Annual Report 2019 - 20 and AGM Notice

GOOD PRODUCTS
GREAT VALUE
2 019 - 2 0
A N N UA L R E P O RT
AV E N U E S U P E R M A R T S L I M I T E D
Contents Key Highlights FY 2019-20
Corporate Overview Financial Statements ` 24,675 Crores

Revenue from Operations
01 Good Products Great Value Standalone Accounts
02 About DMart 98 Independent Auditor’s Report
03 Vision, Mission and Core Values 102 Annexure 1 to Independent

Auditor’s Report ` 2,122 Crores
Annexure 2 to Independent EBITDA
04 Presence and Expansion Strategy 104 Auditor’s Report
06 Key Product Categories 106 Standalone Balance Sheet
08 Key Performance
Indicators
107 Statement of Standalone
Profit and Loss
Statement of
` 1,350 Crores
10 Message from the Chairman 108 Standalone Cash Flows
Profit After Tax
12 Message from the Managing 110 Statement of Changes in Equity

Director & CEO
16 Sustainability at DMart 111 Notes
Consolidated Accounts
214
18 Corporate Social Responsibility # of Stores
151 Independent Auditor’s Report

22 Board of Directors
Annexure 1 to Independent
156
24 Senior Leadership Team
158
Auditor’s Report
Consolidated Balance Sheet

11/1
25 Corporate Information # of States and Union Territory
Statement of Consolidated
Statutory Reports
159 Profit and Loss
Statement of Consolidated
160
38
Management Discussion & Cash Flows
26 Analysis
Statement of Changes in
162 Consolidated Equity
30 Directors’ Report # of New Stores Added
163 Notes
70 Corporate Governance Report
Notice of the
206
90
7.8 mn sq. ft.
Business Responsibility Report Annual General Meeting
Retail Business Area

Good Products
Great Value
We constantly endeavour to ensure that we fulfill all our customers’
everyday household needs by offering them ‘value for money’
products at our stores.
Our customer-first culture has contributed

significantly to our progress over the years.
We strive to continue this journey and fulfil the
aspirations and needs of all our customers.
2 About DMart
CORPORATE OVERVIEW
STATUTORY REPORTS
FINANCIAL STATEMENTS
NOTICE OF THE AGM
About DMart
DMart was conceived by value investor

Mr. Radhakishan Damani in the year 2000, operating a
single store in Maharasthra. With a mission to be the
lowest priced retailer in its area of operation, DMart has
grown steadily over the years, and operates 214 stores
in 11 States and 1 Union Territory. The Company has
delivered stable performance across stakeholder metrics
by focusing on financial fundamentals, with fortitude and
strong conviction.
OUR BEGINNING
By the late 1990s, our founder, A focus on financial fundamentals, high More importantly, from the very beginning,
Mr. Radhakishan Damani, was already levels of patience and strong conviction he had the foresight to understand and
established as one of the more successful have been the bedrock, on which the strongly believe that any business needs
and well-known value investors in the Company’s values and business direction the right blend of entrepreneurship and
Indian equity markets. Through his have been built. professionalism. Entrepreneurship to
investing style, he had developed a build and strengthen the concept in its
DMart took eight years to start its first
very keen understanding of the Indian formative years and professionalism to
ten stores. This wasn’t because of dearth
consumer sector and its psyche. allow a committed team to create, sustain
of investment opportunities, but more
He was anxious to start a business and grow a scalable business model into
because of his belief in the importance
beyond investing, which would enable the future.
of validating the business model from
him to test his hypothesis about the Indian
a perspective of both profitability and Today, DMart continues to focus on
consumer. After a couple of years of
scalability. His beginnings at DMart this early belief system created during our
introspection and research, he decided
were frugal. For a number of years since formative years. We have a good blend
to start a grocery retail chain, focusing
inception, DMart’s corporate operations of entrepreneurial spirit and high‑quality
primarily on the value segment.
were run from a small space, carved out execution. We humbly attribute our
DMart, our retail chain, was conceived from one of the early stores. He and his success to the values and the way
by him in the year 2000. Mr. Damani early leadership team worked together as of business thinking that our founder
imagined the retail business with the one cohesive unit without any hierarchy or has instilled in us.
same values of simplicity, speed and barriers.
nimbleness that he espoused in his
stellar investing career.
Avenue Supermarts Limited | ANNUAL REPORT 2019-20 3
Core Values VISION & MISSION

At DMart, we continuously research,
Action identify and make available new
products and categories to fulfil our
Focus
customers’ everyday needs at the best
To be focused about what I do.
value. Our mission is to be the lowest
priced retailer in our area of operation.
Motivated
To be clear of achieving my goal.
Enthusiastic
To love what I do.
Care
Respect
To respect every individual in the
organisation and provide her/him
with the dignity and attention to make
her/him believe that she/he makes a
difference to the organisation.
Listen
To listen and resolve any employee/
partner/customer grievance quickly
and fairly.
Truth
Integrity
By being open, honest and fair
in all our relationships and being
respectful and trustful to others.
4 Presence and Expansion Strategy
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Presence and Expansion Strategy

DMart has a At DMart, we follow a cluster-based expansion approach.
We thus focus on deepening our penetration in the areas
consistently growing where we are already present, before expanding to newer
presence across India regions. Using this strategy, we added 38 stores in
FY 2019-20, thus ending the year with 214 stores, spread
across 11 states and one union territory.
FY 2015-16
FY 2012-13
FY 2002-03
• Maharashtra (58) • Andhra Pradesh (3)

• Gujarat (26) • Madhya Pradesh (3)
• Telangana (13) • Chhattisgarh (1)
• Maharashtra (40) • Karnataka (6)
• Maharashtra (2) • Gujarat (14)
• Karnataka (3)
CUMULATIVE STORES Note: Maps not to scale
2 Stores 57 Stores 110 Stores

FY 2019-20
FY 2018-19
• Maharashtra (70) • Rajasthan (5) • Maharashtra (76) • Rajasthan (7)

• Gujarat (34) • Punjab (4) • Gujarat (37) • Punjab (5)
• Telangana (21) • Tamil Nadu (4) • Telangana (24) • Tamil Nadu (10)
• Karnataka (16) • Chhattisgarh (3) • Karnataka (20) • Chhattisgarh (5)
• Andhra Pradesh (11) • NCR (1) • Andhra Pradesh (17) • NCR (1)
• Madhya Pradesh (6) • Daman (1) • Madhya Pradesh (11) • Daman (1)
176 Stores 214 Stores

6 Key Product Categories
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Key Product Categories

DMart offers varied, everyday-use items to its customers with
a prudent product mix. The products on offer at our stores can
be broadly classified into three categories – Foods, Non-foods
and General Merchandise and Apparel.
THE KEY PRODUCT CATEGORIES CAN BE CLASSIFIED INTO:
Foods
Groceries, staples,
processed foods,
52.40%
Revenue Contribution FY 2019-20
dairy, frozen products,

beverages & confectionery 51.25%
and fruits & vegetables
Non Foods (FMCG)
Home care products, 20.29%

personal care products, Revenue Contribution FY 2019-20
toiletries and other

over-the-counter products
20.46%
General Merchandise & Apparel
Bed & bath, toys & 27.31%

games, crockery, plastic
goods, garments,
footwear, utensils and 28.29%
home appliances
8 Key Performance Indicators
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Key Performance Indicators
REVENUE FROM OPERATIONS EBITDA

With a strategy of
maintaining cost efficiencies 24% Y-O-Y 29% Y-O-Y
while offering the best 24,675 2,122
customer value, DMart has 19,916 1,642
continued to witness stable
performance across financial 15,009 1,337
and operational parameters, 11,881 964
year-on-year. 8,575 657
FY 15-16 FY 16-17 FY 17-18 FY 18-19 FY 19-20 FY 15-16 FY 16-17 FY 17-18 FY 18-19 FY 19-20
(` crore) (` crore)
PROFIT AFTER TAX FIXED ASSET TURNOVER

44% Y-O-Y
1,350 4.4 4.4
4.3
936
785
4.1
483 4.0
318
FY 15-16 FY 16-17 FY 17-18 FY 18-19 FY 19-20 FY 15-16 FY 16-17 FY 17-18 FY 18-19 FY 19-20
(` crore)
REVENUE PER RETAIL BUSINESS

INVENTORY TURNOVER AREA SQ FT RETAIL BUSINESS AREA
-8% Y-O-Y 32% Y-O-Y
14.9 35,647 7.8
32,719 32,879
31,120
14.6 28,136 5.9
14.4 14.4 4.9
14.2 4.1
3.3
FY 15-16 FY 16-17 FY 17-18 FY 18-19 FY 19-20 FY 15-16 FY 16-17 FY 17-18 FY 18-19 FY 19-20 FY 15-16 FY 16-17 FY 17-18 FY 18-19 FY 19-20
(in `) (million sq. ft.)
LIKE FOR LIKE GROWTH # OF STORES BILL CUTS

22% Y-O-Y 17% Y-O-Y
21.5 21.2 214 20.1
17.8 176 17.2

14.2 155
13.4
131
10.9 110 10.9
8.5
FY 15-16 FY 16-17 FY 17-18 FY 18-19 FY 19-20 FY 15-16 FY 16-17 FY 17-18 FY 18-19 FY 19-20 FY 15-16 FY 16-17 FY 17-18 FY 18-19 FY 19-20
(%) (in crore)

10 Message from the Chairman
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Message from the Chairman
Every once in a while, the world

witnesses a landmark event that tests
the resilience of mankind. COVID-19
is one such event. My heart goes
out to all those impacted by this
unforeseen event. At the same time,
I am full of gratitude for all the health
workers, government officials and
other businesses and professionals,
who have tirelessly worked in our
battle against this virus.
Dear Shareholders,
I’m writing to you at a time when the Reviewing the macro scenario need to be monitored very closely over
world is battling a threat in the form of a the next few quarters.
FY 2019-20 began on a muted note for the
pandemic. In this context, I sincerely hope Growing with India’s consumption
Indian economy and the weak sentiment
that all of you and your dear ones are safe story
continued through the first two quarters
and healthy.
of the year. However, interventions from
At DMart, we opened record 38 new
Every once in a while, the world the government across areas, including
stores during the year and continued
witnesses a landmark event that tests the a corporate tax rate cut, augured well for
to deliver reasonable growth across
resilience of mankind. COVID-19 is one the economy. By the fourth quarter, things
parameters. We now operate 214 stores
such event. My heart goes out to all those had started looking up. However, towards
across India, and remain bullish on
impacted by this unforeseen event. At the the second half of the month of March
India’s long-term consumption story. Our
same time, I am full of gratitude for all the 2020, the outbreak of the coronavirus
expansion plans are well-aligned to this,
health workers, government officials and stopped short the economy on its track
and we continue to be on the lookout for
other businesses and professionals, who to recovery, as manufacturing, trade and
locations within our clusters and outside,
have tirelessly worked in our battle against supply chains came to a halt. Even with
where we can build new stores that can
this virus. the gradual resumption of activity, this will
service our target customers.
Playing our part during challenging treatment plants to recycle water among Looking forward
times other measures to reduce our carbon
This year, we completed a successful
footprint on the planet.
The safety and well-being of our equity fund raise, and our promoter
customers, employees and the We continue to spend effectively on also undertook a stock sell-down. The
communities where we operate, continue empowering the disadvantaged with our Company has thus met its minimum public
to be of paramount importance to us. We corporate social responsibility initiatives, shareholding norm as prescribed by the
are taking all the necessary steps and and the results from the same are quite regulator. I would like to extend a warm
precautions to safeguard their health. heartwarming. This year, we helped more welcome to all our new shareholders and
than 100,000 young school students look forward to their support in the coming
Over the years, we have been humbled
in their endeavour to better educate years.
by the trust and loyalty that our customers
themselves.
have vested in us. We therefore consider As I look ahead, there is indeed a
it our duty to service their essential On the governance front, we are driven by short-term uncertainty as the world
shopping needs during challenging an experienced management, supported adopts a new normal. That said, it’s also
times such as the nation-wide lockdown. and supervised by a Board that I’m part heartening to see that world over, there
To this end, where permitted locally, we of, and a mentor, whose vision has helped are concerted efforts to tide over this
continued our operations using multiple us scale new heights. phase quickly and responsibly.
delivery channels, and made available
Our efforts to deliver and grow have been We are of the strong belief that together
daily essential products to our customers.
a function of a highly motivated workforce with everyone, we hope to pass this
Our larger commitments that remains the bedrock of our success. phase and set the ground for India’s next
Every day, their hard work and service wave of growth.
As we grow, we are also increasingly
mindset drive us forward, and I take this
mindful of our responsibility towards Best regards,
opportunity to heartily thank them. I would
the society and the environment. We
also like to mention the role of our trusted Ramesh Damani
are actively seeking green building
suppliers and manufacturers, who play a Chairman
certifications for our stores, using
vital role in our success, and would like to
renewable energy (solar) as part of
thank them for their continued support.
our energy mix and installing sewage
12 Message from the Managing Director & CEO
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Message from the Managing Director & CEO

Dear Shareholders,
I was not supposed to write this year, considering nothing
much would change. Then COVID-19 happened and it was
extremely necessary to tell all of you how we are dealing with the
pandemic. Hence the unusual nature of this letter is that most
of it is about what has happened after the end of financial year
2019-20. We had a good year on most financial metrics and we
opened the highest number of stores in a fiscal year. Yet it seems
like a faint far away event in comparison to the pandemic, its
progress and impact on our lives.
The outbreak of COVID-19 has affected us all and has
completely changed our way of life. Amidst the tumult of this
unprecedented period, our priority has been to safeguard
the health and well-being of our employees, customers and
communities at large, while continuing our business operations
with responsibility and care. Our hearts go out to all those
affected by COVID-19. At the same time, we are extremely
grateful to all healthcare officials and local authorities. Their
unwavering help and support, despite personal risk, are an
inspiration to us all.
The countrywide lockdown began towards the latter half of
March 2020 and continued through the end of May 2020. During
this period, more than half of our stores remained closed for
operations due to regulatory instructions, and stores that were
open, operated for restricted hours. Customer footfalls were
significantly lower and as per directives of the authorities, we
had to stop the sale of all non-essential products (Apparel and
General Merchandise). Staff attendance was significantly below
par in the first 3-4 weeks and our new store construction was
abruptly halted for nearly 3 months. We also faced issues in our
supply chain due to severe transport restrictions during the first
3-4 weeks. We were gradually able to open most of our stores
from mid-June onwards. We also commenced the sale of non-
essentials in most stores. In general, local enforcements have
Amidst the tumult of this been more severe than official notifications published from time
to time throughout this pandemic period. Opening up of stores
unprecedented period, our priority continues to be very inconsistent even now. There are abrupt,
has been to safeguard the health sudden and short notice lockdowns across cities. Some for
seven days, some for five days and some for the weekends.
and well-being of our employees,
customers and communities Workplace changes
We anticipated a lot of issues based on what we saw across
at large while continuing our the world as the pandemic lagged in its progress in India. Basis
business operations with this early learning, we quickly adopted newer work practices
from mid-March at our Head Office, Regional Offices, Stores,
responsibility and care.
Distribution Centres and Packing Centres. ensure it assists in recovery during the our customers. We therefore quickly
We moved extremely critical non-store period of quarantine, especially in the commenced servicing our customers
employees to work-from-home setups, case of institutional quarantine. through several new channels of delivery
made back-up teams for every office- to provide them all essential goods such
We have activated a separate cell that
working team, so that if one team had to as Home Delivery (using DMart Ready
monitors every single COVID-19 positive
be quarantined, the other could take over, Online App), and DMart on Wheels
employee and is supported through our
we did the same for our Store, Distribution (DOW) for large housing complexes.
local teams so that the employee and his
Centre and Packing Centre teams. Some of our stores also operated on
family can avail all benefits without any
a 24-hour basis wherever authorities
Safety measures difficulties. We are making every attempt
permitted it. Scaling the DMart Ready
to ensure that our employees feel safe
We have implemented all globally and App to operate across more than 200
and secure during this time.
locally recommended safety measures stores, ensuring all operating metrics of
to protect our employees and customers. Employee COVID-19 Policy order picking, route planning, delivery, etc.
Face masks are mandatory for all demonstrates the inherent capabilities of
It is at times like these that employees
employees and customers visiting our the team to ideate, activate and execute
look up to the firm to reassure them that
premises. All frequently touched surfaces projects in short time frames. Similar is
their jobs are safe and that we are there
such as trolleys, shopping baskets, the case of the DOW project. Our local
when they need us, especially during a
cash counters, office workstations, etc. store teams would set up a mini store with
medical emergency.
are sanitised at regular intervals. We a small assortment of essential products
also ensure regular sanitisation of all We have announced an additional in a large housing complex for 6-8
our premises and adequate availability COVID-19 leave policy, which is available hours. Our customers appreciated these
of sanitising material and non-contact for COVID-19 positive employees and initiatives.
thermometers. We have ensured also for employees who show COVID-19
As the availability of essentials eased
additional circulation of fresh air in all our type symptoms. This ensured that
and the local market supply chains
air-conditioned work places and stores. employees do not hesitate to stay at
normalised, we discontinued some of
home even if showing mild symptoms.
We have also popularised a catch phrase these services. We did this more to help
The COVID-19 leave policy covers all
‘1-2-3’ across the firm. the communities than think of it as a
direct and indirect employees working at
long-term strategic opportunity. Avenue
1. Always wash your hands, as many DMart. In addition, we also announced
Supermarts Limited would like to focus
times as possible. a one-time hardship allowance for all
on what it is good at – running Brick and
frontline staff. Frontline employees, who
2. Do not touch your hand to your face. Mortar store business.
continued to work during the pandemic
3. If you have fever, cold or dry cough, lockdown period up to 3rd May, earned
stay at home, rest and call your doctor. at least double or more of their usual
wages. This benefit covered at least 95%
As we continue to learn more about this
of all direct and indirect store, distribution
We have announced
infection, we have adopted additional
safety precautions. We have begun to
centre and packing centre personnel. All an additional COVID-19
our employees are covered for health
check oxygen concentration levels for
insurance as well as life insurance.
leave policy, which is
all our employees daily, we have also
organised free tele-consultations with
available for COVID-19
Servicing our customers
doctors for every employee and we
Our store operations were severely
positive employees and
provide a basic kit to every employee, who
is COVID-19 positive and quarantined or
impacted especially during the early also for employees who
part of the lockdown. However, being
hospitalised. This kit is a small assortment
in the essential services business, we
show COVID-19 type
of edible items and an electric water
kettle, certified by a practising doctor to
were mindful of our commitment to symptoms.
14 Message from the Managing Director & CEO
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Our learnings thus far

to course-correct our entire operations distancing practices and changing
Unlike developed countries, where to deal with the pandemic, with consumer preferences are two other
organised grocery retailers had a surge determination and agility. key trends that we would be watching
of customers walking into their stores, it carefully. This, we believe, could have
Our ability to pay our vendors and
has not happened with the same intensity lasting change and bring a sudden reset
employees on time, as before, and serve
at our stores. This was because of the to long term shopper behaviour.
our customers their essential needs like
strong enforcement of store shutdowns,
before, brings extreme satisfaction to These are trying times and we are doing
restrictive movement of people in general
every DMartian. While we are in the midst our best, first to keep our employees
and strict social distancing rules inside
of the second wave of the pandemic and safe, then to assure our customers that
stores. While the overall lockdown rules
business outlook may continue to seem shopping at DMart is 100% safe, to
have softened in general, they continue
uncertain, we are less anxious than we assure our vendors and partners that
with the same or more severe intensity
were in the beginning of April 2020. doing business with DMart is business
in certain cities and local municipalities
as usual, to let the authorities know that
from time to time. Simultaneously, the What next? we support them in all that they are trying
availability of essentials has significantly
The challenges are likely to continue in to do.
improved in general from what it was in
the current financial year as the economy
April 2020. There is a sales channel of Final thoughts
gradually opens after the lockdown. Our
traditional trade, which is smart, agile
new store openings will be impacted as As I conclude, I would like to draw your
and resourceful. India still has a strong
construction activity will commence with attention to something very important.
and resilient network of small shops
some lag due to availability of labour and As I reflected on the last four months,
and neighbourhood stores. They came
material, besides the onset of monsoon in I kept thinking about it and the more I
roaring back after the first 2 or 3 weeks
most parts of the country from mid-June thought about it I was certain that this
of lockdown, serving the needs of an
onwards. We are also incurring additional is something I must share with all of
anxious customer the way the customer
costs for maintaining COVID-19 standard you. It’s about a set of people, a large
wanted it – quickly over-the-counter or
hygiene protocols in all locations. Overall number of people who have been the key
through home deliveries. Value wasn’t top
gross margins will be under pressure as differentiators in the pandemic. Without
of the mind for shoppers during this time.
discretionary high margin categories are them we couldn’t have reached so far.
However, it is important to note that during not yet at near pre COVID-19 levels while Their continued support and dedication
the pandemic, if our stores were allowed food and essential sales is already near through the pandemic is enabling us to
to operate continuously for a month pre COVID-19 levels for stores that are serve millions of customers across the
or more like before, without disruption operational for a continuous period of country every single day.
and abrupt closures, we would have three to four weeks.
clocked 80% or more revenue of the
The full extent to which the pandemic
pre-COVID-19 sale. The reduction of sales
will impact our future financial results will
was only to the extent of softening of the
depend upon upcoming developments,
Our ability to pay our
discretionary categories, especially in the
non FMCG categories.
which are highly uncertain including vendors and employees
any new information concerning the
After the passage of four months, we severity of the pandemic and the action
on time, as before, and
can say with further certainty that our to mitigate its spread as advised by local serve our customers
business model of store ownership, authorities. Efficacy of treatments in the
steady incremental store additions over near term and a vaccine success rate in
their essential needs like
time and strong focus on cost efficiency the longer term could be defining factors before, brings extreme
during usual times, has allowed the for shoppers to step out and for authorities
business to face the pandemic shock to be more conducive to opening up
satisfaction to every
with relatively less harm. We were able economic activity. In the interim, social DMartian.
They are ‘Our DMartians’.

We never imagined we would one are nearly there in what we are doing
With all things considered equal, a day see it this way. What was earlier right for them is joyful for each one of us,
competent and motivated team can be seen sporadically, in small doses, in a especially for me.
the true differentiator for a business, any few situations suddenly emerged as
Retail in our country naturally attracts
business. Competence and motivation a silent surge within everybody. It was
extremely young people. Most of our
are something we always espouse. COURAGE. We saw tremendous courage
frontline staff is below the age of 30. While
It energises everybody. Never an amongst our associates and their leaders.
the general mood in the country was
opportunity is wasted on talking about We never earlier had an opportunity
sombre, our leadership team always came
passion, loving what you do, your to see how many would lead the way
back with feedback that the environment
calling and so many other things to our at grave personal risk when it really
in our DMart stores and warehouses
associates, supervisors and managers. mattered. Ownership yes, passion yes, but
is near normal – chirpy and business-
It keeps the excitement going and helps courage is an altogether different thing.
like. The fun element was definitely
us identify appropriate talent for the long We are after all just running a grocery
missing at the workplace, but it was
term, in an otherwise mundane business. retail business.
not sad and gloomy. Employees looked
Retail is not for everybody, it has an
What we did realise albeit as an forward to coming to work. We also had
uncanny way of allowing appropriate
afterthought is that somehow courage a very low rate of COVID-19 positives
talent emerge only if people practices are
manifests amongst the meekest, if the amongst our store and warehouse
strong and line managers are observant.
circumstances and environment so employees. COVID-19 has not impacted
The environment and bonding that is
facilitates. An environment that treats its our employees’ health so far in any
nurtured amongst each other makes
people fair and with respect, creates a significant way.
a huge difference to the business.
sense of belonging, a sense of ownership.
Customers may not be able to explain it Hence, through this letter, I would like
The COVID-19 pandemic is a rarest
well, but they can feel the difference when to say to all our DMartians, “What
of rare event – a crisis which could
they shop with us. This mood or vibe an amazing team you are and I am
be tackled meaningfully, only if most
makes everybody look forward to coming personally grateful to each one of you.
employees showed courage by taking
to work every day. It’s like a magnet. If Along with the doctors, health workers
a definitive step forward – to say no to a
there is one thing we all keenly focus on and emergency service personnel, you
spouse or a parent, or a family member,
during store visits, it’s to look for this buzz, stand TALL, right next to them”.
and say yes to work every single day
this vibe.
– to say to their family members that The passage of time has made us more
But we noticed something else during they need to go because the citizens confident in dealing with the pandemic.
the pandemic – in leaps and bounds. depend on them to ensure food and other The unwavering courage of our
basic essentials are made available. At employees, the trust of our customers and
a time when information was limited, your support should help us get through
We saw tremendous enforcement was all across, and anxiety this crisis.
courage amongst our was at its peak, our employees made
every attempt to come to work. This, I Yours Sincerely,
associates and their felt, was the defining reason for our quick
leaders. We never earlier response to the pandemic in the months Ignatius Navil Noronha
of April and May. Not that we did not Managing Director & CEO
had an opportunity to have our share of employees who were
see how many would afraid to work, but they were very few and
far between.
lead the way at grave
Culture is what we do rather than what
personal risk when it we say. A silent endorsement like this
really mattered. from our people to acknowledge that we
16 Sustainability at DMart
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Sustainability at DMart
Rooftop and Carport Solar Panels
Vendors/Suppliers
We have taken several steps in our
We continue to focus on reducing our carbon construction activities to reduce the
footprint by adopting several best practices in areas impact on environment by using
sustainable material.
of construction, sustainable energy usage (through
solar power and energy efficient fixtures, equipment) We are also constantly working with our
suppliers to ensure reduction of plastic
and reduced fresh water usage by increasing in packaged products, increased use of
STP installations. We have also increased our alternative packaging materials, reduction
in emission of greenhouse gases, usage
involvement with our suppliers and customers, to of sustainable products for manufacturing
further the cause of a sustainable environment. and other such sustainable practices. We
want to make a holistic difference in this
area, and believe that there is more work
to be done.
Customers at our stores This year we have obtained Gold 2. Water conservation
Certified Green Building Certification for
This year, we further increased our • W
e have installed 63 Sewage
23 additional buildings and one Platinum
involvement with our customers and Treatment Plants (STP) across our
Certified Green Building Certification;
took steps towards reducing our carbon premises. We recycle more than
taking our total to 74 buildings
footprint. We encouraged customers to 150,000 litres of water per day, and
(covering more than 3.5 million sq. ft. of
carry their own reusable carry bags and use it for flushing, thus reducing usage
development). This certification is issued
also introduced a variety of reusable of fresh water.
by the Indian Green Building Council
cloth bags. We constantly evaluate such
(IGBC) for 70 of our buildings and the • W
e have installed low-flow
opportunities, which are economical,
US Green Building Council (USGBC) water-efficient fixtures at our stores.
practical and easy to implement across
for 4 of our buildings. There are several These have aerators fixed by default to
our customers and internal stakeholders.
factors that are considered for awarding maintain and regulate water flow.
this certification. Some of them are
Our philosophy • W
e have developed rainwater
elaborated below in detail (including our
harvesting pits to collect rainwater
efforts within those factors):
Each business leader conducts all run-off and harvest it (through
business operations keeping in mind our groundwater recharge). This helps in
1. Energy efficiency
core philosophy of: addressing the issue of groundwater
Renewable Energy Use – We have depletion.
1 Judicious use of natural resources increased our solar power usage across
stores. This year 79 of our stores used 3. Sustainable building material
2 Reducing our carbon footprint solar power panels to meet part of their
Usage of AAC Blocks – We encourage
electricity requirement. These had a total
the usage of Autoclaved Aerated
3 Minimal environmental impact installed capacity of 7 MW. Collectively,
Concrete (AAC) Blocks, which contain
16% of our total power requirement at
up to 65% of recycled material, for
Green building certification these stores was met through Solar
construction of our stores. These blocks
Power. As a new initiative, this year, we
use fly-ash – a large pollutant byproduct
We have consistently increased Green have also installed one Carport (Solar
of thermal power plants.
Building Certifications for our stores. It Panels above Car Parking Sheds) at
is our constant endeavour to construct one store.
Ready Mix Concrete (RMC) – We
all our premises using sustainable and
Other practices always strive to procure RMC from a
environment friendly practices.
location that is close to our site, thus
3.5
• L
ED Fixtures are installed at our
significantly reducing its transportation.
stores to reduce overall energy
2.3 In addition, we always encourage usage
consumption
of fly-ash (within permitted limits) in
1.0
74 • C
FC-free Refrigerants are used in our our RMC, which is used in our building
50
27 Air Conditioning Equipment to reduce construction.
emission of greenhouse gases
FY 17-18 FY 18-19 FY 19-20
• B
EE 5-Star Rated Split Air
Area of development (mn. sq.ft)
# of Green Building Certifications Conditioning units are installed in all
our offices to reduce overall energy
consumption
18 Corporate Social Responsibility
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Corporate Social Responsibility
Access to good quality primary education for young children in the formative years
is one of the building blocks to achieve success during adulthood. Our CSR efforts
continued in this area to empower the young citizens of tomorrow.
In addition to our existing interventions, this year, we also extended our support in
the field of sports, scientific education and skill building programme for the youth.
As a culmination of our efforts over the years, this year, our students took part in
several public exhibitions to showcase their skills in areas of Computer Literacy,
English Language Proficiency as well as Reading and Scientific Learning.
Below are the key highlights of our programme for the 2019-20:
NEW INITIATIVES DURING THE YEAR

Skill showcase through public
exhibitions
2. Sparkling English fiesta
1. Digital mela
Students conducted on-stage plays,
Students used this opportunity to
activity corners and game stalls.
showcase their digital learning through
They displayed great confidence in
role plays, models, games and
showcasing their communication skills.
demonstration of various applications 1,300 Students
741 Students All visitors were greeted and led by
and their usage. It was student led and participated
participated students throughout the exhibition area.
saw strong participation from parents,
school children, teachers and visitors
from the community.
20 Corporate Social Responsibility
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
3. Reading fair Scientific learning through

science labs
The event had student-led fun activities
and games with the theme of ‘Reading’, This programme is aimed at helping
at its core. The student volunteers students develop skills such as scientific
facilitated various demonstrations inquiry-based learning, critical thinking,
13,800 Students 5 Science
with clarity and confidence, and also multi-perspective thinking and civic
participated Labs positively
conducted puppet shows using their responsibility. A science exhibition was
impacting 4,500+
favourite library books. also conducted, which allowed students
students
to confidently demonstrate their scientific
4. Scientific learning models along with their uses and
functions.
This exhibition allowed students to
Skill building programme
use their scientific learning to create
models and exhibits. They explained
This year, we have started a Skill
each concept with confidence to all the
459 Students Development and Livelihood Training
visitors. They applied their ideas and
participated Centre for local unemployed youth.
learning in their unique ways to find 150 Youth enrolled
The aim is to bring the youth in the
solutions to real-world problems.
economic mainstream through self-
Physical development through sports employment and salaried jobs. The
programme first centre was established in Panvel,
where youth aged 18-30 years have
Under our newly started sports been empowered through Livelihood
programme, we intend to focus on Training Programmes. This year, 150
improving biomotor abilities in students students were enrolled, of which 110
10 Sports Centres
during their formative years, and develop have completed trainings in Nursing
covering 400+
interest and participation in national Assistance, Apparel Making, Computing
students and other
level sports such as Judo, Wrestling Skills and other such skilled professions.
sports activities in
and Kabbadi. In our first year of this
8 schools covering PROGRESS OF OUR EXISTING
intervention, one of our students won
more than 3,700 PROGRAMMES
a Gold Medal in Judo at a National
students
Championship organised by the Judo Pedagogical and infrastructure
Federation of India at Manipur, and our interventions
students won more than 50 medals at
the District and State levels. We also 1. Improving computer literacy
organised a Sports Meet for two of our
schools. 252 students participated in Computer-aided learning is one of
various sports activities during the Meet. our flagship support programmes.
Our curriculum focuses on improving
85 fully functional
basic computer skills, language and
Computer Labs
general knowledge proficiency as well
as numerical skills. The programme is 6. Remedial classes

run by a team of 200+ teachers and
supervisors under focused guidance of We have extended our remedial classes
programme managers. programme for students in the 9th and
10th grades. This year, we covered 3,000
2. Library programme students from 28 schools, emphasising
3,000 students
on sound preparation methodologies
positively impacted
Our library programme provides for their critical board exams. We also
students with contextual books, which partnered with experts to create career
helps them inculcate an interest in awareness among students of several
reading, and improves their reading public schools.
69 School
fluency. Our programme has impacted
Libraries built Public Private Partnership (PPP)
more than 53,000 students across
model Schools (2 Public Schools
69 schools.
covered)
3. Spoken English proficiency
We have adopted two public schools
since the last three years. This year, we
Our efforts in this programme is directed 100% Results in
initiated leadership skill development
towards improving spoken English the Secondary
through a Student Council within the
skills of children in their elementary School
13,000 Students school. The council members are
years, using phonics and other relevant Certificate (SSC)
positively impacted responsible for day-to-day discipline and
techniques. Examination in
are also take a lead in organising events.
one School
We continued to focus on activity-
4. Habits of cleanliness and hygiene
based learning and provided access
to museums and science centres for a
Through our Swachh School Abhiyan,
holistic learning experience.
we inculcate habits of basic cleanliness
and personal hygiene. We continue Parent outreach
130+ Schools encouraging these schools through
covered with competitive grading among them. This We invite parents to attend meetings
40,000+ students has motivated all schools to maintain with experts, school management and
183 Parent
their facilities and promote cleanliness teachers, thereby educating them on
Meetings
amongst students. several aspects, with respect to their
child’s development, such as emotional
5. Building As a Learning Aid (BALA) connect, safety and personal hygiene;
better nutrition practices; absenteeism;
We have seen the positive impact of a adolescent behavioural changes, and
well-designed and colorful workplace so on. We also encourage parents to
and our BALA initiative replicates this motivate their children to study at home
296 Schools concept in public schools by designing through these forums.
covered and improving the aesthetics of the
school premises.
22 Board of Directors
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Board of Directors
Mr. Ramesh Damani

Mr. Elvin Machado Chairman & Independent Director
Whole-time Director
Mr. Ignatius Navil Noronha

Managing Director & CEO
Mr. Chandrashekhar Bhave Mr. Ramakant Baheti

Independent Director Whole-time Director &
Group CFO
Mrs. Manjri Chandak Ms. Kalpana Unadkat

Non-executive Director Independent Director
24 Senior Leadership Team | Corporate Information
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Senior Leadership Team
Mr. Ignatius Navil Noronha Mr. Ramakant Baheti Mr. Elvin Machado
Managing Director & CEO Whole-time Director & Group CFO Whole-time Director
Mr. Udaya Bhaskar Yarlagadda Mr. Narayanan Bhaskaran Mr. Niladri Deb
Chief Operating Officer, Chief Operating Officer, Chief Financial Officer
Retail – West Retail – North and South
Mr. Dheeraj Kampani Mr. Hitesh Shah

Vice-president, Vice-president, Operations
Buying and Merchandising
Corporate Information
BOARD OF DIRECTORS COMMITTEES OF THE BOARD BANKERS
HDFC Bank Limited
Mr. Ramesh Damani Audit Committee
Kotak Mahindra Bank Limited
Independent Director (Chairman) Mr. Chandrashekhar Bhave – Chairman
ICICI Bank Limited
Mr. Ramesh Damani – Member
Mr. Chandrashekhar Bhave Axis Bank Limited
Ms. Kalpana Unadkat – Member
Independent Director The Hong Kong and Shanghai Banking
Mr. Ramakant Baheti – Member
Corporation Limited
Ms. Kalpana Unadkat
Nomination & State Bank of India
Independent Director
Remuneration Committee Sumitomo Mitsui Banking Corporation
Mrs. Manjri Chandak Mr. Chandrashekhar Bhave – Chairman
Non-executive Director Mr. Ramesh Damani – Member DEBENTURE TRUSTEES
Mrs. Manjri Chandak – Member IDBI Trusteeship Services Limited
Mr. Ignatius Navil Noronha
Managing Director & CEO Stakeholder Relationship Committee
AUDITORS
Mrs. Manjri Chandak – Chairperson
Mr. Ramakant Baheti S R B C & Co LLP
Mr. Ramesh Damani – Member
Whole-time Director & Group CFO Chartered Accountants
Mr. Ramakant Baheti – Member
Mr. Elvin Machado
Corporate Social Responsibility REGISTERED OFFICE
Whole-time Director
Committee Anjaneya Co-op. Housing Society Ltd.
CHIEF FINANCIAL OFFICER Mr. Chandrashekhar Bhave – Chairman Orchard Avenue, Opp. Hiranandani
Mr. Niladri Deb Mr. Ramesh Damani – Member Foundation School, Powai,
Mr. Ramakant Baheti – Member Mumbai - 400 076
COMPANY SECRETARY & Mrs. Manjri Chandak – Member
Tel: +91-22-4049 6500
COMPLIANCE OFFICER
Risk Management Committee Fax: +91-22-4049 6503
Mrs. Ashu Gupta
Mr. Ignatius Navil Noronha – Chairman
Mr. Ramakant Baheti – Member CORPORATE OFFICE
Mrs. Manjri Chandak – Member B–72/72A, Wagle Industrial Estate,
Mr. Ashutosh Dhar – Member Road No. 33, Kamgar Hospital Road,
Mr. Vikram Bhatia – Member Thane - 400 604
Tel: +91-22-3340 0500,
+91-22-7123 0500
E-mail: investorrrelations@dmartindia.com
Website: www.dmartindia.com
REGISTRAR & SHARE

TRANSFER AGENT
Link Intime India Private Limited
C-101, 247 Park, L. B. S. Marg, Vikhroli
(West), Mumbai - 400 083
Tel: +91-22-4918 6270
Fax: +91-22-4918 6060
E-mail: rnt.helpdesk@linkintime.co.in
26 Management Discussion and Analysis
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Management
Discussion
and Analysis
ECONOMIC OVERVIEW INDUSTRY OVERVIEW
India’s GDP posted 7.1% compound annual growth rate (CAGR) Over the years, retailing in India has been one of the most dynamic
between Fiscal 2012 and Fiscal 2018. In Fiscal 2019, though, and fast-paced industries, which has travelled through different
GDP growth slowed to 6.8% on account of slower increase in phases. In 2019, India‘s GDP is estimated at `141 trillion, of which
government consumption and broad-based slower growth across private consumption constituted 57%. Retail sectors forms around
some sectors. ~80% of private consumption at constant prices. India‘s GDP
growth will therefore translate to an increase in the merchandise
The Indian economy started FY 2019-20 on a cautious sentiment, retail market, from `34 trillion in Fiscal 2014 to `66 trillion in Fiscal
with the overhang of general elections and the muted credit growth 2020. (Source: Crisil Research)
scenario. In the first two quarters, the overall demand remained
weak, with consumption and investment remaining conservative. Sector growth is primarily driven by rapid urbanisation, changing
However, from the October-December quarter onwards, the demographic profile, increasing middle-class disposable incomes,
situation started improving as the government, along with the increased digitalisation and technology adoption, evolving
central bank, undertook both fiscal and monetary policy measures preferences, brand awareness and rising discretionary spending.
to revive the economy. The rising e-commerce wave also significantly contributed to the
overall growth of the sector.
The fourth quarter was expected to be strong, with robust
demand and improved credit growth. The sentiment changed Organised Brick & Mortar retail accounted for ~7.5% of total
towards the last fortnight of March 2020, with the rapidly evolving retail market in Fiscal 2019. Overall, organised retail grew
COVID-19 pandemic. The global socioeconomic situation ~21% on-year in Fiscal 2019, with B&M retailers registering
significantly changed with most countries going into a lockdown growth of ~18% on-year.
including India.
The current pandemic could significantly alter new store roll out
The COVID-19 pandemic and the country-wide lockdown has strategy for the industry. Several retail businesses are witnessing
impacted trade and supply chain, along with manufacturing. extended store closures, lower footfalls and lean demand.
Consumption is impacted due to extreme macroeconomic shifts, Consumers are also focused more on consumption of essentials.
including a possible rise in unemployment and a steep decline in Industry growth for the next few years will therefore depend on the
GDP. Service businesses are rapidly changing business models severity of the pandemic in the country.
and enabling technology-based solutions to serve customers. The
central government, state governments and all the local authorities E-Commerce has always been a focus area in the industry. The
have taken several steps to support the economy and ensure COVID-19 situation has further amplified the growing importance
the safety of the citizens. Further, the learnings from treating of this channel. Online grocery is still a relatively under-penetrated
COVID-19 have already reduced mortality significantly over the segment within E-retail, but has gained significant attention in
last few months and there is tremendous and unprecedented the last few months as consumers have rapidly adopted online
speed in finding a vaccine. ordering of household grocery and other items. Apart from this,
e-retailers continue to focus on existing business segments, such
Outlook as electronics, apparel and fashion.
With the outbreak of COVID-19, the overall growth projections
for India has consequently changed. In FY 2020, the country has Overall, the retail sector faces key threats in the form of
grown at a rate of 4.2% (Source: International Monetary Fund). economic headwinds such as GDP slowdown due to COVID-19,
The situation is still evolving and uncertainties continue for all decreased rural spending and rising commodity prices as well as
businesses and economy. e-tailing, which have affected the growth of the brick and mortar
businesses. Unexpected yet unavoidable situations such as the
The short-term outlook remains unpredictable as the spread of recent pandemic have also impacted the performance of the retail
the pandemic is still being evaluated in the country, and next steps industry, as people remain indoors and mostly consume essential
are being charted out as the situation progresses. However, the goods and services. Organisations serving in the industry, thus will
strong enablers that characterise the Indian economy – a young need to remain agile and adaptable, to identify these threats and
working population, a stable government, rising competitiveness work towards their effective mitigation.
and improving index of ease of doing business – are expected to
reconform the country’s long-term growth trajectory.
BUSINESS OVERVIEW Key performance indicators

Avenue Supermarts Limited (DMart) is a national supermarket Over the years we have seen steady growth in the number of
chain, with a focus on value-retailing. We offer a wide range of stores and consequently our retail business area.
products with a focus on the Foods, Non-Foods (FMCG) and
General Merchandise & Apparel product categories. Financial Year No. of Stores Retail business area (in
Mn sq. ft.)
We launched our first store in 2002 in Mumbai, Maharashtra, and FY 2019-20 214 7.8
since then have grown to 214 stores with a retail business area of FY 2018-19 176 5.9
7.8 million sq. ft. spread across Maharashtra (76 stores), Gujarat FY 2017-18 155 4.9
(37), Telangana (24), Karnataka (20), Andhra Pradesh (17), Madhya FY 2016-17 131 4.1
Pradesh (11), Tamil Nadu (10), Rajasthan (7), Chhattisgarh (5), FY 2015-16 110 3.3
Punjab (5), Daman (1), and NCR (1).
Our operations are ably supported by a network of distribution
centres and packing centres. As of March 31, 2020 we had
We remain focussed on our strategy of offering our customers
36 distribution centres and 7 packing centres.
good quality products at great value, based on the Everyday Low
Cost/Everyday Low Price (EDLC/EDLP) principle.
Our total number of bill cuts have increased steadily. Our total
number of bill cuts was 20.1 crores in FY2019-20 compared to
Our store offerings provide our customers with a distinctive
17.2 crores during FY2018-19.
shopping experience, comprising of a wide range of everyday
value retail products sold in a modern ambience and with the
Our annualised revenue from sales per retail business area
feel of a large retail mall. We believe our endeavor to facilitate
sq. ft. (#) was `32,879 in FY2019-20 and `35,647 in FY2018-19.
one-stop shop convenience for our customers’ everyday
shopping needs, along with our competitive pricing due to our
# Annualized revenue from sales calculated based on 365 days in a year
local market knowledge, careful product assortment and supply
(on standalone basis) divided by retail business area at the end of the financial year.
chain efficiencies, has helped us achieve steady growth.
Financial performance
(` in crore)
Standalone Consolidated
Particulars FY 2020 FY 2019 Increase/ FY 2020 FY 2019 Increase/
Decrease Decrease
Net Sales/Income from Operations 24,675.01 19,916.25 23.89% 24,870.20 20,004.52 24.32%
Other Income 63.33 51.41 23.19% 59.99 48.35 24.07%
Finance Cost 62.76 47.15 33.11% 69.12 47.21 46.41%
Profit Before tax 1,782.89 1,447.64 23.16% 1,744.77 1,421.94 22.70%
Profit After Tax 1,349.89 936.35 44.17% 1,300.98 902.46 44.16%
EPS - Basic (in `) 21.49 15.00 43.27% 20.71 14.46 43.22%
EPS - Diluted (in `) 21.33 14.79 44.22% 20.55 14.26 44.11%
28 Management Discussion and Analysis
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Key financial ratios

Particulars FY 2020 FY 2019
Operating Profit Margin (%) 7.46% 7.49%
Net Profit Margin (%) 5.46% 4.69%
Interest Coverage Ratio 23.15 31.70
Debtors Turnover 243.47 212.25
Inventory Turnover (Based on sales) 14.16 14.63
Current Ratio 3.18 1.67
Debt Equity Ratio 0.03 0.12
Return on Net Worth 0.16 0.18
Notes
1. Interest Coverage Ratio changes due to higher earning with increase in finance cost
2. Current Ratio has improved due to repayment of current maturity of long term borrowings.
3. Improvement in Debt Equity Ratio is due to increase in equity and repayment of debt.
4. Change in Return on Net Worth is due to increase in equity.
Human capital Similarly, we maintain a system of monthly review of the business

Our employees are critical to our business. We internally assess as a key operational control, wherein the performance of units is
our employees to periodically identify competency gaps and use reviewed and corrective action is initiated. We also have in place
development inputs (such as skill upgradation training) to address a capital expenditure control system for authorising spend on new
these gaps. We have implemented staff training policies and assets and projects. Accountability is established for implementing
assessment procedures and intend to continue placing emphasis the projects on time and within the approved budget.
on attracting and retaining motivated employees.
The Audit Committee and the Senior Management Team are
We plan to continue investing in training programmes and other regularly apprised of the internal audit findings and regular updates
resources that enhance our employees’ skills and productivity. We are provided of the action taken on the internal audit reports. The
will continue to help our employees develop understanding of our Audit Committee reviews the quarterly, half yearly and the annual
customer-oriented corporate culture and service quality standards financial statements of the Company. A detailed note on the
to enable them to continue to meet our customers’ changing functioning of the Audit Committee and of the other committees
needs and preferences. of the Board forms part of the section on corporate governance
in the Annual Report.
The Company had a total of 9,456 permanent employees
and 38,952 employees hired on contractual basis, as on During the year, we carried out a detailed review of internal
March 31, 2020. financial controls. The findings were satisfactory and suggestions
for improvement have been taken up for implementation. Policy
Information Technology (IT) guidelines and Standard Operating Procedures (SOPs) continue
Our deep understanding of local needs and our ability to to be updated where required, to keep pace with business
adapt quickly to changing consumer preferences has helped requirements.
our performance driven growth. Our robust IT systems have
significantly aided this growth by simplifying complex processes Risks and concerns
throughout our operations. The Board of Directors review the Company’s business risks
and formulate strategies to mitigate those risks. The Senior
Our IT systems are equipped with an array of data management Management team, led by the Managing Director, is responsible for
tools specific to our business needs and support key aspects of proactively managing risks with appropriate mitigation measures
our business. IT has enabled our cash management systems, and ensuring their implementation thereof.
in-store systems, logistics systems, human resources, project
management, maintenance and other administrative functions. Below are some of the other key risks and concerns in our
This implementation has contributed positively towards minimising business:
product shortage, pilferage, out of stock situations etc. and has
increased overall operational efficiency. If we are unable to continue to offer daily low prices pursuant
to our EDLC/EDLP pricing strategy, we risk losing our distinct
Internal control systems and their adequacy advantage and a substantial portion of our customers, which
We have put in place internal control systems and a structured will adversely affect our business, financial condition and
internal audit process vested with the task of safeguarding the results of operations
assets of the organisation and ensuring reliability and accuracy
of the accounting and other operational data. The internal audit Availability of commercially viable real estate properties at
department reports to the Audit Committee of the Board of suitable locations for our new stores, timely execution of sale
Directors. deeds/leave and license registrations and getting regulatory
approvals for these properties
Our ability to attract, hire, train and retain skilled employees The business also rapidly adopted the new guidelines announced
by the Central Government and the local authorities that
Our inability to maintain an optimal level of inventory in our enabled shopping with adequate social distancing and other
stores may impact our operations adversely safety measures. We commenced multiple delivery channels to
customers such as Home Delivery (using DMart Ready Online
Our continued understanding and prediction of consumers’ App), bulk deliveries to housing societies, DMart on Wheels for
changing needs and preferences and timely customising of large housing complexes etc. These were temporary measures
our offerings which were discontinued once our stores were allowed to open for
customer shopping (Our subsidiary Avenue E-Commerce Limited
Effective management of our store expansion and operations continues to provide home delivery / pick up services using our
in newer locations/cities/states DMart Ready App in selected pin codes of Mumbai City). Some
of our stores also operated on a 24/7 basis, thus staggering the
The outbreak of COVID-19 could materially and adversely crowd, maintaining social distance and allowing customers to
affect our business, financial condition and results of shop at their convenience.
operations
Our business operations faced several challenges including:
Impact of COVID-19
During the last quarter of FY 2020, COVID-19 spread globally and a)
Temporary store closure for operations due to local
in India. This had an impact on the business operations of the restrictions
Company. We started our preparation to respond to this crisis from
early March. The company implemented various precautionary b) Significantly reduced footfall at operational stores
measures at each workplace to ensure personal safety and
business continuity, such as temperature monitoring, frequent c) Sale of only essential items and temporary stoppage of sale
use of hand sanitisers, use of face masks, frequent sanitation of of non-essential items (garments and general merchandise)
frequently touched surfaces etc. Our Corporate Office switched to
working with much lower attendance. We also enabled more than d)
Reduced employee attendance due to local transport
250 key employees across the Company to a Work from Home restrictions
set-up. This ensured continuity and constant ability to support
the business. e) Temporary stoppage of all our construction activities
We have not announced any lay-offs or salary cuts for our f) Disruption in our Supply Chain due to restricted manpower,
employees. We provided Emergency Leaves to employees to take transportation and material unavailability
care of any health issues that they may face. We also extended a
temporary Hardship Allowance to our frontline staff to help them
tide over this crisis.
CAUTIONARY STATEMENT
Statements in this Annual Report, particularly those which relate to the Management Discussion and Analysis,
describing the Company’s objectives, projections, estimates and expectations, may constitute ‘forward-looking
statements’ within the meaning of applicable laws and regulations. Actual results may materially differ from those
expressed or implied.
30 Directors’ Report
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Directors’
Report
Dear Members,
Your Directors are pleased to present the Twentieth Annual Report of Avenue Supermarts Limited (“the Company”) together with the
audited financial statements of the Company for the financial year ended 31st March, 2020.
FINANCIAL PERFORMANCE
The Company’s financial performance during the year ended 31st March, 2020 compared to the previous financial year is summarised below:
(` in crore)
Particulars Standalone Consolidated
2019-20 2018-19 2019-20 2018-19
Income from operations 24,675.01 19,916.25 24,870.20 20,004.52
Other Income 63.33 51.41 59.99 48.35
Total Income 24,738.34 19,967.66 24,930.19 20,052.87
Expenses 22,955.45 18,520.02 23,185.42 18,630.93
Profit before tax 1,782.89 1,447.64 1,744.77 1,421.94
Less: Tax Expense 433.00 511.29 443.79 519.48
Profit after Tax 1,349.89 936.35 1,300.98 902.46
Other comprehensive Income (net of taxes) (3.79) (1.27) (4.08) (1.31)
Total Comprehensive income for the year 1,346.10 935.08 1,296.90 901.15
The financial statements for the year ended 31st March, 2020 have CREDIT RATING
been prepared as per the Indian Accounting Standards (Ind AS). Your Company has been rated by CRISIL Limited (“CRISIL”)
vide its letter dated 11th October, 2019 for its debentures and
BUSINESS AND OPERATIONS long-term bank facilities/ non-convertible debenture/ commercial
During the year under review, your Company recorded steady paper programmes as follows:
growth and opened maximum stores ever in its history by adding
38 new stores. We now have presence across 11 states and Sr. Instruments Rating
1 union territory with 214 stores as of March, 2020. We continued No.
to provide value to our customers with the existing approach of 1 Bank Loan Facilities of CRISIL AA+/Stable (Reaffirmed)
Everyday Low Cost/Everyday Low Price principle. ` 750 crores
2 Non-Convertible Debentures CRISIL AA+/Stable (Assigned)
On standalone basis, the total income for FY 2020 was ` 24,738.34 of ` 200 crores
crore, which is 23.89 % higher over the previous year’s income 3 Non-Convertible Debentures CRISIL AA+/Stable (Reaffirmed)
of ` 19,967.66 crore. Our total income on consolidated basis for of ` 323 crores
FY 2020 was ` 24,930.19 crore as against ` 20,052.87 crore 4 Commercial Paper of CRISIL A1+ (Reaffirmed)
during FY 2019. ` 500 crores
With the above rating affirmations, the Company continues to

On standalone basis, the net profit after tax (PAT) for FY 2020
enjoy high credit quality rating for its debentures and long-term
stood at ` 1,349.89 crore as against previous year’s net profit
bank facilities/commercial paper programme.
of ` 936.35 crore thereby recording a growth of 44.17%.
Our net profit after tax (PAT) on consolidated basis for FY 2020
On request of the Company, CARE Ratings Limited has withdrawn
amounted for ` 1,300.98 crore as compared to ` 902.46 crore in
its rating (“CARE A1+”(CARE A one plus)) assigned to Company’s
the previous year.
Commercial paper issue w.e.f. 12th March, 2020, since the
Company has not placed the Commercial Paper and there is no
There was no change in nature of business of the Company,
outstanding issue as on date.
during the year under review.
UTILISATION OF IPO PROCEEDS

The proceeds of funds raised under IPO by the Company are being fully utilised as per Objects of the Issue. The disclosure in compliance
with the Regulation 32 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (hereinafter referred to as
“the Listing Regulations”) is as under:
Sr. Particulars Projected utilisation of Actual utilisation of Deviation

No. IPO proceeds as per IPO proceeds upto (if any)
the Objects of the Issue 31st March, 2020
(` in crore) (` in crore)
1. Repayment or Prepayment of a portion of loans and redemption or 1,080.00 1,080.00 NIL
early redemption of NCDs availed by the Company
2. Construction and purchase of fit outs for new stores 366.60 366.60 NIL
3. General Corporate expenses (excluding IPO expenses) 394.02 394.02 NIL
Total 1,840.62 1,840.62
The Company had appointed HDFC Bank Limited as the The disclosure in compliance with the Regulation 32 (7A) of the
Monitoring Agency in accordance with the Regulation 41 of the Listing Regulations is as under:
Securities and Exchange Board of India (Issue of Capital and
Disclosure Requirements) Regulations, 2018, as amended, for Sr. Particulars Actual utilisation of
monitoring the use of proceeds of IPO of the Company. No. QIP proceeds upto
31st March, 2020
There has been no deviation in the utilisation of IPO proceeds by (` in crore)
the Company as mentioned in the Prospectus and actuals. 1. Repayment of Non-convertible 300.00
Debentures
UTILISATION OF QIP PROCEEDS 2. Repayment of WCDL/Commercial 250.00
The Company allotted 20,000,000 equity shares through Qualified Paper
Institutional Placement (QIP) at an issue price of Rs. 2,049 per 3. Repayment of Term Loan 158.00
equity share (including a premium of Rs. 2,039 per equity share) 4. WC/General Corporate expenses 302.00
aggregating to Rs. 4,098 crore on 11th February, 2020. The issue (Excluding QIP expenses)
was made in accordance with the SEBI (Issue of Capital and Total 1,010.00
Disclosure Requirements) Regulations, 2018, as amended and
Sections 42 and 62 of the Companies Act, 2013, as amended, Out of the total fund raised by the Company under Qualified
including the rules made thereunder. Institutional Placement, an amount of ` 3,068 crore is unutilised
as on 31st March, 2020.
The proceeds of funds raised under Qualified Institutional
Placement of the Company are utilised as per Objects of the Issue.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
CHANGES IN SHARE CAPITAL 2.

Allotment of 20,000,000 (Two Crore) Equity Shares of
During the year, the paid-up share capital of the Company face value ` 10 (Rupees Ten) each to eligible Qualified
increased as follows: Institutional Buyers at an issue price of ` 2,049/- (Two
Thousand and Forty Nine) per Equity Share {including a
1.
Pursuant to exercise of stock options under Avenue premium of ` 2,039/- (Two Thousand and Thirty Nine) per
Supermarts Limited Employee Stock Option Scheme, 2016 Equity Share}, aggregating to ` 40,980,000,000/- (Rupees
by Employees of the Company and that of its subsidiary Four Thousand and Ninety Eight Crore). Pursuant to the
companies, the Company allotted 3,690,205 (Thirty Six said allotment, the equity share capital of the Company
Lakh Ninety Thousand Two Hundred and Five) Equity increased from ` 6,277,746,910 (Six Hundred and Twenty
Shares of ` 10/- (Rupees Ten) each at ` 299/- (Rupees Two Seven Crore Seventy Seven Lakh Forty Six Thousand Nine
Hundred and Ninty Nine) per share {including a premium Hundred and Ten) divided into 627,774,691 (Sixty Two Crore
of ` 289/- (Rupees Two Hundred and Eighty Nine) per Seventy Seven Lakh Seventy Four Thousand Six Hundred
Equity Share} aggregating to ` 1,103,371,295/- (Rupees and Ninety One) equity shares of ` 10/- (Rupees Ten) each
One Hundred and Ten Crore Thirty Three Lakh Seventy One to ` 6,477,746,910 (Six Hundred and Forty Seven Crore
Thousand Two Hundred and Ninety Five). Pursuant to the Seventy Seven Lakh Forty Six Thousand Nine Hundred and
said allotment, the equity share capital of the Company Ten) divided into 647,774,691 (Sixty Four Crore Seventy
increased from ` 6,240,844,860/- (Six Hundred and Seven Lakh Seventy Four Thousand Six Hundred and Ninety
Twenty Four Crore Eight Lakh Forty Four Thousand Eight One) Equity Shares.
Hundred and Sixty) divided into 624,084,486 (Sixty Two
Crore Forty Lakh Eighty Four Thousand Four Hundred and During FY 2019-20 there was no change in the authorised share
Eighty Six) equity shares of ` 10/- (Rupees Ten) each to capital of the Company.
` 6,277,746,910 (Six Hundred and Twenty Seven Crore
Seventy Seven Lakh Forty Six Thousand Nine Hundred and The Company has neither issued any shares with differential rights
Ten) divided into 627,774,691 (Sixty Two Crore Seventy as to dividend, voting or otherwise nor issued any sweat equity
Seven Lakh Seventy Four Thousand Six Hundred and shares during the year under review.
Ninety One) equity shares of ` 10/- (Rupees Ten) each.
NON-CONVERTIBLE DEBENTURES
During the year, the Company allotted Non-convertible Debentures (NCD) in the following tranches:
Sr. Description of NCD Date of Issue Amount Date of

No. (` in crore) early redemption
1. Secured Rated Unlisted Redeemable NCD 18.09.2019 100 18.03.2020
2. Secured Rated Listed Redeemable NCD 27.09.2019 100 27.03.2020
3. Secured Rated Unlisted Redeemable NCD 17.10.2019 100 17.03.2020
As on 31st March, 2020, the outstanding amount of NCD issued in

Category No. of equity % of total
previous financial years is ` 34 crore.
shares paid-up share
capital
MINIMUM PUBLIC SHAREHOLDING COMPLIANCE
Promoter and Promoter 485,747,156 74.99%
Mr. Radhakishan S. Damani, Mr. Gopikishan S. Group
Damani, Mrs. Shrikantadevi R. Damani and Mrs. Kirandevi G. Public 162,027,535 25.01%
Damani, the individual promoters of the Company, sold 14,800,000 Non-Promoter Non-Public - -
equity shares of the Company constituting 2.28% of the total Total 647,774,691 100%
paid-up capital of the Company to the public in accordance with
the “Comprehensive Guidelines on Offer for Sale (OFS) of Shares
DIVIDEND
by Promoters through the Stock Exchange Mechanism” issued by
With a view to conserve resources for expansion of business, your
the Securities and Exchange Board of India on 14th February, 2020
Directors have thought it prudent not to recommend any dividend
and 17th February, 2020, respectively.
for the financial year under review.
Consequently, the Company is now compliant with the Minimum
DIVIDEND DISTRIBUTION POLICY
Public Shareholding requirements as mandated under Rules
The Dividend Distribution Policy adopted by your
19(2)(b) and 19A of the Securities Contracts (Regulation) Rules,
Company is available on the Company’s website at
1957 read with Regulation 38 of the Listing Regulations.
https://www.dmartindia.com/investor-relationship. The said Policy
is disclosed under Annexure-I to this Report.
The breakup of Promoter and Public Shareholding of the Company
post aforesaid sale of shares is provided below:
TRANSFER TO RESERVES REFLECT WHOLESALE AND RETAIL PRIVATE LIMITED

The Company has not transferred any amount of profit to the (RWRPL)
reserves during the financial year under review. RWRPL, a wholly-owned subsidiary Company was incorporated
on 28th May, 2018, to carry on the business of wholesale and retail
CONSOLIDATED FINANCIAL STATEMENTS of goods and products. It is yet to commence its operations.
The Consolidated Financial Statements have been prepared as
per the relevant Indian Accounting Standards (Ind AS) as issued by The Company does not have any Joint Venture or Associate
the Institute of Chartered Accountants of India and notified under Company within the meaning of Section 2(6) of the Companies
Section 133 of the Companies Act, 2013 with the rules made Act, 2013. No material change has taken place in the nature of
thereunder. The said Consolidated Financial Statements form part business of the subsidiaries.
of this Annual Report.
Pursuant to the first proviso to Section 129(3) of the Companies
REPORT ON PERFORMANCE OF SUBSIDIARIES, Act, 2013 read with Rule 5 and 8 of the Companies (Accounts)
ASSOCIATES AND JOINT VENTURE COMPANIES Rules, 2014, the salient features of the financial statements and
The Company has 5 subsidiaries as on 31st March, 2020. performance of each subsidiary in Form AOC-1 is disclosed under
The details of which are appended hereunder: Annexure-II and forms part of this Report.
ALIGN RETAIL TRADES PRIVATE LIMITED (ARTPL) Pursuant to the provisions of Section 136 of the Companies Act,
ARTPL, a wholly-owned subsidiary Company incorporated on 2013, the financial statements of the Company, consolidated
22nd September, 2006, is engaged in the business of packing and financial statements and separate audited financial statements in
selling of grocery products, spices, dry fruits, etc. Its revenue from respect of subsidiaries are available on the website of the Company
operations for FY 2020 stood at ` 1,177.62 crore against ` 920.10 under web link https://www.dmartindia.com/investor-relationship.
crore in the previous year and the Company posted net profit after The same shall also be sent to Members electronically
tax of ` 24.81 crore for FY 2020 against ` 10.10 crore for FY 2019. who request for the same by sending e-mail to Company
at investorrelations@dmartindia.com from their registered
AVENUE FOOD PLAZA PRIVATE LIMITED (AFPPL): e-mail address.
AFPPL is a wholly-owned subsidiary Company incorporated on
8th June, 2004. It is engaged in the business of operating food stalls The Company has formulated a Policy for determining material
at DMart stores. The revenue from operations of the Company for subsidiaries. The said policy is available on the website of the
FY 2020 stood at ` 32.41 crore as against ` 23.59 crore for FY Company at https://www.dmartindia.com/investor-relationship.
2019. The Company reported net profit after tax of ` 6.29 crore
against ` 5.67 crore for previous year. RELATED PARTY TRANSACTIONS
In compliance with the requirements of the Listing Regulations,
AVENUE E-COMMERCE LIMITED (AEL) the Company has in place a Policy on Related Party
AEL, a subsidiary Company incorporated on 11th November, Transactions which is available on the website of the Company
2014 is engaged in the business of online grocery retail under the https://www.dmartindia.com/investor-relationship.
brand name “DMart Ready”. AEL currently operates its business
in selected areas of Mumbai region. AEL allows its customers to All the related party transactions are placed before the Audit
order abroad range of grocery and household products through Committee for the review and approval. Prior omnibus approval
its mobile app DMart online grocery shopping and through the is obtained for related party transactions which are repetitive in
website www.dmart.in. Customers can either self-pick up their nature. All related party transactions entered into by the Company
online orders from any designated Dmart Ready Pick-Up Points or during the financial year under review were in the ordinary course
get them delivered at their door step. of business and on arm’s length basis and the same were in
compliance with the applicable provisions of the Companies Act,
AEL’s revenue from operations for FY 2020 stood at ` 354.03 crore 2013 read with the relevant rules made thereunder and the Listing
vis-à-vis ` 143.59 crore in the FY 2019. The Company registered Regulations. The transactions entered by the Company during the
a loss of ` 79.71 crore in FY 2020 against the loss of ` 50.82 financial year under review were in conformity with the Company’s
crore in FY 2019. Policy on Related Party Transactions.
NAHAR SETH & JOGANI DEVELOPERS PRIVATE During the year 2019-20, your Company did not enter into any
LIMITED (NSJDPL): material related party transactions. Accordingly, disclosure with
NSJDPL, subsidiary Company was incorporated on 21st February, respect to the same in the Form AOC-2 in terms of Section 134
2014, with main object of, amongst others, development of land of the Companies Act, 2013 is not applicable.
and construction. Revenue from operations of the Company for
FY 2020 and FY 2019 was ` 0.75 crore and the Company earned PARTICULARS OF LOANS, GUARANTEES,
net profit after tax of ` 0.54 crore for FY 2020 against ` 0.47 INVESTMENTS AND SECURITIES
crore for FY 2019. Particulars of loans given, investments made, guarantees given
and securities provided during the year under review and as
covered under the provisions of Section 186 of the Companies
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Act, 2013 have been disclosed in the notes to the standalone In the opinion of the Board, Independent Directors fulfill the
financial statements forming part of the Annual Report. conditions specified in Companies Act, 2013 read with the
Schedules and Rules issued thereunder as well as Listing
MATTERS RELATED TO DIRECTORS AND KEY Regulations and are independent from Management.
MANAGERIAL PERSONNEL
The Board of Directors of the Company comprises of seven All the Independent Directors of the Company have enrolled
Directors, of which three are Executive Directors, one their names in the online database of Independent Directors
Non-Executive Woman Director and three Independent Directors by Indian Institute of Corporate Affairs in terms of the recently
(including Woman Independent Director). The constitution of the introduced regulatory requirements. Also, the online proficiency
Board of Directors of the Company is in accordance with Section self-assessment test as mandated will be undertaken by those
149 of the Companies Act, 2013 and Regulation 17 of the Listing Independent Directors of the Company who are not exempted
Regulations, as amended from time to time. within the prescribed timelines.
APPOINTMENTS Familiarisation Programme

