1. Corporate information

Bharti Airtel Limited (‘the Company’) is domiciled and incorporated in India as a limited liability company with its shares being listed on the National Stock Exchange and the Bombay Stock Exchange. The registered office of the Company is situated at Bharti Crescent, 1, Nelson Mandela Road, Vasant Kunj, Phase - II, New Delhi - 110070.

The Company is principally engaged in provision of telecommunication services in India. The details as to the services provided by the Company are further provided in Note 31. For details as to the group entities, refer Note 32.

2. Critical accounting estimates, assumptions and judgements

The estimates and judgements used in the preparation of the said financial statements are continuously evaluated by the Company, and are based on historical experience and various other assumptions and factors (including expectations of future events), that the Company believes to be reasonable under the existing circumstances. The said estimates and judgements are based on the facts and events, that existed as at the reporting date, or that occurred after that date but provide additional evidence about conditions existing as at the reporting date.

Although the Company regularly assesses these estimates, actual results could differ materially from these estimates - even if the assumptions under-lying such estimates were reasonable when made, if these results differ from historical experience or other assumptions do not turn out to be substantially accurate. The changes in estimates are recognised in the financial statements in the period in which they become known.

2.1 Critical accounting estimates and assumptions

The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying values of assets and liabilities within the next financial year are discussed below.

a. Property, plant and equipment

Refer Note 2.6 and 6 for the estimated useful life and carrying value of property, plant and equipment respectively.

During the year ended March 31, 2017, the Company has reassessed useful life of certain categories of network assets due to technological developments and accordingly has revised the estimate of its useful life in respect of those assets. Out of these assets, the additional depreciation charge of Rs.2,920 on assets for which the revised useful life has expired by March 31, 2016 has been recognised and disclosed as ‘exceptional items’ and additional depreciation charge of Rs.6,276 for other assets has been recognised within ‘Depreciation and amortisation’. The impact of above change on the depreciation charge for the future years is as follows:

b. Allowance for impairment of trade receivables The expected credit loss is mainly based on the ageing of the receivable balances and historical experience. The receivables are assessed on an individual basis or grouped into homogeneous groups and assessed for impairment collectively, depending on their significance. Moreover, trade receivables are written offon a case-to-case basis if deemed not to be collectible on the assessment of the underlying facts and circumstances

c. Contingencies

Refer Note 22 for details of contingent liabilities.

2.2 Critical judgements in applying the Company’s accounting policies

The critical judgements, which the management has made in the process of applying the Company’s accounting policies and has the most significant impact on the amounts recognised in the said financial statements, is discussed below:

Multiple element contracts with vendors The Company has entered into multiple element contracts for supply of goods and rendering of services. In certain cases, the consideration paid is determined independent of the value of supplies received and services availed. Accordingly, the supplies and services are accounted for based on their relative fair values to the overall consideration. The supplies with finite life under the contracts have been accounted under Property Plant and Equipment and / or as Intangible assets, since the Company has economic ownership in these assets and represents the substance of the arrangement.

Arrangement containing lease

The Company assesses the contracts entered with telecom operators / passive infrastructure services providers to share tower infrastructure services so as to determine whether these contracts that do not take the legal form of a lease convey a right to use an asset or not. The Company has determined, based on an evaluation of the terms and conditions of the arrangements, that such contracts are in the nature of leases. Most of these leases are classified as operating unless the term of the agreement is for the major part of the estimated economic life of the leased asset, which is accounted for as finance lease.

3. Standards issued but not effective until the date of authorisation for issuance of the said financial statements

The new Standards, amendments to Standards that are issued but not yet effective until the date of authorisation for issuance of the said financial statements are discussed below. The Company has not early adopted these amendments and intends to adopt when they become effective.

Ind AS 102, ‘Share based payments’

In March 2017, MCA issued amendments to Ind AS 102 pertaining to measurement of cash-settled share based payments, classification of share-based payments settled net of tax withholdings and accounting for modification of a share based payment from cash-settled to equity-settled method.

The amendments are applicable to annual periods beginning on or after April 1, 2017 with early adoption permitted. The Company does not expect that the adoption of the amendments will not have any significant impact on the said financial statements.

Ind AS 7, ‘Statement of cash flows’

In March 2017, MCA issued amendments to Ind AS 7, which requires certain additional disclosures to be made for changes in liabilities / assets arising from financial activities on account of non-cash transaction such as effect of changes in foreign exchange rates, fair values and others.

The amendments are applicable to annual periods beginning on or after April 1, 2017 with early adoption permitted. The Company will be providing the requisite disclosure in its statement of cash flows.

4. Significant transactions / new developments

(i) During the year ended March 31, 2017, the Company has been allotted 155.60 MHz spectrum across 1800/2100/2300 MHz. Consequently, the Company has paid amount of Rs.67,764 upfront and opted the deferred payment option for Rs.66,764.

(ii) The Scheme of Arrangement (‘Scheme’) under Sections 391 to 394 of the Companies Act, 1956 with respect to the amalgamation of Airtel Broadband Services Private Limited (‘ABSPL) with the Company, was approved by the Hon’ble High Court of Bombay in 2014. Department of Telecommunications (‘DoT’) had given its approval for taking on record the merger of ABSPL with the Company, subject to certain conditions as stipulated in the letter. One of the conditions of merger requires payment of Rs.4,361, equal to the difference between the entry fee for Unified Access Service License and Internet Service Provider License. The Hon’ble Telecom Disputes Settlement and Appellate Tribunal (‘TDSAT’) vide its interim order in 2015 has allowed the Company to operationalise the spectrum subject to the company paying a sum of Rs.4,361 along with interest as may be determined by the Tribunal, in case the petition fails.

Further, during the year ended March 31, 2016, the Company had entered into a definitive agreement for acquisition of Augere Wireless Broadband Private Limited (‘AWBPL). On June 7, 2016, on fulfillment of the relevant closing conditions the transaction has been consummated. The Scheme of Arrangement (‘Scheme’) under Sections 391 to 394 of the Companies Act, 1956 with respect to the amalgamation of AWBPL with the Company was approved by the Hon’ble High Court of Delhi.

