KYC is one time exercise with a SEBI registered intermediary while dealing in securities markets (Broker/ DP/ Mutual Fund etc.). | No need to issue cheques by investors while subscribing to IPO. Just write the bank account number and sign in the application form to authorise your bank to make payment in case of allotment. No worries for refund as the money remains in investor's account.   |   Prevent unauthorized transactions in your account – Update your mobile numbers / email ids with your stock brokers. Receive information of your transactions directly from exchange on your mobile / email at the EOD | Filing Complaint on SCORES - QUICK & EASY a) Register on SCORES b) Mandatory details for filing complaints on SCORE - Name, PAN, Email, Address and Mob. no. c) Benefits - speedy redressal & Effective communication   |   BSE Prices delayed by 5 minutes...<< Prices as on Apr 09, 2025 - 11:32AM >>  ABB India 5009.95  [ -1.12% ]  ACC 1953.95  [ -0.98% ]  Ambuja Cements 534.85  [ -0.40% ]  Asian Paints Ltd. 2418.9  [ 1.03% ]  Axis Bank Ltd. 1060.35  [ -1.59% ]  Bajaj Auto 7559.55  [ 0.82% ]  Bank of Baroda 230.15  [ -2.40% ]  Bharti Airtel 1714.05  [ -0.35% ]  Bharat Heavy Ele 208.8  [ -1.02% ]  Bharat Petroleum 283.9  [ -0.63% ]  Britannia Ind. 5285.35  [ 2.05% ]  Cipla 1415.05  [ -1.28% ]  Coal India 377.55  [ -1.41% ]  Colgate Palm. 2491.95  [ 2.17% ]  Dabur India 465.75  [ 1.39% ]  DLF Ltd. 610  [ -1.96% ]  Dr. Reddy's Labs 1095.8  [ -1.15% ]  GAIL (India) 169.15  [ -2.03% ]  Grasim Inds. 2540.55  [ -1.94% ]  HCL Technologies 1374  [ -2.08% ]  HDFC Bank 1756.25  [ -0.73% ]  Hero MotoCorp 3595.55  [ 0.60% ]  Hindustan Unilever L 2338.1  [ 2.13% ]  Hindalco Indus. 557.95  [ -1.83% ]  ICICI Bank 1286.2  [ -1.01% ]  Indian Hotels Co 757.4  [ -2.06% ]  IndusInd Bank 671.95  [ -1.07% ]  Infosys L 1392.85  [ -2.55% ]  ITC Ltd. 418.3  [ 1.39% ]  Jindal St & Pwr 774.75  [ -3.32% ]  Kotak Mahindra Bank 2054.4  [ 0.00% ]  L&T 3107.35  [ -1.70% ]  Lupin Ltd. 1920  [ -3.16% ]  Mahi. & Mahi 2560.35  [ 1.39% ]  Maruti Suzuki India 11510.1  [ 0.47% ]  MTNL 41.22  [ -2.07% ]  Nestle India 2335.75  [ 2.66% ]  NIIT Ltd. 108  [ -4.26% ]  NMDC Ltd. 60.03  [ -2.53% ]  NTPC 353.25  [ 0.08% ]  ONGC 223.15  [ -1.54% ]  Punj. NationlBak 95.01  [ -1.97% ]  Power Grid Corpo 294.8  [ 2.08% ]  Reliance Inds. 1187.3  [ 0.41% ]  SBI 750.9  [ -2.28% ]  Vedanta 369.9  [ -1.54% ]  Shipping Corpn. 164.55  [ -2.66% ]  Sun Pharma. 1678.05  [ -0.63% ]  Tata Chemicals 799.4  [ -1.24% ]  Tata Consumer Produc 1082.8  [ 1.27% ]  Tata Motors 586.7  [ -0.37% ]  Tata Steel 127.3  [ -2.23% ]  Tata Power Co. 355  [ -1.32% ]  Tata Consultancy 3251.55  [ -1.28% ]  Tech Mahindra 1270.65  [ -3.37% ]  UltraTech Cement 11292.05  [ 0.14% ]  United Spirits 1440  [ 0.96% ]  Wipro 234.55  [ -5.14% ]  Zee Entertainment En 103.76  [ -3.69% ]  

