Annual Report 2023 2024

A N N UA L R E P O R T 2 0 2 3 - 2 4
001 STRENGTHENING THE CORE

001 Overview
012 About the Company
014 From the Chairman’s Desk
002 STATUTORY REPORTS

018 Management Discussion & Analysis
050 Corporate Information
051 Notice to Shareholders
083 Board of Directors’ Report to Shareholders
Business Responsibility &
104 Sustainability Report
132 Corporate Governance Report
003 FINANCIAL STATEMENTS

150 Standalone Financial Statements
215 Consolidated Financial Statements
IN TODAY’S
WORLD, BUSINESS
ECOSYSTEMS ARE
CONSTANTLY
EVOLVING, AND
ENTERPRISES MUST
BE ADAPTABLE
TO FLOURISH.
For any enterprise, a strong core
provides the flexibility to respond to
these changes. It acts as the foundation
for everything the business does.
Helps define and amplify
the unique strengths, value
proposition, and target audience
Assists in identifying new
opportunities that align with resident
strengths and pivot when necessary
Ensures stable, efficient operations and
provides a platform for future growth
Guarantees financial stability
and operational efficiency to
handle growth effectively
IN A NUTSHELL,
A STRONG CORE
PROVIDES A
SPRINGBOARD
FOR SUSTAINABLE
GROWTH.
001 CORPORATE
OVERVIEW 018 STATUTORY
REPORTS 150 FINANCIAL
STATEMENTS
001
Over the decades,
we have adopted
and executed
but one strategy
very faithfully.
With our
CUSTOMER FIRST
commitment as the beacon for all our
strategies, we have devoted our energy
to strengthening our business core.
We have meticulously
evaluated the landscape,
skillfully adapted to customer
and sectoral dynamics,
and diligently invested in
our people, processes, and
products year after year.
The multi-dimensional
efforts have made us more
relevant to our customers
and business space.
As a result,
we have set ourselves up for
RESILIENCE, SUSTAINABLE
GROWTH AND LONG-
TERM SUCCESS.
002
LAKSHMI MACHINE WORKS LIMITED
ANNUAL
REPORT 2023-24
001 CORPORATE
STATEMENTS
003
STRENGTHENING THE CORE
OUR BUSINESS PLANNING

Business planning as a compass guides an enterprise towards its
goals while enabling it to navigate obstacles along the way. In our
world today, challenges are only increasing. They come at the most
unexpected time and from the least anticipated quarter.
At LMW, our business growth warrants an intelligent business
planning tool and a re-look at all our systems and processes to
ensure their significance in today’s complex world. This meticulous
exercise will be the critical lifeline that will sustain our progressive
journey.
In this light, we initiated essential Increased adoption and use of

measures: Business Analytics tools help the
Through our ‘Strategic Business organisation to arrive at a ‘Single
Planning’ process, we will arrive at Source of Truth’, which, in turn, will
our medium-term ambition for the help the organisation to understand
organisation and every business trends and make data-backed
vertical. It helps us to devise paths decisions.
that assist us in achieving our goal We are confident that our efforts
under multiple possible scenarios. towards fostering business
The clarity we arrive at helps us to excellence will uplift the organisation
define the roadmap for every person, to greater heights.
team, and division to sustain the
Company’s long-term success.
We are at the cusp of undertaking a
multi-year drive through which we
will assess and reassess every process
for its relevance, re-imagine and
improve it to enhance its resilience
to every scenario. This initiative helps
us build and lay a strong foundation
for a flexible and agile organisation
that can adapt to changing business
realities.
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001 CORPORATE
STATEMENTS
005
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REPORT 2023-24
OUR PEOPLE STRENGTH

People are core to the success of any business. They bring vital
knowledge and expertise to a business, allowing it to adapt, evolve
and stay ahead of the industry curve. Moreover, people are critical
to establishing lasting customer relations, essential for business
growth.
At LMW, our people are our Institutionalised new-age team

invaluable strength. We understand engagement tools to infuse energy
that our people are the engines that into teams. These tools helped
will propel the organisation toward improve business operations and
being future-ready. We continue to solidified people bonding within
invest in our people in uplifting their departments and units.
knowledge and sharpening their The ‘Leader Next’ programme within
skills. While we have covered quite the Company aims to build the
some distance on this journey, the leadership pipeline wherein specially
runway extends further every year. curated development programmes
To strengthen our learning and seek to transition seamlessly star
sharing culture, the Company has in performers to leadership positions.
place initiatives such as: Our efforts will transform our team
Competency Development members into valuable partners
programme: A continuing effort who will equitably and intelligibly
involving a comprehensive skill shoulder the responsibility of
mapping exercise (using statistical building LMW into an organisation
tools) and using the gaps identified that thrives in an evolving landscape.
to develop the training calendar.
We leveraged internal and external
expertise for skill training and
knowledge sharing.
001 CORPORATE
STATEMENTS
007
OUR SHOPFLOOR OPERATIONS

For every manufacturing company, the shopfloor is the heart. It’s the
battleground for learning, the field for executing, and the domain for
delivering. It’s where all plans and strategies take shape into on-ground
realities, and it’s where reputation is built.
At LMW, this domain is the The immediate benefit was that

foundation of our being. It’s the machine uptime scaled and resource
engine that has kept the enterprise utilisation became more efficient.
successful. While much has been The use of advanced IT solutions for
done to improve our shopfloor automation in the supply chain to
operations, much is being done to identify part requirements based on
transform it into a well-oiled engine. the production plan and ensure part
With this objective, we have rolled availability on the floor just in time.
out strategic initiatives. As a result, our shopfloor has
Even as the efforts at manufacturing emerged as a robust foundation for
excellence evolved from a planned our continued success.
practice into a habitual culture, the
Company has introduced cutting-
edge IT technology that captures
the entire shopfloor operations on
a screen and thereby effectively
improves production planning,
identifies shopfloor gaps and
enhances man-machine productivity.
The Company ensures that its Total
Productive Maintenance initiatives
emerge as the change catalyst for
assessing and realigning every
process.
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REPORT 2023-24
001 CORPORATE
STATEMENTS
009
OUR SERVICE ABILITY

Machines stay on shop floors for years and sometimes decades.
Recognising this reality, customers prefer brands that prioritise
building relationships with customers, understanding their needs,
and offering ongoing support. At LMW, we prioritise customer service
as a means of growing our customers’ businesses. We embed our
machines with cutting-edge technology and focus on keeping them
relevant throughout their life-cycle. We aim to be our customers’ back
office- literally- just a shout away.
We have underpinned our customer Our customer-friendly features on

service commitment with the our portal allow our customers to
following initiatives: understand their machines better,
We successfully launched learn about available upgrades, book
performance enhancement kits spares and reach out to the Company
to upgrade the efficiency and for assistance.
quality of our legacy machines and The Company is putting in place new
maintenance kits for our machines, customer outreach infrastructure
which contain all the parts and across India and globally to ensure
spares required for periodic machine swift customer access and enhanced
maintenance. service efficiency.
We introduced digital tools that Our efforts should help us make
allows us to connect remotely with considerable headway in earning
our customers’ machines, check their the invaluable recall of being a
performance, diagnose issues, if any, ‘customer-centric’ organisation.
and rectify solutions. Our customers’
positive response has inspired us
to proceed with new modules and
features that would give us a deeper
connect.
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001 CORPORATE
STATEMENTS
011
THE CORPORATE
Started back in 1962, LMW's product portfolio includes customer satisfaction, coupled
Lakshmi Machine Works, spinning machinery, weaving with the dedication to continuous
machinery, CNC machine tools and improvement and excellence in
or LMW was established aircraft parts catering to the diverse engineering, has propelled its
with the primary goal of needs of several marquee clients. growth and success in the industry.
helping Indian textile mills With a strong focus on innovation Beyond manufacturing, LMW also
spin better yarn. However, and technology, LMW has earned engages in community development
today, in addition to being a reputation for producing initiatives and corporate social
high-quality reliable machinery responsibility activities, contributing
the leading manufacturer that enhances productivity and to the welfare and development of
of textile machinery in India efficiency for its clientele. the communities where it operates.
and around the world, they Headquartered in Coimbatore, India,
are also known for their LMW has expanded its operations
expertise in metal casting, globally, serving customers in
machine tools manufacturing various countries and regions.
The Company's commitment to
and aerospace engineering.
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FOUNDRY DIVISION TEXTILE MACHINERY
(FDY) DIVISION (TMD)
Is the backbone for TMD and One of the few manufacturers in
MTD. Also makes precision the world to offer the entire range
castings for marquee of textile spinning machinery
international clients.
MACHINE TOOL ADVANCED TECHNOLOGY

DIVISION (MTD) CENTRE (ATC)
Offers one of India’s most Develops and manufactures
comprehensive machine components and sub-assemblies
tools comprising Turning for the global aerospace industry.
Centres, Machining Centres
and Turnmill Centres.
Vision Mission Values

To enhance customer To deliver greater value to › Excellence
satisfaction and our image our customers by providing
› Integrity
globally, achieve exponential complete, competitive
growth, and attain leadership solutions through › Learning and sharing
through world-class technological leadership and › Contribution to
products and services. manufacturing excellence industry and society
that is responsive to
dynamic marketing needs.
001 CORPORATE
STATEMENTS
013
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REPORT 2023-24
FROM THE
CHAIRMAN’S DESK
WE ARE CHARTING A PATH

TOWARDS A BRIGHTER HORIZON
FOR OUR CUSTOMER, MINDFUL OF
THE IMPACT WE CREATE. WHEN
WE ACHIEVE OUR GOALS, WE
WILL HAVE POSITIONED OURSELVES
AS A PREFERRED PARTNER TO
ALL OUR STAKEHOLDERS
DEAR SHAREHOLDERS, a critical initiative that will go a long
I
AM pleased to report another way towards sustaining profitable
year of satisfactory performance. growth over the long term.
As we reflect on FY24, we The core of our business is our
acknowledge the impact of the customers. In our business, which
intensifying geopolitical stress and is primarily capital equipment
the resultant economic upheaval manufacturing, our transaction
on our customers and user sectors. initiates the relationship with
During the year under review, our customer, which in most
we deftly maneuvered through cases extends for decades. For us,
these headwinds. Our progress Strengthening the Core means
in a year of global volatility is solidifying our ethos of customer-
a testament to the team’s hard centricity. The blueprint of our
work, resilience, and unwavering journey will focus on three
commitment to move forward. aspects: 1) Strengthening our focus
Beyond the visible achievements, on the customer landscape,
FY24 was an important milestone 2) Strengthening our commitment
as we embarked on a multi-year to our values, and 3) Strengthening
journey of strengthening our core, our commitment to deliver.
001 CORPORATE
STATEMENTS
015
C
FROM THE
CHAIRMAN’S DESK
WE ARE GOING DEEPER INTO

OUR PRODUCT LIFE-CYCLE TO
UNEARTH OPPORTUNITIES TO
DESIGN BETTER, MANUFACTURE
AND PACKAGE OUR PRODUCTS.
Strengthening our commitment

to our values
Strengthening our focus on For graduating into a life-
the customer landscape cycle solution provider to our
Our customers’ world is evolving customers, we will need to
swiftly owing to the rapidly sharpen our commitment to
changing trends, intensifying our values appreciably.
geopolitical stresses, and growing We will need to up our excellence
fragilities prevailing worldwide. quotient across the value chain-
Under the circumstances, we in ideating and designing our
recognise that our primary products, manufacturing our
responsibility is to provide products, servicing our customers
compelling solutions that allow our and conducting our business and
customers to operate with ease and customer relations with integrity. In
grow their businesses sustainably. a nutshell, we will need to raise our
We are taking a new approach. excellence ranking on the customer
We will deliberately endeavour experience chart a few notches.
to reposition ourselves as a To make this a reality, we will need
comprehensive solution provider to, individually and collectively,
to address our customers’ evolving unlearn legacy practices, relearn
changes in products and processes. and institutionalise contemporary
This is an ambitious goal because processes, and infuse digital
it will require us to integrate solutions in every aspect of our
all our business functions as a business to upgrade us into a
cohesive force to envision the smart enterprise that is alive, alert
changing ecosystem and ideate and agile to the ever-evolving
and develop sustainable solutions. sectoral and customer ecosystem.
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REPORT 2023-24
Strengthening our commitment
to deliver on our values
This would be the ultimate test of
everything we aim for. We need to We are charting a path towards
make it happen for our customers, a brighter horizon for customers,
stand up and deliver, and make ourselves, our Company, and
every customer feel special by the impact we create. When we
embedding the culture of continuous achieve our goals, we will have
excellence, learning and integrity positioned ourselves as preferred
into everything we do at LMW. partners to our customers in all
I am happy to state that we have our businesses. By making their
taken some definitive steps in our businesses successful, we will make
journey, which has been appreciated our business growth sustainable.
I THANK THE BOARD MEMBERS FOR
by our customers. This encourages Acknowledgment THEIR CONTINUED SUPPORT AND
us to move forward towards creating As we move forward in our GUIDANCE, OUR SHAREHOLDERS
an exceptional experience for them. aspirations positively, I would FOR THEIR CONTINUED FAITH
In closing like to gratefully acknowledge AND ALL OUR STAKEHOLDERS,
The change which we have the unwavering support of our NAMELY CUSTOMERS, VENDORS,
visualised is genuinely invigorating. customers and the dedication of GOVERNMENT AUTHORITIES AND
It is our opportunity to learn, our employees, both of which have THE LOCAL COMMUNITY FOR
grow, and push the boundaries been instrumental in the steady THEIR CONTINUED SUPPORT.
of what’s possible. While there progress the Company has made
will be challenges and moments thus far and would like to assure
you of our continuing endeavours Regards,
of uncertainty, we will approach
them with a spirit of curiosity and in reaching new heights together Sanjay Jayavarthanavelu
a relentless drive to succeed. on our journey year after year. CHAIRMAN & MANAGING DIRECTOR
001 CORPORATE
STATEMENTS
017
MANAGEMENT
DISCUSSION & ANALYSIS
WORLD ECONOMY Consumer spending is increasing,

indicating a positive trend in
In 2023, the global economy
economic activity. However,
exhibited better-than-expected
the recovery appears more
resilience in the face of monetary
pronounced among consumers
policy tightening. Inflation declined
in the higher income bracket.
across the world - it was more
pronounced in emerging markets Outlook: The global economy will
than in their developed counterparts. continue to grow but at a slow
pace. Much of the weakness is
Global factories ended 2023 on a
attributable to the weak economic
weaker note, with output dropping
environment in China and Europe.
marginally in December for seven
However, emerging economies will
successive months, driven by
do better to the extent of 4% in 2024
slumps in the Eurozone and China.
and beyond. However, the prime
Global merchandise trade dropped risks remain, namely a renewed
by 1% in 2023 owing to lower uptick in consumer price inflation
demand in developed countries, and increasing geopolitical risks.
ongoing geopolitical tensions,
escalating debt and widespread
economic uncertainties.
Healthy expansion was witnessed in
emerging economies that benefited Growth % Projections %
Economy
from the demand from Rest of the 2022 2023 2024
World and high commodity prices. World economy 3.5 3.2 3.2
A rise in private and government Advanced economies 2.6 1.6 1.7
spending was also seen despite Emerging markets& developing economies 4.1 4.3 4.2
tight monetary measures. (Source: IMF, World Economic Outlook, April 2024 | World Economic Outlook, October 2023)
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INDIAN ECONOMY India’s manufacturing sector Outlook: India’s GDP growth rate
witnessed continued growth, for the financial year 2024-25
Marking the third straight year receives a positive revision (close
fuelled by government initiatives
of healthy performance after the to or equal to 7%) by most global
like PLI schemes. The IIP (Index
pandemic, the Indian economy agencies and RBI while estimates
of Industrial Production) from
has achieved an estimated growth annual inflation to remain at 4.5%.
April 2023 to February 2024
of ~8% in FY24. It shows the
grew at 5.9% compared to However, the growth comes with
resilience and potential of the Indian
5.6% in the corresponding challenges and risks. For instance,
economy amid external headwinds
period of the previous year. the slowdown in global growth
when global economies are still
struggling to grow at even 2%. During FY24, with a gross amount could dampen the country’s
of H20.18 lakh crore, the total export momentum. The ongoing
This growth in the world’s fifth- geopolitical tensions in Eastern
GST collection posted a 11.7%
largest economy is underpinned Europe; troubles at the Red Sea
growth year-on-year, showing
by domestic demand, adequate and other geopolitical issues
increasing business activity.
private and public investment in could disrupt supply chains and
infrastructure and policy reforms. Current account deficit (CAD)
narrowed sequentially to US$10.50 impact commodity prices again.
Inflation softened in FY24, although A sudden spike in inflation
billion in the quarter ended
food inflation remains a worry, can further delay the
December 2023 (Q3 FY24) - 1.2% of
climbing by 9.5% in December 2023. interest rate cut by RBI.
gross domestic product (GDP) - from
However, headline inflation remained
US$11.40 billion in Q2 FY24 (1.3%
within the tolerance band of RBI for
of GDP). The deficit was also down
most of the financial year, thanks
from US$16.80 billion or 2% of GDP
to the tight monetary policy of the
in the year-ago period (Q3 FY23).
central bank and timely government
measures to curb the price rise.
001 CORPORATE
STATEMENTS
019
MANAGEMENT
BUSINESS DIVISION
ONE
FOUNDRY
DIVISION
5,022
VOLUME SOLD,
FY24 (Tonnes)
105.18
REVENUE IN FY24
(H IN CRORES)
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REPORT 2023-24
001 CORPORATE
STATEMENTS
021
MANAGEMENT
DISCUSSION & ANALYSIS [BUSINESS DIVISION - ONE]
The foundry division is the Strengthening our core machinery and equipment, pumps
critical backbone for LMW’s The division continued to strengthen and valves, gears, aerospace,
textile machinery and its environment management and defence. They are also
machine tool divisions. efforts. The team focused on strong and durable and can be
The majority of the output of the optimising sand (a key raw shaped into complex forms.
foundry division is consumed material) and energy consumption;
Global landscape
internally. The division also it focused on increasing the
The market for metal casting
develops complex and large utilisation of renewable energy
reached a valuation of US$165.00
castings for marquee international and green sourcing of resources
billion in 2023. The market is
brands in India and globally. for business operations. This would
estimated to increase at a CAGR
help the division strengthen its
Performance in FY24 of 7.30% between 2024 and 2032
contribution to the Company’s
During the year under review, to reach US$314.90 billion.
growth momentum.
the operations staff in both units Rapid technological advancements,
worked diligently towards meeting The business space the growing thrust to use recycled
the requirements of both in-house A foundry is the beginning of metals, expansion of construction
and external customers. During many manufacturing processes. and infrastructure projects, growing
the year, the division received its From the gears that run the investments in the defence sector,
GreenCo Platinum certification (in textile machinery to the sturdy and the increasing demand from the
June 2023), the highlight of the year. frame that supports complicated automotive and aerospace industries
structures, casting is the backbone will emerge as important growth
of almost all engineering efforts. drivers over the coming years.
Castings are vital in many industries,
including automotive, railway,
construction, infrastructure,
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REPORT 2023-24
Domestic environment rising exports, and technological The India metal casting market size
The Indian foundry industry is one advancements present interesting reached US$12.47 billion in 2023.
of the oldest and most prominent growth opportunities for the The IMARC Group expects the
in the country, making a sizeable domestic foundry sector, allowing it market to reach US$21.25 billion
contribution to the nation’s GDP and to sustain its global pecking order. by 2032, exhibiting a growth rate
employment. With foundries spread The industry players seek to expand (CAGR) of 5.80% from 2024-2032.
across the country, the industry has their product offerings beyond
come a long way since its inception traditional products to include more
in the late 1800s, with continuous complex and value-added products.
modernisation and innovation.
The industry is divided into two
sectors: ferrous and non-ferrous
foundries. The dominant ferrous
sector produces iron and steel INFRASTRUCTURE
RENEWABLE ENERGY
castings, while the non-ferrous
sector produces aluminium,
copper, zinc and other alloys.
AUTOMOTIVE KEY
DEFENCE
India continues to be the second- GROWTH
URBAN MOBILITY
largest producer of castings in the DRIVERS
world. Favourable policy tailwinds, PETROCHEMICALS
RAILWAYS
001 CORPORATE
STATEMENTS
023
MANAGEMENT
DISCUSSION & ANALYSIS [BUSINESS DIVISION - ONE]
RAILWAYS
The Indian Railways, the nation’s
lifeline, is undergoing a significant
transformation due to various
government initiatives aimed at
modernisation, safety, and service
enhancement. Some key initiatives
driving this positive change are
modernising railway stations,
building dedicated freight corridors,
high-speed railway projects,
mass electrification drives, and
signaling and safety upgrades.
AUTOMOTIVE RENEWABLE ENERGY
India’s automotive industry is the As of November 2023, India’s
fourth largest in the world, valued renewable energy generation
at US$250 billion. It is projected capacity had surpassed 180 GW. The
to grow to US$600 billion by Government aims to achieve net-
2035. In the process, India may zero carbon emissions by 2070 and
become comparable to leading 500 GW of non-fossil energy by 2030.
global automotive hubs like The Government started the
Germany, Japan and South Korea. groundbreaking Pradhan Mantri
INFRASTRUCTURE
With India aiming to reach the US$5 URBAN MOBILITY Suryodaya Yojana (PMSY) to harness
trillion GDP target sooner, India’s Metro rail initiatives in India solar energy and empower one
economic growth in the coming represent a transformative force, crore households. Through this
years will be driven by increased shaping the future of urban scheme, eligible households can
investment in key sectors such mobility and fostering sustainable receive a maximum of 300 units
as infrastructure development. development. Currently, 17 Indian of free electricity every month by
According to CRISIL, India will cities have operational metro installing rooftop solar panels and
spend nearly H143 lakh crore on systems, with 28 more projects using solar energy. Further, reducing
infrastructure in seven fiscals under construction and another 11 dependence on traditional power
through 2030, more than twice in the planning stages. This rapid grids makes households more
the ~H67 lakh crore spent in the expansion aims to provide metro self-reliant and contributes to a
previous seven, starting fiscal 2017. connectivity to over 60 cities by 2035. cleaner and greener environment.
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DEFENCE
Once heavily reliant on imports
for its defence needs, India is
transforming into a global player
in defence manufacturing and
exporting. In 2023, India’s defence
production crossed the milestone
of H1 lakh crore for the first time.
In the future, India is expected to
spend H1.5 lakh crore annually till
2030 to modernise its armed forces.
PETROCHEMICALS
The Indian petrochemical industry
and its vast distribution system
Our blueprint
are the sixth largest in the world,
with a market size of about US$190 The division plans to increase
billion. According to a government capacity allocation to external
assessment, India’s need for customers to de-risk from an over-
chemicals and petrochemicals is dependence on internal customers.
predicted to nearly triple and reach Doing so would help the division
a promising US$1 trillion by 2040. increase its operational excellence
Further, given the anticipated growth quotient by a few notches.
of the Indian chemical market, the Cost optimisation through
petrochemical industry is expected environment management
to attract investments exceeding initiatives would continue to be
US$87 billion over the next ten years. a top priority for the division.
The above estimates, amongst The division will also further
other developments, promise to strengthen the initiatives undertaken
brighten the future landscape for under the Total Productivity
the Indian foundry industry. Management (TPM) programme.
001 CORPORATE
STATEMENTS
025
MANAGEMENT
BUSINESS DIVISION
TWO
TEXTILE MACHINERY
DIVISION
4,455
MACHINES SOLD
(UNITS)
3,440.96
REVENUE FROM
OPERATIONS
(H IN CRORES)
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REPORT 2023-24
001 CORPORATE
STATEMENTS
027
MANAGEMENT
DISCUSSION & ANALYSIS [BUSINESS DIVISION - TWO]
In six decades, the Textile Machinery a vast network of technical experts l It successfully developed a new
Division has emerged as one to service its machines to ensure variant of a ring frame spinning
of the leading global names in maximum uptime. Further, the machine for spinning finer counts
textile machinery solutions. Company has leveraged technology of yarn, which is experiencing
The division offers an entire range to strengthen its customer healthy demand. The machine’s
of spinning solutions in multiple connect digitally. The division technological superiority
variants to fit the requirements has also invested in warehouses significantly reduced its cost of
of diverse entrepreneurs and to maintain a prudent inventory ownership and operations while
organisations. Its products personify of spares and consumables. delivering higher productivity
precision engineering, leveraging Today, LMW’s machines are l The team introduced two carding
advanced automation, digitalisation, synonymous with quality and machine variants, which produced
and intelligent technologies innovation. From bustling industrial significantly higher volumes
to meet the evolving needs of hubs to smaller spinning units, their than other variants in the market
textile manufacturers in the form equipment powers the dreams with similar specifications
of diverse spinning solutions. of innumerable entrepreneurs, l The Draw Frames launched in the
To align with the changing times and spinning stories of empowerment previous fiscal saw a significant
demanding customer requirements, and economic vibrancy. inflow of orders for the equipment
the division has collaborated with Performance in FY24 FY24 was a milestone in product
global experts to embrace cutting- The division continued to scale delivery. The division completed
edge technology and global its performance, dispatching and delivered multiple projects
processes - this collective thread has more machines than the previous (including new installation,
strengthened the division’s fabric. year. However, the dismal global upgradation and modernisation)
Having made its mark in the domestic textile scenario cast a shadow across all machine categories.
textile sector, the division has also on the inflow of orders in the
Strengthening our core
established an indelible mark in the second half of the year.
In our quest to become an
global textile space with its machines During the year, the division increasingly customer-centric
spinning fortunes across the world. continued to widen its product organisation, the division continued
Cognizant that its relations with range to ensure that it delivers value to leverage its engineering
customers begin after the transaction to its customers and helps them excellence to enhance the value it
is complete; the division has created keep their Balance Sheets healthy. delivered to its customers through
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ANNUAL
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its products and services with the It helped in better use of resources would offer customers access to
aim of positioning the LMW brand and collapsed development time. comprehensive details regarding
as the preferred choice for spinning The division focused on developing the machine and access to
equipment by the textile players the competence of the R&D team reach LMW executives directly
in India and across the globe. through aggressive training on for faster issue resolution
Improving engineering excellence: diverse aspects with a special l The division also strengthened
The operations team further emphasis on emerging technologies. its efforts towards service
intensified their efforts to improve Additionally, the division created improvement in line with
plant operations. The division a dedicated team for industrial its Customer First focus
implemented IoT at both the units design. The design team will
focus on machine aesthetics and The business space
across the value chain (supply
ergonomics - making the smart Textile machinery encompasses a
chain to despatch and installation).
machine look even smarter. wide array of industrial equipment
In addition to automating
designed for producing and
key business operations, this Making service the defining
processing textiles. From spinning
technology intervention enabled the edge: Understanding the reality
and weaving to dyeing and
management and department heads that each transaction is a multi-year
finishing, these machines form the
to visualise business operations at relation, the division continued to
backbone of textile manufacturing.
a macro level and drill it down to strengthen its service commitment
Their efficiency, precision, and
micro parameters in real time. The to better service customers and
adaptability drive the entire value
team worked patiently on identifying improve their machines’ useful life.
chain. The textile machinery industry
areas for process and product quality It undertook multiple initiatives:
is pivotal in shaping the global
improvements and developing l The division commissioned a large
and domestic textile landscape.
solutions to address the same. The warehouse at Indore along with
team also made important feature a service centre (for mechanical Notable trends within the Textile
improvements in its existing product and electronic parts). The central Machinery market include 1) the
range to improve the value quotient location of this warehouse helped growing preference for sustainable
for its customers. The division made to service customers faster and eco-friendly products, 2) the
an important addition to its offering, increasing integration of technology
l The services team made a
demonstrating its engineering to enhance product quality and
special effort to explain the
excellence - it launched modules for efficiency and 3) the steady
fundamental and technical
all machines (across the spinning emergence of the circular economy.
features of mechatronics (which
process), which allow them to use is emerging as the heart of Global landscape
recycled fiber. This is critical to make every smart machine). This The textile machinery market
the existing fleet of machines (on the knowledge-sharing initiative operates on a global canvas.
shopfloors of customers) relevant allowed customers to understand Expansion in the textile sector
to altering market dynamics. how machines work and the and rapid adoption of advanced
Change in R&D culture: The possible issues that may arise technologies like AI and IoT
R&D function became more agile l The services team introduced promise exciting growth.
to customer needs. For this, the Maintenance Kits comprising
division encouraged its R&D all the spare parts required
experts to interact with customers for immediate machine
to understand customer needs maintenance. It helped in
and translate them into product improving machine uptime
development. The team also and productivity. In addition,
connected with suppliers and the team further upgraded its
institutions and collaborated Performance Enhancement Kits
with global agencies to receive designed to enhance machine FY24 was a milestone in product
critical market inputs on evolving performance and product
trends and market dynamics. delivery. The division completed
quality of the older machines
The division brought in a new culture and delivered multiple projects
l The team strengthened its
of involving all key stakeholders
efforts to ensure improved
(including new installation,
in the new product development upgradation and modernisation)
connectivity with customers that
process with clearly defined roles.
across all machine categories.
001 CORPORATE
STATEMENTS
029
MANAGEMENT
DISCUSSION & ANALYSIS [BUSINESS DIVISION - TWO]
The Global Textile Machinery Market

size is estimated at US$31.67 billion
in 2024 and is expected to reach
US$40.18 billion by 2029, growing
at a CAGR of 4.87% during the
forecast period (2024-2029).
Domestic environment
Automated textile machines play a The Indian textile industry is likely
vital role in transforming the textile to witness moderate growth in
sector owing to their ability to FY24 due to a decline in exports,
manufacture diverse high-end fabrics. accounting for about 1/4th of the
Despite geopolitical tensions, supply total revenue. However, the domestic
chain disruptions and rising costs, textile market continued to grow at
the global textile machinery market a steady pace in FY24 as a result of
exhibited moderate growth in 2022 robust domestic demand (supported
and 2023. It was driven by factors by sustained economic growth
like demand for technical textiles, and cotton price normalisation).
technological advancements, The domestic industry also
and sustainability initiatives. benifitted from growing exports
The existing linear economic model, due to improved demand for
which involves producing, utilising, Indian fabrics and apparel from
and disposing of textile goods, is the US and European markets -
proving unsustainable. Therefore, key export destinations for India.
a circular economy model that Consequently, the textile machinery
involves repair, reuse and recycling segment also witnessed a year
of such products at the end of their of growth and development.
life-cycle is gaining popularity, While the future of the textile
thus extending their lifespan. machinery sector could face some
However, the systems and hurdles owing to continuing
infrastructure to make it work geopolitical issues, the medium
have not yet been fully developed. term appears to present a
Despite that, the potential solutions favourable landscape.
emerging from the initiatives are
Opportunities
immense. These include developing
Despite global headwinds and
renewable sources of raw materials,
rising inflation, the prospects
reevaluating production methods,
A report by CII, titled “Decadal of the domestic textile industry
maximising the utilisation and reuse
Outlook for Textile Industry: of textile goods, implementing
will be driven by several factors
Threads of Transformation for that should cascade down to
reproduction and recycling strategies,
superior business opportunities
Textile Industry,” projects that redistributing textiles to new and
for the textile machinery sector.
the industry’s share of India’s parallel markets, and devising ways
to extend the lifespan of textiles. Flourishing Domestic Market:
GDP will increase from 2.3% E-commerce surge, growing
to about 5% by 2030, with a The industry’s prospects remain
organised retail, rising disposable
cautiously optimistic, with
steady annual growth rate of continuous adaptation to the
incomes, and working youth
9% in Gross Value Addition have increased apparel demand
global dynamics becoming
across the Indian landmass.
(GVA) from 2021 to 2028. crucial for sustained growth.
030
ANNUAL
REPORT 2023-24
Technical Textile Boom: Segments
like agro textiles, medical textiles,
and geotextiles are experiencing
significant growth. Powered by
strong government support, India
looks forward to an unparalleled
expansion in the technical textiles
industry. The segment is expected
to more than double in size from the
current US$22 billion to an estimated
US$50 billion in the next five years.
Cotton
Export Potential: India is a Cotton serves as the key material
significant exporter of textiles of the Indian textile industry due
and apparel worldwide. to its multifaceted significance.
Further, Free Trade Agreements As a primary raw material, cotton
(FTAs) with different countries accounts for a substantial portion
present vast opportunities for of India’s textile production,
domestic manufacturers. influencing the sector’s overall
Government policies: The output and economic viability.
Governments at the Central and The country’s abundant cotton
State levels, respectively, have cultivation and favourable climatic
put in place favourable policies conditions ensure a steady domestic
that aid the overall development supply, fostering self-sufficiency
of the textile industry in India. and reducing import dependency.
Government Support Additionally, cotton’s versatility
The Indian Government, recognising allows for diverse applications
the crucial role textiles play across the textile value chain,
in the nation’s economy and from yarn spinning to fabric
employment, has implemented weaving. This ensures its crucial
various initiatives to support the role in driving innovation and Our blueprint
industry’s growth and transformation meeting domestic and global FY25 promises to be an exciting
- some key measures include: demand for high-quality textiles. year for the division as the team will
l The PLI scheme for the textile India is the world’s largest cotton launch newer machinery that could
sector was broadened in 2023 to producer, accounting for almost emerge as a key business driver for
encompass categories such as ~25% of the total cotton production. the division over the coming years.
technical textiles and garments However, due to erratic rainfall In addition, the division’s
made of man-made fibres (MMF) because of the El-Nino effect, blueprint includes:
l The Government’s Pradhan India’s cotton production for the l Launch of SpinConnect 2.0,
Mantri Mega Integrated Textile 2023-24 cotton season (October- which promises to improve
Regions and Apparel (PM-MITRA) September) will be 29.50 million the connectivity between the
initiative seeks to develop bales, which is the lowest in 15 division and its customers
world-class infrastructure. It has years. Lower cotton output led to l Launch new warehouse cum
identified the sites and earmarked considerable volatility in cotton service centre(s) that will
financial assistance for creating prices and impacted the prospects bring the division closer to
textile manufacturing units of the domestic textile industry. the textile hubs across India
001 CORPORATE
STATEMENTS
031
MANAGEMENT
BUSINESS DIVISION
THREE
MACHINE TOOL
DIVISION
3,684
MACHINES SOLD
IN FY24
831.89
REVENUE IN FY24
(H IN CRORES)
032
ANNUAL
REPORT 2023-24
001 CORPORATE
STATEMENTS
033
MANAGEMENT
DISCUSSION & ANALYSIS [BUSINESS DIVISION - THREE]
LMW’s Machine Tool Division (MTD) marketing activities - on the ground with our new equipment to
is a success story platformed on and through digital initiatives - ensure that the product design
two pillars- cutting-edge technology and increased participation in and output is first-time right.
and high-precision engineering. exhibitions and seminars. New As a next step, we will further
The potent combination has products launched in the market consolidate and modernise more
positioned the division as a reliable received healthy traction among equipment on our machining floor to
machine tool brand among customers. Our marketing efforts make it completely system-driven for
discerning engineering companies. ensured that we added many new seamless and continuous operation.
customers from diverse sectors. We will then apply this philosophy to
A leading name in the CNC machine
other areas of shopfloor operations.
tools space, the division has Strengthening our core
We will also create dedicated
state-of-the-art facilities, where it Capabilities: We focused on
lines for our fast-moving and
assembles a wide range of Turning modernising our machining
regular products to ensure faster
Centres, Machining Centres and capability. We installed machinery
throughput and delivery schedules.
Turnmill Centres, which adorn to machine large and complex
shop-floors across an array of parts in a single setup. This has Product design: We have intensified
standard and critical applications. helped us improve component our focus on standardising
quality and reduce lead times. components/toolings, etc. This will
The division also provides spares to
To get the best out of these considerably optimise our product
facilitate the seamless operation of
machines, we have invested development and manufacturing
machines throughout their life-
in the most sophisticated and enhance our speed of delivery.
cycle. In addition to installation, the
Company’s technical team trains systems and trained our people
its customers to use machines to use them effectively.
efficiently and effectively. We integrated these systems
Performance in FY24
After two years of exponential
growth, the Machine Tool
Division reported moderate
growth on a higher base.
The growth was owing to intensified
034
ANNUAL
REPORT 2023-24
On the electronics and mechatronics Reach: With a large fleet of machines grinding machines, boring
side, we are bringing in considerable on industrial shop floors across India, machines, shaping machines, etc.
digital technology to add new we are increasingly strengthening Machine tools are essential in
features, making the machines our spares and servicing capability to the automotive, aerospace,
much more user-friendly. sharpen our customer response time. construction, electronics and
We have initiated the With that objective, we have opened other industries where precision-
implementation of PLM (product offices in Hyderabad, Faridabad, engineered components are
life cycle management), a software Ludhiana and Ahmedabad required. They play a crucial role
platform for product development during the year under review. in the manufacturing process by
where each stage will be closely enabling the production of high-
The business space
monitored and documented. quality parts and products with
A machine tool is essential in
tight tolerances and specifications.
This will make our product manufacturing and machining
development process more operations, where precision
disciplined and enhance our and accuracy are critical.
component standardisation efforts. Machine tools are typically powered
Range: We continue to widen our by various means, including
product range, emphasising the electricity, hydraulics or pneumatics,
value-added Machining Centers. and they are controlled manually,
We launched five products in mechanically or through computer
FY24. Currently, we are working numerical control (CNC) systems.
on a strong pipeline of machines Some common types of machine
(new machines and new variants), tools include lathes, milling
most of which should be added machines, drilling machines,
to our offering basket in FY25.
001 CORPORATE
STATEMENTS
035
MANAGEMENT
DISCUSSION & ANALYSIS [BUSINESS DIVISION - THREE]
Global landscape defence. Moreover, the market equipment, metal & metal products,
The global market for machine is poised for growth due to the textiles and many more.
tools is vast and dynamic, escalating need for metal-cutting The Indian machine tools market
generally impacted by factors tools driven by the widespread reached US$1.50 billion in 2023.
such as industrialisation, use of metals in various sectors. Experts suggest the market will
technological advancements, The global Machine Tools market reach US$3.20 billion by 2032,
manufacturing activities and size was valued at USD 75.80 exhibiting a growth rate (CAGR)
global economic growth. billion in 2024 and is expected to of 8.2% from 2024 to 2032.
These days, the machine tool market expand at a CAGR of 2.97% during India is currently witnessing
is growing because of the increasing the forecast period, reaching increasing adoption of industrial
demand for automation technology USD 90.34 billion by 2027. automation, a growing desire
in the industrial sector. This market Domestic environment for CNC machine tools, and
capitalises on the growing need for India’s economy is resilient amid government policies that favour
enhanced productivity, high-quality a global slowdown buoyed by increased industrialisation across
output, and shorter cycle times. solid domestic demand. the country. All of these factors
The machine tools market The manufacturing sector are expected to augur well for the
experiences additional momentum experienced sustained growth Machine Tool industry in India.
due to the increasing demand for and investments in the 2023-24
mass production across various financial year. These include sectors
industries, such as aerospace and like auto & auto components,
capital goods & construction
AUTO & AUTO COMPONENTS

With an expanding economy, industry in 2024 as well. January corresponding period of FY23.
India’s auto market grew by 8.3% 2024 has witnessed a healthy start, In the future, car manufacturers
in 2023, registering sales of 4.2 with automobile sales growing by anticipate that the market’s demand
million units. Rising disposable 23.2% yearly, fuelled by demand in momentum will be robust due to
incomes, a qualitative improvement the passenger vehicle segment. expectations that the economy will
in road infrastructure and attractive With vehicle sales on a steady continue to grow. However, the
financing options contributed to this uptrend, the auto components drying up of pent-up demand and
growth. industry saw turnover grow to 12.6% high interest rates drive up the cost
Just like in 2023, experts are in the first half of 2023-24 (April- of auto loans, which can affect sales.
predicting an upward growth September 2023), compared with the
trajectory for the Indian automobile
INDUSTRIAL AUTOMATION
Industrial automation uses control India’s industrial automation market
systems, such as computers, robotics size is estimated to be US$15.12
and information technology, billion in 2024 and is expected to
to manage various machinery grow to US$29.43 billion by 2029, at
and processes. In the industry a CAGR of 14.26% from 2024 to 2029.
context, it is a vital scale-up from
mechanisation.
036
ANNUAL
REPORT 2023-24
AEROSPACE
The rapid growth of airlines and million by 2030 from 153 million in ecosystem of space-tech startups are
passenger traffic in India over the 2023. With international traffic, the propelling India’s aerospace sector
past five years has been due to a number will be much higher. at present. The industry has shown
growing middle class, increasing This makes a strong case for global significant growth over the last few
disposable incomes and an OEMs and their suppliers to examine years. With continuing government
increasing number of new airports India as a destination that plays a support and a rising focus on self-
enhancing regional connectivity vital role in the global supply chain reliance, this sector will likely witness
across the country. for aerospace components and parts. a stellar run soon.
According to government sources, Further, increased private sector
India’s domestic air passenger traffic involvement and a growing
alone is expected to touch 300
DEFENCE
To promote indigenisation in The Government intends to achieve a under the Modernisation Budget
the defence sector, the Indian domestic procurement share of 70% (Capital Acquisition) in a 75:25 ratio.
Government has been progressively in the sector by 2025. So, 75% of the funds, or
increasing the share of the defence For the financial year 2023-24, the H99,223.03 Crores, will be for
budget for procurement from the Government has earmarked funds procurement through domestic
domestic industry. sources.
ELECTRICALS & ELECTRONICS

According to government data, to the industry, is projected to Further, with a focus on deep
electronics manufacturing in the surpass US$50 billion by March 2024, manufacturing and increased
country has increased four times in from roughly US$42 billion in the localisation, India’s prominence as a
the last ten years. previous fiscal year. significant component manufacturer
India’s electronics manufacturing Now, industry participants focus and exporter is rising.
industry is expected to increase by on improving local value addition
15% in 2024 and reach a valuation concerning product development
of US$115 billion. Mobile phone and components.
production, a significant contributor
Our blueprint We will aggressively pursue these We will continue with our digitisation
We see considerable growth opportunities to grow our business drive at both units, which should
opportunities in our business space multi fold over the coming years. attain maturity in the current year.
supported by the Government’s drive We are widening our product This will help standardise and
to make in India for the globe. New portfolio to cater to diverse streamline processes, increase
sectors have opened with promising user needs with larger and operational efficiency and deliver
prospects, namely the mobile phone faster machines customised products that provide an unbeatable
and computer component spaces. for specific sector applications. value proposition for customers.
Moreover, traditional sectors such as In addition, we will develop
the Railways and Defence also throw machines capable of machining
up growth opportunities. Further, much larger component loads to
the export window has widened cater to international markets.
considerably in recent times.
001 CORPORATE
STATEMENTS
037
MANAGEMENT
BUSINESS DIVISION
FOUR
ADVANCED
TECHNOLOGY
CENTRE
160.19
REVENUE IN FY24
(H IN CRORES)
038
ANNUAL
REPORT 2023-24
001 CORPORATE
STATEMENTS
039
MANAGEMENT
DISCUSSION & ANALYSIS [BUSINESS DIVISION - FOUR]
The Advanced Technology Centre The division has emerged as Performance in FY24
(ATC) develops and delivers high- a facility capable of delivering The division registered a satisfactory
precision components and modules complex components and sub- performance and a turnaround.
to the global aerospace sector. assemblies made from multiple This was a commendable
As the name suggests, the division’s metals and composites for achievement by the team, which
manufacturing operations are major aerospace OEMs and is now excited to extend its
highly complex and technology- Tier 1 companies across the globe. success into the coming years.
intensive. Its facilities house highly The division has also delivered Metallics: The group registered a
sophisticated equipment, while the numerous projects to marquee better-than-expected performance
business processes align with the government companies in India. owing to insightful planning and
AS 9100D certification and NADCAP Business operations are segregated firm control over raw material
certification for special processes into two groups: 1) Metallic management, which allowed them
such as chemical processing, non- components and 2) Composite to capitalise on important business
destructive testing, welding, heat components to ensure that each opportunities. The team ensured
treatment, and composites. group sustains operational efficiency. the timely delivery of components,
helping the division deliver on time.
040
ANNUAL
REPORT 2023-24
It provides room for new players
Composites: The team has made in air travel led to an increased
to enter the market and for
considerable progress in component demand for new aircraft and
current players to grow.
development. It has become a aftermarket products and services.
trusted supplier to India’s premier The Indian government’s focus on
Due to the prevailing geopolitical
space agency, delivering components domestically producing defence
instability, product demand
for almost every launch. Exports equipment has also created
in the defence segment will
performed well, with customers a promising environment for
continue increasing.
increasing their volumes with the domestic companies. The ongoing
Furthermore, companies in emerging modernisation of the Indian military
Company. This ensured that the team
markets are expected to enhance is also increasing the demand for
met business targets with ease.
advanced testing and certification as defence products and services, which
ATC has recently successfully built they prepare for commercialisation. could provide growth opportunities
and delivered a five metre diameter
The global aerospace and defence for defence companies in India.
Ogive Payload Fairing to ISRO for
market is expected to grow from In 2023-24, 75% of the defence
GSLV MK-III. It carries satellites
US$884 billion in 2023 to US$985.56 capital procurement budget
to the orbit. It is made of carbon
billion in 2024, at a CAGR of 11.5%, was allocated to the domestic
composites and is 10.75 metres tall.
and thrive between 2024 and 2031. industry. The Ministry of
Strengthening our core Defence has also set a target of
Domestic environment
The team meticulously analysed achieving a turnover of US$26
Civil aviation: Regarding domestic
and consolidated its customer base billion in aerospace and defence
traffic, India is the third-largest global
to ensure it focused on customers manufacturing by 2025, which
aviation market. Also, based on
who would enrich the divisional includes US$5 billion in exports.
orders placed, India is the second-
capabilities and strengthen its growth
largest buyer of aircraft globally, Our blueprint
momentum. The team continues its
This development is primarily The team is focused on elevating its
uncompromising efforts to train its
driven by the country’s healthy performance a few notches higher
people to enrich their technical skills
economic growth and favourable and making a sizeable contribution
and deliver on client commitments.
government schemes like the to the Company’s growth.
The business space UDAN Regional Connectivity
The metallics business is the mainstay
The aerospace industry’s components Scheme, making it the focal point
of the business vertical and aims
cover the production of parts of demand for new aircraft.
to grow the ATC vertical over the
crucial for airborne and space- India’s annual passenger traffic is
coming years. With this objective,
faring vehicles. These components anticipated to remain 200 basis
the team will focus on the complex
are meticulously crafted to meet points higher than the long-term
component space that challenges
highly stringent tolerances for global average, which makes
their engineering skills. This strategy
their specific missions. This sector experts believe that India’s aircraft
would help them forge lasting
comprises companies researching, orders will maintain these healthy
customer relations and enhance
developing, producing, operating, levels even in the future.
overall business profitability.
and servicing air-borne/aerospace With the rising number of aircrafts
equipment and related systems. The in the country, India is fast The team will also work on
aerospace industry manufactures becoming an MRO (Maintenance, elevating its profile as a supplier to
high-precision products, so it Repair and Overhaul) hub and aerospace OEMs. This long-term
always remains at the forefront is creating an ecosystem that strategy will require considerable
of technological advancement can offer comprehensive airline investment in time and resources.
and is strategically important. maintenance solutions, from The composite business largely
engines to smaller parts. depends on the domestic defence
Global landscape
Military aviation: The aerospace and aerospace sectors, where
In 2023, the aerospace and defence
business in India is also witnessing product approvals take time. To
(A&D) industry witnessed a revival
healthy growth due to increased accelerate business volumes,
in product demand, which is
activity in the military aviation the team will focus on achieving
expected to continue into 2024.
sector. The defence aerospace a prudent balance between its
In most countries, domestic user sectors, which would help
industry is growing with India’s
commercial aviation revenue it, operate its manufacturing
steadily increasing capital
passenger kilometres surpassed capacities at optimal levels and
expenditure spending.
pre-pandemic levels. This surge improve business profitability.
001 CORPORATE
STATEMENTS
041
MANAGEMENT
To sustain the growth momentum of

the expanding business operations,
common practice in the Company to
the HR team continues to work on
lay down well-thought-out business
enhancing the leadership pipeline
plans for each year.
within the Company. Also, the HR
team worked on further digitising From the annual business plan,
the HR function to build speed, detailed budgets for revenue and
efficiency and transparency in the HR the capex for each quarter are
Human resource processes. determined. The actual performance
LMW understands that its ability is reviewed in comparison with the
The Company maintained very
to emerge as a customer-centric budget, and deviations, if any, are
cordial relations with its employees.
organisation hinges completely on addressed adequately.
As a result, the Company did not lose
the dedication and commitment of The Company also has an internal
a single day of business operations
its human resources to uphold the audit system commensurate to the
owing to staff-related issues. The
Company’s values. size and volume of the business. The
Company had 3,590 permanent
In keeping with this reality, the employees as on 31st March 2024. internal audit programme covers all
Company continues to make the functions and activities of the
a conscious effort to enhance Risk management Company. A statutory compliance
the skills of its people through The Company has implemented audit team is constituted to check
its comprehensive Learning a thorough and well-rounded compliance in all areas and reports
and Development calendar and risk assessment, mitigation, and to the management. This facilitates
challenging projects that push its management procedure. The Board corrective measures to be taken
people to think and act beyond their is periodically presented with the efficiently and wherever required.
preconceived mental boundaries. Company’s risk mitigation strategies
The Audit Committee of the Board
for evaluation and enhancement.
To enhance the team’s cohesiveness, of Directors meets every quarter to
the Company encourages its team Internal control system & adequacy review the reports of the Internal
members to participate in various The Company’s internal control and Statutory Audit and to verify
thought-provoking engagement mechanism is well documented. This all financial statements, ensuring
initiatives. is embodied in the ERP Suite. It is a compliance.
042
ANNUAL
REPORT 2023-24
Movement in Key Ratios
Ratio 2023-24 2022-23 Change % Remarks
Impact on account of change in
Current Ratio 2.09 1.59 31.83% deposit tenor and working capital
management
Debt-Equity Ratio Not Applicable
Debt Service Coverage Ratio Not Applicable
Return On Equity Ratio 14.97% 16.35% -8.42%
Inventory Turnover Ratio 7.52 7.81 -3.70%
Trade Receivables Turnover Ratio 18.51 14.15 30.83% Improved Collection
Trade Payables Turnover Ratio 4.61 4.86 -5.29%
Impact on account of change in
Net Capital Turnover Ratio 3.93 5.48 -28.32% deposit tenor and better working
capital management
Operating Ratio 8.90% 9.16% -2.92%
Net Profit Ratio 8.22% 7.86% 4.56%
Return On Capital Employed 17.71% 20.67% -14.32%
Reducing Debt Yield has positive
Return On Investment 8.47% 5.64% 50.12%
MTM impact for FY 2024
Financial performance (H Crores)

Particulars 2023-24 2022-23
Gross profit before interest depreciation and tax 571.62 558.84
Interest - -
Depreciation 91.74 73.43
Provision for Tax 108.50 135.20
Profit after Tax 371.38 350.21
Earnings per share (Amount in C ) 347.64 327.82
CAUTIONARY STATEMENT
THIS DOCUMENT CONTAINS FORWARD-LOOKING STATEMENTS ABOUT EXPECTED EVENTS AND FINANCIAL AND OPERATIONAL RESULTS OF THE COMPANY. BY THEIR NATURE, FORWARD-LOOKING
STATEMENTS REQUIRE THE COMPANY TO MAKE ASSUMPTIONS AND ARE SUBJECT TO INHERENT RISKS AND UNCERTAINTIES. THERE IS A SIGNIFICANT CHANCE THAT THE ASSUMPTIONS, PREDICTIONS
AND OTHER FORWARD-LOOKING STATEMENTS MAY NOT PROVE TO BE ACCURATE. READERS ARE CAUTIONED NOT TO PLACE UNDUE RELIANCE ON FORWARD-LOOKING STATEMENTS AS A NUMBER
OF FACTORS COULD CAUSE ASSUMPTIONS AND ACTUAL RESULTS AND EVENTS TO DIFFER MATERIALLY FROM THOSE EXPRESSED HERE.
001 CORPORATE
STATEMENTS
043
SOCIAL INITIATIVES
At LMW, we are fully aware of the importance of collaborating with
our local community and supporting initiatives that enhance the
well-being of our fellow citizens.
We are determined to make a positive impact by partnering with
organisations and projects that prioritise health and safety, village livelihood
development, and providing rural infrastructure. Through our diligent
efforts, we aim to interact with the community, comprehend their concerns,
and work collectively to create constructive change. We take pride in being
part of a helpful and compassionate community and will persistently work
alongside them to enhance the lives of people around us.
044
ANNUAL
REPORT 2023-24
001 CORPORATE
STATEMENTS
045
SOCIAL
INITIATIVES
Through this project, LMW has The children are screened for myopia
supported forty-five Sickle Cell and other pediatric eye conditions
Anaemic patients and two hundred that may affect them. Normal
& four persons with Sickle Cell traits spectacles and special myopia
during 2023-24. spectacles are provided to the
Type-1 Diabetes Intervention children as required. Children with
I) HEALTH & SAFETY other eye conditions are referred
Project for Children: LMW supports
Spinal injury surgery & and treated in the hospital. Through
initiatives supporting children from
rehabilitation: LMW collaborates this program, 26,205 children from
economically weaker sections of
with leading hospitals and forty-four government schools were
society diagnosed with
rehabilitation centers to help patients screened for various eye conditions.
Type-1 Diabetes. Children with
from lower economic backgrounds Normal spectacles were provided to
these conditions may require
undergo treatment for burn injury 1,094 children, and special myopia
insulin injections twice a day or
and reconstructive/ spinal injury spectacles were provided to eighty-
more, depending on their blood
surgery. LMW has supported treating three children.
glucose levels. A glucometer, insulin
thirty-three patients during the year
cartridges and consumables for one Community Health Checkup
2023-24.
year are provided to the children Camps: LMW collaborates with
Sickle Cell Anaemia Screening through this project. The Company the health department to conduct
& Prevention Project: LMW, in supported sixty children through this village-level health checkup camps
partnership with the Nilgiris Adivasi project during 2023-24. in Anaikatti and Palamalai villages.
Welfare Association (NAWA), Sixteen such camps were conducted
Road Safety Campaign & Awareness
organises the Sickle Cell Anaemia through which nine hundred eighty-
Program: LMW collaborates with
Screening and Prevention Project five individuals were treated for
UYIR Trust, Coimbatore, to promote
in the tribal locations of Anaikatti, various health conditions. Fourteen
road safety awareness campaigns
Palamalai and Karamadai areas of the individuals were referred to Primary
to prevent road traffic accidents in
Coimbatore District. The identified Health Centers and Government
Coimbatore.
patients are provided with the Hospitals for further treatment.
required nutritional supplements Eye Checkup Program for Children:
LMW collaborates with a leading Flood Relief Support: LMW has
and medicines. Also, appropriate
supported the flood relief activities in
counseling & awareness camps were eye hospital to screen and support
eye-related treatments for children Chennai, Tirunelveli and Thoothukudi
conducted for persons diagnosed
studying in government schools in districts of Tamil Nadu by distributing
with Sickle Cell traits.
Coimbatore and Tirupur districts. food supplies and consumables to
the people in the flood-affected
areas.
046
ANNUAL
REPORT 2023-24
three pulveriser machines and a Veterinary check-up camps:
heavy-duty sewing machine were Animal husbandry is one of the
provided to the people trained by major livelihood activities of
LMW. people residing in the tribal villages
The Company has actively assisted of Palamalai & Anaikatti in the
the villagers in obtaining financial Coimbatore District.
Il) VILLAGE LIVELIHOOD subsidies from the Mahalir Thittam Around one hundred and forty one
DEVELOPMENT & Tamil Nadu Rural Transformation veterinary health check-ups and
Livelihood enhancement program: Projects of the Tamil Nadu vaccination camps were conducted
Sixteen income generation training government through the Self-Help- with the Tamil Nadu Animal
programs for tribals’were conducted Group (SHG) model. Through this Husbandry Department.
in Perumpathi, Pasumani, Pasumani assistance, three SHGs received
Pudur, Manguzhi, Periya Jambukandi, mushroom cultivation sheds and
Kodiyur, Sethumadai, Kudalur, eight SHGs received total support of
Padhuvampalli, Kaduvettipalayam, H61 Lakhs as loans/grants benefiting
Mopperipalayam, Neelampathi, ninety six individuals.
Perukaipathi, Kundoor, Anaikatti,
Kethaikadu, Gopanari, Melbavi,
Rayaruthpathi, Rangarajapuram, and
Ezhuthukal Pudur villages located
in the Coimbatore District. Four
mushroom cultivation sheds, eight
vermicompost production bags,
001 CORPORATE
STATEMENTS
047
SOCIAL
INITIATIVES
School building repair, painting, l Panchayat Union Middle School,
laying floor tiles in classrooms and Sundakaraipudhur
veranda, restroom renovation, l Anganwadi, Vagarayampalayam
and provision of computers and l Anganwadi, Dhoomanur
equipment for smart classrooms are l Anganwadi,
done through this project. During Periyamopperipalayam
Ill) RURAL INFRASTRUCTURE the year under review, the following
DEVELOPMENT schools were covered through this
Solar lights: During the year under initiative:
review, fifty solar streetlights were
l Government Elementary School,
installed to improve basic facilities in
Paralai House
the tribal villages of Anaikatti Hills.
l Panchayat Union Primary School,
In addition, the Company has also
Vagarayampalayam
provided solar lighting systems for
homes. l Panchayat Union Primary School,
Melbaviur
School of Infrastructure
l Panchayat Union Middle School,
Development: LMW has supported
Dhoomanur
the development of infrastructure
facilities in rural government schools.
048
ANNUAL
REPORT 2023-24
waste dumping. Under this project,
wastes generated in households
and commercial establishments
were segregated as recyclable,
biodegradable & medical wastes. The
wastes were then collected at source
IV) ENVIRONMENT and processed systematically.
The Company is aware of its role
199.25 tons of organic waste, 73.23 tons
in protecting the environment.
of non-biodegradable waste and 25.16
It works towards minimising
tons of sanitary & medical waste were
its environmental impact by
treated.
using sustainable practices and
technologies. LMW has supported Mopperipalayam
Town Panchayat in setting up a solid
Tree Plantation: During the review
waste management system. LMW
period, with support from the
has provided individual dustbins, an
Mopperipalayam Town Panchayat
organic waste shredder, an inorganic
and Kittampalayam Panchayat, LMW
waste shredder and an incinerator
has planted 3,125 native tree variety
machine to the Panchayat for the solid
saplings in the villages of Papampatti
waste management project.
and Kittampalayam.
Solid Waste Management: LMW has
supported the Kaniyur Panchayat
in implementing Solid Waste
Management projects to develop a
cleaner environment and prevent
001 CORPORATE
STATEMENTS
049
Corporate Information
Board of Directors Company Secretary
Sri Sanjay Jayavarthanavelu Sri C R Shivkumaran
Chairman and Managing Director (DIN: 00004505)
Registered Office
Sri S Pathy SRK Vidyalaya Post
Director (DIN: 00013899) Perianaickenpalayam
Sri Aditya Himatsingka Coimbatore - 641020, Tamil Nadu, India
Director (DIN: 00138970) Tel: +91 422 7192255
Dr Mukund Govind Rajan Fax: +91 422 2692541-42
Director (DIN: 00141258) E-mail: [email protected]
Website: www.lmwglobal.com
Justice (Smt) Chitra Venkataraman (Retd.)
Director (DIN: 07044099) Corporate Office
Sri Arun Alagappan 34-A, Kamaraj Road
Director (DIN: 00291361) Coimbatore - 641018, Tamil Nadu, India
Tel: +91 422 7198100
Sri Aroon Raman
Fax: +91 422 2220912
Director (DIN: 00201205)
Sri Jaidev Jayavarthanavelu Statutory Auditors
Wholetime Director (DIN: 07654117) M/s S Krishnamoorthy & Co
with effect from 7th August 2023 Chartered Accountants, Coimbatore
Sri M Sankar Cost Auditor
Director Operations (DIN: 10362673) Sri A N Raman
with effect from 25th October 2023 Cost Auditor, Chennai
Sri K Soundhar Rajhan Secretarial Auditor
Director Operations (DIN: 07594186) M/s MDS & Associates LLP
until 31st July 2023 Company Secretaries
Sri T C Suseel Kumar Coimbatore
Nominee Director of LIC (DIN: 06453310)
Bankers
until 26th January 2024
Indian Bank
Citibank N.A.
Chief Financial Officer
HDFC Bank
Sri V Senthil
HSBC Bank
Registrar and Share Transfer Agent

Link Intime India Private Limited
Surya, 35, Mayflower Avenue, behind Senthil Nagar, Sowripalayam Road, Coimbatore - 641028, Tamil Nadu, India.
Tel: +91 422 4958995, 2539835-36; E-mail: [email protected]
050
ANNUAL
REPORT 2023-24
Lakshmi Machine Works Limited
CIN: L29269TZ1962PLC000463
Registered Office: SRK Vidyalaya Post, Perianaickenpalayam, Coimbatore – 641020, Tamil Nadu, India
Corporate Office: 34-A, Kamaraj Road, Coimbatore – 641018, Tamil Nadu, India
Phone: +91 422 7192255, Fax: +91 422 2692541
Email: [email protected] Website: www.lmwglobal.com
Notice to
Shareholders
NOTICE is hereby given that the 61st Annual General Meeting hereby accorded for payment of commission of a sum
(“AGM”) of the Shareholders of Lakshmi Machine Works not exceeding 1% of the Net Profits of the Company
Limited will be held at 03.30 PM India Standard Time (“IST”) computed in the manner as specified under Section 198
on Wednesday, the 31st day of July 2024, through Video of the Companies Act, 2013 subject to a maximum limit
Conferencing (“VC”) / Other Audio-Visual Means (“OAVM”) of H1,00,00,000/- (Rupees One Crore Only) per annum,
with virtual presence of the Shareholders to transact the to be paid and distributed amongst the Non-Executive
following business(es): Directors of the Company or some or any of them in
such amounts or proportions and in such manner and in
ORDINARY BUSINESS: all respects as may be decided by the Board of Directors
1. To receive, consider and adopt standalone and (including any Committees thereof ) of the Company,
consolidated Annual Financial Statements including for a term of three (3) financial years commencing from
Statement of Profit and Loss (including Other 1st April 2024.
Comprehensive Income), along with the Statement of
Cash Flow and the Statement of Changes in Equity for RESOLVED FURTHER THAT the commission payable
the financial year ended 31st March 2024, the Balance to the Non-Executive Directors of the Company as
Sheet as at that date, the Report of the Board of Directors mentioned above shall be in addition to the sitting
and the Auditors thereon. fees payable for attending the Meetings of the Board
of Directors, Committees thereof and meeting of
2. To declare a Dividend. Independent Directors.
3. To appoint a Director in the place of Sri S Pathy RESOLVED FURTHER THAT in the event of loss or
(DIN: 00013899), who retires by rotation and being inadequacy of profits in any financial year during the
eligible, offers himself for re-appointment. three financial years commencing from 1st April 2024, the
Non-Executive Directors shall be entitled for payment
SPECIAL BUSINESS: of minimum commission of a sum not exceeding
4. To consider and approve the payment of commission H1,00,00,000/- (Rupees One Crore Only) per annum to
to Non-Executive Directors of the Company and in be paid and distributed amongst the Non-Executive
this regard, if thought fit, to give assent/dissent to Directors of the Company or some or any of them in
the following Resolution to be passed as a Special such amounts or proportions and in such manner and in
Resolution: all respects as may be decided by the Board of Directors
(including any Committees thereof ) of the Company.
RESOLVED THAT pursuant to Sections 197, 198 and
other applicable provisions, if any, of the Companies RESOLVED FURTHER THAT the Board of Directors of
Act, 2013 and the Companies (Appointment and the Company (including any Committees thereof ) be
Remuneration of Managerial Personnel) Rules, and are hereby authorised to alter and vary the aforesaid
2014, (including any statutory modification or remuneration, as it may deem fit, subject to the same
re-enactment thereof, for the time being in force), and not exceeding the limits as approved by the Members.
as recommended by the Nomination and Remuneration
Committee and approved by the Audit Committee and RESOLVED FURTHER THAT the Board of Directors be
the Board of Directors at their respective Meetings held and are hereby authorised to take all such steps as
on 27th May 2024, the consent of the Members be and is may be necessary and/or give such directions as may
001 CORPORATE
STATEMENTS
051
be necessary, proper or expedient, to give effect to the Allowance (LTA) for self and family, club fees, med-
above Resolution without being required to seek any ical insurance, etc. in accordance with the rules of
further consent or approval of the Members and the the Company. The above perquisites are restricted
Members shall be deemed to have given their approval to an amount equal to the salary drawn per an-
thereto expressly by the authority of this Resolution. num. For the purpose of calculating the ceiling,
perquisites shall be evaluated as per Income Tax
5. To consider and approve the remuneration payable rules wherever applicable.
to Sri Sanjay Jayavarthanavelu (DIN: 00004505),
Chairman and Managing Director of the Company D. Company’s contribution to Provident Fund as
for the remaining two years in his present term and per rules of the Company, to the extent it is not
in this regard, if thought fit, to give assent/dissent to taxable under the Income Tax Act, 1961 shall not
the following Resolution to be passed as a Special be included in the computation of the ceiling on
Resolution: remuneration or perquisites.
RESOLVED THAT pursuant to the provisions of Sections E. Gratuity payable shall not exceed half a month’s
196, 197, 198, 203, Schedule V and other applicable salary for each completed year of service.
provisions of the Companies Act, 2013 (the ‘Act’) read The Chairman and Managing Director is entitled
with Companies (Appointment and Remuneration of to encashment of leave at the end of tenure which
Managerial Personnel) Rules, 2014 and SEBI (Listing shall not be included in the computation of the
Obligations and Disclosure Requirements) Regulations, ceiling on remuneration or perquisites.
2015 (‘Listing Regulations’) (including any statutory
modification or re-enactment thereof, for the time F. Provision of Company car with driver for use on
being in force), and pursuant to the provisions of the Company’s business and telephone facility at his
Articles of Association of the Company, the consent residence will not be considered as perquisites.
of the Members, be and is hereby accorded for the Personal long distance calls on telephone and use
payment of remuneration to Sri Sanjay Jayavarthanavelu of the car for private purposes shall be billed by the
(DIN: 00004505), Chairman and Managing Director of Company to the Chairman and Managing Director.
the Company for a period of 2 years from 1st April 2025
G. During his tenure as Chairman and Managing
till the remaining period of his present term (i.e., up to
Director, he shall not be liable to retire by rotation.
31st March 2027) on the following terms and conditions
as recommended by the Nomination and Remuneration H. In the event of loss or inadequacy of profits in
Committee and approved by the Audit Committee and any financial year, in compliance with Schedule
the Board of Directors at their respective meetings held V of the Companies Act, 2013, compensation /
on 27th May 2024, notwithstanding the fact that the perquisites as mentioned above from point (A) to
annual remuneration payable to him in any financial (F) shall be paid as minimum remuneration.
year during his tenure along with the remuneration
payable to other executive directors may exceed the I. The Chairman and Managing Director shall not be
limits as set out under the Listing Regulations or the paid any sitting fees for attending the meetings of
Act for the time being in force. the Board of Directors or Committees thereof.
Details of Remuneration: RESOLVED FURTHER THAT the Board of Directors

A. Salary: H12,96,000/- per month (including Committees thereof ) be and are
hereby authorised to alter and vary the terms
B. Commission: At the rate of 4% on the Net Profits of remuneration of Sri Sanjay Jayavarthanavelu,
of the Company, payable annually. Chairman and Managing Director, as it may deem
fit, subject to the same not exceeding the limits as
C. Perquisites: In addition to the salary & commission,
approved by the Shareholders.
the Managing Director shall also be entitled to the
following interchangeable perquisites: RESOLVED FURTHER THAT the Board of Directors
be and are hereby authorised to take all such steps
Furnished accommodation, where accommoda-
as may be necessary and/or give such directions
tion is not provided 50% of the salary as House
as may be necessary, proper or expedient, to give
Rent Allowance (HRA), gas, electricity, water,
effect to the above Resolution without being
furnishings, medical reimbursement, Leave Travel
required to seek any further consent or approval of
052
ANNUAL
REPORT 2023-24
the Members and the Members shall be deemed that he meets the criteria for independence under
to have given their approval thereto expressly by Section 149(6) of the Act and Regulation 16(1)(b) of the
the authority of this Resolution. Listing Regulations and whose name is included in the
databank as required under Rule 6 of the Companies
6. To consider and approve the continuation of Directorship (Appointment and Qualification of Directors) Rules,
of Sri S Pathy (DIN: 00013899) as a Non-Executive and 2014 and who is eligible for appointment and in respect
Non-Independent Director beyond the age of 75 years of whom the Company has received a Notice in writing
and in this regard, if thought fit, to give assent/dissent under Section 160 of the Act from a Member proposing
to the following resolution to be passed as a Special his candidature for the office of Director, be and is
Resolution: hereby appointed as an Independent Director of the
Company to hold office for a term of five (5) consecutive
RESOLVED THAT pursuant to Regulation 17(1A) of
years with effect from 5th August 2024 and is not liable
SEBI (Listing Obligations and Disclosure Requirements)
to retire by rotation.
Regulations, 2015 and other applicable provisions, if
any, of the Companies Act, 2013 (including any statutory RESOLVED FURTHER THAT the Board of Directors be
modification or re-enactment thereof, for the time and are hereby authorised to take all such steps as
being in force), and pursuant to the recommendation of may be necessary and/or give such directions as may
the Nomination and Remuneration Committee and the be necessary, proper or expedient, to give effect to the
Board of Directors, the consent of the Members of the above Resolution without being required to seek any
Company be and is hereby accorded for continuation further consent or approval of the Members and the
of Directorship of Sri S Pathy (DIN: 00013899) as a Members shall be deemed to have given their approval
Non-Executive and Non-Independent Director of the thereto expressly by the authority of this Resolution.
Company, liable to retire by rotation, on the Board of
the Company notwithstanding him attaining the age 8. To consider and approve the appointment of
of 75 years on 17th November 2024. Smt Pushya Sitaraman (DIN: 06537196) as an Independent
Woman Director of the Company and in this regard,
RESOLVED FURTHER THAT the Board of Directors if thought fit, to give assent/dissent to the following
(including any Committee(s) constituted by the Board Resolution to be passed as a Special Resolution:
from time to time) of the Company be and are hereby
authorised severally to do all such acts, deeds, matters RESOLVED THAT pursuant to the provisions of Sections
and things as may be considered necessary, desirable 149, 150, 152, 160, Schedule IV and other applicable
or expedient to give effect to this resolution. provisions, if any, of the Companies Act, 2013 (“the
Act”) read with the Companies (Appointment and
7. To consider and approve the appointment of Qualification of Directors) Rules, 2014 (including any
Sri Venkataramani Anantharamakrishnan statutory modifications or re-enactment thereof for the
(DIN: 00277816) as an Independent Director of the time being in force) and the applicable provisions of the
Company and in this regard, if thought fit, to give SEBI (Listing Obligations and Disclosure Requirements)
assent/dissent to the following resolution to be passed Regulations, 2015 (“Listing Regulations”) (as amended)
as a Special Resolution: and the Articles of Association of the Company and
upon the recommendation of the Nomination and
RESOLVED THAT pursuant to the provisions of Sections
Remuneration Committee and the Board of Directors,
149, 150, 152, 160, Schedule IV and other applicable
Smt Pushya Sitaraman (DIN: 06537196), who had
provisions, if any, of the Companies Act, 2013 (“the
submitted a declaration that she meets the criteria
Act”) read with the Companies (Appointment and
for independence under Section 149(6) of the Act
Qualification of Directors) Rules, 2014 (including any
and Regulation 16(1)(b) of the Listing Regulations and
statutory modifications or re-enactment thereof for the
whose name is included in the databank as required
time being in force) and the applicable provisions of the
under Rule 6 of the Companies (Appointment and
Qualification of Directors) Rules, 2014 and who is eligible
Regulations, 2015 (“Listing Regulations”) (as amended)
for appointment and in respect of whom the Company
and the Articles of Association of the Company and
has received a Notice in writing under Section 160 of
upon the recommendation of the Nomination and
the Act from a Member proposing her candidature for
Remuneration Committee and the Board of Directors,
the office of Director, be and is hereby appointed as
Sri Venk ataramani Anantharamak rishnan
an Independent Woman Director of the Company to
(DIN: 00277816), who had submitted a declaration
001 CORPORATE
STATEMENTS
053
hold office for a term of five (5) consecutive years with assent/dissent to the following Resolution to be passed
effect from 5th August 2024 and is not liable to retire by as a Special Resolution:
rotation.
RESOLVED THAT pursuant to Sections 4, 5, 13(2),
RESOLVED FURTHER THAT pursuant to Regulation 14, 15 and other applicable provisions, if any, of the
17(1A) of Listing Regulations and other applicable Companies Act, 2013 read with the relevant rules framed
provisions, if any, of the Companies Act, 2013 and thereunder, (including any statutory modification(s)
pursuant to the recommendation of the Nomination and or re-enactment thereof, for the time being in force)
Remuneration Committee and the Board of Directors, and Regulation 45 of SEBI (Listing Obligations and
the consent of the Members of the Company be and Disclosure Requirements) Regulations, 2015 and
is hereby accorded for continuation of Directorship of subject to the approval of BSE Limited, the National
Smt Pushya Sitaraman (DIN: 06537196), as an Stock Exchange of India Limited, Central Government
Independent Woman Director of the Company, on the (power delegated to Registrar of Companies) and such
Board of the Company notwithstanding her attaining other necessary approvals, consents, permissions and
the age of 75 years on 23rd December 2028. sanctions, as may be required in this regard from any
appropriate authority and subject to such terms and
RESOLVED FURTHER THAT the Board of Directors be condition(s), alteration(s), correction(s), change(s)
and are hereby authorised to take all such steps as and/or modification(s) as may be prescribed by any
may be necessary and/or give such directions as may of them while granting such consent(s), permission(s)
be necessary, proper or expedient, to give effect to the or approval(s), the consent of the Members of the
above Resolution without being required to seek any Company be and is hereby accorded for changing the
further consent or approval of the Members and the name of the Company from “Lakshmi Machine Works
Members shall be deemed to have given their approval Limited” to “LMW Limited”.
thereto expressly by the authority of this Resolution.
RESOLVED FURTHER THAT the new name of the
9. To consider the ratification of remuneration payable to Company be given effect from the date of issue of the
the Cost Auditor and in this regard, if thought fit, to give fresh Certificate of Incorporation by the Registrar of
assent/ dissent to the following Resolution to be passed Companies, consequent to which the Memorandum of
as an Ordinary Resolution: Association & Articles of Association of the Company be
altered by deleting the existing name “Lakshmi Machine
RESOLVED THAT pursuant to the provisions of Section
Works Limited” wherever appearing and substituting it
148 and all other applicable provisions, if any, of the
with the new name “LMW Limited”.
Companies Act, 2013 read with Companies (Audit
and Auditors) Rules, 2014 (including any statutory RESOLVED FURTHER THAT for the purpose of giving
modifications or re-enactment thereof for the time effect to this Resolution, the Board of Directors
being in force), Sri A N Raman (Membership No: 5359) (hereinafter referred to as the “Board”, which term
Cost Accountant, Chennai, who was appointed as Cost shall be deemed to include any of its duly constituted
Auditor by the Board of Directors of the Company on the Committee), be and are hereby severally authorised
recommendation of the Audit Committee, to conduct to do all such acts, deeds, matters and things and to
the audit of the cost accounting records of the Company authorise/depute/delegate/appoint any official of the
for the financial Year 2024-25 on a remuneration of Company/consultants/lawyers as may be required
H7,00,000/- (Rupees Seven Lakhs Only) per annum and to give such directions as may be necessary or
exclusive of applicable taxes and reimbursement of expedient and to settle any question, difficulty or doubt
out-of-pocket expenses incurred in connection with that may arise in this regard as the Board in its absolute
the aforesaid audit as fixed by the Board of Directors, discretion may deem necessary or desirable without
be and is hereby ratified and confirmed. being required to seek any further consent or approval
of the Members and the approval of the Members shall
10. To consider and approve the change of name of the
be deemed to have given thereto by the authority of
Company and in this regard, if thought fit, to give
this Resolution.
By order of the Board
Place: Coimbatore C R Shivkumaran

