ellora paper mills ltd Management discussions

Managements discussion and analysis of the financial condition and results of operations include forward looking statements based on certain assumptions and expectations of future events. The Company cannot assure that these assumptions and expectations are accurate. Although the Management has considered future risks as part of the discussions, future uncertainties are not limited to Management perceptions

OVERVIEW

The Financial Statements are prepared in accordance with Indian Accounting Standards (Ind AS) under historical cost convention on the accrual basis as per the provisions of the Companies Act, 2013 (the Act) (to the extend notified) and the guidelines issued by the Securities and Exchange Board of India (SEBI). The Ind AS are prescribed under Section 133 of the Act, read with Rule 3 of the Companies (Indian Accounting Standard) Rules, 2015 and relevant amendment rules issued thereafter. The company has adopted all the Ind AS Standards w.e.f April 01, 2017, the same being the transition date and adoption was carried out in accordance with Ind AS 101. Accordingly, Financial Statement for the year ended March 31, 2023 have been prepared in accordance with Ind AS prescribed under Section 133 of the Companies Act, 2013 and other accounting principles generally accepted in India. Previous periods figures (i.e. prepared in accordance with GAAP) have been restated as per Ind AS to make them comparable. The management of ELLORA PAPER MILLS LIMITED accepts responsibility for the integrity and objectivity of these financial statements

INDUSTRIAL STRUCTURE & DEVELOPMENTS Changing economic and business conditions, rapid technology, innovation and adoption and globalization are creating an increasingly competitive market environment that is driving corporations to transform the manner in which they operate. Companies in this environment are now focusing even more on their business objectives such as revenue growth, profitability and asset efficiency.

RISK MANAGEMENT & CONCERNS Risk in cost of raw materials, environmental liabilities, tax laws, labour relations, litigation and significant changes in the Global political and economic environment exert tremendous influence on the performance of the company. The Company has laid down procedures to inform Board Members about the risk assessment and minimization procedures.

SIGNIFICANT KEY FINANCIAL RATIOS:

Sr. No. Ratios	F Y 2022 - 2023	F Y 2020 - 2021	% of Change
1 Debt Equity Ratio	NA	NA	NA
2 Current Ratio	70%	-7%	NA
3 Debt Service coverage ratio	NA	NA	NA
4 Return on Equity Ratio	NA	NA	NA
5 Inventory Turnover Ratio	25%	0.198%	25%
6 Trade Receivables turnover ratio	8%	0.158%	8%
7 Trade payables turnover ratio	5%	0.038%	5%
8 Working capital turnover ratio	NA	NA	NA
9 Net profit ratio	-4255%	-151%	-4104%
10 Return on Capital employed	-33%	-28%	61%
11 Return on investment	NA	NA	NA