Schedule 14: Notes Forming Part of the Accounts

Schedule 14: Notes Forming Part of the Accounts

Schedule 14: Notes Forming Part of the Accounts

  • As per Section 29C(i) of the National Housing Bank Act, 1987, the Company is required to transfer at least 20% of its net profits every year to a reserve before any dividend is declared. For this purpose any Special Reserve created by the Company under Section 36(1) (viii) of the Income Tax Act, 1961 is considered to be an eligible transfer. The Company has transferred an amount of 22,00,00,000/- (Previous Year 17,50,00,000/-) to Special Reserve in terms of Section 36 (1)(viii) of the Income Tax Act, 1961. The Company doesn’t anticipate any withdrawal from Special Reserve in foreseeable future.
  • Secured Loans :
    • Refinance from National Housing Bank (NHB) and Term Loans from Banks are secured against negative lien on all the assets of the Company excluding
      • The specific immovable property mortgaged in favour of Debenture Trustees against the Secured Redeemable Non-Convertible Debentures; and
      • The Statutory Liquid Assets having floating charge in favour of the Public Deposit Trustees against the Public Deposits.
    • Redeemable Non-Convertible Debentures amounting to 100,00,00,000/- are secured by mortgage of specific immovable property created in favour of Debenture Trustees and by a negative lien on the assets of the Company excluding the Statutory Liquid Assets having floating charge in favour of the Public Deposit Trustees against the Public Deposits. These NCD’s are redeemable at par on June 30, 2011.
  • Unsecured Loans :
    • Redeemable Non-Convertible Subordinated Debentures of 40,00,00,000/- are subordinated debt to present and future senior indebtedness of the Company and qualify as Tier II Capital under National Housing Bank’s (NHB’s) guidelines for assessing capital adequacy. These NCD’s are redeemable at par on February 13, 2013.
    • The maximum amount of Commercial Paper outstanding at any time during the year was 710,00,00,000/- (Previous Year 500,00,00,000/-).
    • Public Deposits include 139,74,70,895/- (Previous Year 107,22,08,642/-) due within one year. The Public Deposits are secured by floating charge on the Statutory Liquid Assets.
  • Loans granted by the Company are secured or partly secured by :
    • Equitable mortgage of property and / or
    • Pledge of shares, Units, Other Securities, assignments of Life Insurance policies and / or
    • Hypothecation of assets and / or
    • Bank guarantees, Company guarantees or Personal guarantees and / or
    • Undertaking to create a security.
  •  
    • The Company has complied with the norms prescribed under Housing Finance Companies (NHB) Directions, 2010 for recognising Non-Performing Assets (NPA) in preparation of Accounts. As per the norms, NPAs are recognised on the basis of 90 days overdue. NPAs are to be treated as Bad & Doubtful, if they remain outstanding for more than 15 months. The Company has made adequate provisions on Non-performing Assets and Standard Assets in respect of Housing and Non-Housing Loans as prescribed under Housing Finance Companies (NHB) Directions, 2010.
    • Classification of loans and provision made for Non-Performing Loan Assets is given below :
      Particulars Standard Sub – Standard Bad & Doubtful Total
      As on March 31, 2011        
      Home Loan        
      Individual 2884,52,98,434 10,19,37,793 13,96,21,236 2908,68,57,463
      Others 81,90,19,203 0 0 81,90,19,203
      Other Loans        
      Individual 169,82,15,451 1,08,73,856 61,43,935 171,52,33,242
      Others 14,73,40,216 0 0 14,73,40,216
      Total 3150,98,73,304 11,28,11,649 14,57,65,171 3176,84,50,124
      Percentage (%) 99.18 0.36 0.46 100
      Provision        
      As on March 31, 2010 77,72,407 16,21,30,520 10,92,73,267 27,91,76,194
      Provided during the year 1,28,26,967 (4,93,18,871) 3,64,91,904 0
      Total As on March 31, 2011 2,05,99,374 11,28,11,649 14,57,65,171 27,91,76,194
      Net NPA       0
      Net NPA as a % of Loan Asset       0

       