The Company has filed the Scheme with Registrar of Companies (‘ROC’) on April 9, 2015 and February 15, 2017 which are the effective date and appointed date of merger for ABSPL and AWBPL respectively Accordingly, these entities have ceased to exist and have merged with the Company. Accordingly, entire assets (Rs.64,837 and Rs.1,536 - mainly pertains to PPE & CwIp of Rs.4,843 and IUD of Rs.55,689), liabilities (Rs.8,890 and Rs.323 - mainly pertains to borrowings of Rs.5,396 and capex payable of Rs.2,582) and the differential value of equity in the respective entity books have been recognised by the Company as the date of the transaction at same carrying values as in the books of ABSPL and AWBpL respectively. The difference of Rs.8,599 and Rs.445 between the share capital and the carrying values of investment in ABSPL and AWBPL in the books of the Company has been adjusted with business restructuring reserve and general reserve respectively.

(iii) During the year ended March 31, 2017, Bharti Infratel Limited (‘BIL), a subsidiary of the Company has bought back its 47,058,823 shares against a consideration of Rs.425 per share. Out of which the Company has tendered 29,101,272 shares and received the consideration of Rs.12,368 and accordingly, the excess of proceeds (net of associated costs, taxes and levies) over the cost of investment amounting to Rs.1,687 has been recognised as gain and disclosed as other income.

(iv) During the year ended March 31, 2017, the Company has sold 400,000,000 shares in BIL, against a consideration aggregating to Rs.130,000 and accordingly the excess of cost of investment over the proceeds (net of associated costs, taxes and regulatory levies) amounting to Rs.25,375 has been recognised as loss under exceptional items. Subsequent to the transaction, the shareholding of the Company in BIL has reduced to 50.3%.

(v) During the year ended March 31, 2017, the Company has entered into an agreement to sell the investment in subsidiaries Bharti Airtel International (Netherlands) B.V. (‘BAIN’), Bharti International (Singapore) Pte Ltd (‘BISPL) and Bharti Airtel International (Mauritius) Limited (‘BAIML’) to its wholly owned subsidiary Network i2i Limited. However, sale of investment in BISPL is subject to certain customary closing conditions, hence has not been consummated. The same has been classified as assets-held-for-sale. Accordingly, the excess of cost of investment over sales consideration, amounting to Rs.118,582 and Rs.14,906 pertaining to BAIN / BAIML and BISPL respectively has been recognised as loss under exceptional items.

(vi) During the year ended March 31, 2017, the Company has entered into a scheme of amalgamation for the merger of Telenor (India) Communication Private Limited with the Company and definitive agreement to acquire 100% equity stake in Tikona Digital Networks. The said transactions are subject to requisite regulatory approvals and other closing conditions.

(vii) During the year ended March 31, 2017, Bharti Telemedia Limited, a subsidiary of the Company, has allotted 475 shares to the Company against a consideration of Rs.4,750.

(viii) During the year ended March 31, 2017, the Company has entered into a definitive agreement with Aircel Limited and its subsidiaries Dishnet Wireless Limited and Aircel cellular Limited, to acquire rights to use spectrum in the 2300 MHz band for seven circles against a consideration of Rs.34,840. The Company has received the requisite approvals for the transfer of right to use the spectrum and accordingly the spectrum has been recorded in the books.

(ix) During the year ended March 31, 2016, the Company had entered into a definitive agreement with Videocon Telecommunications Limited to acquire rights to use spectrum in the 1800 MHz band for six circles against a consideration of Rs.46,530. During the year ended March 31, 2017, the Company has received the requisite approvals for the transfer of right to use the spectrum and accordingly the spectrum has been recorded in the books.

5. Property, plant and equipment (‘PPE’)

The following table presents the reconciliation of changes in the carrying value of PPE and capital work-in-progress for the year ended March 31, 2017 and 2016:

The following table presents the reconciliation of changes in the carrying value of intangible assets and intangible assets under development for the year ended March 31, 2017 and 2016:

@ Mainly pertains to gross block and accumulated amortisation of license (including spectrum) and software whose useful life has expired.

Weighted average remaining amortisation period of license as of March 31, 2017, March 31, 2016 and April 1, 2015 is 16.85, 17.53 and 17.37 years, respectively.

During the year ended March 31, 2017 and 2016 the Company has capitalised borrowing cost of Rs.2,748 and Rs.1,937 respectively. Addition in intangible assets under development mainly pertains to Spectrum.

The Company uses foreign exchange option contracts, swap contracts, forward contracts and interest rate swaps to manage some of its transaction exposures.

Embedded derivative

The Company entered into agreements denominated / determined in foreign currencies. The value of these contracts changes in response to the changes in specified foreign currencies. Some of these contracts have embedded foreign currency derivatives having economic characteristics and risks that are not closely related to those of the host contracts. These embedded foreign currency derivatives have been separated and carried at fair value through profit or loss.

Other advances represent payments made to various Government authorities under protest and are disclosed net of provision (refer Note 19).

Taxes recoverable primarily include customs duty, excise duty, service tax and sales tax. Non-current tax recoverable represents service tax recoverable on spectrum beyond one year period.

Advance to Suppliers are disclosed net of provision of Rs.1,092, Rs.2,056 and Rs.3,003 as of March 31, 2017, 2016 and April 1, 2015, respectively.

Others primarily include employee receivables which principally consist of advances given for business purpose.

a. Terms/rights attached to equity shares

The Company has only one class of equity shares having par value of Rs.5 per share. Each holder of equity shares is entitled to cast one vote per share.

b. Details of shareholders (as per the register of shareholders) holding more than 5% shares in the Company

c. Shares held by Bharti Airtel Welfare Trust against employee share-based payment plans (face value of Rs.5/- each)

d. Dividend paid and proposed

The proposed dividend is subject to approval at annual general meeting and hence has not been recognised as liability.

During the year ended March 31, 2017 and 2016, the Company has availed tax credit of Rs.1,087 and Rs.1,807 respectively, on account of dividend distribution tax on dividend received from subsidiary companies.

6.1 Analysis of borrowings

The details given below are gross of debt origination cost.

6.1.1 Repayment terms of borrowings

The table below summarises the maturity profile of the Company’s borrowings based on contractual undiscounted payments.

The borrowings of Rs.265, Rs.3,024 and Rs.Nil outstanding as of March 31, 2017, March 31, 2016 and April 1, 2015, comprising bank overdraft facilities from banks which are repayable on demand. The borrowings of Rs.601,577, Rs.452,029 and Rs.215,552 outstanding as of March 31, 2017, March 31, 2016 and April 1, 2015, comprising various loans, are repayable in total 368, Nil and Nil monthly installments, 586, 732 and 842 half yearly installments, 36, 20 and 15 yearly installments, 11, 1 and Nil bullet installments, and finance lease obligation of Rs.2,097, Rs.1,951 and Rs.144 in total 85, 84 and 15 yearly quarterly and monthly installments.