Re-appointment of Mr. Ramesh Damani The Company has conducted familiarisation programmes for the
The members of the Company re-appointed Mr. Ramesh Damani Independent Directors of the Company covering the matters as
(DIN: 00304347) as an Independent Director of the Company for a specified in Regulation 25(7) of the Listing Regulations. The details
term of five years commencing from 1st April, 2019 through Postal of the training and familiarisation programme conducted by the
Ballot on 6th March, 2019. Company are hosted on the Company’s website under the web
link https://www.dmartindia.com/investor-relationship.
Re-appointment of Mr. Ramakant Baheti
Mr. Ramakant Baheti (DIN: 00246480) was re-appointed as a DISCLOSURES RELATED TO BOARD, COMMITTEES
Whole-time Director of the Company designated as ‘Group Chief AND POLICIES
Financial Officer’ for a term of five years commencing from 1st May, Board Meetings
2019 by the members of the Company through Postal Ballot on The Board of Directors met Six (6) times during the financial year
6th March, 2019. under review. The details of the Board meetings and attendance of
each Director there at are provided in the Corporate Governance
Directors retiring by rotation Report forming part of the Annual Report.
Pursuant to the provisions of Section 152 of the Companies Act,
2013 read with the relevant rules made thereunder, one-third of Audit Committee
the Directors are liable to retire by rotation every year and if eligible, The Company’s Audit Committee composition is in line with the
offer themselves for re-appointment at the AGM. requirements of Section 177 of the Companies Act, 2013 and
Regulation 18 of the Listing Regulations.
Mr. Ramakant Baheti (DIN: 00246480), Director being longest
in the office, is liable to retire by rotation at the ensuing Annual The composition of the Audit Committee is as under:
General Meeting of the Company and he being eligible has offered
himself for re-appointment. The Board of Directors recommend Sr. Name Category Designation
his re-appointment and the matter is being placed for seeking No.
approval of members at the ensuing Annual General Meeting 1. Mr. Chandrashekhar Non-Executive and Chairman
of the Company. Bhave Independent Director
2. Mr. Ramesh Damani Non-Executive and Member
Pursuant to Regulation 36 of the Listing Regulations read with Independent Director
Secretarial Standard-2 on General Meetings, brief details of 3. Ms. Kalpana Unadkat Non-Executive and Member
Mr. Ramakant Baheti, are provided as an Annexure to the Notice Independent Director
of the Annual General Meeting. 4. Mr. Ramakant Baheti Executive Director Member
Key Managerial Personnel The Members of the Audit Committee are financially literate and
During the year under review, there was no change in the Key have requisite accounting and financial management expertise.
Managerial Personnel of the Company. The terms of reference of the Audit Committee and the particulars
of meetings held and attendance there at are mentioned in the
Independent Directors Corporate Governance Report forming part of the Annual Report.
In accordance with Section 149 (7) of the Companies Act, 2013, During the year under review, all the recommendations made by
and Regulation 16(1)(b) of the Listing Regulations, as amended, the Audit Committee were accepted by the Board.
each Independent Director of the Company has provided a
written declaration confirming that he/she meets the criteria Nomination and Remuneration Committee
of independence as stipulated under Section 149(6) of the The composition of the Nomination and Remuneration Committee
Companies Act, 2013. is in conformity with the provisions of the Section 178 of the
Companies Act, 2013 and Regulation 19 of the Listing Regulations.
The composition of the Nomination and Remuneration

Monitoring the implementation of framework of the
Committee is as under: CSR Policy; and
Sr. Name Category Designation Recommending the amount to be spent on CSR activities.
No.
1. Mr. Chandrashekhar Non-Executive and Chairman The brief outline of the Company’s CSR initiatives undertaken
Bhave Independent Director during the year under review is disclosed in Annexure – IV in
2. Mr. Ramesh Damani Non-Executive and Member the format as prescribed in the Companies (Corporate Social
Independent Director Responsibility Policy) Rules, 2014. The Company’s CSR Policy is
3. Mrs. Manjri Chandak Non-Executive Director Member placed on the website of the Company www.dmartindia.com.
The terms of reference of the Nomination and Remuneration The composition of the CSR Committee is as under:
Committee and the particulars of meetings held and attendance
there at are mentioned in the Corporate Governance Report Sr. Name Category Designation
forming part of the Annual Report. No.
1. Mr. Chandrashekhar Non-Executive and Chairman
The Company has formulated Nomination and Remuneration Bhave Independent Director
Policy, which sets standards for nomination, remuneration and 2. Mr. Ramesh Damani Non-Executive and Member
evaluation of the Directors, Key Managerial Personnel, Senior Independent Director
Management Personnel and other employees of the Company. 3. Mrs. Manjri Chandak Non-Executive Director Member
4. Mr. Ramakant Baheti Executive Director Member
The Nomination and Remuneration Policy of the
Company is hosted on the Company’s website under The brief terms of reference, particulars of meetings held and
the web link https://www.dmartindia.com/investor-relationship. attendance thereat are mentioned in the Corporate Governance
The Nomination and Remuneration Policy of the Company is Report forming part of the Annual Report
disclosed under Annexure-III and forms part of this report.
Risk Management Committee
Stakeholders Relationship Committee Pursuant to Regulation 21 of the Listing Regulations, the Board
Pursuant to Section 178 of the Companies Act, 2013 and has constituted Risk Management Committee to frame, implement
Regulation 20 of the Listing Regulations, the Stakeholders’ and monitor risk management plan of the Company. The Board has
Relationship Committee was constituted by the Board of Directors. adopted the Risk Management Policy and guidelines to mitigate
foreseeable risks, avoid events, situations or circumstances, which
The composition of the Stakeholders Relationship may lead to negative consequences on the Company’s businesses.
Committee is as under: The major risks identified are systematically approached through
mitigating actions on continual basis. Risk evaluation is an ongoing
Sr. Name Category Designation and continuous process within the Company and it is regularly
No. updated to the Board of the Company.
1. Mrs. Manjri Chandak Non-Executive Director Chairperson
2. Mr. Ramesh Damani Non-Executive and Member The Risk Management Committee has been entrusted with the
Independent Director responsibility to assist the Board in overseeing and approving
3. Mr. Ramakant Baheti Executive Director Member the Company’s enterprise wide risk management framework.
A detailed analysis of the business risks and opportunities is given
The brief terms of reference of the Stakeholders’ Relationship under Management Discussion and Analysis Report.
Committee and the particulars of meetings held and attendance
thereat are mentioned in the Corporate Governance Report The composition of the Risk Management Committee is as under:
forming part of the Annual Report.
Sr. Name Category Designation
Corporate Social Responsibility Committee No.
In accordance with the provisions of Section 135 of the Companies 1. Mr. Ignatius Navil Executive Director Chairman
Act, 2013 read with Companies (Corporate Social Responsibility Noronha
Policy) Rules, 2014, the Board of Directors of the Company has 2. Mr. Ramakant Baheti Executive Director Member
constituted Corporate Social Responsibility (CSR) Committee. 3. Mrs. Manjri Chandak Non-Executive Director Member
The Committee is entrusted with the responsibility of: 4. Mr. Ashutosh Dhar VP – Risk Management Member
5. Mr. Vikram Bhatia VP – Information Member
Formulating and recommending to the Board, Corporate Technology
Social Responsibility Policy (CSR Policy) indicating the
activities to be undertaken;
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Director’s Responsibility Statement and quality, meetings and procedures, contribution to Board
In terms of Section 134(5) of the Companies Act, 2013, in relation to processes, effectiveness of the functions allocated, relationship
the audited financial statements of the Company for the year ended with management, professional development, adequacy,
31st March, 2020; the Board of Directors hereby confirms that: appropriateness and timeliness of information etc.
a)
in the preparation of annual accounts, the applicable Taking into consideration the responses received from the
accounting standards had been followed along with proper Individual Directors to the questionnaire, performance of the Board
explanation relating to material departures; and its Committees was evaluated. The Directors expressed their
satisfaction with the evaluation process.
b) such accounting policies have been selected and applied
consistently and the Directors made judgements and In terms of requirements of Schedule IV of the Companies
estimates that are reasonable and prudent so as to give a Act, 2013, a separate meeting of Independent Directors of the
true and fair view of the state of affairs of the Company as at Company was held on Saturday,11th January, 2020 to review:
31st March, 2020 and of the profit of the Company for that year;
The performance of non-independent directors and the
c) proper and sufficient care was taken for the maintenance Board as a whole and its Committees thereof;
of adequate accounting records in accordance with the
provisions of this Act, for safeguarding the assets of the The performance of the Chairperson of the company,
Company and for preventing and detecting fraud and other taking into account the views of executive directors and
irregularities; non-executive directors;
d) the annual accounts of the Company have been prepared on To assess the quality, quantity and timeliness of the flow of
a going concern basis; information between the Management and the Board.
e) they have laid down internal financial controls to be followed Performance evaluation of Independent Directors was done by the
by the Company and such internal financial controls are entire Board, excluding the Independent Director being evaluated.
adequate and operating effectively;
PARTICULARS OF EMPLOYEES
f) proper systems have been devised to ensure compliance The disclosure pertaining to remuneration and other details as
with the provisions of all applicable laws and that such required under Section 197(12) of the Companies Act, 2013 read
systems were adequate and operating effectively. with Rule 5(1) of the Companies (Appointment and Remuneration
of Managerial Personnel) Rules, 2014 is annexed to this
Vigil Mechanism Report as Annexure-V.
Pursuant to the provisions of Section 177(9) of the Companies
Act, 2013 read with Rule 7 of the Companies (Meetings of Board Details of employee remuneration as required under provisions
and its Powers) Rules, 2014, and in accordance with Regulation of Section 197 of the Companies Act, 2013 and rule 5(2) and
22 of the Listing Regulations, the Company had adopted ‘Vigil rule 5(3) of the Companies (Appointment and Remuneration of
Mechanism Policy’ for Directors and Employees of the Company Managerial Personnel) Rules, 2014 are available and shall be sent
to report concerns about unethical behaviour. The policy provides to Members electronically who request for the same by sending
a mechanism, which ensures adequate safeguards to Employees e-mail to Company at investorrelations@dmartindia.com from their
and Directors from any victimisation on raising concerns of registered e-mail address.
any violations of legal or regulatory requirements, incorrect or
misrepresentation of any, financial statements and reports, and so Employee Stock Options
on. The employees of the Company have the right/option to report The Members of the ESOP Committee vide circular resolution
their concern/grievance to the Chairman of the Audit Committee. dated 14th March, 2017 approved grant of 13,973,325 options
under the ESOP Scheme 2016 to 4,747 eligible employees of
The Company is committed to adhere to the highest standards the Company, irrespective of their grade, pursuant to the eligibility
of ethical, moral and legal conduct of business operations. criteria stipulated under the ESOP Scheme 2016.
The Vigil Mechanism Policy is hosted on the Company’s website
www.dmartindia.com. The Employee Stock Option Scheme 2016 is being administered
and monitored by the ESOP Committee of the Company.
Annual Evaluation of Directors, Committees and Board During the year under review 3,691,105 options were vested,
Pursuant to the provisions of the Companies Act, 2013 and as against which 3,690,205 options were exercised by 3,985
per the Listing Regulations, the Board of Directors has carried employees of the Company and its subsidiaries and 900
out annual performance evaluation of its own performance, the unexercised options were lapsed.
directors individually as well as the working of its Committees.
The scheme is in compliance with the SEBI (Share Based
The performance of the Board as a whole and of its Committees Employee Benefits) Regulations, 2014.
was evaluated by the Board through structured questionnaire
which covered various aspects such as the composition
In terms of the provisions of the SEBI (Share Based Employee Internal Audit and Control
Benefits) Regulations, 2014, the details of the Stock Options The Company has robust internal audit system for assessment of
granted under the aforesaid ESOP Scheme are uploaded on the audit findings and its mitigation. The Internal Audit function covers
website of the Company www.dmartindia.com. all the stores, inventory audit, stock takes, audit for project related
accounts, corporate accounts etc.
A certificate from S R B C & Co. LLP, Statutory Auditors of the
Company, has been obtained by the Company with respect Mr. Rajan Arora was appointed as an Internal Auditor of the
to implementation of Employee Stock Option Scheme, 2016 Company by the Board at its meeting held on Saturday,
and the same shall be available for inspection by Members 11th May, 2019 and the Internal Auditor directly reports to the
who request for the same by sending e-mail to Company Audit Committee for functional matters. The Audit Committee in its
at investorrelations@dmartindia.com from their registered quarterly meetings reviews the internal audit and controls reports.
e-mail address. Company’s internal controls are commensurate with the size
and operations of the business. Continuous internal monitoring
Internal Financial Control Systems and their adequacy mechanism ensures timely identification and redressal of issues.
The details of the internal financial control systems and their
adequacy are included in Management Discussions and Analysis OTHER DISCLOSURES
Report, which forms part of the Annual Report. Other disclosures as per the provisions of Section 134 of the
Companies Act, 2013 read with Companies (Accounts) Rules,
AUDITORS AND REPORTS 2014 are furnished as under:
The matters related to Auditors and their Reports are as under:
Extract of Annual Return
Statutory Auditors The extract of annual return in From MGT-9 as required under Section
S R B C & Co. LLP, Chartered Accountants (Firm Registration No.: 92(3) of the Companies Act, 2013 and Rule 12 of the Companies
324982E/E300003) were appointed as Statutory Auditors of your (Management and Administration) Rules, 2014 is disclosed under
Company at the 17th Annual General Meeting held on 6th September, Annexure-VII and forms part to this report and is also available on
2017, for a term of five consecutive years from the conclusion of the website of the Company at www.dmartindia.com.
that Annual General Meeting until the conclusion of 22nd Annual
General Meeting, subject to ratification of their appointment Conservation of Energy, Technology Absorption and Foreign
by members at every Annual General Meeting of the Company. Exchange Earnings and Outgo
The requirement for annual ratification of Auditors’ appointment The particulars as required to be furnished as per the provisions of
at the AGM has been omitted pursuant to the Companies Section 134(3) of the Companies Act, 2013 read with Rule 8 of the
(Amendment) Act, 2017 notified on 7th May, 2018. Accordingly, no Companies (Accounts) Rules, 2014 with respect to conservation
resolution is being proposed for ratification of appointment of of energy, technology absorption, foreign exchange earnings
Statutory Auditors at this AGM. The Statutory Auditors have given and outgo are disclosed under Annexure–VIII which forms part
a confirmation to the effect that they are eligible to continue with of this Report.
their appointment and that they have not been disqualified in any
manner from continuing as Statutory Auditors. Report on Corporate Governance and Management
Discussion and Analysis
Observations of Statutory Auditors on Accounts for the year A separate report on Corporate Governance is provided together
ended 31st March, 2020 with the Certificate from the Practicing Company Secretaries
The Auditors Report for the financial year ended 31st March, 2020 confirming compliance of conditions of Corporate Governance
does not contain any qualification, adverse remark or reservation as stipulated under the Listing Regulations. Pursuant to the
and therefore, do not call for any further explanation or comments provisions of Regulation 34 read with Schedule V of the Listing
from the Board under Section 134(3) of the Companies Act, 2013. Regulations, a report on Management Discussion & Analysis is
attached separately, which forms part of this Annual Report.
The Auditors have not reported any matter to the Company required
to be disclosed under Section 143(12) of the Companies Act, 2013. Business Responsibility Report
The Company’s sustainability initiatives as provided in the Business
Secretarial Audit Report for the year ended 31st March, 2020 Responsibility Report are in line with the key principles enunciated
The Secretarial Audit Report, pursuant to the provisions of in “National Voluntary Guidelines on Social, Environmental and
Section 204 read with Section 134(3) of the Companies Act, Economic Responsibilities of Business” framed by the Ministry
2013, was obtained from M/s. Rathi and Associates, Practicing of Corporate Affairs. Pursuant to the provisions of Regulation 34
Company Secretaries in Form MR-3 for the financial year 2019-20. of the Listing Regulations, the said report is attached separately,
The Secretarial Audit Report does not contain any qualifications, which forms part of this Annual Report.
reservations or adverse remarks.
Secretarial Standards Compliance
The said Report is disclosed under Annexure-VI and forms part During the year under review, the Company has complied with
to this report. all the applicable Secretarial Standards issued by The Institute
of Company Secretaries of India and approved by the Central
Government pursuant to Section 118 of the Companies Act, 2013.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Disclosures as per the Sexual Harassment of Women at Your Company has filed the web based form – Company
Workplace (Prevention, Prohibition and Redressal) Act, 2013 Affirmation of Readiness towards COVID-19 (CAR) and affirmed
The Company has zero tolerance for sexual harassment at to its requirements.
workplace and has adopted a policy on prevention, prohibition
and redressal of sexual harassment at work place in line with the GENERAL
provisions of the Sexual Harassment of Women at Workplace Your Directors state that no disclosure or reporting is required in
(Prevention, Prohibition and Redressal) Act, 2013 and the rules respect of the following items as there were no transactions for the
thereunder for prevention and redressal of complaints of sexual same during the year under review:
harassment at workplace. The Company has complied with
provisions relating to the constitution of Internal Complaints 1. Deposits covered under Chapter V of the Companies Act, 2013;
Committee under the Sexual Harassment of Women at Workplace
(Prevention, Prohibition and Redressal) Act, 2013. 2. Material changes and/or commitments that could affect the
Company’s financial position, which have occurred between
The details of complaints reported under Sexual Harassment of the end of the financial year of the Company and the date
Women at Workplace (Prevention, Prohibition and Redressal) Act, of this report;
2013 during FY 2019-20 are as follows:
3. Significant or material orders passed by the Regulators or
No. of Complaints received during the year 1 Courts or Tribunals, impacting the going concern status and
Complaints disposed off 1 Company’s operations in future;
No. of complaints pending as on 31.03.2020 0
4. Non-exercising of voting rights in respect of shares purchased
directly by employees under a scheme pursuant to Section
COMPANY AFFIRMATION OF READINESS TOWARDS
67(3) of the Companies Act, 2013 read with Rule 16(4) of
COVID-19
Companies (Share Capital and Debentures) Rules, 2014;
India is going through a tough phase of a global pandemic–Novel
Coronavirus disease (COVID-19). The Indian government is taking
5.
Receipt of any remuneration or commission from any of
all possible measures to keep a check on the spread of this
its subsidiary companies by the Managing Director or the
disease within the country.
Whole-Time Directors of the Company;
Accordingly, as a responsible private establishment, your Company
6. Revision of the financial statements pertaining to previous
also took part in the mission of social distancing by:
financial periods during the financial year under review;
- Putting in place Work from Home Policy (WFH) for the
employees of the Company; 7.
Maintenance of cost records as per sub-section (1) of
Section 148 of the Companies Act, 2013;
- Conduct of meetings through VC, telephone, computerised
& other electronic means;
8.
Frauds reported as per Section 143(12) of the
- Strictly adhering to the “Do’s and Don’ts” advised by the Companies Act, 2013.
Public Health Authorities;
ACKNOWLEDGEMENTS AND APPRECIATION
- Only essential staff are being called on duty with staggered
Your Board takes this opportunity to thank Company’s employees
timings to be followed in order to minimise physical interaction
at all levels for their hard work and commitment. Your Board also
in all the Offices, DMart stores and Distribution Centres at
places on record its sincere appreciation for the continued support
various locations; and
received from the customers, members, suppliers, bankers,
- To follow other preventive measures prescribed by the local financial institutions and all other business partners/associates.
authorities from time to time.
For and on behalf of the Board of Directors of

Avenue Supermarts Limited
Ignatius Navil Noronha Ramakant Baheti

Place: Thane Managing Director & CEO Whole-time Director & Group CFO
Date: 23rd May, 2020 DIN: 01787989 DIN: 00246480
Registered Office:
Anjaneya CHS Limited, Orchard Avenue,
Opp. Hiranandani Foundation School, Powai, Mumbai – 400 076
CIN: L51900MH2000PLC126473
Tel No.: 022-40496500
Fax No.: 022-40496503
E-mail Id: investorrelations@dmartindia.com
ANNEXURE I
does not have sufficient cash resources to make

DIVIDEND DISTRIBUTION POLICY
dividend payment, then it may reduce the amount
I. Objective of the Policy
of dividend pay-out.
The purpose of this Policy is to regulate the process of
dividend declaration and its pay-out by the Company, which
c)
Future Requirements: If a company foresees
would ensure the right balance between the quantum of
some profitable investment opportunities in near
dividend paid and amount of profits retained in the business
future including but not limited to brand/business
for various purposes. The Policy lays down parameters to
acquisitions, expansion/modernisation of
be considered by the Board of Directors of the Company for
existing businesses, additional investments in
declaration of Dividend from time to time.
subsidiaries/associates of the Company, fresh
investments into external businesses, then it may
II. Regulatory Framework
decide for lower dividend payout and vice-versa.
Regulation 43A of SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015, requires top 500 listed
d) Leverage profile and liabilities of the Company
companies based on market capitalisation (calculated as on
31st March of every financial year) to formulate a Dividend
e) Working capital requirements
Distribution Policy.
f) Capital expenditure requirements
Adhering to best corporate governance practice and to
comply with provisions of the SEBI (Listing Obligations
g) Cash flow required to meet contingencies
and Disclosure Requirements) Regulations, 2015 as and
when it becomes applicable, Avenue Supermarts Limited
h) Past Dividend Trends
frames this policy.
i) Any other factor as deemed fit by the Board.
III. Forms of Dividends
Final Dividend
2. External Factors
The final dividend is paid once for the financial year after the
Apart from the various internal factors, the Board
annual accounts are prepared. The Board of Directors of the
of Directors of the Company shall take into
Company has the power to recommend the payment of final
account various external factors before declaring
dividend to the shareholders for their approval at the general
dividend. These include:
meeting of the Company.
a)
Legal/Statutory Provisions and Regulatory
Interim Dividend
concern: The Board should keep in mind the
This form of dividend can be declared by the Board of
restrictions imposed by Companies Act, any other
Directors one or more times in a financial year as may be
applicable laws with regard to declaration and
deemed fit by it. The Board of Directors shall have the
distribution of dividend. Further, any restrictions
absolute power to declare interim dividend during the
on payment of dividends by virtue of any
financial year, in line with this policy.
regulation as may be applicable to the Company
may also impact the declaration of dividend.
IV. Factors affecting Dividend Declaration
The Dividend pay-out decision of the Company, depends
b) State of Economy: The Board will endeavour to
upon certain external and internal factors:
retain larger part of profits to build up reserves
to absorb future shocks in case of uncertain
1. Internal factors and financial parameters
or recessionary economic conditions and in
The Company’s Board of Directors would take into
situation where the policy decisions of the
account various internal factors including the financial
Government have a bearing on or affect the
parameters before declaring or recommending
business of the Company.
dividend to shareholders, which inter alia will include:
c)
Taxation Policy: The tax policy of a country
a) Magnitude and Stability of Earnings: The extent
also influences the dividend policy of a
of stability and magnitude of company’s earnings
company. The rate of tax directly influences the
will directly influence the dividend declaration.
amount of profits available to the Company for
Thus, the dividend is directly linked with the
declaring dividends.
availability of the earnings (including accumulated
earnings) with the Company.
d) Capital Markets: In case of unfavourable market
conditions, the Board may resort to a conservative
b) Liquidity Position: A company’s liquidity position
dividend pay-out in order to conserve cash
also determines the level of dividend. If a company
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE I
outflows and reduce the cost of raising funds VII.

Parameters that shall be adopted with regard to
through alternate resources. various classes of share
At present, the issued and paid-up share capital of the
e)
Dividend pay-out ratios of companies in Company comprises only equity shares; the Company
the same industry. does not have different classes of shares. As and when the
Company issues other kind of shares, the Board of Directors
V. Circumstances under which the shareholders may not may suitably amend this Policy.
expect Dividend
The shareholders of the Company may not expect Dividend VIII. Procedure
under the following circumstances: 1. Recommendation of final dividend, if any, shall be done
by the Board, usually in the Board meeting that considers
a) In the event of inadequacy of profits or whenever the and approves the annual financial statements, subject to
Company has incurred losses; approval of the shareholders of the Company.
b) Whenever Company proposes to utilise surplus cash 2.

The final dividend as recommended by the Board shall
for buy-back of securities; be approved/declared at the Annual General Meeting
of the Company.
c)
Significantly higher working capital requirements
adversely impacting free cash flow; 3.
Interim dividend, if any, shall be declared by the Board.
Before declaring interim dividend, the Board shall consider
d)
Whenever it undertakes or proposes to undertake the financial position of the Company that allows the
a significant expansion of business requiring higher payment of such dividend.
allocation of capital;
4. The payment of dividends shall be made within the statutorily
e)
Whenever it undertakes any acquisitions or joint prescribed period from the date of declaration, to those
ventures requiring significant allocation of capital; shareholders who are entitled to receive the dividend on the
record date/book closure period, as per the applicable law.
f) Operation of any law in force, which restricts payment
of dividend in particular circumstances; and 5.
The Company shall ensure compliance of provisions of
Applicable Laws and this Policy in relation to dividend
g)
Any restrictions and covenants contained in any declared by the Company.
agreement as may be entered with the lenders.
IX. Disclosure
VI. Retained Earnings The Company shall make appropriate disclosures as required
The portions of profits not distributed among the shareholders under the SEBI Regulations.
but retained and used in business are termed as retained
earnings. It is also referred to as ploughing back of profit. X. Review and Amendment
The Company should ensure to strike the right balance The Policy shall be reviewed as and when required to ensure
between the quantum of dividend paid and amount of profits that it meets the objectives of the relevant legislation and
retained in the business for various purposes. These earnings remains effective.
may be utilised for internal financing of its various activities
and for fixed as well as working capital. Thus, the retained This Policy would be subject to revision/amendment in accordance
earnings shall be utilised for carrying out the main objectives with the guidelines as may be issued by Ministry of Corporate
of the Company and maintaining adequate liquidity levels. Affairs, Securities Exchange Board of India (SEBI) or such other
The decision of utilisation of the retained earnings of the regulatory authority as may be authorised, from time to time, on
Company shall be based on the following factors: the subject matter.
Market expansion plan;
Modernisation plan; The Company reserves its right to alter, modify, add, delete or
Diversification of business; amend any of the provisions of this Policy.
Long-term strategic plans;
Replacement of capital assets; In case of any amendment(s), clarification(s), circular(s) and so on
Where the cost of debt is expensive; issued by the relevant authorities, not being consistent with the
Other such criteria as the Board may deem fit provisions laid down under this Policy, then such amendment(s),
from time to time. clarification(s), circular(s) and so on shall prevail upon the provisions
The Company may declare dividend out of the profits of the hereunder and this Policy shall stand amended accordingly
Company for the year or out of the profits for any previous from the effective date as laid down under such amendment(s),
year(s) or out of the free reserves available for distribution clarification(s), and circular(s), among others.
of Dividend, after having due regard to the parameters laid
down in this Policy.
ANNEXURE II
STATEMENT CONTAINING SALIENT FEATURES OF THE FINANCIAL STATEMENT OF SUBSIDIARIES/ ASSOCIATE

COMPANIES/ JOINT VENTURES
FORM AOC-1
(Pursuant to first proviso to sub-section (3) of Section 129 read with rule 5 of Companies (Accounts) Rules, 2014)
Part“A”: Subsidiaries
(` in Lakh)
1 Name of the Subsidiaries Align Retail Avenue Food Nahar Seth Avenue Reflect
Trades Private Plaza Private & Jogani E-Commerce Wholesale and
Limited Limited Developers Limited Retail Private
Private Limited Limited
2 Date since when subsidiary was acquired 18.08.2009 18.08.2009 21.02.2014 02.02.2018 28.05.2018
3 Reporting period for the subsidiary concerned, Same as of Same as of Same as of Same as of Same as of
if different from the holding company’s the Holding the Holding the Holding the Holding the Holding
reporting period Company Company Company Company Company
4 Reporting currency and Exchange rate as on NA NA NA NA NA
the last date of the relevant Financial Year in
the case of foreign subsidiaries
5 Share capital 380.00 1.00 10.00 21,688.73 10.00
6 Reserves and Surplus 8,074.54 2,520.21 285.01 (17,370.39) (0.68)
7 Total Assets 9,561.29 2,958.72 1,139.70 14,241.44 9.50
8 Total Liabilities 1,106.75 437.51 844.69 9,923.10 0.18
9 Investments Nil 965.86 Nil 502.09 Nil
10 Turnover 117,761.81 3,240.50 75 35,403.39 Nil
11 Profit/Loss before taxation 3,320.53 865.25 67.79 (7,971.00) (0.32)
12 Tax Expense 839.71 236.25 14.07 - -
13 Profit/Loss after taxation 2,480.82 629.00 53.72 (7,971.00) (0.32)
14 Proposed Dividend Nil Nil Nil Nil Nil
15 % of shareholding 100% 100% 90% 99.82% 100%
*Total Liabilities excluding of share capital and Reserves & Surplus.
Names of the subsidiaries which are yet to commence operations – Reflect Wholesale and Retail Private Limited
Names of subsidiaries which have been liquidated or sold during the year – NIL
Statement pursuant to Section 129(3) of the Companies Act, 2013 related to the Associate Companies & Joint Ventures
Part “B”: Associates and Joint Ventures

Note: The Company does not have any Associate/Joint Venture Company as on 31st March, 2020
Names of the associate or joint ventures which are yet to commence operations – NIL
Names of the associate or joint ventures which have been liquidated or sold during the year – NIL

Ignatius Navil Noronha Ramakant Baheti Ashu Gupta

Managing Director & CEO Whole-time Director & Group CFO Company Secretary
DIN: 01787989 DIN: 00246480 Membership No.: ACS13449
Place: Thane
Date: 23rd May, 2020
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE III
Committee: Committee means Nomination and Remuneration

NOMINATION AND REMUNERATION POLICY
Committee of the Company as constituted or reconstituted by the
Board, from time to time.
INTRODUCTION
This policy on nomination and payment of remuneration to Company: Company means Avenue Supermarts Limited.
Directors, Key Managerial Personnel and other employees has
been formulated by the Nomination and Remuneration Committee Independent Director: As provided under the Companies
(“the Committee”) and approved by the Board of Directors. Act, 2013 and Regulation 16(b) of SEBI (Listing Obligations and
Disclosure Requirements) Regulations, 2015 (as amended from
OBJECTIVES OF THE POLICY time to time), an Independent Director in relation to a Company,
i. To formulate the criteria for determining qualifications, positive means a Director other than a Managing Director or a Whole-time
attributes and independence of a Director and recommend Director or a Nominee Director:
to the Board a policy relating to the remuneration for the
Directors, Key Managerial Personnel and other employees; (a) who, in the opinion of the Board, is a person of integrity and
possesses relevant expertise and experience;
ii. To formulate the criteria for evaluation of performance of
Independent Directors and the Board of Directors; (b)
who is or was not a promoter of the Company or its
holding, subsidiary or associate company or member of the
iii. To identify the persons who are qualified to become Directors Company’s promoter group;
and persons who may be appointed in Key Managerial and
Senior Management positions in accordance with the criteria (c) who is not related to promoters or directors in the Company,
laid down in this policy; its holding, subsidiary or associate company;
iv.
To guide the Committee on appointment and removal (d)
who has or had no pecuniary relationship, apart from
of Director, Key Managerial Personnel and Senior receiving Directors remuneration or having transaction not
Management Personnel; exceeding 10% of his income or such amount as may be
prescribed with the Company, its Holding, Subsidiary or
v. To devise a policy on diversity of the Board of Directors; and Associate Company, or their promoters, or directors, during
the two immediately preceding financial years or during the
vi.
To assist the Committee on extension/continuation of current financial year;
the term of appointment of the Independent Director,
performance evaluation of Independent Directors and (e) None of whose relatives -
Committee reporting to the Board.
i. is holding any security of or interest in the Company of
This Policy is divided in two parts: face value exceeding ` 50 lakh or 2% of the paid-up
capital of the Company, its Holding, Subsidiary(ies) or
Part A – Policy for appointment of and payment of remuneration to Associate Company(ies) during the two immediately
Director, Key Managerial Personnel and other employees. preceding financial years or during the current
financial year;
Part B – Policy on Diversity of Board of Directors of the Company.
ii. is indebted to the Company, its holding, subsidiary or
Effective Date associate company or their promoters, or directors, for
The policy has been formulated by the Nomination and an amount of ` 50 lakh, at any time during the two
Remuneration Committee and adopted by the Board of Directors immediately preceding financial years or during the
at its meeting held on 25th April, 2014 and as amended from time current financial year;
to time. This policy shall be operational with immediate effect.
iii.
has given a guarantee or provided any security in
Part A – Policy for Appointment of and Payment of connection with the indebtedness of any third person to
Remuneration to Director, Key Managerial Personnel and the Company, its Holding, Subsidiary(ies) or Associate
other employees. Company(ies) or their promoters, or directors of such
Definitions holding company, for an amount of ` 50 lakh during the
Board: Board means Board of Directors of the Company. two immediately preceding financial years or during the
current financial year;
Director: Director means Director of the Company appointed in
accordance with the Companies Act, 2013. iv.
have/had any pecuniary relationship or transaction
with the Company, its Holding, Subsidiary(ies) or
ANNEXURE III
Associate Company(ies), or their promoters, or Key Managerial Personnel: Key Managerial

directors, amounting to two per cent or more of the Personnel (KMP) means–
gross turnover or total income of the said company(ies)
or ` 50 lakh, whichever is lower, during the two (i)
the Chief Executive Officer or the Managing Director
immediately preceding financial years or during the or the Manager;
current financial year; singly or in combination with the
transactions referred to above sub-clauses (i), (ii) or (iii). (ii) the Company Secretary;
(f) Who, neither himself nor any of his relatives – (iii) the Whole-time Director;
i. holds or has held the position of a key managerial (iv) the Chief Financial Officer; and
personnel or is or has been employee of the
Company or its holding, subsidiary(ies) or (v)
such other officer, not more than one level below the
associate company(ies) in any of the preceding directors who is in whole-time employment designated as
three financial years; key managerial personnel by the Board; and
ii. is or has been an employee or proprietor or a (vi) such other officer as may be prescribed
partner, in preceding three financial years of –
Senior Management: The expression Senior Management
a firm of auditors or company secretaries in means personnel of the Company who are members of its core
practice or cost auditors of the Company management team excluding Board of Directors comprising all
or its holding, subsidiary or associate members of management one level below the Executive Directors,
company(ies); or including the functional heads.
any legal or a consulting firm that has or Other Employees: The expression shall mean all the permanent
had any transaction with the Company, its employees of the Company excluding the Board of Directors and
holding, subsidiary or associate company the Key Managerial Personnel.
amounting to ten per cent or more of the
gross turnover of such firm; Unless the context otherwise requires, words and expressions
used in this policy and not defined herein but defined under the
iii. holds together with his relatives two per cent or Companies Act, 2013 or SEBI (Listing Obligations and Disclosure
more of the total voting power of the Company, Requirements) Regulations, 2015 as may be amended from time to
either individually or together; time shall have the meaning respectively assigned to them therein.
iv. occupies post of a Chief Executive or director, Applicability

by whatever name called, of any non-profit The Policy is applicable to:
organisation that receives twenty-five per cent
or more of its receipts from the Company, any Directors (Executive and Non-Executive)
of the promoters, directors or the holding,
subsidiary(ies) or associate company(ies) or that Key Managerial Personnel (hereinafter referred to as “KMP”)
holds two per cent or more of the total voting
power of the Company; Senior Management Personnel and other employees
v. is a material supplier, service provider or customer Constitution of the Nomination and Remuneration
or a lessor or lessee of the Company. Committee
The Board has the power to constitute/re-constitute the
(g)
Who possesses such other qualifications as Committee from time to time in order to make it consistent with
prescribed under rule 5 of the Companies the Company’s policy and applicable statutory requirement.
(Appointment and Qualification of At present, the Nomination and Remuneration Committee
Directors) Rules, 2014; comprises the following Directors:
(h) who has completed the age of 21 years; Name of the Director Category Designation
Mr. Chandrashekhar Bhave Non-Executive and Chairman
(i)
who is not a Non-Independent Director of Independent Director
another Company on the Board of which any Mr. Ramesh Damani Non-Executive and Member
Non-Independent Director of the Company is an Independent Director
Independent Director. Mrs. Manjri Chandak Non-Executive Director Member
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE III
General Appointment Criteria Retirement

i. The Committee shall consider the ethical standards of The Directors and Key Managerial Personnel, Senior Management
integrity and probity, qualification, expertise and experience Personnel and other employees shall retire as per the provisions
of the person for appointment as Director, Independent of the applicable Acts, Rules and Regulations and in accordance
Director or KMP and accordingly recommend to the Board with the prevailing HR policy of the Company.
his/her appointment.
Remuneration
ii. The Company should ensure that the person so appointed as The Committee will recommend the remuneration to be paid to
Director/ Independent Director/ KMP shall not be disqualified the CEO and/or the Managing Director, Whole-time Director, KMP
under the Companies Act, 2013, rules made thereunder, or and other employees as specified in this Policy to the Board for
any other enactment for the time being in force. their approval.
iii. The Director/ Independent Director/ KMP shall be appointed The level and composition of remuneration so determined by
as per the procedure laid down under the provisions of the the Committee shall be reasonable and sufficient to attract,
Companies Act, 2013, rules made thereunder, and any other retain and motivate Directors, Key Managerial Personnel and
enactment for the time being in force which is applicable Senior Management of the quality required to run the Company
to the Company. successfully. The relationship of remuneration to performance
should be made clear and should meet appropriate performance
iv. While evaluating the person for appointment/re-appointment benchmarks. The remuneration should also involve a balance
of Senior Management position, the HR Head shall consider between fixed and incentive pay reflecting short- and long-term
individual’s background, competency, skills, educational performance objectives appropriate to the working of the
and professional background, age and relevant experience Company and its goals:
and the same shall be then recommended to the Chief
Executive Officer (hereinafter referred to as “CEO”) and/or 1. Managing Director/Whole-time Director
Managing Director of the Company. The CEO and/or the i. The overall limits of the remuneration/ compensation/
Managing Director of the Company in accordance with commission to be paid to the Managing Director/Whole-time
the applicable provisions of the Companies Act, 2013 Director shall be governed as per provisions of Section
and in accordance with the Company’s HR Policy, 197 of the Companies Act, 2013, rules made thereunder
shall make appointment/re-appointments of Senior and Schedule V of the Companies Act, 2013 or any other
Management Personnel. enactment for the time being in force.
Additional Criteria for Appointment of Independent ii.

The remuneration shall be divided in fixed and variable
Directors components, if any. The fixed component shall comprise
The Committee shall consider qualifications for Independent salary, perquisites, allowances, amenities; whereas the
Directors as mentioned herein earlier under the head ’Definitions’ variable component consists of performance bonus.
and also their appointment shall be governed as per the provisions
of Section 149 read with Schedule IV of the Companies Act, 2013 iii. The annual increments for the CEO and/or the Managing
(as amended from time to time) and applicable regulation of SEBI Director/ Whole-time Director shall be carried out by the Board
(LODR) Regulations, 2015 (as amended from time to time). of Directors on prior recommendations of the Committee.
Term/Tenure 2. Non-Executive Directors

The Term/Tenure of the Directors/ Independent Directors/ KMP i. The Non-Executive Directors including Independent
shall be determined by the Committee in accordance with the Directors shall be paid sitting fees for attending meetings of
provisions of the Companies Act, 2013 and rules made thereunder the Board and the Committee thereof.
as amended from time to time.
ii. The quantum of the sitting fees shall be recommended by
Removal the Nomination and Remuneration Committee to the Board
Due to reasons for any disqualification mentioned in the Companies for their approval and that the same shall be within maximum
Act, 2013, rules made thereunder or under any other applicable limits as provided under the Companies Act, 2013.
Act, rules and regulations or any other reasonable ground, the
Committee may recommend to the Board for removal of a Director, iii.
The Independent Directors shall be paid Commission
KMP or Senior Management Personnel subject to the provisions within the limit not exceeding 1% of the net profits of the
and compliance of the said Act, rules and regulations. Company computed as per the applicable provisions of the
Companies Act, 2013.
iv. Independent Director shall not be eligible for Stock Options.

ANNEXURE III
3. KMP/ Senior Management Personnel/ Other ii. The annual increment and performance based bonus is
Employees based on criteria of roles and responsibility, the Company’s
i. The Remuneration to be paid to KMP shall be based on performance with the annual budget achievement, individual
the experience, qualification and expertise of the related performance of the Senior Management Personnel vis-à-vis
personnel and governed by the limits, if any prescribed industry’s benchmarks.
under the Companies Act, 2013 and rules made thereunder
or any other enactment for the time being in force. iii. The Nomination and Remuneration Committee shall specify
the manner for effective evaluation of performance of the
ii. The remuneration, performance appraisal and rewards to Board, its committees and individual Directors to be carried
Senior Management and other employees, shall be in line out either by the Board of Directors, by the Committee
with the stated objectives. or by an independent external agency and review its
implementation and compliance.
iii. The Senior Management Personnel and other employees of
the Company shall be paid monthly remuneration comprises Directors’ and Officers’ Insurance
basic salary, dearness allowance, house rent allowance, Where any insurance is taken by the Company on behalf of its
ex-gratia, performance bonus, contribution to provident fund Directors, KMPs and Senior Management Personnel, among
and superannuation fund, premium on medical insurance others for indemnifying them against any liability, the premium paid
and personal accident insurance, gratuity, leave travel on such insurance shall not be treated as part of the remuneration
allowance, leave encashment, and so on, as applicable payable to any such personnel unless otherwise specifically
and linked to their grade as per the Company’s HR Policy provided under the Act.
and as approved by the CEO and/or the Managing Director
of the Company. Provided where any Director, KMP and SMP are proved to be
guilty, then the premium paid on such insurance shall be treated
iv.
If the remuneration of any other employee is specifically as part of the remuneration.
required to be approved by the Committee or Board of
Directors under any regulations, then such approval will be Part B – Policy On Diversity of Board of Directors of The
accordingly sought. Company
A. Policy Statement
v. The annual increments for the Key Managerial Personnel/ The Company recognises and embraces the benefits
Senior Management Personnel/ Employees one level below of having a diverse Board that possesses a balance of
the CEO and/or the Managing Director/ Whole-time Director/ skills, experience, expertise and diversity of perspectives
Manager shall be carried out by the Board of Directors on appropriate to the requirements of the business of the
prior recommendations of the Committee. Company. Diversity at Board level is an essential element in
maintaining a competitive advantage. A truly diverse Board
vi. The annual increments of other employees shall be linked to will include and make good use of varieties of skills, regional
their overall performance and as decided by the CEO and/or and industry experience, background, race, gender and
the Managing Director in consultation with their reporting other distinctions between Directors. These differences will
managers and Human Resources Department. be considered in determining the optimum composition of the
Board and when required should be balanced appropriately.
vii.
The KMP, Senior Management Personnel and other
employees of the Company may also be eligible for stock The Company maintains that Board appointments should
options as per the scheme framed/to be framed by the be based on merit that complements and expands the
Company, from time to time. skills, experience and expertise of the Board as a whole
taking into account knowledge, professional experience
viii. All the employees of the Company must conduct themselves and qualifications, gender, age, cultural and educational
to ensure that no breach of Code of Conduct, Standard background, and any other factors that the Board might
Operating Procedures (SOPs) and all other relevant and consider relevant and applicable from time to time for it
applicable Codes are committed. Any such breach will have to function effectively. In the process of attaining a diverse
a direct bearing on their performance appraisal and rewards Board based on the aforementioned criteria, the following
and shall also attract appropriate disciplinary action. criteria needs to be assessed:
Annual Evaluation I. Optimum Composition

i. The annual evaluation of the Directors, Independent Directors (a)
The Board shall have an optimum combination of
and KMP shall be carried out by the Board of Directors Executive and Non-Executive Directors and not
of the Company in pursuance of the Annual Performance less than 50% of the Board of Directors comprising
Evaluation Policy of the Company. Non-Executive Directors;
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE III
(b) At least half of the Board should consist of Independent proposed appointee which is relevant to the business
Directors (where the Chairman of the Board is Executive of the Company;
Director) or at least one-third of the Board should
comprise Independent Directors (where the Chairman (b) Knowledge of and experience in domain areas such as
of the Board is Non- Executive Director); finance, legal, risk management, industry, and so on,
should be duly considered while making appointments
(c)
The Company shall continue to have at least one to the Board level;
Independent Woman Director on the Board to ensure
that there is no gender inequality on the Board. (c)
While appointing Independent Directors, care
should be taken as to the independence of the
II. Recommendation proposed appointee;
(a)
While recommending the appointment of new
Directors, the Committee will; (d) Directorships in other companies may also be taken into
account while determining the candidature of a person.
(b) Review Board composition, consider the benefits of all
aspects of diversity including, but not limited to, those REVIEW AND AMENDMENTS
described above, in order to enable it to discharge its The Committee can amend the policy as and when deemed fit. Any or
duties and responsibilities effectively; all provisions of this policy are subject to revision/amendment in
accordance with the rules/ regulations/ notifications etc. as maybe
(c)
Identify suitable candidates for appointment to the issued by the relevant statutory authorities from time to time.
Board, consider candidates on merit against objective
criteria and with due regard for the benefits of In case of any amendment(s)/clarification(s), circular(s) etc.
diversity on the Board. issued by the relevant authorities found inconsistent with the
provisions laid down under this Policy, then such amendment(s),
III. Functional Diversity clarification(s), circular(s) etc. shall prevail upon the provisions
(a) Appointment of Directors to the Board of the Company hereunder and this Policy shall stand amended accordingly
should be based on specific needs and business of from the effective date as laid down under such amendment(s),
the Company. Appointment should be done based on clarification(s), circular(s) etc.
the qualification, knowledge, experience and skill of the
ANNEXURE IV
Computer Aided Learning Programme focuses on enhancing

ANNUAL REPORT ON CSR ACTIVITIES
literacy and numeracy skills from Grades 1 to 4 through
1. Brief Outline of initiatives undertaken in accordance
gamification of concepts of Mathematics and language.
with CSR Policy of the Company
Digital Literacy as Life Skill Programme focuses on equipping
Education is the single most powerful tool to empower an
students from Grades 5 to 9 with technical knowledge
individual and the Company’s CSR programmes are primarily
making them future ready. Digital Literacy Programme is
in the education sector, where it adopts and supports schools
the biggest programme undertaken by the organisation in
in and around Maharashtra, helping students achieve
terms of reach and resources. With the world moving to 5G
quality tutoring. The Company started ‘School Excellence
and super computers more than half of the population in
Programme’ as one of the CSR initiatives which consists of
the country do not have access and have never operated
education intervention, promoting education and providing
a computer by themselves. The programme aims to bridge
educational opportunity to children from socially and
this digital divide and make computer labs a functional
economically disadvantaged communities. In the financial
learning space for children.
year 2019-20, through this initiative, the Company has
impacted more than 100,000 students from 296 schools.
To ensure a 360 degree intervention, every stakeholder in
the students’ education journey is made to involve in the

We have enhanced our focus in providing in-depth
programme. Parents are engaged through Parent Meetings
pedagogical intervention to each student. A team of highly
and School Management Committee participation as
motivated programme managers and associates with rich
parents’ involvement in the development of their child is
hands-on experience of teaching in schools have brought a
crucial. Remedial classes are given free of cost to students
new dimension to our programmes. This year, we ventured
who require additional help. Through partnerships with
into promoting sports with multiple structured interventions
expert NGOs, activity-based learning is also being piloted.
in schools that we work with. Also, we have started a pilot
project to work towards foundational learning amongst the
It is fundamentally important that we maintain cleanliness
students in the existing schools that we work with leading to
in schools. Healthy environment promotes the growth of
basic grade specific student learning outcomes.
children, both physically and mentally. This is the basis of
Swachh School Abhiyan which covers more than 40,000
Our PPP Model schools in partnership with Thane Municipal
students across the BMC schools. Through awareness
Corporation achieved 100% results in Grade X for third
activities and provision of basic hygiene infrastructure,
year in a row in one school and 94.4% in the other school
long-term cleanliness habits are inculcated across
in the last academic year (2018-19). Our focus is on
students and staff.
activity-based learning and access to museums and science
centres for widening learning horizons. All this happens
Under our newly started Sports Programme, there are
under the guidance of a team of committed teachers
three initiatives taken by the Company namely Sports and
who themselves undergo continuous training on various
Play, Sport Centres, and Intervention with Sports Village
pedagogy interventions, teaching methodologies and
Foundation. Sports and Play is our sports in-house project
improvising school practices. Through extensive Career
for students from grade 1 to 5. We highlight the importance of
Counselling programme we enclave the students to stay in
developing various bio-motor abilities early in the training such
formal education beyond Grade X and further assist them in
as balance, stability, mobility, motor control, body alignment,
choosing a career.
symmetry, posture, and body awareness etc. Sport Centres
are run in collaboration with the actively involved physical
A vibrant school library can go a long way in providing
education department of MCGM. Individual characteristics
exposure of wide range of reading material to children and
such as age, gender, and fitness level are combined with
develop them as active and potential ‘readers’. The entire
scientifically proven training methods and exercises to create
focus of the programme is on making students of Grades
a customised, sports specific workout plan that results in a
1 to 8 ‘Learn to Read’, so that in the years to come
more confident, motivated athlete. We are running Sports
they can ‘Read to Learn’! Books provided under Library
Village Foundation in collaboration with an expert sport
programme are of multiple publications, accessible by the
sector organisation in 3 school buildings. Students impacted
students. Also, these books are contextualised according
are from Grades 1 to 4 in two schools and from Grades 1 to
to the background of our students. Combining books with
8 in the remaining one school building.
differentiated teaching in all libraries and monitoring of
teachers on fixed parameters by programme team has led
Science Lab programme was started on pilot basis in
to a definite growth of students going to highest reading
collaboration with our expert partner. This initiative is
fluency levels. We have also started ‘The English for All
aimed at helping students develop skills such as scientific
Programme‘ under which each student attends a class of
inquiry-based learning, critical thinking, multi-perspective
half an hour, five days a week with a specialised English
thinking, creativity and civic responsibility.
teacher. The curriculum is designed to make learning
participative and fun.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE IV
We have opened a Skill Development and Livelihood Training Centre for local unemployed youth alongwith Kherwadi Social Welfare
Association. The aim is to bring these youth in the economic mainstream through self employment and salaried jobs. The first centre
was established in Panvel region where youth between 18-30 years have been empowered through Livelihood Training Programs such
as Nursing Assistance, Beautician, Apparel making, Computer, Dance etc.
The CSR Policy of the Company is also available on the Company’s website: www.dmartindia.com.
2. The composition of the CSR Committee

Sr. Name Category Designation
No.
1. Mr. Chandrashekhar Bhave Non-Executive & Independent Director Chairman
2. Mr. Ramesh Damani Non-Executive & Independent Director Member
3. Mrs. Manjri Chandak Non-Executive Director Member
4. Mr. Ramakant Baheti Executive Director Member
3. Average Net Profit of the Company for last three financial years: `1,140.21 crore
4. Prescribed CSR Expenditure (two percent of the amount as per item 3 above): `22.80 crore
5. Details of CSR spent during the financial year:
(a) Total amount to be spent/ spent for the financial year: ` 17.86 crore
(b) Amount unspent if any: ` 4.94 crores
(c) Manner in which the amount spent during the financial year is detailed below:
Sr. CSR Project or activity Sector in Projects or Programs Amount outlay Direct Cumulative Amount
No Identify which the 1. Local Area or (budget) expenditure expenditure spent direct
project is Other Project or on projects or up to the or through
covered 2. Specify the Programme- programme reporting implementing
state and district wise (` in crore) (` in crore) period for agency
where projects or Last 4 years
programme was (` in crore)
undertaken
A Basic Infra
i Bala Paintings Education Mumbai, Maharashtra 0.45 0.49 1.89 Direct
B Educational Facilities
i Computer Lab Education Mumbai, Maharashtra 5.53 4.56 14.03 Direct
ii Library Programme Education Mumbai, Maharashtra 1.60 1.89 4.07 Direct
iii Science Lab Programme Education Mumbai, Maharashtra 0.12 0.12 0.38 Direct
iv Sports Programme Education Mumbai, Maharashtra 0.50 0.45 0.52 Direct
C Pedagogical Interventions
i English For All Programme Education Mumbai, Maharashtra 0.75 1.09 1.70 Direct
ii 10th standard Remedial Education Mumbai, Maharashtra 0.52 0.52 2.18 Direct
Classes
iii TMC School PPP Model Education Thane, Maharashtra 0.40 0.50 1.38 Direct
iv Programe Managers – CSR Education Mumbai, Maharashtra 1.00 0.53 1.81 Direct
Programe Design, Implement
and Monitor
D Others
i Swachh School Abhiyan Education Mumbai, Maharashtra 0.25 0.34 0.59 Direct
ii Parents Counseling Education Mumbai, Maharashtra 0.16 0.15 0.29 Direct
ANNEXURE IV
Sr. CSR Project or activity Sector in Projects or Programs Amount outlay Direct Cumulative Amount
No Identify which the 1. Local Area or (budget) expenditure expenditure spent direct
project is Other Project or on projects or up to the or through
covered 2. Specify the Programme- programme reporting implementing
state and district wise (` in crore) (` in crore) period for agency
where projects or Last 4 years
programme was (` in crore)
undertaken
iii Miscellaneous Activities Education Mumbai, Maharashtra 0.05 0.02 0.19 Direct
iv Skilling Programme Kherwadi Livelihood Navi Mumbai, 0.15 0.08 11.63 Implementing
Social Welfare Maharashtra agency
v Skilling Programme Team Livelihood Mumbai, Maharashtra 1.56 1.56 3.62 Implementing
Lease agency
vi Summer Camp Education Mumbai, Maharashtra 0.10 0.10 0.10 Direct
vii Grant to Akshaya Patra Midday Meal Thane, Maharashtra 8.00 2.98 2.98 Implementing
Foundation agency
viii Trrain Foundation Skilling Livelihood Mumbai, Maharashtra 0.50 0.50 0.50 Implementing
Programme agency
ix Disaster Management Flood Disaster Kolhapur, Maharashtra 0.05 0.05 0.05 Direct
Relief Relief
x Grant to Isha Outreach River River Yeotmal, Maharashtra 0.51 0.51 0.51 Implementing
Programme Rejuvenation agency
xi Grant to Olympic Gold Quest Sports All India 1.00 1.00 1.50 Implementing
(OGQ) agency
E Direct Administrative 0.50 0.44
Expenditure
Total CSR Spend (A)+(B)+(C)+(D)+(E) 17.86
*The Board approved the budget for specific on-going CSR projects/programme.
**Cumulative expenditure of last four financial years is provided for the activities which are carried out in the current financial year.
6. In case the Company has failed to spend the 2% of the average net profit of the last three financial years or any part
thereof, the Company shall provide the reasons for not spending the amount in its Board Report:
The Company has spent ` 17.86 crore as against the Company’s CSR budget of ` 22.80 crore for the financial year 2019-20.
Reason for shortfall in utilisation of CSR budget is as detailed below:
The Company had signed a Memorandum of Understanding (MOU) with Akshaya Patra Foundation for ` 7.45 crore towards
CSR contribution for construction of Akshaya Patra Kitchen at Bhiwandi for providing Midday meals to 50,000 school children.
However, since Akshaya Patra project was not completed, therefore payment of ` 4.47 crore budgeted for financial year 2019-20
could not be disbursed.
Also, the Company’s spending on implementing various educational initiatives got severely hampered due to COVID-19 pandemic.
It has been the Company’s endeavour to fully spend the allocated CSR budget towards the betterment of the society at large.
However, the Company could not spend the entire amount due to circumstances beyond its control.
We hereby state that implementation and monitoring of CSR Policy is in compliance with CSR objectives and Policy of the Company.

Ignatius Navil Noronha Chandrashekhar Bhave

Place: Thane Managing Director & CEO Chairman of CSR Committee
Date: 23rd May, 2020 DIN: 01787989 DIN: 00059856
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE V
INFORMATION REQUIRED UNDER SECTION 197 OF THE COMPANIES ACT, 2013 READ WITH RULE 5(1) OF THE
COMPANIES (APPOINTMENT AND REMUNERATION OF MANAGERIAL PERSONNEL) RULES, 2014
Ratio of Remuneration of each Director to the median remuneration of all the employees of the Company for the financial
year 2019-20 is as follows.
Name of Director Remuneration (`) Sitting Fees (`) Commission (`) Ratio of remuneration
of Director to the
Median remuneration
Mr. Ramesh Damani - 780,000 2,400,000 12.04
Mr. Chandrashekhar Bhave - 760,000 2,400,000 11.96
Ms. Kalpana Unadkat - 660,000 2,400,000 11.58
Mrs. Manjri Chandak - 720,000 - 2.73
Mr. Ignatius Navil Noronha 45,529,836 - - 172.35
Mr. Ramakant Baheti 10,422,960 - - 39.45
Mr. Elvin Machado 7,607,354 - - 28.80
Notes:
1. Remuneration comprises salary, allowances, Company’s contribution to provident fund, taxable value of perquisites and excludes
perquisites on exercise of ESOPs.
2. For calculation of median remuneration, the employee count taken is 7,229 which comprises employees who have served for whole
of the financial year 2019-20. The median salary computation excludes perquisite value of ESOP’s alloted to 3,985 employees.
3. The percentage increase in the median remuneration of employees in the FY 2019-20 was 16.40%.
4. Average percentage increase made in the salaries of Employees other than the managerial personnel in the financial year was
18.99%. Whereas the increase in the managerial remuneration was 0.55%. The increase in remuneration is as per the policy
of the Company.
Details of percentage increase in the remuneration of each Director, Chief Executive Officer, Chief Financial Officer and Company
Secretary in the financial year 2019-20 are as follows:
Name Designation Gross Remuneration (`) Fix Variable

Increase/ Increase/
2018-19 2019-20
(Decrease) (Decrease)
Fix Variable Total Fix Variable Total (%) (%)
Mr. Ramesh Damani Independent Director 650,000 2,000,000 2,650,000 780,000 2,400,000 3,180,000 20% 20%
Mr. Chandrashekhar Independent Director 630,000 2,000,000 2,630,000 760,000 2,400,000 3,160,000 21% 20%
Bhave
Ms. Kalpana Unadkat * Independent Director 310,000 1,333,333 1,643,333 660,000 2,400,000 3,060,000 NA NA
Mrs. Manjri Chandak Non-Executive 620,000 - 620,000 720,000 - 720,000 16% NA
Director
Mr. Ignatius Navil Managing Director & 45,517,836 - 45,517,836 45,529,836 - 45,529,836 0.03 -
Noronha CEO
Mr. Ramakant Baheti Whole-time Director & 10,410,960 - 10,410,960 10,422,960 - 10,422,960 0.12 -
Group CFO
Mr. Elvin Machado Whole-time Director 6,052,548 1,200,000 7,252,548 7,007,354 600,000 7,607,354 16% (50)%
Mr. Niladri Deb ** Chief Financial Officer 10,968,755 - 10,968,755 14,108,538 3,605,479 17,714,017 NA NA
Mrs. Ashu Gupta Company Secretary & 3,241,080 600,000 3,841,080 3,635,156 800,000 4,435,156 12% 33%
Compliance Officer
*Ms. Kalpana Unadkat was appointed as an Independent Director w.e.f. 30th July, 2018 and hence remuneration paid to her in FY 2019-20 is not comparable with the remuneration
paid to her in the financial year 2018-19.
**Mr. Niladri Deb was appointed as CFO of the Company w.e.f. 7th May, 2018 and hence remuneration paid to him in FY 2019-20 is not comparable with the remuneration paid
to him in the financial year 2018-19.
Notes:
1. The number of permanent employees on the rolls of Company as on 31st March, 2020 was 9,456.
2. The remuneration is as per the Nomination and Remuneration Policy of the Company.
3. Remuneration is shown excluding perquisites on exercise of ESOPs.
ANNEXURE VI
SECRETARIAL AUDIT REPORT

[Pursuant to Section 204(1) of the Companies Act, 2013 and rule No. 9 of the Companies
(Appointment and Remuneration of Managerial Personnel) Rules, 2014]
For the Financial Year ended 31st March, 2020
To, (v) The following Regulations and Guidelines prescribed

The Members, under the Securities and Exchange Board of India Act,
Avenue Supermarts Limited 1992 (‘SEBI Act’):
Anjaneya CHS limited, Orchard Avenue,
Opp. Hiranandani Foundation School Powai, a)
The Securities and Exchange Board of India
Mumbai – 400 076. (Prohibition of Insider Trading) Regulations, 2015;
We have conducted the secretarial audit of the compliance b)

of applicable statutory provisions and the adherence to good (Listing Obligations and Disclosure Requirements)
corporate practices by Avenue Supermarts Limited (hereinafter Regulations, 2015;
called “the Company”). The Secretarial Audit was conducted in
a manner that provided us a reasonable basis for evaluating the c)
corporate conducts/statutory compliances and expressing our (Substantial Acquisition of Shares and Takeovers)
opinion thereon. Regulations, 2011;
Based on our verification of the Company’s books, papers, d)

minutes books, forms and returns filed and other records (Issue of Capital and Disclosure Requirements)
maintained by the Company and also the information provided by Regulations, 2018;
the Company, its officers, agents and authorised representatives
during the conduct of secretarial audit, we hereby report that in e) The Securities and Exchange Board of India (Share
our opinion, the Company has, during the audit period covering Based Employee Benefits) Regulations, 2014;
the financial year ended 31st March, 2020, complied with the
statutory provisions listed hereunder and also that the Company f) The Securities and Exchange Board of India (Issue
has proper Board processes and compliance mechanism in and Listing of Debt Securities) Regulations, 2008.
place to the extent, in the manner and subject to the reporting
made hereinafter. 2.
Provisions of the following Regulations and Guidelines
prescribed under the Securities and Exchange Board of India
1. We have examined the books, papers, minute books, forms Act, 1992 (‘SEBI Act’) were not applicable to the Company
and returns filed and other records maintained by Avenue under the audit period under report:
Supermarts Limited (“the Company”) as given in Annexure - A
for the financial year ended 31st March, 2020, according to a) The Securities and Exchange Board of India (Delisting
the provisions of: of Equity Shares) Regulations, 2009;
(i) The Companies Act, 2013 (‘the Act’) and the rules b) The Securities and Exchange Board of India (Buyback
made thereunder to the extent applicable; of Securities) Regulations, 1998;
(ii)
The Securities Contracts (Regulation) Act, 1956 c)
(‘SCRA’) and the rules made thereunder; (Registrars to an Issue and Share Transfer Agents)
Regulations, 1993 regarding the Companies Act and
(iii) The Depositories Act, 1996 and the Regulations and dealing with client.
Bye-laws framed thereunder;
3.
We further report that, having regard to the compliance
(iv) Provisions of the Foreign Exchange Management Act, system prevailing in the Company and on examination of the
1999 and the rules and regulations made thereunder relevant documents and records in pursuance thereof, on
to extent of Foreign Direct Investment, Overseas Direct test-check basis, the Company has generally complied with
Investment and External Commercial borrowings were the following laws specifically applicable to the Company:
not applicable to the Company under the financial
year under report. a) Shops & Establishment Act and Rules
b) Legal Metrology Act, 2009

CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE VI
c) Food Safety and Standards Act, 2006 regulations, guidelines, standards, etc. we report that during the
year under report, the Company;
d) Standards of Weights and Measures Act, 1985
a)
has obtained shareholder’s approval by way of special
e) Local/Municipality Laws Resolution passed in the Annual General Meeting of the
Company held on 20th August, 2019, authorising the Board
We have also examined compliance with the of Directors of the Company –
- applicable clauses of Secretarial Standards – 1 and 2 issued i. to offer, issue and allot secured, rated, cumulative,
by The Institute of Company Secretaries of India under the redeemable, non-convertible debentures aggregating
provisions of Companies Act, 2013; up to an amount not exceeding ` 15,000,000,000
(Rupees One Thousand and Five Hundred Crore Only).
-
the Listing Agreements entered into by the Company
with BSE Limited and the National Stock Exchange ii. issuance of up to 25,000,000 (Two Crore and Fifty
of India Limited. Lakh) equity shares of face value of ` 10/- each through
Qualified Institutions Placement (“QIP”) in order to
During the financial year under report, the Company has complied achieve Minimum Public shareholding in the Company
with the provisions of the Act, Rules, Regulations, Guidelines, in accordance with applicable laws.
Standards, etc. mentioned above.
b) The Company has allotted –
We further report that:
- 1,000 Secured Rated Unlisted Redeemable Non-Convertible
The Board of Directors of the Company is duly constituted with Debentures (NCD) of ` 10,00,000/- (Rupees Ten Lakh) each
proper balance of Executive Directors, Non-Executive Directors aggregating to ` 100,00,00,000/-(Rupees One Hundred
and Independent Directors. There were no changes in the Crore only) on private placement basis by the Operations
composition of the Board of Directors that took place during the Committee on their meeting held on 18th September, 2019;
period under review.
- 1,000 Secured Rated Listed Redeemable Non-Convertible
Adequate notice is given to all Directors to schedule the Board Debentures (NCD) of ` 10,00,000/- (Rupees Ten Lakh)
Meetings (including the meeting conducted on shorter notice), each aggregating to ` 100,00,00,000/- (Rupees One
agenda and detailed notes on agenda were sent at least seven Hundred Crore only) on private placement basis by
days in advance, and a system exists for seeking and obtaining the Operations Committee on their meeting held on
further information and clarifications on the agenda items before 27th September, 2019 and;
the meeting and for meaningful participation at the meeting.
- 1,000 Secured Rated Unlisted Redeemable Non-Convertible
None of the members had any dissenting views, in the Debentures (NCD) of ` 10,00,000/- (Rupees Ten Lakh) each
matters/agenda proposed from time to time for consideration of aggregating to ` 100,00,00,000/ - (Rupees One Hundred
the Board and its Committees thereof, during the year under the Crore only) on private placement basis by the Operations
report, hence were not required to be captured and recorded as Committee on their meeting held on 17th October, 2019.
part of the minutes.
c) The Company has allotted –
We further report that there are adequate systems and processes
in the Company commensurate with the size and operations of - 1,922,254 equity shares of ` 10/- each at an exercise price
the Company to monitor and ensure compliance with applicable of ` 299/- per equity share to eligible employees under
laws, rules, regulations and guidelines. the Avenue Supermarts Limited Employee Stock Option
Scheme, 2016 (“ESOP 2016”) by the ESOP Committee on
As regards, events/actions having a major bearing on the their meeting held on 6th November, 2019;
Company’s affairs in pursuance of the above referred laws, rules,
ANNEXURE VI
- 953,629 equity shares of ` 10/- each at an exercise price e) The Company has redeemed 1,000 Secured Rated Unlisted
of ` 299/- per equity share to eligible employees under Redeemable Non-Convertible Debentures (NCD) allotted
the Avenue Supermarts Limited Employee Stock Option on 17th October, 2019, 1,000 Secured Rated Unlisted
Scheme, 2016 (“ESOP 2016”) by the ESOP Committee on Redeemable Non-Convertible Debentures (NCD) allotted
their meeting held on 26th November, 2019 and; on 18th September, 2019 and 1,000 Secured Rated Listed
Redeemable Non-Convertible Debentures (NCD) allotted
- 814,322 equity shares of ` 10/- each at an exercise price on 27th September, 2019 of ` 10,00,000/- (Rupees Ten
of ` 299/- per equity share to eligible employees under Lakh) each aggregating to ` 100,00,00,000/- (Rupees One
the Avenue Supermarts Limited Employee Stock Option Hundred Crore only) as on 17th March, 2020, 18th March,
Scheme, 2016 (“ESOP 2016”) by the ESOP Committee on 2020 and 27th March, 2020 respectively.
their meeting held on 24th December, 2019.
For Rathi & Associates
d)
The Company has issued and allotted 20,000,000 Company Secretaries
Equity Shares of face value ` 10 each to eligible qualified
institutional buyers at the issue price of ` 2,049 per Equity Himanshu S. Kamdar
Share (including a premium of ` 2,039 per Equity Share), Date: 23rd May, 2020 Partner
aggregating to ` 40,980,000,000 (Rupees Four Thousand Place: Mumbai FCS No.: 5171
and Ninty Eight Crore only) on private placement basis UDIN: F005171B000272867 CP No.: 3030
by the Operation Committee on their meeting held on
11th February, 2020.
Note: This report should be read with our letter which is annexed as Annexure-B and
forms an integral part of this report.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE-A ANNEXURE-B
List of documents verified To,