Date : 27th May 2024 Company Secretary
054
ANNUAL
REPORT 2023-24
Notes: within 30 days from the date of declaration, to those
1. The explanatory statement pursuant to Section 102(1) Members whose names appear on the Register of
of the Companies Act, 2013 (“Act”) with respect to the Members in respect of shares held in physical form
special business(es) as set out in the Notice is annexed as well as in respect of shares held in electronic form
hereto. as per the details received from the depositories for
this purpose as at the close of the business hours on
2. The Ministry of Corporate Affairs (“MCA”) vide its Wednesday, 24th July 2024.
relevant Circulars issued during the years 2020, 2021,
2022 and 2023 permitted the conduct of the Annual 7. Members who have not registered their Bank particulars
General Meeting (“AGM”) through Video Conferencing with the Depository Participant(s) (“DP”) / Company
(“VC”) / Other Audio Visual Means (“OAVM”), without the are advised to utilise the electronic solutions provided
physical presence of the Members at a common venue. by National Automated Clearing House (“NACH”)
The same has been acknowledged by the Securities and for receiving dividends. Members holding shares in
Exchange Board of India vide its relevant Circulars issued electronic form are requested to contact their respective
during the years 2020, 2021, 2022 and 2023. The deemed Depository Participant(s) for availing this facility.
venue for the AGM shall be the Corporate Office of the Members holding shares in physical form are requested
Company. In compliance with the provisions of the to download the NACH form from the website of the
Companies Act, 2013 (“Act”), SEBI (Listing Obligations Company viz., www.lmwglobal.com and the same,
and Disclosure Requirements) Regulations, 2015 duly filled up and signed along with original cancelled
(“SEBI Listing Regulations”) MCA Circulars and SEBI cheque leaf may be sent to the Company or to the
Circulars, the AGM of the Company is being held Registrar and Share Transfer Agent (“RTA”).
through VC/ OAVM.
8. Members whose shareholding is in the electronic mode
3. Pursuant to the provisions of the Act, a Member are requested to update bank account details (Bank
entitled to attend and vote at the AGM is entitled Account Number, Name of the Bank, Branch, IFSC,
to appoint a proxy to attend and vote on his/her MICR code and place with PIN Code) to their respective
behalf and the proxy need not be a Member of the Depository Participant(s) and not with the Company.
Company. Since this AGM is being held pursuant to Members whose shareholding is in the physical mode
the MCA Circulars / SEBI Circulars through VC / OAVM, are requested to direct the above details to the Company
physical attendance of Members has been dispensed or to the RTA. Regular updation of bank particulars is
with. Accordingly, the facility for appointment of proxies intended to prevent fraudulent activities.
by the Members will not be available for the AGM and
hence the Proxy Form and Attendance Slip are not 9. The Company has entered into agreements with
annexed to this Notice. National Securities Depository Limited (“NSDL”) and
Central Depository Services (India) Limited (“CDSL”).
4. Institutional / Corporate Shareholders (i.e., other The Depository System envisages the elimination of
than individuals / HUF, NRI, etc.) are required to send several problems involved in the scrip- based system such
a scanned copy (in PDF/JPEG format) of its Board as bad deliveries, fraudulent transfers, fake certificates,
or governing body Resolution/Authorisation etc., thefts in postal transit, delay in transfers, mutilation
authorising its representative to attend the AGM of share certificates, etc. Simultaneously, Depository
through VC / OAVM on its behalf and to vote through System offers several advantages like exemption from
remote e-voting. The said Resolution/ Authorisation stamp duty, elimination of concept of market lot,
shall be sent to the Scrutinizer by email through its elimination of bad deliveries, reduction in transaction
registered email address to [email protected] with costs, improved liquidity, etc. Members, therefore, now
a copy marked to the email id [email protected]. have the option of holding and dealing in the shares of
the Company in electronic form through NSDL or CDSL.
5. The Register of Members and Share Transfer books Members are encouraged to convert their holding(s) to
of the Company will remain closed from Thursday, electronic mode.
25th July 2024 to Wednesday, 31st July 2024 (both days
inclusive) as per Regulation 42 of the SEBI (Listing 10. A. Securities and Exchange Board of India (“SEBI”) had
Obligations and Disclosure Requirements) Regulations, earlier mandated that the transfer of securities held
2015 and Section 91 of the Companies Act, 2013. in physical form, except in case of transmission or
transposition, shall not be processed by the listed
6. Dividend as recommended by the Board of Directors,
if declared at the Annual General Meeting will be paid
001 CORPORATE
STATEMENTS
055
entities / Registrar and Share Transfer Agent with 12. Non-Resident Indian (“NRI”) Members are requested
effect from 1st April 2019. to inform the Company or its RTA or to the concerned
Depository Participant(s), as the case may be,
B. Further, SEBI had mandated the listed entities to immediately:
issue shares only in dematerialized mode, with
effect from 25th January 2022 to Shareholder(s)/ a. the change in their residential status on return to
claimant(s) holding shares in physical mode, India for permanent settlement or
as against their service requests including for
transmission or transposition of shares. b. the particulars of the NRE/NRO Account with a
bank in India, if not furnished earlier.
As per the said circular, the Company has opened
a separate Escrow Demat Account for the purpose 13. As per the provisions of Section 72 of the Act, the facility
of crediting the shares of the Shareholders who for making nominations is now available to individuals
fail to submit the letter of confirmation with the holding shares in the Company. Members holding
respective Depository Participant within the shares in physical form may obtain the Nomination Form
prescribed timeline. from the RTA of the Company or can download the form
from the Company’s website namely www.lmwglobal.
C. Further, as per SEBI’s Master circular dated com. Members holding shares in electronic form must
17th May 2023 and amendment circular dated approach their Depository Participant(s) for completing
17th November 2023 and 7th May 2024 Members the nomination formalities.
holding shares in physical form, whose folio(s)
lack PAN, nomination details, contact details, 14. Members who are holding shares in identical order of
Bank Account details or updated specimen names in more than one folio are requested to send
signature, will only be eligible for payment of to the Registrar and Share Transfer Agent (“RTA”), the
dividend, through electronic mode effective from details of such folios together with the share certificates
1st April 2024. Therefore, Members holding shares for consolidating their holdings into one folio.
in physical form are requested to update the
15. Members are requested to make all correspondence
mentioned details by providing the appropriate
in connection with shares held by them by addressing
requests through ISR forms with the Registrar and
letters directly to the Company Secretary of the
Share Transfer Agent to ensure receipt of dividend.
Company or its RTA, namely, M/s Link Intime India
Necessary prior intimation(s) in this regard Private Limited, ‘Surya’, 35, Mayflower Avenue, behind
was provided to the Shareholders. A copy of Senthil Nagar, Sowripalayam Road, Coimbatore -
the required circular(s) is/are available on the 641028, Tamil Nadu, India, by quoting the Folio number
Company’s website www.lmwglobal.com. or the Client ID number with DP ID number.
11. a. Members are requested to notify immediately any 16. In case of joint holders, the Member whose name
change in their address: appears as the first holder in the order of names as per
the Register of Members of the Company will be entitled
i. to their Depository Participant(s) (“DPs”) in to vote at the AGM.
respect of the shares held in electronic form,
and 17. A Member who needs any clarification on accounts or
operations of the Company shall send his/her queries
ii. to the Company or its RTA, in respect of the addressed to the Company Secretary at investors@lmw.
shares held in physical form together with a co.in, so as to reach him on or before Friday, 26th July 2024.
proof of address viz, Aadhar Card /Electricity Such queries will be replied by the Company suitably,
Bill/ Telephone Bill/Ration Card/Voter ID during the AGM or through a separate e-mail.
Card/ Passport etc.
18. Members who wish to claim dividends, which remain
b. In case the registered mailing address is without unclaimed, are requested to correspond with the
the Postal Identification Number Code (“PIN Company Secretary / RTA of the Company.
CODE”), Members are requested to kindly inform
their PIN CODE immediately to the Company / 19. Members are requested to note that pursuant to Section
RTA/ DPs. 124 of the Companies Act, 2013 dividends not claimed
within seven years from the date of transfer to the
056
ANNUAL
REPORT 2023-24
Company’s Unpaid Dividend Account, will be transferred is not liable to pay Income Tax, can submit a yearly
to the Investor Education and Protection Fund (“IEPF”) declaration in Form No. 15G/15H, to avail the benefit of
established by the Central Government under Section non-deduction of tax at source by clicking on the link
125 of the Companies Act, 2013. The details of unpaid https://liiplweb.linkintime.co.in/formsreg/submission-of-form-15g-15h.html
dividend can be viewed on the Company’s website on or before 31st July 2024. Shareholders are requested
www.lmwglobal.com. As per the provisions of Rule 6 of to note that in case their PAN is not registered with the
the Investor Education and Protection Fund Authority DP/Company, the tax will be deducted at the applicable
(Accounting, Audit, Transfer and Refund) Rules, 2016, higher rate.
the Company will be transferring the share(s) on which
the beneficial owner has not encashed any dividend Non-resident Shareholders can avail beneficial rates
during the last seven years to the IEPF demat account as under the relevant tax treaty between India and their
identified by the IEPF Authority. Details of Shareholders country of residence, subject to providing necessary
whose shares are liable to be transferred to IEPF are documents i.e. No Permanent Establishment and
available on the Company’s website: www.lmwglobal. Beneficial Ownership Declaration, Tax Residency
com. The Shareholders whose unclaimed dividend / Certificate, Form 10F, any other document which may
share has been transferred to the ‘Investor Education be required to avail the tax treaty benefits by clicking
and Protection Fund’, may claim the same from the IEPF on the link https://liiplweb.linkintime.co.in/formsreg/
authority by filing Form IEPF-5 along with the requisite submission-of-form-15g-15h.html. The aforesaid
documents. declarations and documents need to be submitted by
a Shareholder on or before 31st July 2024.
20. In compliance with the aforesaid MCA Circulars and
SEBI Circulars, Notice of the AGM along with the Annual Separate intimation in this regard will be given to the
Report 2023-24 is being sent only through electronic Shareholders.
mode to those Members whose email address is
23. Since the AGM will be held through VC / OAVM, the
registered with the Company/ RTA/ Depositories.
Route Map is not annexed to this Notice.
Members may note that the Notice and Annual Report
2023-24 is also available on the Company’s website 24. The Securities and Exchange Board of India (“SEBI”)
www.lmwglobal.com, websites of the Stock Exchanges has mandated for submission of Permanent Account
i.e., BSE Limited and National Stock Exchange of India Number (“PAN”) by every participant in the securities
Limited at www.bseindia.com and www.nseindia.com market. Members holding shares in electronic form
respectively, and on the website of NSDL www.evoting. are, therefore, requested to submit their PAN to
nsdl.com. Further, pursuant to SEBI’s Circular the their Depository Participant(s) with whom they are
Company will be sending a hard copy of the Annual maintaining their demat account(s). Members holding
Report to those Shareholders who request for the same shares in physical form can submit their PAN details to
through the email id [email protected]. the RTA.
21. Members attending the AGM through VC / OAVM shall 25. Members may kindly note that in accordance with
be counted for the purpose of reckoning the quorum SEBI circular dated 31st July 2023, the Company has
under Section 103 of the Act. registered on the SMART ODR (Securities Market
Approach for Resolution through Online Disputes
22. Pursuant to Finance Act 2020, dividend income will be
Resolution) Portal. This platform aims to enhance
taxable in the hands of Shareholders w.e.f. 1st April 2020
investor grievance resolution by providing access to
and the Company is required to deduct tax at source
Online Dispute Resolution institutions for addressing
from dividend paid to Shareholders at the prescribed
complaints. Members can access the SMART ODR Portal
rates. For the prescribed rates for various categories,
via: https://smartodr.in/login. Members may utilise this
the Shareholders are requested to refer to the Finance
online conciliation and/or arbitration facility, as outlined
Act, 2020 and amendments thereof. The Shareholders
in the circular, to resolve any outstanding disputes
are requested to update their Residential Status,
between Members and the Company (including RTA).
Category as per Income Tax Act (“IT Act”), PAN with
the Company/ RTA (in case of shares being held in 26. Members holding shares in electronic form may please
physical mode) and depositories (in case of shares note that as per the regulations of Securities and
being held in demat mode) immediately. A resident Exchange Board of India (“SEBI”), National Securities
individual Shareholder having PAN and entitled to Depository Limited (“NSDL”) and Central Depository
receive dividend amount exceeding H5,000/- and who
001 CORPORATE
STATEMENTS
057
Services (India) Limited (“CDSL”), the Company is obliged VOTING THROUGH ELECTRONIC MEANS
to print the bank details on the dividend warrants as Pursuant to the provisions of Section 108 of the Companies
furnished by these depositories to the Company and the Act, 2013 read with Rule 20 of the Companies (Management
Company will not entertain any request for deletion/ and Administration) Rules, 2014, (including any statutory
change of Bank details already printed on dividend modification(s), amendments, clarifications, exemptions
warrants as per the information received from the or re-enactments thereof for the time being in force),
concerned depositories. In this regard, Members should Regulation 44 of the SEBI (Listing Obligations and Disclosure
contact their Depository Participant(s) (“DP”) and Requirements) Regulations, 2015 and Secretarial Standard
furnish particulars of any changes as desired by them. on General Meetings (SS2), the Company is providing to its
Members with the facility to cast their vote electronically
27. Brief resume, details of shareholding and Directors’
from a place other than venue of the Annual General
inter-se relationship; of Directors seeking election /
Meeting (“remote e-voting”) using an electronic voting
re-election as required under Regulation 36 of the
system provided by National Securities Depository Limited
(“NSDL”) as an alternative, for all Members’ of the Company
Regulations, 2015 and Secretarial Standard 2, are
to enable them to cast their votes electronically, on all the
provided as Annexure to this Notice.
business items set forth in the Notice of Annual General
28. The Shareholders are advised to register/update their Meeting and the business may be transacted through such
e-mail address with the Company/RTA in respect of remote e-voting/ e-voting during the AGM. Instructions to
shares held in physical form and with the concerned Shareholders provided hereinafter for e-voting explains the
Depository Participant in respect of shares held in process and manner for generating/ receiving the password,
electronic form to enable the Company to serve and for casting of vote(s) in a secure manner.
documents in electronic mode.
However, the Members are requested to take note of the
29. Annual/provisional financial statements and related following items:
details of the wholly owned subsidiary Company(ies) viz,
I. Any person, who acquires shares of the Company and
LMW Textile Machinery (Suzhou) Co Ltd., China, LMW
becomes a Member of the Company after dispatch of
Aerospace Industries Limited, India and LMW Global FZE
Annual General Meeting Notice and holding shares as of
(formerly known as LMW Middle East FZE), United Arab
the cut-off date, i.e., Wednesday, 24th July 2024, may refer
Emirates are posted on the Company’s website and are
to this Notice of the Annual General Meeting, posted on
also kept for inspection at the Registered Office of the
Company’s website www.lmwglobal.com for detailed
Company and at the subsidiary Company(ies). A copy of
procedure with regard to remote e-voting. Any person
the same will be provided to the Members on request.
who ceases to be the Member of the Company as on the
30. Soft copies of the Register of Directors’ and Key cut-off date and is in receipt of this Notice, shall treat this
Managerial Personnel and their shareholding, Notice for information purpose only.
maintained under Section 170 of the Companies Act,
II. The Members who have cast their vote by remote
2013 and the Register of Contracts or Arrangements
e-voting prior to the AGM may also attend/ participate
in which Directors are interested, maintained under
in the AGM through VC / OAVM but shall not be entitled
Section 189 of the Companies Act, 2013 will be available
to cast their vote(s) again.
for inspection by the Members during the AGM.
Instructions for Shareholders voting electronically are as under:

The remote e-voting period begins on Sunday, 28th July 2024 at 09:00 A.M. and ends on Tuesday, 30th July 2024 at 05:00 P.M.
The remote e-voting module shall be disabled by NSDL for voting thereafter. The Members, whose names appear in the
Register of Members / Beneficial Owners as on the record date (cut-off date) i.e. Wednesday, 24th July 2024, may cast their vote
electronically. The voting right of shareholders shall be in proportion to their share in the paid-up equity share capital of the
Company as on the cut-off date, being Wednesday, 24th July 2024.
How do I vote electronically using NSDL e-Voting system?

The way to vote electronically on NSDL e-Voting system consists of “Two Steps” which are mentioned below:
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Step 1: Access to NSDL e-Voting system
A) Login method for e-Voting and joining virtual meeting for Individual shareholders holding securities in demat mode
In terms of SEBI circular dated 9th December 2020, on e-Voting facility provided by Listed Companies, Individual shareholders
holding securities in demat mode are allowed to vote through their demat account maintained with Depositories and
Depository Participants. Shareholders are advised to update their mobile number and email id in their demat accounts in
order to access e-Voting facility.
Login method for Individual shareholders holding securities in demat mode is given below:
Type of shareholders Login Method
Individual Shareholders holding 1. Existing IDeAS user can visit the e-Services website of NSDL viz., https://eservices.
securities in demat mode with nsdl.com either on a Personal Computer or on a Mobile. On the e-Services home
NSDL. page click on the “Beneficial Owner” icon under “Login” which is available under
‘IDeAS’ section, this will prompt you to enter your existing User ID and Password.
After successful authentication, you will be able to see e-Voting services under value
added services. Click on “Access to e-Voting” under e-Voting services and you will
be able to see e-Voting page. Click on company name or e-Voting service provider
i.e. NSDL and you will be re-directed to e-Voting website of NSDL for casting your
vote during the remote e-Voting period or joining virtual meeting & voting during
the meeting.
2. If you are not registered for IDeAS e-Services, option to register is available at https://
eservices.nsdl.com. Select “Register Online for IDeAS Portal” or click at https://
eservices.nsdl.com/SecureWeb/IdeasDirectReg.jsp
3. Visit the e-Voting website of NSDL. Open web browser by typing the following URL:
https://www.evoting.nsdl.com/ either on a Personal Computer or on a Mobile. Once
the home page of e-Voting system is launched, click on the icon “Login” which is
available under ‘Shareholder/Member’ section. A new screen will open. You will have
to enter your User ID (i.e. your sixteen digit demat account number hold with NSDL),
Password/OTP and a Verification Code as shown on the screen. After successful
authentication, you will be redirected to NSDL Depository site wherein you can see
e-Voting page. Click on company name or e-Voting service provider i.e. NSDL and
you will be redirected to e-Voting website of NSDL for casting your vote during the
remote e-Voting period or joining virtual meeting & voting during the meeting.
4. Shareholders/Members can also download NSDL Mobile App “NSDL Speed-e”
facility by scanning the QR code mentioned below for seamless voting experience.
NSDL Mobile App is available on
 App Store Google Play
Individual Shareholders holding 1. Users who have opted for CDSL Easi / Easiest facility, can login through their existing
securities in demat mode with user id and password. Option will be made available to reach e-Voting page without
CDSL any further authentication. The users to login Easi /Easiest are requested to visit CDSL
website www.cdslindia.com and click on login icon & New System Myeasi Tab and
then use your existing Myeasi username & password.
001 CORPORATE
STATEMENTS
059
Type of shareholders Login Method
2. After successful login the Easi / Easiest user will be able to see the e-Voting option for
eligible companies where the evoting is in progress as per the information provided
by company. On clicking the evoting option, the user will be able to see e-Voting page
of the e-Voting service provider for casting your vote during the remote e-Voting
period or joining virtual meeting & voting during the meeting. Additionally, there are
also links provided to access the system of all e-Voting Service Providers, so that the
user can visit the e-Voting service providers’ website directly.
3. If the user is not registered for Easi/Easiest, option to register is available at CDSL
website www.cdslindia.com and click on login & New System Myeasi Tab and then
click on registration option.
4. Alternatively, the user can directly access e-Voting page by providing Demat Account
Number and PAN from a e-Voting link available on www.cdslindia.com home page.
The system will authenticate the user by sending OTP on registered Mobile & Email
as recorded in the Demat Account. After successful authentication, user will be able
to see the e-Voting option where the evoting is in progress and also able to directly
access the system of all e-Voting Service Providers.
Individual Shareholders You can also login using the login credentials of your demat account through your
(holding securities in demat Depository Participant registered with NSDL/CDSL for e-Voting facility. Upon logging in,
mode) login through their you will be able to see e-Voting option. Click on e-Voting option, you will be redirected to
depository participants NSDL/CDSL Depository site after successful authentication, wherein you can see e-Voting
feature. Click on company name or e-Voting service provider i.e. NSDL and you will be
redirected to e-Voting website of NSDL for casting your vote during the remote e-Voting
period or joining virtual meeting & voting during the meeting.
Important note: Members who are unable to retrieve User ID/ Password are advised to use Forgot User ID and Forgot Password option
available at the above mentioned website.
Helpdesk for Individual Shareholders holding securities in demat mode for any technical issues related to login through
Depository i.e. NSDL and CDSL.
Login type Helpdesk details

Individual Shareholders holding securities in demat mode Members facing any technical issue in login can
with NSDL contact NSDL helpdesk by sending a request to
Ms Pallavi Mhatre, Senior Manager, at [email protected]
or call at 022 - 4886 7000.
Individual Shareholders holding securities in demat mode Members facing any technical issue in login can contact
with CDSL CDSL helpdesk by sending a request at helpdesk.evoting@
cdslindia.com or contact at toll free no. 1800 22 55 33
B) Login Method for e-Voting and joining virtual meeting for shareholders other than Individual shareholders holding
securities in demat mode and shareholders holding securities in physical mode.
How to Log-in to NSDL e-Voting website?

1. Visit the e-Voting website of NSDL. Open web browser by typing the following URL: https://www.evoting.nsdl.com/ either
on a Personal Computer or on a Mobile.
2. Once the home page of e-Voting system is launched, click on the icon “Login” which is available under ‘Shareholder/
Member’ section.
3. A new screen will open. You will have to enter your User ID, your Password/OTP and a Verification Code as shown on
the screen.
Alternatively, if you are registered for NSDL eservices i.e. IDEAS, you can log-in at https://eservices.nsdl.com/ with your existing
IDEAS login. Once you log-in to NSDL eservices after using your log-in credentials, click on e-Voting and you can proceed to
Step 2 i.e. cast your vote electronically.
060
ANNUAL
REPORT 2023-24
4. Your User ID details are given below:
Manner of holding shares i.e.
Your User ID is:
Demat (NSDL or CDSL) or Physical
a) For Members who hold shares in demat account 8 Character DP ID followed by 8 Digit Client ID, for example if
with NSDL. your DP ID is IN300*** and Client ID is 12****** then your user
ID is IN300***12******.
b) For Members who hold shares in demat account 16 Digit Beneficiary ID, for example if your Beneficiary ID is
with CDSL. 12************** then your user ID is 12**************
c) For Members holding shares in Physical Form. EVEN Number followed by Folio Number registered with the
company, for example if folio number is 001*** and EVEN is
101456 then user ID is 101456001***
5. Password details for shareholders other than Individual

b) “Physical User Reset Password?” (If you are
shareholders are given below:
holding shares in physical mode) option available
a) If you are already registered for e-Voting, then you on www.evoting.nsdl.com.
can use your existing password to login and cast
c) If you are still unable to get the password by
your vote.
aforesaid two options, you can send a request
b) If you are using NSDL e-Voting system for the first at [email protected] mentioning your demat
time, you will need to retrieve the ‘initial password’ account number/folio number, your PAN, your
which was communicated to you. Once you name and your registered address etc.
retrieve your ‘initial password’, you need to enter
d) Members can also use the OTP (One Time
the ‘initial password’ and the system will force you
Password) based login for casting the votes on the
to change your password.
e-Voting system of NSDL.
c) How to retrieve your ‘initial password’?
7. After entering your password, tick on Agree to “Terms
(i) If your email ID is registered in your demat and Conditions” by selecting on the check box.
account or with the company, your ‘initial
8. Now, you will have to click on “Login” button.
password’ is communicated to you on your
email ID. Trace the email sent to you from 9. After you click on the “Login” button, Home page of
NSDL from your mailbox. Open the email and e-Voting will open.
open the attachment i.e. a .pdf file. Open the
.pdf file. The password to open the .pdf file Step 2: Cast your vote electronically and join General
is your 8 digit client ID for NSDL account, Meeting on NSDL e-Voting system.
last 8 digits of client ID for CDSL account or 1. After successful login at Step 1, you will be able to see all
folio number for shares held in physical form. the companies “EVEN” in which you are holding shares
The .pdf file contains your ‘User ID’ and your and whose voting cycle and General Meeting is in active
‘initial password’. status.
(ii) If your email ID is not registered, please 2. Select “EVEN” of company for which you wish to cast
follow steps mentioned below in process for your vote during the remote e-Voting period and casting
those shareholders whose email ids are not your vote during the General Meeting. For joining
registered. virtual meeting, you need to click on “VC/OAVM” link
placed under “Join Meeting”.
6. If you are unable to retrieve or have not received the
“Initial password” or have forgotten your password: 3. Now you are ready for e-Voting as the Voting page
opens.
a) Click on “Forgot User Details/Password?” (If you
are holding shares in your demat account with 4. Cast your vote by selecting appropriate options i.e.
NSDL or CDSL) option available on www.evoting. assent or dissent, verify/modify the number of shares for
nsdl.com. which you wish to cast your vote and click on “Submit”
and also “Confirm” when prompted.
001 CORPORATE
STATEMENTS
061
5. Upon confirmation, the message “Vote cast successfully” of Aadhar Card) to [email protected]. If you are an
will be displayed. Individual shareholders holding securities in demat
mode, you are requested to refer to the login method
6. You can also take the printout of the votes cast by you by explained at step 1 (A) i.e. Login method for e-Voting
clicking on the print option on the confirmation page. and joining virtual meeting for Individual shareholders
holding securities in demat mode.
7. Once you confirm your vote on the resolution, you will
not be allowed to modify your vote. 3. Alternatively shareholder/members may send a request
to [email protected] for procuring user id and password
GENERAL GUIDELINES FOR SHAREHOLDERS
for e-voting by providing above mentioned documents.
1. Institutional shareholders (i.e. other than individuals,
HUF, NRI etc.) are required to send scanned copy (PDF/ 4. In terms of SEBI circular dated 9th December 2020,
JPG Format) of the relevant Board Resolution/ Authority on e-Voting facility provided by Listed Companies,
letter etc. with attested specimen signature of the duly Individual shareholders holding securities in demat
authorised signatory(ies) who are authorised to vote, mode are allowed to vote through their demat
to the Scrutinizer by e-mail to [email protected] account maintained with Depositories and Depository
with a copy marked to [email protected]. Institutional Participants. Shareholders are required to update their
shareholders (i.e. other than individuals, HUF, NRI etc.) mobile number and email ID correctly in their demat
can also upload their Board Resolution / Power of account in order to access e-Voting facility.
Attorney / Authority Letter etc. by clicking on “Upload
Board Resolution / Authority Letter” displayed under THE INSTRUCTIONS FOR MEMBERS FOR e-VOTING ON
“e-Voting” tab in their login. THE DAY OF THE AGM ARE AS UNDER:-
1. The procedure for e-Voting on the day of the AGM is
2. It is strongly recommended not to share your password same as the instructions mentioned above for remote
with any other person and take utmost care to keep your e-voting.
password confidential. Login to the e-voting website
will be disabled upon five unsuccessful attempts to key 2. Only those Members/Shareholders who will be present
in the correct password. In such an event, you will need in the AGM through VC/OAVM facility and have not
to go through the “Forgot User Details/Password?” or casted their vote on the Resolutions through remote
“Physical User Reset Password?” option available on e-Voting and are otherwise not barred from doing so,
www.evoting.nsdl.com to reset the password. shall be eligible to vote through e-Voting system in
the AGM.
3. In case of any queries, you may refer the Frequently
Asked Questions (FAQs) for Shareholders and 3. Members who have voted through remote e-Voting will
e-voting user manual for Shareholders available at the be eligible to attend the AGM. However, they will not be
download section of www.evoting.nsdl.com or call: eligible to vote at the AGM.
022 - 4886 7000 or send a request to Ms Pallavi Mhatre,
4. The details of the person who may be contacted for any
Senior Manager, at [email protected].
grievances connected with the facility for e-Voting on
Process for those shareholders whose email ids are not the day of the AGM shall be the same person mentioned
registered with the depositories for procuring user id for remote e-voting.
and password and registration of e mail ids for e-voting
INSTRUCTIONS FOR MEMBERS FOR ATTENDING THE
for the resolutions set out in this notice:
AGM THROUGH VC/OAVM ARE AS UNDER:
1. In case shares are held in physical mode please provide
1. Member will be provided with a facility to attend the
Folio No., Name of shareholder, scanned copy of the
AGM through VC/OAVM through the NSDL e-Voting
share certificate (front and back), PAN (self attested
system. Members may access by following the steps
scanned copy of PAN card), AADHAR (self attested
mentioned above for Access to NSDL e-Voting system.
scanned copy of Aadhar Card) by email to investors@
After successful login, you can see link of “VC/OAVM”
lmw.co.in.
placed under “Join meeting” menu against company
2. In case shares are held in demat mode, please provide name. You are requested to click on VC/OAVM link
DPID-CLID (16 digit DPID + CLID or 16 digit beneficiary placed under Join Meeting menu. The link for VC/OAVM
ID), Name, client master or copy of Consolidated will be available in Shareholder/Member login where
Account statement, PAN (self attested scanned copy the EVEN of Company will be displayed. Please note
of PAN card), AADHAR (self attested scanned copy that the members who do not have the User ID and
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ANNUAL
REPORT 2023-24
Password for e-Voting or have forgotten the User ID 6. Members who would like to express their views/ask
and Password may retrieve the same by following the questions during the AGM may register themselves as
remote e-Voting instructions mentioned in the notice a speaker by sending their request mentioning their
to avoid last minute rush. name, demat account number/folio number, email id,
mobile number to [email protected] on or before
2. Members are encouraged to join the Meeting through 05:00 P.M. IST on Friday, 26th July 2024.
Laptops for better experience.
7. Those Members who have registered themselves as a
3. Further Members will be required to allow Camera and speaker will only be allowed to express their views/ ask
use Internet with a good speed to avoid any disturbance questions during the meeting (“AGM”).
during the meeting.
8. Members can join the AGM in the VC/OAVM mode
4. Please note that participants connecting from Mobile 15 minutes before and after the scheduled time of
Devices or Tablets or through Laptop connecting via the commencement of the Meeting by following the
Mobile Hotspot may experience Audio/Video loss due procedure mentioned in the Notice. The facility of
to fluctuation in their respective network. It is therefore participation at the AGM through VC/OAVM will be
recommended to use stable Wi-Fi or LAN Connection to made available for 1,000 Members on first come first
mitigate any kind of aforesaid glitches. served basis. This will not include large Shareholders
(Shareholders holding 2% or more shareholding),
5. Shareholders who would like to express their views/
Promoters, Institutional Investors, Directors, Key
have questions may send their questions in advance
Managerial Personnel, the Chairpersons of the Audit
mentioning their name demat account number/folio
Committee, Nomination and Remuneration Committee
number, email id, mobile number to investors@lmw.
and Stakeholders Relationship Committee, Auditors, etc.
co.in. The same will be replied by the company suitably.
who are allowed to attend the AGM without restriction
on account of first come first served basis.
III. The voting rights of Shareholders shall be in proportion unblock the votes cast through remote e-voting in the
of their shares to the paid-up equity share capital of presence of at least two witnesses who are not in the
the Company reckoned as on the cut-off date, which is, employment of the Company and shall make, not later
Wednesday, 24th July 2024. than two working days of the conclusion of the AGM, a
consolidated Scrutinizer’s Report of the total votes cast
IV. Once the vote on a Resolution is cast by the Member, the in favour or against, if any, to the Chairman or a person
Member shall not be allowed to change it subsequently. authorised by him in writing, who shall countersign the
Further, the Members who have cast their vote by same and declare the result of the voting forthwith.
remote e-voting shall not vote by e-voting conducted
during the Meeting. VIII. The Results declared along with the report of the
Scrutinizer shall be placed on the website of the
V. The Company has appointed Sri M D Selvaraj of MDS & Company www.lmwglobal.com and on the website of
Associates LLP, Company Secretaries, as the Scrutinizer NSDL immediately after the declaration of the result by
to scrutinize the remote e-voting process and the vote the Chairman or a person authorised by him in writing.
by e-voting conducted during the Meeting, in a fair and The results shall also be immediately forwarded to the
transparent manner. Stock Exchanges, where the shares of the Company are
listed.
VI. The Chairman, at the Annual General Meeting, at the
end of discussion on the Resolutions on which voting Explanatory statement in terms of Section 102 of the
is to be held, shall allow e-voting for all those Members Companies Act, 2013
who are present at the Annual General Meeting by Item No. 4
electronic means but have not already cast their votes The Shareholders at the 58th Annual General Meeting held
by availing the remote e-voting facility. The e-voting on 21st July 2021 had approved the payment of commission
module shall be disabled for voting thereafter. to the Non-Executive Directors up to a sum not exceeding
1% of the Net Profits of the Company calculated as per the
VII. The Scrutinizer shall after the conclusion of voting
provisions of Section 198 of the Companies Act, 2013, subject
at the Annual General Meeting, will first count the
to an overall limit of H1,00,00,000/- (Rupees One Crore only)
votes cast by e-voting during the AGM and thereafter
001 CORPORATE
STATEMENTS
063
per annum (exclusive of sitting fees payable for attending decided by the Board of Directors (including any Committees
the Meetings of the Board of Directors, Committees thereof thereof ) of the Company. Further, as on 31st March 2024 the
and meeting of Independent Directors) for a period of 3 years Company has no debts.
from 1st April 2021.
The disclosures as required under Schedule V of the
Now, the Nomination and Remuneration Committee, Audit Companies Act, 2013, Regulation 36 of the SEBI (Listing
Committee and the Board of Directors at their respective Obligations and Disclosure Requirements) Regulations, 2015
Meetings held on 27th May 2024 have inter alia recommended and Secretarial Standard 2 are furnished and form a part of
the proposal for payment of commission to the Non-Executive this Notice.
Directors up to a sum not exceeding 1% of the Net Profits of
the Company computed in the manner as specified under The Board recommends the Resolution as set out in Item No.
Section 198 of the Companies Act, 2013 subject to a maximum 4 of the Notice of the AGM for the approval of the Members.
sum of H1,00,00,000/- (Rupees One Crore Only) per annum, to
Interest of Directors:
be paid and distributed amongst the Non-Executive Directors
Except all the Non-Executive Directors being the recipient(s)
of the Company or some or any of them in such amounts or
of the commission, none of the other Directors and the Key
proportions and in such manner and in all respects as may be
Managerial Personnel of the Company and their relatives
decided by the Board of Directors (including any Committees
are concerned or interested, financially or otherwise, in the
thereof) of the Company, for a term of three (3) financial years
Resolution as set out in Item No. 4 of the accompanying
commencing from 1st April 2024. The commission payable to
Notice of the AGM.
the Non-Executive Directors of the Company as mentioned
above shall be in addition to the sitting fees payable for Item No 5:
attending the Meetings of the Board of Directors, Committees Sri Sanjay Jayavarthanavelu (DIN: 00004505) has been a
thereof and Meeting of Independent Directors. Director in the Company since 1993. He has rich and varied
experience profile and has led the Company with his leadership
Pursuant to Sections 197, 198 and other applicable
and vision. Considering his professional commitment to the
provisions, if any, of the Companies Act, 2013, the consent
Company, and the results which have been achieved by him
of the Members is required to be obtained for payment of
as a Managing Director, the Shareholders of the Company at
commission to the Non-Executive Directors of the Company.
the 58th Annual General Meeting held on 21st July 2021 had
Further, pursuant to the provisions of Section 197(3) of the
accorded their approval for the re-appointment of Sri Sanjay
Companies Act, 2013, read with the amended Schedule V
Jayavarthanavelu as the Managing Director of the Company
thereto, if in any financial year, the Company has no profits or
for a further period of 5 years with effect from 1st April 2022
its profits are inadequate, the Company can pay remuneration
and for payment of remuneration for a period of 3 years with
to the Non-Executive Directors not exceeding the limits as
effect from 1st April 2022.
specified under Item A of Section II of Part II of Schedule V of
the Companies Act, 2013. However, remuneration in excess Pursuant to the provisions of Sections 196, 197, 203, Schedule
of the limits as given in Schedule V of the Companies Act, V and other applicable provisions of the Companies Act, 2013,
2013 may be paid provided a Special Resolution is passed remuneration payable to the Managing Director shall be
by the Members. subject to the approval of the Shareholders of the Company
in the General Meeting.
With the complexity of managing business increasing by the
day, the Non-Executive Directors are nowadays required to As per Section 178 of the Companies Act, 2013, the
devote considerable time and effort towards the business Nomination and Remuneration Committee at their Meeting
activities of the Company. In this regard, considering the held on 27th May 2024 had in the best interest and for the
prevailing economic and business conditions, greatly progress of the Company, determined his remuneration as
impacted by the geo-political issues, the Company may be set out in the Resolution for the remaining period of 2 years
in a situation of having inadequacy or absence of profits for with effect from 1st April 2025 till the existing tenure of his
payment of remuneration to the Non-Executive Directors. appointment and recommended the same to the Audit
In such a situation, Members’ consent is also being sought Committee and to the Board.
for payment of minimum commission of a sum not exceeding
H1,00,00,000/- (Rupees One Crore Only) per annum to be Pursuant to Regulation 23 of the SEBI (Listing Obligations
paid and distributed amongst the Non-Executive Directors and Disclosure Requirements) Regulations, 2015 (“Listing
of the Company or some or any of them in such amounts or Regulations”), the Audit Committee of the Board of Directors
proportions and in such manner and in all respects as may be at their Meeting held on 27th May 2024 have also approved
064
ANNUAL
REPORT 2023-24
the remuneration payable to Sri Sanjay Jayavarthanavelu as Pursuant to Regulation 17(1A) of SEBI (Listing Obligations and
Managing Director of the Company for a remaining period of Disclosure Requirements) Regulations, 2015 (as amended),
2 (two) years and have recommended the same to the Board. a Non-Executive Director of the Company who has attained
the age of 75 years cannot continue to act as a Non-Executive
Further, Regulation 17(6)(e) of the Listing Regulations also Director in the Company unless the approval of the Members
requires approval of the Shareholders by way of Special is obtained through a special resolution.
Resolution in the General Meeting, if the aggregate annual
remuneration payable to all the Executive Directors who are Sri S Pathy will be attaining the age of 75 years on
Promoters or Members of the Promoter Group exceeds 5% 17th November 2024, and accordingly, pursuant to the
of the Net Profit of the Company. Also, Section 197 of the said regulation, the approval of the Members by a special
Companies Act, 2013, requires approval of the Shareholders resolution is required to be obtained to enable Sri S Pathy to
by way of a Special Resolution in the General Meeting if the continue his directorship in the Company.
remuneration payable to Executive Directors exceeds 10% of
the Net Profit of the Company. As the remuneration payable Sri S Pathy is the Chairman and Managing Director of
to Sri Sanjay Jayavarthanavelu during his remaining tenure M/s The Lakshmi Mills Company Limited, Coimbatore.
as Managing Director along with the remuneration payable Sri S Pathy over the years has rich experience in the fields
to other executive directors may exceed the limits prescribed of Textile, Engineering, Finance, Human Resources and
above, the approval of the Shareholders is also being sought Administration and has immensely contributed to the
vide a Special Resolution. growth of the Company over the past five decades through
his valuable insights to the Board.
Further, pursuant to Section 197 and Schedule V of the
Companies Act, 2013, the managerial personnel are eligible Therefore, the Board of Directors are of the opinion that
to receive minimum remuneration and remuneration in his continuation as a Non-Executive and Non-Independent
excess of the limits as specified in the Companies Act, 2013 Director beyond the age of 75 years will be beneficial to the
upon receipt of approval of the Shareholders by means of a Company.
Special Resolution. In this regard, considering the prevailing
The Nomination and Remuneration Committee and the Board
economic and business conditions, greatly impacted by the
of Directors of the Company at their respective Meetings held
geo-political issues, the Company may be in a situation of
on 27th May 2024 have recommended the continuation of
having inadequacy or absence of profits for payment of
Directorship of Sri S Pathy as a “Non-Executive Director” of
remuneration to the Directors. Thus, to ensure payment of
the Company by considering his rich experience, expertise
minimum remuneration to Sri Sanjay Jayavarthanavelu,
and immense contribution towards the development of the
approval of the Shareholders is being sought. Further, as on
Company since its initial stages.
31st March 2024 the Company has no debts.
The disclosures as required under Regulation 36 of the Listing
Based on the above, the Board of Directors have
Regulations and Secretarial Standard on General Meetings
recommended the Resolution as set out in Item No.5 of the
issued by the Institute of Company Secretaries of India are
Notice for approval of the Members as a Special Resolution.
furnished and form a part of this Notice.
The disclosures as required under Schedule V of the
Therefore, the Board of Directors recommend the Special
Companies Act, 2013, Regulation 36 of the Listing Regulations
Resolution set forth in Item No. 6 for approval of the Members.
and Secretarial Standard 2 are furnished and form a part of
this Notice. Interest of Directors:
Except Sri S Pathy being the beneficiary, none of the other
Directors and Key Managerial Personnel of the Company
Except Sri Sanjay Jayavarthanavelu being the beneficiary
and their relatives is concerned or interested, financially or
and Sri Jaidev Jayavarthanavelu, Wholetime Director being
otherwise, in the Resolution set out at Item No.6.
his relative, none of the other Directors and Key Managerial
Personnel of the Company and their relatives is concerned Item No. 7
or interested, financially or otherwise, in the Resolution set Pursuant to the recommendation of the Nomination and
out at Item No.5. Remuneration Committee, the Board of Directors of the
Company at their meetings held on 27th May 2024 have
Item No. 6
recommended the appointment of Sri Venkataramani
Sri S Pathy (DIN: 00013899) is a Non-Executive Director of the
Anantharamakrishnan (DIN: 00277816), as a Director of the
Company and has been associated with the Company for the
Company with effect from 5th August 2024. Further, the
past five decades.
001 CORPORATE
STATEMENTS
065
Company has received a Notice in writing from a Member available to Members for inspection at the Registered Office
under Section 160 of the Companies Act, 2013 (‘the Act’), of the Company during the normal business hours (9:00 am,
proposing his candidature for the office of Independent India Standard Time (“IST”) to 4:00 pm IST) on any business
Director of the Company. day without payment of fee.
Sri Venkataramani Anantharamakrishnan is not disqualified The disclosures as required under Regulation 36 of the Listing
from being appointed as a Director in terms of Section Regulations and Secretarial Standard on General Meetings
164 of the Act, and is not debarred from holding the issued by the Institute of Company Secretaries of India are
office of Director by virtue of any Securities and Exchange furnished and form a part of this Notice.
Board of India (“SEBI”) order or any other such authority.
Sri Venkataramani Anantharamakrishnan has given his Accordingly, the Board recommends the Special
consent to act as a Director along with the declaration to Resolution in relation to eligibility and appointment of
the effect that he meets the criteria of independence as Sri Venkataramani Anantharamakrishnan as an Independent
prescribed under the Act and the SEBI (Listing Obligations Director for a term of five (5) consecutive years for approval
and Disclosure Requirements) Regulations, 2015 (“Listing by the Members of the Company.
Regulations”) and that his name is included in the databank
of Independent Directors as required under Rule 6(3) of the
Except Sri Venkataramani Anantharamakrishnan being the
Companies (Appointment and Qualification of Directors)
proposed appointee, none of the Directors and the Key
Rules, 2014.
Managerial Personnel of the Company and their relatives
In the opinion of the Board, Sri Venkataramani are concerned or interested, financially or otherwise, in the
Anantharamakrishnan fulfills the conditions as specified Resolution as set out in Item No. 7 of the Notice.
under the Act read with the Rules made thereunder and the
Item No. 8
Listing Regulations for his appointment as an Independent
Pursuant to the recommendation of the Nomination and
Director of the Company and is also independent of the
Remuneration Committee, the Board of Directors of the
Management.
Company at their meetings held on 27th May 2024 have
The Nomination and Remuneration Committee and the recommended the appointment of Smt Pushya Sitaraman
Board of Directors have reviewed/ evaluated the balance of (DIN: 06537196), as a Director of the Company with effect
skills, knowledge and experience on the Board and identified from 5th August 2024. Further, the Company has received a
the role and capabilities required of an Independent Director Notice in writing from a Member under Section 160 of the
and considered that the appointment of Sri Venkataramani Companies Act, 2013 (‘the Act’), proposing her candidature
Anantharamakrishnan with his experience and expertise will for the office of Independent Director of the Company.
be of immense value addition to the Company.
Smt Pushya Sitaraman, is not disqualified from being
Sri Venkataramani Anantharamakrishnan is currently the appointed as a Director in terms of Section 164 of the Act
Managing Director of IP Rings Limited, a leading light and is not debarred from holding the office of Director by
engineering Company involved in the manufacture of Steel virtue of any Securities and Exchange Board of India (“SEBI”)
Piston Rings and near net shaped cold forged components. order or any other such authority. She has given her consent
He also serves on the boards of companies such as to act as a Director along with the declaration to the effect
Amalgamations Repco, George Oakes, Edutech NTTF, Parry that she meets the criteria of independence as prescribed
Enterprises, Avalon Technologies and Shanthi Gears. under the Act and the SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015 (“Listing Regulations”) and
A Mechanical Engineer from the UK and an MBA from the that her name is included in the databank of Independent
University of Chicago, his achievements include negotiating Directors as required under Rule 6(3) of the Companies
joint venture agreements and setting up greenfield projects. (Appointment and Qualification of Directors) Rules, 2014.
He has also served as President of the Auto Component
Manufacturers Association (ACMA), The Madras Chamber of Pursuant to Regulation 17(1) of the Listing Regulations,
Commerce and Industry (MCCI) and Madras Management top 1,000 listed Companies identified based on the market
Association (MMA). capitalisation are required to have an Independent Woman
Director on the Board. The Company upon appointment of
A copy of the draft Appointment Letter to be issued to Smt Pushya Sitaraman as an Independent Woman Director
Sri Venkataramani Anantharamakrishnan upon his will continue to comply with the said requirement even after
appointment as an Independent Director, containing the the retirement of the existing Independent Woman Director.
terms and conditions of such appointment, would be
066
ANNUAL
REPORT 2023-24
In the opinion of the Board, Smt Pushya Sitaraman, fulfills Independent Director, containing the terms and conditions
the conditions as specified under the Act read with the of such appointment, would be available to Members for
Rules made thereunder and the Listing Regulations for her inspection at the Registered Office of the Company during
appointment as an Independent Director of the Company the normal business hours (9:00 am, India Standard Time
and is also independent of the Management. (“IST”) to 4:00 pm IST) on any business day without payment
of fee.
The Nomination and Remuneration Committee and the Board
of Directors have reviewed/ evaluated the balance of skills, The disclosures as required under Regulation 36 of the Listing
knowledge and experience on the Board and identified the Regulations and Secretarial Standard on General Meetings
role and capabilities required of an Independent Director and issued by the Institute of Company Secretaries of India are
considered that the appointment of Smt Pushya Sitaraman, furnished and form a part of this Notice.
with her experience and expertise will be of immense value
addition to the Company. Accordingly, the Board recommends the Special Resolution
in relation to eligibility and appointment of Smt Pushya
Further, Smt Pushya Sitaraman will be attaining the age of Sitaraman, as an Independent Woman Director for a term of
75 years on 23rd December 2028 , and accordingly, pursuant five (5) consecutive years, for approval by the Members of
to Regulation 17(1A) of the Listing Regulations, the approval the Company.
of the Members by a special resolution is required to be
obtained to enable Smt Pushya Sitaraman to continue her Interest of Directors:
directorship in the Company beyond the age of 75 years. Except Smt Pushya Sitaraman, being the proposed appointee,
none of the Directors and the Key Managerial Personnel of
Smt Pushya Sitaraman hails from a family of lawyers, she the Company and their relatives are concerned or interested,
enrolled as an advocate in the year 1983, after completing financially or otherwise, in the Resolution as set out in Item
her education at Stella Maris College and Madras Law College. No. 8 of the Notice.
She was designated by the Madras High Court as a Senior
Advocate in the year 2009. In her career spanning over Item No. 9
40 years, she has been largely specialising in taxation and The Board of Directors, on the recommendation of the
corporate laws. She is also an Accredited Mediator with the Audit Committee, had approved the appointment of and
Tamilnadu Mediation and Conciliation Centre since 2006. remuneration payable to Sri A N Raman, Cost Accountant
for auditing the Cost Accounting records of the Company
Before being designated as Senior Advocate in October 2009, pursuant to the Companies (Cost Records and Audit) Rules
she had served as Senior Standing Counsel for the Income 2014, for the financial year 2024-25 at a remuneration of
Tax Department for seven years. She has also been advising H7,00,000/- (Rupees Seven Lakhs Only) per annum excluding
and representing many Companies and business houses in the applicable taxes and reimbursement of out-of-pocket
taxation related matters. expenses incurred by him in connection with the Audit.
She has served on the governing body of her alma As per Section 148 of the Companies Act, 2013 read
mater, Vidyodaya Schools Society, held positions as with the Companies (Audit and Auditors) Rules, 2014 the
President - Revenue Bar Association, Vice Chairperson remuneration payable to the Cost Auditor as determined by
- All India Federation of Tax Practitioners, South Zone. the Board is required to be ratified by the Members of the
She is currently the Chairperson of M Subbaraya Aiyer Birth Company. Accordingly, the consent of the Members is sought
Centenary Charitable Trust. for passing an Ordinary Resolution as set out in Item No. 9 of
the Notice for ratification of the remuneration payable to the
She is currently on the boards of several companies and Cost Auditor for the Financial Year 2024-25.
has more than ten years of experience as a Director in the
manufacturing sector and more than five years in the financial Accordingly, the Board recommends this Ordinary Resolution
services sector. for the approval of the Members.
Considering her expertise and experience, the Board of Interest of Directors:

Directors are of the opinion that her continuation as an None of the Directors, Key Managerial Personnel of the
Independent Director beyond the age of 75 years will be Company or their relatives are interested or concerned,
beneficial to the Company. financially or otherwise, in the Resolution as set out in Item
No. 9 of the Notice.
A copy of the draft Appointment Letter to be issued to
Smt Pushya Sitaraman, upon her appointment as an
001 CORPORATE
STATEMENTS
067
Item No. 10 the Central Registration Centre, Ministry of Corporate Affairs
The strategic proposal to change the Company’s name from for the desired name “LMW Limited”. Necessary application is
“Lakshmi Machine Works Limited” to “LMW Limited” aims being made to BSE Limited and the National Stock Exchange
to align the organisation’s identity with its global stature. of India Limited for obtaining their in-principle approval.
Originally incorporated on 14th September 1962, under
the name “Lakshmi Machine Works Limited,” the Company Pursuant to the provisions of Sections 13, and 14 of the
received the Certificate for Commencement of Business on Companies Act, 2013 the alteration of the name clause of
7th November 1962. the Memorandum of Association and Articles of Association
requires the approval of the Members of the Company by
Over six decades, “Lakshmi Machine Works Limited,” popularly way of a Special Resolution and is also subject to the approval
known as “LMW,” has been a key player in the Textile Machinery of the Central Government (power delegated to Registrar of
Manufacturing industry. Its diversification into Machine Tools, Companies).
Foundry, and Aerospace has solidified its position in each
division. The proposed change in name of the Company will not affect
any of the rights of the Company or of the shareholders/
Since its inception, the Company has consistently used the stakeholders of the Company.
brand name “LMW”. Trademarked in 1992, “LMW” features
prominently on official corporate documents, contributing Accordingly, the Special Resolution as set out in Item No.10
to strong goodwill. Globally recognised by shareholders, of the Notice is placed before the Members for their approval.
vendors, and customers, the Company’s high-quality
The Company is in compliance with the conditions provided
products are commonly associated with the brand “LMW.”
under Regulation 45(1) of Securities and Exchange Board
While the official name remains “Lakshmi Machine Works of India (Listing Obligations and Disclosure Requirements)
Limited”, the market predominantly knows it by its acronym, Regulations, 2015 with respect to the change of name of the
“LMW”. The trademarked logo, featuring “LMW” alongside a listed entity, to the extent they are applicable. A Certificate
Goddess Lakshmi symbol, appears on name boards, websites, obtained from RJC Associates, Chartered Accountants (Firm
advertisements, and packaging materials. Registration Number 003496S) dated 27th May 2024 to this
effect is annexed hereto and forms part of this Notice and
With an expanding global footprint, stakeholders worldwide explanatory statement.
identify the company as “LMW”. Additionally, the Company’s
wholly owned subsidiaries abroad-LMW Textile Machinery The Board recommends the Special Resolution as set out in
(Suzhou) Co. Ltd., China, and LMW Global FZE, United Arab Item No.10 of the Notice for the approval of the Members.
Emirates-already incorporate the “LMW” name. Hence there is
Copies of the draft of the Memorandum of Association and
a need to align the name of the Company across geography.
the Articles of Association of the Company are available on
The proposed name succinctly abbreviates the existing the website of the Company www.lmwglobal.com and is
one, maintaining continuity while reflecting the Company’s also available for inspection at the Registered Office of the
diversified business verticals. As the company expands Company during normal business hours on any working day
globally, a shorter, easily recallable name will propel its up to the date of the Annual General Meeting.
journey forward.
Further, the proposed name is an abbreviation of the existing None of the Directors, Key Managerial Personnel of the
name “Lakshmi Machine Works Limited”. The Company will Company or their relatives are interested or concerned,
be making an application for reservation of name change to financially or otherwise, in the Resolution as set out in Item
No. 10 of the Notice.
068
ANNUAL
REPORT 2023-24
PROFILE OF DIRECTORS PURSUANT TO REGULATION 36 OF THE SEBI (LISTING OBLIGATIONS AND
DISCLOSURE REQUIREMENTS) REGULATIONS, 2015 AND SECRETARIAL STANDARD 2 - CLAUSE 1.2.5
AS ISSUED BY THE INSTITUTE OF COMPANY SECRETARIES OF INDIA
Name Sri Sanjay Jayavarthanavelu

Director Identification Number (DIN) 00004505
Date of Birth/Nationality 15th June 1968 / Indian
Date of appointment on the Board 24th February 1993
Inter-se relationship with other Directors Sri Sanjay Jayavarthanavelu is the father of Sri Jaidev Jayavarthanavelu,
/ Key Managerial Personnel Wholetime Director of the Company.
Qualification Postgraduate in Business Administration from Philadelphia University, USA
with specialisation in Management and Finance.
Expertise in area / Experience He has nearly three decades of experience in the fields of textile, textile
engineering, machine tools, foundry, aerospace, logistics, finance and
administration. Also refer to the section on skill sets as contained in the
Corporate Governance Report.
Number of Shares held in the Company 1,42,291 Equity Shares of H10 each. Further, he holds 17% of beneficial interest
(including shareholding as a beneficial in the Company along with others.
owner)
Board Position Held Chairman and Managing Director.
Terms and conditions of appointment The appointment shall be governed by the Resolution passed by the
Shareholders.
Remuneration paid for the financial year Information as disclosed in the Corporate Governance Report annexed to the
Annual Report.
Remuneration proposed to be paid He is entitled to Salary, Perks and Commission on Net Profits as detailed in the
Resolution passed by the Shareholders.
Number of Board Meetings attended Information as disclosed in the Corporate Governance Report annexed to the
during the year Annual Report
Directorship held in other companies Listed: Others:
1. The Lakshmi Mills Company Limited 1. Chakradhara Aerospace and Cargo
2. Carborundum Universal Limited Private Limited
3. Lakshmi Electrical Control Systems 2.
Lakshmi Life Sciences Private Limited
Limited 3.
Lakshmi Ring Travellers (Coimbatore)
4. Super Sales India Limited Private Limited
4. Lakshmi Technology and
Engineering Industries Limited
5.
Alampara Hotels and Resorts Private
Limited
6. Lakshmi Cargo Company Limited
7. Petrus Technologies Private Limited
8.
Rhodius Abrasives GmbH,
Germany
Names of the listed entities from which Nil
the person has resigned in the past 3 years
001 CORPORATE
STATEMENTS
069
Name Sri Sanjay Jayavarthanavelu (continued)
Chairman / Membership in other Listed Others
committees of the Board
Lakshmi
1. Machine Works Chakradhara Aerospace and
1.
Limited: Chairman of Corporate Cargo Private Limited: Member
Social Responsibility Committee of Corporate Social Responsibility
and Shares and Debentures Committee.
Committee.
2. Super Sales India Limited:
Member of Share Transfer
Committee.
Carborundum
3. Universal
Limited: Chairman of Audit
Committee and Nomination and
Remuneration Committee.
The Lakshmi Mills Company
4.
Limited: Member of Nomination
and Remuneration Committee.
Name Sri S Pathy

Date of Birth/Nationality 17th November 1949 / Indian
Date of appointment on the Board 21st March 1973
Inter-se relationship with other Directors None of the Directors and /or Key Managerial Persons of the Company and
/ Key Managerial Personnel their relatives are related to Sri S Pathy.
Qualification B Com
Expertise in area / Experience Sri S Pathy has about five decades of experience in the fields of textile, textile
engineering, finance and administration. Also, refer to the section on skill sets
as contained in the Corporate Governance Report.
Number of Shares held in the Company 1,420 Equity Shares of H10 each. Further, he does not hold beneficial interest
(including shareholding as a beneficial owner) in the equity shares of the Company other than the above.
Board Position Held Director (Non-Executive and Non-Independent, part of the Promoter Group)
Terms and conditions of appointment Liable to retire by rotation. The appointment shall be governed by the
Resolution passed by the Shareholders at their Meeting(s).
Remuneration paid for the financial year Information disclosed in the Corporate Governance Report annexed to the
Annual Report.
Remuneration proposed to be paid He is entitled for payment of sitting fees for attending the meetings of the
Board and its Committees. He shall also be paid Commission on Net Profits
of the Company as decided by the Board of Directors within the limits as
Number of Board Meetings attended Information disclosed in the Corporate Governance Report annexed to the
during the year Annual Report.
070
ANNUAL
REPORT 2023-24
Name Sri S Pathy (continued)
1. The Lakshmi Mills Company Limited 1.
Lakshmi Card Clothing Mfg.
2.
Lakshmi Automatic Loom Works Company Private Limited
Limited 2. LCC Investments Private Limited
3. Coimbatore Lakshmi Cotton Press
Private Limited
4. Sans Craintes Stud Farm Private
Limited
5.
Sans Craintes Livestock Private
Limited
6.
Rasakondalu Developers Private
Limited
7.
Sans Craintes Power Private
Limited
Chairman / Membership in other Listed :
committees of the Board Lakshmi Machine Works Limited: Member of Nomination and
1.
Remuneration Committee, Stakeholders Relationship Committee and
Shares and Debentures Committee.
The Lakshmi Mills Company Limited: Member of Corporate Social
2.
Responsibility Committee.
Name Sri Aroon Raman

Date of Birth/Nationality 21st March 1960 / Indian
Date of appointment on the Board 11th May 2022
Inter-se relationship with other Directors None of the Directors and /or Key Managerial Persons of the Company and
/ Key Managerial Personnel their relatives are related to Sri Aroon Raman.
Qualification M.A. from Jawaharlal Nehru University and
M.B.A. from University of Pennsylvania, USA
Expertise in area / Experience Has over three decades of experience in varied fields of technology,
operations, general management, research & development. Also refer to the
section on skill sets as contained in the Corporate Governance Report.
Number of Shares held in the Company Nil. Further, he does not hold any beneficial interest in the equity shares of
(including shareholding as a beneficial the Company.
owner)
Board Position Held Non-Executive and Independent Director
Shareholders at their Meeting(s).
Annual Report.
Remuneration proposed to be paid He is entitled for payment of sitting fees for attending the Meetings of the
001 CORPORATE
STATEMENTS
071
Name Sri Aroon Raman (continued)
1. Carborundum Universal Limited 1. TVS Automobile Solutions Private
2. Wheels India Limited Limited
3. Brigade Enterprises Limited 2.
Trichur Sundaram Santhanam &
Family Private Limited
3. Telos Investments & Technologies
Private Limited
4. Edutech NTTF India Private Limited
5.
Nettur Technical Training
Foundation
Chairman / Membership in other Listed Unlisted:
committees of the Board
Carborundum
1. Universal TVS Automobile Solutions
1.
Limited: Chairman of Corporate Private Limited: Member of Audit
Social Responsibility Committee, Committee, Nomination and
Member of Audit Committee, Remuneration Committee and
Nomination and Remuneration Compensation Committee.
Committee and Risk Management
Committee.
2. Wheels India Limited: Chairman
of Nomination and Remuneration
Committee, Member of Audit
Committee and Corporate Social
Brigade Enterprises Limited:
3.
Chairman of Nomination and
Remuneration Committee,
Member of Audit Committee and
Corporate Social Responsibility
Committee.
Name Sri Arun Alagappan

Date of Birth/Nationality 19th July 1976 / Indian
Date of appointment on the Board 26th October 2016
Inter-se relationship with other Directors None of the Directors and/or Key Managerial Personnel of the Company and
/ Key Managerial Personnel their relatives are related to Sri Arun Alagappan.
Qualification MBA
Expertise in area / Experience Sri Arun Alagappan is the Wholetime Director in Coromandel International
Limited. He has two and half decades of rich multi-functional experience
across a wide spectrum of industries. Also, refer to section on skill sets as
contained in the Corporate Governance Report.
Number of Shares held in the Company Nil. Further, he does not hold any beneficial interest in the equity shares of
(including shareholding as a beneficial owner) the Company.
072
ANNUAL
REPORT 2023-24
Name Sri Arun Alagappan (continued)
Annual Report.
1. Coromandel International Limited 1.
Southern India Chamber of
2. Thirumalai Chemicals Limited Commerce and Industry
2. Yanmar Coromandel Agrisolutions
Private Limited
3. Madras Race Club
4. Dare Ventures Limited
5. Ambadi Enterprises Limited
Names of the listed entities from which Cholamandalam Investment and Finance Company Limited
committees of the Board Coromandel International Limited: Member of Audit Committee,
1.
Stakeholders Relationship Committee and Nomination & Remuneration
Committee, Chairman of Corporate Social Responsibility and
Sustainability Committee and Banking & Borrowing Committee.
Lakshmi Machine Works Limited: Member of Corporate Social
2.
Name Dr Mukund Govind Rajan

Date of Birth/Nationality 5th April 1968 / Indian
Inter-se relationship with other Directors None of the Directors and/or Key Managerial Persons of the Company and
/ Key Managerial Personnel their relatives are related to Dr Mukund Govind Rajan.
Qualification B Tech (IIT Delhi), M Phil (Oxford University), Phd (Oxford University)
Expertise in area / Experience Corporate Governance, Management & Administration. Also refer to the
section on skill sets as contained in the Corporate Governance Report.
Number of Shares held in the Company He does not have any shareholding in the Company. Further he does not hold
(including shareholding as a beneficial owner) any beneficial interest in the equity shares of the Company.
Annual Report.
001 CORPORATE
STATEMENTS
073
Name Dr Mukund Govind Rajan (continued)
Nil 1. Waterfield Fund Managers Private Limited
2. Ecube Investment Advisors Private Limited
3. Waterfield Advisors Private Limited
4. Waterfield Foundation
5. The Rajan Family Charitable Foundation
6. Waterfield International IFSC Private Limited
7. One Planet Partners Private Limited
Chairman / Membership in other Listed:
committees of the Board 1. L akshmi Machine Works Limited: Chairman of Audit Committee, Nomination
and Remuneration Committee and Risk Management Committee.
Name Sri Aditya Himatsingka

Date of Birth/Nationality 24th March 1964 / Indian
Inter-se relationship with other Directors None of the Directors and/or Key Managerial Personnel of the Company and
/ Key Managerial Personnel their relatives are related to Sri Aditya Himatsingka.
Qualification B Com (Hons), MS (Textiles)
Expertise in area / Experience Textiles, Management & Administration. Also refer to the section on skill sets
as contained in the Corporate Governance Report.
Number of Shares held in the Company He does not have any shareholding in the Company. Further he does not hold
Annual Report.
1.
Coromandel International Limited 1. An Vivaar LLC
2. Everfast Inc
committees of the Board Lakshmi Machine Works Limited: Chairman of Stakeholders Relationship
1.
Committee, Member of Audit Committee, Corporate Social Responsibility
Committee and Risk Management Committee.
2. Coromandel International Limited: Member of Audit Committee.
074
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Name Justice (Smt) Chitra Venkataraman (Retd.)
Date of Birth/Nationality 22nd April 1952 / Indian
Date of appointment on the Board 02nd February 2015
/ Key Managerial Personnel their relatives are related to Justice (Smt) Chitra Venkataraman (Retd.).
Qualification BA BL
Expertise in area / Experience Legal & Administration. Also refer to the section on skill sets as contained in
the Corporate Governance Report.
Number of Shares held in the Company She does not have any shareholding in the Company. Further, she does not
(including shareholding as a beneficial owner) hold any beneficial interest in the equity shares of the Company.
Board Position Held Non-Executive and Independent Woman Director
Annual Report.
Remuneration proposed to be paid She is entitled for payment of sitting fees for attending the Meetings of the
Board and its Committees. She shall also be paid Commission on Net Profits
1. The Ramco Cements Limited Nil
2. Ramco Industries Limited
3. Super Sales India Limited
committees of the Board 1. Lakshmi Machine Works Limited: Member of Audit Committee,
Nomination and Remuneration Committee, Risk Management Committee
and Stakeholders Relationship Committee.
The Ramco Cements Limited: Chairperson of Nomination and
2.
Remuneration Committee and Stakeholders Relationship Committee.
Member of Risk Management Committee, Corporate Social Responsibility
Committee and Audit Committee.
Ramco Industries Limited: Member of Audit Committee and Stakeholders
3.
Relationship Committee.
Name Sri Venkataramani Anantharamakrishnan

Date of Birth/Nationality 19th March 1968/ British
Date of appointment on the Board Proposed to be appointed as an Independent Director, subject to approval
of Shareholders, with effect from 5th August 2024.
/ Key Managerial Personnel their relatives are related to Sri Venkataramani Anantharamakrishnan.
Qualification B.E. & M.B.A
Expertise in area / Experience Technical, Management, Projects, Human Resources
001 CORPORATE
STATEMENTS
075
Name Sri Venkataramani Anantharamakrishnan (continued)
The skills and capabilities required for the Refer to the explanatory statement for Item No. 7.
role and the manner in which the proposed
person meets such requirements
Number of Shares held in the Company He does not have any shareholding in the Company. Further, he does not hold
Board Position Held Proposed to be appointed as an Independent Director, subject to approval of
Shareholders, with effect from 5th August 2024.
Terms and conditions of appointment The appointment shall be governed by the Resolution being passed by the
Shareholders at this Annual General Meeting.
Remuneration paid for the financial year Nil
Board and its Committees. He shall also be paid a Commission on the Net
Profits of the Company as decided by the Board of Directors within the limits
as approved by the Shareholders.
Number of Board Meetings attended Nil
during the year
1. IP Rings Limited 1. India Pistons Limited
2. Avalon Technologies Limited 2. George Oakes Limited
3. Shanthi Gears Limited 3. Amalgamation Repco Limited
4. Parry Enterprises India Limited
5. Amalgamations Private Limited
6.
Edutech NTTF India Private
Limited
7. IPR Eminox Technologies Private
Limited
committees of the Board IP Rings Limited: Member of the Stakeholders Relationship Committee,
1.
Corporate Social Responsibility Committee and Share Transfer Committee.
2. Avalon Technologies Limited: Member of Audit Committee.
Name Smt Pushya Sitaraman

Date of Birth/Nationality 23rd December 1953 / Indian
Date of appointment on the Board Proposed to be appointed as an Independent Woman Director, subject to
approval of Shareholders, with effect from 5th August 2024.
/ Key Managerial Personnel their relatives are related to Smt Pushya Sitaraman.
Qualification BA BL
Expertise in area / Experience Legal, Taxation and Administration
The skills and capabilities required for the Refer to the explanatory statement for Item No. 8.
role and the manner in which the proposed
person meets such requirements
Number of Shares held in the Company She does not have any shareholding in the Company. Further, she does not
(including shareholding as a beneficial owner) hold any beneficial interest in the equity shares of the Company.
076
ANNUAL
REPORT 2023-24
Name Smt Pushya Sitaraman (continued)
Board Position Held Proposed to be appointed as an Independent Woman Director, subject to
approval of Shareholders, with effect from 5th August 2024.
Terms and conditions of appointment The appointment shall be governed by the Resolution being passed by the
Shareholders at this Annual General Meeting.
Remuneration paid for the financial year Nil
Remuneration proposed to be paid She is entitled for payment of sitting fees for attending the Meetings of the
Board and its Committees. She shall also be paid a Commission on Net Profits
Number of Board Meetings attended Nil
during the year
1. The Western India Plywoods Limited 1. Kohinoor Saw Mills Co Limited
2. Southern Veneers and
Woodworks Limited
3. Asirvad Micro Finance Limited
4. Mayabandar Doors Limited
5. Shiksha Financial Services India
Private Limited
committees of the Board The Western India Plywoods Limited: Member of Audit Committee,
1.
Chairperson of Nomination & Remuneration Committee and the
Stakeholders Relationship Committee.
001 CORPORATE
STATEMENTS
077
ANNEXURE TO NOTICE OF AGM
Statement of information as per Schedule V of the Companies Act, 2013
Relevant to appointment of Directors and payment of remuneration to Executive/Non-Executive Directors of the Company.
I. GENERAL INFORMATION
1. Nature of Industry
Engineering Industry
2. Date or expected date of commencement of commercial production.
The Company was incorporated on 14th September 1962 and commenced commercial production subsequently in the
same year.
3. In case of new companies, expected date of commencement of activities as per project approved by financial
institutions appearing in the prospectus.
Not Applicable
4. Financial performance based on given indicators. (C in Crores, except EPS)
Particulars 2023-24 2022-23
Total income 4,738.94 4,689.26
Profit/ (Loss) before tax after exceptional items 479.88 485.41
Profit/ (Loss) after tax 371.38 350.21
Paid-up equity capital 10.68 10.68
Reserves and Surplus* 2,407.70 2,140.15
Basic Earnings Per Share 347.64 327.82
*Forms part of Other Equity
5. Foreign Investments or collaborations, if any.