6.1.2 Interest rate and currency of borrowings

The below details do not necessarily represents foreign currency or interest rate exposure to the statement of profit and loss, since the Company has taken derivatives for offsetting the foreign currency & interest rate exposure. For foreign currency and interest rate sensitivity, refer Note 33.

6.2 Unused lines of credit *

The below table provides the details of un-drawn credit facilities that are available to the Company

‘Others’ include payable to Qualcomm Asia Pacific Pte. Limited of Rs.4,104 towards purchase of balance equity shares upon satisfaction of certain conditions as per the share purchase agreement for acquisition of erstwhile Airtel Broadband Services Private Limited (formerly known as Wireless Business Services private Limited)

7 Provisions

The movement of provision toward Asset retirement obligations is as below:

Due to large number of lease arrangements of the Company, the range of expected period of outflows of provision for asset retirement obligation is significantly wide.

Refer Note 24 for movement of provision towards employee benefits.

8 Contingent liabilities and commitments

(i) Contingent liabilities

Claims against the company not acknowledged as debt:

Further, refer Note f(iv), f(v) and f(vi) below for other DoT matter.

The category wise detail of the contingent liability has been given below:-

a) Sales and Service Tax

The claims for sales tax comprised of cases relating to the appropriateness of declarations made by the Company under relevant sales tax legislations which were primarily procedural in nature and the applicable sales tax on disposals of certain property and equipment items. Pending final decisions, the Company has deposited amounts under protest with statutory authorities for certain cases.

The service tax demands relate to cenvat claimed on tower and related material, levy of service tax on SIM cards and employee talk time, cenvat credit disallowed for procedural lapses and usage in excess of 20% limit.

b) Income Tax demand

Income tax demands mainly include the appeals filed by the Company before various appellate authorities against the disallowance by income tax authorities of certain expenses being claimed, non-deduction of tax at source with respect to dealers / distributor’s margin and payments to international operators for access charges.

c) Access charges (Interconnect Usage Charges) / Port charges

(i) Despite the interconnect usage charges (‘IUC’) rates being governed by the Regulations issued by Telecom Regulatory Authority of India (‘TRAI’); BSnL had raised a demand for IUC at the rates contrary to the regulations issued by TRAI in 2009. Accordingly, the Company filed a petition against the demand with the TDSAT which allowed payments by the Company based on the existing regulations. The matter was then challenged by BSNL and is currently pending with the Hon’ble Supreme Court.

(ii) The Hon’ble TDSAT allowed BSNL to recover distance based carriage charges. The private telecom operators have jointly filed an appeal against the said order and the matter is currently pending before the Hon’ble Supreme Court.

(iii) BSNL challenged before TDSAT the port charges reduction contemplated by the regulations issued by TRAI in 2007 which passed its judgment in favour of BSNL. The said judgment has been challenged by the private operators in Hon’ble Supreme Court. Pending disposal of the said appeal, in the interim, private operators were allowed to continue paying BSNL as per the revised rates i.e. TRAI regulation issued in 2007, subject to the bank guarantee being provided for the disputed amount. The rates were further reduced by TRAI in 2012 which was challenged by BSNL before the Hon’ble Delhi High Court. The Hon’ble Delhi High Court, in the interim, without staying the rate revision, directed the private operators to secure the difference between TRAI regulation of 2007 and 2012 rates by way of bank guarantee pending final disposal of appeal.

d) Customs Duty

The custom authorities, in some states, demanded custom duty for the imports of special software. The view of the Company is that such imports should not be subject to any custom duty as it is operating software exempt from any custom duty. In response to the application filed by the Company, the Hon’ble Central Excise and Service Tax Appellate Tribunal (‘CESTAT’) has passed an order in favour of the custom authorities. The Company has filed an appeal with Hon’ble Supreme Court against the CESTAT order.

e) Entry Tax

In certain states, an entry tax is levied on receipt of material from outside the state. This position has been challenged by the Company in the respective states, on the grounds that the specific entry tax is ultra vires the Constitution. Classification issues have also been raised, whereby, in view of the Company, the material proposed to be taxed is not covered under the specific category.

During the year ended March 31, 2017, the Hon’ble Supreme Court of India upheld the constitutional validity of entry tax levied by few States. However, Supreme Court did not conclude certain aspects such as present levies in each State is discriminatory in nature or not, leaving them open to be decided by regular benches of the Courts. Pending disposition by the regular benches, the Company has decided to maintain status-quo on its position and hence continued to disclose it as contingent liability

f) DoT Demands

(i) DoT demands include Demand for license fees pertaining to computation of Adjusted Gross Revenue (‘AGR’) and the interest thereon, due to difference in its interpretation. The definition of AGR is sub-judice and under dispute since 2005 before the TDSAT. However, the Hon’ble High Courts vide interim orders in 2012 had permitted the Company to continue paying license fee on similar basis as the Company has been paying throughout the period of the license. Further, TDSAT had pronounced its judgment in 2015, quashed all demands raised by DoT and directed DoT to rework the demands basis the principles enunciated in its judgment. Subsequently, the Union of India (‘UOI’) and the Company along with various other operators have filed appeals / cross appeals before the Hon’ble Supreme Court of India against the TDSAT judgment. In 2016, all the appeals were tagged together and Hon’ble Supreme Court has permitted DoT to raise demands with a direction not to enforce any demand till the final adjudication of the matter by Hon’ble Supreme Court. Accordingly, DoT has raised the demand basis special audit done by DoT and Comptroller and Auditor General of India. The contingent liability includes such demand and interest thereto (excluding certain contentious matters, penalty and interest thereto) for the financial year 2006-07, 2007-08, 2008-09 and 2009-10.

(ii) DoT demands also include the contentious matters in respect of subscriber verification norms and regulations including validity of certain documents allowed as proof of address / identity

(iii) Penalty for alleged failure to meet certain procedural requirements for EMF radiation self-certification compliance.

The matters stated above are being contested by the Company and based on legal advice, the Company believes that it has complied with all license related regulations and does not expect any financial impact due to these matters.

In addition to the amounts disclosed in the table above, the contingent liability on DoT matters includes the following:

(iv) Post the Hon’ble Supreme Court Judgment in 2011, on components of AGR for computation of license fee, based on the legal advice, the Company believes that the foreign exchange gain should not be included in AGR for computation of license fee thereon. Further as per TDSAT judgement in 2015, foreign exchange fluctuation does not have any bearing on the license fees. Accordingly, the license fee on foreign exchange gain has not been provided in the financial statements. Also, due to ambiguity of interpretation of ‘foreign exchange differences’, the license fee impact on such exchange differences is not quantifiable. Further as stated in point (i) above, the interpretation as to the components of AGR (including the above component) is subject to litigation and the Hon’ble High Courts vide interim orders in 2012 had permitted the Company to continue paying license fee on similar basis as the Company has been paying throughout the period of the license. The matter is currently pending adjudication of the matter by Hon’ble Supreme Court.