      Particulars Standard Sub – Standard Bad & Doubtful Total
      As on March 31, 2010        
      Home Loan        
      Individual 2202,67,51,570 14,99,03,468 10,82,75,387 2228,49,30,425
      Others 29,57,30,492 0 0 29,57,30,492
      Other Loans        
      Individual 147,80,58,118 1,22,27,052 9,97,880 149,12,83,050
      Others 46,50,43,514 0 0 46,50,43,514
      Total 2426,55,83,694 16,21,30,520 10,92,73,267 2453,69,87,481
      Percentage (%) 98.89 0.66 0.45 100
      Provision        
      As on March 31, 2009 2,63,65,175 10,85,34,616 8,82,86,289 22,31,86,080
      Provided during the year (1,85,92,768) 5,35,95,904 2,09,86,978 5,59,90,114
      Total As on March 31, 2010 77,72,407 16,21,30,520 10,92,73,267 27,91,76,194
      Net NPA       0
      Net NPA as a % of Loan Asset       0
    • Exposure to Real Estate Sector
        Items As At
      March 31, 2011      		 As At
      March 31, 2010
      1
      A      		 Direct Exposure
      Residential Mortgages :
      Lending fully secured by mortgages on residential property
      that is or will be occupied by the borrower or that is rented
      (Individual housing loans up to 15 lacs may be shown separately)      		 Loans <= 15 lacs :
      2605,86,44,443/-
      Loans > 15 lacs :
      302,82,13,020/-
      Total 2908,68,57,463/-      		 Loans <= 15 lacs :
      2025,95,84,283/-
      Loans > 15 lacs :
      202,53,46,142/-
      Total 2228,49,30,425/-
      B Commercial Real Estate :
      Lending secured by mortgages on commercial real estates
      (office buildings, retail space, multipurpose commercial
      premises, multi-family residential buildings, multi-tenated
      commercial premises, industrial or warehouse space,
      hotels, land acquisition, development and construction, etc.)
      Exposure would also include non-fund based (NFB) limits :      		 268,15,92,661/- 225,20,57,056/-
      C Investments in Mortgage Backed Securities (MBS) and other securitised exposures :
      (i) Residential
      (ii) Commercial Real Estate      		 Nil
      Nil      		 Nil
      Nil
      2. Indirect Exposure :
      Fund based and non-fund based exposures on
      National Housing Bank (NHB) and Housing Finance Companies (HFCs)      		 Nil Nil
  • Loans include (a) 4,66,80,441/- (Previous Year 4,91,92,175/-) in respect of properties held for disposal under Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 and (b) 19,70,000/- (Previous Year Nil) and 3,26,671/- respectively given to the Officers and Executive Director of the Company under the Staff Loan Scheme. The aggregate maximum balance due at any time during the year in respect of the above, amounted to 19,70,000/- (Previous Year Nil) and 5,60,714/- respectively.
  •  
    • Capital to Risk Assets Ratio (CRAR)
        Items As at
      March 31, 2011      		 As at
      March 31, 2010
      1) CRAR (%) 13.32 16.55
      2) CRAR – Tier I Capital (%) 12.98 15.57
      3) CRAR – Tier II Capital (%) 0.34 0.98
    • Asset Liability Management
      Maturity pattern of certain items of assets and liabilities as on March 31, 2011 :

      ( in crores)

      Particulars 1 day to
      30 days
      (one month)      		 Over one
      month to
      2 months      		 Over 2
      months up
      to 3 months      		 Over 3
      months to
      6 months      		 Over 6
      months to
      1 year      		 Over 1
      year to
      3 years      		 Over 3
      years to
      5 years      		 Over 5
      years to
      7 years      		 Over 7
      years to
      10 years      		 Over
      10 years      		 Total
      Liabilities                      
      Borrowings from Banks – 6.25 174.99 112.55 260.44 1075.18 638.53 119.52 0.14 – 2387.60
      Market Borrowings 16.37 14.28 114.54 191.59 62.96 147.20 30.22 1.57 – – 578.73
      Assets                      
      Advances 28.86 15.24 19.28 47.27 83.58 429.93 314.26 331.19 503.47 1373.24 3146.32
      Investments 2.04 1.78 1.81 3.92 7.83 13.33 3.76 0.19 – – 34.66