Refer to Note Number 5 Investments of the Standalone Financial Statements.
II. INFORMATION ABOUT THE DIRECTORS
a. Sri Sanjay Jayavarthanavelu, Chairman and Managing Director
Background Details Sri Sanjay Jayavarthanavelu is the Chairman and Managing Director of
the Company. His present tenure as Managing Director commenced
from 1st April 2022 for a period of 5 years. Currently he is responsible
for overall operations of the entire organisation.
Past Remuneration Kindly refer to the Corporate Governance Report.
Recognition/Awards For nearly three decades Sri Sanjay Jayavarthanavelu has been both
a Member and/ or Chairman of various prestigious industrial bodies/
association. He has also been suitably recognised by various forums/
industrial bodies/ association(s) for his contribution to the cause of
industrial growth and development.
Job Profile and Suitability Sri Sanjay Jayavarthanavelu as Chairman and Managing Director shall
have all the powers and duties as the Board may determine from time
to time. He has nearly three decades of suitable experience in the
fields of textile, textile engineering, machine tools, foundry, aerospace,
logistics, finance and administration.
Remuneration Proposed The details of the remuneration proposed to be paid to Sri Sanjay
Jayavarthanavelu has been set out in Item No. 5 of the Notice.
Comparative remuneration profile with Taking into consideration the size of the Company, the responsibility
respect to industry, size of the Company, shouldered and the industry standard, the remuneration paid /
profile of the position and person (in case proposed to be paid is commensurate with the remuneration package
of expatriates the relevant details would be paid to Managerial Personnel in a similar role in other companies.
with respect to the country of his/her origin)
078
ANNUAL
REPORT 2023-24
Pecuniary relationship directly or indirectly Sri Sanjay Jayavarthanavelu is the Promoter of the Company. He is
with the Company, or relationship with the related to Sri Jaidev Jayavarthanavelu, Wholetime Director of the
Managerial Personnel, if any Company.
b. Sri S Pathy, Non-Executive and Non-Independent Director

Background Details Has about five decades of experience in the fields of textile, textile
engineering, finance and administration.
Recognition/Awards Has been recognised by suitable forums/ industrial bodies/
association(s) for his contribution towards industrial growth and
development.
Job Profile and Suitability As the Non-Executive and Non-Independent Director on the Board, he
has all the powers and duties as the Board may determine from time to
time. He possesses skill sets as detailed in the Corporate Governance
Report which are commensurate with the Board position held in the
Company.
Remuneration Proposed The details of the remuneration proposed to be paid has been set out
in Item No. 4 of the Notice.
of expatriates the relevant details would be paid to Board Members in a similar role in other companies.
Pecuniary relationship directly or indirectly He is a part of the Promoter Group. No pecuniary relationship with any
with the Company, or relationship with the other Director and/or Key Managerial Personnel of the Company.
Managerial Personnel, if any
c. Sri Aroon Raman, Independent Director

Background Details Has over three decades of experience in varied fields of technology,
operations, general management, research & development
development.
Job Profile and Suitability As an Independent Director on the Board, he has all the powers and
duties as the Board may determine from time to time. He possesses
skill sets as detailed in the Corporate Governance Report which are
commensurate with the Board position held in the Company.
of expatriates the relevant details would be paid to Board Members in a similar role in other Companies.
Pecuniary relationship directly or indirectly He is not directly/indirectly related to any other Director and/or Key
with the Company, or relationship with the Managerial Personnel of the Company.
001 CORPORATE
STATEMENTS
079
d. Sri Arun Alagappan, Independent Director
Background Details He has two and half decades of varied multi-functional experience
across a wide spectrum of industries.
development.
e. Dr Mukund Govind Rajan, Independent Director

Background Details Has suitable experience in the fields of Corporate Governance,
Management & Administration.
development.
f. Sri Aditya Himatsingka, Independent Director

Background Details Has suitable experience in the fields of textile, textile engineering,
finance and administration.
080
ANNUAL
REPORT 2023-24
development.
g. Justice (Smt) Chitra Venkataraman (Retd.), Independent Woman Director

Background Details Has suitable experience in the fields of Law & Administration. Is a
retired Judge of the Madras High Court.
Recognition/Awards Has been recognised by suitable forums/association(s) for her
contribution to the legal profession.
Job Profile and Suitability As an Independent Director on the Board, she has all the powers and
duties as the Board may determine from time to time. She possesses
Pecuniary relationship directly or indirectly She is not directly/indirectly related to any other Director and/or Key
h. Sri Venkataramani Anantharamakrishnan (proposed to be appointed as an Independent Director, subject to approval

from Shareholders, with effect from 5th August 2024)
Background Details Has suitable experience in the fields of Technical, Management,
Projects and Human Resources.
Past Remuneration Nil
Recognition/Awards Has been recognised by suitable forums/association(s) for his
contribution to Human Resources.
Job Profile and Suitability As an Independent Director on the Board, he will have all the powers
and duties as the Board may determine from time to time.
Remuneration Proposed The remuneration payable upon appointment as an Independent
Director shall be in line with the details of the remuneration proposed
to be paid as set out in Item No. 4 of the Notice.
001 CORPORATE
STATEMENTS
081
respect to industry, size of the Company, shouldered and the industry standard, the remuneration paid/
i. Smt Pushya Sitaraman, (proposed to be appointed as an Independent Woman Director, subject to approval from
Shareholders, with effect from 5th August 2024)
Background Details Has suitable experience in the fields of Law, Taxation & Administration.
Past Remuneration Nil
Recognition/Awards Has been recognised by suitable forums/association(s) for her
contribution to the legal profession.
Job Profile and Suitability As an Independent Director on the Board, she will have all the powers
and duties as the Board may determine from time to time.
Remuneration Proposed The remuneration payable upon appointment as an Independent
Director shall be in line with the details of the remuneration proposed
to be paid as set out in Item No. 4 of the Notice.
Pecuniary relationship directly or indirectly She is not directly/indirectly related to any other Director and/or Key
III. OTHER INFORMATION

1. Reasons for loss or inadequate profits
Not applicable as the Company has earned a profit during the year. However, the Company foresees a situation where it
may have loss or inadequacy of profits in the ensuing financial years owing to economic and business slowdown caused
by various external factors.
2. Steps taken or proposed to be taken for improvement.
Not applicable
3. Expected increase in productivity and profits in measurable terms.
Not applicable
IV. DISCLOSURES
(i) All elements of remuneration package such as salary, benefits, bonuses, stock options, pension etc. of all the
directors:
Please refer to the Section titled “Directors Remuneration” as contained in the Corporate Governance Report.
(ii) Details of fixed component and performance linked incentives along with the performance criteria:
(iii) Service contracts, notice period, severance fees:
(iv) Stock option details, if any, and whether the same has been issued at a discount as well as the period over which
accrued and over which exercisable:
The Company has not issued any Stock Options.
082
ANNUAL
REPORT 2023-24
Board of Directors’
Report to Shareholders
Dear Shareholders,
The Board of Directors of your Company are pleased to present the 61st Annual Report on the Business of the Company along
with the Standalone summary of Financial Statements for the year ended 31st March 2024.
1. The State of Affairs of the Company, Reserve and Dividend

The Board has prepared its report based on the Standalone Financial Statements of the Company and the Annual Report
contains a separate section wherein a report on the Performance and Financial position of its Wholly Owned Subsidiary
Companies are presented in Form AOC-1.
Financial Summary/highlights and transfer to General Reserve (H in Crores)
Sl. Current Year Previous Year
Particulars
No 2023-24 2022-23
1 Total Income 4,738.94 4,689.26
2 Operating Expenses 4,167.32 4,130.42
3 Exceptional Items - -
4 Gross Profit 571.62 558.84
5 Depreciation 91.74 73.43
6 Profit before Tax 479.88 485.41
7 Provision for Tax 108.50 135.20
8 Net Profit after Tax 371.38 350.21
The Company’s Gross Turnover is at H4,520.17 Crores during for a period of 7 years has been transferred to the credit of
the year compared to H4,456.69 Crores in the previous year. the Demat Account identified by the IEPF Authority. As on
31st March 2024, 53,536 Equity Shares of the Company were
TRANSFER TO RESERVE:
in the credit of the Demat Account of the IEPF Authority.
The Company has transferred a sum of H37 Crores out of
the current year profits to the General Reserve. Pursuant to Regulation 43A of SEBI (Listing Obligations
and Disclosure Requirements) Regulations, 2015, the
Dividend:
Company has formulated a Dividend Distribution Policy
The Board recommends a dividend of H75/- per Equity
which has been duly approved by the Board of Directors.
Share having a face value of H10/- each (750%) on the
A copy of the Dividend Distribution Policy is available on
Equity Share Capital of H10,68,30,000/- for the year ended
the Company’s website www.lmwglobal.com.
on 31st March 2024 aggregating to H80.12 Crores. As per
Finance Act, 2020, the Dividend is taxable in the hands of STATE OF AFFAIRS
the Shareholders. Dividend on Equity Shares is subject to OPERATIONS
the approval of the Shareholders at the ensuing Annual A detailed overview of the global and Indian economy has
General Meeting. been provided in the Management Discussion and Analysis
Report. Also, the state of affairs of each division during the
The Unclaimed Dividend relating to the Financial Year
year under review has been provided in detail within the
2016-17, is due for transfer during October 2024 to the
same report.
Investor Education and Protection Fund (IEPF) established
by the Central Government. During the year under review, Overall, the Company’s Gross Turnover increased by 1.42%
as per the requirements of the Investor Education and from H4,456.69 Crores in 2022-23 to H4,520.17 Crores in
Protection Fund Authority (Accounting, Audit, Transfer 2023-24; the Profit before exceptional items and Tax stood
and Refund) Rules, 2016, (IEPF Rules) 200 Equity Shares of at H479.88 Crores in FY 2023-24 as against H485.41 Crores
H10/- each on which Dividend had remained Unclaimed in FY 2022-23.
001 CORPORATE
STATEMENTS
083
The Net Profit after Tax for Financial Year 2023-24 was H371.38 residential apartments in the proposed project. Parties to
Crores as against H350.21 Crores for the FY 2022-23. the agreement are in the process of obtaining necessary
statutory approvals and the project is yet to commence.
FOUNDRY DIVISION (FDY)
The Foundry Division reported a Turnover of H105.18 Crores EXPORTS
in 2023-24 as against H95.70 Crores registered in 2022-23, The Export Turnover of the Company during the year under
an increase of 9.90%. Exports accounted for 18.40% of the review is as follows:
division’s Turnover.
(H in Crores)
TEXTILE MACHINERY DIVISION (TMD) Particulars 2023-24 2022-23
During the year under review, the Textile Machinery Division Textile Machinery 564.46 859.48
had a Turnover of H3,440.96 Crores in 2023-24 as against CNC Machine Tools 2.73 6.73
H3,486.99 Crores registered in 2022-23, an decrease of 1.32% Castings 19.40 22.05
over the previous year. Aerospace Parts 132.25 87.08
Total Exports 718.84 975.34
MACHINE TOOL DIVISION (MTD)
The Machine Tool Division reported a Turnover of H831.89 Export of Textile Machinery as stated above includes exports
Crores in 2023-24 as against H779.19 Crores registered in worth H178.18 Crores made to its Wholly Owned Subsidiary
2022-23, an increase of 6.76% over the previous year. Companies, LMW Textile Machinery (Suzhou) Co. Ltd., China
and LMW Global FZE (formerly known as LMW Middle East
ADVANCED TECHNOLOGY CENTRE (ATC) FZE), United Arab Emirates. Amongst other countries, the
Advanced Technology Centre had a Turnover of H142.14 Company’s products are primarily exported to countries in
Crores in 2023-24 as against H94.81 Crores achieved in Asia and Africa.
2022-23. Other income during the period under review was
H18.05 Crores as against H15.94 Crores in the previous year. RESEARCH AND DEVELOPMENT
The Research and Development efforts of the Company are
RENEWABLE ENERGY DIVISION focused on:
The Company has a policy of tapping renewable resources
1. Developing eco-friendly, sustainable, energy efficient,
for power generation. The Company has the necessary
low carbon footprint technology.
infrastructure in place to generate electricity from wind and
solar resources. This helps the Company to meet its own 2. Developing technology for production of innovative
energy requirements mostly from sustainable sources. machinery.
3. Developing end-use products at optimal cost.
As on 31st March 2024, the Company had 28 Wind Energy
Generators (WEG) with a total power generation capacity of Separate Research and Development units have been
36.80 MW. Cumulatively, windmills have generated 745.92 established for the development of Textile Machinery and
Lakh units of power during 2023-24. CNC Machine Tools. Both these facilities have been recognised
by the Department of Science and Technology, Government
During the year under review, in the month of January 2024, the of India as in-house R&D facilities.
Company had installed 5MW of new Solar Power Generating
facility at Vadasithur, Coimbatore, Tamil Nadu. Including this During the year under review, the Company has filed
new addition, the Company has in total 15MW of Solar Power applications for 7 new patents in India. Further, 26 patent
Generating capacity. As on 31st March 2024 these facilities applications were filed in overseas countries for which
have generated 231.43 Lakh units of power. applications were already filed by the Company in India.
Also, during the period under review, the Company has filed 3
About 77.76% of energy demand of the Company has been applications in India and 4 applications were filed in overseas
met through renewable energy and thereby helping the countries for Industrial Design.
Company to reduce its power cost and its carbon footprint.
AWARDS
OTHER DEVELOPMENTS Some of the important awards bagged by the Company
The Company had entered into a Joint Development during the Financial Year 2023-24:
Agreement with M/s Infinium Developers LLP to develop
1. CII recognition of the Company as one among the Top
residential villas and apartments on the Company’s land
50 innovative companies in India.
measuring 4.21 acres located at Keeranatham Village, Annur
Taluk, Coimbatore District. The Company will have a revenue 2. Textile Machinery Manufacturers Association’s Segment
share of 24.50% from residential villas and 17.50% from Export Award for the year 2022-23.
084
ANNUAL
REPORT 2023-24
3. Textile Machinery Manufacturers Association’s R&D The Turnover of the Company during the year under
Award for the products Card LC631S and LC636S review was H249.13 Crores as against H120.49 Crores
achieved during the previous year. During the year, the
During the year under review, the Company’s Foundry
Company has achieved a Net Profit of H14.93 Crores
Division has received the GreenCo Platinum certification from
as against a Net Profit of H8.12 Crores during the
the Confederation of Indian Industry..
previous year.
INDUSTRIAL RELATIONS
The Consolidated Financial Statements incorporating
Relationship with employees were cordial throughout
the Financial Statements of the Wholly Owned
the year.
Subsidiary Companies are attached to the Annual Report
SUBSIDIARY COMPANIES as required under the applicable Indian Accounting
I. LMW TEXTILE MACHINERY (SUZHOU) CO. LTD., CHINA Standard(s) and the SEBI (Listing Obligations and
The Turnover of the Company during the year under Disclosure Requirements) Regulations, 2015. The English
review was H27.63 Crores as against H272.22 Crores translated version of the Standalone Annual Financial
achieved during the previous year. During the year, Statements of LMW Textile Machinery (Suzhou) Co.
the Company had incurred a Net Loss of H12.65 Crores Ltd, China, Wholly Owned Subsidiary Company is
as against a Net Profit of H23.76 Crores during the posted on the Company’s website along with the
previous year. Annual Financial Statements of other Wholly Owned
Subsidiary Companies, namely, LMW Aerospace
II. LMW AEROSPACE INDUSTRIES LIMITED, INDIA Industries Limited, India and LMW Global FZE, United
As on date of this report, the Company is yet to Arab Emirates. Besides LMW Textile Machinery (Suzhou)
commence its operations. Co. Ltd., LMW Aerospace Industries Limited and LMW
Global FZE, the Company does not have any other
III. LMW GLOBAL FZE, UNITED ARAB EMIRATES
Subsidiary/ Joint Venture / Associate Company.
During the year under review, the name of the Company
was changed from “LMW Middle East FZE” to “LMW
Global FZE”.
2. Annual Return
The Annual Return of the Company for the Financial Year 2023-24 as required under Section 92(3) of the Act is available
on the website of the Company and can be accessed on the Company’s website at the link https://www.lmwglobal.com/
investors/financial-and-meeting-information/annual-general-meeting.html.
3. Number of Meetings of the Board
During the year under review, four (4) Meetings of the Board of Directors were held. Further details regarding the number
of Meetings of the Board of Directors and Committees thereof and the attendance of the Directors at such Meetings are
provided under the Corporate Governance Report.
4. Directors’ Responsibility Statement
The Directors’, based on representation received from the Operating Management, confirm that:
a) In the preparation of the Annual Accounts, the applicable Accounting Standards have been followed along with
proper explanation relating to material departures;
b) Have selected such accounting policies and applied them consistently and made judgments and estimates that
are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company at the end of
the Financial Year and of the Profit and Loss of the Company for that period;
c) Have taken proper and sufficient care for maintenance of adequate accounting records in accordance with the
provisions of the Act for safeguarding the assets of the Company and for preventing and detecting fraud and other
irregularities;
d) Have prepared the annual accounts on a going concern basis;
e) Have laid down Internal Financial Controls to be followed by the Company and that such Internal Financial Controls
are adequate and were operating effectively; and
f) Have devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems
were adequate and are operating effectively.
001 CORPORATE
STATEMENTS
085
5. Share Capital are not aware of any circumstance or situation, which
Authorised Share Capital 5,00,00,000 Equity Shares exists or may be reasonably anticipated, that could
of H10/- each impair or impact their ability to discharge their duties
Issued, Subscribed and 1,06,83,000 Equity Shares with an objective independent judgment and without
Paid-up Share Capital of H10/- each any external influence.
During the year under review, the Company The Independent Directors of the Company have
complied with the requirements of the provisions in
- Has not issued Equity Shares with differential
relation to the Independent Directors Databank as
rights as to dividend, voting or otherwise.
stated in the Companies (Creation and Maintenance
- Has not issued Equity Shares (including Sweat of Databank of Independent Directors) Rules, 2019
Equity Shares) to employees of the Company, and the Companies (Appointment and Qualification of
under any scheme. Directors) Rules, 2014 as amended from time to time.
- Has not resorted to any buyback of the Equity
Shares. 9. Explanation and Comments on Audit Report
The report of the Statutory Auditors (appearing
6. Details of application made or any proceeding elsewhere in this Annual Report) is self-explanatory
pending under the Insolvency and Bankruptcy having no adverse comments. In respect of the
Code, 2016 observation made by the Secretarial Auditors the
During the year, no applications have been made and same is self-explanatory. The Secretarial Audit Report
no proceedings are pending against the Company is annexed hereto as Annexure-1.
under the Insolvency and Bankruptcy Code, 2016.
Further, the Secretarial Compliance Report for the
7.
Nomination and Remuneration Committee financial year ended on 31st March 2024 will be filed with
and Policy the Stock Exchanges in which the Company’s equity
The Nomination and Remuneration Committee of shares are listed.
Directors has been formed and has been empowered
and authorised to exercise power as entrusted under There were no instances of fraud reported by the
the provisions of the Companies Act, 2013 and SEBI Auditors to the Central Government or to the Audit
(Listing Obligations and Disclosure Requirements), Committee of the Company as indicated under the
Regulations, 2015 (both as amended from time to provisions of Section 143 (12) of the Companies
time). The Company has a policy on Directors’ / Senior Act, 2013.
Management appointment and remuneration which
10. Particulars of Loans / Guarantee / Investments
specifies criteria for determining the qualification,
/ Deposits
positive attributes for Senior Management and
The Company has no Inter-Corporate Loans /
Directors. The policy also specifies the criteria for the
Guarantees. Information on investments of the
determination of independence of a Director and other
Company in the Shares of other companies is provided
matters provided under sub-section (3) of Section
under notes to Balance Sheet appearing elsewhere in
178 of the Companies Act, 2013. The Nomination and
this Annual Report. The amount of investment made by
Remuneration Policy is available on the Company’s
the Company does not exceed the limits as specified in
website at: https://www.lmwglobal.com/investors/
Section 186 of the Companies Act, 2013. The Company
Policies.html
has not accepted any Fixed Deposits.
8. Declaration by Independent Directors
11. Particulars of Contracts with Related Parties
The Independent Directors have submitted their
All the transactions of the Company entered into
disclosures to the Board indicating that they comply
with its Related Parties are at arm’s length basis and
with all the requirements that are stipulated in Section
have taken place in the ordinary course of business.
149(6) of the Companies Act, 2013 and Regulation
Pursuant to Regulation 23 of the SEBI (Listing
16(1)(b) of SEBI (Listing Obligations and Disclosure
Obligations and Disclosure Requirements) Regulations,
Requirements) Regulations, 2015 so as to qualify
2015, the Company had obtained the approval of the
themselves to act as Independent Directors in the
Shareholders to enter into material related party
Company. Further, they have also declared that they
transactions with one of its related parties.
086
ANNUAL
REPORT 2023-24
The particulars of Material Related Party Transactions 13. Scheme of Arrangement
which are at arm’s length basis is provided in Form During the review period, the Board of Directors of
AOC-2 and the same is annexed to the Boards’ Report the Company, considering the evolving business
as Annexure -2. A copy of the Related Party Transaction landscape, approved the proposal for withdrawing the
Policy of the Company is available on the Company’s Scheme of Arrangement between the Company and its
website www.lmwglobal.com wholly owned subsidiary, LMW Aerospace Industries
Limited. This scheme was previously pending before
12. Material Changes the Honourable National Company Law Tribunal,
There are no Material Changes or Commitments Chennai Bench (NCLT). Following the Board’s decision,
affecting the financial position of the Company the Company submitted an application to the NCLT
which have occurred between the end of the financial seeking withdrawal of the Scheme of Arrangement.
year of the Company to which the financial year Subsequently, the NCLT issued an order approving the
ended 31st March 2024 relate and the date of withdrawal. The Company has duly communicated this
the report. development to the Stock Exchanges.
14. Conservation of Energy, Technology Absorption and Foreign Exchange Earnings and outgo
The particulars pursuant to Section 134(3)(m) of the Companies Act 2013 read with Rule 8(3) of Companies (Accounts)
Rules, 2014 are as under:
STATEMENT FOR CONSERVATION OF ENERGY:

Sl.
Particulars Related Disclosures
No
(A) Conservation of Energy
(i) the steps taken or impact on conservation of Company has invested in energy conservation devices to
energy save power as detailed in point (iii) below.
(ii) the steps taken by the Company for utilising Company has installed windmills with a capacity of
alternate sources of energy. 36.80 MW. The Company also has a photo-voltaic solar
power generating facility with an installed capacity of
15 MW. The Company uses electricity generated from
renewable sources for captive power consumption.
(iii) the capital investment on energy conservation An amount of H28.50 Crores has been invested in renewable
equipment. energy during 2023-24 for increasing the renewable
energy generation by additional one crore energy units.
An amount of H50 Lakhs has been invested in Foundry
Division, for installing an energy efficient compressor,
resulting in savings of H34.70 Lakhs. Also in the Foundry
Division Compressor airline leakages were corrected and
a savings of H40.13 Lakhs was achieved. In the Textile
Machinery Division energy efficient pump motor, VFD
drives for motors and exhaust, LED bulbs, BLDC fans were
installed, and screw compressor replacement was done.
Also, use of diesel in canteen and powder coating facility
was eliminated, thereby use of about 1,49,600 litres of
diesel was avoided. This resulted in total cost savings of
H1.41 Crores and resulted in reduction of 1,540 ton/year of
CO2 emissions.
001 CORPORATE
STATEMENTS
087
TECHNOLOGY ABSORPTION, ADAPTATION AND INNOVATION
(B1) Technology Absorption - Foundry Division
(i) Efforts made towards technology absorption; Technical lectures in multiple subjects and specialisation/
skill building exercises, visit to benchmark foundries &
participation in Indian Institute of Foundrymen seminars
and exhibitions to absorb the best practices and new
technology.
(ii) Benefits derived like product improvement, 1. Ability to build heavy parts like Housing, Adaptor
cost reduction, product development or import Flange and Bearing Flange for windmills.
substitution; 2. Ability to build heavy parts like Hub for automobile
industry.
3. Alternative coating for core / mould that provide cost
advantage were developed.
4. Enhanced ability to make use of reclaimed sand.
5. System developed for collection & disposal of dust
through jumbo bags.
(iii) In case of imported technology (imported during
the last three years reckoned from the beginning of
the Financial Year):
a. the details of technology imported;
b. the year of import; Nil
c. whether the technology has been fully
absorbed;
d. if not fully absorbed, areas where absorption
has not taken place, and the reason thereof
(iv) Expenditure incurred on Research and Development Capital Expenditure: Nil
Revenue Expenditure: Nil
Total: Nil
(B2) Technology Absorption - Textile Machinery Division

(i) Efforts made towards technology absorption; 1. Technical guest lectures in various subjects and
specialisations/skill building exercises, in-depth IPR
analysis and review, theoretical simulation.
2. Adoption of IoT technology for industry 4.0 readiness.
(ii) Benefits derived like product improvement, 1. Development of Smart machines that are capable of
cost reduction, product development or import self-correction to ensure quality output.
substitution; 2. Improved automation across machinery to address the
shortage of skilled manpower.
3. Development of Spinconnect platform encompassing
IOT / AI.
4. Reduction in power consumption by machinery.
5. Import substitution of spindle inserts and yarn catcher.
6. Continuous value engineering efforts to control the
cost despite inflation.
Nil
b. the year of import;
c. whether the technology has been fully absorbed;
has not taken place, and the reason thereof;
(iv) Expenditure incurred on Research and Development Capital Expenditure: H4.98 Crores
Revenue Expenditure: H30.11 Crores
Total: H35.09 Crores
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ANNUAL
REPORT 2023-24
(B3) Technology Absorption - Machine Tool Division
(i) Efforts made towards technology absorption; Technical guest lectures in various subjects and,
specialisations / skill building exercises, in-depth IPR
analysis and review, theoretical simulation.
(ii) Benefits derived like product improvement, Product Improvement:
cost reduction, product development or import Rigidity improvement in Turning Centre / Machining
substitution; Centre, development / upgrade in product range to bridge
product gaps.
New Products under development:
New products are being developed in the product
verticals / variants such as CNC Turning Centre, Horizontal
Machining Centre and Vertical Machining Centre.
absorbed;
Revenue Expenditure: H4.86 Crores
Total: H4.86 Crores
(B4) Technology Absorption - Advanced Technology Centre

(i) Efforts made towards technology absorption; 1. Technical guest lectures on various subjects and
specialisations/skill building exercises.
2. Engaging with start-ups that are developing novel
products leads to understanding of emerging
technologies.
(ii) Benefits derived like product improvement, 1. Manufacture/development of components and sub-
cost reduction, product development or import assemblies using metal/composite materials.
substitution; 2. Identifying and developing the critical & high-value
adding processes in-house.
absorbed;
Revenue Expenditure: Nil
Total: Nil
001 CORPORATE
STATEMENTS
089
FOREIGN EXCHANGE EARNINGS AND OUTGO: 2. Smt Pushya Sitaraman (DIN: 06537196), as an
(H in Crores) Independent Woman Director of the Company for
a period of 5 consecutive years commencing from
Foreign Exchange Earned 720.81
5th August 2024 and not liable to retire by rotation.
Foreign Exchange Outgo 374.71
Further details and information regarding the same can
15. Risk Management
be found in the Notice to Shareholders forming a part
The Company follows a comprehensive and integrated
of the Annual Report.
risk appraisal, mitigation and management as stated
in its Risk Management Policy. The identified elements The following changes happened during the period
of Risk and Risk Mitigation measures are periodically under review:
reviewed / revised by the Board of Directors as and
when the need arises. The Board of Directors have also 1. Sri K Soundhar Rajhan (DIN: 07594186), retired by
constituted a Risk Management Committee to oversee rotation at the 60th Annual General Meeting held
the Risk Management process. on 31st July 2023, The vacancy caused on account
of his resignation was not filled by the Board.
16. Corporate Social Responsibility (CSR)
2. Sri Jaidev Jayavarthanavelu (DIN: 07654117) was
The Company has constituted a CSR Committee
appointed as Wholetime Director of the Company
of the Board of Directors and has adopted a CSR
by the Board of Directors at their meeting held
Policy. The same is posted on the Company’s website
on 24th May 2023, for a period of Five years
www.lmwglobal.com. A report in the prescribed format
commencing from 7th August 2023 and the same
detailing the CSR expenditure for the Financial Year
was approved by the Shareholders at the 60th
2023-24 is attached herewith as Annexure - 3 and forms
Annual General Meeting of the Company held on
a part of this report.
31st July 2023.
17. Evaluation of Board’s Performance 3. Sri M Sankar (DIN: 10362673) was appointed
On the advice of the Board of Directors, the Nomination as Wholetime Director (designated as Director
and Remuneration Committee of the Board of Directors Operations) by the Board of Directors at their
of the Company have formulated the criteria for meeting held on 25th October 2023, for a
evaluation of the performance of each individual period of Three (3) years commencing from
Director, Board as a whole, Committees of the Board, 25th October 2023, subject to the approval of the
Independent Directors, Non-Independent Directors Shareholders. The approval from Shareholders
and the Chairman of the Board based on the criteria was subsequently obtained through Postal Ballot
of evaluation as specified by SEBI. Based on these dated 16th December 2023.
criteria the performance evaluation process has been
undertaken. The Independent Directors of the Company 4. Sri T C Suseel Kumar (DIN: 06453310) resigned
had also convened a separate Meeting for this purpose from the post of Nominee Director of Life
on 12th February 2024. The results from this evaluation Insurance Corporation of India with effect from
process have been communicated to the Chairman of 26th January 2024, on completion of his nomination
the Board of Directors. tenure.
Besides the above changes, there were no other
18. Directors and Key Managerial Personnel changes in the Directors and Key Managerial Personnel
The Nomination and Remuneration Committee and of the Company.
the Board of Directors at their respective meetings held
Sri S Pathy (DIN: 00013899), who retires by rotation at the
on 27th May 2024, after considering the qualifications,
ensuing Annual General Meeting, being eligible offers
credentials and the required criteria as per statutory
himself for reappointment. The Board recommends his
requirements, have recommended to the Shareholders
reappointment.
for their approval, the proposal for appointment of:
1. Sri Venkataramani Anantharamakrishnan 19. Audit Committee / Whistle Blower Policy
(DIN: 00277816), as an Independent Director of The Audit Committee was formed by the Board of
the Company for a period of 5 consecutive years Directors’, and it consists of:
commencing from 5th August 2024 and not liable 1. Dr Mukund Govind Rajan, Chairman (Non-Executive
to retire by rotation. and Independent)
090
ANNUAL
REPORT 2023-24
2. Sri Aditya Himatsingka, Member (Non-Executive 20. Prevention of Sexual Harassment of Women at
and Independent) the Workplace
3. Justice (Smt) Chitra Venkataraman (Retd.), Member The Company has complied with the provisions
(Non-Executive and Independent) relating to the constitution of the Internal Complaints
Committee under the Sexual Harassment of Women at
The Board has accepted the recommendations of the Workplace (Prevention, Prohibition and Redressal) Act,
Audit Committee and there was no incident of deviation 2013. Information regarding the same is also provided
from such recommendations during the Financial in the Corporate Governance Report forming part of
Year under review. The Company has devised a vigil Directors’ Report.
mechanism in the form of a Whistle Blower Policy in
pursuance of provisions of Section 177(10) of the 21. Listing of Shares
Companies Act, 2013 and details thereof is available The Shares of the Company are listed on BSE Limited
on the Company’s website at www.lmwglobal.com. and the National Stock Exchange of India Limited.
During the year under review, there were no complaints Applicable listing fees have been paid up to date.
received under this mechanism. The Shares of the Company have not been suspended
from trading at any time during the year by the
concerned Stock Exchanges.
22. Overall Maximum Remuneration

Particulars pursuant to Section 197(12) and Rule 5(1) of Companies (Appointment and Remuneration of Managerial
Personnel) Rules:
a. The ratio of the remuneration of each Director to the median employee’s remuneration for the Financial Year and
such other details as prescribed is as given below:
Director Category of Directorship Ratio
Sri Sanjay Jayavarthanavelu Executive and Non -Independent 249.48
Sri S Pathy Non-Executive and Non-Independent 1.15
Sri Aditya Himatsingka Non-Executive and Independent 1.15
Dr Mukund Govind Rajan Non-Executive and Independent 1.15
Sri T C Suseel Kumar1 (until 26th January 2024) Non-Executive and Non-Independent, Nominee 1.15
of Life Insurance Corporation of India (LIC)
Justice (Smt) Chitra Venkataraman (Retd.) Non-Executive and Independent (Woman) 1.15
Sri Arun Alagappan Non-Executive and Independent 1.15
Sri K Soundhar Rajhan (until 31st July 2023) Executive and Non-Independent 6.61
Sri Aroon Raman Non-Executive and Independent 1.15
Sri Jaidev Jayavarthanavelu Executive and Non-Independent 7.66
(with effect from 07th August 2023)
Sri M Sankar (with effect from 25th October 2023) Executive and Non-Independent 7.70
Note: Sitting Fees paid to the Directors is not considered as remuneration.
1Sitting fee amount was paid to Sri T C Suseel Kumar and the Commission amount was paid to Life Insurance Corporation of India
(LIC) based on communication received from LIC.
b. The percentage increase in remuneration of each Director, Chief Financial Officer and Company Secretary in the
Financial Year:
Director Category of Directorship % increase
Sri Sanjay Jayavarthanavelu Executive and Non-Independent -3.46
Sri S Pathy Non-Executive and Non-Independent -
Sri Aditya Himatsingka Non-Executive and Independent -
Dr Mukund Govind Rajan Non-Executive and Independent -
Sri T C Suseel Kumar1 (until 26th January 2024) Non-Executive and Non-Independent, Nominee -
of Life Insurance Corporation of India (LIC)
Justice (Smt) Chitra Venkataraman (Retd.) Non-Executive and Independent (Woman) -
Sri Arun Alagappan Non-Executive and Independent -
001 CORPORATE
STATEMENTS
091
Director Category of Directorship % increase
Sri K Soundhar Rajhan2 (until 31st July 2023) Executive and Non-Independent NA
Sri Aroon Raman3 Non-Executive and Independent NA
Sri Jaidev Jayavarthanavelu4 (with effect from 7th Executive and Non-Independent NA
August 2023)
Sri M Sankar5 (with effect from 25th October 2023) Executive and Non-Independent NA
Key Managerial Personnel Designation % increase
Sri V Senthil Chief Financial Officer 10.05
Sri C R Shivkumaran Company Secretary 5.70
1 Sitting fee amount was paid to Sri T C Suseel Kumar and the Commission amount was paid to Life Insurance Corporation of India
(LIC) based on communication received from LIC.
2 Retired from the Board on 31st July 2023. Hence not comparable with previous year.
3 Previous year commission was paid for a part of the year.
4 Was designated as Non-Executive and Non-Independent Director until 6th August 2023.
5 Previous year figures not available.
Note: Sitting fees paid to the Directors is not considered as remuneration. The remuneration details are for the year 2023-24

(Previous Year: 2022-23).
c. The Percentage increase in the median remuneration of employees in the Financial Year: 6.57%
d. The number of permanent employees on the rolls of Company: 3,590
e. Average percentile increase in the salaries of employees other than the managerial personnel in the last Financial
Year is 9%. Average percentile increase in the managerial remuneration is -2% on account of decrease in profit linked
remuneration.
f. Affirmation that the remuneration is as per the remuneration policy of the Company: Yes
g. Particulars of Employees as per [Rule 5(2) and Rule 5(3) of Companies (Appointment and Remuneration of Managerial
Personnel Rules), 2014]:
Particulars of Employees whose salary is not less than Rupees One Crore and Two Lakhs:
Table 1 1, 2 & 3
Date of
Name Remuneration Commencement Previous
Designation Qualification
(Age in Years) (in D) of employment Employment
(experience in years)
Sri Sanjay Chairman 21,74,76,580 MBA 03rd June 1994 -
Jayavarthanavelu and Managing (29 years)
(55 years) Director
Sri K Soundhar Chief Strategy 2,20,51,416 B.Sc 09th July 1973 The Kovilpatti
Rajhan4 Officer (50 years) Lakshmi Roller
(75 years) Flour Mills Limited
Sri M Sankar5 Director 1,63,92,885 B.Tech 21st August 1985 Star Marketing
(66 years) Operations (38 years) Services Limited
(with effect from
25th October 2023)
Sri N Krishna Kumar President – 1,05,76,904 B.E., M.E. 01st July 1983 -
(66 years) ATC & FDY (40 years)
1
The remuneration includes the Company’s contribution to provident fund, gratuity and perquisites.
2
The remuneration details are for the Financial Year 2023-24 and all other particulars are as on 31st March 2024.
3
Also refer to note 2 & 3 under Table 2.
4
Was designated as Director Operations until 31st July 2023.
5
Was designated as President – TMD till 24th October 2023.
092
ANNUAL
REPORT 2023-24
Details of employees in receipt of Remuneration / Salary for any part of the year, at a rate which, in the aggregate, was
not less than H8,50,000/- per month: Nil
Particulars of Top Ten employees in terms of remuneration drawn: Table 2 1,2,3,4 & 5
Date of
Name Remuneration Commencement Previous
Designation Qualification
(Age in Years) (in D) of employment Employment
(experience in years)
Sri V Senthil Chief Financial 82,71,734 B.Com., ACA. 23rd January 2015 LMW Textile
(45 years) Officer (9 years) Machinery
(Suzhou)
Company Limited
Sri R Hari Krishna Vice President - IT 71,83,981 BE. 19th August 2019 Tata Projects
(54 years) (4 years) Limited
Sri S Rajasekaran Senior Vice 68,55,147 DTT., AMIE., 2nd May 1986 VR Textiles
(57 years) President - M. Tech., DBM. (38 years)
TMD, R & D
Sri R Murali Head - TMD Spares 68,06,298 DME., B Tech. 01st February 2022 Ashok Leyland
(55 years) & Services (2 years) Ltd
Sri Indraneel Vice President - 64,89,532 DME. 08th February 1993 Batliboi &
Bhattacharya MTD - Marketing (31 years) Company Limited
(59 years) & Sales
Sri P Ananthan Vice President - 64,24,504 BE. 17th August 1989 -
(55 years) Administration (34 years)
Sri Sanjay Ahuja Head - Human 63,96,279 BE., MBA. 03rd May 2021 TVS Motor
(44 years) Resources (3 years) Company Limited
Sri Jaidev Wholetime 63,23,226 BA (Hons). 7th August 2023 -
Jayavarthanavelu5 Director
(25 years)
Ms Shah Sonal Senior General 60,61,632 BA., PGDBM 17th August 2022 Seclore
Manilal Manager – IT (Marketing). (1 year) Technology
(41 years) Digital Marketing Private Limited
Sri P Elangovan Associate Vice 58,59,671 DME., 07th May 2018 Wabco India
(50 years) President B Tech., MS., (6 years) Limited
PG Diploma.
1
T he remuneration includes Company’s contribution to provident fund, gratuity and perquisites. The nature of employment of the
employees is as per their terms of appointment.
2
As at 31st March 2024, no employee is a relative (in terms of the Companies Act, 2013) of any other Director of the Company.
3
No employee of the Company is covered by Rule 5(2) (iii) of the Companies (Appointment and Remuneration of Managerial Personnel)
Rules, 2014, that is employee, holding by himself or along with his spouse and dependent children, shares of 2% or more in the Company
and drawing remuneration in excess of the remuneration paid to Chairman and Managing Director.
4
The remuneration details are for the Financial Year 2023-24 and all other particulars are as on 31st March 2024.
5
Appointed as Wholetime Director with effect from 7th August 2023. Sri Jaidev Jayavarthanavelu is the son of Sri Sanjay Jayavarthanavelu,
Chairman and Managing Director.
23. Corporate Governance 24. Auditors

As per Schedule V of the SEBI (Listing Obligations and Statutory Auditor
Disclosure Requirements) Regulations, 2015, a separate Consequent to the approval of the Shareholders at
section on Corporate Governance practices followed their Annual General Meetings held during 2021
by the Company is provided elsewhere in this Report. & 2022 respectively, M/s S Krishnamoorthy & Co.,
A report of the Statutory Auditors of the Company Chartered Accountants, with Sri B Krishnamoorthi and
confirming the compliance of conditions of Corporate / or Smt V Indira as signing partners were appointed as
Governance as required by SEBI (Listing Obligations and Statutory Auditors of the Company for a second term
Disclosure Requirements) Regulations, 2015 is annexed of 5 (five) consecutive financial years commencing
to this report as Annexure - 4 and forms a part of the from the financial year 2021-22 and shall hold office
report.
001 CORPORATE
STATEMENTS
093
from the conclusion of 58th Annual General Meeting till Secretarial Auditor
the conclusion of the Annual General Meeting of the Pursuant to the provisions of Section 204 of the
Company to be held during the year 2026. Companies Act, 2013 and the Companies (Appointment
M/s S Krishnamoorthy & Co., Chartered Accountants, and Remuneration of Managerial Personnel) Rules,
Coimbatore, with Sri B Krishnamoorthi and/or 2014, the Board of Directors have appointed M/s MDS
Smt V Indira as signing partner have consented and & Associates LLP, Company Secretaries, Coimbatore to
confirmed their eligibility and desire to continue as undertake the Secretarial Audit of the Company for the
Statutory Auditors of the Company for the Financial Financial Year 2024-25.
Year 2024-25.
25. Business Responsibility and Sustainability Report
Cost Auditor In terms of Regulation 34 of SEBI (Listing Obligations
Pursuant to Section 148 of the Companies Act, 2013 and Disclosure Requirements) Regulations, 2015 read
read with the Companies (Cost Records and Audit) with relevant SEBI Circulars, the Business Responsibility
Rules, 2014 (as amended), the Board of Directors, on and Sustainability Report of the Company for the year
the recommendation of the Audit Committee have ended 31st March 2024 is annexed as Annexure - 5 and
appointed Sri A N Raman, Practicing Cost Accountant, forms an integral part of the Annual Report.
Chennai, as the Cost Auditor of the Company for the
26. Compliance with Secretarial Standards
Financial Year 2024-25. The remuneration payable to the
The Directors have devised proper systems to ensure
Cost Auditor is subject to ratification of Shareholders at
compliance with the provisions of all applicable
the ensuing Annual General Meeting.
Secretarial Standards issued by the Institute of Company
Secretaries of India and that such systems are adequate
and are operating effectively.
27. Additional Information

As per Rule 8(5) of the Companies (Accounts) Rules, 2014 the following additional information is provided:
(i) The financial summary or highlights. The financial highlights including information on the state
of affairs of the Company, dividend and reserve have been
provided elsewhere in this report.
(ii) The change in the nature of business, if any. There is no change in the business line of the Company.
(iii) The names of Companies which have become No changes.
or ceased to be its Subsidiaries, Joint Ventures or
Associate Companies during the year.
(iv) The details relating to deposits, covered under The Company has not accepted any amount which falls under
Chapter V of the Companies Act, 2013. the purview of Chapter V of the Companies Act, 2013.
(v) The details of deposits which are not in Not Applicable.
compliance with the requirements of Chapter V
of the Act.
(vi) The details of significant and material orders Nil.
passed by the regulators or courts or tribunals
impacting the going concern status and
Company’s operations in future.
(vii) The details in respect of adequacy of financial Procedures are set to detect and prevent frauds and to protect
internal controls with reference to the Financial the organisation’s resources, both physical (e.g., machinery
Statements. and property) and intangible (e.g., reputation or Intellectual
property such as trademarks, patents, etc,.). The Financial
Statements are prepared in accordance with the Indian
Accounting Standards issued by the Ministry of Corporate
Affairs.
094
ANNUAL
REPORT 2023-24
(viii) Maintenance of cost records under subsection Pursuant to the provisions of Section 148(1) of the Companies
(1) of Section 148 of the Companies Act, 2013. Act, 2013 read with Companies (Cost Records and Audit) Rules,
2014, the Company was required to maintain cost records.
Accordingly, the Company has duly prepared and maintained
the Cost Records as mandated by the Central Government.
(ix) A statement regarding opinion of the Board with No Independent Director was appointed by the Company
regard to integrity, expertise and experience during the financial year 2023-24. Regarding the Independent
(including the proficiency) of the independent Directors proposed to be appointed at the forthcoming
directors appointed during the year. Annual General Meeting, the Board is of the opinion that the
integrity, expertise and experience (including the proficiency)
of the proposed individuals/candidates is satisfactory.
28. Details of difference between amount of the valuation done at the time of one time settlement and
the valuation done while taking loan from the Banks or Financial Institutions along with the reasons
thereof
Not applicable
29. Acknowledgments
Your Directors thank all customers for their continued support and patronage. The Directors also thank the Company’s
Bankers, Selling Agents, Vendors, Central and State Governments for their valuable assistance.
The Directors wish to place on record their appreciation for the cooperation and contribution made by the employees
at all levels towards the progress of the Company.
Sanjay Jayavarthanavelu
Place : Coimbatore Chairman and Managing Director
Date : 27th May 2024 DIN : 00004505
001 CORPORATE
STATEMENTS
095
Annexure - 1
FORM NO. MR-3

SECRETARIAL AUDIT REPORT
FOR THE FINANCIAL YEAR ENDED 31ST MARCH 2024
[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 and
Regulation 24A of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015]
To v. The following Regulations prescribed under the

The Members, Securities and Exchange Board of India Act, 1992
LAKSHMI MACHINE WORKS LIMITED (‘SEBI Act’): -
(CIN: L29269TZ1962PLC000463) a. The Securities and Exchange Board of India
SRK Vidyalaya Post, Perianaickenpalayam, (Listing Obligations and Disclosure Requirements)
Coimbatore – 641 020 Regulations, 2015
We have conducted the secretarial audit of the compliance b. The Securities and Exchange Board of India
of applicable statutory provisions and the adherence to good (Substantial Acquisition of Shares and Takeovers)
corporate practices by M/s. LAKSHMI MACHINE WORKS Regulations, 2011
LIMITED (hereinafter called the Company). Secretarial Audit c. The Securities and Exchange Board of India
was conducted in a manner that provided us a reasonable (Prohibition of Insider Trading) Regulations, 2015
basis for evaluating the corporate conducts/ statutory d. The Securities and Exchange Board of India
compliances and expressing our opinion thereon. (Registrars to an Issue and Share Transfer Agent)
Regulations, 1993, regarding the Companies Act
Based on our verification of M/s. LAKSHMI MACHINE WORKS
and dealing with client and
LIMITED’s books, papers, minute books, forms and returns
filed and other records maintained by the Company and e. The Securities and Exchange Board of India
also the information provided by the Company, its officers, (Depositories and Participants) Regulations, 2018
agents and authorised representatives during the conduct
We have also examined compliance with the applicable
of secretarial audit, we hereby report that in our opinion, the
clauses of the following:
Company has, during the audit period covering the financial
year ended 31st March 2024, complied with the statutory a. Secretarial Standards with respect to Board Meetings
provisions listed hereunder and also that the Company has (SS-1) and General Meetings (SS-2) issued by The
proper Board- processes and compliance mechanism in place Institute of Company Secretaries of India (ICSI)
to the extent, in the manner and subject to the reporting b. The Listing Agreement entered into by the Company
made hereinafter. with BSE Limited and the National Stock Exchange of
India Limited
We have examined the books, papers, minute books, forms
and returns filed, and other records maintained by the During the year under review the Company has complied with
Company for the financial year ended on 31st March 2024 the provisions of the Act, Rules, Regulations and Standards
according to the provisions of: etc., mentioned above except to the extent given below.
i. The Companies Act, 2013 (the Act) and the rules made  During the year under review, the Company had made
thereunder. a delayed submission of proceedings of the Annual
General Meeting. However, the Company has submitted
ii. The Securities Contracts (Regulation) Act, 1956 (‘SCRA’)
an explanation for delay as required under second
and the rules made thereunder.
proviso to Regulation 30(6) of Securities and Exchange
iii. The Depositories Act, 1996 and the Regulations and Board of India (Listing Obligations and Disclosure
bye-laws framed thereunder. Requirements) Regulations, 2015 (as amended) to the
iv. Foreign Exchange Management Act, 1999 and the Stock Exchange(s) on 8th April 2024.
rules and regulations made thereunder to the extent
of Foreign Direct Investment and Overseas Direct We further report that, during the year under review, there
Investment. were no actions/ events in pursuance of the following Rules/
Regulations requiring compliance thereof by the Company:
096
ANNUAL
REPORT 2023-24
a. The Securities and Exchange Board of India (Issue of Adequate notice is given to all Directors to schedule the
Capital and Disclosure Requirements) Regulations, 2018 Board Meetings, agenda and detailed notes on agenda were
b. The Securities and Exchange Board of India (Share Based sent at least seven days in advance, and a system exists for
Employee Benefits and Sweat Equity) Regulations, 2021 seeking and obtaining further information and clarifications
on the agenda items before the meeting and for meaningful
c. The Securities and Exchange Board of India (Delisting of
participation at the meeting.
Equity Shares) Regulations, 2021
d. The Securities and Exchange Board of India (Buyback of All decisions at Board meetings and Committee meetings
Securities) Regulations, 2018 and are carried out unanimously as recorded in the minutes of
e. The Securities and Exchange Board of India (Issue and the meetings of the Board of Directors or Committee of the
Listing of Non-convertible Securities) Regulations, 2021. Board, as the case may be.
We further report that based on the information provided We further report that there are adequate systems and
by the Company, its officers and authorised representatives, processes in the Company commensurate with the size
there are no laws specifically applicable to the Company. and operations of the Company to monitor and ensure
compliance with all applicable laws, rules, regulations and
We further report that having regard to the compliance guidelines.
system prevailing in the Company and on the review of
quarterly compliance reports taken on record by the Board We further report that during the period under review,
of Directors and on examination of the relevant documents the Company has obtained the permission of the National
and records in pursuance thereof, on test- check basis, the Company Law Tribunal, Chennai Bench vide order dated
Company has complied with the labour and environmental 20th September 2023 for withdrawal of the Scheme of
laws as applicable. Arrangement between the Company and LMW Aerospace
Industries Limited (the wholly owned subsidiary) and their
We further report that the compliance by the Company of respective shareholders pursuant to Sections 230 to 232 of
applicable financial laws, like direct and indirect tax laws, the Companies Act, 2013.
has not been reviewed in this Audit since the same has been
subject to review by statutory financial auditors and other Other than the above, there were no instances of
designated professionals.  Public / Rights / Preferential issue of shares / debentures
/ sweat equity.
We further report that
 Redemption / buy-back of securities.
The Board of Directors of the Company is duly constituted
with proper balance of Executive Directors, Non-Executive  Major decision taken by the members pursuant to
Directors, Independent Directors and a Woman Director. Section 180 of the Companies Act, 2013.
The changes in the composition of the Board of Directors that  Foreign technical collaborations.
took place during the period under review were carried out
in compliance with the provisions of the Act.
For MDS & Associates LLP

Company Secretaries
M D Selvaraj
Managing Partner
FCS No.: 960; C P No.: 411
Place : Coimbatore Peer Review No. 3030/2023
Date : 27th May 2024 UDIN: F000960F000418113
This report is to be read with our letter of even date which is annexed as Annexure A and forms an integral part of this report
001 CORPORATE
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097
Annexure - A
ANNEXURE TO SECRETARIAL AUDIT REPORT

ISSUED BY COMPANY SECRETARY IN PRACTICE
To
The Members,
(CIN: L29269TZ1962PLC000463)
SRK Vidyalaya Post, Perianaickenpalayam, Coimbatore – 641 020
Our report of even date is to be read along with this letter.

1. Maintenance of secretarial records is the responsibility of the management of the company. Our responsibility is to
express an opinion on these secretarial records based on our audit.
2. We have followed the audit practices and processes as were appropriate to obtain reasonable assurance about the
correctness of the contents of the Secretarial records. The verification was done on test basis to ensure that correct facts
are reflected in secretarial records. We believe that the processes and practices we followed provide a reasonable basis
for our opinion.
3. We have not verified the correctness and appropriateness of financial records and Books of Accounts of the Company.
4. Wherever required, we have obtained the Management representation about the compliance of laws, rules, and
regulations and happening of events etc.
5. The compliance of the provisions of corporate and other applicable laws, rules and regulations, standards is the
responsibility of the management. Our examination was limited to the verification of procedures on random test basis.
6. The Secretarial Audit report is neither an assurance as to the future viability of the company nor of the efficacy or
effectiveness with which the management has conducted the affairs of the company.

Company Secretaries
M D Selvaraj
Managing Partner
FCS No.: 960; C P No.: 411
098
ANNUAL
REPORT 2023-24
Annexure - 2
FORM AOC-2
[Pursuant to Clause (h) of Sub-Section (3) of Section 134 of the Act and
Rule 8(2) of the Companies (Accounts) Rules, 2014]
Form for disclosure of particulars of contracts/arrangements entered into by the Company with Related Parties referred to
in sub-section (1) of Section 188 of the Companies Act, 2013 including certain arm’s length transactions under third proviso
thereto.
1. Details of contracts or arrangements or transactions not at arm’s length basis: Nil
2. Details of material contracts or arrangement or transactions at arm’s length basis:

a) Name(s) of the Related Party and nature of Lakshmi Electrical Control Systems Limited
relationship: A Public Limited Company in which Sri Sanjay
Jayavarthanavelu, Chairman & Managing Director is a
Director and holds along with his relatives, more than 2%
of its paid-up Share Capital.
b) Nature of contracts / arrangements / transactions: Sale/purchase of goods and availing / rendering of
services.
c) Duration of the contracts / arrangements / transactions: For the period from the conclusion of the 60th Annual
General Meeting till the conclusion of the 61st Annual
General Meeting.
d) Salient terms of the contracts or arrangements or The Related Party Transactions (RPTs) entered during the
transactions including the value, if any: period were in the ordinary course of business and at
arm’s length basis.
Value of transaction approved: D 600 Crores
e) Date(s) of approval by the Board, if any: 24th May 2023
f) Amount paid as advances, if any: Nil
The above-mentioned transaction was entered into by the Company in its ordinary course of business. The materiality threshold
is as prescribed under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Date : 27th May 2024 DIN : 00004505
001 CORPORATE
STATEMENTS
099
Annexure - 3
ANNUAL REPORT ON CORPORATE SOCIAL RESPONSIBILITY [“CSR”] ACTIVITIES

FOR THE FINANCIAL YEAR ENDED 31ST MARCH 2024
1. Brief outline on CSR Policy of the Company:

The Company has adopted the CSR Policy as approved by the Board of Directors at their Meeting held on 12th June 2014,
the same has been amended from time to time in line with developing statutory requirements. The CSR Policy of Lakshmi
Machine Works Limited (“LMW”) is reflective of its long held beliefs and commitment towards community development.
The CSR Policy of LMW contains principles that guide future CSR projects / programmes / activities, such as prescribing
the budgetary limits, scope for CSR activities, the geography within which such activities are to be carried out, procedure
for sanction of funds, procedure for obtaining Board approval, monitoring mechanism for projects, programmes and
activities etc.
2. Composition of the CSR Committee:

Number of CSR Number of CSR
Sl. Designation /
Name of the Director Committee Meetings Committee Meetings
No. Nature of Directorship
held during the year attended during the year
1 Sri Sanjay Jayavarthanavelu Chairman of CSR Committee
2
- Executive Director
2 Sri Aditya Himatsingka Member - Independent
2 1
Director
3 Sri Arun Alagappan Member - Independent
2
Director
3. Web-link where composition of CSR Committee, CSR Policy and CSR projects approved by the Board are disclosed
on the Website of the Company.
Details regarding composition of the CSR Committee can be found on the Company’s website at: https://www.lmwglobal.
com/pdf/investors1/leadership/committees board/Committees of the Board new.pdf; a copy of the Company’s CSR
Policy can be found on the Company’s website at: https://www.lmwglobal.com/pdf/investors1/policies/04 CSR
Policy.pdf; while details of the CSR Projects undertaken by the Company can be found on the Company’s website at:
https://www.lmwglobal.com/csr-activities.
4. Executive Summary along with web-link(s) of impact assessment of CSR projects carried out in pursuance of sub-
rule (3) of Rule 8 if applicable:
A voluntary impact assessment study was conducted for the community intervention projects implemented in the tribal
& rural villages in Coimbatore District. The study was conducted by SEED NGO. The study aims to assess the extent of the
impact to the beneficiaries, that are relevant to their needs and to understand their satisfaction. Government schools
development, infrastructure development in villages, promotion of livelihood activities for income generation, capacity
building of Self Help Groups, health projects, tree plantations, solid waste management project that are implemented
were assessed during this study. A copy of the voluntary impact assessment report can be found on the Company’s
website at: https://www.lmwglobal.com/pdf/csr/CSR Projects - Impact Assessment Report.pdf
5. a) Average Net Profit of the Company as per sub-section 5 of Section 135:

C 268.77 Crores
b) Two percent of average Net Profit of the Company as per sub-section 5 of Section 135:
C 5.37 Crores
c) Surplus arising out of the CSR projects or programmes or activities of the previous Financial Years:
Nil
d) Amount required to be set-off for the Financial Year, if any:

Nil
100
ANNUAL
REPORT 2023-24
e) Total CSR obligation for the Financial Year (5b+5c-5d): C 5.37 Crores
6. a) Amount spent on CSR Projects: C 5.38 Crores
b) Amount spent in Administrative Overheads: Nil
c) Amount spent on Impact Assessment, if applicable: C 0.10 Crores
d) Total amount spent for the Financial Year (6a+6b+6c): C 5.48 Crores
e) CSR amount spent or unspent for the Financial Year:

[in C ]
Amount Unspent
Total Amount transferred to Amount transferred to any fund specified
Total Amount
Unspent CSR Account as per sub- under Schedule VII as per second provision to
Spent for the
section 6 of Section 135 sub-section 5 of Section 135
Financial Year
Date of Name of Date of
Amount Amount
transfer the Fund Transfer
5,47,78,950 Nil
f) Excess amount for set-off if any:

Sl. Amount
Particulars
No. [D in Crores]
(i)Two percent of average net profit of the Company as per sub-section (5) of Section 135 5.37
(ii)Total amount spent for the Financial Year 5.48
(iii)
Excess amount spent for the Financial Year [(ii)-(i)] 0.11
(iv)Surplus arising out of the CSR projects or programmes or activities of the previous Nil
Financial Years, if any
(v) Amount available for set off in succeeding Financial Years [(iii) - (iv)] Nil
7. Details of Unspent CSR amount for the preceding three Financial Years:
Amount Balance Amount transferred
transferred Amount in to a Fund as specified Amount
Amount under Schedule VII as
to Unspent Unspent remaining to
Preceding Spent per second proviso
Sl. CSR Account CSR Account be spent in Deficiency,
Financial in the to subsection (5) of
No. under sub- Under succeeding if any
Year Financial Section 135, if any Financial Years
section 6 of subsection
Year [in D ]
Section 135 (6) of Section Date of [in D ]
[in D ] 135 [in D ] [in D ]
Transfer
1 FY 2020-21
2 FY 2021-22 Nil
3 FY 2022-23
8. Whether any capital assets have been created or acquired through Corporate Social Responsibility amount
spent in the Financial Year:
No
001 CORPORATE
STATEMENTS
101
The details relating to such asset(s) so created or acquired through Corporate Social Responsibility amount spent
in the Financial Year
Short particulars of the Details of entity/ authority/beneficiary
Pin code Amount
property or asset(s) of the registered owner
Sl. of the Date of of CSR
[including complete
No. Property Creation amount CSR Registration Registered
address and location of Name
or asset(s) spent Number, if applicable Address
the property]
Not Applicable
9. Specify the reason(s), if the Company has failed to spend two per cent of the average Net Profit as per sub-
section 5 of Section 135:
Not Applicable
Chairman and Managing Director
Place : Coimbatore Chairman - CSR Committee
Date : 27th May 2024 DIN : 00004505
102
ANNUAL
REPORT 2023-24
Annexure - 4
AUDITORS’ CERTIFICATE ON COMPLIANCE OF CONDITIONS OF CORPORATE GOVERNANCE

AS PER SEBI [LISTING OBLIGATIONS AND DISCLOSURE REQUIREMENTS] REGULATIONS, 2015
TO THE MEMBERS OF LAKSHMI MACHINE WORKS LIMITED
We have examined the compliance of conditions of Corporate Governance by Lakshmi Machine Works Limited, for the year
ended on 31st March 2024, as specified in the relevant provisions of the SEBI [Listing Obligations and Disclosure Requirements]
Regulations, 2015.
The compliance of conditions of Corporate Governance is the responsibility of the Management. Our examination was
limited to procedures and implementation thereof, adopted by the Company for ensuring the compliance of the conditions
of Corporate Governance. 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, we certify that the Company
has complied with the conditions of Corporate Governance as stipulated in the above-mentioned SEBI [Listing Obligations
and Disclosure Requirements] Regulations, 2015.
On the basis of representation received from the Registrar and Share Transfer Agent (RTA) of the Company and on the basis
of the records maintained by the Stakeholders Relationship Committee of the Company, we state that no Investor Grievance
is pending for a period exceeding one month.
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 S Krishnamoorthy & Co.,

Chartered Accountants,
Firm Registration No.001496S
B Krishnamoorthi
Partner
Place : Coimbatore Membership No.020439
Date : 27th May 2024 UDIN: 24020439BKABBU5429
001 CORPORATE
STATEMENTS
103
Annexure - 5
BUSINESS RESPONSIBILITY & SUSTAINABILITY REPORT
SECTION A: GENERAL DISCLOSURES

I. Details of the listed entity
Sl. No. Particulars Details
1. Corporate Identity Number (CIN) of the Listed Entity L29269TZ1962PLC000463
2. Name of the Listed Entity Lakshmi Machine Works Limited
3. Year of incorporation 1962
4. Registered office address SRK Vidyalaya Post, Perianaickenpalayam,
Coimbatore 641 020,
Tamil Nadu, India
5. Corporate office address 34A, Kamaraj Road,
Coimbatore - 641 018
Tamil Nadu, India
6. Email [email protected]
7. Telephone +91 422 7192255
8. Website www.lmwglobal.com
9. Financial year for which reporting is being done 2023-24
10. Name of the Stock Exchange(s) where shares are listed 1. BSE Limited (Address: Phiroze Jeejeebhoy Towers,
Dalal Street, Mumbai-400001).
2. National Stock Exchange of India Limited
(Address: Exchange Plaza, C-1, Block-G, Bandra
Kurla Complex, Bandra East, Mumbai- 400051).
11. Paid-up capital H10,68,30,000/-
12. Name and contact details (telephone, e-mail address) of Sri C R Shivkumaran, Company Secretary
the person who may be contacted in case of any queries E-mail: [email protected]
on the BRSR report Phone: +91 422 7198100
13. Reporting boundary - Are the disclosures under this The disclosures made under this report are on a
report made on a standalone basis (i.e., only for the entity) standalone basis.
or on a consolidated basis (i.e., for the entity and all the
entities which form a part of its consolidated financial
statements, taken together).
14. Name of assurance provider Not Applicable
15. Type of assurance obtained Not Applicable
II. Products/services
16. Details of business activities (accounting for 90% of the turnover):
Sl.
Description of Main Activity Description of Business activity % of Turnover of the entity
No.
1 Textile Machinery 76.12%
Manufacturing
2 CNC Machine Tools 18.92%
17. Products/Services sold by the entity (accounting for 90% of the entity’s Turnover):
Sl.
Product/Service NIC Code % of total Turnover contributed
No.
1 Textile Machinery 28261 76.12%
2 CNC Machine Tools 28221 18.92%
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ANNUAL
REPORT 2023-24
III. Operations
18. Number of locations where plants and/or operations/offices of the entity are situated:
Location Number of plants Number of offices Total
National 10 2 12
International Nil 5 5
19. Markets served by the entity:

a) Number of locations
Locations Number
National (No. of States) 21 States and 6 Union Territories
International (No. of Countries) 27
b) What is the contribution of exports as a percentage of the total turnover of the entity? Contribution of exports
during the Financial Year ended 31st March 2024 is 15.90%
c) A brief on types of customers

Lakshmi Machine Works Limited caters to both public and private sector customers in discrete and process industries
including but not limited to Textiles, Aerospace & Defence, Iron & Steel, Automotives, Ports, Power, Railways,
Renewables and Transportation.
IV. Employees
20. Details as at the end of Financial Year (as on 31.03.2024):
a) Employees and workers (including differently-abled):
Sl. Male Female
Particulars Total (A)
No. No. (B) % (B / A) No. (C) % (C / A)
EMPLOYEES
1 Permanent (D) 2,333 2,243 96.14% 90 3.86%
2 Other than Permanent (E) Nil Nil Nil Nil Nil
3 Total employees (D + E) 2,333 2,243 96.14% 90 3.86%
WORKERS
4 Permanent (F) 1,257 1,257 100.00% Nil Nil
5 Other than Permanent (G) 235 232 98.72% 3 1.28%
6 Total workers (F + G) 1,492 1,489 99.80% 3 0.20%
b) Differently abled Employees and workers:
Sl. Male Female

No. No. (B) % (B / A) No. (C) % (C / A)
DIFFERENTLY ABLED EMPLOYEES
1 Permanent (D) 1 Nil Nil 1 100.00%
2 Other than Permanent (E) Nil Nil Nil Nil Nil
3 Total differently abled employees (D + E) 1 Nil Nil 1 100.00%
DIFFERENTLY ABLED WORKERS
4 Permanent (F) 8 8 100.00% Nil Nil
5 Other than Permanent (G) Nil Nil Nil Nil Nil
6 Total differently abled workers (F + G) 8 8 100.00% Nil Nil
001 CORPORATE
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105
21. Participation/ Inclusion/ Representation of women:
No. and percentage of Females
No. (B) % (B / A)
Board of Directors 9 1 11.11%
Key Management Personnel* 2 Nil Nil
* Key Management Personnel other than Board of Directors
22. Turnover rate for permanent employees and workers:

Turnover rate in the year
Turnover rate in Turnover rate in
prior to the Previous
Particulars Current FY (2023-24) Previous FY (2022-23)
FY (2021-22)
Male Female Total Male Female Total Male Female Total
Permanent Employees 12.27% 16.76% 12.45% 16.05% 20.51% 16.23% 13.94% 25.69% 14.32%
Permanent Workers 0.94% NA 0.94% 2.00% NA 2.00% 1.74% NA 1.74%
V. Holding, Subsidiary and Associate Companies (including Joint Ventures)

23. (a) Names of holding/ subsidiary/ associate companies/ joint ventures
Does the entity indicated
Indicate whether Percentage
Name Of the Holding/ Subsidiary/ at column A, participate in
Sl. Holding/ Subsidiary/ of shares
Associate Companies/ Joint the Business responsibility
No. Associate/ Joint held by
Ventures (A) initiatives of the listed
Venture listed entity
entity? (Yes/No)
1 LMW Textile Machinery Wholly Owned 100% No
(Suzhou) Co. Ltd, Subsidiary
China
2 LMW Aerospace Industries Limited, Wholly Owned 100% No
India Subsidiary
3 LMW Global FZE, Wholly Owned 100% No
United Arab Emirates Subsidiary
(formerly known as LMW Middle East
FZE)
VI. CSR Details

24. (i) Whether CSR is applicable as per section 135 of Companies Act, 2013: (Yes/No): Yes
(ii) Turnover (in H): H4,520,16,78,959.68/-
(iii) Net worth (in H): H2,418,38,38,774.15/-
106
ANNUAL
REPORT 2023-24
VII. Transparency and Disclosures Compliances
25. Complaints/Grievances on any of the principles (Principles 1 to 9) under the National Guidelines on Responsible Business
Conduct:
Grievance FY 2023-24 FY 2022-23

Redressal (Current Financial Year) (Previous Financial Year)
Mechanism in Number of Number of
Stakeholder group
Place (Yes/ No) Number of complaints Number of
complaints
from whom complaint complaints complaints
(If Yes, then pending pending
is received filed Remarks filed Remarks
provide weblink resolution resolution
for grievance during the during the
at close of at close of
redress policy) year year
the year# the year#
Communities
Investors (Other than Nil Nil Nil Nil
Shareholders)
Shareholders Yes* 2 0 4 0
Employees and Workers Nil Nil Nil Nil
Customers 4,158 131 4,759 49
Value Chain Partners Nil Nil Nil Nil
Others (Please specify) NA
* Please refer to the Whistle Blower Policy and Business Responsibility Policies available at www.lmwglobal.com /investors/Policies.html
#
Necessary action is being taken to resolve the pending complaints
26. Overview of the entity’s material responsible business conduct issue:
Please indicate material responsible business conduct and sustainability issues pertaining to environmental and social
matters that present a risk or an opportunity to your business, rationale for identifying the same, approach to adapt or
mitigate the risk along-with its financial implications, as per the following format:
Financial
implications
Indicate
of the risk or
Material whether In case of risk,
Sl. Rationale for identifying opportunity
issue risk or approach to adapt or
No. the risk / opportunity (Indicate
identified opportunity mitigate
positive or
(R/O)
negative
implications)
1. Emissions Risk Increased carbon footprint Emission reduction Impact on
contributes to climate risk. initiatives for company’s
Climate change-induced instability identified areas of reputation and
will have a direct consequence for higher emissions. brand value.
vital company infrastructure, as Exploring options to
well as secondary repercussions on move to low-carbon
economic capabilities. fuels that have lesser
Failure to adopt appropriate emissions such as
countermeasures to reduce the biodiesel, natural gas,
carbon intensity of the business Compressed Biogas
can impact brand reputation & (CBG), etc.
stakeholder confidence.
001 CORPORATE
STATEMENTS
107
Financial
implications
Indicate
of the risk or
positive or
(R/O)
negative
implications)
2. Energy Risk, Risk: LMW’s business activities are The Company has set Reduction in
Opportunity primarily the manufacturing of an internal target to energy and
various tools and equipment. This is offset 100% of energy environmental
an energy intensive process, which consumption with costs.
could lead to a lack of optimisation renewable energy. Increased
of direct as well as indirect energy The Company has a operational
consumption and continued reliance 15 MW Solar Power efficiency.
on fossil fuel-based energy sources. Generation Plant and
Improved
Opportunity: With having identified has also installed 28 equipment
the trend of energy consumption, windmills with a total lifespan.
it could be in the best interest of capacity of 36.80
the Company’s business to curb the MW. This has helped
reliance on conventional fuels and offset the emissions
shift towards utilisation of renewable generated by energy
energy to a significant extent. consumption from
conventional non-
renewable sources.
As a measure of
energy efficiency
across divisions,
sodium vapour lights
are being replaced
with LED.
3. Waste Risk Manufacturing of equipment leads Waste in the form of Legal fines.
Management to the generation of a significant metal chips is used
amount of waste across all divisions. as raw material in
The waste generated is both the Foundry division.
hazardous (metal scraps, paints, etc.) Hazardous waste
as well as non-hazardous (paper, generated during
wood, etc.). operations is disposed
Lack of waste management and through authorised
waste re-utilisation could lead to vendors.
operational inefficiency and hinder
product manufacturing.
4. Efficient Opportunity The Company’s focus on minimising - Lower operational
Resource the negative impact of operations costs.
Utilisation on the environment and utilising Increase in
natural resources in an efficient revenue share
and sustainable manner can from environment
improve operational efficiency and conscious
attract environmentally conscious customers.
customers.
Scope to increase
reliability of
renewable energy.
108
ANNUAL
REPORT 2023-24
Financial
implications
Indicate
of the risk or
positive or
(R/O)
negative
implications)
5. Occupational Opportunity The Company’s ability to provide a - Reduced cost of
Health & work environment free of injuries, talent acquisition.
Safety fatalities, and illness, and promote
better health and well-being
of employees results in better
productivity and boosts employee
morale
6. Training & Opportunity Providing training to employees and - Increased
Education workers leads to skill enhancement productivity.
as well as reduced margin for errors/
accidents, thus increasing the
productivity of the workforce.
7. Product Opportunity Efficient resource utilisation and - Improved
Quality waste management will lead to the customer
manufacture of quality and safe satisfaction.
products. This could in turn lead to Increased product
customer satisfaction. demand.
8. Customer Opportunity The Company provides superior - Higher Net Profit.
Satisfaction products and quality services
that enhance value and customer
satisfaction through continual
improvement in People, Systems,
Processes, Technology and Practices.
9. Business Risk & Risk: Non-adherence to ethical Building awareness Legal fines and
Ethics Opportunity standards can expose the and training for penalties.
organisation to legal fines, penalties, internal stakeholders
and damaged reputation. on ethical business
Opportunity: Compliance with practices.
ethical standards can result in Effective mechanisms
improved company reputation and and management
relations with other business entities. systems for ensuring
that the Company
and its employees
are compliant with
the laws, regulations,
standards, and ethical
practices that apply to
the organisation and
industry.
001 CORPORATE
STATEMENTS
109
Financial
implications
Indicate
of the risk or
positive or
(R/O)
negative
implications)
10. Technology & Opportunity Leverage technology and innovation - Innovative
Innovation to enhance the digital experience for Technology can
customers and consumers, and to enhance work
gain operational advantages. efficiency, expand
The development of sustainable our product
products and solutions could provide portfolio and
long-term social and environmental customer reach,
benefits while creating economic and increase
benefits for the company. convenience.
SECTION B: MANAGEMENT AND PROCESS DISCLOSURES

This section is aimed at helping businesses demonstrate the structures, policies and processes put in place towards adopting
the NGRBC Principles and Core Elements.
The National Guidelines for Responsible Business Conduct (NGRBC), as prescribed by the Ministry of Corporate Affairs advocates
nine Principles referred to as P1-P9 given below:
P1 Businesses should conduct and govern themselves with integrity in a manner that is ethical, transparent and
accountable
P2 Businesses should provide goods and services in a manner that is sustainable and safe
P3 Businesses should respect and promote the well-being of all employees, including those in their value chains
P4 Businesses should respect the interests of and be responsive towards all its stakeholders
P5 Businesses should respect and promote human rights
P6 Businesses should respect and make efforts to protect and restore the environment
P7 Businesses, when engaging in influencing public and regulatory policy, should do so in a manner that is responsible
and transparent
P8 Businesses should promote inclusive growth and equitable development
P9 Businesses should engage with and provide value to their consumers in a responsible manner
Sl.
Disclosure Question P1 P2 P3 P4 P5 P6 P7 P8 P9
No.
Policy and management processes
1. a. Whether your entity’s policy/ Yes
policies cover each principle
and its core elements of the
NGRBCs. (Yes/No)
b. Has the policy been Yes
approved by the Board?
(Yes/No)
c. Web Link of the Policies, if https://www.lmwglobal.com/investors/Policies.html
available
2. Whether the entity has Yes
translated the policy into
procedures. (Yes / No)
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ANNUAL
REPORT 2023-24
Sl.
Disclosure Question P1 P2 P3 P4 P5 P6 P7 P8 P9
No.
3. Do the enlisted policies extend Yes
to your value chain partners?
(Yes/No)
4. Name of the national LMW’s manufacturing facilities and office premises have well defined Environment,
and international codes/ Health, Safety and Quality Management systems in place with stringent internal
certifications/labels/ standards standards and are also certified with international standards like ISO 45001: 2018:
(e.g., Forest Stewardship Occupational Health and Safety Management system; ISO 14001: 2015: Environmental
Council, Fairtrade, Rainforest Management system, ISO 9001: 2015: Quality Management system. Additionally,
Alliance, Trustea) standards wherever necessary/applicable the respective manufacturing facilities are certified
(e.g., SA 8000, OHSAS, ISO, BIS) with ISO/IEC 17025: 2017, Pressure Equipment Directive 2014/68/EU, AS9100D
adopted by your entity and (Aerospace Quality Management System), NADCAP. Besides, the Company’s foundry
mapped to each principle units have received the GreenCo Platinum level certification from CII – Sohrabji
Godrej Green Business Centre and the Marine Certification by DNV, BV, ABS and
Lloyd’s Register.
5. Specific commitments, goals Nil
and targets set by the entity
with defined timelines, if any
6. Performance of the Not Applicable
entity against the specific
commitments, goals and
targets along-with reasons in
case the same are not met.
Governance, leadership, and oversight

7. Statement by director responsible for the business responsibility report, highlighting ESG related challenges, targets,
and achievements (listed entity has flexibility regarding the placement of this disclosure).
Response: We have been committed to environmental well-being right since our inception, prioritising ESG long before
it became a mainstream concept.
Aligned with the Paris Agreement, the Company is undertaking steps to reduce absolute carbon emissions. To achieve
this, multiple initiatives with respect to improving operational efficiency, in addition to renewable energy generation
and its procurement, and fuel switch, are being implemented across our facilities.
On the business side, we offer a range of energy-efficient and environment-friendly products and solutions. This enables
industries to optimise their energy consumption and reduce greenhouse gas emissions as well as minimise their
freshwater intake through the reuse and recycling of water.
Cognisant of the change in the energy mix in recent times, and our ability to contribute to this transition, we have
concentrated our efforts towards green energy. We have proactively aligned our strategies with climate change mitigation
and sustainability goals. Along with investing in R&D and digital capabilities, we have inked partnerships with other
technology companies to strengthen our clean energy offerings and to solidify our presence as a trusted partner in
energy transition to customers.
On the social front, we are actively engaged in social initiatives, striving to create equal opportunities through education
and empowering the informal workforce through various initiatives.
While making persistent efforts to meet our ESG imperatives, we know there are many challenges ahead. These include
dealing with the complexity of the infrastructure of existing industries and transitioning them into cleaner and more
sustainable alternatives, cost implications for implementing the technological innovations, assessing and managing the
sustainability practices of our suppliers and mitigating any environmental or associated social risks, and data collection
and reporting on ESG performance metrics across the organisation.
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Despite these challenges, we remain dedicated to addressing the same through ongoing innovation, strategic
partnerships, stakeholder engagement and continuous improvement of our ESG practices. We know we have come a
long way, but there is still much that is to be done.
8. Details of the highest authority responsible for implementation and oversight of the Business Responsibility policy(ies).
Response: At the highest level, Executive Directors along with the other Board of Directors of the Company are responsible
for the implementation and oversight of the Business Responsibility Policy(ies). The Corporate Social Responsibility
Committee oversees the social factors affecting the environment in which the Company operates and provides necessary
insights to the Board of Directors. Whereas, the Risk Management Committee of the Company oversees all the other
factors related to the Environment, Social and Governance aspects of the Organisation and provides adequate inputs to
the Board of Directors.
9. Does the entity have a specified Committee of the Board/ Director responsible for decision making on sustainability
related issues? (Yes / No). If yes, provide details.
Response: As stated above, the Risk Management Committee and the Corporate Social Responsibility Committee provide
inputs to the Board for decision making on sustainability related factors. Details regarding the composition of the Risk
Management Committee and the Corporate Social Responsibility Committee are available in the Corporate Governance
Report found elsewhere in the Annual Report.
10. Details of Review of NGRBCs by the Company:

Indicate whether review was undertaken
Frequency (Annually/ Half yearly/
by Director / Committee of the Board/ Any
Subject for Review Quarterly/ Any other – please specify)
other Committee
P1 P2 P3 P4 P5 P6 P7 P8 P9 P1 P2 P3 P4 P5 P6 P7 P8 P9
Performance against
above policies and Board of Directors Yearly
follow up action
Compliance
with statutory A Statutory Compliance Certificate on
requirements of applicable laws is provided by the Company
relevance to the Secretary (based on the confirmation received Quarterly
principles, and from the respective business head) to the
rectification of any Board of Directors.
non-compliances
11. Has the entity carried out independent assessment/ evaluation of the working of its policies by an external agency?
(Yes/No). If yes, provide name of the agency.
P1 P2 P3 P4 P5 P6 P7 P8 P9
No
12. If answer to question (1) above is “No” i.e., not all Principles are covered by a policy, reasons to be stated:
Not Applicable
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SECTION C: PRINCIPLE WISE PERFORMANCE DISCLOSURE
This section is aimed at helping entities demonstrate their performance in integrating the Principles and Core Elements
with key processes and decisions. The information sought is categorised as “Essential” and “Leadership”. While the essential
indicators are expected to be disclosed by every entity that is mandated to file this report, the leadership indicators may be
voluntarily disclosed by entities which aspire to progress to a higher level in their quest to be socially, environmentally and
ethically responsible.
PRINCIPLE 1
Businesses should conduct and govern themselves with integrity, and in a manner that is ethical, transparent, and accountable.
Essential Indicators
1. Percentage coverage by training and awareness programmes on any of the principles during the financial year:
Utilising the skills and abilities of our employees through focused talent development initiatives is our main priority.
Our programmes are intended to enable employees to follow goals that suit their particular career aims as well as the
organisation’s strategies. We provide our employees with a range of leadership and skill development programmes,
including leadership enhancement workshops and skill and competency development projects.
Percentage of persons
Total number of Topics / principles covered
in respective category
Segment training and awareness under the training and its
covered by the awareness
programmes held impact
programmes
Board of Directors 4 100.00%
Key Managerial Personnel 4 100.00%
All 9 principles
Employees other than BoD 171 84.02%
and KMPs
Safety, First Aid & skill
up-gradation training,
Workers 107 Vocational training focused 85.00%
on achieving employable
skills
2. Details of fines / penalties /punishment/ award/ compounding fees/ settlement amount paid in proceedings (by the
entity or by directors / KMPs) with regulators/ law enforcement agencies/ judicial institutions, in the financial year, in the
following format (Note: the entity shall make disclosures on the basis of materiality as specified in Regulation 30 of SEBI
(Listing Obligations and Disclosure Obligations) Regulations, 2015 and as disclosed on the entity’s website):
Monetary
Has an
Name of the regulatory/
NGRBC Amount Brief of appeal been
Particulars enforcement agencies/
Principle (In D) the Case preferred?
judicial institutions
(Yes/No)
Penalty/ Fine
Settlement Nil No
Compounding Fee
Non-monetary
Has an
NGRBC Amount Brief of appeal been
Particulars enforcement agencies/
Principle (In D) the Case preferred?
judicial institutions
(Yes/No)
Imprisonment
Nil No
Punishment
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3. Of the instances disclosed in Question 2 above, details of the Appeal/ Revision preferred in cases where monetary or
non-monetary action has been appealed:
Case Details
enforcement agencies/ judicial institutions
Not Applicable
4. Does the entity have an anti-corruption or anti-bribery policy? If yes, provide details in brief and if available, provide a web-link to
the policy.
Response: Yes, the Company has an anti-corruption/anti-bribery policy as a part of the Business Ethics Policy. This policy is
in line with applicable anti-corruption/anti-bribery regulations. LMW conducts its operations and activities in compliance
with the Business Ethics Policy and expects everyone associated with it to conduct their business with integrity.
The Company’s policy strictly prohibits any form of improper / unethical payments. Any payment or benefit conveyed,
and is ethical, must be fully transparent, adequately documented, and duly accounted. This policy is communicated to
all employees through induction programmes, policy manuals and intranet portals. The web-link for the Policy is: https://
www.lmwglobal.com/pdf/investors1/policies/business responsibility policy/01 Business Ethics Policy.pdf
5. Number of Directors/KMPs/employees/workers against whom disciplinary action was taken by any law enforcement
agency for the charges of bribery/ corruption:
Particulars FY 2023-24 FY 2022-23
Directors
KMPs
Nil Nil
Employees
Workers
6. Details of complaints with regard to conflict of interest:

FY 2023-24 FY 2022-23
Particulars
Number Remarks Number Remarks
Number of complaints received in relation to
issues of Conflict of Interest of the Directors
Nil Nil
Number of complaints received in relation
to issues of Conflict of interest of the KMPs
7. Provide details of any corrective action taken or underway on issues related to fines / penalties / action taken by regulators/
law enforcement agencies/ judicial institutions, on cases of corruption and conflicts of interest.
Response: There was no instance of corrective action or issues related to fines / penalties / action taken by regulators/
law enforcement agencies/ judicial institutions, on cases of corruption and conflicts of interest.
8. Number of days of accounts payables ((Accounts payable *365) / Cost of goods/services procured) in the following format:
FY 2023-24 FY 2022-23
Number of days of accounts payable 70 Days 89 Days
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9. Openness of business
Provide details of concentration of purchases and sales with trading houses, dealers, and related parties along-with loans
and advances & investments, with related parties, in the following format:
Parameter Metrics FY 2023-24 FY 2022-23
Concentration a. Purchase from trading houses as % of total purchases Nil Nil
of Purchase b. Number of trading houses where purchases are made from Nil Nil
c. Purchases from top 10 trading houses as % of total Nil Nil
purchases from trading houses
a. Sales to dealers / distributors as % of total sales Nil Nil
Concentration b. Number of dealers / distributors to whom sales are made Nil Nil
of Sales c. Sales to top 10 dealers / distributors as % of total sales to Nil Nil
dealers / distributors
a. Purchases (Purchases with related parties / Total Purchases) 25.30% 24.91%
b. Sales (Sales to related parties / Total Sales) 5.75% 6.10%
Share of RPTs in c. Loans & advances (Loans & advances given to related Nil Nil
parties / Total loans & advances)
d.
Investments (Investments in related parties / Total Nil Nil
Investments made)
PRINCIPLE 2
Businesses should provide goods and services in a manner that is sustainable and safe.
1. Percentage of R&D and capital expenditure (capex) investments in specific technologies to improve the environmental
and social impacts of product and processes to total R&D and capex investments made by the entity, respectively.
Details of improvements in
environmental and social impacts
R&D1 2.20% 1.30%
See Note2
Capex1 15.56% 1.06%
Note:
1. The Company’s overall capex programme is designed towards investment in assets that continually improve the quality of
manufacturing processes. This helps the Company to not only reduce environmental and social impacts resulting from its
operations but also to offer products and services that have optimal impact on the environment.
2. R&D for improving environmental and social impacts of the product is done by the Company considering the customers’
requirements.
2. a. Does the entity have procedures in place for sustainable sourcing? (Yes/No):
Response: Yes, the Company has incorporated sustainability principles into its supply chain practices. The Company’s
sustainability measures also extend to its suppliers. LMW expects its suppliers to comply with all governmental
norms (both local and international) such as - Environment, Minimum Wages, Child Labour, Anti-Bribery, Corruption
Health, and Safety etc., and follow all environment, health, safety and other operational policies of the Company.
The Company’s manufacturing process is monitored and enhanced annually to ensure lower energy and resource
consumption. To reduce the impact on the environment, LMW prioritises the purchase of high-quality materials
and products that are easily accessible locally. The Company promotes and uses sustainable packaging whenever
it is practical. The Code of Conduct for Suppliers & Vendors can be found on the website of the Company at https://
www.lmwglobal.com/pdf/investors1/policies/business responsibility policy/08 Supplier Code of Conduct.pdf
b. If yes, what percentage of inputs were sourced sustainably?

