annual report title

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GANGA CARE HOSPITAL LIMITEDAnnual Report - 2018 - 2019

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Dr.Varun C. Bhargava Managing Director

Dr.Raajiv Singhal Non Executive Director

Mr. Andrew Kenneth Currie Non Executive Director

Mr. Sandeep Kumar Non Executive Director

Mr. Ashokkumar Ramswaroop Agrawal Non Executive Director

Mr. Lalitkumar Agrawal Omprakash Non Executive Director

Mr. Mahadevan Narayanamoni Non Executive Director

Mrs. Madhavi Darbha Chief Financial Officer

Mrs. P Rajani Company Secretary

CORPORATE INFORMATION

BOARD OF DIRECTORS

GANGA CARE HOSPITAL LIMITEDFOURTEENTH ANNUAL REPORT 2018-19


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BOARD COMMITTEES

AUDIT COMMITTEE (till 12-4-2019)

Dr.N.Krishna Reddy - Chairman

Dr.P.Raghava Raju - Member

Dr.D.N.Kumar - Member

NOMINATION AND REMUNERATION COMMITTEE (till 12-4-2019)

Dr.N.Krishna Reddy - Chairman

Dr.P.Raghava Raju - Member

Dr.D.N.Kumar - Member

CORPORATE SOCIAL RESPONSIBILITY COMMITTEE (till 12-4-2019)

Dr. N.Krishna Reddy - Chairman

Dr. P.Raghava Raju - Member

Dr. D.N.Kumar - Member

REGISTERED OFFICE3 Farmland, Panchsheel SquareRamdaspet, Nagpur – 440 010

STATUTORY AUDITORSM/s.Walker Chandiok & Co. LLP7th Floor, Block III, White House

Kundan Bagh, BegumpetHyderabad – 500 016

COST AUDITORSM/s.Nageswara Rao & Co

Cost AccountantsH.No.30-1569/2, Plot No.35, Anantanagar Colony

Neredmet , Secunderabad.

BANKERS

State Bank of India


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NOTICE

GANGA CARE HOSPITAL LIMITEDRegd.Office: 3 Farmland, Panchsheel Square, Ramdaspet, Nagpur – 440 010

Notice is hereby given that the Fourteenth Annual General Meeting of the Company will be held on Thursday,the 19th day of September 2019 at 5:00 P.M. at Conference Hall of CARE Hospital, 3 Farmland, PanchsheelSquare, Ramdaspet, Nagpur – 440 010 to transact the following business:

ORDINARY BUSINESS

1. To receive, consider and adopt the Balance Sheet as at 31st March 2019 and Statement of Profit &Loss account of the Company for the year ended on that date together with the Report of the Auditors’and Directors’ thereon.

2. To appoint a Director in place of Mr. Sandeep Kumar (DIN: 08122549) who retires by rotation andbeing eligible, offers himself for re-appointment.

SPECIAL BUSINESS:

3. Appointment of Dr Raajiv Singhal (DIN:03476950) as Director of the Company

To consider and, if thought fit, to pass with or without modification(s) the following resolution as anOrdinary Resolution:

“RESOLVED THAT Dr. Raajiv Singhal, (DIN:03476950) who was appointed as an Additional Directorof the Company w.e.f. 12th April,2019 by the Board of Directors in terms of Section 161 and otherapplicable provisions of the Companies Act, 2013, if any, and pursuant to the provisions of Articles ofAssociation of the Company, and who holds such office untill the General Meeting be and is herebyappointed as a Non-Executive Director of the Company, who shall be liable to retire by rotation.

RESOLVED FURTHER THAT Board of Directors, be and are hereby severally authorized to do allsuch acts, deeds, matters and things as may be necessary, proper, expedient, required or incidentalthereto, in this regard including but not limited to filing of requisite application/forms/ reports, etc. withthe Ministry of Corporate Affairs or with such other authorities as may be required for the purpose ofgiving effect to this resolution”.

4. Appointment of Mr. Andrew Kenneth Currie (DIN:08120177) as Director of the Company


“RESOLVED THAT Mr. Andrew Kenneth Currie (DIN: 08120177) who was appointed as an AdditionalDirector of the Company w.e.f. 12th April,2019 by the Board of Directors in terms of Section 161 andother applicable provisions of the Companies Act, 2013, if any, and pursuant to the provisions ofArticles of Association of the Company, be and is hereby appointed as a Non-Executive Director ofthe Company, who shall be liable to retire by rotation.


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5. Appointment of Mr. Ashokkumar Ramswaroop Agrawal (DIN: 00082564) as Director of theCompany


“RESOLVED THAT Mr. Ashokkumar Ramswaroop Agrawal (DIN: 00082564) who was appointed asan Additional Director of the Company w.e.f. 08th May, 2019 by the Board of Directors in terms ofSection 161 and other applicable provisions of the Companies Act 2013, if any, and pursuant to theprovisions of Articles of Association of the Company, be and is hereby appointed as a Non-ExecutiveDirector of the Company, who shall be liable to retire by rotation.


6. Appointment of Mr.Lalitkumar Agrawal Omprakash (DIN: 00921037) as Director of the Company


“RESOLVED THAT Mr Lalitkumar Agrawal Omprakash (DIN: 00921037) who was appointed as anAdditional Director of the Company w.e.f. 08th May, 2019 by the Board of Directors in terms of Section161 and other applicable provisions of the Companies Act, 2013, if any, and pursuant to the provisionsof Articles of Association of the Company, be and is hereby appointed as a Non-Executive Director ofthe Company, who shall be liable to retire by rotation.



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7. Appointment of Mr. Mahadevan Narayanamoni (DIN: 07128788) as Director of the Company


“RESOLVED THAT Mr. Mahadevan Narayanamoni (DIN: 07128788) who was appointed as anAdditional Director of the Company w.e.f. 14th August, 2019 by the Board of Directors in terms ofSection 161 and other applicable provisions of the Companies Act, 2013, if any, and pursuant to theprovisions of Articles of Association of the Company, be and is hereby appointed as a Non-ExecutiveDirector of the Company, who shall be liable to retire by rotation.


For and on behalf of the Board

Sd/-Dr.Raajiv Singhal

Place: Hyderabad Director & Group CEODate:14.08.2019 DIN: 03476950

NOTES:

1. A MEMBER ENTITLED TO ATTEND AND VOTE IS ENTITLED TO APPOINT A PROXY ORPROXIES TO ATTEND AND, ON A POLL, TO VOTE ON HIS BEHALF, A PROXY NEED NOT BEA MEMBER. A person can act as a proxy on behalf of members not exceeding 50 and holding in theaggregate not more than 10% of the total share capital of the Company carrying voting rights. In casea proxy is proposed to be appointed by a member holding more than 10% of the total share capital ofthe Company carrying voting rights, then such proxy shall not act as a proxy for any other person orshareholder.

2. A blank proxy form is enclosed for appointing a proxy and if intended to appoint a proxy the formshould be completed and deposited at the Registered Office of the Company not less than 48 hoursbefore the commencement of the Annual General Meeting

3. The Explanatory Statement pursuant to Section 102 of the Companies Act, 2013 in respect of thebusiness set out above is annexed hereto.

4. Corporate Members are requested to send a duly certified copy of the Board Resolution authorizingtheir representative to attend and vote at the Annual General Meeting.


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5. The Register of Contracts or Arrangements in which the Directors are interested, Maintained underSection 189 of the Companies Act, 2013, will be available for inspection by the members at theAnnual General Meeting.

6. The Register of Directors and Key Managerial Personnel and their shareholding Maintained underSection 170 of the Companies Act, 2013, read with rules there under will be available for inspectionby the members at the Annual General Meeting.

7. In keeping with Ministry of Corporate Affairs’ Green initiative measures, the Company hereby requestsmembers who have not registered their email addresses so far, to register their email addresses forreceiving all communication including annual report, notices, circulars, etc. from the Companyelectronically.

8. All documents referred to in the accompanying notice shall be available at the registered office of theCompany, on all the working days between 10:00 a.m. and 6:00 p.m. up to the date of this meeting.

EXPLANATORY STATEMENT

(Pursuant to Section 102 of the Companies Act, 2013)

Item No.3 to 7

Board appointed Dr. Raajiv Singhal, Mr. Andrew Currie Mr. Ashokkumar Ramswaroop Agrawal andMr. Lalitkumar Agrawal Omprakash on 8th May,2019 and Mr. Mahadevan Narayanamoni,was appointedon 14th August,2019 as an Additional Director (s) of the Company and they hold the office till ensuingAnnual General Meeting.

Other than Director as mentioned herein above, being appointees, none of the other Directors and KeyManagerial Personnel of the Company or their relatives are concerned or interested financially or otherwise,in the resolution(s)

Your Board recommends the resolution set forth in the item no.3 to 7 of the Notice for approval of themembers


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DIRECTORS’ REPORTDear Shareholders

On behalf of the Board of Directors, I am happy to present the Fourteenth Annual Report of your Company

along with the audited Balance Sheet, Profit and Loss Account and Cash Flow Statement for the year

ended 31st March, 2019.

1. Review of Operations

During the Financial Year 2018 -19 the Company has excelled in its financial performance by achieving

a turnover of `468.01 Mn. The profit before Interest, depreciation and tax (EBIDTA) is `108.39 Mn.

and the profit after depreciation and tax is `62.98 Mn.

2. FINANCIAL PERFORMANCE FOR THE YEAR UNDER REVIEW

(Rupees in millions)

Particulars As at 31 March

2019 2018

Net Sales / Income from:

Business Operations 454.85 427.99

Other Income 13.16 10.83

Total Income 468.01 438.82

Less: Expenditure 359.62 370.80

EBITDA 108.39 68.02

Less: Depreciation 18.61 16.05

Profit before Tax 89.78 51.97

Less: Current Income Tax 29.15 16.22

Less: Previous year adjustment of Income Tax - (0.71)

Less: Deferred Tax (2.35) (2.20)

Net Profit after Tax 62.98 38.66

Other Comprehensive Income :(i) Items that will not be reclassified

subsequently to profit or loss

(a) Remeasurement of defined benefit plan 0.43 (0.30)

(ii) Income Tax relating to items that will notbe reclassified to profit or loss (0.12) 0.08

Total Comprehensive Income for the Year 63.29 38.44

Earnings per share (Basic & Diluted)) 5.31 3.26


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3. DIVIDEND

The Board of Directors of your Company has not recommended any dividend for the Financial Year2018 -19. The current year profits are ploughed back for expansion plans of the Company.

4. Transfer to Reserves

Board proposes to transfer an amount of `63.29 Mn to Reserves and Surplus.

5. Transfer of unclaimed dividend to investor education and protection fund

There are no amounts which need to be transferred to the Investor Education and Protection Fund.

6. Material changes and commitment if any affecting the financial position of the companyoccurred between the end of the Financial Year to which this financial statements relate andthe date of the report

No material changes and commitments affecting the financial position of the Company occurredbetween the end of the Financial Year to which this financial statements relate on the date of thisreport.

7. Conservation of energy, technology absorption, foreign exchange earnings and outgo

Your Company gives high priority in conservation of energy and it is making efforts to utilise variousenergy conservation mechanisms. The Company is not doing any R&D and hence no expenditurewas incurred in this regard. Further no technology was imported by the Company during the yearunder review.

8. Details of Subsidiary / Joint Ventures / Associate Companies

The Company has no Subsidiary / Associate / Joint Venture Company.

9. Deposits

The Company has not accepted / renewed any deposits during the Financial Year 2018-19.

10. Directors responsibility statement

In accordance with the provisions of Section 134(5) of the Companies Act, 2013, the Board herebysubmits its responsibility Statement.

Pursuant to Section 134(5) of the Companies Act, 2013, the Board of Directors, to the best of theirknowledge and ability, submit is responsibility statement:

i. In the preparation of the annual accounts, the applicable accounting standards have beenfollowed and there are no material departures;

ii. Selected such accounting policies and applied them consistently and made judgments andestimates that are reasonable and prudent so as to give a true and fair view of the state ofaffairs of the Company at the end of the Financial Year and of the profit of the Company for thatperiod;

iii. Taken proper and sufficient care for the maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding the assets of the Company and forpreventing and detecting fraud and other irregularities;


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iv. Prepared the annual accounts on a going concern basis;

v. Laid down internal financial controls to be followed by the Company and such internal financialcontrols are adequate and operating effectively;

vi. Devised proper systems to ensure compliance with the provisions of all applicable laws andthat such systems were adequate and operating effectively.

11. DIRECTORS AND KEY MANAGERIAL PERSONNEL

During the year Mr. Sandeep Kumar (DIN: 08122549), Director, retire by rotation and being eligibleoffer himself for reappointment.

During the year under review, Mr. Dilip Pacheriwala Banwarilal (DIN: 08142028) & Mr. NarayanChandiram Demble (DIN: 01601521) were appointed as Additional Directors on 26th April 2018, butthey resigned from the Company on 08th May 2019 during the FY 2019-20.

During the FY 2019-20, Dr. Raajiv Singhal (DIN: 03476950) Mr. Andrew Kenneth Currie (DIN:08120177) Mr. Ashokkumar Ramswaroop Agrawal (DIN00082564) and Mr. Lalitkumar AgrawalOmprakash (DIN: 00921037) were appointed as Additional Directors of the Company on 08th May,2019 and Mr. Mahadevan Narayanamoni (DIN: 07128788) was appointed as an Additional Directorw.e.f. 14th August 2019 and they hold office till conclusion of this Annual General Meeting and yourBoard recommends their appointment as Director(s) of the Company.

During the FY 2019-20, Mrs. Madhavi Darbha was appointed as Chief Financial Officer (CFO) of theCompany w.e.f. 08th May 2019.

Apart from the above, during the FY 2019-20, the following Directors have resigned from the Boardw.e.f. 12th April 2019-

1. Dr. B. Soma Raju

2. Dr. N. Krishna Reddy

3. Dr. D. N. Kumar

4. Dr. P. Raghava Raju

5. Mr.B.Kasi Raju

12. A) NUMBER OF BOARD MEETINGS

SL. NAME OF DIRECTOR DATES OF BOARD MEETINGNo. 26-04-18 23-08-18 15-11-18 17-01-19

1 Dr.B.SomaRaju*** Yes Yes Yes Yes

2 Dr. N. Krishna Reddy*** Yes Yes Yes No

3 Dr.D.N.Kumar*** Yes Yes Yes Yes

4 Dr.P.RaghavaRaju*** Yes Yes Yes Yes

5 Mr. B. Kasi Raju*** Yes Yes Yes Yes

6 Mr. Dilip Pacheriwala Banwarilal**** NA No No No

7 Mr. Narayan Chandiram Demble**** NA No No No


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8 Dr. Varun C Bhargava yes No No No

9 Mr. Sandeep Kumar NA No No No

10 Dr. Raajiv Singhal***** NA NA NA NA

11 Mr. Andrew Currie***** NA NA NA NA

12 Mr. Mahadevan Narayanamoni** NA NA NA NA

13 Mr. Ashokkumar Ramswaroop Agrawal***** NA NA NA NA

14 Mr. Lalitkumar Agrawal Omprakash***** NA NA NA NA

**Appointed w.e.f. 14.08.2019

***Resigned w.e.f. 12.04.2019

****Appointed w.e.f. 26.04.2018 & Resigned w.e.f. 08.05.2019

*****Appointed w.e.f. 08.05.2019

B) NUMBER OF AUDIT COMMITTEE MEETINGS:

S.No Name of Member Dates of Audit Committee Meetings27-01-2018

1 Dr. N. Krishna Reddy Yes

2 Dr.D.N.Kumar Yes

3 Dr. P. Raghava Raju Yes

C) Number of Nomination & Remuneration Committee Meetings

S.No Name of Member Dates of Nomination & Remuneration Meetings26-04-2018

1 Dr. N. Krishna Reddy Yes

2 Dr.D.N.Kumar No

3 Dr.P.Raghava Raju Yes

13. CORPORATE SOCIAL RESPONSIBILITY

The Company is committed to taking up Corporate Social Responsibility activities. The Companyconstituted Corporate Social Responsibility Committee as required under the provisions of Section135 of the Companies Act, 2013. The Corporate Social Responsibility Report is enclosed to thisBoard report as Annexure I

14. Particulars on loans guarantees or investments made pursuant to Section 186 of the CompaniesAct, 2013

Particulars of loans given, investments made, guarantees given and securities provided along withthe purpose for which the loan or guarantee or security is proposed to be utilized by the recipient areprovided in the standalone financial statements. Please refer to Notes of the Summary of significantaccounting policies and other explanatory information.