      Maturity pattern of certain items of assets and liabilities as on March 31, 2010 :

      ( in crores)

      Particulars 1 day to
      30 days
      (one month)      		 Over one
      month to
      2 months      		 Over 2
      months up
      to 3 months      		 Over 3
      months to
      6 months      		 Over 6
      months to
      1 year      		 Over 1
      year to
      3 years      		 Over 3
      years to
      5 years      		 Over 5
      years to
      7 years      		 Over 7
      years to
      10 years      		 Over
      10 years      		 Total
      Liabilities                      
      Borrowings from Banks – – 131.71 81.71 162.16 802.75 581.04 108.86 0.60 – 1868.83
      Market Borrowings 8.85 6.88 6.69 25.63 59.16 178.48 152.65 15.95 – – 454.29
      Assets                      
      Advances 11.30 10.93 17.83 38.00 87.80 366.55 289.25 281.38 434.21 884.38 2421.63
      Investments 1.04 0.81 0.78 3.00 6.93 16.22 2.07 1.87 – – 32.72
  •  
    • The instalments due from borrowers includes 7,58,67,799/- (Previous Year 7,25,02,076/-) which are accrued but not due.
    • Advances recoverable in cash or kind include Advance Tax of 144,01,98,787/- (Previous Year 108,81,92,341/-) after adjusting 132,40,90,063/- (Previous Year 98,56,10,063/-) towards Provision for Taxation.
  • As required under Section 205C of the Companies Act, 1956 the Company has transferred 8,10,040/- (Previous year 4,92,002/-) to the Investor Education and Protection Fund (IEPF) during the year.
  •  
    • Interest on loans includes income from home loans 303,70,87,869/- (Previous Year 252,86,85,193/-) and Income from other loans 30,67,02,842/- (Previous Year 22,95,45,090/-).
    • Other Operating Income includes Interest on Bank Deposit 2,12,25,464/- (Previous Year 19,49,05,130/-), Dividend from Mutual Funds 3,28,02,115/- (Previous Year 1,59,29,648/-) and Income from Long Term Investments amounting to 3,50,16,860/- (Previous Year 2,03,57,010/-).
  • In compliance with the Accounting Standard on ‘Employee Benefits’ (AS 15) (Revised 2005) notified by Companies (Accounting Standards) Rules, 2006 the following disclosures have been made :
    • Defined Contribution Plans
      The Company has recognised the following amounts in the Profit and Loss Account which are included under Contribution to Provident Fund and Other Funds :
      Particulars Current Year Previous Year
      Provident Fund 34,60,730 25,64,985
      Superannuation Fund 33,43,600 27,97,262

      The Rules of the Company’s Provident Fund administered by a Trust require that if the Board of the Trustees are unable to pay interest at the rate declared for Employees’ Provident Fund by the Government under para 60 of the Employees’ Provident Fund Scheme, 1952 for the reason that the return on investment is less or for any other reason, then the deficiency shall be made good by the Company. Having regard to the assets of the fund and the return on the investments, the Company does not expect any deficiency in the foreseeable future.

