27th Annual Report 2012-2013

Dear Shareholders,

Sub : Green Initiative

As already communicated to you,The ministry of Corporate Affairs has taken a “Green Initiative in corporate governance allowing paperless compliances by Companies through electronic mode and has issued circular on 21.04.11 and 29.04.11 stating that Companies can now send various notices and documents , including Annual Reports, to its shareholders through electronic mode to the registered e-mail addresses of shareholders”.

Your company propose to send future communication/documents including Notice of Annual General Meeting and Annual report of the company in electronic form through email.

Members who are holding Equity shares in demat mode are requested to register their e-mail ID with their Depository Participant Immediately, if already not registered .

Members who are holding Equity Shares in Physical form should send a scanned copy of their letter requesting for registering/changing their existing email ID, bearing the signature of the sole /first shareholder on “investor@bigshareonline.com” (These members are also requested to convert their physical holding to demat).

	OR

Such members holding Equity shares in physical form can also write to the Registrar and share Transfer Agent of the company at their following address and inform their email ID quoting their folio number. The letter should be signed by sole /first holder as per the specimen signature recorded with the registrar and share Transfer Agent.

M/s. Bigshare Services Pvt. Ltd.,
E-2/3, Ansa Industrial Estate,
Sakivihar Road, Saki Naka,
Andheri (E), Mumbai – 400072.

We seek your support to enable the Company to not only reduce paper consumption but also related costs. As a shareholder, this is your opportunity to support this initiative of the Government and contribute towards a Greener Environment.

Please note the as member of the Company, you will be entitled to be furnished free of cost with a copy of such communication/document upon receipt of a requisition from you, at anytime.

Thanking You,

For COLINZ LABORsATORIES LTD.

DIRECTOR

(Top)

27th Annual Report

BOARD OF DIRECTORS	DR. L. S. MANI, Chairman & Managing Director.
	SHRI. N. K. MENON, Whole-Time Director
	SHRI. VASANT K. BHAT, Director
	SHRI. KRISHNA KUMAR ATTRASSARY, Director

AUDITORS	S. V. BHAT & CO.
	Chartered Accountants.

BANKERS	BANK OF BARODA.

REGISTERED OFFICE	A-101, PRATIK IND. ESTATE, MULUND-GOREGAON LINK ROAD,
	NEXT TO FORTIS HOSPITAL, MUMBAI - 400 078.

EMAIL ID	cllfindoc@yahoo.com, info@findoc-cll.in

WEBSITE	www.findoc-cll.in

WORKS	PLOT NO. 60, ‘STICE’, MUSALGAON, SINNAR-SHIRDI ROAD, SINNAR,
	NASIK - 422 103.

CONTENTS	NOTICE
	DIRECTOR’S REPORT
	MANAGEMENT DISCUSSION & ANALYSIS
	REPORT ON CORPORATE GOVERNANCE
	AUDITOR’S REPORT
	NOTES FORMING PART OF THE FINANCIAL STATEMENTS
	BALANCE SHEET
	PROFIT AND LOSS ACCOUNT
	CASH FLOW STATEMENTS
	PROXY FORM AND ATTENDANCE SLIP

(Top)

NOTICE

Noticeis hereby given that the 27th Annual General Meeting of the Company will be held at the Registered Office of the Company, i.e. A-101, Pratik Ind. Estate, Mulund-Goregaon Link Road, Mumbai - 400 078, on Monday, 30th September, 2013, at 12.30 P. M. to transact the following business:

ORDINARY BUSINESS:-

1. To receive, consider and adopt the audited Balance Sheet as at 31st March, 2012, the Profit and Loss Account for the year ended on that date, together with Director’s Report and also the Auditor’s Report thereon.

2. To appoint Director in place of Mr. Vasant Bhat who retires by rotation and being eligible offers himself for re-appointment.

3. To appoint Auditors to hold office from conclusion of this Annual General Meeting till the conclusion of next Annual General Meeting and to authorise the Board of Directors to fix their remuneration.

		For Colinz Laboratories Limited

Regd. Office:		Dr. L. S. Mani
A-101, Pratik Ind. Estate		Chairman & Managing Director
Mulund-Goregaon Link Road, Mumbai – 400 078.

Date:30th May, 2013

NOTES :-

A MEMBER ENTITLED TO ATTEND AND VOTE AT THE MEETING IS ENTITLED TO APPOINT A PROXY OR PROXIES TO ATTEND AND VOTE INSTEAD OF HIMSELF AND PROXY NEED NOT BE A MEMBER. AN INSTRUMENT APPOINTING THE PROXY SHOULD BE DEPOSITED AT THE REGISTERED OFFICE OF THE COMPANY NOT LESS THAN 48 HOURS BEFORE THE TIME OF HOLDING THE MEETING.
The Register of Members and Share Transfer Books of the Company will remain closed from, 23rd September, 2013 to 30th September, 2013. (both days inclusive)
Members are requested to notify immediately any change in their address to the Registrar and Transfer Agent of the Company, M/s. Bigshare Services Pvt. Ltd., E-2/3, Ansa Industrial Estate, Sakivihar Road, Saki Naka, Andheri (E), Mumbai-400072
Members intending to require any information about accounts to be explained in the meeting are requested to inform the Company in writing at least Ten days in advance of the date of Annual General Meeting

(Top)

DIRECTORS’ REPORT 2012-2013

To
The Shareholders,

Your Directors have the pleasure in presenting their 27th Annual Report and audited Accounts of your Company, for the year ended 31st March, 2013.

FINANCIAL RESULTS :

	2012-2013 (Rs. in Lacs)	2011-2012 (Rs. in Lacs)
Earnings before Interest, Depreciation & Tax (EBITDA)	62.39	53.70
Less: Bank Charges and Interest	20.21	18.93
Depreciation	26.19	25.99
Profit before Taxation	15.99	8.78
Less/ (Add): Provision for Current Tax	2.97	1.58
Provision for Deferred Tax	5.04	(3.84)

Profit after Taxation	7.98	11.04

OPERATIONS :

During the year under review, the total revenues of the company stood at Rs.779 lacs compared to 708 lacs.

The earnings before Interest, Depreciation and tax , increased to 62.39 lacs during the year under review compared to Rs. 53.70 in the previous year. The profit before tax was Rs. 15.99 Lacs, the net profit after providing for Income Tax and Differed Tax Liability was Rs. 7.98 Lacs. Net profit would have been higher except for increase in the staff cost particularly incurred to retain the productive field staff and cost of borrowing by way of interest to bank.

DIVIDEND :

Your Directors are unable to recommend any dividend during the year under review, considering the small surplus available and with a view to conserve funds towards margin monies.

LISTING OF SHARES:

The shares of your Company are listed in Stock Exchange, Mumbai. Annual Listing Fees for the year 2012-13 has been paid on time.

PUBLIC DEPOSITS :

The Company has not invited / received any fixed deposits during the year.

DIRECTORS:

The Board consists of Executive and Non-Executive directors, including independent Directors, who have wide and varied experience in different disciplines of corporate functioning. In accordance with the provisions of Companies Act, 1956, and Article of Association of the Company, Shri. Vasant Bhat retires by rotation at the ensuing Annual General Meeting and being eligible offers himself for re-appointment.

DIRECTORS’ RESPONSIBILITY STATEMENT:

In terms of provisions of Section 217[2AA] of the Companies Act, 1956, your Directors confirm that:

In the preparation of the annual accounts, the applicable accounting standards have been followed, along-with proper explanation relating to material departures, wherever applicable.
The Directors 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, as at the end of the accounting year and of the profit of the company for that year;
The Directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 1956 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities;
The Directors have prepared the annual accounts on a going concern basis.

PERSONNEL:

During the year under review, relations between the Employees and the Management remained cordial.

