S, SAMANTA & Co.Chdrtered Accountants

8/2, Kiran Sankar Roy Road3rd Floor, Room No.26

Kolkata - 700 001.

INDEPENDENT AUDITOR'S REPORT

To the Members ofINDIA CARBON LIMITED

Report on the Financial Statements1. We have audited the accompanying IND AS fiIlancia] statements oflndia Carbo[ Limited

("the Company"), which comprise the Balance Sheet as at March 31, 2018, and the Statement of

Profit and Loss (including Other Comprehensive lncome), and Cash Flow Statement and the

Statement of changes in Equity for the year then ended and a summary of significalt

accounting policies and other explanatory information

Management's Responsibility for tlre Financial Statements2. The Company's Board of Directors is .esponsible for the matters stated in section 134

(5) of the Companies Act.2013 ("the Actt with respect to the preparation of these IND AS

financial statements that give a true and fair view of the financial position, financial

performance (including other comprehensive income), cash flows and changes in equity ofthe

Company in accordance with the Accounting principles genemlly accepted in Inida, including

the Indian Accounting Standards 0ND ASJ specified under section 133 ofthe act read with rule

7 of the Companies (AccountsJ Rules 2014. This responsibility also includes the maintenance of

adequate accounting records in accordance with the provisions ofthe act for safeguarding the

assets of the company and for preventing and detecting the frauds and other inegularities;

selection and application of appropriate accounting policies; making judgment and estimates

that are reasonable and prudent; and design, impleme[tation and mai[tenance of adequate

internal filancial control, that were operating effectively for ensuri[g the accuracy and

completeness of the accounting records, relevant to the preparation and presentation of IND

AS financial statements that give a true and fair view and are free from mate al misstatement,

whether due to fraud or efior.

Auditor's Responsibility3. Our responsibility is to express an opinion on these IND AS financial statements based

on our audit.

4, We have taken into account the provisions of the Act, the accounting and auditing

standards and matters which are required to be included in the audit report under the

provisions ofthe act and the rules made there under,

5. We conducted our audit in accordance with the Standards on Auditing specified underI

section 143[10] of the Act. Those Standards require that we comply with ethical

requirements and plan and perform the audit to obtain reasonable assurance about

whetherthe IND AS financial statements are free from material misstatements,

6, An audit involves performing procedures to obtai[ audit evidence about the amounts

and disclosures in the IND AS financial statements. The procedures selected depend on

the auditor's judgment, including the assessment ofthe dsks of material misstatement

ofthe IND AS financial statements, whether due to fraud or eror. ln making those sk

assessments, the auditor considers internal financial control relevant to the Company's

preparation of the IND AS filancial statements the give true and fair view in order to

design audit procedures that are appropriate in the circumstances, but not for the

purpose of expressing an opinion on whether the Company has in place an adequate

intemal financial conEol system over financial reporting and the operating

effectiveness of such controls. An audit also includes evaluating the appropriateness of

accounting policies used and t}le reasonableness of the accounting estimates made by

companies directors, as well as evaluating the overall presentation of the IND AS

financial statements.

7. we believe that the audit evidence we have obtained is sufficient and appropriate to

provide a basis for our audit opinion on the IND AS financial statements.

opinionL h our opinion and to the best of our information and according to the exPlanations

given to us, the aforesaid IND AS finaflcial statements, give the information required by

the Act, in the manner so required and give a true and fair view in conformity with the

accounting pri[ciples generally accepted in India including the IND AS, of the state ofaffairs as at March 31, 2018,, and its Profit including other comprehensive income, its

Cash FIow and changes in equity for the year ended on that date.

Reporton Other Legal and Regulatory Requirements9. As required by the Companies(Auditor's Report) Order 2016 ("the 0rde/') as amended,

issued by Central Government of India in terms of subsection(11) of Section 143 oftheac! we give in the'AnnexureA'a statement on the matters specified in paragraphs 3 & 4

ofthe order.10. As required by section 143[3) of the Act, we repot thatr

a. We have sought and obtained all the information and explanations which to the best

ofour knowledge andbeliefwere necessary for the purposes ofour audit;

b. In our opinion proper books of account as required by law have been kept by the

Company so far as it appears from our examination ofthose books;

d.

