(a) Defined Benefit Plans: - The Company provides for gratuity benefit under a defined benefit retirement scheme (the "Gratuity Scheme") as laid out by the Payment of Gratuity Act, 1972 of India covering eligible employees.  The Gratuity Scheme provides for a lump sum payment to employees who have completed at least five years of service with the Company, based on salary and tenure of employment. Liabilities with regard to the gratuity scheme are determined by actuarial valuation carried out using the Projected Unit Credit Method by an independent actuary. The Gratuity liability is funded by payment to the trust established with Life Insurance Corporation of India.     
      
      
      
      
 The following table sets out the funded status of the gratuity scheme in respect of employees of the Company:     
I Assumptions used   "Year ended
31 March 2017" "Year ended
31 March 2016" 
 Mortality   Indian Assured Lives (2006-08) Ultimate Mortality  table Indian Assured Lives (2006-08) Ultimate Mortality  table 
      
      
 Interest / discount rate   6.83% 7.51% 
 Rate of increase in compensation   10.00% 10.00% 
 Rate of return (expected) on plan assets      
 Employee attrition rate (based on past service)   1 to 5 years : 20% 1 to 5 years : 20% 
    5 to 10 years : 5% 5 to 10 years : 5% 
    10 to 40 years : 0% 10 to 40 years : 0% 
 Expected average remaining service (in years)   12.13 11.79 
      
II Changes in brsent value of obligations     
 Present value of obligation at the beginning of the year    40,493,967   36,065,129  
 Interest cost    2,984,505   2,760,608  
 Current service cost    5,471,107   4,678,924  
 Benefits paid    (1,507,097)  (3,115,054) 
 Actuarial (gain)/loss on obligation     2,824,128   104,360  
 Present value of obligation at the end of the year  (A)  50,266,610   40,493,967  
      
III Changes in fair value of plan assets     
 Fair value of plan assets at beginning of year    23,065,248   21,229,194  
 Adjustment to opening balance    (304,714)  -    
  Expected return on plan assets    1,939,457   1,872,760  
 Contributions    3,580,074   3,229,065  
 Benefit paid    (1,507,097)  (2,881,515) 
 Actuarial gain/(loss) on plan assets    (120,880)  (384,256) 
 Fair value of plan assets at end of year  (B)  26,652,088   23,065,248  
 Unfunded status  (A) - (B)  23,614,522   17,428,719  
 Actual return on plan assets    1,818,577   1,488,504  
      
      
IV Actuarial gain/(loss) recognized     
 Actuarial gain/(loss) for the period (obligation)     (2,824,128)  (104,360) 
 Actuarial gain/(loss) for the period (plan assets)     (120,880)  (384,256) 
 Total gain/(loss) for the year    (2,945,008)  (488,616) 
 Actuarial gain/(loss) recognized for the year    (2,945,008)  (488,616) 
      
V Amounts recognized in the Balance Sheet and Statement of Profit and Loss     
 Present value obligation at end of year    50,266,610   40,493,967  
 Fair value of plan assets at end of year    26,652,088   23,065,248  
 Funded Status    (23,614,522)  (17,428,719) 
 Net Asset/(liability) recognized in the Balance Sheet    (23,614,522)  (17,428,719) 
      
VI Expense recognized in the Statement of Profit and Loss     
 Current service cost     5,471,107   4,678,924  
 Interest cost    2,984,505   2,760,608  
 Expected return on plan assets    (1,939,457)  (1,872,760) 
 Net Actuarial (gain)/loss recognized during the year     2,945,008   488,616  
 Expense recognized in the Statement of Profit and Loss    9,461,163   6,055,388  
      
VII Category of assets as at the year end:     
 Insurer Managed Funds (100%)   100% 100% 
      
VIII Experience history* "Year ended
31 March 2017" "Year ended
31 March 2016" "Year ended
31 March 2015" "Year ended
31 March 2014" 
 (Gain)/Loss on obligation due to change in Assumption   3,747,204   2,070,825   -     -    
 Experience (gain)/ loss on obligation  (923,076)  (1,966,465)  (3,222,117)  (8,771,688) 
 Actuarial gain/(loss) on plan assets  (120,880)  (384,256)  (456,873)  (1,447,061) 
 * In Absence of the availability of  information relating to experience adjustment on plan liabilities and plan assets for the year ended 31st March 2013  the same  have not been furnished above.     

Segment Reporting      
A) Primary segment: Business segment      
The Company is in the business of manufacturing of tanks. For the purpose of disclosure of segment information, the Company considers this activity as a single business segment.        
      