Company Information

Indian Indices

  • Sensex
    73865.49

    -361.59
    (-0.49 %)

  • NSE Index
    22388.6

    -147.25
    (-0.65 %)

  • BSE 100LCTMC
    8276.73

    -44.57
    (-0.54 %)

  • BSE Auto
    45411.3

    + 295.67
    (+ 0.66 %)

  • BSE Bharat22
    7866.41

    -41.97
    (-0.53 %)

  • BSE CPSE
    3431.37

    -19.95
    (-0.58 %)

  • BSE DFRGI
    1371.74

    -15.42
    (-1.11 %)

  • BSE DSI
    908.47

    -1.51
    (-0.17 %)

  • BSE EVI
    835.92

    -6.85
    (-0.81 %)

  • BSE Infra
    539.06

    -3.19
    (-0.59 %)

  • BSE IPO
    12718.19

    -138.90
    (-1.08 %)

  • BSE LVI
    1669.46

    -0.90
    (-0.05 %)

  • BSE Metal
    26574.78

    -431.64
    (-1.60 %)

  • BSE Midcap
    39258.64

    -578.80
    (-1.45 %)

  • BSE Momen
    1860.91

    -23.33
    (-1.24 %)

  • BSE Oil&Gas
    24080.52

    -75.89
    (-0.31 %)

  • BSE PBI
    17606.72

    -112.99
    (-0.64 %)

  • BSE Power
    6351.37

    -25.15
    (-0.39 %)

  • BSE Quality
    1593.87

    -5.85
    (-0.37 %)

  • BSE Realty
    6013.03

    -149.22
    (-2.42 %)

  • BSE Sensex50
    23390.04

    -124.59
    (-0.53 %)

  • BSE Smallcap
    44208.36

    -724.06
    (-1.61 %)

  • BSE SME IPO
    82342.64

    -1119.44
    (-1.34 %)

  • BSE_Bankex
    57454.39

    -534.16
    (-0.92 %)

  • BSE_CDS
    53106.17

    -251.11
    (-0.47 %)

  • BSE_CGS
    57470.62

    -805.36
    (-1.38 %)

  • BSE_FMCG
    19932.59

    + 281.91
    (+ 1.43 %)

  • BSE_HCS
    39550.08

    -491.30
    (-1.23 %)

  • BSE_IT
    31884.62

    -793.01
    (-2.43 %)

  • BSE_PSU
    17529.32

    -158.77
    (-0.90 %)

  • BSE100ESG
    374.78

    -1.59
    (-0.42 %)

  • BSE150MC
    13653.66

    -193.44
    (-1.40 %)

  • BSE200
    10105.97

    -69.08
    (-0.68 %)

  • BSE200EQUALW
    11379.93

    -112.60
    (-0.98 %)

  • BSE250LMC
    9558.04

    -67.82
    (-0.70 %)

  • BSE250SC
    5728.93

    -79.94
    (-1.38 %)

  • BSE400MSC
    10206.81

    -143.85
    (-1.39 %)

  • BSE500
    31986.4

    -247.30
    (-0.77 %)

  • BSECMINSURAN
    1845.63

    -15.22
    (-0.82 %)

  • BSEDollex30
    7036.26

    -34.42
    (-0.49 %)

  • BSEINTERNECO
    2498.18

    -43.12
    (-1.70 %)

  • BSENAT
    23451.43

    -130.40
    (-0.55 %)

  • BSEPOWENERGY
    3530.94

    -7.53
    (-0.21 %)

  • BSESELECTBG
    3677.17

    -22.81
    (-0.62 %)

  • BSESELIPO
    4033.28

    -52.72
    (-1.29 %)

  • BSESEN606535
    30545.42

    -166.35
    (-0.54 %)

  • BSESENSEX60
    30251.96

    -157.76
    (-0.52 %)

  • BSESENSEXEW
    71735.82

    -204.18
    (-0.28 %)