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15. PARTICULARS OF CONTRACTS OR ARRANGEMENTS MADE WITH RELATED PARTIESPURSUANT TO SECTION 188 OF THE COMPANIES ACT, 2013

The Company did not enter into any related party transactions not in the ordinary course of business.

16. ANNUAL RETURN

As required pursuant to Section 92(3) of the Companies Act, 2013 and rule 12(1) of the Companies(Management and Administration) Rules, 2014, an extract of Annual Return in Form MGT 9 is enclosedas a part of this Annual Report as Annexure II

17. STATEMENT OF RISK MANAGEMENT

The Company has adequate internal financial control system in place which operates effectively.According to the Directors of your Company, elements of risks that threaten the existence of yourCompany are very minimal. Hence, no separate Risk Management Policy is formulated.

18. DETAILS OF THE SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS /COURTS / TRIBUNALS IMPACTING THE GOING CONCERN STATUS AND THE COMPANY’SOPERATIONS IN FUTURE

During the year no significant and material orders were passed by the regulators / courts / tribunalsimpacting the going concern status and the company’s operations in future.

19. INFORMATION REQUIRED UNDER SEXUAL HARASSMENT OF WOMEN AT WORKPLACE(PREVENTION, PROHIBITION &REDRESSAL) ACT, 2014

The Company has adopted a policy with the name “Policy On Prevention, Prohibition and Redressalof Sexual Harassment”. The policy is applicable for all employees of the organization

A Complaints Committee has also been set up to redress complaints received on sexual harassmentas required under the Sexual Harassment of Women at Workplace (Prevention, Prohibition &Redressal)Act, 2014. During the Financial Year under review, the Company has not received any complaints ofsexual harassment.

20. STATUTORY AUDITORS

M/s.Walker Chandiok & Co LLP., were appointed as Statutory Auditors of the Company for a periodof 2 years in the Annual General Meeting held on 02.05.2019 till the conclusion of the Annual GeneralMeeting to be held in 2020.

The Auditors have not reported any frauds and there were no qualification(s) in the Auditors report forwhich management is required to reply

The Report given by the Auditors on the financial statements of the Company is part of the AnnualReport


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23. VIGIL MECHANISM

Pursuant to section 177 (9) of Companies Act, 2013, the Company formulated Whistle Blower Policy.

The Whistle Blower Policy / Vigil Mechanism provides a mechanism for the Director / Employee toreport violations without fear of victimisation of any unethical behaviour, suspected or actual fraudetc. which are detrimental to the organisation’s interest. The mechanism protects whistle blower fromany kind of discrimination, harassment, victimisation or any other unfair employment practice.

The Directors and employees in appropriate or exceptional cases will have direct access to theChairman of the Audit Committee.

24. ACKNOWLEDGEMENTS

Your Directors take this opportunity to thank the customers, shareholders, suppliers, bankers, businesspartners / associates, financial institutions and Central and State Governments for their consistentsupport and encouragement to the Company. I am sure you will join our Directors in conveying oursincere appreciation to all employees of the Company and Associates for their hard work andcommitment.


Sd/- Sd/-Dr.Varun Chandraprakash Bhargava Dr. Raajiv Singhal

Managing Director Director& Group CEODIN: 00811414 DIN: 03476950

Place:HyderabadDate:14.08.2019


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ANNEXURE-IANNUAL REPORT ON CSR ACTIVITIES INCLUDED IN THE BOARD'S REPORT

1. A brief outline of the Company's CSR Policy, including overview of projects or programsproposed to be undertaken and a reference to the web-link to the CSR Policy and projects orprograms

A detailed CSR Policy is framed interalia with the following:

• Rural Development Projects

• Promotion of education, including special education ;

• Eradicating extreme hunger, poverty;

• Promoting gender equality and empowering women; and

• Ensuring environmental sustainability and ecological balance

2. The Composition of the CSR Committee

3. Average net profit of the company for last three Financial Years: `7,16,03,420.33/-.

4. Prescribed CSR Expenditure (two per cent of the amount as in item 3 above):`14,32,068.41/-

5. Details of CSR spent during the Financial Yeara. Total amount to be spent for the financial year; `14,32,068.41/-

b. Amount unspent, if any; Nil

c. Manner in which the amount spent during the financial year is detailed below:

(1) (2) (3) (4) (5) (6) (7) (8)

S. CSR sector in Projects or Amount outlay Amount spent Cumulative AmountNo project or which the programs (budget) on the projecs expenditure spent:

activity project is (1) Local area project or or programs up to the Direct oridentified. covered or other programs reporting through

(2) Specify wise Subheads: period. implementingthe State and (1) Direct agencydistrict where expenditure onprojects or projects orPrograms was programs.undertaken (2) Overheads

1 Implementation Sanitation Tripura 14,32,068.41/- 14,32,068.41/- 14,32,068.41/- Throughof safe drinking Implementingwater supply Agencyand sanitationin schools ofTripura


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6. In case the Company has failed to spend the two per cent, of the average net profit of the last threeFinancial Years or any part thereof, the company shall provide the reasons for not spending theamount in its Board report.

Not Applicable

7. A responsibility statement of the CSR Committee that the implementation and monitoring of CSRPolicy, is in compliance with CSR objectives and Policy of the Company.






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ANNEXURE-IIFORM NO. MGT 9

EXTRACT OF ANNUAL RETURNAs on Financial Year ended on 31.03.2019

Pursuant to Section 92 (3) of the Companies Act, 2013 and rule 12(1) of the Company(Management & Administration) Rules, 2014

I. REGISTRATION & OTHER DETAILS1. CIN U85110MH2005PLC150811

2. Registration Date 20/01/2005

3. Name of the Company Ganga Care Hospital Limited

4. Category/Sub-category of the Company Health Care Industry

5. Address of the Registered Office and contact 3 Farmland, Panchsheel Square,details Ramdaspet, Nagpur – 440 010

6. Whether Listed Company No

7. Name, Address & contact detailsof the Registrar & Transfer Agent, if any. Nil

II. PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY (All the business activities contributing 10% or moreof the total turnover of the company shall be stated)

S. No. Name and Description of main NIC Code of the % to total turnoverproducts / services Product/Service of the Company

1 Hospital Services 86100 100

III. PARTICULARS OF HOLDING, SUBSIDIARY AND ASSOCIATE COMPANIES

S. Name and Address of CIN / GLN Holding/ % of ApplicableNo the Company Subsidiary Shares Section

/Associate held

1. Quality Care India Limited U85110AP1992PLC014728 Holding 74.13 2(46)6-3-248/2, Road No1, Banjara HillsHyderabad - 500 034.

IV. SHARE HOLDING PATTERN (Equity Share Capital Breakup as percentage of Total Equity)Category-wise Share Holding

Category of No. of Shares held at the beginning of the year No. of Shares held at the end of the year % ChangeShareholders [As on 01-April-2018] [As on 31-March-2019] During the

Year

Demat Physical Total % of Demat Physical Total % ofTotal Shares Total Shares

A. Promoter(1) Indiana) Individual/ HUF 0 573,500 573,500 4.83 0 573,500 573,500 4.83 0.00b) Central Govt 0 0 0 0.00 0 0 0 0.00 0.00


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c) State Govt(s) 0 0 0 0.00 0 0 0 0.00 0.00d) Bodies Corp. 0 8,794,000 8,794,000 74.13 0 8,794,000 8,794,000 74.13 0.00e) Banks / FI 0 0 0 0.00 0 0 0 0.00 0.00f) Any other 0 0 0 0.00 0 0 0 0.00 0.00Total shareholdingof Promoter (A) 0 9,367,500 9,367,500 78.97 0 9,367,500 9,367,500 78.97 0.00B. Public Shareholding1. Institutions 0 0 0 0.00 0 0 0 0.00 0.00a) Mutual Funds 0 0 0 0.00 0 0 0 0.00 0.00b) Banks / FI 0 0 0 0.00 0 0 0 0.00 0.00c) Central Govt 0 0 0 0.00 0 0 0 0.00 0.00d) State Govt(s) 0 0 0 0.00 0 0 0 0.00 0.00e) Venture Capital Fund 0 0 0 0.00 0 0 0 0.00 0.00f) Insurance Companie 0 0 0 0.00 0 0 0 0.00 0.00g) FIIs 0 0 0 0.00 0 0 0 0.00 0.00h) Foreign VentureCapital Funds 0 0 0 0.00 0 0 0 0.00 0.00i) Others (specify) 0 0 0 0.00 0 0 0 0.00 0.00Sub-total (B)(1):- 0 0 0 0 0 0 0 0 0.002. Non-Institutionsa) Bodies Corp.i) Indian 0 785,000 785,000 6.62 0 785,000 785,000 6.62 0.00ii) Overseas 0 0 0 0.00 0 0 0 0.00 0.00b) Individuals 0.00i) Individual shareholdersholding nominal sharecapital upto `1 lakh 0 193,000 193,000 1.63 0 193,000 193,000 1.63 0.00ii) Individual shareholdersholding nominal sharecapital in excessof `1 lakh 0 1,517,000 1,517,000 12.79 0 1,517,000 1,517,000 12.79 0.00c) Others (specify) 0 0 0 0.00 0 0 0 0.00 0.00Non Resident Indians 0 0 0 0.00 0 0 0 0.00 0.00Overseas Corporate Bodies 0 0 0 0.00 0 0 0 0.00 0.00Foreign Nationals 0 0 0 0.00 0 0 0 0.00 0.00Clearing Members 0 0 0 0.00 0 0 0 0.00 0.00Trusts 0 0 0 0.00 0 0 0 0.00 0.00Foreign Bodies - D R 0 0 0 0.00 0 0 0 0.00 0.00Sub-total (B)(2):- 0 2,495,000 2,495,000 21.03 0 2,495,000 2,495,000 21.03 0.00Total PublicShareholding (B)=(B)(1)+ (B)(2) 0 2,495,000 2,495,000 21.03 0 2,495,000 2,495,000 21.03 0.00C. Shares held byCustodian for GDRs& ADRs 0 0 0 0.00 0 0 0 0.00 0.00Grand Total (A+B+C) 0 11,862,500 11,862,500 100.00 0 11,862,500 11,862,500 100.00 0.00


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B) Shareholding of Promoter

Shareholding of Promoter

S. Shareholder's Name Shareholding at the beginning Shareholding at the end % changeNo of the year of the year in share

holdingduring the

year

No. of % of total %of Shares No. of % of total %of SharesShares Shares Pledged / Shares Shares of Pledged /

of the encumbered the encumberedcompany to total company to total

shares shares

1 Quality Care India Limited 8794000 74.13 0.00 8794000 74.13 0.00 0.00

2 Dr.Varun Chandraprakash Bhargava 238500 2.01 0.00 238500 2.01 0.00 0.00

3 Mr.Lalit Omprakash Agarwal 110000 0.93 0.00 110000 0.93 0.00 0.00

4 Mr.Narayan C. Demble 110000 0.93 0.00 110000 0.93 0.00 0.00

5 Mr.Dilip B.Pacheriwala 110000 0.93 0.00 110000 0.93 0.00 0.00

6 Dr.(Mrs.) Alka Varun Bhargava 5000 0.04 0.00 5000 0.04 0.00 0.00

C) Change in Promoters’ Shareholding (please specify, if there is no change) : NO CHANGE

D) Shareholding Pattern of top ten Shareholders(Other than Directors, Promoters and Holders of GDRs and ADRs)

S For each of the Top 10 Shareholding at the beginning Cumulative ShareholdingNo. Shareholders of the year during the year

No. of % of total No. of % of totalshares shares of the shares shares of the

company company

1 Mr Vinay AgarwalAt the beginning of the year 220000 1.85 220000 1.85change during the year 0 0.00 0 0.00At the end of the year 220000 1.85 220000 1.85

2 Goyal Iron & Steel(Nagpur) Pvt. Ltd.,At the beginning of the year 110000 0.93 110000 0.93change during the year 0 0.00 0 0.00At the end of the year 110000 0.93 110000 0.93

3 Mr.Bhupesh PitahliaAt the beginning of the year 110000 0.93 110000 0.93change during the year 0 0.00 0 0.00At the end of the year 110000 0.93 110000 0.93

4 Sunvijay Rolling & Engg. Ltd.,At the beginning of the year 110000 0.93 110000 0.93change during the year 0 0.00 0 0.00At the end of the year 110000 0.93 110000 0.93


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5 Bahadur AliAt the beginning of the year 110000 0.93 110000 0.93change during the year 0 0.00 0 0.00At the end of the year 110000 0.93 110000 0.93

6 Malu Paper Mills LimitedAt the beginning of the year 110000 0.93 110000 0.93change during the year 0 0.00 0 0.00At the end of the year 110000 0.93 110000 0.93

7 Solar Explosives LimitedAt the beginning of the year 110000 0.93 110000 0.93change during the year 0 0.00 0 0.00At the end of the year 110000 0.93 110000 0.93

8 Asha Lalchand GargAt the beginning of the year 0 0.00 0 0.00change during the year 110000 0.93 110000 0.93At the end of the year 110000 0.93 110000 0.93

9 Mr.Vimal AgarwalAt the beginning of the year 100000 0.84 100000 0.84change during the year 0 0.00 0 0.00At the end of the year 100000 0.84 100000 0.84

10 Mr.Padmesh GuptaAt the beginning of the year 85000 0.72 85000 0.72change during the year 0 0.00 0 0.00At the end of the year 85000 0.72 85000 0.72

E) Shareholding of Directors and Key Managerial Personnel: NO CHANGE

V) INDEBTEDNESS -Indebtedness of the Company including interest outstanding/accrued but not due for payment.