Particulars of employees as required under Section 217 (2A) of the Companies Act, 1956, read with the Companies (Particulars of Employees) Rules, 1975 as amended from time to time are not applicable to your Company as there were no employees whose remuneration is in excess of limits prescribed.

CONSERVATION OF ENERGY:

Except for the consumption of Power (Electricity) the Company does not consume any other source of energy. Pharmaceutical company is not power intensive. Since it also involves multiple products, disclosure of consumption of power per unit of product is not meaningful.

TECHNOLOGY ABSORPTION, ADAPTATION AND INNOVATION:

No imported technology is adapted by the Company. Continuous developmental efforts are made by our qualified and approved staff to formulate new products and innovation of existing products. Such efforts have benefited in improving the stability of our products and simplification of manufacturing procedures.

FOREIGN EXCHANGE:

During the year under review, Foreign exchange earned Rs.Nil,( Previous Year – Rs. NIL/-). Foreign exchange outgo was Rs. NIL, (Previous Year – NIL /-).

RESEARCH AND DEVELOPMENT:

Your Company has not incurred any expenditure on research and development other than the routine developmental work.

REPORT ON CORPORATE GOVERNANCE

Pursuant to Clause 49 of the Listing Agreement with the Stock Exchange, the following form part of this Annual Report:

Management Discussion and Analysis.
Report on Corporate Governance.
Auditor’s Certificate regarding compliance of conditions of Corporate Governance.

OTHER MATTERS:

Your Company is not a polluting industry and the requirements of Pollution Control Board, if any, are met with.

AUDITORS:

M/s. S. V. Bhat & Co., Chartered Accountants, retire as auditors of the Company at the conclusion of the 27th Annual General Meeting and are eligible for reappointment.

ACKNOWLEDGEMENT:

Your Directors would like to acknowledge the co-operation they received during the year under review from Bankers, Distributors as well as from various Government Departments and also the investing public. We would also like to place on record our profound admiration and sincere appreciation of the hard work put in by the members of the staff and workmen. We are grateful to you, for the confidence and faith you have reposed in us.

		For and on behalf of the Board.

		Dr. L. S. Mani
		Chairman & Managing Director
Mumbai, 30th May, 2013

(Top)

MANAGEMENT DISCUSSION AND ANALYSIS :

This Report includes Management Discussion and Analysis as appropriate, so that duplication and overlap between Directors Report and Management Discussion and Analysis is avoided. The entire material is thus provided in a composite and comprehensive document.

COMPANY’S PHILOSOPHY ON CORPORATE GOVERNANCE:

The Company follows fair, ethical and transparent governance practice by adopting high standard of professionalism, honesty, integrity and ethical behavior. The Company has a well defined set of guidelines for its internal governance based on business ethics, Legal Compliance and professional conduct. The Company also has an adequate internal control system.

The Company has complied with the provisions of clause 49 of the Listing Agreement with the Bombay Stock Exchange which deals with the compliance of Corporate Governance requirement.

A) THE PHARMACEUTICAL BUSINESS:

Colinz Laboratories Ltd. is engaged in the manufacturing and marketing of pharmaceutical formulations particularly in gynaecological sector. The Indian pharmaceutical market is highly competitive and also still fragmented with over 20,000 players comprising of foreign multinationals, Indian multinationals, mid-size and small scale companies. Your Company falls under the SME sector. However, Colinz has established reputation as a quality supplier of medicines in the domestic market, wherever the company has operation.

B) OPPORTUNITIES, THREATS AND CONCERNS:

The Company’s products are enjoying a good Brand image, particularly among gynaecologists. The Company has a potential to grow in future considering the fact that it is yet to open up its marketing operations in many states of the country, However, due to paucity of working capital, the company is unable to expand its marketing activities, to unrepresented areas.

The Company is a Revised Schedule ‘M’ complied unit, as per the requirement of D & C Act.

Your company, no doubt is focusing on those off patented products, and these products will have extended shelf life in the market, due to lesser discoveries of new molecules, considering the investment to be made and time and expenditure involved in developing such new molecules. However, the takeover of bigger Indian Pharma Companies by foreign MNC’s , is a serious cause of concern to the national sector of pharma industry, particularly to SME’s. The new DPCO is also on the anvil. The company will have to wait and watch the announcement and the price granted as per new DPCO, which will have an impact on the company's top line and bottom line.

C) OUT LOOK:

Barring unforeseen deterrents and the issues outlined above, the Company does not foresee any major threats in its survival and moderate growth. However, the margins are likely to be under heavy pressure due to high inflation prevailing in the country resulting in increase in all inputs / costs, and the final prices to be fixed under DPCO.

D) FINANCE:

The financial management and cash flow have been satisfactory, during the year under review.

E) INTERNAL CONTROLS:

The Company has proper and adequate internal control system, in respect of efficiency of operations, financial reporting and compliance with applicable laws and regulations etc. There are adequate controls to ensure that all assets are safeguarded and protected against loss from unauthorized use or disposal and that all transactions are authorized, recorded and reported correctly.

F) HUMAN RESOURCES:

Human resources are highly valued asset for any industry particularly in pharmaceutical selling. Therefore the Company seeks to attract and retain technical and marketing staff. The Company also recognizes the importance of human assets and ensures that proper encouragement is extended to the employees to motivate them. The total number of employees as on 31-03-2013 was 130. The Company enjoyed excellent relationship with its employees during the year under review.

G) CAUTIONARY STATEMENT:

The above Management Discussion and Analysis section may be forward looking and are stated as required by applicable laws and regulations. Many factors may affect the actual results, which could be different from what the Directors’ envisage in terms of the future performance and outlook.

(Top)

CORPORATE GOVERNANCE:

1) PHILOSOPHY:

Colinz Laboratories Ltd., has always strived to attain highest levels of transparency and accountability in all its operation and in its interactions with Shareholders, Government depts. creditors etc. Hence the Company has taken all appropriate steps to comply with the provisions of the prescribed Corporate Governance Code within the stipulated time.

2) BOARD OF DIRECTORS:

(a) Composition, Category of Directors and their other directorships as on 31-03-2013:

Name of the Directors	Category of Directorship	No. of Directorships in the public company
Dr. L. S. Mani	Chairman & Managing Director	None
Dr. L. S. Mani	(Executive, Promoter)	None
Shri. N. K. Menon	Whole-Time Director (Executive)	None
Shri. Vasant K. Bhat	Non-Executive, Independent	None
Shri. A. Krishna Kumar	Non-Executive, Independent	None

(b) Number of Board Meetings: During the year ended 31-03-2013, 8 Board Meetings were held on 10-05-2012, 31-05-2012, 31-07-2012, 29-09-2012, 31-10-2012, 03-12-2012 ,31-01-2013,
31-03-2013.

Name of the Director	Board Meetings attended during the year	Whether attended last AGM
Dr. L. S. Mani	8	Yes
Shri. N. K. Menon	8	Yes
Shri. Vasant K. Bhat	8	Yes
Shri. A. Krishna Kumar	8	Yes

3) COMMITTEES OF THE BOARD :

(a) Audit Committee

i) Terms of Reference :
Apart from all the matters provided in clause 49 of the listing agreement and Sec. 292-A of the Companies Act, 1956 the Audit Committee holds discussions with the Statutory Auditors of the Company concerning the accounts of the Company, internal control systems, scope of audit and observations of the Auditors. It also reviews major accounting policies followed by the Company.

ii) Composition.
The Composition of the Audit Committee is as follows :

Name	Designation	Category of Directorship	Committee Meetings Attended
Shri. Vasant K. Bhat	Chairman	Non-Executive, Independent	8
Shri. A.Krishnakumar	Member	Non-Executive, Independent	8
Dr. L. S. Mani	Member	Executive, Promoter	8

(b) Remuneration Committee and Policy :

The non-mandatory requirement of setting up of a remuneration committee for remuneration of executive directors has not been adopted considering the nature and the size of the Company. The Board of Directors determines the remuneration payable to the Executive Directors taking into account their qualifications, experience, expertise and contribution.
The details of the remuneration paid to the Executive Directors for the year ended 31-03-2013 are as follows.