  • BSESensexN30
    34127.3

    -220.67
    (-0.64 %)

  • BSESensexN50
    74613.6

    -487.98
    (-0.65 %)

  • BSETECk
    15883.03

    -289.39
    (-1.79 %)

  • DOLLEX
    1952.18

    -13.33
    (-0.68 %)

  • Dollex 100
    2814.84

    -15.66
    (-0.55 %)

  • CNX 100
    22922.55

    -155.10
    (-0.67 %)

  • CNX 200
    12363.05

    -101.95
    (-0.82 %)

  • CNX Auto
    20207.25

    + 69.10
    (+ 0.34 %)

  • CNX Bank
    50001.6

    -509.40
    (-1.01 %)

  • CNX Commo
    7911.7

    -69.00
    (-0.86 %)

  • CNX Consum
    10713.35

    + 58.40
    (+ 0.55 %)

  • CNX DOI
    5549.2

    -51.40
    (-0.92 %)

  • CNX Energy
    31539.25

    -327.50
    (-1.03 %)

  • CNX Fin
    24021.75

    -279.75
    (-1.15 %)

  • CNX FMCG
    55208.6

    + 908.35
    (+ 1.67 %)

  • CNX HighBeta
    3167.35

    -54.20
    (-1.68 %)

  • CNX Infra
    8080.15

    -29.05
    (-0.36 %)

  • CNX IT
    32380.05

    -864.35
    (-2.60 %)

  • CNX LVI
    22987.95

    -22.60
    (-0.10 %)

  • CNX Media
    1469.7

    -27.75
    (-1.85 %)

  • CNX Metal
    7797.65

    -167.95
    (-2.11 %)

  • CNX Midcap
    49056.25

    -781.75
    (-1.57 %)

  • CNX MNC
    25443.5

    + 71.90
    (+ 0.28 %)

  • CNX Pharma
    20035.25

    -342.65
    (-1.68 %)

  • CNX PSE
    9002.6

    -53.95
    (-0.60 %)

  • CNX PSU Bank
    6109.15

    -140.80
    (-2.25 %)

  • CNX Realty
    775.9

    -19.50
    (-2.45 %)

  • CNX Shar 500
    6316.3

    -59.90
    (-0.94 %)

  • CNX Smallcap
    15133.2

    -255.80
    (-1.66 %)

  • CNX SSI
    29712.4

    -324.20
    (-1.08 %)

  • CNX500
    20292.05

    -188.75
    (-0.92 %)

  • CPSE
    5908.8

    -9.50
    (-0.16 %)

  • LIX 15
    6223.55

    -51.00
    (-0.81 %)

  • LIX15 Midcap
    12217.4

    -214.30
    (-1.72 %)

  • N500MC502525
    13934.2

    -159.90
    (-1.13 %)

  • N500MOM50
    44310.85

    -906.10
    (-2.00 %)

  • N500MUCIFFTT
    12398.75

    -79.50
    (-0.64 %)

  • N500MUCIMFTT
    12888.1

    -117.50
    (-0.90 %)

  • N5HMFMQVLv50
    27368.75

    -277.35
    (-1.00 %)

  • NI 15
    10234.05

    -34.35
    (-0.33 %)

  • NIF Mobility
    17649.3

    -32.45
    (-0.18 %)

  • NIF100A30
    15611.05

    -167.70
    (-1.06 %)

  • NIF200A30
    21137.9

    -411.50
    (-1.91 %)

  • NIF200MOME30
    26143.2

    -439.45
    (-1.65 %)

  • NIF500LMSECW
    15211.2

    -198.55
    (-1.29 %)

  • NIF500LOWV50
    19518.1

    -108.25
    (-0.55 %)

  • NIF500QLTY50
    16295.35

    -179.00
    (-1.09 %)

  • NIF500VAL50
    12477.8

    -161.85
    (-1.28 %)

  • NIFALV30
    24358.2

    -137.00
    (-0.56 %)

  • NIFAQLV30
    20299.7

    + 21.45
    (+ 0.11 %)

