the increase in absolute numbers, the
inventory cycle stood at 46 days in
2012-13 against 48 days in 2011-12.
Sundry Debtors:
Despite a 23%-plus
increase in turnover, the balance in
outstanding receivables increased only
about 21% from
`
1189.48 million as
on March 31, 2012 to
`
1436.28 million
as on March 31, 2013 The debtors’
cycle reduced from 31 days in 2011-12
to 30 days in 2012-13 – highlighting
the demand pull for the product
and brand. More than 97% of the
receivables were outstanding for less
than 180 days – reflecting the strength
in the debtors balance.
Loans and Advances:
The balance
under this head decreased from
`
549.98 million on March 31, 2012 to
`
508.45 million as on March 31, 2013.
As per the new Balance Sheet format,
the balance under Loans and advances
is reflected under the various heads
(refer Table D below).
Long term loans and advances
represent balances recoverable over
a period exceeding 12 months. Other
current assets represent advances
to suppliers and balances with
Government authorities.
Current liability and provisions:
The
balance under this sub-head stood
at
`
2,733.61 million as on March
31, 2013 against
`
2,590.96 million
as on March 31, 2012. The growth
in current liabilities was not in line
with the increased operations due
to a reduction in import creditors. As
per the new balance sheet format,
the balance under current liabilities
and provisions is reflected under the
various heads (refer Table E below).
Internal audit and control
Kajaria has strong, proper and
adequate internal audit and control
systems to ensure that all transactions
are authorised, recorded and reported
correctly. The internal control systems
consist of comprehensive internal
and statutory audits. Internal auditors
independently evaluate adequacy of
internal controls and concurrently audit
the majority of transactions in value
terms. Independence of the audit and
compliance function is ensured by the
direct reporting of the internal audits
to the Audit Committee of the Board.
Table D: Reconciliation loans and advances
(
`
in million)
Table E: Reconciliation current liabilities
(
`
in million)
Note
As at March
31, 2013
As at March
31, 2012
Long term loans and
advances
14
174.88
135.85
Short-term loans
and advances
18
328.61
412.48
Other current assets
19
4.96
1.65
Total
508.45
549.98
Note
As at March
31, 2013
As at March
31, 2012
Current liabilities
- As per Balance
Sheet (new format)
7-10 4,955.26 4,393.89
Add: Long-term
provisions (for
gratuity)
6
87.32
62.24
5,042.58 4,456.13
Less: Short term
borrowings
7
1735.06
1143.28
Less: Current
maturities of long
term debts
9
573.91
721.89
Balance
2,733.61 2,590.96
More than 97% of the receivables were outstanding
for less than 180 days – reflecting the strength in the
debtors balance.
39