(v) On January 8, 2013, DoT issued a demand on the Company for Rs.51,353 towards levy of one time spectrum charge. The demand includes a retrospective charge of Rs.8,940 for holding GSM Spectrum beyond 6.2 MHz for the period from July 1, 2008 to December 31, 2012 and also a prospective charge of Rs.42,413 for GSM spectrum held beyond 4.4 MHz for the period from January 1, 2013, till the expiry of the initial terms of the respective licenses.

In the opinion of the Company, inter-alia, the above demand amounts to alteration of financial terms of the licenses issued in the past. Based on a petition filed by the Company the Hon’ble High Court of Bombay vide its order dated January 28, 2013, has directed the DoT to respond and not to take any coercive action until the next date of hearing. The DoT has filed its reply and the next date of hearing is awaited. The Company, based on independent legal opinions, till date has not given any effect to the above demand.

(vi) DoT had issued notices to the Company (as well as other telecom service providers) to stop provision of services (under 3G Intra Circle Roaming (‘ICR’) arrangements) in the service areas where such service providers had not been allocated 3G Spectrum and levied a financial penalty of Rs.3,500 on the Company. The Company contested the notices and upon various rounds of litigations, in response to which TDSAT in 2014 held 3G ICR arrangements to be competent and compliant with the licensing conditions and quashed the notice imposing penalty. The DoT has challenged the order of TDSAT before the Hon’ble Supreme Court which is yet to be listed for hearing.


Guarantees outstanding as of March 31, 2017, March 31, 2016 and April 1, 2015 amounting to Rs.123,614, Rs.99,911 and Rs.101,379, respectively have been issued by banks and financial institutions on behalf of the Company. These guarantees include certain financial bank guarantees which have been given for subjudice matters and in compliance with licensing conditions, the amount with respect to these have been disclosed under capital commitments, contingencies and liabilities, as applicable, in compliance with the applicable accounting standards.

(ii) Commitments

Capital commitments

Estimated amount of contracts to be executed on capital account and not provided for (net of advances) Rs.69,623, Rs.45,115 and Rs.274,832 (including Rs.Nil, Rs.10,970 and Rs.244,040 towards spectrum) as of March 31, 2017, March 31, 2016 and April 1, 2015, respectively.

Lease Commitments

a) Operating Lease

As per the agreements maximum obligation on longterm non-cancellable operating leases are as follows:

The escalation clause includes escalation ranging from 0 to 25%, includes option of renewal from 1 to 15 years and there is no restrictions imposed by lease arrangements.

As lessor

(i) The Company has entered into non-cancellable lease arrangements to provide dark fiber on indefeasible right of use (‘IRU’) basis. Due to the nature of the transaction, it is not possible to compute gross carrying amount, depreciation for the year and accumulated depreciation of the asset given on operating lease as of March 31, 2017 and accordingly disclosures required by Ind AS-17 are not provided.

The expected life of the stock options is based on the Company’s expectations and is not necessarily indicative of exercise patterns that may actually occur. The expected volatility reflects the assumption that the historical volatility over a period similar to the expected life of the options is indicative of future trends, which may not necessarily be the actual outcome. Further, the expected volatility is based on the weighted average volatility of the comparable benchmark companies.

Due to its defined benefit plans, the Company is exposed to the following significant risks:

Changes in bond yields - A decrease in bond yields will increase plan liability.

Salary risk - The present value of the defined benefit plans liability is calculated by reference to the future salaries of the plan participants. As such, an increase in the salary of the plan participants will increase the plan’s liability.

The above sensitivity analysis is determined based on a method that extrapolates the impact on the net defined benefit obligations, as a result of reasonable possible changes in the significant actuarial assumptions. Further, the above sensitivity analysis is based on a reasonably possible change in a particular under-lying actuarial assumption, while assuming all other assumptions to be constant. In practice, this is unlikely to occur, and changes in some of the assumptions may be correlated.

‘Other finance charges’ include bank charges, trade finance charges, charges relating to derivative instruments and interest charges towards sub judice matters.

9 Non-operating expense

Non-operating expense comprises regulatory levies applicable to finance income.

10 Exceptional Items

Exceptional items comprise of the following:

(i) For the year ended March 31, 2017:

a. Charge of Rs.2,396 towards operating costs (including accelerated depreciation) on network re-farming and up-gradation program.

b. Charge of Rs.2,920 resulting from reassessment of the useful life of certain categories of network assets of the Company due to technological advancements. (Refer Note 3.1 (a))

c. Net charge aggregating to Rs.7,506 pertaining to regulatory levies related assessment / provisions, settlement of tax related contingent liability and reconciliation of balances.

d. Loss of Rs.159,886 pertains to internal restructuring and divestment. (Refer Note 5 (v))

(ii) For the year ended March 31, 2016:

a. Charge for regulatory fee provisions of Rs.2,659 arising out of re-assessment of certain positions.

b. Charge of Rs.4,140 towards operating costs (including accelerated depreciation) on network refarming and up-gradation program.

Tax expense includes:

(a) Tax benefit of Rs.5,864 and Rs.2,243 for the year ended March 31, 2017 and 2016, respectively on above exceptional items.

(b) Tax benefit of Rs.1,892 during the year ended March 31, 2017 on account of reassessment of tax provisions.

11 Earnings per share (‘EPS’)

The followings is a reconciliation of the equity shares used in the computation of basic and diluted earnings per equity share:

12 Segment Reporting

The Company’s operating segments are organised and managed separately through the respective business managers, according to the nature of products and services provided with each segment representing a strategic business unit. These business units are reviewed by the Chairman of the Company (Chief Operating Decision Maker - ‘CODM’).

The amounts reported to CODM are based on the accounting principles used in the preparation of financial statements as per Ind AS. Segment’s performance is evaluated based on segment revenue and segment result viz. profit or loss from operating activities before exceptional items and tax. Accordingly, finance costs / income, non - operating expenses and exceptional items are not allocated to individual segment.

Inter-segment pricing and terms are reviewed and changed by the management to reflect changes in market conditions and changes to such terms are reflected in the period in which the changes occur. Intersegment revenues are eliminated upon consolidation of segments and reflected in the ‘Eliminations’ column.

