The Arch Pharmalabs Limited Consolidated Financial Statements for the period 01/04/2022 to 31/03/2023 reflect a consolidated report. All monetary values are listed in Lakhs of INR unless otherwise specified.
**General Company Information:**
* The company is named Arch Pharmalabs Limited, and its Corporate Identity Number is U24231MH1993PLC150891. The Permanent Account Number is AACCM0306Q.
* The registered office is located at Unit 101/104, Hyde Park, Saki Vihar Road, Opp. Ansa Industrial Estate, Andheri (E) Mumbai, Maharashtra, India 400072.
* The company operates in the Commercial Industrial sector and employed 1,120 individuals at the end of the fiscal year. No sustainability report was published for the financial year.
* The financial statements cover a 12-month period from 01/04/2022 to 31/03/2023 and are consolidated. They are presented in INR (Indian Rupees) and rounded to the nearest lakh, utilizing the indirect method for cash flow statements.
**Auditor's Report:**
* The auditor is Neha C Shah & Associates, with Neha Chandrakant Shah signing the report (firm registration number 147435W, membership number 138596), with an address in Mumbai. The auditor's permanent account number is BJQPS1905L. The SRN of form ADT-1 is F56290646. The audit report and balance sheet were signed on 11/12/2023.
* The auditor's report contains qualifications. The auditor's report order is not applicable to the company.
* Qualifications include the non-provision of interest on borrowings amounting to Rs. 1,439.70 Lakhs, overstating the profit for the year and understating accumulated interest provision. There was also payment of managerial remuneration of Rs. 129.33 Lakhs in contravention of Sections 196 & 197 of The Companies Act, 2013. The Holding Company has not obtained Actuarial Valuation for Employee’s benefit i.e. Leave Encashment as mandated by AS 15. The company does not have a woman director as per section 149 of Companies Act, 2013 and the composition of Audit Committee of the Holding Company is not in compliance with the provisions of Section 177 of the Companies Act, 2013.
* The audit opinion is qualified, except for the effects of matters described in the Basis for Qualified Opinion paragraph.
**Key Audit Matters:**
* Loans/Guarantees to Related Party: The Holding Company has outstanding receivable from related parties amounting Rs.467.84 Lakhs in respect of loans advances and guarantees given by it to third parties on behalf of related parties amounting Rs. 16,405.60 Lakhs prior to commencement of The Companies Act, 2013.
* Deposits: The Holding Company has given various deposits in the normal course of business over a period of time. The auditors cannot comment on the reliability of the same.
* Short Term Loans and Advances: In subsidiary Arch Lifescience Private Limited, short term loans and advances are given to related parties of Rs.549.63 Lakhs, out of which Rs.484.46 Lakhs are outstanding since long and realisability cannot be commented on. In subsidiary Arch Finechemicals Limited, Rs.919.16 Lakhs are given to related parties and Rs.337.51 Lakhs to various other parties including strike off Company showing of Rs.150.24 Lakhs for which amount is not written off / provision not made. Realisability for other parties are also doubtful.
**Financial Statement Highlights:**
* Equity and Liabilities: Shareholders' funds include Share capital (Rs. 15,648.08 Lakhs) and Reserves and surplus (Rs. 65,763.04 Lakhs).
* Assets: Non-current assets include Tangible assets (Rs. 81,029.13 Lakhs) and Non-current investments (Rs. 1,306.12 Lakhs).
**Share Capital Details:**
* Shareholding: Arch Impex Private Limited, JM Financial Asset Reconstruction Company Limited, and Arch Pharmachem Ltd held more than 5% of the company's shares.
**Cash Flow Statement (Indirect):**
* Net cash flows from operating activities: Rs. 4,249.32 Lakhs
* Net cash flows from investing activities: Rs. -139.3 Lakhs
* Net cash flows from financing activities: Rs. -4,109.53 Lakhs
**Notes on Share Capital:**
* The company issued and allotted 45,57,692 equity shares on preferential allotment/private placement basis by way of non-cash consideration
**Reserves and Surplus:**
* Statement of changes in reserves is provided.
**Borrowings:**
* Details are provided for both Long-term and Short-term borrowings, secured and unsecured, along with nature of security and guarantees
**Tangible Assets:**
* Details of tangible assets are provided, including gross carrying amount, accumulated depreciation, and carrying amount.
**Additional Disclosures**
* Disclosures related to leases, government grants, employee benefits, expenses, and financial risks were also provided.
* The report includes commentary on ratio analysis, compliance, and various other regulatory requirements
This summary captures the key financial data and insights from the provided document, but it is essential to consult the original document for full details and context.