Response: Before onboarding a supplier, LMW’s vendor capability assessment system evaluates and ensures that
the supplier’s process and products are sustainable. Hence, 100% sourcing is done sustainably.
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3. Describe the processes in place to safely reclaim your products for reusing, recycling and disposing at the end of life, for
(a) Plastics (including packaging) (b) E-waste (c) Hazardous waste and (d) other waste.
Response: LMW is an Original Equipment Manufacturer (OEM). The Company’s products have a resale value and can be
recycled and/or retrofitted.
4. Whether Extended Producer Responsibility (EPR) is applicable to the entity’s activities (Yes / No). If yes, whether the waste
collection plan is in line with the Extended Producer Responsibility (EPR) plan submitted to Pollution Control Boards?
If not, provide steps taken to address the same.
Response: Not applicable
PRINCIPLE 3
Businesses should respect and promote the well-being of all employees, including those in their value chains.
Essential Indicators:
1. a. Details of measures for the well-being of employees:
Percentage of employees covered by
Health Accident Maternity Paternity Day-care
Category Total Insurance Insurance Benefits Benefits Facilities
(A) Number % Number % Number % Number % Number %
(B) (B/A) (C) (C/A) (D) (D/A) (E) (E/A) (F) (F/A)
Permanent Employees
Male 2,243 2,243 100.00% Nil
Female 90 90 100.00% Nil 90 100.00% Nil
Total 2,333 2,333 100.00% 90 3.86%
Other than Permanent Employees
Male
Female Nil Nil NA NA
Total
b. Details of measures for the well-being of workers:

Percentage of workers covered by
Health Accident Maternity Paternity Day-care
Category Total Insurance Insurance Benefits Benefits Facilities
(A) Number % Number % Number % Number % Number %
(B) (B/A) (C) (C/A) (D) (D/A) (E) (E/A) (F) (F/A)
Permanent Workers
Male 1,257 1,257 100.00% 1,257 100.00%
Female Nil Nil Nil Nil Nil NA
Total 1,257 1,257 100.00% 1,257 100.00%
Other than Permanent Workers*
Male 232
Female 3 Nil NA Nil NA NA
Total 235
*covered under ESIC
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c. Spending on measures towards well-being of employees and workers (including permanent and other than permanent)
in the following format –
FY 2023-24 FY 2022-23
Cost incurred on well-being measures as 0.72% 0.61%
a % of total revenue of the Company
2. Details of retirement benefits, for Current Financial Year and Previous Financial Year
FY 2023-24 FY 2022-23
Deducted
No. of No. of No. of Deducted and
and No. of workers
Benefits employees Workers employees deposited
deposited covered as a
covered as a covered as a covered as a with
with the percentage of
percentage of percentage of percentage of the authority
authority total workers
total employees total workers total employees (Y/N/N.A.)
(Y/N / N.A.)
PF 100% of 100% of Yes 100% of 100% of Yes
applicable applicable applicable applicable
employees as workers as per employees workers
per act act as per act as per act
Gratuity 100% of 100% of Yes 100% of 100% of Yes
ESI 100% of 100% of Yes 100% of 100% of Yes
Others- Not Applicable
please
specify:
Nil
3. Accessibility of workplaces:
Are the premises / offices of the entity accessible to differently abled employees and workers, as per the requirements of
the Rights of Persons with Disabilities Act, 2016? If not, whether any steps are being taken by the entity in this regard.
Response: LMW engages with differently abled stakeholders frequently. The Company’s efforts focus on making its
premises more accessible to differently abled stakeholders. The Company seeks to ensure that its physical infrastructure
(buildings, furniture, facilities, and services in the building/campus) adhere to the accessibility standards as given/cited in
the Rights of Persons with Disabilities (RPWD) Act and other applicable rules. The Company continuously aims to revamp
its existing buildings to ensure strict compliance with the standards. Any new facility that is built / renovated / leased
/ rented will be evaluated for compliance with accessibility standards at different stages of the building construction.
Any employee facing accessibility issues can report to the facilities team at their location or write to the Liaison Officer.
4. Does the entity have an equal opportunity policy as per the Rights of Persons with Disabilities Act, 2016? If so, provide
a web-link to the policy.
Response: Yes, the Company has an equal opportunity policy in accordance with the Rights of Persons with Disabilities
Act, 2016. The policy states that recruitment decisions will be based solely on merit, and there will be no discrimination
on the basis of race, caste, religion, colour, ancestry, marital status, gender, sexual orientation, age, nationality, ethnicity,
disability or any other category protected by applicable law. The Company follows an inclusive evaluation process by
ensuring that a person with disability is provided with any suitable flexibility and accommodation that may be required
so that she/he may be evaluated fairly. The Company is committed to eliminating all forms of unlawful discrimination,
and strives to provide clear terms of employment, training, development, and performance management.
001 CORPORATE
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Equal Opportunity Policy of the Company can be found on the Company’s website at https://www.lmwglobal.com/pdf/
investors1/policies/business responsibility policy/10 Equal Opportunity Policy.pdf
5. Return to work and Retention rates of permanent employees and workers that took parental leave.
Permanent Employees Permanent Workers
Gender
Return to work rate Retention rate Return to work rate Retention rate
Male NA NA NA NA
Female 100.00% 100.00% NA NA
Total 100.00% 100.00% NA NA
Note: The Company provides maternity leave only.
6. Is there a mechanism available to receive and redress grievances for the following categories of employees and worker?
If yes, give details of the mechanism in brief.
Yes/No
Particulars
(If yes, then give details of the mechanism in brief)
Permanent Workers Yes, the Company has internal procedures in place for grievance redressal of
Other than Permanent Workers employees and workers. The structured grievance redressal forum monitors and
reviews complaints received, if any. Along with this forum, the Company also has a
Permanent Employees
Safety committee which carries out interaction with all departments periodically.
Other than Permanent Employees Besides the safety committee the Company also has an Internal Complaints
Committee as required under POSH Act 2013. The Company also has a Whistle
Blower mechanism to receive/process/resolve grievances, if any of employees and
workers.
7. Membership of employees and worker in association(s) or unions recognised by the listed entity:
FY 2023-24 FY 2022-23
Total No. of employees /
Total No. of employees /
employees / workers in
Category employees workers in respective
% workers in respective
/ workers in category, who are % (D / C)
(B / A) respective category, who are
respective part of association(s)
category part of association(s)
category (A) or union (B)
(C) or union (D)
Total
Permanent 2,333 Nil NA 2,132 Nil NA
Employees
Male 2,243 Nil NA 2,043 Nil NA
Female 90 Nil NA 89 Nil NA
Total 1,257 1,257 100.00% 1,286 1,286 100.00%
Permanent
Workers
Male 1,257 1,257 100.00% 1,286 1,286 100.00%
Female Nil Nil NA Nil Nil NA
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8. Details of training given to employees and workers:
FY 2023-24 FY 2022-23
On Health and On Skill On Health and On Skill
Category Total safety measures upgradation Total safety measures upgradation
(A) No. % No. % (D) No. % No. %
(B) (B/A) (C) (C/A) (E) (E/D) (F) (F/D)
Employees
Male 2,243 1,773 79.05% 1,897 84.57% 2,043 1,532 74.99% 1,583 77.48%
Female 90 83 92.22% 76 84.44% 89 72 80.90% 29 32.58%
Total 2,333 1,856 79.55% 1,973 84.57% 2,132 1,604 75.23% 1,612 75.61%
Workers
Male 1,257 966 76.85% 816 64.92% 1,286 940 73.09% 484 37.64%
Female Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil
Total 1,257 966 76.85% 816 64.92% 1,286 940 73.09% 484 37.64%
Other than Permanent Workers
Male 232 232 100.00% 232 100.00% 323 323 100.00% 323 100.00%
Female 3 3 100.00% 3 100.00% 3 3 100.00% 3 100.00%
Total 235 235 100.00% 235 100.00% 326 326 100.00% 326 100.00%
9. Details of performance and career development reviews of employees and worker:

FY 2023-24 FY 2022-23
Category
Total (A) No.(B) % (B/A) Total (C) No.(D) % (D/C)
Employees
Male 2,243 2,243 100.00% 2,043 2,029 99.31%
Female 90 90 100.00% 89 88 98.88%
Total 2,333 2,333 100.00% 2,132 2,117 99.30%
Workers
Male 1,257 57 4.53% 1,286 242 18.82%
Female Nil Nil Nil Nil Nil Nil
Total 1,257 57 4.53% 1,286 242 18.82%
10. Health and safety management system:

a. Whether an occupational health and safety management system has been implemented by the entity? (Yes/ No).
If yes, the coverage such system?
Response: To enable and ensure a healthy, safe workplace, the Company has a comprehensive Environment,
Occupational Health, and Safety Management System (EOHS) in place. LMW ensures that its EOHS system
is implemented across all sites. All manufacturing locations are certified for requirements under ISO 45001
(Occupational Health and Safety System). The adoption of various precautionary safety measures are integrated
with the system.
b. What are the processes used to identify work-related hazards and assess risks on a routine and non-routine basis
by the entity?
Response: LMW has implemented a Hazard Identification and Risk Assessment (HIRA) program in its operations.
The Company is also providing guidance on proper equipment handling and has appropriate protective wear (e.g.,
helmets, eye masks) in place according to the statutory requirements. The Company’s plant managers monitor the
entire manufacturing process to avoid any instance of safety related accident. Near miss incidents are recorded and
reviewed by the managers to identify work related hazards and ensure workplace safety.
001 CORPORATE
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c. Whether you have processes for workers to report work-related hazards and to remove themselves from such risks.
(Yes/No)
Response: Yes, the Company encourages its workers to report near-miss incidents and consistently promotes a
strong safety culture in the organisation.
d. Do the employees/ worker of the entity have access to non-occupational medical and healthcare services? (Yes/ No)
Response: Yes, LMW collaborates with local hospitals to provide its workers and employees with non-occupational
medical and healthcare services.
11. Details of safety related incidents, in the following format:

Safety Incident/Number Category* FY 2023-24 FY 2022-23
Lost Time Injury Frequency Rate (LTIFR) (per one million- Employees 0.13 Nil
person hours worked) Workers 0.40 0.08
Total recordable work-related injuries Employees 3 2
Workers 33 135
No. of fatalities Employees Nil Nil
Workers Nil Nil
High consequence work-related injury or ill-health Employees Nil Nil
(excluding fatalities) Workers Nil Nil
*Including the contract workforce
12. Describe the measures taken by the entity to ensure a safe and healthy workplace.
Response: The Company ensures that its operations are compliant with all safety related statutory norms. LMW also
ensures that safety training is provided to employees and workers right after joining. The Company has department
wise Standard Operating Procedures (SOP) in place. All the manufacturing locations are certified for requirements under
ISO 45001 (Occupational Health and Safety System). The comprehensive Environment, Occupational Health and Safety
Management System (EOHS) ensures the workplace safety of the workforce. The Company also has in place various other
initiatives/measures to ensure a happy, healthy and safe workplace for its employees.
13. Number of Complaints on the following made by employees and workers:

FY 2023-24 FY 2022-23
Particulars Pending Pending
Filed during Filed during
resolution at the Remarks resolution at the Remarks
the year the year
end of year end of year
Working Conditions
Nil Nil
Health & Safety
14. Assessments for the year:

Percentage of your plants and offices that were assessed
(by entity or statutory authorities or third parties)
Health and safety practices1
100%
Working Conditions1
1
All the factories and offices of the Company are subject to regular/periodical visit/inspection by relevant statutory authorities.
15. Provide details of any corrective action taken or underway to address safety-related incidents (if any) and on significant
risks / concerns arising from assessments of health & safety practices and working conditions.
Response: There are no such instances of safety-related incidents / risks / concerns arising from assessments of health
& safety practices and working conditions.
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PRINCIPLE 4
Businesses should respect the interests of and be responsive to all its stakeholders.
1. Describe the processes for identifying key stakeholder groups of the entity.
The process of identifying key stakeholder groups involves gathering and analysing information to understand the
interests, needs, and concerns of the stakeholders, categorising them based on their level of importance, and developing
a plan to engage with them effectively.
2. List stakeholder groups identified as key for your entity and the frequency of engagement with each stakeholder group.
Whether Channels of communication Frequency of Purpose and scope of
identified as (Email, SMS, Newspaper, engagement engagement including
Stakeholder
Vulnerable & Pamphlets, Advertisement, (Annually/ Half yearly/ key topics and concerns
group
Marginalised Community Meetings, Notice Quarterly / others – raised during such
Group (Yes/No) Board, Website), Other please specify) engagement
Customers No Visits, Meetings, Survey, Need basis Information on
Newsletters, Brochures, social business offering and to
media, and e-mail understand customer
requirements
Employees No Bulletin Boards, Intranet, Need basis For career management,
Mailers, and internal ensuring personal
Committees growth, provide learning
opportunities and gather
informal feedback
Investors No Meetings, Press Release and Quarterly and Need Investor related
Stock Exchanges basis communication
Suppliers No Supplier Meetings, social Need basis for any To educate about recent
media, and Mailers centrally driven topic developments in the
industry
Government No Policy advocacy, Partnership Need basis Ensure compliance
/ Regulatory with industry bodies and
Bodies Meetings
Local Yes Site visits, Press Release, Social Quarterly/ periodic To develop the CSR
Community / Media, NGOs, Case Studies, and review meetings based project along with the
Society Mailers on the characteristics of community, according
each CSR project to the needs of the
community
PRINCIPLE 5
Businesses should respect and promote human rights.
1. Employees and workers who have been provided training on human rights issues and policy(ies) of the entity, in the
following format:
FY 2023-24 FY 2022-23
Category No. of Employees No. of Employees

Total % Total %
/ Workers covered / Workers covered
(A) (B/A) (C) (D/C)
(B) (D)
Employees
Permanent 2,333 2,206 94.56% 2,132 2,025 94.98%
Other than Permanent Nil Nil Nil Nil Nil Nil
Total 2,333 2,206 94.56% 2,132 2,025 94.98%
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FY 2023-24 FY 2022-23
Category No. of Employees No. of Employees

Total % Total %
/ Workers covered / Workers covered
(A) (B/A) (C) (D/C)
(B) (D)
Workers
Permanent 1,257 1,257 100.00% 1,286 1,286 100.00%
Other than Permanent 235 235 100.00% 326 326 100.00%
Total 1,492 1,492 100.00% 1,612 1,612 100.00%
2. Details of minimum wages paid to employees and workers, in the following format:
FY 2023-24 FY 2022-23
More than More than
Equal to Equal to
Minimum Total Minimum
Category Total Minimum Wage Minimum Wage
Wage (D) Wage
(A)
No. % No. % No. % No. %
(B) (B/A) (C) (C/A) (E) (E/D) (F) (F/D)
Employees
Permanent
Male 2,243 Nil Nil 2,243 100.00% 2,043 Nil Nil 2,043 100.00%
Female 90 Nil Nil 90 100.00% 89 Nil Nil 89 100.00%
Other than Permanent
Male
Nil Nil
Female
Workers
Permanent
Male 1,257 Nil Nil 1,257 100.00% 1,286 Nil Nil 1,286 100.00%
Female Nil Nil
Other than Permanent
Male 232 Nil Nil 232 100.00% 323 Nil Nil 323 100.00%
Female 3 Nil Nil 3 100.00% 3 Nil Nil 3 100.00%
3. Details of remuneration/salary/wages, in the following format:

a. Median remuneration / wages
Male Female
Median
Particulars Median remuneration/
remuneration/
Number salary/ wages of Number
salary/ wages of
respective category
respective category
Board of Directors (BoD) (Executive) 3 67,13,453 Nil NA
Board of Directors (BoD) (Non-Executive) 6 10,00,000 1 10,00,000
Key Managerial Personnel 2 66,71,273 Nil NA
Employees other than BoD and KMP 2,241 6,10,961 90 5,44,015
Workers 1,257 8,98,906 Nil NA
Note: For details on Board of Directors remuneration please refer to the Corporate Governance Report
b. Gross wages paid to females as % of total wages paid by the entity, in the following format:
FY 2023-24 FY 2022-23
Gross wages paid to females as % of total wages 2.29% 2.21%
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4. Do you have a focal point (Individual/ Committee) responsible for addressing human rights impacts or issues caused or
contributed to by the business? (Yes/No)
Response: Yes, the Head of Human Resources oversees addressing human rights impacts or issues caused or contributed
to by the business that may be raised by internal employees or contractors.
5. Describe the internal mechanisms in place to redress grievances related to human rights issues.
Response: The Company has a ‘Whistle Blower Mechanism’ in place through which employees can suitably represent any
perceived misconduct or complaints related to human rights issues. The Company also has an Anti-Sexual Harassment
Policy and Committees in place to ensure the safety and dignity of employees. All employees are educated on Human
Rights Policy through induction programmes, policy manuals and intranet portals. Any grievances falling under the
purview of this policy can be addressed to the HR department. For unionised employees, a robust grievance handling
procedure is in existence. The Human Rights Policy of the Company can be found on the Company’s website at https://
www.lmwglobal.com/pdf/investors1/policies/business responsibility policy/05 Human Rights Policy.pdf
6. Number of Complaints on the following made by employees and workers:

FY 2023-24 FY 2022-23
Particulars Filed during Pending resolution Filed during Pending resolution
Remarks Remarks
the year at the end of year the year at the end of year
Sexual Harassment
Discrimination at
workplace
Child Labour
Forced Labour / Nil Nil
Involuntary Labour
Wages
Other human rights
related issues
7. Complaints filed under the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013,
in the following format:
FY 2023-24 FY 2022-23
Total Complaints reported under Sexual Harassment on of Women at Nil Nil
Workplace (Prevention, Prohibition and Redressal) Act, 2013 (POSH)
Complaints on POSH as a % of female employees / workers Not Applicable Not Applicable
Complaints on POSH upheld Not Applicable Not Applicable
8. Mechanisms to prevent adverse consequences to the complainant in discrimination and harassment cases.
Response: The Company has adopted a robust whistle blower mechanism to ensure transparent and fair action in
case of any misconduct or unethical practice. The Whistle blower policy states that identity of the complainant will
be kept confidential to the extent possible given the legitimate needs of law and the investigation. Additionally, the
policy protects the complainant from discrimination, victimisation, retaliation, threat, discrimination, or any other unfair
employment practice being adopted against a Whistle Blower. Whistle Blower policy of the Company can be found on
the Company’s website https://www.lmwglobal.com/pdf/investors1/policies/12 Whistle Blower Policy.pdf.
9. Do human rights requirements form part of your business agreements and contracts? (Yes/No)
Response: Yes, the Company follows internationally accepted human rights norms and standards which also extend to
business agreements and contracts.
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10. Assessments for the year:
Percentage of your plants and offices that were assessed
Particulars
(By entity or statutory authorities or third parties)
Child Labour
Forced/involuntary labour
Sexual harassment 100 % of our plants and offices are inspected
Discrimination at workplace regularly by relevant statutory authorities.
Wages
Others – Nil
11. Provide details of any corrective actions taken or underway to address significant risks / concerns arising from the
assessments at Question 10 above.
Response: There are no such instances of significant risks or concerns arising from the assessment.
PRINCIPLE 6
Businesses should respect and make efforts to protect and restore the environment.
1. Details of total energy consumption (in Joules or multiples) and energy intensity, in the following format:
Parameter FY 2023-24 FY 2022-23
From renewable sources
Total electricity consumption (A) 3,13,49,84,50,800 kJ 3,07,74,49,88,400 kJ
Total fuel consumption (B) Nil Nil
Energy consumption through other sources (C) Nil Nil
Total energy consumption from renewable sources (A+B+C) 3,13,49,84,50,800 kJ 3,07,74,49,88,400 kJ
From non-renewable sources
Total electricity consumption (D) 83,20,84,74,000 kJ 1,19,31,22,04,400 kJ
Total fuel consumption (E) 58,14,96,90,000 kJ 65,46,31,37,700 kJ
Energy consumption through other sources (F) Nil Nil
Total energy consumed from non- 1,41,35,81,64,000 kJ 1,84,77,53,42,100 kJ
renewable sources (D+E+F)
Total energy consumed# (A+B+C+D+E+F) 4,54,85,66,14,800 kJ 4,92,52,03,30,500 kJ
Energy intensity per rupee of turnover 9.894338732 10.86466285
(Total energy consumed/ Revenue from operations)
Energy intensity per rupee of turnover adjusted for Purchasing - -
Power Parity (PPP) (Total energy consumed / Revenue from
operations adjusted for PPP)
Energy intensity in terms of physical output *
Energy intensity (optional) – the relevant metric may be selected by - -
the entity
Note: Indicate if any independent assessment/ evaluation/assurance has been carried out by an external agency? No.
* The business verticals of the Company do not have a uniform output metric(s)
(Previous year figures have been changed based on revised workings)
2. Does the entity have any sites / facilities identified as designated consumers (DCs) under the Performance, Achieve and
Trade (PAT) Scheme of the Government of India? (Y/N) If yes, disclose whether targets set under the PAT scheme have
been achieved. In case targets have not been achieved, provide the remedial action taken, if any.
Response: Not applicable. The Company does not come under any sector which comes under PAT scheme.
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3. Provide details of the following disclosures related to water, in the following format:
Water withdrawal by source (in kilolitres)
(i) Surface water 2,57,556.42 kl 2,56,725.90 kl
(ii) Groundwater 68,195.85 kl 90,558.06 kl
(iii) Third party water 390.00 kl 1,732.00 kl
(iv) Seawater / desalinated water Nil Nil
(v) Others Nil Nil
Total volume of water withdrawal (in kilolitres) (i + ii + iii + iv + v) 3,26,142.27 kl 3,49,015.96 kl
Total volume of water consumption (in kilolitres) Nil Nil
Water intensity per rupee of turnover Nil Nil
(Total Water Consumption / Revenue from operations)
Water intensity per rupee of turnover adjusted for Purchasing Power - -
Parity (PPP) (Total water consumption / Revenue from operations
adjusted for PPP)
Water intensity in terms of physical output*
Water intensity (optional) – the relevant metric may be selected by - -
the entity
Note: Indicate if any independent assessment/ evaluation/assurance has been carried out by an external agency? (Y/N) No.
* The business verticals of the Company do not have a uniform output metric(s)
4. Provide the following details related to water discharged:

Water discharge by destination and level of treatment (in kilolitres)
(i) To Surface water
- No treatment Nil Nil
- With treatment – please specify level of treatment Nil Nil
(ii) To Groundwater
(iii) To Seawater
(iv) Sent to third parties
(v) Others - Gardening
- With treatment - tertiary treatment 86,241 kl 86,870 kl
Total water discharged (in kilolitres) 86,241 kl 86,870 kl

Note: Indicate if any independent assessment/ evaluation/assurance has been carried out by an external agency? (Y/N) If yes, name of
the external agency: No.
5. Has the entity implemented a mechanism for Zero Liquid Discharge? If yes, provide details of its coverage and
implementation.
Response: Yes, the Company has implemented a Zero Liquid Discharge (ZLD) mechanism at its plants. The recycled
water is used for toilet flushing and other process in the Company premises. The Company has also installed a Sewage
Treatment Plant (STP) along with a Reverse Osmosis (RO) plant for water treatment along with an agitated thin film drier
at Textile Machinery Division - Unit 2 to increase the output quality of the treated water and thereby reduce hazardous
waste generation.
001 CORPORATE
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6. Please provide details of air emissions (other than GHG emissions) by the entity, in the following format:
Parameter Please specify unit FY 2023-24 FY 2022-23
NOx Micro gram / Meter cube 26 25
SOx Micro gram / Meter cube 27 16
Particulate Matter (PM) Micro gram / Meter cube 28 93
Persistent organic pollutants (POP) Nil Nil
Volatile organic compounds (VOC) Nil Nil
Hazardous air pollutants (HAP) Nil Nil
Others – Foundry Dust Tons 1,021 584

the external agency. No
7. Provide details of greenhouse gas emissions (Scope 1 and Scope 2 emissions) & its intensity, in the following format:
Response: As part of the Company’s sustainability objective, LMW is in the process of undertaking calculation of scope
1 & scope 2 emissions across all its businesses. Currently the Company has completed scope 1 & 2 emission calculation.
Parameter Unit FY2023-24 FY 2022-23
Total Scope 1 emissions (Break-up of the GHG into CO2, Metric tonnes of 5,638.41 6,703.33
CH4, N2O, HFCs, PFCs, SF6, NF3, if available) CO2 equivalent
Total Scope 2 emissions (Break-up of the GHG into CO2, Metric tonnes of 19,052.64 26,845.24
CH4, N2O, HFCs, PFCs, SF6, NF3, if available) CO2 equivalent
Total Scope 1 and Scope 2 emission intensity per rupee Metric tonnes of 0.00000054 0.00000074
of turnover (Total Scope 1 and Scope 2 GHG emissions / CO2 equivalent tCo2e per Rupee tCo2e per Rupee
Revenue from operations)
Total Scope 1 and Scope 2 emission intensity per rupee - - -
of turnover adjusted for Purchasing Power Parity (PPP)
(Total Scope 1 and Scope 2 GHG emissions / Revenue from
operations adjusted for PPP)
Total scope 1 and scope 2 emission intensity in terms of
physical output *
Total Scope 1 and Scope 2 emission intensity (optional) – - - -
the relevant metric may be selected by the entity

the external agency: No.
*The business verticals of the Company do not have a uniform output metric(s)
(Previous year figures have been changed based on revised workings)
8. Does the entity have any project related to reducing Green House Gas emission? If yes, then provide details.
Response: The Company’s focus lies in reducing net emissions by tracking overall energy consumption and we have
internally set a target to 100% offset the energy consumption with renewable energy. The scope 1 emissions account for
around 69% of overall emissions. Diesel and LPG account for the majority of scope 1 emissions (67% and 23% respectively).
Therefore, the Company is exploring options to move to low-carbon fuels which have lesser emissions. These include the
use of biodiesel, compressed natural gas (CNG), instead of diesel in generators switching to electric heaters from LPG in
canteens etc. CNG is cost-effective and a better alternative for Acetylene used in the Foundry Division. The Company is
also studying the feasibility of using CNG for metal cutting operation which could potentially offset 72% of Acetylene
emissions from foundry division-II.
The Company’s scope 2 emission accounts for 31% of overall emissions, most of which were offset by the wind and solar
power generating facilities installed by the Company. The Company has a 15 MW Solar Power Generation Plant and has
also installed 28 windmills with a total capacity of 36.80 MW. This has helped offset the emissions generated by energy
consumption from conventional non-renewable sources.
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The Company is continuously developing and modifying processes to minimise the use of energy and fossil fuels.
To reduce the emissions from non-renewable sources, the Company is replacing sodium vapour lights with LED which
leads to lower power consumption. The Company has also reduced emissions caused by refrigerant through better
refrigerant management leading to lower emissions. Along with this, the Company is switching to energy efficiency
compressors.
9. Provide details related to waste management by the entity, in the following format:
Total Waste generated (in metric tonnes)
Plastic waste (A) 200.70 199.22
E-waste (B) 2.80 1.55
Bio-medical waste (C) Nil Nil
Construction and demolition waste (D) Nil Nil
Battery waste (E) Nil Nil
Radioactive waste (F) Nil Nil
Other Hazardous waste. Please specify, if any. (G)* 9,812.70 11,795.53
Other Non-hazardous waste generated (H).** 1,921.00 1,851.15
Please specify, if any. (Break-up by composition i.e.,
by materials relevant to the sector)
Total (A + B + C + D + E + F + G + H) 11,937.20 13,847.45
Waste intensity per rupee of turnover. 0.00000026 0.00000031
(Total waste generated /Revenue from operations)
Waste intensity per rupee of turnover adjusted for Purchasing Power Parity - -
(PPP) (Total waste generated / Revenue from operations adjusted for PPP)
Waste intensity in terms of physical output#
Waste intensity (optional) – the relevant metric may be selected by the entity - -
For each category of waste generated, total waste recovered through recycling, re-using or other recovery operations
(in metric tonnes)
Category of Waste
(i) Recycled 8,766.40 0.08
(ii) Re-used 894.60 2,858.90
(iii) Other recovery operations*** 2,276.10 9,406.70
Total 11,937.10 12,265.68
For each category of waste generated, total waste disposed by nature of disposal method (in metric tonnes)
Category of Waste
(i) Incineration 11.50 10.64
(ii) Landfilling 15.80 17.00
(iii) Other disposal operations 0 0
Total 27.30 27.64
Note: Indicate if any independent assessment/ evaluation/assurance has been carried out by an external agency? (Y/N) No.
*Other hazardous waste includes metal scraps.
**Other Non-hazardous waste includes scraps of paper, wood, rubber, and other non-metallic waste.
***Other recovery operations include the waste that was co-processed.
#
The business verticals of the Company do not have a uniform output metric(s)
10. Briefly describe the waste management practices adopted in your establishments. Describe the strategy adopted by your
company to reduce usage of hazardous and toxic chemicals in your products and processes and the practices adopted
to manage such wastes.
Response: Various measures are taken by the Company to handle waste at its facilities, namely:
001 CORPORATE
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127
Zero Liquid Discharge: The Company has installed a Sewage Treatment Plant (STP) along with RO plants and a Zero
Liquid Discharge mechanism at its plants.
Hazardous waste: The hazardous waste generated during operations is disposed through authorised vendors who have
the necessary certification/licenses to handle such waste.
E-Waste: The Company disposes outdated servers, monitors, computers, and other e-waste generated in its operations
through e-waste management vendors approved by the government.
Production/Other waste: The Company also has a well-established waste recycling system which helps it to reuse more
than 10% of production waste generated. The cast iron and mild steel waste generated from the manufacturing process is
recycled entirely in the in-house foundry. This is achieved by initially briquetting and shredding of waste before melting.
The Company’s sand reclamation facility recycles waste sand from foundry processes. Other waste such as plastic, office
waste, packaging, and paper is given to vendors for recycling. Food waste from cafeterias is given to vendors to use as
animal feed and manure in nearby farmlands. The Company has disposed old batteries through authorised vendors for
recycling.
11. If the entity has operations/offices in/around ecologically sensitive areas (such as national parks, wildlife sanctuaries,
biosphere reserves, wetlands, biodiversity hotspots, forests, coastal regulation zones etc.) where environmental approvals
/ clearances are required, please specify details in the following format:
Response: Not applicable, as the Company does not have any operations/offices in/around ecologically sensitive areas.
12. Details of environmental impact assessments of projects undertaken by the entity based on applicable laws, in the current
financial year:
Response: No environmental impact assessment of projects was undertaken by the Company during the current financial year.
13. Is the entity compliant with the applicable environmental law/ regulations/ guidelines in India, such as the Water
(Prevention and Control of Pollution) Act, Air (Prevention and Control of Pollution) Act, Environment protection act and
rules thereunder (Y/N). If not, provide details of all such non-compliances, in the following format:
Any fines / penalties/
Specify the law/ Provide action taken by
Corrective
regulation/ details of regulatory agencies
Sl. No. action taken
guidelines which was the non- such as pollution
if any
not complied with compliance control
boards or by courts
Not Applicable as the Company is compliant with all applicable laws and regulations.
PRINCIPLE 7
Businesses, when engaging in influencing public and regulatory policy, should do so in a manner that is responsible and
transparent.
1. a. Number of affiliations with trade and industry chambers/ associations:
Response: The Company is associated with about 30 trade and industry chambers/associations.
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b. List the top 10 trade and industry chambers/ associations (determined based on the total members of such body)
the entity is a member of/ affiliated to.
Sl. Name of the trade and industry chambers/ Reach of trade and industry chambers /
No. associations associations (State/National)
1 Confederation of Indian Industry National
2 Federation of Indian Chambers of Commerce and Industry National
3 Federation of Indian Export Organization National
4 Indian Chamber of Commerce and Industry National
5 Textile Machinery Manufacturers’ Association of India National
6 Indian Machine Tool Manufacturers’ Association National
7 Society of Indian Aerospace Technologies and Industries National
8 Indian Wind Power Association National
9 International Textile Manufacturers’ Federation International
10 The Institute of Indian Foundrymen National
2. Provide details of corrective action taken or underway on any issues related to anti-competitive conduct by the entity,
based on adverse orders from regulatory authorities.
Response: There were no cases of anti-competitive conduct during the reporting period.
Name of authority Brief of the case Corrective action taken
Nil
PRINCIPLE 8
Businesses should promote inclusive growth and equitable development.
1. Details of Social Impact Assessments (SIA) of projects undertaken by the entity based on applicable laws, in the current
financial year.
2. Provide information on project(s) for which ongoing Rehabilitation and Resettlement (R&R) is being undertaken by your
entity, in the following format:
3. Describe the mechanisms to receive and redress grievances of the community.

Response: The scope of our Whistle blower policy covers external stakeholders, through which community members can
raise their concerns. Along with this, we also implement a public grievance redressal mechanism, where any complaints
or grievances of our stakeholders, including the community, can be addressed directly to our Administration Department
at the following address:
Head – Administration
34 A, Kamaraj Road
Coimbatore – 641 018
Tamil Nadu, India
Phone: +91 422 7198100
E-Mail: [email protected]
4. Percentage of input material (inputs to total inputs by value) sourced from suppliers:
Directly sourced from MSMEs/ small producers 15.48% 17.54%
Directly from within India 74.23% 57.77%
001 CORPORATE
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129
5. Job creation in smaller towns – Disclose wages paid to persons employed (including employees or workers employed
on a permanent or non-permanent / on contract basis) in the following locations, as % of total wage cost
Location FY 2023-24 FY 2022-23
Rural Nil Nil
Semi-Urban 92.96% 93.11%
Urban Nil Nil
Metropolitan 7.04% 6.89%
(Place to be categorised as per RBI Classification System - rural / semi-urban / urban / metropolitan)
PRINCIPLE 9
Businesses should engage with and provide value to their consumers in a responsible manner.
1. Describe the mechanisms in place to receive and respond to consumer complaints and feedback.
Response: Customer feedback and opinions are collected on a real time basis at frequent intervals. The Company has
undertaken a customer centric methodology and aims to resolve issues of the consumers on a timely basis. The global
service team receives customer complaints from service engineers or selling agencies. The complaints are registered
online in the portal maintained within the Company, categorising the complaint received and assigning accountability.
Daily meetings are held with cross-functional team members to discuss and analyse complaints. If a complaint is within
the warranty period, free replacement parts are dispatched to the customer. Also, containment actions are initiated, and
root cause analysis is performed. Corrective actions are proposed, implemented, and monitored. The effectiveness of
the corrective action to prevent recurrence is also analysed. The quality team acknowledges these actions and updates
relevant standardisation documents. If issues persist, further analysis is conducted. Horizontal deployment may be
considered for similar products.
Scope of the Whistle Blower policy allows all stakeholders to raise their concerns. Along with this, the Company also
has a public grievance redressal mechanism, where any complaints or grievances can be addressed directly to the
Administration department through an email address and phone number provided on the website.
2. Turnover of products and/ services as a percentage of turnover from all products/services that carry information about
environmental and social parameters relevant to the product, safe and responsible use, recycling and/or safe disposal:
Response: Lakshmi Machine Works is compliant with disclosure requirements as per applicable laws.
3. Number of consumer complaints in respect of the following:

FY 2023-24 FY 2022-23
Particulars Received Pending Received Pending
during the resolution Remarks during the resolution at Remarks
year at end of year year end of year
Data privacy
Advertising
Cyber-security
Delivery of essential services Nil NA Nil NA
Restrictive Trade Practices
Unfair Trade Practices
Other
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4. Details of instances of product recalls on account of safety issues:
Particulars Number Reasons for recall
Voluntary recalls
Nil
Forced recalls
5. Does the entity have a framework/ policy on cyber security and risks related to data privacy? (Yes/No) If available, provide
a web-link of the policy.
Response: Yes. The Company has a comprehensive Information Security Policy and an Information Technology policy
in place that outlines data security procedures for all business operations. These policies are available on the Company’s
intranet. These policies on information security have been structured with the aim of protecting data and information
systems from unauthorised access, use, disclosure, disruption, modification, or destruction, to ensure the integrity,
confidentiality, and availability of the information. Standard procedures and policies regarding Removable Devices,
Anti-virus Software, Vulnerability Management etc. are detailed to minimise the risk of loss or exposure of sensitive
information of the Company and to reduce the risk of acquiring malware infections on computers. The policy is formulated
by the Information Technology Committee under the overall directions of the Management. Overall responsibility to
administer the policy rests with the Head-IT. However, it is the responsibility of the Process Owners and other functional
heads to ensure implementation of the Policy in their respective areas. Effective implementation and monitoring are
done as per the policy guidelines by Process Owners and Functional Heads on a regular basis. A copy of the policy can
be found on the website of the Company at https://www.lmwglobal.com/privacy-policy.
6. Provide details of any corrective actions taken or underway on issues relating to advertising, and delivery of essential
services; cyber security and data privacy of customers; re-occurrence of instances of product recalls; penalty / action
taken by regulatory authorities on safety of products/services.
Response: No corrective action was taken by any regulatory authority on issues relating to advertising, cyber security, and
data privacy of customers; re-occurrence of instances of product recalls; penalty / action taken by regulatory authorities
on the safety of products/services.
7. Provide the following information relating to data breaches:

a. Number of instances of data breaches - Nil
b. Percentage of data breaches involving personally identifiable information of customers – Nil
c. Impact, if any, of the data breaches - Nil
001 CORPORATE
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131
Corporate
Governance Report
In compliance with Regulation 34(3) read with Schedule V of the SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015
1. PHILOSOPHY ON CODE OF GOVERNANCE: well in advance. The Company ensures that timely and
Lakshmi Machine Works Limited (“LMW” / “Company”) relevant information is made available to all Directors
corporate vision is to ensure a sustainable business that in advance, to facilitate their effective participation and
delights the customer, thrives to maintain the market contribution during meetings and deliberations.
leadership and at the same time enhances value for every
The Board determines strategic policies, approves
Stakeholder. To achieve this, systematic and planned
annual plans & budgets, capital expenditure, new
efforts are undertaken by the Company considering
projects, investment plans, conducts performance
the organisation’s core values and business ethics.
review, ensures statutory compliance, and risk
LMW consistently partners with its customers to deliver
management, etc., periodically. A minimum of four
quality products / services on time and at reasonable
meetings of the Board of Directors is held each year,
prices. LMW believes in ethical conduct of business and
one meeting is held in each quarter and it is ensured
maintains transparency and accountability in its activities
that the gap between two meetings does not exceed
as well as ensures compliance with all applicable laws.
one hundred and twenty days. Various Committees of
LMW is also aware of the fact that its ability to meet
the Board also meet as per the statutory requirements.
significant corporate goals is influenced by the extent
Also, as per statutory requirement, the Independent
to which prudent corporate governance policies
Directors meet separately at least once in a year.
are devised and adhered to within the organisation.
LMW consistently emphasises its commitment towards a) Details of composition of the Board, category
creation, monitoring and continuous upgradation of a of Directorship, attendance at the Meetings of
strong corporate governance policy and practice that the Company along with information on other
will define and drive the organisation’s performance Directorship details of the Directors on the
as per its cherished values and commitment to each Board of the Company as on 31st March 2024:
stakeholder.
The Board of Directors is constituted in such a
2. BOARD OF DIRECTORS: way that it strictly conforms with the provisions
of the Companies Act, 2013 and the SEBI (Listing
The Board provides leadership, strategic guidance,
Obligations and Disclosure Requirements)
and objective judgment in the conduct of affairs of
Regulations, 2015. The composition of the
the Company. The Board upholds the vision, purpose,
Board ensures a judicious mix of Executive and
and values of the Company. The Board consists of
Non-Executive Directors as well as the combination
experienced specialists who are experts in their
of Independent and Non-Independent Directors.
respective business / profession and have decades of
experience to their credit. As a Board, the Directors are As on 31st March 2024, the Board of Directors
committed to ethical and lawful conduct of business and consists of nine Directors, of whom one is the
possess the ability to steer the affairs of the Company Chairman and Managing Director, two are
in the right direction. The Board places emphasis on the Executive - Non-Independent Directors and
highest standards of governance practice which allows six are Non-Executive Directors. Out of the
the Company to carry on its business in the long- term six Non-Executive Directors, one Director is
interest of all stakeholders. Non-Executive and Non-Independent and
remaining five are Non-Executive Independent
To ensure the effective participation of all Directors, as Directors. The Board also meets with the
a matter of practice, an annual calendar for the Board, requirement of having an Independent Woman
Committees of the Board and General Meeting(s) of the Director.
Company are determined and intimated to the Directors
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REPORT 2023-24
The details of the attendance of each Director at Board Meetings, last Annual General Meeting (“AGM”) and their Directorship in other Indian Companies and
membership in the Committees thereof, details of Listed Company(ies) in which the Director holds Directorship, are as under:
Category of Attendance Directorship Membership in Names of other
Name, DIN &
Directorship at Particulars1 in other Indian Committees2 Listed Companies Designation in such
Designation of the
Lakshmi Machine Board Companies (Public + in which Directors other Listed Companies
OVERVIEW
Director AGM Chairperson Member
001 CORPORATE
Works Limited Meeting Private + Section 8) hold Directorship
Sri Sanjay Promoter - Executive 4 Yes 11 1 1 The Lakshmi Mills Promoter Group Member,
Jayavarthanavelu and Company Limited Non-Executive and Non -
DIN: 00004505 Non-Independent Independent Director
Chairman and Carborundum Non-Executive and
Managing Director Universal Limited Independent Director
REPORTS
Lakshmi Electrical Non-Executive and Non -
018 STATUTORY
Control Systems Independent Director
Limited
Super Sales India Promoter, Chairman,
Limited Non-Executive and Non -
Independent Director
Sri S Pathy Promoter Group 4 Yes 9 0 1 The Lakshmi Mills Promoter, Chairman
150 FINANCIAL
STATEMENTS
DIN: 00013899 Member - Company Limited and Managing Director
Director Non-Executive and (Executive)
Non-Independent Lakshmi Automatic Promoter, Chairman, Non -
Loom Works Executive and
Limited Non-Independent Director
Sri Aditya Himatsingka Non-Executive and 3 Yes 1 1 3 Coromandel Non-Executive and
DIN: 00138970 Independent International Independent Director
Director Limited
Dr Mukund Govind Rajan Non-Executive and 4 Yes 7 1 1 Nil Nil
DIN: 00141258 Independent
Director
Justice (Smt) Chitra Non-Executive 4 Yes 3 1 6 The Ramco Non-Executive and
Venkataraman (Retd.) and Independent Cements Limited Independent Director
DIN: 07044099 (Woman) Ramco Industries Non-Executive and
Director Limited Independent Director
Super Sales India Non-Executive and
Limited Independent Director
133
Category of Attendance Directorship Membership in Names of other
Name, DIN &
134
Directorship at Particulars1 in other Indian Committees2 Listed Companies Designation in such
Designation of the
Lakshmi Machine Board Companies (Public + in which Directors other Listed Companies
Director AGM Chairperson Member
Works Limited Meeting Private + Section 8) hold Directorship
Sri Arun Alagappan Non-Executive 3 Yes 7 0 2 Coromandel Promoter / Promoter
DIN: 00291361 and Independent International Group Member,
Director Limited Executive Chairman
(Wholetime Director)
Thirumalai Non - Executive and
Chemicals Limited Independent Director
Sri Aroon Raman Non-Executive and 3 No 8 0 3 Carborundum Non-Executive and
DIN: 00201205 Independent Universal Limited Independent Director
Director Wheels India Non - Executive and
Brigade Enterprises Non-Executive and
Sri Jaidev Promoter Group 4 Yes 4 0 0 Nil Nil
Jayavarthanavelu3 Member - Executive
DIN: 07654117 and
Director Non-Independent
Sri M Sankar4 Executive and 1 NA 0 0 0 Nil Nil
DIN: 10362673 Non-Independent
Director Operations
1
T he Board Meetings were held on 24th May 2023, 31st July 2023, 25th October 2023 and 12th February 2024. The Annual General Meeting was held on 31st July 2023. A separate meeting of
Independent Directors was held on 12th February 2024.
2
Number of Chairpersonship and Membership in Committees (Audit Committee and Stakeholders Relationship Committee) of all the Directors are within the limits specified in Regulation 26
of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The numbers contained in the column titled “Membership in Committees” denote only the Chairmanship and
Membership of the Directors in Audit Committee and Stakeholders Relationship Committees across all Public Limited Companies including Lakshmi Machine Works Limited, in which they hold
a Board position. A Director who is a Chairperson of a Committee is also additionally counted as a Member in the said Committee.
3
Sri Jaidev Jayavarthanavelu, was appointed as Wholetime Director of the Company with effect from 7th August 2023.
4
Sri M Sankar, was appointed as Director of the Company with effect from 25th October 2023.
Notes:
1. During the period under review, Sri K Soundhar Rajhan (DIN: 07594186), Director Operations, retired at the 60th Annual General Meeting of the Company held on
31st July 2023. The vacancy caused on account of his resignation was not filled by the Board. Further, Sri K Soundhar Rajhan (DIN: 07594186) was present at the Board
Meetings held on 24th May 2023 and 31st July 2023 respectively, and was also present at the Annual General Meeting of the Company held on 31st July 2023.
REPORT
ANNUAL
2. During the period under review, Sri T C Suseel Kumar (DIN: 06453310) resigned from the post of Nominee Director of Life Insurance Corporation of India with effect from
26th January 2024, on completion of his nomination tenure. Further, Sri T C Suseel Kumar (DIN: 06453310) was present at the Board Meetings held on 24th May 2023,
31st July 2023 and 25th October 2023 respectively, and was also present at the Annual General Meeting of the Company held on 31st July 2023.
2023-24
b) Number and dates of Board Meetings/separate meeting of Independent Directors
Four Meetings of the Board of Directors were held during the Financial Year 2023-24 and the Meetings were held on
24th May 2023, 31st July 2023, 25th October 2023 and 12th February 2024.
Independent Directors had met separately on 12th February 2024 during which all the Independent Directors were present.
c) Directors inter-se relationship
As on 31st March 2024, except Sri Jaidev Jayavarthanavelu none of the Directors are related to each other. Sri Jaidev
Jayavarthanavelu is the son of Sri Sanjay Jayavarthanavelu, Chairman and Managing Director.
d) Number of Shares and convertible instruments held by the Non-Executive Directors
Sl. Number of Equity Shares held
Name of the Director
No. as on 31st March 2024
1 Sri S Pathy 1,420
2 Sri Aditya Himatsingka -
3 Dr Mukund Govind Rajan -
4 Justice Smt Chitra Venkataraman (Retd.) -
5 Sri Arun Alagappan -
6 Sri Aroon Raman -
Note: The Company has not issued any convertible instruments.
e) Familiarisation Program for Independent Directors

To familiarise all aspects of the Business of the Company, suitable presentations/familiarisation programs were made/
conducted to/for the Directors. The details of the Familiarisation Program conducted for the Directors is available on the
Company’s website at: https://www.lmwglobal.com/pdf/investors1/leadership/familiarisation program/2023-24.pdf
f) Key Board qualifications, expertise, and attributes
The Board of Directors comprise of qualified Members who bring with them the required skills, competence and expertise
that allows them to effectively participate and assist the Management in the strategic decision-making process.
The list of core skills / expertise / competency as identified by the Board of Directors as required in the context of the
Company’s Business(es) and from that list, the skills that are available with the Board are as follows:
Leadership Leadership / Directorship experience resulting in effective participation in or
spearheading various initiatives taken up by the Company. Ability to envision, develop
talent, long-term planning and to champion & drive necessary changes.
Board Service, Has experience in managing Board Services and Governance resulting in better
Legal and understanding of the governance process undertaken by the organisation and helps to
Governance protect the Stakeholders’ interest at large. Has experience in Legal processes and is adept
at interpreting laws / regulations applicable to the Company to enhance the Governance
and protect its interest.
Business Experience at developing business strategies that result in identifying divestiture
Strategy and acquisition or alliance opportunities to strengthen the Company’s portfolio and
capabilities, analyse viability of a project with the business strategy and contribute
towards growth of the organisation (organic / inorganic).
Technology & Ability to develop long term plans to sustain and support the Business, anticipating
Innovation future business models / changes in an innovative way. Experience in understanding
technology, its purpose, and its suitability for the Company.
Financial Experience in supervising the principal financial officer or person having similar nature
of function. Having the ability to read and understand the Financial Statements.
Management of financial function of the organisation resulting in proficiency in financial
management / reporting / processes.
Sales and L Experience in driving / heading sales and marketing, resulting in better management of
Marketing sales, increase of organisation reputation and building of brand reputation.
Human Experience in people management including but not limited to talent management,
Resources dispute resolution, inter-personnel relations, liaison with external stakeholders.
001 CORPORATE
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135
In the table below, the specific areas of focus or expertise of individual Board Members have been highlighted.
However, absence of a mark against a Director’s name may not mean that the Director does not possess the said
qualification or skill.
Board Qualifications - Area of Expertise
Board
Technology
Service, Business Sales and Human
Name of the Director Leadership & Financial
Legal and Strategy Marketing Resources
Innovation
Governance
Sri Sanjay Jayavarthanavelu Yes Yes Yes Yes Yes Yes Yes
Sri S Pathy Yes Yes Yes Yes Yes Yes Yes
Sri Aditya Himatsingka Yes Yes Yes Yes Yes Yes Yes
Dr Mukund Govind Rajan Yes Yes Yes Yes Yes Yes Yes
Justice (Smt) Chitra Yes Yes Yes - Yes Yes Yes
Venkataraman (Retd.)
Sri Arun Alagappan Yes Yes Yes - Yes Yes Yes
Sri Aroon Raman Yes Yes Yes Yes Yes Yes Yes
Sri Jaidev Jayavarthanavelu Yes - Yes Yes Yes Yes Yes
Sri M Sankar Yes Yes Yes Yes Yes Yes Yes
g) Based on declarations received from the Independent an interest exists, they are required to make adequate
Directors, the Board of Directors are of the opinion disclosures to the Board and to abstain from discussion,
that the Independent Directors fulfill the conditions voting or otherwise influencing the decision on any
specified in the SEBI (Listing Obligations and Disclosure matter in which the concerned Director has or may
Requirements) Regulations, 2015 and the Companies have such interest. The Members of the Board and
Act, 2013 and are independent of the management. Senior Management Personnel annually confirm the
compliance of the Code of Conduct to the Board.
As per the requirements of the Companies Act, 2013,
The Code of Conduct for all Members of the Board of
all the Independent Directors of the Company have
Directors and the Senior Management Personnel is in
registered themselves in the Independent Directors Data
addition to the Code of Conduct of the Company.
Bank as per Rule 6(3) of the Companies (Appointment
and Qualification of Directors) Rules, 2014 and are The Chief Executive Officer’s declaration on Code
exempted from undertaking online self-assessment of Conduct signed by Sri Sanjay Jayavarthanavelu,
test. Chairman and Managing Director, affirming compliance
with the Company’s Code of Conduct forms a part of the
During the year under review, there were no instances
Annual Report.
of Independent Director(s) of the Company resigning
before expiry of applicable tenure. In accordance with the Securities and Exchange Board of
India(Prohibition of Insider Trading) Regulations, 2015,
h) Code of Conduct
the Company has, inter-alia, adopted a Code of Conduct
The Company’s Code of Conduct is based on its
for Prohibition of Insider Trading Code of Practices and
values and clarifies the principles and expectations
Procedures for Fair Disclosure of Unpublished Price
for everyone who works in the Company. It applies
Sensitive Information (Code) duly approved by the
to all Employees, Officers and Members of the Board.
Board of Directors of the Company.
The Code of Conduct is available on the Company’s
website www.lmwglobal.com. 3. AUDIT COMMITTEE:
The Board of Directors are responsible for ensuring The Audit Committee was constituted along with the
that rules are in place to avoid conflict of interest by terms of reference in line with the provisions of Section
the Board Members and the Management. The Board 177 of the Companies Act, 2013 and Regulation 18 of
has adopted the Code of Conduct for the Members of SEBI (Listing Obligations and Disclosure Requirements)
the Board and the Senior Management team. The Code Regulations, 2015. The terms of reference include
provides that the Directors are required to avoid any amongst other things review of financial statements,
interest in contracts entered by the Company. If such annual budgets, internal control systems, accounting
policies and practices, internal audit and administration.
136
ANNUAL
REPORT 2023-24
Sri C R Shivkumaran, Company Secretary serves as the financial disclosures, compliance with the requirements
Secretary of the Committee. as specified in the Companies Act, 2013 and SEBI (Listing
Obligations and Disclosure Requirements) Regulations,
Chief Financial Officer, Statutory Auditors, Internal 2015. The Committee meets once in every quarter to
Auditor, and the Company Secretary were always present carry out its Business.
at the Audit Committee Meetings. The Audit Committee
assures to the Board among other things adequacy of The Committee met four times during the financial
internal control system, compliance with applicable year under review on 24th May 2023, 31st July 2023,
accounting standards, adequacy and correctness of 25th October 2023 and 12th February 2024.
The Composition of the Audit Committee and the attendance details of Members is as follows:
Date of the Meeting and attendance details
Name of the Member
24th May 2023 31st July 2023 25th October 2023 12th February 2024
Dr Mukund Govind Rajan Yes Yes Yes Yes
(Chairman)
Sri Aditya Himatsingka Yes Yes No Yes
(Member)
Justice (Smt) Chitra Yes Yes Yes Yes
(Member)
The Chairman of the Audit Committee was present during the Annual General Meeting held on 31st July 2023.
4. NOMINATION AND REMUNERATION COMMITTEE:

In compliance with Section 178 of the Companies Act, 2013 and Regulation 19 read with Part D of Schedule II of SEBI
(Listing Obligations and Disclosure Requirements) Regulations, 2015, this Committee was formed for identifying persons
to be appointed as Directors and Senior Management positions, to recommend to the Board for appointment and
removal of Directors, carryout evaluation of Directors, formulate criteria for determining qualifications, positive attributes
and independence of Directors, recommend policy relating to remuneration of Directors / Senior Management.
The Committee met four times during the financial year under review on 24th May 2023, 31st July 2023, 25th October 2023
and 12th February 2024. The composition of the Nomination and Remuneration Committee and the attendance details
of Members is as follows:
Name of the Member
24th May 2023 31st July 2023 25th October 2023 12th February 2024
Dr Mukund Govind Rajan Yes Yes Yes Yes
(Chairman)
Sri S Pathy (Member) Yes Yes No Yes
Justice (Smt) Chitra Yes Yes Yes Yes
(Member)
Sri C R Shivkumaran, Company Secretary serves as the Secretary of the Committee.
The Chairman of the Nomination and Remuneration Committee was present during the Annual General Meeting held
on 31st July 2023.
Board Performance Evaluation:

The Securities and Exchange Board of India (SEBI) in its Master Circular dated 11th July 2023 has included a guidance note
on Board Evaluation specifying the criteria for evaluation of performance of (i) Board as a whole (ii) individual Directors
(including Independent Directors & Chairperson) and (iii) various Committees of the Board.
Based on the parameters suggested, the Nomination and Remuneration Committee has adopted suitable criteria to
evaluate the performance of Independent Directors, Committees of the Board and the Board of Directors as required
001 CORPORATE
STATEMENTS
137
under the Companies Act, 2013 and SEBI (Listing In addition to the sitting fees, commission, as approved
Obligations and Disclosure Requirements) Regulations, by the Shareholders at the Annual General Meeting
2015. held on 21st July 2021, is paid in the aggregate for all
Non-Executive Directors up to 1% of the Net Profits of
Performance Evaluation of the Board, the Individual the Company computed in the manner as specified
Directors and the Committees has been carried out in under Section 198 of the Companies Act, 2013 subject
accordance with the aforesaid circular. to an overall limit of C 1,00,00,000/- (Rupees One Crore
only) per annum. The amount of commission payable to
Independent Directors’ performance is evaluated based
each Non-Executive Director is determined by the Board
on their qualification, experience, knowledge and
based on the recommendation of the Nomination and
competency, ability to fulfill allotted functions / roles,
Remuneration Committee.
ability to function as a team, pro-activeness, participation
and attendance, commitment, contribution, integrity, Remuneration payable to Executive Director(s) consists
independence from the Company and the ability of fixed as well as variable components.
to articulate independent views and judgement.
Accordingly, a performance evaluation of Independent The fixed pay consists of salary and perquisites and
Directors has been conducted and the results have been the variable pay is in the form of commission on Net
communicated to the Chairman of the Board. Profit at a fixed percentage. Remuneration to Executive
Director(s) is determined by the Nomination and
5. DIRECTORS REMUNERATION: Remuneration Committee and the Audit Committee
The Non-Executive Director(s) of the Company of the Board of Directors and is approved by the
are remunerated in two ways viz., sitting fees and Shareholders at the General Meeting. No sitting fee is
commission. Sitting fees is paid to the Non-Executive being paid to the Executive Director(s).
Directors for attending the Meetings of Board of
Directors, Committees of Board of Directors, and other The details on the criteria for making payments to
Meetings of Directors at the rate of C 50,000/- per the Non-Executive Director(s) is available on the
Meeting. Company’s website at: https://www.lmwglobal.com/
pdf/investors1/policies/03 Criteria Remuneration Non
Executive Directors.pdf
Remuneration of Directors for the year ended 31st March 2024 is as follows:
(Amount in C )
Name Salary1 Perquisites1 Sitting Fee Commission1 Others1 Total
Sri Sanjay Jayavarthanavelu 1,94,40,000 32,40,000 - 19,17,41,380 30,55,200 21,74,76,580
Sri S Pathy - - 8,50,000 10,00,000 - 18,50,000
Sri Aditya Himatsingka - - 6,00,000 10,00,000 - 16,00,000
Dr Mukund Govind Rajan - - 8,00,000 10,00,000 - 18,00,000
Justice (Smt) Chitra - - 9,00,000 10,00,000 - 19,00,000
Sri Arun Alagappan - - 3,00,000 10,00,000 - 13,00,000
Sri Aroon Raman - - 2,00,000 10,00,000 - 12,00,000
Sri Jaidev Jayavarthanavelu2 58,54,839 - 1,00,000 3,50,685 4,68,387 67,73,911
Sri M Sankar3 55,41,968 7,28,129 - - 4,43,356 67,13,453
Sri T C Suseel Kumar - - 1,50,000 10,00,000 - 11,50,000
(Nominee Director of LIC)4
Sri K Soundhar Rajhan5 40,00,000 7,33,728 - - 10,32,430 57,66,158
1
ommission paid to Sri Sanjay Jayavarthanavelu is variable while salary and perquisites paid to Sri Sanjay Jayavarthanavelu, Sri Jaidev
C
Jayavarthanavelu and Sri M Sankar are fixed. For other Non-Executive Directors Commission is variable. (Amounts as mentioned under
the column Others refer to post retirement benefits).
2
Sri Jaidev Jayavarthanavelu was appointed as Wholetime Director of the Company effective from 07th August 2023.
3
Sri M Sankar was appointed as Director Operations of the Company with effect from 25th October 2023.
4
Sitting fees amount is paid to Sri T C Suseel Kumar while the Commission amount is paid to Life Insurance Corporation of India (LIC) as
per the communication received from LIC. Sri T C Suseel Kumar held the position of Nominee Director of LIC till 26th January 2024.
5
Sri K Soundhar Rajhan retired from the Board on 31st July 2023.
138
ANNUAL
REPORT 2023-24
No benefits, other than the above are given to the evaluate the efficacy with which services as mandated
Directors. No performance linked incentive, severance statutorily are extended to the Shareholders / Investors
fee, bonus, pension and/or stock option is given to the of the Company. The Committee periodically reviews
Directors. No service contracts were entered into with the services as rendered to the Shareholders particularly
the Directors, their appointment is governed by the with the redressal of complaints / grievances of
respective resolutions passed at the General Meeting Shareholders like delay in transfer / transmission of
of the Company in line with the requirements of the Shares, non-receipt of Annual Report, non-receipt of
Companies Act, 2013 and the SEBI (Listing Obligations declared Dividends, issue of duplicate certificates etc.,
and Disclosure Requirements) Regulations, 2015. and on the action taken by the Company on the above
Except as stated above, none of the Directors have any matters.
pecuniary relationship with the Company.
Sri C R Shivkumaran, Company Secretary serves as the
6. STAKEHOLDERS RELATIONSHIP COMMITTEE: Compliance Officer / Secretary of the Committee.
In compliance with Section 178(5) of the Companies Act,
During the year under review, 2 (two) complaints were
2013 and Regulation 20 read with Part D of Schedule II of
received from the Shareholders and the same were
resolved. Hence, no complaint / query is remaining
Regulations, 2015, this Committee has been formed to
unresolved & pending as on 31st March 2024.
The Committee met twice during the year under review on 31st July 2023 and 12th February 2024. The composition of the
Stakeholders Relationship Committee and the details of attendance of Members is as follows:
Name of the Member
31st July 2023 12th February 2024
Sri Aditya Himatsingka (Chairman) Yes Yes
Sri S Pathy (Member) Yes Yes
Justice (Smt) Chitra Venkataraman (Retd.) (Member) Yes Yes
The Chairman of the Stakeholders Relationship on 24th April 2023, 08th August 2023, 12th October 2023,
Committee was present during the Annual General 31st October 2023, 24th November 2023, 27th December 2023,
Meeting held on 31st July 2023. 16th February 2024 and 25th March 2024 during the year
under review.
7. SHARES AND DEBENTURES COMMITTEE:
The Shares and Debentures Committee consists of 8. RISK MANAGEMENT COMMITTEE:
the Members of the Board, Company Secretary and As required under Regulation 21 of SEBI (Listing
nominees of the Registrar and Share Transfer Agent. Obligations and Disclosure Requirements) Regulations,
As on date of this report, there are 5 Members in the 2015, the Risk Management Committee has been
Committee. The Committee reviews and approves constituted with a majority consisting of Board of
transfer, transmission, split, consolidation, issue of Directors as its Members.
duplicate Share Certificate, recording change of name,
transposition of names etc., in Equity Shares of the The Risk Management Committee monitors, reviews the
Company. Shareholder requests on the above matters are Risk Management plan of the Company and performs
being processed and certificates returned to them within such other functions as mandated by the Board of
the prescribed time. The Committee has met eight times Directors.
The Committee met three times during the year under review on 24th May 2023, 25th October 2023 and 12th February 2024.
The composition of the Risk Management Committee and the details of attendance of Members is as follows:
Table A – Attendance details of Members (Board Members):
Name of the Member
24 May 2023
th
25th October 2023 12th February 2024
Dr Mukund Govind Rajan (Chairman) Yes Yes Yes
Sri Aditya Himatsingka (Member) Yes No Yes
Justice (Smt) Chitra Venkataraman (Retd.) (Member) Yes Yes Yes
Sri M Sankar (Member)1 Yes Yes Yes
001 CORPORATE
STATEMENTS
139
Table B – Attendance details of Members (Executives):
Name of the Member
24th May 2023 25th October 2023 12th February 2024
Sri N Krishna Kumar (Member)2 NA Yes Yes
Sri K Sreeramachandra Murthy (Member)2 No NA NA
1
Sri M Sankar, previously designated as President – TMD, was appointed as Director Operations with effect from 25th October 2023.
The Committee was reconstituted by the Board of Directors at their Meeting held on 24th May 2023.
2
Sri K Sreeramachandra Murthy was replaced by Sri N Krishna Kumar with effect from 24th May 2023.
9. CORPORATE SOCIAL RESPONSIBILITY COMMITTEE:

The Corporate Social Responsibility Committee was constituted in compliance with the provisions of Section 135 of
the Companies Act, 2013 and the Companies (Corporate Social Responsibility Policy) Rules, 2014, to formulate policies,
indicate the activities / projects and the amount of expenditure to be incurred in relation to the CSR activities of the
Company.
The Committee met twice during the year under review on 24th May 2023 and 25th October 2023. The composition of the
Corporate Social Responsibility Committee and the details of attendance of Members is as follows:
Name of the Member
24th May 2023 25th October 2023
Sri Sanjay Jayavarthanavelu (Chairman) Yes Yes
Sri Aditya Himatsingka (Member) Yes No
Sri Arun Alagappan (Member) Yes Yes
10. PARTICULARS OF SENIOR MANAGEMENT INCLUDING THE CHANGES THEREIN SINCE THE CLOSE OF
THE PREVIOUS FINANCIAL YEAR
Name of Senior Changes if any, since the
Nature of change and
Management Designation previous financial year
effective date
Personnel (“SMP”) (Yes / No)
Sri K Soundhar Rajhan Chief Strategy Officer Yes Recognised as SMP
w.e.f. 01st August 2023
Sri M Sankar President Yes Appointed as Director
w.e.f. 25th October 2023
Sri N Krishna Kumar President No -
Sri S Rajasekaran Senior Vice President No -
Sri V Senthil Chief Financial Officer No -
Sri Sanjay Ahuja Head HR No -
Sri S Ravichandran Senior General Manager No -
Sri C R Shivkumaran Company Secretary No -
Sri B N Nandhakumar Vice President Yes Resigned on 03rd August 2023
140
ANNUAL
REPORT 2023-24
11. GENERAL BODY MEETINGS:
Information regarding the Annual General Meeting held during the last three Financial Years is given below:
Type Venue Day Date Time (IST)
AGM via Video Conference from “Lakshmi”, No.34-A, Kamaraj Road, Wednesday 21st July 2021 03:30 P.M
Coimbatore - 641018, Tamil Nadu, India.
AGM -do- Monday 25th July 2022 03:30 P.M
AGM -do- Monday 31st July 2023 03:30 P.M
Details of special resolution passed in the AGM

AGM Date Particulars of Resolution
21st July 2021 Re-appointment of Sri Sanjay Jayavarthanavelu (DIN: 00004505) as Managing Director of the
Company.
Re-appointment of Sri Arun Alagappan (DIN: 00291361) as an Independent Director of the Company.
25th July 2022 Appointment of Sri Aroon Raman (DIN: 00201205) as an Independent Director of the Company.
31st July 2023 Appointment of Sri Jaidev Jayavarthanavelu (DIN: 07654117) as Wholetime Director of the
Company.
12. POSTAL BALLOT:

The Company had approached the Shareholders during the year under review through Postal Ballot.
The details of Resolutions passed through Postal Ballot and the voting pattern for the said Resolution are disclosed as under:
Date of Postal Ballot Notice: 25th October 2023
Voting period for Postal Ballot (E-Voting):
Cut-off date: 10th November 2023
From 17th November 2023 to 16th December 2023
Date of declaration of results:
Date of approval: 16th December 2023
18th December 2023
Votes cast in Votes cast Invalid
No of favour against votes cast
Type of
Resolution Particulars Votes
Resolution No of No of No of
polled % %
votes votes votes
Approval for Appointment of Sri M Sankar Ordinary 77,90,983 73,89,973 99.06 70,340 0.94 3,30,670
(DIN: 10362673) as a Director of the Company.
Approval for Appointment of Sri M Sankar Special 77,90,992 74,00,754 99.20 59,568 0.80 3,30,670
(DIN: 10362673) as Wholetime Director
(designated as Director Operations) of the
Company and approval of his remuneration.
Procedure for Postal Ballot: Companies (Management and Administration) Rules,