The Balance Sheet, the Statement of Profit & Loss, Cash FIow Statement and

statement of changes in equity dealt with by this report are in agreement with the

books of accounu

In our opinion the aforesaid IND AS financial statements complywith theAccounting

Standards specified under section 133 of the act read with Rule 7 the companies

[AccountsJ Rules 2014,

On the basis of w tten representations received fiom the directors as on March

31,2018, and taken on record by the Board of Directors, none of the directors is

disqualified as on March 31,2018, from being appointed as a director in terms ofsub

section[2J ofsection 164 ofthe Act.

With respect to the adequacy of the Intemal Financial Controls over financial

reportinj ofthe company and operating effectiveness of such controls' refer to our

separate Report in "Annexure B".

With."rp".t to the other matters included in the Audito/s Report in accordance

with Rule 11 ofthe Companies(Audit & AuditorsJ Rules 2014, in our opinion and to

best ofour information and accordingto the explanation given to us:

i) The Company has disclosed the impact of pending litigation on its financial

position in its IND AS financial statement if any.

iiJ The Company did not have any long term contracts including de vative

contracts forwhichthere were any material foreseeable losses'

iii) There has been no delay in traNfer ng amounts, required to be transferred to

the investo/s education and protection fund by the company

g.

Kolkata

Dated 16tb May, 2018

For 5. SAMANTA & CO.

Chartered Accountants

Firm Registratron No 305020El.

' \--\,. " -'r "^S, SAMANTA

Partner

Membership No.:007200o\\G}

"ANNEXURE A] TO THE INDEPENDENT AUDITORS'REPORT

netenea to in paragraph 9 ofthe Independent Auditors Report of even-d€te to the

-"-i".. oflril, C"".bon Limited on the Financial Statements as ofand for the year ended

March 31, 2018.

fil (al The Company has maintaifled proper records showing full particulars'-

including quantitative details and situation offixed assets

(bJThe fixed assets except furniture and fittings have been physicallyverified by the'm'anagement during ttt; year at reasonable intervals and no material discrepancies

were noticed on such verification

[c) The title deeds ofimmovable properties are held in the name of the company'

[ii] (a) The management has conducted the physical verification of inventory du ng the

year.

(b) No material discrepancies have been noticed in physical verification of the

inventory.(iiil The Com;anv has not granted any Loans, secured or unsecured to Companies' firms'

x;j;-iiJ;ilt pa.m!.snipt o. ott "r

parties covered in the Register maintained

under sec 189 ofthe act.

tiv] ln our opinion and according to the information and explanations given to us' the

.o-p"ny t "t "o.pti"d

with ihe provisions of section 185.and 186 ofthe Companies

Act, 2013 in respect ofloans, investments, Suarantees, and securtty lt any'

The Company has not accepted any deposits from the public and herce the-drrectives

i..r"a Ui tftl, n"""*e Bani of tndia and the provisionsof Sections 73'7 4'75 &.75 of

ifre ect ina the Companies [acceptance of Deposit) Rutes' 2015 with regard to the

deposits accepted from the public are not applicable,

(v, The Central Government has specified the maintenance of Cost.Records under

section 148(1) ofthe Act for any of the products of the Company We have broadly

reviewed thi-book of account maintained by the company and are of the opinion

ift"i- p"ir*-f"al" the prescribed accounts and records have been made and

mainained, We have, however, not made a detailed examination ofthe records with

a view to determine whether they are accurate or complete'

(vii) (al According to the information and explanation given to us and the records of the' ' '"ornp"ny eiamined by us, in our opinion the company is generally regular in

dep;sitingwith approp ate authorities undisputed statutory duesin respect of

iniome ta'x, sales ia:<, customs duty, excise duty, service tax, Goods and service Tax

and other material statutory dues applicable to it'

Ir)

I

(bl According to the information and explanations given to us, there are no dues

of income tai, sales tax, seNice tax, custom duty, excise duty and value added tax

which have notbeen deposited on account of any dispute, except following I

(viii) Based on our audit procedures and according to the information and explanations

given to us, the Company has not defaulted in repa,'ment of dues to banks and

inancial institutions. The Company has not taken any loan from the Government and

has not issued any debentures

[ix] According to the records of the company examined by us and the information and

explanations given to us, the Company has not defaulted in repayment ofdues to any

financial institutions of banks of debenture holders as at balance sheet date,

tx) According to the Audit procedures performed and the information and explanations given to

us by management, we have noticed no fraud by the Company or its officers or employees

during the year.

