Atul Ltd 2018-19

Note 15 Other equity (continued) As at March 31, 2019 As at March 31, 2018 d) Other reserves i) FVOCI equity instruments Balance as at the beginning of the year 399.82 ǩǬǪȦǧǩ Add: Equity instruments through other comprehensive income (FVOCI) 73.83 37.28 gĚƙƙȠ 'ĚljĚƑƑĚē ƥîǊ ŕĿîċĿŕĿƥǋ ūŠ îċūǄĚ (11.00) - Less: Transfer to retained earnings on disposal of FVOCI equity instruments (0.02) (1.59) Balance as at the end of the year ǪǬǨȦǬǩ 399.82 ii) /ljljĚČƥĿǄĚ ƎūƑƥĿūŠ ūlj Čîƙĺ ǜūǅƙ ĺĚēijĚƙ Balance as at the beginning of the year 0.03 ȳǦȦǪǮȴ ēēȠ /ljljĚČƥĿǄĚ ƎūƑƥĿūŠ ūlj ijîĿŠƙ ʈ ȳŕūƙƙȴ ūŠ Čîƙĺ ǜūǅ ĺĚēijĚƙ 1.22 0.05 gĚƙƙȠ 'ĚljĚƑƑĚē ƥîǊ ŕĿîċĿŕĿƥǋ ūŠ îċūǄĚ ȳǦȦǪǩȴ (0.02) gĚƙƙȠ OĚēijĿŠij ijîĿŠ ʈ ȳŕūƙƙȴ ƑĚČŕîƙƙĿǛĚē ƥū ūŠƙūŕĿēîƥĚē ¬ƥîƥĚŞĚŠƥ ūlj ¡ƑūǛƥ îŠē gūƙƙ (0.03) ǦȦǪǮ Balance as at the end of the year 0.79 0.03 iii) /ǊČĺîŠijĚ ēĿljljĚƑĚŠČĚ ĿŠ ƥƑîŠƙŕîƥĿŠij ƥĺĚ GĿŠîŠČĿîŕ ¬ƥîƥĚŞĚŠƥƙ ūlj î foreign operation Balance as at the beginning of the year 18.86 13.80 Add: Changes in foreign currency translation reserve (3.11) 5.06 Balance as at the end of the year 15.75 18.86 2,676.03 2,214.24 Nature and purpose of other reserves a) Securities premium Securities premium is used to record the premium on issue of shares. The reserve is utilised in accordance with the provisions of the Companies Act, 2013. b) General reserve General reserve represents amount appropriated out of retained earnings pursuant to the earlier provisions of Companies Act, 1956 and local laws of respective foreign subsidiary companies. c) Retained earnings ¤ĚƥîĿŠĚē ĚîƑŠĿŠijƙ îƑĚ ƥĺĚ ƎƑūǛƥƙ ƥĺîƥ ƥĺĚ ūŞƎîŠǋ ĺîƙ ĚîƑŠĚē ƥĿŕŕ ēîƥĚȡ ŕĚƙƙ îŠǋ ƥƑîŠƙljĚƑƙ ƥū ijĚŠĚƑîŕ ƑĚƙĚƑǄĚȡ îŠǋ ƥƑîŠƙljĚƑƙ from or to OCI, dividends or other distributions paid to shareholders. d) FVOCI - equity instruments The Group has elected to recognise changes in the fair value of certain investments in equity securities in other comprehensive income. These changes are accumulated within the FVOCI equity instruments reserve within equity. The Group transfers amounts from this reserve to retained earnings when the relevant equity securities are derecognised. Ěȴ îƙĺ ǜūǅ ĺĚēijĿŠij ƑĚƙĚƑǄĚ The Group uses hedging instruments as part of its management of foreign currency risk associated with its highly probable forecast sale and inventory purchases and interest rate risk associated with variable interest rate borrowings. For hedging foreign currency risk, the Company uses foreign currency forward contracts, foreign currency option contracts îŠē ĿŠƥĚƑĚƙƥ ƑîƥĚ ƙǅîƎƙȦ ¹ĺĚǋ îƑĚ ēĚƙĿijŠîƥĚē îƙ Čîƙĺ ǜūǅ ĺĚēijĚƙ ƥū ƥĺĚ ĚǊƥĚŠƥ ƥĺĚƙĚ ĺĚēijĚƙ îƑĚ ĚljljĚČƥĿǄĚȡ ƥĺĚ ČĺîŠijĚ ĿŠ ljîĿƑ ǄîŕƭĚ ūlj ƥĺĚ ĺĚēijĿŠij ĿŠƙƥƑƭŞĚŠƥ Ŀƙ ƑĚČūijŠĿƙĚē ĿŠ ƥĺĚ Čîƙĺ ǜūǅ ĺĚēijĿŠij ƑĚƙĚƑǄĚȦ ŞūƭŠƥƙ ƑĚČūijŠĿƙĚē ĿŠ ƥĺĚ Čîƙĺ ǜūǅ ĺĚēijĿŠij ƑĚƙĚƑǄĚ Ŀƙ ƑĚČŕîƙƙĿǛĚē ƥū ƎƑūǛƥ ūƑ ŕūƙƙ ǅĺĚŠ ƥĺĚ ĺĚēijĚē ĿƥĚŞ îljljĚČƥƙ ƎƑūǛƥ ūƑ ŕūƙƙ ȳljūƑ ĚǊîŞƎŕĚȡ ƙîŕĚƙ îŠē ĿŠƥĚƑĚƙƥ ƎîǋŞĚŠƥƙȴȦ ØĺĚŠ ƥĺĚ ljūƑĚČîƙƥ ƥƑîŠƙîČƥĿūŠ ƑĚƙƭŕƥƙ ĿŠ ƥĺĚ ƑĚČūijŠĿƥĿūŠ ūlj î ŠūŠȹǛŠîŠČĿîŕ îƙƙĚƥ ȳljūƑ ĚǊîŞƎŕĚȡ ĿŠǄĚŠƥūƑǋȴȡ ƥĺĚ îŞūƭŠƥ ƑĚČūijŠĿƙĚē ĿŠ ƥĺĚ Čîƙĺ ǜūǅ ĺĚēijĿŠij ƑĚƙĚƑǄĚ Ŀƙ îēŏƭƙƥĚē îijîĿŠƙƥ ƥĺĚ ČîƑƑǋĿŠij îŞūƭŠƥ ūlj ƥĺĚ ŠūŠȹǛŠîŠČĿîŕ îƙƙĚƥȦ Consolidated | Notes to the Financial Statements 209