  • NIFAQVLV30
    18429.65

    -45.40
    (-0.25 %)

  • NIFCOREHOUSE
    14470.25

    -136.60
    (-0.94 %)

  • NIFCORPMAATR
    31353.6

    -213.05
    (-0.67 %)

  • NIFEVNAA
    2465.25

    -16.40
    (-0.66 %)

  • NIFFINSEREXB
    25365.85

    -463.80
    (-1.80 %)

  • NIFFS2550
    25586.45

    -360.60
    (-1.39 %)

  • NIFINDIADIGI
    7650.3

    -172.65
    (-2.21 %)

  • NIFINDIAMANU
    12217.6

    -99.55
    (-0.81 %)

  • NIFINDIANAC
    10062.7

    -88.30
    (-0.87 %)

  • NIFMC150M50
    52116.65

    -914.65
    (-1.72 %)

  • NIFMC150Q50
    20639.15

    -297.50
    (-1.42 %)

  • NIFMCSELECT
    10898.8

    -143.20
    (-1.30 %)

  • NIFMICCAP250
    19630.7

    -390.55
    (-1.95 %)

  • NIFMIDSMLFS
    14591.6

    -259.15
    (-1.75 %)

  • NIFMIDSMLHC
    38658.8

    -503.80
    (-1.29 %)

  • NIFMIDSMLITT
    8195.8

    -210.55
    (-2.50 %)

  • NIFMSINDCONS
    17851.35

    -112.75
    (-0.63 %)

  • NIFNONCYCSMR
    15016.05

    + 46.35
    (+ 0.31 %)

  • NIFQLV30
    15910.35

    + 42.80
    (+ 0.27 %)

  • NIFSC250Q50
    22702.85

    -334.95
    (-1.45 %)

  • NIFTOP15EW
    9338.05

    -46.10
    (-0.49 %)

  • NIFTOP20EW
    8337.4

    -34.05
    (-0.41 %)

  • NIFTOTALMAR
    11395.75

    -110.40
    (-0.96 %)

  • Nifty CD
    34610.95

    -277.60
    (-0.80 %)

  • Nifty CM
    3257.4

    -57.90
    (-1.75 %)

  • NIFTY DEF
    6028

    -90.00
    (-1.47 %)

  • Nifty Health
    13126.45

    -137.80
    (-1.04 %)

  • Nifty IPO
    1718.7

    -21.75
    (-1.25 %)

  • Nifty LMC250
    14077.1

    -158.00
    (-1.11 %)

  • Nifty MCap50
    13868.75

    -195.50
    (-1.39 %)

  • Nifty MSC400
    16720.55

    -268.60
    (-1.58 %)

  • NIFTY OILGAS
    10013

    -55.35
    (-0.55 %)

  • Nifty PBI
    24858.35

    -224.70
    (-0.90 %)

  • Nifty Rural
    13675.4

    -31.05
    (-0.23 %)

  • Nifty SCap50
    7299.55

    -125.30
    (-1.69 %)

  • Nifty TG25
    13698.25

    -150.10
    (-1.08 %)

  • Nifty TL
    19470.8

    -27.80
    (-0.14 %)

  • Nifty100 EWI
    28999.4

    -206.20
    (-0.71 %)

  • Nifty100LV30
    18259.5

    -8.70
    (-0.05 %)

  • Nifty200Q30
    18506.35

    -9.90
    (-0.05 %)

  • Nifty50 EWI
    27995.8

    -179.30
    (-0.64 %)

  • NIFTY500EW
    12032.55

    -172.65
    (-1.41 %)

  • NiftyAlpha50
    43096.5

    -929.70
    (-2.11 %)

  • NiftyHousing
    10284.75

    -108.00
    (-1.04 %)

  • NiftyMCap150
    18102.8

    -284.25
    (-1.55 %)

  • NiftySCap250
    14259.85

    -238.55
    (-1.65 %)

  • NIFTYTOP10EW
    8818.95

    -64.50
    (-0.73 %)

  • NiftyTourism
    8620.5

    -77.00
    (-0.89 %)

