FINANCIAL STATEMENT

(A) Balance Sheet: As per schedule III of companies Act 2016.

The balance sheet is a snapshot of the entitys financial position at a particular date. Another name
of balance sheet is Statement of Financial Position The balance sheet provides information on
what the company owns (its assets), what it owes (its liabilities) and the value of the business to its
stockholders (the shareholders' equity) as of a specific date.

(I)

EQUITY AND LIABILITIES

Shareholders' equity is the value of a business to its owners after all of its
obligations have been met.
Liabilities are obligations the company has to outside parties. Liabilities represent
others' rights to the company's money or services.
1. Shareholders Funds
(a) Share capital: the part of the capital of a company that comes from the issue of
shares.
(b) Reserve and surplus: At the end of an accounting period the company may decide
to transfer part of the profits to a reserve and retain the balance in the profit and
loss account. Reserves are maintained for future uncertainties by business. The
balance in the profit and loss account is called a surplus.
2. Non-current Liabilities
(a) Deferred Tax Liabilities: Temporary differences between the company's
accounting and tax carrying values, the anticipated and enacted income tax
rate, and estimated taxes payable for the current year.
(b)Long-term provisions: long term provisions are "ESTIMATED LIABILITIES".
They are definite liability but their precise timings and amount cannot be
determined.
3. Current liabilities: Current liabilities are those which are due to be paid within
one year or the operating cycle, whichever is longer.
(a) Short-term borrowings: This account is made up of any debt incurred by a
company that is due within one year.
(b) Trade payables: An amount billed to a company by its suppliers for goods
delivered to or services consumed by the company in the ordinary course of
business.
(c) Other current liabilities: It is a balance sheet entry used by companies to
group together current liabilities that are not assigned to common liabilities such
as debt obligations or accounts payable.
(d) Short-term provisions: it is an account which records a present liability of an
entity. For example, Provision for doubtful debts, Provision for tax, Provision for
discount on debtors, etc.

(II)

ASSETS

Assets are economic resources that are expected to produce economic benefits for their owner
further Assets are classified as:

1. Non-Current Assets is an asset that is not likely to turn to unrestricted cash within one

year of the balance sheet date. A noncurrent asset is also referred to as a long-term asset.
(a) Fixed Assets are classified further:
(i) Tangible Assets: Any asset that can be seen and touched. Tangible assets include

things that can be reproduced, such as widgets or a widget factory, and things
that cannot be reproduced, such as the land upon which the widget factory is
built.
(ii) Intangible Assets: An asset that lacks physical substance (unlike physical assets
such as machinery, software and buildings) and usually is very hard to evaluate.
It includes patents, copyrights, franchises, goodwill, trademarks.
(iii)

Capital work in progress: Capital work-in-progress comprises

outstanding advances paid to acquire fixed assets and the cost of fixed assets that
are not yet ready for their intended use at the balance sheet date.

(b) Non-current Investments: This account group includes long-term investments, which
are restricted beyond the current period as to sale or disposal.
(c) Long term Loan and advances shall be classified as:(More than 12 months)
(a) Capital Advances
(b) Security Deposits
(c) Loans and advances to related parties
(d) Other loans and advances.
(d) Other Non-Current Assets: This is an all-inclusive heading, which incorporates current
assets that do not fit into any other asset categories.
2. Current Assets are those assets that may be converted into cash, sold or consumed within
a year or less.
(a) Current Investment: short-term investments that are easily convertible into cash.
(b) Inventories: This includes all raw materials, work in process, and finished goods
items, less an obsolescence reserve.
(c) Trade receivable: This includes all accounts receivables, as well as all other types of
receivables that should be collected within one year.
(d) Cash and bank balances includes:
(1) Balances with banks;
(2) Cheques, drafts on hand;
(3) Cash in hand
(e) Short term loan and advances: Loans and advances to related parties less than 12
months.
(f) Other current Assets: This is an all-inclusive heading, which incorporates current
assets that do not fit into any other asset categories.

Note: 1. Assets are listed in order of their liquidity and tangibility. Intangible assets are listed
last since they have high uncertainty and liquidity.
2. Contingent Liability it is a potential liability that may occur, depending on the outcome of an
uncertain future event. A contingent liability is recorded in the accounting records if the
contingency is probable and the amount of the liability can be reasonably estimated.

(B) INCOME STATEMENT

Shows the results of the entity's operations and financial activities for the reporting period. It
includes revenues, expenses, gains, and losses.

1. Revenue: Revenue is the amount of money that a company actually receives during a
specific period, including discounts and deductions for returned merchandise. It is the
"top line" or "gross income" figure from which costs are subtracted to determine net
income.
Revenue is calculated by multiplying the price at which goods or services are sold by the
number of units or amount sold.
2. Expense: Money spent or cost incurred in an organization's efforts to generate revenue,
representing the cost of doing business. Expenses may be in the form of actual cash
payments (such as wages and salaries), a computed expired portion (depreciation) of an
asset, or an amount taken out of earnings (such as bad debts).
Expenses are summarized and charged in the income statement as deductions from the
income before assessing income tax. Whereas all expenses are costs, not all costs (such
as those incurred in acquisition of income generating assets) are expenses.

3. Gain or Loss: Gains and losses are the opposite financial results occurring through a
company's non-primary operations and production processes. Any time a company
produces profit or realizes increased value through secondary sources, such as lawsuits,
investments or disposal of assets, it is called a gain. Conversely, a loss is realized
whenever a company loses money through secondary activity. If a company sells an
asset, the determination of gain versus loss is dependent on the book value of the asset
according to the company's financial documents.

(C)SUPPLEMENTARY NOTES
Includes explanations of various activities, additional detail on some accounts, and other items
as mandated by the applicable accounting framework, such as GAAP or IFRS.

(D)STATEMENT OF CASH FLOWS (PURSUANT TO AS-3) INDIRECT METHOD

It Shows changes in the entity's cash flows during the reporting period.
The statement of cash flow reports the impact of a firm's operating, investing and financial
activities on cash flows over an accounting period. The cash flow statement is designed to
convert the accrual basis of accounting used in the income statement and balance sheet back to
a cash basis.
The statement of cash flows is segregated into three sections:
Operating activities
Investing activities
Financing activities
1) Cash Flow from Operating Activities (CFO)
CFO is cash flow that arises from normal operations such as revenues and cash operating
expenses net of taxes.
2) Cash Flow from Investing Activities (CFI)
CFI is cash flow that arises from investment activities such as the acquisition or disposition of
current and fixed assets.
3) Cash flow from financing activities (CFF)
CFF is cash flow that arises from raising (or decreasing) cash through the issuance (or
retraction) of additional shares, short-term or long-term debt for the company's operations

(E)CONSOLIDATED BALANCE SHEET(CBS)

Consolidated financial statements are the combined financial statements of a parent company
and its subsidiaries. Because consolidated financial statements present an aggregated look at the
financial position of a parent and its subsidiaries, they let you gauge the overall health of an
entire group of companies as opposed to one company's standalone position.

NOTICE
At the end of Annual report notice of 41st Annual General Meeting (AGM) of the members of
Dabur India Limited is attached. In this notice all the details related to AGM like place of
meeting, timing, date and issue to be discuss are mentioned.