1. Memorandum & Articles of Association of the Company; The Board of Directors
2. Annual Report for the financial year ended 31st March, 2019; Mumbai
3. Minutes of the meetings of the Board of Directors, Audit Dear Sirs,

Committee, Nomination and Remuneration Committee,
Stakeholders’ Relationship Committee, Corporate Social Our report of even date is to be read along with this letter.
Responsibility Committee, Risk Management Committee,
ESOP Committee and Operations Committee held during 1. Maintenance of Secretarial record is the responsibility of the
the said audit period along with Attendance Register; management of the Company. Our responsibility is to express
an opinion on these secretarial records based on our audit.
4. Minutes of Annual General Meeting and Postal Ballot held
during the financial year under report; 2.
We have followed the audit practices and processes as
were appropriate to obtain reasonable assurance about
5.
Statutory Registers which are required to be maintained the correctness of the contents of the Secretarial records.
under the Companies Act, 2013; The verification was done on test check basis to ensure that
correct facts are reflected in secretarial records. We believe
6. Agenda papers submitted to all the Directors/members for that the processes and practices that we followed provide a
the Board meeting and the Committee Meetings; reasonable basis for our opinion.
7.
Declarations/Disclosures received from the Directors/ 3. We have not verified the correctness and appropriateness of
Secretary of the Company pursuant to the provisions of 184, financial records and Books of Account of the Company.
164 and 149(7) of the Companies Act, 2013;
4.
Wherever required, we have obtained the Management
8.
Intimations received from Directors and Designated Representation about the compliance of laws, rules and
Employees under the Internal Code for Prevention of regulations and happening of events etc.
Insider Trading;
5.
The compliance of the provisions of Corporate and
9.
e-Forms filed by the Company from time to time under other applicable laws, rules, regulations, standards is the
applicable provisions of the Companies Act, 2013 and responsibility of management. Our examination was limited
attachments thereof during the financial year under report; to the verification of procedures on test basis.
10. Intimations/ documents/ reports/ returns filed with the Stock 6. The Secretarial Audit report is neither an assurance as to
Exchanges pursuant to the provisions of the Securities and the future viability of the Company nor of the efficacy or
Exchange Board of India (Listing Obligations and Disclosure effectiveness with which the management has conducted
Requirements) Regulations, 2015 during year under report; the affairs of the Company.
11.
Various Policies made under the Companies Act, 2013 For Rathi & Associates
and the Securities and Exchange Board of India (Listing Company Secretaries
Obligations and Disclosure Requirements) Regulations, 2015;
Himanshu S. Kamdar
12.
Circular resolutions passed during the said audit Date: 23rd May, 2020 Partner
period under review. Place: Mumbai FCS No.: 5171
UDIN: F005171B000272867 CP No.: 3030
ANNEXURE VII
EXTRACT OF ANNUAL RETURN AS ON FINANCIAL YEAR ENDED ON 31ST MARCH, 2020

[Pursuant to Section 92(3) of the Companies Act, 2013 and rule 12(1) of the Companies
(Management and Administration) Rules, 2014]
I. REGISTRATION AND OTHER DETAILS

CIN L51900MH2000PLC126473
Registration Date 12th May, 2000
Name of the Company Avenue Supermarts Limited
Category/Sub-Category of the Company Company Limited by shares/Indian Non-Government Company
Address of the Registered office and contact details Anjaneya CHS Ltd., Orchard Avenue,
Tel No.: +91-22-4049 6500
Fax No.: +91-22-4069 6503
Whether listed company Yes
Name, Address and Contact details of Registrar and Transfer Agent, Link Intime India Pvt. Ltd..
if any: C 101, 247 Park, L. B. S. Marg, Vikhroli (West),
Mumbai – 400 083, Maharashtra, India
Tel No.: +91-22-4918 6270
Fax No.: +91-22-4918 6060
II. PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY

All the business activities contributing 10% or more of the total turnover of the Company is as stated:
Sr. No. Name and Description of Main Products/Services NIC Code of the Product/Service % to Total Turnover of the Company
1. Retail Trade 47 (Retail Trade, except of motor 100%
vehicles and motorcycles)
III. PARTICULARS OF HOLDING, SUBSIDIARY AND ASSOCIATE COMPANIES
Sr.No. Name and address of the Company CIN / GLN Holding/ % of Applicable section
subsidiary/ shares
associate held
1 Align Retail Trades Pvt. Ltd.. U52190MH2006PTC164826 Wholly-owned 100 2(87) of the
Plot No. C-40, TTC Industrial Area, Village Pawane, Subsidiary Companies Act, 2013
Thane Belapur Road, Navi Mumbai – 400 705.
2 Avenue Food Plaza Pvt. Ltd.. U55200MH2004PTC146827 Wholly-owned 100 2(87) of the
Anjaneya CHS Ltd., Orchard Avenue, Subsidiary Companies Act, 2013
Opp. Hiranandani Foundation School, Powai,
Mumbai – 400 076.
3 Reflect Wholesale and Retail Private Limited U51909MH2018PTC309999 Wholly-owned 100 2(87) of the
Anjaneya CHS Ltd., Orchard Avenue, Subsidiary Companies Act, 2013
Mumbai – 400 076.
4 Nahar Seth & Jogani Developers Pvt. Ltd. U45201MH2014PTC253497 Subsidiary 90 2(87) of the
903, Dalamal House, 206, J.B. Marg, Nariman Point, Companies Act, 2013
Mumbai – 400 021.
5 Avenue E-Commerce Ltd. U74120MH2014PLC259234 Subsidiary 99.82 2(87) of the
Anjaneya CHS Ltd, Orchard Avenue, Companies Act, 2013
Mumbai – 400 076.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE VII
IV. SHAREHOLDING PATTERN (EQUITY SHARE CAPITAL BREAKUP AS PERCENTAGE OF TOTAL EQUITY)
i. Category-wise Share Holding
Category of Shareholders No. of Shares held at the beginning of the year No. of Shares held at the end of the year % Change
during the
Demat Physical Total % of Total Demat Physical Total % of Total year
Shares Shares
A. PROMOTERS
(1) Indian
a) Individual/HUF
Promoters 327,919,156 - 327,919,156 52.54 306,889,156 306,889,156 47.38 (5.16)
Promoters Group 108,000 108,000 0.02 108,000 108,000 0.02 -
b) Central Government - - - - - - - -
c) State Government(s) - - - - - - - -
d) Bodies Corporate 88,750,000 88,750,000 14.22 88,750,000 88,750,000 13.70 (0.52)
e) Banks/FI - - - - - - -
f) Any other (Trust) 90,000,000 - 90,000,000 14.42 90,000,000 - 90,000,000 13.89 (0.53)
Sub-total(A)(1): 506,777,156 - 506,777,156 81.20 485,747,156 - 485,747,156 74.99 (6.21)
(2) Foreign
a) NRIs – Individuals - - - - - - - - -
b) Other – Individuals - - - - - - - - -
c) Bodies Corp. - - - - - - - - -
d) Banks/FI - - - - - - - - -
e) Any other - - - - - - - - -
Sub-total (A)(2): - - - - - - - - -
Total shareholding of Promoter (A) =(A)
506,777,156 - 506,777,156 81.20 485,747,156 - 485,747,156 74.99 (6.21)
(1)+(A)(2)
B. PUBLIC SHAREHOLDING
(1) Institutions
a) Mutual Funds 18,359,822 - 18,359,822 2.94 36,808,302 - 36,808,302 5.68 2.74
b) Banks/FI 229,494 - 229,494 0.04 110,320 - 110,320 0.02 (0.02)
c) Central Government - - - - - - - - -
d) State Government(s) - - - - - - - - -
e) Venture Capital Funds - - - - - - - - -
f) Insurance Companies - - - - 3,156,460 - 3,156,460 0.49 0.49
g) FIIs/Foreign portfolio investor 36,868,811 - 36,868,811 5.91 62,323,097 - 62,323,097 9.62 3.71
h) Foreign Venture Capital Funds - - - - - - - - -
i) Others (specify)
Alternate Investment Funds 1,410,790 - 1,410,790 0.23 2,426,070 - 2,426,070 0.37 0.14
Sub-total (B)(1): 56,868,917 - 56,868,917 9.11 104,824,249 - 104,824,249 16.18 7.07
(2) Non-Institutions
a) Bodies Corporate 2,571,097 - 2,571,097 0.41 2,292,581 - 2,292,581 0.35 (0.06)
b) Individuals
i) Individual shareholders holding 16,212,331 243,056 16,455,387 2.64 16,694,769 110,106 16,804,875 2.59 (0.05)
nominal share capital upto ` 1 lakh
ii) Individual shareholders holding 26,542,513 13,123,450 39,665,963 6.35 23,446,488 12,833,300 36,279,788 5.60 (0.75)
nominal share capital in excess of `
1 lakh
c) Others (specify)
Trust 25,227 - 25,227 0.00 5501 0 5,501 0.00 0.00
NBFC registered with RBI 19,394 0 19,394 0.00 10,336 0 10,336 0.00 0.00
Foreign Nationals - - - - 219 0 219 0.00 0.00
Hindu Undivided Family 731,055 10,000 741,055 0.12 690,150 10000 700,150 0.11 (0.01)
Non-Resident Indians (Non-Repat) 247,073 - 247,073 0.04 274,779 0 274,779 0.04 0.00
Non-Resident Indians (Repat) 332,989 - 332,989 0.05 399,989 0 399,989 0.06 0.01
Foreign Portfolio Investor (Individual) 102 - 102 0.00 102 0 102 0.00 0.00
Clearing Member 380,126 - 380,126 0.06 434,966 0 434,966 0.07 0.01
Sub-total(B)(2): 47,061,907 13,376,506 60,438,413 9.68 44,249,880 12,953,406 57,203,286 8.83 (0.85)
Total Public Shareholding (B)=(B)(1)+(B)(2) 103,930,824 13,376,506 117,307,330 18.8 149,074,129 12,953,406 162,027,535 25.01 6.21
C. SHARES HELD BY CUSTODIAN FOR
- - - - - - - - -
GDRS & ADRS
Grand Total(A+B+C) 610,707,980 13,376,506 624,084,486 100.00 634,821,285 12,953,406 647,774,691 100.00 0.00
ANNEXURE VII
ii. Shareholding of Promoters and Promoters Group

Sr. Shareholder’s Name Shareholding at the beginning of Shareholding at the end of % change in
No. the year (01.04.2019) the year (31.03.2020) shareholding
No. of Shares % of total % of Shares No. of Shares % of total % of Shares during the year
Shares Pledged/ Shares of the Pledged/
of the encumbered to Company encumbered to
Company total shares total shares
1 Mr. Radhakishan S. Damani 239,689,156 38.41 - 222,159,156 34.30 - (4.11)
2 Mr. Gopikishan S. Damani 50,980,000 8.17 - 49,480,000 7.64 - (0.53)
3 Mrs. Shrikantadevi R. Damani 22,250,000 3.57 - 21,250,000 3.28 - (0.29)
4 Mrs. Kirandevi G. Damani 15,000,000 2.40 - 14,000,000 2.16 - (0.24)
5 Bright Star Investments Pvt. Ltd. 88,750,000 14.22 - 88,750,000 13.70 - (0.52)
6 Mr. Radhakishan S. Damani and 18,000,000 2.88 - 18,000,000 2.78 - (0.10)
Mrs. Shrikantadevi Damani (Holding
shares on behalf of Royal Palm Pvt.
Beneficiary Trust)
shares on behalf of Bottle Palm Pvt.
Beneficiary Trust)
shares on behalf of Mountain Glory
Private Beneficiary Trust)
9 Mr.Gopikishan S. Damani and 18,000,000 2.88 - 18,000,000 2.78 - (0.10)
Mr.Radhakishan S. Damani (Holding
shares on behalf of Gulmohar Private
Beneficiary Trust)
10 Mr. Gopikishan S. Damani and 18,000,000 2.88 - 18,000,000 2.78 - (0.10)
Mr. Radhakishan S. Damani (Holding
shares on behalf of Karnikar Pvt.
Beneficiary Trust)
11 Mrs. Rukmanidevi Mohanlal Bagri 100,000 0.02 - 100,000 0.02 - 0
(Promoter Group)
12 Mrs. Chanda Chandak (Promoter 8,000 0 - 8,000 0 - 0
Group)
Total 506,777,156 81.20 - 485,747,156 74.99 - (6.21)
iii. Change in Promoter and Promoter group Shareholding

Sr. Name of the Promoters Shareholding at the Date Net Increase/ Reason Cumulative Shareholding
No beginning of the year (Decrease) in during the year (01.04.2019
(01.04.2019) shareholding to 31.03.2020)
No. of % of total No. of shares % of total
shares shares of the shares of the
Company Company
1 Mr. Radhakishan S. Damani 239,689,156 38.41 09.08.2019 (6,230,000) Market Sale 233,459,156 36.04
14.02.2020 (10,169,999) Offer for 223,289,157 34.47
17.02.2020 (1,130,001) Sale of 222,159,156 34.30
Shares by
Promoters
through
the Stock
Exchange
Mechanism
2 Mr. Gopikishan S. Damani 50,980,000 8.17 14.02.2020 (1,349,999) Offer for 49,630,001 7.66
17.02.2020 (150,001) Sale of 49,480,000 7.64
3 Mrs. Shrikantadevi R. Damani 22,250,000 3.57 14.02.2020 (900,001) Shares by 21,349,999 3.30
Promoters
17.02.2020 (99,999) 21,250,000 3.28
through
4 Mrs. Kirandevi G. Damani 15,000,000 2.40 14.02.2020 (900,001) the Stock 14,099,999 2.18
17.02.2020 (99,999) Exchange 14,000,000 2.16
Mechanism
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE VII
Sr. Name of the Promoters Shareholding at the Date Net Increase/ Reason Cumulative Shareholding
No beginning of the year (Decrease) in during the year (01.04.2019
(01.04.2019) shareholding to 31.03.2020)
No. of % of total No. of shares % of total
shares shares of the shares of the
Company Company
5 Bright Star Investments Pvt. Ltd. 88,750,000 14.22 - - - 88,750,000 13.70
6 Mr. Radhakishan S. Damani And Mrs. 18,000,000 2.88 - - - 18,000,000 2.78
Shrikantadevi Damani (Holding shares on behalf of
Royal Palm Pvt. Beneficiary Trust)
Shrikantadevi Damani (Holding shares on behalf of
Bottle Palm Pvt Beneficiary Trust)
Shrikantadevi Damani (Holding shares on behalf
of Mountain Glory Private Beneficiary Trust)
9 Mr.Gopikishan S. Damani And Mr. Radhakishan 18,000,000 2.88 - - - 18,000,000 2.78
S. Damani (Holding shares on behalf of Gulmohar
Private Beneficiary Trust)
10 Mr. Gopikishan S. Damani And Mr. Radhakishan 18,000,000 2.88 - - - 18,000,000 2.78
S. Damani (Holding shares on behalf of Karnikar
Pvt Beneficiary Trust)
11 Mrs. Rukmanidevi Mohanlal Bagri (Promoter Group) 100,000 0.02 - - - 100,000 0.02
12 Mrs. Chanda Chandak (Promoter Group) 8,000 0.00 - - - 8,000 0.00
Note: Increase/decrease in shareholding of Promoters is based on disclosures received from them.
iv. Shareholding Pattern of Top Ten Shareholders (other than Directors, promoters and holders of GDRs and ADRs)
Sr. Name of the Top Ten Shareholding at the Transactions during the year Reason Cumulative Shareholding
No Shareholders beginning of the year at the end of the year –
(01.04.2019) 31.03.2020
No. of % of total Date of No. of Shares No. of shares % of total
shares held shares of the Transaction Increase/ held shares
Company (Decrease) in of the
Shareholding Company
1 Axis Mutual Fund Trustee 12,531,063 2.01 05 Apr 2019 110,000 12,641,063 1.95
Limited A/C Axis Mutual 12 Apr 2019 735,217 13,376,280 2.07
Fund A/C Axis Long-Term 19 Apr 2019 170,000 13,546,280 2.09
Equity Fund 03 May 2019 82,000 13,628,280 2.10
10 May 2019 191,893 13,820,173 2.13
17 May 2019 193,900 14,014,073 2.16
24 May 2019 189,697 14,203,770 2.19
31 May 2019 235,209 14,438,979 2.23
07 Jun 2019 74,362 14,513,341 2.24
21 Jun 2019 189,107 14,702,448 2.27
29 Jun 2019 186,000 Purchase/ 14,888,448 2.30
05 Jul 2019 100,000 Sale 14,988,448 2.31
12 Jul 2019 185,000 15,173,448 2.34
19 Jul 2019 120,000 15,293,448 2.36
26 Jul 2019 70,634 15,364,082 2.37
09 Aug 2019 80,000 15,444,082 2.38
16 Aug 2019 25,000 15,469,082 2.39
23 Aug 2019 (2,358) 15,466,724 2.39
30 Aug 2019 92,916 15,559,640 2.40
06 Sep 2019 (2,875) 15,556,765 2.40
13 Sep 2019 108,739 15,665,504 2.42
20 Sep 2019 164,975 15,830,479 2.44
ANNEXURE VII
(01.04.2019) 31.03.2020
27 Sep 2019 66,853 15,897,332 2.45
04 Oct 2019 174,438 16,071,770 2.48
11 Oct 2019 275 16,072,045 2.48
18 Oct 2019 (40,295) 16,031,750 2.47
25 Oct 2019 67,430 16,099,180 2.49
01 Nov 2019 59,525 16,158,705 2.49
08 Nov 2019 (306) 16,158,399 2.49
15 Nov 2019 14,793 16,173,192 2.50
22 Nov 2019 38,755 16,211,947 2.50
29 Nov 2019 (47,868) 16,164,079 2.50
06 Dec 2019 (92) 16,163,987 2.50
13 Dec 2019 (297) 16,163,690 2.50
20 Dec 2019 546,609 16,710,299 2.58
27 Dec 2019 99,965 16,810,264 2.60
31 Dec 2019 53,596 16,863,860 2.60
03 Jan 2020 55,000 16,918,860 2.61
10 Jan 2020 (6,769,306) 10,149,554 1.57
17 Jan 2020 7,103,328 17,252,882 2.66
24 Jan 2020 249,926 17,502,808 2.70
31 Jan 2020 119,810 17,622,618 2.72
07 Feb 2020 (1,058) 17,621,560 2.72
14 Feb 2020 2,439,962 20,061,522 3.10
21 Feb 2020 36,093 20,097,615 3.10
06 Mar 2020 156,216 20,253,831 3.13
13 Mar 2020 19,013 20,272,844 3.13
20 Mar 2020 37,679 20,310,523 3.14
27 Mar 2020 414 20,310,937 3.14
31 Mar 2020 171 20,311,108 3.14
2 ICICI Prudential Bluechip 1,887,085 0.30 05 Apr 2019 (35,595) 1,851,490 0.29
Fund 12 Apr 2019 956 1,852,446 0.29
19 Apr 2019 152 1,852,598 0.29
26 Apr 2019 989 1,853,587 0.29
03 May 2019 273,924 2,127,511 0.33
10 May 2019 (77) 2,127,434 0.33
17 May 2019 8,181 2,135,615 0.33
24 May 2019 1,699 2,137,314 0.33
31 May 2019 1,998 2,139,312 0.33
07 Jun 2019 (105) 2,139,207 0.33
Purchase/
14 Jun 2019 1,266 2,140,473 0.33
Sale
21 Jun 2019 34,692 2,175,165 0.34
29 Jun 2019 444 2,175,609 0.34
05 Jul 2019 (1,036) 2,174,573 0.34
12 Jul 2019 44,612 2,219,185 0.34
19 Jul 2019 500 2,219,685 0.34
26 Jul 2019 833 2,220,518 0.34
02 Aug 2019 1,343 2,221,861 0.34
09 Aug 2019 13,738 2,235,599 0.35
16 Aug 2019 66,114 2,301,713 0.36
23 Aug 2019 1,501 2,303,214 0.36
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE VII
(01.04.2019) 31.03.2020
30 Aug 2019 6,232 2,309,446 0.36
06 Sep 2019 11,103 2,320,549 0.36
13 Sep 2019 786 2,321,335 0.36
20 Sep 2019 (189,039) 2,132,296 0.33
27 Sep 2019 (132,988) 1,999,308 0.31
30 Sep 2019 (3,819) 1,995,489 0.31
04 Oct 2019 3,926 1,999,415 0.31
11 Oct 2019 2,229 2,001,644 0.31
18 Oct 2019 89,100 2,090,744 0.32
25 Oct 2019 (232) 2,090,512 0.32
01 Nov 2019 214 2,090,726 0.32
08 Nov 2019 (3,440) 2,087,286 0.32
15 Nov 2019 (1,467) 2,085,819 0.32
22 Nov 2019 654 2,086,473 0.32
29 Nov 2019 290 2,086,763 0.32
06 Dec 2019 (73,533) 2,013,230 0.31
13 Dec 2019 1,224 2,014,454 0.31
20 Dec 2019 623 2,015,077 0.31
27 Dec 2019 (79) 2,014,998 0.31
31 Dec 2019 5,004 2,020,002 0.31
03 Jan 2020 512 2,020,514 0.31
10 Jan 2020 (57,299) 1,963,215 0.30
17 Jan 2020 (159,772) 1,803,443 0.28
24 Jan 2020 (293) 1,803,150 0.28
31 Jan 2020 (15,109) 1,788,041 0.28
07 Feb 2020 5,245 1,793,286 0.28
14 Feb 2020 2,423,307 4,216,593 0.65
21 Feb 2020 546,545 4,763,138 0.74
28 Feb 2020 (46,237) 4,716,901 0.73
06 Mar 2020 194,173 4,911,074 0.76
13 Mar 2020 92,316 5,003,390 0.77
20 Mar 2020 (17,042) 4,986,348 0.77
27 Mar 2020 (112,837) 4,873,511 0.75
31 Mar 2020 (15,452) 4,858,059 0.75
3 Government of Singapore 1,087,035 0.17 05 Apr 2019 24,212 1,111,247 0.17
03 May 2019 (8,599) 1,102,648 0.17
10 May 2019 (32,557) 1,070,091 0.17
17 May 2019 (6,790) 1,063,301 0.16
24 May 2019 (3,222) 1,060,079 0.16
31 May 2019 (26,813) 1,033,266 0.16
07 Jun 2019 172,407 1,205,673 0.19
Purchase/
14 Jun 2019 15,146 1,220,819 0.19
Sale
21 Jun 2019 36,599 1,257,418 0.19
05 Jul 2019 6,608 1,264,026 0.20
19 Jul 2019 (4,389) 1,259,637 0.19
26 Jul 2019 (6,521) 1,253,116 0.19
02 Aug 2019 (8,241) 1,244,875 0.19
09 Aug 2019 (13,905) 1,230,970 0.19
16 Aug 2019 (5,572) 1,225,398 0.19
ANNEXURE VII
(01.04.2019) 31.03.2020
23 Aug 2019 (9,775) 1,215,623 0.19
30 Aug 2019 (20,019) 1,195,604 0.18
06 Sep 2019 899 1,196,503 0.18
20 Sep 2019 3,697 1,200,200 0.19
27 Sep 2019 40,000 1,240,200 0.19
30 Sep 2019 (1,056) 1,239,144 0.19
04 Oct 2019 17,037 1,256,181 0.19
11 Oct 2019 (4,516) 1,251,665 0.19
18 Oct 2019 4,042 1,255,707 0.19
25 Oct 2019 (13,597) 1,242,110 0.19
01 Nov 2019 (3,518) 1,238,592 0.19
08 Nov 2019 1,579 1,240,171 0.19
15 Nov 2019 (4,369) 1,235,802 0.19
22 Nov 2019 (447) 1,235,355 0.19
29 Nov 2019 (73,600) 1,161,755 0.18
06 Dec 2019 (73,384) 1,088,371 0.17
13 Dec 2019 (18,567) 1,069,804 0.17
20 Dec 2019 12,323 1,082,127 0.17
31 Dec 2019 (23,665) 1,058,462 0.16
10 Jan 2020 (4,434) 1,054,028 0.16
17 Jan 2020 (11,898) 1,042,130 0.16
24 Jan 2020 (9,651) 1,032,479 0.16
31 Jan 2020 (425) 1,032,054 0.16
07 Feb 2020 62,208 1,094,262 0.17
14 Feb 2020 1,704,737 2,798,999 0.43
21 Feb 2020 1,354,266 4,153,265 0.64
28 Feb 2020 (1,272) 4,151,993 0.64
06 Mar 2020 (79,849) 4,072,144 0.63
13 Mar 2020 (11,643) 4,060,501 0.63
20 Mar 2020 (7,178) 4,053,323 0.63
27 Mar 2020 (267,411) 3,785,912 0.58
31 Mar 2020 (10,838) 3,775,074 0.58
4 Euro Pacific Growth Fund 0 0.00 14 Feb 2020 1,192,864 1,192,864 0.18
Purchase
21 Feb 2020 1,790,000 2,982,864 0.46
5 Lone Cypress, Ltd. 0 0.00 14 Feb 2020 2,393,850 Purchase 2,393,850 0.37
6 Vanguard Total International 1,823,201 0.29 05 Apr 2019 18,294 1,841,495 0.28
Stock Index Fund 26 Apr 2019 (48,377) 1,793,118 0.28
10 May 2019 27,417 1,820,535 0.28
31 May 2019 29,183 1,849,718 0.29
09 Aug 2019 23,332 Purchase/ 1,873,050 0.29
23 Aug 2019 37,971 Sale 1,911,021 0.30
07 Feb 2020 14,415 1,925,436 0.30
21 Feb 2020 241,493 2,166,929 0.33
28 Feb 2020 12,191 2,179,120 0.34
27 Mar 2020 (40,770) 2,138,350 0.33
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE VII
(01.04.2019) 31.03.2020
7 SBI Focused Equity Fund 19,161 0.003 05 Apr 2019 1,594 20,755 0.00
12 Apr 2019 1,263 22,018 0.00
19 Apr 2019 986 23,004 0.00
26 Apr 2019 1,244 24,248 0.00
03 May 2019 1,934 26,182 0.00
10 May 2019 2,738 28,920 0.00
17 May 2019 3,909 32,829 0.01
24 May 2019 1,650 34,479 0.01
31 May 2019 985 35,464 0.01
07 Jun 2019 3,771 39,235 0.01
14 Jun 2019 2,227 41,462 0.01
21 Jun 2019 1,794 43,256 0.01
29 Jun 2019 193,528 236,784 0.04
05 Jul 2019 5,582 242,366 0.04
12 Jul 2019 4,032 246,398 0.04
19 Jul 2019 2,053 248,451 0.04
26 Jul 2019 2,913 251,364 0.04
02 Aug 2019 2,954 254,318 0.04
09 Aug 2019 1,643 255,961 0.04
16 Aug 2019 1,449 257,410 0.04
23 Aug 2019 2,240 259,650 0.04
30 Aug 2019 2,563 262,213 0.04
06 Sep 2019 1,287 263,500 0.04
13 Sep 2019 2,096 265,596 0.04
Purchase/
20 Sep 2019 3,674 269,270 0.04
Sale
27 Sep 2019 (10,091) 259,179 0.04
30 Sep 2019 380 259,559 0.04
04 Oct 2019 1,424 260,983 0.04
11 Oct 2019 (76,204) 184,779 0.03
18 Oct 2019 (108,025) 76,754 0.01
25 Oct 2019 1 76,755 0.01
01 Nov 2019 80 76,835 0.01
08 Nov 2019 45 76,880 0.01
15 Nov 2019 (1,407) 75,473 0.01
22 Nov 2019 (1,803) 73,670 0.01
29 Nov 2019 47 73,717 0.01
06 Dec 2019 1,095 74,812 0.01
13 Dec 2019 240 75,052 0.01
20 Dec 2019 383 75,435 0.01
27 Dec 2019 197 75,632 0.01
31 Dec 2019 2,331 77,963 0.01
03 Jan 2020 120 78,083 0.01
10 Jan 2020 304 78,387 0.01
17 Jan 2020 597 78,984 0.01
24 Jan 2020 443 79,427 0.01
31 Jan 2020 (1,022) 78,405 0.01
07 Feb 2020 22,400 100,805 0.02
14 Feb 2020 973,905 1,074,710 0.17
21 Feb 2020 360,167 1,434,877 0.22
ANNEXURE VII
(01.04.2019) 31.03.2020
28 Feb 2020 10,780 1,445,657 0.22
06 Mar 2020 514,091 1,959,748 0.30
13 Mar 2020 88,561 2,048,309 0.32
20 Mar 2020 11,980 2,060,289 0.32
27 Mar 2020 5,952 2,066,241 0.32
31 Mar 2020 50,000 2,116,241 0.33
8 Vanguard Emerging Markets 1,777,398 0.28 12 Apr 2019 48,146 1,825,544 0.28
Stock Index Fund, A Series 10 May 2019 4,200 1,829,744 0.28
of Vanguard International 21 Jun 2019 (9,450) 1,820,294 0.28
Equity Index Funds 02 Aug 2019 9,691 Purchase/ 1,829,985 0.28
27 Sep 2019 (29,345) Sale 1,800,640 0.28
27 Dec 2019 (46,740) 1,753,900 0.27
21 Feb 2020 219,979 1,973,879 0.30
27 Mar 2020 (57,477) 1,916,402 0.30
9 Robeco Capital Growth 1,801,948 0.29 06 Sep 2019 6,388 1,808,336 0.28
Funds 27 Sep 2019 (150,000) 1,658,336 0.26
13 Dec 2019 6,173 1,664,509 0.26
Purchase/
20 Dec 2019 343,827 2,008,336 0.31
Sale
14 Feb 2020 (250,000) 1,758,336 0.27
21 Feb 2020 5,500 1,763,836 0.27
13 Mar 2020 1,851 1,765,687 0.27
10 Universities Superannuation 1,417,000 0.23 03 May 2019 (200,000) 1,217,000 0.19
Scheme Limited (USSL) 07 Feb 2020 (124,308) 1,092,692 0.17
Purchase/
as Trustee of Universities 14 Feb 2020 678,585 1,771,277 0.27
Superannuation Scheme Sale
21 Feb 2020 (90,000) 1,681,277 0.26
20 Mar 2020 (65,000) 1,616,277 0.25
Note: Increase/decrease in shareholding, as indicated above, is based on beneficial ownership provided by the Depositories.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE VII
v. Shareholding of Directors and Key Managerial Personnel

Sr. Name of the Directors and Shareholding at the Date Net Increase/ Reason Cumulative Shareholding
No. Key Managerial Personnel beginning of the year (Decrease) in during the year (01.04.2019
(01.04.2019) shareholding to 31.03.2020)
No. of shares % of total No. of shares % of total
shares of the shares
Company of the
Company
1 Mr. Ramesh S. Damani 100,000 0.02 - - No 100,000 0.02
change
2 Mr. Chandrashekhar Bhave 0 0 - - No 0 0
change
3 Ms. Kalpana Unadkat 0 0 - - No 0 0
change
4 Mrs. Manjri Chandak 0 0 - - No 0 0
change
5 Mr. Ignatius Navil Noronha 13,500,000 2.16 10-Dec-19 (111,439) Market 13,388,561 2.07
11-Dec-19 (187,326) Sale 13,201,235 2.04
6 Mr. Ramakant Baheti 2,975,000 0.48 5-Dec-19 (25,000) 2,950,000 0.46
Market
6-Dec-19 (61,873) 2,888,127 0.45
Sale
9-Dec-19 (37,788) 2,850,339 0.44
7 Mr. Elvin Machado 330,595 0.05 25-Jul-19 (6,224) 324,371 0.05
29-Jul-19 (8,000) Market 316,371 0.05
30-Jul-19 (1,000) Sale 315,371 0.05
31-Jul-19 (5,577) 309,794 0.05
26-Nov-19 12,000 ESOP 321,794 0.05
allotment
8 Mr. Niladri Deb 200 0 - - No 200 0
change
9 Mrs. Ashu Gupta 92,000 0.01 13-Sep-19 (2,000) 90,000 0.01
29-Oct-19 (500) 89,500 0.01
8-Nov-19 (100) 89,400 0.01
14-Nov-19 (1,000) 88,400 0.01
19-Nov-19 (2,000) 86,400 0.01
Market
22-Nov-19 (100) 86,300 0.01
Sale
25-Nov-19 (1,000) 85,300 0.01
27-Nov-19 (4,000) 81,300 0.01
28-Nov-19 (500) 80,800 0.01
4-Dec-19 (500) 80,300 0.01
13-Dec-19 (500) 79,800 0.01
24-Dec-19 5,200 ESOP 85,000 0.01
allotment
16-Jan-20 (1,000) 84,000 0.01
Market
17-Feb-20 (600) 83,400 0.01
Sale
19-Feb-20 (500) 82,900 0.01
Note: Increase/decrease in shareholding of Directors and Key Managerial Personnel is based on disclosures received from the
Directors and KMP.
ANNEXURE VII
V. INDEBTEDNESS
Indebtedness of the Company including interest outstanding/accrued but not due for payment.
(` in crore)
Secured Loans Unsecured Deposits Total
excluding deposits Loans Indebtedness
Indebtedness at the beginning of the financial year
i) Principal Amount 448.70 246.45 - 695.15
ii) Interest due but not paid - - - -
iii) Interest accrued but not due 12.03 - - 12.03
Total (i+ii+iii) 460.73 246.45 - 707.18
Change in Indebtedness during the financial year
Addition (Principal) 875.69 1,039.46 - 1,915.15
Reduction (Principal) (1,286.66) (1,285.91) - (2,572.57)
Net Change (410.97) (246.45) - (657.42)
Indebtedness at the end of the financial year
i) Principal Amount 37.73 - - 37.73
ii) Interest due but not paid - - - -
iii) Interest accrued but not due 1.96 - - 1.96
Total (i+ii+iii) 39.69 - - 39.69
VI. REMUNERATION OF DIRECTORS AND KEY MANAGERIAL PERSONNEL

A. Remuneration to Managing Director, Whole-time Directors and/or Manager:
(Amount in `)
Sr. Particulars of Remuneration Name of MD/ WTD/ Manager Total Amount
No. Mr. Ignatius Navil Mr. Ramakant Mr. Elvin
Noronha – Baheti – Machado –
Managing Director Whole-time Whole-time
& CEO Director & Group Director
CFO
1 Gross salary
(a) Salary as per provisions contained in section 43,812,000 10,032,000 73,29,350 61,173,350
17(1) of the Income-tax Act, 1961
(b) Value of perquisites u/s 17(2) Income-tax 18,000 - - 18,000
Act, 1961
(c) Profits in lieu of salary under Section 17(3) - - - -
Income-tax Act, 1961
2 Stock Option - - 19,579,200 19,579,200
3 Sweat Equity - - - -
4 Commission - - - -
- as % of profit - - - -
- others, specify - - - -
5 Others – Employers Contribution to Provident 1,699,836 390,960 278,004 2,368,800
Fund
Total (A) 45,529,836 10,422,960 27,186,554 83,139,350
Ceiling as per the Act Remuneration paid to the Managing Director and Whole-time Director is within the
ceiling provided under Section 197 of the Companies Act, 2013.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE VII
B. Remuneration to Other Directors

(Amount in `)
Sr. Particulars of Remuneration Name of Directors Total Amount
No.
1. Independent Directors Mr. Chandrashekhar Mr. Ramesh Ms. Kalpana
Bhave Damani Unadkat
(a) Fee for attending Board/Committee Meetings 760,000 780,000 660,000 2,200,000
(b) Commission 2,400,000 2,400,000 2,400,000 7,200,000
(c) Others, please specify - - -
Total (1) 3,160,000 3,180,000 3,060,000 9,400,000
2. Other Non-Executive Directors Mrs. Manjri Chandak
(a) Fee for attending Board/Committee Meetings 720,000 - 720,000
(b) Commission - - -
(c) Others, please specify - - -
Total (2) 720,000 - 720,000
Total B = (1+2) 10,120,000
Managerial Remuneration (Total A+B) 93,259,350
Overall Ceiling as per the Act ` 159.61 crore (being 11% of Net Profit of the Company calculated as per
Section 198 of the Companies Act, 2013)
C. Remuneration to Key Managerial Personnel other than MD/ Manager/ WTD

(Amount in `)
Sr. Particulars of Remuneration Key Managerial Personnel
No. CEO/Group Mr. Niladri Mrs. Ashu Total
CFO Deb, Gupta,
CFO Company
Secretary
1 Gross salary
(a) Salary as per provisions contained in Section 17(1) of the - 17,044,274 4,287,400 21,331,674
Income-tax Act, 1961
(b) Value of perquisites u/s 17(2) Income-tax Act, 1961 - 18,000 - 18,000
(c) Profits in lieu of salary under Section 17(3) Income tax Act, - - - -
1961
2 Stock Option - - 7,930,605 7,930,605
3 Sweat Equity - - - -
4 Commission - - - -
- as % of profit - - - -
- others, specify - - - -
5 Others, please Specify (Employer Contribution to Provident Fund ) - 651,743 147,756 799,499
Total - 17,714,017 12,365,761 30,079,778
*CEO and Group CFO Remuneration is already reported above in VI A, as both Directors are managing these profiles additionally.
ANNEXURE VII
VII. PENALTIES/ PUNISHMENT/ COMPOUNDING OF OFFENCES

Type Section of the Brief Description Details of Penalty/ Authority [RD/ Appeal made, if
Companies Act Punishment/ NCLT/ COURT] any (give Details)
Compounding
fees imposed
A. COMPANY
Penalty - - - - -
Punishment - - - - -
Compounding - - - - -
B. DIRECTORS
Penalty - - - - -
C. OTHER OFFICERS IN DEFAULT
Penalty - - - - -

Ignatius Navil Noronha Ramakant Baheti

Managing Director & CEO Whole-time Director & Group CFO
DIN: 01787989 DIN: 00246480
Place: Thane
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
ANNEXURE VIII
DISCLOSURE PURSUANT TO SECTION 134(3)(M) OF THE COMPANIES ACT, 2013 READ WITH RULE 8 OF THE
COMPANIES (ACCOUNTS), RULES 2014
(A) Conservation of energy
Steps taken or impact on The operations of the Company are not energy intensive; however, adequate measures have been taken by
conservation of energy the Company in new and existing stores, wherever feasible to reduce energy consumption. Some of these
initiatives are:
Green Building Certification
We have obtained Gold Certified Green Building Certification for 23 additional stores this year & 1 Platinum Certified
Green Building Certification; taking our total to 74 stores (covering more than 3.5 million sq. ft. of development).
This certification is issued by the Indian Green Building Council (IGBC) under New Buildings / Green Interiors
Rating System (for 70 properties) and US Green Building Council under Leadership in Energy and Environmental
Design rating system (4 properties). Green building refers to both a structure and the application of processes that
are environmentally responsible and resource-efficient throughout a building’s life cycle: from planning to design,
construction, operation, maintenance, renovation and demolition.
There are several factors which are considered for awarding this certification. Some of those are elaborated below:
1. Energy Efficiency
Installation of Rooftop Solar Plants at several existing and new stores. In all 79 stores have solar panels
installed on their Rooftops and 1 Carport (Solar Panels above Car Parking) with a total commissioned
capacity of 7 MW.
Other initiatives:
LED Fixtures are installed at our stores to reduce overall energy consumption
BEE 5-Star Rated Split Air Conditioning units are installed in all offices to reduce overall energy consumption
CFC-Free Refrigerants are used in our Air-Conditioning Equipment to reduce emission of greenhouse gases.
2. Water Conservation
Installation of low-flow water-efficient fixtures at stores. These have aerators fixed by default to maintain and
regulate water flow
Development of rainwater harvesting pits to collect rainwater run-off and harvest it (through groundwater
recharge). This helps in addressing the issue of groundwater depletion
• Installation of STPs at several stores to recycle water and reduce the usage of local water supply. Treated
water is used in toilets for flushing.
3. Sustainable Building Material
Usage of Autoclaved Aerated Concrete (AAC) Blocks, which contain up to 65% of recycled material, for
construction of stores. These blocks use fly-ash – a large pollutant byproduct of thermal power plants
Ready Mix Concrete – We always strive to procure RMC from a location which is close to our site, thus
significantly reducing its transportation. In addition, we always encourage usage of fly-ash (within permitted
limits) in our RMC which is used in our building construction.
Steps taken by the Company for Installation of Solar Plants at several existing and new stores. In all 79 stores have solar panels installed on their
utilising alternate sources of energy Rooftops & 1 Carport (Solar Panels above Car Parking) with a total commissioned capacity of 7 MW.
Capital investment on energy
` 7 crore
conservation equipment
ANNEXURE VIII
(B) Technology absorption

Efforts made towards technology absorption NA
Benefits derived like product improvement, cost reduction, product development or import substitution NA
In case of imported technology (imported during the last three years reckoned from the beginning of the financial year):
Details of technology imported NA
Year of import NA
Whether the technology has been fully absorbed NA
If not fully absorbed, areas where absorption has not taken place, and the reasons thereof NA
Expenditure incurred on Research and Development Nil
(C) Foreign exchange earnings and outgo

(` in crore)
Particulars Financial year 2019-20 Financial year 2018-19
Actual Foreign Exchange earnings 5.04 5.98
Actual Foreign Exchange outgo 626.27 650.29
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
CORPORATE
GOVERNANCE
REPORT
1. CORPORATE GOVERNANCE PHILOSOPHY across and the remedial actions taken in this regard.
Corporate Governance is essentially the management of Through this robust Corporate Governance mechanism that
an organisation’s activities in accordance with policies that interlinks values, ethics and positive culture, the Company
are value-accretive for all stakeholders. At DMart (ASL), the aims to achieve long-term sustainability.
Management strongly believes in fostering a governance
philosophy that is committed to maintaining accountability, 2. BOARD OF DIRECTORS
transparency and responsibility, which are integral to the The Board of Directors of the Company comprises of
Company’s day-to-day operations. seven Directors, of which three are Executive Directors,
one Non-Executive Non-Independent Woman Director

In order to keep up the highest level of standards and three Independent Directors (including a Woman
regarding Corporate Governance and Disclosures, the Director). All members of the Board are eminent persons
Management has instituted several committees that with considerable professional expertise and experience.
oversee various aspects of the organisation’s administration. The Board consists of a balanced combination of Executive
Formed in accordance with the Companies Act, 2013, and Directors and Independent Directors in accordance with the
the SEBI (Listing Obligations and Disclosure Requirements) requirements of the Companies Act, 2013; and the same
Regulations, 2015 (hereinafter referred to as ‘Listing is in compliance with the requirements of Regulation 17 of
Regulations’) the Committees inspect and resolve issues the Listing Regulations. The Chairman of the Company is an
that may arise from time to time within the Company. Independent Director.
A well-informed Board is an important facet of responsible The Company has in place a succession plan for the Board
behaviour. On a regular basis, the Board members of the of Directors and Senior Management of the Company.
Company are apprised of all the vital issues that it comes
The details of other Directorships/ Chairmanships and Memberships of Committees held by Directors of the Company as on
31st March, 2020 is given below
Name of Directors Category No. of Other Directorships and Committee Particulars of Directorships in
Chairmanship(s)/Membership(s) other Listed Entities
*Directorships #Chairmanships #Memberships Name of the Category of
Company Directorship
Mr. Ramesh Damani Chairman, 2 1 1 1. Aptech Limited Non-Executive,
(DIN: 00304347) Non- Executive, Independent
Independent Director Director
2. VIP Industries Non-Executive,
Limited Independent
Director
Mr. Chandrashekhar Non-Executive, 3 2 1 1. Mahindra & Non-Executive,
Bhave Independent Director Mahindra Independent
(DIN: 00059856) Financial Director
Services Limited
2. Tejas Networks Non-Executive,
Limited Independent
Director
Ms. Kalpana Unadkat Non-Executive, 1 - - - -
(DIN: 02490816) Independent Director
Mrs. Manjri Chandak Non-Executive, Non- 3 1 - - -
(DIN: 03503615) Independent Director
Name of Directors Category No. of Other Directorships and Committee Particulars of Directorships in
Chairmanship(s)/Membership(s) other Listed Entities
*Directorships #Chairmanships #Memberships Name of the Category of
Company Directorship
Mr. Ignatius Navil Executive Director 1 - - - -
Noronha
(DIN: 01787989)
Mr. Ramakant Baheti Executive Director 1 - 1 - -
(DIN: 00246480)
Mr. Elvin Machado Executive Director - - - - -
(DIN: 07206710)
* The above list of other directorships includes Public Companies (listed and unlisted) but does not include Private Limited Companies, Foreign Companies and Companies
under Section 8 of the Companies Act, 2013.
# It includes Chairmanship or Membership of the Audit Committee and Stakeholders’ Relationship Committee of Public Companies (listed and unlisted) only.
None of the Directors of the Company are related to each other.
None of the Directors on the Board serve as an Independent Director in more than seven listed companies. Further, there are no
Directors on the Board of the Company, who serve as Whole-time Director with any listed company. No Director is a member of more
than ten Committees or acts as the Chairman of more than five Committees across all companies in which he or she is a Director.
The Board of Directors is of the opinion that all Independent Directors of the Company fulfill the conditions of independence as
prescribed under Section 149(6) of the Companies Act, 2013 and Regulation 16(1)(b) and 25(8) of the Listing Regulations and
hereby confirm that they are independent of the management.
Shareholding of Directors as on 31st March, 2020

Name of Directors Category No. of Equity Shares % Shareholding
Mr. Ramesh Damani Chairman, Non-Executive, Independent Director 100,000 0.02
Mr. Chandrashekhar Bhave Non-Executive, Independent Director 0 0.00
Ms. Kalpana Unadkat Non-Executive, Independent Director 0 0.00
Mrs. Manjri Chandak Non-Executive, Non-Independent Director 0 0.00
Mr. Ignatius Navil Noronha Executive Director 13,201,235 2.04
Mr. Ramakant Baheti Executive Director 2,850,339 0.44
Mr. Elvin Machado Executive Director 321,794 0.05
Board Meetings
The Board Meeting is conducted at least once in every quarter to discuss the performance of the Company and its Quarterly
Financial Results, along with other Company issues. The Board also meets to consider other business(es), whenever required, from
time to time. Agenda of the business(es) to be transacted at the Board Meeting along with explanatory notes thereto are drafted
and circulated well in advance to the Board of Directors of the Company. The Company always ensures that Board members
are presented with all the relevant information on vital matters affecting the working of the Company including the information as
inter alia specified under Part A of Schedule II of Regulation 17(7) of the Listing Regulations. Every Board Member is free to suggest
the inclusion of any item on the agenda and hold due discussions thereto.
Six meetings were held during the year and the gap between two meetings did not exceed 120 days. The dates of the meetings
were as follows:
11th May, 2019, 13th July, 2019, 12th October, 2019, 11th January, 2020, 5th February, 2020 and 3rd March, 2020. The Nineteenth
Annual General Meeting of the Shareholders of the Company was held on Tuesday, 20th August, 2019.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
The attendance of each Director at the Board Meeting and the last Annual General Meeting is given under:
Names of Directors Particulars of attendance for the Board Meetings Attendance for last AGM held
Meetings held during the Board Meetings attended on 20th August, 2019
Director’s tenure
Mr. Ramesh Damani 6 6 Yes
Mr. Chandrashekhar Bhave 6 6 Yes
Ms. Kalpana Unadkat 6 6 Yes
Mrs. Manjri Chandak 6 6 Yes
Mr. Ignatius Navil Noronha 6 6 Yes
Mr. Ramakant Baheti 6 6 Yes
Mr. Elvin Machado 6 6 Yes
Separate Independent Directors Meeting available with the Board. The table also mentions the specific
Pursuant to Schedule IV of the Companies Act, 2013 and areas of expertise of individual Director against each skill/
as per Regulation 25(3) of the Listing Regulations, separate expertise/ competence:
meeting of Independent Directors of the Company was
held on Saturday, 11th January, 2020. The agenda was to Core skills/ expertise/ Name of Director
review the performance of Non-Independent Directors, the competencies
Chairperson, the entire Board and Committees thereof, Operations
quality, quantity and timeliness of the flow of information • Store Operations Mr. Ignatius Navil Noronha
between the management and the Board. • Human Resources Mrs. Manjri Chandak
• Supply Chain Mr. Elvin Machado
Familiarisation Programme Finance Mr. Chandrashekhar Bhave
At the time of appointment, the Independent Directors are Mr. Ramesh Damani
made aware of their roles and responsibilities through a Mr. Ramakant Baheti
formal letter of appointment which stipulates various terms Mrs. Manjri Chandak
and conditions. At Board and Committee meetings, the Legal Mr. Chandrashekhar Bhave
Independent Directors are regularly being familiarised on the Ms. Kalpana Unadkat
business model, strategies, operations, functions, policies Mr. Ramakant Baheti
and procedures of the Company and its subsidiaries. Compliance/Corporate Mr. Chandrashekhar Bhave
All Directors attend the familiarisation programs as these are Governance Ms. Kalpana Unadkat
scheduled to coincide with the Board meeting calendar. Mr. Ignatius Navil Noronha
Mr. Ramakant Baheti
The details of training programs attended by the Independent Business Development Mr. Ignatius Navil Noronha
Directors has been posted on the Company’s website at the Mr. Ramakant Baheti
web link: https://www.dmartindia.com/investor-relationship. Mr. Elvin Machado
Information Technology Mr. Chandrashekhar Bhave
Matrix of skills/ expertise/ competencies of the Board Mr. Ramesh Damani
of Directors Mr. Ignatius Navil Noronha
The Board of the Company comprises qualified members
with the required skills, competence and expertise for Committees of the Board of Directors
effective contribution to the Board and its Committee. In compliance with the requirements of the Companies Act,
The Board members are committed to ensure that the 2013 and the Listing Regulations, the Board of Directors
Company is in compliance with the highest standards of has constituted various Committees. These Committees are
Corporate Governance. entrusted with such powers and functions as detailed in their
respective terms of reference. Besides, the Committees help
The table below summarises the list of core skills/ expertise/ focus attention on specific matters of the organisation.
competencies identified by the Board of Directors for
effectively conducting the business of the Company and are There are total 7 Committees as on 31st March, 2020;
out of which 5 are statutory committees and 2 are other
committees considering the need of best practice in
Corporate Governance of the Company.
Committees as mandated under the Companies Act, 2013 iii.

Major accounting entries involving
and the Listing Regulations estimates based on the exercise of
1. Audit Committee judgement by management;
2. Stakeholders’ Relationship Committee
3. Nomination and Remuneration Committee iv.
Significant adjustments made in the financial
4. Corporate Social Responsibility Committee statements arising out of audit findings;
5. Risk Management Committee
Other Committees v.
Compliance with listing and other legal
6. Operations Committee requirements relating to financial statements;
7. ESOP Committee
vi. Disclosure of any related party transactions; and
3. AUDIT COMMITTEE
vii. Modified opinion(s) in the draft audit report.
The Audit Committee of the Company is duly constituted as
per Regulation 18 of the Listing Regulations, read with the
e)
Reviewing, with the management, the quarterly
provisions of Section 177 of the Companies Act, 2013. All the
financial statements before submission to the
Members of the Audit Committee are financially literate and
Board for approval;
capable of analysing Financial Statements of the Company.
f) Reviewing, with the management, the statement of
Mr. Chandrashekhar Bhave is the Chairman of the Audit
uses/application of funds raised through an issue
Committee. The Statutory Auditors are invited to Audit
(public issue, rights issue, preferential issue, etc.), the
Committee Meetings.
statement of funds utilised for purposes other than
those stated in the offer document/ prospectus/ notice
The Committee members invite the Internal Auditors or any
and the report submitted by the monitoring agency
other concerned officer of the Company in the meetings,
monitoring the utilisation of proceeds of a public or
whenever required on case to case basis.
rights issue, and making appropriate recommendations
to the Board to take up steps in this matter;

The Audit Committee acts as a link between the
Management, Statutory Auditors, Internal Auditors and
g) Review and monitor the auditor’s independence and
the Board of Directors and oversees the financial reporting
performance, and effectiveness of audit process;
process. The Company Secretary acts as the Secretary of
the Audit Committee.
h)
Approval or any subsequent modification of
transactions of the Company with related parties;
Terms of Reference of the Audit Committee are as
follows:
i) Scrutiny of inter-corporate loans and investments;
a) Oversight of the Company’s financial reporting
process and the disclosure of its financial information
j) Valuation of undertakings or assets of the Company,
to ensure that the financial statement is correct,
wherever it is necessary;
sufficient and credible;
k)
Evaluation of internal financial controls and risk
b)
Recommendation for appointment, re-appointment
management systems;
and replacement, remuneration and terms of
appointment of auditors of the Company;
l) Monitoring the end use of funds raised through public
offers and related matters;
c) Approval of payment to statutory auditors for any other
services rendered by the statutory auditors;
m)
Reviewing, with the management, performance of
statutory and internal auditors, adequacy of the internal
d)
Reviewing, with the management, the annual
control systems;
financial statements and auditor’s report thereon
before submission to the Board for approval, with
n)
Reviewing the adequacy of internal audit function,
particular reference to:
if any, including the structure of the internal audit
department, staffing and seniority of the official heading
i. Matters required to be included in the Director’s
the department, reporting structure coverage and
Responsibility Statement to be included in the
frequency of internal audit;
Board’s report in terms of clause (c) of sub-section
3 of Section 134 of the Companies Act, 2013;
o)
Discussion with internal auditors of any significant
findings and follow up thereon;
ii.
Changes, if any, in accounting policies and
practices and reasons for the same;
p)
Reviewing the findings of any internal investigations
by the internal auditors into matters of where there is
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
suspected fraud or irregularity or a failure of internal (as defined by the audit committee), submitted by
control systems of a material nature and reporting the management; (3) management letters/letters of internal
matter to the Board; control weaknesses issued by the statutory auditors;
(4) internal audit reports relating to internal control
q)
Discussion with statutory auditors before the audit weaknesses; (5) the appointment, removal and terms
commences, about the nature and scope of audit of remuneration of the chief internal auditor shall be
as well as post-audit discussion to ascertain any subject to review by the audit committee; (6) statement
area of concern; of deviations including (a) quarterly statement of
deviation(s) including report of monitoring agency, if
r) To look into the reasons for substantial defaults in applicable, submitted to stock exchange(s) in terms
the payment to the depositors, debenture holders, of Regulation 32(1) of the Listing Regulations; (b)
shareholders (in case of non-payment of declared annual statement of funds utilised for purposes other
dividends) and creditors; than those stated in the offer document/ prospectus/
notice in terms of Regulation 32(7) of the SEBI
s)
To establish and review the functioning of the Listing Regulations.
whistle-blower mechanism;
w)
Reviewing the utilisation of loans and/or advances
t) Approval of appointment of Chief Financial Officer (i.e. from/investment by the holding company in the
the whole-time finance director or any other person subsidiary exceeding rupees 100 crore or 10% of the
heading the finance function or discharging that asset size of the subsidiary, whichever is lower including
function) after assessing the qualifications, experience, existing loans/ advances/ investments existing as on
and background, etc. of the candidate; the date of coming into force of this provision.
u) Carrying out any other terms of reference as may be x) Review the compliance of the provision of Regulation 9A
decided by the Board or specified/ provided under the of the SEBI (Prohibition of Insider Trading) Regulations,
Companies Act, 2013 or the Listing Regulations or by 2015 at least once in a financial year and verify that
any other regulatory authority; and the systems for internal controls are adequate and
operating sufficiently and forward the said report with
v) Review of (1) management discussion and analysis the comments/observations to the Board of Directors
of financial condition and results of operations; (2) of the Company.
statement of significant related party transactions
Audit Committee Meetings

During Financial Year 2019-20, Six Audit Committee meetings were held. The meetings were held on 11th May, 2019, 13th July,
2019, 12th October, 2019 and 11th January, 2020, 5th February, 2020 and 3rd March, 2020. The details of composition of Audit
Committee and attendance of each Committee Member are as follows:
Name of the Members Designation in the Particulars of attendance

Committee No. of meetings held during the No. of meetings attended by
Member’s tenure the Member
Mr. Chandrashekhar Bhave Chairman 6 6
Mr. Ramesh Damani Member 6 6
Ms. Kalpana Unadkat Member 6 6
Mr. Ramakant Baheti Member 6 6
4. NOMINATION AND REMUNERATION COMMITTEE Terms of reference of the Nomination and

The Nomination and Remuneration Committee is constituted Remuneration Committee are as follows:
in compliance with the requirements of Regulation 19 of a) Formulate the criteria for determining qualifications,
the Listing Regulations read with the provisions of Section positive attributes and independence of a Director
178 of the Companies Act, 2013. The Nomination and and recommend to the Board a policy relating to the
Remuneration Committee recommends the nomination remuneration of Directors, Key Managerial Personnel
of Directors, and carries out evaluation of performance of and other employees;
individual Directors. Besides, it recommends remuneration
policy for Directors, Key Managerial Personnel and the b) Formulate the criteria for evaluation of performance of
Senior Management of the Company. Independent Directors and the Board of Directors;
c) Identify persons who are qualified to become Directors e) Devise a policy on diversity of Board of Directors;
and persons who may be appointed in Key Managerial
and Senior Management positions in accordance with f) Whether to extend or continue the term of appointment
the criteria laid down in this policy; of the Independent Director, on the basis of the report of
performance evaluation of Independent Directors; and
d) Recommend to the Board, appointment and removal
of Director, KMP and Senior Management Personnel; g)
Recommend to the Board, all remuneration, in
whatever form, payable to senior management.
Nomination and Remuneration Committee Meetings

During the financial year under review, four meetings of the Nomination and Remuneration Committee were held. The meetings
were held on 11th May, 2019, 20th August, 2019, 12th October, 2019 and 11th January, 2020. The composition and attendance of
each Committee Member is as under:
Name of the Members Designation in the Committee Particulars of attendance

No. of meetings held during the No. of meetings attended by the
Member’s tenure Member
Mrs. Manjri Chandak Member 4 4
Performance Evaluation Criteria for Independent Commission

Directors The shareholders of the Company at their annual general
The Board of Directors of the Company carried out an meeting held on 6th September, 2017 approved payment to
annual evaluation of its own performance, of committees, Independent Directors of the Company on annual basis, by
of the Board and individual directors pursuant to the way of commission, the aggregate of which shall not exceed
provisions of the Companies Act, 2013 and the Listing one percent of the net profits of the Company per annum
Regulations. The performance evaluation is conducted computed in the manner prescribed under Section 198 of
through structured questionnaires which cover various the Companies Act, 2013, in such amount and proportion
aspects such as the Board composition and structure, and in such manner as may be determined by the Board of
effectiveness and contribution to Board processes, Directors from time to time, in addition to the sitting fees for
adequacy, appropriateness and timeliness of information a period of five years commencing from 1st April, 2017.
and the overall functioning of the Board etc. The Individual
Director’s response to the questionnaire on the performance Reimbursement of expenses
of the Board, Committee(s), Directors and Chairman, were The Non-Executive Directors are also entitled to
analyzed. The Directors were satisfied with the evaluation reimbursement of expenses for participation in the Board
process and have expressed their satisfaction with the and other meetings in terms of the Companies Act, 2013.
evaluation process.
The details of sitting fees and commission for the financial
In compliance with Regulation 19 read with Part D of year 2019-20 are as under:
Schedule II of the Listing Regulations, the Board of Directors
has formulated criteria for evaluation of the Company’s (Amount in `)
Independent Directors’ performance. The performance Names of Non-Executive Sitting Fees Commission
evaluation of Independent Directors is carried out on the Directors
basis of their role and responsibilities, effective participation Mr. Ramesh Damani 780,000 2,400,000
in the Board and Committee meetings, expertise, skills Mr. Chandrashekhar Bhave 760,000 2,400,000
and exercise of independent judgement in major decisions Ms. Kalpana Unadkat 660,000 2,400,000
of the Company. Mrs. Manjri Chandak 720,000 -
5. REMUNERATION OF DIRECTORS
During the year, there was no pecuniary relationship
a)
Criteria of making payments to Non-Executive or transaction between the Company and any of its
Directors Non-Executive Directors apart from sitting fees and
Sitting Fees commission. The Company has not granted any stock
The Non-Executive Directors are entitled to sitting fees options to any of its Non-Executive Directors.
for attending the meetings of the Board of Directors and
Committees thereof. Sitting fees paid to Non-Executive
Directors are within the prescribed limits under the
Companies Act, 2013 and as determined by the Board of
Directors from time to time.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
b) Managing Director & Whole-time Director

The Company has paid remuneration to its Managing Director and Whole-time Directors, by way of salary and perquisites, within
the limits stipulated under the Companies Act, 2013 and as per the approval sought from the shareholders of the Company.
Details of the remuneration paid to the Executive Directors of the Company during the financial year 2019-20 are as follows:
(Amount in `)
Name Designation Basic Company’s Perquisites Variable Stock Gross
Salary
contribution to option Remuneration
provident fund
Mr. Ignatius Navil Noronha Managing Director 43,812,000 1,699,836 18,000 - - 45,529,836
& CEO
Mr. Ramakant Baheti Whole-time Director 10,032,000 390,960 - - - 10,422,960
& Group CFO
Mr. Elvin Machado Whole-time Director 6,729,350 278,004 - 600,000 19,579,200 27,186,554
The performance criteria of the above-mentioned Directors are laid down by the Nomination and Remuneration Committee in
accordance with the Nomination and Remuneration Policy of the Company.
Service Contract, Severance Fees and Notice Period

Mr. Ignatius Navil Noronha was re-appointed as Managing Director of the Company for a period of five years from 1st February,
2016 upto 31st January, 2021.
Mr. Ramakant Baheti was re-appointed as a Whole-time Director of the Company for a period of five years from 1st May, 2019 up
to 30th April, 2024.
Mr. Elvin Machado was re-appointed as a Whole-time Director of the Company, for a term of three years from 10th June, 2018 up
to 9th June, 2021.
There is no separate provision for payment of any severance fees for the Managing Director or either of the Whole-time Directors.
However, there is a provision of a notice period of six months from either side for all three of them.
Employee Stock Options

Details of Stock options granted to the Executive Directors under the Employee Stock Ownership Plan (ESOP) Scheme,
2016 are as under:
Name of Directors Category Date of Options Options Grant price Vesting Exercise
grant granted vested and per equity period period
exercised share (`)
Mr. Ignatius Navil Noronha Nil Nil Nil Nil Nil Nil Nil
Mr. Ramakant Baheti Nil Nil Nil Nil Nil Nil Nil
Mr. Elvin Machado Class A 60,000 NA ` 299 9 years 3 months from the
Options date of vesting or
Class B 45,000 NA ` 299 6 years such other period as
Options 14.03.2017
may be determined
Class C 15,000 12,000 ` 299 2.5 years by the ESOP
Options Committee
6. STAKEHOLDERS’ RELATIONSHIP COMMITTEE

The Stakeholders’ Relationship Committee of the Board was constituted in compliance with the provisions of Section 178 of
the Companies Act, 2013 and Regulation 20 of the Listing Regulations. This Committee deals with stakeholder relations and
grievances raised by the investors in a timely and effective manner and to the satisfaction of investors. The Committee oversees
performance of the Registrar and Share Transfer Agents of the Company relating to investor services and recommends measures
for improvement.
Mrs. Manjri Chandak, Non-Executive Director is the Chairperson of the Committee and Mrs. Ashu Gupta is the Compliance Officer
of the Company pursuant to Regulation 6 of the Listing Regulations.
Terms of reference of the Stakeholders’ Relationship d)

Review of measures taken for effective exercise of
Committee are as follows: voting rights by shareholders.
a) Investor relations and redressal of grievances of
security holders of the Company in general and relating e) Review of adherence to the service standards adopted
to non-receipt of dividends, interest, non-receipt of by the Company in respect of various services being
balance sheet etc. rendered by the Registrar & Share Transfer Agent.
b) Approve requests for security transfers and transmission f) Review of the various measures and initiatives taken by
and those pertaining to rematerialisation of securities/ the listed entity for reducing the quantum of unclaimed
sub-division/ consolidation of shares, issue of renewed dividends and ensuring timely receipt of dividend
and duplicate share/debenture certificates etc. warrants/annual reports/ statutory notices by the
shareholders of the Company
c) Resolving the grievances of the shareholders of the
Company, including complaints related to transfer of g)
Such other matters as may from time to time be
shares, non-receipt of annual report and non-receipt of required by any statutory, contractual or other regulatory
declared dividends, general meetings, etc. requirements to be attended to by such Committee.
Stakeholders Relationship Committee Meetings

During the year ended 31st March, 2020, two meetings of Stakeholders Relationship Committee were held i.e. on 26th July, 2019
and 10th December, 2019. The Company Secretary of the Company acts as Secretary to the Committee. The composition and
attendance of each Member is as follows:
Name of the Members Designation in the Committee Particulars of attendance

No. of meetings held during No. of meetings attended by
the Member’s tenure the Member
Mrs. Manjri Chandak Chairperson 2 2
Investor Complaints
The details of investor complaints received/redressed during the financial year 2019-20 is as under:
Complaints as on 01.04.2019 Received during the year Resolved during the year Pending as on 31.03.2020
0 2 2 0
7.
CORPORATE SOCIAL RESPONSIBILITY (CSR) d)
To monitor the CSR activities undertaken by the
COMMITTEE Company, which shall be as per the CSR Policy, as
The Corporate Social Responsibility (CSR) Committee of the projects or programmes or activities undertaken in India
Board was constituted in compliance with the provisions of (either new or ongoing), excluding activities undertaken
Section 135 of the Companies Act, 2013. The Company is in its normal course of business;
focussed on stakeholder value creation, especially for the
shareholders and local communities by contributing to the e) To provide a report on CSR activities to the Board
social and environmental needs. of the Company;
Scope of the CSR Committee: f)

To be responsible for the implementation and
a) To formulate and recommend to the Board, a monitoring of CSR Policy, this shall be in compliance
CSR Policy which shall indicate the activities to be with CSR objectives and Policy of the Company; and
undertaken by the Company as specified in Schedule
VII of the Act; g) To ensure the compliance of Section 135 read with
Schedule VII of Companies Act, 2013 and Companies
b)
To recommend the amount of expenditure to be (Corporate Social Responsibility Policy) Rules, 2014
incurred on the activities; and subsequent amendments thereto.
c)
To monitor the CSR Policy of the Company
from time to time;
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Corporate Social Responsibility Committee Meetings

The Corporate Social Responsibility Committee met three times during the year ended 31st March, 2020 on 11th May, 2019,
13th July, 2019 and 12th October, 2019. The composition and attendance of each Committee Member is as under:

