Good Health Can’t Wait.

More documents

Recommendations

Info

Good Health Can’t Wait. Dr. Reddy’s Laboratories Limited NOTES TO FINANCIAL STATEMENTS (All amounts in Indian Rupees millions, except share data and where otherwise stated) 2.37: EMPLOYEE BENEFIT PLANS (CONTINUED) Expense recognized in the statement of profit and loss PARTICULARS FOR THE YEAR ENDED 31 MARCH 2015 FOR THE YEAR ENDED 31 MARCH 2014 Current service cost 136 116 Interest on defined benefit obligation 99 74 Expected return on plan assets (80) (56) Net actuarial losses / (gains) recognized in the year 2 31 Amount included in employee benefits expense 157 165 Actual return on plan assets 123 70 Contributions: The Company expects to contribute ` 100 to the Gratuity Plan during the year ending 31 March 2016. Asset information CATEGORY OF ASSETS AS AT 31 MARCH 2015 AS AT 31 MARCH 2014 Government of India securities - - Corporate bonds - - Insurer managed funds 99% 99% Others 1% 1% Total 100% 100% Summary of actuarial assumptions PARTICULARS AS AT 31 MARCH 2015 AS AT 31 MARCH 2014 Discount Rate 8% p.a. 9% p.a. Expected rate of return on plan assets 8% p.a. 9% p.a. Salary escalation rate 10% p.a. for first two years and 9% p.a. thereafter 11% p.a. for first two years and 10% p.a. thereafter Discount rate: The discount rate is based on the prevailing market yields of Indian government securities as at the balance sheet date for the estimated term of the obligations. Expected rate of return on plan assets: This is based on the expectation of the average long-term rate of return expected on investments of the fund during the estimated term of the obligations. Salary escalation rate: The estimate of future salary increases considered takes into account the inflation, seniority, promotion and other relevant factors. Amounts recognised in current year and previous four years AS AT / FOR THE YEAR ENDED 31 MARCH PARTICULARS 2015 2014 2013 2012 2011 Defined Benefit Obligation 1,236 1,040 875 646 584 Plan Assets 1,157 908 707 624 490 Surplus / (Deficit) (79) (132) (168) (22) (94) Experience Adjustment on Plan Liabilities 27 42 26 23 28 Experience Adjustment on Plan Assets 43 15 7 6 5 158
Standalone Financial Statements Annual Report 2014 - 15 NOTES TO FINANCIAL STATEMENTS (All amounts in Indian Rupees millions, except share data and where otherwise stated) 2.37: EMPLOYEE BENEFIT PLANS (CONTINUED) 2.37.2 Other benefits Provident fund benefits Certain categories of employees of the Company receive benefits from a provident fund, a defined contribution plan. Both the employee and employer each make monthly contributions to a government administered fund equal to 12% of the covered employee’s qualifying salary. The Company has no further obligations under the plan beyond its monthly contributions. The Company contributed ` 471 and ` 391 to the provident fund plan during the year ended 31 March 2015 and 2014 respectively. Superannuation benefits Certain categories of employees of the Company participate in superannuation, a defined contribution plan administered by the Life Insurance Corporation of India. The Company makes annual contributions based on a specified percentage of each covered employee’s salary. The Company has no further obligations under the plan beyond its annual contributions. The Company contributed ` 68 and ` 62 to the superannuation plan during the year ended 31 March 2015 and 2014 respectively. Compensated leave of absence The Company provides for accumulation of compensated absences by certain categories of its employees. These employees can carry forward a portion of the unutilized compensated absences and utilize it in future periods or receive cash in lieu thereof as per Company policy. The Company records an obligation for compensated absences in the period in which