(xi) Aooording to tho records of the company examined by us and the information and

explanations given to us, the managerial rcmunemtion has been paid as per the provisions

ofsection 197 read with Schedule v 10 the Comparies Act.

(xii) The Company is not a Nidhi Company Therefore, the provisions of this clause of the

Order are not applicable to the Company.

(xiii) According to the information and explanations given to us by management, the oompany

has no transaction with the related parties duiing the year which requires compliance withsection 177 and 188 ofCompanies Act, 2013.

(xiv) Aocording to the information and explanations given to us by management, the oompany

has not made any prefercntial allotment or private placement of sharcs or fully or padlyconvertible debentues during the year under review Accordingly, the provisions of this

clause ofthe Order are not applicable to the Company

(xv) Aooording to the audit procedules performed and the information and explanations given

to us by management, the company has not entered into any non_cash hansactions withdireotors or persons oonnected with him. Accordingly, the provisions ofthis clause oftheOrder are not applicable to the Company.

Name oftheStatute

Nature ofdues

AmountRs.

Period to

which relates

Forum where the dispute ispending

W.B.VATAct,2003 sales TaJ( 147304 2010-11Presiden! appellate & revisional

board, Commercial Taxes, westBengal

DO DO 148265 201-4-15 DO

C.S.T Act Sales Tax 1984474 2014-15 DO

q

(xvi) Since the Company is a manufacturing oompany, hence the provisions ofthis clause oftheorder are not applicable to the Company.

(olkata

Dated 16th May, 2018

FoT S. SAMANTA & CO.

Chartered AccountantsFirm Reglstration No. 305020E

f,-e*...--*S. SAMANTA

PartnerMembership No.:007200

"ANNEXURE BN TO THdINDEPENDENT AUDITORIS REPORT OF EVEN DATE ON THE STANDALONETINANCIAL STATEMENTS OFINDIA CARBON LIMTTED

Report on the IDternal Financial Controls under Clause (l) of Sub-section 3 of Section 143 olthe Comprni€sAct,2013 ("the Act")

i, We have audited the intemal financial controls over financial reporting oflndia Carbon Limited("the Company") as ofMarch 31, 2018 in conjunction with our audit ofthe finanoial statements ofthe Company for the year ended on that date.

Managemetrtrs Responsibility for Internal Finalcial Controlsii. The Company's management is responsible for establishing and maintaining intemal financialcontrols based on "the intemal control over finarcial reporting criteria established by the Companyconsidering the essential components of intemal control stated in the Guidance Note on Audit ofIntemal Financial Controls Over Financial Reporting issued by the Institute of ChartercdAccountants oflndia" These responsibilities include the design, implementation and maintenance ofadequate intemal finanoial controls that werc operating effectively for ensuring the orderly andefficient conduct of its business, including adherence to company's policies, the safeguarding of itsassets, the prevention and detection of frauds and errors, the aocumcy and completeness of theacoounting rccords, and the timely preparation ofreliable finanoial infomation, as required under theCompanies Act, 2013.

Auditors' Responsibilityiii. Our responsibility is to express an opinion on the Company's intemal financial controls overfinancial repoting based on our audit. We oonducted our audit in accordance with the GuidanceNote on Audit of Intemal Financial Controls Over Finanoial Reporting (the "Guidance Note") andtho Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) oftheCompanies Aot, 2013, to the extent applicable to an audit of intemal financial controls, bothapplicable to an audit of Intemal Fimnoial Controls and, both issued by the Institute of CharteredAccountants of India. Those Standards and the Guidance Note require that we comply with ethicalrcquircments and plan and perform the audit to obtain reasoflable assumnce about whether adequateintemal financial controls over financial reporting was established and maintained and if suchcontrols opemted effectivoly in all material respects.

