Walker Chandiok&Co LLP

Charterad Accountantg

ffices in Bengaluru, chandigarh, Chennai, Gurgaon, flyderabad, Kochi, Kolkata, Mumbai, New Delhi, Noida and Pune

Walker Chandiok & Co Ll-P(Formerly Walker, Chandiok & Co)illst Floor, DLF SquareJacaranda Marg, DLF Phase llGurgaon 122002lndia

'l' +91 124 4628000

t +911244628001

Review Repot on Quartedy and Year to Date Financial Results of the Company pursuant to the

Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulationsr 2015

To the Board of Directots of Gobind Sugar Mills Limited

We have teviewed the accompanying statement of unaudited {tnancial tesults ('Statement) of Gobind

Sugar Mills Limited (the 'Company) for the quarter ended 30 Septembet 201.6 and the yeat to date

results for the period 1 April 201.6 to 30 September 201.6, attached herewith, being submitted by the

Company pursuant to the tequirements of Regulation 33 of the SEBI pisting Obligations and

Disclosure Requirements) Regulations, 2015. Attention is drawn to the fact that the figules for the

cotresponding quarter ended 30 September 201.5 and the coresponding year to date from 1 Aprt 201.5

to 30 September 2015 including the reconciliation of net profit/Qoss) undet Ind hS of the

aforementioned periods with net profit/(loss) reported undet the previous GAAP, as included in the

Statement have been approved by company's Boatd of Directots but have not been subject to limited

review or audit. This Statement is the responsibility of the Company's Management and has been

approved by the Board of Directors. Our responsibility is to issue a report on the Statement based on

our fevlew.

We conducted our review in accordance vdth the Standard on Review Engagement (SRE) 241t0, Review

of Intedm Financial Information Performed by the Independent Auditor of the Entity, issued by the

Institute of CharteredAccountants of India. This standard requires thatwe plan and petform the review

to obtain moderate assurance as to whethet the Statement is ftee of material misstatement. l\ review is

limited primanly to inquiries of company personnel and analyical ptocedutes, applied to ltnancial data

and thus provides less ass nce than an audit. We have not performed an audit and accotdingly, we

do not express an audit opinion.

As stated in Note 7 to the financial results, the Company continues to carry deferred tax assets of

Rs. 5,590.79lacs, net of defered tax l iabil i t ies (30June 2016: Rs 5,71.8.02Iacs;30 Septembet 2015:Rs 6,656.04 lacs) on items comprising unabsotbed depreciation, ca fotward of losses and other

timing differences, which, in view of the management, shall be realised on generation of taxable

profits in future years. However, in the absence of convincing evidences on availability of suffrcient

futute taxable profits, recognition of defetred tax assets, in out opinion, is not consistent with the

accounting principles as laid down undet Ind-AS L2,"Income Taxes", specified undet Clompanies

(Indian Accounting Standards) Rules, 2015 (Ind-AS) prescribed under Section 1!i3 of the

Companies Acq 201.3. Had the Company reversed these deferred tax assets, the tax expense fot

the quarter and sixmonths ended 30 September201,6 wouldhave been higherbyRs 5,590.79 lacs

(quartet ended 30 June 2016 would have been higher by Rs. 5,71.8.02 lacs and qtLattet and

2 .

3.

Walker Chandiok & Co LLP is registered wi$ limited liabilrtywith identification number MC2085 and its registeredoffice at 141 Connaught Circus, New Delhi, i 10001, India

Walker Chandiok &Co LLP

Review Repoft on Quartedy and Year to Date Financial Results of the Company pursuant to theRegulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015(cont'd)

six months ended 30 Septemb er 2015: Rs. 6,656.04 lacs), reported profit after tax of Rs.60.67 lacsand Rs 170.88 lacs for the quarter and six months ended 30 September 2016 respectively wouldhave converted into loss of Rs. 5,530.12 lacs and Rs 5,419.91 lacs for the quarter and six monthsended 30 September2016 respectively (tepoted ptofitafter tax of Rs. 110.21 lacs for the quarterended 30June 2016 would have convetted to loss after tax of Rs. 5,607.81 lacs, reported profrtafter tax of Rs 141.00 lacs for the quatter ended 30 September 201,5 would have converted intoloss of Rs 6,515.04lacs and loss of Rs 2,000.05lacs for the six months ended 30 September2015respectively would have incteased to loss of Rs. 8,656.09 lacs), and Reserves and Defered taxassets as at 30 September 2016 vrould have decreased by Rs.5,590.79 lacs. Our review report onthe financial results for the quarter and six months ended 30 September 2016, quarter ended30 June 2016 and quarter and six months ended 30 Septemb er 201,5 and the audit opinion on thefinancial statements fot the yeat ended 31 March 201.6were also qualified in respect of this matter.