Name	Salary
Dr. L. S. Mani	Rs. 8,85,500/-
Shri. N. K. Menon	Rs. 7,95,500/-

The Company pays sitting fees of Rs. 5,000/- per meeting up to July-2012 to Non-Executive Directors.

The Board has constituted an Investors Grievance Committee which looks into shareholders and investors grievances.

Following are the members of the Committee :

Name	Designation	Category of Directorship
Shri. Vasant K.Bhat	Chairman	Non-Executive, Independent
Dr. L. S. Mani	Member	Executive, Promoter

Compliance Officer : Shri. Vasant K. Bhat.

Number of complaints received from the shareholders during the year – Nil
Number of complaints redressed during the year – Nil
Number of complaints unsolved as on 31.03.2013 - Nil

4. SHAREHOLDERS :

(a) Means of Communication :

The quarterly, half yearly and annual audited financial results of the Company are sent to the stock exchanges immediately after they are approved by the Board. The results are published in accordance with the guidelines of the Stock Exchange.

(b) Share Transfers :

As per SEBI circular D & CC/FITTC/CIR-15/2002 dated 27-12-2002 the Company should have a common agency for share registry work. Accordingly, the Company has appointed M/s. Bigshare Services Pvt. Ltd., E-2/3, Ansa Industrial Estate, Sakivihar Road, Saki Naka, Andheri (E), Mumbai - 400072, as Common Agency for share registry work.

Details of the last 3 Annual General Meetings are as under.

Financial Year	Date	Time	Venue
2011-12	29-09-2012	12.30 PM	A-101, Pratik Ind. Estate, Mulund-Goregaon Link Road, Bhandup (W), Mumbai – 400 078.
2010-11	30-09-2011	12.30 PM	A-101, Pratik Ind. Estate, Mulund-Goregaon Link Road, Bhandup (W), Mumbai – 400 078.
2009-10	30-09-2010	12.30 PM	A-101, Pratik Ind. Estate, Mulund-Goregaon Link Road, Bhandup (W), Mumbai – 400 078.

(d) Postal Ballot :

For the year ended 31-03-2013, there have been no ordinary or special resolutions passed by the Company’s Shareholders through postal ballot.

(e) Details of Directors seeking appointment / re-appointment in 27th Annual General Meeting :

(In pursuance of Clause 49 of the Listing Agreement)

Name of the Director	Shri. Vasant K. Bhat
Date of Birth	03.05.1971
Qualifications	BCOM, FCA
Date of Appointment	19.03.2003
Expertise in specific functional areas	Audit , Accounts, Finance,Taxation
List of other companies in which Directorship held	None
Chairman/Member of the committees of the Board of Directors of other companies in which he/she is a Director.	None

Additional Shareholders information:

(a) Annual General Meeting
Date : 30th September, 2013.
Time : 12.30 P. M.
Venue : A-101, Pratik Estate, Mulund-Goregaon Link Road, Mumbai – 400 078.

(b) Financial Calender
Financial Year : 1st April to 31st March.
For the financial year 2013-14, the tentative dates for declaration of un-audited / audited results will be as follows;

Quarter ending 30-06-2013                      Before 31st July,2013.
Quarter ending 30-09-2013.                     Before 31st Oct, 2013.
Quarter ending 31-12-2013                      Before 31st Jan, 2014.
Quarter ending 31-03-2014 &
Audited results for the year 2013-14        Before 30th May, 2014.

(c) Book closure :
The Register of Members and Share Transfer Books of the Company shall remain closed from Monday, 23rd September, 2013 to Monday, 30th September, 2013 ( both days inclusive)

(d) Listing in stock exchanges and stock codes :
The shares of the Company are listed in The Stock Exchange, Mumbai.
Code of the Company is 531210
The ISIN number allotted to the Company for demat of shares are as under
NSDL INE923C01011
CDSL INE923C01011

(e) Stock Data:
High/Low of Market Price of Company’s Equity shares traded in the Stock Exchange Mumbai during the financial year ended on 31-03-2013 was as follows:

Month	High	Low	Month	High	Low
April 2012	7.35	6.71	October 2012	7.90	7.88
May 2012	7.90	7.30	November 2012	7.80	7.14
June 2012	8.11	8.11	December 2012	7.24	6.90
July 2012	8.20	7.71	January 2013	7.10	7.10
August 2012	8.19	7.58	February 2013	7.30	7.00
September 2012	8.10	7.46	March 2013	7.28	6.58

(f) Distribution of Shareholding as on 31-03-2013.

Range (In Rs.)			Total Holders	% of Total Holders	Total Holding in Rs.	% of Total Capital
1	-	5000	1361	67.64	276979	6.06
5001	-	10000	239	11.88	203866	4.46
10001	-	20000	159	7.90	270305	5.91
20001	-	30000	134	6.67	390902	8.55
30001	-	40000	16	0.79	58233	1.27
40001	-	50000	10	0.50	47400	1.04
50001	-	100000	21	1.04	148793	3.26
100001	&	above	72	3.58	3174522	69.45

Total			2012	100.00	4571000	100.00

(g) Shares held in physical and dematerialised form :
As on 31-03-2013, 25.19% of the shares were held in dematerialsed form and the rest in physical form.

(h) Outstanding GDRs/ADRs/Warrants or any convertible instruments, conversion date and likely impact on equity : Not applicable.

(i) Plant Location :
Plot No. 60, STICE, Sinnar-Shirdi Road, Musalgaon, Sinnar, Dist. Nasik – 422 103.

(j) Share Transfer System :
The Company has appointed M/s. Bigshare Services Pvt. Ltd., E-2/3, Ansa Industrial Estate, Sakivihar Road, Saki Naka, Andheri (E), Mumbai – 400 072, as Registrar & Transfer Agents.
Tel : 022-28470652 /53
Fax : 022-28475207
Email : investor@bigshareonline.com

(k) Disclosures :
The Company has not entered into any transaction of material nature with the promoters, the Directors, their relatives etc. that may have any potential conflict with the interests of the Company.

The Company has complied with requirements of the stock exchange, SEBI and other statutory authorities on all matters related to capital markets during the last three years. There were no penalties imposed nor any strictures imposed on the Company by the Stock Exchange, SEBI or any other statutory authority relating to the above.

CEO’s Certification

The Board of Colinz Laboratories Ltd. has laid down a code of conduct for all the Board Members and the Senior Management. All the Board Members and the Senior Management personnel have affirmed compliance of the code.

		Dr. L. S. Mani
		Chairman & Managing Director
Place: Mumbai.
Date: 30th May, 2013

(Top)

CERTIFICATE

To the Members of
COLINZ LABORATORIES LTD.

We have examined the compliance of the conditions of Corporate Governance by Colinz Laboratories Ltd., for the year ended on 31-03-2013, as stipulated in Clause 49 of the Listing Agreement of the said Company with the stock exchange.

The compliance of the conditions of the Corporate Governance is the responsibility of the management. Our examination has been limited to a review of the procedures and implementations thereof, adopted by the Company for ensuring compliance with the conditions of the 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, and the representations made by the Directors and the management, we certify that the Company has complied with the conditions of Corporate Governance as stipulated in Clause 49 of the above mentioned Listing Agreement.

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. V. Bhat & Co.
Chartered Accountants
FIRM REG.NO. -101298W

S. V. Bhat
Proprietor.

MEMBERSHIP No. - 37237

Mumbai, dated. 15th May, 2013

(Top)

INDEPENDENT AUDITORS’REPORT

TO THE MEMBERS OF M/S. COLINZ LABORATORIES LIMITED.

