Categories Forwards The Glenmark Mystery Post author By Raoji Post date August 3, 2016 3 Comments on The Glenmark Mystery (Source:Got this as a WhatsApp Forward) Share this:FacebookLinkedInTwitterWhatsAppEmail ← Linkfest: August 03,2016 → Tata Technologies to acquire Defense Companies 3 replies on “The Glenmark Mystery” frm Consolidated AR from Reserves I found following Exchange Fluctuation reserve -1143.377 -830.955 -583.898 -359.471 -210.29 -141.926 which is abt 3100 crs Now also see PL frm 2010 Profit & Loss Account Balance 2320.892 1671.018 2699.598 2266.948 1764.014 1339.912 1420.5673 – which is 13000 crs ??? very interesting !!!!! sharp eye Am i right? A. Currency Translation Reserve in crs (change from previous year) 2016: 313 2015: 247 2014:229 2012:149 2012:69 Total: 1002 B. Retained earnings in crores (change from previous year) 2015: 665 2015: 403 2014: 443 2013: 502 2012:365 Total: 2378 Total: (A+B): 1072+2378=3450 C. Net Profit in Crs 2016: 701 2015: 475 2014: 545 2013: 623 2012:464 2011: 457 Total: 3265 still a difference of 185 crores though. From a Motilal Oswal report: Net worth under IFRS declines on migration to IGAAP * INR6.4b writes down in value of assets while transiting from IGAAP to IFRS in FY11 * In FY11, the company, under the option given by the SEBI, voluntarily adopted the IFRS reporting standards. *Upon migration, as permitted, the company recognized assets (some of which were revalued at fair market value) and liabilities based on first-time adoption principles of IFRS and adjusted the net decline in the value of assets (~INR6.4b) against the reserves *The company also voluntarily presented consolidated figures under IFRS for FY16. * On account of this move, as at 2QFY16, management in the concall highlighted the following: -Intangible assets reduced by INR3.8b as IGAAP does not allow indefinite life and amortization that were due in the intervening period from FY11 to FY15. – Deferred tax asset reduced by INR3.9b. – Intangible assets lowered by INR3.4b. This was on account of revaluation of tangible assets, which was done on the basis of fair value derived at the transition from IGAAP to IFRS. Fair value of these assets was available for the organization for including in revaluation reserves. * Over FY11-FY16, we note that the company had IGAAP net worth of INR23.6b, which just increased to INR30.6b despite raising INR9.4b by dilution of equity Leave a Reply Cancel replyYour email address will not be published. Required fields are marked *Comment Name * Email * Website Notify me of follow-up comments by email. Notify me of new posts by email.