    • State Plans

      The Company has recognised expenses of 21,35,352/- (Previous Year 17,99,242/-) in the Profit and Loss Account for Contribution to State Plan namely Employee’s Pension Scheme.
    • Defined Benefit Plans
      • Leave Encashment/Compensated Absences :
        Salaries and Bonus includes 49,48,632/- (Previous Year 31,82,164/-) towards provision made as per actuarial valuation in respect of accumulated leave salary encashable on retirement.
      • Contribution to Gratuity Fund :
        The details of the Company’s post-retirement benefit plans for its employees including Managing Director are given below which is certified by the actuary and relied upon by the auditors :
        Particulars Current Year Previous Year
        Change in the Benefit Obligations :    
        Liability at the beginning of the year 2,03,32,518 1,55,85,003
        Current Service Cost 30,32,536 23,32,875
        Interest Cost 16,44,901 12,68,619
        Benefits Paid (1,97,892) (2,798)
        Actuarial loss 27,30,269 11,48,819
        Liability at the end of the year 2,75,42,332 2,03,32,518
        Fair Value of Plan Assets :    
        Fair Value of Plan Assets at the beginning of the year 1,69,03,561 96,85,494
        Expected Return on Plan Assets 17,29,859 11,96,507
        Contributions 35,98,321 58,99,509
        Benefits Paid (1,97,892) (2,798)
        Actuarial gain/(loss) on Plan Assets (4,96,105) 1,24,849
        Fair Value on Plan Assets at the end of the year 2,15,37,744 1,69,03,561
        Total Actuarial loss to be recognized 32,26,374 10,23,970
        Actual Return on Plan Assets :    
        Expected Return on Plan Assets 17,29,859 11,96,507
        Actuarial loss on Plan Assets (4,96,105) 1,24,849
        Actuarial Return on Plan Assets 12,33,754 13,21,356
        Amount Recognized in the Balance Sheet :    
        Liability at the end of the year 2,75,42,332 2,03,32,518
        Fair Value of Plan Assets at the end of the year 2,15,37,744 1,69,03,561
        Amount recognized in the Balance Sheet under    
        “Provision for Retirement Benefit” 60,04,588 34,28,957
        Expense Recognized in the Profit and Loss Account :    
        Current Service Cost 30,32,536 23,32,875
        Interest Cost 16,44,901 12,68,619
        Expected Return on Plan Assets (17,29,859) (11,96,507)
        Net Actuarial loss to be recognized 32,26,374 10,23,970
        Expense recognized in the Profit and Loss Account under “Staff Expenses” 61,73,952 34,28,957
        Reconciliation of the Liability Recognized in the Balance Sheet :    
        Opening Net Liability 34,28,957 58,99,509
        Expense Recognized 61,73,952 34,28,957
        Contribution by the Company (35,98,321) (58,99,509)
        Amount recognized in the Balance Sheet under    
        “Provision for Retirement Benefits “ 60,04,588 34,28,957
         
        INVESTMENT PATTERN :    
        Particulars % Invested
        Current Year        		 % Invested
        Previous Year
        Central Government Securities 25.72 27.27
        State Government Securities / Securities guaranteed by    
        State / Central Government 14.79 34.57
        Public Sector / Financial Institutional Bonds 58.66 31.35
        Special Deposit Scheme 0.55 0.70
        Others (including bank balances) 0.28 6.11
        Total 100.00 100.00

        Based on the above allocation and the prevailing yields on these assets, the long term estimate of the expected rate of return on fund assets has been arrived at.

        Principal actuarial assumptions at the Balance Sheet Date (expressed as weighted averages) :

        Particulars 31.3.2011 31.3.2010 31.3.2009 31.3.2008
        Discount Rate (%) 8.09 8.14 7.60 8.25
        Expected Return on Plan Assets (%) 9.00 9.00 9.00 9.00
        Proportion of employees opting for early retirement – – – –
        Annual increase in Salary Cost (%) 6.00 6.00 6.00 6.00
        Future changes in maximum state health care benefits – – – –

        The estimates of future salary increase, considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.
        Amount for the current and previous periods are as follows :