  • NMSC400MQ100
    41140.55

    -676.45
    (-1.62 %)

  • NSC250MQ100
    39298.3

    -706.55
    (-1.77 %)

  • NSEMID
    60346.9

    -460.65
    (-0.76 %)

  • NSEQuality30
    5060.65

    -2.80
    (-0.06 %)

  • NV 20
    11783.25

    -111.25
    (-0.94 %)

Global Indices

  • DOW Jones
    37645.59

    -320.01
    (-0.84 %)

  • Nasdaq
    15267.91

    -335.35
    (-2.15 %)

  • S&P 500
    4982.77

    -79.48
    (-1.57 %)

  • Nikkei 225
    31589.65

    -1422.93
    (-4.31 %)

  • Hang Seng
    19879.32

    -248.36
    (-1.23 %)

  • Shanghai Composite
    3167.85

    + 22.30
    (+ 0.71 %)

  • Straits Times
    3383.94

    -85.53
    (-2.47 %)

  • FTSE 100
    7956.18

    + 254.10
    (+ 3.30 %)

Forex

  • USDINR 85.9085
    0.11
    GBPINR 109.8672
    -0.73
  • JPYINR 58.2500
    -1.38
    EURINR 94.2972
    -0.17

GILLETTE INDIA LTD.

09 April 2025 | 11:19

Industry >> Personal Care

Select Another Company

ISIN No INE322A01010 BSE Code / NSE Code 507815 / GILLETTE Book Value (Rs.) 338.89 Face Value 10.00
Bookclosure 19/02/2025 52Week High 10699 EPS 126.35 P/E 63.09
Market Cap. 25975.63 Cr. 52Week Low 6191 P/BV / Div Yield (%) 23.52 / 1.63 Market Lot 1.00
Security Type Other

ACCOUNTING POLICY

You can view the entire text of Accounting Policy of the company for the latest year.
Year End :2024-06 

2.3 Summary of material accounting policies

a. Revenue recognition

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured, regardless of when the payment is being made. The Company’s revenue contracts represent a single performance obligation to sell its products to trade customers. Revenue is measured on the basis of contracted price, after deduction of any discounts, rebates, incentives, promotions and any taxes or duties collected on behalf of the Government such as Goods and Services Taxes, etc. The Company has concluded that it is the principal in all of its revenue arrangements since it is the primary obligor in all the revenue arrangements as it has pricing latitude and is also exposed to inventory and credit risks. Revenue is reduced for variable consideration including rebates and other similar allowances. Accumulated experience is used to estimate and accrue for the discounts and rebates considering the terms of the underlying schemes and arrangements with customers. Company’s contracts with trade customers do not have significant financing components.

The specific recognition criteria described below must also be met before revenue is recognised. Sale of goods

Revenue from the sale of goods is recognised when the goods are delivered and titles have passed and there are no longer unfulfilled obligations, at which time all the following conditions are satisfied:

a. the Company has transferred to the buyer the significant risks and rewards of ownership of the goods;

b. the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

c. the amount of revenue can be measured reliably at the contract price, after deduction of variable consideration including any discounts, volume rebates, and any taxes or duties collected on behalf of the government such as Goods and Services Tax (GST), etc. Accumulated experience is used to estimate the provision for such discounts and rebates;

d. it is probable that the economic benefits associated with the transaction will flow to the Company; and

e. the costs incurred or to be incurred in respect of the transaction can be measured reliably. Interest income

Interest income is recorded using the Effective Interest Rate (EIR). Interest income is included in Other Income in the Statement of Profit and Loss.

b. Leasing

The Company as a lessee

The Company’s lease assets classes primarily consist of leases for land and plant & equipment. The Company assesses whether a contract contains a lease, at the inception of a contract. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, the Company assesses whether:

(i) the contract involves the use of an identified asset;

(ii) the Company has substantially all of the economic benefits from use of the asset through the period of the lease; and

(iii) the Company has the right to direct the use of the asset.