Report on the Financial Statements

We have audited the accompanying financial statements of Colinz Laboratories Limited (“the company”), which comprises the Balance Sheet as at March 31, 2013, the Statement of Profit And Loss and Cash Flow Statement for the Year then ended and a summary of significant accounting policies and other explanatory information.
Management’s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India including Accounting Standards referred to in Section 211(3C) of the Companies Act, 1956 (“the Act”). This responsibility includes the design, implementation and maintenance of internal control relevant to preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditors’ Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with the Standards on Auditing issued by the Institute of Chartered Accountants of India. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatements.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatements of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the companies preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by the management, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion

In our Opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India.

In the case of Balance Sheet, of the state of affairs of the company as at March 31, 2013;
In the case of Statement of Profit and Loss, of the profit for the year ended on that date; and
In the case of the Cash Flow Statement, of the cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

As required by the Companies (Auditor’s Report) Order, 2003(“the Order”) issued by the Central Government of India in terms of Section 227(4A) of the Act, we give in the Annexure a statement on the matters specified in paragraphs 4 and 5 of the Order.
As required by Section 227(3) of the Act, we report that:

We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of our audit;

In our opinion , proper books of account as required by law have been kept by the company so far as appears from our examination of those books.

The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement dealt with by this Report are in the agreement with the books of accounts.

In our opinion, the Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement comply with the Accounting Standards referred to in Section 211(3C) of the Act;

On the basis of the written representations received from the directors as on March 31, 2013, taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2013, from being appointed as a director in terms of Section 274(1)(g) of the Act.

Date :15th May, 2013		For S. V. BHAT & CO
Place : Mumbai.		(Chartered Accountants)
		FIRM REG. No.-101298W

		S. V. BHAT
		( Proprietor )
		MEMBERSHIP No. – 37237

(Top)

ANNEXURE

Re: COLINZ LABORATORIES LIMITED. (Referred to in paragraph 1 of our Report of even date)

1	(a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets. (b) The fixed assets have been physically verified during the year by the management. According to the information and explanations given to us, no material discrepancies were noticed on verification. (c) There was no disposal of any fixed assets during the year.
2	(a) The inventory has been physically verified during the year by the Management. In our Opinion, the frequency of verification is reasonable. (b)In our opinion and according to the information and explanations given to us, the procedures of physical verification of stocks followed by the management are reasonable and adequate in relation to the size of the Company and the nature of the business. (c) The Company has maintained proper records of inventory. No material discrepancies were noticed on physical verification of inventory.
3	The Company has not granted or taken any loans, secured or unsecured, to or from companies, firms or other parties listed in the register maintained under section 301 of the Companies Act, 1956. Therefore, the provisions of sub-clause (b), (c), (d), (e), (f) and (g) of sub-para (iii) of para 4 of the order are not applicable.
4	In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business with regard to purchases of inventory, fixed assets and with regard to the sale of goods. During the course of our audit we have not observed any continuing failure to correct major weaknesses in internal controls.
5	In respect of contracts or arrangements refer to in section 301 of the Companies Act 1956 : (a) in our opinion and explanation given to us the transactions made in pursuance of contracts or arrangements that need to be entered in register maintained under section 301 of the Companies Act 1956, have been so entered. (b) The transaction made in pursuance of contracts or arrangements referred to in section 301 of the Act are, in our opinion, at prices which are reasonable having regard to the prevailing market prices at the relevant time.
6	In our opinion and according to the information and explanations given to us, the Company has not accepted any deposit from the public within the meaning of Sections 58A, 58AA or any other relevant provisions of the Companies Act, 1956 and the Companies (Acceptance of Deposits) Rules, 1975.
7	In our opinion, the Company has an adequate internal audit system commensurate with the size and the nature of business.
8	We have broadly reviewed the books of accounts maintained by the Company in respect of the products where, pursuant to the rules made by the Central Government of India, the maintenance of cost records has been prescribed under clause (d) of sub- section(1) of section 209 of the Act, and are of the opinion that prima facie, the prescribed accounts and records have been made and maintained. We have not , however, made a detailed examination of the records with a view to determine whether they are accurate or complete.
9	(a) The Company is regular in depositing with appropriate authorities undisputed statutory dues including provident fund, investor education and protection fund, income tax, sales tax, wealth tax, custom duty, excise duty, cess and other material statutory dues applicable to it. According to the information and explanations given to us, provisions of Employees State Insurance Act is not applicable to the Company. (b) According to the information and explanations given to us, no undisputed amounts payable in respect of income tax, wealth tax, sales tax, customs duty, excise duty and cess were in arrears, as at 31-03-2013 for a period of more than six months from the date they became payable. (c) According to the information and explanation given to us, there are no dues of sales tax, income tax, customs duty, wealth tax, excise duty and cess which have not been deposited on account of any dispute.
10	The Company has no accumulated losses at the end of the financial year and it has not incurred cash losses in the current and immediately preceding financial year.
11	In our opinion and according to the information and explanations given to us the company has not defaulted in repayment of dues to a financial institution or bank.
12	According to the information and explanations given to us and based on the documents and records produced to us, the Company has not granted loans and advances on the basis of security by way of pledge of shares, debentures and other securities.
13	In our opinion, the Company is not a chit fund or a nidhi / mutual benefit fund / society. Therefore, the provisions of clause 4(xiii) of the Companies (Auditor’s Report ) Order, 2003 are not applicable to the Company.
14	In respect of shares, securities or other investments dealt in or traded by the Company, proper records are maintained in respect of transactions and contracts and timely entries have been made therein. All the investments are held by the Company in its own name.
15	In our opinion and according to the information and explanations given to us, the Company has not given guarantee for loans taken by others from Bank or Financial Institutions
16	On the basis of the records examined by us and relying on the information compiled by the Company for co-relating the funds raised to the end use of term loans, we have to state that, the Company has, prima-facie, applied the term loans for the purposes for which they were obtained.
17	According to the information and explanations given to us and on an overall examination of the balance sheet of the company, we report that no funds raised on short-term basis have been used for long-term investments by the Company.
18	The Company has not made preferential allotment of shares to parties and companies covered in the register maintained under Section 301 of the Companies Act, 1956 and therefore the question of the price at which shares have been issued is prejudicial to the interest of the Company does not arise.
19	The Company has not issued debentures and therefore the question of creation of security in respect of debentures does not arise.
20	The Company has not raised monies by public issues during the year and therefore the question of disclosure and verification of end use of such monies does not arise.
21	According to the information and explanations given to us, no fraud on or by the Company has been noticed or reported during the course of our audit.

Date :15th May, 2013		For S. V. BHAT & CO
Place : Mumbai.		Chartered Accountants
		FIRM REG. No.-101298W

		S. V. BHAT
		( Proprietor )
		MEMBERSHIP No. – 37237

(Top)

SCHEDULE 01: SIGNIFICANT ACCOUNTING POLICIES AND NOTES TO THE FINANCIAL STATEMENTS :-

Significant Accounting Policies: Note : 1

1.1

The company maintains its accounts on accrual basis following the historical cost convention In compliance with the accounting standards specified by Institute of Chartered Accountants of India, referred to in Section 211 ( 3C ) of the Companies Act, 1956.

1.2

i) Tangible assets are stated at original cost net of tax / duty credits availed, if any.
ii) Depreciation has been provided under Straight Line Method at the applicable rates, as provided under Schedule XIV to the Companies Act, 1956. Depreciation on additions / deletions of assets during the year is provided on a pro-rata basis.

1.3

Capital work in progress:
The capital work in progress as on 31-03-2013 is Rs. Nil

1.4

Inventories:
Raw materials and packing materials are valued at cost on FIFO basis as per revised Accounting Standard AS-2 of the Institute of Chartered Accountants of India. Finished goods and semi-finished goods are valued at lower of cost or net realizable value.

1.5

Investments:
Investments are stated at cost.