Committee No. of meetings held during No. of meetings attended by
the Member’s tenure the Member
8. RISK MANAGEMENT COMMITTEE e) To review processes and procedures to ensure the
The Risk Management Committee of the Board was effectiveness of internal systems of control, so that
constituted in compliance with the provisions of Regulation decision-making capability and accuracy of reporting
21 of the Listing Regulations. and financial results are always maintained at
an optimal level;
Terms of reference of the Risk Management Committee
are as follows: f) To provide an independent and objective oversight and
a) To assist the Board in the execution of its responsibility view of the information presented by management on
for the governance and to assist the Board in setting corporate accountability and specifically associated
risk strategy policies, including annually agreeing risk, also taking account of reports by management
risk tolerance and appetite levels, in liaison with and the Audit Committee to the Board on all categories
the Management; of identified risks facing the Company;
b) To review, assess the quality, integrity and effectiveness g) To assist the Board in its responsibility for disclosure in
of the risk management plan and systems and ensure relation to risk management in the annual report, and
that the risk policies and strategies are effectively acknowledgement that it is accountable for the risk
managed by management and that risks taken are management function; and
within the agreed tolerance and appetite levels;
h) To review the risk bearing capacity of the Company
c)
To ensure that the Company has implemented in light of its reserves, insurance coverage, guarantee
an effective ongoing process to identify risk, to funds or other such financial structures.
measure its potential impact against a broad set of
assumptions and then to activate what is necessary It was determined by the Board that Risk Management
to pro-actively manage these risks. A framework and Committee shall meet twice a year. Additional meetings may
process to anticipate unpredictable risks should also be convened at the request of any one of the committee
be implemented; members. However, the meetings are to be scheduled as
such that they are held before the meetings of the Board,
d) To oversee formal reviews of activities associated with for effective reporting. Moreover, the Chairman of the Risk
the effectiveness of risk management and internal Management Committee shall report from time to time to the
control processes. A comprehensive system of control Board on the deliberations of the Committee.
should be established to ensure that risks are mitigated
and that the Company’s objectives are attained;
Risk Management Committee Meetings

During the financial year under review, two meetings of the Risk Management Committee were held on 5th August, 2019 and
30th March, 2020. The composition and attendance of each Committee Member is as under:

Committee No. of meetings held during the No. of meetings attended by the
Member’s tenure Member
Mr. Ignatius Navil Noronha Chairman 2 2
Mr. Ashutosh Dhar Member 2 2
Mr. Vikram Bhatia Member 2 2
9. OPERATIONS COMMITTEE k) To authorise such Officials of the Company to acquire

Terms of reference of the Operations Committee are properties on behalf of the Company on lease or
as follows: otherwise as required in the ordinary course of
a) To borrow loans for the operations of the Company upto business of the Company and/or to give premises on
the maximum limit of ` 1,800 crore in a financial year; lease as maybe deemed fit by the Board from time
to time and to sign, execute, negotiate and deliver all
b)
To authorise such persons including Directors to such documents, papers, agreements, applications,
approach Banks/Financial Institutions and others affidavits with respect to the same;
to avail loans/credit facilities from time to time for
operation of the Company and to negotiate and finalise l) To authorise such Officials of the Company including
the terms and conditions thereof and to authorise any Directors to execute and sign various agreements
of the Officials of the Company to execute necessary for installation of Solar Power plants for various
documents to avail the facilities from time to time; premises/stores of the Company;
c) To authorise such Officials of the Company to open m) To determine the amount of political contribution to be
bank accounts on behalf of the Company with any given in accordance with the framework adopted by
nationalised/ scheduled/ foreign banks and authorise the Board of Directors of the Company;
any Officers with respect to signing and honoring of
cheques and executing such papers and documents n)
To authorise any Officer of the Company to make
as maybe required from time to time and further donations to charitable and bona fide institutions, funds
to authorise any Officer to change the authorised and trusts as maybe deemed fit from time to time;
signatories and/or close such bank accounts as maybe
deemed fit from time to time; o) To grant authority to attend and vote at the general
body meetings/postal ballots either in person or
d) To authorise such Officials of the Company to operate through e-voting in the body corporate where the
the loan accounts and the bank account of the Company had invested in its securities and to appoint
Company as maybe deemed fit from time to time; any proxy for the same; and
e) To invest the idle funds of the Company in various p) To do or to authorise any Officers of the Company
securities of any corporate, government securities, including the Directors to do any such acts, deeds,
mutual funds and such other instruments and/or to things and matters pertaining to day-to-day
provide corporate guarantee or securities with respect operations/routine functioning of the Company or to
to the loans granted by the Company; do such acts, deeds, things and matters specifically
authorised by the Board of Directors of the Company
f) To avail/authorise such persons including Directors from time to time.
to approach Banks for the facility or merchant
establishment services from time to time for efficient The Operations Committee comprises of:
working of the Company;
Name of the Members Designation in the Committee
g) To allot securities of the Company as maybe approved Mr. Ramakant Baheti Chairman
by the Board from time to time. Mr. Ignatius Navil Noronha Member
Mr. Elvin Machado* Member
h) To appoint Debenture Trustees with respect to issue of
* The Operations Committee was re-constituted w.e.f. 12th October, 2019
debentures by the Company and in accordance with
by inducting Mr. Elvin Machado, Executive Director as a Member of the
the applicable SEBI Regulations;
Committee.
i) To issue commercial Paper within the overall limits as

10. EMPLOYEE STOCK OPTION (ESOP) COMMITTEE
approved by the Board of Directors from time to time
Terms of reference of the ESOP Committee are as
for meeting the working capital requirements of the
follows:
Company with maturity of not more than one year;
a) To evolve, decide upon and bring into effect the
ESOP Scheme as may be approved by the Board
j)
To authorise such Officials of the Company to
and shareholders of the Company from time to time
attend/appear before courts and other forums,
(the “Scheme”);
tribunals, judicial, quasi-judicial authority/to declare,
sign Vakalatnama, affirm and file written statements,
b)
Determine the detailed terms and conditions of the
replies, affidavits, applications, to file and exhibit the
Scheme, including but not limited to the quantum
documents to lead the evidences on behalf of the
of the options to be granted under the Scheme (the
Company in matters related to the Company;
Options), quantum of the Options to be granted per
employee, the exercise period, the vesting period,
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
instances where such Options shall lapse and to grant Unfair Trade Practices Relating to the Securities Market)
such number of Options, to such employees of the Regulations, 2003, as amended from time to time, by
Company and other entities as approved, pursuant to the Company and its employees, as applicable;
which equity shares shall be issued at the fair market
value, at such time and on such terms and conditions d)
To settle any questions, difficulties or doubts that
as set out in the Scheme and as the ESOP Committee may arise in this regard without requiring the Board to
may in its absolute discretion think fit and make secure any further consent or approval of the members
any modifications, changes, variations, alterations of the Company; and
or revisions in the Scheme from time to time or to
suspend, withdraw or revive the Scheme from time to e)
To take any other action as may be considered
time as may be specified by any statutory authority and necessary by the ESOP Committee for the purposes of
to do all such acts, deeds, matters and things as it giving effect to the Scheme.
may in its absolute discretion deem fit or necessary or
desirable for such purpose and with power on behalf The ESOP Committee comprises of:
of the Company;
Name of the Members Designation in the
c)
Frame suitable policies and procedures to ensure Committee
that there is no violation of securities laws, including Mr. Ramesh Damani Chairman
the SEBI ESOP Regulations or the Securities and Mr. Chandrashekhar Bhave Member
Exchange Board of India (Prohibition of Fraudulent and Mrs. Manjri Chandak Member
11. GENERAL BODY MEETINGS

Annual General Meetings
The details of Annual General Meetings convened during the last three years are as follows:
For Date and Time Venue Special Resolutions

Financial
Year
2018-19 Tuesday, Nehru Centre Auditorium, Discovery • To offer and issue secured, rated, cumulative, redeemable,
20th August, of India Building, Ground Floor, non-convertible debentures aggregating upto ` 1,500 crore
2019, at 11:00 Dr. Annie Besant Road, Worli, on private placement basis.
a.m. Mumbai - 400 018. • To issue upto 25,000,000 equity shares through Qualified
Institutions Placement.
• To ratify Avenue Supermarts Limited Employee Stock Option
Scheme 2016 (the “ESOP Scheme”).
• To ratify Employee Stock Options granted to the employees
of the Subsidiary Company(ies) under Avenue Supermarts
Limited Employee Stock Option Scheme 2016.
2017-18 Tuesday, Nehru Centre Auditorium, Discovery • To offer and issue secured, rated, cumulative, redeemable,
28th August, of India Building, Ground Floor, non-convertible debentures aggregating upto ` 1,500 crore
a.m. Mumbai - 400 018.
2016-17 Wednesday, Nehru Centre Auditorium, Discovery • To offer and issue secured, rated, cumulative, redeemable,
6th September, of India Building, Ground Floor, non-convertible debentures aggregating upto ` 1,000 crore
a.m. Mumbai - 400 018.
Extraordinary General Meetings

No Extraordinary General Meetings of members were convened during the last three financial years.
Details of resolutions passed through Postal Ballot

As per Section 110 of the Companies Act, 2013 read with Rule 22 of the Companies (Management and Administration) Rules,
2014, during the year under review, no resolutions were passed by members of the Company through Postal Ballot.
12. MEANS OF COMMUNICATION

Quarterly Results The Company communicates to the Stock Exchanges about the quarterly financial results within 30 minutes
from the conclusion of the Board Meeting in which the same is approved. The results are usually published
in (Economic Times) English newspaper having country-wide circulation and in (Maharashtra Times) Marathi
newspaper where the registered office of the Company is situated. These results were also placed on the
Company’s website https://www.dmartindia.com.
Website All the information and disclosures required to be disseminated as per Regulation 46(2) of the Listing
Regulations and Companies Act, 2013 are being posted at Company’s website: https://www.dmartindia.com.
The official news releases and presentations to the institutional investors or analysts, if made are disseminated
to the Stock Exchange at www.nseindia.com and www.bseindia.com and the same is also uploaded on the
website of the Company https://www.dmartindia.com.
Designated E-mail To serve the investors better and as required under Listing regulations, the designated e-mail address for
address for investor investors complaints is investorrelations@dmartindia.com.
services
13. GENERAL SHAREHOLDER INFORMATION

AGM date, time and venue Tuesday, 1st September, 2020, 11.00 a.m. by way of video conferencing/ other audio visual means
Financial Year April to March
Book Closure Date Wednesday, 26th August, 2020 to Tuesday 1st September, 2020 (Both days inclusive).
Dividend Payment Date NA
Registered Office Anjaneya CHS Limited, Orchard Avenue, Opp. Hiranandani Foundation School, Powai, Mumbai – 400 076
Corporate Office B–72/72A, Wagle Industrial Estate, Road No. 33, Kamgar Hospital Road, Thane – 400 604
Name and Address of ISIN: INE192R01011
Stock Exchanges where The National Stock Exchange of India Limited
Company’s securities are Exchange Plaza, C-1, Block G, Bandra-Kurla Complex, Bandra (East), Mumbai – 400 051
listed Trading Symbol – DMARTEQ
BSE Limited
Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai – 400 001
Scrip Code: 540376
Listing fees The Annual Listing fees for the financial year 2020-21 have been paid to the respective Stock Exchanges.
Share Registrar and Link Intime India Private Limited
Transfer Agents C 101, 247 Park, L.B.S. Marg, Vikhroli (West), Mumbai – 400 083, Maharashtra, India
Tel No.: +91-22-4918 6270 Fax No.: +91-22-4918 6060
Investor query registration: rnt.helpdesk@linkintime.co.in
Debenture Trustees IDBI Trusteeship Services Limited
Asian Building, Ground Floor,17, R. Kamani Marg, Ballard Estate, Mumbai – 400 001
Company Secretary & Mrs. Ashu Gupta
Compliance officer
Market Price Data

The high and low prices and volumes of your Company’s shares at BSE for the financial year 2019-20 are as under:
Month BSE SENSEX No. of shares

(2019-20) High Low High Low transacted
April 2019 1,525.00 1,276.40 39,487.45 38,460.25 981,126
May 2019 1,350.00 1,225.95 40,124.96 36,956.10 1,043,468
June 2019 1,419.00 1,284.75 40,312.07 38,870.96 505,137
July 2019 1,490.65 1,290.30 40,032.41 37,128.26 995,470
August 2019 1,578.00 1,400.00 37,807.55 36,102.35 8,486,059
September 2019 1,944.00 1,500.45 39,441.12 35,987.80 1,001,225
October 2019 2,010.80 1,803.55 40,392.22 37,415.83 699,715
November 2019 2,009.65 1,755.60 41,163.79 40,014.23 756,610
December 2019 1,999.00 1,701.00 41,809.96 40,135.37 761,719
January 2020 2,144.50 1,780.00 42,273.87 40,476.55 11,427,226
February 2020 2,559.00 2,050.25 41,709.30 38,219.97 2,532,681
March 2020 2,350.00 1,735.65 39,083.17 25,638.90 570,287
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Avenue Supermarts Price Movement Chart – BSE

2,500 42,000
2,250 40,000
2,000 38,000
Amount (`)
Sensex
1,750 36,000
1,500 34,000
1,250 32,000
1,000 30,000
Apr-19
May-19
Jun-19
Jul-19
Aug-19
Sep-19
Oct-19
Nov-19
Dec-19
Jan-20
Feb-20
Mar-20
DMart Sensex
The high and low prices and volumes of your Company’s shares at NSE for the financial year 2019-20 are as under:
Month NSE NIFTY No. of Shares
(2019-20) High Low High Low transacted
April 2019 1,529.50 1,275.00 11,856.15 11,549.10 12,135,114
May 2019 1,355.00 1,226.00 12,041.15 11,108.30 11,478,923
June 2019 1,420.00 1,280.00 12,103.05 11,625.10 6,530,939
July 2019 1,490.00 1,286.30 11,981.75 10,999.40 11,300,013
August 2019 1,578.80 1,405.25 11,181.45 10,637.15 12,758,422
September 2019 1,945.05 1,501.00 11,694.85 10,670.25 11,005,084
October 2019 2,010.00 1,801.60 11,945.00 11,090.15 8,202,346
November 2019 2,010.00 1,756.00 12,158.80 11,802.65 7,888,043
December 2019 1,961.00 1,700.00 12,293.90 11,832.30 10,892,372
January 2020 2,145.05 1,780.00 12,430.50 11,929.60 16,148,905
February 2020 2,560.00 2,046.45 12,246.70 11,175.05 33,225,007
March 2020 2,340.00 1,729.30 11,433.00 7,511.10 12,876,304
Avenue Supermarts Price Movement Chart – NSE

2,500 14,000
2,250 13,000
2,000 12,000
Amount (`)
Nifty
1,750 11,000
1,500 10,000
1,250 9,000
1,000 8,000
Apr-19
May-19
Jun-19
Jul-19
Aug-19
Sep-19
Oct-19
Nov-19
Dec-19
Jan-20
Feb-20
Mar-20
DMart Nifty
Share Transfer System

Nomination Facility
Shareholders who hold shares in physical form and wish to make/change a nomination in respect of their shares in the Company,
as permitted under Section 72 of the Companies Act, 2013, may submit request to Registrar and Transfer Agent (RTA) in the
prescribed Forms SH-13/SH-14.
Shares held in Electronic Form

Shareholders holding shares in electronic form may please note that instructions regarding change of address, bank details, e-mail
address, nomination and power of attorney should be given directly to the Depository Participant (DP).
Shares held in Physical Form

Shareholders holding shares in physical form may please note that instructions regarding change of address, bank details, e-mail
address, nomination and power of attorney should be given to the Company’s RTA i.e. Link Intime India Pvt. Ltd.
Shareholding pattern of the Company as on 31st March, 2020

Category of Shareholders No. of shares % of Total
Shares
A. PROMOTERS 485,747,156 74.99
B. PUBLIC SHAREHOLDING
Mutual Funds 36,808,302 5.68
Banks/Financial Institutions 110,320 0.02
Insurance Companies 3,156,460 0.49
Foreign Institutional Investors/Foreign Portfolio Investor 62,323,097 9.62
Alternate Investment Funds 2,426,070 0.37
Individuals 53,084,882 8.20
NBFCs 10,336 0.00
Trust 5,501 0.00
Hindu Undivided Family 700,150 0.11
Non-Resident Indians 674,768 0.10
Foreign Portfolio Investor (Individual) 102 0.00
Clearing Member 434,966 0.07
Bodies Corporate 2,292,581 0.35
Total (A+B) 647,774,691 100.00
Distribution of Shareholding
Distribution of shareholding of shares of your Company as on 31st March, 2020 is as follows:
No. of Equity Shares No. of Shareholders % of Total Shareholders Total Shares for the % of Issued Capital
Held Range
1-500 261,543 97.73 10,372,158 1.60
501-1000 2,536 0.95 1,829,625 0.28
1001-2000 1,266 0.47 1,799,455 0.28
2001-3000 416 0.16 1,032,719 0.16
3001-4000 245 0.09 863,070 0.13
4001-5000 207 0.08 953,358 0.15
5001-10000 420 0.16 3,173,793 0.49
10001 and above 982 0.37 627,750,513 96.91
Total 267,615 100.00 647,774,691 100.00
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Dematerialisation of Shares and Liquidity

The Company has established connectivity with Central Depository Services (India) Limited (CDSL) and National Securities Depository
Limited (NSDL) for dematerialisation of shares and the same are available in electronic segment under ISIN: INE192R01011.
Equity Shares representing 98% of the Company’s Share Capital are dematerialised as on 31st March, 2020.
The shares of the Company are regularly traded at both the Stock Exchanges where they are listed, which ensures the necessary
liquidity to shareholders.
Physical and Dematerialised Shares as on 31st March, 2020 Shares % of Total Issued Capital
No. of Shares held in dematerialised form in CDSL 496,309,893 76.62
No. of Shares held in dematerialised form in NSDL 138,511,392 21.38
No. of Physical Shares 12,953,406 2.00
Total 647,774,691 100.00
Outstanding GDRs/ ADRs/ Warrants or any Convertible B. Registered Office Address

Instruments, conversion date and likely impact on Anjaneya CHS Limited, Orchard Avenue,
equity Opp. Hiranandani Foundation School, Powai,
There are no GDR/ ADR/ Warrants or any Convertible Mumbai – 400 076
Instruments pending conversion or any other instruments Tel No.: 022 40496500
likely to impact the equity share capital of the Company.
C. Corporate Office Address
Commodity price risk or foreign exchange risk and B–72/72A, Wagle Industrial Estate,
hedging activities Road No. 33, Kamgar Hospital Road,
The Company has taken suitable steps from time to time for Thane – 400 604
protecting it against foreign exchange risk(s). The Company Tel No.: 022 33400500 / 022 71230500
does not enter into hedging activities. Website: www.dmartindia.com,
E-mail: investorrelations@dmartindia.com
As such, the Company is not exposed to any commodity
price risk, and hence the disclosure under Clause 9(n) of Part Green Initiative
C of Schedule V in terms of the format prescribed vide SEBI As a responsible corporate citizen, the Company welcomes
Circular, dated 15th November, 2018, is not required. and supports the ‘Green Initiative’ undertaken by the
Ministry of Corporate Affairs, Government of India, enabling
Plant Location electronic delivery of documents including the Annual
The Company has multiple stores in 11 states and 1 Union Report to shareholders at their e-mail address registered
Territory of India, including Maharashtra, Gujarat, Telangana, with the Depository Participant (DPs) and Registrar and
Andhra Pradesh, Karnataka, Madhya Pradesh, Chhattisgarh, Transfer Agent (RTA).
NCR, Tamil Nadu, Rajasthan, Punjab and Daman.
Shareholders who have not registered their e-mail addresses
Address for Correspondence so far are requested to do the same. Those holding shares
A. Company’s Registrar and Share Transfer Agent in demat form can register their e-mail address with their
Address: concerned DPs. Shareholders who hold shares in physical
Link Intime India Private Limited form are requested to register their e-mail addresses with
C 101, 247 Park, RTA, by sending a letter, duly signed by the first/joint holder
L. B. S. Marg, Vikhroli (West), quoting details of Folio Number.
Mumbai – 400 083,
Maharashtra, India
Tel. No.: +91-22-4918 6270
Fax No.: +91-22-4918 6060
Investor query registration: rnt.helpdesk@linkintime.co.in
14. DISCLOSURES transactions and arrangements entered into by the unlisted

A.
Disclosures on Materially Significant Related Party subsidiary, if any.
Transactions that may have potential conflict with the
interests of the Company E. Policy on materiality and dealing with Related Party
During the year, the Company did not enter into any contract/ Transactions
arrangement/ transaction with related parties, which could The Company has formulated a policy on materiality of
be considered material in accordance with the policy of Related Party Transactions and dealing with Related
the Company on materiality of related party transactions. Party Transactions in line with the requirements of Section
None of the transactions with any of related parties were in 177 (4) (iv) and 188 of the Act, read with Rules framed
conflict with the Company’s interest. thereunder and the Listing Regulations. This Policy has been
posted on the website of the Company at the Web link:
B. Details of Non-Compliance by the Company, Penalties, https://www.dmartindia.com/investor-relationship.
Strictures imposed on the Company by Stock
Exchange(s) or the Board or any Statutory Authority, F. Code of Fair Disclosure of Unpublished Price Sensitive
on any matter related to Capital Markets, during the Information
last three years In order to restrict communication of Unpublished Price
No penalties, strictures were imposed on the Company by Sensitive Information (UPSI), the Company has adopted
the Stock Exchange(s) or SEBI or any Statutory Authority on Code of Practices and Procedures for Fair Disclosure of
any matter related to Capital Markets. Unpublished Price Sensitive Information in compliance
with SEBI (Prohibition of Insider Trading) Regulations,
C. Disclosure of Vigil Mechanism/Whistle-blower Policy 2015 as amended from time to time. The said Code is
and access to the Chairman of the Audit Committee available on the website of the Company at the Web link:
The Company has formulated Whistle Blower/Vigil https://www.dmartindia.com/investor-relationship.
Mechanism Policy, pursuant to which the Director(s) and
employee(s) of the Company have open access to the G. Disclosure in relation to Sexual Harassment of Women
Authorised Person/Committee member, as the case at Workplace (Prevention, Prohibition and Redressal)
may be, and also to the Chairman of Audit Committee, Act, 2013
whenever exceptionally required, in connection with any The details of number of complaints received and disposed
grievance, which is concerned with unethical behaviour, of during the year ending 31st March, 2020 is given in the
frauds and other illegitimate activities in Company. Directors’ report.
The Whistle-blower Policy/Vigil Mechanism Policy adopted
by the Company is available on the website of the Company H.
List of all credit ratings obtained by the Company
i.e. www.dmartindia.com. along with any revisions thereto during the relevant
financial year
During the financial year 2019-20, the Company had received The list of credit ratings obtained by the Company during the
8 (eight) complaints from employees pursuant to Whistle year ending 31st March, 2020 is given in the Directors’ Report.
Blower/Vigil Mechanism Policy, out of which one complaint
was pending to be disposed off as on 31st March, 2020. I. Details of utilization of funds raised through Qualified
Institutions Placement
D. Policy for determining ‘material’ subsidiaries The details of utlilization of funds raised through Qualified
The Company has formulated a policy for determining material Institutional Placement as on 31st March, 2020 is given in the
subsidiaries in terms of the Listing Regulations. This Policy Directors’ report.
has been posted on the website of the Company at the web
link: https://www.dmartindia.com/investor-relationship J. A certificate from a Company Secretary in practice
A certificate from the Company Secretary in practice that
The Audit Committee reviews the financial statements none of the directors on the board of the Company have
and in particular, the investments made by the unlisted been debarred or disqualified from being appointed or
subsidiary companies. The minutes of the Board meetings continuing as directors of companies by the Board/Ministry
of the subsidiaries are placed at the meeting of the Board of of Corporate Affairs or any such statutory authority is
Directors of the Company. The management of the unlisted attached with this Annual Report.
subsidiary periodically brings to the notice of the Board
of Directors of the Company a statement of all significant
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
K. Total fees paid by the Company and its subsidiaries, 16.

COMPLIANCE WITH DISCRETIONARY
on a consolidated basis to S R B C & Co. LLP, Statutory REQUIREMENTS
Auditors and all entities in its network firm/network The Company has voluntarily complied with the following
entity, during the Financial Year 2019-20. discretionary requirements as provided under Regulation 27
(` in crore) (1) read with Part E of the Schedule II of the Listing Regulations:
Particulars Amount
(including GST) Modified opinion(s) in audit report: The Statutory
Audit fees 0.73 Auditors have issued an unmodified audit opinion on the
Other services/certifications* 1.38 financial statements of the Company for the year ended
Reimbursement of expenses 0.04 31st March, 2020.
Total** 2.15
Reporting of Internal Auditor: The Internal Auditor directly
* Includes amount paid to network firm/entity of S R B C & CO LLP
reports to the Audit Committee for functional matters
** Includes amounts accrued and payable at the year end.
and presents the internal audit report to the Audit
Committee every quarter.
15.
NON-COMPLIANCE OF ANY REQUIREMENT OF
CORPORATE GOVERNANCE REPORT
17.
DISCLOSURE ON COMPLIANCE WITH
There have been no instances of non-compliance of any
CORPORATE GOVERNANCE REQUIREMENTS
requirement of the Corporate Governance Report as

Your Company has complied with all the corporate
prescribed by the Listing Regulations.
governance requirements specified in Regulation 17 to 27 and
clauses (b) to (i) of sub-regulation (2) of Regulation 46 of the
Listing Regulations, wherever applicable to your Company.
Code of Conduct Declaration

In terms of Regulation 26(3) of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations,
2015 and based on the affirmations provided by the Directors and Senior Management Personnel of the Company to whom Code of
Conduct is made applicable, it is declared that the Board of Directors and the Senior Management Personnel have complied with the
Code of Conduct for the year ended 31st March, 2020.
For Avenue Supermarts Limited
Ignatius Navil Noronha

Managing Director & CEO
DIN: 01787989

Place: Thane
Certificate on Non-Disqualification of Directors

(Pursuant to regulation 34(3) and Schedule V Para C Clause 10(i) of the SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015)
To,
The Members of
Anjaneya CHS Limited, Orchard Avenue,
Opp. Hiranandani Foundation School,
Powai, Mumbai – 400 076.
We have examined the relevant register, records, forms, returns and disclosures received from the Directors of Avenue Supermarts
Limited having CIN: L51900MH2000PLC126473 and having registered office at Anjaneya CHS Limited, Orchard Avenue, Opp.
Hiranandani Foundation School, Powai, Mumbai – 400 076 (hereinafter referred to as “the Company”), produced before us by the
Company for the purpose of issuing this certificate, in accordance with Regulations 34(3) read with Schedule V Para C Clause 10(i) of
the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
In our opinion and to the best of our information and according to the verifications (including Directors Identification Number (DIN) status
of the portal www.mca.gov.in) as considered necessary and explanation furnished to us by the Company & its officers, we hereby certify
that none of the Directors on the Board of the Company as stated below for the financial year ending 31st March, 2020 have been
debarred or disqualified from being appointed or continuing as Director of the Companies by the Securities Exchange Board of India,
Ministry of Corporate Affairs or any such statutory authority.
Sr. No. Name of the Director DIN Date of Appointment in the Company
1. Mr. Ramesh Damani 00304347 09/09/2009
2. Mr. Chandrashekhar Bhave 00059856 17/05/2016
3. Ms. Kalpana Unadkat 02490816 30/07/2018
4. Mrs. Manjri Chandak 03503615 31/03/2011
5. Mr. Ignatius Noronha 01787989 02/01/2006
6. Mr. Ramakant Baheti 00246480 02/01/2006
7. Mr. Elvin Machado 07206710 10/06/2015
Ensuring the eligibility for the appointment/continuity of every Director on the Board is the responsibility of the management of the
Company. Our responsibility is to express an opinion on these based on our verification. This certificate is neither an assurance as to the
future viability of the Company nor of all efficiency or effectiveness with which the management has conducted the affairs of the Company.
For and on behalf of

Rathi & Associates
Company Secretaries
Himanshu S. Kamdar
Place: Mumbai Partner
Date: 27th May, 2020 FCS No.: 5171
UDIN: F005171B000289620 COP No.: 3030
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Chief Executive Officer (CEO) and

Chief Financial Officer (CFO) Certification
We hereby certify that:
(a) We have reviewed financial statements and the cash flow statement for the financial year ended 31st March, 2020 and to the best
of our knowledge and belief:
i. these statements do not contain any materially untrue statement or omit any material fact or contain statements that
might be misleading;
ii. these statements together present a true and fair view of the Company’s affairs and are in compliance with existing accounting
standards, applicable laws and regulations.
(b) There are, to the best of our knowledge and belief, no transactions entered into by the Company during the year, which are
fraudulent or illegal or violative of the Company’s code of conduct.
(c) We accept responsibility for establishing and maintaining internal controls for financial reporting and that we have evaluated the
effectiveness of the internal control systems of the Company pertaining to financial reporting and we have disclosed to the auditors
and the Audit Committee, deficiencies in the design or operation of such internal controls, if any, of which we are aware and the
steps we have taken or propose to take to rectify these deficiencies.
(d) We have indicated to the auditors and the Audit Committee:
i. significant changes in internal control during the year;
ii. significant changes in accounting policies during the year and that the same have been disclosed in the notes to the financial
statements; and
iii. instances of significant fraud of which we have become aware and the involvement therein, if any, of the Management or an
employee having a significant role in the Company’s internal control system over financial reporting.
This certificate is being given to the Board pursuant to Regulation 17(8) of the SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015.
Thank you.
Yours truly,
For Avenue Supermarts Limited For Avenue Supermarts Limited
Ignatius Navil Noronha Niladri Deb

Managing Director & CEO Chief Financial Officer
Place: Thane Place: Thane

Date: 23rd May, 2020 Date: 23rd May, 2020
Certificate on Corporate Governance

To,
The Members of
We have examined the compliance of conditions of Corporate Governance by Avenue Supermarts Limited (‘the Company’) for the
year ended 31st March, 2020, as stipulated in Chapter IV of Securities and Exchange Board of India (Listing Obligations and Disclosure
Requirements) Regulations, 2015.
The compliance of conditions of Corporate Governance is the responsibility of the Management. Our examinations have been limited
to the procedures and implementation thereof, adopted by the Company for ensuring the compliance of the conditions of Corporate
Governance as stipulated in the said Regulations. It is neither an audit nor an expression of opinion on the financial statements
of the Company.
In our opinion and to the best of our information and according to the explanations given to us, and the representations made by the
Directors and the Management, we certify that the Company has complied with the conditions of Corporate Governance as stipulated in
Chapter IV of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.
We further state that such compliance is neither an assurance as to the future viability of the Company nor the efficiency or effectiveness
with which the Management has conducted the affairs of the Company.
For and on behalf of

Rathi & Associates
Company Secretaries
Himanshu S. Kamdar
Place: Mumbai Partner
Date: 23rd May, 2020 FCS No.: 5171
UDIN: F005171B000272911 COP No.: 3030
90 Business Responsibility Report
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Business Responsibility
Report
SECTION A: GENERAL INFORMATION ABOUT THE SECTION B: FINANCIAL DETAILS OF THE COMPANY
COMPANY 1. Paid Up Capital (INR): ` 647.77 crore
1.
Corporate Identity Number (CIN) of the Company:
L51900MH2000PLC126473 2. Total Turnover (INR): ` 24,675 crore
2.
Name of the Company: Avenue Supermarts Limited 3. Total Profit after Taxes (INR): ` 1,350 crore
(“ASL”, “The Company”)
4.
Total Spending on Corporate Social Responsibility
3. Registered Office Address: Anjaneya CHS Ltd., Orchard (CSR) as percentage of Profit after Tax (%): ` 17.86
Avenue, Opp. Hiranandani Foundation School, Powai, crore, 1.57% of average profit for previous three years
Mumbai – 400 076. (computation as prescribed by the Companies Act, 2013).

C orporate Office Address: B–72/72A, Wagle 5. List of activities in which the expenditure in 4 above
Industrial Estate, Road No. 33, Kamgar Hospital Road, has been incurred: Refer to Annexure IV of the Directors
Thane – 400 604. Report.
4. Website: www.dmartindia.com SECTION C: OTHER DETAILS

1.
Does the Company have any Subsidiary Company/
5. E-mail ID: suggestion@dmartindia.com Companies?
6. Financial Year Reported: Financial year 2019-20 Yes, the Company has five subsidiary companies as listed
below;
7. Sector(s) that the Company is engaged in (industrial 1. Align Retail Trades Private Limited
activity code-wise): Retail Trade – 47 (Retail Trade, except 2. Avenue E-Commerce Limited
of motor vehicles and motorcycles) 3. Avenue Food Plaza Private Limited
4. Nahar Seth & Jogani Developers Private Limited
8.
List three key products/services that the Company 5. Reflect Wholesale & Retail Private Limited
manufactures/provides (as on balance sheet)
Foods 2. Do the Subsidiary Company/Companies participate in
Non-Foods (Fast Moving Consumer Goods) the BR Initiatives of the parent Company? If yes, then
General Merchandise and Apparel indicate the number of such subsidiary company(s)
Align Retail Trades Private Limited, a subsidiary of ASL,
9. Total number of locations where business activity is participates in relevant BR initiatives of the Company.
undertaken by the Company:
i. Number of International Locations: Nil 3. Do any other entity/entities (e.g. Supplier, distributor
ii. Number of National Locations: As on 31st March, etc.) that the Company does business with, participate
2020, the Company carries out its business operations in the BR initiatives of the Company? If yes indicate the
through 214 stores located across 11 states and percentage of such entities? (Less than 30%, 30–60%
1 Union Territory. and more than 60%)
10.
Markets served by the Company – Local/ State/ No.
National/ International: National (India)
SECTION D: BUSINESS RESPONSIBILITY INFORMATION

1. Details of Director/Directors responsible for BR
a) Details of the Director/Director responsible for implementation of the Business Responsibility policy/policies
Name DIN Number Designation

Mr. Ignatius Navil Noronha 01787989 Managing Director & CEO
b) Details of the Business Responsibility Head
DIN Number (if applicable) N.A.

Name Mr. Rushabh Ghiya
Designation AVP-Investor Relations
Telephone Number 022-3340 0500 / 022-71230500
Email id suggestion@dmartindia.com
2. Principle-wise (as per NVGs) BR Policy/Policies

a) Details of compliance (Reply in Y/N)
Sr. Questions P1 P2 P3 P4 P5 P6 P7 P8 P9
No.
1 Do you have policy/policies for… Y Y Y Y Y Y Y Y Y
2 Has the policy been formulated in consultation with relevant Y Y Y Y Y Y Y Y Y
stakeholders? All the policies have been developed in consultation with the
Management of the Company.
3 Does the policy conform to any national /international Y Y Y Y Y Y Y Y Y
standards? If yes, specify? (50 words) The policies are in-line with the principles of National
Voluntary Guidelines (NVG).
4 Has the policy been approved by the Board? Y Y Y Y Y Y Y Y Y
If yes, has it been signed by the MD/ Owner/ CEO/ appropriate All the policies have been approved by the Board and have
Board Director? been signed by the Managing Director & CEO.
5 Does the Company have a specified committee of the Board/ The Company has appointed a Business Responsibility
Director/ Official to oversee the implementation of the policy? Head to oversee the implementation of the policies
6 Indicate the link to view the policy online? Y Y Y Y Y Y Y Y Y
Weblink: https://www.dmartindia.com/investor-relationship
7 Has the policy been formally communicated to all relevant Y Y Y Y Y Y Y Y Y
internal and external stakeholders? The policies are uploaded on our websites for
communicating it to the internal and external stakeholders.
Weblink: https://www.dmartindia.com/investor-relationship
8 Does the Company have in-house structure to implement its Y Y Y Y Y Y Y Y Y
policy/policies?
9 Does the Company have a grievance redressal mechanism Y Y Y Y Y Y Y Y Y
related to the policy/policies to address stakeholders’ Stakeholders can report grievances related to policies
grievances related to policy/policies? and provide suggestion on the e-mail id; suggestion@
dmartindia.com
10 Has the Company carried out independent audit/evaluation of N N N N N N N N N
the working of this policy by an internal or external agency?
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
b) If answer against any principle, is ‘No’, please explain why: (Tick up to 2 options):
Sr. Questions P1 P2 P3 P4 P5 P6 P7 P8 P9
No.
1 The Company has not understood the principles
2 The Company is not at a stage where it finds itself in a position
to formulate and implement the policies on specified principles
3 The Company does not have financial or manpower resources
N.A.
available for the task
4 It is planned to be done in the next 6 months
5 It is planned to be done in the next year
6 Any other reason (please specify)
3.
Governance related to BR is to focus on areas of ethical risk, provide guidance to
a) Indicate the frequency with which the Board of recognise and deal with ethical issues, provide mechanisms
Directors, Committee of the Board or CEO to to report unethical conduct and help foster a culture of
assess the BR performance of the Company. Within honesty and accountability.
3 months, 3-6 months, Annually, More than 1 year.
The Business Responsibility performance is reviewed 2. How many stakeholder complaints have been received
annually. in the past financial year and what percentage was
satisfactorily resolved by the management? If so,
b) Does the Company publish a BR or a Sustainability provide details thereof, in about 50 words or so.
Report? What is the hyperlink for viewing this ASL as an organisation is conscious about all complaints
report? How frequently it is published? received from its stakeholders. Through a formal mechanism
ASL is publishing its Business Responsibility Report we address each complaint. Due care is taken to maintain
as a part of its annual report which will be published complete confidentiality in all complaints received. Our
annually. The Annual Report is available at www. Senior Management Team is directly involved in all critical
dmartindia.com under the section Investor Relations. complaints. They also periodically review complaints and
suggest corrective actions in our internal processes, if
SECTION E: PRINCIPLE-WISE PERFORMANCE needed.
Principle 1: Businesses should conduct and govern
themselves with Ethics, Transparency and Accountability Opening Received % of complaints
1. Does the policy relating to ethics, bribery and corruption Balance (FY 2019-20) resolved (FY 2019-20)
cover only the Company? Yes/No. Does it extend to the
23 79 25%
Group/ Joint Ventures/ Suppliers/ Contractors/ NGOs/
Others?
Principle 2: Businesses should provide goods and services
The Company has incorporated a policy on Ethics,
that are safe and contribute to sustainability throughout
Transparency & Accountability which is applicable to
their lifecycle
its Employees, Directors, Business Partners, Business
1. List up to 3 products or services whose design has
Associates and other relevant stakeholders to conduct
incorporated social or environmental concerns, risks,
business ethically and transparently.
and/or opportunities.
The Company’s principle nature of business is to provide
The policy on ethics and transparency acts as a guidance
everyday use products to end consumers. However, one of
manual for all our stakeholders to conduct business ethically
our subsidiary Company procures, processes and repacks
and avoid any breaches related to unfair practices.
certain products which are provided to end consumers
through our stores.
The Company has a separate code of conduct for Board
Members and Senior Management. The intent of this code
It is our constant endeavor to ensure that all laws and ASL is aiming to reduce its fuel consumption in transportation
regulations related to processing, packaging, labelling by operating through common distribution centres in vicinity
are adhered to along with periodic internal quality control of our store locations, wherever feasible. This minimises the
checks. distance to transport goods to our stores, thus reducing fuel
consumption.
2. For each product, provide the following details in respect
of resources (energy, water, raw material etc.) per unit of 4. Has the Company taken any steps to procure goods
product. and services from local & small producers, including
(i) Reduction during sourcing/ production/ distribution communities surrounding their place of work? If yes,
achieved since the previous year throughout the what steps have been taken to improve their capacity
value chain? and capability of local and small vendors?
We are in the business of retailing goods/ products to The Company believes in inclusive growth and encourages
end consumers through our 214 stores spread across local sourcing wherever possible. Local suppliers/ vendors
11 states and 1 union territory. We strive to optimise are evaluated based on the quality parameters set by the
use of resources at our new and existing stores. Company.
Wherever feasible, we encourage the following:
Installation of rooftop solar plants to reduce 5. Does the Company have mechanism to recycle products
energy consumption and waste? If yes, what is the percentage of recycling
Implementation of rainwater harvesting process waste and products? Provide details thereof, in about 50
to restore depleting ground water words or so.
Usage of LED lighting Owing to the nature of our business we generate very limited
Usage of Water-efficient fixtures that consume amount of waste. The Company has installed sewage
lesser water than the standard ones treatment plants at stores wherever possible to use recycled
Treatment of waste water through in-house water and thereby reduce load on the municipal bodies for
sewage treatment plants fresh water supply.
Usage of AAC Blocks which contain recycled
materials Principle 3: Businesses should promote the well-being of
Obtain a Green Building Certification under Indian all employees
Green Building Council (IGBC) and US Green 1. Please indicate the total number of employees.
Building Council (USGBC) Total number of permanent employees is 9,456.
(ii)
Reduction during usage by consumers (energy, 2. Please indicate the total number of employees hired on
water) has been achieved since the previous year? temporary/ contractual/casual basis.
We encourage our customers to carry their own The total number of employees hired on contractual basis is
reusable carry bags so we can reduce the usage of 38,952.
plastic carry bags.
3.
Please indicate the number of permanent women
3.
Does the Company have procedures in place for employees.
sustainable sourcing (including transportation)? If Total number of permanent women employees is 2,108.
yes, what percentage of your inputs was sourced
sustainably? Provide details thereof, in about 50 words 4.
Please indicate the number of permanent employees
or so. with disability.
The Company has a structured procedure which is followed Total number of permanent employees with disability is 15.
before collaborating with any business partners/ associates.
Our team visits their facilities to assess and evaluate them on 5. Do you have an employee association that is recognised
health and safety parameters. by management?
The Company does not have any recognised employee
association.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
6. What percentage of your permanent employees are a The details of trainings conducted during the financial year
member of this recognised employee association? 2019-20 are as follows:
Not Applicable.
Employee category % of % of
7.
Please indicate the number of complaints relating to employees employees
child labour, forced labour, involuntary labour, sexual that were that were
harassment in the last financial year and pending, as on given safety given skill
the end of the financial year. training up-gradation
ASL has stringent policies & procedures which are in line training
with local laws to prevent any kind of forced labor, child labor Permanent employees 74% 87%
and sexual harassment at our locations of operations. Some
of these processes are:
We collect valid documents related to age proof and
employment is confirmed only after submission of valid Permanent women 80% 104%
documents which are verified. employees
The Company maintains a safe working environment
Casual/ Temporary/ 80% 85%
for women employees. We create awareness among
Contractual Employees
our employees that sexual harassment is a serious
misconduct and there are formal mechanisms available Permanent employees 67% 96%
for raising the complaints. with disability
The details of the no. of complaints received during the Principle 4: Businesses should respect the interests of, and
financial year 2019-20 are as follows: be responsive to the needs of all stakeholders, especially
those who are disadvantaged, vulnerable, and marginalised.
Category No. of No. of 1. Has the Company mapped its internal and external
complaints complaints stakeholders? Yes/No
received pending at Yes, ASL has identified and mapped all its key internal and
during the end of the external stakeholders and same are mentioned below:
financial year financial year
a) Customers
Child Labour/ Forced 0 0
b) Employees
Labour/ Involuntary Labour
c) Business Partners/Associates
*Sexual Harassment 1 0 d) Shareholders
Discriminatory employment 0 0 e) Regulatory Authorities/Bodies
* The Company conducted several training sessions for all its employees f) Local Communities in the areas that we operate in
to create awareness about Prevention of Sexual Harassment during the
Financial Year. 2.
Out of the above, has the Company identified the
disadvantaged, vulnerable & marginalised stakeholders?
8. What percentage of your under mentioned employees Yes.
were given safety & skill up-gradation training in the last
year? 3. Are there any special initiatives taken by the Company
The Company organises several training programmes for its to engage with the disadvantaged, vulnerable, and
employees through functional modules. The training content marginalised stakeholders? If so, provide details thereof,
is based on the roles and responsibilities performed by the in about 50 words or so.
employees in different grades and departments. ASL wants to make a real difference to the under privileged
by strengthening schools, impacting primary education and
inspiring lives through its CSR initiatives, which includes; 2. Does the Company have strategies/initiatives to address
Providing basic infrastructure for education global environmental issues such as climate change,
Computer education and learning global warming, etc.? Y/N. If yes, please give hyperlink
Promoting Sports through various Sports Programmes, for webpage etc.
availability of playground & sports fixtures and sports ASL understands the global issue of climate change and has
material incorporated possible actions to address it. We have taken
Pedagogy and activity based learnings following initiatives towards mitigating the environmental
Quality staff for teaching impact, wherever feasible:
English Language Programme
Water conservation programmes: The Company
Library Programme
believes water is a critical resource and hence works
Scientific Learning through Science Labs
towards minimising its fresh water requirements through
Skill Development and Livelihood Training Programmes
initiatives such as rain water harvesting. In addition, the
Company has installed 63 Sewage Treatment Plants
Through these initiatives, the Company has positively
across its premises to use the same for flushing. This
impacted more than 1,00,000 students through holistic
also helps to reduce the usage of fresh water.
interventions in primary education
LED lightings: We use LED light fixtures, thereby
Principle 5: Businesses should respect and promote human conserving energy year by year.
rights
CFC-free refrigerants: We use CFC free refrigerants
1. Does the policy of the Company on human rights
in Air–conditioning equipment, which reduces release
cover only the Company or extend to the Group/ Joint
of CFCs in atmosphere which is one of the major
Ventures/ Suppliers/ Contractors/ NGOs/ Others?
contributors for greenhouse gases.
The Company has framed a policy on human rights, which is
a guidance document for its Employees, Business Partners/ Use of BEE 5-Star Equipment’s: The Company
Associates and other relevant stakeholders. uses BEE 5-Star rated split air conditioners which
consumes less energy in comparison to conventional
2. How many stakeholder complaints have been received air-conditioners.
in the past financial year and what percent was
Use of Sustainable materials for construction:
satisfactorily resolved by the management?
The Company incorporates sustainable vision right at
During the financial year 2019-20, the Company has not
the construction stage of our stores. We encourage
received any complaints from stakeholders in this respect.
use of AAC blocks in place of conventional building
materials which are sourced from local manufacturers.
Principle 6: Business should respect, protect and make
efforts to restore the environment Ready Mix Concrete: We always strive to procure
1. Does the policy related to Principle 6 cover only the RMC from a location which is close to our site, thus
Company or extends to the Group/ Joint Ventures/ significantly reducing its transportation. In addition, we
Suppliers/ Contractors/ NGOs/ Others. always encourage usage of fly-ash (within permitted
The Company has a defined Environment Policy which is a limits) in our RMC which is used in our building.
guidance document for its Employees, Business Partners/
Associates and other relevant stakeholders to encourage
them to adopt more environment friendly and safe business
practices.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
3.
Does the Company identify and assess potential Principle 8: Businesses should support inclusive growth
environmental risks? Y/N and equitable development
ASL assesses the potential impacts of its operations on the 1. Does the Company have specified programmes/
environment through implementation of the Environment initiatives/ projects in pursuit of the policy related to
Policy. Principle 8? If yes details thereof.
The Company has a Corporate Social Responsibility Policy
4. Does the Company have any project related to Clean which details its vision of working for the under privileged
Development Mechanism? If so, provide details thereof, sections of the society. The focus of our CSR programme
in about 50 words or so. Also, if Yes, whether any is primary education which includes working with different
environmental compliance report is filed? local, municipal schools to improve education standards
We do not have any projects registered under Clean through various pedagogical interventions like Computer
Development Mechanism. Education, Library Programme, English & Vernacular
Language proficiency Programmes, Scientific Learning
5. Has the Company undertaken any other initiatives on – through Science Labs, Promoting Sports through various
clean technology, energy efficiency, renewable energy, Sports Programmes and availability of playground & sports
etc. Y/N. If yes, please give hyperlink for web page etc. fixtures and sports material.
The Company invests in energy efficiency (refer to our
response to question 2 and renewable energy projects, Through ‘Skill Building Programme’ the Company aims to
detailed below: bring local unemployed youth in the economic mainstream
through self-employment and salaried jobs. In 2019-20, 150
Solar Plant: ASL has installed solar panels on roof
students were enrolled out of which 110 have completed
tops at several of our existing and new projects. 79
trainings in Nursing Assistance, Beautician, Apparel making,
stores have solar panels installed on their roof tops and
Computer and Dance.
1 Carport (Solar Panels above Car Parking) is installed
with a total commissioned capacity of 7.0 MW. This
During the year 2019-20, we commenced promotion of
initiative has partly helped the Company reduce its
sports with structured interventions in existing schools.
dependency on grid power supply.
2.
Are the programmes/projects undertaken through
6.
Are the Emissions/Waste generated by the Company
in-house team/ own foundation/ external NGO/
within the permissible limits given by CPCB / SPCB for
government structures/ any other organisation?
the financial year being reported?
We have an in-house team dedicated to carry out Company’s
Not Applicable
CSR initiatives. We also collaborate with Expert Partners and
NGOs for some of our initiatives.
7.
Number of show cause/legal notices received from
CPCB / SPCB which are pending (i.e. not resolved to
3. Have you done any impact assessment of your initiative?
satisfaction) as on end of Financial Year.
The dedicated in-house team monitors the number of
There are no show cause/legal notices received from CPCB
beneficiaries impacted by the Company’s CSR initiatives and
/ SPCB as on end of FY 2019-20.
the same is presented to the CSR Committee periodically.
Principle 7: Businesses, when engaged in influencing public
4.
What is your Company’s direct contribution to
and regulatory policy, should do so in a responsible manner
community development projects amount in INR and the
1. Is your company a member of any trade and chamber
details of the projects undertaken.
or association? If Yes, Name only those major ones that
The Company has contributed ` 17.86 crore during the
your business deals with:
financial year 2019-20 towards community development
ASL is member of Retailers Association of India (RAI).
projects. The details of these projects are mentioned in
Annexure IV of the Directors Report.
2. Have you advocated/lobbied through above associations
for the advancement or improvement of public good?
5. Have you taken steps to ensure that this community
Yes/No; if yes specify the broad areas (drop box:
development initiative is successfully adopted by the
Governance and Administration, Economic Reforms,
community? Please explain in 50 words, or so.
Inclusive Development Policies, Energy security, Water,
We conduct post impact assessment for all our CSR
Food Security, Sustainable Business Principles, Others)
initiatives which help us understand the effectiveness of these
ASL understands the improvement and advancements of
programs. Based on the outcome of these assessments, the
the industry in interest of public good. Our endeavor is to
Company plans corrective measures wherever necessary.
co-operate with all Government bodies and policy makers in
this regard.
Principle 9: Businesses should engage with and provide 3. Is there any case filed by any stakeholder against the
value to their customers and consumers in a responsible Company regarding unfair trade practices, irresponsible
manner advertising and/or anti-competitive behaviour during
1. What percentage of customer complaints/consumer the last five years and pending as on end of financial
cases are pending as on the end of financial year. year.
There are 76 ongoing consumer complaints as on 31st March, There is one case pending before the judicial authorities for
2020. trademark infringement.
2.
Does the Company display product information on 4.
Did your Company carry out any consumer survey/
the product label, over and above what is mandated consumer satisfaction trends?
as per local laws? Yes/ No/ N.A./ Remarks (additional Customer satisfaction is one of the key objectives of our
information) business operations. Our store personnel interact with
The Company is an national supermarket chain with focus customers frequently to understand their experience and
on value retailing. Majority of the products are procured take their feedback on our services. This helps us to improve
from reputed third party vendor/ manufacturers/ distributors our service quality and enhance customer satisfaction.
which are directly sold to the customer. However, we also We also encourage our customers to share their valuable
procure some goods from other vendors which are repacked feedback with us and have made available several channels
at our locations. which they can use to reach us. Some of those are:
Customer Care Desk at each store
Hence it is our constant endeavor to engage with our Feedback/Complaints Register at stores
entire vendor ecosystem and we seek to ensure that all our Feedback section of our corporate website
vendors adhere to proper labeling indicating content, safety Central customer care help line number
and handling of the products which we sell. Electronic mail
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Independent Auditor’s Report
To the Members of the Institute of Chartered Accountants of India together with

Avenue Supermarts Limited the ethical requirements that are relevant to our audit of the
financial statements under the provisions of the Act and the Rules
Report on the Audit of the Standalone Ind AS Financial thereunder, and we have fulfilled our other ethical responsibilities
Statements in accordance with these requirements and the Code of Ethics.
Opinion We believe that the audit evidence we have obtained is sufficient
We have audited the accompanying standalone Ind AS financial and appropriate to provide a basis for our audit opinion on the
statements of Avenue Supermarts Limited (“the Company”), standalone Ind AS financial statements.
which comprise the Balance Sheet as at March 31, 2020, the
Statement of Profit and Loss, including the statement of Other Key Audit Matters
Comprehensive Income, the Cash Flow Statement and the Key audit matters are those matters that, in our professional
Statement of Changes in Equity for the year then ended, and notes judgment, were of most significance in our audit of the standalone
to the financial statements, including a summary of significant Ind AS financial statements for the financial year ended March 31,
accounting policies and other explanatory information. 2020. These matters were addressed in the context of our audit
of the standalone Ind AS financial statements as a whole, and in
In our opinion and to the best of our information and according forming our opinion thereon, and we do not provide a separate
to the explanations given to us, the aforesaid standalone Ind opinion on these matters. For each matter below, our description
AS financial statements give the information required by the of how our audit addressed the matter is provided in that context.
Companies Act, 2013, as amended (“the Act”) in the manner
so required and give a true and fair view in conformity with the We have determined the matters described below to be the key
accounting principles generally accepted in India, of the state of audit matters to be communicated in our report. We have fulfilled
affairs of the Company as at March 31, 2020, its profit including the responsibilities described in the Auditor’s responsibilities for the
other comprehensive income its cash flows and the changes in audit of the standalone Ind AS financial statements section of our
equity for the year ended on that date. report, including in relation to these matters. Accordingly, our audit
included the performance of procedures designed to respond
Basis for Opinion to our assessment of the risks of material misstatement of the
We conducted our audit of the standalone Ind AS financial standalone Ind AS financial statements.
statements in accordance with the Standards on Auditing (SAs),
as specified under section 143(10) of the Act. Our responsibilities The results of our audit procedures, including the procedures
under those Standards are further described in the ‘Auditor’s performed to address the matters below, provide the basis for
Responsibilities for the Audit of the Standalone Ind AS Financial our audit opinion on the accompanying standalone Ind AS
Statements’ section of our report. We are independent of the financial statements.
Company in accordance with the ‘Code of Ethics’ issued by
Key audit matters How our audit addressed the key audit matter
Assessment of impairment of investment in subsidiary: Avenue E-Commerce Limited (“AEL”) (as described in note 1.f of the standalone
Ind AS financial statements)
The Company has an investment amounting to ` 252.76 crore as Our audit procedures in respect of assessment impairment of
at March 31, 2020 in its subsidiary Avenue E-Commerce Limited. Investment in Avenue Ecommerce Limited included the following:
• We assessed the Company’s valuation methodology applied in
This subsidiary commenced business four years back and has had determining the fair market value of equity shares. In making this
continued losses, which provides an indicator for impairment in assessment, we evaluated the objectivity and independence of
the investment. Company’s specialists involved in the process;
• We involved valuation expert to assist in evaluating the key inputs
Management has used external specialist to support the along with comparable transaction multiples of peers of the
recoverable amounts of its investment based on fair market value Company available in the public domain and discount rate on
of equity shares of AEL as at March 31, 2020 after taking into multiple considered for valuation purpose;
consideration the potential impact of COVID 19.
• We obtained and read the audited Ind AS financial statements of
We determined this area as a key audit matter because of the the subsidiary to determine the net worth, cash flows and other
judgmental factors involved in testing for impairment and the financial indicators;
significant carrying value of the investment. • We also assessed the Company’s disclosures concerning this
in Note 1.f on significant accounting estimates and judgements
and Note 6 of Investment in Subsidiaries to the standalone Ind AS
financial statements.
Allowance for inventory shrinkages (as described in note 1.j and 1.w of the standalone Ind AS financial statements)
As at March 31, 2020, the carrying amount of inventories amounted to ` Our procedures over allowance for inventory shrinkage included the
1,909.43 crore after considering allowances for Inventory shrinkages of following:
` 17.30 crore. These inventories are held at the stores and distribution
• We obtained an understanding, evaluated the design and tested
centres of the Company.
the operating effectiveness of controls that the Company has in
Allowance for Inventory shrinkage was an audit focus area since relation to allowance for inventory shrinkage;
inventory cycle counts were carried out at periodical intervals during
• We performed testing on the Company’s controls over the
the year and further significant judgement is involved in identifying the
inventory cycle count process. In testing these controls, we
amount of provision for shrinkages.
observed the inventory cycle count process at selected store and
distribution centres on a sample basis, inspected the results of the
inventory cycle count and confirmed variances were accounted
for and approved by management.
• Assessed the stock shrinkage provision by assessing the level
of inventory write downs during the period and applying the
shrinkage rate as determined location wise to the year end stock.
We tested on a sample basis the shrinkage rate used to calculate
the provision for each store and distribution centre.
• On account of the COVID 19 imposed lockdown, the Company
was unable to carry on its physical verification of inventory in the
last two weeks of March 2020 as planned, however the locations
scheduled for the physical verification in the last two weeks had
been verified during the year as planned and accordingly the
shrinkage rates have been used for these locations as per the last
count.
• We assessed the Company’s disclosures concerning this in Note
1.j and 1.r on significant accounting estimates and judgements and
Note 9 Inventories to the standalone Ind AS financial statements.
We have determined that there are no other key audit matters to communicate in our report.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Information Other than the Financial Statements and Auditor’s Responsibilities for the Audit of the Standalone
Auditor’s Report Thereon Ind AS Financial Statements
The Company’s Board of Directors is responsible for the other Our objectives are to obtain reasonable assurance about whether
information. The other information comprises the information the standalone Ind AS financial statements as a whole are free from
included in the Annual report but does not include the standalone Ind material misstatement, whether due to fraud or error, and to issue an
AS financial statements and our auditor’s report thereon. auditor’s report that includes our opinion. Reasonable assurance is a
high level of assurance but is not a guarantee that an audit conducted
Our opinion on the standalone Ind AS financial statements does in accordance with SAs will always detect a material misstatement
not cover the other information and we do not express any form of when it exists. Misstatements can arise from fraud or error and are
assurance conclusion thereon. considered material if, individually or in the aggregate, they could
reasonably be expected to influence the economic decisions of users
In connection with our audit of the standalone Ind AS financial taken on the basis of these standalone Ind AS financial statements.
statements, our responsibility is to read the other information and,
in doing so, consider whether such other information is materially As part of an audit in accordance with SAs, we exercise professional
inconsistent with the standalone Ind AS financial statements or our judgment and maintain professional skepticism throughout the
knowledge obtained in the audit or otherwise appears to be materially audit. We also:
misstated. If, based on the work we have performed, we conclude
that there is a material misstatement of this other information, we are • Identify and assess the risks of material misstatement of the
required to report that fact. We have nothing to report in this regard. standalone Ind AS financial statements, whether due to fraud
or error, design and perform audit procedures responsive to
Responsibilities of Management for the Standalone Ind AS those risks, and obtain audit evidence that is sufficient and
Financial Statements appropriate to provide a basis for our opinion. The risk of
The Company’s Board of Directors is responsible for the matters not detecting a material misstatement resulting from fraud is
stated in section 134(5) of the Act with respect to the preparation higher than for one resulting from error, as fraud may involve
of these standalone Ind AS financial statements that give a true and collusion, forgery, intentional omissions, misrepresentations, or
fair view of the financial position, financial performance including the override of internal control.
other comprehensive income, cash flows and changes in equity
of the Company in accordance with the accounting principles • Obtain an understanding of internal control relevant to the audit
generally accepted in India, including the Indian Accounting in order to design audit procedures that are appropriate in the
Standards (Ind AS) specified under section 133 of the Act read circumstances. Under section 143(3)(i) of the Act, we are also
with the Companies (Indian Accounting Standards) Rules, 2015, as responsible for expressing our opinion on whether the company
amended. This responsibility also includes maintenance of adequate has adequate internal financial controls system in place and the
accounting records in accordance with the provisions of the Act for operating effectiveness of such controls.
safeguarding of the assets of the Company and for preventing and
detecting frauds and other irregularities; selection and application of •
Evaluate the appropriateness of accounting policies used
appropriate accounting policies; making judgments and estimates and the reasonableness of accounting estimates and related
that are reasonable and prudent; and the design, implementation disclosures made by management.
and maintenance of adequate internal financial controls, that were
operating effectively for ensuring the accuracy and completeness of • Conclude on the appropriateness of management’s use of
the accounting records, relevant to the preparation and presentation the going concern basis of accounting and, based on the
of the standalone Ind AS financial statements that give a true and audit evidence obtained, whether a material uncertainty exists
fair view and are free from material misstatement, whether due to related to events or conditions that may cast significant doubt
fraud or error. on the Company’s ability to continue as a going concern.
If we conclude that a material uncertainty exists, we are
In preparing the standalone Ind AS financial statements, management required to draw attention in our auditor’s report to the related
is responsible for assessing the Company’s ability to continue as a disclosures in the standalone Ind AS financial statements or,
going concern, disclosing, as applicable, matters related to going if such disclosures are inadequate, to modify our opinion.
concern and using the going concern basis of accounting unless Our conclusions are based on the audit evidence obtained up
management either intends to liquidate the Company or to cease to the date of our auditor’s report. However, future events or
operations, or has no realistic alternative but to do so. conditions may cause the Company to cease to continue as
a going concern.
Those Board of Directors are also responsible for overseeing the
Company’s financial reporting process.
• Evaluate the overall presentation, structure and content of specified under Section 133 of the Act, read with
the standalone Ind AS financial statements, including the Companies (Indian Accounting Standards) Rules,
disclosures, and whether the standalone Ind AS financial 2015, as amended;
statements represent the underlying transactions and events in
a manner that achieves fair presentation. (e) On the basis of the written representations received from
the directors as on March 31, 2020, taken on record by
We communicate with those charged with governance regarding, the Board of Directors, none of the directors is disqualified
among other matters, the planned scope and timing of the audit as on March 31, 2020, from being appointed as a director
and significant audit findings, including any significant deficiencies in in terms of Section 164 (2) of the Act;
internal control that we identify during our audit.
(f) With respect to the adequacy of the internal financial
We also provide those charged with governance with a statement controls over financial reporting of the Company with
that we have complied with relevant ethical requirements regarding reference to these standalone Ind AS financial statements
independence, and to communicate with them all relationships and the operating effectiveness of such controls, refer to
and other matters that may reasonably be thought to bear on our our separate Report in “Annexure 2” to this report;
independence, and where applicable, related safeguards.
(g)
In our opinion, the managerial remuneration for the
From the matters communicated with those charged with governance, year ended March 31, 2020 has been paid / provided
we determine those matters that were of most significance in the by the Company to its directors in accordance with the
audit of the standalone Ind AS financial statements for the financial provisions of section 197 read with Schedule V to the Act;
year ended March 31, 2020 and are therefore the key audit matters.
We describe these matters in our auditor’s report unless law or (h)
With respect to the other matters to be included in
regulation precludes public disclosure about the matter or when, in the Auditor’s Report in accordance with Rule 11 of
extremely rare circumstances, we determine that a matter should not the Companies (Audit and Auditors) Rules, 2014, as
be communicated in our report because the adverse consequences amended in our opinion and to the best of our information
of doing so would reasonably be expected to outweigh the public and according to the explanations given to us:
interest benefits of such communication.
i) The Company has disclosed the impact of pending
Report on Other Legal and Regulatory Requirements litigations on its financial position in its standalone
1. As required by the Companies (Auditor’s report) Order, 2016 Ind AS financial statements – Refer Note 37 to the
(“the Order”) issued by the Central Government of India in standalone Ind AS financial statements;
terms of sub-section (11) of section 143 of the Act, we give
in the “Annexure 1”, a statement on the matters specified in ii) The Company did not have any long-term contracts
paragraphs 3 and 4 of the Order. including derivative contracts for which there were
any material foreseeable losses
2. As required by section 143 (3) of the Act, we report that:
iii) There were no amounts which were required to be
(a) We have sought and obtained all the information and transferred to the Investor Education and Protection
explanations which to the best of our knowledge and Fund by the Company.
belief were necessary for the purposes of our audit;
For S R B C & CO LLP
(b) In our opinion, proper books of account as required by
Chartered Accountants
law have been kept by the Company so far as it appears
ICAI Firm Registration Number: 324982E/E300003
from our examination of those books;
per Vijay Maniar
(c)
The Balance Sheet, Statement of Profit and Loss
Partner
including the Statement of Other Comprehensive Income,
Membership No.: 36738
the Cash Flow Statement and Statement of Changes in
UDIN: 20036738AAAACF6511
Equity dealt with by this Report are in agreement with the
books of account;
Mumbai; May 23, 2020
(d) In our opinion, the aforesaid standalone Ind AS financial
statements comply with the Accounting Standards
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Annexure 1
to the Independent Auditor’s Report of even date on the Ind AS Financial Statements of
Avenue Supermarts Limited (‘the Company’)
(i) (a) The Company has maintained proper records showing (iv)
In our opinion and according to the information and
full, including quantitative details and situation explanations given to us, provisions of section 185 and 186
of fixed assets. of the Companies Act 2013 in respect of loans to directors
including entities in which they are interested and in respect
(b)
Fixed assets have been physically verified by the of loans and advances given, investments made and,
management during the year and no material guarantees, and securities given have been complied with
discrepancies were identified on such verification. by the Company.
(c) According to the information and explanation given by (v) The Company has not accepted any deposits within the
the management the title deeds of immovable property meaning of Sections 73 to 76 of the Act and the Companies
included in property, plant and equipment are held (Acceptance of Deposits) Rules, 2014 (as amended).
in the name of the Company out of which for land Accordingly, the provisions of clause 3(v) of the Order are
properties aggregating 345.35 crore as at March 31, not applicable.
2020 mutation of land is in progress.
(vi) To the best of our knowledge and as explained, the Central
(C in Crores) Government has not specified the maintenance of cost
Total Gross Block Net Block records under Section 148(1) of the Companies Act, 2013,
Asset for the products of the Company.
number as on as on
category
of cases March 31, 2020 March 31, 2020
24 Freehold 345.35 345.35 (vii) (a) According to the information and as explanation given
land to us and the records of the Company examined by
us, in our opinion, the Company is generally regular
(ii)
The management has conducted physical verification
in depositing with appropriate authorities undisputed
of inventory at reasonable intervals during the year
statutory dues including provident fund, employees’
and no material discrepancies were noticed on such
state insurance, labour welfare fund, profession tax,
physical verification.
income tax, goods and service tax, customs duty, cess
and other material statutory dues applicable to it.
(iii) (a) According to the information and explanations given to
us, the Company has not granted any loans, secured
(b) According to the information and explanations given to
or unsecured to companies, firms, Limited Liability
us, there are no undisputed statutory dues including
Partnerships or other parties covered in the register
provident fund, employees’ state insurance, labour
maintained under section 189 of the Companies Act,
welfare fund, profession tax, income-tax, goods and
2013. Accordingly, the provisions of clause 3(iii) (a), (b)
service tax, customs duty, , cess and other material
and (c) of the Order are not applicable to the Company
statutory dues which were outstanding, at the year-end
and hence not commented upon.
for a period of more than six months.
(c) According to the records of the Company, the dues outstanding of income-tax, sales-tax, service tax, on account of any
dispute, are as follows:
Unpaid Period to
amount which the Forum where dispute is
Name of the Statute Nature of Dues
involved amount pending
(` in crore) * relates
Finance Act, 1994 Service tax 0.52 2008-2013 Commissioner of Service tax
Gujarat Value Added Tax Value added tax 0.18 2014-2015 Joint Commercial
Act, 2003 Tax Commissioner
Maharashtra Value Added Value added tax 0.19 2011-2012 Joint Commercial Tax
Tax Act, 2002 Commissioner
Madhya Pradesh Value Value added tax 0.18 2015-2016 Deputy Commissioner of
Added Tax Act, 2002 Commercial Tax
Madhya Pradesh Value Entry tax 0.34 2015-2016 Deputy Commissioner of
Unpaid Period to
amount which the Forum where dispute is
Name of the Statute Nature of Dues
involved amount pending
(` in crore) * relates
Madhya Pradesh Value Value added tax 0.14 2016-2017 Deputy Commissioner of
Madhya Pradesh Value Entry tax 0.03 2016-2017 Deputy Commissioner of
Income Tax Act, 1961 Late Deduction of TDS 3.12 2019-2020 Commissioner of Income
Tax Appeal
Income Tax Act, 1961 Short Deduction/Late Deduction of TDS 0.12 2007-2008 to Assessing Officer
2014-2015
* The unpaid amount mentioned above is net of ` 0.57 crore paid under protest
(viii)
In our opinion and according to the information and (xiv) According to the information and explanations given by the
explanations given by the management, the Company has management the Company has complied with provisions of
not defaulted in repayment of loans or borrowing to a bank section 42 of the Companies Act, 2013 in respect of the
or dues to debenture holders. There are no dues payable to private placement of shares during the year. According to
any financial institution and government. the information and explanations given by the management,
we report that the amount raised, have been used for
(ix) In our opinion and according to information and explanation the purposes for which the funds were raised except for
given by the management, monies raised by the Company idle funds amounting to ` 3,068.00 crore which were not
by way of initial public offer and term loans were applied for required for immediate utilization and which have been
the purpose for which they were raised. invested in deposits with scheduled commercial banks.
The maximum amount of idle funds invested during the
(x) Based upon the audit procedures performed for the purpose year was ` 4,098.00 crore, of which ` 3,068.00 crore was
of reporting the true and fair view of the financial statements outstanding at the end of the year.
and according to the information and explanations given by
the management, we report that no fraud by the Company (xv)
According to the information and explanations given by
or no material fraud on the Company by the officers and the management, the Company has not entered into any
employees of the Company has been noticed or reported non-cash transactions with directors or persons connected
during the year. with him as referred to in section 192 of Companies Act, 2013.
(xi)
According to the information and explanations given by (xvi) The Company is not required to be registered under Section
the management, the managerial remuneration has been 45-IA of the Reserve Bank of India Act. According to the
paid / provided in accordance with the requisite approvals information and explanations given to us, the provisions of
mandated by the provisions of section 197 read with section 45-IA of the Reserve Bank of India Act, 1934 are not
Schedule V to the Companies Act, 2013. applicable to the Company.
(xii)
In our opinion, the Company is not a nidhi company.
Therefore, the provisions of clause 3(xii) of the order are not
applicable to the Company and hence not commented upon.
(xiii) According to the information and explanations given by the
per Vijay Maniar
management, transactions with the related parties are in
Partner
compliance with section 177 and 188 of Companies Act,
2013 where applicable and the details have been disclosed
in the notes to the financial statements, as required by the
applicable accounting standards.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Annexure 2
to the Independent Auditor’s Report of Even Date on The Standalone Ind As Financial
Statements of Avenue Supermarts Limited
Report on the Internal Financial Controls under Clause Our audit involves performing procedures to obtain audit evidence
(i) of Sub-section 3 of Section 143 of the Companies Act, about the adequacy of the internal financial controls over financial
2013 (“the Act”) reporting with reference to these standalone Ind AS financial
We have audited the internal financial controls over financial statements and their operating effectiveness. Our audit of internal
reporting of Avenue Supermarts Limited (“the Company”) as of financial controls over financial reporting included obtaining an
March 31, 2020 in conjunction with our audit of the standalone understanding of internal financial controls over financial reporting
Ind AS financial statements of the Company for the year with reference to these standalone Ind AS financial statements,
ended on that date. assessing the risk that a material weakness exists, and testing
and evaluating the design and operating effectiveness of internal
Management’s Responsibility for Internal Financial control based on the assessed risk. The procedures selected
Controls depend on the auditor’s judgement, including the assessment
The Company’s Management is responsible for establishing and of the risks of material misstatement of the financial statements,
maintaining internal financial controls based on the internal control whether due to fraud or error.
over financial reporting criteria established by the Company
considering the essential components of internal control stated We believe that the audit evidence we have obtained is sufficient
in the Guidance Note on Audit of Internal Financial Controls and appropriate to provide a basis for our audit opinion on the
Over Financial Reporting issued by the Institute of Chartered internal financial controls over financial reporting with reference to
Accountants of India. These responsibilities include the design, these standalone Ind AS financial statements.
implementation and maintenance of adequate internal financial
controls that were operating effectively for ensuring the orderly Meaning of Internal Financial Controls Over Financial
and efficient conduct of its business, including adherence to the Reporting With Reference to these Standalone Ind AS
Company’s policies, the safeguarding of its assets, the prevention Financial Statements
and detection of frauds and errors, the accuracy and completeness A company’s internal financial control over financial reporting
of the accounting records, and the timely preparation of reliable with reference to these standalone Ind AS financial statements is
financial information, as required under the Act. a process designed to provide reasonable assurance regarding
the reliability of financial reporting and the preparation of financial
Auditor’s Responsibility statements for external purposes in accordance with generally
Our responsibility is to express an opinion on the Company’s accepted accounting principles. A company’s internal financial
internal financial controls over financial reporting with reference to control over financial reporting with reference to these standalone
these standalone Ind AS financial statements based on our audit. Ind AS financial statements includes those policies and procedures
We conducted our audit in accordance with the Guidance Note that (1) pertain to the maintenance of records that, in reasonable
on Audit of Internal Financial Controls Over Financial Reporting detail, accurately and fairly reflect the transactions and dispositions
(the “Guidance Note”) and the Standards on Auditing as specified of the assets of the company; (2) provide reasonable assurance
under section 143(10) of the Act, to the extent applicable to an that transactions are recorded as necessary to permit preparation
audit of internal financial controls and, both issued by the Institute of financial statements in accordance with generally accepted
of Chartered Accountants of India. Those Standards and the accounting principles, and that receipts and expenditures of the
Guidance Note require that we comply with ethical requirements company are being made only in accordance with authorisations
and plan and perform the audit to obtain reasonable assurance of management and directors of the company; and (3) provide
about whether adequate internal financial controls over financial reasonable assurance regarding prevention or timely detection
reporting with reference to these standalone Ind AS financial of unauthorised acquisition, use, or disposition of the company’s
statements was established and maintained and if such controls assets that could have a material effect on the financial statements.
operated effectively in all material respects.
Inherent Limitations of Internal Financial Controls Over financial controls over financial reporting with reference to these
Financial Reporting With Reference to these Standalone standalone Ind AS financial statements were operating effectively
Ind AS Financial Statements as at March 31, 2020, based on the internal control over financial
Because of the inherent limitations of internal financial controls reporting criteria established by the Company considering the
over financial reporting with reference to these standalone Ind essential components of internal control stated in the Guidance
AS financial statements, including the possibility of collusion Note on Audit of Internal Financial Controls Over Financial
or improper management override of controls, material Reporting issued by the Institute of Chartered Accountants of India.
misstatements due to error or fraud may occur and not be detected.
Also, projections of any evaluation of the internal financial controls
over financial reporting with reference to these standalone Ind AS
financial statements to future periods are subject to the risk that
the internal financial control over financial reporting with reference
to these standalone Ind AS financial statements may become
per Vijay Maniar
inadequate because of changes in conditions, or that the degree
Partner
of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, adequate
internal financial controls over financial reporting with reference to
these standalone Ind AS financial statements and such internal
106 Standalone Balance Sheet | Statement of Standalone Profit and Loss
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Standalone Balance Sheet