Particulars Secured Loans Unsecured Deposits Totalexcluding deposits Loans Indebtedness

Indebtedness at the beginningof the Financial Yeari) Principal Amount 0 0 0 0

ii) Interest due but not paid 0 0 0 0

iii) Interest accrued but not due 0 0 0 0

Total (i+ii+iii) 0 0 0 0Change in Indebtednessduring the Financial Year* Addition 0 0 0 0

* Reduction 0 0 0 0

Net Change 0 0 0 0Indebtedness at the end ofthe Financial Yeari) Principal Amount 0 0 0 0

ii) Interest due but not paid 0 0 0 0

iii) Interest accrued but not due 0 0 0 0

Total (i+ii+iii) 0 0 0 0


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VI. REMUNERATION OF DIRECTORS AND KEY MANAGERIAL PERSONNEL

A. Remuneration to Managing Director, Whole-time Directors and/or Manager

S. Particulars of Remuneration Name of MD/WTD/ Manager TotalNo. Amount

Dr.Varun C Bhargava, Managing Director

1 Gross salary `15,81,000 `15,81,000

(a) Salary as per provisions contained insection 17(1) of the Income-tax Act, 1961 0 0

(b) Value of perquisites u/s 17(2)Income-tax Act, 1961 0 0

(c) Profits in lieu of salary under section17(3) Income- tax Act, 1961 0 0

2 Stock Option 0 0

3 Sweat Equity 0 0

4 Commission- as % of profit 0 0- others, specify… 0 0

5 Others, please specify NIL NIL

Total (A) `15,81,000 `15,81,000

Ceiling as per the Act `10,820,892

B. Remuneration to other Directors: Nil

S Particulars of Remuneration Name of the Director TotalNo. Amount

1 Independent Directors NIL NIL NIL NIL NIL

Fee for attending Board, Committee Meetings NIL NIL NIL NIL NIL

Commission NIL NIL NIL NIL NIL

Others, please specify NIL NIL NIL NIL NIL

Total (1) NIL NIL NIL NIL NIL

2 Other Non-Executive Directors NIL NIL NIL NIL NIL

Fee for attending Board, Committee Meetings NIL NIL NIL NIL NIL

Commission NIL NIL NIL NIL NIL

Others, please specify NIL NIL NIL NIL NIL

Total (2) NIL NIL NIL NIL NIL

Total (B)=(1+2) NIL NIL NIL NIL NIL

Total Managerial Remuneration NIL NIL NIL NIL NIL

Overall Ceiling as per the Act `10,820,892


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C. REMUNERATION TO KEY MANAGERIAL PERSONNEL OTHER THAN MD/MANAGER/WTD

SNo. Particulars of Remuneration Key Managerial Personnel

CEO CS CFO Total

1 Gross salary NIL NIL NIL NIL

(a) Salary as per provisionscontained in section 17(1) ofthe Income Tax Act, 1961 NIL NIL NIL NIL

(b) Value of perquisites u/s17(2) Income-tax Act, 1961 NIL NIL NIL NIL

(c) Profits in lieu of salary undersection 17(3) Income-tax Act, 1961 NIL NIL NIL NIL

2 Stock Option NIL NIL NIL NIL

3 Sweat Equity NIL NIL NIL NIL

4 Commission NIL NIL NIL NIL- as % of profit NIL NIL NIL NILothers, specify… NIL NIL NIL NIL

5 Others, please specify NIL NIL NIL NIL

Total NIL NIL NIL NIL

VII. PENALTIES / PUNISHMENT/ COMPOUNDING OF OFFENCES

Type Section of Brief Details of Authority Appeal made,the Companies Description Penalty / [RD / NCLT/ if any

Act Punishment/ COURT] (give Details)Compoundingfees imposed

A. COMPANY

Penalty NIL NIL NIL NIL NIL

Punishment NIL NIL NIL NIL NIL

Compounding Section 96 (1) Delay in NIL Regional NIL& 99 Conducting Director,

of Annual West Region,General MaharashtraMeeting

Adjudication Section 203 Appointment ROC NILof Key West Region,

Managerial MaharashtraPersonnel


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B. DIRECTORS



Compounding Section 96 (1) Delay in NIL Regional NIL& 99 Conducting Director,

of Annual West Region,General MaharastraMeeting

Adjudication Section 203 Appointment ROC NILof Key West Region,

Managerial MaharashtraPersonnel

C. OTHER OFFICERS IN DEFAULT



Compounding NIL NIL NIL NIL NIL

Adjudication NIL NIL NIL NIL NIL






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ANNEXURE 3FORM NO. AOC-2

(Pursuant to clause (h) of sub-section (3) of section 134 of the Act and Rule 8(2) of the Companies(Accounts) Rules, 2014)

Form for disclosure of particulars of contracts/arrangements entered into by the company withrelated parties referred to in sub-section (1) of section 188 of the Companies Act, 2013 includingcertain arm’s length transactions under third proviso thereto

1. Details of contracts or arrangements or transactions not at arm’s length basis:

There are no contracts or arrangements or transactions which were not on arm’s length basis

2. Details of material contracts or arrangement or transactions at arm’s length basis:

S.No Description Details of the Contracts

i Name(s) of the related party and nature Mr Vijay Bhargava, Brother of Dr Varun Bhargava,of relationship Managing Director

ii Nature of contracts/arrangements/ Taking premises on Leasetransactions

iii Duration of the contracts / The related party transaction was approved byarrangements/transactions the Audit Committee and Board of Directors

iv Salient terms of the contracts or Taking on lease the premises situated at Plot No 39,arrangements or transactions House No 2790 Ward No 4, Amravathi Road,including the value, if any Wadi, Nagpur at a Lease amount of

`16,500/- ( Rupees Sixteen Thousand andFive Hundered Only) excluding electricity andwater charges with an escalation of 6% peryear on the then existing rent for a period of 5( Five) Years

v Date(s) of approval by the Board, if any 24th November, 2016

vi Amount paid as advances, if any Nil






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Independent “Auditor’s” ReportToThe Members of Ganga Care Hospital Limited

1. We have audited the accompanying financial statements of Ganga Care Hospital Limited (‘theCompany’), which comprise the Balance Sheet as at 31 March 2019, the Statement of Profit and Loss(including Other Comprehensive Income), the Cash Flow Statement and the Statement of Changesin Equity for the year then ended, and a summary of the significant accounting policies and otherexplanatory information.

2. In our opinion and to the best of our information and according to the explanations given to us, theaforesaid financial statements give the information required by the Companies Act, 2013 (‘Act’) in themanner so required and give a true and fair view in conformity with the accounting principles generallyaccepted in India including Indian Accounting Standards (‘Ind AS’) specified under section 133 of theAct, of the state of affairs (financial position) of the Company as at 31 March 2019, and its profit(financial performance including other comprehensive income), its cash flows and the changes inequity for the year ended on that date.

Basis for Opinion

3. We conducted our audit in accordance with the Standards on Auditing specified under section 143(10)of the Act. Our responsibilities under those standards are further described in the Auditor’sResponsibilities for the Audit of the Financial Statements section of our report. We are independent ofthe Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountantsof India (‘ICAI’) together with the ethical requirements that are relevant to our audit of the financialstatements under the provisions of the Act and the rules thereunder, and we have fulfilled our otherethical responsibilities in accordance with these requirements and the Code of Ethics. We believethat the audit evidence we have obtained is sufficient and appropriate to provide a basis for ouropinion.

Information other than the Financial Statements and Auditor’s Report thereon

4. The Company’s Board of Directors is responsible for the other information. The other informationcomprises the information included in the Annual Report, but does not include the financial statementsand our auditor’s report thereon. The Annual Report is expected to be made available to us after thedate of this auditor's report.

Our opinion on the financial statements does not cover the other information and we will not expressany form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other informationidentified above when it becomes available and, in doing so, consider whether the other informationis materially inconsistent with the financial statements or our knowledge obtained in the audit orotherwise appears to be materially misstated.

Walker Chandiok & Co LLP 7th Floor, Block III, White House,Kundan Bagh, Begumpet,

Hyderabad-500 016.


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When we read the Annual Report, if we conclude that there is a material misstatement therein, we arerequired to communicate the matter to those charged with governance.

Responsibilities of Management for the Financial Statements

5. The Company’s Board of Directors is responsible for the matters stated in section 134(5) of the Actwith respect to the preparation of these financial statements that give a true and fair view of the stateof affairs (financial position), profit or loss (financial performance including other comprehensiveincome), changes in equity and cash flows of the Company in accordance with the accounting principlesgenerally accepted in India, including the Ind AS specified under section 133 of the Act. Thisresponsibility also includes maintenance of adequate accounting records in accordance with theprovisions of the Act for safeguarding of the assets of the Company and for preventing and detectingfrauds and other irregularities; selection and application of appropriate accounting policies; makingjudgments and estimates that are reasonable and prudent; and design, implementation andmaintenance of adequate internal financial controls, that were operating effectively for ensuring theaccuracy and completeness of the accounting records, relevant to the preparation and presentationof the financial statements that give a true and fair view and are free from material misstatement,whether due to fraud or error.

6. In preparing the financial statements, management is responsible for assessing the Company’s abilityto continue as a going concern, disclosing, as applicable, matters related to going concern and usingthe going concern basis of accounting unless management either intends to liquidate the Company orto cease operations, or has no realistic alternative but to do so.

7. Those Board of Directors are also responsible for overseeing the Company’s financial reporting process.

Auditor’s Responsibilities for the Audit of the Financial Statements

8. Our objectives are to obtain reasonable assurance about whether the financial statements as a wholeare free from material misstatement, whether due to fraud or error, and to issue an auditor’s reportthat includes our opinion. Reasonable assurance is a high level of assurance, but is not a guaranteethat an audit conducted in accordance with Standards on Auditing will always detect a materialmisstatement when it exists. Misstatements can arise from fraud or error and are considered materialif, individually or in the aggregate, they could reasonably be expected to influence the economicdecisions of users taken on the basis of these financial statements.

9. As part of an audit in accordance with Standards on Auditing, we exercise professional judgment andmaintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the financial statements, whether due tofraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidencethat is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a materialmisstatement resulting from fraud is higher than for one resulting from error, as fraud may involvecollusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit proceduresthat are appropriate in the circumstances. Under section 143(3)(i) of the Act, we are also responsiblefor expressing our opinion on whether the Company has adequate internal financial controls systemin place and the operating effectiveness of such controls.


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• Evaluate the appropriateness of accounting policies used and the reasonableness of accountingestimates and related disclosures made by management.

• Conclude on the appropriateness of management’s use of the going concern basis of accountingand, based on the audit evidence obtained, whether a material uncertainty exists related to events orconditions that may cast significant doubt on the Company’s ability to continue as a going concern. Ifwe conclude that a material uncertainty exists, we are required to draw attention in our auditor’sreport to the related disclosures in the financial statements or, if such disclosures are inadequate, tomodify our opinion. Our conclusions are based on the audit evidence obtained up to the date of ourauditor’s report. However, future events or conditions may cause the Company to cease to continueas a going concern.

• Evaluate the overall presentation, structure and content of the financial statements, including thedisclosures, and whether the financial statements represent the underlying transactions and eventsin a manner that achieves fair presentation.

10. We communicate with those charged with governance regarding, among other matters, the plannedscope and timing of the audit and significant audit findings, including any significant deficiencies ininternal control that we identify during our audit.

Report on Other Legal and Regulatory Requirements

11. As required by section 197(16) of the Act, we report that the Company has paid remuneration to itsdirectors during the year in accordance with the provisions of and limits laid down under section 197read with Schedule V to the Act.

12. As required by the Companies (Auditor’s Report) Order, 2016 (‘the Order’) issued by the CentralGovernment of India in terms of section 143(11) of the Act, we give in the Annexure A, a statement onthe matters specified in paragraphs 3 and 4 of the Order.

13. Further to our comments in Annexure A, as required by section 143(3) of the Act, we report that:

a) we have sought and obtained all the information and explanations which to the best of ourknowledge and belief were necessary for the purpose of our audit;

b) in our opinion, proper books of account as required by law have been kept by the Company sofar as it appears from our examination of those books;

c) the financial statements dealt with by this report are in agreement with the books of account;

d) in our opinion, the aforesaid financial statements comply with Ind AS specified under section133 of the Act;

e) on the basis of the written representations received from the directors and taken on record bythe Board of Directors, none of the directors is disqualified as on 31 March 2019 from beingappointed as a director in terms of section 164(2) of the Act;


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f) we have also audited the internal financial controls over financial reporting (IFCoFR) of theCompany as on 31 March 2019 in conjunction with our audit of the financial statements of theCompany for the year ended on that date and our report dated 14 August 2019 as perAnnexure B expressed unmodified; and

g) with respect to the other matters to be included in the Auditor’s Report in accordance with rule11 of the Companies (Audit and Auditors) Rules, 2014 (as amended), in our opinion and to thebest of our information and according to the explanations given to us:

i. the Company, as detailed in note 4.29 to the financial statements, has disclosed theimpact of pending litigations on its financial position as at 31 March 2019;

ii. the Company did not have any long-term contracts including derivative contracts for whichthere were any material foreseeable losses as at 31 March 2019;

iii. there were no amounts which were required to be transferred to the Investor Educationand Protection Fund by the Company during the year ended 31 March 2019; and

iv. the disclosure requirements relating to holdings as well as dealings in specified banknotes were applicable for the period from 8 November 2016 to 30 December 2016, whichare not relevant to these financial statements. Hence, reporting under this clause is notapplicable.

For Walker Chandiok & Co LLP Chartered AccountantsFirm’s Registration No.: 001076N/N500013

Sd/-Sanjay Kumar JainPartnerMembership No.: 207660UDIN: 19207660AAAACE5317

Place: HyderabadDate: 14 August 2019


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Annexure A to the Independent Auditor’s Report of even date to the members of Ganga Care HospitalLimited, on the financial statements for the year ended 31 March 2019

Based on the audit procedures performed for the purpose of reporting a true and fair view on the financialstatements of the Company and taking into consideration the information and explanations given to us andthe books of account and other records examined by us in the normal course of audit, and to the best of ourknowledge and belief, we report that:

(i) (a) The Company has maintained proper records showing full particulars, including quantitativedetails and situation of property, plant and equipment (PPE).

(b) The property, plant and equipment have been physically verified by the management during theyear and no material discrepancies were noticed on such verification. In our opinion, the frequencyof verification of the property, plant and equipment is reasonable having regard to the size ofthe Company and the nature of its assets.

(c) The Company does not hold any immovable property (in the nature of ‘property, plant andequipment’). Accordingly, the provisions of clause 3(i) (c) of the Order are not applicable.

(ii) In our opinion, the management has conducted physical verification of inventory at reasonable intervalsduring the year and no material discrepancies between physical inventory and book records werenoticed on physical verification.

(iii) The Company has not granted any loan, secured or unsecured to companies, firms, Limited LiabilityPartnerships (LLPs) or other parties covered in the register maintained under Section 189 of the Act.Accordingly, the provisions of clauses 3(iii)(a), 3(iii)(b) and 3(iii)(c) of the Order are not applicable.

(iv) In our opinion, the Company has not entered into any transaction covered under Sections 185 and186 of the Act. Accordingly, the provisions of clause 3(iv) of the Order are not applicable.

(v) In our opinion, the Company has not accepted any deposits within the meaning of Sections 73 to 76of the Act and the Companies (Acceptance of Deposits) Rules, 2014 (as amended). Accordingly, theprovisions of clause 3(v) of the Order are not applicable.

(vi) We have broadly reviewed the books of account maintained by the Company pursuant to the Rulesmade by the Central Government for the maintenance of cost records under sub-section (1) of Section148 of the Act in respect of Company’s products/services and are of the opinion that, prima facie, theprescribed accounts and records have been made and maintained. However, we have not made adetailed examination of the cost records with a view to determine whether they are accurate or complete.

(vii) (a) The Company is regular in depositing undisputed statutory dues including provident fund,employees’ state insurance, income-tax, sales-tax, service tax, duty of customs, duty of excise,value added tax, cess and other material statutory dues, as applicable, to the appropriateauthorities. Further, no undisputed amounts payable in respect thereof were outstanding at theyear-end for a period of more than six months from the date they become payable.

(b) There are no dues in respect of income-tax, sales-tax, service tax, duty of customs, duty ofexcise and value added tax that have not been deposited with the appropriate authorities onaccount of any dispute.


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(viii) The Company has no loans or borrowings payable to a financial institution or a bank or governmentand no dues payable to debenture-holders during the year. Accordingly, the provisions of clause3(viii) of the Order are not applicable.

(ix) The Company did not raise moneys by way of initial public offer or further public offer (including debtinstruments) and did not have any term loans outstanding during the year. Accordingly, the provisionsof clause 3(ix) of the Order are not applicable.

(x) No fraud by the Company or on the Company by its officers or employees has been noticed orreported during the period covered by our audit.

(xi) Managerial remuneration has been paid and provided by the Company in accordance with the requisiteapprovals mandated by the provisions of Section 197 of the Act read with Schedule V to the Act.

(xii) In our opinion, the Company is not a Nidhi Company. Accordingly, provisions of clause 3(xii) of theOrder are not applicable.

(xiii) In our opinion all transactions with the related parties are in compliance with Sections 177 and 188 ofAct, where applicable, and the requisite details have been disclosed in the financial statements etc.,as required by the applicable Ind AS.

(xiv) During the year, the Company has not made any preferential allotment or private placement of sharesor fully or partly convertible debentures.

(xv) In our opinion, the Company has not entered into any non-cash transactions with the directors orpersons connected with them covered under Section 192 of the Act.

(xvi) The Company is not required to be registered under Section 45-IA of the Reserve Bank of India Act,1934.





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Annexure B to the Independent Auditor’s Report of even date to the members of Ganga Care HospitalLimited on the financial statements for the year ended 31 March 2019

Independent Auditor’s Report on the Internal Financial Controls under Clause (i) of Sub-section 3 ofSection 143 of the Companies Act, 2013 (‘the Act’)

1. In conjunction with our audit of the financial statements of Ganga Care Hospital Limited (‘the Company’)as of and for the year ended 31 March 2019, we have audited the internal financial controls overfinancial reporting (‘IFCoFR’) of the Company as at that date.