At the date of commencement of the Lease, the Company recognizes a right-of-use asset (“ROU”) and a corresponding lease LiabiLity for all lease arrangements in which it is a lessee, except for leases with a term of twelve months or less (short-term leases) and low value leases. For these short-term and low-value leases, the Company recognizes the lease payments as an operating expense on a straight-Line basis over the term of the Lease.

Certain Lease arrangements incLude the option to extend or terminate the Lease before the end of the lease term. ROU assets and lease liabilities include these options when it is reasonably certain that they will be exercised.

The ROU assets are initially recognized at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or prior to the commencement date of the lease plus any initial direct costs less any lease incentives. They are subsequently measured at cost less accumulated depreciation and impairment losses.

ROU assets are depreciated from the commencement date on a straight-line basis over the shorter of the lease term and useful life of the underlying asset. ROU assets are evaluated for recoverability whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. For the purpose of impairment testing, the recoverable amount (i.e. the higher of the fair vaLue Less cost to seLL and the vaLue-in-use) is determined on an individuaL asset basis unLess the asset does not generate cash flows that are largely independent of those from other assets. In such cases, the recoverable amount is determined for the Cash Generating Unit (CGU) to which the asset beLongs.

The lease liability is initially measured at amortized cost at the present value of the future lease payments. The lease payments are discounted using the interest rate implicit in the lease or, if not readiLy determinabLe, using the incrementaL borrowing rates in the country of domiciLe of these leases. Lease liabilities are re-measured with a corresponding adjustment to the related right of use asset if the Company changes its assessment if whether it wiLL exercise an extension or a termination option.

Lease liability and ROU asset have been separately presented in the Balance Sheet and lease payments have been classified as financing cash flows.

c. Foreign currencies

The financial statements are presented in Indian Rupee (' in lakhs), which is also the Company's functional currency.

Transaction and balances

Transactions in currencies other than the Company's functional currency i.e. (foreign currencies) are recognised at the rates of exchange prevailing at the dates of the transactions. At the end of each reporting period, monetary items denominated in foreign currencies are retranslated at the rates prevailing at the balance sheet date. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rates prevailing at the date when the fair value is determined. Non-monetary items that are measured in terms of historical cost in a foreign currency are not retransLated.

Exchange differences on such translations are recognised in the Statement of Profit and Loss in the period in which they arise.

d. Employee benefits

(i) Short term employee benefits - Short term employee benefits including salaries and performance incentives, are charged to the Statement of Profit and Loss on an undiscounted, accrual basis during the period of employment.

(ii) Post-employment Benefits

a) Defined Contribution Plans:

The Company has Defined Contribution Plans for post-employment benefits charged to the Statement of Profit and Loss, in the form of :

- Superannuation Fund as per Company policy administered by the Life Insurance Corporation of India.

- State Defined Contribution Plans: Employer's Contribution to Employees' State Insurance.

b) Defined Benefit Plans:

Funded Plan: The Company has Defined Benefit Plan for post-employment benefits in the form of:

- Gratuity for all employees is administered through a trust, which is administered through trustees and / or Life Insurance Corporation of India, where one of the group companies is also the participant.

- Provident Fund for all permanent employees is administered through a trust. The Provident Fund is administered by trustees of an independently constituted common trust recognised by the Income Tax authorities where two other group Companies are also participants. Periodic contributions to the Fund are charged to revenue and when services are rendered by the employees. The Company has an obligation to make good the shortfall, if any, between the return from the investment of the trust and the notified interest rate by the Government.

Unfunded Plan: The Company has unfunded Defined Benefit Plans in the form of Post Retirement Medical Benefits (PRMB) and Compensated Absences (plant technicians) as per its policy.

Liability for the above-defined benefit plans is provided on the basis of valuation, as at the Balance Sheet date, carried out by independent actuary. The actuarial method used for measuring the liability is the Projected Unit Credit method. The classification of the Company’s net obligation into current and non-current is as per the actuarial valuation report.