as at 31st March, 2020
(C in Crores)
As at As at
Notes
31st March, 2020 31st March, 2019
Assets
Non-current assets
(a) Property, plant and equipment 2 5,060.70 4,205.86
(b) Capital work-in-progress 2 361.94 376.55
(c) Right to use assets 3 646.99 -
(d) Investment properties 4 16.53 18.10
(e) Intangible assets 5 11.19 10.27
(f) Financial assets
(i) Investments in subsidiaries 6 287.30 212.00
(ii) Other non-current financial assets 7 3,125.99 36.03
(g) Income tax assets (net) 7.68 0.03
(h) Other non-current assets 8 273.54 109.68
Total non-current assets 9,791.86 4,968.52
Current assets
(a) Inventories 9 1,909.43 1,576.22
(b) Financial assets
(i) Trade receivables 10 48.53 75.52
(ii) Cash and cash equivalents 11 91.46 120.23
(iii) Bank balances other than cash and cash equivalents 12 0.78 93.32
(iv) Other current financial assets 13 109.80 59.18
(c) Other current assets 14 132.27 104.58
Total current assets 2,292.27 2,029.05
Total assets 12,084.13 6,997.57
Equity and liabilities
Equity
a) Equity share capital 15 647.77 624.08
b) Other equity 16 10,487.75 4,970.40
Total equity 11,135.52 5,594.48
Liabilities
Non-current liabilities
(a) Financial liabilities
(i) Borrowings 17 - 125.67
(ii) Lease liability 178.13 -
(iii) Other non-current financial liabilities 18 0.47 0.78
(b) Deferred tax liabilities (net) 19 48.20 64.07
Total non-current liabilities 226.80 190.52
Current liabilities
(i) Borrowings 20 3.73 299.15
(ii) Lease liability 64.29 -
(iii) Trade payables due to - 21
Micro and small enterprises 17.24 5.44
Other than micro and small enterprises 428.73 452.84
(iv) Other current financial liabilities 22 174.50 393.82
(b) Current tax liabilities (Net) 0.44 26.72
(c) Other current liabilities 23 18.55 21.93
(d) Provisions 24 14.33 12.67
Total current liabilities 721.81 1,212.57
Total equity and liabilities 12,084.13 6,997.57
Summary of significant accounting policies 1
The accompanying notes are an integral part of these standalone financial statements
As per our report of even date For and on behalf of Board of Directors of
For S R B C & CO LLP Ignatius Navil Noronha Ramakant Baheti

Chartered Accountants Managing Director and Whole-time Director and
ICAI firm registration number 324982E/E300003 Chief Executive Officer Group Chief Financial Officer
DIN: 01787989 DIN: 00246480
per Vijay Maniar

Partner Niladri Deb Ashu Gupta
Membership No.: 36738 Chief Financial Officer Company Secretary
Mumbai, 23rd May, 2020 Thane, 23rd May, 2020

Statement of Standalone Profit and Loss

for the year ended 31st March, 2020
(C in Crores)
For the year ended For the year ended
Notes
Income
Revenue from operations 25 24,675.01 19,916.25
Other income 26 63.33 51.41
Total income 24,738.34 19,967.66
Expenses
Purchase of stock-in-trade 21,349.14 17,409.12
Changes in inventories of stock-in-trade 27 (333.21) (429.18)
Employee benefits expense 28 424.74 335.03
Finance costs 29 62.76 47.15
Depreciation and amortisation expense 30 339.81 198.80
Other expenses 31 1,112.21 959.10
Total expenses 22,955.45 18,520.02
Profit before tax 1,782.89 1,447.64
Tax expense
Current tax 32 448.84 501.21
Deferred tax charge/(credit) (15.87) 17.77
Adjustment of tax related to earlier years 0.03 (7.69)
Total tax expenses 433.00 511.29
Net profit after tax 1,349.89 936.35
Other comprehensive income
Items that will not be reclassified to profit or loss
Re-measurements gains/(loss) on defined benefit plans 45 (5.07) (1.95)
Less: Income tax effect 1.28 0.68
Net other comprehensive income not to be reclassified to profit or loss in (3.79) (1.27)
subsequent year
Total comprehensive income for the year 1,346.10 935.08
Earnings per equity share of ` 10 each: (in `) 41
Basic 21.49 15.00
Diluted 21.33 14.79

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108 Statement of Standalone Cash Flows
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Statement of Standalone Cash Flows

(C in Crores)
Cash flow from operating activities:
Adjustments for:
Depreciation and amortization expense 339.81 198.80
Finance cost 62.76 47.15
Interest income (32.86) (25.84)
Profit on sale of investments (8.93) (10.08)
Expense on employee stock option scheme 8.27 16.61
Rent income (7.63) (5.72)
(Gain)/ loss on disposal of property, plant and equipment (net) (2.45) (1.01)
358.97 219.91
Operating profit before working capital changes 2,141.86 1,667.55
Adjustments for:
Increase/(decrease) in trade payables (12.31) 142.41
Decrease in provisions (3.41) (1.13)
Increase/(decrease) in other current financial liabilities 23.27 (25.76)
Increase/(decrease) in other current liabilities (3.38) 10.67
Decrease in other non-current financial liabilities (0.31) -
(Increase)/decrease in trade receivables 26.99 (42.16)
Increase in inventories (333.21) (429.18)
Decrease in current investments - 51.71
(Increase)/decrease in other non-current assets 4.77 (20.44)
(Increase)/decrease in other non-current financial assets (17.25) 11.95
Increase in bank balances other than cash and cash equivalents (0.04) (0.05)
Increase in other current assets (38.19) (25.11)
(Increase)/decrease in other current financial assets (19.88) 5.81
(372.95) (321.28)
Cash flow from operating activities 1,768.91 1,346.27
Direct taxes paid (net of refunds) (481.52) (493.49)
Net cash flow from operating activities 1,287.39 852.78
Cash flow from investing activities:
Proceeds from disposal of property, plant and equipment 5.51 8.05
Realisation from FDs of IPO proceeds 92.58 399.14
Realisation from FDs of QIP proceeds 129.00 -
Interest received 12.23 39.22
Gain on sale of investments 8.93 10.08
Rent income received 7.53 5.27
255.78 461.76
Purchase of property, plant and equipment / intangible assets / investment properties (1,683.06) (1,376.88)
QIP proceeds deposited in FDs (3,197.00) -
Investment in subsidiaries (75.30) (82.50)
(4,955.36) (1,459.38)
Net cash flow used in investing activities (4,699.58) (997.62)
Cash flow from financing activities:
Proceeds from issue of QIP (net of expenses) 4,076.51 -
Proceeds from exercise of share options 110.34 -
Proceeds from long term borrowings 50.00 150.00
Proceeds from short term borrowings 251.03 50.00
Proceeds of commercial papers 789.46 786.52
Proceeds from non convertible debentures 300.00 -
5,577.34 986.52
Statement of Standalone Cash Flows

(C in Crores)
Repayment of long term borrowings (200.00) (16.00)
Repayment of short term borrowings (300.00) (4.55)
Repayment of commercial papers (1,034.99) (540.99)
Repayment of non convertible debentures (512.00) (170.00)
Payment of lease liability (78.89) -
Interest paid (67.93) (54.04)
(2,193.81) (785.58)
Cash flow from financing activities 3,383.53 200.94
Net increase/(decrease) in cash and cash equivalent (28.66) 56.10
Cash and cash equivalents at beginning of the year (including bank overdraft balances) 120.11 64.01
Cash and cash equivalents at end of the year 91.45 120.11
Cash and cash equivalents as per above comprises of the following
Cash and cash equivalents (Refer Note: 11) 91.46 120.23
Bank overdrawn (Refer Note: 22) (0.01) (0.12)
Balance as per statement of cash flows 91.45 120.11
Notes:
i) Reconciliation of borrowings
(C in Crores)
Opening Balance
Non- current borrowings (including current maturity) 396.00 432.00
Current borrowings 299.15 7.25
Net movement of borrowings
Cash Flow
Non- current borrowings (including current maturity) (362.00) (36.00)
Current borrowings (295.42) 290.98
Closing Balance
(ii) The cash flow statement has been prepared under the indirect method as set out in Indian Accounting Standard (Ind AS 7)
statement of cash flows.

ICAI firm registration nuw mber 324982E/E300003 Chief Executive Officer Group Chief Financial Officer
DIN: 01787989 DIN: 00246480
per Vijay Maniar


110 Statement of Changes in Equity | Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Statement of Changes in Equity

A. Equity share capital

Notes No. of Shares C in Crores
Equity Share of ` 10 each issued, subscribed and fully paid 16
At 1st April, 2018 624,084,486 624.08
Issue of Share Capital - -
At 31st March, 2019 624,084,486 624.08
Issue of Share Capital 23,690,205 23.69
At 31st March, 2020 647,774,691 647.77
B. Other equity
(C in Crores)
Other equity Total
Securities Share options Debenture Retained
Notes
premium outstanding redemption earnings
account reserve
Balance as at 1st April, 2018 1,809.77 22.67 86.95 2,099.24 4,018.63
Profit for the year - - - 936.35 936.35
Other comprehensive income for the year - - - (1.27) (1.27)
Share option expense 44 - 16.69 - - 16.69
Transfer to debenture redemption reserve - - (27.30) 27.30 -
Balance as at 31st March, 2019 1,809.77 39.36 59.65 3,061.62 4,970.40
Profit for the year - - - 1,349.89 1,349.89
Other comprehensive income for the year - - - (3.79) (3.79)
Exercise of share options 21.64 (21.64) - - -
Issue of share capital 16 4,184.65 - - - 4,184.65
Share option expense 44 - 8.09 - - 8.09
Transaction cost of QIP (21.49) - - - (21.49)
‘Transferred from share options outstanding account - 0.01 - (0.01) -
on lapse of vested options
Transfer from debenture redemption reserve - - (51.15) 51.15 -
Balance as at 31st March, 2020 5,994.57 25.82 8.50 4,458.86 10,487.75
Nature and purpose of reserve

Securities premium
Securities premium is used to record the premium on issue of shares. The reserve is utilised in accordance with provisions of the
Companies Act 2013.
Share options outstanding account
The share options outstanding is used to recognise the grant date fair value of options issued to employees under Avenue Supermarts
Limited Employee Stock Option Scheme, 2016.
Debenture redemption reserve
The company is required to create a debenture redemption reserves out of profit which is available for the purpose of redemption of
debentures in accordance with provisions of Companies Act 2013.
The accompanying notes are an integral part of these financial statements
DIN: 01787989 DIN: 00246480
per Vijay Maniar


Notes
to the Standalone Financial Statements for the year ended 31st March, 2020
Corporate information - Cash or cash equivalent unless restricted from

Avenue Supermarts Limited (‘the company’) is a company limited being exchanged or used to settle a liability for
by shares and is domiciled in India. The company’s registered at least twelve months after the reporting period
office is at Anjaneya, Opp. Hiranandani Foundation School, All other assets are classified as non-current.
Powai, Mumbai, Maharashtra India 400076. The company is
primarily engaged in the business of organized retail and operates A liability is current when:
supermarkets under the brand name of “D-Mart”. Its equity shares
-
It is expected to be settled in normal
are listed in India on BSE Limited and National Stock Exchange
operating cycle
of India Limited.
- It is held primarily for the purpose or trading
The standalone financial statements have been recommended for
approval by the audit committee and is approved and adopted by
- It is due to be settled within twelve months after
the Board in their meeting held on 23rd May, 2020.
the reporting period, or
1. Summary of significant accounting policies
-
There is no unconditional right to defer
(a) Basis of preparation
the settlement of the liability for at least
The standalone financial statements have been prepared
twelve months after the reporting period.
in accordance with the Indian Accounting Standards
The company classifies all other liabilities
(hereinafter referred to as the ‘Ind AS’) as notified by
as non-current.
Ministry of Corporate Affairs pursuant to Section 133 of the
Companies Act, 2013 (‘the Act’) read with the Companies
Deferred tax assets and liabilities are classified as
(Indian Accounting standards) Rules, 2015 and other
non-current assets and liabilities.
relevant provisions of the Act.
The operating cycle is the time between the acquisition
The accounting policies are applied consistently to all the
of assets for processing and their realisation in cash
periods presented in the standalone financial statements.
and cash equivalents. The company has identified
twelve months as its operating cycle.
(i) Historical cost convention
The standalone financial statements have been prepared
(iii) Rounding off amounts
on a historical cost basis, except for the following:
The standalone financial statements are presented in
C and all values are rounded to the nearest crores (C
1)
certain financial assets and liabilities that are
0,000,000), except when otherwise indicated.
measured at fair value;
(b ) Investment in subsidiaries
2)
defined benefit plans - plan assets
Investments in subsidiaries are accounted at cost in
accordance with Ind AS 27.
3) share based payments.
(c) Property, plant and equipment (PPE)
On transition to Ind AS, the company has elected to continue
(ii) Current non-current classification
with the carrying value of all its property, plant & equipment
The company presents assets and liabilities in the
recognised as at 1st April, 2015 measured as per the
balance sheet based on current and non-current
previous GAAP and use that carrying value as deemed cost
classification. As asset is treated as current when it is:
of property, plant & equipment (Referred to as “Historical
Cost” in this section).
- Expected to be realised or intended to be sold or
consumed in normal operating cycle
Freehold land is carried at historical cost. All other item of
property, plant and equipment are stated at historical cost
- Held primarily for the purpose of trading
less depreciation. Historical cost includes expenditure that is
directly attributable to the acquisition of items.
- Expected to be realised within twelve months
after the reporting period, or
Capital work-in-progress, property, plant and equipment is
stated at cost, net of accumulated depreciation. Such cost
112 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
includes the cost of replacing part of the property, plant and Intangible assets with finite lives are amortised over the useful
equipment and borrowing cost for long-term construction economic life and assessed for impairment whenever there
projects if the recognition criteria are met. When significant is an indication that the intangible asset may be impaired.
parts of property, plant and equipment are required to The amortisation period and the amortisation method for
be replaced at intervals, the company depreciates them an intangible asset with a finite useful life are reviewed at
separately based on thier specific useful lifes. Likewise, when least at the end of each reporting period. Changes in the
a major inspection is performed, its cost is recongnised in expected useful life or the expected pattern of consumption
the carrying amount of the property, plant and equipment of future economic benefits embodied in the asset are
as a replacement if the recongnition criteria are satisfied. considered to modify the amortisation period or method,
All other repairs and maintenance costs are recognised in as appropriate, and are treated as changes in accounting
profit or loss as incurred. estimates. The amortisation expense on intangible assets
with finite lives is recognised in the statement of profit and
Capital work-in-progress comprises cost of property, plant loss unless such expenditure forms part of carrying value
and equipment (including related expenses), that are not yet of another asset.
ready for their intended use at the reporting date.
Gains or losses arising from derecognition of an intangible
Subsequent costs are included in the assets carrying asset are measured as the difference between the net
amount or recognized as a separate asset, as appropriate, disposal proceeds and the carrying amount of the asset and
only when it is probable that future economic benefits are recognised in the statement of profit or loss when the
associated with the item will flow to the company and the asset is derecognised.
cost of the item can be measured reliably. The carrying
amount of any component accounted for as a separate Amortisation on intangible assets
asset is derecognized when replaced. All other repairs and Amortisation is provided on straight line method over the useful
maintenance are charged to profit or loss during the reporting life of asset as assessed by the management and the same is
period in which they are incurred. similar to the useful lives as prescribed in Part-C of Schedule
II to the Companies Act, 2013. Amortisation is charged on
Depreciation on property, plant and equipment pro-rata basis for asset purchased / sold during the year.
Depreciation is provided to the extent of depreciable amount
on written down value method over the useful life of asset Estimated useful life of assets are as follows:
as assessed by the management and the same is similar to Computer Software - 5 years
the useful lives as prescribed in Part-C of Schedule II to the Trademarks - 5 - 10 years
Companies Act, 2013. Depreciation is charged on pro-rata
basis for asset purchased / sold during the year. (e) Investment properties
On transition to Ind AS, the company has elected to continue
The assets residual values, useful life and method of with the carrying value of all its investment properties
depreciation of PPE are reviewed and adjusted if appropriate, recognized as at 1st April 2015 measured as per the previous
at the end of each reporting period. GAAP and use that carrying value as the deemed cost of
investment properties.
(d) Intangible assets
On transition to Ind AS, the company has elected to Investments in property that are not intended to be
continue with the carrying value of all its intangible assets occupied substantially for use by, or in the operations of
recognized as at 1st April 2015 measured as per the previous the company, have been classified as investment property.
GAAP and use that carrying value as the deemed cost of Investment properties are measured initially at its cost
intangible assets. including transaction cost and where applicable borrowing
costs. Subsequent to initial recognition, investment
Intangible assets acquired separately are measured on initial properties are stated at cost less accumulated depreciation
recognition at cost. The cost of intangible assets acquired and accumulated impairment loss, if any. Subsequent cost
in a business combination is their fair value at the date of are included in the assets carrying amount or recognized as
acquisition. Following initial recognition, intangible assets a separate asset, as appropriate, only when it is probable
are carried at cost less any accumulated amortisation that future economic benefits associated with the item
and accumulated impairment losses.Intangible assets are will flow to the company and the cost of the item can be
amortised on a written down value basis over the economic measured reliably. All other repairs and maintenance are
useful life estimated by the management. charged to profit or loss during the reporting period in which
they are incurred.
Notes
Though the company measures investment property using

been a change in the assumptions used to determine the
cost based measurement, the fair value of investment
asset’s recoverable amount since the last impairment loss
property is disclosed in the notes. Fair values are
was recognised. The reversal is limited so that the carrying
determined based on an annual evaluation performed
amount of the asset does not exceed its recoverable amount,
by an accredited external independent valuer applying a
nor exceed the carrying amount that would have been
valuation model recommended by the International Valuation
determined, net of depreciation, had no impairment loss
Standards Committee.
been recognised for the asset in prior years. Such reversal is
recognised in the statement of profit or loss unless the asset

The company depreciates its investment properties
is carried at a revalued amount, in which case, the reversal is
over the useful life which is similar to that of Property,
treated as a revaluation increase.
Plant and Equipment.
(g) Leases
Investment properties are derecognised either when they
As per Ind AS 116 “Leases”, the determination of whether
have been disposed of or when they are permanently
an arrangement is (or contains) a lease is based on the
withdrawn from use and no future economic benefit is
substance of the arrangement at the inception of the lease.
expected from their disposal. The difference between the
The arrangement is, or contains, a lease if fulfilment of the
net disposal proceeds and the carrying amount of the asset
arrangement is dependent on the use of a specific asset
is recognised in profit or loss in the period of derecognition.
or assets and the arrangement conveys a right to use the
asset or assets, even if that right is not explicitly specified in
(f) Impairment of non financial assets
an arrangement.
The company assesses, at each reporting date, whether
there is an indication that an asset may be impaired. If any
As a lessee
indication exists, or when annual impairment testing for
Finance leases are capitalised at the commencement of the
an asset is required, the Company estimates the asset’s
lease at the inception date fair value of the leased property or,
recoverable amount. An asset’s recoverable amount is
if lower, at the present value of the minimum lease payments.
the higher of an asset’s or cash-generating unit’s (CGU)
Lease payments are apportioned between finance charges
fair value less costs of disposal and its value in use.
and reduction of the lease liability so as to achieve a
Recoverable amount is determined for an individual asset,
constant rate of interest on the remaining balance of the
unless the asset does not generate cash inflows that are
liability. Finance charges are recognised in finance costs
largely independent of those from other assets or groups
in the statement of profit and loss, unless they are directly
of assets. When the carrying amount of an asset or CGU
attributable to qualifying assets, in which case they are
exceeds its recoverable amount, the asset is considered
capitalized in accordance with the company’s general policy
impaired and is written down to its recoverable amount.
on the borrowing costs. Contingent rentals are recognised
as expenses in the periods in which they are incurred.
In assessing value in use, the estimated future cash flows
are discounted to their present value using a pre-tax
A leased asset is depreciated over the useful life of the
discount rate that reflects current market assessments of
asset. However, if there is no reasonable certainty that the
the time value of money and the risks specific to the asset.
Company will obtain ownership by the end of the lease term,
In determining fair value less costs of disposal, recent market
the asset is depreciated over the shorter of the estimated
transactions are taken into account.
useful life of the asset and the lease term.
Impairment losses are recognised in the statement of profit
Leases in which a significant portion of the risks and rewards
and loss, except for properties previously revalued with the
of ownership are retained by the lessor are classified as
revaluation surplus taken to OCI.
operating leases. Payments made under operating leases
are charged to the Statement of Profit and Loss on a
For assets, an assessment is made at each reporting date
straight-line basis over the period of the lease unless the
to determine whether there is an indication that previously
payments are structured to increase in line with expected
recognised impairment losses no longer exist or have
general inflation to compensate for the lessor’s expected
decreased. If such indication exists, the Company estimates
inflationary cost increases.
the asset’s or CGU’s recoverable amount. A previously
recognised impairment loss is reversed only if there has
114 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
Amortisation on Right to use assets (j) Inventories

Amortisation is provided on straight line method over Inventories are valued at lower of cost and net realizable
the useful life of asset as assessed by the management. value. Cost of inventories, comprise costs of purchase
Amortisation is charged on pro-rata basis for asset and other costs incurred in bringing the inventories to their
purchaased/sold during the year present condition and location. Cost is determined by
the weighted average cost method. Costs of purchased
As a lessor inventory are determined after deducting rebates and
Leases in which the company does not transfer substantially discounts. Net realizable value is the estimated selling
all the risks and rewards of ownership of an asset are price in the ordinary course of business less the estimated
classified as operating leases. Rental income from operating costs of completion and the estimated cost necessary
lease is recognised on a straight-line basis over the term of to make the sale.
the relevant lease. Initial direct costs incurred in negotiating
and arranging an operating lease are added to the carrying (k) Financial instruments
amount of the leased asset and recognised over the lease A Financial instrument is any contract that gives rise to a
term on the same basis as rental income. Contingent rents financial assets of one entity and a financial liability or equity
are recognised as revenue in the period in which they are instrument of another entity.
earned unless the receipts are structured to increase in
line with expected general inflation to compensate for the Financial asset
expected inflationary cost increases. (i) Classification
The company classifies its financial assets in the
Leases are classified as finance leases when substantially following measurement categories:
all of the risks and rewards of ownership transfer from the
company to the lessee. Amounts due from lessees under *
those to be measured subsequently at fair value
finance leases are recorded as receivables at the company’s (either through other comprehensive income, or
net investment in the leases. Finance lease income is through the Statement of Profit and Loss), and
allocated to accounting periods so as to reflect a constant
periodic rate of return on the net investment outstanding in * those measured at amortised cost.
respect of the lease.
The classification depends on the company’s business
Ind AS 17 also contains similar requirements for recognition model for managing the financial assets and the
of lease rental income under operating leases. The company contractual terms of the cash flows.
has determined that it does not meet criteria for recognition
of lease rental expense/ income on a basis other than For assets measured at fair value, gains and losses
straight-line basis. will either be recorded in the Statement of Profit and
Loss or other comprehensive income. For investments
(h) Cash and cash equivalents in debt instruments, this will depend on the business
Cash and cash equivalent in the balance sheet comprises model in which the investment is held. For investments
cash at banks and on hand and short term deposits with an in equity instruments, this will depend on whether
original maturity of three months or less, which are subject the company has made an irrevocable election at
to an insignificant risk of change in value. For the purpose the time of initial recognition to account for the equity
of standalone financial statement of cash flow, cash and investment at fair value through other comprehensive
cash equivalent consists of cash and short term deposits, income. The company reclassifies debt investments
as defined above, net of outstanding bank overdrafts when and only when its business model for managing
as they are considered an integral part of the Company’s those assets changes.
cash management.
(ii) Measurement
(i) Trade receivables At initial recognition, the company measures a financial
Trade receivables are recognised initially at fair value and asset at its fair value plus, in the case of a financial asset
subsequently measured at amortised cost using the effective not at fair value through the Statement of Profit and
interest method less provision for impairment. Loss, transaction costs that are directly attributable to
the acquisition of the financial asset. Transaction costs
of financial assets carried at fair value through the
Profit and Loss are expensed in the Statement of
Profit and Loss.
Notes
Financial assets with embedded derivatives are However, the company recognizes interest income,
considered in their entirety when determining impairment losses & reversals and foreign exchange
whether their cash flows are solely payment of gain or loss in the Statement of Profit and Loss.
principal and interest. On derecognition of the asset, cumulative gain or loss
previously recognised in OCI is reclassified from the
Debt instruments: equity to P&L. Interest earned whilst holding FVTOCI

Subsequent measurement of debt instruments debt instrument is reported as interest income using
depends on the company’s business model for the EIR method.
managing the asset and the cash flow characteristics
of the asset. There are three measurement categories *
Fair value through profit and loss: FVTPL is a
into which the company classifies its debt instruments: residual category for debt instruments. Any debt
instrument, which does not meet the criteria for
* Amortised cost: A ‘debt instrument’ is measured categorization as at amortized cost or as FVTOCI, is
at the amortised cost if both the following classified as at FVTPL.
conditions are met:
In addition, the company may elect to designate a debt
a)
The asset is held within a business model instrument, which otherwise meets amortized cost or
whose objective is to hold assets for collecting FVTOCI criteria, as at FVTPL. However, such election
contractual cash flows, and is allowed only if doing so reduces or eliminates a
measurement or recognition inconsistency (referred
b)
Contractual terms of the asset give rise on to as ‘accounting mismatch’). The company has not
specified dates to cash flows that are solely designated any debt instrument as at FVTPL.
payments of principal and interest (SPPI) on the
principal amount outstanding. Debt instruments included within the FVTPL category
are measured at fair value with all changes recognized
This category is the most relevant to the company. in the statement of profit and loss.
After initial measurement, such financial assets are
subsequently measured at amortised cost using the Equity instruments:
effective interest rate (EIR) method. Amortised cost The company subsequently measures all equity
is calculated by taking into account any discount or investments at fair value. Where the company’s
premium on acquisition and fees or costs that are an management has elected to present fair value gains and
integral part of the EIR. The EIR amortisation is included losses on equity investments in other comprehensive
in finance income in the profit or loss. The losses arising income, there is no subsequent reclassification of fair
from impairment are recognised in the Statement of value gains and losses to the Statement of Profit and
Profit and Loss. This category generally applies to Loss. Dividends from such investments are recognised
trade and other receivables. in the Statement of Profit and Loss as other income
when the company’s right to receive payments
* Fair value through other comprehensive income is established.
(FVTOCI): A ‘debt instrument’ is classified as at the
FVTOCI if both of the following criteria are met: Changes in the fair value of financial assets at fair
value through the Statement of Profit and Loss are
a) The objective of the business model is achieved recognised in other income / other expenses in the
both by collecting contractual cash flows and Statement of Profit and Loss. Impairment losses (and
selling the financial assets, and reversal of impairment losses) on equity investments
measured at FVOCI are not reported separately from
b)
The asset’s contractual cash flows represent other changes in fair value.
SPPI.
(iii) Impairment of financial assets

Debt instruments included within the FVTOCI The company assesses on a forward looking basis
category are measured initially as well as at each the expected credit losses associated with its assets
reporting date at fair value. Fair value movements are carried at amortised cost and FVOCI debt instruments.
recognized in the other comprehensive income (OCI). The impairment methodology applied depends
on whether there has been a significant increase
in credit risk.
116 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
For trade receivables only, the company applies the months after the reporting period. They are recognised
simplified approach permitted by Ind AS 109 Financial initially at their fair value and subsequently measured at
Instruments, which requires expected lifetime losses to amortised cost using the effective interest method.
be recognised from initial recognition of the receivables.
(iii) Borrowings and other financial liabilities
(iv) Derecognition of financial assets Borrowings and other financial liabilities are initially
A financial asset is derecognised only when recognised at fair value (net of transaction costs
incurred). Difference between the fair value and the
*
the company has transferred the rights to receive transaction proceeds on initiation is recognised as
cash flows from the financial asset or an asset / liability based on the underlying reason
for the difference. Subsequently all financial liabilities
*
retains the contractual rights to receive the are measured at amortised cost using the effective
cash flows of the financial asset, but assumes a interest rate method.
contractual obligation to pay the cash flows to one or
more recipients. Borrowings are removed from the balance sheet when
the obligation specified in the contract is discharged,
Where the company has transferred an asset, cancelled or expired. The difference between the
the company evaluates whether it has transferred carrying amount of a financial liability that has been
substantially all risks and rewards of the financial asset. extinguished or transferred to another party and the
In such cases, the financial asset is derecognised. consideration paid, including any non-cash transferred
Where the company has not transferred substantially or liabilities assumed, is recognised in the Statement of
all risks and rewards of ownership of the financial asset, Profit and Loss.
the financial asset is not derecognised.
Borrowings are classified as current liabilities unless the
Where the company has neither transferred a financial company has an unconditional right to defer settlement
asset nor retains substantially all risks and rewards of of the liability for at least 12 months after the reporting
ownership of the financial asset, the financial asset is period. Where there is a breach of a material provision
derecognised if the company has not retained control of a long-term loan arrangement on or before the end
of the financial asset. Where the company retains of the reporting period with the effect that the liability
control of the financial asset, the asset is continued to becomes payable on demand on the reporting date,
be recognised to the extent of continuing involvement the entity does not classify the liability as current, if the
in the financial asset. lender agreed, after the reporting period and before the
approval of the financial statements for issue, not to
Financial liabilities demand payment as a consequence of the breach.
(i) Offsetting financial instruments
Financial assets and liabilities are offset and the net (iv) Borrowing costs
amount is reported in the balance sheet where there General and specific borrowing costs that are directly
is a legally enforceable right to offset the recognised attributable to the acquisition or construction of
amounts and there is an intention to settle on a qualifying assets are capitalized during the period
net basis or realise the asset and settle the liability of time that is required to complete and prepare the
simultaneously. The legally enforceable right must asset for its intended use. Other borrowing costs are
not be contingent on future events and must be expensed in the period in which they are incurred.
enforceable in the normal course of business and in
the event of default insolvency or bankruptcy of the Investment income earned on the temporary investment
company or the counterparty. of specific borrowings pending their expenditure on
qualifying assets is deducted from the borrowing costs
(ii) Trade and other payables eligible for capitalization.
These amounts represent liabilities for goods and
services provided to the company prior to the end Borrowing cost consist of interest and other cost that
of financial year which are unpaid. The amounts are an entity incurs in connection with borrowing of funds.
unsecured. Trade and other payables are presented as
current liabilities unless payment is not due within 12
Notes
(v) Provisions and contingent liabilities a right of return within 7 days. Historical experience
Provisions are recognised when the company has a is used to estimate and provide for such returns at
present legal or constructive obligation as a result of the time of sales.
past events, it is probable that an outflow of resources
embodying economic benefit will be required to settle The company has generally concluded that it is the
the obligation and the amount can be reliably estimated. principal in its revenue arrangements, except for the
agency services below, because it typically controls
Provisions are measured at the present value of the goods or services before transferring them
management’s best estimate of the expenditure to the customer.
required to settle the present obligation at the end of the
reporting period. The discount rate used to determine Principal versus agent consideration
the present value is a pre tax rate that reflects current The inventory of third party does not pass to the
market assessments of the time value of money and company till the product is sold. At the time of sale of
the risks specific to the liability. The increase in the such inventory, the sales value along with the cost of
provision due to the passage of time is recognised inventory is disclosed seprately as sale of goods on
as finance cost. approval basis and cost of goods sold on approval
basis and forms part of Revenue in the Statement
Contingent Liabilities are disclosed in respect of of Profit and Loss. Only the net revenue earned i.e.
possible obligations that arise from past events but margin is recorded as a part of revenue.
their existence will be confirmed by the occurrence or
non occurrence of one or more uncertain future events Rental income
not wholly within the control of the company or where Rental income arising from operating lease on
any present obligation cannot be measured in terms of investment properties is accounted for on a straight
future outflow of resources or where a reliable estimate line basis over lease terms unless the receipts are
of the obligation cannot be made. structured to increase in line with expected general
inflation to compensate for the expected inflationary
A contingent asset is disclosed, where an inflow of cost increases and is included in the Statement of profit
economic benefits is probable. An entity shall not or loss due to its operating nature.
recognize a contingent asset unless the recovery is
virtually certain. Interest income
Interest income is recongnised based on time
(l) Revenue from Operations proportion basis considering the amount outstanding
Revenue from operations is recognised to the extent and rate applicable (EIR). Interest income in included in
that it is probable that economic benefit will flow to the the Other Income in the statement of Profit and Loss.
company and the revenue can be reliably measured
regardless of when the payment is being made as per (m) Retirement and other employee benefits
IND AS 115. Revenue is measured at the fair value (i) Short-term obligations
of the consideration received or receivable, taking Liabilities for wages and salaries, including
into account contractually defined terms of payment non-monetary benefits that are expected to be settled
and excluding taxes or duties collected on behalf of wholly within 12 months after the end of the period
the government. in which the employees render the related service
are recognised in respect of employees’ services up
Sale of goods to the end of the reporting period and are measured
Revenue from sale of goods is recognised on delivery at the amounts expected to be paid when the
of merchandise to the customer, when the property in liabilities are settled.
the goods is transferred for a price, and significant risks
and rewards have been transferred and no effective Retirement benefit in the form of provident fund is
ownership control is retained. Revenue from the sale of a defined contribution plan. The Company has no
goods is measured at the fair value of the consideration obligation, other than the contribution payable to the
received or receivable, net of returns and allowances, provident fund. The Company recognises contribution
trade discounts and volume rebates. It is the company’s payable to the provident fund scheme as an expense,
policy to sell its products to the end customers with when an employee renders the related services. If the
118 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
Contribution payable to the scheme for service received actuarial assumptions are recognised in the period
before the balance sheet date exceeds the contribution in which they occur, directly in other comprehensive
already paid, the deficit payable to the scheme is income. They are included in retained earnings in the
recognised as a liability after deducting the contribution statement of changes in equity and in the balance
already paid. If the contribution already paid exceeds sheet. Changes in the present value of the defined
the contribution due for services received before the benefit obligation resulting from plan amendments
balance sheet date,then excess is recognised as an or curtailments are recognised immediately in the
asset to the extent that the prepayment will lead to, for Statement of profit or loss as past service cost.
example, a reduction in future payment or a cash refund.
Share based payment
ii) Other long-term employee benefit obligations Equity settled share based payments to employees
The liabilities for earned leave and sick leave that are and other providing similar services are measured at
not expected to be settled wholly within 12 months fair value of the equity instruments at grant date.
are measured at the present value of expected future
payments to be made in respect of services provided The fair value determined at the grant date of the
by employees up to the end of the reporting period equity-settled share based payment is expensed on a
using the projected unit credit method. The benefits are straight line basis over the vesting period, based on
discounted using the Government Securities (G-Sec) the Company’s estimate of equity instruments that will
at the end of the reporting period that have terms eventually vest, with a corresponding increase in equity.
approximating to the terms of the related obligation. At the end of each reporting period, the Company
Remeasurements as a result of experience adjustments revises its estimates of the number of equity instruments
and changes in actuarial assumptions are recognised expected to vest. The impact of the revision of the
in the Statement of Profit and Loss. original estimates, if any is, recongised in Statement
of Profit and Loss such that the cumulative expenses
The obligations are presented as current liabilities reflects the revised estimate,with a corresponding
in the balance sheet if the entity does not have an adjustment to the shared option outstanding account.
unconditional right to defer settlement for at least
twelve months after the reporting period, regardless of No expense is recognised for options that do not
when the actual settlement is expected to occur. ultimately vest because non market performance
and/or service conditions have not been met.
iii) Post-employment obligations
Defined benefit plans The dilutive effect of outstanding options is reflected as
additional share dilution in the computation of diluted
Gratuity earnings per share.
The liability or asset recognised in the balance sheet
in respect of defined benefit gratuity plans is the Expense relating to options granted to employees of the
present value of the defined benefit obligation at the subsidiaries under the company’s share based payment
end of the reporting period less the fair value of plan plan, is recovered from the subsidiary. Such recovery is
assets. The defined benefit obligation is calculated reduced from employee benefit expense.
annually by independent actuary using the projected
unit credit method. The present value of the defined (n) Foreign currency transactions
benefit obligation denominated in INR is determined (a) Functional and presentation currency:
by discounting the estimated future cash outflows by Items included in the financial statements of the
reference to market yields at the end of the reporting company are measured using the currency of the primary
period on government bonds that have terms economic environment in which the entity operates.
approximating to the terms of the related obligation. The standalone financial statements are presented in
INR, which is functional and presentational currency.
The net interest cost is calculated by applying the
discount rate to the net balance of the defined benefit (b) Transaction and balances:
obligation and the fair value of plan assets. This cost is Transaction in currencies other than than entity’s
included in employee benefit expense in the Statement functional currency (foreign currencies) are recognised
of Profit and Loss. Remeasurement gains and losses at the rates of exchange prevailing at the dates of
arising from experience adjustments and changes in the transaction.
Notes

Exchange differences arising on settlement or (p) Earnings Per Share
translation of monetary items are recognised in the Basic earnings per share
Statement of Profit and Loss. Basic earnings per share is calculated by dividing:
Non monetary items carried at fair value that are - the profit attributable to equity shareholder of the company
denominated in foreign currencies are retranslated at
the rates prevailing at the date when the fair value was -
by the weighted average number of equity shares
determined. Non-monetary items that are measured in outstanding during the financial year
terms of historical cost in a foreign currency are not
retransalted. The gain or loss arising on translation of Diluted earnings per share
non-monetary items measured at fair value is treated Diluted earnings per share adjusts the figures used in the
in line with the recognition of the gain or loss on the determination of basic earnings per share to take into account:
change in fair value of the item.
-the after income tax effect of interest and other financing
(o) Income tax costs associated with dilutive potential equity shares, and
Current income tax assets and liabilities are measured at
the amount expected to be recovered from or paid to the -the weighted average number of additional equity shares
taxation authorities. The tax rates and tax laws used to that would have been outstanding assuming the conversion
compute the amount are those that enacted or substantively of all dilutive potential equity shares.
enacted, at the reporting date in the countries where the
Company operates and generates taxable income. (q) Fair value measurement
The company measures financial instrument at fair value at
Deferred income tax is provided using the liability method each Balance sheet date.
on temporary differences arising between the tax bases of
assets and liabilities and their carrying amount for financial Fair value is the price that would received to sell an assets or
reporting purpose at the reporting date. Deferred tax assets paid to transfer a liability in an orderly transaction between
and liabilities are determined using tax rates (and laws) that market participant at the measurment date.
have been enacted or substantially enacted by the end of
the reporting period and are expected to apply when the The fair values of the financial assets and liabilities are
asset is realised or the liability is settled. included at the amount at which the instrument could be
exchanged in a current transaction between willing parties,
Deferred tax assets are recognised for all deductible other than in a forced or liquidation sale.
temporary differences and unused tax losses, only if, it is
probable that future taxable amounts will be available to The following methods and assumptions were used to
utilise those temporary differences and losses. estimate the fair values:
Deferred tax assets and liabilities are offset when there is 1.

Fair value of cash and deposits, trade and other
a legally enforceable right to offset current tax assets and receivables, trade payables, other current liabilities,
liabilities and when the deferred tax balances relate to the short term loans from banks approximate their carrying
same taxation authority. Current tax assets and tax liabilities amounts largely due to short term maturities of
are off set where the company has a legally enforceable right these instruments.
to offset and intends either to settle on a net basis, or to
realize the asset and settle the liability simultaneously. 2. The fair values of non-current borrowings are based
on discounted cash flows using a current borrowing
Current and deferred tax is recognised in the Statement rate. They are classified as level 3 fair values in the fair
of Profit and Loss, except to the extent that it relates to value hierarchy due to the use of unobservable inputs,
items recognised in other comprehensive income or directly including own credit risk.
in equity. In this case, the tax is also recognised in other
comprehensive income or directly in equity, respectively 3. For financial assets and liabilities that are measured
at fair value, the carrying amounts are equal to
the fair values.
120 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
The company uses the following hierarchy for determining Defined benefit plans (gratuity benefits)
and disclosing the fair value of financial instruments by The cost of the defined benefit gratuity plan and other
valuation technique: post-employment medical benefits and the present value
of the gratuity obligation are determined using actuarial
Level 1: quoted (unadjusted) prices in active markets for valuations. An actuarial valuation involves making various
identical assets or liabilities. assumptions that may differ from actual developments in
the future. These include the determination of the discount
Level 2: other techniques for which all inputs which have a rate, future salary increases and mortality rates. Due to the
significant effect on the recorded fair value are observable, complexities involved in the valuation and its long-term
either directly or indirectly. nature, a defined benefit obligation is highly sensitive to
changes in these assumptions. All assumptions are reviewed
Level 3: techniques which use inputs that have a significant at each reporting date.
effect on the recorded fair value that are not based on
observable market data. The parameter most subject to change is the discount rate.
In determinning the appropriate discount rate for plans
(r)
Significant accounting judgement, estimates and operated in India, the management considers the interest
assumption rates of government bonds in currencies consistent with the
The preparation of standalone financial statements requires currencies of the post-employment benefit obligation.
the use of accounting estimates which by definition will seldom
equal the actual results. Management also need to exercise The mortality rate is based on publicly available mortality
judgement in applying the company’s accounting policies. tables for the specific countries. Those mortality tables
tend to change only at interval in response to demographic
Share based payment changes. Future salary increases and gratuity increases are
The company initially measures the cost of equity based on expected future inflation rates.
settled transaction with employees using Black Scholes
model to determine the fair value of the liability incurred.
Further details about gratuity obligations are given
Estimating fair value for share-based payment transacton in note no. 45.
requires determination of the most appropirate valuation
model, which is dependent on the terms and conditions (s) Segment reporting
of the grant. The estimates also requires determination Operating segments are reported in a manner consistent
of the most appropirate inputs to the valuation model with the internal reporting provided to the chief operating
including expected life of the share option, volatality and decision maker being Managing Director of the company.
dividend yield and making assumptions about them.For The Managing Director assesses the financial performance
equity settled share based payment transaction, the liability and position of the company as a whole, and makes
needs to be re-measured at the end of each reporting strategic decisions.
period upto the date of settlement, with any changes in
fair value recognised in the Statement of Profit and Loss. (t) Cash flow
This requires a re-assessment of the estimates used at The investing and financing activities in cash flow statement
end of each reporting period. The assumption and models do not have a direct impact on current cash flows although
used for estimating the fair value for share based-payment they do affect the capital and asset structure of an entity.
transaction are disclosed in note no 44. The company has disclosed these transactions, to the
extent material, in notes to cash flow statement.
Provision for inventory
The company has calculated the provision for inventory basis
the percentage as per historical experience for inventory
lying from the last inventory count date to the reporting date.
2 Property, plant and equipment
(C in Crores)
Freehold Leasehold Buildings Leasehold Plant and Computers Furniture Vehicles Office Electrical Total
land land (Refer note: improvement equipment and equipment installations
(Refer note: 1,4,6) fixtures
Cost
2,7) Notes
Balance as at 1st 1,045.79 385.29 1,702.52 31.68 112.18 42.29 138.13 2.22 20.40 123.73 3,604.23
April, 2018
Additions 576.56 - 401.26 14.49 64.19 21.71 64.81 1.01 6.68 26.91 1,177.62
Reclassification - - (3.40) - - - - - - - (3.40)
Disposals 4.51 - 0.17 - 2.25 0.77 2.01 0.22 0.33 0.51 10.77
Balance as at 31st 1,617.84 385.29 2,100.21 46.17 174.12 63.23 200.93 3.01 26.75 150.13 4,767.68
March, 2019
Additions 641.79 - 595.68 10.78 79.65 19.84 63.43 0.82 7.88 57.04 1,476.91
Reclassification - (385.29) 0.70 - - - - - - - (384.59)
Avenue Supermarts Limited | ANNUAL REPORT 2019-20
Disposals 1.32 - 0.09 - 1.50 1.79 2.30 0.26 0.51 0.20 7.97
Balance as at 31st 2,258.31 - 2,696.50 56.95 252.27 81.28 262.06 3.57 34.12 206.97 5,852.03
March, 2020
Depreciation
Balance as at 1st - 12.28 169.62 6.43 39.12 25.85 55.26 1.00 11.36 49.66 370.58
April, 2018
Charge for the year - 4.41 92.96 3.57 22.59 16.26 28.29 0.54 5.15 21.77 195.54
Disposals - - 0.03 - 1.34 0.58 1.17 0.15 0.24 0.31 3.82
Balance as at 31st - 16.69 262.07 10.00 60.37 41.53 82.38 1.39 16.27 71.12 561.82
March, 2019
Charge for the year - - 111.87 20.46 31.83 17.22 36.60 0.65 6.02 26.31 250.96
Disposals - - 0.04 - 1.04 1.52 1.51 0.22 0.47 0.11 4.91
Balance as at 31st - - 374.05 30.46 91.16 57.23 117.47 1.82 21.82 97.32 791.33
March, 2020
Net book value
to the Standalone Financial Statements as at 31st March, 2020
Balance as at 31st 1,617.84 368.60 1,838.14 36.17 113.75 21.70 118.55 1.62 10.48 79.01 4,205.86
March, 2019
Balance as at 31st 2,258.31 - 2,322.45 26.49 161.11 24.05 144.59 1.75 12.30 109.65 5,060.70
March, 2020
121
Note:
1 Building includes following amount for construction under built operate and transfer (BOT) arrangement.
122
(C in Crores)
As at As at
Particulars
Notes
Gross block 40.98 40.98
Net block 32.71 34.70
2 Freehold land includes C 345.35 Crores (31st March, 2019: C 133.75 Crores) being property purchased, for which mutation is pending.
3 Details of Capital work in progress -

(C in Crores)
As at As at
Particulars
Opening Balance 376.55 147.05
Addition during the year 726.69 643.30
Transfer/Adjustment during the year (741.30) (413.80)
Closing Balance 361.94 376.55
Notes
4 Building and CWIP includes interest capitalised on borrowings for the FY 2019-20 of C 16.97 Crores ( FY 2018-19: C 3.10 Crores)
5 Assets pledged as security for borrowings is disclosed under note 34.
6 Building includes Net book value of plant and equipment fitting of C 34.79 Crores (31st March, 2019: C 43.98 Crores).
NOTICE OF THE AGM
STATUTORY REPORTS
CORPORATE OVERVIEW
7 Freehold land C 10.65 Crores being the value of a land purchased by the company at Nagpur from Pramod Walmandhare and others The
company has filed the appeal before Deputy Director of Land records (DDLR) at Nagpur thereby challenging the Order dated 7th July, 2017
(by Virtue of which Ownership of the Pramod Walmandre and Others is affected) passed by Superintend of Land Records, Nagpur against
Nagpur Improvement Trust and others. The said matter is pending before DDLR, Nagpur. Title deed in respect of the said property is held in
the name of the company.
Notes
3 Right to use assets

(C in Crores)
Land Buildings Total
(Refer note: 1)
Cost
Balance as at 1st April,2019 - 217.96 217.96
Reclassification (Refer note: 2) 385.29 - 385.29
Additions 70.56 74.67 145.23
Balance as at 31st March, 2020 455.85 292.63 748.48
Amortisation
Balance as at 1st April,2019 - - -
Charge for the year 5.55 79.25 84.80
Net book value
Balance as at 1st April, 2019 - 217.96 217.96
Note:
1 Right to use land includes following amounts paid as premium under built operate and transfer (BOT) arrangement
(C in Crores)
As at As at
Particulars
Net block 13.07 13.23
2 Effective 1st April, 2019, the company has adopted Ind AS 116 “Leases’ and applied the standard to all lease contracts existing
on the date of initial application i.e. 1st April, 2019. The company has used the modified retrospective approach for transitioning
to Ind AS 116 with right of use asset recognized at an amount equal to the lease liability adjusted for any prepayments/accruals
recognized in the balance sheet immediately before the date of initial application. Accordingly, comparatives for the year ended
31st March, 2019 have not been retrospectively adjusted.
At the commencement date of a lease, the company has recognised a liability to make lease payments (i.e., the lease
liability) and an asset representing the right to use the underlying asset during the lease term (i.e., the right-of-use asset).
The company has separately recognised the interest expense on the lease liability and the depreciation expense on the
right-of-use asset.
The company shall remeasure the lease liability upon the occurrence of certain events (e.g., a change in the lease term, a change in future
lease payments resulting from a change in an index or rate used to determine those payments). The company will generally recognise
the amount of the re-measurement of the lease liability as an adjustment to the right-of-use asset.
The operating leases recorded on the balance sheet following implementation of Ind AS 116 are principally in respect of leasehold
land and other identified assets representing right to use as per contracts excluding low value assets and short term leases of 12
months or less.
Leases previously accounted for as operating leases

The company recognised right of use assets and lease liabilities for those leases previously classified as operating leases, except
for short-term leases and leases of low-value assets. The right of use assets for most leases were recognised based on the
carrying amount as if the standard had always been applied, apart from the use of incremental borrowing rate at the date of initial
application. In some leases, the right of use assets were recognised based on the amount equal to the lease liabilities, adjusted
for any related prepaid and accrued lease payments previously recognised. Lease liabilities were recognised based on the present
value of the remaining lease payments, discounted using the incremental borrowing rate at the date of initial application.
124 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
The company has also applied the available practical expedients wherein it:
• Used a single discount rate to a portfolio of leases with reasonably similar characteristics
• Relied on its assessment of whether leases are onerous immediately before the date of initial application
• Applied the short-term leases exemptions to leases with lease term that ends within 12 months at the date of initial application
• Excluded the initial direct costs from the measurement of the right-of-use asset at the date of initial application
• Used hindsight in determining the lease term where the contract contains options to extend or terminate the lease
Lease liabilities
(C in Crores)
Particulars Amount
As at 1st April, 2019 217.96
Recognised during the year 103.35
Repaid during the year (78.89)
As at 31st March, 2020 242.42
Non current 178.13
Current 64.29
The company has adopted modified retrospective approach as per para C8 (c)(ii) of IND AS 116 - Leases to its leases, effective
from annual reporting period beginning 1st April, 2019. This has resulted in recognizing a right of use assets (an amount equal
to the lease liability, adjusted by the prepaid lease rent) of C 217.96 Crores and an amount of C 368.60 Crores on account of
reclassification of Leasehold Land as at 1st April, 2019. In the statement of profit and loss for the current period, operating lease
expenses has changed from rent to depreciation cost for the right of use assets and finance cost for interest accrued on lease
liability. To this extent performance for year ended 31st March, 2020 is not comparable with previous year audited standalone
The following are the amounts recognised in statement of profit and loss:
(C in Crores)
Particulars Amount
Amortisation expense of right-of-use assets 84.80
Interest expense on lease liabilities 22.80
Expense relating to short-term leases (included in other expenses) 1.03
Total 108.63
The company had total cash outflows for leases of C 78.89 crores in 31st March, 2020 (C NIL in 31st March, 2019). The company
also had non-cash additions to right-of-use assets and lease liabilities of C 90.98 crores in 31st March, 2020.
Notes
4 Investment properties
(C in Crores)
As at As at
Cost
Opening balance 21.64 18.24
Additions - -
Reclassification (0.70) 3.40
Closing balance 20.94 21.64
Depreciation
Opening balance (3.54) (1.91)
Charge for the year (1.02) (1.15)
Reclassification 0.15 (0.48)
Closing balance (4.41) (3.54)
Net book value 16.53 18.10
Information regarding income and expenditure of investment properties:
(i) Amounts recognised in profit or loss for investment properties
Rental income including contingent rent of C NIL (Previous year C 0.03 Crores) 4.21 2.65
Direct operating expenses from property that generated rental income 0.66 0.60
Direct operating expenses from property that did not generate rental income - 0.06
Income from investment properties before depreciation 3.55 1.99
Depreciation 1.02 1.15
Income from investment properties 2.53 0.84
(ii) Leasing arrangements
Certain investment properties are leased to tenants under long-term operating leases
with rentals payable monthly. Minimum lease payments receivable under non-cancellable
operating leases of investment properties are as follows:
Within one year - 1.40
Later than one year but not later than 5 years - -
Later than 5 years - -
- 1.40
(iii) Fair value
Investment properties 141.45 138.29
The company has no restrictions on the realisability of its investment properties and no contractual obligations to purchase, construct or
develop investment properties or for repairs, maintenance and enhancements.
Estimation of fair value

The fair valuation is based on current prices in the active market for similar properties. The main inputs used are quantum, area, location,
demand, restrictive entry to the complex, age of building and trend of fair market rent.
This valuation is based on valuations performed by an accredited independent valuer. Fair valuation is based on replacement cost
method. The fair value measurement is categorized in level 2 fair value hierarchy.
126 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
5 Intangible assets
(C in Crores)
Computer Trademarks Total
software
Cost
Balance as at 1st April, 2018 12.05 0.02 12.07
Additions 6.79 - 6.79
Disposals 0.37 - 0.37
Amortisation
Charge for the year 2.63 - 2.63
Net book value
6 Investments in subsidiaries
(C in Crores)
As at As at
A. Investment in subsidiaries
Unquoted equity shares
i. Equity instruments at cost
3,799,999 (31st March, 2019: 3,799,999) shares of Align Retail Trades Private Limited 34.34 34.34
(equity shares of C 10 each)
10,000 (31st March, 2019: 10,000) shares of Avenue Food Plaza Private Limited (equity 0.01 0.01
shares of C 10 each)
90,000 (31st March, 2019: 90,000) shares of Nahar Seth & Jogani Developers Private 0.09 0.09
Limited (equity shares of C 10 each)
100,000 (31st March, 2019: 100,000) shares of Reflect Wholesale and Retail Private 0.10 0.10
Limited (equity shares of C 10 each)
216,487,285 (31st March, 2019: 159,087,291) shares of Avenue E-commerce Limited 252.76 177.46
(equity shares of C 10 each)
Total 287.30 212.00
Aggregate amount of unquoted investments 287.30 212.00
Aggregate amount of impairment in the value of investment - -
Non-current 287.30 212.00
Notes
7 Other non-current financial assets

(C in Crores)
As at As at
Rent deposits given
- Related parties (Refer note: 33) 8.25 7.53
- Others 20.75 6.08
Other deposits 27.71 21.28
Margin money deposits with banks (held as lien by bank against bank guarantees) 0.87 0.97
Long term deposits with banks with maturity period more than 12 months (Provided as security 0.41 0.17
for various regulatory registrations)
Long term deposits with banks with maturity period more than 12 months 3,068.00 -
Total 3,125.99 36.03
The above non-current financial assets are carried at amortised cost.
8 Other non-current assets

(C in Crores)
As at As at
Capital advances 272.69 89.24
Prepaid Expenses 0.85 20.44
Total 273.54 109.68
9 Inventories
(C in Crores)
As at As at
Stock-in-trade (at lower of cost and net relisable value) 1,909.43 1,576.22
Total 1,909.43 1,576.22
10 Trade receivables
(C in Crores)
As at As at
Considered good
Unsecured
Related parties (Refer Note: 33) 29.00 11.19
Other than related parties 19.53 64.33
Total 48.53 75.52
No trade or other receivable are due from directors or other officers of the company either severally or jointly with any other person.
Trade receivables are non-interest bearing and are generally received within the credit period.
128 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
11 Cash and cash equivalents

(C in Crores)
As at As at
Balances with Banks - In current accounts 48.73 59.32
Cash on hand 42.73 60.91
Total 91.46 120.23
For the purpose of the statement of cash flows, cash and cash equivalents comprise the following:
(C in Crores)
As at As at
Total cash and cash equivalents 91.46 120.23
Less: Overdrawn bank balances (Refer Note: 22) (0.01) (0.12)
Cash and cash Equivalents for cash flow purpose 91.45 120.11
12 Bank balances other than cash and cash equivalents

(C in Crores)
As at As at
Margin money deposits with bank (held as lien by bank against guarantees) 0.78 0.74
IPO proceeds pending utilisation (Refer Note: 15)
- Current accounts (escrow) - 7.58
- Fixed deposits - 85.00
Total 0.78 93.32
13 Other current financial assets

(C in Crores)
As at As at
Rent deposits given
- Others 13.09 2.98
Advances recoverable in cash or in kind or in value to be received
- Related parties (Refer Note: 33)* 0.99 0.73
- others 70.51 51.24
Interest receivable
- other deposits 23.45 2.82
Advances to employees 1.76 1.41
Total 109.80 59.18
The above current financial assets are carried at amortised cost.
* Maximum amount outstanding during the year 1.00 0.73
Notes
14 Other current assets

(C in Crores)
As at As at
Prepaid expenses 5.51 6.61
Advances to suppliers 85.66 82.98
Balance with government authorities 35.47 8.18
Fund in gratuity trust (Refer Note:45) 0.42 -
Others 5.21 6.81
Total 132.27 104.58
15 Equity share capital

(C in Crores)
As at As at
A. Authorised
750,000,000 [31st March, 2019: 750,000,000] equity Shares of C 10 each 750.00 750.00
Issued, subscribed and fully paid up
647,774,691 [31st March, 2019: 624,084,486] equity Shares of C 10 each 647.77 624.08
647.77 624.08
Notes:
a) Reconciliation of number of shares
Balance at the beginning of the year
No. of shares 624,084,486 624,084,486
Amount in C Crores 624.08 624.08
Issued, subscribed and paid up during the year
No. of shares 23,690,205 -
Amount in C Crores 23.69 -
Balance at the end of the year
No. of shares 647,774,691 624,084,486
Amount in C Crores 647.77 624.08
In March 2017, the company had completed the Initial Public offering (IPO) of fresh issue of 62,541,806 equity shares of C 10
each at an issue price of C 299 per share. The equity shares of the company were listed on BSE Limited (BSE) and National Stock
Exchange of India Limited (NSE) w.e.f. 21th March, 2017.
Utilisation of IPO proceeds are as follows:-

(C in Crores)
Planned as per Utilisation upto 31st
Particulars
Prospectus March, 2020
Towards repayment / payment of NCDs / term loans 1,080.00 1,080.00
Construction and purchase of fit outs for new stores 366.60 366.60
Towards general corporate purpose (including transaction cost of IPO) 423.40 423.40
Total 1,870.00 1,870.00
130 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
Expenses incurred by the company aggregating to C 29.38 Crores, in connection with IPO have been adjusted towards securities
premium in March 2017.
The company through Qualified Institutional Placement (QIP) allotted 20,000,000 equity shares to the eligible Qualified Institutional
Buyers (QIB) at a issue price of ` 2,049 per equity share (including a premium of C 2,039 per equity share) aggregating to C 4,098
crore on 11th February, 2020. The issue was made in accordance with the SEBl (Issue of Capital and Disclosure Requirements)
Regulations, 2018 as amended (the “SEBI ICDR Regulations”), and Sections 42 and 62 of the Companies Act, 2013, as amended,
including the rules made thereunder (the “Issue”). Funds received pursuant to QIP are being utilised towards the object stated
in the placement document and the balance unutilised as on 31st March, 2020 remain invested in deposits with scheduled
commercial banks.
Expenses incurred by the company aggregating to C 21.49 Crores, in connection with QIP have been adjusted towards securities
premium in March 2020.
b) Terms and rights attached to equity shares