4. As stated in Note 8 to the Fnancial results, the Company recorded a subsidy income in respect ofinterest teimbutsement ftom Government of Uttar Pmdesh amounting to Rs 489.61 lacs during thequarter and half year ended 30 September 201,6 and Rs 539.37 lacs during the year ended31 Match 2016 as "Graflt related to income" under the head Other income. However, in our opinion,this subsidy is a "Grant related to speciftc frxed assets" and the recognition of this subsidy in Otherincome is not in accordance vdth the accounting principles laid down under Ind-AS 20 "Accountingfot Govetnment Gtants and Disclosure of Government Assistance" specified under Section 133 ofthe Companies Act, 201,3. Had the Company recorded this subsidy in accordance with Ind AS-20,teported profitaftet tax of Rs. 60.67 lacs andRs 170.88 lacs for the quarter and six months ended30 Septembet 2016 respectively would have converted into loss after tax of Rs. 951.11 lacs andRs. 840.90 lacs tespectively (reported profit after tax of Rs. 110.21 lacs for the quarter ended30 June 2016 would have convetted into loss aftet tax of Rs. 417.39 lacs), Reserves would havedecreased by Rs. 1,011.78lacs and Defetted income (liability) would have increased by Rs. 1,011.78lacs as at 30 September 2016.

5. Based on our teview conducted as above, except for the effects of qualifications as described in theprevious paragraphs (pangraph 3 and 4), nothing has come to our attention that causes us to believethat the accompanying Statement prepared in accordance w"ith applicable accounting standards, asnotihed under the Companies (Indian Accounting Standards) Rules, 2015 as specified in Section 133of the Companies Act, 201.3 and other tecognised accounting practices and policies has not disclosedthe infonnation required to be disclosedin terms of Regulation33 of the SEBI (Ii.ti.g Obligationsand Disclosure Requirements) Regulations, 2015 and SEBI Circular dated 5 July 2016, including themanner in which it is to be disclosed. ot that it contains anv r.rlateial misstatement.

For Walker Chandiok & Co LLP(fonner! l{/a/ker, Chandiok dt Co)Chartered Accountants

per Neeraj GoelPartnefMembership No. 099514

Place: GurgaonDate: 09 December 2016

Chartered AccountanB

Gobind Sugar Mil ls LimitedReqistered office : 9/1. Mukheriee Road. Kolkata. 700001

Unaudited Financial Results for the quarter ended 30 Seo 201 6 and half vear ended 30 Sep 201 6Rs. in la]S for

Particulars

Quarter ended Half year ended

30 Sep 2016 30 June 2016 30 Sep 2015 30 Sep 2016 30 Sep 201 5

(Unaudited) (Unaudited)(Unaudited -

Refer Note 5 ofNotes)

(Unaudited)(Unaudited -

Refer Note 5 ofNotes)

1. lncome form Operations

ia) Gross Salesib) Other Operating Incomefotal income from Operations2. ExpensesCost of Material consumedPurchases of Stock-in-TradeChanges in inventories of finished goods, stock inlrade work in progressExcise duty & Cess on sale of goodsEmployee benefits expenseDepreciation and amortisation expenseO'ther exoensesTotal expenses3. Profit from operations before other income,f inance cost & exceptional i tems (1 -21

4. Other income5. Profit from ordinary items before finance cost& exceptional items ( 3 + 4 )6. Finance cost7. Profit from ordinary items after finance costbut before exceptional items ( 5 - 6 )8. Execptional items9. Profit from ordinary items before tax ( 7 - 8 )10. Tax exoense:(i) Cunent tax(ii) Deferred tax charge/(credit)11 . Net Profit from ordinary items after tax( s - 1 0 )12. Extraordinary items1 3. Net Profit for the period ( '11 - 12 |14. Other Comprehensive Income, net of IncomeTax(i) ltems that will not be classified to profit or loss(ii) ltems that will be classified to profit or loss15. Total Gomprehensive Income for the period( 1 3 + 1 4 ! .16. Paid-up equity share capital17. Face value of the share (Rs.)18 (a). Earing per share (before extraordinaryitems) (of Rs. 10 each) (not annualised)(i) Basic(i i ) Di luted18 (b). Earing per share (afterextraordinaryitems) (of Rs. 10 each) (not annualised)(i) Basic(i i ) Di luted

5,730.369.57

5,739.93

( 3 4 . 1 1 )

4 ,183.55310.63321.202 1 1 . 9 0269.36

5,262.53

477.40706.60

1,184.00983.04

200.96

200.96

140.29

60.67

60.67

60.67320.00

10.00

1 . 9 01 . 9 0

1 . 9 01 . 9 0

8,779.8716.32

8,796.19

7 7 5 . 1 5

c ,ccJ .4J

474.83352.66209.97417.64

7,783.68

1,012.51229.36

1,241.871,048.62

193.25

193.25

83.04

110.21

110.21

't10.21

320.0010.00

3.443.44

3.443.44

8,145.97110.29

8,256.26

6.85

6,563.94303.00230.47

51.723 1 1 . 1 6

7,467.14

789.',t21 1 .95

801.07545.75

255.32

255.32

114.32

141.00

141.00

141.00320.00

10.00

4.414.41

4.414.41

14,510.2325.89

14,536.12

741.04

9,736.98785.46673.86421.87687.00

13,046.21

1,489.91935.96

2,425.872,031.66

394.21

394.21

zz3. ,5c

170.88

170.88

170.88320.00

10.00

5.345.34

5.34C.JZ+

11 ,250.48397.08

11,647.56

2,579.O3601.63

8,300.93518.78499.91103.43687.65

13,291.36

(1,643.80)31 .93

(1 ,611.87)1,447.48

(3,059.35)

(3,059.35)

(1,059.30)

(2,000.05)

(2,000.05)

(2,000.05)320.00

10.00

(62.50(62.s0

(62.50(62.50