Remeasurements, comprising actuarial gains and losses, the effect of the asset ceiling, excluding amounts included in net interest on the net defined benefit liability and the return on plan assets (excluding amounts included in net interest on the net defined benefit liability), are recognised immediately in the balance sheet with a corresponding debit or credit to Retained Earnings through Other Comprehensive Income in the period in which they occur. Remeasurements are not reclassified to the Statement of Profit and Loss in subsequent periods.

Past service costs are recognised in the Statement of Profit and Loss on the earlier of:

0 The date of the plan amendment or curtailment; and 0 The date that the Company recognises related restructuring costs.

Net interest is calculated by applying the discount rate at the beginning of the year to the net defined benefit liability or asset. The Company recognises the following changes in the net defined benefit obligation as an expense in the Statement of Profit and Loss:

0 Service costs comprising current service costs, past-service costs, gains and losses on curtailments and non-routine settlements; and

0 Net interest expense or income.

(iii) Liability for Compensated Absences, Bonus, Leave Travel Allowance, etc. which are in the nature of short-term benefits are provided for as per Company rules based on the undiscounted amount of benefits expected to be paid in exchange for services rendered.

(iv) Termination benefits are recognised as an expense as and when incurred.

(v) Long Service Awards are payable to employees on completion of specified years of service.

e. Share-based payment arrangements

Employees (including senior executives) of the Company receive remuneration in the form of share-based payments, whereby employees render services as consideration for equity instruments (equity-settled transactions).

Equity-settled transactions

The Procter & Gamble Company has an "Employee Stock Option Plan (ESOP)" whereby the specified employees covered by the plan are granted an option to purchase shares of the Ultimate Holding Company i.e. - The Procter & Gamble Company at a fixed price (grant price) for a fixed period of time. The difference between the market price and grant price on the exercise of the stock options issued by the Ultimate Holding Company to the employees of the Company is charged in the year of exercise by the employees. The Parent company will recharge an amount equal to spread as on the date of exercise of options.

The cost of equity-settled transactions is recognised in employee benefits expense, together with a corresponding increase in equity (other reserves) over the period in which the service and performance conditions are fulfilled (the vesting period). The cumulative expense recognised for equity-settled transactions at each reporting date until the vesting date reflects the extent to which the vesting period has expired and the Company’s best estimate of the number of equity instruments that will ultimately vest. Recharge to the parent company to the extent of fair value of options will be debited in equity reserves and any excess recharge above the fair value of options will be recognised as equity distribution from the Company.

Employee share purchase plan

The Procter & Gamble Company has an “International Stock Ownership Plan (ISOP)” (employee share purchase plan) whereby specified employees of its subsidiaries have been given a right to purchase shares of the Ultimate Holding Company i.e. The Procter and Gamble Company. Every employee who opts for the scheme contributes by way of payroll deduction up to a specified percentage (upto 15%) the of base salary towards purchase of shares on a monthly basis. The Company contributes 50% of employee’s contribution (restricted to 2.5% of his base salary) and is charged to employee benefit expenses. The expenses related to ISOP are recognised immediately in the statement of Profit and Loss since there are no vesting conditions attached to the scheme.

The expense in the Statement of Profit and Loss for a period represents the movement in cumulative expense recognised as at the beginning and end of that period.

When the terms of an equity-settled award are modified, the minimum expense recognised is the expense had the terms not been modified, if the original terms of the award are met. An additional expense is recognised for any modification that increases the total fair value of the share-based payment transaction or is otherwise beneficial to the employee as measured at the date of modification. Where an award is cancelled by the entity or by the counter party, any remaining element of the fair value of the award is expensed immediately through the Statement of Profit and Loss.

f. Taxation

Income tax expense represents the sum of the current tax and deferred tax.

Current tax

Provision for current tax for the Company's financial year ended on June 30 is based on the results of the period July 1 to March 31 (later part of the fiscal year ended March 31) and for the balance and for the period April 1 to June 30 (beginning of the next fiscal year) as per the provisions of the Income Tax Act, 1961 and other applicable tax laws. Taxable profit differs from 'profit before tax' as reported in the Statement of Profit and Loss because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The Company's current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax

Deferred tax is recognised on temporary differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profits. Deferred tax liabilities are generally recognised for all taxable temporary differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profit will be available against which those deductible temporary differences can be utilised.