The company has only one class of equity shares having par value of C 10 per share. Each holder of equity shares is entitled
to one vote per share. The company if declares dividend would pay dividend in Indian rupees. The dividend if proposed by
the Board of Directors would be subject to the approval of the shareholders in the ensuing Annual General Meeting.
In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company, after
distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.
c) Shares reserved for issue under option

Information relating to Avenue Supermarts limited Employee Stock Option Scheme, 2016, including details of option granted,
exercised and lapsed during the financial year and options outstanding at the end of the reporting period, is set out in note 44.
d) Details of equity shares held by shareholders holding more than 5% of the aggregate shares in the company
As at As at
Mr. Radhakishan S. Damani 222,159,156 239,689,156
- % holding of shares 34.30% 38.41%
Mr. Gopikishan S. Damani 49,480,000 50,980,000
Bright Star Investments Private Limited 88,750,000 88,750,000
Notes
16 Other equity
(C in Crores)
As at As at
(a) Securities premium
Opening balance 1,809.77 1,809.77
Exercise of share options 21.64 -
Issue of share capital 4,184.65 -
Transaction cost of QIP (21.49) -
Closing balance 5,994.57 1,809.77
(b) Debenture Redemption Reserve
Appropriations/reversal during the year (51.15) (27.30)
(c) Share Options Outstanding Account
Share option expense 8.09 16.69
Transferred from retained earning on lapse of vested options 0.01 -
Exercise of share options (21.64) -
(d) Retained earnings
Net Profit for the year 1,349.89 936.35
Items of other comprehensive income recognised directly in retained earnings
- Remeasurements of post-employment benefit obligation, net of tax (3.79) (1.27)
Transfer to/from debenture redemption reserve 51.15 27.30
Transferred from share options outstanding account on lapse of vested options (0.01) -
Total other equity 10,487.75 4,970.40
17 Non-current borrowings
(C in Crores)
As at As at
Secured
Term loans from banks - 150.00
Less: Current maturities disclosed in other current financial liabilities (Refer note 22) - (58.33)
- 91.67
Non convertible debentures 34.00 246.00
Less: Current maturities disclosed in other current financial liabilities (Refer note 22) (34.00) (212.00)
- 34.00
Total - 125.67
Nature of security and terms of repayment for borrowings:

Sr
Nature of security Terms of payment
no
1 The term loans from bank of C Nil (31 March, 2019: C 150.00 Crores) was secured by way of mortgage of various stores properties to
st
the banks.
2 Non convertible debentures (NCD) are secured by way of mortgage of specific NCD for C 34 Crores is due for redemption on 20th
stores properties to the Debenture Trustee. August 2020. Rate of interest is 9.40% p.a.
132 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
18 Other non-current financial liabilities

(C in Crores)
As at As at
Other non-current financial liabilities at amortised cost
Rent deposits taken 0.47 0.78
Total 0.47 0.78
The above non-current financial liabilities are carried at amortised cost.
19 Deferred tax liabilities (net)

(C in Crores)
As at As at
Deferred tax liability on account of:
- Depreciation 55.58 67.54
Deferred tax assets on account of:
- Employee benefits 3.94 3.47
- Right to use assets 3.44 -
Deffered tax liabilities (net) 48.20 64.07
Movements in deferred tax liabilities and deferred tax assets

(C in Crores)
Property plant Employee Right to use Total
and equipment benefits assets
At 1st April, 2018 56.84 (10.54) - 46.30
Charged / (credited) to
Profit and loss 10.70 7.07 - 17.77
Other Comprehensive income - - - -
At 31st March, 2019 67.54 (3.47) - 64.07
Charged / (credited) to
Profit and loss (11.96) (0.47) (3.44) (15.87)
Other comprehensive income - - - -
At 31st March, 2020 55.58 (3.94) (3.44) 48.20
20 Current borrowings
(C in Crores)
As at As at
A. Secured
(a) Working capital loans from banks (Payable on demand) 3.73 2.70
(Working capital loan from banks are secured by hypothecation of inventories, trade
receivables, both present and future)
(b) Term loans from bank - 50.00
(Short term loan from bank to be secured by way of mortgage of various store
properties to the bank within four months from the first date of disbursement.)
B. Unsecured
By issue of commercial papers - 246.45
Total 3.73 299.15
At 31st March 2020, the company had available C 876.53 Crores (31st March, 2019: C 654.28 Crores) of undrawn committed
borrowing facilities.
Notes
21 Trade payables
(C in Crores)
As at As at
Trade payables
Amounts payable to related parties (Refer note: 33) 29.01 14.50
Others 416.96 443.78
Total 445.97 458.28
(a) Dues to micro and small enterprises (Refer note 35)

The company has certain dues to suppliers registered under Micro, Small and Medium Enterprises Development Act, 2006
(‘MSMED Act’). The disclosure pursuant to the said MSMED Act are as follows.
Principal amount due to suppliers registered under the MSMED Act and remaining 17.24 5.44
unpaid as at year end
22 Other current financial liabilities

(C in Crores)
As at As at
Other financial liabilities measured at amortised cost:
Current maturities of term loans (Refer note: 17) - 58.33
Current maturities of debentures (Refer note: 17) 34.00 212.00
Interest accrued but not due on borrowings 1.96 12.03
Escrow deposits received* 22.04 11.27
Overdrawn bank balances 0.01 0.12
Salary and wages payable 44.01 31.51
Capital creditors 72.48 68.56
Total 174.50 393.82
* Escrow deposits represents amount received for any possible claims that may arise in future in respect of certain properties. (Refer Note: 2)
23 Other current liabilities

(C in Crores)
As at As at
Statutory dues 15.92 21.47
Other payables 1.79 0.10
Other payables - Related Party (Refer note: 33) 0.84 0.36
Total 18.55 21.93
24 Provisions
(C in Crores)
As at As at
Provision for employee benefits
Gratuity (Refer note:45) - 2.01
Leave entitlement 14.33 10.66
Total 14.33 12.67
134 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
25 Revenue from operations

(C in Crores)
Sale of goods 27,006.36 21,816.38
Sale of goods on approval basis 49.56 75.27
Less: Cost of goods sold on approval basis (41.44) (63.67)
27,014.48 21,827.98
Less: Tax (2,372.18) (1,946.43)
Other operating income 32.71 34.70
Total 24,675.01 19,916.25
26 Other income
(C in Crores)
Interest on deposits and advances 32.86 25.84
Rent and amenities service income (Refer note 4) 7.63 5.72
Gain on sale of current investment 8.93 10.08
Gain on sale/discardment of PPE (net) 2.45 1.01
Exchange gain (net) 8.63 5.98
Miscellaneous income 2.83 2.78
Total 63.33 51.41
27 Changes in inventories of stock-in-trade

(C in Crores)
Closing stock 1,909.43 1,576.22
Opening stock 1,576.22 1,147.04
Total (333.21) (429.18)
28 Employee benefits expenses

(C in Crores)
Salaries, allowances and others 358.85 276.73
Expense on employee stock option scheme (Refer note: 44) 8.27 16.61
Contribution to provident fund and other funds 24.48 16.90
Employee welfare expenses 33.14 24.79
Total 424.74 335.03
Notes
29 Finance costs
(C in Crores)
Interest on term loans from banks 12.22 3.95
Interest on non convertible debentures 24.76 34.01
Interest others (Refer note: 3) 41.60 11.87
78.58 49.83
Less: Capitalised (Refer note: 2) (16.97) (3.10)
61.61 46.73
Finance charges 1.15 0.42
Total 62.76 47.15
30 Depreciation and amortisation expense

(C in Crores)
Depreciation/ amortisation on:
- Tangible assets (Refer note: 2) 250.96 195.54
- Right to use assets (Refer note: 3) 84.80 -
- Investment property (Refer note: 4) 1.02 1.15
- Intangible assets (Refer note: 5) 3.56 2.63
340.34 199.32
Less: Capitalised (0.53) (0.52)
Total 339.81 198.80
31 Other expenses
(C in Crores)
Contract labour charges 533.73 404.26
Rent (Refer note: 3) 1.03 65.64
Electricity and fuel charges 183.57 150.20
Insurance 6.58 5.18
Rates and taxes 20.97 18.90
Repairs and maintenance:
- Building 17.72 24.16
- Plant and machinery 42.63 28.30
- Others 17.57 15.73
Legal and professional fees 10.22 10.69
Travelling and conveyance 25.07 22.36
Directors fees 1.01 0.75
Payment to auditors
- Audit fees 0.52 0.45
- Other services 0.02 0.01
- Reimbursement of expenses 0.03 0.01
Miscellaneous expenses 233.68 195.91
Expenditure towards corporate social responsibility (CSR) activities (Refer Note:38) 17.86 16.55
Total 1,112.21 959.10
136 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
32 Tax expenses
(C in Crores)
Tax expense recognized in the statement of Profit and Loss
(a) Income tax expense
Current tax
Current tax on profits for the year recognised in statement of profit and loss 448.84 501.21
Current tax on re-measurements gains/(loss) on defined benefit plans recognised in OCI (1.28) (0.68)
Adjustments for current tax of prior periods 0.03 (7.69)
Total current tax expense 447.59 492.84
Deferred tax
(Decrease)/increase in deferred tax
Total deferred tax expense/(benefit) (15.87) 17.77
Income tax expense 431.72 510.61
(b) Reconciliation of tax expense and the accounting profit multiplied by India's
domestic tax rate:
Accounting profit before tax 1,782.89 1,447.64
Tax calculated at tax rates applicable to profit @ 25.168% (PY - 34.944%) 448.72 505.86
Permanent differences due to:
Donation 0.08 0.39
Deduction taken for Sec 80JJAA and others (3.23) (2.79)
Corporate social responsibility 4.50 5.78
Interest on income tax (0.01) 0.08
Fines and penalty 0.02 0.04
Deduction from income from house property (0.52) (0.50)
Impact of (decrease)/increase of tax rate on Deferred tax of PY (17.92) 0.45
Others 0.08 1.30
Tax recognised in the statement of profit and loss and OCI 431.72 510.61
Notes
33 Related party transactions

(C in Crores)
Ownership interest
(i) Subsidiary companies:
Avenue Food Plaza Private Limited 100.00 100.00
Align Retail Trades Private Limited 100.00 100.00
Nahar Seth & Jogani Developers Private Limited 90.00 90.00
Avenue E-Commerce Limited 99.82 99.75
Reflect Wholesale and Retail Private Limited (w.e.f 28th May, 2018) 100.00 100.00
(ii) Shareholders who exercise control:
Mr. Radhakishan Damani
Mr. Gopikishan Damani
Mrs. Shrikantadevi Damani
Mrs. Kirandevi Damani
Bright Star Investments Private Limited
(iii) Directors and Key managerial personnel:
Mr. Ignatius Navil Noronha (Managing Director and Chief Executive Officer)
Mr. Ramakant Baheti (Whole-time Director and Group Chief Financial Officer)
Mr. Elvin Machado (Executive Director)
Mrs. Manjri Chandak (Non Executive Director)
Mr. Ramesh Damani (Chairman and Independent Director)
Mr. Chandrashekhar B. Bhave (Independent Director)
Ms. Kalpana Unadkat (Independent Director) (w.e.f 30th July, 2018)
Mr. Niladri Deb (Chief Financial Officer) (w.e.f 7th May, 2018)
Mrs. Ashu Gupta (Company Secretary)
(iv) Entities over which parties listed in (ii) and (iii) above exercise control / significant influence and transactions have taken
place with them during the year
7 Apple Hotels Private Limited
Bombay Swadeshi Stores Limited
Derive Trading and Resorts Private Limited
(v) Trust:
Avenue Supermarts Limited Employees Group Gratuity Trust
D Mart Foundation
138 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
(b) Transaction with related parties

(C in Crores)
Remuneration to Directors 6.35 6.32
Sitting fees to Directors 0.29 0.22
Commission to Independent Directors 0.72 0.53
Mentorship fees C1 C1
Align Retail Trades Private Limited
Purchase of goods 1,175.43 918.34
Sales of Property, plant and equipment 0.02
Business support service income 0.05 0.05
Interest on advance given - 1.72
ESOP expenses reimbursement (0.03) 0.21
Balances as at:
Trade payables 29.01 14.50
Other receivables 0.01 0.24
Investment in share capital 34.34 34.34
Avenue Food Plaza Private Limited
Rent and amenities service income 1.62 1.18
Reimbursement of expenses 0.79 -
Balances as at:
Nahar Seth & Jogani Developers Private Limited
Rent expenses 0.75 0.75
Balances as at:
Rent deposits given 8.25 7.53
Prepaid rent 0.12 0.84
Avenue E-Commerce Ltd.
Sales 193.44 80.68
Sale of Property, plant and equipment 0.13 0.18
Purchase of Property, plant and equipment - 0.17
Rent Income 2.07 -
Business support service income 1.01 0.89
ESOP expenses reimbursement 0.14 0.14
Reimbursement of Income 5.14 2.12
Reimbursement of Expenses 0.64 -
Balances as at:
Trade receivables 29.00 11.19
Reflect Wholesale and Retail Private Limited (w.e.f 28th May, 2018)
Employee Welfare Expenses 0.12 0.10
Reimbursement of expenses 0.27 0.30
Balances as at:
Notes
(C in Crores)
Reimbursement of expenses (electricity) - 0.01
Balances as at:
Other receivables - 0.00
Contribution to trust 12.01 6.40
D Mart Foundation
Contribution to trust 0.04 -
Note:
1. 12,000 equity shares of C 10/- each were allotted to Mr. Elvin Machado under ESOP scheme 2016.
2. Compensation to Directors of the company:
(C in Crores)
Short term employment benefits 6.11 6.09
Post employment benefits 0.24 0.23
Sitting fees 0.29 0.22
The aforesaid amount does not include amount in respect of gratuity and leave as the same in not determinable.
Guarantees given by the company on related parties:

(C in Crores)
Secured loans 50.00 50.00
(Guarantee given for Align Retail Trades Private Limited)
34 Assets pledged as security

The carrying amounts of assets pledged as security for current and non-current borrowings are:
(C in Crores)
As at As at
Current assets
Inventories 1,909.43 1,576.22
Total current assets pledged as security 1,957.96 1,651.74
Non current assets
First charge
Land (Freehold and Leasehold) 193.06 45.94
Building 498.18 161.92
Total non-current assets pledged as security 691.24 207.86
Total assets pledged as security 2,649.20 1,859.60
140 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
35 MSME disclosure
The details of amounts outstanding to Micro and Small enterprises under the Micro and Small Enterprises Development Act, 2006
(MSED Act), based on the available information with the company are as under:
(C in Crores)
As at As at
1 Principal amount not due and remaining unpaid 16.84 5.30
2 Principal amount due and remaining unpaid 0.40 0.14
3 Interest due on (1) above and the unpaid interest - -
4 Interest due and payable for the period of delay other than (3) above - -
36 Lease disclosure
The company has entered into agreements for taking on lease certain office/store premises, warehouses. The lease term is for period
ranging from 1 year to 30 years.
Premises taken on operating lease:

(C in Crores)
As at As at
Lease rent expenses recognized in the statement of Profit and Loss account 1.03 65.64
The total future minimum lease rent payable for the non cancellable period of lease at the
Balance Sheet date:
- For a period not later than one year - 77.02
- For a period later than one year and not later than 5 years - 216.21
-For a period later than five years - 14.84
The initial non-cancellable period of lease contracts have been taken for the disclosure above.
Note: w.e.f 1st April,2019, IND AS 116 “Lease” supersedes IND AS 17 “Leases”. Refer Note 3 for disclosures.
37 Contingent liabilities and commitments

(a) Contingent liabilities
Claims against the company not acknowledged as debts
(C in Crores)
As at As at
Income tax matters 3.12 0.03
Indirect tax matters 2.15 4.33
Other matters 0.84 -
Corporate Guarantee 50.00 50.00
It is not practicable for the company to estimate the timings of cash outflows, if any in respect of above pending resolutions of the
respective proceedings.
The company has reviewed all its pending litigation and proceedings and has adequately provided for where provisions are required
and disclosed in contingent liabilities where applicable in it’s financial statements. The company does not expect the outcome of
these proceedings to have a materially adverse effect on it’s financial statements.
The company has process whereby periodically all long term contracts are assessed for material foreseeable losses. At the year
end, company has reviewed and ensured that adequate provision as required under any law/accounting standard for material
forseeable losses on such long term contracts has been made in the books of accounts.
Notes
(b) Capital commitments

(C in Crores)
As at As at
Estimated amounts of contracts remaining to be executed on capital account and not 2,150.91 1,529.22
provided for (net of advances) relating to stores under construction
38 Expenditure towards corporate social responsibility (CSR) activities

(C in Crores)
Amount required to be spent as per Section 135 of the Act 22.80 16.40
Amount spent during the year on:
(i) Construction/acquisition of any asset - -
(ii) On purposes other than (i) above 17.86 16.55
Amount not spend during the year on:
(ii) On purposes other than (i) above 4.94 -
Amount spent during the year for corporate social responsibility (CSR) activities are in cash.
39 Segment information
The company’s business activity falls within a single primary business segment of retail and one reportable geographical segment
which is “within India”. Accordingly, the Company is a single segment company in accordance with Indian Accounting Standard
108 “Operating Segment”.
40 The company has not entered into any derivative transaction during the year. Unhedged foreign currency exposure at the end of
the year is NIL.
41 Earnings per share (EPS)

Basic EPS amounts are calculated by dividing the profit for the year attributable to equity holders by the weighted average number
of equity shares outstanding during the year.
Diluted EPS amounts are calculated by dividing the profit attributable to equity holders by the weighted average number of Equity
shares outstanding during the year plus the weighted average number of equity shares that would be issued on conversion of all
the dilutive potential equity shares into equity shares.
The following reflects the profit and share data used in the basic and diluted EPS computation:
(C in Crores)
Earnings per share has been computed as under:
Profit for the year as per statement of Profit and Loss (C in Crores) 1,349.89 936.35
Weighted average number of equity shares outstanding for basic EPS 628,137,345 624,084,486
Add: Weighted average number of potential equity shares on account of employee stock 4,847,630 8,972,124
option schemes
Weighted average number of equity shares outstanding for dilutive EPS 632,984,975 633,056,610
Earnings Per Share (C) - Basic (Face value of C 10 per share) 21.49 15.00
Earnings Per Share (C) - Diluted (Face value of C 10 per share) 21.33 14.79
142 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
42 (a) Capital risk management

For the purpose of the company’s capital management, capital includes issued equity capital, securities premium
and all other equity reserves attributable to the equity shareholders. The primary objective is to maximize the
shareholders value.
The company manages its capital structure and makes adjustments in light of changes in economic condition and the
requirements of the financial covenants. The company has raised capital by issue of equity shares through an Initial Public
Offer (IPO) in the year ended 31st March, 2017 and Qualified Institutional Placement (QIP) in the year ended 31st March, 2020.
Certain proceeds from the IPO and QIP have been used for repayment of borrowings which have significantly reduced the
company’s borrowings.
The capital structure is governed by policies approved by the Board of Directors and is monitored by various matrices funding
requirements are reviewed periodically.
(b) Dividends
The company has not paid any dividend since its incorporation.
43 Fair values and fair value hierarchy

The carrying amounts of trade receivables, cash and cash equivalents, bank balance other than cash and cash equivalents, other
financial assets, trade payables, capital creditors are considered to be same as their fair values, due to their short term nature.
The carrying value of borrowings, lease liabilities, deposits given and taken and other financial assets and liabilities are considered
to be reasonably same as their fair values. These are classified as level 3 fair values in the fair value hierarchy due to the inclusion
of unobseravable inputs including counter party credit risk.
44 Share-based payments
Employee stock option plan
During the year ended 31st March, 2017, the company had instituted an Avenue Supermarts Limited Employee Stock Option
Scheme, 2016 (“the Scheme”) as approved by the Board of Directors dated 23rd July, 2016 for issuance of stock option to eligible
employee of the company and of its subsidiaries.
Pursuant to Avenue Supermarts Limited Employee Stock Option Scheme, 2016 Stock options convertible into 13,973,325 equity
shares of C 10/- each were granted to eligible employees at exercise price of C 299/-. Out of the options granted, 38,43,095 options
lapsed (31st March, 2019: 17,21,850) and 36,91,105 options were vested (31st March, 2019: 18,000) as at 31st March, 2020.
Against the vested options, 36,90,205 equity shares of C 10/- each were allotted pursuant to exercise of options, and balance 900
options lapsed.
Subject to terms and condition of the scheme, options are classified into three categories.
Option A Option B Option C
No. of options 2,772,525 5,001,075 6,199,725
Method of accounting Fair value Fair value Fair value
Vesting plan 9 years 6 years 2.5 years
Grant date 14th March, 2017 14th March, 2017 14th March, 2017
Exercise/Expiry date 13th March, 2026 13th March, 2023 13th September,
2019
Grant/Exercise price C 299.00 C 299.00 C 299.00
Method of settlement Equity - settled Equity - settled Equity - settled
Exercise period, would commence from the date of options are vested and will expire at the end of three months from the
date of vesting.
Notes
Movement of options granted

(C in Crores)
Average exercise Number of Average exercise Number of
price per share options price per share options
option option
Opening balance 299.00 12,233,475 299.00 12,990,975
Granted during the year 299.00 - 299.00 -
Forfeited during the year 299.00 2,121,245 299.00 743,100
Vested during the year* 3,673,105 14,400
Closing balance 6,439,125 12,233,475
*Against the vested options, 36,90,205 equity shares of C 10/- each were allotted pursuant to exercise of options, and balance 900 options lapsed.
V
ested options of 36,91,105 equity shares includes 1,200 share options vested in FY 17-18 and 2,400 share options vested in FY 16-17 alongwith number of options
mentioned in above table.
The model inputs for fair value of option granted as on the grant date:
Inputs Option A Option B Option C
Exercise price C 299.00 C 299.00 C 299.00
Dividend yield 0% 0% 0%
Risk free interest rate 6.98% 7.24% 6.77%
Expected volatility 14.22% 14.22% 14.22%
Fair value per option C 144.94 C 112.93 C 58.63
Model used Black Scholes Black Scholes Black Scholes
Expense arising from equity settled share based payments transactions:

(C in Crores)
Total ESOP expenditure 8.09 16.69
Less: Recovered from subsidiary 0.04 (0.21)
Add: Payable to subsidiary 0.14 0.13
Recognised in the statement of profit or loss 8.27 16.61
144 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
45 Post retirement benefit plan

As per Indian Accounting Standard 19 “Employee benefits”, the disclosures as defined are given below:
Defined Benefit Plan

The company operates a gratuity plan wherein every employees entitled to the benefit equivalent to fifteen days salary last drawn
for each year of service. The same is payable on termination of sevice or retirement whichever is earlier. The benefit vest after five
years of continuous service. The gratuity paid is governed by The Payment of Gratuity Act,1972. The company contibutes to the
fund based on actuarial report details of which is available in the table of investment pattern of plan asset, based on which the
company is not exposed to market risk. The following table summarises the component of net benefit expenses recognised in the
statement of profit and loss and the funded status and amounts recognised in the balance sheet for respective period.
1 Change in the present value of defined benefit obligation are as follows

(C in Crores)
As at As at
Present value of benefit obligation at the beginning of the year 20.44 14.35
Interest cost 1.48 1.10
Current service cost 4.36 3.20
Past service cost - -
Benefit paid directly by the employer - (0.40)
Benefit paid from the fund (0.41) (0.14)
Actuarial (gains)/losses on obligations - due to change in financial assumptions 1.42 0.48
Actuarial (gains)/losses on obligations - due to experience 4.91 1.85
Present value of benefit obligation at the end of the year 32.20 20.44
2 Change in fair value of plan assets

(C in Crores)
As at As at
Fair value of plan assets at the beginning of the year 18.43 10.95
Interest income 1.33 0.84
Contributions by the employer 12.01 6.40
Benefit paid from the fund (0.41) (0.14)
Return on plan assets, excluding interest income 1.26 0.38
Fair value of plan assets at the end of the year 32.62 18.43
Notes
3 Change in fair value of assets and obligations

(C in Crores)
As at As at
Present value of benefit obligation at the end of the year (32.20) (20.44)
Funded status (surplus/ (deficit)) 0.42 (2.01)
Current (liability)/Asset 0.42 (2.01)
Net (Liability)/Asset Recognized in the Balance Sheet 0.42 (2.01)
4 Net benefit expenses recognised during the year

(C in Crores)
In the statement of Profit and Loss
Net interest cost 0.14 0.26
Net cost 4.50 3.46
In other comprehensive income
Actuarial (gains)/losses on obligation for the year 6.33 2.33
Return on plan assets, excluding interest income (1.26) (0.38)
Net (income)/expense for the year recognized in OCI 5.07 1.95
5 All investment of plan asset are done in M/s Avenue Supermarts Limited Employees Group Gratuity Trust which is governed
by Board of Trustees.
6 The principal assumptions in determining gratuity defined benefit obligation for the company are as follows
As at As at
Expected return on plan assets 6.43% 7.22%
Rate of discounting 6.43% 7.22%
Rate of salary increase 8.00% 8.00%
Rate of employee turnover 15.00% 15.00%
Mortality rate during employment Indian Assured Indian Assured Lives
Lives Mortality Mortality (2006-08)
(2006-08)
Mortality rate after employment N.A. N.A.
The estimates of rate of escalation in salary considered in actuarial valuation, take into account inflation, seniority, promotion
and other relevant factors including supply and demand in the employment market. The above information is certified
by the actuary.
The expected rate of return on plan assets is determined considering several applicable factors, mainly the composition of plan
assets held, assessed risks, historical results of return on plan assets and the Company’s policy for plan assets management.
146 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
7 The expected contributions for defined benefit plan for the future years is as follows:
(C in Crores)
As at As at
Projected benefits payable in future years from the date of reporting
1st following year 3.26 2.13
2nd following year 3.51 2.27
3rd following year 3.89 2.40
4th following year 3.69 2.60
Sum of years 6 To 10 13.81 9.32
Sum of years 11 and above 19.68 13.10
8 Sensitivity analysis
(C in Crores)
As at As at
Projected benefit obligation on current assumptions 32.19 20.44
Delta effect of +1% change in rate of discounting (1.78) (1.09)
Delta effect of -1% change in rate of discounting 2.01 1.22
Delta effect of +1% change in rate of salary increase 1.89 1.15
Delta effect of -1% change in rate of salary increase (1.71) (1.05)
Delta effect of +1% change in rate of employee turnover (0.37) (0.19)
Delta effect of -1% change in rate of employee turnover 0.40 0.20
There has been no change from the previous year in the method and assumptions used in perparing the sensitivity analysis.
These plans typically exposed the company to acturial risks such as Interest risk, salary risk, investment risk, asset liability
matching risk and mortality risk.
Gratuity is a defined benefit plan and company is exposed to the following risks:
Interest rate risk: A fall in the discount rate which is linked to the G.Sec. rate will increase the present value of the liability
requiring higher provision. A fall in the discount rate generally increases the mark to market value of the assets depending on
the duration of asset.
Salary risk: The present value of the defined benefit plan liability is calculated by reference to the future salaries of members.
As such, an increase in the salary of the members more than assumed level will increase the plan’s liability.
Investment risk: The present value of the defined benefit plan liability is calculated using a discount rate which is determined
by reference to market yields at the end of the reporting period on government bonds. If the return on plan asset is below this
rate, it will create a plan deficit. Currently, for the plan in India, it has a relatively balanced mix of investments in government
securities, and other debt instruments.
Asset liability matching risk: The plan faces the ALM risk as to the matching cash flow. Since the plan is invested in lines of
rule 101 of Income Tax Rules, 1962, this generally reduces ALM risk.
Mortality risk: Since the benefits under the plan is not payable for life time and payable till retirement age only, plan does not
have any longevity risk.
Concentration risk: Plan is having a concentration risk as all the assets are invested with the insurance company and a default
will wipe out all the assets. Although probability of this is very less as insurance companies have to follow regulatory guidelines.
Notes
46 Financial risk management

Financial risk management objectives and policies
The company’s financial principal liabilities comprises borrowings,lease liability, trade payables and other payables. The main purpose of
these financial liabilities to finance the company operation. The company’s main financial assets includes trade and other receivable, cash
and cash equivalent, other bank balances derived from its operations.
In addition to risks inherent to our operations, we are exposed to certain market risks including change in interest rates and
fluctuation in currency exchange rates.
A) Market rate risk

i) Interest rate risk
Interest rate risk is the risk that the fair value or future cash flow of a financial instrument will fluctuate because of changes in
market interest rate.
The company’s exposure to the risk of changes in market interest rates relates to primarily to company’s borrowing with
floating interest rates. The company’s fixed rates of borrowing are carried at amortized cost. They are not subject to interest
rate risk as defined in Ind AS 107, since neither carrying amount not the future cash flows will fluctuate because of a change
in market interest rate. The company manages its interest rate risk by having a balanced portfolio of fixed and variable rate
loans and borrowings.
Exposure to interest rate risk

(C in Crores)
As at As at
Particulars
Borrowings bearing variable rate of interest 3.73 152.70
Interest rate sensitivity

The following table demonstrates the sensitivity to a reasonably possible change in interest rates on affected portion of loans
and borrowings taken at floating rates. With all other variables held constant, the company’s profit before tax is affected
through the impact on floating rate borrowing as follows:
A change of 50 bps (basis points) in interest rates would have following Impact on profit before tax
(C in Crores)
As at As at
50 bp increase- decrease in profits (0.02) (0.76)
50 bp decrease- Increase in profits 0.02 0.76
B) Credit risk
Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading
to a financial loss. The company is exposed to credit risk from its operating activities (primarily trade receivable) and from its
financial activities including deposits with banks and financial institution.
Credit risk from balances with banks is managed by the Company’s treasury department in accordance with Company’s policy.
Since company operates on business model of primarily cash and carry, credit risk from receivable perspective is insignificant.
148 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
C) Liquidity risk
Liquidity risk is defined as the risk that the company will not be able to settle or meet its obligations on time, or at a reasonable
price. Processes and policies related to such risk are overseen by senior management. Management monitors the company’s
net liquidity position through rolling forecasts on the basis of expected cash flows.
Maturity patterns of borrowings

(C in Crores)
As at 31st March, 2020
0-1 years 1-5 years beyond 5 years Total
Long term borrowings (including current maturity 34.00 - - 34.00
of long term debt)
Short term borrowings 3.73 - - 3.73
Lease liability 64.29 145.97 32.16 242.42
Expected interest payable 3.20 - - 3.20
Total 105.22 145.97 32.16 283.35
(C in Crores)
Long term borrowings (including current maturity 270.33 125.67 - 396.00
of long term debt)
Expected interest payable 37.24 6.79 - 44.03
Total 606.72 132.46 - 739.18
Maturity patterns of other financial liabilities

(C in Crores)
Overdue/ 0-3 months 3-6 months 6 months to beyond 12 Total
Payable on 12 months months
demand
Trade payable 445.97 - - - - 445.97
Payable related to capital goods 72.48 - - - - 72.48
Other financial liabilities (current and non 68.02 - - - 0.47 68.49
current)
Total 586.47 - - - 0.47 586.94

(C in Crores)
demand
Trade payable 458.28 - - - - 458.28
Payable related to capital goods 68.56 - - - - 68.56
Other financial liabilities (current and non 81.65 - - - 0.78 82.43
current)
Total 608.49 - - - 0.78 609.27
Notes
47 Ind AS 115: Revenue from contracts with customers

Ind AS 115 supersedes Ind AS 11 Construction Contracts and Ind AS 18 Revenue and it applies, with limited exceptions, to all
revenue arising from contracts with customers. Ind AS 115 establishes a five-step model to account for revenue arising from
contracts with customers and requires that revenue be recognised at an amount that reflects the consideration to which an entity
expects to be entitled in exchange for transferring goods or services to a customer.
Ind AS 115 requires entities to exercise judgement, taking into consideration all of the relevant facts and circumstances
when applying each step of the model to contracts with their customers. The standard also specifies the accounting for the
incremental costs of obtaining a contract and the costs directly related to fulfilling a contract. In addition, the standard requires
extensive disclosures.
The Company adopted Ind AS 115 using the modified retrospective method of adoption with the date of initial application of
1st April 2018. Under this method, the standard can be applied either to all contracts at the date of initial application or only to contracts
that are not completed at this date. The Company elected to apply the standard to all contracts as at 1st April 2018.
The application of Ind AS 115 did not have any significant impact on recognition and measurement of revenue and related items in
the financial results.
1. Disaggregated revenue information:

Set out below is the disaggregation of the company’s revenue from contracts with customers:
(C in Crores)
Type of goods or service
Sale of goods 27,006.36 21,816.38
Sale of goods on approval basis net of COGS 8.12 11.60
Tax (2,372.18) (1,946.43)
Total revenue from contract with customers 24,675.01 19,916.25
India 24,675.01 19,916.25
Outside India - -
Timing of revenue recognition
Goods transferred at a point in time 24,642.30 19,881.55
Services transferred over time (Other operating income) 32.71 34.70
2. Contract balances:
(C in Crores)
As at As at
Contract liabilities 1.79 0.10
150 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
48 Events after the reporting period

The company has evaluated subsequent events from the balance sheet date through 23rd May, 2020, the date at which the
standalone financial statements were available to be issued, and determined that there are no material items to disclose other than
those disclosed above.
49 Impact of Covid-19
The global spread of Covid-19 has led to an uncertain and unpredictable path ahead for all of us. Amidst the tumult of this
unprecedented period, our priority has been to safeguard the health and well-being of our customers, employees and our
communities while continuing our business operations.
As the lockdown continues further, we are seeing reduced sales and lower footfalls in our stores. Reduction in variable costs will
trail sales drop, abetted by higher cost of hygiene and sanitation at all our locations apart from higher absenteeism due to transport
restrictions. The full extent to which the pandemic will impact our future financial results will depend on upcoming developments,
which are highly uncertain including any new information concerning the severity of the pandemic and the action to mitigate its
spread as advised by local authorities.
50. The previous year numbers have been reclassified wherever necessary.
DIN: 01787989 DIN: 00246480
per Vijay Maniar
Avenue Supermarts Limited | ANNUAL REPORT 2019-20 Independent Auditor’s Report 151
Independent Auditor’s Report
To the Members of Responsibilities for the Audit of the Consolidated Ind AS Financial
Avenue Supermarts Limited Statements’ section of our report. We are independent of the
Group in accordance with the ‘Code of Ethics’ issued by the
Report on the Audit of the Consolidated Ind AS Financial Institute of Chartered Accountants of India together with the
Statements ethical requirements that are relevant to our audit of the financial
Opinion statements under the provisions of the Act and the Rules
We have audited the accompanying consolidated Ind AS financial thereunder, and we have fulfilled our other ethical responsibilities
statements of Avenue Supermarts Limited (hereinafter referred to in accordance with these requirements and the Code of Ethics.
as “the Holding Company”), its subsidiaries (the Holding Company We believe that the audit evidence we have obtained is sufficient
and its subsidiaries together referred to as “the Group”) comprising and appropriate to provide a basis for our audit opinion on the
of the consolidated Balance sheet as at March 31 2020, the consolidated Ind AS financial statements.
consolidated Statement of Profit and Loss, including other
comprehensive income, the consolidated Cash Flow Statement Key Audit Matters
and the consolidated Statement of Changes in Equity for the Key audit matters are those matters that, in our professional
year then ended, and notes to the consolidated Ind AS financial judgment, were of most significance in our audit of the consolidated
statements, including a summary of significant accounting policies Ind AS financial statements for the financial year ended March 31,
and other explanatory information (hereinafter referred to as “the 2020. These matters were addressed in the context of our audit
consolidated Ind AS financial statements”). of the consolidated Ind AS financial statements as a whole, and
in forming our opinion thereon, and we do not provide a separate
In our opinion and to the best of our information and according opinion on these matters. For each matter below, our description
to the explanations given to us and based on the consideration of how our audit addressed the matter is provided in that context.
of reports of other auditors on separate financial statements and
on the other financial information of the subsidiaries, the aforesaid We have determined the matters described below to be the key
consolidated Ind AS financial statements give the information audit matters to be communicated in our report. We have fulfilled
required by the Companies Act, 2013, as amended (“the Act”) in the responsibilities described in the Auditor’s responsibilities for the
the manner so required and give a true and fair view in conformity audit of the consolidated Ind AS financial statements section of our
with the accounting principles generally accepted in India, of the report, including in relation to these matters. Accordingly, our audit
consolidated state of affairs of the Group as at March 31, 2020, included the performance of procedures designed to respond
their consolidated profit including other comprehensive income, to our assessment of the risks of material misstatement of the
their consolidated cash flows and the consolidated statement of consolidated Ind AS financial statements.
changes in equity for the year ended on that date.
The results of audit procedures performed by us and by other
Basis for Opinion auditors of components not audited by us, as reported by them in
We conducted our audit of the consolidated Ind AS financial their audit reports furnished to us by the management, including
statements in accordance with the Standards on Auditing (SAs), those procedures performed to address the matters below,
as specified under section 143(10) of the Act. Our responsibilities provide the basis for our audit opinion on the accompanying
under those Standards are further described in the ‘Auditor’s consolidated Ind AS financial statements.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Key audit matters How our audit addressed the key audit matter
Assessment of impairment of goodwill (as described in note 1.d of the consolidated Ind AS financial statements)
The Group’s balance sheet includes ` 78.27 crores of goodwill, Our audit procedures in respect of assessment of impairment included
representing 0.65% of total Group assets. the following:
In accordance with Ind AS, these balances are allocated to Cash • We assessed the Group’s valuation methodology applied in
Generating Units (CGUs) which are tested annually for impairment. determining the fair market value of equity shares. In making this
assessment, we evaluated the objectivity and independence of
Management has used external specialist to support the recoverable
Group’s specialists involved in the process;
amounts of its goodwill based on fair market value of equity shares of
the subsidiary as at March 31, 2020 after taking into consideration the • We involved valuation expert to assist in evaluating the key inputs
potential impact of COVID 19. along with comparable transaction multiples of peers of the
Company available in the public domain and discount rate on
We determined this area as a key audit matter because of the
multiple considered for valuation purpose;
judgmental factors involved in testing for impairment and the significant
carrying value of the goodwill. • We obtained and read the audited Ind AS financial statements of
the subsidiaries to determine the net worth, cash flows and other
financial indicators;
• We also assessed the Company’s disclosures concerning this in
Note 1.d on significant accounting estimates and judgements and
Note of Goodwill to the consolidated Ind AS financial statements.
Allowance for inventory shrinkages (as described in note 1.k and 1.x of the consolidated Ind AS financial statements)
As at March 31, 2020, the carrying amount of inventories amounted to Our procedures over allowance for inventory shrinkage included the
` 1,947.40 crore after considering allowances for Inventory shrinkage of following:
` 17.30 crore. These inventories are held at the stores and distribution
• We obtained an understanding, evaluated the design and tested
centers of the Holding Company.
the operating effectiveness of controls that the Holding Company
Allowance for Inventory shrinkage was an audit focus area because of has in relation to allowance for inventory shrinkage;
the assessment process as the inventory cycle counts were carried out
• We performed testing on the Holding Company’s controls over
at periodical intervals during the year and further significant judgement
the inventory cycle count process. In testing these controls we
is involved by Holding Company in identifying the amount of provision
observed the inventory cycle count process at selected store and
for shrinkages.
distribution centers on a sample basis, inspected the results of the
inventory cycle count and confirmed variances were accounted
for and approved by management.
• Assessed the stock shrinkage provision by assessing the level
of inventory write downs during the period and applying the
shrinkage rate as determined location wise to the year end stock.
We tested on a sample basis the shrinkage rate used to calculate
the provision for each store and distribution center.
• On account of the COVID 19 imposed lockdown, the Holding
Company was unable to carry on its physical verification of
inventory in the last two weeks of March 20 as planned, however
the locations scheduled for the physical verification in the last
two weeks had been verified during the year as planned and
accordingly the shrinkage rates have been used for these locations
as per the last count.
• We assessed the Company’s disclosures concerning this in Note
1.k and 1.x on significant accounting estimates and judgements
and Note 8 Inventories to the consolidated Ind AS financial
statements.
We have determined that there are no other key audit matters to communicate in our report.
Information Other than the Financial Statements and Group are responsible for assessing the ability of the Group
Auditor’s Report Thereon to continue as a going concern, disclosing, as applicable,
The Holding Company’s Board of Directors is responsible for the matters related to going concern and using the going concern
other information. The other information comprises the information basis of accounting unless management either intends to
included in the Annual report but does not include the consolidated liquidate the Group or to cease operations, or has no realistic
Ind AS financial statements and our auditor’s report thereon. alternative but to do so.
Our opinion on the consolidated Ind AS financial statements does Those respective Board of Directors of the companies included
not cover the other information and we do not express any form of in the Group are also responsible for overseeing the financial
assurance conclusion thereon. reporting process of the Group.
In connection with our audit of the consolidated Ind AS financial Auditor’s Responsibilities for the Audit of the
statements, our responsibility is to read the other information and, Consolidated Ind AS Financial Statements
in doing so, consider whether such other information is materially Our objectives are to obtain reasonable assurance about
inconsistent with the consolidated Ind AS financial statements or whether the consolidated Ind AS financial statements as a
our knowledge obtained in the audit or otherwise appears to be whole are free from material misstatement, whether due to
materially misstated. If, based on the work we have performed, fraud or error, and to issue an auditor’s report that includes our
we conclude that there is a material misstatement of this other opinion. Reasonable assurance is a high level of assurance but
information, we are required to report that fact. We have nothing is not a guarantee that an audit conducted in accordance with
to report in this regard. SAs will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are considered
Responsibilities of Management for the Consolidated material if, individually or in the aggregate, they could reasonably
Ind AS Financial Statements be expected to influence the economic decisions of users taken
The Holding Company’s Board of Directors is responsible for on the basis of these consolidated Ind AS financial statements.
the preparation and presentation of these consolidated Ind AS
financial statements in terms of the requirements of the Act that As part of an audit in accordance with SAs, we exercise
give a true and fair view of the consolidated financial position, professional judgment and maintain professional skepticism
consolidated financial performance including other comprehensive throughout the audit. We also:
income, consolidated cash flows and consolidated statement of
changes in equity of the Group in accordance with the accounting • Identify and assess the risks of material misstatement of
principles generally accepted in India, including the Indian the consolidated Ind AS financial statements, whether due
Accounting Standards (Ind AS) specified under section 133 of to fraud or error, design and perform audit procedures
the Act read with the Companies (Indian Accounting Standards) responsive to those risks, and obtain audit evidence that is
Rules, 2015, as amended. The respective Board of Directors of the sufficient and appropriate to provide a basis for our opinion.
companies included in the Group are responsible for maintenance The risk of not detecting a material misstatement resulting
of adequate accounting records in accordance with the provisions from fraud is higher than for one resulting from error, as
of the Act for safeguarding of the assets of the Group and for fraud may involve collusion, forgery, intentional omissions,
preventing and detecting frauds and other irregularities; selection misrepresentations, or the override of internal control.
and application of appropriate accounting policies; making
judgments and estimates that are reasonable and prudent; and • Obtain an understanding of internal control relevant to the
the design, implementation and maintenance of adequate internal audit in order to design audit procedures that are appropriate
financial controls, that were operating effectively for ensuring the in the circumstances. Under section 143(3)(i) of the Act, we
accuracy and completeness of the accounting records, relevant are also responsible for expressing our opinion on whether
to the preparation and presentation of the consolidated Ind AS the Holding Company has adequate internal financial
financial statements that give a true and fair view and are free controls system in place and the operating effectiveness
from material misstatement, whether due to fraud or error, which of such controls.
have been used for the purpose of preparation of the consolidated
Ind AS financial statements by the Directors of the Holding • Evaluate the appropriateness of accounting policies used
Company, as aforesaid. and the reasonableness of accounting estimates and related
disclosures made by management.
In preparing the consolidated Ind AS financial statements, the
respective Board of Directors of the companies included in the
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
• Conclude on the appropriateness of management’s use of statements for the financial year ended March 31, 2020 and are
the going concern basis of accounting and, based on the therefore the key audit matters. We describe these matters in our
audit evidence obtained, whether a material uncertainty auditor’s report unless law or regulation precludes public disclosure
exists related to events or conditions that may cast about the matter or when, in extremely rare circumstances, we
significant doubt on the ability of the Group to continue as determine that a matter should not be communicated in our
a going concern. If we conclude that a material uncertainty report because the adverse consequences of doing so would
exists, we are required to draw attention in our auditor’s reasonably be expected to outweigh the public interest benefits
report to the related disclosures in the consolidated Ind AS of such communication.
financial statements or, if such disclosures are inadequate, to
modify our opinion. Our conclusions are based on the audit Other Matter
evidence obtained up to the date of our auditor’s report. (a) We did not audit the financial statements and other financial
However, future events or conditions may cause the Group information, in respect of 3 subsidiaries, whose Ind AS
to cease to continue as a going concern. financial statements include total assets of ` 41.08 Crores as
at March 31, 2020, and total revenues of ` 32.41 Crores and
• Evaluate the overall presentation, structure and content of net cash outflow of ` 0.87 Crore for the year ended on that
the consolidated Ind AS financial statements, including the date. These Ind AS financial statement and other financial
disclosures, and whether the consolidated Ind AS financial information have been audited by other auditors, which
statements represent the underlying transactions and events financial statements, other financial information and auditor’s
in a manner that achieves fair presentation. reports have been furnished to us by the management.
Our opinion on the consolidated Ind AS financial statements,
• Obtain sufficient appropriate audit evidence regarding the in so far as it relates to the amounts and disclosures included
financial information of the entities or business activities in respect of these subsidiaries and our report in terms of
within the Group of which we are the independent auditors sub-sections (3) of Section 143 of the Act, in so far as it
and whose financial information we have audited, to relates to the aforesaid subsidiaries, is based solely on the
express an opinion on the consolidated Ind AS financial report(s) of such other auditors.
statements. We are responsible for the direction, supervision
and performance of the audit of the financial statements of Our opinion above on the consolidated Ind AS financial statements,
such entities included in the consolidated Ind AS financial and our report on Other Legal and Regulatory Requirements
statements of which we are the independent auditors. For the below, is not modified in respect of the above matters with
other entities included in the consolidated Ind AS financial respect to our reliance on the work done and the reports of the
statements, which have been audited by other auditors, other auditors and the financial statements and other financial
such other auditors remain responsible for the direction, information certified by the Management.
supervision and performance of the audits carried out by
them. We remain solely responsible for our audit opinion. Report on Other Legal and Regulatory Requirements
As required by Section 143(3) of the Act, based on our audit and
We communicate with those charged with governance of on the consideration of report of the other auditors on separate
the Holding Company and such other entities included in the financial statements and the other financial information of
consolidated Ind AS financial statements of which we are the subsidiaries, as noted in the ‘other matter’ paragraph we report,
independent auditors regarding, among other matters, the to the extent applicable, that:
planned scope and timing of the audit and significant audit
findings, including any significant deficiencies in internal control (a)
We/the other auditors whose report we have relied
that we identify during our audit. upon have sought and obtained all the information and
explanations which to the best of our knowledge and belief
We also provide those charged with governance with a statement were necessary for the purposes of our audit of the aforesaid
that we have complied with relevant ethical requirements regarding consolidated Ind AS financial statements;
independence, and to communicate with them all relationships
and other matters that may reasonably be thought to bear on our (b) In our opinion, proper books of account as required by law
independence, and where applicable, related safeguards. relating to preparation of the aforesaid consolidation of the
financial statements have been kept so far as it appears
From the matters communicated with those charged with from our examination of those books and reports of the
governance, we determine those matters that were of most other auditors;
significance in the audit of the consolidated Ind AS financial
(c)
The Consolidated Balance Sheet, the Consolidated (h)
With respect to the other matters to be included in
Statement of Profit and Loss including the Statement of the Auditor’s Report in accordance with Rule 11 of the
Other Comprehensive Income, the Consolidated Cash Companies (Audit and Auditors) Rules, 2014, as amended,
Flow Statement and Consolidated Statement of Changes in in our opinion and to the best of our information and
Equity dealt with by this Report are in agreement with the according to the explanations given to us and based on the
books of account maintained for the purpose of preparation consideration of the report of the other auditors on separate
of the consolidated Ind AS financial statements; financial statements as also the other financial information of
the subsidiaries, as noted in the ‘Other matter’ paragraph:
(d) In our opinion, the aforesaid consolidated Ind AS financial
statements comply with the Accounting Standards specified i. The consolidated Ind AS financial statements disclose
under Section 133 of the Act, read with Companies (Indian the impact of pending litigations on its consolidated
Accounting Standards) Rules, 2015, as amended; financial position of the Group, in its consolidated
Ind AS financial statements – Refer Note 39 to the
(e) On the basis of the written representations received from the consolidated Ind AS financial statements;
directors of the Holding Company as on March 31, 2020
taken on record by the Board of Directors of the Holding ii. The Group did not have any material foreseeable losses
Company and the reports of the statutory auditors who are in long-term contracts including derivative contracts
appointed under Section 139 of the Act, of its subsidiary during the year ended March 31, 2020;
companies, none of the directors of the Group’s companies,
is disqualified as on March 31, 2020 from being appointed iii. There were no amounts which were required to be
as a director in terms of Section 164 (2) of the Act; transferred to the Investor Education and Protection
Fund by the Holding Company, its subsidiaries during
(f) With respect to the adequacy and the operating effectiveness the year ended March 31, 2020.
of the internal financial controls over financial reporting with
reference to these consolidated Ind AS financial statements
of the Holding Company and its subsidiary companies, refer
to our separate Report in “Annexure 1” to this report;
(g) In our opinion and based on the consideration of reports of
per Vijay Maniar
other statutory auditors of the subsidiaries, the managerial
Partner
remuneration for the year ended March 31, 2020 has been
paid / provided by the Holding Company, its subsidiaries, to
their directors in accordance with the provisions of section
197 read with Schedule V to the Act;
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Annexure 1
TO THE INDEPENDENT AUDITOR’S REPORT OF EVEN statements was established and maintained and if such controls
DATE ON THE CONSOLIDATED IND AS FINANCIAL operated effectively in all material respects.
STATEMENTS OF AVENUE SUPERMARTS LIMITED
Our audit involves performing procedures to obtain audit evidence
Report on the Internal Financial Controls under Clause
about the adequacy of the internal financial controls over financial
(i) of Sub-section 3 of Section 143 of the Companies Act,
reporting with reference to these consolidated Ind AS financial
2013 (“the Act”)
statements and their operating effectiveness. Our audit of internal
In conjunction with our audit of the consolidated Ind AS financial
financial controls over financial reporting included obtaining an
statements of Avenue Supermarts Limited as of and for the year
understanding of internal financial controls over financial reporting
ended March 31, 2020, we have audited the internal financial
with reference to these consolidated Ind AS financial statements,
controls over financial reporting of Avenue Supermarts Limited
assessing the risk that a material weakness exists, and testing
(hereinafter referred to as the “Holding Company”) and its
and evaluating the design and operating effectiveness of internal
subsidiary companies, which are companies incorporated in India,
control based on the assessed risk. The procedures selected
as of that date.
depend on the auditor’s judgement, including the assessment
of the risks of material misstatement of the financial statements,
Management’s Responsibility for Internal Financial
whether due to fraud or error.
Controls
The respective Board of Directors of the Holding Company, its
We believe that the audit evidence we have obtained and the audit
subsidiary companies, which are companies incorporated in India,
evidence obtained by the other auditors in terms of their reports
are responsible for establishing and maintaining internal financial
referred to in the Other Matters paragraph below, is sufficient and
controls based on the internal control over financial reporting
appropriate to provide a basis for our audit opinion on the internal
criteria established by the Holding Company considering the
financial controls over financial reporting with reference to these
essential components of internal control stated in the Guidance
consolidated Ind AS financial statements.
Note on Audit of Internal Financial Controls Over Financial
Reporting issued by the Institute of Chartered Accountants of
Meaning of Internal Financial Controls Over Financial
India. These responsibilities include the design, implementation
Reporting With Reference to these Consolidated Ind AS
and maintenance of adequate internal financial controls that were
Financial Statements
operating effectively for ensuring the orderly and efficient conduct
A company’s internal financial control over financial reporting with
of its business, including adherence to the respective company’s
reference to these consolidated Ind AS financial statements is
policies, the safeguarding of its assets, the prevention and
a process designed to provide reasonable assurance regarding
detection of frauds and errors, the accuracy and completeness
the reliability of financial reporting and the preparation of
of the accounting records, and the timely preparation of reliable
financial statements for external purposes in accordance with
financial information, as required under the Act.
generally accepted accounting principles. A company’s internal
financial control over financial reporting with reference to these
Auditor’s Responsibility
consolidated Ind AS financial statements includes those policies
Our responsibility is to express an opinion on the company’s
and procedures that (1) pertain to the maintenance of records that,
internal financial controls over financial reporting with reference to
in reasonable detail, accurately and fairly reflect the transactions
these consolidated Ind AS financial statements based on our audit.
and dispositions of the assets of the company; (2) provide
We conducted our audit in accordance with the Guidance Note on
reasonable assurance that transactions are recorded as necessary
Audit of Internal Financial Controls Over Financial Reporting (the
to permit preparation of financial statements in accordance with
“Guidance Note”) and the Standards on Auditing, both, issued by
generally accepted accounting principles, and that receipts and
Institute of Chartered Accountants of India, and deemed to be
expenditures of the company are being made only in accordance
prescribed under section 143(10) of the Act, to the extent applicable
with authorisations of management and directors of the company;
to an audit of internal financial controls. Those Standards and the
and (3) provide reasonable assurance regarding prevention or
Guidance Note require that we comply with ethical requirements
timely detection of unauthorised acquisition, use, or disposition
and plan and perform the audit to obtain reasonable assurance
of the company’s assets that could have a material effect on the
about whether adequate internal financial controls over financial
Inherent Limitations of Internal Financial Controls by the Holding Company considering the essential components
Over Financial Reporting with Reference to these of internal control stated in the Guidance Note on Audit of Internal
Consolidated Ind AS Financial Statements Financial Controls Over Financial Reporting issued by the Institute
Because of the inherent limitations of internal financial controls of Chartered Accountants of India.
over financial reporting with reference to these consolidated Ind
AS financial statements, including the possibility of collusion Other Matters
or improper management override of controls, material Our report under Section 143(3)(i) of the Act on the adequacy
misstatements due to error or fraud may occur and not be and operating effectiveness of the internal financial controls over
detected. Also, projections of any evaluation of the internal financial reporting with reference to these consolidated Ind AS
financial controls over financial reporting with reference to these financial statements of the Holding Company, insofar as it relates
consolidated Ind AS financial statements to future periods are to these three subsidiary companies, which are companies
subject to the risk that the internal financial control over financial incorporated in India, is based on the corresponding reports of
reporting with reference to these consolidated Ind AS financial the auditors of such subsidiaries incorporated in India.
statements may become inadequate because of changes in
conditions, or that the degree of compliance with the policies or
procedures may deteriorate.
Opinion
In our opinion, the Holding Company, its subsidiary companies,
per Vijay Maniar
which are companies incorporated in India, have, maintained in all
Partner
material respects, adequate internal financial controls over financial
statements and such internal financial controls over financial
statements were operating effectively as at March 31,2020, based
on the internal control over financial reporting criteria established
158 Consolidated Balance Sheet | Statement of Consolidated Profit and Loss
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Consolidated Balance Sheet

as at 31st March, 2020
(` in Crores)
Notes As at As at
Assets
Non-current assets
(a) Property, plant and equipment 2 5,107.36 4,274.03
(b) Capital work-in-progress 2 364.40 376.84
(c) Right to use assets 3 717.33 -
(d) Investment properties 4 16.53 18.10
(e) Goodwill 78.27 78.27
(f) Intangible assets 5 28.54 29.97
(g) Financial assets
(i) Other non-current financial assets 6 3,122.67 31.74
(h) Income tax assets (net) 8.25 0.64
(i) Deferred tax assets (net) 7 0.29 0.22
(j) Other non-current assets 8 285.14 113.33
Total non-current assets 9,728.78 4,923.14
Current assets
(a) Inventories 9 1,947.40 1,608.65
(b) Financial assets
(i) Investments 10 14.68 16.53
(ii) Trade receivables 11 19.55 64.37
(iii) Cash and cash equivalents 12 105.87 124.98
(iv) Bank balances other than cash and cash equivalents 13 2.01 94.09
(v) Other current financial assets 14 109.06 59.10
(c) Other current assets 15 149.10 114.86
Total current assets 2,347.67 2,082.58
Total assets 12,076.45 7,005.72
Equity and liabilities
Equity
(a) Equity share capital 16 647.77 624.08
(b) Other equity 17 10,431.97 4,963.37
Equity attributable to equity holders of the parent 11,079.74 5,587.45
Non-controlling interest 0.46 0.56
Total equity 11,080.20 5,588.01
Liabilities
Non-current liabilities
(i) Borrowings 18 - 125.67
(ii) Lease liability 3 221.11 -
(iii) Other non-current financial liabilities 19 0.47 0.78
(b) Provisions 20 1.48 1.05
(c) Deferred tax liabilities (net) 21 47.39 63.29
Total non-current liabilities 270.45 190.79
Current liabilities
(i) Borrowings 22 3.73 304.15
(ii) Lease liability 3 74.35 -
(iii) Trade payables due to:- 23
Micro and small enterprises 17.47 5.44
Other than micro and small enterprises 415.98 457.83
(iv) Other current financial liabilities 24 177.94 396.93
(b) Current tax liabilities (Net) 0.45 26.78
(c) Other current liabilities 25 20.70 22.95
(d) Provisions 26 15.18 12.84
Total current liabilities 725.80 1,226.92
Total equity and liabilities 12,076.45 7,005.72
The accompanying notes are an integral part of these consolidated financial statements
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Membership No. : 36738 Chief Financial Officer Company Secretary
Statement of Consolidated Profit and Loss

(` in Crores)
Notes For the year ended For the year ended
Income
Revenue from operations 27 24,870.20 20,004.52
Other income 28 59.99 48.35
Total income 24,930.19 20,052.87
Expenses
Purchase of stock-in-trade 21,441.68 17,445.49
Changes in inventories of stock-in-trade 29 (338.75) (444.65)
Employee benefits expense 30 456.10 355.42
Finance costs 31 69.12 47.21
Depreciation and amortisation expense 32 374.41 212.49
Other expenses 33 1,182.86 1,014.97
Total expenses 23,185.42 18,630.93
Tax expense
Current tax 34 459.74 509.13
Deferred tax charge/(credit) (15.97) 18.02
Adjustment of tax related to earlier years 0.02 (7.67)
Total tax expenses 443.79 519.48
Net profit after tax 1,300.98 902.46
Other comprehensive income
Items that will not be reclassified to profit or loss
Re-measurements gains/(loss) on defined benefit plans 47 (5.38) (1.99)
Less : Income tax effect 1.30 0.68
Net other comprehensive income not to be reclassified to profit or loss in (4.08) (1.31)
subsequent year
Profit for the year 1,300.98 902.46
Attributable to:
Equity holders of the parent 1,301.08 902.54
Non-controlling interests (0.10) (0.08)
Attributable to:
Equity holders of the parent 1,297.00 901.23
Non-controlling interests (0.10) (0.08)
Earnings per equity share of `10 each: (in `) 43
Basic 20.71 14.46
Diluted 20.55 14.26

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160 Statement of Consolidated Cash Flows
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Statement of Consolidated Cash Flows

(` in Crores)
Cash flow from operating activities:
Adjustments for:
Depreciation and amortization expense 374.41 212.49
Finance cost 69.12 47.21
Interest income (32.49) (23.59)
Profit on sale of investments (10.16) (11.35)
Expense on employee stock option scheme 8.46 17.15
Rent income (2.88) (3.60)
(Gain)/ loss on disposal of property, plant and equipment (net) (2.45) (0.99)
404.01 237.32
Operating profit before working capital changes 2,148.78 1,659.26
Adjustments for:
Increase/(decrease) in trade payables (29.82) 145.99
Decrease in current provisions (3.04) (1.15)
Increase/(decrease) in other current financial liabilities 24.28 (29.45)
Increase/(decrease) in other current liabilities (2.24) 10.45
Increase in non-current provisions 0.43 0.31
Decrease in other non-current financial liabilities (0.31) -
(Increase)/decrease in trade receivables 44.82 (30.87)
Increase in inventories (338.75) (445.20)
Decrease in current investments 1.85 51.65
(Increase)/decrease in other non-current financial assets (11.33) 9.66
Increase in bank balances other than cash and cash equivalents (0.50) (0.50)
Increase in other current assets (42.43) (67.18)
(Increase)/ decrease in other financial assets (19.20) 5.64
(376.24) (350.65)
Cash flow from operating activities 1,772.54 1,308.61
Direct taxes paid (net of refunds) (492.40) (501.77)
Net cash flow from operating activities 1,280.14 806.84
Cash flow from investing activities:
Proceeds from disposal of property plant and equipment 6.15 8.44
Realisation from FDs of IPO proceeds 92.58 399.14
Realisation from FDs of QIP proceeds 129.00 -
Interest received 11.84 36.35
Gain on sale of investments 10.16 11.35
Rent income received 2.88 3.15
252.61 458.43
Purchase of property, plant and equipment/ intangible assets/investment properties (1,712.17) (1,416.80)
QIP proceeds deposited in FDs (3,197.00) -
(4,909.17) (1,416.80)
Net cash flow used in investing activities (4,656.56) (958.37)
Cash flow from financing activities:
Proceeds from issue of QIP (net of expenses) 4,076.51 -
Proceeds from of exercise of share options 110.34 -
Proceeds from long term borrowings 50.00 150.00
Proceeds from short term borrowings 261.03 55.00
Proceeds from commercial papers 789.46 786.52
Proceeds of non convertible debentures 300.00 -
5,587.34 991.52
Statement of Consolidated Cash Flows

(` in Crores)
Repayment of long term borrowings (200.00) (16.00)
Repayment of short term borrowings (315.00) (4.55)
Repayment of commercial papers (1,034.99) (540.99)
Repayment of non convertible debentures (512.00) (170.00)
Payment of lease liability (99.76) -
Interest paid (68.17) (51.00)
(2,229.92) (782.54)
Cash flow from financing activities 3,357.42 208.98
Net increase/(decrease) in cash and cash equivalent (19.00) 57.45
Cash and cash equivalents at beginning of the year (including Bank overdraft balance) 124.86 67.41
Cash and cash equivalents at end of the year 105.86 124.86
Cash and cash equivalents as per above comprises of the following
Cash and cash equivalents (Refer note:12) 105.87 124.98
Bank overdrawn (Refer note:24) (0.01) (0.12)
Balance as per statement of cash flows 105.86 124.86
Notes:
i) Reconciliation of borrowings
(` in Crores)
Opening Balance
Net movement of borrowings
Cash Flow
Non- current borrowings (including current maturity) (362.00) (36.00)
Current borrowings (300.42) 296.90
Closing Balance
ii) The cash flow statement has been prepared under the indirect method as set out in Indian Accounting Standard (Ind AS 7)
statement of cash flows.