        Particulars 31.3.2011 31.3.2010 31.3.2009 31.3.2008
        Present value of Defined Benefit Obligation 2,75,42,332 2,03,32,518 1,55,85,003 93,27,753
        Fair Value of Plan Assets 2,15,37,744 1,69,03,561 96,85,494 66,37,540
        Surplus/(Deficit) in the Plan (60,04,588) (34,28,957) (58,99,509) (26,90,213)
        Experience adjustments on plan Liabilities (loss)/Gain (1,26,165) 11,16,715 (10,02,975) –
        Experience adjustments on plan assets (loss)/Gain – – – –
  • The Company has disputed demands of 14,27,04,086/- (Previous Year 12,72,09,365/-) in respect of Income Tax, Fringe Benefit Tax and Interest Tax in the appellate proceedings. The Company expects to succeed in these proceedings and hence no additional provision is considered necessary.
  • In the opinion of the Company, there is only one identified reportable segment i.e. Housing Finance Business Segment for the purpose of Accounting Standard on ‘Segment Reporting’ (AS 17) notified by Companies (Accounting Standards) Rules, 2006.
  • Consequent to the Accounting Standard on ‘Related Party Disclosure’ (AS 18) notified by Companies (Accounting Standards) Rules, 2006 following persons will be considered as related persons for the period ended as on March 31, 2011 :
    Sr. No. Name of the Related Party Nature of Relationship
    (i) Housing Development Finance Corporation Limited (HDFC) Holding Company
    (ii) HDFC Developers Limited Fellow Subsidiary
    (iii) HDFC Investments Limited Fellow Subsidiary
    (iv) HDFC Holdings Limited Fellow Subsidiary
    (v) HDFC Asset Management Co. Limited Fellow Subsidiary
    (vi) HDFC Trustee Co. Limited Fellow Subsidiary
    (vii) HDFC Standard Life Insurance Co. Limited Fellow Subsidiary
    (viii) HDFC Realty Limited Fellow Subsidiary
    (ix) HDFC ERGO General Insurance Co. Limited Fellow Subsidiary
    (x) HDFC Sales Private Limited Fellow Subsidiary
    (xi) HDFC Ventures Trustee Company Limited Fellow Subsidiary
    (xii) HDFC Property Ventures Ltd. Fellow Subsidiary
    (xiii) HDFC Ventures Capital Limited Fellow Subsidiary
    (xiv) HDFC Asset Management Company (Singapore) PTE Ltd. Fellow Subsidiary
    (xv) GRIHA Investments Fellow Subsidiary
    (xvi) Credila Financial Services Pvt. Ltd. Fellow Subsidiary
    (xvii) Mr. Kamlesh Shah, Executive Director (w.e.f. April 16, 2010) Key Management Personnel
    (xviii) Mr. udhin Choksey, Managing Director Key Management Personnel

    (Related party relationships are as identified by the Company and relied upon by the auditors.)

    The nature and volume of transactions of the Company during the year with the above-related parties were as follows :

    2010-2011

    Particulars Holding Company Fellow Subsidiary Companies Key Management
    Personnel
    Commission Received Nil 2,15,237 Nil
    Dividend Paid 13,85,00,603 Nil Nil
    Remuneration Nil Nil 1,41,05,650
    Insurance Premium Paid Nil 4,52,230 Nil
    Exercise of Stock Options Nil Nil 65,61,303
    Repayment of Loan Nil Nil 1,34,043
    Interest Income Nil Nil 16,821
           
    Balance as on March 31, 2011      
    Account Payable Nil Nil Nil
    Account Receivable Nil Nil 3,26,671

    2009-2010

    Particulars Holding Company Fellow Subsidiary Companies Key Management Personnel
    Commission Received Nil 4,25,121 Nil
    Dividend Paid 10,22,77,368 Nil Nil
    Remuneration Nil Nil 86,48,000
    Insurance Premium Paid Nil 4,08,110 Nil
    Purchase (Buy Back) of Home Loans 22,24,29,942 Nil Nil
    Exercise of Stock Options Nil Nil 37,04,625
    Balance as on March 31, 2010      
    Account Payable Nil Nil Nil
    Account Receivable Nil Nil Nil
  • In accordance with the Accounting Standard on ‘Earning Per Share’ (AS 20) notified by the Companies (Accounting Standards) Rules, 2006, the EPS are as follows :
    • The Earning Per Share (EPS) is calculated as follows :
      Particulars 2010-11 2009-10
      (i) Net profit attributable to Equity Share Holders 91,51,17,611 68,95,85,678
      (ii) Weighted Average number of shares for computation of Basic Earning Per Share 3,49,38,346 3,46,71,607
      (iii) Nominal Value of Equity Shares 10/- 10/-
      (iv) EPS – Basic 26.192 19.889
      (v) EPS – Diluted 26.129 19.847
    • The Basic Earning Per Share have been computed by dividing the Profit After Tax by the weighted average number of equity shares for the respective periods. The weighted average number of shares have been derived as follows :
      • For the year 2010-11 :
        Particulars No. of Shares Days
        (i) Equity Shares at the beginning of the year 3,47,25,150 29
        (ii) Allotment of shares under ESOS 2007 4,32,483 336
        (iii) Weighted Average number of shares for computation of Basic Earning Per Share 3,49,38,346  
      • For the year 2009-10 :
        Particulars No. of Shares Days
        (i) Equity Shares at the beginning of the year 3,46,51,960 135
        (ii) Allotment of shares under ESOS-2005 & 2007 73,190 230
        (iii) Weighted Average number of shares for computation of Basic Earning Per Share 3,46,71,607  
    • The Diluted Earning Per Share have been computed by dividing the Profit After Tax by the weighted average number of equity shares, after giving dilute effect of outstanding Stock Options for the respective periods. The relevant details are as follows :
      Particulars 2010-11 2009-10
      (i) Weighted Average number of shares for computation of Basic Earning Per Share 3,49,38,346 3,46,71,607
      (ii) Dilute effect of outstanding Stock Options 84,636 74,110
      (iii) Weighted Average number of shares for computation of
      Diluted Earning Per Share      		 3,50,22,982 3,47,45,717
  • In accordance with Accounting Standard on ‘Accounting for Taxes on Income’ (AS 22) notified by Companies (Accounting Standards) Rules, 2006 the Company is accounting for deferred tax.