1.6

Revenue Recognition
i) Income From sales of goods is recognized upon transfer of significant risk and rewards of ownership of the goods to the customers which generally coincides with delivery and acceptance of goods sold; sales are shown inclusive of excise duty and exclusive of Sales Tax (VAT).

ii) Other income:
Includes interest on Fixed Deposits with Bank and dividends received.

1.7

Research and Development Expenses:
No capitalization of Research and Development expenses is made since no capital expenditure on research and development expenditure has been incurred during the year.

1.8

Foreign Currency Transactions:
Export earnings of Rs.Nil (Previous Year - Rs.NIL)
Foreign Exchange Outgo of Rs.NIL (Previous Year – Rs. NIL /-)

1.9

Retirement Benefits:
Retirement benefit or Post separation expenses in respect of gratuity is not provided for, and liability is not ascertained.

i)Privilege leave entitlement: Privilege leave entitlements are recognized as a liability as and when the same is encashed by the employees.

ii)Provident Fund: Contribution to Government provident Fund are made as per the provisions regularly.

1.10

The figures of previous year have been regrouped wherever necessary.

1.11

As per the available records, there is no outstanding dues to enterprises registered under Micro, Small and Medium Enterprises Development Act, 2006, at the end of the year. Further no interest has been paid or payable on delayed payment of dues, if any, to such enterprises during the year.

1.12

Estimated amount of contracts remaining to be executed on capital account and not provided for: Rs.Nil [ Previous Year : Rs. Nil ]

1.13

Contingent liabilities :
Contingent liabilities as defined in Accounting Standard 29 on “Provisions, Contingent Liabilities
and Contingent Assets” are disclosed by ways of notes to the accounts. Disclosures is not made if the possibility of an outflow of future economics benefits is remote. Provision is made if it is probable that an outflow of future economics benefits will be required to settle the Obligation.

1.14

Auditors Remuneration :	2012-2013	2011-2012
Audit Fees	Rs. 67,416	Rs. 66,180
Tax Audit Fees	Rs. ........ -	Rs. 11,030
Other services	Rs. 13,236	Rs. 13,236
	Rs. 80,652	Rs. 90,446

1.15

Segment Reporting
The Company is engaged in pharmaceutical formulation business which as per Accounting Standard – AS 17 is considered the only reportable business segment.

1.16

Related party transaction
As required by Accounting Standard – AS 18 ‘Related Parties Disclosure’ issued by the Institute of
Chartered Accountants of India are as follows :

i) Key Management personnel
ii) Details of Transactions.
Dr. L. S. Mani.	Remuneration paid	Rs. 8, 85,500
	Rent paid for the premise hired	Rs. 1,80,000

1.17

With regard to loan given to Company, the Board of Directors are of the opinion that, no provision for doubtful debt is required to be made as the amount being recovered in installments

1.18

Earning per share
The Company reports Earning Per Share (EPS) in accordance with Accounting Standard 20 on “Earning Per Share“. Basic EPS is computed by dividing the net profit for the year by the weighted Average number of Equity Shares outstanding during the year. Diluted EPS is computed by dividing the net profit or loss for the year by the weighted average number of equity shares outstanding during the year as adjusted for the effects of all dilutive potential equity shares, except where the results are anti-dilutive.

1.19

Provisions for Current and Deferred Tax.
i)Provision for Current Tax is made after taking into consideration benefits admissible under the provision of Income Tax Act 1961.

ii) Deferred tax resulting from timing differences between taxableand accounting income is accounted for using the tax rate and laws that are enacted or substantively enacted as on the Balance Sheet date. The deferred tax asset arising on account of brought forward unabsorbed depreciation is recognized only to the extent there is a reasonable certainty of realization

Deferred Tax Liability :
The break up of the deferred tax liability as at 31st March, 2013 is as under:

2012-13

2011-12

Rupees

Deferred Tax Liability :

Difference between book depreciation depreciation as per Income Tax Act, 1961.

62,55,558

63,62,909

62,55,558

63,62,909

Deferred Tax Assets:

26,51,302

32,62,792

Net Deferred Tax Liability

36,04,256

31,00,117

1.20

AS – 28 Impairment of Assets.
As on the Balance Sheet date the carrying amounts of the assets net of accumulated depreciation is not less than the recoverable amount of those assets. Hence there is no impairment loss on the assets of the company.

In the opinion of Board of Directors, the Current Assets, Loans and advances have a value which on the realization in the ordinary course of business would at least be equal to the amount stated in the Balance sheet.

As per our report of even date attached.
FOR S. V. BHAT & CO.	FOR AND ON BEHALF OF THE BOARD.
FIRM REG. NO. 101298W
Chartered Accountants.

S. V. BHAT	Dr. L. S. Mani	N. K. MENON
Proprietor.	Chairman & Managing Director	Director
Membership No. 37237 .

Place: Mumbai
Date:15th May, 2013.

(Top)

Balance sheet & profit & loss and their schedule

COLINZ LABORATORIES LTD.

BALANCE SHEET AS AT MARCH 31, 2013

All amounts in Rupees, unless otherwise stated

Notes

As at

March 31, 2013

March 31, 2012

EQUITY AND LIABILITIES

Shareholders' Funds

(a) Share Capital

35,435,000

(b) Reserves & Surplus

27,148,870

26,350,510

Non Current Liabilities

(a) Long Term Borrowings

22,554,442

23,917,851

(b) Deferred Tax Liabilities

3,604,256

3,100,117

147,303

98,147

(d) Long Term Provisions

Current Liabilities

(a) Short Term Borrowings

(b) Trade Payables

4,012,688

9,216,354

5,651,735

4,056,768

(d) Short Term Provisions

TOTAL

98,554,294

102,174,747

ASSETS

Non-Current Assets

(a) Fixed Assets

(i) Tangible Fixed Assets

39,761,278

42,360,771

(ii) Intangible Assets

(iii) Capital Work In Progress

(iv) Intangible Assets under Development

(b) Non-Current Investments

3,158,769

(d) Long Term Loans & Advances

13,543,150

13,763,150

(e) Other Non-Current Assets

599,115

524,850

Current Assets

(a) Current Investments

(b) Inventories

18,605,953

21,333,064

12,716,652

10,842,820

(d) Cash and Cash Equivalents

9,383,894

9,258,213

(e) Short Term Loans and Advances

785,483

933,110

(f) Other Current Assets

TOTAL

98,554,294

102,174,747

As per our report of even date attached.
FOR S. V. BHAT & CO.	FOR AND ON BEHALF OF THE BOARD.
FIRM REG.NO.101298W
Chartered Accountants.

S. V. BHAT	Dr. L. S. Mani	N. K. MENON
Proprietor.	Chairman & Managing Director	Director
M. No. 37237 .

Place: Mumbai
Date:15th May, 2013.

(Top)

COLINZ LABORATORIES LTD.

STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED MARCH 31, 2013

All amounts in Rupees, unless otherwise stated

Year ended

NOTES

March 31, 2013

March 31, 2012

Revenue from Operations

Sales -Products

76,818,336

70,454,561

Other Operating Revenue

323,373

Less : Excise duty

(5,282,156)

(4,435,470)

71,859,553

66,019,091

Other Income

774,599

368,554

III

Total Revenue (I+II)

72,634,152

66,387,645

Expenses

Cost of Materials Consumed

21,401,546

24,417,414

Purchase of Trading Goods

5,459,923

3,457,117

Changes in inventories of finished goods work-in-progress and Stock-in-Trade

1,701,784

(1,095,212)

Employee Benefits Expense

25,748,545

22,543,606

Finance Cost

2,020,580

1,892,853

Depreciation and amortization expense

2,619,303

2,599,467

Other Expenses

12,082,689

11,693,676

Total Expenses

71,034,370

65,508,921

Profit before exceptional and extraordinary items and tax (III-IV)

1,599,782

878,724

Exceptional items

VII

Profit before extraordinary items and tax (V - VI)

1,599,782

878,724

VIII

Extraordinary Items

Profit before tax (VII- VIII)

1,599,782

878,724

Tax expense:

(1) Current tax

297,283

158,337

(2) Deferred tax

504,139

(383863)

Profit (Loss) for the period from continuing operations (IX-X)

798,360

11,04,250

XII

Profit/(loss) from discontinuing operations

XIII

Tax expense of discontinuing operations

XIV

Profit/(loss) from Discontinuing operations (after tax) (XII-XIII)

Profit (Loss) for the period (XI + XIV)

798,360

11,04,250

XVI

Earnings per equity share:

(1) Basic

0.17

0.24

(2) Diluted

Significant accounting policies and notes

to the financial statements

As per our report of even date attached.
FOR S. V. BHAT & CO.	FOR AND ON BEHALF OF THE BOARD.
FIRM REG.NO.101298W
Chartered Accountants.

