 8.38 crores for the year ended 31 March 2022. The payment of dividend is subject to the approval of the Shareholders at the ensuing Annual General Meeting of the Holding Company. <BR> <BR> (11) Earnings per share is not annualised for the quarter ended 31 March 2022, 31 December 2021 and 31 March 2021. <BR> <BR> (12) The carbon black expansion project, which had started commercial production in the 4th quarter of 2019-20, was set up under an EPC contract executed by a related party, as approved by the Board of Directors and the shareholders of the Holding Company. The Holding Company, during the year ended 31 March 2021 had received final additional claim of Rs 53.02 crores from the EPC contractor for enhancements/additional work which had not been considered in the books of account for the year then ended. Further, the Holding Company had issued final purchase/job orders amounting to Rs 22.32 crores to various third-party contractors for certain works. The Holding Company's Board of Directors, in its meeting held on 22 October 2020, decided to appoint an independent engineering firm and a financial firm to conduct a technical reconciliation and financial reconciliation respectively for examining the justification of these additional claims and purchase/job orders, on which some of the directors of the Holding Company had raised concerns. Subsequently, the Holding Company had received the final technical report of the independent engineering firm, dated 20 May 2021 as per which there were some overlap in the scope of the original EPC contract, additional work (not covered under the original scope of work) executed by EPC contractor. The findings of this report were discussed and taken on record by the Audit Committee of the Holding Company in its meeting held on 10 June 2021 and the Board of Directors of the Holding Company in its meetings held on 10 June and 22 June 2021. Post receipt and consideration of the technical report, pursuant to its earlier decision of 22 October 2020, the Holding Company's Board of Directors, in its meeting held on 22 June 2021, had approved the appointment of an independent financial firm to carry out the financial reconciliation. <BR> The Holding Company has received multiple emails from National Stock Exchange of India Ltd (NSE) and Securities and Exchange Board of India (SEBI) seeking clarification from the Holding Company regarding a complaint filed by one of the Independent Director of the Holding Company alleging certain irregularities relating to inter-alia the above stated EPC contract, insider trading provisions, compliance with laws and regulations relating to related party transactions, etc. The Holding Company has submitted its response to NSE and SEBI. There is no regulatory action from NSE and SEBI yet in this regard. The management is of the view that, as detailed response has been submitted to NSE and SEBI, this will not have any significant impact on the financial statements of the current or previous years of the Holding Company. <BR> Subsequent to the year ended 31 March 2022, the Holding Company has received the financial reconciliation report from the financial consultant. The Holding Company's Board of Directors and Audit committee has considered both the technical and the financial report in tandem and has approved a net additional claim of Rs 39.85 crores, subject to shareholders approval. Necessary accounting adjustments (including depreciation impact of Rs. 1.00 crore) have been made in the financial statements for the current year as adjusting events post balance sheet date. Further, the Holding Company's Directors (including the Independent Director) who had earlier raised concerns relating to the above mentioned EPC contract, have written back to the Holding Company and other relevant authorities (including NSE, SEBI etc.), that they have satisfactorily received necessary responses to all the queries / concerns raised over the past period and therefore have withdrawn their complaints and they do not wish to pursue the same any further. The management believes that with the withdrawal of complaint as well as providing adequate responses to the authorities, no further action is currently needed and is of the view that the above matters will not have any additional significant impact on the financial statements of the Holding Company. <BR> The Holding Company had also received a notice from an adjudicating authority of a dispute between the promoter shareholders/ promoter directors which has been subsequently withdrawn by the petitioner. The promoters shareholders / promoter directors have also entered into family settlement agreement to settle their disputes. <BR> The auditor had qualified their review report in earlier quarters in respect of the above matters which has since been resolved. <BR> <BR> (13) The figures of the corresponding previous periods/year have been regrouped/reclassified, wherever necessary, to conform to the classification for the quarter and year ended 31 March 2022. <BR> <BR> <BR> 2021-04-012022-03-31AuditedConsolidated279132000007220000027985400000238454000000-1396800000807700000356200000495500000309620000027204200000781200000-246500000534700000139000000520000014420000003905000000000390500000396500000787000000409400000-18900000807000000-200000004190000001182574000000.980.98000.980.98Other Expenses961200000Other Expenses309620000015140400000765500000003149000000001133200000100400000100000001922000001435800000737000001267000001785700000077151000000505030000017338000009163000002260000012570000078487000000111750000016681300000345383000004190000001825740000018676400000-269000001864950000093170000058500000990200000433000007316000000017651000004852100000778590000077210000013410100000697400000161000001000000141237000001588880000034538300000(a) Carbon materials and chemicals8296200000(b) Power237100000(a) Carbon materials and chemicals27738900000(b) Power1007800000853330000028746700000195400000833500000833790000027913200000(a) Carbon materials and chemicals162300000(b) Power202300000(a) Carbon materials and chemicals227700000(b) Power9056000003646000001133300000110800000356200000288300000242400000-34500000534700000(a) Carbon materials and chemicals29299400000(b) Power117150000030470900000406740000034538300000(a) Carbon materials and chemicals9191300000(b) Power323000009223600000666520000015888800000Other unallocable expenses net of unallocable income includes other income, foreign exchange loss/ (gain) (net) fully unallocable356200000-4321000000-425600000008000000-19670000006161600000045800000004955000002465000000021700000018010000001260000030000000000-209000000294660000034813000000001726000000330870000000000000700000231600000000000000000000000147000000-66100000-28230000000000000-100280000043020000003140000062800000312000000019400000-18198000001206600000012066000005272000001733800000Remeasurement of net defined benefit plan1600000Net change in fair value of Equity investments418500000420100000Remeasurement of net defined benefit plan100000Net change in fair value of Equity investments47270000047280000096900000108600000Exchange differences in translating financial statements of foreign operations2880000028800000Exchange differences in translating financial statements of foreign operations323000003230000000