Annual Report, 2016-17

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157 annual
report 2016-17 kajaria
ceramics
corporate
overview
management
reports
Financial
statements
fair view in conformity with the accounting principles generally
accepted in India including the Ind AS, of the state of affairs
(financial position) of the Group as at 31 March, 2017, and
its profit (financial performance including other comprehensive
income), its cash flows and the changes in equity for the year
ended on that date.
Other Matters
The comparative financial information of the Company for the
year ended 31 March 2016 and the transition date opening
balance sheet as at 1 April 2015 included in these Consolidated
Ind AS financial statements, are based on the previously issued
statutory financial statements prepared in accordance with the
Companies (Accounting Standards) Rules, 2006 audited by us,
whose audit report for the year ended 31 March 2016 & 31
March 2015 dated 28 April 2016 & 29 April 2015 respectively
expressed an unmodified opinion on those Consolidated
financial statements, as adjusted for the differences in the
accounting principles adopted by the Company on transition to
the Ind AS, which have been audited by us.
We did not audit the financial statements of six subsidiaries,
whose financial statements reflect total assets of ` 563.96
crores as at 31st March 2017, total revenue of ` 709.94 crores
and net cash flows of ` (-) 13.53 crores for the year then ended.
These financial statements have been audited by other auditors
whose reports have been furnished to us by the management,
and our opinion on the consolidated financial statements, in
so far as it relates to the amounts and disclosures included in
respect of subsidiaries, is based solely on the reports of other
auditors.
Our opinion on the consolidated financial statements and our
report on Other Legal and Regulatory Requirements below is
not modified in respect of Other Matters as referred above:
Report on Other Legal and Regulatory Requirements
1. The Companies (Auditor’s Report) Order, 2016, issued
by the Central Government of India in terms of sub-
section (11) of section 143 of the Act is not applicable on
Consolidated Financial Statements as referred in proviso to
para 2 of the Order.
2. 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 our knowledge and
belief were necessary for the purposes of our audit of
the aforesaid consolidated financial statements.
(b) In our opinion, proper books of account as required by
law relating to preparation of the aforesaid financial
statements have been kept so far as it appears from
our examination of those books and report of other
auditors.
(c) The Consolidated Balance Sheet, the Consolidated
Statement of Profit and Loss (including the Other
Comprehensive Income), the Consolidated Cash
Flow Statement and the Consolidated Statement of
Changes in Equity dealt with by this Report are in
agreement with the books of account maintained
for the purpose of preparation of the consolidated
financial statements.
(d) In our opinion, the aforesaid Consolidated Ind
AS financial statements comply with the Indian
Accounting Standards prescribed under Section 133 of
the Act read with the Companies (Indian Accounting
Standards) Rules, 2015 as amended.
(e) On the basis of the written representations received
from the directors of holding company as on 31st
March, 2017 taken on record by the Board of Directors
of Holding company and the reports of auditors
of subsidiary companies, none of the directors is
disqualified as on31st March, 2017 from being
appointed as a director in terms of Section 164 (2) of
the Act.
(f) We are enclosing herewith a report in Annexure I for
our opinion considering the opinion of other auditors
of subsidiary companies on adequacy of internal
financial controls system in place and the operating
effectiveness of such controls.
(g) With respect to the other matters to be included in
the Auditor’s Report in accordance with Rule 11 of
the Companies (Audit and Auditors) Rules, 2014, in
our opinion and to the best of our information and
according to the explanations given to us:
i. The Group has disclosed the impact of pending