S. V. BHAT	Dr. L. S. Mani	N. K. MENON
Proprietor.	Chairman & Managing Director	Director
M. No. 37237 .

Place: Mumbai
Date:15th May, 2013.

(Top)

COLINZ LABORATORIES LTD.

NOTES FORMING PART OF THE FINANCIAL STATEMENTS

		All amounts in Rupees, unless otherwise stated
		As at		As at
		March 31, 2013		March 31, 2012
Notes 2 - Share Capital
a	Authorised:
	60,00,000 (Previous Year 60,00,000) Equity Shares of Rs.10 each	60,000,000		60,000,000

b	Issued, Subscribed and Paid-up:
	Issued:
	45,76,000 Equity shares of Rs. 10 each.
	Subscribed and paid-up:
	45,71,000 (Previous Year 45,71,000) Equity Shares of Rs.	35,435,000		35,435,000
	10 each fully/Partly paid-up	35,435,000		35,435,000

c	Par Value per share is Rs. 10

d	Reconciliation of the number of shares outstanding at the beginning and at the end of the reporting period;
	Particulars	No.	Rs.	No.	Rs.
	Shares outstanding at the beginning of the year	3543500	35,435,000	3543500	35,435,000
	Shares Issued during the year	0	0	0	0
	Shares bought back during the year	0	0	0	0
	Any other movement (please specify)	0	0	0	0
	Shares outstanding at the end of the year	3543500	35,435,000	3543500	35,435,000

e	shares in the company held by each shareholder holding more than 5 percent shares specifying the number of shares held
	Name of the shareholder	No. of shares	% of holding	No. of shares	% of holding
	L S Mani	705050	15.4244	705050	15.4244
	Vijaya Mani	386000	8.4445	386000	8,4445

f	For the period of five years immediately preceding the date as at which the Balance Sheet is prepared:	Aggregate No. of Shares (for last 5 Financial Years)
	Particulars

	Fully paid up pursuant to contract(s) without payment being received in cash	Nil
	Fully paid up by way of bonus shares	Nil
	Shares bought back	Nil

g	Unpaid Calls	No. of shares	Rs.	No. of shares	Rs.
	By Directors	0	0	0	0
	By Officers	0	0	0	0
	By Others	2055000	10,275,000	2055000	10,275,000

Notes 3 - Reserves & Surplus

a.	Capital Reserves:
	State Special Capital Incentive Received	Rs.	Rs.	Rs.	Rs.
	Opening Balance	3,500,000		3,100,000
	(+) Current Year Transfer	0		400,000
	(-) Written back in the current year	0		0
	Closing balance		3,500,000		3,500,000

b.	Share Premium Account
	Opening Balance	15,220,250		15,220,250
	(+) Current Year Transfer	0		0
	(-) Written back in the current year	0		0
	Closing balance		15,220,250		15220250

c.	Profit & Loss Account
	Opening Balance	7,630,260		6,526,010
	(+) Current Year Transfer	798,360		1,104,250
	(-) Transfer to Other Reserves	0		0
	Closing balance		8,428,620		7,630,260

	Total [a+b+c]		27,148,870		26,350,510

COLINZ LABORATORIES LTD.

NOTES FORMING PART OF THE FINANCIAL STATEMENTS

		All amounts in Rupees, unless otherwise stated
		As at	Total As at
		March 31, 2013	March 31, 2012
Notes 4 - Long Term Borrowings
	Secured-From Banks
	Cash Credit Account with Bank of Baroda	8,360,307	8,794,822
	[Secured by Hypothecation of Stock in Trade/Book debts]
	[Secured by hypothecation of plant and machinery at Sinnar
	factory]
	Car Loan from Axis Bank	590,064	712,898
	[Secured against hypothecation of car]
		8,950,371	9,507,720
	Unsecured Loans -Others
	Sales tax deferred (Interest free)	13,604,071	14,410,131
	[As per Package Scheme of Incentive of Maharashtra state
	government and includes VAT and CST]
		13,604,071	14,410,131

	Total	22,554,442	23,917,851
Notes 5- Trade Payables
	Sundry Creditors:
	a) Micro and small enterprises *	-	-
	b) Others	4,012,688	9,216,354
	* [Determined to the extent such particulars have been identified
	on the basis of information available with the Company. This has
	been relied upon by the auditors]
		4,0012,688	9,216,354
Notes 6- Other Current Liabilities
	Statutory liabilities	1,377,700	875,131
	Other Liabilities	3,605,098	2,651,184
	Provisions	668,937	530,453
		5,651,735	4,056,768

(Top)

COLINZ LABORATORIES LTD.

NOTES FORMING PART OF THE BALANCE SHEET AS AT MARCH 31, 2013

Notes 7 - Fixed Assets

DESCRIPTION	GROSS BLOCK				DEPRECIATION				NET BLOCK
	As at 1.4.2012	Additon in	Deduction	As at 31.3.2013	As at 1.04.2012	Depreciation	Deduction	Up to 31.3.2013	As at 31.3.2013	As at 31.3.2012
		2012-13				for the year

A. Tangible Assets
LAND	2574350	0	0	2574350	0	0	0	0	2574350	2574350
[Including Land Developing Exps]
BUILDING- Factory	24027330	0	0	24027330	7498823	802513	0	8301336	15725994	16528507
BUILDING-Office	6580717	0	0	6580717	921164	107266	0	1028430	5552287	5659553
PLANT & MACHINERY	11187512	0	0	11187512	5720981	531407	0	6252388	4935124	5466531
LABORATORY EQUIPMENTS	1570542	0	0	1570542	769991	74601	0	844592	725950	8800551
FACTORY EQUIPMENTS & TOOLS	3223653	0	0	3223653	1442811	153124	0	1595935	1627718	1780842
ELECTRICAL INSTALLATION	2377531	0	0	2377531	1264974	112933	0	1377907	999624	1112557
CENTRAL A.C. PLANT	8176691	0	0	8176691	2586468	388393	0	2974861	5201830	5590223
OFFIICE EQUIPMENTS	592660	0	0	592660	408866	28151	0	437017	155643	183794
COMPUTER	644888	19810	0	664698	592996	17432	0	610428	54270	51892
FURNITURE & FIXTURE	3469439	0	0	3469439	2273807	219615	0	2493422	976018	1195633
VEHICLES	1935457	0	0	1935457	519119	183868	0	702987	1232470	1416338
Total Tangible Assets	66360770	19810	0	66380580	24000000	2619303	0	26619303	39761278	42360771

B. Intangible Assets	0	0	0	0	0	0	0	0	0	0

TOTAL ASSETS	66360770	19810	0	66380580	24000000	2619303	0	26619303	39761278	42360771
PREVIOUS YEAR	65969729	996363	605322	66360770	21838838	2599467	438305	24000000	42360771	44130891

(Top)

COLINZ LABORATORIES LTD.