Management’s Responsibility for Internal Financial Controls

2. The Company’s Board of Directors is responsible for establishing and maintaining internal financialcontrols based on the internal control over financial reporting criteria established by the Companyconsidering the essential components of internal control stated in the Guidance Note on Audit ofInternal Financial Controls over Financial Reporting (‘the Guidance Note’) issued by the Institute ofChartered Accountants of India (‘ICAI’). These responsibilities include the design, implementationand maintenance of adequate internal financial controls that were operating effectively for ensuringthe orderly and efficient conduct of the Company’s business, including adherence to the Company’spolicies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracyand completeness of the accounting records, and the timely preparation of reliable financial information,as required under the Act.

Auditor’s Responsibility

3. Our responsibility is to express an opinion on the Company's IFCoFR based on our audit. We conductedour audit in accordance with the Standards on Auditing issued by the ICAI and deemed to be prescribedunder Section 143(10) of the Act, to the extent applicable to an audit of IFCoFR, and the GuidanceNote issued by the ICAI. Those Standards and the Guidance Note require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whether adequateIFCoFR were established and maintained and if such controls operated effectively in all materialrespects.

4. Our audit involves performing procedures to obtain audit evidence about the adequacy of the IFCoFRand their operating effectiveness. Our audit of IFCoFR includes obtaining an understanding of IFCoFR,assessing the risk that a material weakness exists, and testing and evaluating the design and operatingeffectiveness of internal control based on the assessed risk. The procedures selected depend on theauditor’s judgement, including the assessment of the risks of material misstatement of the financialstatements, whether due to fraud or error.

5. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basisfor our audit opinion on the Company’s IFCoFR.

6. A Company's IFCoFR is a process designed to provide reasonable assurance regarding the reliabilityof financial reporting and the preparation of financial statements for external purposes in accordancewith generally accepted accounting principles. A company's IFCoFR include those policies andprocedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately andfairly reflect the transactions and dispositions of the assets of the Company; (2) provide reasonableassurance that transactions are recorded as necessary to permit preparation of financial statements


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in accordance with generally accepted accounting principles, and that receipts and expenditures ofthe Company are being made only in accordance with authorisations of management and directors ofthe Company; and (3) provide reasonable assurance regarding prevention or timely detection ofunauthorised acquisition, use, or disposition of the Company's assets that could have a materialeffect on the financial statements.

Inherent Limitations of Internal Financial Controls over Financial Reporting

7. Because of the inherent limitations of IFCoFR, including the possibility of collusion or impropermanagement override of controls, material misstatements due to error or fraud may occur and not bedetected. Also, projections of any evaluation of the IFCoFR to future periods are subject to the riskthat the IFCoFR may become inadequate because of changes in conditions, or that the degree ofcompliance with the policies or procedures may deteriorate.

Opinion

8. In our opinion, the Company has, in all material respects, adequate internal financial controls overfinancial reporting and such controls were operating effectively as at 31 March 2019, based on theinternal control over financial reporting criteria established by the Company considering the essentialcomponents of internal control stated in the Guidance Note issued by the ICAI.





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BALANCE SHEET(All amounts are in INR millions, unless otherwise stated)

For Walker Chandiok & Co LLPChartered Accountants For and on behalf of the BoardFirm's registration number: 001076N/N500013Sd/- Sd/- Sd/-Sanjay Kumar Jain Dr. Raajiv Singhal Dr. Varun C. BhargavaPartner Director and Group CEO Managing DirectorMembership No.: 207660 DIN: 03476950 DIN: 00811414UDIN: 19207660AAAACE5317 Sd/- Sd/-

P. Rajani Madhavi DarbhaPlace: Hyderabad Company Secretary Group Chief Financial OfficerDate: 14 August 2019 Membership No.: A30953

Particulars Notes As at As at31 March 2019 31 March 2018

ASSETSA. Non-current assets(a) Property, plant and equipment 4.1 109.55 117.62(b) Financial assets

(i) Loans receivables 4.9 6.88 6.78(ii) Other financial assets 4.2 2.00 2.70

(c) Non-current tax assets (net) 4.3 8.72 10.37(d) Deferred tax assets (net) 4.24(d) 7.53 5.30(e) Other non-current assets 4.4 66.60 60.63Total non-current assets (A) 201.28 203.40B. Current assets(a) Inventories 4.5 5.62 6.00(b) Financial assets(i) Investments 4.6 4.78 4.43(ii) Trade receivables 4.7 49.75 54.93(iii) Cash and cash equivalents 4.8 (a) 49.31 131.35(iv) Bank balances other than (iii) above 4.8 (b) 158.20 11.78(v) Loans receivables 4.9 0.03 0.30(vi) Other financial assets 4.2 11.92 8.45(c) Other current assets 4.4 1.01 1.70Total current assets (B) 280.62 218.94Total assets (A+B) 481.90 422.34EQUITY AND LIABILITIESA. Equity(a) Equity share capital 4.10(a) 118.63 118.63(b) Other equity 4.10(b) 300.91 237.62Total equity (A) 419.54 356.25B. Non-current liabilities(a) Provisions 4.11(b) 6.90 6.93Total non-current liabilities (B) 6.90 6.93C. Current liabilities(a) Financial liabilities(i) Trade payables

- Total outstanding dues of micro enterprises 4.12 - -and small enterprises

- Total outstanding dues of creditors otherthan micro enterprises and small enterprises 32.78 36.76

(ii) Other financial liabilities 4.13 5.33 4.12(b) Other current liabilities 4.14 14.14 14.65(c) Provisions 4.11 3.21 3.63Total current liabilities (C) 55.46 59.16Total liabilities (B+C) 62.36 66.09Total equity and liabilities (A+B+C) 481.90 422.34The accompanying notes are an integral part of these financial statements.This is the Balance Sheet referred to in our report of even date.


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STATEMENT OF PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31 MARCH 2019(All amounts are in INR millions, unless otherwise stated)

For the year ended 31 March Notes 2019 2018

I Revenue from operations 4.15 454.85 427.99II Other income 4.16 13.16 10.83III Total income (I+II) 468.01 438.82IV Expenses

(i) Purchases of medical supplies, drugs andother consumables 93.25 99.90

(ii) Changes in inventories of medical supplies,drugs and other consumables 4.17 0.38 (0.30)

(iii) Employee benefits expense 4.18 57.50 59.27(iv) Other expenses 4.19 208.49 211.93Total expenses (IV) 359.62 370.80

V Earnings before interest, tax, depreciationand amortisation (EBITDA) (III-IV) 108.39 68.02(v) Depreciation expenses 4.20 18.61 16.05

VI Profit before tax 89.78 51.97VII Tax expenses:

(i) Current tax 4.24(a) 29.15 16.22(ii) Tax for earlier year - (0.71)(iii) Deferred tax (2.35) (2.20)Total tax expenses (VII) 26.80 13.31

VIII Profit for the year (V-VI) 62.98 38.66IX Other Comprehensive Income:

(i) Items that will not be reclassified subsequentlyto profit or loss(a) Remeasurement of defined benefit plan 0.43 (0.30)

(ii) Income tax relating to items that will not bereclassified to profit or loss 4.24(b) (0.12) 0.08

Total Other Comprehensive Income (IX) 0.31 (0.22)X Total Comprehensive Income for the year (VIII+IX) 63.29 38.44

Earnings per equity share (EPES) [Nominal valueof share INR 10 (31 March 2018: INR 10)](in absolute terms)

(i) Basic and diluted (in absolute terms) 4.21 5.31 3.26

The accompanying notes are an integral part of these financial statements.This is the Statement of Profit and Loss referred to in our report of even date.




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CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 31, 2019(All amounts are in INR millions, unless otherwise stated)

For the year ended 31 March2019 2018

Cash flows from operating activitiesProfit before tax 89.78 51.97Adjustments for operating activities:- Depreciation 18.61 16.05- Loss on sale of property, plant and equipment (PPE), net 0.15 6.68- Interest income (11.20) (9.30)- Changes in fair value of financial instrument (0.35) (0.29)- Provision for doubtful trade receivables 3.66 3.96Operating profit before working capital changes 100.65 69.07Changes in:Loans receivables 0.17 (0.45)Inventories 0.38 (0.29)Trade receivables 1.52 (0.88)Other financial assets 4.92 0.41Other current assets 0.69 0.53Other non-current assets 1.12 1.60Trade payables (3.98) (5.40)Other current liabilities (0.51) (2.48)Other financial liabilities 1.91 (4.34)Provisions (0.02) (0.09)Cash generated from operations 106.85 57.68Taxes paid (net) (27.50) (24.17)Net cash generated from operating activities (A) 79.35 33.51Cash flow from investing activitiesPurchase of property, plant & equipment (18.53) (48.42)Proceeds from sale of property, plant & equipment 0.05 1.52Interest received 3.51 8.86Investment in deposits, net (146.42) (10.24)Net cash used in investing activities (B) (161.39) (48.28)Net decrease in cash and cash equivalent (A+B) (82.04) (14.77)Cash and cash equivalents, beginning of period 131.35 146.12Closing balance of cash and cash equivalents 49.31 131.35Cash and cash equivalents comprise of: [Refer note 4.8(a)]Cash on hand 0.70 0.58Balances with banks - in current accounts 43.03 95.77Balances with banks in deposit accounts with maturity up to 3 months 5.58 35.00Total cash and cash equivalents 49.31 131.35



The accompanying notes are an integral part of these financial statements.This is the Cash Flow Statement referred to in our report of even date.


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Statement of Changes in Equity for the year ended 31 March 2019(All amounts are in INR millions, unless otherwise stated)

A. Equity share capital

Particulars Note Amount

Balance as at 1 April 2017 118.63Changes in equity share capital during the year 4.10(a) -

Balance as at 31 March 2018 118.63

Changes in equity share capital during the year 4.10(a) -

Balance as at 31 March 2019 118.63

B. Other equity

Particulars Retained earnings Total

Balance as at 1 April 2017 199.18 199.18Profit for the year 38.66 38.66Remeasurement of net defined benefit liability (net of tax) (0.22) (0.22)

Balance as at 31 March 2018 237.62 237.62

Profit for the year 62.98 62.98Remeasurement of net defined benefit liability (net of tax) 0.31 0.31

Balance as at 31 March 2019 300.91 300.91

The accompanying notes are an integral part of these financial statements.This is the Statement of Changes in Equity referred to in our report of even date.

For Walker Chandiok & Co LLPChartered Accountants For and on behalf of the BoardFirm's registration number: 001076N/N500013

Sd/- Sd/- Sd/-Sanjay Kumar Jain Dr. Raajiv Singhal Dr. Varun C. BhargavaPartner Director and Group CEO Managing DirectorMembership No.: 207660 DIN: 03476950 DIN: 00811414UDIN: 19207660AAAACE5317

Sd/- Sd/-P. Rajani Madhavi Darbha

Place: Hyderabad Company Secretary Group Chief Financial OfficerDate: 14 August 2019 Membership No.: A30953


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Summary of significant accounting Policies and other explanatory Information(All amounts in ` unless otherwise stated)

1. Company overview

Ganga Care Hospital Limited (the “Company” or “GCHL”) is head quartered in Nagpur, India and wasincorporated on 25 January 2005 in accordance with the provisions of the erstwhile Companies Act,1956. The Company is primarily engaged in providing healthcare and related services.

The Company has its registered office at #3, Farmland, Panchsheel Square, Wardha Road, Nagpur,Maharashtra - 440012.

The financial statements were approved for issue in accordance with a resolution of the Board ofDirectors on 14 August 2019.

2. Summary of significant accounting policies

a. Basis of preparation

The financial statements of the Company have been prepared and presented in accordance with allthe material aspects of the Indian Accounting Standards (‘Ind AS’) as notified under section 133 ofthe Companies Act 2013 (“the Act”), read with the Companies (Indian Accounting Standards) Rules2015 (issued by the Ministry of Corporate Affairs (‘MCA’)).

The Company has uniformly applied the accounting policies during the periods presented, except forthe adoption of Ind AS 115 with effect from 1 April 2018, which did not have any material impact onthe financial statements of the Company.

The financial statements have been prepared on a going concern basis under historical cost, exceptfor the following:

• certain financial assets and liabilities are measured either at fair value or at amortised costdepending on the classification; and

• employee defined benefit liability are recognised as the net total of the fair value of plan assets,plus actuarial losses, less actuarial gains and the present value of the defined benefit obligation.

The financial statements are presented in INR (Indian National Rupee) and all values are rounded tothe nearest millions, except when otherwise indicated.

Accounting policies have been consistently applied except where a newly issued Accounting Standardis initially adopted or a revision to an existing accounting standard requires a change in the accountingpolicy hitherto in use or for the purpose of better presentation of financial statements. Managementevaluates all recently issued or revised Accounting Standards on an ongoing basis and accordinglychanges the Accounting policies as applicable.

b. Current versus non-current classification

The Company presents assets and liabilities in the Balance Sheet based on current/ non-currentclassification.

An asset is treated as current when it is:


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• Expected to be realised or intended to be sold or consumed in normal operating cycle;

• Held primarily for the purpose of trading;

• Expected to be realised within twelve months after the reporting period; or

• Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at leasttwelve months after the reporting period.

All other assets are classified as non-current.

A liability is current when:• it is expected to be settled in normal operating cycle;

• it is held primarily for the purpose of trading;

• it is due to be settled within twelve months after the reporting period; or

• there is no unconditional right to defer the settlement of the liability for at least twelve months after thereporting period.

All other liabilities are classifed as non-current.

Deferred tax assets and liabilities are classified as non-current assets and liabilities.

The operating cycle is the time between the acquisition of assets for processing and their realisationin cash and cash equivalents. The Company has identified twelve months as its operating cycle.

c. Fair value measurement

The Company measures financial instruments at fair value at each Balance Sheet date.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderlytransaction between market participants at the measurement date. The fair value measurement isbased on the presumption that the transaction to sell the asset or transfer the liability takes placeeither:

• In the principal market for the asset or liability, or

• In the absence of a principal market, in the most advantageous market for the asset or liability

The principal or the most advantageous market must be accessible by the Company.

The fair value of an asset or a liability is measured using the assumptions that market participantswould use when pricing the asset or liability, assuming that market participants act in their economicbest interest.

The Company uses valuation techniques that are appropriate in the circumstances and for whichsufficient data are available to measure fair value, maximising the use of relevant observable inputsand minimising the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the financial statements arecategorised within the fair value hierarchy, described as follows, based on the lowest level input thatis significant to the fair value measurement as a whole:

• Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or liabilities


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• Level 2 - Valuation techniques for which the lowest level input that is significant to the fair valuemeasurement is directly or indirectly observable

• Level 3 - Valuation techniques for which the lowest level input that is significant to the fair valuemeasurement is unobservable

For assets and liabilities that are recognised in the financial statements on a recurring basis, theCompany determines whether transfers have occurred between levels in the hierarchy by re-assessingcategorisation (based on the lowest level input that is significant to the fair value measurement as awhole) at the end of each reporting period.

The Company’s management determines the policies and procedures for both recurring fair valuemeasurement, such as unquoted financial assets measured at fair value, and for non-recurringmeasurement.

External valuers are involved for valuation of significant assets, such as unquoted financial assets,and significant liabilities, such as contingent consideration. Involvement of external valuers is decidedupon annually by the management. Selection criteria include market knowledge, reputation,independence and whether professional standards are maintained.

At each reporting date, the management analyses the movements in the values of assets and liabilitieswhich are required to be re-measured or re-assessed as per the Company’s accounting policies. Forthis analysis, the management verifies the major inputs applied in the latest valuation by agreeing theinformation in the valuation computation to relevant documents.

For the purpose of fair value disclosures, the Company has determined classes of assets and liabilitieson the basis of the nature, characteristics and risks of the asset or liability and the level of the fairvalue hierarchy as explained above.

d. Revenue recognition

The Company has adopted Ind AS 115 - Revenue from Contracts with Customers, using the modifiedretrospective application method, with effect from 1 April 2018 and accordingly these financialstatements are prepared in accordance with the recognition and measurement principles laid down inInd AS 115. The application of Ind AS 115 did not have any significant impact on recognition andmeasurement of revenue and related items in the financial statements of the Company.

Revenue is recognized on satisfaction of performance obligation upon transfer of control of promisedproducts or services to customers in an amount that reflects the consideration the Company expectsto receive in exchange for those products or services.