iv. Our audit involves performing prccedures to obtain audit evidence aboul the adequacy of theintemal financial oontrols system over financial reporting and their operating effectiveness. Our auditof intemal financial oontrols over financial reporting included obtaining an understanding of internalfinancial contols ove. financial reporting, assessing the risk that a mate al weakness exists, andtesting and evaluating the design and operating effectiveness of intemal control based on theassessed dsk, The procedues seleoted depend on the audito/s judgement, including the assessmentofthe risks of material misstatement ofthe financial statements, whether due to fraud or eror.

v. We believe that the audit evidence we have obtained is sufficiett and appropriate to provide abasis for our audit opinion on the Company's intemal financial controls system over finanoialrcporting.

Meaning of lntenral Financial Cortrols Over Fi ancial Reportingvi. A company's intemal finanoial oontrol over finanoial reporting is a process designed to providereasonable assumnce regarding the reliability offinancial reporting and the preparation of financialstatements for extemal purposes in accordance with generally aocepted accounting principles. Acompanyrs intemal financial control over financial reporting includes those policies and procedureslhat (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflectthe transactions and dispositions ofthe assets ofthe company; (2) provide reasonable assurance thattransactions are recorded as necessary to permit prepa.ration of financial statements in accoidancewith generally accepted accounting principles, and that receipts and expenditures ofthe company are

being made only in accordance with authorizations of management and direotors of the oompany;and (3) provide reasonable assurance regarding prevention or timely detection of unauthorizedacquisition, use, or disposition of the oompany's assets that could have a material effect on thefinancial statements.

Inherent Limitatiotrs oflrternal Financial Controls Over Fitrancial Reportingvii. Because of the inherent limitations of intemal finanoial controls over financial reporting,including the possibility of collusion or improper management ovenide of controls, mate almisstatements due to errol or flaud may occur and not be deteoted. Also, prcjections of anyevaluation ofthe intemal finarcial conhols over finanoial repofiing to future periods are subject tothe risk that the intemal financial control over financial repo ing may become inadequate because ofchanges in conditions, or that the degee of compliance with the policies or procedures maydetedorate.

Opinionviii. In our opinion, the Company has, in all material .espeots, an adequate intemal financial conholssystem over financial reportiflg and suoh intemal flnancial controls over financial reporting wereoperating effectively as at March 31,2018, based on "the intemal control over financial reportingoriteria established by the Company oonsidering the essential components of intemal conhol statedin the Guidance Note on Audit oflntemal Financial Conhols Over Financial Reporting issued by thelnstitute of Chartered Accountants of India".

Kolkata

Dated 16'h Ma, 2018

ForS. SAMANTA & CO.

Chartered AccountantsFirm Registration No. 305020E

S. SAMANTA

PartnerMembership No.:007200

JG*-""fr

INDIA CARBON LIMiTEDRegd. OfTice : Noonmati, Guwahati 781020, Assam

CIN NO : L23101451961PL001173Ph No.(033) 22487856/9, Fa.\ No.91-3 3-223 0-7507

E-mail : icl@indiacarbonltd.com, Website : www.indiaoarbonltd.com

Statement ofStandalone tr'inancial Results for the Ouarter and Year erded 31st March.2018

10161.66

71.65a)

b)

Revenuc from Operations

19270.75

I0,1t.09(108.67)

195.77

1665.71

320 00

1.17.82

2251.41

5286.01

309.78

(338,72',)

(36.77',)

1161.21

91,24

44,64

811.91

5200.38

7r9.95

0.00

173.2?

83.86

t5.70

562.91

201L,I1

I0.4r1

71.53

232.2.6

306.86

55.58

)2.77413.72

Elpgli!a) Cost ofMaierials Consumed

b) Cost ofMaterials Sold

c) Chaqes in inventories offinished goods

d) Excise Duiy (n€t ofrefund)e) Employees benefits expense

0 Finance Cos!

g) Depreciation and amor'lisation expens(

3134.57

/ (ros) beforc cxcclrionll Irenrs (l-2)