The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the asset to be recovered.

Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset is realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period.

The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.

Current and deferred tax for the year

Current and deferred tax are recognised in the Statement of Profit and Loss, except when they relate to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax are also recognised in other comprehensive income or directly in equity respectively.

Current tax assets and current tax liabilities are offset when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle the asset and the liability on a net basis. Deferred tax assets and deferred tax liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax liabilities, and the deferred tax assets and the deferred tax liabilities related to income taxes levied by the same taxation authority.

g. Property, plant and equipment

Property, plant and equipment held for use in the production or supply of goods or services, or for administrative purposes, are stated in the balance sheet at acquisition cost less accumulated depreciation and accumulated impairment losses, if any. Cost of acquisition of property, plant and equipment comprises its purchase price including import duties and non-refundable purchase taxes after deducting trade discounts, rebates and any directly attributable cost of bringing the item to its working condition for its intended use. Freehold land is not depreciated. Subsequent costs are included in the assets' carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably.

Properties in the course of construction for production, supply or administrative purposes are carried at cost, less any recognised impairment loss. Cost includes any directly attributable cost of bringing the item to its working condition for its intended use including professional fees and for qualifying assets, borrowing costs capitalised in accordance with the Company's accounting policy. Such properties are classified to the appropriate categories of property, plant and equipment when completed and ready for intended use. Depreciation of these assets, on the same basis as other property assets, commences when the assets are ready for their intended use.

Cost of Property, plant and equipment which are not ready for intended use, as on the Balance Sheet date, is shown as capital work in progress. All other repairs and maintenance cost are charged to the Statement of Profit and Loss during the period in which they are incurred.

Depreciation is recognised so as to write off the cost of assets (other than freehold land) less their residual values over their useful life, using straight-line method. The estimated useful lives and residual values are reviewed at the end of each reporting period, with the effect of any changes in estimate accounted for on a prospective basis.

The management's estimate of useful lives are in accordance with Schedule II to the Act, other than certain assets which are based on the Company's expected usage pattern supported by technical assessment.

The residual values of the Company fixed assets are assumed to be equal to zero on the premise that the assets are used for their entire productive life, and have no value, on the secondary market or elsewhere, at the end of the life.

An item of property, plant and equipment is derecognised upon disposal or when no future economic benefits are expected to arise from the continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of property, plant and equipment is determined as the difference between the sale proceeds and the carrying amount of the asset and is recognised in the Statement of Profit and Loss.

h. Impairment of property, plant and equipment

At the end of each reporting period, the Company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount is estimated in order to determine the extent of the impairment loss (if any). When it is not possible to estimate the recoverable amount of an individual asset, the Company estimates the recoverable amount of the cash-generating unit to which the asset belongs. When a reasonable and consistent basis of allocation can be identified, corporate assets are also allocated to individual cash-generating units, or otherwise they are allocated to the smallest group of cash-generating units for which a reasonable and consistent basis can be identified.

Recoverable amount is the higher of fair value less costs of disposal and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its own carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in the Statement of Profit and Loss.

When an impairment loss subsequently reverses, the carrying amount of the asset (or a cashgenerating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment Loss been recognised for the asset (or cash-generating unit) in prior years. A reversal is recognised immediately in the Statement of Profit and Loss.

i. Inventories

Inventories consist of raw and packing materials, stores and spares, work-in-progress, stock-intrade and finished goods. Inventories are valued at lower of cost and net realisable value after providing for obsolescence and other losses where considered necessary. Cost of inventories is determined on FIFO basis.

Cost of raw materials and stores and spares includes cost of purchase and other costs incurred in bringing the inventories to their present location and condition. Cost of finished goods and work-in-progress include all costs of purchases, conversion costs and other costs incurred in bringing the inventories to their present location and condition. Cost of conversion includes an appropriate portion of allocable overheads based on normal operating capacity.

Net realisable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the estimated costs necessary to make the sale.