Segment assets / liabilities comprise assets / liabilities directly managed by each segment. Segment assets primarily include receivables, property, plant and equipment, capital work-in-progress, intangibles, intangible assets under development, non-current investments, inventories, cash and cash equivalents, inter-segment assets. Segment liabilities primarily include operating liabilities. Segment capital expenditure comprises additions to property, plant and equipment and intangible assets.

Effective April 1, 2016, the Company has realigned the reporting of its corporate data and fixed-line business with Airtel business and accordingly renamed Telemedia Service to Homes Services. The historical periods have been restated for the above mention segmental changes to make them comparable.

The revised reporting segments of the Company are as below:

Mobile Services: These services cover voice and data telecom services provided through wireless technology (2G / 3G / 4G) in India. This includes the captive national long distance networks which primarily provide connectivity to the mobile services business in India. This also includes intra-city fibre networks.

Airtel Business: These services cover end-to-end telecom solutions being provided to large Indian and global corporations by serving as a single point of contact for all telecommunication needs across data and voice (domestic as well as international long distance), network integration and managed services.

Homes Services: These services cover voice and data communications through fixed-line network and broadband technology.

Unallocated: Unallocated items include expenses / results, assets and liabilities (including inter-segment assets and liabilities) of corporate headquarters of the Company, non-current investment, current taxes, deferred taxes and certain financial assets and liabilities, not allocated to the operating segments.

Non-current operating assets for this purpose consist of property, plant and equipment, capital work-in-progress, intangible assets and intangible assets under development.

13 Related Party disclosures Subsidiaries

- Indian

Airtel Broadband Services Private Limited (merged with the Company w.e.f April 9, 2015)

Airtel Payments Bank Limited (formerly known as Airtel M Commerce Services Limited)

Bharti Airtel Services Limited Bharti Hexacom Limited Bharti Infratel Limited Bharti Infratel Services Limited #

Bharti Telemedia Limited

Indo Teleports Limited (formerly known as Bharti Teleports Limited)

Nxtra Data Limited

Smartx Services Limited (subsidiary w.e.f. September 21, 2015)

Telesonic Networks Limited Wynk Limited

Nettle Infrastructure Investments Limited

(formerly known as Nettle Developers Limited,

subsidiary w.e.f. March 14, 2017)

Augere Wireless Broadband India Private Limited (subsidiary w.e.f. June 7, 2016, subsequently merged with the Company w.e.f. February 15, 2017) A

- Foreign Africa Towers N.V.

Africa Towers Services Limited ##

Airtel (Seychelles) Limited

Airtel (SL) Limited (sold on July 19, 2016)

Airtel Bangladesh Limited (Merged with Robi Axiata Limited w.e.f. November 16, 2016)

Airtel Burkina Faso S.A. (sold on June 22, 2016)

Airtel Congo (RDC) S.A.

Airtel Congo S.A.

Airtel DTH Services (SL) Limited #

Airtel DTH Services Congo (RDC) S.p.r.l. ###

Airtel DTH Services Nigeria Limited ##

Airtel Gabon S.A.

Airtel Ghana Limited Airtel Madagascar S.A.

Airtel Malawi Limited Airtel Mobile Commerce (Ghana) Limited Airtel Mobile Commerce (Kenya) Limited Airtel Mobile Commerce (Seychelles) Limited Airtel Mobile Commerce (SL) Limited (sold on July 19, 2016)

Airtel Mobile Commerce (Tanzania) Limited Airtel Mobile Commerce BV

Airtel Mobile Commerce Burkina Faso S.A. (sold on June 22, 2016)

Airtel Mobile Commerce Holdings BV Airtel Mobile Commerce Limited, Malawi Airtel Mobile Commerce Madagascar S.A.

Airtel Mobile Commerce Rwanda Limited Airtel Mobile Commerce Tchad S.a.r.l.

Airtel Mobile Commerce Uganda Limited Airtel Mobile Commerce Zambia Limited Airtel Money (RDC) S.A.

Airtel Money Niger S.A.

Airtel Money S.A. (Gabon)

Airtel Money Transfer Limited

Airtel Money Tanzania Limited (incorporated on June 10, 2016)

Airtel Networks Kenya Limited Airtel Networks Limited Airtel Networks Zambia Plc Airtel Rwanda Limited Airtel Tanzania Limited Airtel Tchad S.A.

Airtel Towers (Ghana) Limited #

Airtel Towers (SL) Company Limited #

Airtel Uganda Limited

Bangladesh Infratel Networks Limited ##

Bharti Airtel (Canada) Limited ###

Bharti Airtel (France) SAS

Bharti Airtel (Hong Kong) Limited

Bharti Airtel (Japan) Kabushiki Kaisha

Bharti Airtel (UK) Limited

Bharti Airtel (USA) Limited

Bharti Airtel Africa BV

Bharti Airtel Burkina Faso Holdings BV

Bharti Airtel Chad Holdings BV

Bharti Airtel Congo Holdings BV

Bharti Airtel Developers Forum Limited

Bharti Airtel DTH Holdings BV

Bharti Airtel Gabon Holdings BV

Bharti Airtel Ghana Holdings BV

Bharti Airtel Holdings (Singapore) Pte Ltd (merged with

Bharti International (Singapore) Pte Ltd

w.e.f. July 15, 2016)

Bharti Airtel International (Mauritius) LimitedA Bharti Airtel International (Netherlands) B.V.A

Bharti Airtel Kenya BV Bharti Airtel Kenya Holdings BV Bharti Airtel Lanka (Private) Limited Bharti Infratel Lanka (Private) Limited ##

Bharti Airtel Madagascar Holdings BV Bharti Airtel Malawi Holdings BV Bharti Airtel Mali Holdings BV Bharti Airtel Niger Holdings BV Bharti Airtel Nigeria BV Bharti Airtel Nigeria Holdings BV ##

Bharti Airtel Nigeria Holdings II BV Bharti Airtel RDC Holdings BV Bharti Airtel Rwanda Holdings Limited Bharti Airtel Services BV

Bharti Airtel Sierra Leone Holdings BV (sold on July 19, 2016)

Bharti Airtel Tanzania BV Bharti Airtel Uganda Holdings BV Bharti Airtel Zambia Holdings BV Bharti International (Singapore) Pte. Ltd Burkina Faso Towers S.A. ###

Celtel (Mauritius) Holdings Limited Celtel Niger S.A.

Channel Sea Management Company (Mauritius) Limited

Congo RDC Towers S.A.

Congo Towers S.A. #

Gabon Towers S.A. ##

Indian Ocean Telecom Limited Kenya Towers Limited ###

Madagascar Towers S.A.