      
B) Secondary segment: Geographical segment      
Secondary segments have been identified with reference to geographical location of customers. Composition of secondary segments is as follows:      
a) Domestic      
b) Overseas (includes deemed exports)      (Amount in `)
Particulars Domestic  Overseas  Total 
1) Segment revenue  3,249,596,335    1,141,365,422    4,390,961,758  
      
      
2) Total carrying amount of Segment Assets  7,752,483,800    83,351,990    7,835,835,790  
      
      
3) Total cost incurred during the period to acquire segment assets that are expected to be used during more than one period   72,762,882    Nil    72,762,882  
      

a) Basis of Accounting:  
   
 The consolidated financial statements of the Company and its subsidiaries (together the Group) have been brpared as per historical cost convention and in accordance with the generally accepted accounting principles in India. The applicable accounting standards have been followed in brparation of these financial statements  
   
   
b) Principles of Consolidation:  
   
 The Consolidated financial statements are brpared on the following basis:  
- The financial statements of the subsidiaries used in the consolidation are drawn up to the same reporting date as that of the Parent Company, i.e. year ended 31st March. Certain foreign subsidiaries follow January to December as their financial year. In the case of these foreign subsidiaries the Company has redrawn their financial statements for the year ended 31st March.  
   
   
- The Financial statements of the Company and its subsidiaries for the accounting year have been consolidated on a line-by-line basis by adding together the book values of like items of assets, liabilities, income and expenses, after eliminating intra-group balances and unrealized profits or losses on intra group transactions.  
   
   
- The operations of Company's foreign Subsidiaries are considered as non-integral operations for the purpose of Consolidation.  
- Minority interest in the net assets of consolidated subsidiaries consists of the amount of equity attributable to the minority shareholders at the dates on which investments are made by the Holding company in the subsidiary companies and further movements in their share in the equity, subsequent to the dates of investments.  
   
   
- The excess of cost to the Company of its investments in each of the subsidiaries over its share of the equity in the respective subsidiary on the acquisition date, is recognized in the Consolidated Financial Statements as 'Goodwill on Consolidation' and carried in the balance sheet as an asset. Where the share of equity in the subsidiary companies as on the date of investment is in excess of cost of investment of the company, it is recognized as 'Capital Reserve on Consolidation' and shown under the head 'Reserve and Surplus', in the consolidated financial statements.   
   
   
   
- The difference between the proceeds from the disposal of Investments in Subsidiary and the Carrying amount of its assets and liabilities as on the date of disposal in recognized as profit or loss of investment in the subsidiary in the Consolidated Statement of Profit and Loss.  
- The Goodwill on consolidation is not amortized but tested for impairment.  
- The following subsidiary companies are considered in Consolidated Financial Statements  
 Name of Subsidiary Company Country of Incorporation % of ownership Interest
 Cryogenic Vessel Alternatives Inc. USA 100%
 INOXCVA Comercio E Industria De Equipmentos Criogenicos Ltda. Brazil 99.97%
 INOXCVA Europe B.V.  Netherlands, Europe 100%
 Cryogenic Vessel Alternatives Inc. Canada* Canada 100% through Cryogenic Vessel Alternatives Inc.
 * 100% Subsidiary of Cryogenic Vessel Alternatives Inc.  
- As far as possible, the consolidated financial statements are brpared using uniform accounting policies for like transactions and other events in similar circumstances and appropriate adjustments are made to the financial statements of subsidiary when they are used in brparing the consolidated financial statements that are brsented in the same manner as the Company's separate financial statements.  
   
   
   
c) Use of Estimates:  
 The brparation of consolidated financial statements requires the management to make estimates and assumptions that affect the reported amount of assets and liabilities and disclosure of contingent liabilities as at the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Management believes that these estimates and assumptions are reasonable and prudent. However, actual results could differ from estimates. Differences between the actual results and the estimates are recognised in the period in which the same are known/materialised.  
   
   
   
   
   
d) Revenue Recognition  
- Revenue from sale of goods when the significant risks and rewards of ownership of the goods have passed to the customers, which is generally at the point of dispatch of goods or on completion of installation and inspection by the customer, as per terms and conditions of the contract. Sales are inclusive of excise duty but are net of sales returns, sales tax and rate difference adjustments if any.  
   