In accordance with the MCA Circulars, the Postal 2014 (as amended) and Regulation 44 of SEBI (Listing
Ballot Notice dated 25th October 2023, was sent Obligations and Disclosure Requirements) Regulations,
only by electronic mode to those members whose 2015 and the Resolutions as specified in the Notice of
names appeared in the Register of Members / List of the Postal Ballot dated 25th October 2023 (as specified
Beneficial Owners as on 10th November 2023 (“Cut-Off above) were transacted through Postal Ballot only by
Date”) as received from the Depositories and whose way of remote e-Voting.
e-mail addresses were registered with the Company /
Depositories. The Company had engaged the services of the National
Securities Depository Limited (“NSDL”) for providing an
Sri M D Selvaraj, FCS, Managing Partner of M/s. MDS & e-Voting facility to the Members. The Members were
Associates LLP, Company Secretaries, Coimbatore was provided with the option of exercising their right to
appointed as the Scrutnizer for carrying on the Postal vote on the said resolution through e-Voting during the
Ballot process in a fair and transparent manner. period from 17th November 2023 to 16th December 2023.
Pursuant to the provisions of Sections 108 & 110 of Upon completion of the voting period, the Scrutinizer
the Companies Act, 2013 read with Rule 22 of the completed the scrutiny of votes cast and submitted
001 CORPORATE
STATEMENTS
141
his report to the Chairman and Managing Director. Closure and Quarterly Unaudited results and Audited
The results of the voting were declared on Monday, Financial Results are being published in The Hindu
18th December 2023 and displayed on the websites of Business Line English daily Newspaper(s) and Dinamalar
the Stock Exchanges, the Company and the NSDL. Tamil daily Newspaper(s) and is also being informed to
the Stock Exchanges regularly.
Note: As per the requirements of Schedule V, Part
C, 7(e) of SEBI (Listing Obligations and Disclosure Besides, the Company’s Profile, Corporate Information,
Requirements) 2015, it is being informed that there is Quarterly and Annual Financial Statements, Annual
no proposal as on the date of this report to pass any Reports, Shareholding Pattern, Corporate Governance
Special Resolution through Postal Ballot. Report, Code of Conduct for Directors and Officers,
Product Range, official news releases, if any and
13. MEANS OF COMMUNICATION:
presentations, if any, made to institutional investors/ to
The Company is conscious of the importance of the analysts are posted and updated on the Company’s
timely dissemination of adequate information to the website www.lmwglobal.com.
Stakeholders. The dates of General Body Meetings, Book
14. GENERAL SHAREHOLDER INFORMATION:

Annual General Meeting:
Day and Date Wednesday, 31st July 2024
Time 03:30 P.M (IST)
Venue Via Video Conferencing / Other Audio Visual means; from the deemed venue: “Lakshmi”,
No.34-A, Kamaraj Road, Coimbatore – 641018, Tamil Nadu, India.
Financial Calendar:
Financial Year 01st April 2023 to 31st March 2024
Date of Book Closure 25th July 2024 to 31st July 2024
Dividend Payment date 14th August 2024
Name and Address of the Stock Exchanges where the Company’s shares are listed:
The equity shares of the Company are listed in:
BSE Limited (Address: Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai - 400001).
National Stock Exchange of India Limited (Address: Exchange Plaza, C-1, Block-G, Bandra Kurla Complex, Bandra East,
Mumbai- 400051).
Annual Listing fees has been duly paid to both the Stock Exchanges.
Stock / Scrip Code & ISIN:
BSE Limited (“BSE”) Scrip Code National Stock Exchange of India Limited (“NSE”) Symbol ISIN
500252 LAXMIMACH INE269B01029
142
ANNUAL
REPORT 2023-24
Market Price data of Shares:
The monthly high & low of Company’s Share Price quoted in BSE / NSE during the Financial Year 2023-24 is given below:
(Amount in C )
BSE NSE
Month & Year
High Price Low Price High Price Low Price
April 2023 11,226 9,031 11,225 9,975
May 2023 11,769 10,738 11,776 10,820
June 2023 13,245 11,437 13,255 11,450
July 2023 14,444 12,842 14,442 12,784
August 2023 15,450 12,840 15,500 12,832
September 2023 15,501 14,409 15,498 14,375
October 2023 14,799 12,955 14,800 12,925
November 2023 14,450 12,730 13,525 12,722
December 2023 13,973 13,100 13,923 13,105
January 2024 14,393 13,000 14,435 12,984
February 2024 15,002 13,533 15,000 13,544
March 2024 16,667 13,350 16,650 13,333
Note: Prices are rounded off
Company’s Share Price performance in comparison with BSE Sensex:

The Shares of the Company are regularly traded and in no point of time the Shares were suspended for trading in any of
the Stock Exchanges wherein the Company’s Shares are listed.
LMW Share Price vs BSE Sensex
20,000 95,000
90,000
18,000
85,000
Share Price in D (BSE)
16,000 80,000
75,000
14,000
Sensex
70,000
12,000 65,000
60,000
10,000
55,000
8,000 50,000
Apr-23 May-23 Jun-23 Jul-23 Aug-23 Sep-23 Oct-23 Nov-23 Dec-23 Jan-24 Feb-24 Mar-24
Month
Share Price Sensex
Registrar & Share Transfer Agent:

During the year under review, the Hon’ble National Company Law Tribunal approved the merger of
M/s S.K.D.C. Consultants Limited (existing Registrar and Share Transfer Agent) with its holding Company M/s Link Intime
India Private Limited. Required intimation under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015 was made to the stock exchanges.
Transfer, transmission, transposition of name, split, consolidation, recording change of name of Shareholders, issue
of duplicate certificate, dematerialization, rematerialization and such other matters relating to the Equity Shares of
the Company are entrusted to the Registrar and Share Transfer Agent M/s Link Intime India Private Limited, Surya, 35
Mayflower Avenue, Behind Senthil Nagar, Sowripalayam Road, Coimbatore - 641028. Link Intime India Private Limited
are the connectivity provider for Demat Segment.
001 CORPORATE
STATEMENTS
143
Share Transfer System:
The Board has delegated the authority for approving transmission, dematerialization of shares etc. to the Shares and
Debentures Committee. The Company obtains an annual certificate from Practising Company Secretaries as per the
requirement of Regulation 40(9) of the SEBI Listing Regulations and the same is filed with the Stock Exchanges.
In terms of amended Regulation 40 of the SEBI Listing Regulations w.e.f. 01st April 2019, transfer of securities in physical
form shall not be processed unless the securities are held in the demat mode with a Depository Participant. Further, w.e.f.
24th January 2022, SEBI has made it mandatory for listed companies to issue securities in demat mode only while processing
any investor service requests viz. issue of duplicate share certificates, exchange/sub-division/ splitting/consolidation of
securities, transmission/ transposition of securities. Vide its Circular dated 25th January 2022, SEBI has clarified that listed
entities/ RTAs shall now issue a Letter of Confirmation in lieu of the share certificate while processing any of the aforesaid
investor service request.
Distribution of Shareholding as on 31st March 2024:
Range Number of % to total number Number of % to total number
(Number of Shares) Shares of Shares Shareholders of Shareholders
1 - 500 9,30,612 8.71 32,983 97.97
501 - 1,000 2,41,744 2.26 321 0.95
1,001 - 2,000 2,33,654 2.19 162 0.48
2,001 - 3,000 1,19,684 1.12 47 0.14
3,001 - 4,000 96,057 0.90 28 0.08
4,001 - 5,000 74,682 0.70 16 0.05
5,001 - 10,000 2,37,948 2.23 31 0.09
10,001 and above 87,48,619 81.89 79 0.24
Total 1,06,83,000 100.00 33,667 100.00
Dematerialization of Shares and Liquidity: exchange and commodity markets. The Company
The Company’s shares are available for trading in has a mechanism in place to continuously monitor
the depository system of both National Securities commodity price movement and take appropriate
Depository Limited (NSDL) and Central Depository action, if necessary, to ensure better cost control.
Services (India) Limited (CDSL).
Plant Locations:
As on 31st March 2024, 1,06,47,658 Equity Shares
The Company’s plants are situated at the following
constituting 99.66 percent of the paid-up Equity Share
locations in Tamil Nadu, India:
Capital of the Company has been dematerialized.
Textile Machinery Division:
Shareholders’ Rights – Information on Financial Unit - I SRK Vidyalaya Post,
Results Perianaickenpalayam,
As the Company’s quarterly, half yearly and yearly results Coimbatore - 641020
are published in one English national newspaper having Unit - II Kaniyur, Coimbatore - 641659
circulation all over India and in a regional newspaper Machine Tool Division:
(Tamil) having circulation in Tamil Nadu, the same are
Unit - I Arasur, Coimbatore - 641407
not sent separately to the shareholders, but hosted on
Unit - II Muthugoundenpudur,
the Company’s website www.lmwglobal.com.
Coimbatore - 641402
Depository Receipts and Convertible Instruments: Foundry Division Arasur, Coimbatore - 641407
The Company has not issued any Global Depository Foundry and Arasur, Coimbatore - 641407
Receipts, American Depository Receipts or convertible Machine Shop
instruments of any kind. Advanced Ganapathy, Coimbatore -
Technology Centre 641006
Foreign Exchange hedging and Monitoring of Windmill Power Udumalpet (TK), Tirupur District
Commodity Prices: Generating Facility
The Company does not have foreign exchange exposure
Solar Power Kondampatti, Coimbatore
and has not undertaken any hedging activity in foreign Generating District
Facility Vadachitoor, Coimbatore District
144
ANNUAL
REPORT 2023-24
Address for Correspondence:  The Company has not raised any funds through
All Shareholder correspondence should be preferential allotment or qualified institutional
addressed to: placement as specified under Regulation 32(7A)
The Company Secretary of SEBI (Listing Obligations and Disclosure
Lakshmi Machine Works Limited Requirements) Regulations, 2015.
Corporate Office
34-A, Kamaraj Road,  A Certificate from a Company Secretary in Practice
Coimbatore - 641018 that none of the Directors on the Board of the
E-mail : [email protected] Company have been debarred or disqualified from
Phone : +91 422 7198100 being appointed or in continuing as Directors of
Companies by the Securities and Exchange Board
Credit Rating: of India / Ministry of Corporate Affairs or any such
The Company does not have any debt instrument or statutory authority has been obtained and is
a fixed deposit program or any scheme or proposal annexed to the Annual Report.
involving mobilisation of funds either in India or abroad
that requires Credit Rating.  During the year under review, the recommendations
made by different Committees of the Board of
15. OTHER DISCLOSURES: Directors have been accepted and there were no
 There were no materially significant Related Party instances where the Board of Directors have not
Transactions that would have potential conflict accepted any such recommendation.
with the interests of the Company at large.
 The Company has paid a sum of C 15,00,000/- as
Details of Related Party Transactions are given
fees on a consolidated basis to the Statutory
elsewhere in the Annual Report.
Auditor and all entities in the network firm / entity
 No penalty or strictures have been imposed on the of which the Statutory Auditor is a part for the
Company by any Stock Exchange(s) or Securities services rendered by them.
and Exchange Board of India or any statutory
 As per the provisions of the Sexual Harassment of
authority, on any matter related to capital markets,
Women at Workplace (Prevention, Prohibition and
during the last three years.
Redressal) Act, 2013, the Company has constituted
 Whistle Blower Policy has been adopted by the an Internal Complaints Committee. During the
Company, the whistle blower mechanism is in year 2023-24, no complaint was received by the
vogue and no personnel has been denied access Committee. As such, there are no complaints
to the Audit Committee. pending as at the end of the Financial Year.
 All the mandatory requirements have been duly  The Company has no inter-corporate loans as on
complied with. 31st March 2024.
 The Company’s Policy relating to determination  The Company does not have any material
of Material Subsidiaries is available at the subsidiaries, accordingly, the disclosure
Company’s website at: https://www.lmwglobal. requirements in relation to the date and place
com/pdf/investors1/policies/09 Policy on Material of incorporation and the name and date of
Subsidiary.pdf. appointment of statutory auditors of such
subsidiaries does not arise.
 The policy of the Company relating to Related
Party Transactions is available at the Company’s 16. All the requirements of Corporate Governance Report
website at: https://www.lmwglobal.com/pdf/ of sub paragraphs (2) to (10) Para C of Schedule V of
investors1/policies/11 Related Party Transaction SEBI (Listing Obligations and Disclosure Requirements)
Policy.pdf. Regulations, 2015 have been duly complied with.
 The Company is not undertaking any commodity 17. None of the discretionary requirements as specified in
hedging activities, hence there is no risk of Part E of Schedule II of the SEBI (Listing Obligations and
commodity hedging to the Company. Disclosure Requirements) Regulations, 2015 have been
adopted.
001 CORPORATE
STATEMENTS
145
18. The internal auditors of the Company report to the Audit name Lakshmi Machine Works Limited - Unclaimed
Committee and make detailed presentation at quarterly Suspense Account with the Stock Holding Corporation
meetings. of India, Coimbatore, Tamil Nadu, India.
19. The Company is fully compliant with the Corporate As on 01st April 2024, Lakshmi Machine Works Limited
Governance requirements as specified by Regulation - Unclaimed Suspense Account had a nil balance of
17 to 27 and Clauses (b) to (i) of sub-regulation (2) of Shares. This is on account of shares being either claimed
Regulation 46 of SEBI (Listing Obligations and Disclosure by the Shareholders or because of transfer to the
Requirements) Regulations, 2015. Investor Education and Protection Fund (“IEPF”) during
previous years.
20.
DETAILS OF UNCLAIMED SHARES KEPT IN
DEMAT SUSPENSE ACCOUNT: 21. In Compliance with SEBI circular No. SEBI/HO/MIRSD/
As required under Regulation 34 of SEBI (Listing MIRSD_RTAMB/P/CIR/2022/8 dated 25th January 2022,
Obligations and Disclosure Requirements) Regulations, the Company has opened a Suspense Escrow Demat
2015, Share Certificates issued on the subdivision of the Account.
face value of the Shares and remaining unclaimed after
22. There are no agreements that require disclosure under
giving three reminders under registered post to the
clause 5A of paragraph A of Part A of Schedule III of the
respective Shareholder’s last known address, have been
SEBI Listing Regulations.
transferred to a separate Demat Account opened in the
Date : 27th May 2024 DIN : 00004505
146
ANNUAL
REPORT 2023-24
CERTIFICATE OF 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
(CIN: L29269TZ1962PLC000463)
SRK Vidyalaya Post, Perianaickenpalayam, Coimbatore – 641020
We have examined the relevant registers, records, forms, returns and disclosures received from the Directors of
M/s. LAKSHMI MACHINE WORKS LIMITED having CIN L29269TZ1962PLC000463 and having registered office at SRK
Vidyalaya Post, Perianaickenpalayam, Coimbatore – 641020 (hereinafter referred to as ‘the Company’), produced before us by
the Company for the purpose of issuing this Certificate, in accordance with Regulation 34(3) read with Schedule V Para-C Sub
clause 10(i) of the Securities Exchange Board of India (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 at the portal www.mca.gov.in) as considered necessary and explanations 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
on 31st March 2024 have been debarred or disqualified from being appointed or continuing as Directors of companies by the
Securities and Exchange Board of India, Ministry of Corporate Affairs or any such other Statutory Authority.
Date of
Sl.
Name of Director DIN appointment in
No.
Company
1 Mr. Sanjay Jayavarthanavelu (Chairman and Managing Director) 00004505 24/02/1993
2 Mr. Sundaram Pathy 00013899 21/03/1973
3 Mr. Aditya Himatsingka 00138970 25/10/2010
4 Mr. Mukund Govind Rajan 00141258 25/10/2010
5 Mr. Arun Alagappan 00291361 26/10/2016
6 Justice (Smt) Chitra Venkataraman (Retd.) 07044099 02/02/2015
7 Mr. Jaidev Jayavarthanavelu (Wholetime Director) 07654117 11/05/2022
8 Mr. Aroon Raman 00201205 11/05/2022
9 Mr. Muthulingam Sankar (Wholetime Director designated as Director Operations) 10362673 25/10/2023
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 the efficiency or effectiveness with which the management has
conducted the affairs of the Company.

Company Secretaries
M D Selvaraj
Managing Partner
FCS No.: 960; C P No.: 411
001 CORPORATE
STATEMENTS
147
CEO & CFO CERTIFICATE
The Board of Directors
Lakshmi Machine Works Limited
Coimbatore
27th May 2024
Annual Confirmation pursuant to Regulation 17(8) of SEBI

(Listing Obligations and Disclosure Requirements) Regulations, 2015
As required by Regulation 17(8) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we hereby
certify that:
a) We have reviewed the Financial Statements and the Cash Flow Statement of the Company for the year ended
31st March 2024 and that 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, 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 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 of:

i) significant changes if any, in internal control over financial reporting during the year;
ii) significant changes if any, in accounting policies during the year and that the same have been disclosed in the notes
to the Financial Statements; and
iii) that there were no instances of 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.
Sanjay Jayavarthanavelu V Senthil

Chairman and Managing Director [CEO] Chief Financial Officer [CFO]
DIN : 00004505
148
ANNUAL
REPORT 2023-24
CHIEF EXECUTIVE OFFICER’S
DECLARATION ON CODE OF CONDUCT
I hereby declare that pursuant to Schedule V (Part D) of SEBI (Listing Obligations and Disclosure Requirements) Regulations,
2015, the Board of Directors of the Company have adopted a Code of Conduct for the Board Members and Senior Management
of the Company and the same has also been posted in the Company’s website and that all the Board Members and Senior
Management personnel to whom this Code of Conduct is applicable have affirmed compliance with the said Code of Conduct
during the year 2023-24.
Place : Coimbatore Chairman and Managing Director [CEO]
Date : 27th May 2024 DIN : 00004505
001 CORPORATE
STATEMENTS
149
Standalone
Financial Statements
Independent
Auditor’s Report
TO THE MEMBERS OF LAKSHMI MACHINE WORKS LIMITED Basis for Opinion
Report on the Audit of the Standalone Financial Statements
We conducted our audit of the Standalone Financial
Statements in accordance with the Standards on Auditing
Opinion (“SAs”) specified under section 143(10) of the Companies
We have audited the accompanying Standalone Financial Act, 2013. Our responsibilities under those Standards are
Statements of LAKSHMI MACHINE WORKS LIMITED (“the further described in the Auditor’s Responsibilities for the
Company”), which comprise the Balance Sheet as at March Audit of the Standalone Financial Statements section
31, 2024, the Statement of Profit and Loss (including Other of our report. We are independent of the Company in
Comprehensive Income), the Statement of Changes in Equity accordance with the Code of Ethics issued by the Institute
and the Statement of Cash Flows for the year ended on that of Chartered Accountants of India (ICAI) together with the
date, and a summary of the material accounting policies, ethical requirements that are relevant to our audit of the
Notes to the Financial Statements and other explanatory Standalone Financial Statements under the provisions of the
information (hereinafter referred to as the “Standalone Act and the Rules made thereunder, and we have fulfilled
Financial Statements”). our other ethical responsibilities in accordance with these
requirements and the ICAI’s Code of Ethics. We believe
In our opinion and to the best of our information and that the audit evidence we have obtained is sufficient and
according to the explanations given to us, the aforesaid appropriate to provide a basis for our audit opinion on the
Standalone Financial Statements give the information Standalone Financial Statements.
required by the Companies Act, 2013 (“the Act”) in the
manner so required and gives a true and fair view in Key Audit Matters
conformity with the Indian Accounting Standards prescribed Key audit matters are those matters that, in our professional
under section 133 of the Act read with the Companies (Indian judgment, were of most significance in our audit of the
Accounting Standards) Rules, 2015, as amended, (“Ind AS”) Standalone Financial Statements of the current period.
and other accounting principles generally accepted in India, These matters were addressed in the context of our audit
of the state of affairs of the Company as at March 31, 2024, its of the Standalone Financial Statements as a whole, and
profit, total comprehensive income, changes in equity and in forming our opinion thereon, and we do not provide a
its cash flows for the year ended on that date. separate opinion on these matters. We have determined the
matters described below to be the key audit matters to be
communicated in our report.
Key Audit Matter Response to Key Audit Matter

Accuracy of recognition, measurement, presentation Our audit approach consisted testing of the design and
and disclosures of revenues and other related balances operating effectiveness of internal controls and procedures
in respect of “Revenue from contracts with Customers” as follows:
under Ind AS 115. • Evaluated the effectiveness of controls over the
preparation of information that are designed to ensure
The application of this revenue accounting standard involves
certain key judgments relating to identification of distinct the completeness and accuracy.
performance obligations, determination of transaction price • Selected a sample of existing continuing contracts and
of identified performance obligations, the appropriateness new contracts, and tested the operating effectiveness
of the basis used to measure revenue recognized over a of the internal control, relating to identification of the
period, and disclosures including presentations of balances distinct performance obligations and determination of
in the financial statements. Estimated efforts is a critical transaction price.
estimate to determine revenue, as it requires consideration
of progress of the contract, efforts incurred till date, efforts • Tested the relevant information, accounting systems and
required to complete the remaining performance obligation. change relating to contracts and related information
001 CORPORATE
STATEMENTS
151
used in recording and disclosing revenue in accordance
with Ind AS 115.
• Reviewed a sample of contracts to identify possible
delays in achieving milestones, which require change
in estimated efforts to complete the remaining
performance obligations.
• Performed analytical procedures and test of details for
reasonableness and other related material items.
Assessment of carrying value of investments Our procedures in relation to assessing the carrying value of
The company has invested in listed equity instruments and investments include the following observations.
debt instruments. We consider this as a key audit matter • The quoted equity investments are carried at fair value as
given the relative significance of the value of investments. on 31st March 2024.
• The investments in unquoted equity instruments are
carried at cost. During the year the company has made
new investments.
• During the year the company has sold investments in
non-convertible debentures. The remaining investments
in debentures are measured at cost.
• Investment in debt oriented mutual funds has been
recognized at fair market value as on 31st March 2024.
Assessment of Contingent Liability The audit procedures included but were not limited to:
There are a number of litigations pending before various • Obtaining a detailed understanding processes and
forums against the Company and the management’s controls of the Management with respect to claims or
judgement is required for estimating the amount to be disputes.
disclosed as contingent liability. We determined the above • Performing following procedures on samples selected.
area as a Key Audit Matter in view of associated uncertainty
relating to the outcome of these matters which requires
• Understanding the matters by reading the
correspondences, communications, minutes of the
application of judgment in interpretation of law. Accordingly,
management meeting.
our audit was focused on analyzing the facts of subject
matter under consideration and judgments / interpretation • Making corroborative inquiries with appropriate level
of law involved. of the management personnel including status update,
expectation of outcomes with the basis, and the future
(Refer Note 30.1 to the standalone financial statements)
course of action contemplated by the Company,
and perusing legal opinions, if any, obtained by the
Management.
• Obtaining direct confirmation from the legal attorneys of
the company and considering their opinions /probability
assessment of the outcomes.
• Evaluating the evidence supporting the judgement of
the management about possible outcomes and the
reasonableness of the estimates.
• Evaluating appropriateness of adequate disclosures in
accordance with the applicable accounting standards.
Information Other than the Standalone Financial Statements and Auditor’s Report Thereon
The Company’s Board of Directors is responsible for the preparation of the other information. The other information comprises
the information included in the Management Discussion and Analysis, Board’s Report including Annexures to Board’s Report,
Business Responsibility and Sustainability Report, Corporate Governance and Shareholder’s Information, but does not include
the consolidated financial statements, Standalone Financial Statements and our auditor’s report thereon.
Our opinion on the Standalone Financial Statements does not cover the other information and we do not express any form
of assurance, conclusion thereon.
152
ANNUAL
REPORT 2023-24
In connection with our audit of the Standalone Financial but is not a guarantee that an audit conducted in accordance
Statements, our responsibility is to read the other information with SAs will always detect a material misstatement when it
and, in doing so, consider whether the other information exists. Misstatements can arise from fraud or error and are
is materially inconsistent with the Standalone Financial considered material if, individually or in the aggregate, they
Statements or our knowledge obtained during the course could reasonably be expected to influence the economic
of our audit or otherwise appears to be materially misstated. decisions of users taken on the basis of these Standalone
Financial Statements.
If, based on the work we have performed, we conclude that
there is a material misstatement of this other information, we As part of an audit in accordance with SAs, we exercise
are required to report that fact. We have nothing to report in professional judgment and maintain professional skepticism
this regard. throughout the audit. We also:
Responsibilities of Management and Those Charged • Identify and assess the risks of material misstatement
with Governance for the Standalone Financial of the Standalone Financial Statements, whether due
Statements to fraud or error, design and perform audit procedures
The Company’s Board of Directors is responsible for the responsive to those risks, and obtain audit evidence
matters stated in section 134(5) of the Act with respect to that is sufficient and appropriate to provide a basis
the preparation of these Standalone Financial Statements for our opinion. The risk of not detecting a material
that gives a true and fair view of the financial position, misstatement resulting from fraud is higher than for
financial performance including other comprehensive one resulting from error, as fraud may involve collusion,
income, changes in equity and cash flows of the Company in forgery, intentional omissions, misrepresentations, or
accordance with the Ind AS and other accounting principles the override of internal control.
generally accepted in India. This responsibility also includes • Obtain an understanding of internal financial controls
maintenance of adequate accounting records in accordance relevant to the audit in order to design audit procedures
with the provisions of the Act for safeguarding the assets of that are appropriate in the circumstances. Under
the Company and for preventing and detecting frauds and section 143(3)(i) of the Act, we are also responsible for
other irregularities; selection and application of appropriate expressing our opinion on whether the Company has
accounting policies; making judgments and estimates that adequate internal financial controls system in place and
are reasonable and prudent; and design, implementation the operating effectiveness of such controls.
and maintenance of adequate internal financial controls,
that were operating effectively for ensuring the accuracy • Evaluate the appropriateness of accounting policies
and completeness of the accounting records, relevant to used and the reasonableness of accounting estimates
the preparation and presentation of the standalone Ind AS and related disclosures made by management.
financial statements that give a true and fair view and are free
from material misstatement, whether due to fraud or error. • Conclude on the appropriateness of management’s use
of the going concern basis of accounting and, based
In preparing the Standalone Financial Statements, on the audit evidence obtained, whether a material
management is responsible for assessing the Company’s uncertainty exists related to events or conditions
ability to continue as a going concern, disclosing, as that may cast significant doubt on the Company’s
applicable, matters related to going concern and using ability to continue as a going concern. If we conclude
the going concern basis of accounting unless the Board of that a material uncertainty exists, we are required to
Directors either intends to liquidate the Company or to cease draw attention in our auditor’s report to the related
operations, or has no realistic alternative but to do so. disclosures in the statements or, if such disclosures are
inadequate, to modify our opinion. Our conclusions
The Board of Directors are responsible for overseeing the are based on the audit evidence obtained up to the
Company’s financial reporting process. date of our auditor’s report. However, future events
Auditor’s Responsibilities for the Audit of the or conditions may cause the Company to cease to
Standalone Financial Statements continue as a going concern.
Our objectives are to obtain reasonable assurance about • Evaluate the overall presentation, structure and content
whether the Standalone Financial Statements as a whole of the Standalone Financial Statements, including the
are free from material misstatement, whether due to fraud disclosures, and whether the Standalone Financial
or error, and to issue an auditor’s report that includes our Statements represent the underlying transactions and
opinion. Reasonable assurance is a high level of assurance, events in a manner that achieves fair presentation.
001 CORPORATE
STATEMENTS
153
Materiality is the magnitude of misstatements in the of Cash Flow dealt with by this Report are in
Standalone Financial Statements that, individually or in agreement with the relevant books of account.
aggregate, makes it probable that the economic decisions of
a reasonably knowledgeable user of the standalone financial d) In our opinion, the aforesaid Standalone Financial
statements may be influenced. We consider quantitative Statements comply with the Ind AS specified
materiality and qualitative factors in (i) planning the scope of under Section 133 of the Act, read with Rule 7 of
our audit work and in evaluating the results of our work; and the Companies (Accounts) Rules,2014.
(ii) to evaluate the effect of any identified misstatements in
e) On the basis of the written representations
the Standalone Financial Statements.
received from the directors as on March 31, 2024
We communicate with those charged with governance taken on record by the Board of Directors, none of
regarding, among other matters, the planned scope and the directors is disqualified as on March 31, 2024
timing of the audit and significant audit findings, including from being appointed as a director in terms of
any significant deficiencies in internal control that we Section 164 (2) of the Act.
identify during our audit.
f) With respect to the adequacy of the internal
We also provide those charged with governance with a financial controls over financial reporting of the
statement that we have complied with relevant ethical Company and the operating effectiveness of such
requirements regarding independence, and to communicate controls, refer to our separate Report in "Annexure
with them all relationships and other matters that may B”. Our report expresses an unmodified opinion
reasonably be thought to bear on our independence, and on the adequacy and operating effectiveness of
where applicable, related safeguards. the Company’s internal financial controls over
financial reporting.
From the matters communicated with those charged with
governance, we determine those matters that were of g) With respect to the other matters to be included
most significance in the audit of the Standalone Financial in the Auditor’s Report in accordance with
Statements of the current period and are therefore the key the requirements of section 197(16) of the
audit matters. We describe these matters in our auditor’s Act, as amended:
report unless law or regulation precludes public disclosure
In our opinion and to the best of our information
about the matter or when, in extremely rare circumstances,
and according to the explanations given to us,
we determine that a matter should not be communicated
the remuneration paid by the Company to its
in our report because the adverse consequences of doing
directors during the year is in accordance with the
so would reasonably be expected to outweigh the public
provisions of section 197 of the Act.
interest benefits of such communication.
h) With respect to the other matters to be included in
Report on Other Legal and Regulatory the Auditor’s Report in accordance with Rule 11 of
Requirements the Companies (Audit and Auditors) Rules, 2014,
1. As required by Section 143(3) of the Act, based on our as amended in our opinion and to the best of our
audit we report that: information and according to the explanations
given to us:
a) We have sought and obtained all the information
and explanations which to the best of our i. The Company has disclosed the impact
knowledge and belief were necessary for the of pending litigations on its financial
purposes of our audit. position in its Standalone Financial
Statements – Refer Note 30.1 to Standalone
b) In our opinion, proper books of account as Financial Statements.
required by law have been kept by the Company
so far as it appears from our examination of ii. The Company has made provision, as
those books. required under the applicable law or
accounting standards, for material foreseeable
c) The Balance Sheet, the Statement of Profit and losses, if any, on long-term contracts
Loss including Other Comprehensive Income, including derivative contracts - Refer Note
Statement of Changes in Equity and the Statement 18 to Standalone Financial Statements.
154
ANNUAL
REPORT 2023-24
iii. There has been no delay in transferring v. (a) The final dividend proposed in the previous
amounts, required to be transferred, to the year, declared and paid by the Company
Investor Education and Protection Fund by during the year is in accordance with Section
the Company. 123 of the Act, as applicable.
iv. (a) The Management has represented (b) The Board of Directors of the Company
that, to the best of its knowledge and have proposed final dividend for the year
belief, no funds (which are material which is subject to the approval of the
either individually or in the aggregate) members at the ensuing Annual General
have been advanced or loaned or Meeting. The amount of dividend proposed
invested (either from borrowed funds is in accordance with section 123 of the Act,
or share premium or any other sources as applicable.
or kind of funds) by the Company to or
in any other person or entity, including vi. The reporting under Rule 11(g) of the Companies
foreign entity (“Intermediaries”), with (Audit and Auditors) Rules, 2014 is applicable from
the understanding, whether recorded 1st April, 2023.
in writing or otherwise, that the
Based on our examination which included test
Intermediary shall, whether, directly
checks, the Company has used accounting
or indirectly lend or invest in other
software for maintaining its books of account,
persons or entities identified in any
which have a feature of recording audit trail
manner whatsoever by or on behalf of
(edit log) facility and the same has operated
the Company (“Ultimate Beneficiaries”)
throughout the year for all relevant transactions
or provide any guarantee, security
recorded in the software.
or the like on behalf of the Ultimate
Beneficiaries. Further, during the course of our audit, we did
not come across any instance of audit trail feature
(b) The Management has represented,
being tampered with.
that, to the best of its knowledge
and belief, no funds (which are As provision to Rule 3(1) of the Companies
material either individually or in the (Accounts) Rules, 2014 is applicable from April 1,
aggregate) have been received by the 2023, reporting under Rule 11(g) of the Companies
Company from any person or entity, (Audit and Auditors) Rules, 2014 on preservation
including foreign entity (“Funding of audit trail as per the statutory requirements for
Parties”), with the understanding, record retention is not applicable for the financial
whether recorded in writing or year ended March 31, 2024.
otherwise, that the Company shall,
whether, directly or indirectly, lend 2. As required by the Companies (Auditor’s Report) Order,
or invest in other persons or entities 2020 (“the Order”), issued by the Central Government
identified in any manner whatsoever of India in terms of sub-section (11) of section 143 of
by or on behalf of the Funding Party the Companies Act, 2013, we give in “Annexure A” a
(“Ultimate Beneficiaries”) or provide statement on the matters specified in paragraphs 3 and
any guarantee, security or the like on 4 of the Order.
behalf of the Ultimate Beneficiaries.
For S. Krishnamoorthy & Co
(c) Based on the audit procedures that
Chartered Accountants
have been considered reasonable
Firm Registration No.001496S
and appropriate in the circumstances,
nothing has come to our notice that
has caused us to believe that the B. Krishnamoorthi
representations under sub-clause (i) Partner
and (ii) of Rule 11(e), as provided under Place : Coimbatore Membership No.020439
(a) and (b) above, contain any material Date : 27th May 2024 UDIN: 24020439BKABBV3065
misstatement.
001 CORPORATE
STATEMENTS
155
ANNEXURE “A” TO THE INDEPENDENT AUDITOR’S REPORT
(Referred to in paragraph 2 under ‘Report on Other Legal and Regulatory Requirements’ of the Independent Auditors’ section
of our report to the Members of LAKSHMI MACHINE WORKS LIMITED on the Standalone Financial Statements for the year
ended March 31,2024)
To the best of our information and according to the (e) No proceedings have been initiated during the
explanations provided to us by the company and the books year or pending against the company as at March
of accounts and records examined by us in the normal course 31, 2024 for holding any benami property under
of audit we state that: the Benami Transactions (prohibition) Act, 1998
(as amended in 2016) and rules made thereunder.
(i) In respect of the Company’s Property, Plant and
Equipment and Intangible Assets: (ii) (a) The physical verification of inventory has been
conducted by the management at reasonable
(a) (A) The Company has maintained proper intervals. The Company has maintained proper
records showing full particulars, including records of inventory and no material discrepancies
quantitative details and situation of Property, were noticed on the physical verification of
Plant and Equipment. inventories as compared to the book records.
(B) The company has maintained proper records (b) During the year, the company has not borrowed
showing full particulars of Intangible assets. any working capital loans from banks or financial
institutions. Thus, no quarterly returns or
(b) The company has a program of physical
statements have been filed by the company with
verification of Property, Plant and Equipment so
such banks or financial institutions. Hence, the
to cover all assets once every three years which,
same is not applicable to the company.
in our opinion, is reasonable having regard to
the size of the company and the nature if its (iii) The company has made investments in subsidiaries,
assets. Pursuant to the program, certain Property, during the year, in respect of which:
Plant and Equipment were due for verification
during the year and were physically verified by (a) The company has not provided any loans
the management during the year. According to or advances in the nature of loans, or stood
the information and explanations given to us, guarantee, or provided security to any other
no material discrepancies were noticed on such entity during the year.
verification.
(b) In our opinion, the investments made and the
(c) Based on our examination of the property tax terms and conditions of the grant of loans, during
receipts and lease agreement for land on which the year are, prima facie, not prejudicial to the
the building is constructed, registered sale deed / Company’s interest.
transfer deed / conveyance deed provided to us, we
report that, the title in respect of self-constructed The Company has not provided any guarantee or
buildings and title deeds of all other immovable security or granted any advances in the nature of
properties( other than properties where the loans, secured or unsecured, to companies, firms,
company is lessee and the lease agreements are Limited Liability Partnerships or any other parties.
duly executed in favour of the lessee),disclosed in
(iv) The Company has complied with the provisions of
the financial statements included under Property,
Sections 185 and 186 of the Companies Act, 2013
Plant and Equipment are held in the name of the
in respect of loans granted, investments made and
company as at the balance sheet date.
guarantees and securities provided, as applicable.
(d) The company has not revalued any of its Property,
(v) The Company has not accepted any deposit or amounts
Plant and Equipment and intangible assets
which are deemed to be deposits. Hence, reporting
during the year.
under clause 3(v) of the Order is not applicable.
156
ANNUAL
REPORT 2023-24
(vi) The Central Government has prescribed the Income Tax, Goods and Service Tax, Customs Duty,
maintenance of cost records under section 148(1) of Cess and other material statutory dues applicable
the Act. We have broadly reviewed the accounts and to it with the appropriate authorities.
records of the company in this connection and are of
the opinion that prima facie, the prescribed accounts (b) There were no undisputed amounts payable
and records have been made and maintained. We have in respect of Provident Fund, Employees’ State
not, however carried out a detailed examination of the Insurance, Income Tax, Goods and Service Tax,
cost records with a view to determine whether they are Customs Duty, Cess and other material statutory
accurate or complete. dues in arrears as at March 31, 2024 for a period
of more than six months from the date they
(vii) According to the information and explanations given to became payable.
us, in respect of statutory dues:
(c) Details of dues of GST and Excise Duty which
(a) The Company has generally been regular in have not been deposited as at March 31, 2024 on
depositing undisputed statutory dues, including account of dispute are given below:
Provident Fund, Employees’ State Insurance,
Period
Sum of
Name of the Nature of Forum where dispute is to which Tax disputes
Deposit
Statue Dues pending amount ( D in Crores)
( D in Crores)
relates
Goods and e-way bill Pending Before Karnataka State 2022-2023 0.05 0.05
Service Tax Act, issues Tax Office, Mysore
2017 Pending Before Tamil Nadu State 2022-2023 0.01 0.01
Tax Office, Salem
Pending Before Tamil Nadu State 2022-2023 0.15 0.15
Tax Office, Villupuram 2023-2024 0.06 0.06
The Central Cenvat Credit Deputy/Assistant Commissioner 2001-2002 0.18 0.18
Excise Act, 1944 2002-2003 0.92 0.00
2006-2007 0.04 0.00
CESTAT 1996-1997 0.01 0.00
2000-2002 0.02 0.00
2009-2014 0.31 0.05
2011-2012 0.57 0.06
Goods and Cenvat Credit CESTAT 2017-2018 0.55 0.47
Service Tax Act, Input Tax 2023-2024 0.49 0.05
2017 Credit
dispute
The Central Proof of CESTAT 2012-2013 0.02 0.01
Excise Act, 1944 Export
The Central Valuation CESTAT 2009-2013 4.98 0.19
Excise Act, 1944
001 CORPORATE
STATEMENTS
157
(viii) There were no transactions relating to previously out in accordance with the generally accepted
unrecorded income that have been surrendered auditing practices in India, and according to the
or disclosed as income during the year in the tax information and explanations given to us, and
assessments under the Income Tax Act, 1961 (43 of 1961) as represented to us by the management, no
whistle-blower complaints have been received
(ix) (a) The Company has not taken any loans or other during the year by the Company. Accordingly, the
borrowings from any lender. Hence reporting reporting under clause 3(xi)(c) of the Order is not
under clause 3(ix)(a) of the Order is not applicable. applicable to the Company.
(b) The Company has not been declared willful (xii) The Company is not a Nidhi Company and hence
defaulter by any bank or financial institution or reporting under clause 3 (xii) of the Order is not
government or any government authority. applicable to the Company.
(c) The Company has not taken any term loan during (xiii) In our opinion and according to the information and
the year and there are no outstanding term loans explanations given to us, the Company is in compliance
at the beginning of the year and hence, reporting with Section 177 and 188 of the Companies Act, 2013
under clause 3(ix)(c) of the Order is not applicable. where applicable, for all transactions with the related
parties and the details of related party transactions have
(d) On an overall examination of the financial
been disclosed in the standalone financial statements
statements of the Company, the Company has
as required by the applicable accounting standards.
not taken any funds from any entity or person
on account of or to meet the obligations of its (xiv) (a) In our opinion the Company has an adequate
subsidiaries. internal audit system commensurate with the size
and the nature of its business.
(e) The Company has not raised any loans during the
year and hence reporting on clause 3(ix)(f ) of the (b) We have considered, the internal audit reports till
Order is not applicable. year ended 31st March 2024 under audit, issued to
the Company during the year, in determining the
(x) (a) The Company has not raised money by way
nature, timing and extent of our audit procedures.
of initial public offer or further public offer
(including debt instruments) during the year and (xv) In our opinion during the year the Company has
hence reporting under clause 3(x)(a) of the Order not entered into any non-cash transactions with its
is not applicable. directors or persons connected with its directors. and
hence provisions of section 192 of the Companies Act,
(b) During the year, the Company has not made any
2013 are not applicable to the Company.
preferential allotment or private placement of
shares or convertible debentures (fully or partly or (xvi) (a) In our opinion, the Company is not required to be
optionally) and hence reporting under clause 3(x) registered under section 45-IA of the Reserve Bank
(b) of the Order is not applicable. of India Act, 1934. Hence, reporting under clause
3(xvi)(a) and (b) of the Order is not applicable.
(xi) (a) No fraud by the Company and no material fraud
on the Company has been noticed or reported (b) In our opinion, there is no core investment
during the year. company within the Group (as defined in the Core
Investment Companies (Reserve Bank) Directions,
(b) No report under sub-section (12) of section 143
2016) and accordingly reporting under clause
of the Companies Act has been filed in Form
3(xvi)(c) and (d) of the Order is not applicable.
ADT-4 as prescribed under rule 13 of Companies
(Audit and Auditors) Rules, 2014 with the Central (xvii) The Company has not incurred cash losses during the
Government, during the year and upto the date of financial year covered by our audit and the immediately
this report. preceding financial year.
(c) During the course of our examination of the (xviii) There has been no resignation of the statutory auditors
books and records of the Company carried of the Company during the year.
158
ANNUAL
REPORT 2023-24
(xix) On the basis of the financial ratios, ageing and expected period of one year from the balance sheet date, will get
dates of realization of financial assets and payment of discharged by the Company as and when they fall due.
financial liabilities, other information accompanying
the financial statements and our knowledge of the (xx) As at balance sheet date, the Company does not have
Board of Directors and Management plans and based any amount remaining unspent under Section 135(5) of
on our examination of the evidence supporting the the Act. Accordingly, reporting under clause 3(xx) of the
assumptions, nothing has come to our attention, which Order is not applicable.
causes us to believe that any material uncertainty
exists as on the date of the audit report indicating that For S. Krishnamoorthy & Co
Company is not capable of meeting its liabilities existing Chartered Accountants
at the date of balance sheet as and when they fall due Firm Registration No.001496S
within a period of one year from the balance sheet date.
We, however, state that this is not an assurance as to
B. Krishnamoorthi
the future viability of the Company. We further state
Partner
that our reporting is based on the facts up to the date
of the audit report and we neither give any guarantee
Date : 27th May 2024 UDIN: 24020439BKABBV3065
nor any assurance that all liabilities falling due within a
001 CORPORATE
STATEMENTS
159
ANNEXURE “B” TO THE INDEPENDENT AUDITOR’S REPORT
(Referred to in paragraph 1(f ) under ‘Report on Other Legal and Regulatory Requirements’ of the Independent Auditors’
section of our report to the Members of LAKSHMI MACHINE WORKS LIMITED on the Standalone Financial Statements for
the year ended March 31,2024)
Report on the Internal Financial Controls Over Financial Reporting under Clause (i) of Sub-section 3 of Section 143 of
the Companies Act, 2013 (“the Act”)
We have audited the internal financial controls over financial controls system over financial reporting and their operating
reporting of LAKSHMI MACHINE WORKS LIMITED (“the effectiveness. Our audit of internal financial controls over
Company”) as of March 31, 2024 in conjunction with our audit financial reporting included obtaining an understanding of
of the Standalone Financial Statements of the Company for internal financial controls over financial reporting, assessing
the year ended on that date. the risk that a material weakness exists, and testing and
evaluating the design and operating effectiveness of
Management’s Responsibility for Internal internal control based on the assessed risk. The procedures
Financial Controls selected depend on the auditor’s judgement, including
The Board of Directors of the Company is responsible for the assessment of the risks of material misstatement of the
establishing and maintaining internal financial controls financial statements, whether due to fraud or error.
based on the internal control over financial reporting
criteria established by the Company considering the We believe that the audit evidence we have obtained, is
essential components of internal control stated in the sufficient and appropriate to provide a basis for our audit
Guidance Note on Audit of Internal Financial Controls Over opinion on the internal financial controls system over
Financial Reporting issued by the Institute of Chartered financial reporting of the Company.
Accountants of India. These responsibilities include the Meaning of Internal Financial Controls Over
design, implementation and maintenance of adequate Financial Reporting
internal financial controls that were operating effectively for
ensuring the orderly and efficient conduct of its business, A company’s internal financial control over financial reporting
including adherence to respective company’s policies, the is a process designed to provide reasonable assurance
safeguarding of its assets, the prevention and detection of regarding the reliability of financial reporting and the
frauds and errors, the accuracy and completeness of the preparation of financial statements for external purposes in
accounting records, and the timely preparation of reliable accordance with generally accepted accounting principles. A
financial information, as required under the Act. company’s internal financial control over financial reporting
includes those policies and procedures that (1) pertain to the
Auditor’s Responsibility maintenance of records that, in reasonable detail, accurately
Our responsibility is to express an opinion on the internal and fairly reflect the transactions and dispositions of the
financial controls over financial reporting of the Company assets of the company; (2) provide reasonable assurance that
based on our audit. We conducted our audit in accordance transactions are recorded as necessary to permit preparation
with the Guidance Note on Audit of Internal Financial of financial statements in accordance with generally accepted
Controls Over Financial Reporting (the “Guidance Note”) accounting principles, and that receipts and expenditures
issued by the Institute of Chartered Accountants of India of the company are being made only in accordance
and the Standards on Auditing prescribed under Section with authorizations of management and directors of the
143(10) of the Companies Act, 2013, to the extent applicable company; and (3) provide reasonable assurance regarding
to an audit of internal financial controls. Those Standards prevention or timely detection of unauthorized acquisition,
and the Guidance Note require that we comply with ethical use, or disposition of the company’s assets that could have a
requirements and plan and perform the audit to obtain material effect on the financial statements.
reasonable assurance about whether adequate internal Inherent Limitations of Internal Financial Controls
financial controls over financial reporting was established Over Financial Reporting
and maintained and if such controls operated effectively in
all material respects. Because of the inherent limitations of internal financial
controls over financial reporting, including the possibility
Our audit involves performing procedures to obtain audit of collusion or improper management override of controls,
evidence about the adequacy of the internal financial material misstatements due to error or fraud may occur and
160
ANNUAL
REPORT 2023-24
not be detected. Also, projections of any evaluation of the financial reporting criteria established by the Company
internal financial controls over financial reporting to future considering the essential components of internal control
periods are subject to the risk that the internal financial stated in the Guidance Note on Audit of Internal Financial
control over financial reporting may become inadequate Controls Over Financial Reporting issued by the Institute of
because of changes in conditions, or that the degree of Chartered Accountants of India.
compliance with the policies or procedures may deteriorate.
Opinion Chartered Accountants
In our opinion, to the best of our information and according Firm Registration No.001496S
to the explanations given to us, the Company has, in all
material respects, an adequate internal financial controls B. Krishnamoorthi
system over financial reporting and such internal financial Partner
controls over financial reporting were operating effectively Place : Coimbatore Membership No.020439
as at March 31, 2024, based on the internal control over Date : 27th May 2024 UDIN: 24020439BKABBV3065
001 CORPORATE
STATEMENTS
161
Balance Sheet
As at 31st March 2024 (All amounts in C Crores, unless otherwise stated)
Note As at As at
Particulars
No. 31st March 2024 31st March 2023
ASSETS
Non-Current Assets
Property, Plant and Equipment 3 916.16 847.44
Capital work-in-progress 3 9.31 22.78
Other Intangible assets 4 14.09 15.40
Financial Assets
(i) Investments 5
a) Investments in subsidiaries 72.76 72.76
b) Other investments 282.87 182.93
(ii) Other financial assets 9 485.59 727.55
Total Non - Current Assets 1,780.78 1,868.86
Current Assets
Inventories 6 558.24 644.02
Financial Assets
(i) Investments 5 350.12 325.42
(ii) Trade receivables 7 180.86 307.60
(iii) Cash and cash equivalents 8(a) 64.11 90.45
(iv) Bank balances other than (iii) above 8(b) 833.60 601.19
(v) Other financial assets 9 78.50 41.20
Current Tax Assets (Net) 10 34.28 25.60
Other current assets 11 103.67 159.99
Total Current Assets 2,203.38 2,195.47
Total Assets 3,984.16 4,064.33
EQUITY AND LIABILITIES

Equity
Equity share capital 12 10.68 10.68
Other Equity 13 2,651.61 2,289.31
Equity attributable to owners of the Company 2,662.29 2,299.99
Total Equity 2,662.29 2,299.99
Liabilities
Non-Current Liabilities
Deferred tax liabilities (Net) 14 47.48 48.43
Other non-current liabilities 15 222.55 334.22
Total Non - Current Liabilities 270.03 382.65
Current Liabilities
Financial Liabilities
(i) Trade payables 16
Due to Micro and Small Enterprises 54.03 8.37
Due to Others 506.39 719.84
(ii) Other financial liabilities 17 139.59 141.84
Provisions 18 18.08 18.12
Other current liabilities 19 333.75 493.52
Total Current Liabilities 1,051.84 1,381.69
Total Liabilities 1,321.87 1,764.34
Total Equity and Liabilities 3,984.16 4,064.33
See accompanying notes to financial statements 30
In terms of our report attached For and on behalf of the Board of Directors
Firm Registration No. 001496S Sanjay Jayavarthanavelu Jaidev Jayavarthanavelu
Chartered Accountants Chairman and Managing Director Wholetime Director
B. Krishnamoorthi DIN: 00004505 DIN: 07654117
Partner
Membership No. 020439 V. Senthil C R Shivkumaran
Place : Coimbatore Chief Financial Officer Company Secretary
Date : 27th May 2024
162
ANNUAL
REPORT 2023-24
Statement of Profit & Loss
For the year ended 31st March 2024 (All amounts in C Crores, unless otherwise stated)
Note Year Ended Year Ended
Particulars
INCOME
Revenue from operations 20 4,597.14 4,533.23
Other income 21 141.80 156.03
Total Income 4,738.94 4,689.26
EXPENSES
Cost of materials consumed 22 2,905.35 2,974.45
Purchase of stock in trade - -
Changes in inventories of finished goods, Work-in-progress and Stock in trade 23 29.27 (57.41)
Employee benefit expense 24 394.99 365.94
Depreciation and amortisation expense 25 91.74 73.43
Impairment loss on financial assets 26 6.13 3.46
Other expenses 27 831.58 843.98
Finance costs 28 - -
Total Expenses 4,259.06 4,203.85
Profit before exceptional items and tax 479.88 485.41
Exceptional Items
Voluntary retirement scheme payments 30.5 - -
Profit before tax after exceptional items 479.88 485.41
Tax Expense 29
Current tax 29.1 109.45 110.00
Deferred tax 29.1 (0.95) 25.20
Total Tax expense 108.50 135.20
Profit after tax from continuing operations for the year 371.38 350.21
Other comprehensive income
Items that will not be reclassified to Profit and loss
Changes in Fair value of FVTOCI equity instruments (Fair value through Other 94.75 5.30
Comprehensive Income)
Remeasurement of post-employment defined benefit plans 1.87 2.65
Income-tax relating to these items (0.47) (0.66)
Items that will be reclassified to Profit and loss - -
Total Other Comprehensive Income to owners of equity 96.15 7.29
Total Comprehensive Income for the year to owners of equity 467.53 357.50
Basic Earnings per share [In C][Face value C 10/- per share] 347.64 327.82
Diluted Earnings per share [In C ][Face value C 10/- per share] 347.64 327.82
Partner
001 CORPORATE
STATEMENTS
163
Statement of Changes in Equity
164
Equity Share Capital
As at As at
Particulars
31st March 2024 31st March 2023
Opening Balance 10.68 10.68
Changes in equity share capital during the year - -
Closing Balance 10.68 10.68
Reserves and Surplus Other Comprehensive Income
Particulars
Total
allotment
nature)
Income
Income
Reserve
instruments
share warrants
money pending
through Other
through Other
Share application
Capital Reserve
Income (specify
Comprehensive
Comprehensive
Comprehensive
General Reserve
compound financial
Debt instruments
on translating the
Equity component of
Cash Flow Hedges
Retained Earnings
Equity Instruments
Effective portion of
Securities Premium
Capital Redemption
Revaluation Surplus
financial statements
Other items of Other
Money received against
Exchange differences
of aforeign operation
Balance at the beginning of the year - - 7.01 - 1.69 207.83 1,923.62 - 149.16 - - - - - 2,289.31
Changes in accounting policy or prior period errors - - - - - - - - - - - - - - -
Restated balance at the beginning of the year - - - - - - - - - - - - - - -
Total Comprehensive Income for the year - - - - - - 1.40 - 94.75 - - - - - 96.15
Dividends - - - - - - (105.23) - - - - - - - (105.23)
Transfer to retained earnings - - - - - - 371.38 - - - - - - - 371.38
Transfer to General Reserve - - - - - 37.00 (37.00) - - - - - - - -
Balance at the end of the year - - 7.01 - 1.69 244.83 2,154.17 - 243.91 - - - - - 2,651.61
Statement of Changes in Equity for the year ended 31st March 2023
Balance at the beginning of the year - - 7.01 - 1.69 172.83 1,649.15 - 143.86 - - - - - 1,974.54
Total Comprehensive Income for the year - - - - - - 1.99 - 5.30 - - - - - 7.29
Dividends - - - - - - (42.73) - - - - - - - (42.73)
Transfer to General Reserve - - - - - 35.00 (35.00) - - - - - - - -
Balance at the end of the year - - 7.01 - 1.69 207.83 1,923.62 - 149.16 - - - - - 2,289.31
REPORT
ANNUAL
Partner
Chief Financial Officer Company Secretary
2023-24
Place : Coimbatore
Cash Flow Statement
for the year ended 31st March 2024 (All amounts in C Crores, unless otherwise stated)
Year Ended Year Ended

Particulars
A. CASH FLOW FROM OPERATING ACTIVITIES
Profit after exceptional items but before tax 479.88 485.41
Adjustments for :
Depreciation and amortisation expense 91.74 73.43
Profit on sale of assets (1.59) (24.15)
Loss on sale of assets 0.30 0.90
Interest income (90.58) (67.82)
Dividend income (0.68) (1.14)
Profit from Redemption of Debentures / Mutual Fund (0.46) (4.75)
Income from Mutual funds designated at FVTPL (24.70) (9.93)
Unrealised Loss / (Gain) on Foreign Currency Cash and 0.01 (25.96) 0.00 (33.46)
cash equivalents
Operating Profit before working capital changes 453.92 451.95
Adjustments for (increase) / decrease in operating
assets
Trade receivables 126.74 14.91
Inventories 85.78 (146.56)
Other financial assets-Non Current (17.89) 0.77
Other financial assets- Current (6.74) (7.23)
Other Current assets 56.31 (37.03)
Adjustments for increase / (decrease) in operating
liabilities
Trade payables (167.79) 159.59
Other non current liabilities (109.80) (95.08)
Current provisions (0.04) 6.05
Other financial liabilities (2.00) 52.31
Other current liabilities (159.77) (195.20) (22.74) (75.01)
Cash used in/ generated from operations 258.72 376.94
Taxes paid (118.59) (53.11)
Net Cash used in/generated from operations [A] 140.13 323.83
B. CASH FLOW FROM INVESTING ACTIVITIES
Purchase of Fixed assets / Capital Work In Progress (146.24) (274.22)
Proceeds from sale of fixed assets 1.85 25.02
Interest received 70.69 63.19
Dividend received 0.68 1.14
Investment in Wolly Owned Subsidiarie(s) - (0.09)
Investment in Equity Shares / Mutual Funds / Debentures (8.34) (71.91)
Proceeds of Sale from Redemption of debenture / Mutual 3.61 31.96
Funds
(Increase) / Decrease in Bank balances not considered as 16.77 (19.63)
cash and cash equivalent
Net cash used in investing activities [B] (60.98) (244.54)
001 CORPORATE
STATEMENTS
165
Cash Flow Statement (contd..)

Particulars
C. CASHFLOW FROM FINANCING ACTIVITIES
Dividends paid (105.23) (42.73)
Transfer of Unpaid Dividends to IEPF (0.25) (0.24)
Finance cost - -
Net cash used in financing activities [C] (105.48) (42.97)
Net Increase in Cash and Cash Equivalents [A+B+C] (26.33) 36.32
Cash and cash equivalents at beginning of the year [D] 90.45 54.13
Cash and cash equivalents at end of the year [E] 64.12 90.45
Net increase / (decrease) in cash and cash equivalents [E-D] (26.33) 36.32
Cash & Cash equivalents as per Balance Sheet 64.11 90.45
Unrealised Loss / (Gain) on Foreign Currency Cash and 0.01 0.00
cash equivalents
Cash and Cash equivalents as per Cash flow Statement 64.12 90.45
See accompanying notes to financial statements
Partner
166
ANNUAL
REPORT 2023-24
Notes to the Standalone Financial Statements
for the year ended 31st March 2024
1. Corporate Information Level 3 (unobservable inputs for the asset or liability). Fair
value in respect of equity financial instruments are the
Lakshmi Machine Works Limited is a public company
quoted prices of those instruments in the stock exchanges at
domiciled in India and incorporated under the provisions
the measurement date.
of the Companies Act, 1956. The address of its registered
office and principal place of business are disclosed in the a) Current and Non-Current Classification
introduction to the Annual report. Its shares are listed on
The Company presents assets and liabilities in
two stock exchanges in India, the National Stock Exchange of
the balance sheet based on current/ non-current
India Limited [NSE] and the BSE Limited [BSE]. The company is
classification.
engaged in the manufacturing and selling of textile spinning
machinery, CNC Machine Tools, Heavy castings and parts and An asset is treated as current when it is:
components for Aero space industry. The company caters • Expected to be realised or intended to be sold or
to both domestic and international markets. The financial consumed in normal operating cycle;
statements are approved for issue by the Company’s Board • Held primarily for the purpose of trading;
of Directors on 27th May 2024.
• Expected to be realised within twelve months
2. Material Accounting Policies after the reporting period, or
2.1 Statement of compliance • Cash or cash equivalent unless restricted from

being exchanged or used to settle a liability for at
The financial statements have been prepared in accordance least twelve months after the reporting period.
with IND AS notified under Sec. 133 of the Companies Act,
All other assets are classified as non-current.
2013 read with Rule 3 of the Companies (Indian Accounting
Standard) Rules 2015 and other relevant provisions of the Act. A liability is current when:
• It is expected to be settled in normal
2.2 Basis of preparation and presentation
operating cycle,
These financial statements are prepared in accordance with • It is held primarily for the purpose of trading,
Indian Accounting Standards (Ind AS) under the historical
cost convention on the accrual basis except for certain
• It is due to be settled within twelve months after
the reporting period, or
financial instruments which are measured at fair values,
the provisions of the Companies Act, 2013 (Àct’) (to the • There is no unconditional right to defer the
extent notified) and guidelines issued by the Securities and settlement of the liability for at least twelve
Exchange Board of India (SEBI). months after the reporting period.
The Company classifies all other liabilities as
Historical cost is generally based on the fair value of the non-current.
consideration given in exchange for goods and services.
b) Functional and Presentation Currency
Fair value is the price that would be received to sell an asset or
Items included in the financial statements of the
paid to transfer a liability in an orderly transaction between
Company are measured using the currency of the
market participants at the measurement date, regardless of
primary economic environment in which the Company
whether that price is directly observable or estimated using
operates (“the functional currency”). Indian rupee is the
another valuation technique. In estimating the fair value
functional currency of the Company.
of an asset or liability, the company takes into account the
characteristics of the asset or liability at the measurement The financial statements are presented in Indian Rupees
date. In addition, for financial reporting purposes, fair value (C ) which is the Company’s presentation currency. All
measurements are categorised into: financial information presented in Indian Rupees has
been rounded up to the nearest Crores except where
Level 1 (unadjusted quoted prices in active markets for
otherwise indicated.
identical assets or liabilities that the entity can access at the
measurement date); c) Use of Estimates
Level 2 (inputs other than quoted prices included within The preparation of standalone financial statements
Level 1) that are observable for the asset or liability, either in conformity with Ind AS requires the management
directly or indirectly; to make estimates and judgements that affect the
001 CORPORATE
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167
reported amounts of assets, liabilities, revenue, useful by replacing the requirements for entities
expenses and other comprehensive income (OCI) that to disclose their ‘significant’ accounting policies
are reported and disclosed in the financial statements with a requirement to disclosure their ‘material’
and accompanying notes. These estimates are based accounting policies and adding guidance on how
on the management’s best knowledge of current entities apply the concept of materiality in making
events, historical experience, actions that the Company decisions about accounting policy disclosures.
may undertake in the future and on various other
assumptions that are believed to be reasonable under The Company does not expect this amendment
the circumstances. Actual results could differ from to have any significant impact in its
those estimates. Changes in estimates are reflected financial statements.
in the standalone financial statements in the year in c) Deferred Tax related to Assets and Liabilities
which the changes are made. arising from single transaction – Amendments
to Ind AS 12
Significant estimates and assumptions are used for, but
not limited to, This amendment has narrowed the scope of the
initial recognition exemption so that it does not
a) Estimation of useful life of Property, Plant and
apply to transactions that give rise to equal and
Equipment, Refer Note 2.3 & Note 3
offsetting temporary differences. The Company
b) Estimation of useful life of Intangible Assets – has evaluated the amendment and there is no
Refer Note 2.4 & Note 4 impact on its financial statement.
c) Provisions and Contingent Liabilities –
Refer Note 30.1 Ministry of Corporate Affairs (“MCA”) notifies new standards
or amendments to the existing standards under Companies
d) Recognition of deferred taxes – Refer Note 14
(Indian Accounting Standards) Rules as issued from time to
e) Key actuarial assumptions for measurement of time. During the year ended March 31, 2024, MCA has not
future obligations under employee benefit plans notified any new standards or amendments to the existing
– Refer Note 30.9 standards applicable to the Company
d) Recent accounting pronouncements 2.3 Property, plant and equipment
The Ministry of Corporate Affairs has notified Companies Property, Plant and Equipment are stated at cost, net
(Indian Accounting standards) Amendment Rules, 2023 of recoverable taxes, trade discount and rebates less
dated March 31, 2023 to amend the following Ind AS accumulated depreciation and impairment losses, if any.
which are effective from April 1, 2023.
Increase/Decrease in rupee liability in respect of foreign
a) Definition of Accounting estimates – currency liability related to acquisition of Property, Plant and
Amendments to Ind AS 8 :
Equipment is added to the cost of the asset.
The amendments clarify the distinction between
the changes in accounting estimates and changes Such cost includes purchase price, borrowing cost and any
in accounting policies and the correction of cost directly attributable to bringing the assets to its working
errors. It has also been clarified how entities use condition for its intended use.
measurement techniques and inputs to develop
Spare parts, stand-by equipment and servicing equipment
accounting estimates.
are recognised when they meet the definition of property,
The amendments are not expected to plant and equipment. Otherwise, such items are classified
have a material impact on the company’s as inventory.
financial statements.
Subsequent costs are included in the asset’s carrying amount
b) Disclosure of Accounting Policies – or recognised as a separate asset, as appropriate, only when
Amendments to Ind AS 1 it is probable that future economic benefits associated
with the item will flow to the entity and the cost can be
The amendments aim to help entities provide
measured reliably.
accounting policy disclosures that are more
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Expenses incurred relating to project, net of income earned measured as per the previous GAAP and use that carrying
during the project development stage prior to its intended value as its deemed cost as of the transition date.
use, are considered as pre-operative expenses and disclosed
2.4 Intangible assets
under Capital Work-in-Progress.
Intangible assets with finite useful lives that are acquired
Property, plant and equipment represent a significant separately are carried at cost less accumulated amortization
proportion of the asset base of the Company. Depreciation and accumulated impairment losses.
on Property, Plant and Equipment is provided using Straight
Line Method (SLM) over the estimated useful life. Intangible assets with indefinite useful lives that are
acquired separately are carried at cost less accumulated
The useful lives and residual values of company’s assets are impairment losses.
determined by management at the time the asset is acquired
and reviewed periodically, including at each financial year The useful life of company’s assets are determined by
end with the effect of any changes in estimate accounted management at the time the asset is acquired and reviewed
for on a prospective basis. The lives are based on historical periodically, including at each financial year end with
experience with similar assets as well as anticipation of the effect of any changes in estimate accounted for on a
future events, which may impact their life, such as changes prospective basis. The lives are based on historical experience
in technology. with similar assets as well as anticipation of future events,
which may impact their life, such as changes in technology.
The management estimates of the useful lives of the
Property, Plant and Equipment are as follows: The management estimates of the useful lives of the
intangible assets are as follows:
Asset Type Estimated Useful life
Buildings 20-60 years Asset Type Useful Life
Plant and Equipment Technical Know how 6 years
a. Main Machines 8-20 years Software 6 years
b. Ancillary Machines 3-7 years The useful lives as given above best represent the period over
Windmills 22 years which the management expects to use these assets, based
Solar Project 10 Years on technical assessment. The estimated useful lives for these
assets are therefore different from the useful lives prescribed
Furniture & fixtures 8-10 years
under Part C of Schedule II of the Companies Act 2013.
Vehicles 6-8 years
Office Equipment’s 7-15 years An intangible asset is de-recognised upon disposal or when
no future economic benefits are expected to arise.
The useful lives as given above best represent the period over
Gains or losses arising from derecognition of an intangible
which the management expects to use these assets, based
asset, measured as the difference between the net disposal
on technical assessment. The estimated useful lives for these
proceeds and the carrying amount of the asset, are
recognized in profit or loss when the asset is de-recognised.
For transition to IND AS, the company has elected to
An item of property, plant and equipment is de-recognised
continue with the carrying value of all of its intangible assets
upon disposal or when no future economic benefits are
recognized as of April 1, 2015 (transition date) measured
expected to arise from the continued use of the asset. Any
as per the previous GAAP and use that carrying value as its
gain or loss arising on the disposal or retirement of an
deemed cost as of the transition date.
item of property, plant and equipment is determined as
the difference between the sale proceeds and the carrying 2.5 Investment Property
amount of the asset and is recognised in the profit or loss.
Investment properties are properties held to earn rentals
For transition to IND AS, the company has elected to continue and / or for capital appreciation (including property under
with the carrying value of all of its property, plant and construction for such purposes). Investment properties
equipment recognized as of April 1, 2015 (transition date) are measured initially at cost, including transaction costs.
001 CORPORATE
STATEMENTS
169
Subsequent to initial recognition, investment properties Transaction costs of financial assets carried at fair value
are measured in accordance with IND AS 16’s requirements through profit or loss are expensed in profit or loss.
for cost model.
Regular way purchase and sale of financial assets are
Investment properties are depreciated using the straight-line accounted for at trade date.
method over their estimated useful lives. The useful life has
Subsequent measurement
been determined based on technical evaluation performed
by the management’s expert. (i) Financial assets carried at amortized cost
A financial asset is subsequently measured at amortized
An investment property is de-recognised upon disposal or
cost if it is held within a business model whose objective
when the investment property is permanently withdrawn
is to hold the asset in order to collect contractual cash
from use and no future economic benefits are expected from
flows and the contractual terms of the financial asset
the disposal. Any gain or loss arising on derecognition of
give rise on specified dates to cash flows that are solely
the investment property is recognised in profit or loss in the
payments of principal and interest on the principal
period of disposal.
amount outstanding.
2.6 Impairment of assets
(ii) Financial assets carried at fair value through other
Property, Plant and Equipment or Intangible asset is comprehensive income (FVTOCI)
evaluated for recoverability whenever events or changes in
Assets that are held for collection of contractual cash
circumstances indicate that their carrying amounts may not
flows and for selling the financial assets, where the
be recoverable. For the purpose of impairment testing, the
assets’ cash flows represent solely payments of principal
recoverable amount (i.e. the higher of the fair value less cost
and interest, are measured at FVTOCI. All fair value
to sell and the value-in-use) is determined on an individual
changes are recognised in the Other Comprehensive
asset basis unless the asset does not generate cash flows that
Income except for the recognition of impairment gains
are largely independent of those from other assets. In such
or losses, interest income and foreign exchange gains
cases, the recoverable amount is determined for the CGU
and losses which are recognised in profit and loss.
to which the asset belongs. If such assets are considered to
be impaired, the impairment has to be recognized in the (iii) Financial assets carried at fair value through profit
Statement of Profit and Loss. or loss (FVTPL)
An impairment loss is reversed in the Statement of Profit Financial assets are measured at FVTPL if it does
and Loss if there has been a change in the estimates used not meet the criteria for classification as measured
to determine the recoverable amount. The carrying amount at amortised cost or at FVTOCI. Movement in Fair
of the asset is increased to its revised recoverable amount, value changes are recognised in the statement of
provided that this amount does not exceed the carrying profit and loss.
amount that would have been determined (net of any A financial asset that meets the amortized cost criteria
accumulated amortization) had no impairment loss been or debt instruments that meet the FVTOCI criteria may
recognized for the asset in prior years. be designated as at FVTPL upon initial recognition if
2.7 Financial Instruments such designation eliminates or significantly reduces a
measurement or recognition inconsistency that would
Financial Asset
arise from measuring assets or liabilities or recognizing
Initial recognition the gains and losses on them on different bases.
The Company recognizes financial assets when it becomes
Effective Interest Rate Method
a party to the contractual provisions of the instrument.
All financial assets are recognized at fair value on initial The effective interest rate method is a method of calculating
recognition, except for trade receivables which are initially the amortised cost of financial asset and of allocating interest
measured at transaction price. income over the expected life. The Company while applying
EIR method, generally amortises any fees, transaction costs
Transaction costs that are directly attributable to the and other premiums or discount that are integral part of the
acquisition of financial assets (except for financial assets effective interest rate of a financial instrument.
carried at fair value through profit or loss) are added to
the fair value of the financial assets on initial recognition. Income is recognised in the Statement of Profit and Loss
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on an effective interest rate basis for financial assets other increased significantly since initial recognition. If the credit
than those classified as at FVTPL. EIR is determined at the risk on a financial instrument has not increased significantly
initial recognition of the financial asset. EIR is subsequently since initial recognition, the Company measures the loss
updated at every reset, in accordance with the terms of the allowance for that financial instrument at an amount equal to
respective contract. 12-month expected credit losses. 12-month expected credit
losses are portion of the life-time expected credit losses
Once the terms of financial assets are renegotiated, other and represent the lifetime cash shortfalls that will result if
than market driven interest rate movement, any gain/loss default occurs within the 12 months after the reporting date
measured using the previous EIR as calculated before the and thus, are not cash shortfalls that are predicted over the
modification, is recognised in the Statement of Profit and next 12 months.
Loss in period during which such renegotiations occur
If the Company measured loss allowance for a financial
Investments in Equity Instruments instrument at lifetime expected credit loss model in the
All equity investments other than in subsidiaries, joint previous period but determines at the end of a reporting
ventures and associates are measured at fair value. Equity period that the credit risk has not increased significantly
instruments which are held for trading are classified as at since initial recognition due to improvement in credit quality
FVTPL. For all other equity instruments, the Company at as compared to the previous period, the Company again
initial recognition makes an irrevocable election to classify it measures the loss allowance based on 12-month expected
as either FVTOCI or FVTPL. The Company chooses to make an credit losses.
irrevocable election and designates it as FVTOCI.
When making the assessment of whether there has been a
An equity investment classified as FVTOCI is initially significant increase in credit risk since initial recognition, the
measured at fair value plus transaction costs. Subsequently, Company uses the change in the risk of a default occurring
it is measured at fair value and, all fair value changes are over the expected life of the financial instrument instead of
recognised in Other Comprehensive Income (OCI) and the change in the amount of expected credit losses.
accumulated in “Reserve for Equity instruments through OCI”.
There is no recycling of the amounts from OCI to Statement To make that assessment, the Company compares the risk
of Profit and Loss, even on sale of investment. of a default occurring on the financial instrument as at the
reporting date with the risk of a default occurring on the
Impairment of financial assets financial instrument as at the date of initial recognition and
Trade receivables, contract assets, lease receivables, considers reasonable and supportable information, that is
investments in debt instruments that are carried at amortised available without undue cost or effort, that is indicative of
cost, investments in debt instruments that are carried at significant increases in credit risk since initial recognition.
FVTOCI are tested for impairment based on the expected
Further, for the purpose of measuring lifetime expected
credit losses for the respective financial asset.
credit loss allowance for trade receivables, the Company
Expected credit losses are the weighted average of credit has used a practical expedient as permitted under Ind AS
losses with the respective risks of default occurring as the 109. This expected credit loss allowance is computed based
weights. Credit loss is the difference between all contractual on a provision matrix which takes into account historical
cash flows that are due to the Company in accordance with credit loss experience and adjusted for forward-looking
the contract and all the cash flows that the company expects information.
to receive (i.e. all cash shortfalls), discounted at the original De-recognition of financial assets
effective interest rate (or credit-adjusted effective interest
rate for purchased or originated credit-impaired financial The Company derecognizes a financial asset when the
assets). The Company estimates cash flows by considering all contractual rights to the cash flows from the asset expire,
contractual terms of the financial instrument (for example, or when it transfers substantially all the risks and rewards
prepayment, extension, call and similar options) throughout of ownership of the financial asset to another party. If the
the expected life of that financial instrument. Company neither transfers nor retains substantially all the
risks and rewards of ownership and continues to control
The Company measures the loss allowance for a financial the transferred asset, the Company recognizes its retained
instrument at an amount equal to the lifetime expected interest in the asset and an associated liability for amounts
credit losses if the credit risk on that financial instrument has it may have to pay. If the Company retains substantially all
001 CORPORATE
STATEMENTS
171
the risks and rewards of ownership of a transferred financial recognition, except for trade payables. Transaction costs
asset, the Company continues to recognize the financial that are directly attributable to the acquisition or issue of
asset and also recognizes a collateralised borrowing for the financial liabilities, which are not at fair value through profit
proceeds received. or loss, are added to the fair value on initial recognition.
On derecognition of a financial asset in its entirety, the Subsequent measurement