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162 Statement of Changes in Equity | Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Statement of Changes in Equity

for the period ended 31st March, 2020
A. Equity share capital

Notes No. of Shares ` in Crores
Equity Share of `10 each issued, subscribed and fully paid 16
At 1st April, 2018 624,084,486 624.08
Issue of Share Capital - -
At 31st March, 2019 624,084,486 624.08
Issue of Share Capital 23,690,205 23.69
At 31st March, 2020 647,774,691 647.77
B. Other equity
(` in Crores)
Notes Other equity Other Non- Total
Securities Share options Debenture Retained Equity controlling
premium outstanding redemption earnings Interest
account reserve
Balance as at 1st April, 2018 1,809.77 22.67 86.95 2,125.59 4,044.98 0.64 4,045.62
Profit for the year - - - 902.54 902.54 (0.08) 902.46
Other comprehensive income for the year - - - (1.31) (1.31) - (1.31)
Share option expense 46 - 17.16 - - 17.16 - 17.16
Transfer to debenture redemption reserve - - (27.30) 27.30 - - -
Balance as at 31st March, 2019 1,809.77 39.83 59.65 3,054.12 4,963.37 0.56 4,963.93
Profit for the year - - - 1,301.08 1,301.08 (0.10) 1,300.98
Other comprehensive income for the year - - - (4.09) (4.09) - (4.09)
Exercise of share option 21.64 (21.64) - - - - -
Issue of share capital 16 4,184.65 - - - 4,184.65 - 4,184.65
Share option expense 46 - 8.45 - - 8.45 - 8.45
Transaction cost of QIP (21.49) - - - (21.49) - (21.49)
Transferred from share options - 0.01 - (0.01) - - -
outstanding account on lapse of vested
options
Transfer from debenture redemption - - (51.15) 51.15 - - -
reserve
Balance as at 31st March, 2020 5,994.57 26.65 8.50 4,402.25 10,431.97 0.46 10,432.43
Nature and purpose of reserve

Securities premium
Securities premium is used to record the premium on issue of shares. The reserve is utilised in accordance with provisions of the
Companies Act 2013.
Share options outstanding account
The share options outstanding is used to recognise the grant date fair value of options issued to employees under Avenue Supermarts
Limited Employee Stock Option Scheme, 2016 and Avenue E-Commerce Limited Employee Stock Option Scheme, 2018.
Debenture redemption reserve
The Parent Company is required to create a debenture redemption reserves out of profit which is available for the purpose of redemption
of debentures in accordance with provisions of Companies Act 2013.
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per Vijay Maniar
Notes
to the Consolidated Financial Statements for the year ended 31st March, 2020
Corporate information - Cash or cash equivalent unless restricted from

Avenue Supermarts Limited (‘The Group’) is a company limited by being exchanged or used to settle a liability for at
shares and is domiciled in India. The Parent Company’s registered least twelve months after the reporting period
office is at Anjaneya, Opp. Hiranandani Foundation School, Powai,
Mumbai, Maharashtra India 400076. The Parent Company is All other assets are classified as non-current.
primarily engaged in the business of organized retail and operates
supermarkets under the brand name of “D-Mart”. Its equity shares A liability is current when:
are listed in India on BSE Limited and National Stock Exchange
-
It is expected to be settled in normal
of India Limited.
operating cycle
The Consolidated Financial Statements have been recommended
- It is held primarily for the purpose or trading
for approval by the audit committee and is approved and adopted
by the Board in their meeting held on 23rd May, 2020.
- It is due to be settled within twelve months after
the reporting period, or
1. Summary of significant accounting policies
(a) Basis of preparation
-
There is no unconditional right to defer the
The Consolidated financial statements have been prepared
settlement of the liability for at least twelve months
in accordance with the Indian Accounting Standards
after the reporting period.
(hereinafter referred to as the ‘Ind AS’) as notified by
Ministry of Corporate Affairs pursuant to Section 133 of the
The Group classifies all other liabilities as non-current.
Companies Act, 2013 (‘the Act’) read with the Companies
(Indian Accounting standards) Rules, 2015 and other

Deferred tax assets and liabilities are
relevant provisions of the Act.
classified as non-current assets and liabilities.
The accounting policies are applied consistently to all the
The operating cycle is the time between the acquisition
periods presented in the consolidated financial statements.
of assets for processing and their realisation in cash
and cash equivalents. The Group has identified twelve
(i) Historical cost convention
months as its operating cycle.
The consolidated financial statements have
been prepared on a historical cost basis, except
(iii) Rounding off amounts
for the following:
The Consolidated financial statements are presented
in ` and all values are rounded to the nearest crores
1)
certain financial assets and liabilities that are
(` 0,000,000), except when otherwise indicated.
(b) Basis of consolidation
2) defined benefit plans - plan assets measured at
The consolidated financial statements comprise the financial
fair value;
statements of the company and its subsidiaries as at
31st March, 2020. Control is achieved when the Group is
3) share based payments.
exposed, or has rights, to variable returns from its involvement
with the investee and has the ability to affect those returns
(ii) Current non-current classification
through its power over the investee. Specifically, the Group
The Group presents assets and liabilities in the balance
controls an investee if and only if the Group has:
sheet based on current and non-current classification.
As asset is treated as current when it is:
- Power over the investee (i.e. existing rights that give
it the current ability to direct the relevant activities
- Expected to be realised or intended to be sold or
of the investee)
consumed in normal operating cycle
-
Exposure, or rights, to variable returns from its
- Held primarily for the purpose of trading
involvement with the investee, and
- Expected to be realised within twelve months
after the reporting period, or
164 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
- The ability to use its power over the investee to affect Consolidation procedure:
its returns Generally, there is a presumption that a (a) Combine like items of assets, liabilities, equity, income,
majority of voting rights result in control. To support expenses and cash flows of the parent with those of its
this presumption and when the Group has less subsidiaries. For this purpose, income and expenses of
than a majority of the voting or similar rights of an the subsidiary are based on the amounts of the assets
investee, the Group considers all relevant facts and and liabilities recognised in the consolidated financial
circumstances in assessing whether it has power over statements at the acquisition date.
an investee, including:
(b) Offset (eliminate) the carrying amount of the parent’s
-
The contractual arrangement with the other vote investment in each subsidiary and the parent’s portion
holders of the investee of equity of each subsidiary. Business combinations
policy explains how to account for any related goodwill.
- Rights arising from other contractual arrangements
(c)
Eliminate in full intragroup assets and liabilities,
- The Group’s voting rights and potential voting rights equity, income, expenses and cash flows relating to
transactions between entities of the Group (profits
- The size of the Group’s holding of voting rights relative or losses resulting from intragroup transactions that
to the size and dispersion of the holdings of the other are recognised in assets, such as inventory and fixed
voting rights holders assets, are eliminated in full). Intragroup losses may
indicate an impairment that requires recognition in the
The Group re-assesses whether or not it controls an investee consolidated financial statements. Ind AS 12 Income
if facts and circumstances indicate that there are changes to Taxes applies to temporary differences that arise from
one or more of the three elements of control. Consolidation the elimination of profits and losses resulting from
of a subsidiary begins when the Group obtains control over intragroup transactions.
the subsidiary and ceases when the Group loses control
of the subsidiary. Assets, liabilities, income and expenses Profit or loss and each component of other comprehensive
of a subsidiary acquired or disposed of during the year are income (OCI) are attributed to the equity holders of the
included in the consolidated financial statements from the parent of the Group and to the non-controlling interests,
date the Group gains control until the date the Group ceases even if this results in the non-controlling interests having a
to control the subsidiary. deficit balance. When necessary, adjustments are made
to the financial statements of subsidiaries to bring their

Consolidated financial statements are prepared using accounting policies into line with the Group’s accounting
uniform accounting policies for like transactions and other policies. All intra-group assets and liabilities, equity, income,
events in similar circumstances. If a member of the Group expenses and cash flows relating to transactions between
uses accounting policies other than those adopted in the members of the Group are eliminated in full on consolidation.
consolidated financial statements for like transactions and
events in similar circumstances, appropriate adjustments A change in the ownership interest of a subsidiary, without
are made to that Group member’s financial statements in a loss of control, is accounted for as an equity transaction.
preparing the consolidated financial statements to ensure If the Group loses control over a subsidiary, it:
conformity with the Group’s accounting policies.
-
Derecognises the assets (including goodwill) and
The financial statements of all entities used for the purpose liabilities of the subsidiary
of consolidation are drawn up to same reporting date as
that of the parent company, i.e., year ended on 31st March, -
Derecognises the carrying amount of any
2020. When the end of the reporting period of the parent is non-controlling interests
different from that of a subsidiary, the subsidiary prepares,
for consolidation purposes, additional financial information - Derecognises the cumulative translation differences
as of the same date as the financial statements of the parent recorded in equity
to enable the parent to consolidate the financial information
of the subsidiary, unless it is impracticable to do so. - Recognises the fair value of the consideration received
Notes
- Recognises the fair value of any investment retained Depreciation on property, plant and equipment
Depreciation is provided to the extent of depreciable amount
- Recognises any surplus or deficit in profit or loss on written down value method over the useful life of asset
as assessed by the management and the same is similar to
- Reclassifies the parent’s share of components previously the useful lives as prescribed in Part-C of Schedule II to the
recognised in OCI to profit or loss or retained earnings, Companies Act, 2013. Depreciation is charged on pro-rata
as appropriate, as would be required if the Group had basis for asset purchased / sold during the year.
directly disposed of the related assets or liabilities
The assets residual values, useful life and method of
(c) Property, plant and equipment (PPE) depreciation of PPE are reviewed and adjusted if appropriate,
On transition to Ind AS, The Group has elected to continue at the end of each reporting period.
with the carrying value of all its property plant and equipment
recognized as at 1st April, 2015 measured as per the previous (d) Business combinations and goodwill
GAAP and use that carrying value as the deemed cost of The Group has accounted business combinations using the
the property, plant and equipment. (Referred to as “historical acquisition method. The cost of an acquisition is measured
cost” in this section”) as the aggregate of the consideration transferred measured
at acquisition date fair value. Acquisition-related costs are
Freehold land is carried at historical cost. All other item of expensed as incurred.
property, plant and equipment are stated at historical cost
less depreciation. Historical cost includes expenditure that is At the acquisition date, the identifiable assets acquired and
directly attributable to the acquisition of items. the liabilities assumed are recognised at their acquisition
date fair values.
Capital work-in-progress , property, plant and equipment is
stated at cost, net of accumulated depreciation. Such cost If the business combination is achieved in stages, any
includes the cost of replacing part of the property, plant and previously held equity interest is re-measured at its acquisition
equipment and borrowing cost for long-term construction date fair value and any resulting gain or loss is recognised in
projects if the recognition criteria are met. When significant profit or loss or OCI, as appropriate.
parts of property, plant and equipment are required to be
replaced at intervals, The Group depreciates them separately Goodwill is initially measured at cost, being the excess of the
based on thier specific useful lifes. Likewise, when a major aggregate of the consideration transferred and the amount
inspection is performed, its cost is recognised in the recognised for non-controlling interests, and any previous
carrying amount of the property, plant and equipment as a interest held, over the net identifiable assets acquired and
replacement if the recognition criteria are satisfied. All other liabilities assumed. If the fair value of the net assets acquired
repairs and maintenance costs are recognised in profit or is in excess of the aggregate consideration transferred, the
loss as incurred. Group re-assesses whether it has correctly identified all of
the assets acquired and all of the liabilities assumed and
Capital work-in-progress comprises cost of property, plant reviews the procedures used to measure the amounts to be
and equipment (including related expenses), that are not yet recognised at the acquisition date. If the reassessment still
ready for their intended use at the reporting date. results in an excess of the fair value of net assets acquired
over the aggregate consideration transferred, then the gain
Subsequent costs are included in the assets carrying is recognised in OCI and accumulated in equity as capital
amount or recognized as a separate asset, as appropriate, reserve. However, if there is no clear evidence of bargain
only when it is probable that future economic benefits purchase, the entity recognises the gain directly in equity as
associated with the item will flow to The Group and the capital reserve, without routing the same through OCI.
cost of the item can be measured reliably. The carrying
amount of any component accounted for as a separate After initial recognition, goodwill is measured at cost less
asset is derecognized when replaced. All other repairs any accumulated impairment losses. For the purpose
and maintenance are charged to profit or loss during the of impairment testing, goodwill acquired in a business
reporting period in which they are incurred. combination is, from the acquisition date, allocated to each
of the Group’s cash-generating units that are expected to
benefit from the combination, irrespective of whether other
assets or liabilities of the acquiree are assigned to those units.
166 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
A cash generating unit to which goodwill has been allocated Amortisation on intangible assets
is tested for impairment annually, or more frequently when Amortisation is provided on straight line method over the useful
there is an indication that the unit may be impaired. If the life of asset as assessed by the management and the same is
recoverable amount of the cash generating unit is less than similar to the useful lives as prescribed in Part-C of Schedule
its carrying amount, the impairment loss is allocated first II to the Companies Act, 2013. Amortisation is charged on
to reduce the carrying amount of any goodwill allocated to pro-rata basis for asset purchased / sold during the year.
the unit and then to the other assets of the unit pro rata
based on the carrying amount of each asset in the unit. Estimated useful life of assets are as follows:
Any impairment loss for goodwill is recognised in profit
or loss. An impairment loss recognised for goodwill is not Computer Software - 5 years, Trademarks - 5 - 10 years
reversed in subsequent periods.
(f) Investment properties
(e) Intangible assets On transition to Ind AS, The Group has elected to continue
On transition to Ind AS, The Group has elected to continue with the carrying value of all its investment properties
with the carrying value of all its intangible assets recognized recognized as at 1st April, 2015 measured as per the previous
as at 1st April, 2015 measured as per the previous GAAP GAAP and use that carrying value as the deemed cost of
and use that carrying value as the deemed cost of investment properties.
intangible assets.
Investments in property that are not intended to be
Intangible assets acquired separately are measured on initial occupied substantially for use by, or in the operations of
recognition at cost. The cost of intangible assets acquired The Group, have been classified as investment property.
in a business combination is their fair value at the date of Investment properties are measured initially at its cost
acquisition. Following initial recognition, intangible assets including transaction cost and where applicable borrowing
are carried at cost less any accumulated amortisation costs. Subsequent to initial recognition, investment
and accumulated impairment losses.Intangible assets are properties are stated at cost less accumulated depreciation
amortised on a written down value basis over the economic and accumulated impairment loss, if any. Subsequent cost
useful life estimated by the management. are included in the assets carrying amount or recognized as a
separate asset, as appropriate, only when it is probable that
Intangible assets with finite lives are amortised over the useful future economic benefits associated with the item will flow to
economic life and assessed for impairment whenever there The Group and the cost of the item can be measured reliably.
is an indication that the intangible asset may be impaired. All other repairs and maintenance are charged to profit or
The amortisation period and the amortisation method for loss during the reporting period in which they are incurred.
an intangible asset with a finite useful life are reviewed at
least at the end of each reporting period. Changes in the Though The Group measures investment property using cost
expected useful life or the expected pattern of consumption based measurement, the fair value of investment property is
of future economic benefits embodied in the asset are disclosed in the notes. Fair values are determined based on
considered to modify the amortisation period or method, an annual evaluation performed by an accredited external
as appropriate, and are treated as changes in accounting independent valuer applying a valuation model recommended
estimates. The amortisation expense on intangible assets by the International Valuation Standards Committee.
with finite lives is recognised in the statement of profit and
loss unless such expenditure forms part of carrying value
The Group depreciates its investment properties
of another asset. over the useful life which is similar to that of Property,
Plant and Equipment
Gains or losses arising from derecognition of an intangible
asset are measured as the difference between the net Investment properties are derecognised either when they
disposal proceeds and the carrying amount of the asset and have been disposed of or when they are permanently
are recognised in the statement of profit or loss when the withdrawn from use and no future economic benefit is
asset is derecognised. expected from their disposal. The difference between the
net disposal proceeds and the carrying amount of the asset
is recognised in profit or loss in the period of derecognition.
Notes
(g) Impairment of non financial assets asset or assets, even if that right is not explicitly specified in
The Group assesses, at each reporting date, whether there is an arrangement.
an indication that an asset may be impaired. If any indication
exists, or when annual impairment testing for an asset is As a lessee
required, The Group estimates the asset’s recoverable Finance leases are capitalised at the commencement of the
amount. An asset’s recoverable amount is the higher of an lease at the inception date fair value of the leased property or,
asset’s or cash-generating unit’s (CGU) fair value less costs if lower, at the present value of the minimum lease payments.
of disposal and its value in use. Recoverable amount is Lease payments are apportioned between finance charges
determined for an individual asset, unless the asset does not and reduction of the lease liability so as to achieve a
generate cash inflows that are largely independent of those constant rate of interest on the remaining balance of the
from other assets or Groups of assets. When the carrying liability. Finance charges are recognised in finance costs
amount of an asset or CGU exceeds its recoverable amount, in the statement of profit and loss, unless they are directly
the asset is considered impaired and is written down to its attributable to qualifying assets, in which case they are
recoverable amount. capitalized in accordance with the company’s general policy
on the borrowing costs. Contingent rentals are recognised
In assessing value in use, the estimated future cash flows as expenses in the periods in which they are incurred.
are discounted to their present value using a pre-tax
discount rate that reflects current market assessments of A leased asset is depreciated over the useful life of the
the time value of money and the risks specific to the asset. asset. However, if there is no reasonable certainty that the
In determining fair value less costs of disposal, recent market Company will obtain ownership by the end of the lease term,
transactions are taken into account. the asset is depreciated over the shorter of the estimated
useful life of the asset and the lease term.
Impairment losses are recognised in the statement of profit
and loss, except for properties previously revalued with the Leases in which a significant portion of the risks and rewards
revaluation surplus taken to OCI. of ownership are retained by the lessor are classified as
operating leases. Payments made under operating leases
For assets, an assessment is made at each reporting date are charged to the Statement of Profit and Loss on a
to determine whether there is an indication that previously straight-line basis over the period of the lease unless the
recognised impairment losses no longer exist or have payments are structured to increase in line with expected
decreased. If such indication exists, The Group estimates general inflation to compensate for the lessor’s expected
the asset’s or CGU’s recoverable amount. A previously inflationary cost increases.
recognised impairment loss is reversed only if there has
been a change in the assumptions used to determine the Amortisation on right to use assets
asset’s recoverable amount since the last impairment loss Amortisation is provided on straight line method over
was recognised. The reversal is limited so that the carrying the useful life of asset as assessed by the management.
amount of the asset does not exceed its recoverable amount, Amortisation is charged on pro-rata basis for asset
nor exceed the carrying amount that would have been purchased / sold during the year.
determined, net of depreciation, had no impairment loss
been recognised for the asset in prior years. Such reversal is As a lessor
recognised in the statement of profit or loss unless the asset Leases in which the Company does not transfer substantially
is carried at a revalued amount, in which case, the reversal is all the risks and rewards of ownership of an asset are
treated as a revaluation increase. classified as operating leases. Rental income from operating
lease is recognised on a straight-line basis over the term of
(h) Leases the relevant lease. Initial direct costs incurred in negotiating
As per Ind AS 116 “Leases”, the determination of whether and arranging an operating lease are added to the carrying
an arrangement is (or contains) a lease is based on the amount of the leased asset and recognised over the lease
substance of the arrangement at the inception of the lease. term on the same basis as rental income. Contingent rents
The arrangement is, or contains, a lease if fulfilment of the are recognised as revenue in the period in which they are
arrangement is dependent on the use of a specific asset earned unless the receipts are structured to increase in
or assets and the arrangement conveys a right to use the line with expected general inflation to compensate for the
expected inflationary cost increases.
168 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
Leases are classified as finance leases when substantially Financial asset

all of the risks and rewards of ownership transfer from the (i) Classification
Company to the lessee. Amounts due from lessees under The Group classifies its financial assets in the following
finance leases are recorded as receivables at the Company’s measurement categories:
net investment in the leases. Finance lease income is
allocated to accounting periods so as to reflect a constant *
those to be measured subsequently at fair value
periodic rate of return on the net investment outstanding in (either through other comprehensive income, or
respect of the lease. through the Statement of Profit and Loss), and
Ind AS 17 also contains similar requirements for recognition * those measured at amortised cost.
of lease rental income under operating leases. The company
has determined that it does not meet criteria for recognition The classification depends on The Group’s business
of lease rental expense/ income on a basis other than model for managing the financial assets and the
straight-line basis. contractual terms of the cash flows.
(i) Cash and cash equivalents For assets measured at fair value, gains and losses will
Cash and cash equivalent in the balance sheet comprises either be recorded in the Statement of Profit and Loss or
cash at banks and on hand and short term deposits with an other comprehensive income. For investments in debt
original maturity of three months or less, which are subject instruments, this will depend on the business model in
to an insignificant risk of change in value. For the purpose which the investment is held. For investments in equity
of consolidated financial statement of cash flow, cash and instruments, this will depend on whether The Group has
cash equivalent consists of cash and short term deposits, made an irrevocable election at the time of initial recognition
as defined above, net of outstanding bank overdrafts to account for the equity investment at fair value through
as they are considered an integral part of The Group’s other comprehensive income. The Group reclassifies debt
cash management. investments when and only when its business model for
managing those assets changes.
(j) Trade receivables
Trade receivables are recognised initially at fair value and (ii) Measurement
subsequently measured at amortised cost using the effective At initial recognition, The Group measures a financial
interest method less provision for impairment. asset at its fair value plus, in the case of a financial asset
not at fair value through the Statement of Profit and
(k) Inventories Loss, transaction costs that are directly attributable to
Inventories are valued at lower of cost and net realizable the acquisition of the financial asset. Transaction costs
value. Cost of inventories, comprise costs of purchase of financial assets carried at fair value through the
and other costs incurred in bringing the inventories to their Profit and Loss are expensed in the Statement of
present condition and location. Cost is determined by Profit and Loss.
the weighted average cost method. Costs of purchased
inventory are determined after deducting rebates and Financial assets with embedded derivatives are
discounts. Net realizable value is the estimated selling considered in their entirety when determining
price in the ordinary course of business less the estimated whether their cash flows are solely payment of
costs of completion and the estimated cost necessary principal and interest.
to make the sale.
Debt instruments:
(l) Financial instruments
Subsequent measurement of debt instruments
A Financial instrument is any contract that gives rise to a depends on The Group’s business model for managing
financial assets of one entity and a financial liability or equity the asset and the cash flow characteristics of the
instrument of another entity. asset. There are three measurement categories into
which The Group classifies its debt instruments:
Notes
* Amortised cost: A ‘debt instrument’ is measured instrument, which does not meet the criteria for
at the amortised cost if both the following categorization as at amortized cost or as FVTOCI, is
conditions are met: classified as at FVTPL.
a)
The asset is held within a business model In addition, The Group may elect to designate a debt
whose objective is to hold assets for collecting instrument, which otherwise meets amortized cost or
contractual cash flows, and FVTOCI criteria, as at FVTPL. However, such election
is allowed only if doing so reduces or eliminates a
b)
Contractual terms of the asset give rise on measurement or recognition inconsistency (referred
specified dates to cash flows that are solely to as ‘accounting mismatch’). The Group has not
payments of principal and interest (SPPI) on the designated any debt instrument as at FVTPL.
principal amount outstanding.

Debt instruments included within the FVTPL
This category is the most relevant to The Group. category are measured at fair value with all changes
After initial measurement, such financial assets are recognized in the P&L.
subsequently measured at amortised cost using the
effective interest rate (EIR) method. Amortised cost Equity instruments:
is calculated by taking into account any discount or
The Group subsequently measures all equity
premium on acquisition and fees or costs that are an investments at fair value. Where The Group’s
integral part of the EIR. The EIR amortisation is included management has elected to present fair value gains and
in finance income in the profit or loss. The losses arising losses on equity investments in other comprehensive
from impairment are recognised in the statement of income, there is no subsequent reclassification of fair
profit and loss account. This category generally applies value gains and losses to the Statement of Profit and
to trade and other receivables Loss. Dividends from such investments are recognised
in the Statement of Profit and Loss as other income
* Fair value through other comprehensive income when The Group’s right to receive payments
(FVTOCI): A ‘debt instrument’ is classified as at the is established.
FVTOCI if both of the following criteria are met
Changes in the fair value of financial assets at fair
a) The objective of the business model is achieved value through the Statement of Profit and Loss are
both by collecting contractual cash flows and recognised in other income / other expenses in the
selling the financial assets, and Statement of Profit and Loss. Impairment losses (and
reversal of impairment losses) on equity investments
b) The asset’s contractual cash flows represent SPPI. measured at FVOCI are not reported separately from
other changes in fair value.
Debt instruments included within the FVTOCI category
are measured initially as well as at each reporting date (iii) Impairment of financial assets
at fair value. Fair value movements are recognized in The Group assesses on a forward looking basis the
the other comprehensive income (OCI). However, The expected credit losses associated with its assets
Group recognizes interest income, impairment losses carried at amortised cost and FVOCI debt instruments.
& reversals and foreign exchange gain or loss in the The impairment methodology applied depends
statement of profit and loss account. On derecognition on whether there has been a significant increase
of the asset, cumulative gain or loss previously in credit risk.
recognised in OCI is reclassified from the equity to
statement of profit and loss account. Interest earned For trade receivables only, The Group applies the
whilst holding FVTOCI debt instrument is reported as simplified approach permitted by Ind AS 109 Financial
interest income using the EIR method. Instruments, which requires expected lifetime losses to
be recognised from initial recognition of the receivables.
*
Fair value through profit and loss: FVTPL is a
residual category for debt instruments. Any debt
170 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
(iv) Derecognition of financial assets (o) Borrowings and other financial liabilities
A financial asset is derecognised only when Borrowings and other financial liabilities are initially
recognised at fair value (net of transaction costs incurred).
* The Group has transferred the rights to receive cash Difference between the fair value and the transaction
flows from the financial asset or proceeds on initiation is recognised as an asset / liability based
on the underlying reason for the difference. Subsequently all
*
retains the contractual rights to receive the financial liabilities are measured at amortised cost using the
cash flows of the financial asset, but assumes a effective interest rate method.
contractual obligation to pay the cash flows to one or
more recipients. Borrowings are removed from the balance sheet when the
obligation specified in the contract is discharged, cancelled
Where The Group has transferred an asset, The Group or expired. The difference between the carrying amount of
evaluates whether it has transferred substantially all a financial liability that has been extinguished or transferred
risks and rewards of the financial asset. In such cases, to another party and the consideration paid, including any
the financial asset is derecognised. Where The Group non-cash transferred or liabilities assumed, is recognised in
has not transferred substantially all risks and rewards the Statement of Profit and Loss.
of ownership of the financial asset, the financial asset is
not derecognised. Borrowings are classified as current liabilities unless The
Group has an unconditional right to defer settlement of the
Where The Group has neither transferred a financial liability for at least 12 months after the reporting period.
asset nor retains substantially all risks and rewards of Where there is a breach of a material provision of a long-term
ownership of the financial asset, the financial asset is loan arrangement on or before the end of the reporting period
derecognised if The Group has not retained control of with the effect that the liability becomes payable on demand
the financial asset. Where The Group retains control on the reporting date, the entity does not classify the liability
of the financial asset, the asset is continued to be as current, if the lender agreed, after the reporting period and
recognised to the extent of continuing involvement in before the approval of the financial statements for issue, not
the financial asset. to demand payment as a consequence of the breach.
Financial liabilities (p) Borrowing costs

(m) Offsetting financial instruments General and specific borrowing costs that are directly
Financial assets and liabilities are offset and the net amount attributable to the acquisition or construction of qualifying
is reported in the balance sheet where there is a legally assets are capitalized during the period of time that is
enforceable right to offset the recognised amounts and there required to complete and prepare the asset for its intended
is an intention to settle on a net basis or realise the asset use. Other borrowing costs are expensed in the period in
and settle the liability simultaneously. The legally enforceable which they are incurred.
right must not be contingent on future events and must be
enforceable in the normal course of business and in the Investment income earned on the temporary investment of
event of default insolvency or bankruptcy of The Group or specific borrowings pending their expenditure on qualifying
the counterparty. assets is deducted from the borrowing costs eligible for
capitalization.
(n) Trade and other payables
These amounts represent liabilities for goods and services Borrowing cost consist of interest and other cost that an
provided to The Group prior to the end of financial year entity incurs in connection with borrowing of funds.
which are unpaid. The amounts are unsecured. Trade and
other payables are presented as current liabilities unless (q) Provisions and contingent liabilities
payment is not due within 12 months after the reporting Provisions are recognised when The Group has a present
period. They are recognised initially at their fair value and legal or constructive obligation as a result of past events, it is
subsequently measured at amortised cost using the effective probable that an outflow of resources embodying economic
interest method. benefit will be required to settle the obligation and the
amount can be reliably estimated.
Notes

Provisions are measured at the present value of the sales value along with the cost of inventory is disclosed
management’s best estimate of the expenditure required to seprately as sale of goods on approval basis and cost of
settle the present obligation at the end of the reporting period. goods sold on approval basis and forms part of Revenue
The discount rate used to determine the present value is a in the Statement of Profit and Loss. Only the net revenue
pre tax rate that reflects current market assessments of the earned i.e. margin is recorded as a part of revenue.
time value of money and the risks specific to the liability.
The increase in the provision due to the passage of time is Rental income
recognised as finance cost. Rental income arising from operating lease on investment
properties is accounted for on a straight line basis over
Contingent Liabilities are disclosed in respect of possible lease terms unless the receipts are structured to increase
obligations that arise from past events but their existence in line with expected general inflation to compensate for the
will be confirmed by the occurrence or non occurrence of expected inflationary cost increases and is included in the
one or more uncertain future events not wholly within the Statement of profit or loss due to its operating nature.
control of The Group or where any present obligation cannot
be measured in terms of future outflow of resources or where Interest income
a reliable estimate of the obligation cannot be made. Interest income is recognised based on time proportion basis
considering the amount outstanding and rate applicable
A contingent asset is disclosed, where an inflow of economic (EIR). Interest income in included in the Other Income in the
benefits is probable. An entity shall not recognize a contingent statement of Profit and Loss.
asset unless the recovery is virtually certain.
(s) Retirement and other employee benefits
(r) Revenue from Operations (i) Short-term obligations
Revenue from operations is recognised to the extent that it Liabilities for wages and salaries, including
is probable that economic benefit will flow to The Group and non-monetary benefits that are expected to be settled
the revenue can be reliably measured regardless of when wholly within 12 months after the end of the period
the payment is being made as per IND AS 115. Revenue is in which the employees render the related service
measured at the fair value of the consideration received or are recognised in respect of employees’ services up
receivable, taking into account contractually defined terms of to the end of the reporting period and are measured
payment and excluding taxes or duties collected on behalf at the amounts expected to be paid when the
of the government liabilities are settled.
Sale of goods Retirement benefit in the form of provident fund

Revenue from sale of goods is recognised on delivery of is a defined contribution plan. The Group has no
merchandise to the customer, when the property in the obligation, other than the contribution payable to the
goods is transferred for a price, and significant risks and provident fund. The Group recognises contribution
rewards have been transferred and no effective ownership payable to the provident fund scheme as an expense,
control is retained. Revenue from the sale of goods is when an employee renders the related services. If the
measured at the fair value of the consideration received or Contribution payable to the scheme for service received
receivable, net of returns and allowances, trade discounts before the balance sheet date exceeds the contribution
and volume rebates. It is The Parent Company’s policy to sell already paid, the deficit payable to the scheme is
its products to the end customers with a right of return within recognised as a liability after deducting the contribution
7 days. Historical experience is used to estimate and provide already paid. If the contribution already paid exceeds
for such returns at the time of sales. the contribution due for services received before
the balance sheet date,then excess is recognised
The Group has generally concluded that it is the principal as an asset to the extent that the prepayment will
in its revenue arrangements, except for the agency services lead to , for example , a reduction in future payment
below, because it typically controls the goods or services or a cash refund.
before transferring them to the customer.
ii) Other long-term employee benefit obligations
Principal versus agent consideration The liabilities for earned leave and sick leave that are
The inventory of third party does not pass to The Group till not expected to be settled wholly within 12 months
the product is sold. At the time of sale of such inventory, are measured at the present value of expected future
172 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
payments to be made in respect of services provided The fair value determined at the grant date of the
by employees up to the end of the reporting period equity-settled share based payment is expensed on a
using the projected unit credit method. The benefits are straight line basis over the vesting period, based on
discounted using the Government Securities (G-Sec) The Group’s estimate of equity instruments that will
at the end of the reporting period that have terms eventually vest, with a corresponding increase in equity.
approximating to the terms of the related obligation. At the end of each reporting period , The Group revises
Remeasurements as a result of experience adjustments its estimates of the number of equity instruments
and changes in actuarial assumptions are recognised expected to vest. The impact of the revision of the
in the Statement of Profit and Loss. original estimates, if any is , recognised in Statement
of Profit and Loss such that the cumulative expenses
The obligations are presented as current liabilities reflects the revised estimate,with a corresponding
in the balance sheet if the entity does not have an adjustment to the shared option outstanding account.
unconditional right to defer settlement for at least
12 months after the reporting period, regardless of No expense is recognised for options that do not
when the actual settlement is expected to occur. ultimately vest because non market performance
and/or service conditions have not been met.
iii) Post-employment obligations
Defined benefit plans The dilutive effect of outstanding options is reflected as
Gratuity additional share dilution in the computation of diluted
The liability or asset recognised in the balance sheet earnings per share.
in respect of defined benefit gratuity plans is the
present value of the defined benefit obligation at the Expense relating to options granted to employees of the
end of the reporting period less the fair value of plan subsidiaries under The Group’s share based payment
assets. The defined benefit obligation is calculated plan, is recovered from the subsidiary. Such recovery is
annually by independent actuary using the projected reduced from employee benefit expense.
unit credit method. The present value of the defined
benefit obligation denominated in INR is determined (t) Foreign currency transactions
by discounting the estimated future cash outflows by (a) Functional and presentation currency:
reference to market yields at the end of the reporting Items included in the financial statements of The
period on government bonds that have terms Group are measured using the currency of the primary
approximating to the terms of the related obligation. economic environment in which the entity operates.
The Consolidated Financial statements are presented
The net interest cost is calculated by applying the in INR, which is functional and presentational currency.
discount rate to the net balance of the defined benefit
obligation and the fair value of plan assets. This cost is (b Transaction and balances :
included in employee benefit expense in the Statement Transaction in currencies other than than entity’s
of Profit and Loss. Remeasurement gains and losses functional currency (foreign currencies) are recognised
arising from experience adjustments and changes in at the rates of exchange prevailing at the dates of
actuarial assumptions are recognised in the period the transaction.
in which they occur, directly in other comprehensive
income. They are included in retained earnings in the
Exchange differences arising on settlement or
statement of changes in equity and in the balance translation of monetary items are recognised in the
sheet. Changes in the present value of the defined Statement of Profit and Loss.
benefit obligation resulting from plan amendments
or curtailments are recognised immediately in the Non monetary items carried at fair value that are
Statement of profit or loss as past service cost. denominated in foreign currencies are retranslated at
the rates prevailing at the date when the fair value was
Share based payment determined. Non-monetary items that are measured in
Equity settled share based payments to employees terms of historical cost in a foreign currency are not
and other providing similar services are measured at retransacted. The gain or loss arising on translation of
fair value of the equity instruments at grant date non-monetary items measured at fair value is treated
in line with the recognition of the gain or loss on the
change in fair value of the item.
Notes
(u) Income tax - the weighted average number of additional equity

Current income tax assets and liabilities are measured at shares that would have been outstanding assuming
the amount expected to be recovered from or paid to the the conversion of all dilutive potential equity shares.
taxation authorities. The tax rates and tax laws used to
compute the amount are those that enacted or substantively (w) Fair value measurement
enacted, at the reporting date in the countries where The The Group measures financial instrument at fair value at
Group operates and generates taxable income. each Balance sheet date.
Deferred income tax is provided using the liability method Fair value is the price that would received to sell an assets or
on temporary differences arising between the tax bases of paid to transfer a liability in an orderly transaction between
assets and liabilities and their carrying amount for financial market participant at the measurement date.
reporting purpose at the reporting date. Deferred tax assets
and liabilities are determined using tax rates (and laws) that The fair values of the financial assets and liabilities are
have been enacted or substantially enacted by the end of included at the amount at which the instrument could be
the reporting period and are expected to apply when the exchanged in a current transaction between willing parties,
asset is realised or the liability is settled. other than in a forced or liquidation sale.
Deferred tax assets are recognised for all deductible The following methods and assumptions were used to
temporary differences and unused tax losses, only if, it is estimate the fair values:
probable that future taxable amounts will be available to
utilise those temporary differences and losses. 1.
Fair value of cash and deposits, trade and other
receivables, trade payables, other current liabilities,
Deferred tax assets and liabilities are offset when there is short term loans from banks approximate their
a legally enforceable right to offset current tax assets and carrying amounts largely due to short term maturities
liabilities and when the deferred tax balances relate to the of these instruments.
same taxation authority. Current tax assets and tax liabilities
are off set where The Group has a legally enforceable right to 2. The fair values of non-current borrowings are based
offset and intends either to settle on a net basis, or to realize on discounted cash flows using a current borrowing
the asset and settle the liability simultaneously. rate. They are classified as level 3 fair values in the fair
value hierarchy due to the use of unobservable inputs,
Current and deferred tax is recognised in the Statement including own credit risk.
of Profit and Loss, except to the extent that it relates to
items recognised in other comprehensive income or directly 3. For financial assets and liabilities that are measured
in equity. In this case, the tax is also recognised in other at fair value, the carrying amounts are equal to
comprehensive income or directly in equity, respectively the fair values.
(v) Earnings Per Share The Group uses the following hierarchy for determining
Basic earnings per share and disclosing the fair value of financial instruments by
Basic earnings per share is calculated by dividing: valuation technique:
- the profit attributable to equity shareholder of The Group Level 1: quoted (unadjusted) prices in active markets for
identical assets or liabilities.
- by the weighted average number of equity shares
outstanding during the financial year Level 2: other techniques for which all inputs which have a
significant effect on the recorded fair value are observable,
Diluted earnings per share either directly or indirectly.
Diluted earnings per share adjusts the figures used in the
determination of basic earnings per share to take into account: Level 3: techniques which use inputs that have a significant
effect on the recorded fair value that are not based on
-
the after income tax effect of interest and other observable market data.
financing costs associated with dilutive potential
equity shares, and
174 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
(x)
Significant accounting judgement, estimates and assumptions that may differ from actual developments in
assumption the future. These include the determination of the discount
The preparation of consolidated financial statements requires rate, future salary increases and mortality rates. Due to the
the use of accounting estimates which by definition will seldom complexities involved in the valuation and its long-term
equal the actual results. Management also need to exercise nature, a defined benefit obligation is highly sensitive to
judgement in applying The Group’s accounting policies. changes in these assumptions. All assumptions are reviewed
at each reporting date.
Share based payment
The Group initially measures the cost of equity settled The parameter most subject to change is the discount
transaction with employees using Black Scholes model rate. In determining the appropriate discount rate for plans
to determine the fair value of the liability incurred. operated in India, the management considers the interest
Estimating fair value for share-based payment transaction rates of government bonds in currencies consistent with the
requires determination of the most appropriate valuation currencies of the post-employment benefit obligation.
model, which is dependent on the terms and conditions of
the grant. The estimates also requires determination of the The mortality rate is based on publicly available mortality
most appropriate inputs to the valuation model including tables for the specific countries. Those mortality tables
expected life of the share option, volatility and dividend tend to change only at interval in response to demographic
yield and making assumptions about them. For equity changes. Future salary increases and gratuity increases are
settled share based payment transaction, the liability based on expected future inflation rates.
needs to be re-measured at the end of each reporting
period upto the date of settlement, with any changes in Further details about gratuity obligations are given in
fair value recognised in the Statement of Profit and Loss. note no 47.
This requires a re-assessment of the estimates used at
end of each reporting period. The assumption and models (y) Segment reporting
used for estimating the fair value for share based-payment Operating segments are reported in a manner consistent with
transaction are disclosed in note no 46. the internal reporting provided to the chief operating decision
maker being Managing Director of The Group . The Managing
Provision for inventory Director assesses the financial performance and position of
The Group has calculated the provision for inventory basis The Group as a whole, and makes strategic decisions.
the percentage as per historical experience for inventory
lying from the last inventory count date to the reporting date. (z) Cash flow
The investing and financing activities in cash flow statement
Defined benefit plans (gratuity benefits) do not have a direct impact on current cash flows although
The cost of the defined benefit gratuity plan and other they do affect the capital and asset structure of an entity.
post-employment medical benefits and the present value The Group has disclosed these transactions, to the extent
of the gratuity obligation are determined using actuarial material, in notes to cash flow statement.
valuations. An actuarial valuation involves making various
2 Property, plant and equipment
(` in Crores)
Freehold land Leasehold Buildings Leasehold Plant and Computers Furniture and Vehicles Office Electrical Total
(Refer note land (Refer note : improvement equipment fixtures equipment installations
: 2,7) 1,4,6 Notes
Cost
Balance as at 1st April, 2018 1,048.30 389.96 1,718.16 39.02 123.79 53.17 140.47 2.21 21.46 124.56 3,661.10
Additions 577.44 16.99 401.39 18.39 69.61 23.69 67.38 1.02 8.32 27.10 1,211.33
Disposals 4.51 - 0.17 0.20 2.50 0.80 2.20 0.22 0.36 0.52 11.48
Balance as at 31st March, 2019 1,621.23 406.95 2,115.98 57.21 190.90 76.06 205.65 3.01 29.42 151.14 4,857.55
Additions 643.03 - 595.68 12.68 83.10 20.92 65.31 0.82 9.80 57.03 1,488.37
Disposals 1.32 - 0.09 0.82 1.71 1.80 2.60 0.26 0.58 0.21 9.39
Balance as at 31st March, 2020 2,262.94 (0.00) 2,712.27 69.07 272.29 95.18 268.36 3.57 38.64 207.96 5,930.28
Avenue Supermarts Limited | ANNUAL REPORT 2019-20
Depreciation
Balance as at 1st April, 2018 - 12.44 170.87 8.09 42.13 32.68 55.94 1.00 11.84 50.10 385.09
Charge for the year - 4.47 93.56 5.01 24.60 18.40 28.91 0.54 5.64 21.89 203.02
Disposals - 0.00 0.03 0.09 1.43 0.59 1.25 0.15 0.26 0.31 4.11
Balance as at 31st March, 2019 - 16.91 263.92 13.01 65.30 50.49 83.60 1.39 17.22 71.68 583.52
Charge for the year - - 112.31 23.47 34.30 19.51 37.83 0.65 7.38 26.42 261.87
Disposals - - 0.05 0.51 1.14 1.52 1.64 0.22 0.51 0.12 5.71
Balance as at 31st March, 2020 - - 376.33 35.97 98.46 68.48 119.79 1.82 24.09 97.98 822.92
Net book value
Balance as at 31st March, 2019 1,621.23 390.04 1,852.06 44.20 125.60 25.57 122.05 1.62 12.20 79.46 4,274.03
Balance as at 31st March, 2020 2,262.94 - 2,335.94 33.10 173.83 26.70 148.57 1.75 14.55 109.98 5,107.36
* For the Notes please refer next page
to the Consolidated Financial Statements for as at 31st March, 2020
175
Notes:
1. Building includes following amounts for construction under built operate and transfer (BOT) arrangement.
176
(` in Crores)
Particulars As at As at
Notes
Net block 32.71 34.70
2. Freehold land includes ` 344.23 Crores (31st March, 2019 : ` 134.63 Crores) being property purchased, for which mutation is pending.
3. Details of Capital work in progress-
(` in Crores)
Opening Balance 376.84 147.07
Additions during the year 729.12 643.59
Transfer / Adjustment during the year (741.56) (413.82)
Closing Balance 364.40 376.84
Notes
4. Building and CWIP includes interest capitalised on borrowings for FY 2019-20 `16.97 Crores (FY 2018-19: ` 3.10 Crores)
5. Assets pledged as security for borrowings is disclosed under note 36.

NOTICE OF THE AGM
6, Building includes Net book value of plant and equipment fitting of ` 34.79 Crores (31st March, 2019 : ` 43.98 Crores).
STATUTORY REPORTS
CORPORATE OVERVIEW
7, Freehold land `10.65 Crores being the value of a land purchased by the Parent Company at Nagpur from Pramod Walmandhare and others. The Parent Company has filed the appeal
before Deputy Director of Land records (DDLR) at Nagpur thereby challenging the Order dated 7th July, 2017 (by Virtue of which Ownership of the Pramod Walmandre and Others is
affected) passed by Superintend of Land Records, Nagpur against Nagpur Improvement Trust and others. The said matter is pending before DDLR, Nagpur. Title deed in respect of the
said property is held in the name of the Parent Company.
to the Consolidated Financial Statements as at 31st March, 2020
Notes
3 Right to use assets

(` in Crores)
Land Building Total
(Refer note: 1)
Cost
Additions 70.60 95.35 165.95
Amortisation
Balance as at 1st April 2019 - - -
Net book value

Notes:
1. Right to use land includes following amounts paid as premium under built operate and transfer (BOT) arrangement.
(` in Crores)
Net block 13.07 13.23
2. Effective 1st April, 2019, the Group has adopted Ind AS 116 “Leases’ and applied the standard to all lease contracts existing on
the date of initial application i.e. 1st April, 2019. The Group has used the modified retrospective approach for transitioning to Ind AS
116 with right of use asset recognized at an amount equal to the lease liability adjusted for any prepayments/accruals recognized
in the balance sheet immediately before the date of initial application. Accordingly, comparatives for the year ended 31st March,
2019 have not been retrospectively adjusted.
At the commencement date of a lease, a lessee will recognise a liability to make lease payments (i.e., the lease liability)
and an asset representing the right to use the underlying asset during the lease term (i.e., the right-of-use asset).
Lessees will be required to separately recognise the interest expense on the lease liability and the depreciation expense on the
right-of-use asset.
The Group shall remeasure the lease liability upon the occurrence of certain events (e.g., a change in the lease term,
a change in future lease payments resulting from a change in an index or rate used to determine those payments).
The Group will generally recognise the amount of the re-measurement of the lease liability as an adjustment to the
right-of-use asset.
The operating leases recorded on the balance sheet following implementation of Ind AS 116 are principally in respect of leasehold
land and other identified assets representing right to use as per contracts excluding low value assets and short term leases of 12
months or less.
178 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
Leases previously accounted for as operating leases
The Group recognised right of use assets and lease liabilities for those leases previously classified as operating leases, except
for short-term leases and leases of low-value assets. The right of use assets for most leases were recognised based on the
carrying amount as if the standard had always been applied, apart from the use of incremental borrowing rate at the date of
initial application. In some leases, the right of use assets were recognised based on the amount equal to the lease liabilities,
adjusted for any related prepaid and accrued lease payments previously recognised. Lease liabilities were recognised based
on the present value of the remaining lease payments, discounted using the incremental borrowing rate at the date of initial
application.
The Group has also applied the available practical expedients wherein it:
• Used a single discount rate to a portfolio of leases with reasonably similar characteristics
• Relied on its assessment of whether leases are onerous immediately before the date of initial application
• Applied the short-term leases exemptions to leases with lease term that ends within 12 months at the date of initial application
• Excluded the initial direct costs from the measurement of the right-of-use asset at the date of initial application
• Used hindsight in determining the lease term where the contract contains options to extend or terminate the lease
Lease liabilities
(` in Crores)
Particulars Amount
As at 1st April, 2019 256.06
Recognised during the year 139.16
Repaid during the year (99.76)
As at 31st March, 2020 295.46
Non current 221.11
Current 74.35
The Group has adopted modified retrospective approach as per para C8 (c)(ii) of IND AS 116 - Leases to its leases, effective from
annual reporting period beginning 1st April, 2019. This has resulted in recognizing a right of use assets (an amount equal to the lease
liability, adjusted by the prepaid lease rent) of ` 262.77 crores and an amount of ` 390.04 crores on account of reclassification
of Leasehold Land as at 1st April, 2019. In the statement of profit and loss for the current period, operating lease expenses has
changed from rent to depreciation cost for the right of use assets and finance cost for interest accrued on lease liability. To this
extent performance for period ended 31st March, 2020 is not comparable with previous period audited consolidated financial
statements.
The following are the amounts recognised in the statement of profit or loss account:
(` in Crores)
Particulars Amount
Amorisations expense of right-of-use assets 101.43
Interest expense on lease liabilities 28.91
Expense relating to short-term leases (included in other expenses) 1.13
Total 131.47
The Group had total cash outflows for leases of ` 99.76 crores in 31st March, 2020. The Group also had non-cash additions to
right-of-use assets and lease liabilities of `120.43 crores in 31st March, 2020.
Notes
4 Investment properties
(` in Crores)
As at As at
Cost
Adjustment/transfer to PPE (0.70) 3.40
Depreciation
Opening balance (3.54) (1.91)
Charge for the year (1.02) (1.15)
Adjustment/transfer to PPE 0.15 (0.48)
Closing balance (4.41) (3.54)
Net book value 16.53 18.10
Information regarding income and expenditure of investment properties:
(i) Amounts recognised in profit or loss for investment properties
Rental income including contingent rent of ` Nil (Previous year ` 0.03 Crores) 4.21 2.65
Direct operating expenses from property that generated rental income 0.66 0.60
Direct operating expenses from property that did not generate rental income - 0.06
Income from investment properties before depreciation 3.55 1.9 9
Depreciation 1.02 1.15
Income from investment properties 2.53 0.84
(ii) Leasing arrangements

Certain investment properties are leased to tenants under long-term operating leases with
rentals payable monthly. Minimum lease payments receivable under non-cancellable operating
leases of investment properties are as follows:
Within one year - 1.40

Later than one year but not later than 5 years - -
Later than 5 years - -
- 1.40
(iiii) Fair value
Investment properties 141.45 138.29
The Group has no restrictions on the realisability of its investment properties and no contractual obligations to purchase, construct or
develop investment properties or for repairs, maintenance and enhancements.
Estimation of fair value

The fair valuation is based on current prices in the active market for similar properties. The main inputs used are quantum, area, location,
demand, restrictive entry to the complex, age of building and trend of fair market rent.
This valuation is based on valuations performed by an accredited independent valuer. Fair valuation is based on replacement cost
method. The fair value measurement is categorised in level 2 fair value hierarchy.
180 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
5 Intangible assets
(` in Crores)
Computer Trademarks Total
software
Cost
Amortisation
Balance as at 1st April 2018 13.63 0.01 13.64
Net book value
6 Other non-current financial assets

(` in Crores)
As at As at
Other deposits 27.89 21.44
Margin money deposits with banks (held as lien by bank against bank guarantees) 0.87 0.97
Long term deposits with banks with maturity period more than 12 months (Provided as security 0.41 0.17
for various regulatory registrations)
Long term deposits with banks with maturity period more than 12 months 3,068.00 -
Total 3,122.67 31.74
The above non-current financial assets are carried at amortised cost.
7 Deferred tax assets (net)

(` in Crores)
As at As at
- Depreciation - 0.05
Deferred tax assets (net) 0.29 0.22
Notes
Property plant Employee Right to use Total

Movement in deferred tax assets (net) and equipment benefits assets
At 1st April, 2018 0.03 0.10 - 0.13
Charged / (Credited) to
Profit and Loss 0.05 0.04 - 0.09
At 31st March, 2019 0.08 0.14 - 0.22
Profit and Loss 0.05 0.01 0.01 0.07
At 31st March, 2020 0.13 0.15 0.01 0.29
8 Other non-current assets

(` in Crores)
As at As at
Capital advances 284.04 90.52
Prepaid expenses 1.10 22.81
Total 285.14 113.33
9 Inventories
(` in Crores)
As at As at
Stock-in-trade (at lower of cost and net realisable value) 1,945.61 1,606.15
Stock of packing material 1.79 2.50
Total 1,947.40 1,608.65
10 Current investments
(` in Crores)
As at As at
Investment in mutual funds
Unquoted
24,870.188 [31st Match,2019: 36,433.188] HDFC Liquid Fund - Growth 14.68 16.53
Total 14.68 16.53
Aggregate amount of unquoted investments 14.68 16.53
Aggregate amount of impairment in the value of investment - -
11 Trade receivables
(` in Crores)
As at As at
Considered good
Unsecured
Other than related parties 19.55 64.37
Total 19.55 64.37
No trade or other receivable are due from directors or other officers of the Group either severally or jointly with any other person.
Trade receivables are non-interest bearing and are generally received within the credit period.
182 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
12 Cash and cash equivalents

(` in Crores)
As at As at
Balances with banks - In current accounts 58.17 63.67
Cash on hand 47.70 61.31
Total 105.87 124.98
For the purpose of the statement of cash flows, cash and cash equivalents comprise the following:
(` in Crores)
As at As at
Total cash and cash equivalents 105.87 124.98
Less: Overdrawn bank balances (Refer note: 24) (0.01) (0.12)
Cash and cash Equivalents for cash flow purpose 105.86 124.86
13 Bank balances other than cash and cash equivalents

(` in Crores)
As at As at
Margin money deposits with bank (held as lien by bank against guarantees) 0.86 0.82
Deposits with Bank 1.15 0.69
IPO proceeds pending utilisation (Refer note: 16)
- Current accounts (escrow) - 7.58
- Fixed deposits - 85.00
Total 2.01 94.09
14 Other current financial assets

(` in Crores)
As at As at
Advances recoverable in cash or in kind or in value to be received 70.65 51.75
Interest receivable 23.49 2.84
Advances to employees 1.83 1.53
Total 109.06 59.10
The above current financial assets are carried at amortised cost.
15 Other current assets

(` in Crores)
As at As at
Prepaid Expenses 6.32 6.82
Advances to suppliers 85.74 83.11
Balance with government authorities 49.82 18.11
Fund in gratuity trust ( Refer note: 47) 0.42 -
Others (Refer note: 35) 6.80 6.82
Total 149.10 114.86
Notes
16 Equity share capital

(` in Crores)
As at As at
A. Authorised
750,000,000 [31st March, 2019: 750,000,000] equity Shares of ` 10 each 750.00 750.00
Issued, subscribed and fully paid up
647,774,691 [31st March, 2019: 624,084,486] equity Shares of ` 10 each 647.77 624.08
647.77 624.08
Notes:
a) Reconciliation of number of shares
Balance at the beginning of the year
No. of shares 624,084,486 624,084,486
Amount in ` Crores 624.08 624.08
Issued, subscribed and paid up during the year
No. of shares 23,690,205 -
Amount in ` Crores 23.69 -
Balance at the end of the year
No. of shares 647,774,691 624,084,486
Amount in ` Crores 647.77 624.08
In March 2017, the parent company had completed the Initial Public offering (IPO) of fresh issue of 62,541,806 equity shares of
` 10 each at an issue price of ` 299 per share. The equity shares of the Parent Company were listed on BSE Limited (BSE) and
National Stock Exchange of India Limited (NSE) w.e.f. 21st March, 2017.
Utilisation of IPO proceeds are as follows:-

Planned as per Utilisation upto
Particulars
Prospectus 31st March, 2020
Towards repayment / payment of NCDs / term loans 1,080.00 1,080.00
Construction and purchase of fit outs for new stores 366.60 366.60
Towards general corporate purpose (including transaction cost of IPO) 423.40 423.40
Total 1,870.00 1,870.00
Expenses incurred by the Parent Company aggregating to ` 29.38 Crores, in connection with IPO have been adjusted towards
securities premium in March 2017.
The Parent Company through Qualified Institutions Placement (QIP) allotted 20,000,000 equity shares to the eligible Qualified
Institutional Buyers (QIB) at a issue price of ` 2,049 per equity share (including a premium of ` 2,039 per equity share) aggregating
to ` 4,098 crore on 11th February, 2020. The issue was made in accordance with the SEBl (Issue of Capital and Disclosure
Requirements) Regulations, 2018 as amended (the “SEBI ICDR Regulations”), and Sections 42 and 62 of the Companies Act,
2013, as amended, including the rules made thereunder (the “Issue”). Funds received pursuant to QIP having utilise towards
the object stated in the placement document and the balance as on 31st March,2020 unutilise remain invested in deposits with
scheduled commercial banks.
Expenses incurred by the parent company aggregating to ` 21.49 Crores, in connection with QIP have been adjusted towards
securities premium in March 2020.
b) Terms and rights attached to equity shares

The Parent Company has only one class of equity shares having par value of ` 10 per share. Each holder of equity shares is
entitled to one vote per share. The Parent Company if declares dividend would pay dividend in Indian rupees. The dividend if
proposed by the Board of Directors would be subject to the approval of the shareholders in the ensuing Annual General Meeting.
In the event of liquidation of the Parent Company, the holders of equity shares will be entitled to receive remaining assets of the
Parent Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares
held by the shareholders.
184 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
c) Shares reserved for issue under option

Information relating to Avenue Supermarts limited Employee Stock Option Scheme, 2016, and and Avenue E-Commerce Limited
Employee Stock Option Scheme, 2018 including details of option granted, exercised and lapsed during the financial year and
options outstanding at the end of the reporting period, is set out in note 46.
d) Details of equity shares held by shareholders holding more than 5% of the aggregate shares in the Parent Company
As at As at
Mr. Radhakishan S. Damani 222,159,156 239,689,156
Mr. Gopikishan S. Damani 49,480,000 50,980,000
Bright Star Investments Private Limited 88,750,000 88,750,000
17 Other equity
(` in Crores)
As at As at
(a) Securities premium
Exercise of share options 21.64 -
Issue of share capital 4,184.65 -
Transaction cost of QIP (21.49) -
(b) Debenture redemption reserve
Appropriations/reversal during the year (51.15) (27.30)
(c) Share options outstanding account
Share option expense 8.45 17.16
Transferred from retained earnings account on lapse of vested options 0.01 -
Exercise of share option (21.64) -
(d) Retained earnings
Net Profit for the year 1,301.08 902.54
Items of other comprehensive income recognised directly in retained earnings
- Remeasurements of post-employment benefit obligation, net of tax (4.09) (1.31)
Transfer to/from debenture redemption reserve 51.15 27.30
- Transferred from share options outstanding account on lapse of vested options (0.01) -
Total other equity 10,431.97 4,963.37
Notes
18 Non-current borrowings
(` in Crores)
As at As at
Secured
Term loans from banks - 150.00
Less: Current maturities disclosed in other current financial liabilities (Refer note: 24) - (58.33)
- 91.67
Non-convertible debentures 34.00 246.00
Less: Current maturities disclosed in other current financial liabilities (Refer note: 24) (34.00) (212.00)
- 34.00
Total - 125.67
Nature of security and terms of repayment for borrowings:

Sr.
Nature of Security Terms of Payment
No.
1 The term loans from bank of ` Nil (31st March, 2019: ` 150.00 Crores) was secured by way of mortgage of various stores properties to
the banks.
3 Non convertible debentures are secured by way of mortgage of NCD for ` 34 Crores is due for redemption on 20th August 2020,
specific stores properties to the Debenture Trustee. Rate of interest is 9.40% p.a.
19 Other non-current financial liabilities

(` in Crores)
As at As at
Other non-current financial liabilities at amortised cost
Rent deposits taken 0.47 0.78
Total 0.47 0.78
The above non-current financial liabilities are carried at amortised cost.
20 Provisions
(` in Crores)
As at As at
Leave encashment - 0.24
Gratuity (Refer note: 47) 1.48 0.81
Total 1.48 1.05
21 Deferred tax liabilities (net)

(` in Crores)
As at As at
- Fair value gain on financial instruments at fair value through statement of profit and loss 0.14 -
- Unrealised profit on consolidation 0.87 0.78
Deferred tax liabilities (net) 47.39 63.29
186 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
Movement in deferred tax liabilities (net)

(` in Crores)
Uneralised profit Property plant Others Total
on consolidation and equipment
At 1st April, 2018 (1.12) 56.84 (10.54) 45.18
Profit and Loss 0.34 10.70 7.07 18.11
At 31st March, 2019 (0.78) 67.54 (3.47) 63.29
Profit and Loss (0.09) (12.04) (3.77) (15.90)
At 31st March, 2020 (0.87) 55.50 (7.24) 47.39
22 Current borrowings
(` in Crores)
As at As at
A. Secured
Loan repayable on demand
(a) Working capital loans from banks (Payable on demand) 3.73 7.70
(Working capital loan from banks are secured by hypothecation of inventories, trade
receivables, both present and future)
(b) Term loans from bank - 50.00
(Short term loan from bank to be secured by way of mortgage of various store properties to
the bank within four months from the first date of disbursement.)
B. Unsecured
By issue of commercial papers - 246.45
Total 3.73 304.15
At 31st March, 2020, The Group had available ` 940.53 Crores (31st March, 2019: ` 713.28 Crores) of undrawn committed
borrowing facilities.
23 Trade payables
(` in Crores)
As at As at
Trade payables 433.45 463.27
Total 433.45 463.27
(a) Dues to micro and small enterprises (Refer note 37)

The Group has certain dues to suppliers registered under Micro, Small and Medium Enterprises Development Act, 2006 (‘MSMED
Act’). The disclosure pursuant to the said MSMED Act are as follows.
Principal amount due to suppliers registered under the MSMED Act and remaining unpaid as at 17.47 5.44
year end
Notes
24 Other current financial liabilities

(` in Crores)
As at As at
Other financial liabilities measured at amortised cost:
Current maturities of term loans (Refer note : 18) - 58.33
Current maturities of debentures (Refer note : 18) 34.00 212.00
Interest accrued but not due on borrowings 1.96 12.03
Escrow deposits received* 22.04 11.27
Overdrawn bank balances 0.01 0.12
Salary and wages payable 46.77 33.32
Capital creditors 73.02 69.78
Total 177.94 396.93
* Escrow deposits represents amount received for any possible claims that may arise in future in respect of certain properties (Refer note: 2).
25 Other current liabilities

(` in Crores)
As at As at
Statutory dues 18.16 22.55
Others payables (Refer note : 35) 2.54 0.40
Total 20.70 22.95
26 Provisions
(` in Crores)
As at As at
Gratuity (Refer note : 47) - 2.01
Leave entitlement 15.18 10.83
Total 15.18 12.84
188 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
27 Revenue from operations

(` in Crores)
Sale of goods 27,202.44 21,906.32
Sale of goods on approval basis 49.56 75.27
Less : Cost of goods sold on approval basis (41.44) (63.67)
27,210.56 21,917.92
Less : Tax (2,377.91) (1,950.59)
Total 24,870.20 20,004.52
28 Other income
(` in Crores)
Interest on deposits and advances 32.49 23.59
Rent and amenities service income (Refer note: 4) 2.88 3.60
Gain on sale of current investment 10.16 11.35
Gain on sale/discardment of PPE (net) 2.45 1.01
Exchange gain (net) 8.63 5.98
Miscellaneous income 3.38 2.82
Total 59.99 48.35
29 Changes in inventories of stock-in-trade

(` in Crores)
Closing stock 1,947.40 1,608.65
Opening stock 1,608.65 1,164.00
Total (338.75) (444.65)
30 Employee benefits expenses

(` in Crores)
Salaries, allowances and others 386.99 294.72
Expense on employee stock option scheme (Refer note: 46) 8.46 17.15
Contribution to provident fund and other funds 26.48 18.17
Total 456.10 355.42
Notes
31 Finance costs
(` in Crores)
Interest on term loans from banks 12.22 3.95
Interest on non convertible debentures 24.76 34.01
Interest Others (Refer note: 3) 47.96 11.91
84.94 49.87
Less : Capitalised (Refer note: 2) (16.97) (3.10)
67.97 46.77
Finance charges 1.15 0.44
Total 69.12 47.21
32 Depreciation and amortisation expense

(` in Crores)
Depreciation/ amortisation on:
- Tangible assets (Refer note: 2) 261.87 203.02
- Right of use assets (Refer note:3) 101.43 -
- Investment property (Refer note: 4) 1.02 1.15
- Intangible assets (Refer note: 5) 10.83 8.99
375.15 213.16
Less: Capitalised (0.74) (0.67)
Total 374.41 212.49
33 Other expenses
(` in Crores)
Contract labour charges 565.19 422.33
Rent(Refer note: 3) 1.13 75.71
Electricity and fuel charges 188.24 152.80
Insurance 6.60 5.20
Rates and taxes 21.44 20.38
Repairs and maintenance:
- Building 17.72 24.16
- Plant and machinery 44.78 29.89
- Others 18.27 23.34
Legal and professional fees 10.91 11.28
Travelling and conveyance 25.62 22.72
Directors fees 1.04 0.75
Payment to auditors
- Audit fees (including limited review fees) 0.64 0.43
- Other services 0.02 0.11
- Reimbursement of expenses 0.04 0.01
Miscellaneous expenses 263.04 209.07
Expenditure towards corporate social responsibility (CSR) activities (Refer note: 40) 18.18 16.77
Loss on sale/discardment of PPE (net) - 0.02
Total 1,182.86 1,014.97
190 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
34 Tax expenses
(` in Crores)
Tax expense recognised in the statement of Profit and Loss
(a) Income tax expense
Current tax
Current tax on profits for the year recognised in statement of profit and loss 459.74 509.13
Current tax on re-measurements gains/(loss) on defined benefit plans recognised in OCI (1.30) (0.68)
Adjustment of tax related to earlier year 0.02 (7.67)
Total current tax expense 458.46 500.78
Deferred tax
(Decrease)/increase in deferred tax
Total deferred tax expense/(benefit) (15.97) 18.02
Income tax expense 442.49 518.80
(b) Reconciliation of tax expense and the accounting profit multiplied by India’s
domestic tax rate:
Accounting profit before tax 1,744.77 1,421.94
Tax calculated at tax rates applicable to profit @ 25.168% (previous year 34.944%) 439.12 513.34
Permanent differences due to:
Donation 0.08 0.39
Deduction taken for 80JJAA others (3.23) (2.79)
Corporate social responsibility 4.58 6.22
Interest on income tax (0.01) 0.08
Fines and penalty 0.02 0.04
Deduction from income from house property (0.52) (0.50)
Impact of increase/(decrease) of tax date on deferred tax of previous year (17.95) 0.45
Others 20.40 1.57
Tax recognised in the statement of profit and loss and OCI 442.49 518.80
Notes
35 Related party transactions

Ownership interest
(i) Subsidiary companies:
Avenue Food Plaza Private Limited (AFPPL) 100.00 100.00
Align Retail Trades Private Limited (ARTPL) 100.00 100.00
Nahar Seth & Jogani Developers Private Limited (NSJDPL) 90.00 90.00
Avenue E-Commerce Limited (AEL) 99.82 99.75
Reflect Wholesale and Retail Private Limited (w.e.f 28th May, 2018) 100.00 100.00
(ii) Shareholders who exercise control:
Mr. Radhakishan Damani
Mr. Gopikishan Damani
Mrs. Shrikantadevi Damani
Mrs. Kirandevi Damani
Bright Star Investments Private Limited
(iii) Directors and Key managerial personnel:
Mr. Ignatius Navil Noronha (Managing Director and Chief Executive Officer)
Mr. Ramakant Baheti (Whole-time Director and Group Chief Financial Officer)
Mr. Elvin Machado (Executive Director)
Mrs. Manjri Chandak (Non Executive Director )
Mr. Ramesh Damani (Chairman and Independent Director)
Mr. Chandrashekhar B. Bhave (Independent Director )
Ms. Kalpana Unadkat (Independent Director) (w.e.f. 30th July, 2018)
Mr. Niladri Deb (Chief Financial Officer) (w.e.f. 7th May, 2018)
Mrs. Ashu Gupta (Company Secretary )
Mr. Navin Nerurkar (Director of ARTPL and AFPPL)
Mr. Prakash Pachisia (Director of ARTPL and AFPPL)
Mr. Trivikrama Rao Dasu (Chief executive officer of AEL)
(iv) Entities over which parties listed in (ii) and (iii) above exercise control / significant influence and transactions have taken place
with them during the year
(v) Trust :
D Mart Foundation
(b) Transaction with related parties

(` in Crores)
Remuneration to Directors/KMP 11.31 8.14
Sitting fees to Directors 0.32 0.23
Mentorship fees `1 `1
Balances as at :
Other payable 0.30 0.30
Reimbursement of expenses 0.27 0.30
192 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
(` in Crores)
Balances as at :
Reimbursement of expenses (electricity) 0.00 0.01
Balances as at :
Other receivables - 0.00
Contribution to trust 12.01 6.40
D Mart Foundation
Contribution to trust 0.04 -
Note :
1. 12,000 Equity share of ` 10 each were alloted to Mr. Elvin Machado under the Avenue Supermarts Limited Employee Stock
Option Scheme, 2016.
2. Compensation to Directors of the Group:
(` in Crores)
Nature of Benefit 31st March, 2020 31st March, 2019
Short term employment benefits 11.01 7.86
Post employment benefits 0.30 0.28
Sitting fees 0.32 0.23
The aforesaid amount does not include amount in respect of gratuity and leave as the same in not determinable.
36 Assets pledged as security

The carrying amounts of assets pledged as security for current and non-current borrowings are:
(` in Crores)
As at As at
Current Assets
Inventories 1,931.71 1,600.24
Total current assets pledged as security 2,009.25 1,675.76
Non-current assets
First charge
Land (Freehold and Leasehold) 193.06 45.94
Building 498.18 161.92
Total non-current assets pledged as security 691.24 207.86
Total assets pledged as security 2,700.49 1,883.62
Notes
37 MSME disclosure
The details of amounts outstanding to Micro and Small enterprises under the Micro and Small Enterprises Development Act, 2006
(MSED Act), based on the available information with the Group are as under:
(` in Crores)
As at As at
1 Principal amount not due and remaining unpaid 17.07 5.30
2 Principal amount due and remaining unpaid 0.40 0.14
3 Interest due on (1) above and the unpaid interest - -
4 Interest due and payable for the period of delay other than (3) above - -
38 Lease disclosure
The Group has entered into agreements for taking on lease certain office/store premises, warehouses. The lease term is for period
ranging from 1 year to 30 years.
Premises taken on operating lease:

(` in Crores)
As at As at
Lease rent expenses recognized in the statement of Profit and Loss account 1.13 75.71
The total future minimum lease rent payable for the non cancellable period of lease at the
Balance Sheet date :
- For a period not later than one year - 83.32
- For a period later than one year and not later than 5 years - 216.54
- For a period later than five years - 14.84
The initial non-cancellable period of lease contracts have been taken for the disclosure above.
Note:- w.e.f 1st April,2019 , IND AS 116 “Leases” supersedes IND AS 17 “Leases”. Refer note 3 for disclosures.
39 Contingent liabilities and commitments

(a) Contingent liabilities
Claims against the Group not acknowledged as debts
(` in Crores)
As at As at
Income tax matters 3.12 0.03
Indirect tax matters 2.15 4.44
Other matters 0.84 -
It is not practicable for the Group to estimate the timings of cash outflows, if any in respect of above pending resolutions of
the respective proceedings.
The Group has reviewed all its pending litigation and proceedings and has adequately provided for where provisions are
required and disclosed in contingent liabilities where applicable in it’s financial statements. The Group does not expect the
outcome of these proceedings to have a materially adverse effect on it’s consolidated financial statements.
The Group has process whereby periodically all long term contracts are assessed for material foreseeable losses. At the year
end, Group has reviewed and ensured that adequate provision as required under any law/accounting standard for material
foreseeable losses on such long term contracts has been made in the books of accounts.
194 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
(b) Capital commitments

(` in Crores)
As at As at
Estimated amounts of contracts remaining to be executed on capital account and 2,158.73 1,807.56
not provided for (net of advances) relating to stores under construction
40 Expenditure towards corporate social responsibility (CSR) activities

