Bansisons Tea Industries Limited has issued a clarification to BSE regarding compliance matters related to its FY2020-21 financial results. The company addressed queries raised by the exchange concerning the non-submission of Declaration on Impact of Audit Qualifications along with its financial statements.

Audit Compliance Clarification

The company clarified that its statutory auditors R.K. Bihani Associates issued an unmodified/unqualified audit report for the financial year ended March 31, 2021. The audit report contained no qualifications, reservations, adverse remarks, or disclaimers of opinion. Consequently, the requirement to submit a Declaration on Impact of Audit Qualifications under Regulation 33(3)(d) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 was not applicable to the company for the said financial year.

The company emphasized that the non-submission of the declaration was inadvertent and without any malafide intent. As advised by BSE officials, the company resubmitted its financial results for FY2020-21 along with the clarification letter to ensure full compliance with exchange requirements.

Financial Performance Overview

The company's financial results for FY2020-21 showed a significant improvement compared to the previous year. Bansisons Tea Industries reported revenue from operations of ₹15.00 lakhs, maintaining the same level as FY2019-20.

The company achieved a turnaround in profitability, recording a net profit of ₹7.89 lakhs in FY2020-21 compared to a net loss of ₹1.79 lakhs in the previous year. This improvement was driven by higher other income and controlled expenses.

Operational Highlights

The company's primary business involves leasing of tea garden for plucking and sale operations. During FY2020-21, the company maintained its operational focus while implementing cost management measures. Employee costs remained stable at ₹2.90 lakhs, while other expenses decreased significantly from ₹11.86 lakhs to ₹6.13 lakhs, contributing to improved profitability.

Balance Sheet Position

As of March 31, 2021, the company maintained a stable financial position with total assets of ₹62.20 lakhs. The company's equity base remained unchanged at ₹61.98 lakhs in share capital, though accumulated losses reduced the overall shareholders' fund to ₹52.71 lakhs.

The company requested BSE to take the clarification on record and treat the matter as complied with, demonstrating its commitment to maintaining transparency and regulatory compliance in its reporting obligations.

Bansisons Tea Industries Limited has reported its audited financial results for the financial year ended March 31, 2022, showing a substantial decline in profitability despite stable revenue performance.

Financial Performance Overview

The company's financial performance for FY22 reflected challenging operational conditions, with net profit declining significantly year-over-year.

Revenue and Income Analysis

Revenue from operations remained unchanged at ₹150.00, primarily from lease rent income from tea garden operations. However, other income decreased to ₹39.37 from ₹52.99 in the previous year, mainly due to lower interest received. The company's total income declined by 6.71% to ₹189.37.

Expense Structure

Total expenses increased substantially by 68.32% to ₹185.36, driven by higher employee benefit expenses and other operational costs. Employee benefit expenses rose to ₹48.11 from ₹28.95, while other expenses increased significantly to ₹117.25 from ₹61.28. Depreciation expenses remained relatively stable at ₹20.01 compared to ₹19.89 in FY21.

Balance Sheet Position

The company's financial position as of March 31, 2022:

Audit and Compliance

The company received an unmodified audit opinion from its statutory auditors, R.K. Bihani Associates, for the financial year 2021-22. The auditors confirmed that no qualifications, reservations, adverse remarks, or disclaimers were expressed in the audit report. The company submitted clarification to BSE regarding the initial non-submission of audit reports along with financial results, stating it was inadvertent and without malafide intent.

Earnings Per Share

Earnings per share declined significantly to ₹0.01 for FY22 from ₹0.13 in FY21, reflecting the substantial decrease in profitability. The weighted average number of equity shares remained constant at 61,97,550 shares.