Investor Presentaiton

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2023 NOTE 24: Exceptional Items Year Ended 31.03.2023 (Crores) Year Ended 31.03.2022 Additional Income arising out of Arm's Length Pricing on Covered Transaction as per the Bilateral Advance Pricing Agreement (Refer Note) Total 80.33 80.33 Consequent to the Bilateral Advance Pricing Agreement (BAPA) signed by the Company with the Central Board of Direct Taxes (CBDT) for the financial years 2015-16 to 2023-24, with respect to Arm's Length Price (ALP) of the transactions under the Income Tax Act, with MRF SG PTE LTD (MRF SG), the wholly owned subsidiary, the amount determined as payable by MRF SG to the Company is 80.33 Crores (net of interest on tax of *2.10 Crores), which has since been received by the company. The income tax impact on account of this refund has been disclosed as relating to earlier years. NOTE 25: A. Capital Management B. 130 For the purpose of Company's Capital Management, capital includes Issued Equity Capital, Securities Premium and all other Equity Reserves attributable to the Equity Holders of the Company. The primary objective of the Company's Capital Management is to maximise the Share Holder Value. The Company manages its capital structure and makes adjustments in the light of changes in economic conditions and requirements of the financial covenants and to continue as a going concern. The Company monitors using a gearing ratio which is net debts divided by total capital plus net debt. The company includes within net debt, interest bearing loans and borrowings, less cash and short term deposit. Particulars Interest bearing Loans and Borrowings Less: Cash and Short Term Deposits Net Debt Equity Other Equity Total Capital Capital and Net Debt Gearing Ratio % Financial Risk Management 31.03.2023 (Crores) 31.03.2022 1989.10 2008.38 (146.31) (113.11) 1842.79 1895.27 4.24 14504.63 4.24 13773.03 14508.87 13777.27 16351.66 15672.54 11.27% 12.09% The Company's principal financial liabilities comprise loans and borrowings, trade and other payables. The main purpose of these financial liabilities is to finance the operations of the Company. The principal financial assets include trade and other receivables, investments in mutual funds, bonds, cash and short term deposits. The Company has assessed market risk, credit risk and liquidity risk to its financial instruments.

View entire presentation