   
- Revenue from services is recognised as and when the services are rendered and when significant terms and conditions of the contract are completed.  
- Revenue from sale of power is recognised upon deposit of units of generated power at the grid of the purchasing electricity company on rates agreed with the beneficiaries, excluding service charge where separately indicated in the agreement.  
- Commission income is recognized on accrual basis.  
- Dividend income is recognised in the year in which the right to receive dividend is established.  
- Assets leased out under operating leases are capitalized. Rental income is recognized on accrual basis over the lease term.  
- Interest on investments is booked on a time proportion basis taking into account the amounts invested and the rate of interest.  
- Export incentives are accrued in the year when the right to receive credit is established in respect of exports made and are accounted to the extent there is no significant uncertainty about the measurability and ultimate realization/ utilization of such benefits/ duty credit.  
- Insurance and other claims are recognised only when it is reasonably certain that the ultimate collection will be made.  
   
e) Property Plant and Equipment:  
 Property, Plant and Equipment's (PPE) comprises of Tangible assets and Capital Work in progress. PPE are stated at cost, net of tax/duty credit availed, if any, after reducing accumulated debrciation until the date of the Balance Sheet. The Cost of an PPE comprises of its purchase price or its construction costs (net of applicable tax credit, if any), any cost directly attributable to bring the asset into the location and condition necessary for it to be capable of operating in the manner intended by the management. It includes professional fees and, for qualifying PPE, borrowing costs capitalised in accordance with the Company's accounting policy. Such properties are classified to the appropriate categories of PPE when completed and ready for intended use. Parts of an item of PPE having different useful lives and material  value and subsequent expenditure on PPE arising on account of capital improvement or other factors are accounted for as separate components. Capital work in progress includes the cost of PPE that are not yet ready for the intended use.  
   
   
 Debrciation of PPE commences when the assets are ready for their intended use.  Debrciation is provided on the cost of PPE (other than properties under construction) less their residual values, using straight line method over the useful life of the PPE as stated in the Schedule II to the Companies Act, 2013 or based on technical assessment by the Company. Estimated useful lives of these assets are as under:-  
   
   
 Nature of Assets Assets useful life (in years) 
 Building 9 to 60 
 Plant and Machinery 3 to 25 
 Windmill 18 to 25 
 Office Equiptments 3 to 6 
 Furniture and Fixtures 10 
 Vehicles 8 
 Technical Know-How 5 
 Softwares 6 
   
 Debrciation on assets of subsidiary company, Cryogenic Vessel Alternatives, Inc are debrciated over their estimated useful lives using the straight-line and accelerated methods at the following rates:  
   
 Nature of Assets Assets useful life (in years) 
 Buildings 10 to 40  
 Shop Equipment 3 to 40  
 Leasehold and land improvements 10 to 20  
 Automotive 5 to 10  
 Office Equipment 3 to 10  
   
 Debrciation on assets of Subsidiary Company, INOXCVA comercio e industria de equipamentos criogenicos ltda, Brazil are calculated using the straight-line method, based on the rates of useful lives of the useful life of assets as determined by the Brazilian tax legislation.  
   
   
f) Intangible Assets and amortisation:  
 Intangible assets are recognized only if it is probable that future economic benefits that are attributable to the assets will flow to the enterprise and the cost of assets can be measured reliably. The intangible assets are recorded at cost and are carried at cost less accumulated amortization and accumulated impairment losses, if any. Intangible assets are amortized over the estimated period of benefit, not exceeding five years.  
   
   
   
g) Impairment of Assets:  
 The Group assesses at each Balance Sheet date whether there is any indication that an asset may be impaired. If any such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs is less than its carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognized in the Statement of Profit and Loss. If at the Balance Sheet date, there is an indication that if a brviously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at the recoverable amount.  
   
   
   
   
   
   
h) Investments  
 Investments are either classified as current or long term based on the management contention at the time of purchase. Long term investments are shown at cost. However, when there is decline, other than temporary in the value of long term investment, the carrying amount is reduced to recognise the decline. Current investments are stated at lower of cost or market value.  
   
   
   
i) Inventories  
 Inventories of are valued at cost or net realizable value whichever is lower. The inventories of holding company and its subsidies are valued on following basis except raw material component in stock of Subsidiary Cryogenic Vessal Alternatives, Inc are valued at First in First out basis:  
   
 Inventories Cost Formula 
 Raw Material  At weighted average cost 
 Stores and Spares At weighted average cost 
 Work in Process Raw material cost plus conversion cost, wherever applicable 
 Finished Goods Cost rebrsents raw material, labour and appropriate proportion of manufacturing expenses and overheads. Excise duty applicable thereon is included for valuation purpose. 
 Raw Material - Goods in transit At invoice value 
   