(` in Crores)
Amount required to be spent as per Section 135 of the Act 23.14 16.61
Amount spent during the year on:
(ii) On purposes other than (i) above 18.18 16.77
Amount not spend during the year on:
(ii) On purposes other than (i) above 4.96 -
Amount spent during the year for corporate social responsibility (CSR) activities are in cash.
41 Segment reporting
The Group is primarily engaged in the business of retail trades through offline and online channels. There are no separate reportable
segments as per IND AS 108 - Operating Segments.
42 The Group has not entered into any derivative transaction during the year. Unhedged foreign currency exposure at the end of the
year is ` NIL.
43 Earnings per share (EPS)

Basic EPS amounts are calculated by dividing the profit for the year attributable to equity holders by the weighted average number
of equity shares outstanding during the year.
Diluted EPS amounts are calculated by dividing the profit attributable to equity holders by the weighted average number of Equity
shares outstanding during the year plus the weighted average number of equity shares that would be issued on conversion of all
the dilutive potential equity shares into equity shares.
The following reflects the profit and share data used in the basic and diluted EPS computation:
Earnings per share has been computed as under:
Profit for the year as per statement of Profit and Loss (` in Crores): 1,301.08 902.54
Weighted average number of equity shares outstanding for basic EPS 628,137,345 624,084,486
Add: W eighted average number of potential equity shares on account of employee stock 4,847,630 8,972,124
option schemes
Weighted average number of equity shares outstanding for dilutive EPS 632,984,975 633,056,610
Earnings Per Share (`) - Basic (Face value of ` 10 per share) 20.71 14.46
Earnings Per Share (`) - Diluted (Face value of ` 10 per share) 20.55 14.26
Notes
44 (a) Capital risk management

For the purpose of the Group’s capital management, capital includes issued equity capital, share premium and all other equity
reserves attributable to the equity shareholders. The primary objective is to maximize the shareholders value.
The Group manages its capital structure and makes adjustments in light of changes in economic condition and the
requirements of the financial covenants. The Parent Company has raised capital by issue of equity shares through an IPO
in the previous year ended 31st March, 2017 and Qualified Institutional Placement (QIP) in the year ended 31st March, 2020.
Certain proceeds from the IPO and QIP have been used for repayment of borrowings which have significantly reduced the
Parent Company borrowings.
The capital structure is governed by policies approved by the Board of Directors and is monitored by various matrices funding
requirements are reviewed periodically.
(b) Dividends
The Group has not paid any dividend since its incorporation.
45 Fair values and fair value hierarchy

The carrying amounts of trade receivables, cash and cash equivalents, bank balance other than cash and cash equivalents, other
financial assets, trade payables, capital creditors are considered to be same as their fair values, due to their short term nature.
The carrying value of borrowings, lease liabilities , deposits given and taken and other financial assets and liabilities are considered
to be reasonably same as their fair values. These are classified as level 3 fair values in the fair value hierarchy due to the inclusion
of unobseravable inputs including counter party credit risk.
46 Share-based payments
(a) Employee stock option plan of Avenue Supermarts Limited
During the year ended 31st March, 2017, the parent company had instituted an Avenue Supermarts Limited Employee Stock
Option Scheme, 2016 (“the Scheme”) as approved by the Board of Directors dated 23rd July, 2016 for issuance of stock
option to eligible employee of the Parent Company and of its subsidiaries.
Pursuant to Avenue Supermarts Limited Employee Stock Option Scheme, 2016 Stock options convertible into 13,973,325
equity shares of ` 10/- each were granted to eligible employees at exercise price of ` 299/-. Out of the options granted,
38,43,095 options lapsed (31st March, 2019: 17,21,850) and 36,91,105 options were vested (31st March, 2019 : 18,000) as
at 31st March, 2020. Against the vested options, 36,90,205 equity shares of ` 10/- each were allotted pursuant to exercise of
options, and balance 900 options lapsed.
Subject to terms and condition of the scheme, options are classified into three categories.
Option A Option B Option C
No. of options 2,772,525 5,001,075 6,199,725
Method of accounting Fair value Fair value Fair value
Vesting plan 9 years 6 years 2.5 years
Grant date 14th March, 2017 14th March, 2017 14th March, 2017
Exercise/Expiry date 13th March, 2026 13th March, 2023 13th September, 2019
Grant/Exercise price ` 299.00 ` 299.00 ` 299.00
Method of settlement Equity - settled Equity - settled Equity - settled
date of vesting .
196 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes

option option
Opening balance 299.00 12,233,475 299.00 12,990,975
Exercised during the year 299.00 - 299.00 -
Forfeited during the year 299.00 2,121,245 299.00 743,100
Vested during the year 3,673,105 14,400
Closing balance 6,439,125 12,233,475
* Against the vested options, 36,90,205 equity shares of ` 10/- each were allotted, pursuant to exercise and balance 900 Option lapsed.
Vested options of 36,91,105 equity shares includes 1,200 shares options vested in FY 17-18 and 2,400 shares options vested in FY 16-17 alongwith number
of options mentioned in above table.
Inputs Option A Option B Option C
Exercise price ` 299.00 ` 299.00 ` 299.00
Dividend yield 0% 0% 0%
Risk free interest rate 6.98% 7.24% 6.77%
Expected volatility 14.22% 14.22% 14.22%
Fair value per option ` 144.94 ` 112.93 ` 58.63
Model used Black Scholes Black Scholes Black Scholes
(b) Employee stock option plan of Avenue E-Commerce Limited

During the year ended 31st March, 2018, the company has instituted an Avenue E-Commerce Limited Employee Stock
Option Scheme, 2018 (“the Scheme”) as approved by the Board of Directors dated 2nd February, 2018 and the resolution of
shareholders dated 15th February, 2018 for issuance of stock option to eligible employee of the subsidiary Company and of
its holding company.
Pursuant to the said scheme, Stock options convertible into 5,183,600 equity shares of ` 10 each were granted to eligible
employee at an exercise prices of ` 11.30.
Subject to terms and condition of the scheme, options are classified into two categories.
Option A Option B
No. of options 3,423,800 1,759,800
Method of accounting Fair value Fair value
Vesting plan 8 years and 2 months 5 years and 2 months
Grant date 15th March, 2018 15th March, 2018
Exercise/Expiry date 14th May, 2026 14th May, 2023
Grant/Exercise price ` 11.30 ` 11.30
Method of settlement Equity - settled Equity - settled
date of vesting.
Notes

option option
Opening balance 11.30 4,609,400 11.30 5,159,600
Exercised during the year 11.30 - 11.30 -
Forfeited during the year 11.30 298,800 11.30 550,200
Vested during the year - -
Closing balance 4,310,600 4,609,400
Inputs Option A Option B
Exercise price ` 11.30 ` 11.30
Dividend yield 0% 0%
Risk free interest rate 7.90% 7.60%
Expected volatility 57.40% 59.90%
Fair value per option ` 11.30 ` 11.30
Model used Black Scholes Black Scholes
Expense arising from equity settled share based payments transactions:

(` in Crores)
Avenue Supermarts Limited 8.27 16.61
Align Retail Trades Private Limited (0.03) 0.21
Avenue E-Commerce Limited 0.22 0.33
Recognised in the statement of profit or loss 8.46 17.15
47 Post retirement benefit plans

As per Indian Accounting Standard 19 “Employee benefits”, the disclosures as defined are given below :
Defined benefit plan

The Group Company operates a gratuity plan wherein every employees entitled to the benefit equivalent to fifteen days salary last
drawn for each year of service. The same is payable on termination of service or retirement whichever is earlier. The benefit vest
after five years of continuous service. The gratuity paid is governed by The Payment of Gratuity Act,1972. The Parent Company
contributes to the fund based on actuarial report details of which is available in the table of investment pattern of plan asset,
based on which the Parent Company is not exposed to market risk. The following table summarises the component of net benefit
expenses recognised in the statement of profit and loss and the funded status and amounts recognised in the balance sheet for
respective period.
198 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
1 Change in the present value of defined benefit obligation are as follows

(` in Crores)
As at As at
Present value of benefit obligation at the beginning of the year 21.25 14.91
Interest cost 1.54 1.14
Benefit paid directly by the employer - (0.42)
Actuarial (gains)/losses on obligations - due to change in demographic assumptions (0.41) (0.14)
Actuarial (gains)/losses on obligations - due to change in financial assumptions 1.54 0.50
Actuarial (gains)/losses on obligations - due to experience 5.10 1.87
Present value of benefit obligation at the end of the year 33.67 21.25
2 Change in fair value of plan assets

(` in Crores)
As at As at
Fair value of plan assets at the beginning of the year 18.43 10.95
Interest on plan asset 1.33 0.84
Contributions by the employer 12.01 6.40
Benefits paid from the funds (0.41) (0.14)
Return on plan assets, excluding interest income 1.26 0.38
3 Change in fair value of Assets and Obligations

(` in Crores)
As at As at
Present value of benefit obligation at the end of the year (33.68) (21.25)
Funded status (surplus/ (deficit)) (1.06) (2.82)
Current liability (1.06) (2.82)
Net (liability) / assets recognized in the balance sheet (1.06) (2.82)
4 Net benefit expenses recognised during the year

(` in Crores)
As at As at
In the statement of profit and loss
Net interest cost 0.20 0.30
Net cost 4.85 3.69
In other comprehensive income
Actuarial (gains)/losses on obligation for the year 6.63 2.37
Return on plan assets, excluding interest income (1.25) (0.38)
Net (income)/expense for the year recognized in OCI 5.38 1.99
5 All investment of plan asset are done in M/s Avenue Supermarts Limited Employees Group Gratuity Trust which is governed
by Board of Trustees.
Notes
6 The principal assumptions in determining gratuity defined benefit obligation for the Group are as follows:
As at As at
Expected return on plan assets 6.43% 7.22%
Rate of discounting 6.43% - 6.83% 7.22% - 7.78%
Rate of salary increase 8.00% 8.00%
Rate of employee turnover 2% - 15% 2% - 15%
Mortality rate during employment Indian Assured Indian Assured
Lives Mortality Lives Mortality
(2006-08) (2006-08)
Mortality rate after employment N.A. N.A.
The estimates of rate of escalation in salary considered in actuarial valuation, take into account inflation, seniority, promotion
and other relevant factors including supply and demand in the employment market. The above information is certified
by the actuary.
The expected rate of return on plan assets is determined considering several applicable factors, mainly the composition
of plan assets held, assessed risks, historical results of return on plan assets and the parent company’s policy for plan
assets management.
7 The expected contributions for Defined Benefit Plan for the future years is as follows:
(` in Crores)
As at As at
Projected benefits payable in future years from the date of reporting
1st following year 3.33 2.16
2nd following year 3.61 2.32
3rd following year 4.00 2.47
Sum of years 6 to 10 14.36 9.69
Sum of years 11 and above 22.30 14.78
8 Sensitivity Analysis
(` in Crores)
As at As at
Projected benefit obligation on current assumptions 33.67 21.25
Delta effect of +1% change in rate of discounting (1.92) (1.16)
Delta effect of -1% change in rate of discounting 2.17 1.31
Delta effect of +1% change in rate of salary increase 2.04 1.23
Delta effect of -1% change in rate of salary increase (1.85) (1.13)
Delta effect of +1% change in rate of employee turnover (0.40) (0.19)
Delta effect of -1% change in rate of employee turnover 0.43 0.21
There has been no change from the previous year in the method and assumptions used in preparing the
sensitivity analysis.
200 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
These plans typically exposed the Group company to actuarial risks such as Interest risk, Salary risk, Investment risk, Asset
liability matching risk and Mortality risk.
Gratuity is a defined benefit plan and Group is exposed to the Following Risks:
Interest rate risk: A fall in the discount rate which is linked to the G.Sec. Rate will increase the present value of the liability
requiring higher provision. A fall in the discount rate generally increases the mark to market value of the assets depending on
the duration of asset.
Salary Risk: The present value of the defined benefit plan liability is calculated by reference to the future salaries of members.

As such, an increase in the salary of the members more than assumed level will increase the plan’s liability.

Investment Risk: The present value of the defined benefit plan liability is calculated using a discount rate which is determined
by reference to market yields at the end of the reporting period on government bonds. If the return on plan asset is below this
rate, it will create a plan deficit. Currently, for the plan in India, it has a relatively balanced mix of investments in government
securities, and other debt instruments.

Asset Liability Matching Risk: The plan faces the ALM risk as to the matching cash flow. Since the plan is invested in lines
of Rule 101 of Income Tax Rules, 1962, this generally reduces ALM risk.

Mortality risk: Since the benefits under the plan is not payable for life time and payable till retirement age only, plan does not
have any longevity risk.

Concentration Risk: Plan is having a concentration risk as all the assets are invested with the insurance company
and a default will wipe out all the assets. Although probability of this is very less as insurance companies have to follow
regulatory guidelines.
48 Financial risk management

Financial risk management objectives and policies
The Group’s financial principal liabilities comprises borrowings, lease liability, trade payables and other payables. The main purpose of
these financial liabilities to finance the Group’s operation. The Group’s main financial assets includes trade and other receivable, cash
and cash equivalent, other bank balances derived from its operations.
In addition to risks inherent to our operations, we are exposed to certain market risks including change in interest rates and
fluctuation in currency exchange rates.
A) Market Rate Risk

Interest rate risk
Interest rate risk is the risk that the fair value or future cash flow of a financial instrument will fluctuate because of changes in
market interest rate.
The Group’s exposure to the risk of changes in market interest rates relates to primarily to Group’s borrowing with floating
interest rates. The Group’s fixed rates of borrowing are carried at amortized cost. They are not subject to interest rate risk
as defined in Ind AS 107, since neither carrying amount not the future cash flows will fluctuate because of a change in
market interest rate. The Group manages its interest rate risk by having a balanced portfolio of fixed and variable rate loans
and borrowings.
Notes
Exposure to interest rate risk

(` in Crores)
As at As at
Particulars
Borrowings bearing variable rate of interest 3.73 157.70
Interest rate sensitivity

The following table demonstrates the sensitivity to a reasonably possible change in interest rates on affected portion of loans
and borrowings. With all other variables held constant, the Group’s profit before tax is affected through the impact on variable
rate borrowing as follows:
A change of 50 bps in interest rates would have following Impact on profit before tax
(` in Crores)
As at As at
50 bp increase- decrease in profits (0.02) (0.79)
50 bp decrease- Increase in profits 0.02 0.79
B. Credit risk
Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading
to a financial loss. The Group is exposed to credit risk from its operating activities (primarily trade receivable) and from its
financial activities including deposits with banks and financial institution.
Credit risk from balances with banks is managed by the Group’s treasury department in accordance with Group’s policy.
Since Group operates on business model of primarily cash and carry, credit risk from receivable perspective is insignificant.
C. Liquidity risk
Liquidity risk is defined as the risk that the Group will not be able to settle or meet its obligations on time, or at a reasonable
price. Processes and policies related to such risk are overseen by senior management. Management monitors the Group’s
net liquidity position through rolling forecasts on the basis of expected cash flows.
Maturity patterns of borrowings

(` in Crores)
Long term borrowings (Including current maturity 34.00 - - 34.00
of long term debt)
Lease Liability 74.35 188.95 32.16 295.46
Expected interest payable 3.20 - - 3.20
Total 115.28 188.95 32.16 336.39
(` in Crores)
Long term borrowings (Including current maturity 270.33 125.67 - 396.00
of long term debt)
Expected interest payable 37.24 6.79 - 44.03
Total 611.72 132.46 - 744.18
202 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
Maturity patterns of other financial liabilities

(` in Crores)
payable on 12 months months
demand
Trade payable 433.45 - - - - 433.45
Payable related to capital 73.02 - - - - 73.02
goods
Other financial liabilities 71.37 - - - 0.47 71.84
(current and non current)
Total 577.84 - - - 0.47 578.31
(` in Crores)
Overdue/ 0-3 months 3-6 months 6 months to Beyond 12 Total
demand
Trade payable 463.27 - - - - 463.27
Payable related to capital 69.78 - - - - 69.78
goods
Other financial liabilities 83.60 - - - 0.78 84.38
(current and non current)
Total 616.65 - - - 0.78 617.43
49 For disclosures mandated by Schedule III of Companies Act 2013, by way of additional information, refer below:
As at 31st March, 2020 As at 31st March, 2020
Net assets i.e. total assets Share in total
minus total liabilities comprehensive income
Name of the entity
As a % of (` in Crores) As a % of (` in Crores)
consolidated consolidated
net assets net assets
Parent
Avenue Supermarts Limited 98.61% 11,135.52 103.73% 1,346.10
Subsidiaries
1 Align Retail Trades Private Limited 0.76% 84.55 1.91% 24.77
2 Avenue Food Plaza Private Limited 0.22% 25.21 0.48% 6.29
3 Nahar Seth & Jogani Developers Private Limited 0.03% 2.95 0.04% 0.54
4 Avenue E-Commerce Limited 0.38% 43.18 (6.16%) (79.96)
5 Reflect Wholesale and Retail Private Limited 0.00% 0.09 0.00% (0.00)
Subtotal 11,291.50 1,297.72
Inter company elimination and consolidation adjustments (211.30) (0.82)
Grand total 11,080.20 1,296.90
Minority interest 0.46 (0.10)
Notes
As at 31st March, 2019 As at 31st March, 2019

Net assets i.e. total assets minus Share in total comprehensive
total liabilities income
As a % of (` in Crores) As a % of (` in Crores)
Name of the entity consolidated consolidated
net assets net assets
Parent
Avenue Supermarts Limited 97.75% 5,594.48 103.85% 935.08
Subsidiaries
1 Align Retail Trades Private Limited 1.05% 59.78 1.12% 10.10
2 Avenue Food Plaza Private Limited 0.33% 18.92 0.63% 5.67
3 Nahar Seth & Jogani Developers Private Limited 0.04% 2.41 0.05% 0.48
4 Avenue E-Commerce Limited 0.83% 47.45 (5.65%) (50.89)
5 Reflect Wholesale and Retail Private Limited 0.00% 0.10 0.00% -
Subtotal 5,723.14 900.44
Inter company elimination and consolidation adjustments (135.13) 0.71
Grand total 5,588.01 901.15
Minority interest 0.56 (0.08)
50 Ind AS 115 : Revenue from Contracts with Customers

Ind AS 115 supersedes Ind AS 11 Construction Contracts and Ind AS 18 Revenue and it applies, with limited exceptions, to all
revenue arising from contracts with customers. Ind AS 115 establishes a five-step model to account for revenue arising from
contracts with customers and requires that revenue be recognised at an amount that reflects the consideration to which an entity
expects to be entitled in exchange for transferring goods or services to a customer.
Ind AS 115 requires entities to exercise judgement, taking into consideration all of the relevant facts and circumstances
when applying each step of the model to contracts with their customers. The standard also specifies the accounting for the
incremental costs of obtaining a contract and the costs directly related to fulfilling a contract. In addition, the standard requires
extensive disclosures.
The Group adopted Ind AS 115 using the modified retrospective method of adoption with the date of initial application of 1
April 2018. Under this method, the standard can be applied either to all contracts at the date of initial application or only to contracts
that are not completed at this date. The Group elected to apply the standard to all contracts as at 1st April, 2018.
The application of Ind AS 115 did not have any significant impact on recognition and measurement of revenue and related items in
the financial results.
204 Notes
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notes
1. Disaggregated revenue information:

Set out below is the disaggregation of the Group’s revenue from contracts with customers:
(` in Crores)
Type of goods or service
Sale of goods 27,202.44 21,906.32
Sale of goods on approval basis net of COGS 8.12 11.60
Tax (2,377.91) (1,950.59)
India 24,870.20 20,004.52
Outside India - -
Timing of revenue recognition
Goods transferred at a point in time 24,832.65 19,967.33
Services transferred over time (Other operating income) 37.55 37.19
2. Contract balances:
(` in Crores)
As at As at
Contract liabilities 2.54 0.40

51 Events after the reporting period
The Group has evaluated subsequent events from the balance sheet date through 23rd May, 2020 the date at which the consolidated
financial statements were available to be issued, and determined that there are no material items to disclose other than those
disclosed above.
52. Impact of COVID 19

The global spread of Covid-19 has led to an uncertain and unpredictable path ahead for all of us. Amidst the tumult of this
unprecedented period, our priority has been to safeguard the health and well-being of our customers, employees and our
communities while continuing our business operations. As the lockdown continues further, we are seeing reduced sales and lower
footfalls in our stores. Reduction in variable costs will trail sales drop, abetted by higher cost of hygiene and sanitation at all our
locations apart from higher absenteeism due to transport restrictions. The full extent to which the pandemic will impact our future
financial results will depend on upcoming developments, which are highly uncertain including any new information concerning the
severity of the pandemic and the action to mitigate its spread as advised by local authorities.
Notes
53 The previous year numbers have been reclassified wherever necessary.

DIN : 01787989 DIN : 00246480
per Vijay Maniar


206 Notice of the AGM
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
Notice of the
20thAnnual General Meeting
Notice is hereby given that the Twentieth Annual General Meeting RESOLVED FURTHER THAT pursuant to the provisions

of the Members of Avenue Supermarts Limited will be held on of Regulation 17(1A) of the SEBI (Listing Obligations and
Tuesday, 1st September, 2020 at 11.00 a.m. IST through video Disclosure Requirements) Regulations, 2015, (including
conferencing (VC) or other audio visual means (OAVM) to transact any statutory amendment(s) or modification(s) thereto or
the following business: re-enactment(s) thereof for the time being in force) and
subject to such other applicable laws, rules, regulations etc.
ORDINARY BUSINESS: as may be applicable in this regard, consent of the members
1. Adoption of Accounts: of the Company be and is hereby accorded to continue
a) To receive, consider and adopt the standalone audited the tenure of Mr. Bhave, as a Non-Executive Independent
financial statements of the Company for the financial Director of the Company on his attaining the age of 75 years
year ended 31st March, 2020 together with the Reports until the expiry of his tenure.
of the Board of Directors and Auditors thereon;
RESOLVED FURTHER THAT the Board of Directors be

b)
To receive, consider and adopt the consolidated and is hereby authorised to do all such acts, deeds, matters
audited financial statements of the Company for the and things as in their absolute discretion they may consider
financial year ended 31st March, 2020 together with the necessary, expedient or desirable and to settle any question
Reports of Auditors thereon; or doubt that may arise in relation thereto in order to give
effect to this resolution or otherwise considered by them in
2. Retirement by Rotation: the best interest of the Company.”
To appoint a Director in place of Mr. Ramakant Baheti (DIN:
00246480), who retires by rotation and being eligible, offers 4. Re-appointment of Mr. Ignatius Navil Noronha (DIN:
himself for re-appointment; 01787989) as Managing Director of the Company:
To consider and if thought fit, to pass, with or
SPECIAL BUSINESS: without modification(s), the following resolution as an
3. Re-appointment of Mr. Chandrashekhar Bhave (DIN: Ordinary Resolution:
00059856) as an Independent Director of the Company:
To consider and if thought fit, to pass, with or “RESOLVED THAT pursuant to the provisions of Sections
without modification(s), the following resolution as a 196, 197, 203 and other applicable provisions of the
Special Resolution: Companies Act, 2013 and the Companies (Appointment
and Remuneration of Managerial Personnel) Rules, 2014,
“RESOLVED THAT pursuant to the provisions of Sections read with Schedule V to the said Act (including any statutory
149, 152 and other applicable provisions of the Companies modification(s) or re-enactment(s) thereof, for the time being
Act, 2013, the Companies (Appointment and Qualification in force), Mr. Ignatius Navil Noronha (DIN: 01787989) be and
of Directors) Rules, 2014, read with Schedule IV to the said is hereby re-appointed as Managing Director and designated
Act, applicable provisions of the SEBI (Listing Obligations as “Chief Executive Officer” of the Company, who shall not
and Disclosure Requirements) Regulations, 2015, (including be liable to retire by rotation, for a period of 5 (five) years
any statutory modification(s) or re-enactment(s) thereof for with effect from 1st February, 2021 to 31st January, 2026,
the time being in force), Mr. Chandrashekhar Bhave (DIN: within remuneration range of ` 4.5 crore per annum to
00059856) whose term as an Independent Director of the ` 6.75 crore per annum and on such terms and conditions
Company expires on 16th May, 2021, who meets the criteria as set out in the Explanatory Statement annexed to this
prescribed for Independent Directors under Section 149(6) Notice and as per Letter of Appointment containing terms of
of the Companies Act, 2013 and Regulation 16(1)(b) of the appointment, with further liberty to the Board of Directors of
SEBI (Listing Obligations and Disclosure Requirements) the Company to alter and vary the said terms and conditions
Regulations, 2015 and who is eligible to be re-appointed as on recommendation of Nomination and Remuneration
an Independent Director of the Company, be and is hereby Committee, without further reference to the members of the
re-appointed for a second consecutive term of 5 (five) years Company, in such manner as may be agreed to between the
with effect from 17th May, 2021 upto 16th May, 2026 and shall Board of Directors and Mr. Ignatius Navil Noronha; subject to
not be liable to retire by rotation. the provisions of Schedule V of the Companies Act, 2013.
RESOLVED FURTHER THAT the Board of Directors be

on recommendation of Nomination and Remuneration
and is hereby authorised to do all such acts, deeds, matters Committee, without further reference to the members of the
and things as in their absolute discretion they may consider Company, in such manner as may be agreed to between the
necessary, expedient or desirable and to settle any question Board of Directors and Mr. Elvin Machado; subject to the
or doubt that may arise in relation thereto in order to give provisions of Schedule V of the Companies Act, 2013.
effect to this resolution or otherwise considered by them in
the best interest of the Company.” RESOLVED FURTHER THAT the Board of Directors be

and is hereby authorised to do all such acts, deeds, matters
5. Re-appointment of Mr. Elvin Machado (DIN: 07206710) and things as in their absolute discretion they may consider
as Whole-time Director of the Company: necessary, expedient or desirable and to settle any question
To consider and if thought fit, to pass, with or or doubt that may arise in relation thereto in order to give
without modification(s), the following resolution as an effect to this resolution or otherwise considered by them in
Ordinary Resolution: the best interest of the Company.”
“RESOLVED THAT pursuant to the provisions of Sections By order of the Board of Directors of
196, 197, 203 and other applicable provisions of the Avenue Supermarts Limited
Companies Act, 2013 and the Companies (Appointment
and Remuneration of Managerial Personnel) Rules, 2014, Ashu Gupta
read with Schedule V to the said Act (including any statutory Place: Thane Company Secretary
modification(s) or re-enactment(s) thereof, for the time Date: 11th July, 2020 Membership No. A13449
being in force), Mr. Elvin Machado (DIN: 07206710) be
and is hereby re-appointed as Whole-time Director of the Registered Office:
Company, who shall be liable to retire by rotation, for a period Anjaneya CHS Limited, Orchard Avenue,
of 3 (three) years with effect from 10th June, 2021 to 9th June, Opp. Hiranandani Foundation School, Powai, Mumbai – 400 076
2024 within remuneration range of ` 76 lakh per annum CIN: L51900MH2000PLC126473
to ` 1 crore per annum and on such terms and conditions Tel No.: 022-40496500
as set out in the Explanatory Statement annexed to this Fax No.: 022-40496503
Notice and as per Letter of Appointment containing terms of E-mail ID: investorrelations@dmartindia.com
appointment, with further liberty to the Board of Directors of Website: www.dmartindia.com
the Company to alter and vary the said terms and conditions
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
NOTES: being proposed for ratification of appointment of Statutory

1. In view of the massive outbreak of the COVID-19 pandemic, Auditors at this AGM. The Statutory Auditors have given a
the Ministry of Corporate Affairs (“MCA”) pursuant to confirmation to the effect that they are eligible to continue with
Circular No. 20/2020 dated 5th May, 2020 read with Circular their appointment and that they have not been disqualified in
No. 14/2020 dated 8th April, 2020 and Circular No.17/2020 any manner from continuing as Statutory Auditors.
dated 13th April, 2020 (“MCA Circulars”) and other
applicable circulars issued by the Securities and Exchange 8.
Statement giving details of the Directors seeking
Board of India (SEBI), permitted holding of Annual General re-appointment is also annexed with this Notice pursuant
Meeting (AGM) through video conferencing (VC) or other to the requirement of Regulation 36(3) of the SEBI (Listing
audio visual means (OAVM) without the physical presence Obligations and Disclosure Requirements) Regulations,
of Members at a common venue. Hence, Members 2015 (hereinafter referred to as ‘Listing Regulations’) and
can attend and participate in the ensuing AGM through Secretarial Standard on General Meeting (“SS-2”).
VC/OAVM in compliance with the provisions of the
Companies Act, 2013 (“Act”), SEBI (Listing Obligations and 9.
Queries proposed to be raised at the Annual General
Disclosure Requirements) Regulations, 2015 (“SEBI Listing Meeting may be sent to the Company at e-mail address:
Regulations”) and MCA Circulars. investorrelations@dmartindia.com at least seven days prior
to the date of Annual General Meeting. The same shall be
2. Since this AGM is being held pursuant to the MCA Circulars replied suitably by the Company.
through VC / OAVM, physical attendance of Members has
been dispensed with. Accordingly, the facility for appointment 10. All the relevant documents referred to in this AGM Notice
of proxies by the Members will not be available for the AGM and Explanatory Statement etc., Register of Directors’ and
and hence the Proxy Form and Attendance Slip are not Key Managerial Personnel and their shareholding maintained
annexed to this Notice. under Section 170 and Register of Contracts or Arrangements
in which Directors are interested maintained under Section
3. Since the AGM will be held through VC / OAVM, the Route 189 of the Companies Act, 2013 and other documents shall
Map is not annexed in this Notice. be available electronically for inspection by the members at
the AGM. Members seeking to inspect such documents can
4. Institutional/Corporate Members (i.e. other than individuals send an e-mail to investorrelations@dmartindia.com from
/ HUF, NRI, etc.) are required to send a scanned copy (PDF their registered e-mail address.
/ JPG Format) of its Board Resolution/Authorisation etc.,
authorising its representative to attend the AGM through VC 11.
The Register of Members and Transfer Books of the
/ OAVM on its behalf and to vote through remote e-voting. Company will be closed from Wednesday, 26th August, 2020
The said Resolution/Authorisation shall be sent to the to Tuesday, 1st September, 2020 (both days inclusive).
Scrutiniser by e-mail through its registered e-mail address
to hsk@rathiandassociates.com with a copy marked to 12. Members holding shares of the Company as on Tuesday,
evoting@nsdl.co.in. 25th August, 2020, shall be entitled to vote at the Annual
General Meeting of the Company. A person who is not a
5. Participation through VC / OAVM shall be reckoned for the member as on the cut-off date should treat this notice for
purpose of quorum for the AGM as per Section 103 of the information purposes only.
Companies Act, 2013.
13.
Members holding shares in dematerialised form are
6. Explanatory Statement setting out the material facts pursuant requested to intimate all changes pertaining to their bank
to Section 102 of the Companies Act, 2013, concerning the details such as bank account number, name of the bank
special business in the Notice of this Annual General Meeting and branch details, MICR code and IFSC code, mandates,
is annexed hereto and forms part of this Notice. nominations, power of attorney, change of address, change
of name, e-mail address, contact numbers, etc., to their
7. At the 17th Annual General Meeting held on 6th September, depository participant (DP). Changes intimated to the DP
2017 the members approved appointment of S R B C & will then be automatically reflected in the Company’s records
Co. LLP, Chartered Accountants (Firm Registration No.: which will help the Company and the Company’s Registrar
324982E/E300003) as Statutory Auditors of the Company and Share Transfer Agent, Link Intime (India) Private Limited.
to hold office for a period of five years from the conclusion Members holding shares in physical form are requested
of 17th AGM till the conclusion of the 22nd AGM, subject to to intimate such changes to the Company’s Registrar and
ratification of their appointment by Members at every AGM, Share Transfer Agent.
if so required under the Act. Pursuant to the amendments
made to Section 139 of the Companies Act, 2013 by the 14.
The Securities and Exchange Board of India (“SEBI”)
Companies (Amendment) Act, 2017 effective from 7th May, has mandated the submission of Permanent Account
2018, the requirement of seeking ratification of the Members Number (PAN) by every participant in securities market.
for the appointment of the Statutory Auditors had been Members holding shares in electronic form are, therefore,
withdrawn from the Statute. Accordingly, no resolution is
requested to submit the PAN to their depository participants e-voting credentials. The link for VC/OAVM will be
with whom they are maintaining their demat accounts. available in shareholder/members login where the
Members holding shares in physical form can submit their EVEN of Company will be displayed. Please note
PAN details to the Company’s Registrar and Share Transfer that the members who do not have the User ID and
Agent, Link Intime (India) Private Limited. Password for e-Voting or have forgotten the User ID
and Password may retrieve the same by following the
15.
As per Regulation 40 of SEBI Listing Regulations, as remote e-Voting instructions mentioned in the notice
amended, securities of listed companies can be transferred to avoid last minute rush. Further members can also
only in dematerialised form with effect from 1st April, 2019, use the OTP based login for logging into the e-Voting
except in case of request received for transmission or system of NSDL.
transposition of securities. In view of this and to eliminate
all risks associated with physical shares and for ease of 2.
The Members can join the AGM in the VC/OAVM
portfolio management, members holding shares in physical mode 30 minutes before the scheduled time of the
form are requested to consider converting their holdings to commencement of the Meeting by following the
dematerialised form. Members can contact the Company or procedure mentioned in the Notice. The facility of
Link Intime (India) Private Limited for assistance in this regard. participation at the AGM through VC/OAVM will be
made available for 1,000 members on first come first
16. Members holding shares in physical form, in identical order served basis. This will not include large Shareholders
of names, in more than one folio are requested to send (Shareholders holding 2% or more shareholding),
to the Company or Link Intime (India) Private Limited, the Promoters, Institutional Investors, Directors,
details of such folios together with the share certificates Key Managerial Personnel, the Chairpersons of the
for consolidating their holdings in one folio. A consolidated Audit Committee, Nomination and Remuneration
share certificate will be issued to such Members after making Committee and Stakeholders Relationship Committee,
requisite changes. Auditors, Secretarial Auditors etc. who are allowed to
attend the AGM without restriction on account of first
17. In compliance with the aforesaid MCA Circulars and SEBI come first served basis.
Circular dated 12th May, 2020, Notice of the AGM along
with the Annual Report 2019-20 is being sent only through 3. Please note that Participants connecting from Mobile
electronic mode to those Members whose e-mail addresses Devices or Tablets or through Laptop connecting via
are registered with the Company’s Registrar and Share Mobile Hotspot may experience Audio/Video loss due
Transfer Agent/Depositories. Members may note that the to fluctuation in their respective network. It is therefore
Notice and Annual Report 2019-20 will also be available recommended to use Stable Wi-Fi or LAN Connection
on the Company’s website www.dmartindia.com, websites to mitigate any kind of aforesaid glitches.
of the Stock Exchanges i.e. BSE Limited and National
Stock Exchange of India Limited at www.bseindia.com and 4. Members who need assistance before or during the
www.nseindia.com respectively and on the website of NSDL AGM, can contact NSDL on evoting@nsdl.co.in/
https://www.evoting.nsdl.com. 1800-222-990 or contact Mr. Amit Vishal, Senior
Manager – NSDL at amitv@nsdl.co.in/ 022-24994360
18.
Members who have not registered their e-mail address or Ms. Soni Singh, Assistant Manager – NSDL at
are requested to register the same in respect of shares sonis@nsdl.co.in/ 022-24994559.
held in electronic form with the Depository through their
Depository Participant(s) and in respect of shares held in 5. Members who would like to express their views/ask
physical form by writing to the Company with details of folio questions during the meeting may register themselves
number and attaching a self-attested copy of PAN card at as a speaker and send request from their registered
investorrelations@dmartindia.com or to Link Intime (India) e-mail address mentioning their name, demat account
Private Limited at rnt.helpdesk@linkintime.co.in. number/folio number, e-mail id, mobile number at
investorrelations@dmartindia.com from 26th August,
19.
Instructions for members for attending the AGM 2020 (9:00 a.m. IST) to 28th August, 2020 (5:00 p.m.
through VC/OAVM are as under: IST). Those Members who have registered themselves
1. Member will be provided with a facility to attend the as a speaker will only be allowed to express their
AGM through VC/OAVM or view the live webcast of views/ask questions during the AGM. The Company
AGM through the NSDL e-Voting system. Members may reserves the right to restrict the number of speakers
access the same at https://www.evoting.nsdl.com depending on the availability of time for the AGM.
under shareholders/members login by using the remote
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
20. Voting Options: b)

In case of Member holding shares in demat
Pursuant to the provisions of Section 108 of the Companies account with NSDL, USER-ID is the combination
Act, 2013 read with Rule 20 of the Companies (Management of (DP ID + Client ID).
and Administration) Rules, 2014 (as amended) and Regulation
44 of SEBI (Listing Obligations & Disclosure Requirements) c)
In case of Member holding shares in demat
Regulations, 2015 (as amended), the Company is providing account with CDSL, USER-ID is 16 Digit
facility of remote e-voting to its Members in respect of the Beneficiary ID.
business to be transacted at the AGM. For this purpose,
the Company has entered into an agreement with National d) In case Member are holding shares in physical
Securities Depository Limited (NSDL) for facilitating voting mode, USER-ID is the combination of (Even
through electronic means, as the authorised agency. No. +Folio No).
The facility of casting votes by a member using remote
e-voting system as well as voting on the date of the AGM will 5. Your password details are given below:
be provided by NSDL.
a) If you are already registered for e-Voting, then
Instructions for remote e-voting are as under: you can use your existing password to login and
The remote e-voting period commences on Saturday, cast your vote.
29th August, 2020 (9:00 a.m. IST) and ends on Monday,
31st August, 2020 (5:00 p.m. IST). During this period b) If you are using NSDL e-Voting system for the first
members of the Company, holding shares as on the cut-off time, you will need to retrieve the ‘initial password’
date of Tuesday, 25th August, 2020, may cast their vote which was communicated to you. Once you
by remote e-voting. The remote e-voting module shall be retrieve your ‘initial password’, you need enter the
disabled by NSDL for voting thereafter. Once the vote on a ‘initial password’ and the system will force you to
resolution is cast by the member, the member shall not be change your password.
allowed to change it subsequently.
c) How to retrieve your ‘initial password’?
Process for remote e-voting are as under:
(i) If your e-mail ID is registered in your demat
1.
Visit the e-Voting website of NSDL. account or with the Company, your ‘initial
Open web browser by typing the following URL: password’ is communicated to you on your
https://www.evoting.nsdl.com/ either on a Personal e-mail ID. Trace the e-mail sent to you from
Computer or on a mobile. NSDL from your mailbox. Open the e-mail
and open the attachment i.e. a .pdf file.
2. Once the home page of e-Voting system is launched, Open the.pdf file. The password to open
click on the icon “Login” which is available under the .pdf file is your 8 digit client ID for NSDL
‘Members’ section. account, last 8 digits of client ID for CDSL
account or folio number for shares held in
3. A new screen will open. You will have to enter your physical form. The .pdf file contains your
User ID, your Password and a Verification Code as ‘User ID’ and your ‘initial password’.
shown on the screen.
(ii) If your e-mail ID is not registered, please
Alternatively, if you are registered for NSDL eservices i.e. follow steps mentioned below in process
IDEAS, you can log-in at https://eservices.nsdl.com/ for those members whose e-mail ids are
with your existing IDEAS login. Once you log-in to not registered.
NSDL eservices after using your log-in credentials,
click on e-Voting and you can proceed to Step 2 i.e. 6. If you are unable to retrieve or have not received the
Cast your vote electronically. “Initial password” or have forgotten your password:
4. Your User ID details are given below: a)

Click on “Forgot User Details/Password?”(If
you are holding shares in your demat account
a)
If you are already registered with NSDL for with NSDL or CDSL) option available on
remote e-voting then you can use your existing www.evoting.nsdl.com.
user ID for login.
b)
“Physical User Reset Password?” (If you are attested scanned copy of Aadhar Card) by e-mail to
holding shares in physical mode) option available investorrelations@dmartindia.com or to Link Intime
on www.evoting.nsdl.com. (India) Private Limited at rnt.helpdesk@linkintime.co.in.
c) If you are still unable to get the password by 2.

In case shares are held in demat mode, please
aforesaid two options, you can send a request provide DPID-CLID (16 digit DPID + CLID or 16
at evoting@nsdl.co.in mentioning your demat digit beneficiary ID), Name, client master or copy
account number/folio number, your PAN, your of Consolidated Account statement, PAN (self
name and your registered address. attested scanned copy of PAN card), AADHAR
(self attested scanned copy of Aadhar Card) to
d)
Members can also use the OTP (One Time investorrelations@dmartindia.com or to Link Intime
Password) based login for casting the votes on (India) Private Limited at rnt.helpdesk@linkintime.co.in.
the e-Voting system of NSDL.
Alternatively member may send an e-mail request to
7. After entering your password, tick on Agree to “Terms evoting@nsdl.co.in for obtaining User ID and Password
and Conditions” by selecting on the check box. by providing the details mentioned in Point (1) or (2) as
the case may be.
8. Now, you will have to click on “Login” button.
The instructions for members for e-voting on the day of
9. After you click on the “Login” button, Home page of the AGM are as under:
e-Voting will open. 1. The procedure for e-Voting on the day of the AGM
is same as the instructions mentioned above for
10. After successful login, you will be able to see the Home remote e-voting.
page of e-Voting. Click on e-Voting. Then, click on
Active Voting Cycles. 2. Only those Members, who will be present in the AGM
through VC/OAVM facility and have not casted their
11. After click on Active Voting Cycles, you will be able to vote on the Resolutions through remote e-Voting and
see all the companies “EVEN” in which you are holding are otherwise not barred from doing so, shall be eligible
shares and whose voting cycle is in active status. to vote through e-voting system in the AGM.
12.
Select “EVEN” of company for which you wish to 3. Members who have voted through Remote e-Voting
cast your vote. will be eligible to attend the AGM. However, they will
not be eligible to vote at the AGM.
13. Now you are ready for e-Voting as the Voting page opens.
4. The details of the person who may be contacted for
14. Cast your vote by selecting appropriate options i.e. any grievances connected with the facility for e-Voting
assent or dissent, verify/modify the number of shares on the day of the AGM shall be the same person
for which you wish to cast your vote and click on mentioned for Remote e-voting.
“Submit” and also “Confirm” when prompted.
General Guidelines for members
15.
Upon confirmation, the message “Vote cast 1. Institutional members (i.e. other than individuals,
successfully” will be displayed. HUF, NRI etc.) are required to send scanned
copy (PDF/JPG Format) of the relevant Board
16. You can also take the printout of the votes cast by you Resolution/Authority letter etc. with attested specimen
by clicking on the print option on the confirmation page. signature of the duly authorised signatory(ies) who
are authorised to vote, to the Scrutiniser by e-mail to
17. Once you confirm your vote on the resolution, you will hsk@rathiandassociates.com with a copy marked to
not be allowed to modify your vote. evoting@nsdl.co.in.
Process for those members whose e-mail ids are not 2. It is strongly recommended not to share your password
registered with the depositories for procuring user id with any other person and take utmost care to keep your
and password and registration of e-mail ids for e-voting password confidential. Login to the e-voting website
for the resolutions set out in this notice: will be disabled upon five unsuccessful attempts to key
1. In case shares are held in physical mode please in the correct password. In such an event, you will need
provide Folio No., Name of shareholder, PAN (self to go through the “Forgot User Details/Password?” or
attested scanned copy of PAN card), AADHAR (self
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
“Physical User Reset Password?” option available on 4. Any person, who acquires shares of the Company and
www.evoting.nsdl.com to reset the password. become member of the Company after dispatch of the
notice and holding shares as of the cut-off date i.e.
3. In case of any queries, you may refer the Frequently Tuesday, 25th August, 2020, may obtain the login ID and
Asked Questions (FAQs) and e-voting user password by sending a request at evoting@nsdl.co.in.
manual for Members available at the download However, if he/she is already registered with NSDL for
section of www.evoting.nsdl.com or call on toll remote e-voting then he/she can use his/her existing
free no.: 1800-222-990. Members can also User ID and password for casting vote. If you forget
contact Ms. Pallavi Mhatre, Assistant Manager, your password, you can reset your password by using
NSDL, to resolve any grievances with regard “Forgot User Details/Password” option available on
to e-voting, Tel no.: 022-2499 4545, e-mail-id: www.evoting.nsdl.com.
pallavid@nsdl.co.in/evoting@nsdl.co.in.
5.
The Scrutiniser shall after the conclusion of voting
Other instructions at the AGM, will count the votes cast at the meeting
1. The Company has appointed through e-voting and thereafter unblock the votes cast
Mr. Himanshu S. Kamdar (Membership No.: FCS through remote e-voting and shall make not later than
5171), Partner of M/s. Rathi & Associates, Practicing 48 hours of the conclusion of the AGM, a consolidated
Company Secretaries, as scrutiniser (the ‘Scrutiniser’) scrutiniser’s report of the total votes cast in favour or
for conducting the e-voting and remote e-voting against, if any, to the Chairman or a person authorised
process for the Annual General Meeting in a fair and by him in writing, who shall countersign the same and
transparent manner. declare the result of the voting forthwith.
2.
The members who have cast their vote by remote 6.
The Results declared along with the report of the
e-voting may attend the meeting through VC / OAVM Scrutiniser shall be placed on the website of the
but shall not be entitled to cast their vote again. Company www.dmartindia.com and on the website
of NSDL www.evoting.nsdl.com immediately.
3. A person, whose name is recorded in the register of The Company shall simultaneously forward the results
members or in the register of beneficial owners as on to National Stock Exchange Limited of India and BSE
the cut-off date, Tuesday, 25th August, 2020 only shall Limited, where the shares of the Company are listed.
be entitled to avail the facility of remote e-voting as well
as voting at the AGM through e-voting.
EXPLANATORY STATEMENT PURSUANT TO SECTION Based on the recommendations of Nomination and Remuneration
102 OF THE COMPANIES ACT, 2013 Committee, the Board of Directors of the Company, at their
ITEM NO. 3: meeting held on 11th July, 2020, approved his re-appointment
The members of the Company at its Annual General Meeting as Managing Director of the Company and designated as ‘Chief
held on 16th September, 2016 had approved the appointment Executive Officer’, for a further period of 5 (five) years with effect
of Mr. Chandrashekhar Bhave as Non-Executive Independent from 1st February, 2021 and payment of the remuneration to him
Director on the Board of the Company pursuant to the provisions of for the said tenure.
Section 149 of the Companies Act, 2013 (hereinafter referred to as
‘the Act’) read with the Companies (Appointment and Qualification The re-appointment of Managing Director of the Company
of Directors) Rules, 2014, to hold office upto 16th May, 2021. shall require the approval of the members by way of passing of
Ordinary Resolution pursuant to the provisions of Sections 196,
Mr. Chandrashekhar Bhave, Non-Executive Independent Director 197, 203 and any other applicable provisions of the Companies
of the Company, has given a declaration to the Board that he Act, 2013 and the rules made there under (including any statutory
meets the criteria of independence as provided under Section modification(s) or re-enactment thereof for the time being in force),
149(6) of the Act and Regulation 16(1)(b) of the SEBI (Listing read with Schedule V to the Companies Act, 2013.
Obligations and Disclosure Requirements) Regulations, 2015
(“Listing Regulations”). Mr. Ignatius Navil Noronha is not disqualified in terms of Section
164 of the Act and has given his consent to act as the Managing
Mr. Bhave has the requisite qualification, skills, experience and Director & CEO of the Company. He satisfies all the conditions as
expertise in specific functional areas, which is beneficial to set out in Section 196(3) of the Act and Part I of Schedule V to the
the Company and based on the outcome of his performance Act, for being eligible for his re-appointment.
evaluation, the Nomination and Remuneration Committee
recommended and the Board of Directors of the Company He has requisite qualification, skills, experience and expertise in
approved at their respective meetings held on, 11th July, 2020, specific functional areas, which is beneficial to the Company and
his re-appointment as a Non-Executive Independent Director for considering his contribution in overall growth and performance of
the second term of 5 (five) consecutive years on the Board of the the Company, the Board recommends passing the resolution at
Company w.e.f. 17th May, 2021. Item No.4 of the Notice as an Ordinary Resolution by the Members.
As per Regulation 17 (1A) of Listing Regulations, 2015 approval The terms and conditions of his re-appointment are broadly
of Members of the Company is required by way of a special stated as under:
resolution, for continuance of his appointment as an Independent
Director of the Company on his attaining the age of 75 years (i) Fixed remuneration: The Board of Directors of the Company
during his tenure. in consultation with the Nomination and Remuneration
Committee and Mr. Ignatius Navil Noronha, may from time
In the opinion of the Board, Mr. Bhave, fulfills the conditions to time, fix the remuneration within a range of ` 4.5 crore per
specified in the Act, its rules framed thereunder and Listing annum to ` 6.75 crore per annum.
Regulations for re-appointment as Independent Director and
he is independent of the management. Accordingly, the Board (ii) Variable remuneration: He shall be entitled to incentive pay in
of Directors recommends the special resolution set out in accordance with the Company’s Policy as may be amended
Item No. 3 for approval of the members of the Company as from time to time.
Special Resolution.
(iii) Perquisites:
The required details as per the Secretarial Standards (“SS-2”) and
Regulation 36(3) of the Listing Regulations, is provided at Annexure a) Leave/Leave Encashment on cessation of service, as
A of this Notice. The draft letter of appointment setting out terms per Rules of the Company.
and conditions of re-appointment of the said Director shall be
open for inspection by the Members through electronic mode. b) Other benefits, schemes, privileges and amenities as
per the Company’s policy.
Except Mr. Bhave, none of the Promoters, Directors, Key
Managerial Personnel of the Company/their relatives is, in any way, (iv)
Mr. Noronha shall not be liable to retire by rotation.
concerned or interested, financially or otherwise, in the resolution His directorship shall not be reckoned for the purpose of
set out at Item No. 3 of the Notice. determining the rotation or retirement of Directors.
ITEM NO. 4 The Board of Directors shall be authorised to give annual

The members of the Company at its Extra-Ordinary General Meeting increments to the aforesaid remuneration, as may be deemed
held on 10th March, 2016 had approved the re-appointment of appropriate, which shall be merit based taking into account other
Mr. Ignatius Navil Noronha as a Managing Director of the Company relevant factors and in accordance with the limits specified under
for a period of 5 (five) years w.e.f. 1st February, 2016 and payment the Companies Act, 2013 (including any statutory modifications or
of remuneration during his tenure. His term as Managing Director re-enactments thereof, for the time being in force) or such other
shall expire on 31st January, 2021.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
limits as may be prescribed by the Government from time to time (ii) Variable remuneration: He shall be entitled to incentive pay in
in this regard. accordance with the Company’s Policy as may be amended
from time to time.
The terms and conditions of re-appointment of the said
re-appointment shall be open for inspection by the Members (iii)
Stock Options: He shall be entitled to Employee Stock
through electronic mode. Options granted under the Employee Stock Option Scheme
of the Company through which shares may be allotted.
The above may be treated as a written memorandum setting out The perquisite value of stock options exercised shall be in
the terms of re-appointment of Mr. Ignatius Navil Noronha under addition to the remuneration mentioned above.
Section 190 of the Companies Act, 2013. The required details as
per the Secretarial Standards (“SS-2”) and Regulation 36(3) of the (iv) Perquisites:
Listing Regulations, is provided at Annexure A of this Notice.
a) Leave/Leave Encashment on cessation of service, as
Except Mr. Ignatius Navil Noronha, none of the Promoters, per Rules of the Company.
Directors, Key Managerial Personnel of the Company/their
relatives is, in any way, concerned or interested, financially or b) Other benefits, schemes, privileges and amenities as
otherwise, in the resolution set out at Item No. 4 of the Notice. per the Company’s policy.
ITEM NO. 5 (v) Mr. Machado shall be liable to retire by rotation.

The members of the Company at its Annual General Meeting
held on 28th August, 2018 had approved re-appointment of The Board of Directors shall be authorised to give annual
Mr. Elvin Machado as a Whole-time Director of the Company increments to the aforesaid remuneration, as may be deemed
for a period of 3 years w.e.f. 10th June, 2018 and payment of appropriate, which shall be merit based taking into account other
remuneration during his tenure. His term as Whole-time Director relevant factors and in accordance with the limits specified under
shall expire on 10th June, 2021. the Companies Act, 2013 (including any statutory modifications or
re-enactments thereof, for the time being in force) or such other
Based on the recommendations of Nomination and Remuneration limits as may be prescribed by the Government from time to time
Committee, the Board of Directors of the Company, at their in this regard.
meeting held on 11th July, 2020, approved his re-appointment as a
Whole-time Director, for a further period of 3 (three) years with effect The terms and conditions of re-appointment of the said
from 10th June, 2021, and payment of the remuneration to him. re-appointment shall be open for inspection by the Members
through electronic mode.
The re-appointment of Whole-time Director of the Company
shall require the approval of the members by way of passing of The above may be treated as a written memorandum setting out
Ordinary Resolution pursuant to the provisions of Sections 196, the terms of re-appointment of Mr. Elvin Machado under Section
197, 203 and any other applicable provisions of the Companies 190 of the Companies Act, 2013. The required details as per the
Act, 2013 and the rules made there under (including any statutory Secretarial Standards (“SS-2”) and Regulation 36(3) of the Listing
modification(s) or re-enactment thereof for the time being in force), Regulations, is provided at Annexure A of this Notice.
read with Schedule V to the Companies Act, 2013.
Except Mr. Elvin Machado, none of the Promoters, Directors, Key
Mr. Elvin Machado is not disqualified in terms of Section 164 of the Managerial Personnel of the Company/their relatives is, in any way,
Act and has given his consent to act as the Whole-time Director of concerned or interested, financially or otherwise, in the resolution
the Company. He satisfies all the conditions as set out in Section set out at Item No. 5 of the Notice.
196(3) of the Act and Part I of Schedule V to the Act, for being
eligible for his re-appointment. By order of the Board of Directors of
He has requisite qualification, skills, experience and expertise in
specific functional areas which will be beneficial to the Company. Ashu Gupta
Accordingly, the Board recommends passing the resolution at Item Place: Thane Company Secretary
No. 5 of the Notice as an Ordinary Resolution by the Members. Date: 11th July, 2020 Membership No. A13449
The terms and conditions of his re-appointment are broadly Registered Office:
stated as under: Anjaneya CHS Limited, Orchard Avenue,
(i) Fixed remuneration: The Board of Directors of the Company CIN: L51900MH2000PLC126473
in consultation with the Nomination and Remuneration Tel No.: 022-40496500
Committee and Mr. Elvin Machado, may, from time to time, Fax No.: 022-40496503
may fix the remuneration within a range ` 76 lakh per annum E-mail ID: investorrelations@dmartindia.com
to ` 1 crore per annum. Website: www.dmartindia.com
ANNEXURE-A
DETAILS OF DIRECTORS RETIRING BY ROTATION AND SEEKING RE-APPOINTMENT AT THE ANNUAL GENERAL
MEETING
1. Mr. Ramakant Baheti

Age 47 years
Date of appointment on the Board 2nd January, 2006
Qualifications Chartered Accountant
Nature of expertise & experience Mr. Ramakant Baheti is a Chartered Accountant from the Institute
of Chartered Accountants of India and holds a graduation degree in
Commerce from Maharishi Dayanand Saraswati University, Ajmer. He
has 22 years of experience in finance.
Relationship with other Director/Key Managerial Personnel Not related to any Director/Key Managerial Personnel
Terms and conditions of appointment/re-appointment Mr. Baheti was re-appointed as a Whole-time Director & Group Chief
Financial Officer for a period of 5 (five) years with effect from 1st May,
2019 and shall be liable to retire by rotation.
Remuneration last drawn Refer to Directors’ Report and Corporate Governance Report forming
part of the Annual Report
Remuneration proposed to be paid Mr. Baheti shall be paid remuneration as per resolution passed by the
members of the Company
Number of meetings of the Board attended during the financial year 6
(2019-20)
Directorships held in other companies • Avenue E-Commerce Limited
• Damani Estates & Finance Private Limited
• Trishala Realty Private Limited
• Nahar Seth and Jogani Developers Private Limited
• Habitat Micro Build India Housing Finance Company Private
Limited
• Reflect Wholesale & Retail Private Limited
• Smt. Saraswati Devi Shivkishan Damani Foundation
Memberships/Chairmanships of committees of other companies • Avenue E-Commerce Limited
1. Audit Committee – Member
2. Nomination and Remuneration Committee - Member
3. Finance & Operations Committee – Chairman
4. ESOP Committee – Chairman
• Habitat Micro Build India Housing Finance Company Private
Limited
1. Risk Management Committee – Member
2. Audit Committee – Member
3. Customer Service and Grievance Redressal Mechanism
Committee – Member
4. Resource Committee – Member
No. of shares held in the Company 2,799,107 equity shares of the Company
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
2. Mr. Chandrashekhar Bhave

Age 69 years
Date of appointment on the Board 17th May, 2016
Qualifications Graduation degree in electrical engineering from Jabalpur Engineering College
Nature of expertise & experience Mr. Bhave holds a graduation degree in electrical engineering from Jabalpur Engineering College.
He has several years of experience in the state and central administrative services and securities
regulation. Prior to joining our Company, he has been in the Indian administrative services and has
worked in different positions with the State Government and the Central Government. He has held
the position of a senior executive director of SEBI during the years 1992 to 1996 which were the
formative years of SEBI, and during which period the work of creating the regulatory infrastructure
for capital markets was undertaken. He has also served as the chairman and managing director of
NSDL during the years 1996 to 2008. Further, he has served as the chairman of SEBI during the
years 2008 to 2011. During this period, he was also the chairperson of the Asia-Pacific Regional
Committee and a member of the technical and the executive committees of the International
Organisation of Securities Commission. He was a member of the board of the Public Interest
Oversight Board (“PIOB”), which is a not for profit foundation registered in Madrid, Spain. The PIOB
supervises the work of the standard setting bodies of the International Federation of Accountant
from the perspective of public interest. He was a trustee of the IFRS foundation based in London.
He is also the Chairman of the Indian Institute for Human Settlements, a not for profit company
established for the purpose of creating and disseminating knowledge related to human settlements
in the context of urban areas. He is a member of the board of Mahindra and Mahindra Financial
Services Limited, Vistaar Financial Services Private Limited, Tejas Networks Limited, Max Bupa
Health Insurance Company Limited and a trustee on the board of trustees of the Independent and
Public Spirited Media Foundation Trust.
Relationship with other Director/Key Not related to any Director/Key Managerial Personnel
Managerial Personnel
Terms and conditions of appointment/ It is proposed to re-appoint Mr. Chandrashekhar Bhave as a Non-Executive Independent Director,
re-appointment for a further period of 5 (five) years with effect from 17th May, 2021 and as mentioned in resolution
no. 3 of the Notice convening this Meeting read along with Explanatory Statement thereto.
Remuneration last drawn Refer to Directors’ Report and Corporate Governance Report forming part of the Annual Report
Remuneration proposed to be paid Mr. Bhave being a Non-Executive Director shall be paid sitting fees for attending Board and/or
Committee Meetings and commission, as approved by the Members of the Company.
Number of meetings of the Board 6
attended during the financial year
(2019-20)
Directorships held in other companies • Mahindra & Mahindra Financial Services Limited
• Vistaar Financial Services Private Limited
• Indian Institute for Human Settlements
• Tejas Networks Limited
• Max Bupa Health Insurance Company Limited
Memberships/Chairmanships of • Mahindra & Mahindra Financial Services Limited
committees of other companies 1. Risk Management Committee – Chairman
2. Audit Committee – Chairman
3. Nomination and Remuneration Committee Chairman
4. IT Strategy Committee – Member
5. Stakeholders Relationship Committee – Member
• Vistaar Financial Services Private Limited
1. Corporate Social Responsibility Committee – Chairman
2. Nomination & Remuneration Committee – Member
• Tejas Networks Limited
1. Audit Committee – Chairman
2. Nomination and Remuneration Committee – Member
3. Risk Management Committee – Member
• Max Bupa Health Insurance Company Limited
1. Nomination and Remuneration Committee – Member
No. of shares held in the Company NIL
3. Mr. Ignatius Navil Noronha

Age 45 years
Date of appointment on the Board 2nd January, 2006
Qualifications Graduation degree in science from S.I.E.S. College of Arts, Science and Commerce, Mumbai
and a post graduation degree in marketing management from Narsee Monjee Institute of
Management Studies, Mumbai.
Nature of expertise & experience Mr. Ignatius Navil Noronha holds a graduation degree in science from S.I.E.S. College of Arts,
Science and Commerce, Mumbai and a postgraduate degree in marketing management from
Narsee Monjee Institute of Management Studies, Mumbai. He has several years of experience
in the consumer goods industry. Prior to joining the Company, he has worked with Hindustan
Unilever Limited for eight years. During this period, he worked in the field of Market research,
Sales and Modern trade and at the time of leaving this organisation, he was designated as the
key Accounts Manager – Modern trade.
Terms and conditions of appointment/re- It is proposed to re-appoint Mr. Ignatius Navil Noronha as a Managing Director, for a further
appointment period of 5 (five) years with effect from 1st February, 2021 and as mentioned in Resolution No. 4
of the Notice convening this Meeting read along with Explanatory Statement thereto.
Remuneration proposed to be paid As per the Resolution No. 4 of the Notice convening this Meeting read along with Explanatory
Statement thereto.
Number of meetings of the Board attended 6
during the financial year (2019-20)
Directorships held in other companies • Avenue E-Commerce Limited
• Reflect Wholesale & Retail Private Limited
Memberships/Chairmanships of • Avenue E-Commerce Limited
committees of other companies 1. Finance & Operations Committee – Member
2. ESOP Committee – Member
No. of shares held in the Company 13,126,235 equity shares of the Company.
CORPORATE OVERVIEW
STATUTORY REPORTS
NOTICE OF THE AGM
4. Mr. Elvin Machado

Age 53 years
Date of appointment on the Board 10th June, 2015
Qualifications Graduation degree in Economics from St. Xavier’s College, University of Mumbai and M.A.
(Part I) from Mumbai University
Nature of expertise & experience Mr. Elvin Machado did his Graduation from St. Xavier’s College – Mumbai in the year 1987
majoring in Economics and later completed M.A. (Part I) from Mumbai University. Post the
graduation, he worked as a “Statistician” with a Pharmaceutical Company. In 1988 joined FMCG
giant HLL now Hindustan Unilever Limited as a Trainee Territory Sales In-charge promoted as
Officer. Later he was posted at Lever House (HO) as Trade Marketing Executive from where he
has supervised and monitored work in many locations across India. At Unilever, his last posting
was as “Branch Operations Manager” at Kolkata Branch. Post 18 years of stint with Unilever,
he joined Avenue Supermarts Limited in 2007 as General Manager-Operations. In capacity of
GM – Operations, he headed the Mumbai Circle. With a successful stint in Mumbai went on
to Head the Gujarat Circle for two and half years. He had been in Mumbai taking care of “Real
Estate Acquisition” for 4 years. Subsequently he was taken on Board as Whole-time Director.
He has completed 13 years with Avenue Supermarts Limited and is presently looking after
operations for the newly established circles of Madhya Pradesh, Chhattisgarh, Rajasthan, NCR
and Punjab.
Terms and conditions of appointment/ It is proposed to re-appoint Mr. Elvin Machado as a Whole-time Director, for a further period of 3
re-appointment (three) years with effect from 10th June, 2021 and as mentioned in Resolution No. 5 of the Notice
convening this Meeting read along with Explanatory Statement thereto.
Remuneration proposed to be paid As per the Resolution No. 5 of the Notice convening this Meeting read along with Explanatory
Statement thereto.
Number of meetings of the Board attended 6
during the financial year (2019-20)
Directorships held in other companies Nil
Memberships/Chairmanships of Nil
committees of other companies
No. of shares held in the Company 318,794 equity shares of the Company
NOTES
NOTES
REGISTERED OFFICE
Anjaneya Co-op. Housing Society Ltd.
Orchard Avenue,
Opp. Hiranandani Foundation School,
Powai, Mumbai – 400 076
Tel: +91-22-33400500
Fax: +91-22-33400599

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GOOD PRODUCTS

Corporate Overview Financial Statements ` 24,675 Crores

02 About DMart 98 Independent Auditor’s Report

03 Vision, Mission and Core Values 102 Annexure 1 to Independent

06 Key Product Categories 106 Standalone Balance Sheet

12 Message from the Managing 110 Statement of Changes in Equity

16 Sustainability at DMart 111 Notes

151 Independent Auditor’s Report

Consolidated Balance Sheet

Retail Business Area

Our customer-first culture has contributed

DMart was conceived by value investor

Core Values VISION & MISSION

Presence and Expansion Strategy

• Maharashtra (58) • Andhra Pradesh (3)

CUMULATIVE STORES Note: Maps not to scale

2 Stores 57 Stores 110 Stores

• Maharashtra (70) • Rajasthan (5) • Maharashtra (76) • Rajasthan (7)

176 Stores 214 Stores

Key Product Categories

THE KEY PRODUCT CATEGORIES CAN BE CLASSIFIED INTO:

dairy, frozen products,

Non Foods (FMCG)

Home care products, 20.29%

toiletries and other

General Merchandise & Apparel

Bed & bath, toys & 27.31%

Key Performance Indicators

REVENUE FROM OPERATIONS EBITDA

PROFIT AFTER TAX FIXED ASSET TURNOVER

REVENUE PER RETAIL BUSINESS

(in `) (million sq. ft.)

LIKE FOR LIKE GROWTH # OF STORES BILL CUTS

17.8 176 17.2

(%) (in crore)

Message from the Chairman

Every once in a while, the world

Message from the Managing Director & CEO

Our learnings thus far

They are ‘Our DMartians’.

Rooftop and Carport Solar Panels

Corporate Social Responsibility

NEW INITIATIVES DURING THE YEAR

3. Reading fair Scientific learning through

as numerical skills. The programme is 6. Remedial classes

Mr. Ramesh Damani

Mr. Ignatius Navil Noronha

Mr. Chandrashekhar Bhave Mr. Ramakant Baheti

Mrs. Manjri Chandak Ms. Kalpana Unadkat

Senior Leadership Team

Mr. Dheeraj Kampani Mr. Hitesh Shah

REGISTRAR & SHARE

BUSINESS OVERVIEW Key performance indicators

Key financial ratios

Human capital Similarly, we maintain a system of monthly review of the business

With the above rating affirmations, the Company continues to

UTILISATION OF IPO PROCEEDS

Sr. Particulars Projected utilisation of Actual utilisation of Deviation

CHANGES IN SHARE CAPITAL 2. 

CHANGES IN SHARE CAPITAL 2.

The composition of the Nomination and Remuneration

outflows and reduce the cost of raising funds VII.

b) Whenever Company proposes to utilise surplus cash 2.

iv. occupies post of a Chief Executive or director, Applicability

Additional Criteria for Appointment of Independent ii.

iv. Independent Director shall not be eligible for Stock Options.

Computer Aided Learning Programme focuses on enhancing

To, (v) The following Regulations and Guidelines prescribed

We have conducted the secretarial audit of the compliance b)

Based on our verification of the Company’s books, papers, d)

3. Minutes of the meetings of the Board of Directors, Audit Dear Sirs,

Committees as mandated under the Companies Act, 2013 iii.

4. NOMINATION AND REMUNERATION COMMITTEE Terms of reference of the Nomination and

Performance Evaluation Criteria for Independent Commission

b) Managing Director & Whole-time Director

Terms of reference of the Stakeholders’ Relationship d)