1953.50Profit/ (Loss) belore 1ax (3-4

et Profit / (Loss) for the pedod (5-6)

a. ril Items rhat will not be reclassified to Drofit or loss

(ii) Inconrc Tax relating ro itemsthat willnot be

b. (i) hems lhitNillbe rcclassified to proUt or los(ii) lncome Tax rel.tins to itcms th!! will be reclassitied to

3182.52 I587.20Total Comprchcnsiye Income (7-8)

Paid uo Eouiiy Share CaDital(Face value ofRs.10l each

101.63

101.63

arning (Loss) Per Share of Rs.l0 cdch (No! annualiTed)

(a) Basic

(b) Diluied

in Lakhs

16526.91

11226.63

2300.2r

9910.8(

183.6i

62,91

ts44.7t803.6{

214,9i

12s.51

1565.8,

126.7'

142t2,2:

2314.61

211,1.61

1887.9

t,607.(

2906.(

265.0r

589.5

0.(

71.2'

71,2.

INDIA CAiHAiI LIMITEDRegd. Office tNoonmati, Guwalati 781020, Assam' CIN NO : L2310lAS196lpLC00ll73

Ph No.(033) 22487856/9, Fax No.91 "33-2230-750?E-mail : icl@indiacarbonltd.com, Website : www.indiacarbonltd.com

Statement ofStandalone tr'inancial Results for the Ouarter rnd year ended 31st Mrrch.2018

in Lakhs)

(a) Propel!/, Plant md F4uipmentO) Capital work-in-prcgress(c) Inangible Assets

(ii) Other fimncial ass€rs(e) Defer€d tax aiset! (Net)(0 Other non"curfeni assets

101a.88240.95

14.0C

6759.4241.49

1409.73

0.00

2785.52

41.56

44.07

738.3018460

0.00

1170 8334.45

41.63Total Non - Cuuent Asseh 8188.24 411,3.26 21,72.81

(n) Trade .eceivaues(lii)C.sh dcashequivalents(iv) Oth.r fhancia I assets(v) CurreniTax assets

(c) cu(entTax Assetskl) Other cunent assets

6039.98

53n.742084.0427m.831251.08

2070-100.00

0.00856.6193.36

103.212518.43

0.00302.t2

3030.47

0.003244.09

6.31268.84326 52

0 oLr

21041.81 6425.93 7526.66

29230.05 10539.19 9699,47EQUITY AND LIABILXTIESEquityra) Eoult! Shde caDital(uj oitei tquityTotal equity

LIABILITIESNon-cureni liabilities(a) Fil@cial Liabilities

(i) Bonowings(ii)Otler f inancial liabiliries

O) Provisions(c) Otl€r non-currert ]iabilities(d) Detrered Tax Liabitiries

255 0i15534.83

265.00 265.0t39E9.6l:

1,5799.83 71,60.6? 4254.6(

98.2E000

29.970.00

13,10.18

91.090.00

21.83

0.00479.83

90.490.00

20.240.00

Iotal non-.unent Iiabilities 1468.43 992.75 359.55CuEent liabilitieE(a) Iinancial Uabilities(i) Borowings(n) rrade and odrcr payables(iii) Oth€I finaffial liabilities0r) Ofier cunent liabitities

(d) Currenl Tax Liabilities Net)

6181.381063.18

2421.771664.96

76.70609.80

501.25592.37

1118.56

58.33

9.98

4A2l.4t)859.13

774.E7842E.41

Total Curent Liabilities LL961,.79 2385.77 5085.25

Total liabilities 13430.22 3378.52 5444.81

29230.05 10539.19 9599.41

(

otes: Page-3

1. The above resu lts have been reviewed by the Audit Committee and a pproved by the Board of Directors of the Com pany iniheir meeting held on 16th May,2018.The Statutory Auditors have Audited the same result.

These Flnancial results have been prepared jn accordance with the Companies (lndian Accounting Standard) Rules, 2015 (lnd-AS)prescribed undersection 133 ofthe Companies Act 2013.The lnd AS compliant corresponding flgures jn the previous year have not been subjected to review/audit. However, theCompany's management has exercised necessary due diligence to ensure that such financial results provide a true and fairview of its affairs.

Figures have been regrouped and rearranged, wherever necessary.

4.

5.

Date I

Kolkata

l6th May,2018 Director