Malawi Towers Limited Mobile Commerce Congo S.A.

Montana International MSI-Celtel Nigeria Limited ##

Network i2i Limited Niger Towers S.A. ###

Partnership Investment Sprl

Societe Malgache de Telephone Cellulaire S.A.

Tanzania Towers Limited Tchad Towers S.A. #

Towers Support Nigeria Limited ##

Uganda Towers Limited ###

Warid Telecom Uganda Limited (Merged with Airtel Uganda Limited w.e.f. July 31, 2016)

Zambian Towers Limited ###

Zap Trust Company Nigeria Limited ##


- Indian

Seynse Technologies Private Limited (Stake acquird on February 21, 2017)

- Foreign

Tanzania Telecommunications Company Ltd (‘TTCL) (Stake sold on June 23, 2016)

Seychelles Cable Systems Company Limited

Robi Axiata Limited (stake acquired w.e.f. November 16, 2016)

Joint Ventures

- Indian

Indus Towers Limited Firefly Networks Limited

Forum I Aviation Limited (Investment sold on January 7, 2016)

- Foreign

Bridge Mobile Pte Limited

Entities having significant influence over the Company

- Indian

Bharti Telecom Limited

- Foreign

Singapore Telecommunications Limited Pastel Limited

Others related parties*

i) Key Management Personnel and their relatives exercise significant influence

- Indian

Bharti Foundation

Bharti Airtel Employees Welfare Trust

Hike Private Limited (formerly known as Hike Limited)

Cedar Support Services Limited

ii) Group Companies

- Indian

Brightstar Telecommunication India Limited (formerly known as Beetel Teletech Limited)

Bharti Axa General Insurance Company Limited Bharti Axa Life Insurance Company Limited Bharti Realty Holdings Limited Bharti Realty Limited

Future Retail Limited (ceased w.e.f. May 01, 2016) Deber Technologies Private Limited (formerly known as Ignite World Private Limited)

Hike Messenger Limited (formerly known as BSB Innovation India Limited)

Centum Learning Limited

Fieldfresh Foods Private Limited

Indian Continent Investment Limited

Jersey Airtel Limited

Nile Tech Limited

Y2CF Digital Media Limited

Bharti Enterprises Limited

Atrium Restaurants India Private Limited

Bharti Land Limited

Centum Work skills India Limited

Oak Infrastructure Developers Limited

Gourmet Investments Private Limited

Key Management Personnel (‘KMP’)

Sunil Bharti Mittal Gopal Vittal

* ’Other related parties’ though not ‘Related Parties’ as per the definition under IND AS 24, ‘Related party disclosures’, have been included by way of a voluntary disclosure, following the best corporate governance practices.

# Dissolved during the year ended March 31, 2017.

## Under liquidation.

### Dissolved during the year ended March 31, 2016.

A Refer note 5.

Outstanding balances at period end are un-secured and settlement occurs in cash.

KMP are those persons having authority and responsibility for planning, directing and controlling the activities of the Company, directly or indirectly, including any director, whether executive or otherwise. Remuneration to key management personnel were as follows:

As the liabilities for the gratuity and compensated absences are provided on an actuarial basis, and calculated for the Company as a whole rather than each of the individual employees, the said liabilities pertaining specifically to KMP are not known and hence, not included in the above table.

In addition to above Rs.313 thousand and Rs.322 thousand have been paid as equity divided to key management personnel during the year ended March 31, 2017 and March 31, 2016 respectively.

The Company has agreed to ensure appropriate financial support only if and to the extent required by its subsidiaries (namely, Bharti Airtel Services Limited, Bharti Telemedia Limited, Airtel Payments Bank Limited, Bharti Teleports Limited, Nxtra Data Limited, Bharti Airtel (Hongkong) Limited, Bharti Airtel Lanka (Private) Limited and Bharti Airtel International (Netherlands) B.V. including its subsidiaries).

14 Financial and Capital risk

1. Financial Risk

The business activities of the Company expose it to a variety of financial risks, namely market risks (that is, foreign exchange risk, interest rate risk and price risk), credit risk and liquidity risk. The Company’s risk management strategies focus on the un-predictability of these elements and seek to minimise the potential adverse effects on its financial performance. Further, the Company uses certain derivative financial instruments to mitigate some of these risk exposures (as discussed below in this note).

The financial risk management for the Company is driven by the Company’s senior management (‘GSM’), in close co-ordination with the operating entities and internal / external experts subject to necessary supervision. The Company does not undertake any speculative transactions either through derivatives or otherwise. The GSM are accountable to the Board of Directors and Audit Committee. They ensure that the Company’s financial risk-taking activities are governed by appropriate financial risk governance frame work, policies and procedures. The BOD of the respective operating entities periodically reviews the exposures to financial risks, and the measures taken for risk mitigation and the results thereof.

(i) Foreign currency risk

Foreign exchange risk arises on all recognised monetary assets and liabilities, and any highly probable forecasted transactions, which are denominated in a currency other than the functional currency of the Company. The Company has foreign currency trade payables, receivables and borrowings. However, foreign exchange exposure mainly arises from borrowings and trade payables denominated in foreign currencies.

The foreign exchange risk management policy of the Company requires it to manage the foreign exchange risk by transacting as far as possible in the functional currency. Moreover, the Company monitors the movements in currencies in which the borrowings / capex vendors are payable and manage any related foreign exchange risk, which inter-alia include entering into foreign exchange derivative contracts - as considered appropriate and whenever necessary. For further details as to foreign currency borrowings, refer Note 17. Further, for the details as to the fair value of various outstanding derivative financial instruments, refer Note 34.

The sensitivity disclosed in the above table is mainly attributable to, in case of to foreign exchange gains / (losses) on translation of USD denominated borrowings, derivative financial instruments, trade payables, and trade receivables.

The above sensitivity analysis is based on a reasonably possible change in the under-lying foreign currency against the respective functional currency while assuming all other variables to be constant.

Based on the movements in the foreign exchange rates historically and the prevailing market conditions as at the reporting date, the Company’s management has concluded that the above mentioned rates used for sensitivity are reasonable benchmarks.

(ii) Interest rate risk

As the Company does not have exposure to any floating-interest bearing assets, or any significant longterm fixed-interest bearing assets, its interest income and related cash inflows are not affected by changes in market interest rates. Consequently, the Company’s interest rate risk arises mainly from borrowings.