the employee renders the services that increases this entitlement. The total liability recorded by the Company towards this benefit was ` 542 and ` 412 as at 31 March 2015 and 2014 respectively. Long term incentive plan Certain senior management employees of the Company participate in a long term incentive plan which is aimed at rewarding the individual, based on performance of such individual, there business unit/function and the Company as a whole, with significantly higher rewards for superior performances. The total liability recorded by the Company towards this plan was ` 188 as of 31 March 2015. 2.38: DIVIDEND REMITTANCE IN FOREIGN CURRENCY The Company does not make any direct remittances of dividends in foreign currencies to American Depository Receipts (ADRs) holders. The Company remits the equivalent of the dividends payable to the ADR holders in Indian Rupees to the custodian, which is the registered shareholder on record for all owners of the Company’s ADRs. The custodian purchases the foreign currencies and remits it to the depository bank which inturn remits the dividends to the ADR holders. 2.39: BONUS DEBENTURES The Company had, on 24 March 2011, allotted 1,015,516,392, 9.25% unsecured, non-convertible, redeemable bonus debentures aggregating to ` 5,078. The interest was payable at the end of 12, 24 and 36 months from the initial date of issuance. The bonus debentures were redeemable at the end of 36 months from the initial date of issuance. These debentures were listed on the Bombay Stock Exchange Limited and National Stock Exchange of India Limited. As per the requirements of the Companies Act, 1956, the Company created a Debenture Redemption Reserve aggregating to ` 2,539 as at 24 March 2014. On 24 March 2014, the Company redeemed these debentures at par value of ` 5,078. Accordingly, the amount of ` 2,539 representing balance in Debenture Redemption Reserve was transferred to General Reserve upon redemption of debentures. 159
Page 1 and 2:
ANNUAL REPORT 2014-15 Good Health C
Page 3 and 4:
Our Brand We are in the business of
Page 5 and 6:
Corporate Overview Annual Report 20
Page 7 and 8:
Page 9 and 10:
Page 11 and 12:
Page 13 and 14:
Page 15 and 16:
Page 17 and 18:
Page 19 and 20:
Page 21 and 22:
Page 23 and 24:
Page 25 and 26:
Page 27 and 28:
Page 29 and 30:
Statutory Reports • Business Resp
Page 31 and 32:
Page 33 and 34:
Page 35 and 36:
Page 37 and 38:
Page 39 and 40:
Page 41 and 42:
Page 43 and 44:
Statutory Reports • Management Di
Page 45 and 46:
Page 47 and 48:
Page 49 and 50:
Page 51 and 52:
Page 53 and 54:
Page 55 and 56:
Page 57 and 58:
Statutory Reports • Corporate Gov
Page 59 and 60:
Page 61 and 62:
Page 63 and 64:
Page 65 and 66:
Page 67 and 68:
Page 69 and 70:
Page 71 and 72:
Page 73 and 74:
Statutory Reports • Additional Sh
Page 75 and 76:
Page 77 and 78:
Page 79 and 80:
Page 81 and 82:
Page 83 and 84:
Page 85 and 86:
Page 87 and 88:
Statutory Reports • Board’s Rep
Page 89 and 90:
Page 91 and 92:
Page 93 and 94:
Page 95 and 96:
Page 97 and 98:
Page 99 and 100:
Page 101 and 102:
Page 103 and 104:
Page 105 and 106:
Page 107 and 108:
Page 109 and 110: Statutory Reports • Board’s Rep
Page 111 and 112: Standalone Financial Statements Ann
Page 159: Standalone Financial Statements Ann
Page 165 and 166: Consolidated Financial Statements A
Page 211 and 212:
Consolidated Financial Statements A
Page 213 and 214:
Page 215 and 216:
Page 217 and 218:
Page 219 and 220:
Page 221 and 222:
Page 223 and 224:
Page 225 and 226:
Page 227 and 228:
Notice Annual Report 2014 - 15 NOTI
Page 229 and 230:
E-Voting Annual Report 2014 - 15 IN
Page 231:
Dr. Reddy’s Laboratories Limited
Page 235 and 236:
The future belongs, not to those wh
show all

Good Health Can’t Wait.

Create successful ePaper yourself

Delete template?

Save as template?