NOTES FORMING PART OF THE FINANCIAL STATEMENTS

				All amounts in Rupees, unless otherwise stated
				As at	Total As at
		Face Value	No. of shares	March 31, 2013	March 31, 2012
Notes 8- Non-Current Investments
(a) Equity shares [fully paid, quoted]
	3i Infotech	10	600	30000	30000
	Ansal Properties & Infrastructure Ltd.	5	200	101,926	101,926
	Arvind Ltd	10	500	60681	60681
	Bajaj Holdings & Investments Ltd.	10	50	28678	28678
	Bajaj Auto Ltd.	10	100	73319	73319
	Bajaj Finserv Ltd.	5	50	27770	27770
	Bank of Baroda	10	500	118534	118534
	Bank of Maharashtra	10	300	6900	6900
	Bharat Forge Ltd.	2	30	3804	3804
	Bharti Shipyard Ltd.	10	200	64841	64841
	Cairn India Ltd	10	1015	162400	162400
	CESC Ltd	10	200	128627	128627
	Coal India Ltd	10	88	21560	21560
	Eveready Industries Ltd.	5	500	17645	17645
	GTL Infrastructure Ltd	10	213	4000	4000
	Gujarat Sidhee Cement Ltd	10	1000	24186	24186
	HFCL Ltd.	1	500	12192	12192
	HDFC Ltd.	2	100	64762	64762
	HDIL	10	100	14505	14505
	Hindustan Organic Chemicals Ltd	10	1000	66283	66283
	Hindustan Oil Exploration Co Ltd	10	500	81322	81322
	IDBI Ltd	10	200	15717	15717
	IDFC Ltd	10	2000	164446	164446
	Idea Cellular Ltd	10	990	130834	130834
	IRB Infrastructure ltd	10	100	16457	16457
	Jagran Prakashan Ltd	2	143	27967	27967
	Kausalya Infrastructure Ltd	10	176	10560	10560
	Kingfisher Airlines	10	200	10641	10641
	Lanco Infrastructure Ltd	1	3210	77040	77040
	Macleod Russels Ltd	5	250	8823	8823
	Mahindra Lifespace Developers	10	200	184668	184668
	Maars Software Ltd	10	5000	57340	57340
	Morepen Laboratories Ltd.	2	500	7455	7455
	NTPC Ltd	10	500	71801	71801
	Neyveli Lignite Ltd.	10	400	22868	22868
	Panama Petrochem Ltd	10	250	32369	32369
	Polaris Software Lab Ltd.	5	200	32299	32299
	Punj Lloyd Ltd	2	500	99416	99416
	Pyramid Saimira Theatre Ltd	10	60	6000	6000
	Ranbaxy Labs. Ltd.	5	100	46004	46004
	Reliance Capital Ltd	10	10	1130	1130
	Reliance Communication Ltd	5	200	33654	33654
	Reliance Infrastructure	10	15	6348	6348
	Reliance Power Ltd	10	74	7358	7358
	Simplex Infrastructure Ltd	2	200	76982	76982
	SeaMac	10	1000	192315	192315
	Sesa Goa	1	100	28407	28407
	Sonata Software Ltd	1	1000	52218	52218
	Spicejet Ltd	10	250	15138	15138
	Tamilnadu Petroproducts Ltd.	10	500	17290	17290
	Tanla Solutions Ltd	1	50	6625	6625
	Tata Tele (Mah) Services Ltd.	10	700	20634	20634
	Unitech Ltd	2	200	44887	44887
	United phosphorus	2	100	14083	14083
	Voltamp Transformers Ltd	10	100	63163	63163
	Wipro Ltd	2	83	13537	13537
	Total (a)			2,758,769	2,758,769
	[The market value of the quoted shares is Rs. 2,441,536.00 ]
(a) Mutual Funds & Others (Un-Quoted)
	UTI Master Value Fund	33.89	8852.169	300,000	300,000
	JM Infra & Agricultural Fund	10	10000	100,000	100,000
	Total (b)			400,000	400,000

	Total Investments [a+b]			3,158,769	3,158,769

(Top)

COLINZ LABORATORIES LTD.

NOTES FORMING PART OF THE FINANCIAL STATEMENTS

		All amounts in Rupees, unless otherwise stated
		As at	Total As at
		March 31, 2013	March 31, 2012
Notes 9 - Long Term Loans & Advances
	Security Deposits	713,150	713,150
	Loans to Companies	12,830,000	13,050,000
		13,543,150	13,763,150

Notes 10- Other Non-Current Assets
	Cash and Cash Equivalants
	Fixed Deposits maturing after 12 months	599,115	524,850
		599,115	524,850
Notes 11 - Inventories
	Raw Materials [Valued at the lower of cost (first in first out) and estimated net realisable value]	1,521,807	2,468,041
	Packing Materials [Valued at the lower of cost (first in first out) and estimated net realisable value]	1,260,417	1,339,510
	Work-in-Progress [Valued at the lower of cost and estimated net realisable value]	639,990	59,875
	Finished Goods [Valued at the lower of cost and estimated net realisable value]	15,183,739	17,465,638
		18,605,953	21,333,064
Notes 12 - Trade Receivables
	(Unsecured and considered good)
	Debts Outstanding For a Period Exceeding Six Months	1,322,144	1,243,083
	Other Debts	11,394,508	9,599,737

	Trade Receivable stated above include debts due by:
	Directors *	-	-
	Other officers of the Company *	-	-
	Firm in which director is a partner *	-	-
	Private Company in which director is a member	-	-
	*Either severally or jointly
	Total	12,716,652	10,842,820
Notes 13 - Cash and Cash Equivalents
	Cash in Hand	289,622	358,547
	Balances with Banks on:
	- Current Accounts	2,885,346	5,135,607
	- Fixed Deposit Accounts	6,208,926	3,764,059
	Less: Restricted Cash	-	-
		9,383,894	9,258,213

Notes 14 - Short Term Loans and Advances
	(Unsecured and considered good, unless otherwise stated)
a	Loans and advances to related parties	-	-

b	Others
	Balances With Central Excise Authorities	69,480	53,999
	Advance to Employees	132,617	236,778
8	Advance to Suppliers/Service Providers	-	-
	Pre-paid Expenses	131,654	141,001
1		304,075	304,075
	Tax Deducted at Source and Advance Tax	147,657	197,257
		785,483	933,110

(Top)

COLINZ LABORATORIES LTD.

NOTES FORMING PART OF THE FINANCIAL STATEMENTS

		All amounts in Rupees, unless otherwise stated
		Year ended	Year ended
		March 31, 2013	March 31, 2012
Notes 15 - Sales Products
	Sale of Products	76,818,336	70,454,561
	Other Operating Revenue	323,373	-
		77,141,709	70,454,561
Notes 16 - Other Income
	Interest on:
	( - Bank Deposits [including tax deducted at source Rs. 57,683 )	576,814	320,777
	(Previous year Rs. 31,867)]
	- Dividend	39,653	47,777
	Insurance Claim Recevied	158,132	-
	Profit on Sale of shares	-	-
		774,599	368,554
Notes 17- Cost of Materials Consumed
	Opening Stock	3,807,551	2,597,421
	Add: Purchases	20,376,219	25,627,544
		24,183,770	28,224,965
	Less: Closing Stock	(2,782,224)	(3,807,551)
		21,401,546	24,417,414
Notes 18-Changes in inventories of finished goods work-in-progress and Stock-in-Trade
	Opening Stock:
	- Finished Goods	17,465,638	16,262,247
	- Work-in-Progress	59,875	168,054
		17,525,513	16,430,301
	Less: Closing Stock:
	- Finished Goods	15,183,739	17,465,638
	- Work-in-Progress	639,990	59,875
		15,823,729	17,525,513
		1,701,784	(1,095,212)
Notes 19 - Employee Benefit Expense
	Salaries and Allowances	24,899,477	21,762,946
	Contribution to Provident and Other Funds	650,618	593,242
	Gratuity	198,450	187,400
		25,748,545	22,543,606

(Top)

COLINZ LABORATORIES LTD.