Borrowings with floating and fixed interest rates expose the Company to cash flow and fair value interest rate risk respectively. However, the short-term borrowings of the Company do not have a significant fair value or cash flow interest rate risk due to their short tenure. Accordingly, the components of the debt portfolio are determined by the GSM in a manner which enables the Company to achieve an optimum debt-mix basis its overall objectives and future market expectations.

The Company monitors the interest rate movement and manages the interest rate risk based on its risk management policies, which inter-alia include entering into interest swaps contracts - as considered appropriate and whenever necessary.

The sensitivity disclosed in the above table is attributable to floating-interest rate borrowings and the interest swaps.

The above sensitivity analysis is based on a reasonably possible change in the under-lying interest rate of the Company’s borrowings in INR, USD (being the significant currencies in which it has borrowed funds), while assuming all other variables (in particular foreign currency rates) to be constant.

Based on the movements in the interest rates historically and the prevailing market conditions as at the reporting date, the Company’s management has concluded that the above mentioned rates used for sensitivity are reasonable benchmarks.

(iii) Price risk

The Company invests its surplus funds in various mutual funds (debt fund, equity fund, liquid schemes and income funds etc.), short term debt funds, government securities and fixed deposits. In order to manage its price risk arising from investments, the Company diversifies its portfolio in accordance with the limits set by the risk management policies.

(iv) Credit risk

Credit risk refers to the risk of default on its obligation by the counter-party, the risk of deterioration of creditworthiness of the counter-party as well as concentration risks of financial assets, and thereby exposing the Company to potential financial losses.

The Company is exposed to credit risk mainly with respect to trade receivables, and derivative financial instruments.

Trade receivables

The Trade receivables of the Company are typically noninterest bearing un-secured and derived from sales made to a large number of independent customers. As the customer base is widely distributed both economically and geographically, there is no concentration of credit risk.

As there is no independent credit rating of the customers available with the Company, the management reviews the credit-worthiness of its customers based on their financial position, past experience and other factors. The credit risk related to the trade receivables is managed / mitigated by each business unit, basis the Company’s established policy and procedures, by setting appropriate payment terms and credit period, and by setting and monitoring internal limits on exposure to individual customers. The credit period provided by the Company to its customers generally ranges from 14-30 days except Airtel business segment wherein it ranges from 7-90 days.

The Company uses a provision matrix to measure the expected credit loss of trade receivables, which comprise a very large numbers of small balances. Refer note 14 for details on the impairment of trade receivables. Based on the industry practices and the business environment in which the entity operates, management considers that the trade receivables are credit impaired if the payments are more than 90 days past due.

The Company performs on-going credit evaluations of its customers’ financial condition and monitors the credit-worthiness of its customers to which it grants credit in its ordinary course of business. The gross carrying amount of a financial asset is written off(either partially or in full) to the extent that there is no realistic prospect of recovery. This is generally the case when the Company determines that the debtor does not have assets or sources of income that could generate sufficient cash flows to repay the amount due. Where the financial asset has been written-off, the Company continues to engage in enforcement activity to attempt to recover the receivable due. Where recoveries are made, these are recognised in profit and loss.

Financial instruments and cash deposits

The Company’s treasury, in accordance with the board approved policy, maintains its cash and cash equivalents, deposits and investment in mutual funds, and enters into derivative financial instruments - with banks, financial and other institutions, having good reputation and past track record, and high credit rating. Similarly, counter-parties of the Company’s other receivables carry either no or very minimal credit risk. Further, the Company reviews the credit-worthiness of the counter-parties (on the basis of its ratings, credit spreads and financial strength) of all the above assets on an on-going basis, and if required, takes necessary mitigation measures.

Accordingly, as a prudent liquidity risk management measure, the Company closely monitors its liquidity position and deploys a robust cash management system. It maintains adequate sources of financing including bilateral loans, debt, and overdraft from both domestic and international banks at an optimised cost. It also enjoys strong access to domestic and international capital markets across debt and equity.

Moreover, the Company’s senior management regularly monitors the rolling forecasts of the entities’ liquidity reserve (comprising of the amount of available un-drawn credit facilities and Cash and cash equivalents) and the related requirements, to ensure they have sufficient cash on an on-going basis to meet operational needs while maintaining sufficient headroom at all times on its available un-drawn committed credit facilities, so that there is no breach of borrowing limits or relevant covenants on any of its borrowings. For details as to the Borrowings, refer Note 17.

Based on past performance and current expectations, the Company believes that the Cash and cash equivalents, cash generated from operations and available un-drawn credit facilities, will satisfy its working capital needs, capital expenditure, investment requirements, commitments and other liquidity requirements associated with its existing operations, through at least the next twelve months.

The Company from time to time in its usual course of business guarantees certain indebtedness of its subsidiaries. Accordingly, as of March 31, 2017, March 31, 2016 and April 1, 2015 company has issued corporate guarantee for debt of Rs.340,855, Rs.393,128 and Rs.433,987, respectively. The outflow in respect of these guarantees arises only on any default/non performance of the subsidiary with respect to the guaranteed debt and substantial amount of such loans are due for payment after two years from the reporting date.

2. Capital Risk

The Company’s objective while managing capital is to safeguard its ability to continue as a going concern (so that it is enabled to provide returns and create value for its shareholders, and benefits for other stakeholders), support business stability and growth, ensure adherence to the covenants and restrictions imposed by lenders and / or relevant laws and regulations, and maintain an optimal and efficient capital structure so as to reduce the cost of capital. However, the key objective of the Company’s capital management is to, ensure that it maintains a stable capital structure with the focus on total equity, uphold investor; creditor and customer confidence, and ensure future development of its business activities. In order to maintain or adjust the capital structure, the Company may issue new shares, declare dividends, return capital to shareholders, etc.

The Company manages its capital structure and makes adjustments to it, in light of changes in economic conditions or its business requirements.

The Company monitors capital using a gearing ratio, which is net debt divided by total capital plus net debt. Net debt is calculated as loans and borrowings less cash and cash equivalents.

15 Fair Value of financial assets and liabilities

The category wise details as to the carrying value and fair value of the Company’s financial instruments are as follows:

i. The carrying value of trade receivables, trade payables, short-term borrowings, other current financial assets and liabilities approximate their fair value mainly due to the short-term maturities of these instruments.

ii. Fair value of quoted financial instruments is based on quoted market price at the reporting date.

iii. The fair value of long-term borrowings and noncurrent financial assets / liabilities is estimated by discounting future cash flows using current rates applicable to instruments with similar terms, currency, credit risk and remaining maturities.

iv. The fair values of derivatives are estimated by using pricing models, wherein the inputs to those models are based on readily observable market parameters. The valuation models used by the Company reflect the contractual terms of the derivatives (including the period to maturity), and market-based parameters such as interest rates, foreign exchange rates, volatility etc. These models do not contain a high level of subjectivity as the valuation techniques used do not require significant judgement and inputs thereto are readily observable.