    The Break up of deferred tax asset / liability as on March 31, is as follows :

    Description 2011 2010
    (A) Deferred Tax Liability    
    Depreciation 1,03,07,487 87,05,974
    Total (A) 1,03,07,487 87,05,974
    (B) Deferred Tax Asset    
    Provision for NPA 9,27,35,352 9,48,91,988
    Others (Net) 1,02,83,551 72,42,712
    Total (B) 10,30,18,903 10,21,34,700
    Net (Asset) / Liability (9,27,11,416) (9,34,28,726)
  • Employee Share Based Payment
    • As on March 31, 2011 the Company has the following Employee Stock Option Schemes, the features of the same are as follows :
      Scheme ESOS – 2011 ESOS – 2007
      Date of Grant February 10, 2011 November 20, 2007
      Number of options granted 11,72,849 7,94,979
      Exercise Price per option 317.85 164.65
      Date of vesting The vesting will be as under :
      30% on February 10, 2012
      35% on February 10, 2013
      35% on February 10, 2014      		 The vesting will be as under :
      30% on November 20, 2008
      35% on November 20, 2009
      35% on November 20, 2010
      Exercise Period Within 3 years from the date of respective vesting. Within 3 years from the date of respective vesting.
      Method of settlement Through allotment of one Equity Share for each option granted. Through allotment of one Equity Share for each option granted.
    • Intrinsic Value Method has been used to account for the employee share based payment plans. The intrinsic value of each stock option granted under the ESOS – 2011 and ESOS – 2007 plan is Nil since the market price of the underlying share at the grant date was same as the exercise price and consequently the accounting value of the option (compensation cost) is . Nil.
    • Further details of the stock option plans is as follows :
      Particulars ESOS – 2011 ESOS – 2007
      Options Outstanding at start of year Nil 4,05,638
      Options granted during the year 11,72,849 Nil
      Options not vested at the start of year Nil 2,07,270
      Options Lapsed during the year Nil 21,100
      Options Exercised during the year Nil 4,32,483
      Options vested but not exercised at end of year Nil 1,59,325
      Options not vested at end of year 11,72,849 Nil
      Weighted Average Exercise Price per Option 317.85 164.65
    • The Black-Scholes-Mertons Option Pricing Model have been used to derive the estimated value of stock option granted if the fair value method to account for the employee share based payment plans were to be used. The estimated value of each stock options and the parameters used for deriving the estimated value of Stock Option granted under Black-Scholes-Mertons Option Pricing Model is as follows;
      Particulars ESOS – 2011
      Vesting on February 10, 2012      		 ESOS – 2011
      Vesting on February 10, 2013      		 ESOS – 2011
      Vesting on February 10, 2014      		 ESOS – 2007
      Vesting on November 20, 2010
      Estimated Value of Stock Options 51.00 67.00 75.00 26.00
      Share Price at Grant Date 317.85 317.85 317.85 164.65
      Exercise Price 317.85 317.85 317.85 164.65
      Expected Volatility (%) 30.00 30.00 30.00 25.00
      Dividend Yield Rate (%) 2.20 2.90 3.75 6.25
      Expected Life of Options (in days) 455 821 1186 1055
      Risk Free Rate of Interest (%) 7.54 7.65 7.85 7.66
    • Had the compensation cost for the stock options granted under ESOS – 2011 and ESOS – 2007 been determined on fair value approach, the Company’s net profit and earning per share would have been as pro forma amounts indicated
      below :
      Particulars 2010-11 2009-10
      Net Profit After Tax as reported 91,51,17,611 68,95,85,678
      Less : Amortisation of Compensation Cost (pro-forma) 64,91,662 34,11,516
      Net profit considered for computing EPS (pro-forma) 90,86,25,949 68,61,74,162
      Earning Per Share – (Basic)    
      – as reported 26.192 19.889
      – pro-forma 26.007 19.791
      Earning Per Share – (Diluted)    
      – as reported 26.129 19.847
      – pro-forma 25.944 19.748
    • During the year, the Company has issued 4,32,483 and Nil (Previous Year 69,292 and 3,898) shares on exercise of Options granted to its employees and directors under ESOS Scheme – 2007 and 2005 respectively.
  • Managerial Remuneration :
    Particulars 2010-11 2009-10
    Salary 44,95,000 24,00,000
    Contribution to Provident Fund and Superannuation Fund 12,13,650 6,48,000
    Leave Encashment 3,00,000 2,00,000
    Perquisites 38,97,000 24,00,000
    Ex-Gratia 42,00,000 30,00,000
      1,41,05,650 86,48,000