The Company does not expect to have any contracts where the period between the transfer of thepromised goods or services to the customer and payment by the customer exceeds one year. As aconsequence, it does not adjust any of the transaction prices for the time value of money.

The Company satisfies a performance obligation and recognises revenue over time, if one of thefollowing criteria is met:

• the customer simultaneously receives and consumes the benefits provided by the Company’sperformance as the Company performs; or

• the Company’s performance creates or enhances an asset that the customer controls as theasset is created or enhanced; or


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• the Company’s performance does not create an asset with an alternative use to the Companyand an entity has an enforceable right to payment for performance completed to date.

For performance obligations where one of the above conditions are not met, revenue is recognised atthe point in time at which the performance obligation is satisfied.

Goods and services tax is not received by the Company on its own account. Rather, it is tax collectedby the Company on behalf of the Government. Accordingly, it is excluded from revenue.

Revenue from health care services and related activities

Income from healthcare services is recognised as revenue when the related services are renderedunless significant future uncertainties exists. Revenue is also recognised in relation to the servicesrendered, to the patients who are undergoing treatment/observation on the Balance Sheet date to theextent of services rendered. Revenue is recognised net of discounts and concessions, if any, given tothe patients. Income from other healthcare related activities is recognized as per the terms of thearrangements with the respective customers.

Unbilled receivables and Unearned revenue

Contract assets are recognised when there is excess of revenue earned over billings on contracts.Contract assets are classified as unbilled receivables when there is unconditional right to receivecash, and only passage of time is required, as per contractual terms. Other contract assets havebeen disclosed as contract assets within other assets.

Unearned revenue (“contract liability”) is recognised when there are billings in excess of revenues.The billing schedules agreed with customers could include periodic performance-based paymentsand/or milestone-based progress payments. Invoices are payable within contractually agreed creditperiod. Advances received for services are reported as liabilities until all conditions for revenuerecognition are met.

Contract modifications - Services added that are not distinct are accounted for on a cumulative catchup basis, while those that are distinct are accounted for prospectively, either as a separate contract ifthe additional services are priced at the standalone selling price, or as a termination of the existingcontract and creation of a new contract if not priced at the standalone selling price.

Revenue from sale of pharmacy

Revenue from sale of pharmacy is recognised when control is transferred to the customer and nosignificant uncertainty exists regarding the amount of the consideration that will be derived from thesale of the goods and regarding its collection.

Interest Income

For all debt instruments measured at amortised cost, interest income is recorded using the effectiveinterest rate (EIR). EIR is the rate that exactly discounts the estimated future cash payments orreceipts over the expected life of the financial instrument or a shorter period, where appropriate, tothe gross carrying amount of the financial asset or to the amortised cost of a financial liability. Whencalculating the effective interest rate, the Company estimates the expected cash flows by consideringall the contractual terms of the financial instrument (for example, prepayment, extension, call andsimilar options) but does not consider the expected credit losses. Interest income is included underother income in the statement of profit and loss.


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Dividend Income

Dividend income is recognized when the Company's right to receive dividend is established.

e. Taxes

Current income tax

Current income tax assets and liabilities are measured at the amount expected to be recovered fromor paid to the taxation authorities. The tax rates and tax laws used to compute the amount are thosethat are enacted or substantively enacted, at the reporting date.

Current income tax relating to items recognised outside profit or loss is recognised outside profit orloss (either in other comprehensive income or in equity). Current tax items are recognised in correlationto the underlying transaction either in Other Comprehensive Income (‘OCI’) or directly in equity.Management periodically evaluates positions taken in the tax returns with respect to situations inwhich applicable tax regulations are subject to interpretation and establishes provisions whereappropriate.

Deferred tax

Deferred tax is provided using the liability method Balance Sheet approach on temporary differencesbetween the tax bases of assets and liabilities and their carrying amounts for financial reportingpurposes at the reporting date.

Deferred tax liabilities are recognised for all taxable temporary differences, except when the deferredtax liability arises from the initial recognition of goodwill or an asset or liability in a transaction that isnot a business combination and, at the time of the transaction, affects neither the accounting profitnor taxable profit or loss.

Deferred tax assets are recognised for all deductible temporary differences, the carry forward ofunused tax credits and any unused tax losses. Deferred tax assets are recognised to the extent thatit is probable that taxable profit will be available against which the deductible temporary differences,and the carry forward of unused tax credits and unused tax losses can be utilised, except when thedeferred tax asset relating to the deductible temporary difference arises from the initial recognition ofan asset or liability in a transaction that is not a business combination and, at the time of the transaction,affects neither the accounting profit nor taxable profit or loss.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the yearwhen the asset is realised or the liability is settled, based on tax rates (and tax laws) that have beenenacted or substantively enacted at the reporting date.

The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to theextent that it is no longer probable that sufficient taxable profit will be available to allow all or part ofthe deferred tax asset to be utilised. Unrecognised deferred tax assets are re-assessed at eachreporting date and are recognised to the extent that it has become probable that future taxable profitswill allow the deferred tax asset to be recovered.

Deferred tax relating to items recognised outside profit or loss is recognised outside profit or loss(either in other comprehensive income or in equity). Deferred tax items are recognised in correlationto the underlying transaction either in OCI or directly in equity.


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Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right exists to set offcurrent tax assets against current tax liabilities and the deferred taxes relate to the same taxableentity and the same taxation authority.

Minimum Alternate Tax (MAT) credit is recognised as an asset only when and to the extent it isreasonably certain that the Company will pay normal income tax during the specified period. Suchasset is reviewed at each Balance Sheet date and the carrying amount of the MAT credit asset iswritten down to the extent there is no longer a convincing evidence to the effect that the Company willpay normal income tax during the specified period.

f. Property, plant and equipment (“PPE”)

Capital Work in progress and Property plant and equipment are stated at cost net of accumulateddepreciation and accumulated impairment losses, if any. The cost comprises purchase price (net ofdiscounts and rebates), borrowing costs if capitalization criteria are met and any attributable cost ofbringing the asset to its working condition and location for the intended use. Repairs and maintenancecosts are recognised in profit or loss as incurred.

Depreciation is provided on the basis of straight line method at the useful life and in the mannerprescribed in Schedule II of the Act, except in respect of the following assets wherein based ontechnical assessment made by technical expert and management estimate, the assessed usefullives are determined to be different from those prescribed under the Schedule II of the Act. Managementbelieves that these estimated useful lives are realistic and reflect fair approximation of the period overwhich the assets are likely to be used.

i) Plant and machinery: Useful life is considered to be 13 years. Useful life of each asset is determinedbased on internal technical evaluation.

The useful life provided for different asset classes under Schedule II of the Act is as follows:

Asset class Useful life(years)

Plant and machinery- used in medical and surgical operations 13-15- others 15Furniture and fixtures 10Computer equipment- end user devices 3- servers and networks 6Vehicles 8Office equipment 5

Leasehold improvements are depreciated over the useful life of asset or lease period including therenewal option, whichever is lower.

Depreciation on assets which are available for use during the year is charged on pro -rata basis fromthe date of their availability.


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Capital work-in-progress are not depreciated as these assets are not yet available for use.

An item of property, plant and equipment is derecognised upon disposal or when no future economicbenefits are expected from its use or disposal. Gains or losses arising from de-recognition of a PPEis measured as the difference between the net disposal proceeds and the carrying amount of theasset and are recognised in the Statement of profit and loss (“SPL”) when the asset is derecognised.

The residual values, useful lives and methods of depreciation of Property, plant and equipment arereviewed at each financial year end and adjusted prospectively, if appropriate.

g. Leases

The determination of whether an arrangement is (or contains) a lease is based on the substance ofthe arrangement at the inception of the lease. The arrangement is, or contains, a lease if fulfilment ofthe arrangement is dependent on the use of a specific asset or assets and the arrangement conveysa right to use the asset or assets, even if that right is not explicitly specified in an arrangement.

A lease is classified at the inception date as a finance lease or an operating lease. A lease thattransfers substantially all the risks and rewards incidental to ownership to the Company is classifiedas a finance lease.

A lease which is not a finance lease is classified as an operating lease.

Operating leases - Company as a lessee

Lease rentals are recognized as expense on a straight line basis with reference to lease terms in theSPL except where:

(i) another systematic basis is more representative of the time pattern of the benefit derived from theasset taken; or

(ii) the payments to the lessor are structured to increase in line with expected general inflation tocompensate for the lessor’s expected inflationary cost increases

Contingent rentals are recognised as expenses in the periods in which they are incurred.

h. Inventories

Inventory of medical supplies, drugs, and other consumables are valued at lower of cost or net realizablevalue. Cost of medical supplies and drugs is determined on the basis of specific identification method.Other consumables are valued on the basis of first-in-first-out method. Net realizable value is theestimated selling price in the ordinary course of business, less estimated costs necessary to makethe sale.

Cost of inventories include purchase price, import duties and other taxes excluding taxes those aresubsequently recoverable from the concerned authorities, freight inwards and other expenditureincurred in bringing the inventories to their present location and condition.

i. Impairment of non-financial assets

The Company’s non-financial assets are reviewed at each reporting date to determine whether thereis any indication of impairment. If any such indication exists, then the asset’s recoverable amount isestimated.


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For impairment testing, assets that do not generate independent cash inflows are companied togetherinto cash-generating units (CGUs). Each CGU represents the smallest company of assets thatgenerates cash inflows that are largely independent of the cash inflows of other assets or CGUs.

The recoverable amount of a CGU (or an individual asset) is the higher of its value in use and its fairvalue less costs to sell. Value in use is based on the estimated future cash flows, discounted to theirpresent value using a pre-tax discount rate that reflects current market assessments of the time valueof money and the risks specific to the CGU (or the asset).

An impairment loss is recognised if the carrying amount of an asset or CGU exceeds its estimatedrecoverable amount. Impairment losses are recognised in the statement of profit and loss.

An impairment loss in respect of goodwill is not subsequently reversed. In respect of other assets forwhich impairment loss has been recognised in prior periods, the Company reviews at each reportingdate whether there is any indication that the loss has decreased or no longer exists. An impairmentloss is reversed if there has been a change in the estimates used to determine the recoverableamount. Such a reversal is made only to the extent that the asset’s carrying amount does not exceedthe carrying amount that would have been determined, net of depreciation or amortisation, if noimpairment loss had been recognised.

j. Provision and contingencies

Provisions

Provisions are recognised when the Company has a present obligation (legal or constructive) as aresult of a past event, it is probable that an outflow of resources embodying economic benefits will berequired to settle the obligation and a reliable estimate can be made of the amount of the obligation.

When the Company expects some or all of a provision to be reimbursed, reimbursement is recognisedas a separate asset, but only when the reimbursement is virtually certain. The expense relating to aprovision is presented in the SPL net of any reimbursement.

If the effect of the time value of money is material, provisions are discounted using a current pre-taxrate that reflects, when appropriate, the risks specific to the liability. When discounting is used, theincrease in the provision due to the passage of time is recognised as a finance cost.

Contingencies

Contingent liabilities are identified and disclosed with respect to following:

• a possible obligation that arises from past events and whose existence will be confirmed only by theoccurrence or non-occurrence of one or more uncertain future events not wholly within the control ofthe entity; or

• a present obligation that arises from past events but is not recognised because:

• it is not probable that an outflow of resources embodying economic benefits will be required tosettle the obligation; or

• the amount of the obligation cannot be measured with sufficient reliability.

Contingent assets are neither recognized nor disclosed, unless inflow of economic benefits is probable.However, when realization of income is virtually certain, related asset is recognized.


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k. Employee benefits

Short-term benefits

Short-term employee benefits are accounted for in the period during which the services have beenrendered.

Post-employment benefits and other long term employee benefits

Provident Fund: Retirement benefit in the form of provident fund is a defined contribution scheme.The contributions to the provident fund administered by the Central Government under the ProvidentFund Act, 1952, are charged to the SPL for the year in which the contributions are due. The Companyhas no obligation, other than the contribution payable to the provident fund.

Gratuity: The Company operates a defined benefit gratuity plan in India, which requires contributionsto be made to a separately administered fund. The cost of providing benefits under the defined benefitplan is determined using the projected unit credit method.

Remeasurements, comprising mainly of actuarial gains and losses, are recognised immediately inthe Balance Sheet with a corresponding debit or credit to retained earnings through OCI in the periodin which they occur. Remeasurements are not reclassified to profit or loss in subsequent periods.

Compensated absences: Accrued liability for compensated absences including sick leave isdetermined on actuarial valuation basis using Projected Unit Credit (PUC) Method at the end of theyear and provided completely in profit and loss account as per Ind AS - 19 "Employee Benefits".

l. Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financialliability or equity instrument of another entity.

Financial assets

Initial recognition and measurement

All financial assets are recognised initially at fair value plus, in the case of financial assets not recordedat fair value through profit or loss, transaction costs that are attributable to the acquisition of thefinancial asset.

Subsequent measurementFor purposes of subsequent measurement, financial assets are classified in four categories:

• Debt instruments at amortised cost

• Debt instruments at fair value through other comprehensive income (FVTOCI)

• Debt instruments and equity instruments at fair value through profit or loss (FVTPL)

• Equity instruments measured at fair value through other comprehensive income (FVTOCI)

Debt instruments at amortised cost

A ‘debt instrument’ is measured at the amortised cost if both the following conditions are met:

a) The asset is held within a business model, whose objective is to hold assets for collecting contractualcash flows, and


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b) Contractual terms of the asset give rise on specified dates to cash flows that are solely payments ofprincipal and interest (SPPI) on the principal amount outstanding.

After initial measurement, such financial assets are subsequently measured at amortised cost usingthe effective interest rate (EIR) method. Amortised cost is calculated by taking into account anydiscount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIRamortisation is included in SPL. The losses arising from impairment are recognised in SPL.

Debt instrument at FVTOCI

A ‘debt instrument’ is classified as at the FVTOCI if both of the following criteria are met:

a) The objective of the business model is achieved both by collecting contractual cash flows and sellingthe financial assets, and

b) The asset’s contractual cash flows represent SPPI.

Debt instruments included within the FVTOCI category are measured initially as well as at eachreporting date at fair value. Fair value movements are recognized in the OCI. On de-recognition of theasset, cumulative gain or loss previously recognised in OCI is reclassified from the equity to Statementof Profit and Loss. Interest earned whilst holding FVTOCI debt instrument is reported as interestincome using the EIR method.

Debt instrument at FVTPL

FVTPL is a residual category for debt instruments. Any debt instrument, which does not meet thecriteria for categorization as at amortized cost or as FVTOCI, is classified as at FVTPL.

Debt instruments included within the FVTPL category are measured at fair value with all changesrecognized in the Statement of Profit and Loss.

Equity instruments

All equity investments in scope of Ind-AS 109 are measured at fair value. Equity instruments whichare held for trading are classified as at FVTPL. For all other equity instruments, the Company decidesto classify the same either as at FVTOCI or FVTPL. The Company makes such election on aninstrument-by-instrument basis. The classification is made on initial recognition and is irrevocable.

If the Company decides to classify an equity instrument as at FVTOCI, then all fair value changes onthe instrument, excluding dividends, are recognized in the OCI. There is no recycling of the amountsfrom OCI to Statement of Profit and Loss, even on sale of investment. However, the Company maytransfer the cumulative gain or loss within equity.

De-recognition

A financial asset is primarily derecognised when:

• The rights to receive cash flows from the asset have expired, or

• The Company has transferred its rights to receive cash flows from the asset or has assumed anobligation to pay the received cash flows in full without material delay to a third party under a‘pass-through’ arrangement; and either (a) the Company has transferred substantially all therisks and rewards of the asset, or (b) the Company has neither transferred nor retainedsubstantially all the risks and rewards of the asset, but has transferred control of the asset.


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When the Company has transferred its rights to receive cash flows from an asset or has entered intoa pass-through arrangement, it evaluates if and to what extent it has retained the risks and rewards ofownership. When it has neither transferred nor retained substantially all of the risks and rewards ofthe asset, nor transferred control of the asset, the Company continues to recognise the transferredasset to the extent of the Company’s continuing involvement. In that case, the Company also recognisesan associated liability. The transferred asset and the associated liability are measured on a basis thatreflects the rights and obligations that the Company has retained.