difference between the asset’s carrying amount (Measured at The subsequent measurement of financial liabilities depends
the date of derecognition) and the sum of the consideration on their classification, as described below:
received shall be recognised in the statement of profit and
loss account. Financial liabilities at fair value through profit or loss
Financial liabilities designated upon initial recognition at fair
Foreign exchange gains and losses
value through profit or loss are designated as such at the
The fair value of financial assets denominated in a foreign initial date of recognition, and only if the criteria in Ind AS
currency is determined in that foreign currency and translated 109 are satisfied. Changes in fair value of such liability are
at the spot rate at the end of each reporting period. recognized in the statement of profit or loss.
• For foreign currency denominated financial assets Financial liabilities at amortized cost
measured at amortized cost and FVTPL, the exchange
The Company’s financial liabilities at amortized cost are
differences are recognized in profit or loss except for
initially recognized at net of transaction costs and includes
those which are designated as hedging instruments in
trade payables, borrowings including bank overdrafts and
a hedging relationship.
other payables.
• Changes in the carrying amount of investments in
After initial recognition, financial liabilities are subsequently
equity instruments at FVTOCI relating to changes
measured at amortized cost using the effective interest rate
in foreign currency rates are recognized in other
(EIR) method except for deferred consideration recognized in
comprehensive income.
a business combination which is subsequently measured at
• For the purposes of recognizing foreign exchange fair value through profit and loss.
gains and losses, FVTOCI debt instruments are treated
Foreign exchange gains and losses
as financial assets measured at amortized cost. Thus,
the exchange differences on the amortized cost are For financial liabilities that are denominated in a foreign
recognized in profit or loss and other changes in the fair currency and are measured at amortized cost at the end
value of FVTOCI financial assets are recognized in other of each reporting period, the foreign exchange gains and
comprehensive income. losses are determined based on the amortized cost of the
instruments and are recognized in ‘Other income/Expense’.
2.8 Equity Instruments & Financial Liabilities
The fair value of financial liabilities denominated in a
Equity Instruments
foreign currency is determined in that foreign currency and
An equity instrument is any contract that evidences a translated at the spot rate at the end of the reporting period.
residual interest in the assets of an entity after deducting all For financial liabilities that are measured as at FVTPL, the
of its liabilities. Equity instruments issued by the entity are foreign exchange component forms part of the fair value
recognized at the proceeds received. gains or losses and is recognized in profit or loss
Repurchase of the company’s own equity instruments is Derecognition of financial liabilities
recognized and deducted directly in equity.
The Company derecognizes financial liabilities only when,
Financial liabilities the Company’s obligations are discharged, cancelled or have
Initial Recognition expired. An exchange between a lender of debt instruments
with substantially different terms is accounted for as an
The Company recognizes financial liabilities when it becomes extinguishment of the original financial liability and the
a party to the contractual provisions of the instrument. recognition of a new financial liability.
All financial liabilities are recognized at fair value on initial
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Similarly, a substantial modification of the terms of an 2.11 Recognition of Revenue
existing financial liability is accounted as derecognition The Company identifies the contract with customer once the
of the original financial liability and the recognition of a parties have approved the contract in writing and committed
new financial liability. The difference between the carrying to perform the respective performance obligations. Any
amount of the financial liability de-recognised and the addition or alteration of contract shall be binding only
consideration paid and payable is recognized in profit or loss. if agreed to in writing. The Company identifies distinct
2.9 Valuation of Inventories performance obligations in the contract and recognizes
revenue as and when the performance obligation is satisfied
Inventories are valued at lower of cost or net realizable value by transferring a promised good or service to a customer.
after providing for obsolescence wherever necessary. The process of identifying distinct performance obligations
Cost is determined on weighted average basis. Net realizable requires exercising judgment to determine the deliverables
value is the estimated selling price in the ordinary course of and ability of the customer to benefit independently from
business, less estimated costs of completion and estimated such deliverables. The Company determines the transaction
costs necessary to make the sale. price which is the consideration that the Company expects to
be entitled in exchange for good or service. The transaction
Raw materials and stores, work in progress, traded and price is then allocated to each performance obligation and
finished goods are stated at the lower of cost and net revenue is recognized.
realisable value. Cost of raw materials and traded goods
comprises cost of purchases. Cost of work–in–progress and Sale of Goods: The Company manufactures and sells a range
finished goods comprises direct materials, direct labour and of Textile Machinery, Machine Tools, Accessories and parts,
an appropriate proportion of variable and fixed overhead Castings and Aero-space Components. Revenue is recognised
expenditure, the latter being allocated on the basis of normal when control is transferred to the customer upon despatch
operating capacity. Cost of inventories also include all other or delivery of goods, based on the terms of contract.
costs incurred in bringing the inventories to their present The Company's obligation to replace faulty products under
location and condition. standard warranty terms is recognised as a provision
Costs are assigned to individual items of inventory on the (Refer Note. 18)
basis of first–in first–out basis. Costs of purchased inventory Rendering of Service: The Company renders services that
are determined after deducting rebates and discounts. Net include installation, maintenance, and other ancillary
realisable value is the estimated selling price in the ordinary services. Revenue from services is recognised over a period
course of business less the estimated costs of completion of time as and when the services are rendered in accordance
and the estimated costs necessary to make the sale. with the specific terms of contract with customer.
2.10 Translation of Foreign Currency Transactions
Export Incentives: Export incentives are recognized when
In preparing the financial statements of the company, the right to receive payment/credit is established and no
transactions in currencies other than the entity’s functional significant uncertainty as to measurability or collectability
currency (foreign currencies) are recognized at the rates of exists. Revenue from carbon credits / REC entitlements are
exchange prevailing at the dates of the transactions. At the recognized on delivery thereof or sale of rights therein,
end of each reporting period, monetary items denominated as the case may be, in terms of the contract with the
in foreign currencies are retranslated at the rates prevailing respective buyer.
at that date. Non-monetary items carried at fair value that
are denominated in foreign currencies are retranslated Royalty: Royalty revenue is recognized on an accrual basis
at the rates prevailing at the date when the fair value was in accordance with the substance of the relevant agreement
determined. Non-monetary items that are measured in terms provided that it is probable that the economic benefits will
of historical cost in a foreign currency are not retranslated flow to the company and the amount of revenue can be
measured reliably. Royalty arrangements that are based on
Exchange differences on monetary items are recognized in production, sales and other measures are recognized by
profit or loss in the period in which they arise. reference to the underlying arrangement.
001 CORPORATE
STATEMENTS
173
Dividend: Dividend income from investments is recognized 2.15 Employee Benefits
when the shareholder’s right to receive payment has been Short term employee benefits
established provided if it is probable that the economic
A liability is recognized for benefits accruing to employees in
benefits will flow to the company and the amount of income
respect of wages and salaries, annual leave and sick leave in
can be measured reliably.
the period the related service is rendered at the undiscounted
Interest income: Interest income is accrued on a timely amount of the benefits expected to be paid in exchange
basis, reference to principal outstanding and at the effective for that service. Liabilities recognized in respect of short
interest rate applicable, which is the rate that exactly term employee benefits are measured at the undiscounted
discounts estimated future cash receipts through the amount of the benefits expected to be paid in exchange for
expected life of the financial asset to that asset’s net carrying the related service.
amount on initial recognition.
Defined Contribution Plans
Rental Income: Rental Income is recognized on accrual Payments to defined contribution retirement benefit
basis in accordance with terms and conditions of respective plans are recognized as an expense when employees have
rental agreements. rendered service entitling them to the contributions.
Income from Wind Energy: Revenue from power supply is Defined Benefit Plans
recognized in terms of power purchase agreement entered
For defined retirement benefit plans, the cost of providing
with state distribution companies and is measured at
benefits is determined using the projected unit credit
the value of consideration received or receivable, net of
method which considers each period of service as giving rise
discounts if any.
to an additional unit of benefit entitlement and measures
2.12 Borrowing costs each unit separately to build up the final obligation, with
actuarial valuations being carried out at the end of each
General and specific borrowing costs that are directly
annual reporting period. Remeasurement, comprising
attributable to the acquisition, construction or production
actuarial gains and losses, the effect of changes to the asset
of a qualifying asset are capitalized as part of the cost of
ceiling (if applicable) and the return on plan assets (excluding
respective assets during the period of time that is required
net interest), is reflected immediately in the balance sheet
to complete and prepare the asset for its intended use.
with a charge or credit recognized in other comprehensive
Qualifying assets are assets that necessarily take a substantial
income in the period in which they occur. Remeasurement
period of time to get ready for their intended use or sale.
recognized in other comprehensive income is reflected
Other borrowing costs are expensed in the period in which
immediately in retained earnings and is not re classified to
they are incurred.
profit or loss. Past services cost is recognized in profit or loss
2.13 Dividends in the period of plan amendment. Net interest is calculated
by applying the discount rate at the beginning of the period
Final dividend on shares are recorded as a liability on the
to the net defined benefit liability or asset. Defined benefit
date of approval by the shareholders at the annual general
costs are categorized as service cost (including current
meeting and interim dividend are recorded as a liability on
service cost, past service cost, as well as gains and losses
the date of declaration by the Company’s Board of Directors.
on curtailments and settlements); net interest expense or
2.14 Earnings per Share income and remeasurement. The company presents the first
two components of defined benefit costs in profit or loss
Basic earnings per share is computed by dividing the profit
in the line item ‘Employee benefits expense’. Curtailment
or loss after tax by the weighted average number of equity
gains and losses are accounted for as past service costs.
shares outstanding during the year including potential
The retirement benefit obligation recognized in the
equity shares on compulsory convertible debentures.
balance sheet represents the actual deficit or surplus in
Diluted earnings per share is computed by dividing the
the company’s defined benefit plans. Any surplus resulting
profit / (loss) after tax as adjusted for dividend, interest and
from this calculation is limited to the present value of any
other charges to expense or income (net of any attributable
economic benefits available in the form of refunds from
taxes) relating to the dilutive potential equity shares, by the
plans or reductions in future contributions to the plans.
weighted average number of equity shares considered for
deriving basic earnings per share. A liability for a termination benefit is recognized at the earlier
of when the entity can no longer withdraw the offer of the
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termination benefit and when the entity recognizes any the extent that it is no longer probable that sufficient taxable
related restructuring costs. profits will be available to allow all or part of the asset to
be recovered.
2.16 Research and Development
Revenue expenditure pertaining to research is charged to Deferred tax liabilities and assets are measured at the tax
the Statement of Profit and Loss. Development costs are rates that are expected to apply in the period in which the
capitalised as an intangible asset if it can be demonstrated liability is settled or the asset realized, based on tax rates (and
that the project is expected to generate future economic tax laws) that have been enacted or substantively enacted by
benefits; it is probable that those future economic benefits the end of the reporting period.
will flow to the entity and the costs of the asset can be
The measurement of deferred tax liabilities and assets
measured reliably, else it is charged to the Statement of
reflects the tax consequences that would follow from the
Profit and Loss.
manner in which the company expects, at the end of the
2.17 Taxes on Income reporting period, to recover or settle the carrying amount of
its assets and liabilities.
Income tax expense comprises current and
deferred income tax. Current and Deferred Tax for the year
Current Tax Current and deferred tax are recognized in profit or loss,
except when they relate to items that are recognized in other
Current income tax for current and prior periods is recognized
comprehensive income or directly in equity, in which case,
at the amount expected to be paid to or recovered from the
the current and deferred tax are also recognized in other
tax authorities, using the tax rates and tax laws that have
comprehensive income or directly in equity respectively.
been enacted or substantively enacted by the end of the
reporting date. The company offsets current tax assets and 2.18 Provisions, contingent liabilities and contingent
current tax liabilities, where it has a legally enforceable right assets
to set off the recognized amounts and where it intends either Provisions involving substantial degree of estimation in
to settle on a net basis, or to realize the asset and settle the measurement are recognized when there is a present
liability simultaneously. The income tax provision for the obligation as a result of past events and it is probable that
interim period is made based on the best estimate of the there will be an outflow of resources. Contingent liabilities
annual average tax rate expected to be applicable for the full / assets are not recognized but are disclosed in the notes to
financial year. financial statements when an inflow of economic benefits is
Deferred Tax probable. Provisions, contingent liabilities are reviewed at
each balance sheet date and adjusted to reflect the current
Deferred tax is recognized on temporary differences best estimate.
between the carrying amounts of assets and liabilities in
the financial statements and the corresponding tax bases The amount recognized as a provision is the best estimate of
used in the computation of taxable profit. Deferred tax the consideration required to settle the present obligation
liabilities are generally recognized for all taxable temporary at the end of the reporting period, taking into account the
differences. Deferred tax assets are generally recognized for risks and uncertainties surrounding the obligation. When
all deductible temporary differences to the extent that it is a provision is measured using the cash flows estimated
probable that taxable profits will be available against which to settle the present obligation, its carrying amount is the
those deductible temporary differences can be utilized. present value of those cash flows (when the effect of the
Such deferred tax assets and liabilities are not recognized if time value of money is material).
the temporary difference arises from the initial recognition
(other than in a business combination) of assets and liabilities Present obligations, legal or constructive, arising
in a transaction that affects neither the taxable profit nor the under onerous contracts are recognized and measured
accounting profit. In addition, deferred tax liabilities are not as provisions.
recognized if the temporary difference arises from the initial
An onerous contract is considered to exist where the
recognition of goodwill.
company has a contract under which the unavoidable costs
The carrying amount of deferred tax assets / liabilities is of meeting the obligations under the contract exceed the
reviewed at the end of each reporting period and reduced to economic benefits expected to be received from the contract.
001 CORPORATE
STATEMENTS
175
Provisions for the expected cost of warranty obligations are 2.21 Leases
recognized at the date of sale of the relevant products, at the The company as a Lessee
management’s best estimate of the expenditure required to
The Company’s lease asset class primarily consists of leases
settle the company’s obligation.
for land and buildings. The Company assesses whether
2.19 Cash Flow Statement and Cash and Cash equiva- a contract contains a lease, at inception of a contract. A
lents contract is, or contains, a lease if the contract conveys the
Cash Flows are reported using Indirect method, whereby right to control the use of an identified asset for a period
profit before tax is adjusted for the effects of transactions of of time in exchange for consideration. To assess whether a
non-cash nature, any deferrals or accruals of past or future contract conveys the right to control the use of an identified
operating cash receipts or payments and items of income asset, the Company assesses whether:
or expense associated with investing or financing cash
(i) the contract involves the use of an identified asset
flows. Cash and cash equivalents include cash on hand and
balances with banks in current and deposit accounts. (ii) the lessee has substantially all of the economic benefits
from use of the asset through the period of the lease and
2.20 Segment Reporting (iii) the lessee has the right to direct the use of the asset.
An operating segment is a component of the company that
engages in business activities from which it may earn revenues At the date of commencement of the lease, the Company
and incur expenses, including revenues and expenses that recognizes a right-of-use asset (“ROU”) and a corresponding
relate to transactions with any of the company’s other lease liability for all lease arrangements in which it is a lessee,
components, and for which discrete financial information except for leases with a term of twelve months or less (short-
is available. All operating segments’ operating results term leases) and low value leases. For these short-term
are reviewed regularly by the company’s Chief Executive and low value leases, the Company recognizes the lease
Officer (CEO), who is the Chief Operating Decision Maker payments as an operating expense on a straight-line basis
(CODM), to make decisions about resources to be allocated over the term of the lease.
to the segments and assess their performance. Information If lease arrangements include the options to extend or
reported to the CODM for the purpose of resource allocation terminate the lease before the end of the lease term, then
and assessment of segment performance focuses on the ROU assets and lease liabilities include these options when it
type of goods or services delivered or provided. is reasonably certain that they will be exercised.
The company has three reportable segments, viz., Textile The right-of-use assets are initially recognized at cost, which
Machinery Division, the Machine Tool Division / Foundry and comprises the initial amount of the lease liability adjusted for
the Advanced Technology Centre, which are the company’s any lease payments made at or prior to the commencement
strategic business units. These business units offer different date of the lease plus any initial direct costs less any lease
products and services and are managed separately because incentives. They are subsequently measured at cost less
they require different technology and marketing strategies. accumulated depreciation and impairment losses.
For each of these business units, the company’s CODM
reviews internal management reports. Performance is Right-of-use assets are depreciated from the commencement
measured based on segment profit before tax, as included date using written down value method. Right of use assets are
in the internal management reports, that are reviewed by evaluated for recoverability whenever events or changes in
the company’s CODM. Segment profit is used to measure circumstances indicate that their carrying amounts may not
performance as management believes that such information be recoverable. For the purpose of impairment testing, the
is the most relevant in evaluating the results of certain recoverable amount (i.e. the higher of the fair value less cost
segments relative to other entities that operate within these to sell and the value-in-use) is determined on an individual
industries. Inter-segment pricing is determined on arm’s asset basis unless the asset does not generate cash flows that
length basis. are largely independent of those from other assets. In such
176
ANNUAL
REPORT 2023-24
cases, the recoverable amount is determined for the Cash payments as an expense on a straight-line basis over
Generating Unit (CGU) to which the asset belongs. the lease term.
The lease liability is initially measured at amortized cost The Company as a lessor
at the present value of the future lease payments. The Leases for which the Company is a lessor is classified as a
lease payments are discounted using the interest rate finance or operating lease. Whenever the terms of the lease
implicit in the lease or, if not readily determinable, using transfer substantially all the risks and rewards of ownership
the incremental borrowing rates in the country of domicile to the lessee, the contract is classified as a finance lease. All
of these leases. Lease liabilities are re-measured with a other leases are classified as operating leases.
corresponding adjustment to the related right of use asset
if the Company changes its assessment if whether it will When the Company is an intermediate lessor, it accounts for
exercise an extension or a termination option. its interests in the head lease and the sublease separately.
The sublease is classified as a finance or operating lease by
Lease liability and ROU asset have been separately presented reference to the right of-use asset arising from the head lease.
in the Balance Sheet and lease payments have been classified
as financing cash flows. For operating leases, rental income is recognized on a
straight line basis over the term of the relevant lease.
In case of short-term leases or leases for which underlying
asset is of low value, the Company recognizes the lease
001 CORPORATE
STATEMENTS
177
3. Property, Plant and Equipment and Capital Work-in-Progress
As at As at
Particulars
Carrying amounts of:
Freehold land 84.34 83.61
Buildings 195.23 176.19
Plant and Equipment 501.78 444.68
Furniture and fixtures 21.65 17.93
Vehicles 104.57 117.22
Office Equipment 8.59 7.81
Sub Total 916.16 847.44
Capital Work-in-progress 9.31 22.78
Sub Total 9.31 22.78
Total 925.47 870.22
Capital
Freehold Plant & Furniture & Office
Particulars Buildings Vehicles Total Work in
land Equipment fixtures Equipments
progress
Gross carrying amount
Balance as at 83.61 209.39 687.95 32.86 128.38 11.39 1,153.58 22.78
31st March 2023
Additions 0.73 25.30 117.56 9.87 0.79 1.09 155.34 9.31
Disposals - - (10.49) (0.13) (0.47) - (11.09) (22.78)
Balance as at 84.34 234.69 795.02 42.60 128.70 12.48 1,297.83 9.31
31st March 2024
Accumulated depreciation and impairment
Balance as at - 33.20 243.27 14.93 11.16 3.58 306.14 -
31st March 2023
Disposals - - (9.99) (0.13) (0.33) - (10.45) -
Depreciation - 6.26 59.96 6.15 13.30 0.31 85.98 -
Expense
Balance as at - 39.46 293.24 20.95 24.13 3.89 381.67 -
31st March 2024
Net carrying amount
Balance as at 83.61 176.19 444.68 17.93 117.22 7.81 847.44 22.78
31st March 2023
Additions 0.73 25.30 117.56 9.87 0.79 1.09 155.34 9.31
Disposals - - (0.50) - (0.14) - (0.64) (22.78)
Depreciation - (6.26) (59.96) (6.15) (13.30) (0.31) (85.98) -
expense
Balance as at 84.34 195.23 501.78 21.65 104.57 8.59 916.16 9.31
31st March 2024
178
ANNUAL
REPORT 2023-24
Property, Plant and Equipment include
Depreciation Accumulated
Particulars Gross Block Additions Net Block
for the year Depreciation
Assets leased out as at 31st March 2024
Buildings 2.49 - 0.02 1.92 0.57
Machinery 13.00 - 0.16 11.95 1.05
Total 15.49 - 0.18 13.87 1.62
Assets leased out as at 31st March 2023

Buildings 2.49 - 0.02 1.90 0.59
Machinery 13.00 - 0.16 11.79 1.21
Total 15.49 - 0.18 13.69 1.80
Income from above leased assets C 0.43 Crores is grouped in rent receipts (Previous year C 0.42 Crores)
Title deeds of Immovable Property not held in the name of the Company - C Nil
Capital-Work-in Progress (CWIP) as on 31st March 2024 and 31st March 2023:
Amount in CWIP for a period of

Particulars Less than More than Total
1-2 years 2-3 years
1 year 3 years
Projects in progress 9.31 - - - 9.31
Previous Year 22.78 - - - 22.78
Projects temporarily suspended - - - - -
Previous Year - - - - -
4. Other intangible assets
As at As at
Particulars
Technical Knowhow 4.05 3.83
Software 10.04 11.57
Total 14.09 15.40
Technical
Particulars Software Total
Knowhow
Balance at 31st March 2023 12.05 29.00 41.05
Additions 0.90 3.55 4.45
Eliminated on disposals of assets - - -
001 CORPORATE
STATEMENTS
179
Technical
Knowhow
Amortisation Expense 0.68 5.08 5.76
Balance at 31 March 2024
st
8.90 22.51 31.41
Carrying Amount
Additions 0.90 3.55 4.45
Amortisation Expense (0.68) (5.08) (5.76)
st
4.05 10.04 14.09
5. Investments
As at 31st March 2024 As at 31st March 2023
Particulars
Quantity Amount Quantity Amount
NON-CURRENT INVESTMENTS
INVESTMENT IN EQUITY INSTRUMENTS
Investment in unquoted equity instrument of wholly owned
subsidiary [At Cost]
LMW Textile Machinery (Suzhou) Co., Ltd, China 65.14 65.14
LMW Aerospace Industries Limited, India 25,00,000 2.50 25,00,000 2.50
LMW Global FZE, UAE 24,705 5.12 24,705 5.12
Total 72.76 72.76
a) Investment in quoted equity instruments (fully paid up) [At

fair values]
Cholamandalam Investment & Finance Co. Limited 17,12,810 198.10 17,12,810 130.45
[Face Value C 2 per share]
Indian Bank [Face Value C 10 per share] 69,562 3.62 69,562 2.00
Lakshmi Automatic Loom Works Limited 44,111 8.52 44,111 3.40
Pricol Limited [Face Value C 1 per share] 24,975 0.97 24,975 0.52
Rajshree Sugars & Chemicals Limited 1,00,000 0.58 1,00,000 0.39
Super Sales India Limited 3,00,000 42.00 3,00,000 23.04
The Lakshmi Mills Company Limited 26,916 10.73 26,916 9.97
180
ANNUAL
REPORT 2023-24
5. Investments (Contd.)
Particulars
b) Investment in unquoted equity instruments (fully paid up)
[At Cost]
Sharada Chambers Premises Co-op Society Limited 5 0.00 5 0.00
Lakshmi Machine Works Employees Co-op Stores Limited 500 0.00 500 0.00
REPCO Bank 750 0.00 750 0.00
Circ, Inc 8.34 -
Total (a+b) 272.86 169.77
INVESTMENT IN DEBENTURES (at amortised cost)

Fedbank Financial Services Limited [NCD] 1,000 10.01 1,000 10.01
Shriram Finance Limited [NCD] - - 30 3.15
Total - Debentures 10.01 13.16
Total Non-current investments 355.63 255.69
CURRENT INVESTMENTS
INVESTMENTS IN MUTUAL FUNDS [at fair value]
Aditya Birla Sun Life Mutual Fund 2,32,48,482 26.15 2,32,48,482 24.38
Axis Mutual Fund 96,50,813 29.17 96,50,813 27.05
Bharat Bond 2,54,08,299 30.29 2,54,08,299 28.21
DSP Mutual Fund 28,42,023 6.39 28,42,023 5.92
Edelweiss Mutual Fund 4,94,31,761 57.32 4,94,31,761 53.45
ICICI Prudential Mutual Fund 32,18,764 18.97 32,18,764 17.50
Bandhan Bond and Bandhan Mutual Fund 3,60,64,211 48.19 3,60,64,211 44.86
Kotak Mutual Fund 70,06,292 53.50 70,06,292 49.58
Nippon India Mutual Fund 98,90,904 19.19 98,90,904 17.80
SBI Mutual Fund 3,09,05,798 44.98 3,09,05,798 41.92
HDFC Mutual Fund 53,41,577 15.97 53,41,577 14.75
Total Current Investment 350.12 325.42
NON CURRENT INVESTMENT

Aggregate book value of quoted investments 20.62 20.62
Aggregate market value of quoted investments 264.52 169.77
Aggregate book value of unquoted investments 91.11 85.92
Aggregate amount of impairment in the value of investments - -
001 CORPORATE
STATEMENTS
181
Particulars
CURRENT INVESTMENT
Category-wise investments - as per IND AS 109 classification
Financial assets carried at fair value through profit or loss (FVTPL) 350.12 325.42
Financial assets carried at amortised cost 91.11 85.92
Financial assets carried at fair value through Other Comprehensive 264.52 169.77
Income (FVTOCI)
Total 705.75 581.11
Note: Investment in the wholly owned subsidiary has been taken at cost availing the IND AS 109 exemption.
6. Inventories
As at As at
Particulars
Inventories (lower of cost or net realisable value)
Raw materials 332.96 380.12
Work in progress 147.07 184.79
Finished goods 40.47 32.02
Stores and spares 37.74 47.09
Total 558.24 644.02
The cost of inventories recognised as an expense during the year is C 2,905.35 Crores. [Previous year
C 2,974.45 Crores]
7. Trade Receivables
As at As at
Particulars
Current
Unsecured, considered good
From related parties 85.89 110.08
From others 108.49 207.54
Total 194.38 317.62
Less : Allowance for doubtful debts (Expected credit loss allowance) 13.52 10.02
Total 180.86 307.60
Concentration of Risk
In respect of trade and other receivables, the Company is not exposed to any significant credit risk exposure to any single
counterparty or any group of counterparties having similar characteristics. Trade receivables consists of a large number
of customers in various industries and geographical areas. Based on historical information about customer default rates
management considers the credit quality of trade receivables that are not past due or impaired to be good. The concentration
of credit risk is limited due to the fact that the customer base is large and unrelated.
182
ANNUAL
REPORT 2023-24
The company has used a practical expedient by computing the expected credit loss allowance for trade receivables based on
a provision matrix. The provision matrix takes into account historical credit loss experience and adjusted for forward looking
information. The expected credit loss allowance is based on the ageing of the days the receivables are due and the rates as
given in the provision matrix. The provision matrix at the end of the reporting period is as follows.
Expected credit
Ageing
loss %
Within the credit period 0.25
Less than one year 6.37
More than one year 38.16
Trade Receivables ageing schedule for the year ended as on 31st March 2024 and 31st March 2023
Outstanding for following periods from due date of payment

Particulars 6 months More
Less than 1-2 2-3
Not due - than Total
6 months years years
1 year 3 years
(i) Undisputed Trade receivables – 65.45 89.81 22.95 7.18 4.61 4.38 194.38
considered good
Previous Year 82.94 205.87 14.42 8.97 1.77 3.65 317.62
(ii) Undisputed Trade Receivables – - - - - - - -
which have significant increase
in credit risk
(iii) Undisputed Trade Receivables – - - - - - - -
credit impaired
(iv) Disputed Trade Receivables– - - - - - - -
considered good
(v) Disputed Trade Receivables – - - - - - - -
in credit risk
(vi) Disputed Trade Receivables – - - - - - - -
credit impaired
Total Trade Receivable 65.45 89.81 22.95 7.18 4.61 4.38 194.38
Previous Year 82.94 205.87 14.42 8.97 1.77 3.65 317.62
Less : Allowance for doubtful 13.52
debts (Expected credit loss
allowance)
Previous Year 10.02
Total Trade Receivable net of 180.86
credit loss allowance
Previous Year 307.60
Movement in the expected credit loss allowance
As at As at
Age of receivables
Balance at the beginning of the year 10.02 8.24
Movement in expected credit loss allowance on trade receivables calculated 3.50 1.78
at lifetime expected credit losses net of bad debts written off
Balance at the end of the year 13.52 10.02
001 CORPORATE
STATEMENTS
183
8. (a) Cash and cash equivalents
As at As at
Particulars
Balances with Banks
Current account 64.07 78.44
Deposits with original maturity of less than 3 months - 12.00
Cash on hand 0.04 0.01
Total 64.11 90.45
There are no repatriation restrictions with regard to cash and cash equivalents at the end of the reporting period and
prior periods
8. (b) Other bank balances
As at As at
Particulars
Deposits held as Margin money 0.09 0.10
Unpaid dividend account 0.96 0.88
Deposits with original maturity of more than 3 months but less than 12 832.55 600.21
months
Total 833.60 601.19
9. Other financial assets
As at As at
Particulars
Non-current
i) Capital advances 15.10 3.49
ii) Advances other than capital advances
Security Deposit 13.66 7.63
Other advances 2.60 2.35
iii) Bank deposits with original maturity of more than 12 months 454.07 703.25
iv) Interest accrued on bank deposits 0.16 10.83
Total 485.59 727.55
Current
Interest accrued on bank deposits 59.30 28.74
Income receivable 19.20 12.46
Total 78.50 41.20
184
ANNUAL
REPORT 2023-24
10. Current Tax Assets (Net)
As at As at
Particulars
Current tax assets
Income tax advances 254.20 135.60
Current tax liabilities
Income tax provisions 219.92 110.00
Total 34.28 25.60
11. Other current assets
As at As at
Particulars
Advance to suppliers and others 91.95 112.72
Prepaid Expenses 8.97 7.24
Balances on account of indirect taxes 2.75 40.03
Total 103.67 159.99
12. Equity Share Capital
As at As at
Particulars
Authorised Share Capital
5,00,00,000 fully paid equity shares of C 10 each 50.00 50.00
Issued, subscribed and fully paid up capital comprises:
(2,72,504 equity shares of C 10 each were bought back during the financial year
2018-19)
Fully paid up equity shares Number of shares Share Capital

Balance as on 31 March 2023
st
1,06,83,000 10.68
st
1,06,83,000 10.68
Balance at the Restated balance at

Changes in Equity Changes in Equity Balance at the end of
beginning of the the beginning of the
share capital due to share capital during the current reporting
current reporting current reporting
prior period error the current year period
period period
10.68 - - - 10.68
The company has issued only one class of Equity share having a par value of C10 per share. They entitle the holder to participate
in dividends, and to share in the proceeds of winding up the company in proportion to the number of and amounts paid on
the shares held. Every holder of equity shares present at meeting is entitled to one vote, and each share is entitled to one vote.
001 CORPORATE
STATEMENTS
185
Details of Shares held by the Promoters and Promoters Group as at 31st March 2024
No. of Shares % change

Name of the Promoters and % of Total No. of Shares % of Total
Sl. No. during
Promoters Group Members 31.03.2024 shares 31.03.2023 shares
the year
1 Lakshmi Cargo Company Ltd 10,76,970 10.081 10,76,368 10.076 0.006
2 Lakshmi Technology And Engineering 6,96,862 6.523 6,96,862 6.523 0.000
Industries Ltd
3 The Lakshmi Mills Company Limited 5,20,000 4.868 5,20,000 4.868 0.000
4 Lakshmi Ring Travellers (Coimbatore) 2,52,180 2.361 2,52,180 2.361 0.000
Private Limited
5 Super Sales India Limited 2,29,480 2.148 2,29,480 2.148 0.000
6 Sanjay Jayavarthanavelu 1,42,291 1.332 1,42,291 1.332 0.000
7 Eshaan Enterprises Private Limited 1,27,110 1.190 1,27,110 1.190 0.000
8 J Rajyalakshmi 97,980 0.917 97,980 0.917 0.000
9 Lakshmi Electrical Control Systems Limited 88,800 0.831 88,800 0.831 0.000
10 Uttara Ravi 44,290 0.415 44,290 0.415 0.000
11 Lakshmi Electrical Drives Private Limited 17,500 0.164 17,500 0.164 0.000
12 Lakshmi Precision Technologies Limited 15,000 0.140 15,000 0.140 0.000
13 Shivali Jayavarthanavelu 7,970 0.075 7,970 0.075 0.000
14 Ravi Sam 5,866 0.055 5,866 0.055 0.000
15 S Pathy 1,420 0.013 1,721 0.016 -0.003
16 Nethra J S Kumar 720 0.007 720 0.007 0.000
17 Jaidev Jayavarthanavelu 460 0.004 460 0.004 0.000
18 Dinakaran Senthilkumar (Huf ) 160 0.001 160 0.001 0.000
19 Lalithadevi Sanjay Jayavarthanavelu 49 0.000 49 0.000 0.000
20 S Sunitha 0 0.000 301 0.003 -0.003
% change
Name of the Promoters and No. of Shares % of Total No. of Shares % of Total
Sl. No. during
the year
Industries Ltd
Private Limited
8 J Rajyalakshmi 97,980 0.917 97,980 0.917 0.000
186
ANNUAL
REPORT 2023-24
Details of Shares held by the Promoters and Promoters Group as at 31st March 2023 (Contd..)
% change
Sl. No. during
the year
10 Uttara Ravi 44,290 0.415 44,290 0.415 0.000
14 Ravi Sam 5,866 0.055 5,866 0.055 0.000
15 S Pathy 1,721 0.016 1,721 0.016 0.000
16 Nethra J S Kumar 720 0.007 720 0.007 0.000
18 S Sunitha 301 0.003 301 0.003 0.000
21 K Arjun * NA NA 313 0.003 NA
22 K Nithin * NA NA 305 0.003 NA
* ceased to be part of promoter group as per stock exchange order issued during August 2022.
Shareholders holding more than 5% Equity shares

Sl. No Particulars
Number Percentage Number Percentage
1 Lakshmi Cargo Company Limited 10,76,970 10.08 10,76,368 10.08
2 Lakshmi Technology and Engineering Industries 6,96,862 6.52 6,96,862 6.52
Limited
3 Nemish S Shah 5,84,673 5.47 5,99,673 5.61
4 Voltas Limited 5,79,672 5.43 5,79,672 5.43
13. Other Equity
As at As at
Particulars
Capital Reserve 7.01 7.01
Capital Redemption Reserve 1.69 1.69
General Reserve 244.83 207.83
Reserve for equity instruments and others through other comprehensive 243.91 149.16
income
Retained Earnings 2,154.17 1,923.62
Total 2,651.61 2,289.31
001 CORPORATE
STATEMENTS
187
13.1 Capital Reserve
As at As at
Particulars
Add: Movements during the year - -
Capital reserve represents the reserves arising out of earlier business combinations.
13.2 Capital Redemption Reserve
As at As at
Particulars
Add: Transfer from General Reserve - -
Capital Redemption Reserve is a statutory reserve created at amounts equal to the face value of the shares bought back as
per the provisions of company law.
13.3 General Reserve
As at As at
Particulars
Add: Transfer from retained earnings 37.00 35.00
The general reserve is used from time to time to transfer profits from retained earnings for appropriation purposes. As the
general reserve is created by a transfer from one component of equity to another and is not an item of other comprehensive
income, items included in the general reserve will not be reclassified subsequently to profit or loss.
13.4 Reserve for equity instruments and others through other comprehensive income
As at As at
Particulars
Net fair value gain on investments in equity instruments at FVTOCI 94.75 5.30
The company has elected to recognise changes in fair value of investments in equity securities in other comprehensive
income. These changes are accumulated within the FVTOCI reserve which represents the cumulative gains and losses arising
on the revaluation of equity instruments measured at fair value through other comprehensive income, net of amounts
reclassified to retained earnings when those assets have been disposed off..
188
ANNUAL
REPORT 2023-24
13.5 Retained Earnings
As at As at
Particulars
Balance at the beginning of the year 1,923.62 1,649.15
Add: Profit after tax attributable to the owners of the company 371.38 350.21
(Less): Payment of dividends on equity shares (105.23) (42.73)
(Less) /Add: Remeasurement of post-employment benefit obligations [Net 1.40 1.99
of tax]
Add: Transfer from Other Comprehensive income - -
(Less): Transfer to General Reserve (37.00) (35.00)
Balance at the end of the year 2,154.17 1,923.62
In financial year 2023-24, on 10.08.2023 a dividend of C 98.50 per share (Total dividend C 105.23 Crores) was paid to the holders
of fully paid equity shares.
In respect of the year ended 31st March 2024 the directors propose that a dividend of C 75 per share be paid on fully paid
equity shares. This equity dividend is subject to approval by shareholders at the ensuing Annual General Meeting and has not
been included as a liability in these financial statements. The proposed equity dividend is payable to all holders of fully paid
equity shares. The total estimated equity dividend payable is C 80.12 Crores.
14. Deferred Tax liability (Net)

Analysis of deferred tax assets / (liabilities) presented in the balance sheet:
As at As at
Particulars
Deferred Tax assets - -
Deferred Tax liabilities (47.48) (48.43)
Total 47.48 48.43
2023-24
Opening Recognised in
Particulars Closing balance
balance profit or loss
On account of VRS 3.97 (1.60) 2.37
On account of Property, Plant and Equipment (60.60) 2.14 (58.46)
On account of Expected credit loss on receivables 2.52 0.88 3.40
On account of actuarial loss 5.68 (0.47) 5.21
Total (48.43) 0.95 (47.48)
001 CORPORATE
STATEMENTS
189
2022-23
Opening Recognised in Closing

Particulars
balance profit or loss balance
On account of Property, Plant and Equipment (38.50) (22.10) (60.60)
Total (23.23) (25.20) (48.43)
15. Other Non-current liabilities
As at As at
Particulars
Security deposits received against supply of machinery 222.55 334.22
Total 222.55 334.22
16. Trade Payables
As at As at
Particulars
Current
Due to Micro and Small Enterprises [Refer Note 30.3] 54.03 8.37
Due to related parties 159.60 141.08
Others 346.79 578.76
Total 560.42 728.21
Trade Payable Ageing schedule as at 31st March 2024 and 31st March 2023
Outstanding for following periods

1-2 years 2-3 years
1 year 3 years
(i) MSME 54.03 - - - 54.03
Previous Year 8.37 - 8.37
(ii) Others 485.41 20.98 - - 506.39
Previous Year 719.01 0.83 719.84
(iii) Disputed dues – MSME - - - - -
(iv) Disputed dues- Others - - - - -
Total 539.44 20.98 - - 560.42
Previous Year 727.38 0.83 - - 728.21
190
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17. Other Financial liabilities
As at As at
Particulars
Current
Unpaid dividends 0.96 0.88
Other liabilities 138.63 140.96
Total 139.59 141.84
18. Provisions
As at As at
Particulars
Current
Provision for employee benefits
Provision for gratuity - 0.34
Other provisions
Provision for warranty 18.08 17.78
Total 18.08 18.12
The provision for employee benefits include provision for gratuity and leave encashment. For detailed disclosure on the
same, please refer note no. 30.9
The Company gives warranties for its products undertaking to repair or replace the items that fail to perform satisfactorily
during the warranty period. The provision for warranty claims represents the present value of the Management's best estimate
of the future outflow of economic benefits that will be required under the company's obligations for warranties under sale
of goods legislations. The estimate has been made on the basis of historical warranty trends and may vary as a result of new
materials, altered manufacturing processes or other events affecting product quality. The timing of the outflows is expected
to be within a period of one year.
Provision for Warranty

Particulars As at As at
Carrying amount at the beginning of the year 17.78 12.07
Additional provision made during the year 18.08 17.78
Amount used during the year (17.78) (12.07)
Unused amount reversed - -
Carrying amount at the end of the year 18.08 17.78
19. Other Current liabilities
As at As at
Particulars
Security deposit received against supply of machinery 138.21 203.34
Total 333.75 493.52
001 CORPORATE
STATEMENTS
191
20. Revenue From Operations

Particulars
Gross Sale of Products 4,520.17 4,456.69
Other operating revenues
Repairs & Service charges & miscellaneous income 42.31 36.95
Sale of scrap 19.60 16.97
Export incentives 15.06 22.62
Total revenue from operations 4,597.14 4,533.23
Disaggregation of Revenue
Refer note no. 30.10 for disaggregated revenue information. The Management determines that the segment information
reported is sufficient to meet the disclosure objective with respect to disaggregation of revenue under Ind AS 115 "Revenue
from contracts with customers".
21. Other Income

Particulars
Interest income from financial assets at amortised cost 90.58 67.82
Dividend income from equity investments designated at FVTOCI 0.68 1.14
Profit from redemption of Debentures / Mutual Funds 0.46 4.75
Income from Mutual funds designated at FVTPL 24.70 9.93
Rental income 0.68 0.62
Net Gain on foreign currency transactions 18.84 41.05
Net Gain on sale of assets 1.59 24.15
Sale of wind energy banking units 3.93 -
Sale proceeds of Renewable Energy Certificate - 0.56
Royalty income 0.34 6.01
Total other income 141.80 156.03
22. Cost of materials consumed

Particulars
Raw materials at the beginning of the year 380.12 293.28
Add: Purchases 2,967.40 3,153.00
Less: Sales 109.21 91.71
Less: Raw materials at the end of the year 332.96 380.12
Total cost of materials consumed 2,905.35 2,974.45
192
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23. Changes in inventories of finished goods and work-in-progress

Particulars
Opening Stock
Work-in-progress 184.79 127.73
Total 216.81 159.40
Closing Stock
Total 187.54 216.81
Total changes in inventories of finished goods and work-in progress 29.27 (57.41)
24. Employee Benefit Expense

Particulars
Salaries and wages 341.70 314.77
Contribution to Provident and other funds 20.05 23.31
Staff welfare expenses 33.24 27.86
Total employee benefit expense 394.99 365.94
25. Depreciation and amortisation expense

Particulars
Depreciation of property, plant and equipment 85.98 68.61
Amortisation of intangible assets 5.76 4.82
Total depreciation and amortisation expense 91.74 73.43
26. Impairment losses on financial assets and reversal of impairment on financial assets

Particulars
Impairment loss (Expected credit loss) allowance on trade receivables 6.13 3.46
Total 6.13 3.46
001 CORPORATE
STATEMENTS
193
27. Other expenses

Particulars
Sales commission to agents 105.60 96.26
Consumption of stores and spare parts 153.08 155.33
Consumption of packing material 91.78 78.67
Power and fuel net of Green Energy (Green Energy adjusted 48.29 51.38
CY C 63.14 Crores; PY C 58.58 Crores)
Rent expense 0.98 1.06
Repairs and Maintenance
Repairs to buildings 35.52 22.21
Repairs to machinery and others 87.98 74.21
Insurance 4.73 4.03
Rates and taxes, excluding taxes on income 3.50 8.74
Auditors' Remuneration
For Audit 0.15 0.15
For Certification - -
Donation 8.93 1.67
Directors sitting fees 0.39 0.39
Non-executive directors' commission 0.74 0.78
Corporate Social Responsibility expenses (Note 30.6) 5.48 2.60
Export expenses 43.60 97.17
Travelling expenses & Maintenance of vehicles 51.10 44.04
Research and development expenses 34.97 51.84
Service Outsourcing expenses 53.87 41.80
Sales expenses 54.33 39.37
Miscellaneous expenses 46.26 71.38
Total other expense 831.58 843.98
28. Finance costs

Particulars
Bill collection charges - -
194
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29. Income tax relating to continuing operations
29.1 Income tax recognised in profit or loss

Particulars
Current tax
Current tax on profits for the year 109.45 110.00
Adjustments for current tax of prior periods - -
Total current tax expense 109.45 110.00
Deferred Tax
Decrease / (increase) of deferred tax assets (0.95) 25.20
(Decrease) / Increase in deferred tax liabilities - -
Total deferred tax expense (0.95) 25.20
Total Income tax expense recognised for the year 108.50 135.20
29.2 Reconciliation of income tax expense to the accounting profit for the year

Particulars
Enacted tax rate in India 25.17% 25.17%
Computed expected tax expense at enacted tax rate 120.79 122.18
Tax effect on account of tax deductions (14.41) (14.35)
Tax effect of non-deductible expenses 3.07 2.17
Total Income Tax Expense recognised for the year 109.45 110.00
29.3 Income tax recognised in other comprehensive income

Particulars
March 31, 2024 March 31, 2023
Arising on income and expenses recognised in other comprehensive
income:
Net fair value gain on investments in equity shares at FVTOCI - -
Remeasurement of defined benefit obligations (0.47) (0.66)
Total (0.47) (0.66)
Bifurcation of income tax recognised in other comprehensive income
into:
Items that will not be reclassified to profit or loss (0.47) (0.66)
Items that may be reclassified to profit or loss - -
Total (0.47) (0.66)
001 CORPORATE
STATEMENTS
195
30.1 Contingent Liabilities and Commitments, to the extent not provided for
As at As at
Particulars
Contingent Liabilities
Claims against the company not acknowledged as debt
Central Excise Demand 7.08 21.64
Other money for which the company is contingently liable
Letter of Credit 52.15 38.97
Bank and other guarantees 39.65 45.33
Disputed tax dues are appealed before concerned appellate authorities. The Company is advised that the cases are likely to
be disposed of in favour of the Company and hence no provision is considered necessary therefor.
As at As at
Particulars
Commitments
Estimated amount of contracts remaining to be executed on capital account 30.63 9.29
not provided for
30.2 Details of dividend proposed and paid

Particulars
a) Final dividend paid 105.23 42.73
b) In respect of the current year, the directors propose that a dividend of
C 75 per share be paid on equity shares on or before 14th August 2024.
This equity dividend is subject to approval by shareholders at the
ensuing Annual General Meeting and has not been included as a liability
in these financial statements. The proposed equity dividend is payable to
all shareholders on the Register of Members on 24th July 2024. The total
estimated equity dividend to be paid is C 80.12 Crores.
30.3 Disclosure as per Schedule III

As defined under Micro, Small and Medium Enterprises Development Act, 2006, the disclosure in respect of the amounts
payable to such enterprises as at the end of the year has been made in the financial statements based on information received
and available with the Company.
As at As at
Particulars
The principal amount and the interest due thereon remaining unpaid to 54.03 8.37
any supplier as at the end of each accounting year
The amount of interest paid by the Company along with the amounts of the Nil Nil
payment made to the supplier beyond the appointed day during the year
196
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REPORT 2023-24
As at As at
Particulars
The amount of interest due and payable for the period of delay in making Nil Nil
payment (which have been paid but beyond the appointed day during the
year) but without adding the interest specified under this Act
The amount of interest accrued and remaining unpaid at the end of the year Nil Nil
The amount of further interest remaining due and payable even in the Nil Nil
succeeding years, until such date when the interest dues as above are
actually paid to the small enterprise
30.4 Financial Instruments

Capital Management
The company manages its capital to ensure that it will be able to continue as going concern while maximising the return to
stakeholders. The capital structure of the company consists of only total equity and no debts. The company is not subject to
any externally imposed capital requirements. Net debt to equity ratio or gearing ratio is not applicable since the company
has no external debts.
i) Financial instruments by category

Particulars
FVTPL FVTOCI Amortised cost FVTPL FVTOCI Amortised cost
Financial Assets
Measured at amortised cost / FVTPL/
FVTOCI
a) Cash and bank balances - - 64.11 - - 90.45
b) O
ther financial assets -Non current - - 485.59 - - 727.55
c) Trade receivables - - 180.86 - - 307.60
d) Bank balances - - 833.60 - - 601.19
e) Other financial assets -Current - - 78.50 - - 41.20
f ) Investments in subsidiaries - - 72.76 - - 72.76
g) Investments in equity - 264.52 8.34 - 169.77 0.00
h) Investment in Debentures - - 10.01 - - 13.16
i) Investment in Mutual funds 350.12 - - 325.42 - -
Total 350.12 264.52 1,733.77 325.42 169.77 1,853.91
a) Trade Payables - - 560.42 - - 728.21
b) Other financial liabilities - - 139.59 - - 141.84
Total - - 700.01 - - 870.05
Financial Assets - - 2,348.41 - - 2,349.10
Financial Liabilities - - 700.01 - - 870.05
001 CORPORATE
STATEMENTS
197
ii) Fair Value Hierarchy
The fair value hierarchy of assets and liabilities measured at fair value on a recurring basis as at 31st March 2024 and
31st March 2023 is as follows:
Fair value measurement at end of the Fair value measurement at end of the
reporting period using reporting period using
Particulars
Level 1 Level 2 Level 3 Level 1 Level 2 Level 3
Financial assets
Financial Investments at FVTOCI
Quoted Equity Investments 264.52 - - 169.77 - -
Financial Investments at FVTPL
Mutual funds 350.12 - - 325.42 - -
Total Financial Assets 614.64 - - 495.19 - -
iii) Fair Value of financial assets and liabilities measured at amortised cost
For trade receivables and trade payables and other assets and payables maturing within one year from the balance sheet
date, the carrying amounts approximate the fair value due to the short maturity of these instruments.
30.5 Exceptional Items

There are no exceptional items for the current and previous financial year.
30.6 Corporate Social Responsibility Expenditure

Particulars
Gross amount required to be spent as per Sec. 135 of the Act 5.37 2.59
Amount spent during the year on:
Construction / acquisition of an asset - -
On purposes other than above 5.48 2.60
Total 5.48 2.60
Amount spent through approved trusts and institutions 5.23 2.56
Amount spent directly 0.25 0.04
Total 5.48 2.60
CSR Expenditure during the year on construction/acquisition of an asset is C Nil. CSR Expenses relating to gross amount
required to be spent for the year and the actual amount spent by the company during the year is furnished as Annexure to
the Board of Directors' Report.
30.7 Earnings Per Share

Particulars
Net Profit after Tax before OCI [C In Crores] 371.38 350.21
Weighted Average Number of Equity Shares used as denominator in calculating 1,06,83,000 1,06,83,000
basic earnings per share
Nominal Value per Equity Share [in C ] 10.00 10.00
Basic & Diluted Earnings Per Share [in C ] 347.64 327.82
198
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30.8 Related party transactions
Related Party Relationships (As identified by the Management)
Key Management Personnel
Sri. Sanjay Jayavarthanavelu, Chairman and Managing Director
Sri. K. Soundhar Rajhan, Director Operations (until 31st July 2023)
Sri. Jaidev Jayavarthanavelu, Wholetime Director w e f: 7th August 2023
Sri. M Sankar, Wholetime Director (Designated as Director Operations) w e f: 25th October 2023
Sri. V.Senthil, Chief Financial Officer
Sri. C R Shivkumaran, Company Secretary
Non Executive Directors

Sri. Aditya Himatsingka, Non Executive - Independent Director
Dr. Mukund Govind Rajan, Non Executive - Independent Director
Justice (Smt) Chitra Venkataraman (Retd.), Non Executive - Independent Director (woman)
Sri. Arun Alagappan , Non Executive - Independent Director
Sri. S Pathy, Non Executive - Non - Independent Director
Sri. T. C Suseel Kumar, Non Executive - Non - Independent Director (Nominee of LIC) (until 26th January 2024)
Sri. Jaidev Jayavarthanavelu, Non Executive - Non - Independent Director (until 6th August 2023)
Sri. Aroon Raman, Non Executive - Independent Director
Wholly Owned Subsidiary :

LMW Textile Machinery (Suzhou) Co. Ltd, China
LMW Aerospace Industries Limited, India
LMW Global FZE, UAE
Post Employment benefit plans

Lakshmi Machine Works Limited Employees' Gratuity Fund
Other companies/firms in which directors or their relatives are interested

Alampara Hotels and Resorts Private Limited, Chakradhara Aerospace and Cargo Private Limited, Chakradhara Agro Farms
Private Limited, Dhanajaya Agro Farms Private Limited, Dhanuprabha Agro Private Limited, Eshaan Enterprises Private
Limited, Harshni Textiles Private Limited, Hermes Academy of Training Private Limited, Lakshmi Caipo Industries Limited,
Lakshmi Card Clothing Mfg Co. Private Limited, Lakshmi Cargo Company Limited, Lakshmi Electrical Control Systems Limited,
Lakshmi Electrical Drives Private Limited, Lakshmi Energy and Environment Designs Private Limited, Lakshmi Life Sciences
Private Limited, Lakshmi Precision Technologies Limited, Lakshmi Ring Travellers (Coimbatore) Private Limited, LCC Cargo
Holdings Private Limited, Lakshmi Technology and Engineering Industries Limited, Mahalakshmi Engineering Holdings
Private Limited, Petrus Techonologies Private Limited, Quattro Engineering India Private Limited, Rajalakshmi Engineering,
Revantha Agro Farms Private Limited, Revantha Services Private Limited, Shri Kara Engineering Private Limited, Sowbarnika
Enterprises Private Limited, Sri Dwipa Properties Private Limited, Sri Kamakoti Kamakshi Enterprises Private Limited, Starline
Travels Private Limited, Sudhasruthi Agro Private Limited, Super Sales India Limited, Supreme Dairy Products India Private
Limited, The Lakshmi Mills Company Limited, Titan Paints & Chemicals Private Limited, Venkatavaradhaa Agencies Private
Limited, Waterfield Financial and Investment Advisors Private Limited, CACPL Global Logistics, Imperium Global FZE, Lakshmi
Global, Lakshmi Global FZE.
001 CORPORATE
STATEMENTS
199
Key Management personnel compensation

Particulars
Short term employee benefits 24.47 24.82
Post employment benefits 0.50 0.50
Total compensation 24.97 25.32
Related Party Transactions
Other Key Management Wholly Owned

Related Parties Personnel Subsidiary
Particulars
31st March 31st March 31st March 31st March 31st March 31st March
2024 2023 2024 2023 2024 2023
Purchase of goods 659.85 714.57 - - 90.85 70.78
Sale of goods 81.57 64.43 - - 178.18 207.21
Purchase of Fixed Assets 22.38 20.13 - - - -
Sale of Fixed Assets 0.11 0.62 - - 0.22 0.22
Rendering of Services 1.76 1.20 - - 0.34 6.01
Receiving of Services 216.63 227.43 - - 0.22 -
Contribution to Gratuity Fund 4.72 0.79 - - - -
Agency arrangements 25.21 21.76 - - - -
Managerial remuneration - - 24.97 25.32 - -
Outstanding Payables 139.89 94.95 19.17 19.96 19.84 25.28
Outstanding Receivables 32.87 22.17 - - 80.77 92.88
1. Purchase of Goods includes LMW Textile Machinery (Suzhou) Co. Ltd C 0.02 Crores (Previous Year C 0.31 Crores); LMW Global FZE C 90.83
Crores (Previous Year C 70.47 Crores); Lakshmi Electrical Control Systems Limited C 295.71 Crores (Previous Year C 299.30 Crores); Lakshmi
Electrical Drives Private Limited C 83.51 Crores (Previous Year C 93.60 Crores); Lakshmi Life Sciences Private Limited C 124.66 Crores
(Previous Year C 139.53 Crores); Lakshmi Precision Technologies Limited C 73.25 Crores (Previous Year C 75.58 Crores) & Other related
parties-Associates C82.72 Crores (Previous Year C 106.56 Crores)
2. Sale of Goods includes LMW Textile Machinery (Suzhou) Co. Ltd C 23.16 Crores (Previous Year C 109.99 Crores); LMW Global FZE C 155.02
Crores (Previous Year C 97.22 Crores); & Other related parties - Associates C 81.57 Crores (Previous Year C 64.43 Crores)
3. Purchase of Fixed Assets includes Revantha Services Private Limited C22.38 Crores (Previous Year C 20.13 Crores)
4. Sale of Fixed Assets includes LMW Global FZE C 0.22 Crores (Previous Year C 0.22 Crores); Super Sales India Limited C 0.11 Crores (Previous
Year C 0.10 Crores) & Other related parties - Associates C Nil (Previous Year C 0.52 Crores)
5. Rendering of Services includes LMW Textile Machinery (Suzhou) Co. Ltd C 0.34 Crores (Previous Year C 6.01 Crores); Super Sales India
Limited C 0.24 Crores (Previous Year C 0.41 Crores); Chakradhara Aerospace and Cargo Private Ltd C 0.34 Crores (Previous Year C 0.34
Crores); Lakshmi Life Sciences Private Limited C 0.76 Crores (Previous Year C 0.14 Crores); Petrus Technologies Private Limited C 0.32 Crores
(Previous Year C 0.18 Crores) & Others - Other related parties-Associates C 0.10 Crores (Previous Year C 0.13 Crores)
6. Receiving of Services includes LMW Textile Machinery (Suzhou) Co. Ltd C 0.22 Crores (Previous Year Nil); Chakradhara Aerospace and
Cargo Private Ltd C 110.39 Crores (Previous Year C 153.77 Crores); Revantha Services Private Ltd C 46.39 Crores (Previous Year C 26.54
Crores) & Other related parties-Associates C 59.85 Crores (Previous Year C 47.12 Crores)
7. Contribution to gratuity fund includes Lakshmi Machine Works Limited Employees' Gratuity Fund C 4.72 Crores (Previous Year C 0.79
Crores)
8. Agency arrangement includes Super Sales India Limited C 25.21 Crores (Previous Year C 21.76 Crores)
9. Managerial Remuneration includes amount paid to Chairman and Managing Director, Sri Sanjay Jayavarthanavelu C 21.75 Crores
(Previous Year C 22.53 Crores); Sri Jaidev Jayavarthanavelu, Wholetime Director C 0.63 Crores (Previous Year C Nil); Mr. M.Sankar,
Director Operations w e f: 25th October 2023 C 0.67 Crores (Previous Year C Nil); Mr. K.Soundhar Rajhan, Director Operations (until 31st
200
ANNUAL
REPORT 2023-24
July 2023) C 0.58 Crores (Previous Year C 1.56 Crores); Mr. V.Senthil, Chief Financial Officer C 0.83 Crores (Previous Year C 0.75 Crores);
Mr. C R Shivkumaran, Company Secretary C 0.51 Crores (Previous year C 0.48 Crores)
10. Outstanding Payables include LMW Textile Machinery (Suzhou) Co. Ltd C 3.50 Crores (Previous Year C 3.26 Crores); LMW Global FZE C 16.34
Crores (Previous Year C 22.02 Crores); Lakshmi Electrical Control Systems Limited C 51.25 Crores (Previous Year C 33.60 Crores); Lakshmi
Electrical Drives Private Limited C 14.27 Crores (Previous Year C 10.00 Crores); Super Sales India Limited C 21.50 Crores (Previous Year
C 20.83 Crores); Lakshmi Life Sciences Private Limited C 19.06 Crores (Previous Year C 4.74 Crores); Sri.Sanjay Jayavarthanavelu C 19.17
Crores (Previous Year C 19.96 Crores) & Other related parties-Associates C 33.81 Crores (Previous Year C 25.77 Crores)
11. Outstanding Receivables include LMW Textile Machinery (Suzhou) Co. Ltd C 34.53 Crores (Previous Year C 54.38 Crores); LMW Global
FZE C 46.24 Crores (Previous Year C 38.50 Crores); Lakshmi Electrical Control Systems Limited C 3.25 Crores (Previous Year C 10.03 Crores);
Chakradhara Aerospace and Cargo Private Limited C 8.90 Crores (Previous Year C Nil); Lakshmi Life Sciences Private Limited C 7.19 Crores
(Previous Year C 1.37 Crores); Petrus Technologies Private Limited C 4.76 Crores (Previous Year C 0.07 Crores); Reventha Services Private
Limited C 3.30 Crores (Previous Year C Nil) & Others - Other related parties - Associates C 5.47 Crores (Previous Year C 10.70 Crores)

30.9 Employee defined benefit and contribution plans
I. Defined Benefit Plans
Leave Encashment
Gratuity (Funded)
(Funded)
Particulars
31st March 31st March 31st March 31st March
2024 2023 2024 2023
A. Expense recognised in Income Statement
1. Current Service cost 5.12 9.46 2.04 1.99
2. Interest expense on DBO 7.64 7.00 0.70 0.74
3. Interest (Income on plan asset) (7.79) (7.43) (0.97) (1.00)
4. Net Interest (0.15) (0.43) (0.27) (0.26)
5. Immediate recognition of (gain) / losses - - 0.79 0.76
6. Defined Benefits cost included in P & L 4.97 9.03 2.56 2.49
B. Expense recognised in Comprehensive Income

1. Actuarial (gain)/losses due to Demographic assumption - - - -
changes in DBO
2. Actuarial (gain)/losses due to financial assumption changes 2.06 (0.48) 0.39 (0.08)
in DBO
3. Actuarial (gain)/losses due to experience on DBO (3.97) (2.35) 0.59 0.84
4. Return on plan assets (greater) / less than discount rate 0.04 0.18 (0.19) 0.75
5. Total actuarial (gain) / loss included in OCI (1.87) (2.65) 0.79 1.51
6. Cost recognised in P & L 4.97 9.03 2.56 2.49
7. Remeasurement effect recognised in OCI (1.87) (2.65) - -
8. Total defined benefit cost 3.10 6.38 2.56 2.49
C. Net asset/Liability recognised in the Balance Sheet

1. Present value of benefit obligation 108.62 104.64 11.83 11.32
2. Fair value of plan assets 109.90 104.30 14.65 13.49
3. Funded Status [Surplus / (deficit)] 1.28 (0.34) 2.82 2.17
4. Net Asset / (Liability) recognised in balance sheet 1.28 (0.34) 2.82 2.17
001 CORPORATE
STATEMENTS
201
Leave Encashment
Gratuity (Funded)
(Funded)
Particulars
2024 2023 2024 2023
D. Change in Present value of the Obligation during the
year
1. Present value of the obligation at beginning of year 104.64 94.50 11.32 10.93
2. Current service cost 5.12 9.46 2.04 1.99
3. Interest cost 7.64 7.00 0.70 0.74
4. Benefits paid (6.87) (3.49) (3.21) (2.35)
5. Actuarial (gain) / loss on obligation (1.91) (2.83) 0.98 0.01
6. Present value of obligation at end of the year 108.62 104.64 11.83 11.32
E. Reconciliation of opening & closing values of Plan Assets

1. Fair value of plan assets at the beginning of the year 104.30 99.75 13.49 13.24
2. Expected return on plan assets 7.79 7.43 0.97 1.00
3. Contributions made 4.72 0.79 - -
4. Benefits paid (6.87) (3.49) - -
5. Actuarial gain / (loss) on plan assets (0.04) (0.18) 0.19 (0.75)
6. Fair value of plan assets at the end of the year 109.90 104.30 14.65 13.49
7. Actual return on plan assets 7.75 7.25 1.16 0.25
F. Amounts recognised in Other comprehensive Income

1. Opening unrecognised losses / (gains) 14.37 17.02 - -
2. Actuarial loss / (gains) on DBO (1.91) (2.83) 0.98 0.76
3. Actuarial loss / (gains) on assets 0.04 0.18 (0.19) 0.75
4. Amortisation Actuarial loss / (gain) - - 0.79 1.51
5. Total recognised in Other comprehensive income 12.50 14.37 - -
G. Major categories of plan assets as a percentage of total

plan
1. Qualifying insurance policies 109.90 104.30 14.65 13.49
2. Own plan assets-Bank balances 0.48 0.78 - -
Total 110.38 105.08 14.65 13.49
H. Actuarial Assumptions
1. Discount rate 7.25% 7.55% 7.25% 7.55%
2. Salary escalation 8.50% 8.50% 8.50% 8.50%
3. Attrition rate 7.00% 7.00% 7.00% 7.00%
4. Expected rate of return on plan assets 7.25% 7.47% 7.25% 7.47%
5. Mortality rate Indian Assured Lives Mortality (2006-08) Ultimate
202
ANNUAL
REPORT 2023-24
The salary escalation considered in actuarial valuation, takes account of inflation, seniority, promotion and other relevant
factors such as supply and demand in the employment market.
Gratuity is applicable to all permanent and full time employees of the company.
Gratuity payment is based on last drawn basic salary and dearness allowance at the time of termination or retirement. The
scheme takes into account each completed year of service or part thereof in excess of six months. The entire contribution is
borne by the company.
Leave encashment benefits are provided as per the rules of the company. The liabilities on account of defined benefit
obligations are expected to be contributed within the next financial year.
The company expects to make a contribution of C 3 Crores (as at 31st March 2024: C 4.72 Crores) to the defined benefit plans
during the next financial year.
I. Sensitivity Analysis
Gratuity (Funded) Leave Encashment (Funded)
31st March 2024 31st March 2023 31st March 2024 31st March 2023
Impact of +1% change in rate of discounting (6.17) (6.03) (1.09) (1.02)

Impact of -1% change in rate of discounting 6.86 6.70 1.30 1.21
Impact of +1% change in rate of salary increase 6.76 6.62 1.24 1.16
Impact of -1% change in rate of salary increase (6.19) (6.07) (1.06) (1.00)
Impact of +1% change in rate of attrition (0.86) (0.75) (0.20) (0.16)
Impact of -1% change in rate of attrition 0.94 0.82 0.21 0.17
The above sensitivity analysis are based on change in an assumption while holding all other assumptions constant. In
practice, this is unlikely to occur, and changes in some of the assumptions may be correlated. When calculating the sensitivity
of the defined benefit obligation to significant actuarial assumptions the same method (present value of the defined benefit
obligation calculated with the projected unit credit method at the end of the reporting period) has been applied as and
when calculating the defined benefit liability recognised in the balance sheet.
J. Brief description of the plans & risks

These plans typically expose the company to actuarial risks such as: investment risk, interest rate risk, longevity risk and
salary risk.
Investment risk
The present value of the defined benefit plan liability is calculated using a discount which is determined by reference to
market yields at the end of the reporting period on government bonds. Plan investment is a mix of investments in government
securities, other debt instruments and equity shares of listed companies.
Interest Rate risk

A decrease in the bond interest rate will increase the plan liability. However, this will be partially offset by an increase in the
return on the plan's debt investments, if any.
Longevity risk
The present value of the defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan
participants both during and after their employment. An increase in the life expectancy of the plan participants will increase
the plan's liability.
001 CORPORATE
STATEMENTS
203
Salary risk
The present value of the defined benefit plan liability is calculated by reference to the future salaries of plan participants. As
such, an increase in the salary of the plan participants will increase the plan's liability.
II. Defined Contribution Schemes
Provident Fund Contribution 14.67 13.90
30.10 Segment information

Products and services from which reportable segments derive their revenues.
Information reported to the Chief Operating Decision Maker (CODM) for the purposes of resource allocation and assessment
of segment performance focuses on the type of goods or services delivered or provided. The company has chosen to organise
the company around differences in products and services. No operating segments have been aggregated in arriving at the
reportable segments of the company.
Specifically, the Company is organised into three main reportable segments viz.,(1) Textile Machinery Division (2) Machine
Tool Division & Foundry Division and (3) Advanced Technology Centre.
OPERATING Textile Machinery Machine Tool & Advanced Technology

Total
SEGMENTS Division Foundry Division Centre
31st March 31st March 31st March 31st March 31st March 31st March 31st March 31st March
Revenue
2024 2023 2024 2023 2024 2023 2024 2023
Revenue from 3,440.96 3,486.99 937.07 874.89 142.14 94.81 4,520.17 4,456.69
external customers
Inter Segment 66.23 64.62 97.11 97.31 - - 163.34 161.93
Revenue
Allocable other 68.03 95.98 15.59 13.44 18.05 15.94 101.67 125.36
income
Total Segment 3,575.22 3,647.59 1,049.77 985.64 160.19 110.75 4,785.18 4,743.98
Revenue
Less : Inter Segment 163.34 161.93
Revenue
Add : Unallocable 117.10 107.21
other Income
Enterprise revenue 4,738.94 4,689.26
Result
Segment Result 313.64 343.86 74.42 61.19 14.03 3.33 402.09 408.38
Operating Profit 402.09 408.38
Other Income net
of unallocable
expenditure
Less : Interest - -
Expenses
Income tax expenses 109.45 110.00
(Current)
Income tax expenses (0.95) 25.20
(Deferred)
Net Profit after Tax 371.38 350.21
204
ANNUAL
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OPERATING Textile Machinery Machine Tool & Advanced Technology

Total
SEGMENTS Division Foundry Division Centre
Revenue
2024 2023 2024 2023 2024 2023 2024 2023
Other Information
Segment assets 1,935.29 2,328.23 1,207.45 1,072.28 101.39 57.11 3,244.13 3,457.62
corporate assets
Enterprise Assets 3,984.16 4,064.33
Segment Liabilities 1,001.68 1,463.22 252.73 235.41 19.02 16.40 1,273.43 1,715.03
Add : Unallocable 2,710.73 2,349.30
corporate liabilities
Enterprise Liabilities 3,984.16 4,064.33
Capital Expenditure 94.18 177.63 45.75 49.96 19.86 29.50 159.79 257.09
Depreciation 74.39 59.28 6.19 5.59 11.16 8.56 91.74 73.43
Notes :
1) The accounting policies of the reportable segments are the same as the company's accounting policies. Inter Segment transfers are
accounted on cost plus basis vis-a-vis at competitive market price charged to unaffiliated customers for similar goods.
2) Segment profit represents the profit before tax earned by each segment without allocation of unallocable expenses, finance costs and
unallocable income. This is the measure reported to the Chief Operating Decision Maker for the purposes of resource allocation and
assessment of segment performance.
3) Segment Revenue, Segment Result, Segment Asset and Liabilities include the respective amounts identifiable to each of the segments
and amounts allocated on a reasonable basis.
Information about major customers

There is no single customer contributing to 10% or more to the company's revenue for both 2023-24 and 2022-23.
Segment Assets and Liabilities
Segment Assets Segment Liabilities

Operating Segment As at 31 st
As at 31st
As at 31st As at 31st
March 2024 March 2023 March 2024 March 2023
Textile Machinery Division 1,935.29 2,328.23 1,001.68 1,463.22
Machine Tool & Foundry Division 1,207.45 1,072.28 252.73 235.41
Advanced Technology Centre 101.39 57.11 19.02 16.40
Total Segment assets & segment liabilities 3,244.13 3,457.62 1,273.43 1,715.03
Adjustments of unallocated assets and liabilities
Share capital - - 10.68 10.68
Reserves and Surplus - - 2,651.61 2,289.31
Investments 705.75 581.11 - -
Advance tax 34.28 25.60 - -
Deferred tax - - 47.48 48.43
Unpaid Dividends - - 0.96 0.88
Total assets & liabilities as per Balance sheet 3,984.16 4,064.33 3,984.16 4,064.33
001 CORPORATE
STATEMENTS
205
Geographical information
The company operates in two principal geographical area, India (country of domicile) and outside India.
The company's revenue from external customers based on location of customers is as per the table below:
Revenue from contracts with customers are disaggregated into categories that depict how the nature, amount, timing and
uncertainty of revenue and cash flows are affected by economic factors. The Company identifies the product lines, amongst
others to indicate the factors. The details of revenue from contracts with customers on the basis of various product lines
are as under :
Year Ended 31st March 2024

Particulars
India Outside India Total
Textile Machinery and Spares 2,876.50 564.46 3,440.96
Machine Tools and Castings 914.94 22.13 937.07
Aerospace Parts and component 9.89 132.25 142.14
Gross Sale of Products 3,801.33 718.84 4,520.17

Particulars
30.11 Approval of financial statements

The financial statements were reviewed and recommended by the Audit Committee and has been approved by the Board of
Directors at their meeting held on 27th May 2024.
30.12 Details of Leasing Arrangements
For the year ended For the year ended

Particulars
As Lessor
Operating lease
The Company has entered into operating lease arrangements for certain
surplus facilities. The lease is non-cancellable for a period upto 10 years and
may be renewed for a further period based on mutual agreement of the
parties.
Future minimum lease receipts
Not later than one year 0.42 0.42
Later than one year and not later than five years 1.68 1.68
More than 5 years 1.68 1.68
206
ANNUAL
REPORT 2023-24
30.13 Revenue Recognition
The company derives revenue primarily from the sale of Textile Machinery, Machine Tools, Accessories and parts, Casting and
Aero space Components.
Revenue is recognised upon transfer of control of promised products or services to customers in an amount that reflects the
consideration we expect to receive in exchange for those products or services.
Arrangements with customer for sale of above-mentioned products or services are on fixed price. Revenue is recognised to
depict the transfer of promised goods or services to customers in an amount that reflects the consideration the entity expects
to be entitled in exchange for those goods or services.
Revenue on fixed price contract are recognised at the time of dispatch of goods. Till then the consideration received is
accounted as ‘Advance received’ shown under financial liabilities. Control over the goods passed to the customer at the time
of dispatch of the goods at the company’s factory.
The expected cost of warranty issued is accounted as provision. The contract with customer are entered between the
company and the end customer. The company is primarily responsible for honouring the contract entered with customer.
Since the company acts as a “Principal” for the contracts entered into through selling agent the revenue is to be recognized
in gross by the company.
Contract modifications are accounted for when additions, deletions or changes are approved either to the contract scope or
contract price. The accounting for modifications of contracts involves assessing whether the services added to an existing
contract are distinct and whether the pricing is at the standalone selling price. Services added that are not distinct are
accounted for on a cumulative catch up basis, while those that are distinct are accounted for prospectively, either as a separate
contract, if the additional services are priced at the standalone selling price, or as a termination of the existing contract and
creation of a new contract if not priced at the standalone selling price.
Revenue from operations for the year ended 31st March 2024 and 31st March 2023 is as follows:
Year Ended 31st Year Ended 31st

Particulars
March 2024 March 2023
(i) Revenue from sale of products 4,520.17 4,456.69
(ii) Revenue from rendering of services 76.97 76.54
30.14 Financial Risk Management Objectives

The Company's activity exposes itself to variety of financial risk which includes market risk, credit risk, liquidity risk, interest
rate risk and price risk. The Company monitors and manages the above financial risks relating to the operations of the
company through internal risk reports which analyses exposures by degree and magnitude of risks. The primary focus is to
identify risks and take steps for mitigation of risk or to minimise the potential adverse effects on the financial performance of
the Company. The Company does not enter into any derivative financial instruments to hedge risk exposures.
Foreign Currency Risk

The Company undertakes transactions denominated in foreign currencies and consequently has exposure to exchange rate
fluctuations. The company operates internationally and a major portion of the international sales transaction are in USD and
balance in EUR, purchases from overseas suppliers are in various foreign currencies. The exposure at the end of the reporting
period does not reflect the transaction during the year and there is a natural hedge in the currency for USD and EUR. The
exchange rate between INR and other currency does have an impact on the business. The company is a net exporter and
export realisation combined with a depreciating INR has given the company a net foreign exchange gain.
These exchange rate exposures are not hedged by the Company. The carrying amounts of the Company’s foreign currency
denominated monetary assets and monetary liabilities at the end of the reporting period are as follows:-
001 CORPORATE
STATEMENTS
207
Amount in foreign currency Equivalent INR

Particulars As at 31 st
As at 31 st
Sundry creditors CHF 1,87,077 2,32,489 1.73 2.09
EUR 23,86,497 19,08,092 21.50 17.03
GBP 62,199 35,498 0.65 0.36
JPY 25,03,67,882 21,79,32,616 13.79 13.48
SEK 85,000 85,000 0.07 0.07
SGD 4,273 6,102 0.03 0.04
USD 37,88,630 53,87,842 31.58 44.24
Sundry Debtors EUR 6,83,794 8,97,408 6.17 7.71
GBP 19,819 22,799 0.21 0.23
USD 1,44,77,258 2,16,96,816 120.70 176.20
Cash and Bank Balances BDT 27,33,998 13,44,867 0.21 0.10
KES 62,523 - 0.00 -
TRY 10,79,106 81,229 0.28 0.03
USD 55,158 45,269 0.46 0.37
VND 3,04,74,076 4,83,70,838 0.01 0.02
The Company is mainly exposed to USD and EUR.
Foreign currency sensitivity analysis

The foreign exchange rate sensitivity is calculated by aggregation of the net foreign exchange rate exposure and a
simultaneous parallel foreign exchange rates shift of all the currencies by 5% against the respective functional currencies.
Particulars 31st March 2024 31st March 2023
Sundry creditors
USD 31.58 44.24
Euro 21.50 17.03
Sundry Debtors
USD 120.70 176.20
Euro 6.17 7.71
Net receivable
USD 89.12 131.96
Euro (15.33) (9.32)
Total 73.79 122.64
Impact on profit : 5 % increase in currency rate 3.69 6.13
Impact on profit : 5 % decrease in currency rate (3.69) (6.13)
Interest rate risk – The Company holds interest bearing assets in the form of fixed deposits with banks. The variation in
interest risks is managed by distributing deposits among wide base of banks and financial institutions.
Interest rate sensitivity analysis

The entity prepares sensitivity analysis for interest rate risk associated with fixed deposits by assuming various magnitudes of
interest rate changes, which includes a 0.25% increase or decrease in interest rates.