    The above remuneration is excluding Contribution to the Gratuity Fund of 20,17,892/- (Previous Year 6,79,256/-)

    During the year, managerial remuneration was paid to two whole-time Directors (Managing Director & Executive Director) as against one whole-time Director (Managing Director) in the previous year.

  • During the year, Auditors have been paid remuneration of 15,82,860/- (Previous Year 15,85,786/-). Brief details of remuneration paid to them are as follows :
    Particulars 2010-11 2009-10
    Audit Fees 8,00,000 8,00,000
    Tax Audit Fees 1,60,000 1,60,000
    Other Certification Work 4,87,500 4,16,001
    Reimbursement of Expenses 1,35,360 2,09,785
      15,82,860 15,85,786
  • Sundry Creditors include Nil (Previous Year Nil) payable to “Suppliers” registered under the Micro, Small and Medium Enterprises Development Act, 2006. No interest has been paid / payable by the Company during the year to the “Supplier” covered under the Micro, Small and Medium Enterprise Development Act, 2006.
  • Miscellaneous Expenses includes Expenses for Recovery 68,69,581/- (Previous Year 78,25,257/-), Expenses on Statutory advertisement of 10,51,266/- (Previous Year 12,04,338/-) and Loss on Sale of Acquired Properties

    17,31,772/- (Previous Year 16,46,932/-).
  • Amount remitted during the year in foreign currency on account of dividend :
    Particulars 2010-11 2009-10
    i) Number of Non-resident Shareholders 1 1
    ii) Number of shares held by them 1,25,000 1,25,000
    iii) Year to which dividend relates 2009-10 2008-09
    iv) Amount remitted 8,12,500 6,00,000
  • In respect of equity shares issued pursuant to Employee Stock Option Schemes the Company has paid dividend of 8,02,325/- for the year 2009-10 (Previous year Nil) and tax on dividend of 1,33,256/- (Previous year Nil) as approved by the share holders at the Annual General Meeting held on June 29, 2010.
  • There are no indications which reflects that any of the assets of the Company had got impaired from its potential use and therefore no impairment loss was required to be accounted in the current year as per Accounting Standard on ‘Impairment of Assets’ (AS 28) notified by the Companies (Accounting Standards) Rules, 2006.
  • Figures for the Previous Year have been re-grouped or recast wherever necessary.