Continuing involvement that takes the form of a guarantee over the transferred asset is measured atthe lower of the original carrying amount of the asset and the maximum amount of consideration thatthe Company could be required to repay.

Impairment of financial assets

In accordance with Ind AS 109, the Company applies expected credit loss (ECL) model formeasurement and recognition of impairment loss on the following financial assets and credit riskexposure:

• Financial assets that are debt instruments, and are measured at amortised cost e.g., loans, receivablesdebt securities, deposits, trade receivables and bank balances.

The Company follows ‘simplified approach’ for recognition of impairment loss allowance on tradereceivables that do not contain a significant financing component.

The application of simplified approach does not require the Company to track changes in credit risk.Rather, it recognises impairment loss allowance based on lifetime ECLs at each reporting date, rightfrom its initial recognition.

For recognition of impairment loss on other financial assets and risk exposure, the Company determinesthat whether there has been a significant increase in the credit risk since initial recognition. If creditrisk has not increased significantly, 12-month ECL is used to provide for impairment loss. However, ifcredit risk has increased significantly, lifetime ECL is used. If, in a subsequent period, credit quality ofthe instrument improves such that there is no longer a significant increase in credit risk since initialrecognition, then the entity reverts to recognising impairment loss allowance based on 12-monthECL.

Lifetime ECL are the expected credit losses resulting from all possible default events over the expectedlife of a financial instrument. The 12-month ECL is a portion of the lifetime ECL which results fromdefault events that are possible within 12 months after the reporting date.

ECL is the difference between all contractual cash flows that are due to the Company in accordancewith the contract and all the cash flows that the entity expects to receive (i.e., all cash shortfalls),discounted at the original EIR. When estimating the cash flows, an entity is required to consider:

• All contractual terms of the financial instrument (including prepayment, extension, call and similaroptions) over the expected life of the financial instrument. However, in rare cases when theexpected life of the financial instrument cannot be estimated reliably, then the entity is requiredto use the remaining contractual term of the financial instrument

• Cash flows from the sale of collateral held or other credit enhancements that are integral to thecontractual terms.


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ECL impairment loss allowance (or reversal) recognized during the period is recognized as income/expense in SPL. The Balance Sheet presentation for various financial instruments is described below:

• Financial assets measured as at amortised cost: ECL is presented as an allowance, i.e., as anintegral part of the measurement of those assets in the Balance Sheet. The allowance reducesthe net carrying amount. Until the asset meets write-off criteria, the Company does not reduceimpairment allowance from the gross carrying amount.

Financial liabilities

Initial recognition and measurement

All financial liabilities are recognised initially at fair value and, in the case of borrowings and payables,net of directly attributable transaction costs.

The Company’s financial liabilities include trade and other payables.

Subsequent measurement

Trade and other payables

These amounts represent liabilities for goods and services provided to the Company prior to the endof financial year which are unpaid. The amounts are unsecured and are usually paid as per agreedterms. Trade and other payables are presented as current liabilities unless payment is not due within12 months after the reporting period. They are recognised initially at their fair value and subsequentlymeasured at amortised cost using the effective interest method.

De-recognition

A financial liability is derecognised when the obligation under the liability is discharged or cancelled orexpires. When an existing financial liability is replaced by another from the same lender on substantiallydifferent terms, or the terms of an existing liability are substantially modified, such an exchange ormodification is treated as the de-recognition of the original liability and the recognition of a new liability.The difference in the respective carrying amounts is recognised in SPL.

Offsetting of financial instruments

Financial assets and financial liabilities are offset and the net amount is reported in the Balance Sheetif there is a currently enforceable legal right to offset the recognised amounts and there is an intentionto settle on a net basis, to realise the assets and settle the liabilities simultaneously.

m. Earnings per share

Basic earnings per share are calculated by dividing the net profit or loss for the period attributable toequity shareholders (after deducting preference dividends and attributable taxes) by the weightedaverage number of equity shares outstanding during the period.

For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributableto equity shareholders and the weighted average number of shares outstanding during the year areadjusted for the effects of all dilutive potential equity shares.

n. Cash flow statement


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The cash flow statement is prepared as per the Indirect Method. Cash Flow Statements present thecash flows by operating, financing and investing activities of the Company. Operating cash flows arearrived by adjusting profit or loss before tax for the effects of transactions of a non- cash nature, anydeferrals or accruals of past or future operating cash receipts or payments, and items of income orexpense associated with investing or financing cash flows.

o. Cash and cash equivalents

Cash and cash equivalent in the Balance Sheet comprise cash at banks and on hand and short-termdeposits with an original maturity of three months or less, which are subject to an insignificant risk ofchanges in value.

p. Investments

Investments are classified as current investments, if the management does not intend to hold theinvestments for more than one year. Investments other than current investments are classified aslong-term investments.

Non-current investments are carried at cost. Provision is made, wherever necessary, for any diminution,other than temporary, in the value of investment.

Current investments represent investments made in mutual funds, the Company has recognisedsuch investments at fair value through profit and loss.

q. Measurement of profit/Earnings before interest, tax, depreciation and amortisation (EBITDA)

The Company has elected to present earnings before interest, tax, depreciation and amortisation(EBITDA) as a separate line item on the face of the Statement of profit and loss.

In its measurement of EBITDA, the Company includes other income but does not include depreciationand amortisation expense, finance cost and tax expense.

r. Significant accounting judgements, estimates and assumptions

(i) Defined benefit plans and other long term benefit plan

The cost and present value of the defined benefit gratuity plan and leave encashment (otherlong term benefit plan) are determined using actuarial valuations. An actuarial valuation involvesmaking various assumptions that may differ from actual developments in the future. Theseinclude the determination of the discount rate, future salary increases and mortality rates. Dueto the complexities involved in the valuation and its long-term nature, a defined benefit obligationand other long term benefits are highly sensitive to changes in these assumptions. Allassumptions are reviewed at each reporting date.

(ii) Useful lives of property, plant and equipment

The Company reviews the estimated useful lives and residual value of property, plant andequipment at the end of each reporting period. The factors such as changes in the expectedlevel of usage, technological developments and product life-cycle, could significantly impactthe economic useful lives and the residual values of these assets. Consequently, the futuredepreciation charge could be revised and thereby could have an impact on the future years.

(iii) Fair value measurement of financial instruments


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When the fair values of financial assets and financial liabilities recorded in the Balance Sheetcannot be measured based on quoted prices in active markets, their fair value is measuredusing valuation techniques including the discounted cash flow (“DCF”) model. The inputs tothese models are taken from observable markets where possible, but where this is not feasible,a degree of judgement is required in establishing fair values.

(iv) Impairment of non-financial assets

Impairment exists when the carrying value of an asset or cash generating unit exceeds itsrecoverable amount, which is the higher of its fair value less costs of disposal and its value inuse. The fair value less costs of disposal calculation is based on available data from bindingsales transactions, conducted at arm’s length, for similar assets or observable market pricesless incremental costs for disposing of the asset. The value in use calculation is based on aDCF model.

(v) Recognition and measurement of provisions

The recognition and measurement of provisions is based on the assessment of the probabilityof an outflow of resources, and on past experience and circumstances known as at the BalanceSheet date. Therefore, the actual outflow of resources at a future date may vary.

(vi) Expected credit loss

The impairment provision for trade receivables is based on assumptions about risk of defaultand expected loss rates. The Company uses judgements in making certain assumptions andselecting inputs to determine impairment of these trade receivables, based on the Company’shistorical experience towards potential billing adjustments, delays and defaults at the end ofeach reporting period.

(vii) Deferred tax assets

Significant management judgment is required to determine the amount of deferred tax assetsthat can be recognised, based upon the likely timing and the level of future taxable profits. Theamount of total deferred tax assets could change if estimates of projected future taxable incomeor if tax regulations undergo a change.

(viii) Income Taxes

Provision for tax liabilities require judgements on the interpretation of tax legislation, developmentsin case law and the potential outcomes of tax audits and appeals which may be subject tosignificant uncertainty.

(ix) Assessment of claims and litigations disclosed as contingent liabilities

There are certain claims and litigations which have been assessed as contingent liabilities bythe Management which may have an effect on the operations of the Company should the samebe decided against the Company.

The Management has assessed that no further provision / adjustment is required to be made in theseFinancial Statements for the above matters, other than what has been already recorded, as theyexpect a favourable decision based on their assessment and the advice given by the external legalcounsels / professional advisors.


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3. Standards issued but not effective

The amendments to standards that are issued, but not yet effective, up to the date of issuance of theCompany’s financial statements are disclosed below. The Company intends to adopt these standards,if applicable, when they become effective.

The Ministry of Corporate Affairs (‘MCA’) has issued the Companies (Indian Accounting Standards)Amendment Rules, 2019 amending the following standard:

a. Ind AS 116 - Leases

On 30 March 2019, the MCA has notified Ind AS 116, Leases. Ind AS 116 would replace existingleases standard, Ind AS 17, Leases and related interpretations. The standard sets out the principlesfor the recognition, measurement, presentation and disclosure of leases for both parties to a contract,i.e. lessor and lessee. Ind AS 116 introduces a single lessee accounting model and requires thelessee to recognise the assets and liabilities for all leases with a term more than twelve months,unless the underlying asset is of low value. Currently operating lease expenses are charged to theStatement of Profit and Loss. The standard also contains enhanced disclosure requirements for lessees.Ind AS 116 substantially carries forward the lessor accounting requirements of Ind AS 17.

The effective date for adoption of Ind AS 116 is annual periods beginning on or after 1 April 2019. Thestandard permits full retrospective and modified retrospective methods for transition purpose. Certainpractical expedients are available under both the methods.

The Company plans to adopt the new standard on the required effective date using modifiedretrospective method. Management is still in the process of reasonably estimating the impact onadoption of Ind AS 116.

b. Ind AS 12, Appendix C, Uncertainty over income tax treatments:

On 30 March 2019, the MCA has notified Ind AS 12, Appendix C, Uncertainty over income taxtreatments which is to be applied while performing the determination of taxable profit or loss, taxbases, unsued tax losses, unused tax credits and tax rates, when there is uncertainty over income taxtreatments under Ind AS 12. According to the Appendix, companies need to determine the probabilityof the relevant tax authority accepting each tax treatment, or group of tax treatments, that the companieshave used or plan to use in their income tax filing which has to be considered to compute the mostlikely amount or the expected value of tax treatment when determining taxable profit or loss, taxbases, unused tax losses, unused tax credits and tax rates.

The effective date for the adoption of Ind AS 12, Appendix C is annual periods beginning on or after1 April 2019. The standard permits full retrospective and modified retrospective methods for transitionpurpose. The Company plans to adopt the Ind AS 12, Appendix C on the required effective date usingmodified retrospective and the impact of such adoption is expected to be insignificant.

c. Amendments to Ind AS 12, Income taxes

On 30 March 2019, the MCA issued the amendments to the guidance in Ind AS 12, Income Taxes, inconnection with accounting for dividend distribution taxes.


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The amendment clarifies that the entity shall recognise the income tax in consequences of dividend inprofit and loss, other comprehensive income or equity according to where the entity originally recognisedthose past events or transactions.

The effective date for application of this amendment is annual period beginning on or after 1 April2019 and the impact of such adoption is expected to be insignificant.

d. Amendment to Ind AS 19, plan amendment, curtailment or settlement

On 30 March 2019, the MCA issued amendments to Ind AS 19, Employee Benefits in connection withaccounting for plan amendments, curtailments and settlements.

The amendments require an entity:

• To use updated assumptions to determine current service cost and net interest for the remainderof the period after a plan amendment, curtailment or settlement and

• To recognise in profit or loss as part of past service cost, or a gain or loss on settlement, anyreduction in a surplus, even if that surplus was not previously recognised because of the impactof asset ceiling.

The effective date for application of this amendment is annual period beginning on or after 1 April2019. The Company has no impact on account of this amendment.


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4.1

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4.2 Other financial assets

Particulars As at As at31 March 2019 31 March 2018

Non current-at amortised cost Unsecured, considered goodFixed deposit towards margin money against bank guarantees 2.00 2.70

2.00 2.70

Current-at amortised costUnsecured, considered goodInterest accrued on fixed deposits with bank 8.13 0.44Unbilled revenue 3.79 8.01

11.92 8.45

4.3 Non-current tax assets (net)


Advance income tax (net of provision for taxation) 8.72 10.37

8.72 10.37

4.4 Other assets


Non-currentUnsecured, considered goodCapital advances:Advances to related parties* 55.37 54.56Others 6.76 0.48Advances other than capital advances:Prepaid expenses 4.47 5.59

66.60 60.63

*Refer note 4.26 for details.

CurrentUnsecured, considered goodAdvances other than capital advances:Prepaid expenses 0.97 0.46Others 0.04 1.24

1.01 1.70

4.5 Inventories


(Valued at lower of cost or net realisable value)Medical supplies and drugs 5.14 5.50Other consumables 0.48 0.50

5.62 6.00


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4.6 Investments


CurrentInvestment in mutual funds (quoted) - at fair value throughprofit and loss (FVTPL)

(a) 176,889 (176,889 as at 31 March 2018) units in IDFC UltraShort Term Fund-Growth-(Direct Plan) 4.73 4.39

(b) 1,390 (1,390 as at 31 March 2018) units in IDFC SuperSaver Income Fund-Medium Term Plan- Growth 0.05 0.04

4.78 4.43

4.7 Trade receivables


CurrentUnsecured, receivables considered good 14.19 21.21Unsecured, receivables with significant increase in credit risk 66.06 60.56

Total receivables 80.25 81.77

Less: Allowance for trade receivables (30.50) (26.84)

Net trade receivables 49.75 54.93

Trade receivables are unsecured and are derived from revenue earned from providing healthcare and other ancillaryservices. No interest is charged on the outstanding balance, regardless of the age of the balance.

In accordance with Ind AS 109, the Company applies Expected Credit Loss (ECL) model for measurement andrecognition of impairment loss towards expected risk of delays and default in collection. The management believesthat there is no further provision required in excess of the allowance for receivable.

The Company uses judgements in making certain assumptions and selecting inputs to determine impairment of thesetrade receivables, based on the Company’s historical experience towards potential billing adjustments, delays anddefaults at the end of each reporting period.

The Company's exposure to credit and loss allowance related to trade receivables are disclosed in Note 4.27(iii)(b)

4.8 Cash and bank balances


a) Cash and cash equivalentsBalances with banks- on current accounts 43.03 95.77- in deposit account (original maturity less than 3 months) 5.58 35.00

Cash on hand 0.70 0.58

49.31 131.35


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b) Other bank balancesDeposits with banks with original maturity of more than3 months and less than 12 months 155.50 10.28Deposit towards margin money against bank guarantee 2.70 1.50

158.20 11.78Total 207.51 143.13

4.9 Loans receivables


Non-currentUnsecured, considered goodSecurity deposits 6.88 6.78

Total 6.88 6.78

CurrentUnsecured, considered goodLoans to employees 0.03 0.30

0.03 0.30

4.10 (a) Share capital


Authorised15,000,000 (15,000,000 as at 31 March 2018) equity sharesof INR 10 each 150.00 150.00

Total authorised share capital 150.00 150.00

Issued, subscribed and fully paid-up11,862,500 (11,862,500 as at 31 March 2018)equity shares of INR 10 each 118.63 118.63

Total issued, subscribed and fully paid-up 118.63 118.63

Notes: (a)Reconciliation of the shares outstanding at the beginning and at the end of the reporting year

Equity shares

As at As at31 March 2019 31 March 2018

Number Amount Number Amount

At the beginning of the year 11,862,500 118.63 11,862,500 118.63

Issued during the year - - - -

Balance at the end of the year 11,862,500 118.63 11,862,500 118.63


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(b) Terms/ rights attached to equity shares

The Company has only one class of equity shares having par value of INR 10 per share. Each holder of equity sharesis entitled to one vote per share. Where dividend is proposed by the Board of Directors, it is subject to the approval ofthe shareholders in the ensuing Annual General Meeting. In the current and previous year, there has been nodividend proposed by the Board of Directors. In the event of liquidation of the Company, the holders of equity shareswill be entitled to receive remaining assets of the company after distribution of all preferential amount. The distributionwill be in proportion to the number of equity shares held by the shareholders.

