GIVO LIMITED

Regd. Office : 42nd Milestone, Kherki Daula, Gurgaon - 122001, Haryana.

AUDITED FINANCIAL RESULTS

Rs. In Lacs

Particulars

1.1

1.2

1.3

2

3

Six months ended December, 2002

3 months ended 31st March 2003

Corresponding 3 months in the Previous year 2002

Year ended March 31, 2003 (1.7.2002 to 31.3.2003) (Audited)

Year ended June 30, 2002 (1.10.2001 to 30.06.2002) (Audited)

1. Net Sales/Income from Operations

933.17

307.08

223.17

1,240.25

1,006.93

2. Other Income

204.09

52.37

69.26

256.46

260.73

3. Total Expenditure

a. Consumption of Raw Materials

453.82

238.72

176.03

692.54

769.39

- Provision for obsolence

(230.00)

b. Staff Cost

180.18

63.70

62.85

243.88

239.06

c. Other expenditure

- Selling, Administrative and Distribution Expenses

247.73

197.45

166.27

445.18

472.98

4. Interest

16.08

(11.71)

14.85

4.37

25.75

5. Depreciation

155.21

85.51

59.16

240.72

218.20

6. Profit(+)/Loss(-) before Tax (1+2-3-4-5)

84.24

(214.23)

43.27

(129.99)

(457.70)

7. Provision for taxation

-

8. Net Profit (+)/Loss(-) (6-7)

84.24

(214.23)

43.27

(129.99)

(457.70)

9. Paid-up equity share capital (Face value of per equity share is Rs. 10/- each)

5,227.89

5,228.45

5,227.89

5,228.45

5,227.89

10. Reserves excluding revaluation reserves

-

11. Basic and diluted EPS

Basic EPS

0.16

(0.41)

0.08

(0.25)

(0.88)

Diluted EPS

0.15

(0.37)

0.07

(0.22)

(0.79)

12. Aggregate of Non Promoter Sharholding

----- Number of shares

17,373,800

----- Percentage of Shareholding

33.14%

Notes:

1. Above unaudited figures were taken on record by the Board of Directors in its meeting held on 30th June 2003.

2. The previous accounting year and current accounting year figures are for nine months .

3. The Company had been served with a demand note of Rs. 16.62 crores in connection has import of Drawing/Designs/Documents. An appeal against the said order with CEGAT and CEGAT has confirmed the customs demand of Rs. 12.62 crores and waived of Rs. 2.00 crores being redemption fine and Rs. 1.00 crores from penalty against Rs. 2.00 crores. The Company has filed a civil appeal in the Hon'ble Supreme Court against the order of CEGAT and Customs.

4. The Company has filed a reference to BIFR on the basis of B/S for FY 2000-01and our reference has been registered by BIFR on March 20th, 2002 as case no. 128/02. Further reference on the basis of Balance Sheet for the year 2001-02 has been registered by BIFR as case No. 150/2003 dated 3.4.2003

5. The AEPC has issued a demand of Rs. 14.38 lakhs on18/08/1998 for non-utilization of Export Quota Certificates for the year 1997. The Company has filed a petition in Hon'ble High Court against the said demand and the matter is pending adjudication.

6. Apart from the old stock liquidated during the year, which was devalued at the net realizable value in the inventory as on 30.6.02, there were certain old and non moving finished goods in the inventory as on 31.3.03. Such old non moving inventory were valued at the net realizable value as per the requirement of AS-2. The net impact of the same on the loss for the year is Rs. 92.2 Lacs.

7. During the FY 2001-02 while computing the quarterly results for the quarter ended 31.12.2001 an excess provision for obsolescence was made for Rs. 230 lacs. This was reversed in the quarter ended 31.3.2002. Due to this reversal the raw material consumption shown for the corresponding quarter in the previous year 2001-02 is negative.

8. Comments on Qualifications of Auditors on Anuual Accounts for FY ended 30/06/2002

8.1 (Para 3a of the Auditors' report) The Management has taken steps for recovery of overdue loans and advances. As such, the Management is confident of recovery of said amount and no provision has been made in the books of accounts.

8.2 (Para 3b of the Auditors' report) The Company has obtained the Actuarial Valuation done for the FY 2001-02 and 2002-03.

8.3 (Para 3c of the Auditors' report) Financial Institutions has filed a suit for Recovery of its outstanding in the Debts Recovery Tribunal. The Company is in the process of negotiating an OTS proposal with the Financial Institutions. As a part of such negotiation, the Company has not provided interest on loans from the FI's/Banks/ECB to the tune of Rs. 2,227.43 lacs upto June 2002. The FI's have sent a notice u/s 13 (2) of Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Ordinance, 2002. The Company has filed a writ petition in the Hon'ble High Court challenging the Constitutional validity of the ordinance and the matter has been adjourned sine die. The Company has not provided interest on these loans during the nine months period ended 31.3.2003 to the tune of Rs 635.62 Lakhs. The cumulative amount not provided so far is Rs.2849.44 Lakhs.

8.4 (Para 3d of the Auditors' report) The Company has imported Plant and Machinery under EPCG scheme. The Company has been able to refix the export obligation on the basis of four times of CIF value of imports from DGFT. GIVO has, to date, completed 48.13% of export obligation. An application on for extension upto the year 2007 for fulfillment of export obligation has been filed.

For and on behalf of the Board

sd/-

Date : June 30, 2003

Nadira Chaturvedi

Place : New Delhi

Executive Director