   
   
   
j) Employee Benefits  
 Post employment benefits:  
 -Defined contribution plan: Group contribution to provident fund, superannuation fund, employee state insurance and other funds are determined under the relevant schemes and /or statute and charged to consolidated statement of profit and loss in the period of incurrence when the services are rendered by the employees.  
 "-Defined Benefit Plans: The group's liability towards gratuity, other retirement benefits for all employees are determined using the Projected Unit Credit method. Actuarial valuations under the Projected Unit Credit method are carried out at the balance sheet date. Actuarial gains and losses are recognized in the Consolidated Statement of Profit and Loss  in the period of occurrence of such gains and losses. Past service cost is recognized immediately to the extent that the benefits are already vested and otherwise it is amortized on straight-line basis over the remaining average period until the benefits become vested.
The retirement benefit obligation recognised in the balance sheet rebrsents the brsent value of the defined benefit obligation as reduced by the plan assets."  
 Short term employee benefits:  
 Short-term employee benefits expected to be paid in exchange for the services rendered by employees are recognised undiscounted during the period employee renders services. These benefits include salary, wages, bonus, performance incentives etc.  
 Long term employee benefits:  
 Compensated absences which are not expected to occur within twelve months after the end of the period in which the employee renders the related services are recognized as an actuarially determined liability at brsent value of the defined benefit obligation at the balance sheet date.  
   
   
k) Leases  
 Assets acquired on leases where a significant portion of the risks and rewards of ownership are retained by the lessor are classified as operating leases. Lease rentals are charged to the Consolidated Statement of Profit and Loss.  
 Assets leased out where a significant portion of the risks and rewards of ownership are retained by the company are classified as operating leases. Lease rentals are recognised in the Consolidated Statement of Profit and Loss.  
   
l) Borrowing Cost  
 Borrowing costs are interest and other costs (including exchange differences arising from foreign currency borrowings to the extent that they are regarded as an adjustment to interest costs) incurred in connection with the borrowing of funds. Borrowing costs directly attributable to acquisition or construction of those tangible fixed assets which necessarily take a substantial period of time to get ready for their intended use are capitalised. Other borrowing costs are recognised as an expense in the period in which they are incurred.  
   
   
   
   
m) Foreign Exchange Transactions  
 Initial Recognition - Transactions denominated in foreign currencies are recorded at the rates of exchange brvailing on the date of the transaction.  
 Conversion - Monetary assets and liabilities denominated in foreign currency are converted at the rate of exchange brvailing on the date of the Consolidated Balance Sheet.  
 Exchange Differences - All exchange differences arising on settlement / conversion of foreign currency transaction, except on long term foreign currency monetary items as mentioned below, are included in the Consolidated Statement of Profit and Loss in the year in which they arise.  
   
 The Ministry of Corporate Affairs, vide its Notification no. G.S.R. 914(E), dated 29 December 2011, amended Accounting Standard 11 - 'The Effects of Changes in Foreign Exchange Rates (Revised 2003)', notified under the Companies (Accounting Standards) Rules, 2006, to the extent it relates to the recognition of losses or gains arising on restatement of long-term foreign currency monetary items in respect of accounting periods commencing on or after 1 April 2011. Based on the notification, the group has exercised the option to adopt the aforesaid policy irrevocably for accounting periods commencing from 1 April 2011, in respect of  long term foreign currency monetary items and accordingly, has accumulated the exchange differences arising on reporting of such long-term foreign currency monetary items in respect of non-debrciable assets in "Foreign Currency Monetary Item Translation Difference Account", which would be amortised over the balance period of the long-term monetary items and in case exchange differences on account of  debrciable assets has added/deducted from the cost of debrciable assets, which would be debrciated over the balance life of the assets.  
   
   
   
   
   
   
   
   
 Forward Contracts: Exchange differences in respect of forward exchange contracts entered into by the group to hedge foreign currency risk of firm commitments or highly probable forecast transactions are accounted for on settlement, however losses, if any, are provided for in each period.  
   
   
n) Taxes on income  
 The provision for taxation is ascertained on the basis of assessable profits computed in accordance with the provisions of the applicable tax laws.  
 Deferred tax assets and liabilities are recognized on timing differences, being the differences between taxable income and accounting income, that originate in one period and are capable of reversal in one or more subsequent periods using tax rates that have been enacted or substantively enacted at the balance sheet date. Deferred tax assets, other than on unabsorbed debrciation and carried forward losses, are recognised only if there is reasonable certainty that they will be realised in the future. Deferred tax assets in respect of unabsorbed debrciation and carry forward losses are recognized if there is virtual certainty that there will be sufficient future taxable income available to realize such losses. Deferred Tax assets are reviewed at each balance sheet date for their realisability.  
   
o) Provisions, Contingent Liabilities and Contingent Assets  
 Provisions are recognized when there is a brsent obligation as a result of a past event that probably requires an outflow of resources and a reliable estimate can be made of the amount of the obligation. A disclosure for a contingent liability is made when there is a possible obligation or a brsent obligation that may, but probably will not, require an outflow of resources. Where there is a possible obligation or a brsent obligation that the likelihood of outflow of resources is remote, no provision or disclosure is made. Contingent assets are neither recognised nor disclosed.