Good Health Can’t Wait.

Consolidated Financial Statements
Annual Report 2014 - 15
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS (All amounts in Indian Rupees millions, except share data and where otherwise stated)
2.7: FIXED ASSETS
GROSS BLOCK DEPRECIATION / AMORTISATION / IMPAIRMENT NET BLOCK
DESCRIPTION
Tangible Assets
AS AT
ADDITIONS DELETIONS
1 APRIL 2014
FOREIGN
EXCHANGE
ADJUSTMENTS
(a)
AS AT
31 MARCH
2015
AS AT
1 APRIL
2014
DEPRECI-
ATION /
AMORTISA-
TION FOR
THE YEAR
IMPAIRMENT
DELETIONS
(b)
FOREIGN
EXCHANGE
ADJUSTMENTS
(a)
Land 3,799 12 1 (63) 3,747 - - - - - - 3,747 3,799
Buildings
Owned 14,042 1,246 60 52 15,280 2,687 595 - 24 2 3,260 12,020 11,355
Assets taken on finance lease 965 2 - (152) 815 169 48 - - (42) 175 640 796
Leasehold improvements 439 121 - - 560 31 52 - - - 83 477 408
Plant and machinery
Owned 30,634 6,118 926 (236) 35,590 15,027 3,274 - 736 (123) 17,442 18,148 15,607
Assets taken on finance lease 13 - - (2) 11 5 3 - - (1) 7 4 8
Electrical equipment 3,345 1,260 12 5 4,598 1,649 462 - 10 1 2,102 2,496 1,696
Laboratory equipment
Owned 5,388 1,151 152 (46) 6,341 3,001 635 - 105 (19) 3,512 2,829 2,387
Assets taken on finance lease 5 - - - 5 5 - - - - 5 - -
Furniture, fixtures and office
equipment
Owned 3,799 536 216 (48) 4,071 2,634 501 - 184 (35) 2,916 1,155 1,165
Assets taken on finance lease 1 - - - 1 1 - - - - 1 - -
Vehicles
Owned 263 63 82 (3) 241 201 37 - 73 (1) 164 77 62
Assets taken on finance lease 254 109 - - 363 41 78 - - - 119 244 213
Total tangible assets (A) 62,947 10,618 1,449 (493) 71,623 25,451 5,685 - 1,133 (218) 29,786 41,837 37,496
Previous Year 52,474 10,581 990 882 62,947 21,058 4,724 - 603 272 25,451 37,496
Intangible assets
Goodwill 37,683 259 - (6,008) 31,934 31,735 1,009 - - (5,213) 27,531 4,403 5,948
Customer contracts 746 - - 22 768 730 14 - - 20 764 4 16
Copyrights and patents (including
16,119 - - (2,052) 14,067 14,125 353 - - (2,117) 12,361 1,706 1,994
marketing / distribution rights)
Technical know how 673 11 - - 684 617 23 - - - 640 44 56
Product related intangible 982 5,454 - (73) 6,363 110 468 267 - (8) 837 5,526 872
Others 26 271 - - 297 - 47 - - - 47 250 26
Total intangible assets (B) 56,229 5,995 - (8,111) 54,113 47,317 1,914 267 - (7,318) 42,180 11,933 8,912
Previous year 48,420 597 319 7,531 56,229 39,330 1,751 - 231 6,467 47,317 8,912
Total (A+B) 119,176 16,613 1,449 (8,604) 125,736 72,768 7,599 267 1,133 (7,536) 71,966 53,770 46,408
Previous year 100,894 11,178 1,309 8,413 119,176 60,388 6,475 - 834 6,739 72,768 46,408
AS AT
31 MARCH
2015
AS AT
31 MARCH
2015
AS AT
31 MARCH
2014
(a) Foreign exchange adjustments represents exchange differences resulting from translation of fixed assets relating to non-integral foreign operations.
(b) Based on the performance of and expected cash flows from some of the product related intangibles, the Company reassessed the recoverable amounts of such intangibles and determined that their carrying
amount was higher than the recoverable amount. Accordingly, an amount of ` 267 was recorded as an impairment loss during the year ended 31 March 2015 under “Other expenses”.
(c ) The Company has capitalised borrowing cost of ` 31 (previous year: ` 77) during the year ended 31 March 2015.
(d) Additions to product related intangibles during the year 31 March 2015 includes ` 5,097 towards the acquisition from Novartis Consumer Health Inc. of the title and rights to its Habitrol® brand. Refer to Note
2.41 for further details.
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