NOTES FORMING PART OF THE FINANCIAL STATEMENTS

		All amounts in Rupees, unless otherwise stated
		Year ended	Year ended
		March 31, 2013	March 31, 2012
Notes 20 - Finance Cost
	Interest Expences:	2,020,580	1,892,853

		2,020,580	1,892,853

Notes 21- Other Expense
	Block & Designs	14,175	30,675
	Consumables	237,065	173,618
	Laboratory Expenses	96,847	92,405
	AC Rental Charges	158,555	175,848
	Office Rent	180,000	180,000
	Analytical Charges	275,893	288,708
	Office Expenses	624,279	572,832
	Conveyance	434,610	373,022
	Motor Car Expenses	194,208	171,898
	Factory Security Expenses	320,356	274,759
	Repairs and Maintenance:
	- Plant and Machinery	169,244	36,022
	- Building	108,817	269,474
	- Others	192,884	195,600
	Freight & Forwarding	1,511,573	1,390,682
	Insurance	97,757	116,670
	Loan License Charges Paid	1,097,720	1,312,568
	Auditors’ Remuneration	80,652	90,446
	Power & Fuel	863,163	710,954
	Printing & Stationery	175,328	105,900
	Books & Periodicals	10,200	30,000
	Postage & Telegram	323,886	345,243
	Legal & Professional Fees	576,461	413,975
	Loss on sale of assets	-	120,017
	Taxes & License Fees	216,802	318,568
	Society Maint. Charges	71,027	71,402
	Telephone Charges	407,396	439,975
	Travelling Expenses	826,662	614,895
	Commission on sales	919,548	927,386
	Directors' Remuneration	1,721,000	1,711,000
	Advertisement (Recruitment & Statutory)	156,549	119,903
	Water Charges	20,032	19,964
		12,082,689	11,693,676

(Top)

Cash flow statement

CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 31, 2013

	April 01, 2012	April 01, 2011
	To	To
	March 31, 2013	March 31, 2012
	Rupees	Rupees
A) CASH FLOW FROM OPERATING ACTIVITIES:
Profit/ Loss Before Taxation	1599782	878,724
Adjustments for:
Depreciation/Impairment	2619303	2,599,467
Interest on Fixed Loans	-
Interest on Delayed Payment of Taxes	-
Provision for Obsolete Stock	-
Bad Debts Written off	-
Provision for Contingencies	-
(Profit)/ Loss on sale of Fixed Assets (Net)	-	120,017
Interest on Deposits	-	-
Provision for Doubtful Debts written back	-	-
Liability No Longer Required Written Back	-	-
Operating Profit Before Working Capital Changes	4219085	3598208
Adjustments for changes in working capital:
Increase / (Decrease) in Trade Payable	(5203666)	2586269
Increase / (Decrease) in Long Term Provisions	-	-
Increase / (Decrease) in Short Term Provisions	-	-
Increase / (Decrease) in Other Current Liabilities	1594967	1019688
Increase / (Decrease) in Other Long Term Current Liabilities	49156	23247
(Increase) / Decrease in Trade Receivables	(1873832)	(1610533)
(Increase) / Decrease in Inventories	2727110	(2305342)
(Increase) / Decrease in Long Term Loans & Advances	220000	196000
(Increase) / Decrease in Short Term Loans & Advances	147627	(182116)
(Increase) / Decrease in Other Current Assets	-	-
(Increase) / Decrease in Other Non- Current Assets	(74264)	(524850)
Cash Generated /(Used In) from Operations	1806183	2800571
Taxes Paid (Net)	(297283)	(158337)
Cashflow before extra ordinary items	1508900	2642234
Extra Ordinary items: Capital subsidy recd.	-	400,000
Net Cash generated from /(Used In) Operating Activities	1508900	3042234
B) CASH FLOW FROM INVESTING ACTIVITIES:
Purchase of Fixed Assets	(19810)	(996363)
Proceeds from Sale of Fixed Assets	-	47000
Investments in shares & securities	-	-
Interest received	-	-
Net Cash (Used In) Investing Activities	(19810)	(949363)
C) CASH FLOW FROM FINANCING ACTIVITIES:
Share Capital	-	-
Share Application Money	-	-
Proceeds from Long Term Borrowings	(1363409)	(4548610)
Repayment of Short Term Borrowings	-
Interest Paid	-	-
Net Cash (Used In) /generated from Financing Activities	(1363409)	(4548610)
Net increase in Cash and Cash Equivalents (A+B+C)	125681	(2455739)
Cash and Cash Equivalents as at the beginning of the year	9258213	11713952
Cash and Cash Equivalents as at the end of the year	9383894	9258213
	125681	(2455739)
Cash and Cash Equivalents comprise of:
Cash on Hand	289622	358547
Cheques on Hand	-	-
Balances with Scheduled Banks on:
- Current Accounts	2885346	5135607
- Fixed Deposit Accounts	6208926	3764059
	9383894	9258213

Notes:

The above cash flow statement has been prepared under the "Indirect Method" set out in Accounting Standard 3 - Cash Flow Statements issued by the Institute of Chartered Accountants of India.
Cash and cash equivalents represent cash and bank balances only.
Previous Year's figures have been regrouped and rearranged, wherever necessary.

(Top)

Auditors Certificate

We have verified the above cash flow statement of Colinz Laboratories Limited derived from the audited financial statements for the years ended 31st March, 2013 and 31st March, 2012 and found the same to be drawn in accordance therewith and also with the requirements of Clause 32 of the listing agreements with stock exchanges.

Date :15th May, 2013		For S. V. BHAT & CO
Place : Mumbai.		Chartered Accountants

		S. V. BHAT
		( Proprietor )
		MEMBERSHIP No. – 37237
		FIRM REG. No.-101298W

(Top)

COLINZ LABORATORIES LIMITED
A-101, Pratik Ind. Estate, Next to Fortis Hospital, Mulund-Goregaon Link Road, Mumbai-400078

FORM OF PROXY

Ledger Folio No.

No. of Shares

I/We..........................................................................................................of.................………

............................................ being a member/members of Colinz Laboratories Limited hereby

appoint................................................................................................of............................………

................. or failing him / her ....................................................……………… of............................

as my/ our proxy to vote for me/ us and on my/ our behalf at the 27th Annual General Meeting of the Company to be held on Monday, 30th September, 2013 and at any adjournment thereof.

Signed this................................................2013.

Affix
One Rupee
Revenue Stamp

[ Signature of the Member(s)]

NOTE :Proxy duly completed must be deposited at the Registered Office of the Company not less than 48 hours before the time for holding the meeting. The proxy need not be member of the Company.

(Top)

COLINZ LABORATORIES LIMITED
A-101, Pratik Ind. Estate, Next to Fortis Hospital, Mulund-Goregaon Link Road, Mumbai-400078

ATTENDANCE SLIP

I hereby record my presence at the 27th Annual General Meeting of the Company held at A-101, Pratik Ind. Estate, Next to Fortis Hospital, Mulund-Goregaon Link Road, Mumbai-400078, on Monday, 30th September, 2013 at 12.30 P. M.

............................................................... .................................
Full name of the shareholder Signature
[in block letters]

Folio No.................................................

..............................................................
Full Name of Proxy Signature
[in block letters]

NOTE: Shareholders attending the meeting in person or proxy are requested to complete the attendance slip and hand it over at the entrance of the meeting place. Joint shareholders may obtain additional slips on request.

BOOK POST

To,---------------------------------------------------

-------------------------------------------------------

If undelivered, please return to:

COLINZ LABORATORIES LIMITED.
A-101, Pratik Ind. Estate, Next to Wockhardt Hospital,
Mulund-Goregaon Link Road, Mumbai-400078.

(Top)