Fixed deposits in Banks 1,286.62 1,315.46
Impact on profit :increase of 25 basis points 3.22 3.29
Impact on profit : decrease of 25 basis points (3.22) (3.29)
208
ANNUAL
REPORT 2023-24
Price risk – Holding marketable financial assets expose the company to risk of price fluctuation. Price escalations will have
insignificant impact on carrying amounts of respective financial assets. However, the Company is exposed to equity price risks
from equity investments. Certain of the Company's equity investments are held for strategic rather than trading purposes.
Price sensitivity analysis
The sensitivity analysis for equity price risk is conducted by assuming a range of equity price changes, which involves a 5%
increase or decrease in equity prices. Additionally, we take into account other relevant factors such as changes in equity
prices for different equity markets and individual equity securities, correlations between these markets and securities, and
the holding period.

Fair value of Equity investments 264.52 169.77
Impact on Other Comprehensive Income :increase by 5% 13.23 8.49
Impact on Other Comprehensive Income :decrease by 5% (13.23) (8.49)
Credit risk – Credit risk arises from the risk of default on its obligation by the counterparty resulting in financial loss, such as
cash and cash equivalents and outstanding receivables.
Credit risk arises from the risk of default on its obligation by the counterparty resulting in financial loss, such as cash and cash
equivalents and outstanding receivables.
Credit risk on outstanding receivables is the exposure to billed receivable and are normally unsecured and derived from
revenue earned from customer mostly from India. Credit risk is managed by the company through credit approvals and
continuously monitoring the credit worthiness of the customer to which the company grants credit in the normal course of
business. The company applied simplified approach of estimated credit loss for trade receivable, which provide for expected
credit loss based on life-time expected losses. Trade receivables consist of a large number of customers, spread across diverse
industries and geographical areas. The Company does not have any significant credit risk exposure to any single counterparty.
The concentration of credit risk is limited due to the fact that the customer base is large and unrelated.
Liquidity risk – Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of
liquidity risk management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements.
The company's principal source of liquidity is from cash and cash equivalent and the cash flow from operations. The company
does not have any external borrowings from banks or any other financial institution. The company believes that the working
capital through internal accruals is sufficient to meet its current requirements and hence the Company does not perceive
any such risk.
Market risk
Market risk is the risk of any loss in future earnings, in realisable fair values or in future cash flows that may result from a
change in the price of a financial instrument. The value of a financial instrument may change as a result of changes in the
interest rates, foreign currency exchange rates, equity price fluctuations, liquidity and other market changes. Future specific
market movements cannot be normally predicted with reasonable accuracy.
Equity Price risk
Equity Price risk is related to the change in market reference price of the investments in equity securities. The fair value of
some of the Company’s investments measured at fair value through other comprehensive income exposes the Company
to equity price risks. These investments are subject to changes in the market price of securities. The fair value of Company’s
investment in quoted equity securities as of 31st March 2024 and 31st March 2023 was C 264.52 Crores and C 169.77 Crores
respectively.
A 5% change in equity price as of 31st March 2024 and 31st March 2023 would result in an impact of C 13.23 Crores and C 8.49
Crores respectively.
(Note: The impact is indicated on equity before consequential tax impact, if any).
001 CORPORATE
STATEMENTS
209
Capital management
The company’s objective is to safeguard its financial stability, financial independence and its ability to continue as a going
concern in order to generate returns for the shareholders and benefits for the other stake holders. The company incentivise
the shareholders by paying optimum and regular dividends.
The Company determines the amount of capital required on the basis of annual operating plans and other strategic
investment plans. The funding requirements are met through internally generated funds . The Company does not have any
borrowings in its capital portfolio.
30.15 Revenue Expenditure on Research & Development of Textile Machinery Division amounting to C 30.11 Crores
(FY 2022-23 C 35.95 Crores) and for Machine Tool Division amounting to C 4.86 Crores (FY 2022-23 C 15.89 Crores) has been
charged to Statement of Profit and Loss and Capital expenditure relating to Research and Development for Textile Machinery
Division amounting to C 4.98 Crores (FY 2022-23 C4.31 Crores ) and for Machine Tool Division amounting to C Nil (FY 2022-23
C Nil) has been included in Fixed Assets.
30.16 Additional regulatory information required by Schedule III

i) Details of benami property held
No proceedings have been initiated on or pending against the company for holding benami property under the Benami
Transactions (Prohibition) Act, 1988 (45 of 1988) and Rules made thereunder.
ii) Wilful Defaulter
The company had not been declared a wilful defaulter by any bank or Financial Institution or other lender (as defined
under the Companies Act, 2013) or consortium thereof, in accordance with the guidelines of the wilful defaulter issued
by the Reserve Bank of India.
iii) Relationship with struckoff companies
Relationship with
Transactions during Balance outstanding
Name of Struck off Nature of the Struck off
the year ended at the end of the year
Company transactions company, if any, to
31st March 2024 as at 31st March 2024
be disclosed
Achuk Consultants Sale of Textile 0.00 0.00 Customer
Engineers Pvt Ltd Machinery & Spares
iv) Compliance with number of layers of companies

The Company has complied with the number of layers prescribed under the Companies Act, 2013.
v) Compliance with approved scheme(s) of arrangements
No scheme of arrangement has been approved by the competent authority in terms of Section 230 to 237 of the
Companies Act, 2013.
vi) Utilisation of borrowed funds
The Company does not have borrowed funds.
vii) Undisclosed income
There is no income surrendered or disclosed as income during the current or previous year in the tax assessments under the
Income Tax Act, 1961, that has not been recorded in the books of account.
viii) Details of crypto currency or virtual currency
The Company has not traded or invested in crypto currency or virtual currency during the current or previous year.
ix) Valuation of Property, Plant & Equipment, intangible asset and investment property
The Company has not revalued its property, plant and equipment or intangible assets or both during the current or
previous year.
210
ANNUAL
REPORT 2023-24
30.17 Disclosure of Ratios
OVERVIEW
001 CORPORATE
FY 23-24 FY 22-23
Sl. %
Ratio Numerator Denominator Denomin- Denomin- Remarks
No. Numerator Ratio Numerator Ratio Variance
ator ator
1 Current Ratio Current Assets Current 2,203.38 1,051.84 2.09 2,195.47 1,381.69 1.59 31.83% Impact on
Liabilities account of
change in
REPORTS
deposit tenor
018 STATUTORY
and working
capital
management
2 Debt-Equity Ratio Long Term Debts Shareholder’s Not Applicable
Equity
3 Debt Service Earnings Available Debt Service Not Applicable
150 FINANCIAL
STATEMENTS
Coverage Ratio For Debt Service
4 Return On Equity Net Profits After Average 371.38 2,481.14 14.97% 350.21 2,142.61 16.35% -8.42%
Ratio Taxes – Preference Shareholder’s
Dividend Equity
5 Inventory Turnover Average 4,520.17 601.13 7.52 4,456.69 570.74 7.81 -3.70%
Turnover Ratio Inventory
6 Trade Receivables Turnover Average Trade 4,520.17 244.23 18.51 4,456.69 315.05 14.15 30.83% Improved
Turnover Ratio Debtors Collection
7 Trade Payables Total Purchases Average Trade 2,967.40 644.32 4.61 3,153.00 648.42 4.86 -5.29%
Turnover Ratio Creditors
8 Net Capital Turnover Working 4,520.17 1,151.54 3.93 4,456.69 813.78 5.48 -28.32% Impact on
Turnover Ratio Capital account of
change in
deposit tenor
and better
working capital
management
9 Operating Ratio Operating Profit Turnover 402.09 4,520.17 8.90% 408.38 4,456.69 9.16% -2.92%
211
212
FY 23-24 FY 22-23
Sl. %
Ratio Numerator Denominator Denomin- Denomin- Remarks
No. Numerator Ratio Numerator Ratio Variance
ator ator
10 Net Profit Ratio Net Profit After Turnover 371.38 4,520.17 8.22% 350.21 4,456.69 7.86% 4.56%
Taxes
11 Return On Capital Net Profit Before Capital 479.88 2,709.77 17.71% 485.41 2,348.42 20.67% -14.32%
Employed Interest and Taxes Employed
12 Return On Income generated Time 25.84 305.01 8.47% 15.82 280.32 5.64% 50.12% Reducing
Investment from Investments weighted Debt Yield has
average positive MTM
investments impact for FY
2024
30.18 Further, previous years’ figures have been regrouped / reclassified, wherever necessary, to conform with the current period presentation.
Firm Registration No. 001496S
Chartered Accountants Sanjay Jayavarthanavelu Jaidev Jayavarthanavelu
Chairman and Managing Director Wholetime Director
Partner
REPORT
ANNUAL
2023-24
FORM AOC I
(Pursuant to first proviso to sub-section (3) of section 129 read with rule 5 of Companies (Accounts) Rules, 2014
Statement containing salient features of the financial statement of subsidiaries or associate companies or joint ventures
(Information containing salient featues of the financial statement of wholly owned subsidiary)
Part A : Subsidiaries
(Information in respect of each subsidiary to be presented with amounts in ₹ Crores)
1. Sl. No. 3
2. Name of the subsidiary LMW Textile Machinery (Suzhou) Co. Ltd., China
LMW Aerospace Industries Limited, India
LMW Global FZE, UAE
3. The date since when subsidiary was
acquired
LMW Textile Machinery (Suzhou) Co. 04.09.2008
Ltd., China
LMW Aerospace Industries Limited, 09.04.2021 (Company incorporated on 16th March, 2021)
India
LMW Global FZE, UAE 04.02.2022
4. Reporting period for the subsidiary
concerned, if different from the
holding company's reporting period
LMW Textile Machinery (Suzhou) Co. 1st January 2023 to 31st December 2023; (1st April 2023 to 31st March 2024- For
Ltd., China consolidation purpose)
LMW Aerospace Industries Limited, 1st April 2023 to 31st March 2024
India
LMW Global FZE, UAE 1st April 2023 to 31st March 2024
5. Reporting currency and Exchange
rate as on the last date of the relevant
Financial year in the case of foreign
subsidiaries
LMW Textile Machinery (Suzhou) Co. RMB (Chinese Yuan); Closing Exchange rate as at 31st March 2024 - 1 RMB = ₹ 11.54
Ltd., China (Previous year ₹ 11.95)
LMW Global FZE, UAE AED; Closing Exchange rate as at 31st March 2024 - 1 AED = ₹ 22.69 (Previous year
₹ 22.28)
LMW Textile Machinery LMW Aerospace Industries

Particulars LMW Global FZE, UAE
(Suzhou) Co. Ltd., China Limited, India
31.3.2024 31.3.2023 31.3.2024 31.3.2023 31.3.2024 31.3.2023
6. Share capital 65.14 65.14 2.50 2.50 5.12 5.12
7. Reserves & Surplus 14.63 29.29 - - 23.78 8.46
8. Total assets 129.72 171.70 2.50 2.50 84.27 72.47
9. Total liabilities 129.72 171.70 2.50 2.50 84.27 72.47
10. Investments - - - - - -
11. Turnover 27.63 272.22 - - 249.13 120.49
12. Profit before taxation (12.65) 23.76 - - 14.93 8.12
13. Provision for taxation - - - - - -
14. Profit after taxation (12.65) 23.76 - - 14.93 8.12
001 CORPORATE
STATEMENTS
213
LMW Textile Machinery LMW Aerospace Industries
Particulars LMW Global FZE, UAE
(Suzhou) Co. Ltd., China Limited, India
31.3.2024 31.3.2023 31.3.2024 31.3.2023 31.3.2024 31.3.2023
15. Proposed Dividend - - - - - -
16. Extent of shareholding 100.00 100.00 100.00 100.00 100.00 100.00
[In %]
17. Names of subsidiaries which are yet LMW Aerospace Industries Limited, India
to commence operations
18. Names of subsidiaries which have Not applicable
been liquidated or sold during the
year
Part B : Associates and Joint ventures
Statement pursuant to section 129(3) of the Companies act, 2013 related to Assoicate Companies and Joint ventures
Not Applicable
Name of associates/Joint ventures

1. Latest audited Balance Sheet Date
2. Date on which the Associate or Joint Venture was associated or acquired
3. Shares of associate/Joint ventures held by the company on the year end
No.
Amount of investment in associates/joint venture
Extend of holding [In %]
4. Description of how there is significant influence
5. Reason why the associate/joint venture is not consolidated
6. Net worth attributable to shareholding as per latest audited Balance Sheet
7. Profit/loss for the year
I ) considered in consolidation
ii) not considered in consolidation
8. Names of associates or joint ventures which are yet to commence operations
9. Names of associates or joint ventures which have been liquidated or sold during the year
Chartered Accountants Sanjay Jayavarthanavelu Jaidev Jayavarthanavelu
Chairman and Managing Director Wholetime Director
Partner
214
ANNUAL
REPORT 2023-24
Consolidated
Financial Statements
Independent
Auditor’s Report
TO THE MEMBERS OF LAKSHMI MACHINE WORKS LIMITED
Report on the Audit of the Consolidated Financial Statements
Opinion Basis for Opinion

We have audited the consolidated financial statements of We conducted our audit in accordance with the Standards on
LAKSHMI MACHINE WORKS LIMITED (“the Company”) and Auditing specified under section 143(10) of the Companies
its subsidiaries (the Company and its subsidiaries together Act, 2013. Our responsibilities under those Standards
referred to as “the Group”), which comprise the consolidated are further described in the Auditor’s Responsibilities
Balance Sheet as at March 31, 2024, and the consolidated for the Audit of the Consolidated Financial Statements
statement of Profit and Loss (including other comprehensive section of our report. We are independent of the Group in
income), the consolidated statement of changes in equity accordance with the Code of Ethics issued by the Institute
and the consolidated cash flows Statement for the year then of Chartered Accountants of India (ICAI) together with the
ended, and notes to the consolidated financial statements, ethical requirements that are relevant to our audit of the
including a summary of Material accounting policies, Consolidated Financial Statements under the provisions
Notes to the Financial Statements and other explanatory of the Act and the Rules made thereunder, and we have
information (hereinafter referred to as “the Consolidated fulfilled our other ethical responsibilities in accordance with
Financial Statements”). these requirements and the ICAI’s Code of Ethics. We believe
that the audit evidence we have obtained is sufficient and
In our opinion and to the best of our information and appropriate to provide a basis for our audit opinion on the
according to the explanations given to us, the aforesaid Consolidated Financial Statements..
Consolidated Financial Statements give the information
required by the Companies Act, 2013 (“the Act”) in the manner Key Audit Matters
so required and gives a true and fair view in conformity with Key audit matters are those matters that, in our professional
the Indian Accounting Standards prescribed under section judgement, were of most significance in our audit of the
133 of the Act read with the Companies (Indian Accounting Consolidated Financial Statements of the current period.
Standards) Rules, 2015, as amended (“Ind AS”) and other These matters were addressed in the context of our audit
accounting principles generally accepted in India, of the of the consolidated financial statements as a whole, and
consolidated state of affairs of the Group, as at March 31, in forming our opinion thereon, and we do not provide a
2024, consolidated profit, consolidated total comprehensive separate opinion on these matters. We have determined the
income, consolidated changes in equity and consolidated matters described below to be the key audit matters to be
cash flows for the year then ended. communicated in our report.
Key Audit Matter Response to Key Audit Matter

Accuracy of recognition, measurement, presentation Our audit approach consisted testing of the design and
and disclosures of revenues and other related balances operating effectiveness of internal controls and procedures
in respect of “Revenue from contracts with Customers” as follows:
under Ind AS 115. • Evaluated the effectiveness of controls over the
preparation of information that are designed to ensure
The application of this revenue accounting standard involves
certain key judgments relating to identification of distinct the completeness and accuracy.
performance obligations, determination of transaction price • Selected a sample of existing continuing contracts and
of identified performance obligations, the appropriateness new contracts, and tested the operating effectiveness
of the basis used to measure revenue recognised over a of the internal control, relating to identification of the
period, and disclosures including presentations of balances distinct performance obligations and determination of
in the financial statements. Estimated efforts is a critical transaction price.
estimate to determine revenue, as it requires consideration
216
ANNUAL
REPORT 2023-24
of progress of the contract, efforts incurred till date, efforts • Tested the relevant information, accounting systems and
required to complete the remaining performance obligation change relating to contracts and related information
used in recording and disclosing revenue in accordance
with Ind AS 115.
• Reviewed a sample of contracts to identify possible
delays in achieving milestones, which require change
in estimated efforts to complete the remaining
performance obligations.
• Performed analytical procedures and test of details for
reasonableness and other related material items.
Assessment of carrying value of investments Our procedures in relation to assessing the carrying value of
The Group has invested in listed equity instruments and debt investments include the following observations.
instruments. We consider this a key audit matter given the • The equity investments are carried at fair value as on
relative significance of the value of investments. 31st March 2024.
• The investments in unquoted equity instruments are
carried at cost. During the year the Group has made new
investments.
• During the year the Group has sold investments in
Non-convertible debentures. All the investments in
debentures are measured at cost.
• The Group has also invested in debt oriented mutual
funds, and the same has also been recognised at fair
market value as on 31st March 2024.
Assessment of Contingent Liability The audit procedures included but were not limited to:
There are a number of litigations pending before various • Obtaining a detailed understanding processes and
forums against the Group and the management’s judgement controls of the Management with respect to claims or
is required for estimating the amount to be disclosed as disputes.
contingent liability. We determined the above area as a Key • Performing following procedures on samples selected.
Audit Matter in view of associated uncertainty relating to
the outcome of these matters which requires application
• Understanding the matters by reading the
correspondences, communications, minutes of the
of judgment in interpretation of law. Accordingly, our audit
management meeting.
was focused on analyzing the facts of subject matter under
consideration and judgments/ interpretation of law involved. • Making corroborative inquiries with appropriate
level of the management personnel including status
(Refer Note 30.2 to the consolidated financial statements)
update, expectation of outcomes with the basis, and
the future course of action contemplated by the Group,
and perusing legal opinions, if any, obtained by the
Management.
• Obtaining direct confirmation from the legal attorneys
of the Group and considering their opinions /probability
assessment of the outcomes.
• Evaluating the evidence supporting the judgement of
the management about possible outcomes and the
reasonableness of the estimates.
• Evaluating appropriateness of adequate disclosures in
accordance with the applicable accounting standards.
Other Matters
We did not audit the financial statements of two subsidiaries LMW Textile Machinery (Suzhou) Co. Ltd., China and LMW Global
FZE, UAE whose Ind AS financial statements reflect total assets of C 213.99 Crores as at 31st March 2024 and total turnover of
C 276.76 Crores for the year ended on that date, as considered in the Consolidated Financial Statements. The Consolidated
Financial Statements also include the Group’s share of profit of C 2.28 Crores for the year ended 31st March 2024 as considered
001 CORPORATE
STATEMENTS
217
in the consolidated financial statements, in respect of the 133 of the Act read with the Companies (Indian Accounting
subsidiary, whose financial statements have not been Standards) Rules, 2015, as amended. The respective Board
audited by us. These financial statements have been audited of Directors of the companies included in the Group are
by other auditors whose reports have been furnished to us responsible for maintenance of adequate accounting records
by the Management and our opinion on the Consolidated in accordance with the provisions of the Act for safeguarding
Financial Statements, in so far as it relates to the amounts the assets of the Group and for preventing and detecting
and disclosures included in respect of the subsidiary, and our frauds and other irregularities; the selection and application
report in terms of sub-sections (3) and (11) of Section 143 of appropriate accounting policies; making judgements
of the Act, in so far as it relates to the aforesaid subsidiary, is and estimates that are reasonable and prudent; and the
based solely on the reports of the other auditors. design, implementation and maintenance of adequate
internal financial controls, that were operating effectively for
During Financial Year 2023-24, there were no transactions in ensuring the accuracy and completeness of the accounting
LMW Aerospace Industries Ltd. records, relevant to the preparation and presentation of the
Consolidated Financial Statements that give a true and fair
Information Other than the Consolidated Financial
view and are free from material misstatement, whether due
Statements and Auditor’s Report Thereon
to fraud or error, which have been used for the purpose of
The Holding Company’s Board of Directors is responsible for preparation of the Consolidated Financial Statements by the
the preparation of the other information. The other Directors of the Holding Company, as aforesaid.
information comprises the information included in the
Management Discussion and Analysis, Board’s Report In preparing the Consolidated Financial Statements, the
including Annexures to Board’s Report, Business Responsibility respective Board of Directors of the companies included
Report, Corporate Governance and Shareholder’s Information, in the Group are responsible for assessing the ability of
but does not include the Consolidated Financial Statements the Group to continue as a going concern, disclosing, as
and our auditor’s report thereon. applicable, matters related to going concern and using the
going concern basis of accounting unless Board of Directors
Our opinion on the Consolidated Financial Statements does either intends to liquidate the Group or to cease operations,
not cover the other information and we do not express any or has no realistic alternative but to do so.
form of assurance conclusion thereon.
The respective Board of Directors of the companies included
In connection with our audit of the Consolidated Financial in the Group are responsible for overseeing the financial
Statements, our responsibility is to read the other information reporting process of the Group.
and, in doing so, consider whether the other information
is materially inconsistent with the Consolidated Financial Auditor’s Responsibilities for the Audit of the
Statements or our knowledge obtained during the course Consolidated Financial Statements
of our audit or otherwise appears to be materially misstated. Our objectives are to obtain reasonable assurance about
whether the Consolidated Financial Statements as a whole
If, based on the work we have performed, we conclude that
are free from material misstatement, whether due to fraud
there is a material misstatement of this other information, we
or error, and to issue an auditor’s report that includes our
are required to report that fact. We have nothing to report in
opinion. Reasonable assurance is a high level of assurance but
this regard.
it is not a guarantee that an audit conducted in accordance
Responsibilities of Management and those with Standards of Auditing will always detect a material
charged with governance for the Consolidated misstatement when it exists. Misstatements can arise from
Financial Statements fraud or error and are considered material if, individually
or in the aggregate, they could reasonably be expected to
The Holding Company’s Board of Directors is responsible for
influence the economic decisions of users taken on the basis
the preparation of these Consolidated Financial Statements
of these Consolidated Financial Statements.
in terms of the requirements of the Companies Act, 2013
(hereinafter referred to as “the Act”) that gives a true and As part of an audit in accordance with Standards of
fair view of the consolidated financial position, consolidated Auditing, we exercise professional judgement and maintain
financial performance including other comprehensive professional skepticism throughout the audit. We also:
income, consolidated cash flows and consolidated changes
in equity of the Group in accordance with the accounting • Identify and assess the risks of material misstatement
principles generally accepted in India, including the of the Consolidated Financial Statements, whether due
Accounting Standards (Ind AS) prescribed under Section to fraud or error, design and perform audit procedures
218
ANNUAL
REPORT 2023-24
responsive to those risks, and obtain audit evidence direction, supervision and performance of the audits
that is sufficient and appropriate to provide a basis carried out by them. We remain solely responsible for
for our opinion. The risk of not detecting a material our audit opinion.
misstatement resulting from fraud is higher than for
one resulting from error, as fraud may involve collusion, Materiality is the magnitude of misstatements in the
forgery, intentional omissions, misrepresentations, or Consolidated Financial Statements that, individually
the override of internal control. or in aggregate, makes it probable that the economic
decisions of a reasonably knowledgeable user of the
• Obtain an understanding of internal control relevant to financial statements may be influenced. We consider
the audit in order to design audit procedures that are quantitative materiality and qualitative factors in (i)
appropriate in the circumstances. Under section 143(3) planning the scope of our audit work and in evaluating
(i) of the Companies Act, 2013, we are also responsible the results of our work; and (ii) to evaluate the effect
for expressing our opinion on whether the company of any identified misstatements in the Consolidated
has adequate internal financial controls system in place Financial Statements.
and the operating effectiveness of such controls.
We communicate with those charged with governance
• Evaluate the appropriateness of accounting policies of the Holding Company and such other entity
used and the reasonableness of accounting estimates included in the Consolidated Financial Statements of
and related disclosures made by management. which we are the independent auditors regarding,
among other matters, the planned scope and timing
• Conclude on the appropriateness of management’s use of the audit and significant audit findings, including
of the going concern basis of accounting and, based any significant deficiencies in internal control that we
on the audit evidence obtained, whether a material identify during our audit.
uncertainty exists related to events or conditions that
may cast significant doubt on the ability of the Group We also provide those charged with governance with
and its associates to continue as a going concern. If a statement that we have complied with relevant
we conclude that a material uncertainty exists, we are ethical requirements regarding independence, and
required to draw attention in our auditor’s report to to communicate with them all relationships and
the related disclosures in the Consolidated Financial other matters that may reasonably be thought to
Statements or, if such disclosures are inadequate, to bear on our independence, and where applicable,
modify our opinion. Our conclusions are based on the related safeguards.
audit evidence obtained up to the date of our auditor’s
report. However, future events or conditions may cause From the matters communicated with those charged
the Group and its associates to cease to continue as a with governance, we determine those matters that were
going concern. of most significance in the audit of the Consolidated
Financial Statements of the current period and are
• Evaluate the overall presentation, structure and content therefore the key audit matters. We describe these
of the Consolidated Financial Statements, including the matters in our auditor’s report unless law or regulation
disclosures, and whether the Consolidated Financial precludes public disclosure about the matter or when,
Statements represent the underlying transactions and in extremely rare circumstances, we determine that
events in a manner that achieves fair presentation. a matter should not be communicated in our report
because the adverse consequences of doing so would
• Obtain sufficient appropriate audit evidence regarding reasonably be expected to outweigh the public interest
the financial information of the entities or business benefits of such communication.
activities within the Group to express an opinion on the
Consolidated Financial Statements. Report on Other Legal and Regulatory
Requirements
• We are responsible for the direction, supervision and
performance of the audit of the financial statements 1. As required by Section 143(3) of the Act, we report, to
of such entities included in the consolidated financial the extent applicable, that:
statements of which we are the independent auditors. a) We have sought and obtained all the information
For the other entities included in the Consolidated and explanations which to the best of our
Financial Statements, which have been audited by other knowledge and belief were necessary for
auditors, such other auditors remain responsible for the
001 CORPORATE
STATEMENTS
219
the purposes of our audit of the aforesaid the Companies (Audit and Auditor’s) Rules, 2014,
Consolidated Financial Statements. as amended in our opinion and to the best of our
information and according to the explanations
b) In our opinion, proper books of account as
given to us:
required by law relating to preparation of the
aforesaid Consolidated Financial Statements i. The Consolidated Financial Statements
have been kept so far as it appears from our disclose the impact of pending litigations
examination of those books and the reports of the on the consolidated financial position
other auditors. of the Group– Refer Note No. 30.2 to the
Consolidated Financial Statements.
c) The Consolidated Balance Sheet, the Consolidated
Statement of Profit and Loss including other ii. Provision has been made in the Consolidated
comprehensive income, the Consolidated Financial Statements, as required under the
statement of Cash Flows and the Consolidated applicable law or accounting standards, for
statement of changes in equity dealt with by this material foreseeable losses, if any, on long-
Report are in agreement with the relevant books of term contracts including derivative contracts
account maintained for the purpose of preparation – Refer Note No.18 to the Consolidated
of the Consolidated Financial Statements. Financial Statements.
d) In our opinion, the aforesaid Consolidated iii. There has been no delay in transferring
Financial Statements comply with the Indian amounts, required to be transferred, to
Accounting Standards specified under Section the Investor Education and Protection
133 of the Act. Fund by the Holding Company and its
e) On the basis of the written representations subsidiary company.
received from the directors of the Holding
iv. (a) The respective Management of the
Company and the subsidiary (LMW Aerospace
company and its subsidiaries which
Industries Limited) as on 31st March, 2024 taken
are companies incorporated in India,
on record by the Board of Directors of the Holding
whose financial statements have
Company, none of the directors of the Holding
been audited under the Act, have
company and the above-mentioned subsidiary
represented to us that, to the best of its
incorporated in India is disqualified as on 31st
knowledge and belief, no funds (which
March, 2024 from being appointed as a director in
are material either individually or in
terms of Section 164(2) of the Act.
the aggregate) have been advanced
f) With respect to the adequacy of internal financial or loaned or invested (either from
controls over financial reporting of the Group borrowed funds or share premium or
and the operating effectiveness of such controls, any other sources or kind of funds) by
refer to our separate report in “Annexure A”. Our the Company or the subsidiary (LMW
Report express an Unmodified opinion on the Aerospace Industries Limited) to or in
adequacy and operating effectiveness of internal any other person or entity, including
financial controls over the financial reporting of foreign entity (“Intermediaries”), with
those companies. the understanding, whether recorded
in writing or otherwise, that the
g) With respect to other matters to be included in the Intermediary shall, whether, directly
Auditor’s Report in accordance with requirements or indirectly lend or invest in other
of section 197(16) of the Act, as amended: persons or entities identified in any
In our opinion and to the best of our information manner whatsoever by or on behalf
and according to the explanations given to us, the of the Company or the subsidiary
remuneration paid by the company to its directors (LMW Aerospace Industries Ltd)
during the year in accordance with the provisions (“Ultimate Beneficiaries”) or provide
of section 197 of the Act. any guarantee, security or the like on
behalf of the Ultimate Beneficiaries.
h) With respect to the other matters to be included in
the Auditor’s Report in accordance with Rule 11 of
220
ANNUAL
REPORT 2023-24
(b) The respective Management of the vi. The reporting under Rule 11(g) of the
company and its subsidiaries which Companies (Audit and Auditors) Rules, 2014
are companies incorporated in India, is applicable from 1 April 2023.
whose financial statements have
been audited under the Act, have Based on our examination which included
represented to us that, to the best of its test checks, and as communicated by the
knowledge and belief, no funds (which respective auditors of subsidiaries, the
are material either individually or in Group have used accounting software for
the aggregate) have been received maintaining its books of account, which
by the Company or the subsidiary have a feature of recording audit trail (edit
(LMW Aerospace Industries Limited) log) facility and the same has operated
from any other person or entity, throughout the year for all relevant
including foreign entity (“Funding transactions recorded in the software.
parties”), with the understanding,
Further, during the course of our audit,
whether recorded in writing or
we and respective auditors of the above
otherwise, that the Intermediary shall,
referred subsidiaries, did not come across
whether, directly or indirectly lend
any instance of audit trail feature being
or invest in other persons or entities
tampered with.
identified in any manner whatsoever
by or on behalf of the Funding Party As provision to Rule 3(1) of the Companies
(“Ultimate Beneficiaries”) or provide (Accounts) Rules, 2014 is applicable from
any guarantee, security or the like on April 1, 2023, reporting under Rule 11(g) of
behalf of the Ultimate Beneficiaries. the Companies (Audit and Auditors) Rules,
2014 on preservation of audit trail as per the
(c) Based on the audit procedures that
statutory requirements for record retention
have been considered reasonable
is not applicable for the financial year ended
and appropriate in the circumstances,
March 31, 2024
performed by us on the Holding
company and its subsidiary (LMW 2. With respect to the matters specified in paragraphs
Aerospace Industries Ltd) which are 3(xxi) and 4 of the Companies (Auditor’s Report) Order,
companies incorporated in India 2020 (“the Order”), issued by the Central Government of
whose Financial statements have been India in terms of sub-section (11) of section 143 of the
audited under the Act, nothing has Companies Act, 2013 , to be included in the Auditor’s
come to our notice that has caused us to report, according to the information and explanations
believe that the representations under given to us, and based on the CARO reports issued
sub-clause (i) and (ii) of Rule 11(e), by us for the company included in the Consolidated
as provided under (a) and (b) above, Financial Statements to which reporting under CARO is
contain any material misstatement. applicable, we report that there are no qualifications or
adverse remarks in these CARO reports.
v. (a) The final dividend proposed in the
previous year, declared and paid by For S. Krishnamoorthy & Co
the Company during the year is in Chartered Accountants
accordance with Section 123 of the Act, Firm Registration No. 001496S
as applicable.
(b) The Board of Directors of the Company

B. Krishnamoorthi
have proposed final dividend for
Partner
the year which is subject to the
approval of the members at the
Date : 27th May 2024 UDIN: 24020439BKABBW7216
ensuing Annual General Meeting. The
amount of dividend proposed is in
accordance with section 123 of the Act,
as applicable
001 CORPORATE
STATEMENTS
221
ANNEXURE “A” TO THE INDEPENDENT AUDITOR’S REPORT
(Referred to in paragraph 1(f ) under ‘Report on Other Legal and Regulatory Requirements’ section of our report to the
Members of Lakshmi Machine Works Limited of even date)
Report on the Internal Financial Controls Over Financial of the Companies Act, 2013, to the extent applicable to an
Reporting under Clause (i) of Sub-section 3 of Section audit of internal financial controls. Those Standards and
143 of the Companies Act, 2013 (“the Act”) the Guidance Note require that we comply with ethical
requirements and plan and perform the audit to obtain
In conjunction with our audit of the Consolidated Financial reasonable assurance about whether adequate internal
Statements of the Company as of and for the year ended financial controls over financial reporting was established
March 31, 2024, we have audited the internal financial and maintained and if such controls operated effectively
controls over financial reporting of LAKSHMI MACHINE in all material respects. Our audit involves performing
WORKS LIMITED (hereinafter referred to as “the Company”), procedures to obtain audit evidence about the adequacy of
the holding company and its subsidiary (LMW Aerospace the internal financial control system over financial reporting
Industries Limited) which are companies incorporated in and their operating effectiveness.
India as on that date.
Our audit of internal financial controls over financial
Management’s Responsibility for Internal reporting included obtaining an understanding of internal
Financial Controls financial controls over financial reporting, assessing the risk
The respective Board of Directors of the Holding company that a material weakness exists, and testing and evaluating
and its subsidiary (LMW Aerospace Industries Limited) the design and operating effectiveness of internal control
which are companies incorporated in India, are responsible based on the assessed risk. The procedures selected depend
for establishing and maintaining internal financial controls on the auditor’s judgement, including the assessment of the
based on the internal control over financial reporting criteria risks of material misstatement of the financial statements,
established by the respective Companies considering the whether due to fraud or error.
essential components of internal control stated in the
Guidance Note on Audit of Internal Financial Controls Over We believe that the audit evidence we have obtained is
Financial Reporting issued by the Institute of Chartered sufficient and appropriate to provide a basis for our audit
Accountants of India (“the ICAI”). These responsibilities opinion on the internal financial control system over financial
include the design, implementation and maintenance of reporting of the Holding company and its subsidiary
adequate internal financial controls that were operating (LMW Aerospace Industries Limited) which are companies
effectively for ensuring the orderly and efficient conduct incorporated in India.
of its business, including adherence to the respective Meaning of Internal Financial Controls Over
company’s policies, the safeguarding of its assets, the Financial Reporting
prevention and detection of frauds and errors, the accuracy
and completeness of the accounting records, and the timely A company’s internal financial control over financial reporting
preparation of reliable financial information, as required is a process designed to provide reasonable assurance
under the Act. regarding the reliability of financial reporting and the
preparation of financial statements for external purposes in
Auditor’s Responsibility accordance with generally accepted accounting principles. A
Our responsibility is to express an opinion on the internal company’s internal financial control over financial reporting
financial controls over financial reporting of the Holding includes those policies and procedures that (1) pertain to the
company and its subsidiary (LMW Aerospace Industries maintenance of records that, in reasonable detail, accurately
Limited) which are companies incorporated in India, based and fairly reflect the transactions and dispositions of the
on our audit. We conducted our audit in accordance with assets of the company; (2) provide reasonable assurance that
the Guidance Note on Audit of Internal Financial Controls transactions are recorded as necessary to permit preparation
Over Financial Reporting (the “Guidance Note”) issued by of financial statements in accordance with generally accepted
the Institute of Chartered Accountants of India and the accounting principles, and that receipts and expenditures
Standards on Auditing, prescribed under Section 143(10) of the company are being made only in accordance
222
ANNUAL
REPORT 2023-24
with authorizations of management and directors of the company and its subsidiary (LMW Aerospace Industries
company; and (3) provide reasonable assurance regarding Limited) which are companies incorporated in India,have, in
prevention or timely detection of unauthorised acquisition, all material respects, an adequate internal financial control
use, or disposition of the company’s assets that could have a system over financial reporting and such internal financial
material effect on the financial statements. controls over financial reporting were operating effectively
as at 31st March 2024 based on the internal control over
Inherent Limitations of Internal Financial Controls financial reporting criteria established by the respective
Over Financial Reporting companies considering the essential components of internal
Because of the inherent limitations of internal financial control stated in the Guidance Note on Audit of Internal
controls over financial reporting, including the possibility Financial Controls Over Financial Reporting issued by the
of collusion or improper management override of controls, Institute of Chartered Accountants of India.
material misstatements due to error or fraud may occur and
not be detected. Also, projections of any evaluation of the For S. Krishnamoorthy & Co
internal financial controls over financial reporting to future Chartered Accountants
periods are subject to the risk that the internal financial Firm Registration No. 001496S
control over financial reporting may become inadequate
because of changes in conditions, or that the degree of
compliance with the policies or procedures may deteriorate. B. Krishnamoorthi
Opinion Partner
In our opinion and to the best of our information and Date : 27th May 2024 UDIN: 24020439BKABBW7216
according to the explanations given to us, the Holding
001 CORPORATE
STATEMENTS
223
Consolidated Balance Sheet
As at 31st March 2024 (All amounts in C Crores, unless otherwise stated)
Note As at As at
Particulars
ASSETS
Non-Current Assets
Property, Plant and Equipment 3 958.05 887.44
Capital work-in-progress 3 9.31 24.38
Other Intangible assets 4 14.09 15.40
Financial Assets
(i) Investments 5 291.20 182.93
(ii) Other financial assets 9 486.00 727.84
Total Non - Current Assets 1,758.65 1,837.99
Current Assets
Inventories 6 619.61 701.80
Financial Assets
(i) Investments 5 350.12 325.42
(ii) Trade receivables 7 129.65 232.57
(iii) Cash and cash equivalents 8(a) 118.41 157.44
(iv) Bank balances other than (iii) above 8(b) 836.34 603.94
(v) Other financial assets 9 78.50 41.20
Current tax asset (net) 10 34.28 25.60
Other current assets 11 105.86 164.09
Total Current Assets 2,272.77 2,252.06
Total Assets 4,031.42 4,090.05
EQUITY AND LIABILITIES

Equity
Equity share capital 12 10.68 10.68
Other Equity 13 2,692.96 2,327.87
Equity attributable to owners of the company 2,703.64 2,338.55
Total Equity 2,703.64 2,338.55
Liabilities
Non-Current Liabilities
Deferred tax liabilities (net) 14 47.48 48.43
Other non-current liabilities 15 222.55 334.21
Total Non - Current Liabilities 270.03 382.64
Current Liabilities
(i) Trade payables 16
Due to Micro and Small Enterprises 54.03 8.37
Due to Others 476.28 659.56
(ii) Other financial liabilities 17 173.28 170.21
Provisions 18 18.08 18.12
Other current liabilities 19 336.08 512.60
Total Current Liabilities 1,057.75 1,368.86
Total Liabilities 1,327.78 1,751.50
Total Equity and Liabilities 4,031.42 4,090.05
Partner
224
ANNUAL
REPORT 2023-24
Consolidated Statement of Profit & Loss
Note Year Ended Year Ended
Particulars
INCOME
Revenue from operations 20 4,695.86 4,719.15
Other income 21 143.52 147.83
Total Income 4,839.38 4,866.98
EXPENSES
Cost of materials consumed 22 2,945.41 3,083.79
Purchase of stock in trade - -
Changes in inventories of finished goods, Work-in-progress and Stock in trade 23 28.62 (76.97)
Employee benefit expense 24 412.06 379.90
Depreciation and amortisation expense 25 96.34 77.74
Impairment loss on financial assets 26 6.13 3.46
Other expenses 27 868.66 879.84
Finance costs 28 - -
Total Expenses 4,357.22 4,347.76
Profit before exceptional items and tax 482.16 519.22
Exceptional Items
Voluntary retirement scheme payments 30.6 - -
Tax Expense 29
Current tax 29.1 109.45 110.00
Deferred tax 29.1 (0.95) 25.20
Total tax expense 108.50 135.20
Profit after tax from continuing operations for the year 373.66 384.02
Other comprehensive income
Items that will not be reclassified to Profit and loss
Changes in Fair value of FVTOCI equity instruments 94.75 5.30
Remeasurement of post-employment defined benefit plans 1.87 2.65
Income-tax relating to these items (0.47) (0.66)
Items that will be reclassified to Profit and loss - -
Total Other Comprehensive Income to owners of equity 96.15 7.29
Total Comprehensive Income for the year to owners of equity 469.81 391.31
Basic Earnings per share [In C][Face value C 10/- per share] 349.77 359.47
Diluted Earnings per share [In C ][Face value C 10/- per share] 349.77 359.47
Partner
001 CORPORATE
STATEMENTS
225
Consolidated Statement of Changes in Equity
226
Equity Share Capital
As at As at
Particulars
Opening Balance 10.68 10.68
Changes in equity share capital during the year - -
Closing Balance 10.68 10.68
Reserves and Surplus Other Comprehensive Income
Particulars
Total
allotment
nature)
Income
Income
Reserve
Reserve
instruments
Translation
share warrants
money pending
through Other
through Other
Share application
Capital Reserve
Income (specify
Comprehensive
Comprehensive
Comprehensive
General Reserve
compound financial
Foreign Currency
Debt instruments
Equity component of
Cash Flow Hedges
Retained Earnings
Equity Instruments
Effective portion of
Securities Premium
Capital Redemption
Revaluation Surplus
Other items of Other
Money received against
Balance at the beginning of the year - - 7.01 - 1.69 207.83 1,955.96 6.22 - 149.16 - - - - 2,327.87
Total Comprehensive Income for the year - - - - - - 1.40 - - 94.75 - - - - 96.15
Dividends - - - - - - (105.23) - - - - - - - (105.23)
Transfer to General Reserve - - - - - 37.00 (37.00) 0.51 - - - - - - 0.51
Balance at the end of the year - - 7.01 - 1.69 244.83 2,188.79 6.73 - 243.91 - - - - 2,692.96
Consolidated Statement of Changes in Equity for the year ended 31st March 2023
Balance at the beginning of the year - - 7.01 - 1.69 172.83 1,647.68 6.42 143.86 - - - - 1,979.49
Total Comprehensive Income for the year - - - - - - 1.99 - - 5.30 - - - - 7.29
Dividends - - - - - - (42.73) - - - - - - - (42.73)
Transfer to General Reserve - - - - - 35.00 (35.00) (0.20) - - - - - - (0.20)
Balance at the end of the year - - 7.01 - 1.69 207.83 1,955.96 6.22 - 149.16 - - - - 2,327.87
REPORT
ANNUAL
Sanjay Jayavarthanavelu Jaidev Jayavarthanavelu
Partner
2023-24
Consolidated Cash Flow Statement

Particulars
A. CASH FLOW FROM OPERATING ACTIVITIES
Profit after exceptional items but before tax 482.16 519.22
Adjustments for :
Depreciation and amortisation expense 96.34 77.74
Profit on sale of assets (1.59) (24.15)
Interest income (90.65) (67.91)
Dividend income (0.68) (1.14)
Profit from Redemption of Debentures / Mutual Fund (0.46) (4.75)
Income from Mutual funds designated at FVTPL (24.70) (9.93)
Unrealised Loss / (Gain) on Foreign Currency Cash and 0.01 (21.43) 0.00 (29.22)
cash equivalents
Operating Profit before working capital changes 460.73 490.00
Adjustments for (increase) / decrease in operating
assets
Trade receivables 102.92 89.82
Inventories 82.19 (186.66)
Other financial assets-Non Current (18.01) 4.58
Other financial assets- Current (6.74) (7.23)
Other Current assets 58.24 (39.37)
Adjustments for increase / (decrease) in operating -
liabilities
Trade payables (137.62) 117.90
Other non current liabilities (109.79) (92.43)
Provisions (0.04) 6.05
Other financial liabilities 3.32 59.16
Other current liabilities (176.04) (201.57) (20.01) (68.19)
Cash used in/ generated from operations 259.16 421.81
Taxes paid (118.58) (57.67)
Net Cash used in/generated from operations [A] 140.58 364.14
B. CASH FLOW FROM INVESTING ACTIVITIES
Purchase of Fixed assets / Capital Work In Progress (151.13) (278.11)
Proceeds from sale of fixed assets 1.85 25.02
Interest received 70.76 63.29
Dividend received 0.68 1.14
Investment in Equity Shares / Mutual Funds / Debentures (16.67) (71.91)
Proceeds of Sale from Redemption of debenture and other 3.61 31.96
funds
(Increase) / Decrease in Bank balances not considered as 16.78 (13.63)
cash and cash equivalent
Net cash used in investing activities [B] (74.12) (242.24)
001 CORPORATE
STATEMENTS
227
Consolidated Cash Flow Statement (contd..)

Particulars
C. CASHFLOW FROM FINANCING ACTIVITIES
Dividends paid (105.23) (42.73)
Transfer of unpaid dividends to IEPF (0.25) (0.24)
Finance cost - -
Net cash used in financing activities [C] (105.48) (42.97)
Net increase in cash and cash equivalents [A+B+C] (39.02) 78.93
Cash and cash equivalents at beginning of the period [D] 157.44 78.51
Cash and cash equivalents at end of the period [E] 118.42 157.44
Net increase / (decrease) in cash and cash equivalents [E-D] (39.02) 78.93
Cash & Cash equivalents as per Balance Sheet 118.41 157.44
Unrealised Loss / (Gain) on Foreign Currency Cash and 0.01 0.00
cash equivalents
Cash and Cash equivalents as per Cash flow Statement 118.42 157.44
Partner
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Notes to the Consolidated Financial Statements
1. Corporate Information Level 3 (unobservable inputs for the asset or liability). Fair
value in respect of equity financial instruments are the
Lakshmi Machine Works Limited is a public company
quoted prices of those instruments in the stock exchanges at
domiciled in India and incorporated under the provisions
the measurement date.
of the Companies Act, 1956. The address of its registered
office and principal place of business are disclosed in the a) Current and Non-Current Classification
introduction to the Annual report. Its shares are listed on
The group presents assets and liabilities in the balance
two stock exchanges in India, the National Stock Exchange of
sheet based on current/ non-current classification.
India Limited [NSE] and the BSE Limited [BSE]. The company
is engaged in the manufacturing and selling of textile An asset is treated as current when it is:
spinning machinery, CNC Machine Tools, Heavy castings and • Expected to be realised or intended to be sold or
parts and components for Aero space industry. The company consumed in normal operating cycle;
caters to both domestic and international markets. The
Consolidated Financial statements are approved for issue by • Held primarily for the purpose of trading;
the Company’s Board of Directors on 27th May 2024. • Expected to be realised within twelve months
after the reporting period; or
2. Material Accounting Policies
• Cash or cash equivalent unless restricted from
2.1 Statement of compliance being exchanged or used to settle a liability for at
The financial statements have been prepared in accordance least twelve months after the reporting period.
with Ind AS notified under Sec. 133 of the Companies Act,
2013 read with Rule 3 of the Companies (Indian Accounting All other assets are classified as non-current.
Standard) Rules 2015 and other relevant provisions of the Act. A liability is current when:
2.2 Basis of preparation and presentation • It is expected to be settled in normal

These financial statements are prepared in accordance with operating cycle;
Indian Accounting Standards (Ind AS) under the historical • It is held primarily for the purpose of trading;
cost convention on the accrual basis except for certain
• It is due to be settled within twelve months after
financial instruments which are measured at fair values,
the reporting period, or
the provisions of the Companies Act, 2013(Act) (to the
extent notified) and guidelines issued by the Securities and • There is no unconditional right to defer the
Exchange Board of India (SEBI). settlement of the liability for at least twelve
months after the reporting period.
Historical cost is generally based on the fair value of the
The group classifies all other liabilities as non-current.
consideration given in exchange for goods and services.
b) Functional and Presentation Currency
Fair value is the price that would be received to sell an asset or
paid to transfer a liability in an orderly transaction between Items included in the financial statements of the
market participants at the measurement date, regardless Group are measured using the currency of the primary
of whether that price is directly observable or estimated economic environment in which the Group operates
using another valuation technique. In estimating the fair (“the functional currency”). Indian rupee is the
value of an asset or liability, the group takes into account the presentation currency of the Group.
characteristics of the asset or liability at the measurement
The financial statements are presented in Indian
date. In addition, for financial reporting purposes, fair value
Rupees (C ) which is the Group’s presentation currency.
measurements are categorised into:
All financial information presented in Indian Rupees
Level 1 (unadjusted quoted prices in active markets for has been rounded up to the nearest Crores except
identical assets or liabilities that the entity can access at the where otherwise indicated.
measurement date);
c) Use of Estimates
Level 2 (inputs other than quoted prices included within The preparation of Consolidated financial statements
Level 1), that are observable for the asset or liability, either in conformity with Ind AS requires the management
directly or indirectly; to make estimates and judgements that affect the
001 CORPORATE
STATEMENTS
229
reported amounts of assets, liabilities, revenue, useful by replacing the requirements for entities
expenses and other comprehensive income (OCI) to disclose their ‘significant’ accounting policies
that are reported and disclosed in the Consolidated with a requirement to disclosure their ‘material’
financial statements and accompanying notes. These accounting policies and adding guidance on how
estimates are based on the management’s best entities apply the concept of materiality in making
knowledge of current events, historical experience, decisions about accounting policy disclosures.
actions that the Group may undertake in the future
and on various other assumptions that are believed to The Group do not expect this amendment to
be reasonable under the circumstances. Actual results have any significant impact on its Consolidated
could differ from those estimates. Changes in estimates financial statements.
are reflected in the Consolidated financial statements
(iii) Deferred Tax related to Assets and Liabilities
in the year in which the changes are made.
arising from single transaction – Amendments
Significant estimates and assumptions are used for, but to Ind AS 12
not limited to, This amendment has narrowed the scope of the
initial recognition exemption so that it does not
(i) Estimation of useful life of Property, Plant and apply to transactions that give rise to equal and
Equipment, Refer Note: 2.3 & Note 3 offsetting temporary differences. The Group has
(ii) Estimation of useful life of Intangible Assets – evaluated the amendment and there is no impact
Refer Note 2.4 & Note 4 on its consolidated financial statement.
(iii) Provisions and Contingent Liabilities – Ministry of Corporate Affairs (“MCA”) notifies new
Refer Note: 30.2 standards or amendments to the existing standards
(iv) Recognition of deferred taxes – Refer Note: 14 under Companies (Indian Accounting Standards)
(v) Key actuarial assumptions for measurement of Rules as issued from time to time. During the year
future obligations under employee benefit plans ended March 31, 2024, MCA has not notified any new
– Refer Note: 30.10 standards or amendments to the existing standards
applicable to the Group.
d) Standards notified but not yet effective
e) Basis of consolidation
The Ministry of Corporate Affairs has notified Companies
(Indian Accounting standards) Amendment Rules, 2023 (i) Lakshmi Machine Works Limited consolidates
dated March 31, 2023 to amend the following Ind AS entities which it owns or controls. The Consolidated
which are effective from April 1, 2023. financial statements comprise the financial
statements of the Company and its subsidiaries.
(i) Definition of Accounting estimates – Control exists when the parent has power over the
Amendments to Ind AS 8 : entity, is exposed, or has rights, to variable returns
from its involvement with the entity and has the
The amendments clarify the distinction between
ability to affect those returns by using its power
the changes in accounting estimates and changes
over the entity. Power is demonstrated through
in accounting policies and the correction of
existing rights that give the ability to direct
errors. It has also been clarified how entities use
relevant activities, those which significantly affect
measurement techniques and inputs to develop
the entity’s returns. Subsidiaries are consolidated
accounting estimates.
from the date control commences until the date
The amendments are not expected to control ceases.
have a material impact on the Group’s
(ii) The financial statements of the Holding Company
financial statements.
and its subsidiaries are combined on a line-by-
(ii) Disclosure of Accounting Policies – line basis by adding together like items of assets,
Amendments to Ind AS 1 liabilities, equity, incomes, expenses and cash
flows, after fully eliminating intra-group balances
The amendments aim to help entities provide
and intragroup transactions.
accounting policy disclosures that are more
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ANNUAL
REPORT 2023-24
(iii) Profits or losses resulting from intra-group Subsequent costs are included in the asset’s carrying amount
transactions that are recognised in assets, such as or recognised as a separate asset, as appropriate, only when
Inventory and Property, Plant and Equipment, are it is probable that future economic benefits associated
eliminated in full. with the item will flow to the entity and the cost can be
measured reliably.
(iv) In case of foreign subsidiaries, revenue items are
consolidated at the average rate prevailing during Expenses incurred relating to project, net of income earned
the year. All assets and liabilities are converted during the project development stage prior to its intended
at rates prevailing at the end of the year. Any use, are considered as pre-operative expenses and disclosed
exchange difference arising on consolidation is under Capital Work-in-Progress.
recognised in the Foreign Currency Translation
Reserve (FCTR). Property, plant and equipment represent a significant
proportion of the asset base of the Company. Depreciation
(v) The audited / unaudited financial statements on Property, Plant and Equipment is provided using Straight
of foreign subsidiaries have been prepared Line Method (SLM) over the estimated useful life.
in accordance with the Generally Accepted
Accounting Principle of its Country of The useful lives and residual values of company’s assets are
Incorporation or Ind AS. determined by management at the time the asset is acquired
and reviewed periodically, including at each financial year
(vi) The Consolidated Financial Statements have end with the effect of any changes in estimate accounted
been prepared using uniform accounting policies for on a prospective basis. The lives are based on historical
for like transactions and other events in similar experience with similar assets as well as anticipation of
circumstances. future events, which may impact their life, such as changes
in technology.
(vii) The carrying amount of the parent’s investment in
each subsidiary is offset (eliminated) against the The management estimates of the useful lives of the
parent’s portion of equity in each subsidiary. Property, Plant and Equipment are as follows:
(viii) The difference between the proceeds from Asset Type Estimated Useful life
disposal of investment in subsidiaries and the Buildings 20-60 years
carrying amount of its assets less liabilities as Leasehold Land 99 years
on the date of disposal is recognised in the
Plant and Equipment
Consolidated Statement of Profit and Loss being
the profit or loss on disposal of investment a. Main Machines 8-20 years
in subsidiary. b. Ancillary Machines 3-7 years
2.3 Property, plant and equipment Windmills 22 years

Solar Plant 10 Years
Property, plant and equipment are stated at historical cost
net off indirect taxes, including appropriate direct and Furniture & fixtures 8-10 years
allocated expenses less accumulated depreciation and Vehicles 6-8 years
impairment losses, if any. Office Equipment’s 7-15 years
Increase/Decrease in rupee liability in respect of foreign The useful lives as given above best represent the period over
currency liability related to acquisition of Property, Plant and which the management expects to use these assets, based
Equipment is added to the cost of the asset. on technical assessment. The estimated useful lives for these
Such cost includes purchase price, borrowing cost and any
cost directly attributable to bringing the assets to its working
condition for its intended use. An item of property, plant and equipment is
de-recognised upon disposal or when no future economic
Spare parts, stand-by equipment and servicing equipment
benefits are expected to arise from the continued use of the
are recognised when they meet the definition of property,
asset. Any gain or loss arising on the disposal or retirement
plant and equipment. Otherwise, such items are classified
of an item of property, plant and equipment is determined as
as inventory.
001 CORPORATE
STATEMENTS
231
the difference between the sales proceeds and the carrying 2.5 Investment Property
amount of the asset and is recognised in the profit or loss. Investment properties are properties held to earn rentals
For transition to IND AS, the group has elected to continue and/or for capital appreciation (including property under
with the carrying value of all of its property, plant and construction for such purposes). Investment properties
equipment recognised as of April 1, 2015 (transition date) are measured initially at cost, including transaction costs.
measured as per the previous GAAP and use that carrying Subsequent to initial recognition, investment properties
value as its deemed cost as of the transition date. are measured in accordance with IND AS 16’s requirements
for cost model.
2.4 Intangible assets
Investment properties are depreciated using the straight-line
Intangible assets with finite useful lives that are acquired method over their estimated useful lives. The useful life has
separately are carried at cost less accumulated amortization been determined based on technical evaluation performed
and accumulated impairment losses. by the management’s expert.
Intangible assets with indefinite useful lives that are An investment property is de-recognised upon disposal or
acquired separately are carried at cost less accumulated when the investment property is permanently withdrawn
impairment losses. from use and no future economic benefits are expected from
The useful life of group’s assets are determined by the disposal. Any gain or loss arising on derecognition of
management at the time the asset is acquired and reviewed the investment property is recognised in profit or loss in the
periodically, including at each financial year end with period of disposal.
the effect of any changes in estimate accounted for on a 2.6 Impairment of assets
prospective basis. The lives are based on historical experience
with similar assets as well as anticipation of future events, Property, Plant and Equipment or Intangible asset is
which may impact their life, such as changes in technology. evaluated for recoverability whenever events or changes in
circumstances indicate that their carrying amounts may not
The management estimates of the useful lives of the be recoverable. For the purpose of impairment testing, the
intangible assets are as follows: recoverable amount (i.e. the higher of the fair value less cost
to sell and the value-in-use) is determined on an individual
Asset Type Useful Life asset basis unless the asset does not generate cash flows that
Technical Knowhow 6 years are largely independent of those from other assets. In such
cases, the recoverable amount is determined for the CGU
Software 6 years
to which the asset belongs. If such assets are considered
The useful lives as given above best represent the period over to be impaired, the impairment has to be recognised in the
which the management expects to use these assets, based Statement of Profit and Loss.
on technical assessment. The estimated useful lives for these
An impairment loss is reversed in the Statement of Profit
and Loss if there has been a change in the estimates used
to determine the recoverable amount. The carrying amount
An intangible asset is de-recognised upon disposal or when of the asset is increased to its revised recoverable amount,
no future economic benefits are expected to arise. provided that this amount does not exceed the carrying
amount that would have been determined (net of any
Gains or losses arising from the derecognition of an accumulated amortization) had no impairment loss been
intangible asset, measured as the difference between the net recognised for the asset in prior years.
disposal proceeds and the carrying amount of the asset, are
recognised in profit or loss when the asset is de-recognised. 2.7 Financial Instruments
Financial Asset
For transition to IND AS, the group has elected to continue
Initial recognition
with the carrying value of all of its intangible assets
recognised as of April 1, 2015 (transition date) measured The Group recognizes financial assets when it becomes
as per the previous GAAP and use that carrying value as its a party to the contractual provisions of the instrument.
deemed cost as of the transition date. All financial assets are recognised at fair value on initial
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ANNUAL
REPORT 2023-24
recognition, except for trade receivables which are initially Effective Interest Rate Method
measured at transaction price. The effective interest rate method is a method of calculating
Transaction costs that are directly attributable to the the amortised cost of financial asset and of allocating interest
acquisition of financial assets (except for financial assets income over the expected life. The Group while applying
carried at fair value through profit or loss) are added to EIR method, generally amortises any fees, transaction costs
the fair value of the financial assets on initial recognition. and other premiums or discount that are integral part of the
Transaction costs of financial assets carried at fair value effective interest rate of a financial instrument.
through profit or loss are expensed in profit or loss. Income is recognised in the Statement of Profit and Loss on
Regular way purchase and sale of financial assets are an effective interest rate basis for financial assets other than
accounted for at trade date. those classified as at FVTPL. EIR (Effective Interest Rate) is
determined at the initial recognition of the financial asset.
Subsequent measurement EIR is subsequently updated at every reset, in accordance
(i) Financial assets carried at amortized cost with the terms of the respective contract.
A financial asset is subsequently measured at amortized Once the terms of financial assets are renegotiated, other
cost if it is held within a business model whose objective than market driven interest rate movement, any gain/loss
is to hold the asset in order to collect contractual cash measured using the previous EIR as calculated before the
flows and the contractual terms of the financial asset modification, is recognised in the Statement of Profit and
give rise on specified dates to cash flows that are solely Loss in period during which such renegotiations occur.
payments of principal and interest on the principal
amount outstanding Investments in Equity Instruments
All equity investments other than in subsidiaries, joint
(ii) Financial assets carried at fair value through other
ventures and associates are measured at fair value. Equity
comprehensive income (FVTOCI)
instruments which are held for trading are classified as at
Assets that are held for collection of contractual cash FVTPL. For all other equity instruments, the Group at initial
flows and for selling the financial assets, where the recognition makes an irrevocable election to classify it as
assets’ cash flows represent solely payments of principal either FVTOCI or FVTPL. The Group chooses to make an
and interest, are measured at FVTOCI. All fair value irrevocable election and designates it as FVTOCI.
changes are recognised in the Other Comprehensive
Income except for the recognition of impairment gains An equity investment classified as FVTOCI is initially
or losses, interest income and foreign exchange gains measured at fair value plus transaction costs. Subsequently,
and losses which are recognised in profit and loss it is measured at fair value and, all fair value changes are
recognised in Other Comprehensive Income (OCI) and
(iii) Financial assets carried at fair value through profit accumulated in “Reserve for Equity instruments through OCI”.
or loss (FVTPL) There is no recycling of the amounts from OCI to Statement
Financial assets are measured at FVTPL if it does of Profit and Loss, even on sale of investment.
not meet the criteria for classification as measured
Impairment of financial assets
at amortised cost or at FVTOCI. Movement in Fair
value changes are recognised in the statement of Trade receivables, contract assets, lease receivables,
profit and loss. investments in debt instruments that are carried at amortised
cost, investments in debt instruments that are carried at
A financial asset that meets the amortized cost criteria FVTOCI are tested for impairment based on the expected
or debt instruments that meet the FVTOCI criteria may credit losses for the respective financial asset.
be designated as at FVTPL upon initial recognition if
such designation eliminates or significantly reduces a Expected credit losses are the weighted average of credit
measurement or recognition inconsistency that would losses with the respective risks of default occurring as the
arise from measuring assets or liabilities or recognizing weights. Credit loss is the difference between all contractual
the gains and losses on them on different bases. cash flows that are due to the group in accordance with
the contract and all the cash flows that the group expects
001 CORPORATE
STATEMENTS
233
to receive (i.e. all cash shortfalls), discounted at the original In the event of a customer being identified as insolvent
effective interest rate (or credit-adjusted effective interest or ceasing operations, we conduct an assessment of the
rate for purchased or originated credit-impaired financial recoverability of any outstanding receivables from that
assets). The group estimates cash flows by considering all customer. If it is determined that there is a high degree
contractual terms of the financial instrument (for example, of uncertainty regarding the likelihood of recovering the
prepayment, extension, call and similar options) through the receivable, we recognize it as an expense in the income
expected life of that financial instrument. statement by writing it off. This write-off is recorded when
the potential loss is identified, rather than waiting for the
The group measures the loss allowance for a financial legal process to be completed.
instrument at an amount equal to the lifetime expected
credit losses if the credit risk on that financial instrument has Derecognition of financial assets
increased significantly since initial recognition. If the credit The Group de-recognizes a financial asset when the
risk on a financial instrument has not increased significantly contractual rights to the cash flows from the asset expire,
since initial recognition, the group measures the loss or when it transfers substantially all the risks and rewards
allowance for that financial instrument at an amount equal of ownership of the financial asset to another party. If the
to 12-month expected credit losses. 12-month expected Group neither transfers nor retains substantially all the
credit losses are portion of the lifetime expected credit losses risks and rewards of ownership and continues to control
and represent the lifetime cash shortfalls that will result if the transferred asset, the Group recognizes its retained
default occurs within the 12 months after the reporting date interest in the asset and an associated liability for amounts
and thus, are not cash shortfalls that are predicted over the it may have to pay. If the Group retains substantially all the
next 12 months. risks and rewards of ownership of a transferred financial
asset, the Group continues to recognize the financial asset
If the group measured loss allowance for a financial
and also recognizes a collateralised borrowing for the
instrument at lifetime expected credit loss model in the
proceeds received.
previous period, but determines at the end of a reporting
period that the credit risk has not increased significantly On derecognition of a financial asset in its entirety, the
since initial recognition due to improvement in credit difference between the asset’s carrying amount (Measured at
quality as compared to the previous period, the group again the date of derecognition) and the sum of the consideration
measures the loss allowance based on 12-month expected received shall be recognised in the statement of profit and
credit losses. loss account.
When making the assessment of whether there has been a Foreign exchange gains and losses
significant increase in credit risk since initial recognition, the
The fair value of financial assets denominated in a foreign
group uses the change in the risk of a default occurring over
currency is determined in that foreign currency and translated
the expected life of the financial instrument instead of the
at the spot rate at the end of each reporting period.
change in the amount of expected credit losses.
To make that assessment, the group compares the risk of