(c) Equity shares held by the holding company


Number Amount Number Amount

Equity shares of INR 10 each fully paid-up held byQuality Care India Limited 8,794,000 87.94 8,794,000 87.94

(d) Particulars of shareholders holding more than 5% equity shares


Number % of holding Number % of holding

Equity shares of INR 10 each fully paid-up held byQuality Care India Limited 8,794,000 74.13% 8,794,000 74.13%

As per records of the Company, including its registers of shareholders/members and other declaration received fromshareholders regarding beneficial interest, the above shareholding represents both legal and beneficial ownership ofshares.

(e) The Company has not bought back any shares during the period of five years immediately preceding the lastbalance sheet date.

(f) The Company has not issued any bonus shares or shares for consideration other than cash during the periodof five years immediately preceding the last balance sheet date.

4.10 (b) Other equity


Retained earnings - surplus in the statement of profit and lossAt the beginning of the year 237.62 199.18Net profit for the year 62.98 38.66Remeasurement of net defined benefit liability (net of tax)* 0.31 (0.22)

At the end of the year 300.91 237.62

*Remeasurement of net defined benefit liability (net of tax)

The reserves represents the remeasurement gains (losses) arising from the acturial valuation of the defined benefitobligations of the Company. The remeasurement gains/(Losses) are recognised in other comprehensive incomeand accumulated under this reserve within equity. The amounts recognised are not relcassifed to statement of profitand loss.


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4.11 Provisions


Non-currentProvision for employee benefitsGratuity (refer note 4.25(A)) 4.65 4.41Compensated absences 2.25 2.52

6.90 6.93

CurrentProvision for employee benefitsGratuity (refer note 4.25(A)) 2.09 2.01Compensated absences 1.12 1.62

3.21 3.63

4.12 Trade payablesDetails of dues to Micro, Small and Medium Enterprises are as follows:


i) The principal amount and the interest due thereon remainingunpaid to any supplier as at the end of the year; - -

ii) The amount of interest paid by the Company in terms ofSection 16 of the Micro, Small and Medium Enterprises Act(27 of 2006) (MSMED Act), along with the amount of thepayment made to the supplier beyond the appointed dateduring the accounting year; - -

iii) The amount of interest due and payable for the period ofdelay in making payment (which have been paid but beyondthe appointed day during the year) but without adding theinterest specified under MSMED Act, 2006; - -

vI) The amount of interest accrued and remainingunpaid at the end of each accounting year. - -

v) The amount of further interest remaining due and payableeven in the succeeding years, until such date when theinterest dues above are actually paid to the small enterprise,for the purposes of disallowance as a deductibleexpenditure under the section 23 of the MSMED Act, 2006. - -

Explanation - The terms 'appointed day', 'buyer', 'enterprise', 'micro enterprise', ' small enterprise' and 'supplier', shallhave the same meaning assigned to them under clauses (b), (d), (e), (h), (m) and (n) respectively of section 2 of theMicro, Small and Medium Enterprises Development Act, 2006.

This information is required to be disclosed has been determined to the extent such parties have been identified onthe basis of the information available with the Company. Auditors have placed reliance on the information provided bythe Management.


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4.13 Other financial liabilities


CurrentCreditor for capital goods 0.11 0.81Other payables 5.22 3.31

5.33 4.12

4.14 Other current liabilities


Statutory dues payable 3.29 2.99Unearned revenue 10.85 11.66

14.14 14.65

4.15 Revenue from operations Particulars

Particulars For the year ended For the year ended31 March 2019 31 March 2018

Revenue from healthcare services 429.06 400.91Revenue from pharmacy 25.79 27.08

Total 454.85 427.99

The Company has derived 100% of its revenue from operations from locations based out of India. Refer note 4.32 fordetails.

The below table describes reconciliation between gross to net revenues from healthcare services

Particulars For the year ended31 March 2019

Revenue from healthcare services, gross 434.85Less: Disallowances for the year 5.79

Revenue from healthcare services, net 429.06

4.16 Other income Particulars


(a) Interest Income- on financial assets (bank deposits) measured at amortised cost 11.20 9.30

(b) Other non-operating incomeNet gains and losses arising on mutual funds designated at FVTPL 0.35 0.29Miscellaneous income 1.61 1.24

13.16 10.83


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4.17 Changes in inventories of medical supplies, drugs and other consumables


(a) Inventory at the beginning of the year 6.00 5.70(b) Inventory at the end of the year 5.62 6.00Decrease/ (increase) in inventories [(a)-(b)] 0.38 (0.30)

4.18 Employee benefits expense


Salaries, wages and bonus 52.09 52.25Contribution to provident fund (refer note 4.25(f)) 3.35 4.11Gratuity and compensated absences 1.70 2.89Staff welfare expenses 0.36 0.02

57.50 59.27

4.19 Other expenses


Hospital maintenance 4.80 5.05In-house catering charges 2.31 2.56Water charges 0.70 0.65Repairs and maintenance- Buildings 0.83 0.36- Machinery and equipment 5.05 6.78Power and fuel 12.29 11.14Insurance 2.78 1.87Security charges 4.53 3.20Housekeeping service charges 16.42 13.03Diagnostics expenses 9.02 10.30Rent (refer note 4.22) 19.01 19.82Rates and taxes, excluding tax on income 5.25 3.69Travelling and conveyance 0.79 0.93Communication expenses 0.53 0.60Printing and stationery 2.55 2.96Marketing and business promotion 1.39 1.20Legal and professional charges 2.65 1.88Allowance for trade receivables 3.66 3.96Contribution towards Corporate social responsibility (refer note 4.30) 1.40 1.54Payments to the auditor- for audit fee 1.50 0.58- reimbursement of expenses 0.03 0.07Loss on sale of property, plant and equipment 0.15 6.68Professional fees to doctors 109.66 111.37Bank charges 0.89 0.72Miscellaneous expenses 0.30 0.99

208.49 211.93


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4.20 Depreciation expenses


Depreciation on property, plant and equipment (refer note 4.1) 18.61 16.05

18.61 16.05

4.21 Earnings per equity share (EPES) Particulars


EarningsNet profit for the year attributable to equity shareholders (A) 62.98 38.66

SharesNumber shares at the beginning of the year 11.86 11.86

Add: Equity shares issued during the year - -

Total number of equity shares outstandingat the end of the year 11.86 11.86

Weighted average number of equity shares outstanding and

considered in computation of EPES (B) 11.86 11.86

Earnings per share of par value INR 10- Basic and diluted (in absolute terms) (A/B) 5.31 3.26

4.22 Leases: The Company has taken a number of office and hospital buildings under operating leases. The rent paidto the landlord is adjusted as per the escalation clause given in the agreements, and the Company does not have aninterest in the residual value of the buildings. As a result, it was determined that substantially all the risks and rewardsof the buildings are with the landlord and therefore the leases are classified as operating leases.

The total future minimum lease payments under the non-cancellable operating leases are as under:


Not later than one year 14.78 14.59

Later than one year but not later than five years 66.93 69.82

Later than five years 121.87 133.77

203.58 218.18

Amounts recognised in statement of profit and loss


Rent 19.01 19.82


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4.23 Segment Information

Ind AS 108 “Operating Segment” (“Ind AS 108”) establishes standards for the way that public business enterprisesreport information about operating segments and related disclosures about products and services, geographic areas,and major customers. Based on the “management approach” as defined in Ind AS 108, Operating segments are to bereported in a manner consistent with the internal reporting provided to the Chief Operating Decision Maker (CODM).The CODM evaluates the Company’s performance and allocates resources on overall basis. The Company’s soleoperating segment is therefore ‘Medical and Healthcare Services’. Accordingly, there are no additional disclosure tobe provided under Ind AS 108, other than those already provided in the financial statements.

Further the business operation of the Company are concentrated in India, and hence, the Company is considered tooperate only in one geographical segment.

4.24 Income tax

a. Amount recognised in Statement of Profit and Loss


Current tax 29.15 16.22Taxes for earlier years - (0.71)Deferred tax (2.35) (2.20)

Tax expense for the year 26.80 13.31

b. Amount recognised in Other Comprehensive Income


Re-measurement of defined benefit plans- Before tax 0.43 (0.30)

- Tax (expense)/ benefit (0.12) 0.08

- Net of tax 0.31 (0.22)

c. Reconciliation of effective tax rate


Profit before tax 89.78 51.97Enacted tax rates 29.12% 27.55%

Tax expense at enacted rates 26.14 14.32

Tax effect of amounts which are not deductible/ (taxable)in calculating taxable incomeNon-deductible expenses

Impact of change in tax rates 0.43 (0.88)

Adjustments in respect of income-tax for earlier years - (0.71)

Other adjustments 0.23 0.58

Total 26.80 13.31


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d. Recognition of deferred tax assets and liabilities

(i) Deferred tax assets and liabilities are attributable to the following:


Deferred tax assetAllowances for trade receivables 8.88 7.40

Provision for employee benefits 3.57 3.42

Total deferred tax asset 12.45 10.82

Deferred tax liabilityProperty, plant and equipment 4.92 5.52

Total deferred tax liability 4.92 5.52

Deferred tax assets (net) 7.53 5.30

(ii) Movement in temporary differences

Allowances Provision for Property,Particulars for trade employee plant and Total

receivables benefits equipment

Balance as at 1 April 2017 7.56 4.22 (8.76) 3.02Recognised in profit or loss during the year (0.16) (0.88) 3.24 2.20Recognised in OCI during the year - 0.08 - 0.08

Balance as at 31 March 2018 7.40 3.42 (5.52) 5.30

Recognised in profit or loss during the year 1.48 0.27 0.60 2.35Recognised in OCI during the year - (0.12) - (0.12)

Balance as at 31 March 2019 8.88 3.57 (4.92) 7.53

4.25 Employee benefits

Defined benefit plan: The Company operates post-employment defined benefit plan that provide gratuity. The gratuity

plan entitles an employee, who has rendered at least five years of continuous services, to receive one-half month's

last drawn salary for each year of completed services at the time of retirement/exit. The scheme is managed by Life

Insurance Corporation of India. The Company's obligation in respect of gratuity plan, which is a defined benefit plan is

provided for based on actuarial valuation carried out by an independent actuary using the projected unit credit method.

The Company recognizes actuarial gains and loss immediately in the statement of profit and loss. The Company

accrues gratuity as per the provisions of the payment of Gratuity Act,1972 as applicable as at the balance sheet date

and accordingly the maximum payment is restricted to INR 2. (31 March 2018:INR 2)


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A Based on the actuarial valuation obtained in this respect, the following table sets out the status of thegratuity plan and the amounts recognised in the Company's financial statements as at the balance sheetdate:


Defined benefit obligations liability 7.06 6.54

Plan assets 0.32 0.12

Net defined benefit liability 6.74 6.42

Total employee benefit liability 6.74 6.42

Non-current 4.65 4.41

Current 2.09 2.01

B Reconciliation of net defined benefit (assets)liability

The following table shows a reconciliation from the opening balances to the closing balances for net definedbenefit (assets) liability and its components.

i) Reconciliation of present value of defined benefit obligation


Defined benefit obligation at the beginning of the year 6.54 6.69

Benefit payments from plan assets (0.60) (1.89)

Current service cost 1.11 0.99

Interest cost 0.50 0.46

Actuarial (gains)/losses recognised in other comprehensive income

- changes in financial assumptions 0.07 -

- experience adjustments (0.56) 0.29

Defined benefit obligation as at the balance sheet date 7.06 6.54

ii) Reconciliation to fair value of plan assets


Plan assets at beginning of the year 0.12 0.60

Contributions paid into the plan 0.84 1.39

Interest income 0.02 0.03

Benefits paid (0.60) (1.89)

Remeasurement - return on assets (excluding interest income) (0.06) (0.01)

Plan assets at end of the year 0.32 0.12


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C (i) Expenses recognised in Statement of Profit and loss


Current service cost 1.11 0.99Interest on net defined liability/ (asset) 0.48 0.43

Net cost, included in 'employee benefits' 1.59 1.42

C (ii) Remeasurements recognised in Other Comprehensive Income (OCI)


Actuarial (gain) / loss on defined benefit obligation (0.49) 0.29Actual return on plan assets less interest on plan assets 0.06 0.01

Closing amount recognised in OCI outside profit and loss account (0.43) 0.30

D Plan assetsPlan assets comprises of the following:


Fund managed by Insurer 0.32 0.12

E Other disclosuresi) Actuarial assumptionsThe following are the principal actuarial assumptions at the reporting date (expressed as weighted averages):

Principal actuarial assumptions As at As at31 March 2019 31 March 2018

Attrition rate 25.00% 25.00%Discount rate 8.00% 8.00%Salary escalation rate 4.00% 4.00%Retirement age 58 years 58 years

Maturity profile of defined benefit obligation

Particulars INR

1st following year 2.09Year 2 to 5 4.29Year 6 to 9 1.75Year 10 0.23

Notes:a) The estimates of future salary increases, considered in actuarial valuation, take account of inflation, seniority,

promotion and other relevant factors, such as supply and demand in the employment market. The Companyevaluates these assumptions annually based on the long-term plans of growth and industrials standards.

b) Significant actuarial assumption for the determination of the defined obligation are discounted rate, expectedsalary escalation rate and withdrawal rate. The sensitivity analyses below have been determined based onreasonably possible changes of the respective assumption occurring at the end of the reporting period, whileholding all other assumptions constant.


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Discount rate (+ 1% movement) 0.21 0.19

Discount rate (- 1% movement) (0.20) (0.19)

Salary escalation (+ 1% movement) (0.23) (0.22)

Salary escalation (- 1% movement) 0.24 0.22

Attrition rate (+ 1% movement) - (0.01)

Attrition rate (- 1% movement) 0.02 0.02

c) The expected contribution for the Company during the next year is INR 3.37 (31 March 2018: INR 3.20).

F Defined contribution planThe Company’s contribution towards its provident fund is a defined contribution retirement plan for qualifyingemployees. The Company’s contribution to the Employees Provident Fund is deposited with Provident FundCommissioner which is recognised by the Income Tax authorities. Details for the expenditure recognised in thestatement of profit and loss is as below:


Amount recognised in the statement of profit and loss towards

i) Provident fund 3.35 4.11

4.26 Related party disclosure

(a)Parties where control exists or where significant influence exists and with whom transactions have taken placeduring the current year or previous year

Nature of relationship Names

Holding Company Quality Care India Limited

Abraaj Growth Markets Health Fund General

Partner Limited (Ultimate holding company)

- upto 21 June 2019

Evercare Health Fund, L.P. (Cayman) (Ultimate

holding company) - with effect from 21 June 2019

Fellow subsidiary Galaxy Care Multispecialty Hospital Private Limited,

formerly Galaxy Care Laparoscopy Institute

Private Limited (GCLIPL)

Key Management Personnel (KMP) Dr. Varun C. Bhargava

Relatives of KMP Dr. Neha Bhargava Mr. Vijay Bhargava

Dr. Alka Bhargava

Enterprises where KMP exercise significant influence CARE Foundation

Relisys Medical Devices Limited


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(b) The schedule of related party transactions are as follows:

Transaction Details For the year ended For the year ended31 March 2019 31 March 2018

Transactions during the year1. Dr. Varun C. Bhargava

Remuneration * 1.86 1.78

Professional fees 2.12 2.28

2. Dr. Alka BhargavaProfessional fees 1.34 1.81

3. Quality Care India LimitedPurchase of goods - 0.12

Patient receivables - 0.02

Sale of property, plant and equipment - 1.12

Purchase of property, plant and equipment 1.65 0.85

Reimbursement of expenses 0.17 0.87

4. Dr. Neha BhargavaProfessional fees 1.23 0.30

5. Mr. Vijay BhargavaRent 0.17 0.19

6. CARE FoundationProfessional fees 0.36 0.28

7. Relysis Medical Devices LimitedPurchase of medical supplies 1.71 0.38

*does note include post employment benefits and other long-term employee benefits expenditure which are computedfor the Company as a whole.