During the year ended March 31, 2017 and 2016, there were no transfers between Level 1 and Level 2 fair value measurements. None of the financial assets and financial liabilities are in Level 3.

16 Other Matters

(i) In 1996, the Company had obtained the permission from DoT to operate its Punjab license through one of its wholly owned subsidiary. However DoT cancelled the permission to operate in April, 1996 and subsequently reinstated in March, 1998. Accordingly, for the period from April 1996 to March, 1998 (‘blackout period’) the license fee was disputed and not paid by the Company

Subsequently, basis the demand from DoT in 2001, the Company paid the disputed license fee of Rs.4,856 for blackout period under protest. Consequently, the license was restored subject to arbitrator’s adjudication on the dispute. The arbitrator adjudicated the matter in favour of DoT, which was challenged by the Company before Hon’ble Delhi High Court. In 2012, Hon’ble Delhi High Court passed an order setting aside the arbitrator’s award, which was challenged by DoT and is pending before its division bench. Meanwhile, the Company had filed a writ petition for recovery of the disputed license fee and interest thereto. However, the single bench, despite taking the view that the Company is entitled to refund, dismissed the writ petition on the ground that the case is still pending with the larger bench. The Company therefore has filed appeal against the said order with division bench and is currently pending.

(ii) TRAI vide Telecom Interconnect Usages Charges Regulation (Eleventh Amendment) 2015 has reduced the IUC charges for mobile termination charges to 14 paisa from 20 paisa and abolished the fixed-line termination charges. The company has challenged the said Regulation before the Hon’ble Delhi High Court and the matter is currently pending.

17 Reconciliation from previous GAAP

The following reconciliations provide a quantification of the effect of differences arising from the transition from Previous GAAP to Ind AS in accordance with Ind AS 101 whereas the notes explain the significant differences thereto.

I. Balance sheet reconciliations as of April 1, 2015 II a. Balance sheet reconciliations as of March 31, 2016 II b. Reconciliations of statement of profit and loss for the year ended March 31, 2016

III. Notes to the balance sheet and statement of profit and loss reconciliations

IV. Explanation of material adjustments to statement of cash flows

III. Notes to the balance sheet and statement of profit and loss reconciliations

As the presentation requirements under IGAAP differ from Ind AS, the IGAAP information has been regrouped for ease and facilitation of reconciliation with Ind AS.

1. Asset retirement obligations (‘ARO’)

Under previous GAAP, ARO is initially measured at the expected cost to settle the obligation. Under Ind AS, the ARO is initially measured at the present value of expected cost to settle the obligation. The Company accordingly has recognized the adjustment to the cost of fixed assets and the consequent depreciation and finance cost. The corresponding impact on the date of transition has been recognised in equity

2. Foreign exchange gain / losses

Under previous GAAP, certain foreign exchange gains or losses on foreign currency denominated liabilities were capitalized into the carrying value of fixed assets until March 31st 2008. Under Ind AS, such gains and losses are not allowed to capitalised. The Company accordingly has recognised the adjustment to the cost of fixed assets and the consequent depreciation. The corresponding impact on the date of transition has been considered in equity

3. Non-current financial assets / liabilities

Under previous GAAP, certain non-current financial assets / liabilities which were measured at cost / best estimate of the expenditure required to settle the obligation, at the balance sheet date without considering the effect of discounting whereas these are measured at the present value on the balance sheet date under Ind AS. Accordingly, the Company has recognised the adjustment to the respective carrying amount and the consequent impact on finance cost / finance income due to the unwinding of the discounting impact. The corresponding impact on the date of transition has been recognised in equity.

4. Investment in subsidiaries - deemed cost exemption

Under previous GAAP, investments in subsidiaries were measured at cost. Under Ind AS, the Company has elected the option of fair value the investments in certain subsidiaries basis the requirements of Ind AS 101, First Time Adoption of Indian Accounting Standards for deriving the carrying value of these Investments (‘deemed cost’).

5. Fair valuation of loans

Under previous GAAP, interest free loans given by Parent to its subsidiaries are not required to be fair valued on initial recognition and hence these were recognised at the amount of loan given. Under Ind AS, such loans are measured at fair value on initial recognition basis discounting at market interest rates and the difference is accounted as investment in respective subsidiary. The consequent unwinding of discounted fair value is recognised as interest income in the statement of profit and loss with the corresponding increase in loans.

6. Derivatives

Under previous GAAP, derivative contracts are measured at fair value at each balance sheet date with the changes over the previous carrying amount being recognised in the statement of profit and loss, but recognition of increase in the fair value is restricted only to the extent it represents any subsequent reversal of previously recognised losses. Under Ind AS, the entire changes the fair values of derivative contracts are recognised in statement of profit and loss in the year of change.

7. Investments

Under previous GAAP, current investments were measured at lower of cost or fair value. Under Ind AS, these financial assets are classified as FVTPL and the changes in fair value are recognised in statement of profit and loss. On the transition date, these financial assets have been measured at their fair value which is higher than its cost as per previous GAAP, resulting in an increase in carrying value of the investments with corresponding increase being recognised in equity

8. Proposed dividend

Under previous GAAP, dividend on equity shares recommended by the board of directors (‘proposed dividend’) was recognised as a liability in the financial statements in the period to which it relates. Under Ind AS, such dividend is recognised as a liability when approved by the shareholders in the general meeting. The Company accordingly, has de-recognised the proposed dividend liability with the corresponding increase being recognised in equity.

9. Remeasurement differences

Under previous GAAP, there was no concept of other comprehensive in

CIN: U67190WB2003PTC096617. Trading in Commodities is done through our Group Company Dynamic Commodities Pvt. Ltd. The company is also engaged in Proprietory Trading apart from Client Business.

Disclaimer: There is no guarantee of profits or no exceptions from losses. The investment advice provided are solely the personal views of the research team. You are advised to rely on your own judgment while making investment / Trading decisions. Past performance is not an indicator of future returns. Investment is subject to market risks. You should read and understand the Risk Disclosure Documents before trading/Investing.

Disclosure: We, Dynamic Equities Private Limited are also engaged in Proprietory Trading apart from Client Business. In case of any complaints/grievances, clients may write to us at compliance@dynamiclevels.com

  • Download our Mobile App
  • Available on Google Play
  • Available on App Store
  • RSS