• For foreign currency denominated financial assets
measured at amortized cost and FVTPL, the exchange
a default occurring on the financial instrument as at the
differences are recognised in profit or loss except for
reporting date with the risk of a default occurring on the
those which are designated as hedging instruments in
financial instrument as at the date of initial recognition and
a hedging relationship.
considers reasonable and supportable information, that is
available without undue cost or effort, that is indicative of • Changes in the carrying amount of investments in
significant increases in credit risk since initial recognition. equity instruments at FVTOCI relating to changes
in foreign currency rates are recognised in other
Further, for the purpose of measuring lifetime expected comprehensive income.
credit loss allowance for trade receivables, the group has
used a practical expedient as permitted under Ind AS 109.
• For the purposes of recognising foreign exchange
gains and losses, FVTOCI debt instruments are treated
This expected credit loss allowance is computed based
as financial assets measured at amortized cost. Thus,
on a provision matrix which takes into account historical
the exchange differences on the amortized cost are
credit loss experience and adjusted for forward-looking
recognised in profit or loss and other changes in the fair
information.
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value of FVTOCI financial assets are recognised in other losses are determined based on the amortized cost of the
comprehensive income. instruments and are recognised in ‘Other income/Expense’.
2.8 Equity Instruments and Financial Liabilities The fair value of financial liabilities denominated in a
Equity Instruments foreign currency is determined in that foreign currency and
translated at the spot rate at the end of the reporting period.
An equity instrument is any contract that evidences a
For financial liabilities that are measured as at FVTPL, the
residual interest in the assets of an entity after deducting all
foreign exchange component forms part of the fair value
of its liabilities. Equity instruments issued by the entity are
gains or losses and is recognised in profit or loss.
recognised at the proceeds received.
Derecognition of financial liabilities
Repurchase of the group’s own equity instruments is
recognised and deducted directly in equity. The Group derecognizes financial liabilities only when,
the Group’s obligations are discharged, cancelled or have
Financial liabilities expired. An exchange between a lender of debt instruments
Initial Recognition with substantially different terms is accounted for as an
extinguishment of the original financial liability and the
The Group recognizes financial liabilities when it becomes
recognition of a new financial liability.
a party to the contractual provisions of the instrument.
All financial liabilities are recognised at fair value on initial Similarly, a substantial modification of the terms of an
recognition, except for trade payables. Transaction costs existing financial liability is accounted as derecognition
that are directly attributable to the acquisition or issue of of the original financial liability and the recognition of a
financial liabilities, which are not at fair value through profit new financial liability. The difference between the carrying
or loss, are added to the fair value on initial recognition. amount of the financial liability derecognised and the
consideration paid and payable is recognised in profit or loss.
Subsequent measurement
The subsequent measurement of financial liabilities depends 2.9 Valuation of Inventories
on their classification, as described below: Inventories are valued at lower of cost or net realisable value
after providing for obsolescence wherever necessary.
Financial liabilities at fair value through profit or loss
Financial liabilities designated upon initial recognition at fair Cost is determined on weighted average basis. Net realisable
value through profit or loss are designated as such at the value is the estimated selling price in the ordinary course of
initial date of recognition, and only if the criteria in Ind AS business, less estimated costs of completion and estimated
109 are satisfied. Changes in fair value of such liability are costs necessary to make the sale.
recognised in the statement of profit or loss.
Raw materials and stores, work in progress, traded and
Financial liabilities at amortized cost finished goods are stated at the lower of cost and net
The Group’s financial liabilities at amortized cost are realisable value. Cost of raw materials and traded goods
initially recognised at net of transaction costs and includes comprises cost of purchases. Cost of work–in–progress and
trade payables, borrowings including bank overdrafts and finished goods comprises direct materials, direct labour and
other payables an appropriate proportion of variable and fixed overhead
expenditure, the latter being allocated on the basis of normal
After initial recognition, financial liabilities are subsequently operating capacity. Cost of inventories also include all other
measured at amortized cost using the effective interest rate costs incurred in bringing the inventories to their present
(EIR) method except for deferred consideration recognised in location and condition.
a business combination which is subsequently measured at
fair value through profit and loss. Costs are assigned to individual items of inventory on the
basis of first–in first–out basis. Costs of purchased inventory
Foreign exchange gains and losses are determined after deducting rebates and discounts. Net
For financial liabilities that are denominated in a foreign realisable value is the estimated selling price in the ordinary
currency and are measured at amortized cost at the end course of business less the estimated costs of completion
of each reporting period, the foreign exchange gains and and he estimated costs necessary to make the sale.
001 CORPORATE
STATEMENTS
235
2.10 Translation of Foreign Currency Transactions entitlements are recognised on delivery thereof or sale of
rights therein, as the case may be, in terms of the contract
In preparing the financial statements of the group,
with the respective buyer.
transactions in currencies other than the entity’s functional
currency (foreign currencies) are recognised at the rates of Royalty: Royalty revenue is recognised on an accrual basis in
exchange prevailing at the dates of the transactions. At the accordance with the substance of the relevant agreement
end of each reporting period, monetary items denominated provided that it is probable that the economic benefits
in foreign currencies are retranslated at the rates prevailing will flow to the group and the amount of revenue can be
at that date. Non-monetary items carried at fair value that measured reliably. Royalty arrangements that are based on
production, sales and other measures are recognised by
are denominated in foreign currencies are retranslated
reference to the underlying arrangement.
at the rates prevailing at the date when the fair value was
determined. Non-monetary items that are measured in terms Dividend: Dividend income from investments is recognised
of historical cost in a foreign currency are not retranslated. when the shareholder’s right to receive payment has been
established provided if it is probable that the economic
Exchange differences on monetary items are recognised in benefits will flow to the group and the amount of income
profit or loss in the period in which they arise. can be measured reliably.
2.11 Recognition of Revenue Interest income: Interest income is accrued on a timely

basis, reference to principal outstanding and at the effective
The Group identifies the contract with customer once the
interest rate applicable, which is the rate that exactly
parties have approved the contract in writing and committed discounts estimated future cash receipts through the
to perform the respective performance obligations. expected life of the financial asset to that asset’s net carrying
Any addition or alteration of contract shall be binding amount on initial recognition.
only if agreed to in writing. The Group identifies distinct
performance obligations in the contract and recognizes Rental Income: Rental Income is recognised on accrual
basis in accordance with terms and conditions of respective
revenue as and when the performance obligation is satisfied
rental agreements.
by transferring a promised good or service to a customer.
The process of identifying distinct performance obligations Income from Wind Energy: Revenue from power supply is
requires exercising judgment to determine the deliverables recognised in terms of power purchase agreement entered
and ability of the customer to benefit independently from with state distribution companies and is measured at
such deliverables. The Group determines the transaction the value of consideration received or receivable, net of
price which is the consideration that the Group expects to discounts if any.
be entitled in exchange for good or service. The transaction
2.12 Borrowing costs
price is then allocated to each performance obligation and
revenue is recognised. General and specific borrowing costs that are directly
attributable to the acquisition, construction or production
Sale of Goods: The Group manufactures and sells a range of a qualifying asset are capitalized as part of the cost of
of Textile Machinery, Machine Tools, Accessories and parts, respective assets during the period of time that is required
Casting and Aero-space Components. Revenue is recognised
to complete and prepare the asset for its intended use.
when control is transferred to the customer upon despatch
or delivery of goods, based on the terms of contract. Qualifying assets are assets that necessarily take a substantial
period of time to get ready for their intended use or sale.
The Group's obligation to replace faulty products under Other borrowing costs are expensed in the period in which
standard warranty terms is recognised as a provision they are incurred.
(refer Note 18)
2.13 Dividends
Rendering of Services: The Group renders services that
include installation, maintenance, and other ancillary Final dividend on shares are recorded as a liability on the
services. Revenue from services is recognised over a period date of approval by the shareholders at the annual general
of time as and when the services are rendered in accordance meeting and interim dividend are recorded as a liability on
with the specific terms of contract with customer. the date of declaration by the group’s Board of Directors.
Export Incentives and Carbon Credit: Export incentives are 2.14 Earnings per Share
recognised when the right to receive payment/credit is
Basic earnings per share is computed by dividing the profit
established and no significant uncertainty as to measurability
or collectability exists. Revenue from carbon credits / REC or loss after tax by the weighted average number of equity
236
ANNUAL
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shares outstanding during the year including potential in the line item ‘Employee benefits expense’. Curtailment
equity shares on compulsory convertible debentures. gains and losses are accounted for as past service costs. The
Diluted earnings per share is computed by dividing the retirement benefit obligation recognised in the consolidate
profit / (loss) after tax as adjusted for dividend, interest and balance sheet represents the actual deficit or surplus in the
other charges to expense or income (net of any attributable group’s defined benefit plans. Any surplus resulting from this
taxes) relating to the dilutive potential equity shares, by the calculation is limited to the present value of any economic
weighted average number of equity shares considered for benefits available in the form of refunds from plans or
deriving basic earnings per share. reductions in future contributions to the plans.
2.15 Employee Benefits A liability for a termination benefit is recognised at the earlier
Short term employee benefits of when the entity can no longer withdraw the offer of the
termination benefit and when the entity recognizes any
A liability is recognised for benefits accruing to employees in
related restructuring costs.
respect of wages and salaries, annual leave and sick leave in
the period the related service is rendered at the undiscounted 2.16 Research and Development
amount of the benefits expected to be paid in exchange
Revenue expenditure pertaining to research is charged to
for that service. Liabilities recognised in respect of short
the Statement of Profit and Loss. Development costs are
term employee benefits are measured at the undiscounted
capitalised as an intangible asset if it can be demonstrated
amount of the benefits expected to be paid in exchange for
that the project is expected to generate future economic
the related service.
benefits; it is probable that those future economic benefits
Defined Contribution Plans will flow to the entity and the costs of the asset can be
measured reliably, else it is charged to the Statement of
Payments to defined contribution retirement benefit
Profit and Loss.
plans are recognised as an expense when employees have
rendered service entitling them to the contributions. 2.17 Taxes on Income
Defined Benefit Plans Income tax expense comprises current and

deferred income tax.
For defined retirement benefit plans, the cost of providing
benefits is determined using the projected unit credit Current Tax
method which considers each period of service as giving rise
Current income tax for current and prior periods is recognised
to an additional unit of benefit entitlement and measures
at the amount expected to be paid to or recovered from the
each unit separately to build up the final obligation, with
tax authorities, using the tax rates and tax laws that have
actuarial valuations being carried out at the end of each
been enacted or substantively enacted by the end of the
annual reporting period. Remeasurement, comprising
reporting date. The group offsets current tax assets and
actuarial gains and losses, the effect of changes to the asset
current tax liabilities, where it has a legally enforceable right
ceiling (if applicable) and the return on plan assets (excluding
to set off the recognised amounts and where it intends either
net interest), is reflected immediately in the balance sheet
to settle on a net basis, or to realize the asset and settle the
with a charge or credit recognised in other comprehensive
liability simultaneously. The income tax provision for the
income in the period in which they occur. Remeasurement
interim period is made based on the best estimate of the
recognised in other comprehensive income is reflected
annual average tax rate expected to be applicable for the full
immediately in retained earnings and is not re-classified to
financial year.
profit or loss. Past service cost is recognised in profit or loss
in the period of plan amendment. Net interest is calculated Deferred Tax
by applying the discount rate at the beginning of the period
Deferred tax is recognised on temporary differences
to the net defined benefit liability or asset. Defined benefit
between the carrying amounts of assets and liabilities in the
costs are categorized as service cost (including current
consolidated financial statements and the corresponding tax
service cost, past service cost, as well as gains and losses
bases used in the computation of taxable profit. Deferred tax
on curtailments and settlements); net interest expense or
liabilities are generally recognised for all taxable temporary
income and remeasurement. The group presents the first
differences. Deferred tax assets are generally recognised for
two components of defined benefit costs in profit or loss
001 CORPORATE
STATEMENTS
237
all deductible temporary differences to the extent that it is each balance sheet date and adjusted to reflect the current
probable that taxable profits will be available against which best estimate.
those deductible temporary differences can be utilized.
Such deferred tax assets and liabilities are not recognised if The amount recognised as a provision is the best estimate of
the temporary difference arises from the initial recognition the consideration required to settle the present obligation
(other than in a business combination) of assets and liabilities at the end of the reporting period, taking into account the
in a transaction that affects neither the taxable profit nor the risks and uncertainties surrounding the obligation. When
accounting profit. In addition, deferred tax liabilities are not a provision is measured using the cash flows estimated
recognised if the temporary difference arises from the initial to settle the present obligation, its carrying amount is the
recognition of goodwill. present value of those cash flows (when the effect of the
time value of money is material).
The carrying amount of deferred tax assets is reviewed at the
end of each reporting period and reduced to the extent that Present obligations, legal or constructive, arising
it is no longer probable that sufficient taxable profits will be under onerous contracts are recognised and measured
available to allow all or part of the asset to be recovered. as provisions.
Deferred tax liabilities and assets are measured at the tax An onerous contract is considered to exist where the group
rates that are expected to apply in the period in which the has a contract under which the unavoidable costs of meeting
liability is settled or the asset realized, based on tax rates (and the obligations under the contract exceed the economic
tax laws) that have been enacted or substantively enacted by benefits expected to be received from the contract.
the end of the reporting period.
Provisions for the expected cost of warranty obligations are
The measurement of deferred tax liabilities and assets reflect recognised at the date of sale of relevant products, at the
the tax consequences that would follow from the manner in management’s best estimate of the expenditure required to
which the group expects, at the end of the reporting period, settle the group’s obligation.
to recover or settle the carrying amount of its assets and 2.19 Cash Flow Statement and Cash and Cash equiva-
liabilities. lents
Current and Deferred Tax for the year Cash Flows are reported using Indirect method, whereby
profit before tax is adjusted for the effects of transactions of
Current and deferred tax are recognised in profit or loss,
a non-cash nature, any deferrals or accruals of past or future
except when they relate to items that are recognised in other
operating cash receipts or payments and items of income
comprehensive income or directly in equity, in which case,
or expense associated with investing or financing cash
the current and deferred tax are also recognised in other
flows. Cash and cash equivalents include cash on hand and
comprehensive income or directly in equity respectively.
balances with banks in current and deposit accounts.
Deferred income tax liabilities are recognised for all taxable
2.20 Segment Reporting
temporary differences except in respect of taxable temporary
differences associated with investments in subsidiaries An operating segment is a component of the group
where timing of the reversal of the temporary difference can that engages in business activities from which it may
be controlled and it is probable that the temporary difference earn revenues and incur expenses, including revenues
will not reverse in the foreseeable future and expenses that relate to transactions with any of the
group’s other components, and for which discrete financial
2.18 Provisions, contingent liabilities and contingent information is available. All operating segments’ operating
assets results are reviewed regularly by the group’s Chief Executive
Provisions involving substantial degree of estimation in Officer (CEO), who is the Chief Operating Decision Maker
measurement are recognised when there is a present (CODM), to make decisions about resources to be allocated
obligation as a result of past events and it is probable that to the segments and assess their performance. Information
there will be an outflow of resources. Contingent liabilities reported to the CODM for the purpose of resource allocation
/ assets are not recognised but are disclosed in the notes to and assessment of segment performance focuses on the
financial statements when an inflow of economic benefits is type of goods or services delivered or provided.
probable. Provisions, contingent liabilities are reviewed at
238
ANNUAL
REPORT 2023-24
The group has three reportable segments, viz., Textile date of the lease plus any initial direct costs less any lease
Machinery Division, the Machine Tool Division / Foundry incentives. They are subsequently measured at cost less
and the Advanced Technology Centre, which are the group’s accumulated depreciation and impairment losses.
strategic business units. These business units offer different
products and services, and are managed separately because Right-of-use assets are depreciated from the commencement
they require different technology and marketing strategies. date using written down value method. Right of use assets are
For each of these business units, the group’s CODM reviews evaluated for recoverability whenever events or changes in
internal management reports. Performance is measured circumstances indicate that their carrying amounts may not
based on segment profit before tax, as included in the internal be recoverable. For the purpose of impairment testing, the
management reports, that are reviewed by the group’s recoverable amount (i.e. the higher of the fair value less cost
CODM. Segment profit is used to measure performance as to sell and the value-in-use) is determined on an individual
management believes that such information is the most asset basis unless the asset does not generate cash flows that
relevant in evaluating the results of certain segments are largely independent of those from other assets. In such
relative to other entities that operate within these industries. cases, the recoverable amount is determined for the Cash
Intersegment pricing is determined on arm’s length basis. Generating Unit (CGU) to which the asset belongs.
2.21 Leases The lease liability is initially measured at amortized cost

at the present value of the future lease payments. The
The group as a Lessee
lease payments are discounted using the interest rate
The Group’s lease asset class primarily consists of leases for implicit in the lease or, if not readily determinable, using
land and buildings. The Group assesses whether a contract the incremental borrowing rates in the country of domicile
contains a lease, at inception of a contract. A contract is, or of these leases. Lease liabilities are re-measured with a
contains, a lease if the contract conveys the right to control corresponding adjustment to the related right of use asset if
the use of an identified asset for a period of time in exchange the Group changes its assessment if whether it will exercise
for consideration. To assess whether a contract conveys the an extension or a termination option.
right to control the use of an identified asset, the Group
assesses whether: Lease liability and ROU asset have been separately presented
in the Balance Sheet and lease payments have been classified
(i) the contract involves the use of an identified asset
as financing cash flows.
(ii) the lessee has substantially all of the economic benefits
from use of the asset through the period of the lease and In case of short-term leases or leases for which underlying
asset is of low value, the Group recognizes the lease payments
(iii) the lessee has the right to direct the use of the asset.
as an expense on a straight-line basis over the lease term.
At the date of commencement of the lease, the Group
The Group as a lessor
recognizes a right-of-use asset (“ROU”) and a corresponding
lease liability for all lease arrangements in which it is a lessee, Leases for which the Group is a lessor is classified as a finance
except for leases with a term of twelve months or less (short- or operating lease. Whenever the terms of the lease transfer
term leases) and low value leases. For these short-term and substantially all the risks and rewards of ownership to the
low value leases, the Group recognizes the lease payments as lessee, the contract is classified as a finance lease. All other
an operating expense on a straight-line basis over the term leases are classified as operating leases.
of the lease.
When the Group is an intermediate lessor, it accounts for
If lease arrangements include the options to extend or its interests in the head lease and the sublease separately.
terminate the lease before the end of the lease term, then The sublease is classified as a finance or operating lease by
ROU assets and lease liabilities include these options when it reference to the right of-use asset arising from the head lease.
is reasonably certain that they will be exercised.
For operating leases, rental income is recognised on a
The right-of-use assets are initially recognised at cost, which straight-line basis over the term of the relevant lease.
comprises the initial amount of the lease liability adjusted for
any lease payments made at or prior to the commencement
001 CORPORATE
STATEMENTS
239
3. Property, Plant and Equipment and Capital Work-in-Progress
As at As at
Particulars
Land * 88.54 87.94
Buildings 224.98 207.06
Plant and Equipment 505.58 448.60
Furniture and fixtures 22.16 18.32
Vehicles 105.13 117.55
Office Equipment 11.66 7.97
Sub Total 958.05 887.44
Capital Work-in-progress 9.31 24.38
Sub Total 9.31 24.38
Total 967.36 911.82
Capital
Plant & Furniture & Office
Particulars Land* Buildings Vehicles Total Work in
Equipment fixtures Equipments
progress
Balance as at 88.89 261.43 704.97 35.28 129.12 11.80 1,231.49 24.38
31st March 2023
Additions 0.73 27.42 118.37 10.09 1.10 4.12 161.83 9.31
Disposals - - (10.49) (0.13) (0.47) - (11.09) (24.38)
Balance as at 89.62 288.85 812.85 45.24 129.75 15.92 1,382.23 9.31
31st March 2024
Balance as at 0.95 54.37 256.37 16.96 11.57 3.83 344.05 -
31st March 2023
Disposals - - (9.99) (0.13) (0.33) - (10.45) -
Depreciation 0.13 9.50 60.89 6.25 13.38 0.43 90.58 -
Expense
Balance as at 1.08 63.87 307.27 23.08 24.62 4.26 424.18 -
31st March 2024
Net carrying amount
Balance as at 87.94 207.06 448.60 18.32 117.55 7.97 887.44 24.38
31st March 2023
Additions 0.73 27.42 118.37 10.09 1.10 4.12 161.83 9.31
Disposals - - (0.50) - (0.14) - (0.64) (24.38)
Depreciation (0.13) (9.50) (60.89) (6.25) (13.38) (0.43) (90.58) -
expense
Balance as at 88.54 224.98 505.58 22.16 105.13 11.66 958.05 9.31
31st March 2024
* Includes Lease hold land of C 4.20 crores in respect of LMW Textile Machinery (Suzhou) Co. Ltd.
240
ANNUAL
REPORT 2023-24
4. Other intangible assets
As at As at
Particulars
Technical Knowhow 4.05 3.83
Software 10.04 11.57
Total 14.09 15.40
Technical
Knowhow
Additions 0.90 3.55 4.45
st
12.95 32.55 45.50
Amortisation Expense 0.68 5.08 5.76
st
8.90 22.51 31.41
Carrying Amount
Additions 0.90 3.55 4.45
Amortisation Expense (0.68) (5.08) (5.76)
Property, Plant and Equipment include
Depreciation Accumulated
Particulars Gross Block Additions Net Block
for the year Depreciation
Assets leased out As at 31st March 2024
Buildings 2.49 - 0.02 1.92 0.57
Machinery 13.00 - 0.16 11.95 1.05
Total 15.49 - 0.18 13.87 1.62
Assets leased out As at 31st March 2023

Buildings 2.49 - 0.02 1.90 0.59
Machinery 13.00 - 0.16 11.79 1.21
Total 15.49 - 0.18 13.69 1.80
Income from above leased assets C 0.43 Crores is grouped in rent receipts (Previous year C 0.42 Crores)
Title deeds of Immovable Property not held in the name of the Group- C Nil
001 CORPORATE
STATEMENTS
241
Capital-Work-in Progress (CWIP) as on 31 March 2024 and 31 March 2023:
st st
Amount in CWIP for a period of

1-2 years 2-3 years
1 year 3 years
Projects in progress 9.31 - - - 9.31
Previous Year 24.38 - - - 24.38
Projects temporarily suspended - - - - -
5. Investments
Particulars
NON-CURRENT INVESTMENTS
INVESTMENT IN EQUITY INSTRUMENTS
a) Investment in quoted equity instruments (fully paid up) [At
fair values]
Cholamandalam Investment & Finance Co. Ltd 17,12,810 198.10 17,12,810 130.45
Indian Bank [ Face Value C 10 per share] 69,562 3.62 69,562 2.00
Lakshmi Automatic Loom Works Ltd 44,111 8.52 44,111 3.40
Pricol Ltd [ Face Value C 1 per share] 24,975 0.97 24,975 0.52
Rajshree Sugars & Chemicals Ltd 1,00,000 0.58 1,00,000 0.39
Super Sales India Ltd [ Face Value C 10 per share] 3,00,000 42.00 3,00,000 23.04
The Lakshmi Mills Company Ltd 26,916 10.73 26,916 9.97
b) Investment in unquoted equity instruments (fully paid up)
[At Cost]
Sharada Chambers Premises Co-op Society Ltd 5 - 5 0.00
Lakshmi Machine Works Employees Co-op Stores Ltd 500 - 500 0.00
REPCO Bank 750 - 750 0.00
Circ, Inc - 8.34 - -
c) Other Non Current Investment ( At Cost)
Decarbonization_Fund_II 8.33 -
Total (a+b+c) 281.19 169.77
INVESTMENT IN DEBENTURES (at amortised cost)

Fedbank Financial Services Limited [NCD] 1,000 10.01 1,000 10.01
Shriram Finance Limited [NCD] - - 30 3.15
Total - Debentures 10.01 13.16
Total Non-current investments 291.20 182.93
242
ANNUAL
REPORT 2023-24
Particulars
CURRENT INVESTMENTS
INVESTMENTS IN MUTUAL FUNDS [at fair value]
Aditya Birla Sun Life Mutual Fund 2,32,48,482 26.15 2,32,48,482 24.38
Axis Mutual Fund 96,50,813 29.17 96,50,813 27.05
Bharat Bond 2,54,08,299 30.29 2,54,08,299 28.21
DSP Mutual Fund 28,42,023 6.39 28,42,023 5.92
Edelweiss Mutual Fund 4,94,31,761 57.32 4,94,31,761 53.45
ICICI Prudential Mutual Fund 32,18,764 18.97 32,18,764 17.50
Bandhan Bond and Mutual Fund 3,60,64,211 48.19 3,60,64,211 44.86
Kotak Mutual Fund 70,06,292 53.50 70,06,292 49.58
Nippon India Mutual Fund 98,90,904 19.19 98,90,904 17.80
SBI Mutual Fund 3,09,05,798 44.98 3,09,05,798 41.92
HDFC Mutual Fund 53,41,577 15.97 53,41,577 14.75
Total Current Investments 350.12 325.42
NON CURRENT INVESTMENT

Aggregate book value of unquoted investments 26.68 13.16
Aggregate amount of impairment in the value of investments - -
CURRENT INVESTMENT
Category-wise investments - as per IND AS 109 classification
Financial assets carried at fair value through profit or loss (FVTPL) 350.12 325.42
Financial assets carried at amortised cost 26.68 13.16
Financial assets carried at fair value through Other Comprehensive 264.52 169.77
Income (FVTOCI)
Total 641.32 508.35
6. Inventories
As at As at
Particulars
Inventories ( lower of cost or net realisable value)
Raw materials 370.12 403.43
Work in progress 147.90 205.79
Stores and spares 37.74 58.00
Total 619.61 701.80
The cost of inventories recognised as an expense during the year is C 2945.41 Crores. [Previous year C 3083.79 Crores]
001 CORPORATE
STATEMENTS
243
7. Trade Receivables
As at As at
Particulars
Current
Unsecured, considered good
From related parties 12.42 56.43
From others 130.75 186.16
Total 143.17 242.59
Allowance for doubtful debts (Expected credit loss allowance) 13.52 10.02
Total 129.65 232.57
Concentration of Risk
In respect of trade and other receivables, the Group is not exposed to any significant credit risk exposure to any single
counterparty or any group of counterparties having similar characteristics. Trade receivables consists of a large number
of customers in various industries and geographical areas. Based on historical information about customer default rates,
management considers the credit quality of trade receivables that are not past due or impaired to be good. The concentration
of credit risk is limited due to the fact that the customer base is large and unrelated.
The Group has used a practical expedient by computing the expected credit loss allowance for trade receivables based on a
provision matrix. The provision matrix takes into account historical credit loss experience and adjusted for forward looking
information. The expected credit loss allowance is based on the ageing of the days, the receivables are due and the rates as
given in the provision matrix. The provision matrix at the end of the reporting period is as follows.
Expected credit
Ageing
loss %
Within the credit period 0.25
Less than one year 6.37
More than one year 38.16
Trade Receivables ageing schedule for the year ended as on 31st March 2024 and 31st March 2023

Less than 1-2 2-3
1 year 3 years
(i) Undisputed Trade receivables – 46.36 65.74 8.32 19.37 1.14 2.24 143.17
considered good
Previous Year 77.15 130.85 15.68 15.59 0.32 3.00 242.59
(ii) Undisputed Trade Receivables – - - - - - - -
in credit risk
244
ANNUAL
REPORT 2023-24

Less than 1-2 2-3
1 year 3 years
(iii) Undisputed Trade Receivables – - - - - - - -
credit impaired
(iv) Disputed Trade Receivables– - - - - - - -
considered good
(v) Disputed Trade Receivables – - - - - - - -
in credit risk
(vi) Disputed Trade Receivables – - - - - - - -
credit impaired
Total Trade Receivable 46.36 65.74 8.32 19.37 1.14 2.24 143.17
Previous Year 77.15 130.85 15.68 15.59 0.32 3.00 242.59
Less : Allowance for doubtful debts 13.52
(Expected credit loss allowance)
Previous Year 10.02
Total Trade Receivable net of 129.65
credit loss allowance
Previous Year 232.57
Movement in the expected credit loss allowance
As at As at
Age of receivables
Movement in expected credit loss allowance on trade receivables calculated 3.50 1.78
at lifetime expected credit losses net of bad debts written off
8. (a) Cash and cash equivalents
As at As at
Particulars
Balances with Banks
Current account 115.66 145.15
Deposits with original maturity of less than 3 months 2.50 12.00
Cash on hand 0.25 0.29
Total 118.41 157.44
There are no repatriation restrictions with regard to cash and cash equivalents as at the end of the reporting period and
prior periods.
001 CORPORATE
STATEMENTS
245
8. (b) Other bank balances
As at As at
Particulars
Deposits held as Margin Money 0.09 0.10
Unpaid dividend account 0.96 0.88
Deposits with original maturity of more than 3 months but less than 12 835.29 602.96
months
Total 836.34 603.94
9. Other financial assets
As at As at
Particulars
Non-current
i) Capital advances 15.10 3.49
ii) Advances other than capital advances
Security Deposit 14.07 7.62
iii) Bank deposits with original maturity of more than 12 months 454.07 703.25
iv) Interest accrued on bank deposits 0.16 10.83
Total 486.00 727.84
Current
Interest accrued on bank deposits 59.30 28.74
Income receivable 19.20 12.46
Total 78.50 41.20
10. Current Tax Assets (Net)
As at As at
Particulars
Current tax assets
Income tax advances 254.20 135.60
Current tax liabilities
Income tax provisions 219.92 110.00
Total 34.28 25.60
11. Other current assets
As at As at
Particulars
Advance to suppliers and others 93.16 115.37
Prepaid Expenses 9.64 7.90
Balances with Central Excise, VAT, Customs etc. 3.01 40.78
Miscellaneous Expenditure to the extent not written off 0.05 0.04
Total 105.86 164.09
246
ANNUAL
REPORT 2023-24
12. Equity Share Capital
As at As at
Particulars
Authorised Share Capital
Issued, subscribed and fully paid up capital comprises:
(2,72,504 equity shares of C 10 each were bought back during the financial year
2018-19)
Fully paid up equity shares Number of shares Share Capital

Balance as on 31st March 2023 1,06,83,000 10.68
st
1,06,83,000 10.68
Balance at the Restated balance at

Changes in Equity Changes in Equity Balance at the end of
beginning of the the beginning of the
share capital due to share capital during the current reporting
current reporting current reporting
prior period error the current year period
period period
10.68 - - - 10.68
The Group has issued only one class of Equity share having a par value of C 10 per share. They entitle the holder to participate
in dividends, and to share in the proceeds of winding up the Group in proportion to the number of and amounts paid on the
shares held. Every holder of equity shares present at a meeting, is entitled to one vote, and each share is entitled to one vote.

Sl. No. during
the year
Industries Ltd
Private Limited
8 J Rajyalakshmi 97,980 0.917 97,980 0.917 0.000
10 Uttara Ravi 44,290 0.415 44,290 0.415 0.000
001 CORPORATE
STATEMENTS
247
Details of Shares held by the Promoters and Promoters Group as at 31st March 2024 (Contd..)

Sl. No. during
the year
14 Ravi Sam 5,866 0.055 5,866 0.055 0.000
15 S Pathy 1,420 0.013 1,721 0.016 -0.003
16 Nethra J S Kumar 720 0.007 720 0.007 0.000
20 S Sunitha 0 0.000 301 0.003 -0.003
% change
Sl. No. during
the year
Industries Ltd
Private Limited
8 J Rajyalakshmi 97,980 0.917 97,980 0.917 0.000
10 Uttara Ravi 44,290 0.415 44,290 0.415 0.000
14 Ravi Sam 5,866 0.055 5,866 0.055 0.000
15 S Pathy 1,721 0.016 1,721 0.016 0.000
16 Nethra J S Kumar 720 0.007 720 0.007 0.000
18 S Sunitha 301 0.003 301 0.003 0.000
21 K Arjun * NA NA 313 0.003 NA
22 K Nithin * NA NA 305 0.003 NA
* ceased to be part of promoter group as per stock exchange order issued during August 2022.
248
ANNUAL
REPORT 2023-24
Shareholders holding more than 5% Equity shares

Sl. No Particulars
Number Percentage Number Percentage
1 Lakshmi Cargo Company Limited 10,76,970 10.08 10,76,368 10.08
2 Lakshmi Technology and Engineering Industries 6,96,862 6.52 6,96,862 6.52
Limited
3 Nemish S Shah 5,84,673 5.47 5,99,673 5.61
4 Voltas Limited 5,79,672 5.43 5,79,672 5.43
13. Other Equity
As at As at
Particulars
Capital Reserve 7.01 7.01
Capital Redemption Reserve 1.69 1.69
General Reserve 244.83 207.83
Reserve for equity instruments and others through other comprehensive income 243.91 149.16
Retained Earnings 2,188.79 1,955.96
Foreign Currency Translation Reserve 6.73 6.22
Total 2,692.96 2,327.87
13.1 Capital Reserve
As at As at
Particulars
Add: Movements during the year - -
Capital reserve represents the reserves arising out of earlier business combinations.
001 CORPORATE
STATEMENTS
249
13.2 Capital Redemption Reserve
As at As at
Particulars
Add: Transfer from General Reserve - -
Capital Redemption Reserve is a statutory reserve created at amounts equal to the face value of the shares bought back as
per the provisions of company law.
13.3 General Reserve
As at As at
Particulars
Add: Transfer from retained earnings 37.00 35.00
The general reserve is used from time to time to transfer profits from retained earnings for appropriation purposes. As the
general reserve is created by a transfer from one component of equity to another and is not an item of other comprehensive
income, items included in the general reserve will not be reclassified subsequently to profit or loss.
13.4 Reserve for equity instruments through other comprehensive income
As at As at
Particulars
Net fair value gain on investments in equity instruments at FVTOCI 94.75 5.30
The Group has elected to recognise changes in fair value of investments in equity securities in other comprehensive income.
These changes are accumulated within the FVTOCI reserve which represents the the cumulative gains and losses arising
on the revaluation of equity instruments measured at fair value through other comprehensive income, net of amounts
reclassified to retained earnings when those assets have been disposed off. Remeasurement of post employment defined
benefit plans is included in OCI.
13.5 Retained Earnings
As at As at
Particulars
Balance at the beginning of the year 1,955.96 1,647.68
Add: Profit attributable to the owners of the company 373.66 384.02
Less: Payment of dividends on equity shares (105.23) (42.73)
Less: Transfer to General Reserve (37.00) (35.00)
(Less)/Add: Remeasurement of post-employment benefit obligations [Net of 1.40 1.99
tax]
Balance at the end of the year 2,188.79 1,955.96
In financial year 2023-24, on 10.08.2023 a dividend of C 98.50 per share (Total dividend C 105.23 Crores) was paid to the holders
of fully paid equity shares.
250
ANNUAL
REPORT 2023-24
In respect of the year ended 31 March 2024 the directors propose that a dividend of C 75 per share be paid on fully paid
st
equity shares. This equity dividend is subject to approval by shareholders at the ensuing Annual General Meeting and has not
been included as a liability in these financial statements. The proposed equity dividend is payable to all holders of fully paid
equity shares. The total estimated equity dividend payable is C 80.12 Crores.
13.6 Foreign Currency Translation Reserve
As at As at
Particulars
Exchange differences arising on translating the foreign operations 0.51 (0.20)
Exchange differences relating to the translation of the results and net assets of the group's foreign operations from their
functional currency to the group's presentation currency i.e INR are accumulated in the foreign currency translation reserve.
14. Deferred Tax liability (Net)

Analysis of deferred tax assets / (liabilities) presented in the balance sheet:
As at As at
Particulars
Deferred Tax assets - -
Deferred Tax liabilities (47.48) (48.43)
Total 47.48 48.43
2023-24
On account of Property, Plant and Equipment (60.60) 2.14 (58.46)
Total (48.43) 0.95 (47.48)
2022-23
On account of Property, Plant and Equipment (38.50) (22.10) (60.60)
Total (23.23) (25.20) (48.43)
15. Other Non-current liabilities
As at As at
Particulars
Security deposits received against supply of machinery 222.55 334.21
Total 222.55 334.21
001 CORPORATE
STATEMENTS
251
16. Trade Payables
As at As at
Particulars
Current
Due to Micro, Small & Medium Enterprises [Refer Note 30.4] 54.03 8.37
Due to related parties 126.99 80.79
Others 349.29 578.77
Total 530.31 667.93
Trade Payable Ageing schedule as at 31st March 2024 and 31st March 2023
Outstanding for following periods

1-2 years 2-3 years
1 year 3 years
(i) MSME 54.03 - - - 54.03
Previous Year 8.37 - 8.37
(ii) Others 455.30 20.98 - - 476.28
Previous Year 658.73 0.83 659.56
(iii) Disputed dues – MSME - - - - -
(iv) Disputed dues- Others - - - - -
Total 509.33 20.98 - - 530.31
Previous Year 667.10 0.83 - - 667.93
17. Other Financial liabilities
As at As at
Particulars
Current
Unpaid dividends 0.96 0.88
Other liabilities 172.32 169.33
Total 173.28 170.21
18. Provisions
As at As at
Particulars
Current
Provision for employee benefits
Provision for gratuity - 0.34
Other provisions
Provision for warranty 18.08 17.78
Total 18.08 18.12
252
ANNUAL
REPORT 2023-24
The provision for employee benefits include provision for gratuity and leave encashment. For detailed disclosure on the
same, please refer note 30.10
The Group gives warranties for its products undertaking to repair or replace the items that fail to perform satisfactorily during
the warranty period. The Provisions for warranty claims represents the present value of the Management's best estimate
of the future outflow of economic benefits that will be required under the Group's obligations for warranties under sale of
goods legislations. The estimate has been made on the basis of historical warranty trends and may vary as a result of new
materials,altered manufacturing processes or other events affecting product quality. The timing of the outflows is expected
to be within a period of one year.
Provision for Warranty

Particulars As at As at
Carrying amount at the beginning of the year 17.78 12.07
Additional provision made during the year 18.08 17.78
Amount used during the year (17.78) (12.07)
Carrying amount at the end of the year 18.08 17.78
19. Other Current liabilities

As at As at
Particulars
Security deposit received against supply of machinery 140.50 222.42
Total 336.08 512.60
20. Revenue From Operations

Particulars
Gross Sale of Products 4,618.47 4,639.03
Other operating revenues
Repairs & Service charges & miscellaneous income 42.70 40.53
Sale of scrap 19.63 16.97
Export incentives 15.06 22.62
Disaggregation of Revenue
Refer note no. 30.11 for disaggregated revenue information. The Management determines that the segment information
reported is sufficient to meet the disclosure objective with respect to disaggregation of revenue under Ind AS 115 "Revenue
from contracts with customers".
001 CORPORATE
STATEMENTS
253
21. Other Income
Particulars
Interest income from financial assets at amortised cost 90.65 67.91
Dividend income from equity investments designated at FVTOCI 0.68 1.14
Profit from redemption of Debentures / Mutual Funds 0.46 4.75
Income from Mutual funds designated at FVTPL 24.70 9.93
Rental income 0.68 0.62
Net Gain on foreign currency transactions 20.83 38.77
Net Gain on sale of assets 1.59 24.15
Sale of wind energy banking units 3.93 -
Sale proceeds of Renewable Energy Certificate - 0.56
Total other income 143.52 147.83
22. Cost of materials consumed

Particulars
Raw materials at the beginning of the year 403.43 306.97
Add: Purchases 3,021.31 3,271.96
Less: Sales 109.21 91.71
Less: Raw materials at the end of the year 370.12 403.43
Total cost of materials consumed 2,945.41 3,083.79
23. Changes in inventories of finished goods and work-in-progress

Particulars
Opening Stock
Total 240.37 163.40
Closing Stock
Total 211.75 240.37
Total changes in inventories of finished goods and work-in progress 28.62 (76.97)
254
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REPORT 2023-24
24. Employee Benefit Expense

Particulars
Salaries and wages 356.89 327.17
Contribution to Provident and other funds 21.58 23.31
Staff welfare expenses 33.59 29.42
Total employee benefit expenses 412.06 379.90
25. Depreciation and amortisation expense

Particulars
Depreciation of property, plant and equipment 90.58 72.92
Amortisation of intangible assets 5.76 4.82
Total depreciation and amortisation expense 96.34 77.74
26. Impairment losses on financial assets and reversal of impairment on financial assets

Particulars
Impairment loss (Expected credit loss) allowance on trade receivables 6.13 3.46
Total 6.13 3.46
27. Other expenses

Particulars
Sales commission to agents 119.37 97.48
Consumption of stores and spare parts 153.53 157.44
Consumption of packing material 91.92 80.47
Power and fuel net of Green Energy 48.70 52.75
(Green Energy adjusted CY C 63.14 Crores; PY C 58.58 Crores)
Rent expense 3.58 2.90
Repairs and maintenance
Repairs to buildings 37.88 22.21
Repairs to machinery and others 88.61 75.10
Insurance 4.93 4.20
Rates and taxes, excluding taxes on income 5.09 10.06
Auditors' remuneration
For Audit 0.21 0.20
Donations 8.93 1.67
Directors sitting fees 0.39 0.67
Non-executive directors' commission 0.74 0.78
Corporate Social Responsibility expenses (Note 30.7) 5.48 2.60
001 CORPORATE
STATEMENTS
255
27. Other expenses (Contd..)
Particulars
Export expenses 49.45 115.47
Travelling Exps. & Maintenance of Vehicles 52.57 45.14
Research and development expenses 34.97 51.84
Service Outsourcing expenses 54.11 42.05
Sales Expenses 55.23 41.41
Miscellaneous expenses 52.67 74.48
Total other expenses 868.66 879.84
28. Finance costs

Particulars
Bill collection charges - -
Total - -
29. Income tax relating to continuing operations

29.1 Income tax recognised in profit or loss

Particulars
Current tax
Current tax on profits for the year 109.45 110.00
Adjustments for current tax of prior periods -
Total current tax expense 109.45 110.00
Deferred Tax
Decrease / (Increase) of deferred tax assets (0.95) 25.20
(Decrease) / Increase in deferred tax liabilities - -
Total deferred tax expense (0.95) 25.20
Total income tax expense recognised for the year 108.50 135.20
29.2 Reconciliation of income tax expense to the accounting profit for the year

Particulars
Enacted tax rate in India 25.17% 25.17%
Computed expected tax expense at enacted tax rate 121.36 130.69
Tax effect on account of tax deductions / Exemption (14.98) (22.86)
Tax effect of non-deductible expenses 3.07 2.17
Total income tax expense recognised for the year 109.45 110.00
256
ANNUAL
REPORT 2023-24
29.3 Income tax recognised in other comprehensive income

Particulars
March 31, 2024 March 31, 2023
Arising on income and expenses recognised in other comprehensive
income:
Net fair value gain on investments in equity shares at FVTOCI - -
Remeasurement of defined benefit obligations (0.47) (0.66)
Total (0.47) (0.66)
Bifurcation of income tax recognised in other comprehensive income
into:
Items that will not be reclassified to profit or loss (0.47) (0.66)
Items that may be reclassified to profit or loss - -
Total (0.47) (0.66)
30.1 The Subsidiary Companies considered in the consolidated Financial Statements and their reporting dates are
as under :
Country of % of Ownership
Name of the Company Reporting date
incorporation Interest
For 31st March 2024
LMW Textile Machinery (Suzhou) Co. Ltd China 100 31st March 2024
LMW Aerospace Industries Limited India 100 31st March 2024
LMW Global FZE UAE 100 31st March 2024
For 31 March 2023
st
LMW Textile Machinery (Suzhou) Co. Ltd China 100 31st March 2023
LMW Aerospace Industries Limited India 100 31st March 2023
LMW Global FZE UAE 100 31st March 2023
Net Assets i.e. total assets

Share in profit of loss
minus total liabilities
Name of the entity in the group As % of As % of
Consolidated Amount Consolidated Amount
Assets Profit or Loss
Parent Company
Lakshmi Machine Works Limited 95.90% 2,592.47 99.39% 371.38
Previous Year 95.28% 2,228.40 91.70% 352.14
Subsidiary- Indian
LMW Aerospace Industries Limited 0.09% 2.50 0.00 0.00
Previous Year 0.11% 2.50 0.00 0.00
Subsidiary- Foreign
LMW Textile Machinery (Suzhou) Co. Ltd 2.95% 79.77 (3.39%) (12.65)
Previous Year 4.04% 94.42 6.18% 23.76
001 CORPORATE
STATEMENTS
257
Net Assets i.e. total assets

Share in profit of loss
minus total liabilities
Name of the entity in the group As % of As % of
Consolidated Amount Consolidated Amount
Assets Profit or Loss
LMW Global FZE 1.07% 28.90 4.00% 14.93
Previous Year 0.57% 13.23 2.12% 8.12
Non controlling Interests in subsidiary - - - -
TOTAL 100% 2,703.64 100% 373.66
Previous Year 100% 2,338.55 100% 384.02
Share in Other Share in Total comprehensive

Comprehensive Income income
Name of the entity in the group As % of As % of Total
Consolidated Amount Comprehensive Amount
OCI Income
Parent Company
Lakshmi Machine Works Limited 100% 96.15 99.51% 467.53
Previous Year 100% 7.29 91.85% 359.42
Subsidiary- Indian
LMW Aerospace Industries Limited
Current Year - - - -
Previous Year - - - -
Subsidiary- Foreign
LMW Textile Machinery (Suzhou) Co. Ltd - -
Current Year - - (2.69%) (12.65)
Previous Year - - 6.07% 23.76
LMW Global FZE
Current Year - - 3.18% 14.93
Previous Year - - 2.08% 8.12
Non controlling Interests in subsidiary - - - -
TOTAL 100% 96.15 100% 469.81
Previous Year 100% 7.29 100% 391.30
258
ANNUAL
REPORT 2023-24
30.2 Contingent Liabilities and Commitments, to the extent not provided for
As at As at
Particulars
Contingent liabilities
Claims against the company not acknowledged as debt
Central Excise Demand 7.08 21.64
Other money for which the company is contingently liable
Letter of Credit 52.15 38.97
Bank Guarantee 39.65 45.33
Disputed tax dues are appealed before concerned appellate authorities. The Group is advised that the cases are likely to be
disposed off in favour of the Group and hence no provision is considered necessary therefor.
As at As at
Particulars
Commitments
Estimated amount of contracts remaining to be executed on capital account 30.63 9.29
not provided for
30.3 Details of dividend proposed and paid:

Particulars
a) Final dividend paid 105.23 42.73
b) In respect of the current year, the directors propose that a dividend of
C 75 per share be paid on equity shares on or before 14th August 2024.
This equity dividend is subject to approval by shareholders at the
ensuing Annual General Meeting and has not been included as a liability
in these financial statements. The proposed equity dividend is payable to
all shareholders on the Register of Members on 24th July 2024. The total
estimated equity dividend to be paid is C 80.12 Crores.
30.4 Disclosure as per Schedule III

As defined under Micro, Small and Medium Enterprises Development Act, 2006, the disclosure in respect of the amounts
payable to such enterprises as at the end of the year has been made in the financial statements based on information received
and available with the Company.
As at As at
Particulars
The principal amount and the interest due thereon remaining unpaid to 54.03 8.37
any supplier as at the end of each accounting year
The amount of interest paid by the Company along with the amounts of the Nil Nil
payment made to the supplier beyond the appointed day during the year
The amount of interest due and payable for the period of delay in making Nil Nil
payment (which have been paid but beyond the appointed day during the
year) but without adding the interest specified under this Act
001 CORPORATE
STATEMENTS
259
As at As at
Particulars
The amount of interest accrued and remaining unpaid at the end of the year Nil Nil
The amount of further interest remaining due and payable even in the Nil Nil
succeeding years, until such date when the interest dues as above are
actually paid to the small enterprise
30.5 Financial Instruments

i) Financial instruments by category

Particulars Amortised Amortised
FVTPL FVTOCI FVTPL FVTOCI
cost cost
Financial Assets
Measured at amortised cost/FVTPL/
FVTOCI
a) Cash and bank balances - - 118.41 - - 157.44
b) Other financial assets -Non - - 486.00 - - 727.84
current
c) Trade receivables - - 129.65 - - 232.57
d) Bank balances - - 836.34 - - 603.94
e) Other financial assets -Current - - 78.50 - - 41.20
f ) Investments in equity - 264.52 8.34 - 169.77 0.00
g) Investment in mutual funds 350.12 - - 325.42 - -
h) Investment in debentures [NCD] - - 10.01 - - 13.16
i) Other Non current Investment - - 8.33 - - -
Total 350.12 264.52 1,675.58 325.42 169.77 1,776.15
a) Trade Payables - - 530.31 - - 667.93
b) Other financial liabilities - - 173.28 - - 170.21
Total - - 703.59 - - 838.14
Financial Assets - - 2,290.22 - - 2,271.34
Financial Liabilities - - 703.59 - - 838.14
260
ANNUAL
REPORT 2023-24
ii) Fair Value Hierarchy
The fair value hierarchy of assets and liabilities measured at fair value on a recurring basis as at 31st March 2024 and
31st March 2023 is as follows:
Fair value measurement at end of the Fair value measurement at end of the
reporting period using reporting period using
Particulars
Level 1 Level 2 Level 3 Level 1 Level 2 Level 3
Financial assets
Financial Investments at FVTOCI
Quoted Equity Investments 264.52 - - 169.77 - -
Financial Investments at FVTPL
Mutual funds 350.12 - - 325.42 - -
Total Financial Assets 614.64 - - 495.19 - -
iii) Fair Value of financial assets and liabilities measured at amortised cost
For trade receivables and trade payables and other assets and payables maturing within one year from the Balance Sheet
date, the carrying amounts approximate the fair value due to the short maturity of these instruments.
30.6 Exceptional Items

There are no exceptional items for the current and previous financial year.
30.7 Corporate Social Responsibility Expenditure

Particulars
Gross Amount required to be spent as per Sec. 135 of the Act 5.37 2.59
Amount spent during the year on:
Construction / acquisition of an asset - -
On purposes other than above 5.48 2.60
Total 5.48 2.60
Amount spent through approved trusts and institutions 5.23 2.56
Amount spent directly 0.25 0.04
Total 5.48 2.60
CSR Expenditure during the year on construction/acquisition of an asset is C Nil. CSR Expenses relating to gross amount
required to be spent for the year and the actual amount spent by the company during the year is furnished as Annexure to
the Board of Directors' Report.
30.8 Earnings Per Share

Particulars
Net Profit after Tax before OCI [C In Crores] 373.66 384.02
Weighted Average Number of Equity Shares used as denominator in calculating 1,06,83,000 1,06,83,000
basic earnings per share
Nominal Value per Equity Share [in C ] 10.00 10.00
Basic & Diluted Earnings Per Share [in C ] 349.77 359.47
001 CORPORATE
STATEMENTS
261
30.9 Related party transactions
Related Party Relationships (As identified by the Management)
Key Management Personnel
Sri. Sanjay Jayavarthanavelu, Chairman and Managing Director
Sri. K. Soundhar Rajhan, Director Operations (until 31st July 2023)
Sri. Jaidev Jayavarthanavelu, Whole time Director w e f: 7th August 2023
Sri. M. Sankar, Whole time Director (Designated as Director Operations) w e f: 25th October 2023
Sri. V.Senthil, Chief Financial Officer
Sri. C R Shivkumaran, Company Secretary
Non Executive Directors

Sri. Aditya Himatsingka, Non Executive - Independent Director
Dr. Mukund Govind Rajan, Non Executive - Independent Director
Justice (Smt) Chitra Venkataraman (Retd.), Non Executive - Independent Director (woman)
Sri. Arun Alagappan , Non Executive - Independent Director
Sri. S Pathy, Non Executive - Non - Independent Director
Sri. T C Suseel Kumar, Non Executive - Non - Independent Director (Nominee of LIC) (until 26th January 2024)
Sri. Jaidev Jayavarthanavelu, Non Executive - Non - Independent Director (until 6th August 2023)
Sri. Aroon Raman, Non Executive - Independent Director
Post Employment benefit plans

Lakshmi Machine Works Limited Employees' Gratuity Fund
Other companies/firms in which directors or their relatives are interested

Alampara Hotels and Resorts Private Limited, Chakradhara Aerospace and Cargo Private Limited, Chakradhara Agro Farms
Private Limited, Dhanajaya Agro Farms Private Limited, Dhanuprabha Agro Private Limited, Eshaan Enterprises Private
Limited, Harshni Textiles Private Limited, Hermes Academy of Training Private Limited, Lakshmi Caipo Industries Limited,
Lakshmi Card Clothing Mfg Co. Private Limited, Lakshmi Cargo Company Limited, Lakshmi Electrical Control Systems Limited,
Lakshmi Electrical Drives Private Limited, Lakshmi Energy and Environment Designs Private Limited, Lakshmi Life Sciences
Private Limited, Lakshmi Precision Technologies Limited, Lakshmi Ring Travellers (Coimbatore) Private Limited, LCC Cargo
Holdings Private Limited, Lakshmi Technology and Engineering Industries Limited, Mahalakshmi Engineering Holdings
Private Limited, Petrus Techonologies Private Limited, Quattro Engineering India Private Limited, Rajalakshmi Engineering,
Revantha Agro Farms Private Limited, Revantha Services Private Limited, Shri Kara Engineering Private Limited, Sowbarnika
Enterprises Private Limited, Sri Dwipa Properties Private Limited, Sri Kamakoti Kamakshi Enterprises Private Limited, Starline
Travels Private Limited, Sudhasruthi Agro Private Limited, Super Sales India Limited, Supreme Dairy Products India Private
Limited, The Lakshmi Mills Company Limited, Titan Paints & Chemicals Private Limited, Venkatavaradhaa Agencies Private
Limited, Waterfield Financial and Investment Advisors Private Limited, CACPL Global Logistics, Imperium Global FZE, Lakshmi
Global, Lakshmi Global FZE.
Key Management personnel compensation

Particulars
Short term employee benefits 24.47 24.82
Post employment benefits 0.50 0.50
Total compensation 24.97 25.32
262
ANNUAL
REPORT 2023-24
Related Party Transactions
Other Key Management

Related Parties Personnel
Particulars
2024 2023 2024 2023
Purchase of goods 717.16 741.30 - -
Sale of goods 81.64 64.43 - -
Purchase of Fixed Assets 22.38 20.13 - -
Sale of Fixed Assets 0.11 0.62 - -
Rendering of Services 1.76 1.20 - -
Receiving of Services 226.41 227.43 - -
Contribution to Gratuity Fund 4.72 0.79 - -
Agency arrangements 25.21 21.76 - -
Managerial remuneration - - 24.97 25.32
Outstanding Payables 141.77 98.69 19.17 19.96
Outstanding Receivables 32.96 22.48 - -
1. Purchase of Goods includes Lakshmi Electrical Control Systems Limited C 295.71 Crores (Previous Year C 299.30 Crores); Lakshmi Electrical
Drives Private Limited C 83.51 Crores (Previous Year C 93.60 Crores); Lakshmi Life Sciences Private Limited C 124.66 Crores (Previous Year
C 139.94 Crores); Lakshmi Precision Technologies Limited C 73.25 Crores (Previous Year C 75.58 Crores); Lakshmi Global FZE C 56.99 Crores
(Previous Year C Nil) & Other related parties-Associates C 83.04 Crores (Previous Year C 132.88 Crores)
2. Sale of Goods includes Lakshmi Precision Technologies Limited C 21.13 Crores (Previous Year C 17.10 Crores); Super Sales India Limited
C 19.82 Crores (Previous Year C 12.25 Crores); Lakshmi Electrical Control Systems Limited C 14.77 Crores (Previous Year C 16.07 Crores);
Lakshmi Life Sciences Private Limited C 13.51 Crores (Previous Year C 7.60 Crores); The Lakshmi Mills Company Limited C 10.60 Crores
(Previous Year C 8.75 Crores) & Other related parties-Associates C 1.81 Crores (Previous Year C 2.26 Crores)
3. Purchase of Fixed Assets includes Revantha Services Private Limited C 22.38 Crores (Previous Year C 20.13 Crores)
4. Sale of Fixed Assets includes Super Sales India Limited C 0.11 Crores (Previous Year C 0.10 Crores) & Other related parties - Associates C Nil
(Previous Year C 0.52 Crores)
5. Rendering of Services includes Super Sales India Limited C 0.24 Crores (Previous Year C 0.41 Crores); Chakradhara Aerospace and Cargo
Private Limited C 0.34 Crores (Previous Year C 0.34 Crores); Lakshmi Life Sciences Private Limited C 0.76 Crores (Previous Year C 0.14 Crores);
Petrus Technologies Private Limited C 0.32 Crores (Previous Year C 0.18 Crores) & Others - Other related parties-Associates C 0.10 Crores
(Previous Year C 0.13 Crores)
6. Receiving of Services includes Chakradhara Aerospace and Cargo Private Limited C 110.39 Crores (Previous Year C 153.77 Crores);
Revantha Services Private Limited C 46.39 Crores (Previous Year C 26.54 Crores) & Other related parties-Associates C 69.63 Crores (Previous
Year C 47.12 Crores)
7. Contribution to gratuity fund includes Lakshmi Machine Works Limited Employees' Gratuity Fund C 4.72 Crores (Previous Year C 0.79
Crores)
8. Agency arrangement includes Super Sales India Limited C 25.21 Crores (Previous Year C 21.76 Crores)
9. Managerial Remuneration includes amount paid to Chairman and Managing Director, Sri Sanjay Jayavarthanavelu C 21.75 Crores
(Previous Year C 22.53 Crores); Sri Jaidev Jayavarthanavelu, Wholetime Director w e f : 7th August 2023 C 0.63 Crores (Previous Year
C Nil); Mr. M.Sankar, Director Operations w e f: 25th October 2023 C 0.67 Crores (Previous Year C Nil); Mr. K.Soundhar Rajhan, Director Operations
(until 31st July 2023) C 0.58 Crores (Previous Year C 1.56 Crores); Mr. V.Senthil, Chief Financial Officer C 0.83 Crores (Previous Year C 0.75 Crores);
Mr. C R Shivkumaran, Company Secretary C 0.51 Crores (Previous year C 0.48 Crores)
10. Outstanding Payables include Lakshmi Electrical Control Systems Limited C 51.25 Crores (Previous Year C 33.60 Crores); Lakshmi Electrical
Drives Private Limited C 14.27 Crores (Previous Year C 10.00 Crores); Super Sales India Limited C 21.50 Crores (Previous Year C 20.83 Crores);
Lakshmi Life Sciences Private Limited C 19.16 Crores (Previous Year C 4.74 Crores); Sri.Sanjay Jayavarthanavelu C 19.17 Crores (Previous Year
C 19.96 Crores) & Other related parties-Associates C 35.59 Crores (Previous Year C 29.51 Crores)
11. Outstanding Receivables include Lakshmi Electrical Control Systems Limited C 3.25 Crores (Previous Year C 10.03 Crores); Chakradhara
Aerospace and Cargo Private Limited C 8.90 Crores (Previous Year C Nil); Lakshmi Life Sciences Private Limited C 7.19 Crores (Previous year
C 1.37 Crores); Petrus Technologies Private Limited C 4.76 Crores (Previous year C 0.07 Crores) ;Reventha Services Private Limited C 3.30
Crores (Previous year C Nil) & Other related parties - Associates C 5.56 Crores (Previous Year C 11.01 Crores)
001 CORPORATE
STATEMENTS
263
30.10 Employee defined benefit and contribution plans
I. Defined Benefit Plans

Leave Encashment
Gratuity (Funded)
(Funded)
Particulars
2024 2023 2024 2023
A. Expense recognised in Income Statement
1. Current Service cost 5.12 9.46 2.04 1.99
2. Interest expense on DBO 7.64 7.00 0.70 0.74
3. Interest (Income on plan asset) (7.79) (7.43) (0.97) (1.00)
4. Net Interest (0.15) (0.43) (0.27) (0.26)
5. Immediate recognition of (gain) / losses - - 0.79 0.76
6. Defined Benefits cost included in P & L 4.97 9.03 2.56 2.49
B. Expense recognised in Comprehensive Income

1. Actuarial (gain)/losses due to Demographic assumption - - - -
changes in DBO
2. Actuarial (gain)/losses due to financial assumption changes 2.06 (0.48) 0.39 (0.08)
in DBO
3. Actuarial (gain)/losses due to experience on DBO (3.97) (2.35) 0.59 0.84
4. Return on plan assets (Greater) / Less than Discount rate 0.04 0.18 (0.19) 0.75
5. Total actuarial (gain) / loss included in OCI (1.87) (2.65) 0.79 1.51
6. Cost recognised in P & L 4.97 9.03 2.56 2.49
7. Remeasurement effect recognised in OCI (1.87) (2.65) - -
8. Total defined benefit cost 3.10 6.38 2.56 2.49
C. Net asset/Liability recognised in the Balance Sheet

1. Present value of benefit obligation 108.62 104.64 11.83 11.32
2. Fair value of plan assets 109.90 104.30 14.65 13.49
3. Funded Status [Surplus / (deficit)] 1.28 (0.34) 2.82 2.17
4. Net Asset /(Liability) recognised in balance sheet 1.28 (0.34) 2.82 2.17
D. Change in Present value of the Obligation during the
year
1. Present value of the obligation at beginning of year 104.64 94.50 11.32 10.93
2. Current service cost 5.12 9.46 2.04 1.99
3. Interest cost 7.64 7.00 0.70 0.74
4. Benefits paid (6.87) (3.49) (3.21) (2.35)
5. Actuarial (gain)/ loss on obligation (1.91) (2.83) 0.98 0.01
6. Present value of obligation at end of the year 108.62 104.64 11.83 11.32
264
ANNUAL
REPORT 2023-24
I. Defined Benefit Plans (Contd..)

Leave Encashment
Gratuity (Funded)
(Funded)
Particulars
2024 2023 2024 2023
E. Reconciliation of opening & closing values of Plan Assets

1. Fair value of plan assets at the beginning of the year 104.30 99.75 13.49 13.24
2. Expected return on plan assets 7.79 7.43 0.97 1.00
3. Contributions made 4.72 0.79 - -
4. Benefits paid (6.87) (3.49) - -
5. Actuarial gain / (loss) on plan assets (0.04) (0.18) 0.19 (0.75)
6. Fair value of plan assets at the end of the year 109.90 104.30 14.65 13.49
7. Actual return on plan assets 7.75 7.25 1.16 0.25
F. Amounts recognised in Other comprehensive Income

1. Opening unrecognised losses / (Gains) 14.37 17.02 - -
2. Actuarial Loss / (Gains) on DBO (1.91) (2.83) 0.98 0.76
3. Actuarial Loss / (Gains) on assets 0.04 0.18 (0.19) 0.75
4. Amortisation Actuarial loss / (Gain) - - 0.79 1.51
5. Total recognised in Other comprehensive income 12.50 14.37 - -
G. Major categories of plan assets as a percentage of total

plan
1. Qualifying insurance policies 109.90 104.30 14.65 13.49
2. Own plan assets-Bank balances 0.48 0.78 - -
Total 110.38 105.08 14.65 13.49
H. Actuarial Assumptions
1. Discount rate 7.25% 7.55% 7.25% 7.55%
2. Salary escalation 8.50% 8.50% 8.50% 8.50%
3. Attrition rate 7.00% 7.00% 7.00% 7.00%
4. Expected rate of return on plan assets 7.25% 7.47% 7.25% 7.47%
5. Mortality rate Indian Assured Lives Mortality (2006-08) Ultimate
The salary escalation considered in actuarial valuation, takes account of inflation, seniority, promotion and other relevant
factors such as supply and demand in the employment market.
Gratuity is applicable to all permanent and full time employees of the company.
Gratuity payment is based on last drawn basic salary and dearness allowance at the time of termination or retirement. The
Scheme takes into account each completed year of service or part thereof in excess of six months. The entire contribution is
borne by the company.
001 CORPORATE
STATEMENTS
265
Leave encashment benefits are provided as per the rules of the Company. The liabilities on account of defined benefit
obligations are expected to be contributed within the next financial year.
The company expects to make a contribution of C 3 Crores (as at 31st March 2024: C 4.72 Crores) to the defined benefit plans
during the next financial year.
I. Sensitivity Analysis
Gratuity (Funded) Leave Encashment (Funded)
31st March 2024 31st March 2023 31st March 2024 31st March 2023
Impact of +1% change in rate of discounting (6.17) (603.32) (1.09) (102.04)

Impact of -1% change in rate of discounting 6.86 670.37 1.30 121.45
Impact of +1% change in rate of salary increase 6.76 662.25 1.24 116.27
Impact of -1% change in rate of salary increase (6.19) (606.86) (1.06) (99.58)
Impact of +1% change in rate of attrition (0.86) (75.09) (0.20) (16.42)
Impact of -1% change in rate of attrition 0.94 82.37 0.21 17.26
The above sensitivity analysis are based on change in an assumption while holding all other assumptions constant. In
practice, this is unlikely to occur, and changes in some of the assumptions may be correlated. When calculating the sensitivity
of the defined benefit obligation to significant actuarial assumptions the same method (present value of the defined benefit
obligation calculated with the projected unit credit method at the end of the reporting period) has been applied as and
when calculating the defined benefit liability recognised in the balance sheet.
J. Brief description of the plans & risks

These plans typically expose the company to actuarial risks such as: investment risk, interest rate risk, longevity risk and
salary risk.
Investment risk
The present value of the defined benefit plan liability is calculated using a discount which is determined by reference to
market yields at the end of the reporting period on government bonds. Plan investment is a mix of investments in government
securities, other debt instruments and equity shares of listed companies.
Interest Rate risk

A decrease in the bond interest rate will increase the plan liability. However, this will be partially offset by an increase in the
return on the plan's debt investments, if any.
Longevity risk
The present value of the defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan
participants both during and after their employment. An increase in the life expectancy of the plan participants will increase
the plan's liability.
Salary risk
The present value of the defined benefit plan liability is calculated by reference to the future salaries of plan participants. As
such, an increase in the salary of the plan participants will increase the plan's liability.
II. Defined Contribution Schemes
Provident Fund Contribution 14.67 13.90
266
ANNUAL
REPORT 2023-24
30.11 Segment information
Products and services from which reportable segments derive their revenues.
Information reported to the Chief Operating Decision Maker (CODM) for the purposes of resource allocation and assessment
of segment performance focuses on the type of goods or services delivered or provided. The group has chosen to organise
the group around differences in products and services. No operating segments have been aggregated in arriving at the
reportable segments of the group.
Textile Machinery Machine Tool & Advanced Technology
Operating Segments Total
Division Foundry Division Centre
Revenue
2024 2023 2024 2023 2024 2023 2024 2023
Revenue from 3,539.26 3,669.33 937.07 874.89 142.14 94.81 4,618.47 4,639.03
external customers
Inter Segment 66.23 64.63 97.11 97.31 - - 163.34 161.94
Revenue
Allocable other income 70.10 91.26 15.59 13.44 18.05 15.94 103.74 120.64
Total Segment 3,675.59 3,825.22 1,049.77 985.64 160.19 110.75 4,885.55 4,921.61
Revenue
Less : Inter Segment 163.34 161.93
Revenue
other Income
Enterprise revenue 4,839.38 4,866.98
Result
Segment Result 315.92 377.92 74.42 61.19 14.03 3.33 404.37 442.44
Operating Profit 404.37 442.44
Other income net of
unallocable expenses
Less: Interest Expenses - -
Income tax expenses 109.45 110.00
(Current)
Income tax expenses (0.95) 25.20
(Deferred)
Net Profit after Tax 373.66 384.02
Other Information
Segment assets 2,044.48 2,424.21 1,207.45 1,072.28 103.89 59.61 3,355.82 3,556.10
corporate assets
Enterprise Assets 4,031.42 4,090.05
Segment Liabilities 1,007.59 1,450.38 252.73 235.41 19.02 16.40 1,279.34 1,702.19
Add : Unallocable 2,752.08 2,387.86
corporate liabilities
Enterprise Liabilities 4,031.42 4,090.05
Capital Expenditure 100.67 182.16 45.75 49.96 19.86 29.50 166.28 261.63
Depreciation 78.99 63.59 6.19 5.59 11.16 8.56 96.34 77.74
001 CORPORATE
STATEMENTS
267
Notes :
1) The accounting policies of the reportable segments are the same as the group's accounting policies. Inter Segment transfers are
accounted on cost plus basis vis-a-vis at competitive market price charged to unaffliated customers for similar goods.
2) Segment profit represents the profit before tax earned by each segment without allocation of unallocable expenses, finance costs and
unallocable income. This is the measure reported to the Chief Operating Decision Maker for the purposes of resource allocation and
assessment of segment performance.
3) Segment Revenue, Segment Results, Segment Assets and Liabilities include the respective amounts identifiable to each of the segments
and amounts allocated on a reasonable basis.
Segment Assets and Liabilities
Segment Assets Segment Liabilities

Operating Segment As at 31 st
As at 31 st
Textile Machinery Division 2,044.48 2,424.21 1,007.59 1,450.38
Machine Tool & Foundry Division 1,207.45 1,072.28 252.73 235.41
Advanced Technology Centre 103.89 59.61 19.02 16.40
Total Segment Assets & Segment Liabilities 3,355.82 3,556.10 1,279.34 1,702.19
Adjustments of unallocated Assets and Liabilities
Share capital - - 10.68 10.68
Reserves and Surplus - - 2,692.96 2,327.87
Investments 641.32 508.35 - -
Advance tax 34.28 25.60 - -
Deferred tax - - 47.48 48.43
Unpaid Dividends - - 0.96 0.88
Total Assets & Liabilities as per Balance sheet 4,031.42 4,090.05 4,031.42 4,090.05
Geographical information
The group operates in two principal geographical area, India (country of domicile) and outside India.
The group's revenue from external customers based on location of customers is as per the table below:
Revenue from contracts with customers are disaggregated into categories that depict how the nature, amount, timing and
uncertainty of revenue and cash flows are affected by economic factors. The Group identifies the product lines, amongst
others to indicate the factors. The details of revenue from contracts with customers on the basis of various product lines
are as under:

Particulars

Particulars
Textile Machinery and Spares 2,627.51 1,041.81 3,669.32
Gross Sale of Products 3,481.35 1,157.68 4,639.03
268
ANNUAL
REPORT 2023-24
30.12 Approval of Consolidated Financial Statements
The Consolidated Financial Statements were reviewed and recommended by the Audit Committee and has been approved
by the Board of Directors at their meeting held on 27th May 2024.
30.13 Details of Leasing Arrangements
For the year ended For the year ended

Particulars
As Lessor
Operating lease
The group has entered into operating lease arrangements for certain surplus
facilities. The lease is non-cancellable for a period from 3 to 5 years and may
be renewed for a further period based on mutual agreement of the parties.
Future minimum lease receipts
Not later than one year 0.42 0.42
Later than one year and not later than five years 1.68 1.68
More than 5 years 1.68 1.68
30.14 Financial Risk Management Objectives

The group's activity exposes itself to variety of financial risks which includes market risk, credit risk, liquidity risk, interest rate
risk and price risk. The group monitors and manages the above financial risks relating to the operations of the group through
internal risk reports which analyses exposures by degree and magnitude of risks. The primary focus is to identify risks and take
steps for mitigation of risk or to minimise the potential adverse effects on the financial performance of the group. The group
does not enter into any derivative financial instruments to hedge risk exposures.
Foreign Currency Risk

The group undertakes transactions denominated in foreign currencies and consequently has exposure to exchange rate
fluctuations. The group operates internationally and a major portion of the international sales transaction are in USD and
balance in EUR, purchases from overseas suppliers are in various foreign currencies. The exposure at the end of the reporting
period does not reflect the transaction during the year and there is a natural hedge in the currency for USD and EUR. The
exchange rate between INR and other currency does have an impact on the business. The group is a net exporter and export
realisation combined with a depreciating INR has given the group a net foreign exchange gain.
These exhange rate exposures are not hedged by the group. The carrying amounts of the group’s foreign currency
denominated monetary assets and monetary liabilities at the end of the reporting period are as follows:

As at 31 st
Sundry creditors AED 79,330 25,73,268 0.18 5.73
CHF 1,87,077 2,32,489 1.73 2.09
CNY 6,84,374 16,71,422 0.79 2.00
EUR 23,86,497 19,08,092 21.50 17.03
GBP 62,199 35,498 0.65 0.36
JPY 25,04,58,661 21,79,34,005 13.80 13.48
SEK 85,000 85,000 0.07 0.07
SGD 4,273 6,102 0.03 0.04
001 CORPORATE
STATEMENTS
269

As at 31 st
USD 38,27,020 59,01,568 31.90 48.46
Sundry Debtors CNY 8,05,655 7,45,676 0.93 0.89
EUR 6,83,794 8,97,408 6.17 7.71
GBP 19,819 22,799 0.21 0.23
USD 1,69,57,651 4,29,82,286 141.38 349.07
Cash and Bank Balances AED 1,57,968 3,24,755 0.36 0.72
BDT 27,33,998 13,44,867 0.21 0.10
CNY 4,93,789 14,14,690 0.57 1.69
EUR 62,262 63,722 0.56 0.57
KES 62,523 - 0.00 -
TRY 10,79,106 81,229 0.28 0.03
USD 61,26,199 78,90,553 51.06 64.85
VND 3,04,74,076 4,83,70,838 0.01 0.02
The Group mainly exposed to USD and EUR.
Foreign currency sensitivity analysis

the holding period
As at As at
Particulars
Sundry creditors
USD 31.90 48.46
Euro 21.50 17.03
Sundry Debtors
USD 141.38 349.07
Euro 6.17 7.71
Net receivable
USD 109.48 300.61
Euro (15.33) (9.32)
Total 94.15 291.29
Impact on profit : 5 % increase in currency rate 4.71 14.56
Impact on profit : 5 % decrease in currency rate (4.71) (14.56)
Interest rate risk – The Group holds interest bearing assets in the form of fixed deposits with banks. The variation in interest
risks is managed by distributing deposits among wide base of banks and financial institutions.
270
ANNUAL
REPORT 2023-24
Interest rate sensitivity analysis
The entity prepares sensitivity analysis for interest rate risk associated with fixed deposits by assuming various magnitudes of
interest rate changes, which includes a 0.25% increase or decrease in interest rates.
As at As at
Particulars
Fixed deposits in Banks 1,291.86 1,318.21
Impact on profit : increase of 25 basis points 3.23 3.30
Impact on profit : decrease of 25 basis points (3.23) (3.30)
Price risk – Holding marketable financial assets expose the group to risk of price fluctuation. Price escalations will have
insignificant impact on carrying amounts of respective financial assets. However, the group is exposed to equity price risks
from equity investments. Certain of the group's equity investments are held for startegic rather than trading purposes.
Price sensitivity analysis

the holding period.
As at As at
Particulars
Fair value of Equity investments 264.52 169.77
Impact on Other Comprehensive Income :increase by 5% 13.23 8.49
Impact on Other Comprehensive Income :Decrease by 5% (13.23) (8.49)
Credit risk – Credit risk arises from the risk of default on its obligation by the counterparty resulting in financial loss, such as
cash and cash equivalents, and outstanding receivables.
Credit risk on cash and cash equivalents is considered negligible as the group generally invests in fixed deposits with reputable
banks. They are not impaired or past due for each of the reporting dates.
Credit risk on outstanding receiviables is the exposure to billed receivable and are normally unsecured and derived from
revenue earned from customer mostly from India. Credit risk is managed by the group through credit approvals and
continously monitoring the credit worthiness of the customer to which the group grants credit in the normal course of
business. The group applied simplified approach of estimated credit loss for trade receivable, which provide for expected
credit loss based on life-time expected losses. Trade receivables consist of a large number of customers, spread across diverse
industries and geographical areas. The group does not have any significant credit risk exposure to any single counterparty.
The concentration of credit risk is limited due to the fact that the customer base is large and unrelated.
Liquidity risk – Liquidity risk refers to the risk that the group cannot meet its financial obligations. The objective of
liquidity risk management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements.
The group's principal source of liquidity is from cash and cash equivalent and the cash flow from operations. The group does
not have any external borrowings from banks or any other financial institution. The group believes that the working capital
through internal accruals is suffcient to meet its current requirements and hence the group does not perceive any such risk.
001 CORPORATE
STATEMENTS
271
30.15 Revenue Recognition
The Group derives revenue primarily from the sale of Textile Machinery, Machine Tools, Accessories and parts, Castings and
Aero space Components.
Revenue is recognised upon transfer of control of promised products or services to customers in an amount that reflects the
consideration we expect to receive in exchange for those products or services.
Arrangements with customer for sale of above-mentioned products or services are on fixed price. Revenue is recognised to
depict the transfer of promised goods or services to customers in an amount that reflects the consideration entity expects to
be entitled in exchange for those goods or services.
Revenue on fixed price contract are recognised at the time of dispatch of goods. Till then the consideration received is
accounted as ‘Advance received’ shown under financial liabilities. Control over the goods passed to the customer at the time
of dispatch of the goods at the Group’s factory.
The expected cost of warranty issued is accounted as provision. The contract with customer are entered between the Group
and the end customer. The Group is primarily responsible for honouring the contract entered with customer. Since the Group
acts as a “Principal” for the contracts entered into through selling agent the revenue is to be recognised in gross by the Group.
Contract modifications are accounted for when additions, deletions or changes are approved either to the contract scope or
contract price. The accounting for modifications of contracts involves assessing whether the services added to an existing
contract are distinct and whether the pricing is at the standalone selling price. Services added that are not distinct are
accounted for on a cumulative catch up basis, while those that are distinct are accounted for prospectively, either as a separate
contract, if the additional services are priced at the standalone selling price, or as a termination of the existing contract and
creation of a new contract if not priced at the standalone selling price.
Revenue from operations for the year ended March 31 2024 and March 31 2023 is as follows:

Particulars
(i) Revenue from sale of products 4,618.47 4,639.03
(ii) Revenue from rendering of services 77.39 80.12
30.16 The Exchange rate adopted for conversion of subsidiary accounts is as follows :
The Exchange Rate as at 31st March 2024 : 1 CNY = 11.54 INR (Previous Year 11.95 INR)
: 1 AED = 22.69 INR (Previous Year 22.28 INR)
Average exchange rate : 2023-24 : 1 CNY = 11.56 INR (Previous Year 11.71 INR)
: 1 AED = 22.69 INR (Previous Year 22.28 INR)
30.17 Depreciation / amortisation includes D 0.14 crores (Previous Year D 0.14 crores) towards amortisation of leasehold land
as per audited accounts of LMW Textile Machinery (Suzhou) Co. Ltd., China.
30.18 Additional regulatory information required by Schedule III
i) Details of benami property held

No proceedings have been initiated on or pending against the Group for holding benami property under the Benami
Transactions (Prohibition) Act, 1988 (45 of 1988) and Rules made thereunder.
ii) Wilful Defaulter
The Group had not been declared a wilful defaulter by any bank or Financial Institution or other lender (as defined under
the Companies Act, 2013) or consortium thereof, in accordance with the guidelines of the wilful defaulter issued by the
Reserve Bank of India.
272
ANNUAL
REPORT 2023-24
iii) Relationship with struckoff companies
Transactions during Balance outstanding Relationship with

Name of Struck off Nature of the year ended the Struck off
at the end of the year
Company transactions company, if any, to
31st March 2024 as at 31st March 2024
be disclosed
Achuk Consultants Sale of Textile 0.00 0.00 Customer
Engineers Pvt Ltd Machinery &
Spares
iv) Compliance with number of layers of companies

The Group has complied with the number of layers prescribed under the Companies Act, 2013.
v) Compliance with approved scheme(s) of arrangements

No scheme of arrangement has been approved by the competent authority in terms of Section 230 to 237 of the
Companies Act, 2013.
vi) Utilisation of borrowed funds

The Group does not have borrowed funds.
vii) Undisclosed income

There is no income surrendered or disclosed as income during the current or previous year in the tax assessments under the
Income Tax Act, 1961, that has not been recorded in the books of account.
viii) Details of crypto currency or virtual currency

The Group has not traded or invested in crypto currency or virtual currency during the current or previous year.
ix) Valuation of Property, Plant & Equipment, intangible asset and investment property
The Group has not revalued its property, plant and equipment or intangible assets or both during the current or
previous year.
30.19 Previous years' figures have been restated to comply with IND AS to make them comparable with the current period.
Further, previous years' figures have been regrouped / reclassified, wherever necessary, to conform with the current period
presentation.
Partner
001 CORPORATE
STATEMENTS
273
CORPORATE INFORMATION
274
Based on Standalone Financials
C in Crores
Particulars 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 2021-22 2022-23 2023-24
Profit and Loss Account
Sales (excluding excise duty) 2,312.58 2,474.48 2,136.86 2,426.61 2,546.20 1,508.64 1,638.89 3,016.76 4,456.69 4,520.17
Other Income 178.58 159.88 166.98 178.68 195.78 155.09 129.97 135.84 232.57 218.77
Profit before tax 297.49 328.19 266.31 303.15 323.67 64.41 74.20 236.95 485.41 479.88
Profit after tax 207.45 220.12 190.60 211.42 189.28 45.00 47.46 179.68 350.22 371.38
Balance Sheet
Fixed Assets 377.21 408.46 465.59 536.16 659.71 694.02 669.18 686.59 885.62 939.56
Investments 128.83 152.76 126.24 147.98 138.46 112.50 200.18 255.29 255.69 355.63
Net Current Assets 754.43 937.09 946.60 1,037.51 892.19 864.65 935.09 1,066.58 1,207.11 1,414.58
Total Assets 1,260.47 1,498.31 1,538.43 1,721.65 1,690.36 1,671.17 1,804.45 2,008.46 2,348.42 2,709.77
Share Capital 11.27 11.27 10.96 10.96 10.68 10.68 10.68 10.68 10.68 10.68
Reserves and Surplus 1,249.20 1,487.04 1,527.47 1,710.69 1,679.68 1,645.63 1,769.58 1,974.54 2,289.31 2,651.61
Deferred Tax Liability - - - - - 14.86 24.19 23.24 48.43 47.48
Total Liabilities 1,260.47 1,498.31 1,538.43 1,721.65 1,690.36 1,671.17 1,804.45 2,008.46 2,348.42 2,709.77
R AT I O S 2022-23 2023-24
Measures of Investment
Dividend per share (C ) 98.50 75.00
EPS (C ) Net Profit after tax / No. of Shares 327.82 347.64
Return on Equity (%) Net Profit after tax / Shareholders' funds 15.23 13.95
Dividend Cover (Times) Earnings per Share / Dividend per Share 3.33 4.64
Measures of Performance
Net Profit Margin (%) Profit after taxes / Sales 7.86 8.22
REPORT
ANNUAL
Assets Turnover (Times) Sales / Net Fixed Assets 5.03 4.81
2023-24
ANNEXURE TO ITEM NO 10 OF THE NOTICE TO SHAREHOLDERS
275
Notes:
Notes:
SRK Vidyalaya Post, Perianaickenpalayam
Coimbatore 641020 | Tamil Nadu | India
M: +91 422 7192255

F: +91 422 2692541-42
E: [email protected]
W: www.lmwglobal.com

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A N N UA L R E P O R T 2 0 2 3 - 2 4

001 STRENGTHENING THE CORE

002 STATUTORY REPORTS

003 FINANCIAL STATEMENTS

OUR BUSINESS PLANNING

In this light, we initiated essential Increased adoption and use of

OUR PEOPLE STRENGTH

At LMW, our people are our Institutionalised new-age team

OUR SHOPFLOOR OPERATIONS

At LMW, this domain is the The immediate benefit was that

OUR SERVICE ABILITY

We have underpinned our customer Our customer-friendly features on

MACHINE TOOL ADVANCED TECHNOLOGY

Vision Mission Values

WE ARE CHARTING A PATH

DEAR SHAREHOLDERS, a critical initiative that will go a long

WE ARE GOING DEEPER INTO

Strengthening our commitment

WORLD ECONOMY Consumer spending is increasing,

The Global Textile Machinery Market

AUTO & AUTO COMPONENTS

ELECTRICALS & ELECTRONICS

To sustain the growth momentum of

Financial performance (H Crores)

Registrar and Share Transfer Agent

Details of Remuneration: RESOLVED FURTHER THAT the Board of Directors

By order of the Board

Place: Coimbatore C R Shivkumaran

Instructions for Shareholders voting electronically are as under:

How do I vote electronically using NSDL e-Voting system?

 App Store Google Play

Login type Helpdesk details

How to Log-in to NSDL e-Voting website?

5. Password details for shareholders other than Individual

Considering her expertise and experience, the Board of Interest of Directors:

Name Sri Sanjay Jayavarthanavelu

Name Sri S Pathy

Name Sri Aroon Raman

Name Sri Arun Alagappan

Name Dr Mukund Govind Rajan

Name Sri Aditya Himatsingka

Name Sri Venkataramani Anantharamakrishnan

Name Smt Pushya Sitaraman

5. Foreign Investments or collaborations, if any.

b. Sri S Pathy, Non-Executive and Non-Independent Director

c. Sri Aroon Raman, Independent Director

e. Dr Mukund Govind Rajan, Independent Director

f. Sri Aditya Himatsingka, Independent Director

g. Justice (Smt) Chitra Venkataraman (Retd.), Independent Woman Director

h. Sri Venkataramani Anantharamakrishnan (proposed to be appointed as an Independent Director, subject to approval

III. OTHER INFORMATION

1. The State of Affairs of the Company, Reserve and Dividend

STATEMENT FOR CONSERVATION OF ENERGY:

(B2) Technology Absorption - Textile Machinery Division

(B4) Technology Absorption - Advanced Technology Centre

22. Overall Maximum Remuneration

23. Corporate Governance 24. Auditors

27. Additional Information

FORM NO. MR-3

To v. The following Regulations prescribed under the

h. Sri Venkataramani Anantharamakrishnan (proposed to be appointed as an Independent Director, subject to approval