(c) Balances receivable/(payable)


Balances outstanding from/ to the related partiesQuality Care India Limited 55.37 54.64

CARE Foundation (0.04) 0.04

Galaxy Care Multispecialty Hospital Private Limited - 0.01

Relisys Medical Devices Limited (0.13) (0.14)

Dr. Varun C. Bhargava (0.11) (0.11)

Dr. Neha Bhargava (0.10) (0.08)

Dr. Alka Bhargava (0.07) (0.14)


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4.27 Financial instruments

i) Capital management

The Company's policy is to maintain a strong capital base so as to maintain investor, creditor and market confidenceand to sustain future development of the business. Management monitors the return on capital, as well as the level ofdividends to equity shareholders.

For this purpose, adjusted net debt is defined as total debt less cash and cash equivalents. Adjusted equity comprisesall components of equity.

The aforesaid ratio is not applicable as at 31 March 2019 and 31 March 2018 as the Company does not have debt.

ii) Categories of financial Instruments

Transaction Details For the year ended For the year ended31 March 2019 31 March 2018

Financial assetsMeasured at fair value through profit or loss (FVTPL)Investments - current 4.78 4.43

Measured at amortised costLoans receivables - non-current 6.88 6.78

Other financial assets - non-current 2.00 2.70

Trade receivables- current 49.75 54.93

Cash and cash equivalents 49.31 131.35

Bank balances other than above 158.20 11.78

Loans receivables - current 0.03 0.30

Other financial assets- current 11.92 8.45

Total 282.87 220.72


Financial liabilitiesMeasured at amortised costTrade payables 32.78 36.76

Other financial liabilities- current 5.33 4.12

Total 38.11 40.88

The carrying amount of financial assets and financial liabilities measured at amortised cost in the financial statementsare reasonable approximation of their fair values since the Company does not anticipate that the carrying amountswould be significantly different from the values that would eventually be received or settled. At the end of the reportingperiods, there are no significant concentrations of financial instruments designated at FVTPL.

iii) Financial risk management

The Company’s activities expose it to a variety of financial risks: credit risk, liquidity risk and market risk.


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a) Risk management framework

The Company's Board of Directors have overall responsibility for the establishment and oversight of theCompany's risk management framework. The Board of Directors are responsible for developing and monitoringthe Company's risk management policies.

The Company’s risk management policies are established to identify and analyse the risks faced by the Company,to set appropriate risk limits and controls to monitor risks and adherence to limits. Risk management policiesand systems are reviewed regularly to reflect changes in market conditions and Company’s activities. TheCompany, through its training and management standards and procedures, aims to maintain a disciplined andconstructive control environment in which all the employees understand their roles and obligations.

b) Credit Risk

Credit risk is the risk that the counterparty will not meet its obligation under a financial instrument or customercontract, leading to financial loss. The credit risk arises principally from its operating activities (primarily tradereceivables) and from its investing activities, including deposits with banks and other financial instruments. Thecarrying amounts of financial assets represent the maximum credit risk exposure.

Credit risk is controlled by analysing credit limits to whom credit has been granted after obtaining necessaryapprovals for credit. The collection from the trade receivables are monitored on a continuous basis by thereceivables team. The Company takes due care while extending any credit. Refer note 4.7 for further details.

The Company establishes an allowance for credit loss that represents its estimate of expected losses in respectof trade and other receivables based on the past and the recent collection trend. The maximum exposure tocredit risk as at reporting date is primarily from trade receivables amounting to INR 80.25 as on 31 March 2019(31 March 2018 : INR 81.77). The movement in allowance for credit loss in respect of trade receivables duringthe year was as follows:

Allowance for credit losses As at As at31 March 2019 31 March 2018

Opening balance 26.84 22.88Credit loss added, net 3.66 3.96

Closing balance 30.50 26.84

Financial assets that are neither past due nor impaired

None of the Company's cash equivalents, including fixed deposits, were either past due or impaired as at 31 March2019.

Financial assets that are past due but not impaired

The Company's credit period for customers generally ranges from 0-90 days. The aging of trade receivables that arepast due but not impaired is given below:


Not due 14.19 21.21Past due not impaired:0 - 180 days 25.58 26.29Greater than 180 days 9.98 7.43

49.75 54.93


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Ind AS requires expected credit losses to be measured through a loss allowance. The Company assesses at eachBalance Sheet date whether a financial asset or a group of financial assets are impaired. Expected credit losses aremeasured at an amount equal to 12 months expected credit loss or at an amount equal to the life time expected creditlosses if the credit risk on the financial assets have increased significantly since the initial recognition. The Companyhas used a practical expedient by computing the expected credit loss allowance for trade receivables based on aprovision matrix. The provision matrix takes into account historical credit loss experience and adjusted for forward-looking information.

No single customer accounted for more than 10% of the revenue as of 31 March 2019 and 31 March 2018. There isno significant concentration of credit risk.

Credit risk on cash and cash equivalent is limited as the Company generally transacts with banks and financialinstitutions with high credit ratings assigned by international and domestic credit rating agencies.

c) Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financialliabilities that are settled by delivering cash or another financial asset. The Company’s approach to managing liquidityis to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under bothnormal and stressed conditions, without incurring unacceptable losses or risking damage to the Company’s reputation.

The table below provides details regarding the undiscounted contractual maturities of significant financialliabilities as of 31 March 2019:

1 - 2Particulars Less than 1 year years 3 - 5 years More than 5 years TotalTrade payables 32.78 - - - 32.78

Other financial liabilities 5.33 - - - 5.33

Total 38.11 - - - 38.11

The table below provides details regarding the undiscounted contractual maturities of significant financialliabilities as of 31 March 2018:

1 - 2Particulars Less than 1 year years 3 - 5 years More than 5 years TotalTrade payables 36.76 - - - 36.76

Other financial liabilities 4.12 - - - 4.12

Total 40.88 - - - 40.88

d) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because ofchanges in market prices. Considering the nature of the Company's financial instruments, the Company isexposed to interest rate risk.

i) Interest rate risk exposure

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate becauseof changes in market interest rates. The Company's investments in deposits and mutual funds are with banksand reputed financial institutions and significantly with electricity authorities and therefore do not expose theCompany to significant interest rates risk.


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The exposure of the Company’s financial assets on interest rate changes at the end of the reporting period areas follows:


Fixed rate instrumentsFinancial assets 172.69 53.86

172.69 53.86

Variable rate instruments

Financial assets - investment in mutual funds 4.78 4.43

4.78 4.43

4.28 Fair value measurement

i) Fair value of the Company’s financial assets and financial liabilities that are measured at fair value on a recurringbasis.

Particulars Valuation technique and key input Fair value Fair value as at (in 7)hierarchy As at As at

31 March 31 March2019 2018

Financial assets Based on the net asset value (‘NAV’) asstated by the issuers of these mutualfund units in the published statements

Investment in as at balance sheet date.mutual funds (quoted prices in active market) Level 2 4.78 4.43

There was no transfer between Level 1, Level 2 and Level 3 in the period.

ii) Financial assets measured at amortised cost

The carrying amount of financial assets and financial liabilities measured at amortised cost in the financialstatements are a reasonable approximation of their fair values since the Company does not anticipate that thecarrying amounts would be significantly different from the values that would eventually be received or settled.


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4.29 Contingent liabilities and commitments

(a) Contingent liabilities


i) Pending litigations

Claims against the Company not acknowledged as debts:

Patient legal claims* 9.29 18.58

*In respect of above matters, future cash outflows in respect of contingent liabilities are determinable only by theoccurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company.

ii) During February 2019, the Supreme Court of India issued a judgement which provided further guidance forcompanies in determining which components of their employees’ compensation are subject to statutorywithholding obligations, and matching employer contribution obligations, for Provident Fund contributions underIndian law. There are numerous interpretative issues relating to this judgement. However, the Company hasmade a provision on a prospective basis from the date of the Supreme Court’s judgement. The Company willevaluate the same and update its provision, if any on receiving further clarity on the subject.

b) Commitments


Capital commitments 6.78 2.02

Future lease obligations under non-cancellablelease arrangement (refer note 4.22) 203.58 218.18

4.30 Corporate Social responsibility

As per section 135 of the Companies Act, 2013 and rules therein, the Company is required to spend at least 2% ofaverage net profit of past three years towards Corporate Social Responsibility (CSR). Details of corporate socialresponsibility expenditures as certified by Management are as follows:


a) Gross amount required to be spent bythe Company during the year 1.43 1.54

b) Amount spent during the year(i) Construction/acquisition of any assets - -(ii) On purpose other than (i) abovePromoting preventive healthcare 1.40 1.54

4.31 The Company has not complied with the provisions of sections 92, 96, 129 and 137 of the Act with respect toconducting its Annual General Meeting (‘AGM’), laying of its financial statements in such AGM, submission offinancial statements and annual return with the Registrar of the Companies for the year ended 31 March 2018within the stipulated timelines. The Company has filed application with the relevant appropriate authorities forcompounding of such non-compliances with the Act. The management is of the view that the impact of suchnon-compliances including compounding as provided under the Act would not be material to the financialstatements.


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4.32 Unearned revenue

The effect of initially applying Ind AS 115 on the Company's revenue from contracts with customers is describedin Note 2. Due to transition method chosen in applying Ind AS 115, comparative information has not beenrestated to reflect the new requirements.

A Unearned revenue

The following table discloses the movement in the unearned revenue during the year ended 31 March 2019:

For the year ended31 March 2019"

Balance at the beginning of the year 11.66

Revenue recognised during the year 11.66

Invoiced during the year 10.85

Balance at the end of the year 10.85

B Remaining performance obligations

The remaining performance obligation disclosure provides the aggregate amount of the transaction price yet tobe recognized as at the end of the reporting period and an explanation as to when the Company expects torecognize these amounts in revenue. Unsatisfied or partially satisfied performance obligations are subject tovariability due to several factors such as termination, changes in contract scope, re-validation of estimates andeconomic factors.

The aggregate value of performance obligations that are completely or partially unsatisfied as of 31 March 2019is INR 1.85. The Company expects to recognize 100% of this revenue within the next one year. This includescontracts that can be terminated for convenience without a substantive penalty since, based on currentassessment, the occurrence of the same is expected to be remote.

This is the summary of significant accounting policies and other explanatory information referred to in our reportof even date.

For Walker Chandiok & Co LLPChartered Accountants For and on behalf of the BoardFirm's registration number: 001076N/N500013

Sd/- Sd/- Sd/-Sanjay Kumar Jain Dr. Raajiv Singhal Dr. Varun C. BhargavaPartner Director and Group CEO Managing DirectorMembership No.: 207660 DIN: 03476950 DIN: 00811414UDIN: 19207660AAAACE5317

Sd/- Sd/-P. Rajani Madhavi Darbha

Place: Hyderabad Company Secretary Group Chief Financial OfficerDate: 14 August 2019 Membership No.: A30953


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GANGA CARE HOSPITAL LIMITEDCIN : U85110MH2005PLC150811

Regd.Office: 3 Farmland, Panchsheel Square, Ramdaspet, Nagpur - 440 010.

ATTENDANCE SLIP

I/we hereby record my/our presence at the fourteenth Annual General Meeting held on Thursday, the 19thday of September 2019 at 5:00 P.Mat Conference Hall of CARE Hospital, 3 Farmland, Panchsheel Square,Ramdaspet, Nagpur – 440 010

Name of the Shareholder/Proxy* No. of Shares Held _______________

SIGNATURE OF THESHAREHOLDER/PROXY*

FOLIO NO. CLIENT ID: DP ID:

*Strike out whichever is not applicable

Notes: 1. Shareholder/Proxy intending to attend the meeting must bring the duly signed Attendance Slipto the Meeting and handover at the entrance

2. Shareholder/Proxy should bring his/her copy of the Annual Report.3. No Gifts/Gift Coupons will be distributed at the Annual General Meeting.


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GANGA CARE HOSPITAL LIMITEDCIN : U85110MH2005PLC150811

Regd.Office: 3 Farmland, Panchsheel Square, Ramdaspet, Nagpur - 440 010.

FORM No. MGT - 11

PROXY FORM(Pursuant to Section 105(6) of the Companies Act, 2013 and Rule 19(3) of the Companies

(Management and Administration) Rules, 2014)

Name of the Member(s) Regd. Address:

Regd. Folio No.: *DP ID:

No. of Shares held: *Client ID:

I/we, being member(s) of ________________________________ share of the above named Company hereby appoint

1. ____________________ of __________________________ E-mail ID: ___________________ or failing him/her

2. ____________________________ of ________________________ E-mail ID: _____________________________

and whose signatures are appended below as my/our proxy to attend and vote, in case of a poll for me/us and on my/our behalf at the Fourteenth Annual General Meeting held on Thursday, the 19th day of September 2019 at 5:00 P.Mat Conference Hall of CARE Hospital, 3 Farmland, Panchsheel Square, Ramdaspet, Nagpur – 440 010

Notes: 1. The poxy in order to be effective should be duly stamped, completed and signed and must be deposited at the Registeredoffice of the Company not less than 48 hours before the time for holding the aforesaid meeting.

2. The Proxy need not be a member of the Company

*Applicable for investors holding shares in Electronic Form

Signed this ____________________________________ day of ________________ 2019

Signature of member __________________ Signature of proxy holder ________________

Ordinary Business

1. To receive, consider and adopt the Balance Sheet as at 31st March 2019 and Statement ofProfit & Loss account of the Company for the year ended on that date together with the Reportof the Auditors’ and Directors’ thereon.

2. To appoint a Director in place of Mr. Sandeep Kumar (DIN : 08122549), who retires by rotationand being eligible, offers himself for re-appointment.

Special Business

3. Appointment of Dr. Raajiv Singhal (DIN: 03476950) as Director of the Company

4. Appointment of Mr. Andrew Kenneth Currie (DIN:08120177) as Director of the Company

5. Appointment of Mr. Ashokkumar Ramswaroop Agrawal (DIN: 00082564) as Director of theCompany

6. Appointment of Mr Lalitkumar Agrawal Omprakash (DIN: 00921037) as Director of the Company

7. Appointment of Mr. Mahadevan Narayanamoni (DIN: 07128788) as Director of the Company

Sl.No. Resolutions VoteFor Against

AffixRevenueStamp

[email protected], www.carehospitals.com

CARE Hospitals, Nampally

Banjara Hills

Guru Nanak CARE Hospitals, Musheerabad

Exhibition Grounds Road, NampallyHyderabad – 500001. Tel: +91-40-30417777

1-4-908/7/1, MusheerabadHyderabad – 500020Tel: +91-40-30219000/9111/3123

CARE Hospitals, Banjara Hills

CARE Outpatient Centre,

CARE Hospitals, Secunderabad.

CARE Clinics, Srinagar Colony

CARE Hospitals, Hi-Tech City

Road No. 1, Banjara Hills, Hyderabad – 500034Tel: +91-40-30418888

Road No. 10, Banjara Hills, Hyderabad – 500034Tel: +91-40-39310444

Market Street, Near Clock TowerSecunderabad – 500003. Tel: +91-40-30114500

H.No.8-3-1101/1, Plot No.105A, Beside MCHPark, Srinagar Colony, Hyderabad-500 073.Ph.040-30629431/31

Old Mumbai Highway, Near Cyberabad PoliceCommissionerate, Hyderabad – 500032Tel:+91-40-33623500 - 3999

CARE Hospitals, Bhubaneswar

CARE Hospitals, Vizag-I

CARE Hospitals, Vizag-II

Vizag-III

Ramkrishna CARE Hospitals, Raipur

Plot No. 324, Unit No. 42Chandrasekharpur, Bhubaneswar – 751016Phone: +91-40-0674-3021999

A S Raja Complex, Waltair Main Road,Ramnagar ,Visakhapatnam – 530002.Tel: +91-891-3041444

17-1-1, KGH Road, MaharanipetaVisakhapatnam – 530002.Tel: +91-0891-3067000

Aurobindo Enclave, Pachpedhi Naka, DhamtariRoad, NH 43, Raipur – 492001, ChhattisgarhTel: +91-771-3003300/12

CARE Hospitals,

CARE Hospitals, Nagpur

Galaxy CARE Hospital, Pune

3 Farmland, Panchsheel Square, RamdaspethWardha Road, Nagpur – 420012Tel: +91-712-3982222

25-A Karve Road, Pune – 411004Tel: +91-20-30244100

43-9-201, SLV Arcade, Sreekanya Theatre,Railway New Colony, Visakhapatnam – 530016Tel: +91-0891-3068300

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